9. SEGMENT INFORMATION

As of September 30, 2016, the Partnership had two operating segments gathering and processing and logistics. These segments were identified based on the differing products and services, regulatory environment, and expertise required for their respective operations. The Partnership's CODM is the Chief Executive Officer of our General Partner.

As a result of the terms of the AES Agreement all of the contracts with our logistics segment were terminated. During the second quarter of 2016, we evaluated our logistics segment. This evaluation resulted in focusing our operations around our Wildcat crude oil transloading facility located in Carbon County, Utah. We moved our transloading equipment from our Wyoming and New Mexico facilities to our Wildcat facility to concentrate our efforts to acquire new business in this region. During the third quarter of 2016, the Partnership added one customer for its logistics segment. Based on relevant accounting guidance, we have determined that the logistics business remains a viable segment for the third quarter of 2016. We will continue to evaluate our logistics segment on an ongoing basis to determine its viability as an operating segment.

The financial information for our operating segments has been presented for the three and nine months ended September 30, 2016 and 2015 and as of September 30, 2016 and December 31, 2015.

The following table presents financial information by segment for the three months ended September 30, 2016:


	Gathering &				Corporate and		Azure Midstream
In thousands	Processing		Logistics		Consolidation		Partners, LP
Total operating revenues	$	29,433	$	70	$	—	$	29,503
Cost of natural gas and NGL's		4,312		—		—		4,312
Gross margin		25,121		70		—		25,191
Operation and maintenance		2,780		478		—		3,258
General and administrative		—		—		4,916		4,916
Depreciation and amortization expense		3,336		30		22		3,388
Operating income (loss)		19,005		(438)		(4,938)		13,629
Interest expense		—		—		3,979		3,979
Gain on sale of assets		(4,752)		—		—		(4,752)
Other income, net		(92)		—		(52)		(144)
Net income (loss) before income tax expense		23,849		(438)		(8,865)		14,546
Income tax expense		3		—		179		182
Net income (loss)	$	23,846	$	(438)	$	(9,044)	$	14,364

The following table presents financial information by segment for the nine months ended September 30, 2016:


	Gathering &				Corporate and		Azure Midstream
In thousands	Processing		Logistics		Consolidation		Partners, LP
Total operating revenues	$	52,952	$	70	$	—	$	53,022
Cost of natural gas and NGL's		11,612		—		—		11,612
Gross margin		41,340		70		—		41,410
Operation and maintenance		9,878		1,808		—		11,686
General and administrative		—		—		11,676		11,676
Depreciation and amortization expense		11,196		88		1,692		12,976
Impairments		78,264		29,213		—		107,477
Operating loss		(57,998)		(31,039)		(13,368)		(102,405)
Interest expense		—		—		10,133		10,133
Gain on sale of assets		(4,752)		—		—		(4,752)
Other (income) expense, net		(70)		—		7		(63)
Net loss before income tax expense		(53,176)		(31,039)		(23,508)		(107,723)
Income tax expense (benefit)		33		—		(158)		(125)
Net loss	$	(53,209)	$	(31,039)	$	(23,350)	$	(107,598)

The following table presents financial information by segment for the three months ended September 30, 2015:


	Gathering &				Corporate and		Azure Midstream
In thousands	Processing		Logistics		Consolidation		Partners, LP
Total operating revenues	$	16,996	$	4,202	$	—	$	21,198
Cost of natural gas and NGL's		5,130		—		—		5,130
Gross margin		11,866		4,202		—		16,068
Operation and maintenance		4,272		760		—		5,032
General and administrative		—		—		3,561		3,561
Depreciation and amortization expense		4,251		1,650		13		5,914
Impairments		122,982		92,776		—		215,758
Operating loss		(119,639)		(90,984)		(3,574)		(214,197)
Interest expense		—		—		1,973		1,973
Other (income) expense, net		10		—		(15)		(5)
Net loss before income tax expense		(119,649)		(90,984)		(5,532)		(216,165)
Income tax expense		—		—		269		269
Net loss	$	(119,649)	$	(90,984)	$	(5,801)	$	(216,434)

The following table presents financial information by segment for the nine months ended September 30, 2015:


	Gathering &				Corporate and		Azure Midstream
In thousands	Processing		Logistics		Consolidation		Partners, LP
Total operating revenues	$	51,465	$	9,785	$	—	$	61,250
Cost of natural gas and NGL's		14,927		—		—		14,927
Gross margin		36,538		9,785		—		46,323
Operation and maintenance		13,709		1,758		—		15,467
General and administrative		—		—		10,809		10,809
Depreciation and amortization expense		11,102		3,864		26		14,992
Impairments		122,982		92,776		—		215,758
Operating loss		(111,255)		(88,613)		(10,835)		(210,703)
Interest expense		—		—		8,671		8,671
Other (income) expense, net		1,690		—		(15)		1,675
Net loss before income tax expense		(112,945)		(88,613)		(19,491)		(221,049)
Income tax expense		—		—		768		768
Net loss	$	(112,945)	$	(88,613)	$	(20,259)	$	(221,817)

The following table presents financial information by segment as of September 30, 2016:


	Gathering &				Corporate and		Azure Midstream
In thousands	Processing		Logistics		Consolidation		Partners, LP
Assets:
Current assets	$	4,942	$	73	$	12,001	$	17,016
Property, plant and equipment, net		356,960		912	$	361		358,233
Other assets		—		—		282		282
Total Assets	$	361,902	$	985	$	12,644	$	375,531
Liabilities and Partners’ Capital
Total current liabilities	$	5,435	$	55	$	172,945	$	178,435
Total long-term liabilities		—		—		946		946
Total Liabilities		5,435		55		173,891		179,381
Partners’ Capital		356,467		930		(161,247)		196,150
Total Liabilities and Partners’ Capital	$	361,902	$	985	$	12,644	$	375,531

The following table presents financial information by segment as of December 31, 2015:


	Gathering &				Corporate and		Azure Midstream
In thousands	Processing		Logistics		Consolidation		Partners, LP
Assets:
Current assets	$	6,489	$	1,565	$	10,831	$	18,885
Property, plant and equipment, net		483,763		993	$	399		485,155
Intangible assets, net		—		59,583		—		59,583
Other assets (1)		—		—		341		341
Total Assets	$	490,252	$	62,141	$	11,571	$	563,964
Liabilities and Partners’ Capital
Total current liabilities	$	3,691	$	54	$	2,569	$	6,314
Total long-term liabilities (1)		11,625		—		229,578		241,203
Total Liabilities		15,316		54		232,147		247,517
Partners’ Capital		474,936		62,087		(220,576)		316,447
Total Liabilities and Partners’ Capital	$	490,252	$	62,141	$	11,571	$	563,964

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(1) Includes reclassification of deferred loan costs of $3.3 million from other assets to total long-term liabilities.