NET INCOME PER COMMON UNIT

9 Months Ended

Sep. 30, 2014

NET INCOME PER COMMON UNIT

NET INCOME PER COMMON UNIT

NOTE 7NET INCOME PER COMMON UNIT

Net income per common unit is computed by dividing net income attributable to controlling interests, after deduction of the General Partner’s allocation and net income attributed to GTN’s and Bison’s former parent, by the weighted average number of common units outstanding. The General Partner’s allocation is equal to an amount based upon the General Partner’s effective two percent general partner interest, plus an amount equal to incentive distributions. Incentive distributions are paid to the General Partner if quarterly cash distributions on the common units exceed levels specified in the Partnership Agreement.

Net income per common unit was determined as follows:

	Three months ended		Nine months ended
(unaudited)	September 30,		September 30,
(millions of dollars, except per common unit amounts)	2014	2013	2014	2013(a)
Net income attributable to controlling interests	31	37	125	114
Net income attributed to GTN’s and Bison’s former parent	-	-	-	(26) (b)
Net income allocated to partners	31	37	125	88
Net income allocated to General Partner, including incentive distribution rights	(1)	(1)	(3)	(2)
Net income allocable to common units	30	36	122	86(b)
Weighted average common units outstanding (millions) – basic and diluted	62.6	62.3	62.4	57.8
Net income per common unit – basic and diluted	$ 0.48	$ 0.58	$ 1.96	$1.50(b)

(a) Recast as discussed in Note 2.

(b) Net income allocated to common units and the net income per common unit for nine months ended September 30, 2013 have been revised and are presented consistent with our presentation prior to the recast.  These changes conform to our presentation for a previous common control transaction in 2009 to ensure consistency.  As a result of these changes, we excluded net income allocable to GTN and Bison’s former parent as such amounts were not allocable to either the general partner or common units. These revisions had no impact on these financial statements except as presented below.

Nine months ended September 30, 2013	As previously presented	Adjustment		Revised
Net income allocable to common units	112	(26	)	86
Net income per common unit – basic and diluted	$ 1.94	($0.44	)	$ 1.50