Enterprise Products Partners L.P.

SEC Filings

10-K
ENTERPRISE PRODUCTS PARTNERS L P filed this Form 10-K on 02/28/2018
Entire Document
 


The following table summarizes our calculation of distributable cash flow for the periods indicated (dollars in millions):

   
For the Year Ended December 31,
 
   
2017
   
2016
   
2015
 
Net income attributable to limited partners (1)
 
$
2,799.3
   
$
2,513.1
   
$
2,521.2
 
Adjustments to GAAP net income attributable to limited partners to
   derive non-GAAP distributable cash flow:
                       
      Add depreciation, amortization and accretion expenses
   
1,644.0
     
1,552.0
     
1,516.0
 
      Add non-cash asset impairment and related charges
   
49.8
     
53.5
     
162.6
 
      Add losses or subtract gains attributable to asset sales
   
(10.7
)
   
(2.5
)
   
15.6
 
      Add cash proceeds from asset sales (2)
   
40.1
     
46.5
     
1,608.6
 
      Add changes in fair value of Liquidity Option Agreement (3)
   
64.3
     
24.5
     
25.4
 
      Add or subtract changes in fair market value of derivative instruments
   
22.8
     
45.0
     
(18.4
)
      Add cash distributions received from unconsolidated affiliates (4)
   
483.0
     
451.5
     
462.1
 
      Subtract equity in income of unconsolidated affiliates
   
(426.0
)
   
(362.0
)
   
(373.6
)
      Subtract sustaining capital expenditures (5)
   
(243.9
)
   
(252.0
)
   
(272.6
)
      Add gains from monetization of interest rate derivative instruments accounted
         for as cash flow hedges (6)
   
30.6
     
6.1
     
--
 
      Add deferred income tax expense or subtract benefit, as applicable
   
6.1
     
6.6
     
(20.6
)
      Other, net
   
42.9
     
20.5
     
(19.0
)
Distributable cash flow
 
$
4,502.3
   
$
4,102.8
   
$
5,607.3
 
                         
Total cash distributions paid to limited partners with respect to period
 
$
3,635.2
   
$
3,394.0
   
$
3,036.8
 
                         
Cash distributions per unit declared by Enterprise GP with respect to period (7)
 
$
1.6825
   
$
1.6100
   
$
1.5300
 
                         
Total distributable cash flow retained by partnership with respect to period (8)
 
$
867.1
   
$
708.8
   
$
2,570.5
 
                         
Distribution coverage ratio (9)
   
1.24x
 
   
1.21x
 
   
1.85x
 
                         
(1)   For a discussion of significant changes in our comparative income statement amounts underlying net income attributable to limited partners, along with the primary drivers of such changes, see “Consolidated Income Statements Highlights” within this Part II, Item 7.
(2)   For a discussion of significant changes in cash proceeds from asset sales as presented in the investing activities section of our Statements of Consolidated Cash Flows, see “Cash Flows from Operating, Investing and Financing Activities” within this Part II, Item 7.
(3)   For information regarding the Liquidity Option Agreement, see Note 17 of the Notes to Consolidated Financial Statements included under Part II, Item 8 of this annual report.
(4)   Reflects both distributions received on earnings from unconsolidated affiliates and those attributable to a return of capital from unconsolidated affiliates. For information regarding our unconsolidated affiliates, see Note 6 of the Notes to Consolidated Financial Statements included under Part II, Item 8 of this annual report.
(5)   Sustaining capital expenditures include cash payments and accruals applicable to the period.
(6)   For information regarding these gains, see “Interest Rate Hedging Activities” under Note 14 of the Notes to Consolidated Financial Statements included under Part II, Item 8 of this annual report.
(7)   See Note 9 of the Notes to Consolidated Financial Statements included under Part II, Item 8 of this annual report for additional information regarding our quarterly cash distributions declared with respect to the periods presented.
(8)  At the sole discretion of Enterprise GP, cash retained by the partnership with respect to each of these years was primarily reinvested in our growth capital spending program, which substantially reduced our reliance on the equity and debt capital markets to fund such major expenditures.
(9)   Distribution coverage ratio is determined by dividing distributable cash flow by total cash distributions paid to limited partners and in connection with distribution equivalent rights with respect to the period.
 

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