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Reportable Segments
 9 Months Ended
Sep. 30, 2022
Segment Reporting [Abstract]  
Reportable Segments REPORTABLE SEGMENTS
Our reportable segments, which conduct their business primarily in the United States, are as follows:
•intrastate transportation and storage;
•interstate transportation and storage;
•midstream;
•NGL and refined products transportation and services;
•crude oil transportation and services;
•investment in Sunoco LP;
•investment in USAC; and
•all other.
Consolidated revenues and expenses reflect the elimination of all material intercompany transactions.
Revenues from our intrastate transportation and storage segment are primarily reflected in natural gas sales and gathering, transportation and other fees. Revenues from our interstate transportation and storage segment are primarily reflected in gathering, transportation and other fees. Revenues from our midstream segment are primarily reflected in natural gas sales, NGL sales and gathering, transportation and other fees. Revenues from our NGL and refined products transportation and services segment are primarily reflected in NGL sales and gathering, transportation and other fees. Revenues from our crude oil transportation and services segment are primarily reflected in crude sales. Revenues from our investment in Sunoco LP segment are primarily reflected in refined product sales. Revenues from our investment in USAC segment are primarily reflected in gathering, transportation and other fees. Revenues from our all other segment are primarily reflected in natural gas sales and gathering, transportation and other fees.
We report Segment Adjusted EBITDA and consolidated Adjusted EBITDA as measures of segment performance. We define Segment Adjusted EBITDA and consolidated Adjusted EBITDA as total partnership 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, inventory valuation adjustments, non-cash impairment charges, losses on extinguishments of debt and other non-operating income or expense items. Inventory adjustments that are excluded from the calculation of Adjusted EBITDA represent only the changes in lower of cost or market reserves on inventory that is carried at LIFO. These amounts are unrealized valuation adjustments applied to Sunoco LP’s fuel volumes remaining in inventory at the end of the period.
Segment Adjusted EBITDA and consolidated Adjusted EBITDA reflect amounts for unconsolidated affiliates based on the same recognition and measurement methods used to record equity in earnings of unconsolidated affiliates. Adjusted
EBITDA related to unconsolidated affiliates excludes the same items with respect to the unconsolidated affiliate as those excluded from the calculation of Segment Adjusted EBITDA and consolidated Adjusted EBITDA, such as interest, taxes, depreciation, depletion, amortization and other non-cash items. Although these amounts are excluded from Adjusted EBITDA related to unconsolidated affiliates, such exclusion should not be understood to imply that we have control over the operations and resulting revenues and expenses of such affiliates. We do not control our unconsolidated affiliates; therefore, we do not control the earnings or cash flows of such affiliates. The use of Segment Adjusted EBITDA or Adjusted EBITDA related to unconsolidated affiliates as an analytical tool should be limited accordingly.
The following tables present financial information by segment:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2022202120222021
Revenues:
Intrastate transportation and storage:
Revenues from external customers
$2,081 $1,112 $5,550 $5,940 
Intersegment revenues
302 105 668 1,126 
2,383 1,217 6,218 7,066 
Interstate transportation and storage:
Revenues from external customers
533 412 1,591 1,317 
Intersegment revenues
16 6 54 33 
549 418 1,645 1,350 
Midstream:
Revenues from external customers
1,115 560 3,399 1,709 
Intersegment revenues
3,756 2,359 10,447 6,081 
4,871 2,919 13,846 7,790 
NGL and refined products transportation and services:
Revenues from external customers
5,169 4,499 16,644 11,726 
Intersegment revenues
906 763 3,265 2,048 
6,075 5,262 19,909 13,774 
Crude oil transportation and services:
Revenues from external customers
6,415 4,577 19,640 12,497 
Intersegment revenues
1 1 2 1 
6,416 4,578 19,642 12,498 
Investment in Sunoco LP:
Revenues from external customers
6,577 4,772 19,767 12,626 
Intersegment revenues
17 7 44 16 
6,594 4,779 19,811 12,642 
Investment in USAC:
Revenues from external customers
176 156 503 464 
Intersegment revenues
3 3 11 9 
179 159 514 473 
All other:
Revenues from external customers
873 576 2,281 2,481 
Intersegment revenues
211 120 480 303 
1,084 696 2,761 2,784 
Eliminations
(5,212)(3,364)(14,971)(9,617)
Total revenues
$22,939 $16,664 $69,375 $48,760 
Three Months Ended
September 30,		Nine Months Ended
September 30,
2022202120222021
Segment Adjusted EBITDA:
Intrastate transportation and storage
$301 $172 $963 $3,209 
Interstate transportation and storage
409 334 1,259 1,118 
Midstream
868 556 2,578 1,321 
NGL and refined products transportation and services
634 706 2,097 2,089 
Crude oil transportation and services
461 496 1,616 1,490 
Investment in Sunoco LP
276 198 681 556 
Investment in USAC
109 99 313 299 
All other
30 18 149 153 
Adjusted EBITDA (consolidated)
3,088 2,579 9,656 10,235 
Depreciation, depletion and amortization
(1,030)(943)(3,104)(2,837)
Interest expense, net of interest capitalized
(577)(558)(1,714)(1,713)
Impairment losses and other(86)— (386)(11)
Gains on interest rate derivatives60 1 303 72 
Non-cash compensation expense
(27)(26)(88)(81)
Unrealized gains (losses) on commodity risk management activities76 (19)130 74 
Inventory valuation adjustments (Sunoco LP)(40)9 81 168 
Losses on extinguishments of debt
— — — (8)
Adjusted EBITDA related to unconsolidated affiliates
(147)(141)(409)(400)
Equity in earnings of unconsolidated affiliates68 71 186 191 
Other, net
19 11 (65)— 
Income before income tax expense1,404 984 4,590 5,690 
Income tax expense(82)(77)(159)(234)
Net income$1,322 $907 $4,431 $5,456