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NET INCOME PER LIMITED PARTNER INTEREST
 6 Months Ended
Jun. 30, 2017
Earnings Per Share [Abstract]  
NET INCOME PER LIMITED PARTNER INTEREST
NET INCOME PER LIMITED PARTNER INTEREST
We allocate our net income among our general partner and limited partners using the two-class method in accordance with applicable authoritative accounting guidance. Under the two-class method, we allocate our net income and any net income in excess of distributions to our limited partners, our general partner and the holder of the incentive distribution rights, or IDRs, according to the distribution formula for available cash as set forth in our partnership agreement. We allocate any distributions in excess of earnings for the period to our limited partners and general partner based on their respective proportionate ownership interests in us, as set forth in our partnership agreement after taking into account distributions to be paid with respect to the IDRs. The formula for distributing available cash as set forth in our partnership agreement is as follows:
Distribution Targets
 
Portion of Quarterly
Distribution Per Unit
 
Percentage Distributed to Limited Partners
 
Percentage Distributed to
General Partner
(including IDRs) (1)
Minimum Quarterly Distribution
 
Up to $0.2875
 
98%
 
2%
First Target Distribution
 
> $0.2875 to $0.330625
 
98%
 
2%
Second Target Distribution
 
> $0.330625 to $0.359375
 
85%
 
15%
Third Target Distribution
 
> $0.359375 to $0.431250
 
75%
 
25%
Thereafter
 
Amounts above $0.431250
 
50%
 
50%
    
(1)    Assumes our general partner maintains a 2% general partner interest in us.

We determined basic and diluted net income per limited partner unit as set forth in the following tables:
 
 
Three Months Ended June 30, 2017
 
 
Common
Units
 
Subordinated
Units
 
Class A
Units
 
General
Partner
Units
 
Total
 
 
(in thousands, except per unit amounts)
Net income attributable to general and limited partner interests in USD Partners LP (1) 
 
$
6,014

 
$
2,138

 
$
33

 
$
194

 
$
8,379

Less: Distributable earnings (2)
 
6,931

 
2,227

 
29

 
201

 
9,388

Distributions in excess of earnings
 
$
(917
)
 
$
(89
)
 
$
4

 
$
(7
)
 
$
(1,009
)
Weighted average units outstanding (3)
 
17,329

 
6,278

 
93

 
461

 
24,161

Distributable earnings per unit (4)
 
$
0.40

 
$
0.35

 
$
0.31

 
 
 
 
Overdistributed earnings per unit (5)
 
(0.05
)
 
(0.01
)
 
0.04

 
 
 
 
Net income per limited partner unit (basic and diluted)
 
$
0.35

 
$
0.34

 
$
0.35

 
 
 
 
 
(1) 
Represents net income allocated to each class of units based on the actual ownership of the Partnership during the period. The net income for each class of limited partner interest has been reduced by its proportionate amount of the approximate $37 thousand attributed to the general partner for its incentive distribution rights
(2) 
Represents the distributions payable for the period based upon the quarterly distribution amount of $0.34 per unit, or $1.36 per unit on an annualized basis. Amounts presented for each class of unit include a proportionate amount of the $388 thousand distributable to holders of the Equity-classified Phantom Units pursuant to the distribution equivalent rights granted under the USD Partners LP 2014 Long-Term Incentive Plan.
(3) 
Represents the weighted average units outstanding for the period.
(4) 
Represents the total distributable earnings divided by the weighted average number of units outstanding for the period.
(5) 
Represents the distributions in excess of earnings divided by the weighted average number of units outstanding for the period.
 
 
Three Months Ended June 30, 2016
 
 
Common
Units
 
Subordinated
Units
 
Class A
Units
 
General
Partner
Units
 
Total
 
 
(in thousands, except per unit amounts)
Net income attributable to general and limited partner interests in USD Partners LP (1) 
 
$
3,206

 
$
1,893

 
$
32

 
$
104

 
$
5,235

Less: Distributable earnings (2)
 
4,622

 
2,727

 
46

 
150

 
7,545

Distributions in excess of earnings
 
$
(1,416
)
 
$
(834
)
 
$
(14
)
 
$
(46
)
 
$
(2,310
)
Weighted average units outstanding (3)
 
14,182

 
8,371

 
139

 
461

 
23,153

Distributable earnings per unit (4)
 
$
0.33

 
$
0.33

 
$
0.33

 
 
 
 
Overdistributed earnings per unit (5)
 
(0.10
)
 
(0.10
)
 
(0.10
)
 
 
 
 
Net income per limited partner unit (basic and diluted)
 
$
0.23

 
$
0.23

 
$
0.23

 
 
 
 
 
(1) 
Represents net income allocated to each class of units based on the actual ownership of the Partnership during the period.
(2) 
Represents the distributions paid for the period based upon the quarterly distribution of $0.315 per unit, or $1.26 per unit on an annualized basis. Amounts presented for each class of unit include a proportionate amount of the $252 thousand distributed to holders of the Equity-classified Phantom Units pursuant to the distribution equivalent rights granted under the USD Partners LP 2014 Long-Term Incentive Plan.
(3) 
Represents the weighted average units outstanding for the period.
(4) 
Represents the total distributable earnings divided by the weighted average number of units outstanding for the period.
(5) 
Represents the distributions in excess of earnings divided by the weighted average number of units outstanding for the period.
 
 
Six Months Ended June 30, 2017
 
 
Common
Units
 
Subordinated
Units
 
Class A
Units
 
General
Partner
Units
 
Total
 
 
(in thousands, except per unit amounts)
Net income attributable to general and limited partner interests in USD Partners LP (1) 
 
$
9,422

 
$
3,784

 
$
59

 
$
312

 
$
13,577

Less: Distributable earnings (2)
 
12,752

 
4,437

 
62

 
377

 
17,628

Distributions in excess of earnings
 
$
(3,330
)
 
$
(653
)
 
$
(3
)
 
$
(65
)
 
$
(4,051
)
Weighted average units outstanding (3)
 
16,283

 
6,856

 
105

 
461

 
23,705

Distributable earnings per unit (4)
 
$
0.78

 
$
0.65

 
$
0.59

 
 
 
 
Overdistributed earnings per unit (5)
 
(0.20
)
 
(0.10
)
 
(0.03
)
 
 
 
 
Net income per limited partner unit (basic and diluted)
 
$
0.58

 
$
0.55

 
$
0.56

 
 
 
 
 
(1) 
Represents net income allocated to each class of units based on the actual ownership of the Partnership during the period. The net income for each class of limited partner interest has been reduced by its proportionate amount of the approximate $52 thousand attributed to the general partner for its incentive distribution rights.
(2) 
Represents the per unit distributions paid of $0.335 per unit for the three months ended March 31, 2017 and $0.34 payable for the three months ended June 30, 2017, representing a year-to-date distribution amount of $0.675 per unit. Amounts presented for each class of unit include a proportionate amount of the $397 thousand distributed and $388 thousand distributable to holders of the Equity-classified Phantom Units pursuant to the distribution equivalent rights granted under the USD Partners LP 2014 Long-Term Incentive Plan.
(3) 
Represents the weighted average units outstanding for the period.
(4) 
Represents the total distributable earnings divided by the weighted average number of units outstanding for the period.
(5) 
Represents the distributions in excess of earnings divided by the weighted average number of units outstanding for the period.
 
 
Six Months Ended June 30, 2016
 
 
Common
Units
 
Subordinated
Units
 
Class A
Units
 
General
Partner
Units
 
Total
 
 
(in thousands, except per unit amounts)
Net income attributable to general and limited partner interests in USD Partners LP (1) 
 
$
4,361

 
$
2,829

 
$
48

 
$
147

 
$
7,385

Less: Distributable earnings (2)
 
9,134

 
5,391

 
89

 
297

 
14,911

Distributions in excess of earnings
 
$
(4,773
)
 
$
(2,562
)
 
$
(41
)
 
$
(150
)
 
$
(7,526
)
Weighted average units outstanding (3)
 
13,546

 
8,969

 
152

 
461

 
23,128

Distributable earnings per unit (4)
 
$
0.67

 
$
0.60

 
$
0.59

 
 
 
 
Overdistributed earnings per unit (5)
 
(0.35
)
 
(0.29
)
 
(0.27
)
 
 
 
 
Net income per limited partner unit (basic and diluted)
 
$
0.32

 
$
0.31

 
$
0.32

 
 
 
 
 
(1) 
Represents net income allocated to each class of units based on the actual ownership of the Partnership during the period.
(2) 
Represents the distributions paid of $0.3075 per unit with respect to the three months ended March 31, 2016, and $0.315 for the three months ended June 30, 2016, representing a year-to-date distribution amount of $0.6225 per unit. Amounts presented for each class of unit include a proportionate amount of the $499 thousand distributed to holders of the Equity-classified Phantom Units pursuant to the distribution equivalent rights granted under the USD Partners LP 2014 Long-Term Incentive Plan.
(3) 
Represents the weighted average units outstanding for the period.
(4) 
Represents the total distributable earnings divided by the weighted average number of units outstanding for the period.
(5) 
Represents the distributions in excess of earnings divided by the weighted average number of units outstanding for the period.