XML 46 R40.htm IDEA: XBRL DOCUMENT v2.4.0.6
Reportable Segments (Tables)
 12 Months Ended
Dec. 31, 2011
Reportable Segments [Abstract]  
Financial information by segment
Financial information by segment follows (in millions):
 
   
Year Ended December 31,
 
   
2011
  
2010
  
2009
 
Revenues
         
Products Pipelines
         
Revenues from external customers
 $914.0  $883.0  $826.6 
Intersegment revenues
  -   -   - 
Natural Gas Pipelines
            
Revenues from external customers
  4,265.1   4,416.5   3,806.9 
Intersegment revenues
  -   -   - 
CO2
            
Revenues from external customers
  1,416.2   1,245.7   1,035.7 
Intersegment revenues
  -   -   - 
Terminals
            
Revenues from external customers
  1,313.5   1,264.0   1,108.1 
Intersegment revenues
  1.1   1.1   0.9 
Kinder Morgan Canada
            
Revenues from external customers
  302.4   268.5   226.1 
Intersegment revenues
  -   -   - 
Total segment revenues
  8,212.3   8,078.8   7,004.3 
Less: Total intersegment revenues
  (1.1)  (1.1)  (0.9)
Total consolidated revenues
 $8,211.2  $8,077.7  $7,003.4 

Operating expenses(a)
         
Products Pipelines
 $499.7  $414.6  $269.5 
Natural Gas Pipelines
  3,551.6   3,750.3   3,193.0 
CO2
  342.5   308.1   271.1 
Terminals
  634.0   629.2   536.8 
Kinder Morgan Canada
  97.7   91.6   72.5 
Total segment operating expenses
  5,125.5   5,193.8   4,342.9 
Less: Total intersegment operating expenses
  (1.1)  (1.1)  (0.9)
Total consolidated operating expenses
 $5,124.4  $5,192.7  $4,342.0 

Other expense (income)
         
Products Pipelines
 $(10.0) $4.2  $0.6 
Natural Gas Pipelines
  -   -   (7.8)
CO2
  -   -   - 
Terminals
  (0.9)  (4.3)  (27.6)
Kinder Morgan Canada
  -   -   - 
Total consolidated Other expense (income)
 $(10.9) $(0.1) $(34.8)

Depreciation, depletion and amortization
         
Products Pipelines
 $105.2  $100.7  $94.1 
Natural Gas Pipelines
  161.4   124.2   93.4 
CO2
  437.2   452.9   487.9 
Terminals
  195.0   184.1   136.9 
Kinder Morgan Canada
  55.7   42.9   38.5 
Total consol. depreciation, depletion and amortization
 $954.5  $904.8  $850.8 

Earnings from equity investments
         
Products Pipelines
 $50.6  $33.1  $29.0 
Natural Gas Pipelines
  227.2   169.1   141.8 
CO2
  24.1   22.5   22.3 
Terminals
  11.2   1.7   0.7 
Kinder Morgan Canada
  (2.0)  (3.3)  (4.1)
Total consolidated equity earnings.
 $311.1  $223.1  $189.7 


Amortization of excess cost of equity investments
         
Products Pipelines
 $3.7  $3.4  $3.4 
Natural Gas Pipelines
  1.0   0.4   0.4 
CO2
  2.0   2.0   2.0 
Terminals
  -   -   - 
Kinder Morgan Canada
  -   -   - 
Total consol. amortization of excess cost of equity investments
 $6.7  $5.8  $5.8 

Interest income
         
Products Pipelines
 $3.1  $4.0  $4.1 
Natural Gas Pipelines
  2.2   2.3   6.2 
CO2
  0.8   2.0   - 
Terminals
  0.1   -   - 
Kinder Morgan Canada
  13.8   13.2   12.0 
Total segment interest income
  20.0   21.5   22.3 
Unallocated interest income
  2.9   1.2   0.2 
Total consolidated interest income
 $22.9  $22.7  $22.5 

Other, net-income (expense)
         
Products Pipelines
 $5.1  $12.4  $8.3 
Natural Gas Pipelines(b)
  (164.6)  2.0   25.6 
CO2
  4.4   2.5   - 
Terminals
  5.4   4.7   3.7 
Kinder Morgan Canada
  -   2.6   11.9 
Total consolidated other, net-income (expense)
 $(149.7) $24.2  $49.5 

Income tax (expense) benefit
         
Products Pipelines
 $(20.0) $(9.2) $(13.4)
Natural Gas Pipelines
  (4.1)  (3.3)  (5.7)
CO2
  (4.4)  0.9   (4.0)
Terminals
  6.3   (5.3)  (5.2)
Kinder Morgan Canada
  (14.9)  (7.8)  (18.9)
Total segment income tax benefit (expense)
  (37.1)  (24.7)  (47.2)
Unallocated income tax benefit (expense)
  (8.7)  (9.9)  (8.5)
Total consolidated income tax benefit (expense)
 $(45.8) $(34.6) $(55.7)

Segment earnings before depreciation, depletion, amortization and amortization of excess cost of equity investments(c)
         
Products Pipelines
 $463.1  $504.5  $584.5 
Natural Gas Pipelines
  774.2   836.3   789.6 
CO2
  1,098.6   965.5   782.9 
Terminals
  704.5   641.3   599.0 
Kinder Morgan Canada
  201.6   181.6   154.5 
Total segment earnings before DD&A
  3,242.0   3,129.2   2,910.5 
Total segment depreciation, depletion and amortization
  (954.5)  (904.8)  (850.8)
Total segment amortization of excess cost of equity investments.
  (6.7)  (5.8)  (5.8)
General and administrative expenses
  (472.7)  (375.2)  (330.3)
Interest expense, net of unallocable interest income
  (531.0)  (506.4)  (431.3)
Unallocable income tax expense
  (8.7)  (9.9)  (8.5)
Total consolidated net income
 $1,268.4  $1,327.1  $1,283.8 

Capital expenditures(d)
         
Products Pipelines
 $253.8  $144.2  $199.8 
Natural Gas Pipelines
  152.8   135.4   372.0 
CO2
  432.5   372.8   341.8 
Terminals
  332.7   326.3   378.2 
Kinder Morgan Canada
  27.7   22.2   32.0 
Total consolidated capital expenditures
 $1,199.5  $1,000.9  $1,323.8 
 

 
Investments at December 31
         
Products Pipelines
 $218.5  $215.6  $203.7 
Natural Gas Pipelines
  2,887.0   3,563.3   2,542.9 
CO2
  10.4   9.9   11.2 
Terminals
  164.0   27.4   18.7 
Kinder Morgan Canada
  66.3   69.8   68.7 
Total consolidated investments
 $3,346.2  $3,886.0  $2,845.2 

Assets at December 31
         
Products Pipelines
 $4,479.3  $4,369.1  $4,299.0 
Natural Gas Pipelines
  9,957.5   8,809.7   7,772.7 
CO2
  2,147.3   2,141.2   2,224.5 
Terminals
  4,428.3   4,138.6   3,636.6 
Kinder Morgan Canada
  1,826.7   1,870.0   1,797.7 
Total segment assets
  22,839.1   21,328.6   19,730.5 
Corporate assets(e)
  1,263.6   532.5   531.7 
Total consolidated assets
 $24,102.7  $21,861.1  $20,262.2 
____________
 
(a)
Includes natural gas purchases and other costs of sales, operations and maintenance expenses, and taxes, other than income taxes.
 
(b)
2011 amount includes a $167.2 million loss from the remeasurement of our previously held 50% equity interest in KinderHawk Field Services LLC to fair value (discussed further in Note 3).
 
(c)
Includes revenues, earnings from equity investments, allocable interest income, and other, net, less operating expenses, allocable income taxes, and other expense (income).
 
(d)
Sustaining capital expenditures, including our share of the sustaining capital expenditures of the following seven joint ventures: Rockies Express Pipeline LLC, Midcontinent Express Pipeline LLC, Fayetteville Express Pipeline LLC, Cypress Interstate Pipeline LLC, EagleHawk Field Services LLC, for 2011 only, Red Cedar Gathering Company, and until July 1, 2011, KinderHawk Field Services LLC totaled $212.1 million in 2011, $179.2 million in 2010 and $172.2 million in 2009.  Sustaining capital expenditures are defined as capital expenditures which do not increase the capacity of an asset.
 
(e)
Includes cash and cash equivalents; margin and restricted deposits; unallocable interest receivable, prepaid assets and deferred charges; and risk management assets related to the fair value of interest rate swaps.
 
Geographic information regarding revenues of segments
   
Year Ended December 31,
 
   
2011
  
2010
  
2009
 
Revenues from external customers
         
United States
 $7,781.2  $7,701.7  $6,680.5 
Canada
  411.5   356.5   301.9 
Mexico and other(a)
  18.5   19.5   21.0 
Total consolidated revenues from external customers.
 $8,211.2  $8,077.7  $7,003.4 
Geographic information regarding long-lived assets of segments


Long-lived assets at December 31(b)
 
2011
  
2010
  
2009
 
United States
 $17,858.5  $16,929.5  $15,556.6 
Canada
  1,843.4   1,908.5   1,813.6 
Mexico and other(a)
  76.0   86.4   89.1 
Total consolidated long-lived assets
 $19,777.9  $18,924.4  $17,459.3 
____________
 
(a)
Includes operations in Mexico and until August 31, 2011, the Netherlands.
 
(b)
Long-lived assets exclude (i) goodwill; (ii) other intangibles, net; and (iii) long-term note receivables from related parties.