Enable Midstream Partners, LP (NYSE: ENBL) today announced financial
results for second quarter 2014. The Partnership’s Adjusted EBITDA for
second quarter 2014 was $211 million, an increase of $13 million, or 7
percent, compared to $198 million for pro forma second quarter 2013.
Distributable cash flow (DCF) for second quarter 2014 was $159 million,
an increase of $23 million, or 17 percent, compared to $136 million for
pro forma second quarter 2013.
Operating income for second quarter 2014 was $138 million, an increase
of $16 million, or 13 percent, compared to $122 million for pro forma
second quarter 2013. Net income attributable to the Partnership was $120
million for second quarter 2014 compared to $1.35 billion for pro forma
second quarter 2013. Pro forma second quarter 2013 net income was
impacted by the recognition of $1.24 billion of outstanding current
income tax liabilities and deferred income tax assets and liabilities as
a result of the conversion to a partnership.
Pro forma second quarter 2013 results are included in this press release
to provide the basis for comparison of quarterly results since second
quarter 2013 historical results do not include Enogex LLC for the month
of April 2013.
MANAGEMENT PERSPECTIVE
“During the second quarter, we saw continued rich gas volume growth from
strong producer activity in the Anadarko basin, particularly in the
SCOOP play,” said Lynn Bourdon, Enable Midstream’s CEO. Bourdon added
that demand also remains strong for Enable’s natural gas transportation
pipelines with over 200,000 dekatherms per day of firm transportation
capacity renewed on the EGT system during the quarter.
“As we move forward, we plan to execute on our growth plans and deliver
superior unitholder returns while remaining focused on our values of
safety, integrity, customer service, accountability and teamwork,” he
said.
FINANCING HIGHLIGHTS
In May, Enable issued $1.65 billion of senior notes, establishing
benchmark securities in the 5, 10 and 30-year space with a
weighted-average coupon of 3.8% across all maturities. The offering was
used to refinance outstanding term loans and pre-fund a scheduled July
maturity of senior notes. The $1.65 billion debt offering followed the
successful initial public offering in April of $575 million in common
units, including the underwriters’ exercise of their over-allotment
option.
As of June 30, 2014, the partnership had access to $1.4 billion of
available capacity under its revolving credit facility.
ADDITIONAL BUSINESS HIGHLIGHTS
Producer activity remains strong around Enable’s footprint. Based on rig
estimates from Drillinginfo, approximately 400 rigs were active in the
counties in which Enable operates or has announced plans to operate as
of July 27, 2014. Enable also continues to contract additional acreage
dedications with SCOOP-area acreage dedications now totaling
approximately 1 million gross acres.
To accommodate increased rich gas production, Enable continues to invest
in processing infrastructure. During the quarter, the Clinton Plant was
connected to the super-header processing system, increasing system
flexibility and enhancing optimization opportunities. Enable also
recently announced upgrades to the Cox City Plant which will improve
efficiencies and better serve SCOOP-area producers.
In the Transportation and Storage segment, Enable Oklahoma Intrastate
Transmission, LLC signed a long-term firm transportation contract to
serve Grand River Dam Authority’s planned 495-megawatt combined cycle
power plant. Enable also acquired an additional 24.95% interest in SESH
from CenterPoint Energy during the quarter which is projected to be
accretive to DCF and per-unit distributions
KEY OPERATING STATISTICS
Natural gas gathering volumes were 3.41 TBtu/d in the second quarter of
2014, a decrease of 5 percent compared to 3.58 TBtu/d for pro forma
second quarter 2013. The decrease in gathering volumes is due primarily
to lower gathering volumes on the Ark-La-Tex and Arkoma systems
partially offset by higher gathering volumes on the Anadarko system
resulting from increased production from the liquids-rich SCOOP and
Mississippi Lime plays. Much of the decrease on the Ark-La-Tex and
Arkoma systems will be offset by payments under minimum volume
commitment contracts.
Natural gas processed volumes were 1.55 TBtu/d in the second quarter of
2014, an increase of 9 percent compared to 1.42 TBtu/d for pro forma
second quarter 2013. The increase in volumes is primarily related to
processed volume growth on the Anadarko system, including growth from
the SCOOP and Mississippi Lime plays.
Gross NGL production was 69.5 MBbl/d in the second quarter of 2014, an
increase of 19 percent compared to 58.2 MBbl/d for pro forma second
quarter 2013 volumes. The increase in volumes is primarily related to
Anadarko processed volume growth, including rich gas growth from the
SCOOP and Mississippi Lime plays.
Crude oil gathered volumes were 1.6 MBbl/d in the second quarter of
2014. Enable Midstream’s first crude gathering system commenced initial
operations in November 2013.
Interstate transportation firm contracted capacity was 7.63 Bcf/d in the
second quarter of 2014, a decrease of less than 1 percent compared to
7.69 Bcf/d for pro forma second quarter 2013.
Intrastate transportation average throughput was 1.63 TBtu/d in the
second quarter of 2014, an increase of 11 percent compared to 1.47
TBtu/d for pro forma second quarter 2013. The increase in throughput is
primarily related to higher demand for off-system transportation
services.
SECOND-QUARTER FINANCIAL PERFORMANCE
Gross margin was $349 million for second quarter 2014, an increase of
$22 million compared to $327 million for pro forma second quarter 2013.
Gathering and Processing gross margin was $203 million for second
quarter 2014, an increase of $12 million compared to $191 million for
pro forma second quarter 2013. The increase in Gathering and Processing
gross margin is primarily a result of higher gathering and processing
volumes on the Anadarko system. Transportation and Storage gross margin
was $146 million for second quarter 2014, an increase of $10 million
compared to $136 million for pro forma second quarter 2013. The increase
in Transportation and Storage gross margin is primarily a result of
increased off-system transportation revenues, higher rates on
transportation services for local distribution companies and increased
other firm transportation revenues.
Operation and maintenance expense was $129 million for second quarter
2014, an increase of $4 million compared to $125 million for pro forma
second quarter 2013. The increase in operation and maintenance expense
is primarily due to the costs incurred to operate as a standalone
company and to new assets placed into service.
Depreciation and amortization expense was $69 million for second quarter
2014, an increase of $3 million compared to $66 million for pro forma
second quarter 2013. The increase in depreciation and amortization
expense is primarily due to additional assets placed into service,
including the McClure Plant and the Bakken crude oil gathering system.
Taxes other than income taxes were $13 million for second quarter 2014,
a decrease of $1 million compared to $14 million for pro forma second
quarter 2013. The decrease in taxes other than income taxes is primarily
due to lower ad valorem tax assessments partially offset by new assets
placed into service
Interest expense, net was $16 million for second quarter 2014, an
increase of $3 million compared to $13 million for pro forma first
quarter 2013. The increase in interest expense, net is primarily due to
higher debt balances.
Capital expenditures were $189 million for second quarter 2014, compared
to $163 million for pro forma second quarter 2013. Expansion capital
expenditures were $156 million for second quarter 2014, compared to $118
million for pro forma second quarter 2013. Maintenance capital
expenditures were $33 million for second quarter 2014, compared to $45
million for pro forma second quarter 2013.
OUTLOOK
The partnership’s outlook for its volumes, distributable cash flow and
per-unit distributions are displayed in the table below:
|
|
|
$ in millions, except volume numbers
|
|
2014
|
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Natural Gas Gathered Volumes (TBtu/d)
|
|
3.3
|
|
−
|
|
3.5
|
|
|
3.5
|
|
−
|
|
3.7
|
|
Natural Gas Processed Volumes (TBtu/d)
|
|
1.5
|
|
−
|
|
1.7
|
|
|
1.9
|
|
−
|
|
2.2
|
|
Crude Oil – Gathered Volumes (MBbl/d)
|
|
3.5
|
|
−
|
|
5.5
|
|
|
22.0
|
|
−
|
|
28.0
|
|
Adjusted EBITDA
|
|
$850
|
|
−
|
|
$890
|
|
|
$915
|
|
−
|
|
$985
|
|
Adjusted Interest Expense, net
|
|
$80
|
|
−
|
|
$90
|
|
|
$100
|
|
−
|
|
$110
|
|
Maintenance Capital
|
|
$175
|
|
−
|
|
$190
|
|
|
$175
|
|
−
|
|
$190
|
|
Distributable Cash Flow
|
|
$590
|
|
−
|
|
$610
|
|
|
$630
|
|
−
|
|
$690
|
|
Per-unit Distributions
|
|
Targeting 10% – 12% CAGR
|
|
Coverage Ratio
|
|
Approximately 1.10x – 1.20x
|
|
|
|
Guidance centered around the following price assumptions:
|
|
• Natural Gas (Henry Hub) at $4.39/MMBtu in 2014 and $3.89 in 2015
|
|
• Natural Gas Liquids Composite
|
|
• Mont Belvieu, Texas at $.87/gal in 2014 and $.83/gal in 2015
|
|
• Conway, Kansas at $.88/gal in 2014 and $.80/gal in 2015
|
|
• Natural gas liquids composite based on an assumed composition of
45%, 30%, 10%, 5%, and 10% for ethane, propane, normal butane,
isobutane and natural gasoline, respectively.
|
|
• Crude Oil (WTI) at $100/Bbl in 2014 and $96/Bbl in 2015
|
|
|
|
|
The partnership’s expectations for its expansion capital expenditures
are displayed in the table below:
|
$ in millions
|
|
|
2014
|
|
|
2015
|
|
|
2016-2017
|
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Contracted Expansion(1)
|
|
|
$725 - $775
|
|
|
$800 - $1,000
|
|
|
$700 - $1,000
|
|
|
$2,225 - $2,775
|
|
Identified Opportunities(2)
|
|
|
$25 - $75
|
|
|
$225 - $425
|
|
|
$800 - $1,000
|
|
|
$1,050 - $1,500
|
|
Total
|
|
|
$750 - $850
|
|
|
$1,025 - $1,425
|
|
|
$1,500 - $2,000
|
|
|
$3,275 - $4,275
|
|
|
|
1. Contracted Expansion includes gathering, compression and
processing infrastructure to support projected volume growth from
current contracts and acreage dedications, including
infrastructure in the SCOOP, Bakken, Greater Granite Wash and
Cotton Valley plays
|
|
2. Identified Opportunities include:
|
|
• Transportation and G&P projects in late-stage negotiation
|
|
• Additional Bakken crude gathering expansions and Bakken gas
gathering and processing
|
|
• Anadarko gas gathering and processing expansions and Anadarko
crude gathering
|
|
• Transportation projects, including new end-user service and
market access pipeline opportunities
|
|
|
|
|
|
|
EARNINGS CONFERENCE CALL AND WEBCAST
A conference call discussing second quarter results is scheduled today
at 9:00 a.m. Eastern. The dial-in number to access the conference call
is 866-952-1908 and the conference call ID is ENBLQ214. Investors may
also listen to the call via the partnership’s website at http://investors.enablemidstream.com/.
Replays of the conference call will be available on the partnership’s
website.
ABOUT ENABLE MIDSTREAM PARTNERS
Enable Midstream owns, operates and develops strategically located
natural gas and crude oil infrastructure assets. The company’s assets
include approximately 11,000 miles of gathering pipelines, 12 major
processing plants with approximately 2.1 billion cubic feet per day of
processing capacity, approximately 7,900 miles of interstate pipelines
(including Southeast Supply Header, LLC of which the company owns 49.90
percent), approximately 2,300 miles of intrastate pipelines and eight
storage facilities comprising 86.5 billion cubic feet of storage
capacity. For more information visit EnableMidstream.com.
NON-GAAP FINANCIAL MEASURES
Enable Midstream has included the non-GAAP financial measures gross
margin, Adjusted EBITDA and distributable cash flow in this press
release based on information in its financial statements.
Gross margin, Adjusted EBITDA and distributable cash flow are
supplemental financial measures that management and external users of
Enable Midstream’s financial statements, such as industry analysts,
investors, lenders and rating agencies may use, to assess:
-
Enable Midstream’s operating performance as compared to those of other
publicly traded partnerships in the midstream energy industry, without
regard to capital structure or historical cost basis;
-
The ability of Enable Midstream’s assets to generate sufficient cash
flow to make distributions to its partners;
-
Enable Midstream’s ability to incur and service debt and fund capital
expenditures; and
-
The viability of acquisitions and other capital expenditure projects
and the returns on investment of various investment opportunities.
This press release includes a reconciliation of gross margin to
revenues, Adjusted EBITDA and distributable cash flow to net income
attributable to controlling interest, and Adjusted EBITDA to net cash
provided by operating activities, the most directly comparable GAAP
financial measures, on a historical basis and pro forma basis, as
applicable, for each of the periods indicated. Enable Midstream believes
that the presentation of gross margin, Adjusted EBITDA and distributable
cash flow provides information useful to investors in assessing its
financial condition and results of operations. Gross margin, Adjusted
EBITDA and distributable cash flow should not be considered as
alternatives to net income, operating income, revenue, cash from
operations or any other measure of financial performance or liquidity
presented in accordance with GAAP. Gross margin, Adjusted EBITDA and
distributable cash flow have important limitations as an analytical tool
because they exclude some but not all items that affect the most
directly comparable GAAP measures. Additionally, because gross margin,
Adjusted EBITDA and distributable cash flow may be defined differently
by other companies in Enable Midstream’s industry, its definitions of
gross margin, Adjusted EBITDA and distributable cash flow may not be
comparable to similarly titled measures of other companies, thereby
diminishing their utility.
FORWARD-LOOKING STATEMENTS
This press release may contain “forward-looking statements” within the
meaning of the securities laws. All statements, other than statements of
historical fact, regarding Enable Midstream Partners’ strategy, future
operations, financial position, estimated revenues, projected costs,
prospects, plans and objectives of management are forward-looking
statements. These statements often include the words “could,” “believe,”
“anticipate,” “intend,” “estimate,” “expect,” “project,” “forecast” and
similar expressions and are intended to identify forward-looking
statements, although not all forward-looking statements contain such
identifying words. These forward-looking statements are based on Enable
Midstream’s current expectations and assumptions about future events and
are based on currently available information as to the outcome and
timing of future events. Enable Midstream assumes no obligation to and
does not intend to update any forward-looking statements included
herein. When considering forward-looking statements, you should keep in
mind the risk factors and other cautionary statements described under
the heading “Risk Factors” included in our SEC filings. Enable Midstream
cautions you that these forward-looking statements are subject to all of
the risks and uncertainties, most of which are difficult to predict and
many of which are beyond its control, incident to the ownership,
operation and development of natural gas and crude oil infrastructure
assets. These risks include, but are not limited to, contract renewal
risk, commodity price risk, environmental risks, operating risks,
regulatory changes and the other risks described under “Risk Factors” in
our SEC filings. Should one or more of these risks or uncertainties
occur, or should underlying assumptions prove incorrect, Enable
Midstream’s actual results and plans could differ materially from those
expressed in any forward-looking statements.
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Condensed Combined and Consolidated Statements of Income
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Historical
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
|
|
2014
|
|
2013
|
|
|
2014
|
|
2013
|
|
|
|
|
|
(In millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
$
|
827
|
|
|
$
|
612
|
|
|
|
$
|
1,829
|
|
|
$
|
873
|
|
|
Cost of Goods Sold, excluding depreciation and amortization
|
|
|
478
|
|
|
|
323
|
|
|
|
|
1,111
|
|
|
|
368
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Operation and maintenance
|
|
|
129
|
|
|
|
109
|
|
|
|
|
255
|
|
|
|
178
|
|
|
|
Depreciation and amortization
|
|
|
69
|
|
|
|
51
|
|
|
|
|
136
|
|
|
|
81
|
|
|
|
Taxes other than income taxes
|
|
|
13
|
|
|
|
13
|
|
|
|
|
27
|
|
|
|
22
|
|
|
|
|
Total Operating Expenses
|
|
|
211
|
|
|
|
173
|
|
|
|
|
418
|
|
|
|
281
|
|
|
Operating Income
|
|
|
138
|
|
|
|
116
|
|
|
|
|
300
|
|
|
|
224
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense):
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
(16
|
)
|
|
|
(16
|
)
|
|
|
|
(30
|
)
|
|
|
(40
|
)
|
|
|
Equity in earnings of equity method affiliates
|
|
|
4
|
|
|
|
4
|
|
|
|
|
7
|
|
|
|
9
|
|
|
|
Interest income - affiliated companies
|
|
|
-
|
|
|
|
1
|
|
|
|
|
-
|
|
|
|
8
|
|
|
|
Other, net
|
|
|
(5
|
)
|
|
|
-
|
|
|
|
|
(5
|
)
|
|
|
-
|
|
|
|
|
Total Other Income (Expense)
|
|
|
(17
|
)
|
|
|
(11
|
)
|
|
|
|
(28
|
)
|
|
|
(23
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Before Income Taxes
|
|
|
121
|
|
|
|
105
|
|
|
|
|
272
|
|
|
|
201
|
|
|
|
Income tax expense (benefit)
|
|
|
-
|
|
|
|
(1,233
|
)
|
|
|
|
1
|
|
|
|
(1,196
|
)
|
|
Net Income
|
|
$
|
121
|
|
|
$
|
1,338
|
|
|
|
|
271
|
|
|
|
1,397
|
|
|
|
Less: Net income attributable to noncontrolling interest
|
|
|
1
|
|
|
|
1
|
|
|
|
|
2
|
|
|
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income attributable to Enable Midstream Partners, LP
|
|
$
|
120
|
|
|
$
|
1,337
|
|
|
|
$
|
269
|
|
|
$
|
1,396
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Non-GAAP Financial Measures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Historical
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
|
|
|
|
|
2014
|
|
2013
|
|
|
2014
|
|
2013
|
|
|
|
|
|
|
|
|
(In millions)
|
|
Reconciliation of gross margin to revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
$
|
827
|
|
|
$
|
612
|
|
|
|
$
|
1,829
|
|
|
$
|
873
|
|
|
|
|
Cost of Goods Sold, excluding depreciation and amortization
|
|
|
|
478
|
|
|
|
323
|
|
|
|
|
1,111
|
|
|
|
368
|
|
|
|
|
Gross margin
|
|
|
|
$
|
349
|
|
|
$
|
289
|
|
|
|
$
|
718
|
|
|
$
|
505
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Adjusted EBITDA and distributable cash flow
to net income attributable to controlling interest:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to controlling interest
|
|
|
$
|
120
|
|
|
$
|
1,337
|
|
|
|
$
|
269
|
|
|
$
|
1,396
|
|
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization expense
|
|
|
|
69
|
|
|
|
51
|
|
|
|
|
136
|
|
|
|
81
|
|
|
|
|
Interest expense, net of interest income
|
|
|
|
16
|
|
|
|
15
|
|
|
|
|
30
|
|
|
|
32
|
|
|
|
|
Income tax expense
|
|
|
|
-
|
|
|
|
(1,233
|
)
|
|
|
|
1
|
|
|
|
(1,196
|
)
|
|
|
|
EBITDA
|
|
|
|
|
$
|
205
|
|
|
$
|
170
|
|
|
|
$
|
436
|
|
|
$
|
313
|
|
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss on extinquishment of debt
|
|
|
|
4
|
|
|
|
-
|
|
|
|
|
4
|
|
|
|
-
|
|
|
|
|
Distributions from equity method affiliates (1)
|
|
|
|
4
|
|
|
|
8
|
|
|
|
|
6
|
|
|
|
17
|
|
|
|
|
Other non-recurring losses
|
|
|
|
2
|
|
|
|
3
|
|
|
|
|
-
|
|
|
|
3
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in earnings of equity method affiliates
|
|
|
|
(4
|
)
|
|
|
(4
|
)
|
|
|
|
(7
|
)
|
|
|
(9
|
)
|
|
|
|
Gain on disposition
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
Adjusted EBITDA
|
|
|
|
$
|
211
|
|
|
$
|
177
|
|
|
|
$
|
439
|
|
|
$
|
324
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted interest expense, net (2)
|
|
|
|
(19
|
)
|
|
|
(18
|
)
|
|
|
|
(37
|
)
|
|
|
(34
|
)
|
|
|
|
Maintenance capital expenditures
|
|
|
|
(33
|
)
|
|
|
(41
|
)
|
|
|
|
(60
|
)
|
|
|
(63
|
)
|
|
|
|
Distributable cash flow
|
|
|
$
|
159
|
|
|
$
|
118
|
|
|
|
$
|
342
|
|
|
$
|
227
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Excludes $198 million in distributions of investment in equity
method affiliates for the three and six month period ended June 30,
2014.
|
|
|
|
(2) Adjusted interest expense, net excludes the effect of the
amortization of the premium on Enogex's fixed rate senior notes.
This exclusion is the primary reason for the difference between
"Interest expense, net" and "Ajdusted interest expense, net."
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Non-GAAP Financial Measures (continued)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Historical
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
|
|
|
|
2014
|
|
2013
|
|
|
2014
|
|
2013
|
|
|
|
|
|
|
|
(In millions)
|
|
Reconciliation of Adjusted EBITDA to net cash provided by
operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided by operating activities
|
|
|
$
|
186
|
|
|
$
|
165
|
|
|
|
$
|
292
|
|
|
$
|
288
|
|
|
|
|
Interest expense, net of interest income
|
|
|
|
16
|
|
|
|
15
|
|
|
|
|
30
|
|
|
|
32
|
|
|
|
|
Net (income) loss attributable to noncontrolling interest
|
|
|
|
(1
|
)
|
|
|
(1
|
)
|
|
|
|
(2
|
)
|
|
|
(1
|
)
|
|
|
|
Income tax expense
|
|
|
|
-
|
|
|
|
(1,233
|
)
|
|
|
|
1
|
|
|
|
(1,196
|
)
|
|
|
|
Deferred income tax (expense) benefit
|
|
|
|
2
|
|
|
|
1,233
|
|
|
|
|
1
|
|
|
|
1,195
|
|
|
|
|
Equity in earnings of equity method affiliates (net of
distributions) (1)
|
|
|
|
-
|
|
|
|
(4
|
)
|
|
|
|
1
|
|
|
|
(8
|
)
|
|
|
|
Other non-cash items
|
|
|
|
(10
|
)
|
|
|
2
|
|
|
|
|
(6
|
)
|
|
|
(1
|
)
|
|
|
|
Changes in operating working capital which (provided) used cash:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts receivable
|
|
|
|
(20
|
)
|
|
|
(7
|
)
|
|
|
|
31
|
|
|
|
18
|
|
|
|
|
|
Accounts payable
|
|
|
|
40
|
|
|
|
7
|
|
|
|
|
101
|
|
|
|
9
|
|
|
|
|
|
Other, including changes in non-current assets and liabilities
|
|
|
|
(8
|
)
|
|
|
(7
|
)
|
|
|
|
(13
|
)
|
|
|
(23
|
)
|
|
|
|
EBITDA
|
|
|
$
|
205
|
|
|
$
|
170
|
|
|
|
$
|
436
|
|
|
$
|
313
|
|
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss on extinguishment of debt
|
|
|
|
4
|
|
|
|
-
|
|
|
|
|
4
|
|
|
|
-
|
|
|
|
|
|
Distributions from equity method affiliates
|
|
|
|
4
|
|
|
|
8
|
|
|
|
|
6
|
|
|
|
17
|
|
|
|
|
|
Other non-recurring losses
|
|
|
|
2
|
|
|
|
3
|
|
|
|
|
-
|
|
|
|
3
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in earnings of equity method affiliates
|
|
|
|
(4
|
)
|
|
|
(4
|
)
|
|
|
|
(7
|
)
|
|
|
(9
|
)
|
|
|
|
Adjusted EBITDA
|
|
|
$
|
211
|
|
|
$
|
177
|
|
|
|
$
|
439
|
|
|
$
|
324
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Excludes $198 million in distributions of investment in equity
method affiliates for the three and six month period ended June 30,
2014.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Operating Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Historical
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
|
|
|
2014
|
|
2013
|
|
|
2014
|
|
2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operational Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Natural Gas - Gathered volumes - TBtu
|
|
|
312
|
|
281
|
|
|
607
|
|
476
|
|
|
Natural Gas - Gathered volumes - TBtu/d
|
|
|
3.41
|
|
3.07
|
|
|
3.35
|
|
2.62
|
|
|
Natural gas processed volumes - TBtu
|
|
|
141
|
|
98
|
|
|
272
|
|
127
|
|
|
Natural gas processed volumes - TBtu/d
|
|
|
1.55
|
|
1.07
|
|
|
1.50
|
|
0.70
|
|
|
NGLs produced - MBbls/d(1) (3)
|
|
|
69.47
|
|
42.95
|
|
|
67.39
|
|
26.60
|
|
|
NGLs sold - MBbls/d(1) (3)
|
|
|
73.75
|
|
43.50
|
|
|
69.98
|
|
26.88
|
|
|
Condensate sold - MBbls/d
|
|
|
4.28
|
|
2.00
|
|
|
4.71
|
|
1.06
|
|
|
Crude Oil - Gathered volumes - MBbl/d(2)
|
|
|
1.59
|
|
-
|
|
|
1.30
|
|
-
|
|
|
Transported volumes - TBtu
|
|
|
456
|
|
399
|
|
|
955
|
|
766
|
|
|
Transported volumes - TBtu/d
|
|
|
4.97
|
|
4.34
|
|
|
5.26
|
|
4.21
|
|
|
Interstate firm contracted volumes - TBtu/d
|
|
|
7.63
|
|
7.69
|
|
|
7.83
|
|
7.83
|
|
|
Intrastate Transported volumes - TBtu/d
|
|
|
1.63
|
|
0.96
|
|
|
1.60
|
|
0.48
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Excludes Condensate.
|
|
|
|
(2) Initial operation of the system began on November 1, 2013.
|
|
|
|
(3) NGLs sold includes volumes of NGLs withdrawn from inventory or
purchased for system balancing purposes.
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Supplemental Disclosures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Certain information contained in this release relates to periods
that began prior to the acquisition of Enogex LLC (Enogex) by Enable
Midstream Partners, LP. The Partnership believes that combined
historical data with Enogex, along with certain pro forma
adjustments, is relevant and meaningful, enhances the discussion of
periods presented and is useful to the reader to better understand
trends in the Partnership's operations. The pro forma adjustments,
as discussed in the footnotes below, only give effect to events that
are (1) directly attributable to the formation of the Partnership;
(2) factually supportable; and (3) expected to have a continuing
effect on the consolidated results of the Partnership.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following information is for informational purposes only and
should not be considered indicative of future results. The
following pro forma financial data was derived from the
Partnership's combined financial information, Enogex consolidated
financial information and certain adjustments described below.
Further, management does not believe that the pro forma financial
data is necessarily indicative of the financial data that would
have been reported by the Partnership had the acquisition of
Enogex closed prior to the historical period presented, future
results of the Partnership, or other transactions that resulted in
the formation of the Partnership.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Unaudited Supplemental Pro Forma Condensed Combined Statement of
Income
|
|
For the Three Months Ended June 30, 2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Enogex
|
|
Pro Forma
|
|
Enable Midstream Partners, LP
|
|
|
|
|
|
|
Historical
|
|
Historical
|
|
Adjustments
|
|
Pro Forma
|
|
|
|
|
|
|
(In millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
$
|
612
|
|
|
$
|
166
|
|
|
$
|
-
|
|
|
$
|
778
|
|
|
Cost of Goods Sold, excluding depreciation and amortization
|
|
|
|
323
|
|
|
|
129
|
|
|
|
(1
|
)
|
A
|
|
451
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
Operation and maintenance
|
|
|
|
109
|
|
|
|
16
|
|
|
|
-
|
|
|
|
125
|
|
|
|
Depreciation and amortization
|
|
|
|
51
|
|
|
|
10
|
|
|
|
5
|
|
A
|
|
66
|
|
|
|
Taxes other than income taxes
|
|
|
|
13
|
|
|
|
1
|
|
|
|
-
|
|
|
|
14
|
|
|
|
|
Total Operating Expenses
|
|
|
|
173
|
|
|
|
27
|
|
|
|
5
|
|
|
|
205
|
|
|
Operating Income
|
|
|
|
116
|
|
|
|
10
|
|
|
|
(4
|
)
|
|
|
122
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense):
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
|
(16
|
)
|
|
|
(2
|
)
|
|
|
(2
|
)
|
C
|
|
(13
|
)
|
|
|
|
|
|
|
|
|
|
|
|
1
|
|
A
|
|
|
|
|
|
|
|
|
|
|
|
|
6
|
|
B
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in earnings of equity method affiliates
|
|
|
|
4
|
|
|
|
-
|
|
|
|
(2
|
)
|
E
|
|
2
|
|
|
|
Interest income - affiliated companies
|
|
|
|
1
|
|
|
|
-
|
|
|
|
(1
|
)
|
B
|
|
-
|
|
|
|
Other, net
|
|
|
|
-
|
|
|
|
1
|
|
|
|
-
|
|
|
|
1
|
|
|
|
|
Total Other Income (Expense)
|
|
|
|
(11
|
)
|
|
|
(1
|
)
|
|
|
2
|
|
|
|
(10
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Before Income Taxes
|
|
|
|
105
|
|
|
|
9
|
|
|
|
(2
|
)
|
|
|
112
|
|
|
|
Income tax expense (benefit)
|
|
|
|
(1,233
|
)
|
|
|
-
|
|
|
|
(5
|
)
|
D
|
|
(1,238
|
)
|
|
Net Income
|
|
|
$
|
1,338
|
|
|
$
|
9
|
|
|
$
|
3
|
|
|
$
|
1,350
|
|
|
|
Less: Net income attributable to
noncontrolling interest
|
|
|
|
1
|
|
|
|
-
|
|
|
|
-
|
|
|
|
1
|
|
|
Net Income attributable to Enable Midstream Partners, LP
|
|
|
$
|
1,337
|
|
|
$
|
9
|
|
|
$
|
3
|
|
|
$
|
1,349
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Supplemental Disclosures (continued)
|
|
|
|
|
|
|
|
|
|
(A)
|
This adjustment reflects the acquisition of Enogex on May 1, 2013:
|
|
|
|
|
|
|
Cost of Goods Sold, Excluding Depreciation and Amortization.
The impact of recognizing liabilities for loss contract at May 1,
2013 results in a reduction to cost of goods sold, excluding
depreciation and amortization, of $1 million during the three months
ended June 30, 2013.
|
|
|
|
|
|
|
|
Depreciation and Amortization. As a result of applying
purchase accounting to the acquisition of Enogex, property, plant
and equipment and identifiable intangible assets were recorded at
their fair value, resulting in additional depreciation and
amortization expense. The impact of the step-up on depreciation
expense is $5 million during the three months ended June 30, 2013.
|
|
|
|
|
|
|
|
Interest Expense. The pro forma impact of the amortization of
the premium, less the historical recognition of the premium,
discount and deferred charges on interest expense, net of historical
capitalized interest, is $1 million during the three months ended
June 30, 2013.
|
|
|
|
|
|
(B)
|
Interest Expense. This adjustment reflects the settlement on
May 1, 2013 of certain notes receivable—affiliated companies and
notes payable—affiliated companies with CenterPoint Energy and OGE
Energy, historically held by the Partnership and Enogex,
respectively, by a total of $5 million during the three months ended
June 30, 2013.
|
|
|
|
|
|
(C)
|
Interest Expense. This adjustment reflects the entrance into
the $1.05 billion Term Loan Facility on May 1, 2013: this issuance
results in an increase in interest expense of $2 million during the
three months ended June 30, 2013.
|
|
|
|
|
|
(D)
|
Income Tax Expense. Upon conversion to a limited partnership
on May 1, 2013, the Partnership’s earnings are no longer subject to
income tax (other than Texas state margin taxes) and are taxable at
the individual partner level. The pro forma adjustment to income
taxes for the three months ended June 30, 2013 removes $5 million of
historical income tax expense.
|
|
|
|
|
|
(E)
|
Equity in earnings of equity method affiliates. The 25.05%
interest in SESH distributed to CenterPoint Energy results in a pro
forma reduction to earnings of equity method affiliates of $2
million during the three months ended June 30, 2013.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Unaudited Supplemental Pro Forma Condensed Combined Statement of
Income
|
|
For the Six Months Ended June 30, 2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Enogex
|
|
Pro Forma
|
|
Enable Midstream Partners, LP
|
|
|
|
|
|
Historical
|
|
Historical
|
|
Adjustments
|
|
Pro Forma
|
|
|
|
|
|
(In millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
$
|
873
|
|
|
$
|
630
|
|
|
$
|
1
|
|
A
|
$
|
1,504
|
|
|
Cost of Goods Sold, excluding depreciation and amortization
|
|
|
368
|
|
|
|
489
|
|
|
|
(4
|
)
|
A
|
|
853
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Expenses:
|
|
|
|
|
|
|
|
|
|
|
Operation and maintenance
|
|
|
178
|
|
|
|
63
|
|
|
|
-
|
|
|
|
241
|
|
|
|
Depreciation and amortization
|
|
|
81
|
|
|
|
37
|
|
|
|
20
|
|
A
|
|
138
|
|
|
|
Taxes other than income taxes
|
|
|
22
|
|
|
|
8
|
|
|
|
-
|
|
|
|
30
|
|
|
|
|
Total Operating Expenses
|
|
|
281
|
|
|
|
108
|
|
|
|
20
|
|
|
|
409
|
|
|
Operating Income
|
|
|
224
|
|
|
|
33
|
|
|
|
(15
|
)
|
|
|
242
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense):
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
(40
|
)
|
|
|
(11
|
)
|
|
|
(7
|
)
|
C
|
|
(25
|
)
|
|
|
|
|
|
|
|
|
|
|
4
|
|
A
|
|
|
|
|
|
|
|
|
|
|
|
29
|
|
B
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in earnings of equity method affiliates
|
|
|
9
|
|
|
|
-
|
|
|
|
(4
|
)
|
E
|
|
5
|
|
|
|
Interest income - affiliated companies
|
|
|
8
|
|
|
|
-
|
|
|
|
(8
|
)
|
B
|
|
-
|
|
|
|
Other, net
|
|
|
-
|
|
|
|
10
|
|
|
|
-
|
|
|
|
10
|
|
|
|
|
Total Other Income (Expense)
|
|
|
(23
|
)
|
|
|
(1
|
)
|
|
|
14
|
|
|
|
(10
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Before Income Taxes
|
|
|
201
|
|
|
|
32
|
|
|
|
(1
|
)
|
|
|
232
|
|
|
|
Income tax expense (benefit)
|
|
|
(1,196
|
)
|
|
|
-
|
|
|
|
(42
|
)
|
D
|
|
(1,238
|
)
|
|
Net Income
|
|
$
|
1,397
|
|
|
$
|
32
|
|
|
$
|
41
|
|
|
$
|
1,470
|
|
|
|
Less: Net income attributable to
noncontrolling interest
|
|
|
1
|
|
|
|
-
|
|
|
|
-
|
|
|
|
1
|
|
|
Net Income attributable to Enable Midstream Partners, LP
|
|
$
|
1,396
|
|
|
$
|
32
|
|
|
$
|
41
|
|
|
$
|
1,469
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Supplemental Disclosures (continued)
|
|
|
|
|
|
|
|
|
|
(A)
|
This adjustment reflects the acquisition of Enogex on May 1, 2013:
|
|
|
|
|
|
|
Revenue. The impact of removing the historical amortization
and the historical recognition of deferred revenues at May 1, 2013
results in a net increase to revenue of $1 million during the six
months ended June 30, 2013.
|
|
|
|
|
|
|
|
Cost of Goods Sold, Excluding Depreciation and Amortization.
The impact of recognizing liabilities for loss contract at May 1,
2013 results in a reduction to cost of goods sold, excluding
depreciation and amortization, of $4 million during the six months
ended June 30, 2013.
|
|
|
|
|
|
|
|
Depreciation and Amortization. As a result of applying
purchase accounting to the acquisition of Enogex, property, plant
and equipment and identifiable intangible assets were recorded at
their fair value, resulting in additional depreciation and
amortization expense. The impact of the step-up on depreciation
expense is $20 million during the six months ended June 30, 2013.
|
|
|
|
|
|
|
|
Interest Expense. The pro forma impact of the amortization of
the premium, less the historical recognition of the premium,
discount and deferred charges on interest expense, net of historical
capitalized interest, is $4 million during the six months ended June
30, 2013.
|
|
|
|
|
|
(B)
|
Interest Expense. This adjustment reflects the settlement on
May 1, 2013 of certain notes receivable—affiliated companies and
notes payable—affiliated companies with CenterPoint Energy and OGE
Energy, historically held by the Partnership and Enogex,
respectively, by a total of $21 million during the six months ended
June 30, 2013.
|
|
|
|
|
|
(C)
|
Interest Expense. This adjustment reflects the entrance into
the $1.05 billion Term Loan Facility on May 1, 2013: this issuance
results in an increase in interest expense of $7 million during the
six months ended June 30, 2013.
|
|
|
|
|
|
(D)
|
Income Tax Expense. Upon conversion to a limited partnership
on May 1, 2013, the Partnership’s earnings are no longer subject to
income tax (other than Texas state margin taxes) and are taxable at
the individual partner level. The pro forma adjustment to income
taxes for the six months ended June 30, 2013 removes $42 million of
historical income tax expense.
|
|
|
|
|
|
(E)
|
Equity in earnings of equity method affiliates. The 25.05%
interest in SESH distributed to CenterPoint Energy results in a pro
forma reduction to earnings of equity method affiliates of $4
million during the six months ended June 30, 2013.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Supplemental Condensed Combined and Consolidated Statements of
Income
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
|
|
|
Historical
|
|
Pro Forma
|
|
|
Historical
|
|
Pro Forma
|
|
|
|
|
|
|
2014
|
|
2013
|
|
|
2014
|
|
2013
|
|
|
|
|
|
|
(In millions)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
$
|
827
|
|
|
$
|
778
|
|
|
|
$
|
1,829
|
|
|
$
|
1,504
|
|
|
Cost of Goods Sold, excluding depreciation and amortization
|
|
|
|
478
|
|
|
|
451
|
|
|
|
|
1,111
|
|
|
|
853
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Operation and maintenance
|
|
|
|
129
|
|
|
|
125
|
|
|
|
|
255
|
|
|
|
241
|
|
|
|
Depreciation and amortization
|
|
|
|
69
|
|
|
|
66
|
|
|
|
|
136
|
|
|
|
138
|
|
|
|
Taxes other than income taxes
|
|
|
|
13
|
|
|
|
14
|
|
|
|
|
27
|
|
|
|
30
|
|
|
|
|
Total Operating Expenses
|
|
|
|
211
|
|
|
|
205
|
|
|
|
|
418
|
|
|
|
409
|
|
|
Operating Income
|
|
|
|
138
|
|
|
|
122
|
|
|
|
|
300
|
|
|
|
242
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Income (Expense):
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense
|
|
|
|
(16
|
)
|
|
|
(13
|
)
|
|
|
|
(30
|
)
|
|
|
(25
|
)
|
|
|
Equity in earnings of equity method affiliates
|
|
|
|
4
|
|
|
|
2
|
|
|
|
|
7
|
|
|
|
5
|
|
|
|
Interest income - affiliated companies
|
|
|
|
-
|
|
|
|
-
|
|
|
|
|
-
|
|
|
|
-
|
|
|
|
Other, net
|
|
|
|
(5
|
)
|
|
|
1
|
|
|
|
|
(5
|
)
|
|
|
10
|
|
|
|
|
Total Other Income (Expense)
|
|
|
|
(17
|
)
|
|
|
(10
|
)
|
|
|
|
(28
|
)
|
|
|
(10
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Before Income Taxes
|
|
|
|
121
|
|
|
|
112
|
|
|
|
|
272
|
|
|
|
232
|
|
|
|
Income tax expense (benefit)
|
|
|
|
-
|
|
|
|
(1,238
|
)
|
|
|
|
1
|
|
|
|
(1,238
|
)
|
|
Net Income
|
|
|
$
|
121
|
|
|
$
|
1,350
|
|
|
|
|
271
|
|
|
|
1,470
|
|
|
|
Less: Net income attributable to noncontrolling interest
|
|
|
|
1
|
|
|
|
1
|
|
|
|
|
2
|
|
|
|
1
|
|
|
Net Income attributable to Enable Midstream Partners, LP
|
|
|
$
|
120
|
|
|
$
|
1,349
|
|
|
|
$
|
269
|
|
|
$
|
1,469
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Supplemental Non-GAAP Financial Measures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Six Months Ended
June 30,
|
|
|
|
|
|
|
|
|
Historical
|
|
Pro Forma
|
|
Historical
|
|
Pro Forma
|
|
|
|
|
|
|
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|
|
|
|
|
|
|
|
(In millions)
|
|
Reconciliation of gross margin to revenues:
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
$
|
827
|
|
|
$
|
778
|
|
|
$
|
1,829
|
|
|
$
|
1,504
|
|
|
|
|
Cost of Goods Sold, excluding depreciation and amortization
|
|
|
|
478
|
|
|
|
451
|
|
|
|
1,111
|
|
|
|
853
|
|
|
|
|
Gross margin
|
|
|
|
|
$
|
349
|
|
|
$
|
327
|
|
|
$
|
718
|
|
|
$
|
651
|
|
|
Reconciliation of Adjusted EBITDA and distributable cash flow
to net income attributable to controlling interest:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to controlling interest
|
|
|
$
|
120
|
|
|
$
|
1,349
|
|
|
$
|
269
|
|
|
$
|
1,469
|
|
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization expense
|
|
|
|
69
|
|
|
|
66
|
|
|
|
136
|
|
|
|
138
|
|
|
|
|
Interest expense, net of interest income
|
|
|
|
16
|
|
|
|
13
|
|
|
|
30
|
|
|
|
25
|
|
|
|
|
Income tax expense
|
|
|
|
-
|
|
|
|
(1,238
|
)
|
|
|
1
|
|
|
|
(1,238
|
)
|
|
|
|
EBITDA
|
|
|
|
|
$
|
205
|
|
|
$
|
190
|
|
|
$
|
436
|
|
|
$
|
394
|
|
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss on extinquishment of debt
|
|
|
|
4
|
|
|
|
-
|
|
|
|
4
|
|
|
|
-
|
|
|
|
|
Distributions from equity method affiliates (1)
|
|
|
|
4
|
|
|
|
8
|
|
|
|
6
|
|
|
|
12
|
|
|
|
|
Other non-recurring losses
|
|
|
|
2
|
|
|
|
2
|
|
|
|
-
|
|
|
|
6
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in earnings of equity method affiliates
|
|
|
|
(4
|
)
|
|
|
(2
|
)
|
|
|
(7
|
)
|
|
|
(5
|
)
|
|
|
|
Gain on disposition
|
|
|
|
-
|
|
|
|
-
|
|
|
|
-
|
|
|
|
(10
|
)
|
|
|
|
Adjusted EBITDA
|
|
|
|
|
$
|
211
|
|
|
$
|
198
|
|
|
$
|
439
|
|
|
$
|
397
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted interest expense, net (2)
|
|
|
|
(19
|
)
|
|
|
(17
|
)
|
|
|
(37
|
)
|
|
|
(30
|
)
|
|
|
|
Expansion capital expenditures
|
|
|
|
(122
|
)
|
|
|
(23
|
)
|
|
|
(122
|
)
|
|
|
(23
|
)
|
|
|
|
Maintenance capital expenditures
|
|
|
|
(33
|
)
|
|
|
(45
|
)
|
|
|
(60
|
)
|
|
|
(73
|
)
|
|
|
|
Distributable cash flow
|
|
|
|
$
|
159
|
|
|
$
|
136
|
|
|
$
|
342
|
|
|
$
|
294
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Excludes $198 million in distributions of investment in equity
method affiliates for the three and six month period ended June 30,
2014.
|
|
|
|
(2) Adjusted interest expense, net excludes the effect of the
amortization of the premium on Enogex's fixed rate senior notes.
This exclusion is the primary reason for the difference between
"Interest expense, net" and "Ajdusted interest expense, net."
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Enable Midstream Partners, LP
|
|
Supplemental Operating Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30,
|
|
|
Six Months Ended June 30,
|
|
|
|
|
|
|
|
Historical
|
|
Pro Forma
|
|
|
Historical
|
|
Pro Forma
|
|
|
|
|
|
|
|
2014
|
|
2013
|
|
|
2014
|
|
2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operational Data
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Natural Gas - Gathered volumes - TBtu
|
|
|
312
|
|
328
|
|
|
607
|
|
661
|
|
|
Natural Gas - Gathered volumes - TBtu/d
|
|
|
3.41
|
|
3.58
|
|
|
3.35
|
|
3.63
|
|
|
Natural gas processed volumes - TBtu
|
|
|
141
|
|
130
|
|
|
272
|
|
255
|
|
|
Natural gas processed volumes - TBtu/d
|
|
|
1.55
|
|
1.42
|
|
|
1.50
|
|
1.40
|
|
|
NGLs produced - MBbls/d(1) (3)
|
|
|
69.47
|
|
58.19
|
|
|
67.39
|
|
56.71
|
|
|
NGLs sold - MBbls/d(1) (3)
|
|
|
73.75
|
|
58.72
|
|
|
69.98
|
|
56.95
|
|
|
Condensate sold - MBbls/d
|
|
|
4.28
|
|
3.23
|
|
|
4.71
|
|
3.24
|
|
|
Crude Oil - Gathered volumes - MBbl/d(2)
|
|
|
1.59
|
|
-
|
|
|
1.30
|
|
-
|
|
|
Transported volumes - TBtu
|
|
|
456
|
|
445
|
|
|
955
|
|
961
|
|
|
Transported volumes - TBtu/d
|
|
|
4.97
|
|
4.85
|
|
|
5.26
|
|
5.29
|
|
|
Interstate firm contracted volumes - TBtu/d
|
7.63
|
|
7.69
|
|
|
7.83
|
|
7.83
|
|
|
Intrastate Transported volumes - TBtu/d
|
|
|
1.63
|
|
1.47
|
|
|
1.60
|
|
1.56
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Excludes Condensate.
|
|
|
|
(2) Initial operation of the system began on November 1, 2013.
|
|
|
|
(3) NGLs sold includes volumes of NGLs withdrawn from inventory or
purchased for system balancing purposes.
|
Copyright Business Wire 2014