Segment Disclosures

12 Months Ended

Dec. 31, 2020

Segment Reporting [Abstract]

Segment Disclosures [Text Block]

Note 20 – Segment Disclosures

Our reportable segments are Transmission & Gulf of Mexico, Northeast G&P, and West. All remaining business activities are included in Other. (See Note 1 – General, Description of Business, Basis of Presentation, and Summary of Significant Accounting Policies.)

Performance Measurement

We evaluate segment operating performance based upon Modified EBITDA. This measure represents the basis of our internal financial reporting and is the primary performance measure used by our chief operating decision maker in measuring performance and allocating resources among our reportable segments. Intersegment revenues primarily represent the sale of NGLs from our natural gas processing plants and transportation services provided to our marketing business.

We define Modified EBITDA as follows:

•Net income (loss) before:

◦Income (loss) from discontinued operations;

◦Provision (benefit) for income taxes;

◦Interest incurred, net of interest capitalized;

◦Equity earnings (losses);

◦Impairment of equity-method investments;

◦Other investing income (loss) – net;

◦Impairment of goodwill;

◦Depreciation and amortization expenses;

◦Accretion expense associated with asset retirement obligations for nonregulated operations.

•This measure is further adjusted to include our proportionate share (based on ownership interest) of Modified EBITDA from our equity-method investments calculated consistently with the definition described above.

The following table reflects the reconciliation of Segment revenues to Total revenues as reported in the Consolidated Statement of Operations and Other financial information:

	Transmission & Gulf of Mexico		Northeast G&P		West		Other		Eliminations		Total
	(Millions)
2020
Segment revenues:
Service revenues
External	$	3,207	$	1,416	$	1,280	$	21	$	—	$	5,924
Internal	50		49		—		13		(112)		—
Total service revenues	3,257		1,465		1,280		34		(112)		5,924
Total service revenues – commodity consideration	21		7		101		—		—		129
Product sales
External	144		16		1,506		—		—		1,666
Internal	47		41		56		—		(144)		—
Total product sales	191		57		1,562		—		(144)		1,666
Total revenues	$	3,469	$	1,529	$	2,943	$	34	$	(256)	$	7,719
Other financial information:
Additions to long-lived assets	$	706	$	137	$	318	$	122	$	—	$	1,283
Proportional Modified EBITDA of equity-method investments	166		473		110		—		—		749
2019
Segment revenues:
Service revenues
External	$	3,261	$	1,291	$	1,364	$	17	$	—	$	5,933
Internal	50		47		—		13		(110)		—
Total service revenues	3,311		1,338		1,364		30		(110)		5,933
Total service revenues – commodity consideration	41		12		150		—		—		203
Product sales
External	217		115		1,733		—		—		2,065
Internal	71		35		64		—		(170)		—
Total product sales	288		150		1,797		—		(170)		2,065
Total revenues	$	3,640	$	1,500	$	3,311	$	30	$	(280)	$	8,201
Other financial information:
Additions to long-lived assets	$	1,341	$	1,245	$	304	$	21	$	—	$	2,911
Proportional Modified EBITDA of equity-method investments	177		454		115		—		—		746

	Transmission & Gulf of Mexico		Northeast G&P		West		Other		Eliminations		Total
	(Millions)
2018
Segment revenues:
Service revenues
External	$	2,904	$	935	$	1,641	$	22	$	—	$	5,502
Internal	49		41		—		12		(102)		—
Total service revenues	2,953		976		1,641		34		(102)		5,502
Total service revenues – commodity consideration	59		20		321		—		—		400
Product sales
External	174		245		2,365		—		—		2,784
Internal	261		42		83		—		(386)		—
Total product sales	435		287		2,448		—		(386)		2,784
Total revenues	$	3,447	$	1,283	$	4,410	$	34	$	(488)	$	8,686
Other financial information:
Additions to long-lived assets	$	2,379	$	477	$	279	$	36	$	—	$	3,171
Proportional Modified EBITDA of equity-method investments	183		493		94		—		—		770

The following table reflects the reconciliation of Modified EBITDA to Net income (loss) as reported in the Consolidated Statement of Operations:

	Year Ended December 31,
	2020		2019		2018
	(Millions)
Modified EBITDA by segment:
Transmission & Gulf of Mexico	$	2,379	$	2,175	$	2,293
Northeast G&P	1,489		1,314		1,086
West	998		952		38
Other	(15)		6		(29)
	4,851		4,447		3,388
Accretion expense associated with asset retirement obligations for nonregulated operations	(35)		(33)		(33)
Depreciation and amortization expenses	(1,721)		(1,714)		(1,725)
Impairment of goodwill	(187)		—		—
Equity earnings (losses)	328		375		396
Impairment of equity-method investments	(1,046)		(186)		(32)
Other investing income (loss) – net	8		107		219
Proportional Modified EBITDA of equity-method investments	(749)		(746)		(770)
Interest expense	(1,172)		(1,186)		(1,112)
(Provision) benefit for income taxes	(79)		(335)		(138)
Income (loss) from discontinued operations	—		(15)		—
Net income (loss)	$	198	$	714	$	193

The following table reflects Total assets and Equity-method investments by reportable segments:

	Total Assets				Equity-Method Investments
	December 31, 2020		December 31, 2019		December 31, 2020		December 31, 2019
	(Millions)
Transmission & Gulf of Mexico	$	19,110	$	18,796	$	610	$	741
Northeast G&P	14,569		15,399		3,682		3,973
West	10,558		11,265		867		1,521
Other	927		1,151		—		—
Eliminations (1)	(999)		(571)		—		—
Total	$	44,165	$	46,040	$	5,159	$	6,235

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(1)    Eliminations primarily relate to the intercompany notes and accounts receivable generated by our cash management program.