XML 45 R34.htm IDEA: XBRL DOCUMENT

Business Segments and Related Information (Tables)

3 Months Ended

Mar. 31, 2023

Measurement of Total Segment Gross Operating Margin

The following table presents our measurement of total segment gross operating margin for the periods presented. The GAAP financial measure most directly comparable to total segment gross operating margin is operating income.

	For the Three Months Ended March 31,
	2023			2022
Operating income	$	1,734		$	1,666
Adjustments to reconcile operating income to total segment gross operating margin (addition or subtraction indicated by sign):
Depreciation, amortization and accretion expense in operating costs and expenses (1)		533			514
Asset impairment charges in operating costs and expenses		13			14
Net losses (gains) attributable to asset sales and related matters in operating costs and expenses		(2	)		2
General and administrative costs		57			62
Non-refundable payments received from shippers attributable to make-up rights (2)		27			34
Subsequent recognition of revenues attributable to make-up rights (3)		(20	)		(28	)
Total segment gross operating margin	$	2,342		$	2,264

(1)	Excludes amortization of major maintenance costs for reaction-based plants, which are a component of gross operating margin.
(2)	Since make-up rights entail a future performance obligation by the pipeline to the shipper, these receipts are recorded as deferred revenue for GAAP purposes; however, these receipts are included in gross operating margin in the period of receipt since they are nonrefundable to the shipper.
(3)	As deferred revenues attributable to make-up rights are subsequently recognized as revenue under GAAP, gross operating margin must be adjusted to remove such amounts to prevent duplication since the associated non-refundable payments were previously included in gross operating margin.

Information by Business Segments

Gross operating margin by segment is calculated by subtracting segment operating costs and expenses from segment revenues, with both segment totals reflecting the adjustments noted in the preceding table, as applicable, and before the elimination of intercompany transactions. The following table presents gross operating margin by segment for the periods indicated:

	For the Three Months Ended March 31,
	2023		2022
Gross operating margin by segment:
NGL Pipelines & Services	$	1,212	$	1,225
Crude Oil Pipelines & Services		397		415
Natural Gas Pipelines & Services		314		220
Petrochemical & Refined Products Services		419		404
Total segment gross operating margin	$	2,342	$	2,264

Summarized Segment Financial Information

Information by business segment, together with reconciliations to amounts presented on, or included in, our Unaudited Condensed Statements of Consolidated Operations, is presented in the following table:

	Reportable Business Segments
	NGL Pipelines & Services		Crude Oil Pipelines & Services		Natural Gas Pipelines & Services		Petrochemical & Refined Products Services		Adjustments and Eliminations			Consolidated Total
Revenues from third parties:
Three months ended March 31, 2023	$	4,926	$	4,175	$	1,211	$	2,119	$	–		$	12,431
Three months ended March 31, 2022		5,752		4,063		1,144		2,033		–			12,992
Revenues from related parties:
Three months ended March 31, 2023		3		6		4		–		–			13
Three months ended March 31, 2022		2		9		5		–		–			16
Intersegment and intrasegment revenues:
Three months ended March 31, 2023		12,696		12,584		136		4,706		(30,122	)		–
Three months ended March 31, 2022		18,315		9,914		203		3,222		(31,654	)		–
Total revenues:
Three months ended March 31, 2023		17,625		16,765		1,351		6,825		(30,122	)		12,444
Three months ended March 31, 2022		24,069		13,986		1,352		5,255		(31,654	)		13,008
Equity in income of unconsolidated affiliates:
Three months ended March 31, 2023		39		64		1		–		–			104
Three months ended March 31, 2022		34		81		2		–		–			117

Information by business segment, together with reconciliations to our Unaudited Condensed Consolidated Balance Sheet totals, is presented in the following table:

	Reportable Business Segments
	NGL Pipelines & Services		Crude Oil Pipelines & Services		Natural Gas Pipelines & Services		Petrochemical & Refined Products Services		Adjustments and Eliminations		Consolidated Total
Property, plant and equipment, net: (see Note 4)
At March 31, 2023	$	17,170	$	6,722	$	9,662	$	7,731	$	3,312	$	44,597
At December 31, 2022		17,283		6,760		9,721		7,770		2,867		44,401
Investments in unconsolidated affiliates: (see Note 5)
At March 31, 2023		634		1,669		32		3		–		2,338
At December 31, 2022		640		1,677		32		3		–		2,352
Intangible assets, net: (see Note 6)
At March 31, 2023		856		1,753		1,194		116		–		3,919
At December 31, 2022		865		1,776		1,206		118		–		3,965
Goodwill: (see Note 6)
At March 31, 2023		2,811		1,841		–		956		–		5,608
At December 31, 2022		2,811		1,841		–		956		–		5,608
Segment assets:
At March 31, 2023		21,471		11,985		10,888		8,806		3,312		56,462
At December 31, 2022		21,599		12,054		10,959		8,847		2,867		56,326

Consolidated Revenues and Expenses

The following table presents additional information regarding our consolidated revenues and costs and expenses for the periods indicated:

	For the Three Months Ended March 31,
	2023			2022
Consolidated revenues:
NGL Pipelines & Services	$	4,929		$	5,754
Crude Oil Pipelines & Services		4,181			4,072
Natural Gas Pipelines & Services		1,215			1,149
Petrochemical & Refined Products Services		2,119			2,033
Total consolidated revenues	$	12,444		$	13,008

Consolidated costs and expenses
Operating costs and expenses:
Cost of sales	$	9,331		$	10,098
Other operating costs and expenses (1)		868			757
Depreciation, amortization and accretion		547			526
Asset impairment charges		13			14
Net losses (gains) attributable to asset sales and related matters		(2	)		2
General and administrative costs		57			62
Total consolidated costs and expenses	$	10,814		$	11,459

(1)	Represents the cost of operating our plants, pipelines and other fixed assets excluding depreciation, amortization and accretion charges; asset impairment charges; and net losses (or gains) attributable to asset sales and related matters.