Reportable Business Segments

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Reportable Business Segments

Reportable Business Segments

Because CERC is an indirect, wholly-owned subsidiary of CenterPoint Energy, CERC’s determination of reportable business segments considers the strategic operating units under which CenterPoint Energy manages sales, allocates resources and assesses performance of various products and services to wholesale or retail customers in differing regulatory environments. CERC uses operating income as the measure of profit or loss for its business segments.

CERC’s reportable business segments include the following: Natural Gas Distribution, Energy Services, Midstream Investments and Other Operations.  Natural Gas Distribution consists of intrastate natural gas sales to, and natural gas transportation and distribution for, residential, commercial, industrial and institutional customers. Energy Services represents CERC’s non-rate regulated gas sales and services operations. Midstream Investments consists of CERC’s investment in Enable. The Other Operations business segment includes unallocated corporate costs and inter-segment eliminations.

Financial data for business segments is as follows:

	For the Three Months Ended March 31, 2016
	Revenues from External Customers		Inter-segment Revenues			Operating Income		Total Assets as of March 31, 2016
	(in millions)
Natural Gas Distribution	$	888	$	7		$	160	$	5,661
Energy Services	432		7			6		844
Midstream Investments (1)	—		—			—		2,580
Other Operations	—		—			—		398
Reconciling Eliminations	—		(14		)	—		(829		)
Consolidated	$	1,320	$	—		$	166	$	8,654

	For the Three Months Ended March 31, 2015
	Revenues from External Customers		Inter-segment Revenues			Operating Income		Total Assets as of December 31, 2015
	(in millions)
Natural Gas Distribution	$	1,185	$	8		$	146	$	5,657
Energy Services	632		18			13		857
Midstream Investments (1)	—		—			—		2,594
Other Operations	—		—			1		777
Reconciling Eliminations	—		(26		)	—		(744		)
Consolidated	$	1,817	$	—		$	160	$	9,141

(1) Midstream Investments’ equity earnings are as follows:

	Three Months Ended March 31,
	2016		2015
	(in millions)
Enable	$	60	$	52

Midstream Investments’ total assets are as follows:

	March 31, 2016		December 31, 2015
	(in millions)
Enable	$	2,580	$	2,594