v3.5.0.2
Equity Net Earnings per Unit (Tables)
 9 Months Ended
Sep. 30, 2016
Earnings Per Share [Abstract]  
Earnings Per Share [Text Block]
NET EARNINGS PER UNIT (in millions, except per unit amounts)
 
Three Months Ended
September 30,
 
Nine Months Ended
September 30,
 
2016
 
2015
 
2016
 
2015
Net earnings
$
87

 
$
71

 
$
259

 
$
206

Net earnings attributable to noncontrolling interest
—

 
(3
)
 
—

 
(19
)
Special allocations of net earnings (“Special Allocations”) (a)
2

 
—

 
2

 
—

Net earnings, excluding noncontrolling interest and including Special Allocations
89

 
68

 
261

 
187

General partner’s distributions
(3
)
 
(1
)
 
(7
)
 
(4
)
General partner’s IDRs (b)
(39
)
 
(19
)
 
(105
)
 
(47
)
Limited partners’ distributions on common units
(89
)
 
(66
)
 
(250
)
 
(186
)
Distributions greater than earnings
$
(42
)
 
$
(18
)
 
$
(101
)
 
$
(50
)
General partner’s earnings:
 
 
 
 
 
 
 
Distributions
$
3

 
$
1

 
$
7

 
$
4

General partner’s IDRs (b)
39

 
19

 
105

 
47

Allocation of distributions greater than earnings (c)
(2
)
 
(6
)
 
(6
)
 
(17
)
Total general partner’s earnings
$
40

 
$
14

 
$
106

 
$
34

Limited partners’ earnings on common units:
 
 
 
 
 
 
 
Distributions
$
89

 
$
66

 
$
250

 
$
186

Special Allocations (a)
(2
)
 
—

 
(2
)
 
—

Allocation of distributions greater than earnings
(40
)
 
(12
)
 
(95
)
 
(33
)
Total limited partners’ earnings on common units
$
47

 
$
54

 
$
153

 
$
153

Weighted average limited partner units outstanding:
 
 
 
 
 
 
 
Common units - basic
101.4

 
86.6

 
96.7

 
82.5

Common units - diluted
101.4

 
86.7

 
96.8

 
82.6

Net earnings per limited partner unit:
 
 
 
 
 
 
 
Common - basic
$
0.46

 
$
0.62

 
$
1.58

 
$
1.85

Common - diluted
$
0.46

 
$
0.62

 
$
1.58

 
$
1.85


(a)
Normal allocations according to percentage interests are made after giving effect, if any, to priority income allocations in an amount equal to incentive cash distributions fully allocated to the general partner and any special allocations. The adjustment reflects the special allocation to common units held by TLGP for the interest incurred in connection with borrowings on the Dropdown Credit Facility in lieu of using cash on hand to fund the Alaska Storage and Terminalling Assets acquisition during the three and nine months ended September 30, 2016.
(b)
IDRs entitle the general partner to receive increasing percentages, up to 50%, of quarterly distributions in excess of $0.3881 per unit per quarter. The amount above reflects earnings distributed to our general partner net of $3 million and $8 million of IDRs for the three and nine months ended September 30, 2015, respectively, waived by TLGP. See Note 12 of our Annual Report on Form 10-K for the year ended December 31, 2015, for further discussion related to IDRs.
(c)
We have revised the historical allocation of general partner earnings to include the Predecessors’ losses of $1 million and $4 million for the three and nine months ended September 30, 2016, respectively, and $6 million and $17 million for the three and nine months ended September 30, 2015, respectively.