REPORTABLE SEGMENTS

Our financial statements reflect the following reportable business segments:


•	Investment in ETP, including the consolidated operations of ETP;


•	Investment in Sunoco LP, including the consolidated operations of Sunoco LP;


•	Investment in Lake Charles LNG, including the operations of Lake Charles LNG; and


•	Corporate and Other, including the following:


•	activities of the Parent Company; and


•	the goodwill and property, plant and equipment fair value adjustments recorded as a result of the 2004 reverse acquisition of Heritage Propane Partners, L.P.

The Investment in Sunoco LP segment reflects the results of Sunoco LP and the legacy Sunoco, Inc. retail business for the periods presented.

We define Segment Adjusted EBITDA as earnings before interest, taxes, depreciation, depletion, amortization and other non-cash items, such as non-cash compensation expense, gains and losses on disposals of assets, the allowance for equity funds used during construction, unrealized gains and losses on commodity risk management activities, non-cash impairment charges, losses on extinguishments of debt, gain on deconsolidation and other non-operating income or expense items. Unrealized gains and losses on commodity risk management activities include unrealized gains and losses on commodity derivatives and inventory fair value adjustments (excluding lower of cost or market adjustments). Segment Adjusted EBITDA reflects amounts for unconsolidated affiliates based on the Partnership’s proportionate ownership and amounts for less than wholly owned subsidiaries based on 100% of the subsidiaries’ results of operations.

The following tables present financial information by segment:



	Three Months Ended March 31,
	2018			2017*
Segment Adjusted EBITDA:
Investment in ETP	$	1,881		$	1,445
Investment in Sunoco LP	109			155
Investment in Lake Charles LNG	43			44
Corporate and Other	1			(13		)
Adjustments and Eliminations	(32		)	(54		)
Total	2,002			1,577
Depreciation, depletion and amortization	(665		)	(628		)
Interest expense, net	(466		)	(473		)
Gains on interest rate derivatives	52			5
Non-cash compensation expense	(23		)	(27		)
Unrealized gains (losses) on commodity risk management activities	(87		)	69
Losses on extinguishments of debt	(106		)	(25		)
Inventory valuation adjustments	25			(13		)
Equity in earnings of unconsolidated affiliates	79			87
Adjusted EBITDA related to unconsolidated affiliates	(156		)	(185		)
Adjusted EBITDA related to discontinued operations	20			(31		)
Other, net	41			12
Income from continuing operations before income tax benefit (expense)	716			368
Income tax benefit (expense) from continuing operations	10			(38		)
Income from continuing operations	726			330
Loss from discontinued operations, net of tax	(237		)	(11		)
Net income	$	489		$	319

* As adjusted. See Note 1.



	March 31, 2018			December 31, 2017
Assets:
Investment in ETP	$	77,495		$	77,965
Investment in Sunoco LP	4,919			8,344
Investment in Lake Charles LNG	1,677			1,646
Corporate and Other	674			598
Adjustments and Eliminations	(1,856		)	(2,307		)
Total assets	$	82,909		$	86,246



	Three Months Ended March 31,
	2018			2017*
Revenues:
Investment in ETP:
Revenues from external customers	$	8,085		$	6,807
Intersegment revenues	195			88
	8,280			6,895
Investment in Sunoco LP:
Revenues from external customers	3,748			2,805
Intersegment revenues	1			3
	3,749			2,808
Investment in Lake Charles LNG:
Revenues from external customers	49			49

Adjustments and Eliminations	(196		)	(91		)
Total revenues	$	11,882		$	9,661

* As adjusted. See Note 1.

The following tables provide revenues, grouped by similar products and services, for our reportable segments. These amounts include intersegment revenues for transactions between ETP, Sunoco LP and Lake Charles LNG.

Investment in ETP



	Three Months Ended March 31,
	2018		2017*
Intrastate Transportation and Storage	$	817	$	768
Interstate Transportation and Storage	313		231
Midstream	440		565
NGL and refined products transportation and services	2,458		2,118
Crude oil transportation and services	3,731		2,575
All Other	521		638
Total revenues	8,280		6,895
Less: Intersegment revenues	195		88
Revenues from external customers	$	8,085	$	6,807

* As adjusted. See Note 1.

The amounts included in ETP’s NGL and refined products transportation and services operation and the crude oil transportation and services operation have been retrospectively adjusted as a result of the Sunoco Logistics Merger.

Investment in Sunoco LP



	Three Months Ended March 31,
	2018		2017
Retail operations	$	610	$	511
Wholesale operations	3,139		2,297
Total revenues	3,749		2,808
Less: Intersegment revenues	1		3
Revenues from external customers	$	3,748	$	2,805

Investment in Lake Charles LNG

Lake Charles LNG’s revenues for all periods presented were related to LNG terminalling.