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Segment Information
 9 Months Ended
Sep. 30, 2012
Segment Information [Abstract]  
Segment Information
Segment Information

Our operations are organized into two reportable segments, Refining and HEP. Our operations that are not included in the Refining and HEP segments are included in Corporate and Other. Intersegment transactions are eliminated in our consolidated financial statements and are included in Consolidations and Eliminations.

The Refining segment represents the operations of the El Dorado, Tulsa, Navajo, Cheyenne and Woods Cross Refineries and NK Asphalt. Refining activities involve the purchase and refining of crude oil and wholesale and branded marketing of refined products, such as gasoline, diesel fuel and jet fuel. These petroleum products are primarily marketed in the Mid-Continent, Southwest and Rocky Mountain regions of the United States. Additionally, the Refining segment includes specialty lubricant products produced at our Tulsa Refineries that are marketed throughout North America and are distributed in Central and South America. NK Asphalt operates various asphalt terminals in Arizona and New Mexico.

The HEP segment includes all of the operations of HEP, a consolidated VIE, which owns and operates logistics assets consisting of petroleum product and crude oil pipelines and terminal, tankage and loading rack facilities in the Mid-Continent, Southwest and Rocky Mountain regions of the United States. Revenues are generated by charging tariffs for transporting petroleum products and crude oil through its pipelines, by leasing certain pipeline capacity, by charging fees for terminalling refined products and other hydrocarbons and storing and providing other services at its storage tanks and terminals. The HEP segment also includes a 75% interest in UNEV (a consolidated subsidiary of HEP) and a 25% interest in the SLC Pipeline. Revenues from the HEP segment are earned through transactions with unaffiliated parties for pipeline transportation, rental and terminalling operations as well as revenues relating to pipeline transportation services provided for our refining operations. Our revaluation of HEP’s assets and liabilities at March 1, 2008 (date of reconsolidation) resulted in basis adjustments to our consolidated HEP balances. Therefore, our reported amounts for the HEP segment may not agree to amounts reported in HEP’s periodic public filings.

The accounting policies for our segments are the same as those described in the summary of significant accounting policies in our Annual Report on Form 10-K for the year ended December 31, 2011.
 
 
Refining (1)
 
HEP (2)
 
Corporate
and Other
 
Consolidations
and Eliminations
 
Consolidated
Total
 
 
(In thousands)
Three Months Ended September 30, 2012
 
 
 
 
 
 
 
 
 
 
Sales and other revenues
 
$
5,192,649

 
$
72,496

 
$
352

 
$
(60,699
)
 
$
5,204,798

Depreciation and amortization
 
$
47,890

 
$
12,636

 
$
4,793

 
$
(207
)
 
$
65,112

Income (loss) from operations
 
$
973,586

 
$
37,137

 
$
(31,871
)
 
$
(548
)
 
$
978,304

Capital expenditures
 
$
70,069

 
$
5,683

 
$
3,765

 
$
—

 
$
79,517

 
 
 
 
 
 
 
 
 
 
 
Three Months Ended September 30, 2011
 
 
 
 
 
 
 
 
 
 
Sales and other revenues
 
$
5,164,853

 
$
49,131

 
$
299

 
$
(40,885
)
 
$
5,173,398

Depreciation and amortization
 
$
35,070

 
$
7,505

 
$
872

 
$
(207
)
 
$
43,240

Income (loss) from operations
 
$
884,997

 
$
24,587

 
$
(40,135
)
 
$
(242
)
 
$
869,207

Capital expenditures
 
$
46,294

 
$
68,101

 
$
3,523

 
$
—

 
$
117,918

 
 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2012
 
 
 
 
 
 
 
 
 
 
Sales and other revenues
 
$
14,907,849

 
$
207,250

 
$
912

 
$
(172,794
)
 
$
14,943,217

Depreciation and amortization
 
$
133,087

 
$
38,683

 
$
7,013

 
$
(621
)
 
$
178,162

Income (loss) from operations
 
$
2,201,648

 
$
100,843

 
$
(89,899
)
 
$
(1,587
)
 
$
2,211,005

Capital expenditures
 
$
171,865

 
$
29,302

 
$
6,370

 
$
—

 
$
207,537

 
 
 
 
 
 
 
 
 
 
 
Nine Months Ended September 30, 2011
 
 
 
 
 
 
 
 
 
 
Sales and other revenues
 
$
10,432,720

 
$
144,916

 
$
1,100

 
$
(111,620
)
 
$
10,467,116

Depreciation and amortization
 
$
81,875

 
$
22,407

 
$
2,719

 
$
(621
)
 
$
106,380

Income (loss) from operations
 
$
1,357,739

 
$
75,700

 
$
(73,689
)
 
$
(1,265
)
 
$
1,358,485

Capital expenditures
 
$
92,078

 
$
175,795

 
$
6,350

 
$
—

 
$
274,223

September 30, 2012
 
 
 
 
 
 
 
 
 
 
Cash, cash equivalents and investments in marketable securities
 
$
557

 
$
1,993

 
$
2,340,786

 
$
—

 
$
2,343,336

Total assets
 
$
6,567,224

 
$
1,409,151

 
$
2,426,067

 
$
(56,506
)
 
$
10,345,936

Long-term debt
 
$
—

 
$
874,434

 
$
487,843

 
$
(16,050
)
 
$
1,346,227

 
 
 
 
 
 
 
 
 
 
 
December 31, 2011
 
 
 
 
 
 
 
 
 
 
Cash, cash equivalents and investments in marketable securities
 
$
—

 
$
6,369

 
$
1,834,241

 
$
—

 
$
1,840,610

Total assets
 
$
6,280,426

 
$
1,418,660

 
$
1,997,601

 
$
(120,444
)
 
$
9,576,243

Long-term debt
 
$
—

 
$
598,761

 
$
705,331

 
$
(89,350
)
 
$
1,214,742

(1) The Refining segment reflects the operations of the El Dorado and Cheyenne Refineries beginning July 1, 2011 (date of Holly-Frontier merger).
(2) HEP acquired our 75% interest in UNEV in July 2012. As a result, we have recast our HEP segment information to include the UNEV Pipeline operations as a consolidated subsidiary of HEP for all periods presented. For the three and nine months ended September 30, 2012, UNEV Pipeline revenues were $3.0 million and $10.8 million, respectively. The UNEV Pipeline was previously presented under Corporate and Other.

HEP segment revenues from external customers were $11.9 million and $8.3 million for the three months ended September 30, 2012 and 2011, respectively, and $34.6 million and $33.0 million for the nine months ended September 30, 2012 and 2011, respectively.