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Purchase Price Allocation (in millions): | ||||
Assets acquired: | ||||
Current assets | $ | 1.1 | ||
Property, plant and equipment | 35.5 | |||
Intangibles | 98.8 | |||
Goodwill | 9.8 | |||
Liabilities assumed: | ||||
Current liabilities | (3.9 | ) | ||
Total identifiable net assets | $ | 141.3 |
Consideration (in millions): | ||||
Cash | $ | 784.2 | ||
Total installment payable, net of discount of $79.1 million assuming payments are made on January 7, 2017 and 2018 | 420.9 | |||
Contribution from ENLC | 237.1 | |||
Total consideration | $ | 1,442.2 | ||
Purchase Price Allocation (in millions): | ||||
Assets acquired: | ||||
Current assets (including $12.8 million in cash) | $ | 23.0 | ||
Property, plant and equipment | 423.2 | |||
Intangibles | 1,034.3 | |||
Liabilities assumed: | ||||
Current liabilities | (38.3 | ) | ||
Total identifiable net assets | $ | 1,442.2 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||
2015 | 2015 | |||||||
(in millions) | ||||||||
Pro forma total revenues | $ | 1,283.3 | $ | 2,350.9 | ||||
Pro forma net income | $ | 37.3 | $ | 48.0 | ||||
Pro forma net income attributable to EnLink Midstream Partners, LP | $ | 40.5 | $ | 54.4 | ||||
Pro forma net income (loss) per common unit: | ||||||||
Basic | $ | (0.01 | ) | $ | (0.15 | ) | ||
Diluted | $ | (0.01 | ) | $ | (0.15 | ) |
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Texas | Louisiana | Oklahoma | Crude and Condensate | Corporate | Totals | ||||||||||||||||||
Six Months Ended June 30, 2016 | |||||||||||||||||||||||
Balance, beginning of period | $ | 703.5 | $ | — | $ | 190.3 | $ | 93.2 | $ | — | $ | 987.0 | |||||||||||
Impairment | (473.1 | ) | — | — | (93.2 | ) | — | (566.3 | ) | ||||||||||||||
Acquisition adjustment | 0.7 | — | — | — | — | 0.7 | |||||||||||||||||
Balance, end of period | $ | 231.1 | $ | — | $ | 190.3 | $ | — | $ | — | $ | 421.4 |
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||
Six Months Ended June 30, 2016 | ||||||||||||
Customer relationships, beginning of period | $ | 744.5 | $ | (54.6 | ) | $ | 689.9 | |||||
Acquisitions | 1,034.3 | — | 1,034.3 | |||||||||
Amortization expense | — | (57.5 | ) | (57.5 | ) | |||||||
Customer relationships, end of period | $ | 1,778.8 | $ | (112.1 | ) | $ | 1,666.7 |
2016 (remaining) | $ | 58.4 | |
2017 | 116.7 | ||
2018 | 116.7 | ||
2019 | 116.7 | ||
2020 | 116.7 | ||
Thereafter | 1,141.5 | ||
Total | $ | 1,666.7 |
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June 30, 2016 | December 31, 2015 | ||||||
Credit facility (due 2020), interest based on Prime and/or LIBOR plus an applicable margin, interest rate at June 30, 2016 and December 31, 2015 was 2.2% and 1.8%, respectively | $ | 697.0 | $ | 414.0 | |||
Senior unsecured notes (due 2019), net of discount of $0.3 million at June 30, 2016 and $0.4 million at December 31, 2015, which bear interest at the rate of 2.70% | 399.7 | 399.6 | |||||
Senior unsecured notes (due 2022), including a premium of $17.5 million at June 30, 2016 and $18.9 million at December 31, 2015, which bear interest at the rate of 7.125% | 180.0 | 181.4 | |||||
Senior unsecured notes (due 2024), net of premium of $2.7 million at June 30, 2016 and $2.9 million at December 31, 2015, which bear interest at the rate of 4.40% | 552.7 | 552.9 | |||||
Senior unsecured notes (due 2025), net of discount of $1.2 million at June 30, 2016 and $1.2 million at December 31, 2015, which bear interest at the rate of 4.15% | 748.8 | 748.8 | |||||
Senior unsecured notes (due 2044), net of discount of $0.2 million at June 30, 2016 and $0.2 million at December 31, 2015, which bear interest at the rate of 5.60% | 349.8 | 349.8 | |||||
Senior unsecured notes (due 2045), net of discount of $6.8 million at June 30, 2016 and $6.9 million at December 31, 2015, which bear interest at the rate of 5.05% | 443.2 | 443.1 | |||||
Debt issuance cost, net of amortization of $6.4 million at June 30, 2016 and $4.7 million at December 31, 2015 | (21.6 | ) | (23.0 | ) | |||
Other debt | — | 0.2 | |||||
Debt classified as long-term | $ | 3,349.6 | $ | 3,066.8 |
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Declaration period | Distribution/unit | Date paid/payable | ||||
Fourth Quarter of 2015 | $ | 0.39 | February 11, 2016 | |||
First Quarter of 2016 | $ | 0.39 | May 12, 2016 | |||
Second Quarter of 2016 | $ | 0.39 | August 11, 2016 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Limited partners’ interest in net income (loss) | $ | (23.5 | ) | $ | 35.7 | $ | (590.7 | ) | $ | 44.7 | |||||
Distributed earnings allocated to: | |||||||||||||||
Common units (1) (2) | $ | 128.6 | $ | 117.6 | $ | 255.5 | $ | 214.4 | |||||||
Unvested restricted units (1) (2) | 0.9 | 0.4 | 1.7 | 0.9 | |||||||||||
Total distributed earnings | $ | 129.5 | $ | 118.0 | $ | 257.2 | $ | 215.3 | |||||||
Undistributed loss allocated to: | |||||||||||||||
Common units | $ | (151.6 | ) | $ | (82.0 | ) | $ | (842.3 | ) | $ | (169.9 | ) | |||
Unvested restricted units | (1.4 | ) | (0.3 | ) | (5.6 | ) | (0.7 | ) | |||||||
Total undistributed loss | $ | (153.0 | ) | $ | (82.3 | ) | $ | (847.9 | ) | $ | (170.6 | ) | |||
Net income (loss) allocated to: | 0 | ||||||||||||||
Common units | $ | (23.0 | ) | $ | 35.6 | $ | (586.8 | ) | $ | 44.5 | |||||
Unvested restricted units | (0.5 | ) | 0.1 | (3.9 | ) | 0.2 | |||||||||
Total limited partners’ interest in net income (loss) | $ | (23.5 | ) | $ | 35.7 | $ | (590.7 | ) | $ | 44.7 | |||||
Basic and diluted net income (loss) per unit: | |||||||||||||||
Basic | $ | (0.07 | ) | $ | 0.12 | $ | (1.80 | ) | $ | 0.16 | |||||
Diluted | $ | (0.07 | ) | $ | 0.12 | $ | (1.80 | ) | $ | 0.16 |
(1) | Three months ended June 30, 2016 and 2015 represents a declared distribution of $0.39 per unit payable on August 11, 2016 and a distribution of $0.385 per unit paid on August 13, 2015, respectively. |
(2) | Six months ended June 30, 2016 and 2015 represents a distribution of $0.39 per unit paid on May 12, 2016, a declared distribution of $0.39 per unit payable on August 11, 2016 and distributions of $0.38 per unit paid on May 14, 2015 and of $0.385 per unit paid on August 13, 2015. |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||
Basic weighted average units outstanding: | |||||||||||
Weighted average limited partner basic common units outstanding (1) | 330.1 | 305.2 | 327.6 | 284.2 | |||||||
Diluted weighted average units outstanding: | |||||||||||
Weighted average limited partner basic common units outstanding | 330.1 | 305.2 | 327.6 | 284.2 | |||||||
Dilutive effect of restricted units issued | — | 0.4 | — | 0.4 | |||||||
Total weighted average limited partner diluted common units outstanding | 330.1 | 305.6 | 327.6 | 284.6 |
(1) | The three and six months ended June 30, 2016 includes the weighted average impact of 7,409,996 and 7,298,996 Common Class C Common Units, respectively, that converted into common units on May 13, 2016. The three and six months ended June 30, 2015 includes the weighted average impact of 6,770,083 and 3,959,347 Common Class C Common Units, respectively, that converted into common units on May 13, 2016 and 14,088,418 and 7,083,128 Common Class E Common Units, respectively, that converted into common units on August 3, 2015. |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Income allocation for incentive distributions | $ | 14.2 | $ | 11.3 | $ | 28.0 | $ | 20.1 | |||||||
Unit-based compensation attributable to ENLC’s restricted units | (3.6 | ) | (3.9 | ) | (7.6 | ) | (10.9 | ) | |||||||
General partner share of net income (loss) | — | 0.2 | (2.4 | ) | 0.3 | ||||||||||
General partner interest in drop down transactions | — | 11.5 | — | 36.1 | |||||||||||
General partner interest in net income | $ | 10.6 | $ | 19.1 | $ | 18.0 | $ | 45.6 |
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Six Months Ended June 30, | |||||||
2016 | 2015 | ||||||
(in millions) | |||||||
Beginning asset retirement obligations | $ | 14.0 | $ | 20.6 | |||
Revisions to existing liabilities | (0.4 | ) | (4.0 | ) | |||
Accretion | 0.2 | 0.3 | |||||
Liabilities settled | (0.6 | ) | (3.2 | ) | |||
Ending asset retirement obligations | $ | 13.2 | $ | 13.7 |
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Gulf Coast Fractionators | Howard Energy Partners | Total | |||||||||
Three months ended | |||||||||||
June 30, 2016 | |||||||||||
Contributions | $ | — | $ | 34.7 | $ | 34.7 | |||||
Distributions | $ | 0.5 | $ | 5.1 | $ | 5.6 | |||||
Equity in net income | $ | 0.5 | $ | 0.3 | $ | 0.8 | |||||
June 30, 2015 | |||||||||||
Distributions | $ | 4.2 | $ | 8.2 | $ | 12.4 | |||||
Equity in net income | $ | 2.9 | $ | 3.0 | $ | 5.9 | |||||
Six months ended | |||||||||||
June 30, 2016 | |||||||||||
Contributions | $ | — | $ | 41.8 | $ | 41.8 | |||||
Distributions | $ | 3.5 | $ | 11.3 | $ | 14.8 | |||||
Equity in net loss | $ | (1.2 | ) | $ | (0.4 | ) | $ | (1.6 | ) | ||
June 30, 2015 | |||||||||||
Distributions | $ | 6.9 | $ | 12.3 | $ | 19.2 | |||||
Equity in net income | $ | 6.3 | $ | 3.4 | $ | 9.7 |
June 30, 2016 | December 31, 2015 | ||||||
Gulf Coast Fractionators | $ | 47.9 | $ | 52.6 | |||
Howard Energy Partners | 251.8 | 221.7 | |||||
Total investment in unconsolidated affiliates | $ | 299.7 | $ | 274.3 |
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Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Cost of unit-based compensation charged to general and administrative expense | $ | 5.7 | $ | 6.5 | $ | 11.9 | $ | 18.4 | |||||||
Cost of unit-based compensation charged to operating expense | 1.6 | 1.1 | 3.3 | 3.0 | |||||||||||
Total amount charged to income | $ | 7.3 | $ | 7.6 | $ | 15.2 | $ | 21.4 |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream Partners, LP Restricted Incentive Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-vested, beginning of period | 1,253,729 | $ | 29.59 | |||||
Granted | 1,046,685 | 10.03 | ||||||
Vested* | (297,439 | ) | 30.33 | |||||
Forfeited | (40,998 | ) | 22.17 | |||||
Non-vested, end of period | 1,961,977 | $ | 19.20 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 32.6 |
* | Vested units include 85,366 units withheld for payroll taxes paid on behalf of employees. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
EnLink Midstream Partners, LP Restricted Incentive Units: | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Aggregate intrinsic value of units vested | $ | 0.1 | $ | 0.4 | $ | 3.8 | $ | 7.2 | ||||||||
Fair value of units vested | $ | — | $ | 0.5 | $ | 9.0 | $ | 7.5 |
EnLink Midstream Partners, LP Performance Units: | January 2016 | February 2016 | ||||||
Beginning TSR Price | $ | 14.82 | $ | 14.82 | ||||
Risk-free interest rate | 1.10 | % | 0.89 | % | ||||
Volatility factor | 39.71 | % | 42.33 | % | ||||
Distribution yield | 12.10 | % | 19.20 | % |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream Partners, LP Performance Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-Vested, beginning of period | 118,126 | $ | 35.41 | |||||
Granted | 258,078 | 9.81 | ||||||
Forfeited | (2,798 | ) | 36.18 | |||||
Non-vested, end of period | 373,406 | $ | 17.71 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 6.2 |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream, LLC Restricted Incentive Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-vested, beginning of period | 1,148,893 | $ | 34.78 | |||||
Granted | 1,038,619 | 9.44 | ||||||
Vested* | (320,497 | ) | 36.92 | |||||
Forfeited | (37,952 | ) | 23.95 | |||||
Non-vested, end of period | 1,829,063 | $ | 20.24 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 29.1 |
* | Vested units include 91,256 units withheld for payroll taxes paid on behalf of employees. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
EnLink Midstream, LLC Restricted Incentive Units: | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Aggregate intrinsic value of units vested | $ | — | $ | 0.6 | $ | 3.8 | $ | 8.9 | ||||||||
Fair value of units vested | $ | — | $ | 0.6 | $ | 11.8 | $ | 9.2 |
EnLink Midstream, LLC Performance Units: | January 2016 | February 2016 | ||||||
Beginning TSR Price | $ | 15.38 | $ | 15.38 | ||||
Risk-free interest rate | 1.10 | % | 0.89 | % | ||||
Volatility factor | 46.02 | % | 52.05 | % | ||||
Distribution yield | 8.60 | % | 14.00 | % |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream, LLC Performance Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-Vested, beginning of period | 105,080 | $ | 40.50 | |||||
Granted | 242,646 | 9.59 | ||||||
Forfeited | (2,525 | ) | 41.31 | |||||
Non-vested, end of period | 345,201 | $ | 18.76 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 5.5 |
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Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Change in fair value of derivatives | $ | (8.4 | ) | $ | (2.5 | ) | $ | (14.4 | ) | $ | (6.3 | ) | |||
Realized gain on derivatives | 2.7 | 3.7 | 8.3 | 7.7 | |||||||||||
Gain (loss) on derivative activity | $ | (5.7 | ) | $ | 1.2 | $ | (6.1 | ) | $ | 1.4 |
June 30, 2016 | December 31, 2015 | ||||||
Fair value of derivative assets — current | $ | 5.3 | $ | 16.8 | |||
Fair value of derivative liabilities — current | (5.8 | ) | (2.9 | ) | |||
Fair value of derivative liabilities — long term | — | (0.1 | ) | ||||
Net fair value of derivatives | $ | (0.5 | ) | $ | 13.8 |
June 30, 2016 | |||||||||||
Commodity | Instruments | Unit | Volume | Fair Value | |||||||
(In millions) | |||||||||||
NGL (short contracts) | Swaps | Gallons | (31.9 | ) | $ | 3.4 | |||||
NGL (long contracts) | Swaps | Gallons | 11.4 | (0.4 | ) | ||||||
Natural Gas (short contracts) | Swaps | MMBtu | (6.3 | ) | (2.9 | ) | |||||
Natural Gas (long contracts) | Swaps | MMBtu | 1.3 | (0.1 | ) | ||||||
Condensate (short contracts) | Swaps | MMBbls | (0.1 | ) | (0.5 | ) | |||||
Total fair value of derivatives | $ | (0.5 | ) |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Settlement gains on derivatives | $ | — | $ | 3.6 | $ | — | $ | 3.6 |
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June 30, 2016 Level 2 | December 31, 2015 Level 2 | ||||||
Commodity Swaps* | $ | (0.5 | ) | $ | 13.8 | ||
Total | $ | (0.5 | ) | $ | 13.8 |
* | The fair value of derivative contracts included in assets or liabilities for risk management activities represents the amount at which the instruments could be exchanged in a current arms-length transaction adjusted for our and/or the counterparty credit risk as required under FASB ASC 820. |
June 30, 2016 | December 31, 2015 | ||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||
Long-term debt | $ | 3,349.6 | $ | 3,133.4 | $ | 3,066.8 | $ | 2,585.5 | |||||||
Installment Payables | $ | 446.5 | $ | 451.6 | $ | — | $ | — | |||||||
Obligations under capital leases | $ | 12.3 | $ | 11.5 | $ | 16.7 | $ | 15.6 |
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Texas | Louisiana | Oklahoma | Crude and Condensate | Corporate | Totals | ||||||||||||||||||
(In millions) | |||||||||||||||||||||||
Three Months Ended June 30, 2016 | |||||||||||||||||||||||
Product sales | $ | 41.9 | $ | 399.5 | $ | 8.9 | $ | 288.0 | $ | — | $ | 738.3 | |||||||||||
Product sales-affiliates | 72.7 | 15.2 | 22.5 | 0.9 | (79.6 | ) | 31.7 | ||||||||||||||||
Midstream services | 23.2 | 52.7 | 18.0 | 14.4 | — | 108.3 | |||||||||||||||||
Midstream services-affiliates | 111.9 | 25.5 | 41.7 | 4.0 | (22.5 | ) | 160.6 | ||||||||||||||||
Cost of sales | (103.6 | ) | (425.5 | ) | (31.6 | ) | (273.8 | ) | 102.1 | (732.4 | ) | ||||||||||||
Operating expenses | (43.0 | ) | (25.4 | ) | (11.8 | ) | (19.9 | ) | — | (100.1 | ) | ||||||||||||
Loss on derivative activity | — | — | — | — | (5.7 | ) | (5.7 | ) | |||||||||||||||
Segment profit | $ | 103.1 | $ | 42.0 | $ | 47.7 | $ | 13.6 | $ | (5.7 | ) | $ | 200.7 | ||||||||||
Depreciation and amortization | $ | (48.7 | ) | $ | (28.6 | ) | $ | (34.8 | ) | $ | (10.6 | ) | $ | (2.2 | ) | $ | (124.9 | ) | |||||
Goodwill | $ | 231.1 | $ | — | $ | 190.3 | $ | — | $ | — | $ | 421.4 | |||||||||||
Capital expenditures | $ | 57.2 | $ | 14.1 | $ | 63.1 | $ | 0.9 | $ | 4.9 | $ | 140.2 | |||||||||||
Three Months Ended June 30, 2015 | |||||||||||||||||||||||
Product sales | $ | 81.2 | $ | 401.2 | $ | 0.1 | $ | 473.7 | $ | — | $ | 956.2 | |||||||||||
Product sales-affiliates | 35.0 | 17.0 | 1.7 | 14.0 | (36.0 | ) | 31.7 | ||||||||||||||||
Midstream services | 36.0 | 63.2 | 9.8 | 26.9 | — | 135.9 | |||||||||||||||||
Midstream services-affiliates | 115.8 | 0.3 | 29.1 | 4.3 | — | 149.5 | |||||||||||||||||
Cost of sales | (118.4 | ) | (418.2 | ) | (2.0 | ) | (465.6 | ) | 36.0 | (968.2 | ) | ||||||||||||
Operating expenses | (45.5 | ) | (27.2 | ) | (9.1 | ) | (27.3 | ) | — | (109.1 | ) | ||||||||||||
Gain on derivative activity | — | — | — | — | 1.2 | 1.2 | |||||||||||||||||
Segment profit | $ | 104.1 | $ | 36.3 | $ | 29.6 | $ | 26.0 | $ | 1.2 | $ | 197.2 | |||||||||||
Depreciation and amortization | $ | (42.8 | ) | $ | (26.9 | ) | $ | (11.8 | ) | $ | (14.5 | ) | $ | (1.7 | ) | $ | (97.7 | ) | |||||
Goodwill | $ | 1,185.0 | $ | 786.8 | $ | 190.3 | $ | 142.1 | $ | — | $ | 2,304.2 | |||||||||||
Capital expenditures | $ | 80.9 | $ | 14.7 | $ | 12.3 | $ | 54.4 | $ | 2.5 | $ | 164.8 | |||||||||||
Six Months Ended June 30, 2016 | |||||||||||||||||||||||
Product sales | $ | 104.4 | $ | 687.2 | $ | 16.7 | $ | 518.5 | $ | — | $ | 1,326.8 | |||||||||||
Product sales-affiliates | 110.0 | 22.6 | 33.1 | 1.1 | (110.6 | ) | 56.2 | ||||||||||||||||
Midstream services | 50.6 | 107.9 | 33.1 | 31.2 | — | 222.8 | |||||||||||||||||
Midstream services-affiliates | 222.2 | 38.2 | 86.7 | 9.2 | (33.1 | ) | 323.2 | ||||||||||||||||
Cost of sales | (194.9 | ) | (727.6 | ) | (50.9 | ) | (488.9 | ) | 143.7 | (1,318.6 | ) | ||||||||||||
Operating expenses | (82.3 | ) | (48.7 | ) | (24.6 | ) | (42.7 | ) | — | (198.3 | ) | ||||||||||||
Loss on derivative activity | — | — | — | — | (6.1 | ) | (6.1 | ) | |||||||||||||||
Segment profit | $ | 210.0 | $ | 79.6 | $ | 94.1 | $ | 28.4 | $ | (6.1 | ) | $ | 406.0 | ||||||||||
Depreciation and amortization | $ | (94.9 | ) | $ | (57.9 | ) | $ | (68.6 | ) | $ | (21.0 | ) | $ | (4.4 | ) | $ | (246.8 | ) | |||||
Impairments | $ | (473.1 | ) | $ | — | $ | — | $ | (93.2 | ) | $ | — | $ | (566.3 | ) | ||||||||
Goodwill | $ | 231.1 | $ | — | $ | 190.3 | $ | — | $ | — | $ | 421.4 | |||||||||||
Capital expenditures | $ | 80.5 | $ | 36.8 | $ | 132.3 | $ | 4.2 | $ | 6.8 | $ | 260.6 |
Six Months Ended June 30, 2015 | |||||||||||||||||||||||
Product sales | $ | 131.0 | $ | 773.4 | $ | 0.1 | $ | 722.4 | $ | — | $ | 1,626.9 | |||||||||||
Product sales-affiliates | 60.9 | 24.1 | 5.4 | 14.0 | (56.5 | ) | 47.9 | ||||||||||||||||
Midstream services | 55.6 | 121.1 | 20.5 | 41.1 | — | 238.3 | |||||||||||||||||
Midstream services-affiliates | 231.3 | 0.4 | 60.3 | 8.5 | — | 300.5 | |||||||||||||||||
Cost of sales | (185.6 | ) | (789.1 | ) | (7.1 | ) | (700.3 | ) | 56.5 | (1,625.6 | ) | ||||||||||||
Operating expenses | (92.6 | ) | (51.5 | ) | (16.1 | ) | (47.4 | ) | — | (207.6 | ) | ||||||||||||
Gain on derivative activity | — | — | — | — | 1.4 | 1.4 | |||||||||||||||||
Segment profit | $ | 200.6 | $ | 78.4 | $ | 63.1 | $ | 38.3 | $ | 1.4 | $ | 381.8 | |||||||||||
Depreciation and amortization | $ | (79.2 | ) | $ | (54.4 | ) | $ | (25.3 | ) | $ | (26.9 | ) | $ | (3.2 | ) | $ | (189.0 | ) | |||||
Goodwill | $ | 1,185.0 | $ | 786.8 | $ | 190.3 | $ | 142.1 | $ | — | $ | 2,304.2 | |||||||||||
Capital expenditures | $ | 154.4 | $ | 29.9 | $ | 17.5 | $ | 132.0 | $ | 6.7 | $ | 340.5 |
June 30, 2016 | December 31, 2015 | ||||||
Segment Identifiable Assets: | (In millions) | ||||||
Texas | $ | 3,179.9 | $ | 3,709.5 | |||
Louisiana | 2,330.9 | 2,309.3 | |||||
Oklahoma | 2,413.6 | 873.4 | |||||
Crude and Condensate | 780.6 | 898.0 | |||||
Corporate | 335.8 | 302.6 | |||||
Total identifiable assets | $ | 9,040.8 | $ | 8,092.8 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Segment profits | $ | 200.7 | $ | 197.2 | $ | 406.0 | $ | 381.8 | |||||||
General and administrative expenses | (29.1 | ) | (27.0 | ) | (62.3 | ) | (68.8 | ) | |||||||
Loss on disposition of assets | (0.3 | ) | — | (0.1 | ) | — | |||||||||
Depreciation and amortization | (124.9 | ) | (97.7 | ) | (246.8 | ) | (189.0 | ) | |||||||
Impairments | — | — | (566.3 | ) | — | ||||||||||
Operating income (loss) | $ | 46.4 | $ | 72.5 | $ | (469.5 | ) | $ | 124.0 |
|
Six Months Ended June 30, | ||||||||
2016 | 2015 | |||||||
Non-cash financing activities: | (In millions) | |||||||
Installment payable, net of discount of $79.1 million (1) | $ | 420.9 | $ | — | ||||
Non-cash issuance of common units (2) | — | 180.0 | ||||||
Non-cash issuance of Class C Common Units (2) | — | 180.0 | ||||||
Contribution from ENLC (3) | 237.1 | — | ||||||
Non-cash adjustment of interest in Midstream Holdings (4) | — | 66.5 |
(1) | We incurred installment purchase obligations, net of discount assuming payments of $250.0 million are made on January 7, 2017 and 2018, payable to the seller in connection with the Tall Oak acquisition. See Note 3 - Acquisitions for further discussion. |
(2) | Non-cash common units and Class C Common Units were issued as partial consideration for the Coronado acquisition. |
(3) | Contribution from ENLC in connection with the acquisition of Tall Oak. See Note 3 - Acquisitions for further discussion. |
(4) | Non-cash adjustment to reflect recast of the interests in EnLink Midstream Holdings, LP acquired on February 17, 2015. |
|
June 30, 2016 | December 31, 2015 | ||||||
(in millions) | |||||||
Accrued interest | $ | 23.6 | $ | 23.2 | |||
Accrued wages and benefits, including taxes | 10.3 | 27.7 | |||||
Accrued ad valorem taxes | 23.7 | 27.0 | |||||
Capital expenditure accruals | 23.6 | 22.3 | |||||
Onerous performance obligations | 16.3 | 17.0 | |||||
Other | 48.5 | 57.2 | |||||
Other current liabilities | $ | 146.0 | $ | 174.4 |
|
|
|
Three Months Ended June 30, | Six Months Ended June 30, | |||||||
2015 | 2015 | |||||||
(in millions) | ||||||||
Pro forma total revenues | $ | 1,283.3 | $ | 2,350.9 | ||||
Pro forma net income | $ | 37.3 | $ | 48.0 | ||||
Pro forma net income attributable to EnLink Midstream Partners, LP | $ | 40.5 | $ | 54.4 | ||||
Pro forma net income (loss) per common unit: | ||||||||
Basic | $ | (0.01 | ) | $ | (0.15 | ) | ||
Diluted | $ | (0.01 | ) | $ | (0.15 | ) |
Consideration (in millions): | ||||
Cash | $ | 784.2 | ||
Total installment payable, net of discount of $79.1 million assuming payments are made on January 7, 2017 and 2018 | 420.9 | |||
Contribution from ENLC | 237.1 | |||
Total consideration | $ | 1,442.2 | ||
Purchase Price Allocation (in millions): | ||||
Assets acquired: | ||||
Current assets (including $12.8 million in cash) | $ | 23.0 | ||
Property, plant and equipment | 423.2 | |||
Intangibles | 1,034.3 | |||
Liabilities assumed: | ||||
Current liabilities | (38.3 | ) | ||
Total identifiable net assets | $ | 1,442.2 |
Purchase Price Allocation (in millions): | ||||
Assets acquired: | ||||
Current assets | $ | 1.1 | ||
Property, plant and equipment | 35.5 | |||
Intangibles | 98.8 | |||
Goodwill | 9.8 | |||
Liabilities assumed: | ||||
Current liabilities | (3.9 | ) | ||
Total identifiable net assets | $ | 141.3 |
|
Texas | Louisiana | Oklahoma | Crude and Condensate | Corporate | Totals | ||||||||||||||||||
Six Months Ended June 30, 2016 | |||||||||||||||||||||||
Balance, beginning of period | $ | 703.5 | $ | — | $ | 190.3 | $ | 93.2 | $ | — | $ | 987.0 | |||||||||||
Impairment | (473.1 | ) | — | — | (93.2 | ) | — | (566.3 | ) | ||||||||||||||
Acquisition adjustment | 0.7 | — | — | — | — | 0.7 | |||||||||||||||||
Balance, end of period | $ | 231.1 | $ | — | $ | 190.3 | $ | — | $ | — | $ | 421.4 |
Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||
Six Months Ended June 30, 2016 | ||||||||||||
Customer relationships, beginning of period | $ | 744.5 | $ | (54.6 | ) | $ | 689.9 | |||||
Acquisitions | 1,034.3 | — | 1,034.3 | |||||||||
Amortization expense | — | (57.5 | ) | (57.5 | ) | |||||||
Customer relationships, end of period | $ | 1,778.8 | $ | (112.1 | ) | $ | 1,666.7 |
2016 (remaining) | $ | 58.4 | |
2017 | 116.7 | ||
2018 | 116.7 | ||
2019 | 116.7 | ||
2020 | 116.7 | ||
Thereafter | 1,141.5 | ||
Total | $ | 1,666.7 |
|
June 30, 2016 | December 31, 2015 | ||||||
Credit facility (due 2020), interest based on Prime and/or LIBOR plus an applicable margin, interest rate at June 30, 2016 and December 31, 2015 was 2.2% and 1.8%, respectively | $ | 697.0 | $ | 414.0 | |||
Senior unsecured notes (due 2019), net of discount of $0.3 million at June 30, 2016 and $0.4 million at December 31, 2015, which bear interest at the rate of 2.70% | 399.7 | 399.6 | |||||
Senior unsecured notes (due 2022), including a premium of $17.5 million at June 30, 2016 and $18.9 million at December 31, 2015, which bear interest at the rate of 7.125% | 180.0 | 181.4 | |||||
Senior unsecured notes (due 2024), net of premium of $2.7 million at June 30, 2016 and $2.9 million at December 31, 2015, which bear interest at the rate of 4.40% | 552.7 | 552.9 | |||||
Senior unsecured notes (due 2025), net of discount of $1.2 million at June 30, 2016 and $1.2 million at December 31, 2015, which bear interest at the rate of 4.15% | 748.8 | 748.8 | |||||
Senior unsecured notes (due 2044), net of discount of $0.2 million at June 30, 2016 and $0.2 million at December 31, 2015, which bear interest at the rate of 5.60% | 349.8 | 349.8 | |||||
Senior unsecured notes (due 2045), net of discount of $6.8 million at June 30, 2016 and $6.9 million at December 31, 2015, which bear interest at the rate of 5.05% | 443.2 | 443.1 | |||||
Debt issuance cost, net of amortization of $6.4 million at June 30, 2016 and $4.7 million at December 31, 2015 | (21.6 | ) | (23.0 | ) | |||
Other debt | — | 0.2 | |||||
Debt classified as long-term | $ | 3,349.6 | $ | 3,066.8 |
|
Declaration period | Distribution/unit | Date paid/payable | ||||
Fourth Quarter of 2015 | $ | 0.39 | February 11, 2016 | |||
First Quarter of 2016 | $ | 0.39 | May 12, 2016 | |||
Second Quarter of 2016 | $ | 0.39 | August 11, 2016 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Limited partners’ interest in net income (loss) | $ | (23.5 | ) | $ | 35.7 | $ | (590.7 | ) | $ | 44.7 | |||||
Distributed earnings allocated to: | |||||||||||||||
Common units (1) (2) | $ | 128.6 | $ | 117.6 | $ | 255.5 | $ | 214.4 | |||||||
Unvested restricted units (1) (2) | 0.9 | 0.4 | 1.7 | 0.9 | |||||||||||
Total distributed earnings | $ | 129.5 | $ | 118.0 | $ | 257.2 | $ | 215.3 | |||||||
Undistributed loss allocated to: | |||||||||||||||
Common units | $ | (151.6 | ) | $ | (82.0 | ) | $ | (842.3 | ) | $ | (169.9 | ) | |||
Unvested restricted units | (1.4 | ) | (0.3 | ) | (5.6 | ) | (0.7 | ) | |||||||
Total undistributed loss | $ | (153.0 | ) | $ | (82.3 | ) | $ | (847.9 | ) | $ | (170.6 | ) | |||
Net income (loss) allocated to: | 0 | ||||||||||||||
Common units | $ | (23.0 | ) | $ | 35.6 | $ | (586.8 | ) | $ | 44.5 | |||||
Unvested restricted units | (0.5 | ) | 0.1 | (3.9 | ) | 0.2 | |||||||||
Total limited partners’ interest in net income (loss) | $ | (23.5 | ) | $ | 35.7 | $ | (590.7 | ) | $ | 44.7 | |||||
Basic and diluted net income (loss) per unit: | |||||||||||||||
Basic | $ | (0.07 | ) | $ | 0.12 | $ | (1.80 | ) | $ | 0.16 | |||||
Diluted | $ | (0.07 | ) | $ | 0.12 | $ | (1.80 | ) | $ | 0.16 |
(1) | Three months ended June 30, 2016 and 2015 represents a declared distribution of $0.39 per unit payable on August 11, 2016 and a distribution of $0.385 per unit paid on August 13, 2015, respectively. |
(2) | Six months ended June 30, 2016 and 2015 represents a distribution of $0.39 per unit paid on May 12, 2016, a declared distribution of $0.39 per unit payable on August 11, 2016 and distributions of $0.38 per unit paid on May 14, 2015 and of $0.385 per unit paid on August 13, 2015. |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||
Basic weighted average units outstanding: | |||||||||||
Weighted average limited partner basic common units outstanding (1) | 330.1 | 305.2 | 327.6 | 284.2 | |||||||
Diluted weighted average units outstanding: | |||||||||||
Weighted average limited partner basic common units outstanding | 330.1 | 305.2 | 327.6 | 284.2 | |||||||
Dilutive effect of restricted units issued | — | 0.4 | — | 0.4 | |||||||
Total weighted average limited partner diluted common units outstanding | 330.1 | 305.6 | 327.6 | 284.6 |
(1) | The three and six months ended June 30, 2016 includes the weighted average impact of 7,409,996 and 7,298,996 Common Class C Common Units, respectively, that converted into common units on May 13, 2016. The three and six months ended June 30, 2015 includes the weighted average impact of 6,770,083 and 3,959,347 Common Class C Common Units, respectively, that converted into common units on May 13, 2016 and 14,088,418 and 7,083,128 Common Class E Common Units, respectively, that converted into common units on August 3, 2015. |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Income allocation for incentive distributions | $ | 14.2 | $ | 11.3 | $ | 28.0 | $ | 20.1 | |||||||
Unit-based compensation attributable to ENLC’s restricted units | (3.6 | ) | (3.9 | ) | (7.6 | ) | (10.9 | ) | |||||||
General partner share of net income (loss) | — | 0.2 | (2.4 | ) | 0.3 | ||||||||||
General partner interest in drop down transactions | — | 11.5 | — | 36.1 | |||||||||||
General partner interest in net income | $ | 10.6 | $ | 19.1 | $ | 18.0 | $ | 45.6 |
|
Six Months Ended June 30, | |||||||
2016 | 2015 | ||||||
(in millions) | |||||||
Beginning asset retirement obligations | $ | 14.0 | $ | 20.6 | |||
Revisions to existing liabilities | (0.4 | ) | (4.0 | ) | |||
Accretion | 0.2 | 0.3 | |||||
Liabilities settled | (0.6 | ) | (3.2 | ) | |||
Ending asset retirement obligations | $ | 13.2 | $ | 13.7 |
|
June 30, 2016 | December 31, 2015 | ||||||
Gulf Coast Fractionators | $ | 47.9 | $ | 52.6 | |||
Howard Energy Partners | 251.8 | 221.7 | |||||
Total investment in unconsolidated affiliates | $ | 299.7 | $ | 274.3 |
Gulf Coast Fractionators | Howard Energy Partners | Total | |||||||||
Three months ended | |||||||||||
June 30, 2016 | |||||||||||
Contributions | $ | — | $ | 34.7 | $ | 34.7 | |||||
Distributions | $ | 0.5 | $ | 5.1 | $ | 5.6 | |||||
Equity in net income | $ | 0.5 | $ | 0.3 | $ | 0.8 | |||||
June 30, 2015 | |||||||||||
Distributions | $ | 4.2 | $ | 8.2 | $ | 12.4 | |||||
Equity in net income | $ | 2.9 | $ | 3.0 | $ | 5.9 | |||||
Six months ended | |||||||||||
June 30, 2016 | |||||||||||
Contributions | $ | — | $ | 41.8 | $ | 41.8 | |||||
Distributions | $ | 3.5 | $ | 11.3 | $ | 14.8 | |||||
Equity in net loss | $ | (1.2 | ) | $ | (0.4 | ) | $ | (1.6 | ) | ||
June 30, 2015 | |||||||||||
Distributions | $ | 6.9 | $ | 12.3 | $ | 19.2 | |||||
Equity in net income | $ | 6.3 | $ | 3.4 | $ | 9.7 |
|
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Cost of unit-based compensation charged to general and administrative expense | $ | 5.7 | $ | 6.5 | $ | 11.9 | $ | 18.4 | |||||||
Cost of unit-based compensation charged to operating expense | 1.6 | 1.1 | 3.3 | 3.0 | |||||||||||
Total amount charged to income | $ | 7.3 | $ | 7.6 | $ | 15.2 | $ | 21.4 |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream, LLC Restricted Incentive Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-vested, beginning of period | 1,148,893 | $ | 34.78 | |||||
Granted | 1,038,619 | 9.44 | ||||||
Vested* | (320,497 | ) | 36.92 | |||||
Forfeited | (37,952 | ) | 23.95 | |||||
Non-vested, end of period | 1,829,063 | $ | 20.24 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 29.1 |
* | Vested units include 91,256 units withheld for payroll taxes paid on behalf of employees. |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream Partners, LP Restricted Incentive Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-vested, beginning of period | 1,253,729 | $ | 29.59 | |||||
Granted | 1,046,685 | 10.03 | ||||||
Vested* | (297,439 | ) | 30.33 | |||||
Forfeited | (40,998 | ) | 22.17 | |||||
Non-vested, end of period | 1,961,977 | $ | 19.20 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 32.6 |
* | Vested units include 85,366 units withheld for payroll taxes paid on behalf of employees. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
EnLink Midstream Partners, LP Restricted Incentive Units: | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Aggregate intrinsic value of units vested | $ | 0.1 | $ | 0.4 | $ | 3.8 | $ | 7.2 | ||||||||
Fair value of units vested | $ | — | $ | 0.5 | $ | 9.0 | $ | 7.5 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
EnLink Midstream, LLC Restricted Incentive Units: | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Aggregate intrinsic value of units vested | $ | — | $ | 0.6 | $ | 3.8 | $ | 8.9 | ||||||||
Fair value of units vested | $ | — | $ | 0.6 | $ | 11.8 | $ | 9.2 |
EnLink Midstream, LLC Performance Units: | January 2016 | February 2016 | ||||||
Beginning TSR Price | $ | 15.38 | $ | 15.38 | ||||
Risk-free interest rate | 1.10 | % | 0.89 | % | ||||
Volatility factor | 46.02 | % | 52.05 | % | ||||
Distribution yield | 8.60 | % | 14.00 | % |
EnLink Midstream Partners, LP Performance Units: | January 2016 | February 2016 | ||||||
Beginning TSR Price | $ | 14.82 | $ | 14.82 | ||||
Risk-free interest rate | 1.10 | % | 0.89 | % | ||||
Volatility factor | 39.71 | % | 42.33 | % | ||||
Distribution yield | 12.10 | % | 19.20 | % |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream, LLC Performance Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-Vested, beginning of period | 105,080 | $ | 40.50 | |||||
Granted | 242,646 | 9.59 | ||||||
Forfeited | (2,525 | ) | 41.31 | |||||
Non-vested, end of period | 345,201 | $ | 18.76 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 5.5 |
Six Months Ended June 30, 2016 | ||||||||
EnLink Midstream Partners, LP Performance Units: | Number of Units | Weighted Average Grant-Date Fair Value | ||||||
Non-Vested, beginning of period | 118,126 | $ | 35.41 | |||||
Granted | 258,078 | 9.81 | ||||||
Forfeited | (2,798 | ) | 36.18 | |||||
Non-vested, end of period | 373,406 | $ | 17.71 | |||||
Aggregate intrinsic value, end of period (in millions) | $ | 6.2 |
|
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Settlement gains on derivatives | $ | — | $ | 3.6 | $ | — | $ | 3.6 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Change in fair value of derivatives | $ | (8.4 | ) | $ | (2.5 | ) | $ | (14.4 | ) | $ | (6.3 | ) | |||
Realized gain on derivatives | 2.7 | 3.7 | 8.3 | 7.7 | |||||||||||
Gain (loss) on derivative activity | $ | (5.7 | ) | $ | 1.2 | $ | (6.1 | ) | $ | 1.4 |
June 30, 2016 | December 31, 2015 | ||||||
Fair value of derivative assets — current | $ | 5.3 | $ | 16.8 | |||
Fair value of derivative liabilities — current | (5.8 | ) | (2.9 | ) | |||
Fair value of derivative liabilities — long term | — | (0.1 | ) | ||||
Net fair value of derivatives | $ | (0.5 | ) | $ | 13.8 |
June 30, 2016 | |||||||||||
Commodity | Instruments | Unit | Volume | Fair Value | |||||||
(In millions) | |||||||||||
NGL (short contracts) | Swaps | Gallons | (31.9 | ) | $ | 3.4 | |||||
NGL (long contracts) | Swaps | Gallons | 11.4 | (0.4 | ) | ||||||
Natural Gas (short contracts) | Swaps | MMBtu | (6.3 | ) | (2.9 | ) | |||||
Natural Gas (long contracts) | Swaps | MMBtu | 1.3 | (0.1 | ) | ||||||
Condensate (short contracts) | Swaps | MMBbls | (0.1 | ) | (0.5 | ) | |||||
Total fair value of derivatives | $ | (0.5 | ) |
|
June 30, 2016 Level 2 | December 31, 2015 Level 2 | ||||||
Commodity Swaps* | $ | (0.5 | ) | $ | 13.8 | ||
Total | $ | (0.5 | ) | $ | 13.8 |
* | The fair value of derivative contracts included in assets or liabilities for risk management activities represents the amount at which the instruments could be exchanged in a current arms-length transaction adjusted for our and/or the counterparty credit risk as required under FASB ASC 820. |
June 30, 2016 | December 31, 2015 | ||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||
Long-term debt | $ | 3,349.6 | $ | 3,133.4 | $ | 3,066.8 | $ | 2,585.5 | |||||||
Installment Payables | $ | 446.5 | $ | 451.6 | $ | — | $ | — | |||||||
Obligations under capital leases | $ | 12.3 | $ | 11.5 | $ | 16.7 | $ | 15.6 |
|
Texas | Louisiana | Oklahoma | Crude and Condensate | Corporate | Totals | ||||||||||||||||||
(In millions) | |||||||||||||||||||||||
Three Months Ended June 30, 2016 | |||||||||||||||||||||||
Product sales | $ | 41.9 | $ | 399.5 | $ | 8.9 | $ | 288.0 | $ | — | $ | 738.3 | |||||||||||
Product sales-affiliates | 72.7 | 15.2 | 22.5 | 0.9 | (79.6 | ) | 31.7 | ||||||||||||||||
Midstream services | 23.2 | 52.7 | 18.0 | 14.4 | — | 108.3 | |||||||||||||||||
Midstream services-affiliates | 111.9 | 25.5 | 41.7 | 4.0 | (22.5 | ) | 160.6 | ||||||||||||||||
Cost of sales | (103.6 | ) | (425.5 | ) | (31.6 | ) | (273.8 | ) | 102.1 | (732.4 | ) | ||||||||||||
Operating expenses | (43.0 | ) | (25.4 | ) | (11.8 | ) | (19.9 | ) | — | (100.1 | ) | ||||||||||||
Loss on derivative activity | — | — | — | — | (5.7 | ) | (5.7 | ) | |||||||||||||||
Segment profit | $ | 103.1 | $ | 42.0 | $ | 47.7 | $ | 13.6 | $ | (5.7 | ) | $ | 200.7 | ||||||||||
Depreciation and amortization | $ | (48.7 | ) | $ | (28.6 | ) | $ | (34.8 | ) | $ | (10.6 | ) | $ | (2.2 | ) | $ | (124.9 | ) | |||||
Goodwill | $ | 231.1 | $ | — | $ | 190.3 | $ | — | $ | — | $ | 421.4 | |||||||||||
Capital expenditures | $ | 57.2 | $ | 14.1 | $ | 63.1 | $ | 0.9 | $ | 4.9 | $ | 140.2 | |||||||||||
Three Months Ended June 30, 2015 | |||||||||||||||||||||||
Product sales | $ | 81.2 | $ | 401.2 | $ | 0.1 | $ | 473.7 | $ | — | $ | 956.2 | |||||||||||
Product sales-affiliates | 35.0 | 17.0 | 1.7 | 14.0 | (36.0 | ) | 31.7 | ||||||||||||||||
Midstream services | 36.0 | 63.2 | 9.8 | 26.9 | — | 135.9 | |||||||||||||||||
Midstream services-affiliates | 115.8 | 0.3 | 29.1 | 4.3 | — | 149.5 | |||||||||||||||||
Cost of sales | (118.4 | ) | (418.2 | ) | (2.0 | ) | (465.6 | ) | 36.0 | (968.2 | ) | ||||||||||||
Operating expenses | (45.5 | ) | (27.2 | ) | (9.1 | ) | (27.3 | ) | — | (109.1 | ) | ||||||||||||
Gain on derivative activity | — | — | — | — | 1.2 | 1.2 | |||||||||||||||||
Segment profit | $ | 104.1 | $ | 36.3 | $ | 29.6 | $ | 26.0 | $ | 1.2 | $ | 197.2 | |||||||||||
Depreciation and amortization | $ | (42.8 | ) | $ | (26.9 | ) | $ | (11.8 | ) | $ | (14.5 | ) | $ | (1.7 | ) | $ | (97.7 | ) | |||||
Goodwill | $ | 1,185.0 | $ | 786.8 | $ | 190.3 | $ | 142.1 | $ | — | $ | 2,304.2 | |||||||||||
Capital expenditures | $ | 80.9 | $ | 14.7 | $ | 12.3 | $ | 54.4 | $ | 2.5 | $ | 164.8 | |||||||||||
Six Months Ended June 30, 2016 | |||||||||||||||||||||||
Product sales | $ | 104.4 | $ | 687.2 | $ | 16.7 | $ | 518.5 | $ | — | $ | 1,326.8 | |||||||||||
Product sales-affiliates | 110.0 | 22.6 | 33.1 | 1.1 | (110.6 | ) | 56.2 | ||||||||||||||||
Midstream services | 50.6 | 107.9 | 33.1 | 31.2 | — | 222.8 | |||||||||||||||||
Midstream services-affiliates | 222.2 | 38.2 | 86.7 | 9.2 | (33.1 | ) | 323.2 | ||||||||||||||||
Cost of sales | (194.9 | ) | (727.6 | ) | (50.9 | ) | (488.9 | ) | 143.7 | (1,318.6 | ) | ||||||||||||
Operating expenses | (82.3 | ) | (48.7 | ) | (24.6 | ) | (42.7 | ) | — | (198.3 | ) | ||||||||||||
Loss on derivative activity | — | — | — | — | (6.1 | ) | (6.1 | ) | |||||||||||||||
Segment profit | $ | 210.0 | $ | 79.6 | $ | 94.1 | $ | 28.4 | $ | (6.1 | ) | $ | 406.0 | ||||||||||
Depreciation and amortization | $ | (94.9 | ) | $ | (57.9 | ) | $ | (68.6 | ) | $ | (21.0 | ) | $ | (4.4 | ) | $ | (246.8 | ) | |||||
Impairments | $ | (473.1 | ) | $ | — | $ | — | $ | (93.2 | ) | $ | — | $ | (566.3 | ) | ||||||||
Goodwill | $ | 231.1 | $ | — | $ | 190.3 | $ | — | $ | — | $ | 421.4 | |||||||||||
Capital expenditures | $ | 80.5 | $ | 36.8 | $ | 132.3 | $ | 4.2 | $ | 6.8 | $ | 260.6 |
Six Months Ended June 30, 2015 | |||||||||||||||||||||||
Product sales | $ | 131.0 | $ | 773.4 | $ | 0.1 | $ | 722.4 | $ | — | $ | 1,626.9 | |||||||||||
Product sales-affiliates | 60.9 | 24.1 | 5.4 | 14.0 | (56.5 | ) | 47.9 | ||||||||||||||||
Midstream services | 55.6 | 121.1 | 20.5 | 41.1 | — | 238.3 | |||||||||||||||||
Midstream services-affiliates | 231.3 | 0.4 | 60.3 | 8.5 | — | 300.5 | |||||||||||||||||
Cost of sales | (185.6 | ) | (789.1 | ) | (7.1 | ) | (700.3 | ) | 56.5 | (1,625.6 | ) | ||||||||||||
Operating expenses | (92.6 | ) | (51.5 | ) | (16.1 | ) | (47.4 | ) | — | (207.6 | ) | ||||||||||||
Gain on derivative activity | — | — | — | — | 1.4 | 1.4 | |||||||||||||||||
Segment profit | $ | 200.6 | $ | 78.4 | $ | 63.1 | $ | 38.3 | $ | 1.4 | $ | 381.8 | |||||||||||
Depreciation and amortization | $ | (79.2 | ) | $ | (54.4 | ) | $ | (25.3 | ) | $ | (26.9 | ) | $ | (3.2 | ) | $ | (189.0 | ) | |||||
Goodwill | $ | 1,185.0 | $ | 786.8 | $ | 190.3 | $ | 142.1 | $ | — | $ | 2,304.2 | |||||||||||
Capital expenditures | $ | 154.4 | $ | 29.9 | $ | 17.5 | $ | 132.0 | $ | 6.7 | $ | 340.5 |
June 30, 2016 | December 31, 2015 | ||||||
Segment Identifiable Assets: | (In millions) | ||||||
Texas | $ | 3,179.9 | $ | 3,709.5 | |||
Louisiana | 2,330.9 | 2,309.3 | |||||
Oklahoma | 2,413.6 | 873.4 | |||||
Crude and Condensate | 780.6 | 898.0 | |||||
Corporate | 335.8 | 302.6 | |||||
Total identifiable assets | $ | 9,040.8 | $ | 8,092.8 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2016 | 2015 | 2016 | 2015 | ||||||||||||
Segment profits | $ | 200.7 | $ | 197.2 | $ | 406.0 | $ | 381.8 | |||||||
General and administrative expenses | (29.1 | ) | (27.0 | ) | (62.3 | ) | (68.8 | ) | |||||||
Loss on disposition of assets | (0.3 | ) | — | (0.1 | ) | — | |||||||||
Depreciation and amortization | (124.9 | ) | (97.7 | ) | (246.8 | ) | (189.0 | ) | |||||||
Impairments | — | — | (566.3 | ) | — | ||||||||||
Operating income (loss) | $ | 46.4 | $ | 72.5 | $ | (469.5 | ) | $ | 124.0 |
|
Six Months Ended June 30, | ||||||||
2016 | 2015 | |||||||
Non-cash financing activities: | (In millions) | |||||||
Installment payable, net of discount of $79.1 million (1) | $ | 420.9 | $ | — | ||||
Non-cash issuance of common units (2) | — | 180.0 | ||||||
Non-cash issuance of Class C Common Units (2) | — | 180.0 | ||||||
Contribution from ENLC (3) | 237.1 | — | ||||||
Non-cash adjustment of interest in Midstream Holdings (4) | — | 66.5 |
(1) | We incurred installment purchase obligations, net of discount assuming payments of $250.0 million are made on January 7, 2017 and 2018, payable to the seller in connection with the Tall Oak acquisition. See Note 3 - Acquisitions for further discussion. |
(2) | Non-cash common units and Class C Common Units were issued as partial consideration for the Coronado acquisition. |
(3) | Contribution from ENLC in connection with the acquisition of Tall Oak. See Note 3 - Acquisitions for further discussion. |
(4) | Non-cash adjustment to reflect recast of the interests in EnLink Midstream Holdings, LP acquired on February 17, 2015. |
|
June 30, 2016 | December 31, 2015 | ||||||
(in millions) | |||||||
Accrued interest | $ | 23.6 | $ | 23.2 | |||
Accrued wages and benefits, including taxes | 10.3 | 27.7 | |||||
Accrued ad valorem taxes | 23.7 | 27.0 | |||||
Capital expenditure accruals | 23.6 | 22.3 | |||||
Onerous performance obligations | 16.3 | 17.0 | |||||
Other | 48.5 | 57.2 | |||||
Other current liabilities | $ | 146.0 | $ | 174.4 |
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