Unconsolidated Affiliate (Tables)

9 Months Ended

Sep. 30, 2017

Summarized unaudited consolidated income information for Enable is as follows:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2017		2016		2017		2016
	(in millions)
Operating revenues	$	705	$	620	$	1,997	$	1,658
Cost of sales, excluding depreciation and amortization	349		268		936		717
Impairment of goodwill and other long-lived assets	—		8		—		8
Operating income	137		139		399		299
Net income attributable to Enable	104		110		301		231

Reconciliation of Equity in Earnings, net:
CERC Corp.’s interest	$	56	$	61	$	163	$	128
Basis difference amortization (1)	12		12		36		36
CERC Corp.’s equity in earnings, net	$	68	$	73	$	199	$	164


(1)	Equity in earnings of unconsolidated affiliates includes CERC Corp.’s share of Enable’s earnings adjusted for the amortization of the basis difference of CERC Corp.’s original investment in Enable and its underlying equity in Enable’s net assets. The basis difference is amortized over approximately 33 years, the average life of the assets to which the basis difference is attributed.

Summarized unaudited consolidated balance sheet information for Enable is as follows:



	September 30, 2017			December 31, 2016
	(in millions)
Current assets	$	446		$	396
Non-current assets	10,816			10,816
Current liabilities	831			362
Non-current liabilities	2,740			3,056
Non-controlling interest	12			12
Preferred equity	362			362
Enable partners’ equity	7,317			7,420

Reconciliation of Equity Method Investment in Enable:
CERC Corp.’s ownership interest in Enable partners’ capital	$	4,007		$	4,067
CERC Corp.’s basis difference	(1,526		)	(1,562		)
CERC Corp.’s equity method investment in Enable	$	2,481		$	2,505

Distributions Received from Unconsolidated Affiliate:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2017		2016		2017		2016
	(in millions)
Investment in Enable’s common units	$	74	$	74	$	223	$	223

Transactions with Enable:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2017		2016		2017		2016
	(in millions)
Reimbursement of transition services (1)	$	—	$	1	$	3	$	6
Natural gas expenses, including transportation and storage costs	23		22		80		79
Interest income related to notes receivable from Enable	—		—		—		1


(1)	Represents amounts billed under the Transition Agreements for certain support services provided to Enable. Actual transition services costs are recorded net of reimbursement.



	September 30, 2017		December 31, 2016
	(in millions)
Accounts receivable for amounts billed for transition services	$	1	$	1
Accounts payable for natural gas purchases from Enable	8		10

Limited Partner Interest in Enable:

Enable Common Units Held: