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Risk Management (Tables)
 6 Months Ended
Jun. 30, 2013
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments
As of June 30, 2013, we had the following outstanding commodity forward contracts to hedge our forecasted energy commodity purchases and sales:
 
Net open position
long/(short)
Derivatives designated as hedging contracts
 
 
Crude oil fixed price
(22.0)
million barrels
Natural gas fixed price
(32.8)
billion cubic feet
Natural gas basis
(32.8)
billion cubic feet
Derivatives not designated as hedging contracts
 
 
Crude oil fixed price
0.7
million barrels
Crude oil basis
(2.4)
million barrels
Natural gas fixed price
(0.5)
billion cubic feet
Natural gas basis
0.6
billion cubic feet
Natural gas liquids fixed price
0.5
million barrels
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value
The following table summarizes the fair values of our derivative contracts included on our accompanying consolidated balance sheets as of June 30, 2013 and December 31, 2012 (in millions):
Fair Value of Derivative Contracts
 
 
 
Asset derivatives
 
Liability derivatives
 
 
 
June 30,
2013
 
December 31,
2012
 
June 30,
2013
 
December 31,
2012
 
Balance sheet location
 
Fair value
 
Fair value
 
Fair value
 
Fair value
Derivatives designated as hedging contracts
 
 
 
 
 
 
 
 
 
Energy commodity derivative contracts
Current-Fair value of
 derivative contracts
 
$
37

 
$
42

 
$
(21
)
 
$
(18
)
 
Non-current-Fair value
 of derivative contracts
 
77

 
40

 
(16
)
 
(11
)
Subtotal
 
 
114

 
82

 
(37
)
 
(29
)
Interest rate swap agreements
Current-Fair value of
 derivative contracts
 
2

 
9

 
(6
)
 
—

 
Non-current-Fair value
 of derivative contracts
 
259

 
594

 
(43
)
 
(1
)
Subtotal
 
 
261

 
603

 
(49
)
 
(1
)
Total
 
 
375

 
685

 
(86
)
 
(30
)
 
 
 
 
 
 
 
 
 
 
Derivatives not designated as hedging contracts
 
 
 
 
 
 
 
 
 
Energy commodity derivative contracts
Current-Fair value of
 derivative contracts
 
20

 
4

 
(1
)
 
(3
)
 
Non-current-Fair value
 of derivative contracts
 
4

 
—

 
(1
)
 
(1
)
Total
 
 
24

 
4

 
(2
)
 
(4
)
Total derivatives
 
 
$
399

 
$
689

 
$
(88
)
 
$
(34
)
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance
The following two tables summarize the impact of our derivative contracts on our accompanying consolidated statements of income for each of the three and six months ended June 30, 2013 and 2012 (in millions):
Derivatives in fair value hedging
relationships
 
Location of gain/(loss) recognized
in income on derivatives
 
Amount of gain/(loss) recognized in income
on derivatives and related hedged item(a)
 
 
 
 
Three Months Ended
June 30,
 
Six Months Ended
June 30,
 
 
 
 
2013
 
2012
 
2013
 
2012
Interest rate swap agreements
 
Interest expense
 
$
(211
)
 
$
194

 
$
(294
)
 
$
81

Total
 
 
 
$
(211
)
 
$
194

 
$
(294
)
 
$
81

 
 
 
 
 
 
 
 
 
 
 
Fixed rate debt
 
Interest expense
 
$
211

 
$
(194
)
 
$
294

 
$
(81
)
Total
 
 
 
$
211

 
$
(194
)
 
$
294

 
$
(81
)
___________
(a)
Amounts reflect the change in the fair value of interest rate swap agreements and the change in the fair value of the associated fixed rate debt, which exactly offset each other as a result of no hedge ineffectiveness.

Derivatives in
cash flow hedging
relationships
 
Amount of gain/(loss)
recognized in OCI on
derivative (effective
portion)(a)
 
Location of
gain/(loss)
reclassified from
Accumulated OCI
into income
(effective portion)
 
Amount of gain/(loss)
reclassified from
Accumulated OCI
into income
(effective portion)(b)
 
Location of
gain/(loss)
recognized in
income on
derivative
(ineffective portion
and amount
excluded from
effectiveness
testing)
 
Amount of gain/(loss)
recognized in income
on derivative
(ineffective portion
and amount
excluded from
effectiveness testing)
 
 
Three Months Ended
June 30,
 
 
 
Three Months Ended
June 30,
 
 
 
Three Months Ended
June 30,
 
 
2013
 
2012
 
 
 
2013
 
2012
 
 
 
2013
 
2012
Energy commodity derivative contracts
 
$
70

 
$
303

 
Revenues-Natural gas sales
 
$
—

 
$
2

 
Revenues-Natural gas sales
 
$
—

 
$
—

 
 
 
 
 
 
Revenues-Product sales and other
 
8

 
(2
)
 
Revenues-Product sales and other
 
9

 
—

 
 
 
 
 
 
Gas purchases and other costs of sales
 
(5
)
 
11

 
Gas purchases and other costs of sales
 
—

 
—

Total
 
$
70

 
$
303

 
Total
 
$
3

 
$
11

 
Total
 
$
9

 
$
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Six Months Ended
June 30,
 
 
 
Six Months Ended
June 30,
 
 
 
Six Months Ended
June 30,
 
 
2013
 
2012
 
 
 
2013
 
2012
 
 
 
2013
 
2012
Energy commodity derivative contracts
 
$
29

 
$
189

 
Revenues-Natural gas sales
 
$
—

 
$
2

 
Revenues-Natural gas sales
 
$
—

 
$
—

 
 
 
 
 
 
Revenues-Product sales and other
 
15

 
(31
)
 
Revenues-Product sales and other
 
6

 
(3
)
 
 
 
 
 
 
Gas purchases and other costs of sales
 
(5
)
 
9

 
Gas purchases and other costs of sales
 
—

 
—

Total
 
$
29

 
$
189

 
Total
 
$
10

 
$
(20
)
 
Total
 
$
6

 
$
(3
)
____________
(a)
We expect to reclassify an approximate $24 million gain associated with energy commodity price risk management activities and included in our Partners’ Capital as of June 30, 2013 into earnings during the next twelve months (when the associated forecasted sales and purchases are also expected to occur); however, actual amounts reclassified into earnings could vary materially as a result of changes in market prices.
(b)
No material amounts were reclassified into earnings as a result of the discontinuance of cash flow hedges because it was probable that the original forecasted transactions would no longer occur by the end of the originally specified time period or within an additional two-month period of time thereafter, but rather, the amounts reclassified were the result of the hedged forecasted transactions actually affecting earnings (i.e., when the forecasted sales and purchase actually occurred).
Amounts reclassified out of comprehensive income [Table Text Block]
Changes in the components of our “Accumulated other comprehensive income” for the six months ended June 30, 2013 are summarized as follows (in millions):
 
Net unrealized
gains/(losses)
on cash flow
hedge derivatives
 
Foreign
currency
translation
adjustments
 
Pension and
other
postretirement
liability adjs.
 
Total
Accumulated other
comprehensive
income/(loss)
Balance as of December 31, 2012
$
66

 
$
132

 
$
(30
)
 
$
168

Other comprehensive income before reclassifications
30

 
(114
)
 
1

 
(83
)
Amounts reclassified from accumulated other comprehensive income
(10
)
 
—

 
—

 
(10
)
Net current-period other comprehensive income
20

 
(114
)
 
1

 
(93
)
Balance as of June 30, 2013
$
86

 
$
18

 
$
(29
)
 
$
75
Offsetting of financial assets, liabilities, and derivatives [Table Text Block]
Certain of our derivative contracts are subject to master netting agreements. As of June 30, 2013 and December 31, 2012, we presented the fair value of our derivative contracts on a gross basis on our accompanying consolidated balance sheets.  The following tables present our derivative contracts subject to such netting agreements as of the dates indicated (in millions):

Offsetting of Financial Assets and Derivative Assets
 
Gross Amounts of Recognized Assets
 
Gross Amounts Offset in the Balance Sheet
 
Amounts of Assets Presented in the Balance Sheet
 
Gross Amounts Not Offset in the Balance Sheet
 
Net Amount
Financial Instruments
 
Cash Collateral Held(a)
As of June 30, 2013:
 
 
 
 
 
 
 
 
 
 
 
Energy commodity derivative contracts
$
138

 
$
—

 
$
138

 
$
(26
)
 
$
(1
)
 
$
111

Interest rate swap agreements
$
261

 
$
—

 
$
261

 
$
(10
)
 
$
—

 
$
251

As of December 31, 2012:
 
 
 
 
 
 
 
 
 
 
 
Energy commodity derivative contracts
$
86

 
$
—

 
$
86

 
$
(17
)
 
$
—

 
$
69

Interest rate swap agreements
$
603

 
$
—

 
$
603

 
$
—

 
$
—

 
$
603


Offsetting of Financial Liabilities and Derivative Liabilities
 
Gross Amounts of Recognized Liabilities
 
Gross Amounts Offset in the Balance Sheet
 
Amounts of Liabilities Presented in the Balance Sheet
 
Gross Amounts Not Offset in the Balance Sheet
 
Net Amount
Financial Instruments
 
Cash Collateral Posted(b)
As of June 30, 2013:
 
 
 
 
 
 
 
 
 
 
 
Energy commodity derivative contracts
$
(39
)
 
$
—

 
$
(39
)
 
$
26

 
$
—

 
$
(13
)
Interest rate swap agreements
$
(49
)
 
$
—

 
$
(49
)
 
$
10

 
$
—

 
$
(39
)
As of December 31, 2012:
 
 
 
 
 
 
 
 
 
 
 
Energy commodity derivative contracts
$
(33
)
 
$
—

 
$
(33
)
 
$
17

 
$
5

 
$
(11
)
Interest rate swap agreements
$
(1
)
 
$
—

 
$
(1
)
 
$
—

 
$
—

 
$
(1
)
___________
(a)
Cash margin deposits held by us associated with our energy commodity contract positions and OTC swap agreements and reported within “Accrued other current liabilities” in our accompanying consolidated balance sheets.

(b)
Cash margin deposits posted by us associated with our energy commodity contract positions and OTC swap agreements and reported within “Other current assets” in our accompanying consolidated balance sheets.