Delaware (State or other jurisdiction of incorporation or organization) | 001-34046 (Commission File Number) | 26-1075808 (IRS Employer Identification No.) |
1201 Lake Robbins Drive The Woodlands, Texas 77380-1046 (Address of principal executive office) (Zip Code) | ||
(832) 636-6000 (Registrant’s telephone number, including area code) |
99.1 | Press Release dated February 22, 2017. |
WESTERN GAS PARTNERS, LP | ||||
By: | Western Gas Holdings, LLC, its general partner | |||
Dated: | February 22, 2017 | By: | /s/ Benjamin M. Fink | |
Benjamin M. Fink President, Chief Executive Officer, Chief Financial Officer and Treasurer |
99.1 | Press Release dated February 22, 2017. |
(1) Please see the tables at the end of this release for a reconciliation of GAAP to non-GAAP measures and calculation of the Coverage ratio. |
(1) Please see the tables at the end of this release for a reconciliation of GAAP to non-GAAP measures and calculation of the Coverage ratio. |
• | Adjusted EBTIDA(1) between $1.0 billion and $1.1 billion (Please refer to slide 8 of the earnings call presentation available at www.westerngas.com for a reconciliation of items impacting the comparability of our 2017 Adjusted EBITDA(1) outlook to 2016 Adjusted EBITDA(1)) |
• | Total capital expenditures between $900 million and $1.0 billion |
• | Maintenance capital expenditures between $60 million and $80 million |
• | 2017 and 2018 distribution growth targets of 7% to 9% for WES and 12% to 18% for WGP |
• | DBJV / Marcellus asset swap closing in the first quarter of 2017 |
• | Ramsey Train VI start-up in the fourth quarter of 2017 |
• | Mentone Trains I and II in the Delaware Basin beginning construction in 2017, with anticipated start-up dates in the third and fourth quarters of 2018, respectively |
• | Conversion of 50% of the Series A Preferred units into common units in February 2017 and 50% in May 2017 |
• | Extension of the Class C units conversion date to March 1, 2020 |
(1) This press release contains forward-looking estimates of the range of Adjusted EBITDA projected to be generated by WES in its 2017 fiscal year. A reconciliation of the Adjusted EBITDA range to net cash provided by operating activities and net income is not provided because the items necessary to estimate such amounts are not reasonably accessible or estimable at this time. |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
thousands except Coverage ratio | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Reconciliation of Net income (loss) attributable to Western Gas Partners, LP to Distributable cash flow and calculation of the Coverage ratio | ||||||||||||||||
Net income (loss) attributable to Western Gas Partners, LP | $ | 143,004 | $ | (155,881 | ) | $ | 591,331 | $ | 4,106 | |||||||
Add: | ||||||||||||||||
Distributions from equity investments | 27,160 | 25,244 | 103,423 | 98,298 | ||||||||||||
Non-cash equity-based compensation expense | 1,573 | 979 | 5,591 | 4,402 | ||||||||||||
Non-cash settled - interest expense, net (1) | 4,350 | 4,480 | (7,747 | ) | 14,400 | |||||||||||
Income tax (benefit) expense | 941 | 8,372 | 8,372 | 45,532 | ||||||||||||
Depreciation and amortization (2) | 72,633 | 67,059 | 270,311 | 270,004 | ||||||||||||
Impairments | 4,222 | 238,879 | 15,535 | 515,458 | ||||||||||||
Above-market component of swap extensions with Anadarko | 11,038 | 10,533 | 45,820 | 18,449 | ||||||||||||
Other expense (2) | 128 | 1,290 | 224 | 1,290 | ||||||||||||
Less: | ||||||||||||||||
Gain (loss) on divestiture and other, net | (5,872 | ) | (20,224 | ) | (14,641 | ) | 57,024 | |||||||||
Equity income, net – affiliates | 21,916 | 12,114 | 78,717 | 71,251 | ||||||||||||
Cash paid for maintenance capital expenditures (2) | 8,342 | 13,073 | 63,630 | 53,882 | ||||||||||||
Capitalized interest | 888 | 1,492 | 5,562 | 8,318 | ||||||||||||
Cash paid for (reimbursement of) income taxes | 771 | — | 838 | (138 | ) | |||||||||||
Series A Preferred unit distributions | 14,908 | — | 45,784 | — | ||||||||||||
Other income (2) | 252 | — | 524 | 219 | ||||||||||||
Distributable cash flow | $ | 223,844 | $ | 194,500 | $ | 852,446 | $ | 781,383 | ||||||||
Distributions declared (3) | ||||||||||||||||
Limited partners – common units | $ | 112,378 | $ | 437,747 | ||||||||||||
General partner | 58,279 | 221,384 | ||||||||||||||
Total | $ | 170,657 | $ | 659,131 | ||||||||||||
Coverage ratio | 1.31 | x | 1.29 | x |
(1) | Includes accretion revisions related to the Deferred purchase price obligation - Anadarko. |
(2) | Includes WES’s 75% share of depreciation and amortization; other expense; cash paid for maintenance capital expenditures; and other income attributable to Chipeta. |
(3) | Reflects cash distributions of $0.860 and $3.350 per unit declared for the three months and year ended December 31, 2016, respectively. |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
thousands | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Reconciliation of Net income (loss) attributable to Western Gas Partners, LP to Adjusted EBITDA attributable to Western Gas Partners, LP | ||||||||||||||||
Net income (loss) attributable to Western Gas Partners, LP | $ | 143,004 | $ | (155,881 | ) | $ | 591,331 | $ | 4,106 | |||||||
Add: | ||||||||||||||||
Distributions from equity investments | 27,160 | 25,244 | 103,423 | 98,298 | ||||||||||||
Non-cash equity-based compensation expense | 1,573 | 979 | 5,591 | 4,402 | ||||||||||||
Interest expense | 39,234 | 31,535 | 114,921 | 113,872 | ||||||||||||
Income tax expense | 941 | 8,372 | 8,372 | 45,532 | ||||||||||||
Depreciation and amortization (1) | 72,633 | 67,059 | 270,311 | 270,004 | ||||||||||||
Impairments | 4,222 | 238,879 | 15,535 | 515,458 | ||||||||||||
Other expense (1) | 128 | 1,290 | 224 | 1,290 | ||||||||||||
Less: | ||||||||||||||||
Gain (loss) on divestiture and other, net | (5,872 | ) | (20,224 | ) | (14,641 | ) | 57,024 | |||||||||
Equity income, net – affiliates | 21,916 | 12,114 | 78,717 | 71,251 | ||||||||||||
Interest income – affiliates | 4,225 | 4,225 | 16,900 | 16,900 | ||||||||||||
Other income (1) | 252 | — | 524 | 219 | ||||||||||||
Adjusted EBITDA attributable to Western Gas Partners, LP | $ | 268,374 | $ | 221,362 | $ | 1,028,208 | $ | 907,568 | ||||||||
Reconciliation of Net cash provided by operating activities to Adjusted EBITDA attributable to Western Gas Partners, LP | ||||||||||||||||
Net cash provided by (used in) operating activities | $ | 259,847 | $ | 188,752 | $ | 917,585 | $ | 785,645 | ||||||||
Interest (income) expense, net | 35,009 | 27,310 | 98,021 | 96,972 | ||||||||||||
Uncontributed cash-based compensation awards | 408 | 48 | 856 | 214 | ||||||||||||
Accretion and amortization of long-term obligations, net | (5,387 | ) | (5,402 | ) | 3,789 | (17,698 | ) | |||||||||
Current income tax (benefit) expense | 707 | 7,022 | 5,817 | 34,186 | ||||||||||||
Other (income) expense, net | (255 | ) | 846 | (479 | ) | 619 | ||||||||||
Distributions from equity investments in excess of cumulative earnings – affiliates | 4,646 | 3,835 | 21,238 | 16,244 | ||||||||||||
Changes in operating working capital: | ||||||||||||||||
Accounts receivable, net | 7,839 | (14,246 | ) | 48,947 | 4,371 | |||||||||||
Accounts and imbalance payables and accrued liabilities, net | (34,256 | ) | 16,689 | (58,359 | ) | (1,006 | ) | |||||||||
Other | 2,922 | (966 | ) | 4,367 | 720 | |||||||||||
Adjusted EBITDA attributable to noncontrolling interest | (3,106 | ) | (2,526 | ) | (13,574 | ) | (12,699 | ) | ||||||||
Adjusted EBITDA attributable to Western Gas Partners, LP | $ | 268,374 | $ | 221,362 | $ | 1,028,208 | $ | 907,568 | ||||||||
Cash flow information of Western Gas Partners, LP | ||||||||||||||||
Net cash provided by (used in) operating activities | $ | 917,585 | $ | 785,645 | ||||||||||||
Net cash provided by (used in) investing activities | (1,105,534 | ) | (500,277 | ) | ||||||||||||
Net cash provided by (used in) financing activities | 447,841 | (254,389 | ) |
(1) | Includes WES’s 75% share of depreciation and amortization; other expense; and other income attributable to Chipeta. |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
thousands | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Reconciliation of Operating income (loss) to Adjusted gross margin attributable to Western Gas Partners, LP | ||||||||||||||||
Operating income (loss) | $ | 181,155 | $ | (117,482 | ) | $ | 708,208 | $ | 157,330 | |||||||
Add: | ||||||||||||||||
Distributions from equity investments | 27,160 | 25,244 | 103,423 | 98,298 | ||||||||||||
Operation and maintenance | 81,869 | 89,228 | 308,010 | 331,972 | ||||||||||||
General and administrative | 12,049 | 10,687 | 45,591 | 41,319 | ||||||||||||
Property and other taxes | 7,047 | 5,380 | 40,145 | 33,288 | ||||||||||||
Depreciation and amortization | 73,287 | 67,715 | 272,933 | 272,611 | ||||||||||||
Impairments | 4,222 | 238,879 | 15,535 | 515,458 | ||||||||||||
Less: | ||||||||||||||||
Gain (loss) on divestiture and other, net | (5,872 | ) | (20,224 | ) | (14,641 | ) | 57,024 | |||||||||
Proceeds from business interruption insurance claims | — | — | 16,270 | — | ||||||||||||
Equity income, net – affiliates | 21,916 | 12,114 | 78,717 | 71,251 | ||||||||||||
Reimbursed electricity-related charges recorded as revenues | 14,026 | 13,752 | 59,733 | 54,175 | ||||||||||||
Adjusted gross margin attributable to noncontrolling interest | 3,735 | 3,557 | 16,323 | 16,779 | ||||||||||||
Adjusted gross margin attributable to Western Gas Partners, LP | $ | 352,984 | $ | 310,452 | $ | 1,337,443 | $ | 1,251,047 | ||||||||
Adjusted gross margin attributable to Western Gas Partners, LP for natural gas assets | $ | 317,294 | $ | 277,342 | $ | 1,194,877 | $ | 1,119,555 | ||||||||
Adjusted gross margin for crude/NGL assets | 35,690 | 33,110 | 142,566 | 131,492 |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
thousands except per-unit amounts | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Revenues and other | ||||||||||||||||
Gathering, processing and transportation | $ | 317,517 | $ | 284,641 | $ | 1,227,849 | $ | 1,128,838 | ||||||||
Natural gas and natural gas liquids sales | 192,728 | 131,075 | 572,313 | 617,949 | ||||||||||||
Other | 575 | 842 | 4,108 | 5,285 | ||||||||||||
Total revenues and other | 510,820 | 416,558 | 1,804,270 | 1,752,072 | ||||||||||||
Equity income, net – affiliates | 21,916 | 12,114 | 78,717 | 71,251 | ||||||||||||
Operating expenses | ||||||||||||||||
Cost of product | 167,235 | 114,041 | 494,194 | 528,369 | ||||||||||||
Operation and maintenance | 81,869 | 89,228 | 308,010 | 331,972 | ||||||||||||
General and administrative | 12,049 | 10,687 | 45,591 | 41,319 | ||||||||||||
Property and other taxes | 7,047 | 5,380 | 40,145 | 33,288 | ||||||||||||
Depreciation and amortization | 73,287 | 67,715 | 272,933 | 272,611 | ||||||||||||
Impairments | 4,222 | 238,879 | 15,535 | 515,458 | ||||||||||||
Total operating expenses | 345,709 | 525,930 | 1,176,408 | 1,723,017 | ||||||||||||
Gain (loss) on divestiture and other, net | (5,872 | ) | (20,224 | ) | (14,641 | ) | 57,024 | |||||||||
Proceeds from business interruption insurance claims | — | — | 16,270 | — | ||||||||||||
Operating income (loss) | 181,155 | (117,482 | ) | 708,208 | 157,330 | |||||||||||
Interest income – affiliates | 4,225 | 4,225 | 16,900 | 16,900 | ||||||||||||
Interest expense | (39,234 | ) | (31,535 | ) | (114,921 | ) | (113,872 | ) | ||||||||
Other income (expense), net | 255 | (846 | ) | 479 | (619 | ) | ||||||||||
Income (loss) before income taxes | 146,401 | (145,638 | ) | 610,666 | 59,739 | |||||||||||
Income tax (benefit) expense | 941 | 8,372 | 8,372 | 45,532 | ||||||||||||
Net income (loss) | 145,460 | (154,010 | ) | 602,294 | 14,207 | |||||||||||
Net income attributable to noncontrolling interest | 2,456 | 1,871 | 10,963 | 10,101 | ||||||||||||
Net income (loss) attributable to Western Gas Partners, LP | $ | 143,004 | $ | (155,881 | ) | $ | 591,331 | $ | 4,106 | |||||||
Limited partners’ interest in net income (loss): | ||||||||||||||||
Net income (loss) attributable to Western Gas Partners, LP | $ | 143,004 | $ | (155,881 | ) | $ | 591,331 | $ | 4,106 | |||||||
Pre-acquisition net (income) loss allocated to Anadarko | — | (15,780 | ) | (11,326 | ) | (79,386 | ) | |||||||||
Series A Preferred units interest in net (income) loss | (25,904 | ) | — | (76,893 | ) | — | ||||||||||
General partner interest in net (income) loss | (62,229 | ) | (47,581 | ) | (236,561 | ) | (180,996 | ) | ||||||||
Common and Class C limited partners’ interest in net income (loss) | $ | 54,871 | $ | (219,242 | ) | $ | 266,551 | $ | (256,276 | ) | ||||||
Net income (loss) per common unit – basic and diluted | $ | 0.35 | $ | (1.60 | ) | $ | 1.74 | $ | (1.95 | ) | ||||||
Weighted-average common units outstanding – basic | 130,672 | 128,576 | 130,253 | 128,345 | ||||||||||||
Weighted-average common units outstanding – diluted | 164,867 | 139,905 | 159,058 | 139,459 |
December 31, | ||||||||
thousands except number of units | 2016 | 2015 | ||||||
Current assets | $ | 594,014 | $ | 299,217 | ||||
Note receivable – Anadarko | 260,000 | 260,000 | ||||||
Net property, plant and equipment | 5,049,932 | 4,858,779 | ||||||
Other assets | 1,829,082 | 1,883,201 | ||||||
Total assets | $ | 7,733,028 | $ | 7,301,197 | ||||
Current liabilities | $ | 315,305 | $ | 235,488 | ||||
Long-term debt | 3,091,461 | 2,690,651 | ||||||
Asset retirement obligations and other | 149,043 | 268,356 | ||||||
Deferred purchase price obligation – Anadarko | 41,440 | 188,674 | ||||||
Total liabilities | $ | 3,597,249 | $ | 3,383,169 | ||||
Equity and partners’ capital | ||||||||
Series A Preferred units (21,922,831 and zero units issued and outstanding at December 31, 2016 and 2015, respectively) | $ | 639,545 | $ | — | ||||
Common units (130,671,970 and 128,576,965 units issued and outstanding at December 31, 2016 and 2015, respectively) | 2,536,872 | 2,588,991 | ||||||
Class C units (12,358,123 and 11,411,862 units issued and outstanding at December 31, 2016 and 2015, respectively) | 750,831 | 710,891 | ||||||
General partner units (2,583,068 units issued and outstanding at December 31, 2016 and 2015) | 143,968 | 120,164 | ||||||
Net investment by Anadarko | — | 430,598 | ||||||
Noncontrolling interest | 64,563 | 67,384 | ||||||
Total liabilities, equity and partners’ capital | $ | 7,733,028 | $ | 7,301,197 |
Year Ended December 31, | ||||||||
thousands | 2016 | 2015 | ||||||
Cash flows from operating activities | ||||||||
Net income (loss) | $ | 602,294 | $ | 14,207 | ||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities and changes in working capital: | ||||||||
Depreciation and amortization | 272,933 | 272,611 | ||||||
Impairments | 15,535 | 515,458 | ||||||
(Gain) loss on divestiture and other, net | 14,641 | (57,024 | ) | |||||
Change in other items, net | 12,182 | 40,393 | ||||||
Net cash provided by (used in) operating activities | $ | 917,585 | $ | 785,645 | ||||
Cash flows from investing activities | ||||||||
Capital expenditures | $ | (479,993 | ) | $ | (637,964 | ) | ||
Contributions in aid of construction costs from affiliates | 6,135 | 461 | ||||||
Acquisitions from affiliates | (716,465 | ) | (10,903 | ) | ||||
Acquisitions from third parties | — | (3,514 | ) | |||||
Investments in equity affiliates | (27 | ) | (11,442 | ) | ||||
Distributions from equity investments in excess of cumulative earnings – affiliates | 21,238 | 16,244 | ||||||
Proceeds from the sale of assets to affiliates | 623 | 925 | ||||||
Proceeds from the sale of assets to third parties | 45,490 | 145,916 | ||||||
Proceeds from property insurance claims | 17,465 | — | ||||||
Net cash provided by (used in) investing activities | $ | (1,105,534 | ) | $ | (500,277 | ) | ||
Cash flows from financing activities | ||||||||
Borrowings, net of debt issuance costs | $ | 1,297,218 | $ | 889,606 | ||||
Repayments of debt | (900,000 | ) | (610,000 | ) | ||||
Increase (decrease) in outstanding checks | 2,079 | (2,666 | ) | |||||
Proceeds from the issuance of common units, net of offering expenses | 25,000 | 57,353 | ||||||
Proceeds from the issuance of Series A Preferred units, net of offering expenses | 686,937 | — | ||||||
Distributions to unitholders | (671,938 | ) | (545,143 | ) | ||||
Distributions to noncontrolling interest owner | (13,784 | ) | (12,187 | ) | ||||
Net contributions from (distributions to) Anadarko | (23,491 | ) | (49,801 | ) | ||||
Above-market component of swap extensions with Anadarko | 45,820 | 18,449 | ||||||
Net cash provided by (used in) financing activities | $ | 447,841 | $ | (254,389 | ) | |||
Net increase (decrease) in cash and cash equivalents | $ | 259,892 | $ | 30,979 | ||||
Cash and cash equivalents at beginning of period | 98,033 | 67,054 | ||||||
Cash and cash equivalents at end of period | $ | 357,925 | $ | 98,033 |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
2016 | 2015 | 2016 | 2015 | |||||||||||||
Throughput for natural gas assets (MMcf/d) | ||||||||||||||||
Gathering, treating and transportation | 1,480 | 1,581 | 1,537 | 1,791 | ||||||||||||
Processing | 2,500 | 2,272 | 2,350 | 2,331 | ||||||||||||
Equity investment (1) | 173 | 196 | 177 | 178 | ||||||||||||
Total throughput for natural gas assets | 4,153 | 4,049 | 4,064 | 4,300 | ||||||||||||
Throughput attributable to noncontrolling interest for natural gas assets | 113 | 122 | 124 | 142 | ||||||||||||
Total throughput attributable to Western Gas Partners, LP for natural gas assets | 4,040 | 3,927 | 3,940 | 4,158 | ||||||||||||
Throughput for crude/NGL assets (MBbls/d) | ||||||||||||||||
Gathering, treating and transportation | 49 | 60 | 57 | 69 | ||||||||||||
Equity investment (2) | 132 | 127 | 127 | 117 | ||||||||||||
Total throughput for crude/NGL assets | 181 | 187 | 184 | 186 | ||||||||||||
Adjusted gross margin per Mcf attributable to Western Gas Partners, LP for natural gas assets (3) | $ | 0.85 | $ | 0.77 | $ | 0.83 | $ | 0.74 | ||||||||
Adjusted gross margin per Bbl for crude/NGL assets (4) | 2.15 | 1.92 | 2.11 | 1.93 |
(1) | Represents WES’s 14.81% share of average Fort Union throughput and 22% share of average Rendezvous throughput. |
(2) | Represents WES’s 10% share of average White Cliffs throughput, WES’s 25% share of average Mont Belvieu JV throughput, WES’s 20% share of average TEG and TEP throughput, and WES’s 33.33% share of average FRP throughput. |
(3) | Average for period. Calculated as Adjusted gross margin attributable to Western Gas Partners, LP for natural gas assets (total revenues and other for natural gas assets, less reimbursements for electricity-related expenses recorded as revenue and cost of product for natural gas assets, plus distributions from WES’s equity investments in Fort Union and Rendezvous, and excluding the noncontrolling interest owner’s proportionate share of revenue and cost of product), divided by total throughput (MMcf/d) attributable to Western Gas Partners, LP for natural gas assets. |
(4) | Average for period. Calculated as Adjusted gross margin for crude/NGL assets (total revenues and other for crude/NGL assets, less reimbursements for electricity-related expenses recorded as revenue and cost of product for crude/NGL assets, plus distributions from WES’s equity investments in White Cliffs, the Mont Belvieu JV, TEG, TEP and FRP), divided by total throughput (MBbls/d) for crude/NGL assets. |
thousands except per-unit amount and Coverage ratio | Three Months Ended December 31, 2016 | |||
Distributions declared by Western Gas Partners, LP: | ||||
General partner interest | $ | 3,308 | ||
Incentive distribution rights | 54,971 | |||
Common units held by WGP | 43,114 | |||
Less: | ||||
Public company general and administrative expense | 685 | |||
Interest expense | 525 | |||
Cash available for distribution | $ | 100,183 | ||
Declared distribution per common unit | $ | 0.46250 | ||
Distributions declared by Western Gas Equity Partners, LP | $ | 101,254 | ||
Coverage ratio | 0.99 | x |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
thousands except per-unit amounts | 2016 | 2015 | 2016 | 2015 | ||||||||||||
Revenues and other | ||||||||||||||||
Gathering, processing and transportation | $ | 317,517 | $ | 284,641 | $ | 1,227,849 | $ | 1,128,838 | ||||||||
Natural gas and natural gas liquids sales | 192,728 | 131,075 | 572,313 | 617,949 | ||||||||||||
Other | 575 | 842 | 4,108 | 5,285 | ||||||||||||
Total revenues and other | 510,820 | 416,558 | 1,804,270 | 1,752,072 | ||||||||||||
Equity income, net – affiliates | 21,916 | 12,114 | 78,717 | 71,251 | ||||||||||||
Operating expenses | ||||||||||||||||
Cost of product | 167,235 | 114,041 | 494,194 | 528,369 | ||||||||||||
Operation and maintenance | 81,869 | 89,228 | 308,010 | 331,972 | ||||||||||||
General and administrative | 12,734 | 11,445 | 49,248 | 44,428 | ||||||||||||
Property and other taxes | 7,048 | 5,381 | 40,161 | 33,327 | ||||||||||||
Depreciation and amortization | 73,287 | 67,715 | 272,933 | 272,611 | ||||||||||||
Impairments | 4,222 | 238,879 | 15,535 | 515,458 | ||||||||||||
Total operating expenses | 346,395 | 526,689 | 1,180,081 | 1,726,165 | ||||||||||||
Gain (loss) on divestiture and other, net | (5,872 | ) | (20,224 | ) | (14,641 | ) | 57,024 | |||||||||
Proceeds from business interruption insurance claims | — | — | 16,270 | — | ||||||||||||
Operating income (loss) | 180,469 | (118,241 | ) | 704,535 | 154,182 | |||||||||||
Interest income – affiliates | 4,225 | 4,225 | 16,900 | 16,900 | ||||||||||||
Interest expense | (39,759 | ) | (31,535 | ) | (116,628 | ) | (113,874 | ) | ||||||||
Other income (expense), net | 275 | (834 | ) | 545 | (578 | ) | ||||||||||
Income (loss) before income taxes | 145,210 | (146,385 | ) | 605,352 | 56,630 | |||||||||||
Income tax (benefit) expense | 941 | 8,372 | 8,372 | 45,532 | ||||||||||||
Net income (loss) | 144,269 | (154,757 | ) | 596,980 | 11,098 | |||||||||||
Net income (loss) attributable to noncontrolling interests | 60,573 | (139,766 | ) | 251,208 | (154,409 | ) | ||||||||||
Net income (loss) attributable to Western Gas Equity Partners, LP | $ | 83,696 | $ | (14,991 | ) | $ | 345,772 | $ | 165,507 | |||||||
Limited partners’ interest in net income (loss): | ||||||||||||||||
Net income (loss) attributable to Western Gas Equity Partners, LP | $ | 83,696 | $ | (14,991 | ) | $ | 345,772 | $ | 165,507 | |||||||
Pre-acquisition net (income) loss allocated to Anadarko | — | (15,780 | ) | (11,326 | ) | (79,386 | ) | |||||||||
Limited partners’ interest in net income (loss) | $ | 83,696 | $ | (30,771 | ) | $ | 334,446 | $ | 86,121 | |||||||
Net income (loss) per common unit – basic and diluted | $ | 0.38 | $ | (0.14 | ) | $ | 1.53 | $ | 0.39 | |||||||
Weighted-average common units outstanding – basic and diluted | 218,925 | 218,916 | 218,922 | 218,913 |
December 31, | ||||||||
thousands except number of units | 2016 | 2015 | ||||||
Current assets | $ | 595,591 | $ | 301,364 | ||||
Note receivable – Anadarko | 260,000 | 260,000 | ||||||
Net property, plant and equipment | 5,049,932 | 4,858,779 | ||||||
Other assets | 1,830,574 | 1,883,201 | ||||||
Total assets | $ | 7,736,097 | $ | 7,303,344 | ||||
Current liabilities | $ | 315,387 | $ | 235,565 | ||||
Long-term debt | 3,119,461 | 2,690,651 | ||||||
Asset retirement obligations and other | 149,043 | 268,356 | ||||||
Deferred purchase price obligation – Anadarko | 41,440 | 188,674 | ||||||
Total liabilities | $ | 3,625,331 | $ | 3,383,246 | ||||
Equity and partners’ capital | ||||||||
Common units (218,928,570 and 218,919,380 units issued and outstanding at December 31, 2016 and 2015, respectively) | $ | 1,048,143 | $ | 1,060,842 | ||||
Net investment by Anadarko | — | 430,598 | ||||||
Noncontrolling interests | 3,062,623 | 2,428,658 | ||||||
Total liabilities, equity and partners’ capital | $ | 7,736,097 | $ | 7,303,344 |
Year Ended December 31, | ||||||||
thousands | 2016 | 2015 | ||||||
Cash flows from operating activities | ||||||||
Net income (loss) | $ | 596,980 | $ | 11,098 | ||||
Adjustments to reconcile net income (loss) to net cash provided by operating activities and changes in working capital: | ||||||||
Depreciation and amortization | 272,933 | 272,611 | ||||||
Impairments | 15,535 | 515,458 | ||||||
(Gain) loss on divestiture and other, net | 14,641 | (57,024 | ) | |||||
Change in other items, net | 12,987 | 40,666 | ||||||
Net cash provided by (used in) operating activities | $ | 913,076 | $ | 782,809 | ||||
Cash flows from investing activities | ||||||||
Capital expenditures | $ | (479,993 | ) | $ | (637,964 | ) | ||
Contributions in aid of construction costs from affiliates | 6,135 | 461 | ||||||
Acquisitions from affiliates | (716,465 | ) | (10,903 | ) | ||||
Acquisitions from third parties | — | (3,514 | ) | |||||
Investments in equity affiliates | (27 | ) | (11,442 | ) | ||||
Distributions from equity investments in excess of cumulative earnings – affiliates | 21,238 | 16,244 | ||||||
Proceeds from the sale of assets to affiliates | 623 | 925 | ||||||
Proceeds from the sale of assets to third parties | 45,490 | 145,916 | ||||||
Proceeds from property insurance claims | 17,465 | — | ||||||
Net cash provided by (used in) investing activities | $ | (1,105,534 | ) | $ | (500,277 | ) | ||
Cash flows from financing activities | ||||||||
Borrowings, net of debt issuance costs | $ | 1,323,198 | $ | 889,606 | ||||
Repayments of debt | (900,000 | ) | (611,150 | ) | ||||
Increase (decrease) in outstanding checks | 2,079 | (2,666 | ) | |||||
Proceeds from the issuance of WES common units, net of offering expenses | — | 57,353 | ||||||
Proceeds from the issuance of WES Series A Preferred units, net of offering expenses | 686,937 | — | ||||||
Distributions to WGP unitholders | (374,082 | ) | (306,477 | ) | ||||
Distributions to Chipeta noncontrolling interest owner | (13,784 | ) | (12,187 | ) | ||||
Distributions to noncontrolling interest owners of WES | (294,841 | ) | (233,178 | ) | ||||
Net contributions from (distributions to) Anadarko | (23,491 | ) | (49,801 | ) | ||||
Above-market component of swap extensions with Anadarko | 45,820 | 18,449 | ||||||
Net cash provided by (used in) financing activities | $ | 451,836 | $ | (250,051 | ) | |||
Net increase (decrease) in cash and cash equivalents | $ | 259,378 | $ | 32,481 | ||||
Cash and cash equivalents at beginning of period | 99,694 | 67,213 | ||||||
Cash and cash equivalents at end of period | $ | 359,072 | $ | 99,694 |