GENERAL INFORMATION AND OTHER FINANCIAL DATA (Tables)

6 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Cash and Cash Equivalents

The following table provides a reconciliation of cash, cash equivalents and restricted cash reported on Sempra’s Condensed Consolidated Balance Sheets to the sum of such amounts reported on Sempra’s Condensed Consolidated Statements of Cash Flows.

RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH
(Dollars in millions)
	June 30, 2022		December 31, 2021
Cash and cash equivalents	$	1,931	$	559
Restricted cash, current	103		19
Restricted cash, noncurrent	59		3
Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows	$	2,093	$	581

Accounts Receivable, Allowance for Credit Loss Table

We provide below allowances and changes in allowances for credit losses for trade receivables and other receivables. SDG&E and SoCalGas record changes in the allowances for credit losses related to Accounts Receivable – Trade in regulatory accounts.

RECEIVABLES – ALLOWANCES FOR CREDIT LOSSES
(Dollars in millions)
	2022		2021
Sempra:
Allowances for credit losses at January 1	$	136	$	138
Provisions for expected credit losses	77		66
Write-offs	(36)		(12)
Allowances for credit losses at June 30	$	177	$	192
SDG&E:
Allowances for credit losses at January 1	$	66	$	69
Provisions for expected credit losses	37		13
Write-offs	(18)		(7)
Allowances for credit losses at June 30	$	85	$	75
SoCalGas:
Allowances for credit losses at January 1	$	69	$	68
Provisions for expected credit losses	37		52
Write-offs	(18)		(5)
Allowances for credit losses at June 30	$	88	$	115

Allowances for credit losses related to accounts receivable are included in the Condensed Consolidated Balance Sheets as follows:

ALLOWANCES FOR CREDIT LOSSES
(Dollars in millions)
	June 30,		December 31,
	2022		2021
Sempra:
Accounts receivable – trade, net	$	142	$	94
Accounts receivable – other, net	33		39
Other long-term assets	2		3
Total allowances for credit losses	$	177	$	136
SDG&E:
Accounts receivable – trade, net	$	62	$	42
Accounts receivable – other, net	22		22
Other long-term assets	1		2
Total allowances for credit losses	$	85	$	66
SoCalGas:
Accounts receivable – trade, net	$	76	$	51
Accounts receivable – other, net	11		17
Other long-term assets	1		1
Total allowances for credit losses	$	88	$	69

Inventory Table

The components of inventories are as follows:

INVENTORY BALANCES
(Dollars in millions)
	Sempra				SDG&E				SoCalGas
	June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021
Natural gas	$	138	$	164	$	—	$	—	$	102	$	114
LNG	31		27		—		—		—		—
Materials and supplies	208		198		124		123		67		58
Total	$	377	$	389	$	124	$	123	$	169	$	172

Capitalized Financing Costs Table

The table below summarizes capitalized financing costs, comprised of AFUDC and capitalized interest.

CAPITALIZED FINANCING COSTS
(Dollars in millions)
	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Sempra	$	60	$	55	$	117	$	114
SDG&E	26		28		54		58
SoCalGas	17		15		35		31

Net Periodic Benefit Cost Table

The following three tables provide the components of net periodic benefit cost. The components of net periodic benefit cost, other than the service cost component, are included in the Other (Expense) Income, Net, table below.

NET PERIODIC BENEFIT COST – SEMPRA
(Dollars in millions)
	Pension benefits				Other postretirement benefits
	Three months ended June 30,
	2022		2021		2022		2021
Service cost	$	42	$	36	$	6	$	5
Interest cost	29		28		7		7
Expected return on assets	(45)		(43)		(16)		(15)
Amortization of:
Prior service cost	2		2		—		—
Actuarial loss (gain)	5		11		(3)		(2)
Net periodic benefit cost (credit)	33		34		(6)		(5)
Regulatory adjustments	24		22		6		5
Total expense recognized	$	57	$	56	$	—	$	—
	Six months ended June 30,
	2022		2021		2022		2021
Service cost	$	83	$	73	$	13	$	11
Interest cost	59		56		14		14
Expected return on assets	(91)		(86)		(32)		(30)
Amortization of:
Prior service cost (credit)	5		5		(1)		(1)
Actuarial loss (gain)	11		22		(7)		(4)
Settlement charges	—		7		—		—
Net periodic benefit cost (credit)	67		77		(13)		(10)
Regulatory adjustments	(3)		(7)		13		10
Total expense recognized	$	64	$	70	$	—	$	—

NET PERIODIC BENEFIT COST – SDG&E
(Dollars in millions)
	Pension benefits				Other postretirement benefits
	Three months ended June 30,
	2022		2021		2022		2021
Service cost	$	10	$	9	$	1	$	1
Interest cost	6		6		2		2
Expected return on assets	(11)		(13)		(3)		(3)
Amortization of:
Actuarial loss (gain)	1		1		—		(1)
Net periodic benefit cost (credit)	6		3		—		(1)
Regulatory adjustments	7		11		—		1
Total expense recognized	$	13	$	14	$	—	$	—
	Six months ended June 30,
	2022		2021		2022		2021
Service cost	$	20	$	17	$	3	$	2
Interest cost	13		12		3		3
Expected return on assets	(22)		(25)		(5)		(5)
Amortization of:
Actuarial loss (gain)	1		1		(1)		(1)
Net periodic benefit cost (credit)	12		5		—		(1)
Regulatory adjustments	2		9		—		1
Total expense recognized	$	14	$	14	$	—	$	—

NET PERIODIC BENEFIT COST – SOCALGAS
(Dollars in millions)
	Pension benefits				Other postretirement benefits
	Three months ended June 30,
	2022		2021		2022		2021
Service cost	$	28	$	25	$	5	$	4
Interest cost	21		20		6		6
Expected return on assets	(33)		(30)		(14)		(12)
Amortization of:
Prior service cost	2		2		—		—
Actuarial loss (gain)	4		10		(3)		(2)
Net periodic benefit cost (credit)	22		27		(6)		(4)
Regulatory adjustments	17		11		6		4
Total expense recognized	$	39	$	38	$	—	$	—
	Six months ended June 30,
	2022		2021		2022		2021
Service cost	$	56	$	50	$	10	$	8
Interest cost	41		40		11		11
Expected return on assets	(64)		(58)		(27)		(24)
Amortization of:
Prior service cost (credit)	4		4		(1)		(1)
Actuarial loss (gain)	8		19		(6)		(3)
Net periodic benefit cost (credit)	45		55		(13)		(9)
Regulatory adjustments	(5)		(16)		13		9
Total expense recognized	$	40	$	39	$	—	$	—

Earnings Per Share Computations Table

Basic EPS is calculated by dividing earnings attributable to common shares by the weighted-average number of common shares outstanding for the period. Diluted EPS includes the potential dilution of common stock equivalent shares that could occur if securities or other contracts to issue common stock were exercised or converted into common stock.

EARNINGS PER COMMON SHARE COMPUTATIONS
(Dollars in millions, except per share amounts; shares in thousands)
	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Numerator:
Earnings attributable to common shares	$	559	$	424	$	1,171	$	1,298
Denominator:
Weighted-average common shares outstanding for basic EPS(1)	314,845		307,800		315,595		304,372
Dilutive effect of stock options and RSUs(2)	1,022		807		1,052		846
Dilutive effect of mandatory convertible preferred stock	—		—		—		1,066
Weighted-average common shares outstanding for diluted EPS	315,867		308,607		316,647		306,284
EPS:
Basic	$	1.78	$	1.38	$	3.71	$	4.27
Diluted	$	1.77	$	1.37	$	3.70	$	4.24

(1)    Includes 399 and 447 fully vested RSUs held in our Deferred Compensation Plan for the three months ended June 30, 2022 and 2021, respectively, and 403 and 454 of such RSUs for the six months ended June 30, 2022 and 2021, respectively. These fully vested RSUs are included in weighted-average common shares outstanding for basic EPS because there are no conditions under which the corresponding shares will not be issued.

(2)    Due to market fluctuations of both Sempra common stock and the comparative indices used to determine the vesting percentage of our total shareholder return performance-based RSUs, which we discuss in Note 10 of the Notes to Consolidated Financial Statements in the Annual Report, dilutive RSUs may vary widely from period-to-period.

Schedule of Accumulated Other Comprehensive Income (Loss) Table

The following tables present the changes in AOCI by component and amounts reclassified out of AOCI to net income, after amounts attributable to NCI.

CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT(1)
(Dollars in millions)
	Foreign currency translation adjustments		Financial instruments		Pension and other postretirement benefits		Total accumulated other comprehensive income (loss)
	Three months ended June 30, 2022 and 2021
Sempra:
Balance at March 31, 2022	$	(76)	$	(78)	$	(75)	$	(229)
OCI before reclassifications	1		37		1		39
Amounts reclassified from AOCI(2)	10		11		2		23
Net OCI(2)	11		48		3		62
Balance at June 30, 2022	$	(65)	$	(30)	$	(72)	$	(167)
Balance at March 31, 2021	$	(69)	$	(239)	$	(91)	$	(399)
OCI before reclassifications(3)	(19)		(36)		(2)		(57)
Amounts reclassified from AOCI	—		10		2		12
Net OCI(3)	(19)		(26)		—		(45)
Balance at June 30, 2021	$	(88)	$	(265)	$	(91)	$	(444)
SDG&E:
Balance at March 31, 2022 and June 30, 2022					$	(10)	$	(10)
Balance at March 31, 2021 and June 30, 2021					$	(10)	$	(10)
SoCalGas:
Balance at March 31, 2022			$	(13)	$	(17)	$	(30)
Amounts reclassified from AOCI			1		—		1
Net OCI			1		—		1
Balance at June 30, 2022			$	(12)	$	(17)	$	(29)
Balance at March 31, 2021			$	(13)	$	(18)	$	(31)
Amounts reclassified from AOCI			—		1		1
Net OCI			—		1		1
Balance at June 30, 2021			$	(13)	$	(17)	$	(30)

(1)    All amounts are net of income tax, if subject to tax, and after NCI.

(2)    Total AOCI includes $9 of foreign currency translation adjustments associated with sale of NCI to ADIA, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did not impact the Condensed Consolidated Statement of Comprehensive Income (Loss).

(3)    Total AOCI includes $24 of foreign currency translation adjustments and $14 of financial instruments associated with the IEnova exchange offer, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did not impact the Condensed Consolidated Statement of Comprehensive Income (Loss).

CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT(1) (CONTINUED)
(Dollars in millions)
	Foreign currency translation adjustments		Financial instruments		Pension and other postretirement benefits		Total accumulated other comprehensive income (loss)
	Six months ended June 30, 2022 and 2021
Sempra:
Balance as of December 31, 2021	$	(79)	$	(156)	$	(83)	$	(318)
OCI before reclassifications	4		111		7		122
Amounts reclassified from AOCI(2)	10		15		4		29
Net OCI(2)	14		126		11		151
Balance as of June 30, 2022	$	(65)	$	(30)	$	(72)	$	(167)
Balance as of December 31, 2020	$	(64)	$	(331)	$	(105)	$	(500)
OCI before reclassifications(3)	(24)		37		5		18
Amounts reclassified from AOCI	—		29		9		38
Net OCI(3)	(24)		66		14		56
Balance as of June 30, 2021	$	(88)	$	(265)	$	(91)	$	(444)
SDG&E:
Balance at December 31, 2021 and June 30, 2022					$	(10)	$	(10)
Balance at December 31, 2020 and June 30, 2021					$	(10)	$	(10)
SoCalGas:
Balance as of December 31, 2021			$	(13)	$	(18)	$	(31)
Amounts reclassified from AOCI			1		1		2
Net OCI			1		1		2
Balance as of June 30, 2022			$	(12)	$	(17)	$	(29)
Balance as of December 31, 2020			$	(13)	$	(18)	$	(31)
Amounts reclassified from AOCI			—		1		1
Net OCI			—		1		1
Balance as of June 30, 2021			$	(13)	$	(17)	$	(30)

(1)    All amounts are net of income tax, if subject to tax, and after NCI.

(2)    Total AOCI includes $9 of foreign currency translation adjustments associated with sale of NCI to ADIA, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did not impact the Condensed Consolidated Statement of Comprehensive Income (Loss).

(3)    Total AOCI includes $24 of foreign currency translation adjustments and $14 of financial instruments associated with the IEnova exchange offer, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did not impact the Condensed Consolidated Statement of Comprehensive Income (Loss).

Reclassifications out of AOCI Table

RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
(Dollars in millions)
Details about accumulated other comprehensive income (loss) components	Amounts reclassified from accumulated other comprehensive income (loss)				Affected line item on Condensed Consolidated Statements of Operations
	Three months ended June 30,
	2022		2021
Sempra:
Foreign currency translation adjustments	$	1	$	—	Operation and Maintenance
Financial instruments:
Interest rate instruments	$	—	$	(1)	Interest Expense
Interest rate instruments	13		19		Equity Earnings(1)
Foreign exchange instruments	(1)		—		Revenues: Energy-Related Businesses
	1		—		Other (Expense) Income, Net
Interest rate and foreign exchange instruments	(1)		—		Interest Expense
	—		(7)		Other (Expense) Income, Net
Total, before income tax	12		11
	(4)		(1)		Income Tax Expense
Total, net of income tax	8		10
	3		—		Earnings Attributable to Noncontrolling Interests
Total, net of income tax and after NCI	$	11	$	10
Pension and other postretirement benefits(2):
Amortization of actuarial loss	$	2	$	1	Other (Expense) Income, Net
Amortization of prior service cost	1		1		Other (Expense) Income, Net
Total, before income tax	3		2
	(1)		—		Income Tax Expense
Total, net of income tax	$	2	$	2
Total reclassifications for the period, net of income  tax and NCI	$	14	$	12
SoCalGas:
Financial instruments:
Interest rate instruments	$	1	$	—	Interest Expense
Pension and other postretirement benefits(2):
Amortization of prior service cost	$	—	$	1	Other Income (Expense), Net
Total reclassifications for the period, net of income  tax	$	1	$	1

(1)    Equity earnings at our foreign equity method investees are recognized after tax.

(2)    Amounts are included in the computation of net periodic benefit cost (see “Pension and Other Postretirement Benefits” above).

RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (CONTINUED)
(Dollars in millions)
Details about accumulated other comprehensive income (loss) components	Amounts reclassified from accumulated other comprehensive income (loss)				Affected line item on Condensed Consolidated Statements of Operations
	Six months ended June 30,
	2022		2021
Sempra:
Foreign currency translation adjustments	$	1	$	—	Operation and Maintenance
Financial instruments:
Interest rate instruments	$	(1)	$	1	Interest Expense
Interest rate instruments	27		38		Equity Earnings(1)
Foreign exchange instruments	(2)		1		Revenues: Energy-Related Businesses
	1		—		Other (Expense) Income, Net
Foreign exchange instruments	(1)		1		Equity Earnings(1)
Interest rate and foreign exchange instruments	(1)		—		Interest Expense
	(6)		(1)		Other (Expense) Income, Net
Total, before income tax	17		40
	(5)		(9)		Income Tax Expense
Total, net of income tax	12		31
	3		(2)		Earnings Attributable to Noncontrolling Interests
Total, net of income tax and after NCI	$	15	$	29
Pension and other postretirement benefits(2):
Amortization of actuarial loss	$	4	$	3	Other (Expense) Income, Net
Amortization of prior service cost	2		2		Other (Expense) Income, Net
Settlement charges	—		7		Other (Expense) Income, Net
Total, before income tax	6		12
	(2)		(3)		Income Tax Expense
Total, net of income tax	$	4	$	9
Total reclassifications for the period, net of income  tax and NCI	$	20	$	38
SoCalGas:
Financial instruments:
Interest rate instruments	$	1	$	—	Interest Expense
Pension and other postretirement benefits(2):
Amortization of actuarial loss	$	1	$	—	Other Income (Expense), Net
Amortization of prior service cost	—		1		Other Income (Expense), Net
Total, before income tax	1		1
	—		—		Income Tax Expense
Total, net of income tax	$	1	$	1
Total reclassifications for the period, net of income  tax	$	2	$	1

(1)    Equity earnings at our foreign equity method investees are recognized after tax.

(2)    Amounts are included in the computation of net periodic benefit cost (see “Pension and Other Postretirement Benefits” above).

Ownership Interests Held By Others Table

The following table provides information about NCI held by others in subsidiaries or entities consolidated by us and recorded in Other Noncontrolling Interests in Total Equity on Sempra’s Condensed Consolidated Balance Sheets.

OTHER NONCONTROLLING INTERESTS
(Dollars in millions)
	Percent ownership held by noncontrolling interests				Equity held by noncontrolling interests
	June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021
Sempra Infrastructure:
SI Partners	30.0	%	20.0	%	$	2,146	$	1,384
SI Partners subsidiaries(1)	0.1 - 16.6		0.1 - 16.6		46		34
Total Sempra					$	2,192	$	1,418

(1)    SI Partners has subsidiaries with NCI held by others. Percentage range reflects the highest and lowest ownership percentages among these subsidiaries.

Transactions with Affiliates Table

We summarize amounts due from and to unconsolidated affiliates at Sempra, SDG&E and SoCalGas in the following table.

AMOUNTS DUE FROM (TO) UNCONSOLIDATED AFFILIATES
(Dollars in millions)
	June 30, 2022		December 31, 2021
Sempra:
Sempra Infrastructure – IMG – Note due March 15, 2023(1)	$	626	$	2
Various affiliates	20		21
Total due from unconsolidated affiliates – current	$	646	$	23
Sempra Infrastructure – IMG – Note due March 15, 2022, net of allowance for credit losses of $1 at December 31, 2021(1)	$	—	$	637
Total due from unconsolidated affiliates – noncurrent	$	—	$	637
Sempra Infrastructure(2):
TAG Pipelines Norte, S. de R.L. de C.V.:
5.5% Note due January 9, 2024	$	(39)	$	(69)
5.5% Note due January 14, 2025	(22)		(21)
5.5% Note due July 16, 2025	(21)		(20)
5.5% Note due January 14, 2026	(18)		—
TAG – 5.74% Note due December 17, 2029	(182)		(177)
Total due to unconsolidated affiliates – noncurrent	$	(282)	$	(287)
SDG&E:
Sempra	$	(26)	$	(40)
SoCalGas	(30)		(48)
Various affiliates	(12)		(9)
Total due to unconsolidated affiliates – current	$	(68)	$	(97)
Income taxes due from Sempra(3)	$	21	$	19
SoCalGas:
SDG&E	$	30	$	48
Various affiliates	1		1
Total due from unconsolidated affiliates – current	$	31	$	49
Sempra	$	(36)	$	(36)
Total due to unconsolidated affiliates – current	$	(36)	$	(36)
Income taxes due from Sempra(3)	$	6	$	6

(1)    At December 31, 2021, represents a Mexican peso-denominated revolving line of credit for up to 14.2 billion Mexican pesos or approximately $691 U.S. dollar-equivalent at a variable interest rate based on the 91-day Interbank Equilibrium Interest Rate plus 220 bps. In March 2022, Sempra Infrastructure amended and restated the revolving line of credit to a U.S. dollar-denominated note in the amount of $625 at a variable interest rate based on the adjusted 1-month Secured Overnight Financing Rate plus 180 bps (3.41% at June 30, 2022) and extended the maturity date to March 15, 2023. At June 30, 2022 and December 31, 2021, $1 and $2 of accrued interest receivable, respectively, is included in Due from Unconsolidated Affiliates – Current. In July 2022, this note receivable was paid in full.

(2)     U.S. dollar-denominated loans at fixed interest rates. Amounts include principal balances plus accumulated interest outstanding.

(3)    SDG&E and SoCalGas are included in the consolidated income tax return of Sempra, and their respective income tax expense is computed as an amount equal to that which would result from each company having always filed a separate return. Amounts include current and noncurrent income taxes due to/from Sempra.

The following table summarizes income statement information from unconsolidated affiliates.

INCOME STATEMENT IMPACT FROM UNCONSOLIDATED AFFILIATES
(Dollars in millions)
	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Sempra:
Revenues	$	15	$	7	$	22	$	15
Cost of sales	—		—		—		11
Interest income	4		12		14		27
Interest expense	4		3		8		7
SDG&E:
Revenues	$	4	$	2	$	8	$	4
Cost of sales	26		27		50		55
SoCalGas:
Revenues	$	23	$	23	$	49	$	48
Cost of sales(1)	(4)		—		(4)		3

(1)     Includes net commodity costs from natural gas transactions with unconsolidated affiliates.

Other Income and Expense Table

Other (expense) income, net, consists of the following:

OTHER (EXPENSE) INCOME, NET
(Dollars in millions)
	Three months ended June 30,				Six months ended June 30,
	2022		2021		2022		2021
Sempra:
Allowance for equity funds used during construction	$	34	$	34	$	69	$	72
Investment (losses) gains, net(1)	(34)		19		(47)		28
(Losses) gains on interest rate and foreign exchange instruments, net	(1)		7		5		(23)
Foreign currency transaction (losses) gains, net(2)	(3)		26		(22)		7
Non-service components of net periodic benefit (cost) credit	(9)		(15)		32		14
Interest on regulatory balancing accounts, net	4		2		5		3
Sundry, net	8		(1)		(5)		6
Total	$	(1)	$	72	$	37	$	107
SDG&E:
Allowance for equity funds used during construction	$	21	$	22	$	42	$	45
Non-service components of net periodic benefit (cost) credit	(2)		(4)		9		5
Interest on regulatory balancing accounts, net	3		2		4		3
Sundry, net	—		2		1		4
Total	$	22	$	22	$	56	$	57
SoCalGas:
Allowance for equity funds used during construction	$	13	$	11	$	26	$	23
Non-service components of net periodic benefit (cost) credit	(6)		(9)		26		19
Interest on regulatory balancing accounts, net	1		—		1		—
Sundry, net	(4)		(4)		(15)		(5)
Total	$	4	$	(2)	$	38	$	37

(1)    Represents net investment (losses) gains on dedicated assets in support of our executive retirement and deferred compensation plans. These amounts are offset by corresponding changes in compensation expense related to the plans, recorded in O&M on the Condensed Consolidated Statements of Operations.

(2)    Includes losses of $11 in the six months ended June 30, 2022 and gains of $28 and $5 in the three months and six months ended June 30, 2021, respectively, from translation to U.S. dollars of a Mexican peso-denominated loan to IMG, which are offset by corresponding amounts included in Equity Earnings on the Condensed Consolidated Statements of Operations.

Income Tax Expense and Effective Income Tax Rates Table

We provide our calculations of ETRs in the following table.

INCOME TAX EXPENSE AND EFFECTIVE INCOME TAX RATES
(Dollars in millions)
	Three months ended June 30,						Six months ended June 30,
	2022			2021			2022			2021
Sempra:
Income tax expense	$	80		$	139		$	414		$	297
Income before income taxes and equity earnings	$	364		$	281		$	1,029		$	1,049
Equity earnings, before income tax(1)	159			185			302			320
Pretax income	$	523		$	466		$	1,331		$	1,369
Effective income tax rate	15		%	30		%	31		%	22		%
SDG&E:
Income tax expense	$	42		$	33		$	106		$	78
Income before income taxes	$	218		$	219		$	516		$	476
Effective income tax rate	19		%	15		%	21		%	16		%
SoCalGas:
Income tax expense	$	19		$	8		$	103		$	102
Income before income taxes	$	107		$	103		$	525		$	604
Effective income tax rate	18		%	8		%	20		%	17		%

(1)    We discuss how we recognize equity earnings in Note 6 of the Notes to Consolidated Financial Statements in the Annual Report.