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Derivative Instruments (Tables)

6 Months Ended

Jun. 30, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments Measured at Fair Value and their Locations on the Consolidated Balance Sheets

The following table presents the gross fair value of our derivative instruments and their locations on the Consolidated Balance Sheets (in millions):

									Gross Derivative Assets																		Gross Derivative Liabilities
									As of																		As of
									June 30,						December 31,						June 30,						December 31,
									2020						2019						2020						2019
Derivative Instruments			Consolidated Balance Sheets location
Derivatives designated as hedging instruments
Commodity contracts			Short-term derivative assets, net						$	—					$	—					$	—					$	—
			Identifiable intangible and other non-current assets						—						—						—						—
			Accrued expenses and other current liabilities						204.0						1.7						177.0						20.0
			Other long-term liabilities						0.1						—						0.4						—
									204.1						1.7						177.3						20.0
Interest rate contracts			Short-term derivative assets, net						—						—						—						—
			Identifiable intangible and other non-current assets						—						—						—						—
			Accrued expenses and other current liabilities						—						—						1.2						—
			Other long-term liabilities						—						—						3.7						—
Total derivatives designated as hedging instruments												$	204.1					$	1.7					$	182.2					$	20.0
Derivatives not designated as hedging instruments
Commodity contracts			Short-term derivative assets, net						$	217.8					$	65.7					$	64.5					$	7.2
			Identifiable intangible and other non-current assets						45.1						23.0						12.3						4.8
			Accrued expenses and other current liabilities						206.5						161.0						328.5						203.4
			Other long-term liabilities						18.9						7.7						40.6						19.7
									488.3						257.3						445.9						235.0
Foreign currency contracts			Short-term derivative assets, net						0.6						1.2						0.3						0.2
			Identifiable intangible and other non-current assets						—						—						—						—
			Accrued expenses and other current liabilities						1.8						0.9						10.6						11.4
									2.4						2.0						10.9						11.6
Total derivatives not designated as hedging instruments												$	490.7					$	259.4					$	456.9					$	246.6
Total derivatives									$	694.8					$	261.1					$	639.1					$	266.6

Schedule of Fair Value Positions of Derivative Instruments

The following table summarizes the gross notional values of our commodity and foreign currency exchange derivative contracts used for risk management purposes that were outstanding as of June 30, 2020 (in millions):

As of June 30,

Derivative Instruments

Units

2020

Commodity contracts

Long

BBL

65.0

Short

BBL

(49.2)

Foreign currency exchange contracts

Sell U.S. dollar, buy other currencies

USD

(70.3)

Buy U.S. dollar, sell other currencies

USD

422.6

Impact of Derivatives Designated as Fair Value Hedges on the Consolidated Statements of Income and Comprehensive Income

As of June 30, 2020, and December 31, 2019, the following amounts were recorded on our Consolidated Balance Sheets related to cumulative basis adjustments for fair value hedges (in millions):

Line item in the Consolidated Balance Sheets in which the hedged item is included						Carrying Amount of Hedged Assets/(Liabilities)																		Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Asset/(Liabilities)
						As of																		As of
						June 30, 2020						December 31, 2019						June 30, 2020						December 31, 2019
Inventory						$	32.1					$	30.7					$	2.3					$	2.3

Effect of Fair Value and Cash Flow Hedges on Income and Expense

The following table presents the effect of fair value and cash flow hedges on income and expense line items in our Consolidated Statements of Income and Comprehensive Income (in millions):

									Location and Amount of Gain and (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships
									For the Three Months Ended
									June 30, 2020																														June 30, 2019
												Revenue						Cost of Revenue						Interest expense and other financing costs, net						Revenue						Cost of Revenue						Interest expense and other financing costs, net
Total amounts of income and expense line items in which the effects of fair value or cash flow hedged are recorded												$	3,158.3					$	2,944.5					$	10.7					$	9,459.4					$	9,190.8					$	21.7
Gains or Loss on fair value hedge relationships:
Commodity contracts:
			Hedged Item						—						8.9						—						—						(0.9)						—
			Derivatives designated as hedging instruments						—						(4.6)						—						—						(0.6)						—
Gains or Loss on cash flow hedge relationships:
Commodity contracts:
			Amount of Gain (Loss) Reclassified from AOCI into Income						27.0						(56.2)						—						(2.5)						25.8						—
Interest rate contracts:
			Amount of Gain (Loss) Reclassified from AOCI into Income						—						—						—						—						—						—
Total amount of income and expense line items excluding the impact of hedges												$	3,131.4					$	2,892.6					$	10.7					$	9,461.9					$	9,215.1					$	21.7
									Location and Amount of Gain and (Loss) Recognized in Income on Fair Value and Cash Flow Hedging Relationships
									For the Six Months Ended
									June 30, 2020																														June 30, 2019
												Revenue						Cost of Revenue						Interest expense and other financing costs, net						Revenue						Cost of Revenue						Interest expense and other financing costs, net
Total amounts of income and expense line items in which the effects of fair value or cash flow hedged are recorded												$	11,173.5					$	10,700.9					$	26.9					$	18,138.2					$	17,618.5					$	42.2
Gains or Loss on fair value hedge relationships:
Commodity contracts:
			Hedged Item						—						(14.3)						—						—						15.4						—
			Derivatives designated as hedging instruments						—						13.8						—						—						(14.1)						—
Gains or Loss on cash flow hedge relationships:
Commodity contracts:
			Amount of Gain (Loss) Reclassified from AOCI into Income						41.0						(57.3)						—						(6.3)						17.4						—
Interest rate contracts:
			Amount of Gain (Loss) Reclassified from AOCI into Income						—						—						—						—						—						—
Total amount of income and expense line items excluding the impact of hedges												$	11,132.5					$	10,643.1					$	26.9					$	18,144.5					$	17,637.2					$	42.2

Impact of Derivatives Designated as Hedges on the Accumulated Other Comprehensive Income and Consolidated Statements of Income and Comprehensive Income

The following table presents the effect and financial statement location of our derivative instruments in cash flow hedging relationships on Accumulated other comprehensive income and Consolidated Statements of Income and Comprehensive Income (in millions):

Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income			For the Three Months Ended																		Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income			For the Three Months Ended
						June 30,																								June 30,
Derivative Instruments			2020						2019						Location			2020						2019
Commodity contracts			$	(148.5)					$	42.8					Revenue			$	27.0					$	(2.5)
Commodity contracts			100.3						(22.7)						Cost of revenue			(56.2)						25.8
Interest rate contracts			(2.2)						—						Interest expense and other financing costs, net			—						—
Total Gain (Loss)			$	(50.3)					$	20.1					Total Gain (Loss)			$	(29.2)					$	23.3
Amount of Gain (Loss) Recognized in Accumulated Other Comprehensive Income			For the Six Months Ended																		Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income			For the Six Months Ended
						June 30,																								June 30,
Derivative Instruments			2020						2019						Location			2020						2019
Commodity contracts			$	185.6					$	(177.7)					Revenue			$	41.0					$	(6.3)
Commodity contracts			(197.4)						173.7						Cost of Revenue			(57.3)						17.4
Interest rate contracts			(3.7)						—						Interest expense and other financing costs, net			—						—
Total Gain (Loss)			$	(15.5)					$	(4.0)					Total Gain (Loss)			$	(16.3)					$	11.1

Impact of Derivatives not Designated as Hedges on the Consolidated Statements of Income and Comprehensive Income

The following table presents the effect and financial statement location of our derivative instruments not designated as hedging instruments on our Consolidated Statements of Income and Comprehensive Income (in millions):

Amount of Realized and Unrealized Gain (Loss)									For the Three Months Ended
												June 30,
Derivative Instruments - Non-designated						Location						2020						2019
Commodity contracts
						Revenue						$	34.1					$	69.4
						Cost of revenue						(25.8)						(57.1)
												8.4						12.4
Foreign currency contracts
						Revenue						(0.5)						—
						Other (expense), net						(7.8)						(1.3)
												(8.3)						(1.3)
Total Gain (Loss)												$	0.2					$	11.1
Amount of Realized and Unrealized Gain (Loss)												For the Six Months Ended
												June 30,
Derivative Instruments - Non-designated						Location						2020						2019
Commodity contracts
						Revenue						$	113.3					$	144.5
						Cost of revenue						(10.3)						(123.0)
												102.9						21.5
Foreign currency contracts
						Revenue						—						(0.1)
						Other (expense), net						10.7						(0.8)
												10.7						(0.9)
Total Gain (Loss)												$	113.6					$	20.6

Schedule of Potential Collateral Requirements for Derivative Liabilities

The following table presents the potential collateral requirements for derivative liabilities with credit-risk-contingent features as of June 30, 2020 and December 31, 2019 (in millions):

									Potential Collateral Requirements for Derivative Liabilities with Credit-Risk-Contingent Features
									As of June 30, 2020						As of December 31, 2019
Net derivative liability positions with credit contingent features									$	65.2					$	45.6
Collateral posted and held by our counterparties									—						—
Maximum additional potential collateral requirements									$	65.2					$	45.6

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