REDEMABLE NONCONTROLLING INTEREST - ALTUS (Tables)

9 Months Ended

Sep. 30, 2020

Activity related to the Preferred Units during the nine months ended September 30, 2020 is as follows:



	Units Outstanding	Financial Position⁽¹⁾
	(In millions, except unit data)
Redeemable noncontrolling interest - Altus Preferred Unit limited partners: at December 31, 2019	638,163	$	555
Distribution of in-kind additional Preferred Units	22,531	—
Cash distributions to Altus Preferred Unit limited partners	—	(11		)
Allocation of Altus Midstream LP net income	N/A	56
Redeemable noncontrolling interest - Altus Preferred Unit limited partners: at September 30, 2020	660,694	600
Preferred Units embedded derivative		179
		$	779

(1)

The Preferred Units are redeemable at Altus Midstream LP’s option at September 30, 2020 at a price (the Redemption Price) equal to (a) the greater of (i) an 11.5 percent internal rate of return and (ii) a 1.3 times multiple of invested capital. As of September 30, 2020, the greater of these two amounts was a 1.3 times multiple of invested capital which equaled $813 million. As of September 30, 2020, the aggregate Redemption Price using an 11.5 percent internal rate of return was $709 million.

N/A - not applicable.

The net transaction price was allocated to the preferred redeemable noncontrolling interest and the embedded features according to the associated initial fair value measurements as follows:



	June 12, 2019
	(In millions)
Redeemable noncontrolling interest - Altus Preferred Unit limited partners	$	517
Preferred Units embedded derivative	94
	$	611