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Reportable Segments
 6 Months Ended
Jun. 30, 2023
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
June 30,		Six Months Ended
June 30,
2023202220232022
Revenues:
Intrastate transportation and storage:
Revenues from external customers$730 $1,994 $1,544 $3,469 
Intersegment revenues77 209 553 366 
807 2,203 2,097 3,835 
Interstate transportation and storage:
Revenues from external customers536 511 1,158 1,058 
Intersegment revenues14 19 26 38 
550 530 1,184 1,096 
Midstream:
Revenues from external customers786 1,153 1,595 2,284 
Intersegment revenues1,682 3,897 3,627 6,691 
2,468 5,050 5,222 8,975 
NGL and refined products transportation and services:
Revenues from external customers4,104 6,230 8,841 11,475 
Intersegment revenues897 1,327 1,763 2,359 
5,001 7,557 10,604 13,834 
Crude oil transportation and services:
Revenues from external customers5,953 7,299 12,032 13,225 
Intersegment revenues— 1 1 1 
5,953 7,300 12,033 13,226 
Investment in Sunoco LP:
Revenues from external customers5,729 7,793 11,078 13,190 
Intersegment revenues16 22 29 27 
5,745 7,815 11,107 13,217 
Investment in USAC:
Revenues from external customers201 168 393 327 
Intersegment revenues6 4 11 8 
207 172 404 335 
All other:
Revenues from external customers281 797 674 1,408 
Intersegment revenues118 165 269 269 
399 962 943 1,677 
Eliminations(2,810)(5,644)(6,279)(9,759)
Total revenues$18,320 $25,945 $37,315 $46,436 
Three Months Ended
June 30,		Six Months Ended
June 30,
2023202220232022
Segment Adjusted EBITDA:
Intrastate transportation and storage$216 $218 $625 $662 
Interstate transportation and storage441 397 977 850 
Midstream579 903 1,220 1,710 
NGL and refined products transportation and services837 763 1,776 1,463 
Crude oil transportation and services674 562 1,200 1,155 
Investment in Sunoco LP250 214 471 405 
Investment in USAC125 106 243 204 
All other— 65 43 119 
Adjusted EBITDA (consolidated)$3,122 $3,228 $6,555 $6,568 
Three Months Ended
June 30,		Six Months Ended
June 30,
2023202220232022
Reconciliation of net income to Adjusted EBITDA:
Net income$1,233 $1,622 $2,680 $3,109 
Depreciation, depletion and amortization1,061 1,046 2,120 2,074 
Interest expense, net of interest capitalized641 578 1,260 1,137 
Income tax expense108 86 179 77 
Impairment losses10 — 11 300 
Gains on interest rate derivatives(35)(129)(15)(243)
Non-cash compensation expense27 25 64 61 
Unrealized (gains) losses on commodity risk management activities(55)(99)75 (54)
Inventory valuation adjustments (Sunoco LP)57 (1)28 (121)
Adjusted EBITDA related to unconsolidated affiliates171 137 332 262 
Equity in earnings of unconsolidated affiliates(95)(62)(183)(118)
Other, net(1)25 4 84 
Adjusted EBITDA (consolidated)$3,122 $3,228 $6,555 $6,568