Press Release Details

WILLIAMSVILLE, N.Y.--(BUSINESS WIRE)-- National Fuel Gas Company (“National Fuel” or the “Company”) (NYSE:NFG) today announced consolidated results for the third quarter of its 2016 fiscal year and for the nine months ended June 30, 2016.

FISCAL 2016 THIRD QUARTER EARNINGS SUMMARY

• Consolidated net income of $8.3 million or $0.10 per share
• Operating results, excluding items impacting comparability, of $58.1 million or $0.68 per share
• Impairment of oil and gas properties of $82.7 million ($47.9 million after tax)
• Consolidated adjusted EBITDA of $189.8 million, an increase of $10.4 million versus prior year (see non-GAAP reconciliation on page 25)
• Production of 44.0 Bcfe, a 22% increase from prior year and 12% increase from the second quarter
• Net Appalachian natural gas spot sales of approximately 6.4 Bcf
• Average natural gas and crude oil prices after hedging of $2.86 per Mcf and $58.79 per Bbl, respectively
• Midstream businesses EBITDA of $70.9 million, an increase of $12.0 million or 20% versus prior year
• Raising and tightening fiscal 2016 earnings guidance
• Initiating fiscal 2017 earnings guidance with a range of $2.85 to $3.15 per share

OPERATING RESULTS
				Three Months Ended								Nine Months Ended
				June 30,								June 30,
(in thousands except per share amounts)				2016				2015				2016				2015
Reported GAAP earnings (loss)				$	8,286			$	(293,134	)		$	(328,510	)		$	(191,724	)
Items impacting comparability:
Impairment of oil and gas properties (E&P)				82,658				588,712				915,552				709,060
Tax impact of impairment of oil and gas properties				(34,716		)		(248,863		)		(384,531		)		(299,738		)
Joint development agreement professional fees (E&P)				3,173								7,855
Tax impact of joint development agreement professional fees				(1,333		)						(3,299		)
Operating Results				$	58,068			$	46,715			$	207,067			$	217,598
Reported GAAP earnings (loss) per share				$	0.10			$	(3.44	)		$	(3.87	)		$	(2.25	)
Items impacting comparability:
Impairment of oil and gas properties (E&P)				0.97				6.91				10.80				8.32
Tax impact of impairment of oil and gas properties				(0.41		)		(2.92		)		(4.54		)		(3.52		)
Joint development agreement professional fees (E&P)				0.04								0.09
Tax impact of joint development agreement professional fees				(0.02		)						(0.04		)
Earnings per share impact of dilutive shares (All segments)												(0.01		)
Operating Results per diluted share				$	0.68			$	0.55			$	2.43			$	2.55

MANAGEMENT COMMENTS

Ronald J. Tanski, President and Chief Executive Officer of National Fuel Gas Company, stated: "Each of our business segments contributed to a very good quarter of operations for the Company. In our upstream segment, Seneca's Marcellus production grew by an impressive 25 percent due to increased takeaway capacity on National Fuel pipelines and improved pricing in Appalachia. This higher production also contributed to the increased throughput we achieved in our Gathering and Pipeline and Storage segments. While commodity pricing in the Appalachian basin has improved, the methodology imposed under the full-cost accounting rules required us to once again incur a non-cash impairment charge. We expect that the pricing curve will level out and soon bring an end to these impairment charges.

"The steps we have taken in fiscal 2016 have positioned National Fuel well financially and operationally. In fiscal 2017, we plan to execute our integrated strategy to grow our upstream and midstream businesses in Appalachia. We are pleased that IOG elected to continue participating with us in drilling additional Marcellus wells over the next year, allowing us to dedicate capital to our midstream pipeline businesses while maintaining activity levels upstream. We recently received a positive Environmental Assessment from the Federal Energy Regulatory Commission for our Northern Access Project and remain on schedule to obtain the additional regulatory approvals to build the project to meet the anticipated November 2017 in-service date. While we continue to be encouraged by firming natural gas prices, we will maintain the current pace of our drilling program over the next year in order to grow production into the Northern Access capacity as efficiently as possible. This strategy should result in steady, but significant, growth across our upstream and midstream businesses.”

DISCUSSION OF THIRD QUARTER RESULTS BY SEGMENT

The following discussion of the earnings of each segment is summarized in a tabular form on pages 9 through 12 of this report. It may be helpful to refer to those tables while reviewing this discussion.

Upstream Business

Exploration and Production Segment

The Exploration and Production segment operations are carried out by Seneca Resources Corporation ("Seneca"). Seneca explores for, develops and produces natural gas and oil reserves, primarily in Pennsylvania and California.

(in thousands except per share amounts)				Quarter Ended June 30, 2016				Quarter Ended June 30, 2015				Variance
Net Income / (Loss)				$	(19,165	)		$	(323,113	)		$	303,948
Net Income / (Loss) Per Share (Diluted)				$	(0.22	)		$	(3.79	)		$	3.57
Adjusted EBITDA				$	97,924			$	93,662			$	4,262

The quarter over quarter variance in the Exploration and Production segment's net loss is mainly due to lower impairment charges that were recorded to write down the value of Seneca’s oil and natural gas reserves under the full cost method of accounting. The non-cash, pre-tax impairment charge recorded in the current year's third quarter was $82.7 million ($47.9 million after-tax) versus $588.7 million ($339.8 million after-tax) in the prior year. The full cost method of accounting requires that Seneca perform a quarterly “ceiling test” to compare the present value of future revenues from its oil and natural gas reserves based on an unweighted arithmetic average of the first day of the month oil and gas prices for each month within the 12-month period prior to the end of the reporting period (“the ceiling”) with the book value of those reserves at the balance sheet date. If the book value of the reserves exceeds the ceiling, a non-cash impairment charge must be recorded in order to reduce the book value of the reserves to the calculated ceiling. Unless oil and gas prices improve, Seneca expects to incur an additional impairment charge in the fourth quarter of the fiscal year ending September 30, 2016.

Seneca also incurred $3.2 million ($1.8 million after tax) of professional and legal expenses during the third quarter relating to the extension of the joint development agreement that Seneca entered into in June 2016. These transaction costs were recorded to general and administrative ("G&A") expense.

Excluding these items, Operating Results in the Exploration and Production segment in the current year’s third quarter were $30.6 million, or $0.36 per share, compared to $16.7 million, or $0.20 per share, in the prior year’s third quarter, an increase of $13.9 million or $0.16 per share. The increase in Operating Results is mainly due to higher natural gas production and lower operating expenses, offset partially by lower realized natural gas and crude oil prices after hedging, lower oil production and higher interest expense.

Seneca's net third quarter fiscal 2016 production was 44.0 billion cubic feet equivalent ("Bcfe"), an increase of 7.8 Bcfe, or 22 percent, from the prior fiscal year's third quarter, and an increase of 4.8 Bcfe, or 12 percent, versus the second quarter of fiscal 2016. Net natural gas production for the quarter was 39.6 Bcf, an increase of 8.0 Bcf, or 25 percent, versus prior year due mainly to new incremental firm transportation capacity that became available to Seneca during the first quarter of fiscal 2016. In addition, improved local spot pricing in Pennsylvania allowed Seneca to sell approximately 6.4 Bcf of net production in local spot markets during the quarter, the first meaningful spot production volumes Seneca has sold since the first quarter of fiscal 2015. Seneca's voluntary production curtailments decreased 7.1 Bcf from the estimated 11.8 Bcf of net production curtailed in the third quarter of fiscal 2015 and 4.4 Bcf from the estimated 9.1 Bcf curtailed during the second quarter of fiscal 2016.

Seneca produced 728 thousand barrels ("Mbbl") of crude oil during the third quarter, a decrease of 31 Mbbl, or 4.1 percent, when compared to the prior year due primarily to a temporary disruption in steam flood operations in North Midway Sunset and lower overall well workover activity in response to the decline in oil market prices.

Seneca's average realized natural gas price, after the impact of hedging, for the third quarter was $2.86 per thousand cubic feet ("Mcf"), a decrease of $0.46 per Mcf versus the prior year third quarter. Seneca's average realized oil price, after the impact of hedging, for the third quarter was $58.79 per barrel ("Bbl"), a decrease of $10.86 per Bbl when compared to the prior year third quarter. Seneca's average realized natural gas and oil prices benefited from a $1.11 per Mcf and $19.75 per Bbl uplift, respectively, from financial hedges settled during the quarter.

Lease operating and transportation ("LOE") expense decreased by $0.5 million versus the prior year third quarter due to lower per unit LOE offset partially by the impact of higher production. On a per unit of production basis, LOE for the third quarter decreased by $0.21 per Mcf equivalent ("Mcfe") to $0.88 per Mcfe. The decrease is largely due to a reduction in well maintenance and steam costs in Seneca's California division and lower salt water disposal and maintenance costs in Seneca's Appalachian division.

G&A expense, excluding the $3.2 million of professional fees related to the joint development agreement discussed above, was $13.4 million for the third quarter, a decrease of $3.7 million versus the prior year due primarily to lower personnel costs at Seneca.

Depreciation, depletion and amortization ("DD&A") expense decreased $24.8 million versus the prior year third quarter due to lower per unit DD&A, offset partially by the impact of higher production. On a per unit of production basis, DD&A decreased $0.84 per Mcfe to $0.71 per Mcfe due primarily to a lower depletable fixed asset balance resulting from the ceiling test impairment charges recorded during the prior four quarters and higher natural gas reserve balances at September 30, 2015.

Property, franchise and other taxes decreased $2.3 million versus the prior year third quarter due primarily to reimbursements received from Seneca's joint development partner for its share of Pennsylvania impact fees and the general decline in oil and natural gas market prices, which have lowered the assessed values of Seneca's California oil properties and impact fee payments in Pennsylvania.

The $2.6 million increase in interest expense is due to the full quarter impact of the long-term debt issuance that occurred at the end of the quarter ended June 30, 2015.

Midstream Businesses

Pipeline and Storage Segment

The Pipeline and Storage segment’s operations are carried out by National Fuel Gas Supply Corporation (“Supply Corporation”) and Empire Pipeline, Inc. (“Empire”). The Pipeline and Storage segment provides natural gas transportation and storage services to affiliated and non-affiliated companies through an integrated system of pipelines and underground natural gas storage fields in western New York and Pennsylvania.

(in thousands except per share amounts)				Quarter Ended June 30, 2016				Quarter Ended June 30, 2015				Variance
Net Income / (Loss)				$	17,323			$	17,714			$	(391	)
Net Income / (Loss) Per Share (Diluted)				$	0.20			$	0.21			$	(0.01	)
Adjusted EBITDA				$	48,515			$	44,437			$	4,078

The Pipeline and Storage segment's third quarter earnings were relatively flat versus the prior year as the increase in operating revenues were offset by increases in Operation and Maintenance ("O&M"), DD&A and interest expenses. Operating revenues increased $6.9 million, or 10 percent, as a result of the three expansion projects - Northern Access 2015, Westside Expansion & Modernization, and Tuscarora Lateral - that were placed in service during the first quarter of fiscal 2016.

O&M expense increased $2.2 million versus prior year's third quarter due primarily to higher post-retirement benefit costs and expenses associated with the operation of new and expanded compression assets. DD&A expense for the quarter increased $1.4 million due to higher gross plant in service, which was largely attributable to the expansion projects that were placed in service within the last year. The $1.9 million increase in interest expense is due to the full quarter impact of the long-term debt issuance that occurred at the end of the quarter ended June 30, 2015, coupled with lower capitalized interest resulting from the decline in pipeline expansion construction work in progress during the current quarter.

Gathering Segment

The Gathering segment’s operations are carried out by National Fuel Gas Midstream Corporation’s subsidiary limited liability companies. The Gathering segment constructs, owns and operates natural gas gathering pipelines and compression facilities in the Appalachian region which currently delivers Seneca’s gross Appalachian production to the interstate pipeline system.

(in thousands except per share amounts)				Quarter Ended June 30, 2016				Quarter Ended June 30, 2015				Variance
Net Income / (Loss)				$	9,473			$	6,226			$	3,247
Net Income / (Loss) Per Share (Diluted)				$	0.11			$	0.07			$	0.04
Adjusted EBITDA				$	22,433			$	14,527			$	7,906

The increase in the Gathering segment's third quarter earnings is due primarily to higher gathering revenues, offset partially by higher O&M, DD&A and interest expenses. Operating revenues increased $8.6 million, or 51 percent, versus prior year's third quarter mainly due to a 15.0 Bcf increase in gathered volume on the Clermont Gathering System ("Clermont"), a result of Seneca's increased gross production volumes. O&M expense increased $0.7 million due to higher costs associated with operating various Clermont compression projects placed in service during the current fiscal year. DD&A expense increased $1.4 million due to higher gross plant in service during the quarter.

The $2.0 million increase in interest expense is due to the full quarter impact of the long-term debt issuance that occurred at the end of the quarter ended June 30, 2015, coupled with lower capitalized interest resulting from the Clermont projects being placed in service.

Downstream Businesses

Utility Segment

The Utility segment operations are carried out by National Fuel Gas Distribution Corporation (“Distribution”), which sells or transports natural gas to customers located in western New York and northwestern Pennsylvania.

(in thousands except per share amounts)				Quarter Ended June 30, 2016				Quarter Ended June 30, 2015				Variance
Net Income / (Loss)				$	2,179			$	5,727			$	(3,548	)
Net Income / (Loss) Per Share (Diluted)				$	0.03			$	0.07			$	(0.04	)
Adjusted EBITDA				$	22,900			$	27,059			$	(4,159	)

The decrease in the Utility segment's third quarter earnings was largely attributable to the impact of higher O&M expenses, which increased $2.5 million versus the prior year due to higher personnel costs and expenses relating to the implementation of the new customer information system that went in service during the quarter. The Utility segment's earnings were further reduced by higher DD&A expense and lower margins.

Energy Marketing Segment

The Energy Marketing segment's operations are carried out by National Fuel Resources, Inc. (“NFR”). NFR markets natural gas to industrial, wholesale, commercial, public authority and residential customers primarily in western and central New York and northwestern Pennsylvania, offering competitively priced natural gas to its customers.

(in thousands except per share amounts)				Quarter Ended June 30, 2016				Quarter Ended June 30, 2015				Variance
Net Income / (Loss)				$	(590	)		$	1,533			$	(2,123	)
Net Income / (Loss) Per Share (Diluted)				$	(0.01	)		$	0.02			$	(0.03	)
Adjusted EBITDA				$	(930	)		$	2,327			$	(3,257	)

The decrease in the Energy Marketing segment's third quarter earnings is due primarily to lower margins, which were negatively impacted by changes in natural gas prices at local purchase points relative to NYMEX-based customer sales contracts.

Corporate and All Other

The Corporate and All Other category net loss of $0.9 million for the quarter ended June 30, 2016, compares to a net loss of $1.2 million in the prior year’s third quarter. The $0.3 million decrease in the net loss impacted consolidated earnings by less than $0.01 per share.

EARNINGS GUIDANCE

The Company is updating and narrowing earnings guidance for fiscal 2016 to a range of $2.90 to $3.00 per share exclusive of any ceiling test impairment charges. These charges were $531 million after-tax, or $6.26 per share, for the nine months ended June 30, 2016. While the Company expects to incur an additional ceiling test impairment charge in the fourth quarter of fiscal 2016, the amount of this charge is not reasonably determinable at this time. The amount of any ceiling test charge is determined at the end of the applicable quarter and will depend on many factors, including additions to or subtractions from proved reserves, fluctuations in oil and gas prices, and income tax effects related to the differences between the book and tax basis of the Company’s oil and gas properties. Some or all of these factors are likely to be significant. Because the amount of the expected ceiling test impairment charges is not reasonably determinable at this time, the Company is unable to provide earnings guidance other than on a non-GAAP basis that excludes those charges.

The Company's updated fiscal 2016 guidance reflects actual third quarter results and the following revised forecast assumptions:

				Updated FY 2016 Guidance		Previous FY 2016 Guidance
Consolidated Earnings per Share (1)				$2.90 to $3.00		$2.80 to $2.95
Capital Expenditures (Millions)
Exploration & Production (2)				$120 - $135		$120 - $160
Pipeline & Storage				$125 - $140		$130 - $160
Gathering				$55 - $65		$75 - $85
Utility				$90 - $100		$90 - $100
Consolidated Capital Expenditures				$390 - $440		$415 - $505
Exploration & Production Segment Guidance
NYMEX Natural Gas Price Assumption				$2.75		$2.15
NYMEX Crude Oil Price Assumption				$45.00		$40.00
Total Production (Bcfe)				160 to 165		158 to 175
E&P Operating Costs ($/Mcfe)
LOE				$0.95 - $1.00		$0.95 - $1.05
G&A (3)				$0.35 - $0.40		$0.35 - $0.40
DD&A				$0.85 - $0.90		$0.85 - $0.95

		(1)		Exclusive of ceiling test impairment charges
		(2)		Net of up-front and recurring proceeds received from joint development partner
		(3)		G&A per unit guidance excludes $7.9 million of joint development professional fees

The Company is also initiating preliminary earnings, capital expenditures, and Exploration and Production segment operations guidance for fiscal 2017.

				Preliminary FY 2017 Guidance
Consolidated Earnings per Share (1)				$2.85 to $3.15
Capital Expenditures (Millions)
Exploration & Production (2)				$160 - $200
Pipeline & Storage				$400 - $450
Gathering				$75 - $85
Utility				$90 - $100
Consolidated Capital Expenditures				$725 - $835
Exploration & Production Segment Guidance
NYMEX Natural Gas Price Assumption				$3.00
NYMEX Crude Oil Price Assumption				$50.00
Production (Bcfe)
East Division - Appalachia				130 to 153
West Division - California				20 to 22
Total Production				150 to 175
Capital Expenditures (Millions)
East Division - Appalachia				$125 - $155
West Division - California				$35 - $45
Total E&P Capital Expenditures				$160 - $200
E&P Operating Costs ($/Mcfe)
LOE				$0.95 - $1.05
G&A				$0.35 - $0.40
DD&A				$0.65 - $0.75
Midstream Businesses Guidance
Pipeline & Storage Segment Revenues (Millions)				$295 - $305
Gathering Segment Revenues (Millions)				$95 - $105

		(1)		Assumes no ceiling test impairment charges
		(2)		Net of up-front and recurring proceeds received from joint development partner

EARNINGS TELECONFERENCE

The Company will host a conference call on Friday, August 5, 2016, at 11 a.m. Eastern Time to discuss this announcement. There are two ways to access this call. For those with Internet access, visit the NFG Investor Relations News & Events page at National Fuel’s website at investor.nationalfuelgas.com. For those without Internet access, audio access is also provided by dialing (toll-free) 877-706-7579, using conference ID number “46345887.” For those unable to listen to the live conference call, an audio replay will be available at approximately 3 p.m. Eastern Time at the same website link and by phone at (toll-free) 855-859-2056 or 404-537-3406, using conference ID number “46345887.” Both the webcast and telephonic replay will be available until the close of business on Friday, August 12, 2016.

National Fuel is an integrated energy company reporting financial results for five operating segments: Exploration and Production, Pipeline and Storage, Gathering, Utility, and Energy Marketing. Additional information about National Fuel is available at www.nationalfuelgas.com.

Certain statements contained herein, including statements identified by the use of the words “anticipates,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “predicts,” “projects,” “believes,” “seeks,” “will,” “may” and similar expressions, and statements which are other than statements of historical facts, are “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. The Company’s expectations, beliefs and projections contained herein are expressed in good faith and are believed to have a reasonable basis, but there can be no assurance that such expectations, beliefs or projections will result or be achieved or accomplished. In addition to other factors, the following are important factors that could cause actual results to differ materially from those discussed in the forward-looking statements: impairments under the SEC’s full cost ceiling test for natural gas and oil reserves; changes in the price of natural gas or oil; financial and economic conditions, including the availability of credit, and occurrences affecting the Company’s ability to obtain financing on acceptable terms for working capital, capital expenditures and other investments, including any downgrades in the Company’s credit ratings and changes in interest rates and other capital market conditions; delays or changes in costs or plans with respect to Company projects or related projects of other companies, including difficulties or delays in obtaining necessary governmental approvals, permits or orders or in obtaining the cooperation of interconnecting facility operators; governmental/regulatory actions, initiatives and proceedings, including those involving rate cases (which address, among other things, target rates of return, rate design and retained natural gas), environmental/safety requirements, affiliate relationships, industry structure, and franchise renewal; factors affecting the Company’s ability to successfully identify, drill for and produce economically viable natural gas and oil reserves, including among others geology, lease availability, title disputes, weather conditions, shortages, delays or unavailability of equipment and services required in drilling operations, insufficient gathering, processing and transportation capacity, the need to obtain governmental approvals and permits, and compliance with environmental laws and regulations; changes in laws, regulations or judicial interpretations to which the Company is subject, including those involving derivatives, taxes, safety, employment, climate change, other environmental matters, real property, and exploration and production activities such as hydraulic fracturing; changes in price differentials between similar quantities of natural gas or oil sold at different geographic locations, and the effect of such changes on commodity production, revenues and demand for pipeline transportation capacity to or from such locations; other changes in price differentials between similar quantities of natural gas or oil having different quality, heating value, hydrocarbon mix or delivery date; the cost and effects of legal and administrative claims against the Company or activist shareholder campaigns to effect changes at the Company; uncertainty of oil and gas reserve estimates; significant differences between the Company’s projected and actual production levels for natural gas or oil; changes in demographic patterns and weather conditions; changes in the availability, price or accounting treatment of derivative financial instruments; changes in economic conditions, including global, national or regional recessions, and their effect on the demand for, and customers’ ability to pay for, the Company’s products and services; the creditworthiness or performance of the Company’s key suppliers, customers and counterparties; economic disruptions or uninsured losses resulting from major accidents, fires, severe weather, natural disasters, terrorist activities, acts of war, cyber attacks or pest infestation; significant differences between the Company’s projected and actual capital expenditures and operating expenses; changes in laws, actuarial assumptions, the interest rate environment and the return on plan/trust assets related to the Company’s pension and other post-retirement benefits, which can affect future funding obligations and costs and plan liabilities; increasing health care costs and the resulting effect on health insurance premiums and on the obligation to provide other post-retirement benefits; or increasing costs of insurance, changes in coverage and the ability to obtain insurance. The Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS
QUARTER ENDED JUNE 30, 2016
(Unaudited)
				Upstream				Midstream Businesses								Downstream Businesses
				Exploration &				Pipeline &												Energy				Corporate /
(Thousands of Dollars)				Production				Storage				Gathering				Utility				Marketing				All Other				Consolidated*
Third quarter 2015 GAAP earnings				$	(323,113	)		$	17,714			$	6,226			$	5,727			$	1,533			$	(1,221	)		$	(293,134	)
Items impacting comparability:
Impairment of oil and gas producing properties				588,712																								588,712
Tax impact of impairment of oil and gas producing properties				(248,863		)																						(248,863		)
Third quarter 2015 operating results				16,736				17,714				6,226				5,727				1,533				(1,221		)		46,715
Drivers of operating results
Higher (lower) crude oil prices				(5,138		)																						(5,138		)
Higher (lower) natural gas prices				(12,005		)																						(12,005		)
Higher (lower) natural gas production				17,216																								17,216
Higher (lower) crude oil production				(1,420		)																						(1,420		)
Lower (higher) depreciation / depletion				16,093				(900		)		(937		)		(479		)										13,777
Higher (lower) transportation revenues								4,263																				4,263
Higher (lower) gathering and processing revenues												5,595																5,595
Lower (higher) operating expenses				2,614				(1,461		)		(461		)		(1,731		)						447				(592		)
Lower (higher) property, franchise and other taxes				1,482																								1,482
Higher (lower) margins																(1,013		)		(2,209		)		568				(2,654		)
Higher (lower) AFUDC**								(598		)																		(598		)
Higher (lower) interest income				(410		)																						(410		)
Lower (higher) interest expense				(1,667		)		(1,265		)		(1,307		)														(4,239		)
Lower (higher) income tax expense / effective tax rate				(2,906		)		(715		)		318												(894		)		(4,197		)
All other / rounding				22				285				39				(325		)		86				166				273
Third quarter 2016 operating results				30,617				17,323				9,473				2,179				(590		)		(934		)		58,068
Items impacting comparability:
Impairment of oil and gas producing properties				(82,658		)																						(82,658		)
Tax impact of impairment of oil and gas producing properties				34,716																								34,716
Joint development agreement professional fees				(3,173		)																						(3,173		)
Tax impact of joint development agreement professional fees				1,333																								1,333
Third quarter 2016 GAAP earnings				$	(19,165	)		$	17,323			$	9,473			$	2,179			$	(590	)		$	(934	)		$	8,286
* Amounts do not reflect intercompany eliminations
** AFUDC = Allowance for Funds Used During Construction

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS PER SHARE
QUARTER ENDED JUNE 30, 2016
(Unaudited)
				Upstream				Midstream Businesses								Downstream Businesses
				Exploration &				Pipeline &												Energy				Corporate /
				Production				Storage				Gathering				Utility				Marketing				All Other				Consolidated*
Third quarter 2015 GAAP earnings				$	(3.79	)		$	0.21			$	0.07			$	0.07			$	0.02			$	(0.02	)		$	(3.44	)
Items impacting comparability:
Impairment of oil and gas producing properties				6.91																								6.91
Tax impact of impairment of oil and gas producing properties				(2.92		)																						(2.92		)
Third quarter 2015 operating results				0.20				0.21				0.07				0.07				0.02				(0.02		)		0.55
Drivers of operating results
Higher (lower) crude oil prices				(0.06		)																						(0.06		)
Higher (lower) natural gas prices				(0.14		)																						(0.14		)
Higher (lower) natural gas production				0.20																								0.20
Higher (lower) crude oil production				(0.02		)																						(0.02		)
Lower (higher) depreciation / depletion				0.19				(0.01		)		(0.01		)		(0.01		)										0.16
Higher (lower) transportation revenues								0.05																				0.05
Higher (lower) gathering and processing revenues												0.07																0.07
Lower (higher) operating expenses				0.03				(0.02		)		(0.01		)		(0.02		)						0.01				(0.01		)
Lower (higher) property, franchise and other taxes				0.02																								0.02
Higher (lower) margins																(0.01		)		(0.03		)		0.01				(0.03		)
Higher (lower) AFUDC**								(0.01		)																		(0.01		)
High (lower) interest income				—																								—
Lower (higher) interest expense				(0.02		)		(0.01		)		(0.02		)														(0.05		)
Lower (higher) income tax expense / effective tax rate				(0.03		)		(0.01		)		—												(0.01		)		(0.05		)
All other / rounding				(0.01		)		—				0.01				—				—				—				—
Third quarter 2016 operating results				0.36				0.20				0.11				0.03				(0.01		)		(0.01		)		0.68
Items impacting comparability:
Impairment of oil and gas producing properties				(0.97		)																						(0.97		)
Tax impact of impairment of oil and gas producing properties				0.41																								0.41
Joint development agreement professional fees				(0.04		)																						(0.04		)
Tax impact of joint development agreement professional fees				0.02																								0.02
Third quarter 2016 GAAP earnings				$	(0.22	)		$	0.20			$	0.11			$	0.03			$	(0.01	)		$	(0.01	)		$	0.10
* Amounts do not reflect intercompany eliminations
** AFUDC = Allowance for Funds Used During Construction

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS
NINE MONTHS ENDED JUNE 30, 2016
(Unaudited)
				Upstream				Midstream Businesses								Downstream Businesses
				Exploration &				Pipeline &												Energy				Corporate /
(Thousands of Dollars)				Production				Storage				Gathering				Utility				Marketing				All Other				Consolidated*
Nine months ended June 30, 2015 GAAP earnings				$	(349,955	)		$	61,868			$	24,254			$	66,558			$	7,732			$	(2,181	)		$	(191,724	)
Items impacting comparability:
Impairment of oil and gas producing properties				709,060																								709,060
Tax impact of impairment of oil and gas producing properties				(299,738		)																						(299,738		)
Nine months ended June 30, 2015 operating results				59,367				61,868				24,254				66,558				7,732				(2,181		)		217,598
Drivers of operating results
Higher (lower) crude oil prices				(20,727		)																						(20,727		)
Higher (lower) natural gas prices				(27,670		)																						(27,670		)
Higher (lower) natural gas production				3,219																								3,219
Higher (lower) crude oil production				(2,656		)																						(2,656		)
Derivative mark to market adjustments				(1,841		)																						(1,841		)
Lower (higher) lease operating and transportation expenses				7,905																								7,905
Lower (higher) depreciation / depletion				52,621				(2,400		)		(2,198		)		(995		)										47,028
Higher (lower) transportation revenues								6,655																				6,655
Higher (lower) gathering and processing revenues												4,552																4,552
Lower (higher) operating expenses				2,399				(2,194		)		(1,137		)		1,869								1,160				2,097
Lower (higher) property, franchise and other taxes				3,329				(592		)																		2,737
Regulatory true-up adjustments																(3,067		)										(3,067		)
Warmer weather																(12,861		)										(12,861		)
Higher (lower) margins																				(3,755		)		565				(3,190		)
Higher (lower) AFUDC**								509																				509
Higher (lower) interest income				(723		)																						(723		)
Lower (higher) interest expense				(6,065		)		(3,318		)		(4,269		)														(13,652		)
Lower (higher) income tax expense / effective tax rate				(2,786		)		(338		)		690				1,841								1,247				654
All other / rounding				(381		)		(396		)		70				(600		)		140				1,667				500
Nine months ended June 30, 2016 operating results				65,991				59,794				21,962				52,745				4,117				2,458				207,067
Items impacting comparability:
Impairment of oil and gas producing properties				(915,552		)																						(915,552		)
Tax impact of impairment of oil and gas producing properties				384,531																								384,531
Joint development agreement professional fees				(7,855		)																						(7,855		)
Tax impact of joint development agreement professional fees				3,299																								3,299
Nine months ended June 30, 2016 GAAP earnings				$	(469,586	)		$	59,794			$	21,962			$	52,745			$	4,117			$	2,458			$	(328,510	)
* Amounts do not reflect intercompany eliminations
** AFUDC = Allowance for Funds Used During Construction

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS PER SHARE
NINE MONTHS ENDED JUNE 30, 2016
(Unaudited)
				Upstream				Midstream Businesses								Downstream Businesses
				Exploration &				Pipeline &												Energy				Corporate /
				Production				Storage				Gathering				Utility				Marketing				All Other				Consolidated*
Nine months ended June 30, 2015 GAAP earnings				$	(4.11	)		$	0.73			$	0.28			$	0.78			$	0.09			$	(0.02	)		$	(2.25	)
Items impacting comparability:
Impairment of oil and gas producing properties				8.32																								8.32
Tax impact of impairment of oil and gas producing properties				(3.52		)																						(3.52		)
Nine months ended June 30, 2015 operating results				0.69				0.73				0.28				0.78				0.09				(0.02		)		2.55
Drivers of operating results
Higher (lower) crude oil prices				(0.24		)																						(0.24		)
Higher (lower) natural gas prices				(0.32		)																						(0.32		)
Higher (lower) natural gas production				0.04																								0.04
Higher (lower) crude oil production				(0.03		)																						(0.03		)
Derivative mark to market adjustments				(0.02		)																						(0.02		)
Lower (higher) lease operating and transportation expenses				0.09																								0.09
Lower (higher) depreciation / depletion				0.62				(0.03		)		(0.03		)		(0.01		)										0.55
Higher (lower) transportation revenues								0.08																				0.08
Higher (lower) gathering and processing revenues												0.05																0.05
Lower (higher) operating expenses				0.03				(0.03		)		(0.01		)		0.02								0.01				0.02
Lower (higher) property, franchise and other taxes				0.04				(0.01		)																		0.03
Regulatory true-up adjustments																(0.04		)										(0.04		)
Warmer weather																(0.15		)										(0.15		)
Higher (lower) margins																				(0.04		)		0.01				(0.03		)
Higher (lower) AFUDC**								0.01																				0.01
Higher (lower) interest income				(0.01		)																						(0.01		)
Lower (higher) interest expense				(0.07		)		(0.04		)		(0.05		)														(0.16		)
Lower (higher) income tax expense / effective tax rate				(0.03		)		—				0.01				0.02								0.01				0.01
All other / rounding				(0.02		)		(0.01		)		0.01				—				—				0.02				—
Nine months ended June 30, 2016 operating results				0.77				0.70				0.26				0.62				0.05				0.03				2.43
Items impacting comparability:
Impairment of oil and gas producing properties				(10.80		)																						(10.80		)
Tax impact of impairment of oil and gas producing properties				4.54																								4.54
Joint development agreement professional fees				(0.09		)																						(0.09		)
Tax impact of joint development agreement professional fees				0.04																								0.04
Earnings per share impact of diluted shares								0.01																				0.01
Nine months ended June 30, 2016 GAAP earnings				$	(5.54	)		$	0.71			$	0.26			$	0.62			$	0.05			$	0.03			$	(3.87	)
* Amounts do not reflect intercompany eliminations
** AFUDC = Allowance for Funds Used During Construction

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
(Thousands of Dollars, except per share amounts)
				Three Months Ended								Nine Months Ended
				June 30,								June 30,
				(Unaudited)								(Unaudited)
SUMMARY OF OPERATIONS				2016				2015				2016				2015
Operating Revenues:
Utility and Energy Marketing Revenues				$	123,976			$	132,422			$	540,981			$	772,802
Exploration and Production and Other Revenues				158,578				160,256				456,032				532,173
Pipeline and Storage and Gathering Revenues				53,063				47,137				162,930				154,876
				335,617				339,815				1,159,943				1,459,851
Operating Expenses:
Purchased Gas				23,477				27,038				147,168				344,728
Operation and Maintenance:
Utility and Energy Marketing				46,616				44,263				151,474				156,724
Exploration and Production and Other				35,427				46,162				123,965				140,564
Pipeline and Storage and Gathering				23,215				20,272				64,324				59,237
Property, Franchise and Other Taxes				20,261				22,717				61,923				68,561
Depreciation, Depletion and Amortization				58,802				79,865				193,300				265,298
Impairment of Oil and Gas Producing Properties				82,658				588,712				915,552				709,060
				290,456				829,029				1,657,706				1,744,172
Operating Income (Loss)				45,161				(489,214		)		(497,763		)		(284,321		)
Other Income (Expense):
Interest Income				564				327				2,640				1,631
Other Income				1,519				2,066				7,173				4,638
Interest Expense on Long-Term Debt				(28,897		)		(22,213		)		(88,263		)		(66,900		)
Other Interest Expense				(1,321		)		(1,007		)		(3,938		)		(3,382		)
Income (Loss) Before Income Taxes				17,026				(510,041		)		(580,151		)		(348,334		)
Income Tax Expense (Benefit)				8,740				(216,907		)		(251,641		)		(156,610		)
Net Income (Loss) Available for Common Stock				$	8,286			$	(293,134	)		$	(328,510	)		$	(191,724	)
Earnings (Loss) Per Common Share:
Basic				$	0.10			$	(3.47	)		$	(3.87	)		$	(2.27	)
Diluted				$	0.10			$	(3.44	)		$	(3.87	)		$	(2.25	)
Weighted Average Common Shares:
Used in Basic Calculation				84,917,664				84,453,602				84,791,447				84,326,182
Used in Diluted Calculation				85,470,216				85,248,281				84,791,447				85,237,514

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
				June 30,				September 30,
(Thousands of Dollars)				2016				2015
ASSETS
Property, Plant and Equipment				$	9,460,444			$	9,261,323
Less - Accumulated Depreciation, Depletion and Amortization					5,012,690				3,929,428
Net Property, Plant and Equipment					4,447,754				5,331,895
Current Assets:
Cash and Temporary Cash Investments					105,567				113,596
Hedging Collateral Deposits					3,008				11,124
Receivables - Net					140,911				105,004
Unbilled Revenue					14,604				20,746
Gas Stored Underground					15,944				34,252
Materials and Supplies - at average cost					33,039				30,414
Unrecovered Purchased Gas Costs					933				—
Other Current Assets					47,118				60,665
Total Current Assets					361,124				375,801
Other Assets:
Recoverable Future Taxes					172,456				168,214
Unamortized Debt Expense					1,821				2,218
Other Regulatory Assets					269,343				278,227
Deferred Charges					17,968				15,129
Other Investments					111,385				92,990
Goodwill					5,476				5,476
Prepaid Post-Retirement Benefit Costs					27,158				24,459
Fair Value of Derivative Financial Instruments					126,596				270,363
Other					116				167
Total Other Assets					732,319				857,243
Total Assets				$	5,541,197			$	6,564,939
CAPITALIZATION AND LIABILITIES
Capitalization:
Comprehensive Shareholders' Equity
Common Stock, $1 Par Value Authorized - 200,000,000
Shares; Issued and Outstanding - 84,948,691 Shares
and 84,594,383 Shares, Respectively				$	84,949			$	84,594
Paid in Capital					761,673				744,274
Earnings Reinvested in the Business					673,281				1,103,200
Accumulated Other Comprehensive Income					7,739				93,372
Total Comprehensive Shareholders' Equity					1,527,642				2,025,440
Long-Term Debt, Net of Unamortized Discount and Debt Issuance Costs					2,085,686				2,084,009
Total Capitalization					3,613,328				4,109,449
Current and Accrued Liabilities:
Notes Payable to Banks and Commercial Paper					—				—
Current Portion of Long-Term Debt					—				—
Accounts Payable					86,487				180,388
Amounts Payable to Customers					35,441				56,778
Dividends Payable					34,404				33,415
Interest Payable on Long-Term Debt					28,985				36,200
Customer Advances					38				16,236
Customer Security Deposits					16,094				16,490
Other Accruals and Current Liabilities					72,759				96,557
Fair Value of Derivative Financial Instruments					2,133				10,076
Total Current and Accrued Liabilities					276,341				446,140
Deferred Credits:
Deferred Income Taxes					807,955				1,137,962
Taxes Refundable to Customers					91,452				89,448
Unamortized Investment Tax Credit					470				731
Cost of Removal Regulatory Liability					191,217				184,907
Other Regulatory Liabilities					102,018				108,617
Pension and Other Post-Retirement Liabilities					222,756				202,807
Asset Retirement Obligations					114,804				156,805
Other Deferred Credits					120,856				128,073
Total Deferred Credits					1,651,528				2,009,350
Commitments and Contingencies					—				—
Total Capitalization and Liabilities				$	5,541,197			$	6,564,939

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
				Nine Months Ended
				June 30,
(Thousands of Dollars)				2016				2015
Operating Activities:
Net Loss Available for Common Stock				$	(328,510	)		$	(191,724	)
Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by Operating Activities:
Impairment of Oil and Gas Producing Properties				915,552				709,060
Depreciation, Depletion and Amortization				193,300				265,298
Deferred Income Taxes				(269,248		)		(198,116		)
Excess Tax Benefits Associated with Stock-Based Compensation Awards				(1,786		)		(9,064		)
Stock-Based Compensation				3,138				8,383
Other				9,685				7,329
Change in:
Hedging Collateral Deposits				8,116				(8,367		)
Receivables and Unbilled Revenue				(7,756		)		22,175
Gas Stored Underground and Materials and Supplies				15,683				20,259
Unrecovered Purchased Gas Costs				(933		)		—
Other Current Assets				15,334				14,367
Accounts Payable				(53,687		)		11,153
Amounts Payable to Customers				(21,337		)		11,097
Customer Advances				(16,198		)		(18,961		)
Customer Security Deposits				(396		)		2,568
Other Accruals and Current Liabilities				3,375				13,794
Other Assets				3,775				1,124
Other Liabilities				(8,152		)		52,261
Net Cash Provided by Operating Activities				$	459,955			$	712,636
Investing Activities:
Capital Expenditures				$	(481,781	)		$	(718,965	)
Net Proceeds from Sale of Oil and Gas Producing Properties				115,235				—
Other				(11,163		)		(1,065		)
Net Cash Used in Investing Activities				$	(377,709	)		$	(720,030	)
Financing Activities:
Changes in Notes Payable to Banks and Commercial Paper				$	—			$	(85,600	)
Excess Tax Benefits Associated with Stock-Based Compensation Awards				1,786				9,064
Dividends Paid on Common Stock				(100,419		)		(97,330		)
Net Proceeds From Issuance of Long-Term Debt				—				445,662
Net Proceeds From Issuance of Common Stock				8,358				8,743
Net Cash (Used in) Provided by Financing Activities				$	(90,275	)		$	280,539
Net Increase (Decrease) in Cash and Temporary Cash Investments				(8,029		)		273,145
Cash and Temporary Cash Investments at Beginning of Period				113,596				36,886
Cash and Temporary Cash Investments at June 30				$	105,567			$	310,031

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
UPSTREAM BUSINESS
				Three Months Ended												Nine Months Ended
(Thousands of Dollars, except per share amounts)				June 30,												June 30,
EXPLORATION AND PRODUCTION SEGMENT				2016				2015				Variance				2016				2015				Variance
Total Operating Revenues				$	156,835			$	159,404			$	(2,569	)		$	452,583			$	529,590			$	(77,007	)
Operating Expenses:
Operation and Maintenance:
General and Administrative Expense				16,573				17,066				(493		)		55,671				50,793				4,878
Lease Operating and Transportation Expense				38,861				39,390				(529		)		115,451				127,614				(12,163		)
All Other Operation and Maintenance Expense				3,011				3,367				(356		)		10,402				11,115				(713		)
Property, Franchise and Other Taxes				3,639				5,919				(2,280		)		10,241				15,361				(5,120		)
Depreciation, Depletion and Amortization				31,279				56,038				(24,759		)		112,586				193,540				(80,954		)
Impairment of Oil and Gas Producing Properties				82,658				588,712				(506,054		)		915,552				709,060				206,492
				176,021				710,492				(534,471		)		1,219,903				1,107,483				112,420
Operating Loss				(19,186		)		(551,088)				531,902				(767,320		)		(577,893)				(189,427		)
Other Income (Expense):
Interest Income				88				720				(632		)		781				1,893				(1,112		)
Interest Expense				(13,753		)		(11,190		)		(2,563		)		(41,882		)		(32,551		)		(9,331		)
Loss Before Income Taxes				(32,851		)		(561,558		)		528,707				(808,421		)		(608,551		)		(199,870		)
Income Tax Benefit				(13,686		)		(238,445		)		224,759				(338,835		)		(258,596		)		(80,239		)
Net Loss				$	(19,165	)		$	(323,113	)		$	303,948			$	(469,586	)		$	(349,955	)		$	(119,631	)
Net Loss Per Share (Diluted)				$	(0.22	)		$	(3.79	)		$	3.57			$	(5.54	)		$	(4.11	)		$	(1.43	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
MIDSTREAM BUSINESSES
				Three Months Ended												Nine Months Ended
(Thousands of Dollars, except per share amounts)				June 30,												June 30,
PIPELINE AND STORAGE SEGMENT				2016				2015				Variance				2016				2015				Variance
Revenues from External Customers				$	52,998			$	47,012			$	5,986			$	162,627			$	154,515			$	8,112
Intersegment Revenues				22,795				21,833				962				68,272				66,347				1,925
Total Operating Revenues				75,793				68,845				6,948				230,899				220,862				10,037
Operating Expenses:
Purchased Gas				356				(61		)		417				1,059				492				567
Operation and Maintenance				20,492				18,243				2,249				57,145				53,770				3,375
Property, Franchise and Other Taxes				6,430				6,226				204				19,766				18,855				911
Depreciation, Depletion and Amortization				11,023				9,639				1,384				32,144				28,452				3,692
				38,301				34,047				4,254				110,114				101,569				8,545
Operating Income				37,492				34,798				2,694				120,785				119,293				1,492
Other Income (Expense):
Interest Income				237				142				95				527				350				177
Other Income				657				1,000				(343		)		2,651				1,888				763
Interest Expense				(8,528		)		(6,581		)		(1,947		)		(25,017		)		(19,913		)		(5,104		)
Income Before Income Taxes				29,858				29,359				499				98,946				101,618				(2,672		)
Income Tax Expense				12,535				11,645				890				39,152				39,750				(598		)
Net Income				$	17,323			$	17,714			$	(391	)		$	59,794			$	61,868			$	(2,074	)
Net Income Per Share (Diluted)				$	0.20			$	0.21			$	(0.01	)		$	0.71			$	0.73			$	(0.02	)
				Three Months Ended												Nine Months Ended
				June 30,												June 30,
GATHERING SEGMENT				2016				2015				Variance				2016				2015				Variance
Revenues from External Customers				$	65			$	126			$	(61	)		$	303			$	361			$	(58	)
Intersegment Revenues				25,417				16,748				8,669				65,601				58,541				7,060
Total Operating Revenues				25,482				16,874				8,608				65,904				58,902				7,002
Operating Expenses:
Operation and Maintenance				3,018				2,309				709				8,066				6,317				1,749
Property, Franchise and Other Taxes				31				38				(7		)		116				130				(14		)
Depreciation, Depletion and Amortization				3,608				2,166				1,442				11,407				8,025				3,382
				6,657				4,513				2,144				19,589				14,472				5,117
Operating Income				18,825				12,361				6,464				46,315				44,430				1,885
Other Income (Expense):
Interest Income				88				35				53				188				94				94
Other Income				1				1				—				3				3				—
Interest Expense				(1,794		)		216				(2,010		)		(6,781		)		(214		)		(6,567		)
Income Before Income Taxes				17,120				12,613				4,507				39,725				44,313				(4,588		)
Income Tax Expense				7,647				6,387				1,260				17,763				20,059				(2,296		)
Net Income				$	9,473			$	6,226			$	3,247			$	21,962			$	24,254			$	(2,292	)
Net Income Per Share (Diluted)				$	0.11			$	0.07			$	0.04			$	0.26			$	0.28			$	(0.02	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
DOWNSTREAM BUSINESSES
				Three Months Ended												Nine Months Ended
(Thousands of Dollars, except per share amounts)				June 30,												June 30,
UTILITY SEGMENT				2016				2015				Variance				2016				2015				Variance
Revenues from External Customers				$	106,568			$	110,002			$	(3,434	)		$	463,154			$	630,049			$	(166,895	)
Intersegment Revenues				1,729				2,614				(885		)		10,757				13,670				(2,913		)
Total Operating Revenues				108,297				112,616				(4,319		)		473,911				643,719				(169,808		)
Operating Expenses:
Purchased Gas				29,514				31,812				(2,298		)		155,764				295,490				(139,726		)
Operation and Maintenance				45,990				43,487				2,503				148,883				154,126				(5,243		)
Property, Franchise and Other Taxes				9,893				10,258				(365		)		30,980				33,380				(2,400		)
Depreciation, Depletion and Amortization				12,234				11,498				736				35,511				33,981				1,530
				97,631				97,055				576				371,138				516,977				(145,839		)
Operating Income				10,666				15,561				(4,895		)		102,773				126,742				(23,969		)
Other Income (Expense):
Interest Income				115				17				98				321				42				279
Other Income				345				609				(264		)		1,749				1,604				145
Interest Expense				(7,192		)		(6,997		)		(195		)		(21,684		)		(21,145		)		(539		)
Income Before Income Taxes				3,934				9,190				(5,256		)		83,159				107,243				(24,084		)
Income Tax Expense				1,755				3,463				(1,708		)		30,414				40,685				(10,271		)
Net Income				$	2,179			$	5,727			$	(3,548	)		$	52,745			$	66,558			$	(13,813	)
Net Income Per Share (Diluted)				$	0.03			$	0.07			$	(0.04	)		$	0.62			$	0.78			$	(0.16	)
				Three Months Ended												Nine Months Ended
				June 30,												June 30,
ENERGY MARKETING SEGMENT				2016				2015				Variance				2016				2015				Variance
Revenues from External Customers				$	17,408			$	22,420			$	(5,012	)		$	77,827			$	142,753			$	(64,926	)
Intersegment Revenues				231				379				(148		)		855				796				59
Total Operating Revenues				17,639				22,799				(5,160		)		78,682				143,549				(64,867		)
Operating Expenses:
Purchased Gas				17,191				18,954				(1,763		)		67,235				126,325				(59,090		)
Operation and Maintenance				1,376				1,516				(140		)		4,872				4,804				68
Property, Franchise and Other Taxes				2				2				—				6				7				(1		)
Depreciation, Depletion and Amortization				70				50				20				208				151				57
				18,639				20,522				(1,883		)		72,321				131,287				(58,966		)
Operating Income (Loss)				(1,000		)		2,277				(3,277		)		6,361				12,262				(5,901		)
Other Income (Expense):
Interest Income				145				60				85				286				141				145
Other Income				20				28				(8		)		44				95				(51		)
Interest Expense				(11		)		(5		)		(6		)		(37		)		(20		)		(17		)
Income (Loss) Before Income Taxes				(846		)		2,360				(3,206		)		6,654				12,478				(5,824		)
Income Tax Expense (Benefit)				(256		)		827				(1,083		)		2,537				4,746				(2,209		)
Net Income (Loss)				$	(590	)		$	1,533			$	(2,123	)		$	4,117			$	7,732			$	(3,615	)
Net Income (Loss) Per Share (Diluted)				$	(0.01	)		$	0.02			$	(0.03	)		$	0.05			$	0.09			$	(0.04	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
				Three Months Ended												Nine Months Ended
(Thousands of Dollars, except per share amounts)				June 30,												June 30,
ALL OTHER				2016				2015				Variance				2016				2015				Variance
Total Operating Revenues				$	1,508			$	634			$	874			$	2,775			$	1,906			$	869
Operating Expenses:
Operation and Maintenance				256				227				29				495				709				(214		)
Property, Franchise and Other Taxes				144				155				(11		)		449				462				(13		)
Depreciation, Depletion and Amortization				399				305				94				888				645				243
				799				687				112				1,832				1,816				16
Operating Income (Loss)				709				(53		)		762				943				90				853
Other Income (Expense):
Interest Income				32				19				13				83				48				35
Other Income				—				1				(1		)		—				4				(4		)
Income (Loss) Before Income Taxes				741				(33		)		774				1,026				142				884
Income Tax Expense (Benefit)				311				(5		)		316				431				76				355
Net Income (Loss)				$	430			$	(28	)		$	458			$	595			$	66			$	529
Net Income (Loss) Per Share (Diluted)				$	0.01			$	—			$	0.01			$	0.01			$	—			$	0.01
				Three Months Ended												Nine Months Ended
				June 30,												June 30,
CORPORATE				2016				2015				Variance				2016				2015				Variance
Revenues from External Customers				$	235			$	217			$	18			$	674			$	677			$	(3	)
Intersegment Revenues				967				953				14				2,900				2,792				108
Total Operating Revenues				1,202				1,170				32				3,574				3,469				105
Operating Expenses:
Operation and Maintenance				3,236				3,952				(716		)		10,273				11,844				(1,571		)
Property, Franchise and Other Taxes				122				119				3				365				366				(1		)
Depreciation, Depletion and Amortization				189				169				20				556				504				52
				3,547				4,240				(693		)		11,194				12,714				(1,520		)
Operating Loss				(2,345		)		(3,070		)		725				(7,620		)		(9,245		)		1,625
Other Income (Expense):
Interest Income				30,684				24,990				5,694				92,767				74,479				18,288
Other Income				496				427				69				2,726				1,044				1,682
Interest Expense on Long-Term Debt				(28,897		)		(22,213		)		(6,684		)		(88,263		)		(66,900		)		(21,363		)
Other Interest Expense				(868		)		(2,106		)		1,238				(850		)		(4,955		)		4,105
Loss Before Income Taxes				(930		)		(1,972		)		1,042				(1,240		)		(5,577		)		4,337
Income Tax Expense (Benefit)				434				(779		)		1,213				(3,103		)		(3,330		)		227
Net Income (Loss)				$	(1,364	)		$	(1,193	)		$	(171	)		$	1,863			$	(2,247	)		$	4,110
Net Income (Loss) Per Share (Diluted)				$	(0.02	)		$	(0.02	)		$	—			$	0.02			$	(0.02	)		$	0.04
				Three Months Ended												Nine Months Ended
				June 30,												June 30,
INTERSEGMENT ELIMINATIONS				2016				2015				Variance				2016				2015				Variance
Intersegment Revenues				$	(51,139	)		$	(42,527	)		$	(8,612	)		$	(148,385	)		$	(142,146	)		$	(6,239	)
Operating Expenses:
Purchased Gas				(23,584		)		(23,667		)		83				(76,890		)		(77,579		)		689
Operation and Maintenance				(27,555		)		(18,860		)		(8,695		)		(71,495		)		(64,567		)		(6,928		)
				(51,139		)		(42,527		)		(8,612		)		(148,385		)		(142,146		)		(6,239		)
Operating Income				—				—				—				—				—				—
Other Income (Expense):
Interest Income				(30,825		)		(25,656		)		(5,169		)		(92,313		)		(75,416		)		(16,897		)
Interest Expense				30,825				25,656				5,169				92,313				75,416				16,897
Net Income				$	—			$	—			$	—			$	—			$	—			$	—
Net Income Per Share (Diluted)				$	—			$	—			$	—			$	—			$	—			$	—

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT INFORMATION (Continued)
(Thousands of Dollars)
				Three Months Ended																Nine Months Ended
				June 30,																June 30,
				(Unaudited)																(Unaudited)
																Increase																Increase
				2016						2015						(Decrease)				2016						2015						(Decrease)
Capital Expenditures:
Exploration and Production				$	47,269			(1)		$	136,374			(3)		$	(89,105	)		$	214,923			(1)(2)		$	437,450			(3)(4)		$	(222,527	)
Pipeline and Storage				18,325				(1)		56,993				(3)		(38,668		)		76,020				(1)(2)		114,664				(3)(4)		(38,644		)
Gathering				9,192				(1)		36,665				(3)		(27,473		)		43,715				(1)(2)		87,214				(3)(4)		(43,499		)
Utility				26,280				(1)		23,596				(3)		2,684				72,288				(1)(2)		65,337				(3)(4)		6,951
Energy Marketing				19						32						(13		)		28						124						(96		)
Total Reportable Segments				101,085						253,660						(152,575		)		406,974						704,789						(297,815		)
All Other				—						—						—				37						—						37
Corporate				36						67						(31		)		191						134						57
Total Capital Expenditures				$	101,121					$	253,727					$	(152,606	)		$	407,202					$	704,923					$	(297,721	)

				(1)		Capital expenditures for the quarter and nine months ended June 30, 2016, include accounts payable and accrued liabilities related to capital expenditures of $26.7 million, $7.6 million, $2.8 million, and $7.3 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts have been excluded from the Consolidated Statement of Cash Flows at June 30, 2016, since they represent non-cash investing activities at that date.
				(2)		Capital expenditures for the nine months ended June 30, 2016, exclude capital expenditures of $46.2 million, $33.9 million, $22.4 million and $16.5 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2015 and paid during the nine months ended June 30, 2016. These amounts were excluded from the Consolidated Statement of Cash Flows at September 30, 2015, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at June 30, 2016.
				(3)		Capital expenditures for the quarter and nine months ended June 30, 2015, include accounts payable and accrued liabilities related to capital expenditures of $64.3 million, $28.0 million, $21.4 million, and $8.9 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts have been excluded from the Consolidated Statement of Cash Flows at June 30, 2015, since they represent non-cash investing activities at that date.
				(4)		Capital expenditures for the nine months ended June 30, 2015, exclude capital expenditures of $80.1 million, $28.1 million, $20.1 million and $8.3 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2014 and paid during the nine months ended June 30, 2015. These amounts were excluded from the Consolidated Statements of Cash Flows at September 30, 2014, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at June 30, 2015.

DEGREE DAYS
										Percent Colder
										(Warmer) Than:
Three Months Ended June 30				Normal		2016		2015		Normal (1)		Last Year (1)
Buffalo, NY				912		927		778		1.6		19.2
Erie, PA				871		936		729		7.5		28.4
Nine Months Ended June 30
Buffalo, NY				6,491		5,567		6,898		(14.2)		(19.3)
Erie, PA				6,057		5,159		6,535		(14.8)		(21.1)

(1)		Percents compare actual 2016 degree days to normal degree days and actual 2016 degree days to actual 2015 degree days.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
EXPLORATION AND PRODUCTION INFORMATION
				Three Months Ended												Nine Months Ended
				June 30,												June 30,
												Increase												Increase
				2016				2015				(Decrease)				2016				2015				(Decrease)
Gas Production/Prices:
Production (MMcf)
Appalachia				38,846				30,830				8,016				105,747				104,221				1,526
West Coast				763				807				(44		)		2,310				2,375				(65		)
Total Production				39,609				31,637				7,972				108,057				106,596				1,461
Average Prices (Per Mcf)
Appalachia				$	1.73			$	2.11			$	(0.38	)		$	1.84			$	2.56			$	(0.72	)
West Coast				2.84				3.52				(0.68		)		3.13				4.30				(1.17		)
Weighted Average				1.75				2.15				(0.40		)		1.87				2.60				(0.73		)
Weighted Average after Hedging				2.86				3.32				(0.46		)		3.00				3.39				(0.39		)
Oil Production/Prices:
Production (Thousands of Barrels)
Appalachia				6				7				(1		)		16				22				(6		)
West Coast				722				752				(30		)		2,183				2,234				(51		)
Total Production				728				759				(31		)		2,199				2,256				(57		)
Average Prices (Per Barrel)
Appalachia				$	58.28			$	56.54			$	1.74			$	44.05			$	62.29			$	(18.24	)
West Coast				38.89				52.07				(13.18		)		34.02				54.48				(20.46		)
Weighted Average				39.04				52.12				(13.08		)		34.10				54.56				(20.46		)
Weighted Average after Hedging				58.79				69.65				(10.86		)		57.22				71.72				(14.50		)
Total Production (Mmcfe)				43,977				36,191				7,786				121,251				120,132				1,119
Selected Operating Performance Statistics:
General & Administrative Expense per Mcfe (1)				$	0.38			$	0.47			$	(0.09	)		$	0.46			$	0.42			$	0.04
Lease Operating and Transportation Expense per Mcfe (1)(2)				$	0.88			$	1.09			$	(0.21	)		$	0.95			$	1.06			$	(0.11	)
Depreciation, Depletion & Amortization per Mcfe (1)				$	0.71			$	1.55			$	(0.84	)		$	0.93			$	1.61			$	(0.68	)

				(1)		Refer to page 16 for the General and Administrative Expense, Lease Operating Expense and Depreciation, Depletion, and Amortization Expense for the Exploration and Production segment.
				(2)		Amounts include transportation expense of $0.53 and $0.50 per Mcfe for the three months ended June 30, 2016 and June 30, 2015, respectively. Amounts include transportation expense of $0.52 and $0.52 per Mcfe for the nine months ended June 30, 2016 and June 30, 2015, respectively.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
EXPLORATION AND PRODUCTION INFORMATION
Hedging Summary for the Remaining Three Months of Fiscal 2016
				Volume					Average Hedge Price
Oil Swaps
Brent				51,000		BBL		$	94.06 / BBL
NYMEX				432,000		BBL		$	73.82 / BBL
Total				483,000		BBL		$	75.96 / BBL
Gas Swaps
NYMEX				9,930,000		MMBTU		$	3.96 / MMBTU
Dominion Transmission Appalachian (DOM)				4,260,000		MMBTU		$	3.77 / MMBTU
Michigan Consolidated City Gate (Mich Con)				3,000,000		MMBTU		$	4.10 / MMBTU
Dawn Ontario (DAWN)				4,080,000		MMBTU		$	3.82 / MMBTU
Fixed Price Physical Sales				14,224,001		MMBTU		$	2.40 / MMBTU
Total				35,494,001		MMBTU		$	3.31 / MMBTU
Hedging Summary for Fiscal 2017
				Volume					Average Hedge Price
Oil Swaps
Brent				123,000		BBL		$	92.27 / BBL
NYMEX				885,000		BBL		$	64.17 / BBL
Total				1,008,000		BBL		$	67.60 / BBL
Gas Swaps
NYMEX				35,710,000		MMBTU		$	4.29 / MMBTU
DOM				6,540,000		MMBTU		$	3.86 / MMBTU
Mich Con				3,000,000		MMBTU		$	4.10 / MMBTU
DAWN				19,100,000		MMBTU		$	3.70 / MMBTU
Fixed Price Physical Sales				59,926,010		MMBTU		$	2.43 / MMBTU
Total				124,276,010		MMBTU		$	3.27 / MMBTU
Hedging Summary for Fiscal 2018
				Volume					Average Hedge Price
Oil Swaps
Brent				24,000		BBL		$	91.00 / BBL
NYMEX				207,000		BBL		$	62.27 / BBL
Total				231,000		BBL		$	65.25 / BBL
Gas Swaps
NYMEX				26,070,000		MMBTU		$	3.49 / MMBTU
DAWN				8,400,000		MMBTU		$	3.08 / MMBTU
Fixed Price Physical Sales				14,197,001		MMBTU		$	2.56 / MMBTU
Total				48,667,001		MMBTU		$	3.15 / MMBTU
Hedging Summary for Fiscal 2019
				Volume					Average Hedge Price
Gas Swaps
NYMEX				25,560,000		MMBTU		$	3.18 / MMBTU
DAWN				7,200,000		MMBTU		$	3.00 / MMBTU
Fixed Price Physical Sales				5,955,000		MMBTU		$	3.18 / MMBTU
Total				38,715,000		MMBTU		$	3.14 / MMBTU
Hedging Summary for Fiscal 2020
				Volume					Average Hedge Price
Gas Swaps
NYMEX				16,880,000		MMBTU		$	3.07 / MMBTU
DAWN				7,200,000		MMBTU		$	3.00 / MMBTU
Fixed Price Physical Sales				3,005,000		MMBTU		$	3.25 / MMBTU
Total				27,085,000		MMBTU		$	3.07 / MMBTU
Hedging Summary for Fiscal 2021
				Volume					Average Hedge Price
Gas Swaps
NYMEX				4,840,000		MMBTU		$	3.01 / MMBTU
DAWN				600,000		MMBTU		$	3.00 / MMBTU
Total				5,440,000		MMBTU		$	3.01 / MMBTU

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
EXPLORATION AND PRODUCTION INFORMATION
Gross Wells in Process of Drilling
Nine Months Ended June 30, 2016
										Total
				East				West		Company
Wells in Process - Beginning of Period
Exploratory				4.000		(1)		0.000		4.000
Developmental				96.000		(1)		0.000		96.000
Wells Commenced
Exploratory				1.000				0.000		1.000
Developmental				43.000				25.000		68.000
Wells Completed
Exploratory				1.000				0.000		1.000
Developmental				42.000				25.000		67.000
Wells Plugged & Abandoned
Exploratory				0.000				0.000		0.000
Developmental				1.000				0.000		1.000
Wells in Process - End of Period
Exploratory				4.000				0.000		4.000
Developmental				96.000				0.000		96.000

(1)		Gross exploratory wells were increased by 4 and developmental wells were decreased by 4.

Net Wells in Process of Drilling
Nine Months Ended June 30, 2016
										Total
				East				West		Company
Wells in Process - Beginning of Period
Exploratory				4.000		(1)		0.000		4.000
Developmental				81.500		(1)		0.000		81.500
Wells Commenced
Exploratory				1.000				0.000		1.000
Developmental				43.000				25.000		68.000
Wells Completed
Exploratory				1.000				0.000		1.000
Developmental				28.400				25.000		53.400
Wells Plugged & Abandoned
Exploratory				0.000				0.000		0.000
Developmental				1.000				0.000		1.000
Well Interest Sold (2)
Exploratory				0.000				0.000		0.000
Developmental				13.600				0.000		13.600
Wells in Process - End of Period
Exploratory				4.000				0.000		4.000
Developmental				81.500		(2)		0.000		81.500

(1)		Net exploratory wells were increased by 4 and developmental wells were decreased by 4.
(2)		Seneca's East Division sold an 80% working interest in 17 of the existing developmental wells in process to IOG during the nine months ended June 30, 2016.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
Pipeline & Storage Throughput - (millions of cubic feet - MMcf)
				Three Months Ended									Nine Months Ended
				June 30,									June 30,
										Increase									Increase
				2016			2015			(Decrease)			2016			2015			(Decrease)
Firm Transportation - Affiliated				19,836			15,441			4,395			87,169			95,304			(8,135	)
Firm Transportation - Non-Affiliated				153,543			140,378			13,165			470,991			477,149			(6,158	)
Interruptible Transportation				6,354			3,105			3,249			18,469			8,833			9,636
				179,733			158,924			20,809			576,629			581,286			(4,657	)
Gathering Volume - (MMcf)
				Three Months Ended									Nine Months Ended
				June 30,									June 30,
										Increase									Increase
				2016			2015			(Decrease)			2016			2015			(Decrease)
Gathered Volume - Affiliated				46,360			30,648			15,712			119,355			106,695			12,660
Utility Throughput - (MMcf)
				Three Months Ended									Nine Months Ended
				June 30,									June 30,
										Increase									Increase
				2016			2015			(Decrease)			2016			2015			(Decrease)
Retail Sales:
Residential Sales				9,196			8,287			909			46,814			56,315			(9,501	)
Commercial Sales				1,251			1,142			109			6,765			8,239			(1,474	)
Industrial Sales				401			34			367			635			316			319
				10,848			9,463			1,385			54,214			64,870			(10,656	)
Off-System Sales				—			—			—			1,243			3,787			(2,544	)
Transportation				13,864			13,993			(129	)		58,778			68,509			(9,731	)
				24,712			23,456			1,256			114,235			137,166			(22,931	)
Energy Marketing Volume
				Three Months Ended									Nine Months Ended
				June 30,									June 30,
										Increase									Increase
				2016			2015			(Decrease)			2016			2015			(Decrease)
Natural Gas (MMcf)				8,537			8,289			248			33,800			40,215			(6,415	)

NATIONAL FUEL GAS COMPANY

AND SUBSIDIARIES

NON-GAAP FINANCIAL MEASURES

In addition to financial measures calculated in accordance with generally accepted accounting principles (GAAP), this press release contains information regarding Operating Results and Adjusted EBITDA, which are non-GAAP financial measures. The Company believes that these non-GAAP financial measures are useful to investors because they provide an alternative method for assessing the Company's ongoing operating results and for comparing the Company’s financial performance to other companies. The Company's management uses these non-GAAP financial measures for the same purpose, and for planning and forecasting purposes. The presentation of non-GAAP financial measures is not meant to be a substitute for financial measures in accordance with GAAP.

Management defines Operating Results as reported GAAP earnings before items impacting comparability. The table at page 1 of this report reconciles National Fuel's reported GAAP earnings to Operating Results for the three and nine months ended June 30, 2016 and 2015.

Management defines Adjusted EBITDA as reported GAAP earnings before the following items: interest expense, depreciation, depletion and amortization, interest and other income, impairments, items impacting comparability and income taxes.

The following tables reconcile National Fuel's reported GAAP earnings to Adjusted EBITDA for the three and nine months ended June 30, 2016 and 2015:

				Three Months Ended								Nine Months Ended
				June 30,								June 30,
				2016				2015				2016				2015
(in thousands)
Reported GAAP Earnings				$	8,286			$	(293,134	)		$	(328,510	)		$	(191,724	)
Depreciation, Depletion and Amortization				58,802				79,865				193,300				265,298
Interest and Other Income				(2,083		)		(2,393		)		(9,813		)		(6,269		)
Interest Expense				30,218				23,220				92,201				70,282
Income Taxes				8,740				(216,907		)		(251,641		)		(156,610		)
Impairment of Oil and Gas Producing Properties				82,658				588,712				915,552				709,060
Joint Development Agreement Professional Fees				3,173				—				7,855				—
Adjusted EBITDA				$	189,794			$	179,363			$	618,944			$	690,037
Adjusted EBITDA by Segment
Pipeline and Storage Adjusted EBITDA				$	48,515			$	44,437			$	152,929			$	147,745
Gathering Adjusted EBITDA				22,433				14,527				57,722				52,455
Total Midstream Businesses Adjusted EBITDA				70,948				58,964				210,651				200,200
Exploration and Production Adjusted EBITDA				97,924				93,662				268,673				324,707
Utility Adjusted EBITDA				22,900				27,059				138,284				160,723
Energy Marketing Adjusted EBITDA				(930		)		2,327				6,569				12,413
Corporate and All Other Adjusted EBITDA				(1,048		)		(2,649		)		(5,233		)		(8,006		)
Total Adjusted EBITDA				$	189,794			$	179,363			$	618,944			$	690,037

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES
SEGMENT ADJUSTED EBITDA
				Three Months Ended								Nine Months Ended
				June 30,								June 30,
(in thousands)				2016				2015				2016				2015
Exploration and Production Segment
Reported GAAP Earnings				$	(19,165	)		$	(323,113	)		$	(469,586	)		$	(349,955	)
Depreciation, Depletion and Amortization				31,279				56,038				112,586				193,540
Interest and Other Income				(88		)		(720		)		(781		)		(1,893		)
Interest Expense				13,753				11,190				41,882				32,551
Income Taxes				(13,686		)		(238,445		)		(338,835		)		(258,596		)
Impairment of Oil and Gas Producing Properties				82,658				588,712				915,552				709,060
Joint Development Agreement Professional Fees				3,173				—				7,855				—
Adjusted EBITDA				$	97,924			$	93,662			$	268,673			$	324,707
Pipeline and Storage Segment
Reported GAAP Earnings				$	17,323			$	17,714			$	59,794			$	61,868
Depreciation, Depletion and Amortization				11,023				9,639				32,144				28,452
Interest and Other Income				(894		)		(1,142		)		(3,178		)		(2,238		)
Interest Expense				8,528				6,581				25,017				19,913
Income Taxes				12,535				11,645				39,152				39,750
Adjusted EBITDA				$	48,515			$	44,437			$	152,929			$	147,745
Gathering Segment
Reported GAAP Earnings				$	9,473			$	6,226			$	21,962			$	24,254
Depreciation, Depletion and Amortization				3,608				2,166				11,407				8,025
Interest and Other Income				(89		)		(36		)		(191		)		(97		)
Interest Expense				1,794				(216		)		6,781				214
Income Taxes				7,647				6,387				17,763				20,059
Adjusted EBITDA				$	22,433			$	14,527			$	57,722			$	52,455
Utility Segment
Reported GAAP Earnings				$	2,179			$	5,727			$	52,745			$	66,558
Depreciation, Depletion and Amortization				12,234				11,498				35,511				33,981
Interest and Other Income				(460		)		(626		)		(2,070		)		(1,646		)
Interest Expense				7,192				6,997				21,684				21,145
Income Taxes				1,755				3,463				30,414				40,685
Adjusted EBITDA				$	22,900			$	27,059			$	138,284			$	160,723
Energy Marketing Segment
Reported GAAP Earnings				$	(590	)		$	1,533			$	4,117			$	7,732
Depreciation, Depletion and Amortization				70				50				208				151
Interest and Other Income				(165		)		(88		)		(330		)		(236		)
Interest Expense				11				5				37				20
Income Taxes				(256		)		827				2,537				4,746
Adjusted EBITDA				$	(930	)		$	2,327			$	6,569			$	12,413
Corporate and All Other
Reported GAAP Earnings				$	(934	)		$	(1,221	)		$	2,458			$	(2,181	)
Depreciation, Depletion and Amortization				588				474				1,444				1,149
Interest and Other Income				(387		)		219				(3,263		)		(159		)
Interest Expense				(1,060		)		(1,337		)		(3,200		)		(3,561		)
Income Taxes				745				(784		)		(2,672		)		(3,254		)
Adjusted EBITDA				$	(1,048	)		$	(2,649	)		$	(5,233	)		$	(8,006	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
Quarter Ended June 30 (unaudited)				2016				2015
Operating Revenues				$	335,617,000			$	339,815,000
Net Income (Loss) Available for Common Stock				$	8,286,000			$	(293,134,000	)
Earnings (Loss) Per Common Share:
Basic				$	0.10			$	(3.47	)
Diluted				$	0.10			$	(3.44	)
Weighted Average Common Shares:
Used in Basic Calculation				84,917,664				84,453,602
Used in Diluted Calculation				85,470,216				85,248,281
Nine Months Ended June 30 (unaudited)
Operating Revenues				$	1,159,943,000			$	1,459,851,000
Net Income (Loss) Available for Common Stock				$	(328,510,000	)		$	(191,724,000	)
Earnings (Loss) Per Common Share:
Basic				$	(3.87	)		$	(2.27	)
Diluted				$	(3.87	)		$	(2.25	)
Weighted Average Common Shares:
Used in Basic Calculation				84,791,447				84,326,182
Used in Diluted Calculation				84,791,447				85,237,514
Twelve Months Ended June 30 (unaudited)
Operating Revenues				$	1,461,005,000			$	1,826,474,000
Net Income (Loss) Available for Common Stock				$	(516,213,000	)		$	(134,294,000	)
Earnings (Loss) Per Common Share:
Basic				$	(6.09	)		$	(1.59	)
Diluted				$	(6.09	)		$	(1.58	)
Weighted Average Common Shares:
Used in Basic Calculation				84,735,887				84,275,859
Used in Diluted Calculation				84,735,887				85,195,855

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Source: National Fuel Gas Company