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Segment Information | 6 Months Ended
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Jun. 30, 2022
Segment Reporting [Abstract] |
Segment Information | SEGMENT INFORMATION We have two reportable segments: Refining & Marketing and Midstream. Each of these segments is organized and managed based upon the nature of the products and services it offers. •Refining & Marketing – refines crude oil and other feedstocks, including renewable feedstocks, at our refineries in the Gulf Coast, Mid-Continent and West Coast regions of the United States, purchases refined products and ethanol for resale and distributes refined products, including renewable diesel, through transportation, storage, distribution and marketing services provided largely by our Midstream segment. We sell refined products to wholesale marketing customers domestically and internationally, to buyers on the spot market, to independent entrepreneurs who operate primarily Marathon® branded outlets and through long-term fuel supply contracts with direct dealers who operate locations mainly under the ARCO® brand. •Midstream – transports, stores, distributes and markets crude oil and refined products principally for the Refining & Marketing segment via refining logistics assets, pipelines, terminals, towboats and barges; gathers, processes and transports natural gas; and gathers, transports, fractionates, stores and markets NGLs. The Midstream segment primarily reflects the results of MPLX. During the first quarter of 2022, our chief operating decision maker (“CODM”) began to evaluate the performance of our segments using segment adjusted EBITDA. We have modified our presentation of segment performance to be consistent with this change, including prior periods presented for consistent and comparable presentation. Amounts included in income from continuing operations before income taxes and excluded from segment adjusted EBITDA include: (i) depreciation and amortization; (ii) net interest and other financial costs; (iii) turnaround expenses and (iv) other adjustments as deemed necessary. These items are either: (i) believed to be non-recurring in nature; (ii) not believed to be allocable or controlled by the segment; or (iii) are not tied to the operational performance of the segment. Assets by segment are not a measure used to assess the performance of the company by the CODM and thus are not reported in our disclosures.
| Three Months Ended June 30, |  | Six Months Ended June 30,
(In millions) | 2022 |  | 2021 |  | 2022 |  | 2021
Segment adjusted EBITDA for reportable segments |  |  |  |  |  |  |
Refining & Marketing | $ | 7,760 |  |  | $ | 751 |  |  | $ | 9,134 |  |  | $ | 774 |
Midstream | 1,456 |  |  | 1,308 |  |  | 2,859 |  |  | 2,630 |
Total reportable segments | $ | 9,216 |  |  | $ | 2,059 |  |  | $ | 11,993 |  |  | $ | 3,404 |
Reconciliation of segment adjusted EBITDA for reportable segments to income from continuing operations before income taxes |  |  |  |  |  |  |
Total reportable segments | $ | 9,216 |  |  | $ | 2,059 |  |  | $ | 11,993 |  |  | $ | 3,404 |
Corporate | (156) |  |  | (149) |  |  | (294) |  |  | (274) |
Refining planned turnaround costs | (151) |  |  | (61) |  |  | (296) |  |  | (173) |
Storm impacts | — |  |  | — |  |  | — |  |  | (47) |
Renewable volume obligation requirements | 238 |  |  | — |  |  | 238 |  |  | — |
Litigation | — |  |  | — |  |  | 27 |  |  | — |
Impairments(a) | — |  |  | (13) |  |  | — |  |  | (13) |
Depreciation and amortization(b) | (819) |  |  | (871) |  |  | (1,624) |  |  | (1,715) |
Net interest and other financial costs | (312) |  |  | (372) |  |  | (574) |  |  | (725) |
Income from continuing operations before income taxes | $ | 8,016 |  |  | $ | 593 |  |  | $ | 9,470 |  |  | $ | 457 |
(a) Impairment of equity method investments. (b) The three and six months ended June 30, 2021 includes $43 million of impairments of long lived assets.
| Three Months Ended June 30, |  | Six Months Ended June 30,
(In millions) | 2022 |  | 2021 |  | 2022 |  | 2021
Sales and other operating revenues |  |  |  |  |  |  |
Refining & Marketing |  |  |  |  |  |  |
Revenues from external customers(a) | $ | 52,300 |  |  | $ | 28,554 |  |  | $ | 89,092 |  |  | $ | 50,215 |
Intersegment revenues | 47 |  |  | 30 |  |  | 83 |  |  | 58 |
Refining & Marketing segment revenues | 52,347 |  |  | 28,584 |  |  | 89,175 |  |  | 50,273 |
Midstream |  |  |  |  |  |  |
Revenues from external customers(a) | 1,495 |  |  | 1,061 |  |  | 2,761 |  |  | 2,111 |
Intersegment revenues | 1,308 |  |  | 1,248 |  |  | 2,555 |  |  | 2,447 |
Midstream segment revenues | 2,803 |  |  | 2,309 |  |  | 5,316 |  |  | 4,558 |
Total segment revenues | 55,150 |  |  | 30,893 |  |  | 94,491 |  |  | 54,831 |
Less: intersegment revenues | 1,355 |  |  | 1,278 |  |  | 2,638 |  |  | 2,505 |
Consolidated sales and other operating revenues(a) | $ | 53,795 |  |  | $ | 29,615 |  |  | $ | 91,853 |  |  | $ | 52,326 |
(a)Includes related party sales. See Note 7 for additional information.
| Three Months Ended June 30, |  | Six Months Ended June 30,
(In millions) | 2022 |  | 2021 |  | 2022 |  | 2021
Income (loss) from equity method investments |  |  |  |  |  |  |
Refining & Marketing | $ | 6 |  |  | $ | 14 |  |  | $ | 18 |  |  | $ | 19 |
Midstream | 141 |  |  | 92 |  |  | 271 |  |  | 178 |
Corporate(a) | — |  |  | (13) |  |  | — |  |  | (13) |
Consolidated income from equity method investments | $ | 147 |  |  | $ | 93 |  |  | $ | 289 |  |  | $ | 184 |
Depreciation and amortization |  |  |  |  |  |  |
Refining & Marketing | $ | 475 |  |  | $ | 466 |  |  | $ | 936 |  |  | $ | 944 |
Midstream | 330 |  |  | 331 |  |  | 661 |  |  | 665 |
Corporate | 14 |  |  | 74 |  |  | 27 |  |  | 106 |
Consolidated depreciation and amortization | $ | 819 |  |  | $ | 871 |  |  | $ | 1,624 |  |  | $ | 1,715 |
Capital expenditures |  |  |  |  |  |  |
Refining & Marketing | $ | 315 |  |  | $ | 176 |  |  | $ | 559 |  |  | $ | 310 |
Midstream | 222 |  |  | 178 |  |  | 505 |  |  | 316 |
Segment capital expenditures and investments | 537 |  |  | 354 |  |  | 1,064 |  |  | 626 |
Less investments in equity method investees | 48 |  |  | 62 |  |  | 160 |  |  | 113 |
Plus: |  |  |  |  |  |  |
Corporate | 15 |  |  | 23 |  |  | 38 |  |  | 44 |
Capitalized interest | 25 |  |  | 16 |  |  | 48 |  |  | 30 |
Consolidated capital expenditures(b) | $ | 529 |  |  | $ | 331 |  |  | $ | 990 |  |  | $ | 587 |
(a)Impairment of equity method investment. (b)Includes changes in capital expenditure accruals. See Note 20 for a reconciliation of total capital expenditures to additions to property, plant and equipment for the six months ended June 30, 2022 and 2021 as reported in the consolidated statements of cash flows.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI https://asc.fasb.org/extlink&oid=126901519&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI https://asc.fasb.org/topic&trid=2134510 + Details
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