WILLIAMS COMPANIES INC
For the period ended Sep 30, 2024. Filed Nov 6, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2024 · Filed Nov 6, 2024
WMB$64.08-0.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-06-30; filed 2024-08-05.
0000107263-24-000077
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-09-30; filed 2024-11-06.
0000107263-24-000095
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 230 previous paragraphs and 249 current paragraphs.
123 unchanged; 70 reworded; 51 added; 29 removed; 8 previous and 5 current paragraphs rearranged.
Tables are not compared: 9 previous and 9 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (51)
Current report
Overview of Nine Months Ended September 30, 2024
Current report
Transco FERC Rate Case Filing
Current report
On August 30, 2024, Transco filed a general rate case with the FERC for an overall increase in rates. In September 2024, with the exception of certain rates that reflected a rate decrease, the FERC accepted and suspended our general rate filing to be effective March 1, 2025, subject to refund and the outcome of hearing procedures established by the FERC. The specific rates that reflected a rate decrease were accepted, without suspension, to be effective October 1, 2024, as requested by Transco, and will not be subject to refund. The impact of the rates reflecting a rate decrease is expected to reduce revenues by approximately $1 million per month beginning October 1, 2024.
Current report
The Product sales and service revenues – commodity consideration decrease primarily consists of:
Current report
•Lower product sales from our upstream operations at Other;
Current report
•Lower equity NGL sales and commodity consideration revenues associated with our NGL production activity primarily at our West segment;
Current report
•Lower system management gas sales primarily at our Transmission & Gulf of Mexico segment; partially offset by
Current report
•Higher marketing sales activities primarily at our West segment; partially offset by lower marketing activities related to NGLs at our Gas & NGL Marketing Services segment.
Current report
The Product costs and net processing commodity expenses increase primarily consists of:
Current report
•Higher marketing activities primarily at our West segment; partially offset by lower marketing activities primarily related to NGLs at our Gas & NGL Marketing Services segment; partially offset by
Current report
•Lower shrink natural gas purchases and commodity consideration costs associated with our equity NGL production activities primarily at our West segment;
Current report
Selling, general, and administrative expenses increased primarily due to employee-related costs, including the impact of a change in a payroll policy.
Current report
Gain on sale of business reflects a gain from the sale of certain liquids pipelines in our Transmission & Gulf of Mexico segment in 2023 (see Note 3 – Acquisitions and Divestitures).
Current report
Other (income) expense – net within Operating income (loss) includes lower project feasibility costs at our Transmission & Gulf of Mexico segment.
Current report
Equity earnings (losses) changed favorably primarily due to the absence of our share of a loss contingency accrual in 2023 at Aux Sable, partially offset by the impacts of the sale of our interests in Aux Sable and the consolidations of RMM and Discovery following our acquisitions of the remaining ownership interests (see Note 3 – Acquisitions and Divestitures).
Current report
Other investing income (loss) – net includes a $149 million gain on the sale of our interests in Aux Sable and a $127 million gain on remeasurement of our existing equity-method investment associated with the purchase of the remaining interest in Discovery.
Current report
The Product sales and service revenues – commodity consideration decrease primarily consists of:
Current report
•Lower system management gas sales primarily at our Transmission & Gulf of Mexico segment;
Current report
•Lower equity NGL sales and commodity consideration revenues associated with our NGL production activity primarily at our West segment;
Current report
•Lower product sales from upstream operations at Other; partially offset by
Current report
•Higher marketing sales activities primarily at our West segment; partially offset by lower marketing sales activities primarily related to NGLs at our Gas & NGL Marketing Services segment. Net natural gas marketing sales were impacted by lower net prices, higher storage costs, and a favorable change in lower of cost or net realizable inventory adjustments.
Current report
•Lower shrink natural gas purchases and commodity consideration costs associated with our equity NGL production activities primarily at our West segment;
Current report
•Lower system management gas purchases primarily at our Transmission & Gulf of Mexico segment; partially offset by
Current report
•Higher marketing activities primarily at our West segment; partially offset by lower marketing activities primarily related to NGLs at our Gas & NGL Marketing Services segment.
Current report
Selling, general, and administrative expenses increased primarily due to employee-related costs, including the impact of a change in a payroll policy.
Current report
Gain on sale of business reflects a gain from the sale of certain liquids pipelines in our Transmission & Gulf of Mexico segment in 2023, as previously discussed.
Current report
Other (income) expense – net within Operating income (loss)includes lower project feasibility costs at our Transmission & Gulf of Mexico segment.
Current report
Other investing income (loss) – net includes gains on the sale of our interests in Aux Sable and associated with the purchase of the remaining interest in Discovery, as previously discussed.
Current report
•A $13 million increase primarily in gathering and transportation revenues at Discovery due to the acquisition in August 2024 (see Note 3 – Acquisitions and Divestitures); partially offset by
Current report
•A $6 million decrease in the Eastern Gulf region primarily due to weather-related events and ongoing producer operational issues at Gulfstar One in the Gunflint field, partially offset by higher primarily production handling volumes from a new well at Gulfstar One in the Pickerel field.
Current report
•Lower project feasibility costs.
Current report
Gain on sale of business reflects a gain recognized on the sale of certain liquids pipelines in the Gulf Coast region in September 2023 (see Note 3 – Acquisitions and Divestitures).
Current report
Proportional Modified EBITDA of equity-method investments decreased due to lower proportional results as Discovery was consolidated following our acquisition of the remaining ownership interest in August 2024.
Current report
•A $13 million increase primarily in gathering and transportation revenues at Discovery due to the acquisition; partially offset by
Current report
•A $19 million decrease in the Eastern Gulf region primarily due to shut-ins for weather-related events and producer operational issues at Gulfstar One in the Gunflint and Tubular Bells fields, partially offset by higher primarily production handling volumes from a new well at Gulfstar One in the Pickerel field.
Current report
•Lower project feasibility costs;
Current report
Gain on sale of business reflects a gain recognized on the sale of certain liquids pipelines in the Gulf Coast region in 2023, as previously discussed.
Current report
Proportional Modified EBITDA of equity-method investments decreased due to lower proportional results as Discovery was consolidated, as previously discussed.
Current report
Other segment costs and expenses increased primarily due to higher employee-related costs, including the impact of a change in a payroll policy.
Current report
Proportional Modified EBITDA of equity-method investments increased at Aux Sable Liquid Products LP primarily due to the absence of our $31 million share of a loss contingency accrual related to our 14 percent ownership in the third quarter of 2023, partially offset by the sale of our investment in Aux Sable Liquid Products LP in the third quarter of 2024. Additionally, Appalachia Midstream Investments increased primarily driven by higher gathering rates partially offset by lower volumes and higher expenses.
Showing the first 40 of 51 passages. Open the source sections for the rest.
Removed paragraphs (29)
Previous report
Overview of Six Months Ended June 30, 2024
Previous report
Cardinal Gathering Expansion
Previous report
The Product sales and service revenues – commodity consideration increase primarily consists of:
Previous report
•Higher net natural gas marketing sales and purchases volumes, partially offset by lower net prices;
Previous report
•Higher NGL marketing sales primarily due to higher non-ethane prices, partially offset by lower ethane volumes and prices; partially offset by
Previous report
•Lower system management gas sales.
Previous report
•Lower system management gas purchases; partially offset by
Previous report
•Higher non-ethane prices, partially offset by lower ethane volumes for our NGL marketing activities.
Previous report
The Product sales and service revenues – commodity consideration increase primarily consists of:
Previous report
•Higher net natural gas marketing sales primarily due to higher sales and purchases volumes substantially offset by lower net prices and higher storage costs;
Previous report
•Higher product sales from our upstream operations primarily due to higher production volumes, partially offset by lower commodity prices. These sales are partially offset by
Previous report
•Lower system management gas sales;
Previous report
•Lower NGL marketing sales primarily due to lower ethane volumes, partially offset by higher non-ethane prices.
Previous report
•Lower shrink gas purchases associated with our equity NGL production activities due to lower natural gas prices and volumes;
Previous report
•Lower NGL marketing purchases due to lower ethane volumes, partially offset by higher non-ethane prices.
Previous report
Equity earnings (losses) changed unfavorably primarily due to the consolidation of RMM following our acquisition of the remaining ownership interest in November 2023 and a decrease at Blue Racer, partially offset by favorable results at OPPL.
Previous report
Other segment costs and expenses decreased primarily due to:
Previous report
Northeast G&P
Previous report
•A $24 million decrease in revenues in the Utica Shale region primarily related to the timing of recognition of the 2023 cost of service rate increase at Cardinal associated with the annual redetermination of those rates as well as lower volumes at Flint and Cardinal;
Previous report
Proportional Modified EBITDA of equity-method investments decreased at Blue Racer primarily driven by lower gathering volumes. Additionally, Appalachia Midstream Investments decreased primarily driven by lower volumes significantly offset by higher gathering rates at the Bradford Supply Hub.
Previous report
Service revenues were consistent with the prior year primarily due to:
Previous report
Commodity margins increased $12 million primarily due to a $12 million increase in marketing margins and a $6 million increase from other sales activities both associated primarily with the Cureton Acquisition, partially offset by a $6 million decrease from our equity NGLs primarily due to an unfavorable change in net realized commodity pricing.
Previous report
Commodity margins increased $48 million primarily due to a $24 million increase from our equity NGLs due to a favorable change in net realized commodity pricing primarily for shrink gas purchases and a $13 million increase in marketing margins as well as an $11 million increase from other sales activities, both associated primarily with the Cureton Acquisition.
Previous report
•A $12 million increase in Net realized product sales from our upstream operations primarily due to higher production volumes;
Previous report
•An $8 million favorable Other segment costs and expenses related to lower corporate costs; partially offset by
Previous report
•A $14 million unfavorable change in Net unrealized gain (loss) from derivative instruments due to changes in forward commodity prices relative to our upstream hedge positions in 2024 compared to 2023.
Previous report
•A $5 million increase in Net realized product sales from our upstream operations primarily due to higher production volumes, partially offset by lower net realized commodity prices;
Previous report
•A $7 million favorable change in Other segment costs and expenses related to lower corporate costs.
Previous report
On January 5, 2024, we issued $2.1 billion in long-term debt. We retired long-term debt of $1.0 billion on March 4, 2024, and $1.25 billion on June 24, 2024 (see Note 6 – Debt and Banking Arrangements).
Reworded paragraphs (70)
Previous wording
•Transmission & Gulf of Mexico is comprised of our interstate natural gas pipelines, Transco, Northwest Pipeline, and MountainWest, and their related natural gas storage facilities, as well as natural gas gathering and processing and crude oil production handling and transportation assets in the Gulf Coast region, including a 51 percent interest in Gulfstar One, a 50 percent equity-method investment in Gulfstream, and a 60 percent equity-method investment in Discovery (see Note 11 – Subsequent Events). Transmission & Gulf of Mexico also includes natural gas storage facilities and pipelines providing services in north Texas, and also in Louisiana and Mississippi related to the January 2024 Gulf Coast Storage Acquisition (see Note 3 – Acquisitions and Divestitures).
Current wording
•Transmission & Gulf of Mexico is comprised of our interstate natural gas pipelines, Transco, Northwest Pipeline, and MountainWest, and their related natural gas storage facilities, as well as natural gas gathering and processing and crude oil production handling and transportation assets in the Gulf Coast region, including a 51 percent interest in Gulfstar One, a 50 percent equity-method investment in Gulfstream, and Discovery, a former 60 percent equity-method investment in which we acquired the remaining ownership interest in August 2024 (see Note 3 – Acquisitions and Divestitures). Transmission & Gulf of Mexico also includes natural gas storage facilities and pipelines providing services in north Texas, and also in Louisiana and Mississippi related to the January 2024 Gulf Coast Storage Acquisition (see Note 3 – Acquisitions and Divestitures).
Previous wording
Net income (loss) attributable to The Williams Companies, Inc. for the six months ended June 30, 2024, decreased $354 million compared to the six months ended June 30, 2023. Further discussion of our results is found in this report in the Results of Operations.
Current wording
Net income (loss) attributable to The Williams Companies, Inc. for the nine months ended September 30, 2024, decreased $302 million compared to the nine months ended September 30, 2023. Further discussion of our results is found in this report in the Results of Operations.
Previous wording
On July 30, 2024, the D.C. Circuit Court of Appeals granted petitions for review of the FERC orders approving the project, vacating such orders and remanding the matter to the FERC for appropriate action. The court’s decision will not be effective until the court has issued its mandate (which is not expected to occur until mid-September 2024 at the earliest), so the decision will not have an immediate impact on the project or the service being rendered through the project capacity. We will take the necessary legal and regulatory actions to ensure that the project capacity continues to be available to serve the needs of our customers without interruption.
Current wording
On July 30, 2024, the D.C. Circuit Court of Appeals granted petitions for review of the FERC orders approving the project, vacating such orders and remanding the matter to the FERC for appropriate action. The court’s decision will not be effective until the court has issued its mandate, which is not expected to occur until November 2024 at the earliest. To enable us to continue operating the project facilities and capacity until the FERC issues an order on remand from the court’s decision, on September 6, 2024, we filed an application with the FERC for a temporary certificate.
Previous wording
As of December 31, 2023, we owned a 60 percent interest in Discovery which we accounted for as an equity-method investment. On August 1, 2024, we closed on the acquisition of the remaining 40 percent interest in Discovery, along with certain other assets, for $170 million, subject to working capital and post-closing adjustments. As a result of acquiring this additional interest, we obtained control and will consolidate Discovery. The purpose of this acquisition was to expand our gathering, processing, and transportation footprint in the Gulf of Mexico region. Assets acquired, acquisition-related costs incurred, and results of operations realized will be included within our Transmission & Gulf of Mexico segment (see Note 11 – Subsequent Events).
Current wording
As of December 31, 2023, we owned a 60 percent interest in Discovery, which we accounted for as an equity-method investment. On August 1, 2024, we closed on the acquisition of the remaining 40 percent interest in Discovery, along with certain other assets, for $170 million cash, subject to working capital and post-closing adjustments. As a result of acquiring this additional interest, we obtained control and now consolidate Discovery. We recognized a $127 million gain on remeasuring our existing equity-method investment to fair value included in Other investing income (loss) – net in our Consolidated Statement of Income in the third quarter of 2024. The purpose of this acquisition was to expand our gathering, processing, and transportation presence in the Gulf of Mexico region. Discovery continues to be reported within our Transmission & Gulf of Mexico segment (see Note 3 – Acquisitions and Divestitures).
Previous wording
Also on August 1, 2024, we completed the sale of our equity-method investments in Aux Sable for total consideration of $160 million. As a result of this sale, we expect to record a gain in the third quarter of 2024 in our Northeast G&P segment (see Note 11 – Subsequent Events).
Current wording
Also on August 1, 2024, we completed the sale of our equity-method investments in Aux Sable in our Northeast G&P segment for total consideration of $161 million. As a result of this sale, we recorded a gain of $149 million included in Other investing income (loss) – net in our Consolidated Statement of Income in the third quarter of 2024 (see Note 3 – Acquisitions and Divestitures).
Previous wording
In July 2023, we received approval from the FERC for the project, which involves an expansion of Transco’s existing natural gas transmission system to provide incremental firm transportation capacity from receipt points in Virginia and North Carolina to delivery points in North Carolina. We plan to place the project into service as early as the fourth quarter of 2024, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 423 Mdth/d.
Current wording
In July 2023, we received approval from the FERC for the project, which involves an expansion of Transco’s existing natural gas transmission system to provide incremental firm transportation capacity from receipt points in Virginia and North Carolina to delivery points in North Carolina. We placed a portion of the project into service in November 2024. We plan to place the remainder of the project into service by year-end 2024, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 423 Mdth/d.
Previous wording
We plan to file an application with the FERC as early as the third quarter of 2024 for the project, which involves an expansion of Transco’s existing natural gas transmission system to provide incremental firm transportation capacity from receipt points in Virginia to delivery points in Virginia, North Carolina, South Carolina, Georgia, and Alabama. We plan to place the project into service as early as the fourth quarter of 2027, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 1,592 Mdth/d.
Current wording
In October 2024, we filed a certificate application with the FERC for the project, which involves an expansion of Transco’s existing natural gas transmission system to provide incremental firm transportation capacity from receipt points in Virginia to delivery points in Virginia, North Carolina, South Carolina, Georgia, and Alabama. We plan to place the project into service as early as the fourth quarter of 2027, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 1,597 Mdth/d.
Previous wording
We plan to file our prior notice application for the project with the FERC as early as the fourth quarter of 2024, which involves an expansion of Transco’s existing natural gas transmission system to provide incremental firm transportation capacity from receipt points in Louisiana to delivery points in Texas. We plan to place the project into service as early as the fourth quarter of 2025, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 115 Mdth/d.
Current wording
We plan to file our prior notice application for the project with the FERC in the first quarter of 2025, which involves an expansion of Transco’s existing natural gas transmission system to provide incremental firm transportation capacity from receipt points in Louisiana to delivery points in Texas. We plan to place the project into service as early as the fourth quarter of 2025, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 115 Mdth/d.
Previous wording
In November 2023, we filed an application with the FERC for the project, which involves an expansion of MountainWest’s existing natural gas transmission system to provide incremental firm transportation capacity from multiple receipt points in Wamsutter, Wyoming to a delivery point in Opal, Wyoming. We plan to place the project into service as early as the fourth quarter of 2025, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 325 Mdth/d.
Current wording
In October 2024, we received approval from the FERC for the project, which involves an expansion of MountainWest’s existing natural gas transmission system to provide incremental firm transportation capacity from multiple receipt points in Wamsutter, Wyoming to a delivery point in Opal, Wyoming. We plan to place the project into service as early as the fourth quarter of 2025, assuming timely receipt of all necessary regulatory approvals. The project is expected to increase capacity by 325 Mdth/d.
Previous wording
In February 2023, we announced our agreement with a third party to facilitate natural gas production growth in the Haynesville basin. We plan to construct a greenfield gathering system in support of the third party’s 26,000-acre dedication. The system, once constructed, will provide natural gas gathering services to the third party. The third party has also agreed to a long-term capacity commitment on our Louisiana Energy Gateway project. This project is expected to go into service in the second quarter of 2025.
Current wording
In February 2023, we announced our agreement with a third party to facilitate natural gas production growth in the Haynesville basin. We plan to construct a greenfield gathering system in support of the third party’s 26,000-acre dedication. The system, once constructed, will provide natural gas gathering services to the third party. The third party has also agreed to a long-term capacity commitment on our Louisiana Energy Gateway project. This project is expected to go into service in third quarter 2025.
Previous wording
The following table and discussion is a summary of our consolidated results of operations for the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, and should be read in conjunction with the results of operations by segment, as discussed in further detail following this consolidated overview discussion.
Current wording
The following table and discussion is a summary of our consolidated results of operations for the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, and should be read in conjunction with the results of operations by segment, as discussed in further detail following this consolidated overview discussion.
Previous wording
Service revenues increased primarily due to higher volumes from the November 2023 DJ Basin Acquisitions at our West segment and the January 2024 Gulf Coast Storage acquisition at our Transmission & Gulf of Mexico segment (see Note 3 – Acquisitions and Divestitures), and higher revenues associated with an expansion project at our Transmission & Gulf of Mexico segment; partially offset by lower gathering volumes at our Northeast G&P and West Segments.
Current wording
Service revenues increased primarily due to higher volumes from the November 2023 DJ Basin Acquisitions at our West segment and the January 2024 Gulf Coast Storage and the August 2024 Discovery Acquisitions at our Transmission & Gulf of Mexico segment (see Note 3 – Acquisitions and Divestitures), and higher revenues associated with an expansion project at our Transmission & Gulf of Mexico segment; partially offset by lower gathering volumes at our West and Northeast G&P segments.
Previous wording
•Lower system management gas purchases; and
Current wording
•Lower system management gas purchases primarily at our Transmission & Gulf of Mexico segment.
Previous wording
Operating and maintenance expenses increased primarily due to operating costs of the assets acquired at our West and Transmission & Gulf of Mexico segments.
Current wording
Operating and maintenance expenses increased primarily due to employee-related costs, including the impact of a change in a payroll policy; and operating costs of the assets acquired at our West and Transmission & Gulf of Mexico segments.
Previous wording
Provision (benefit) for income taxes changed favorably primarily due to lower pre-tax income. See Note 5 – Provision (Benefit) for Income Taxes for a discussion of the effective tax rate compared to the federal statutory rate for both periods.
Current wording
Provision (benefit) for income taxes changed unfavorably primarily due to higher pre-tax income and the absence of a benefit associated with decreases in our estimate of the state deferred income tax rate in 2023. See Note 5 – Provision (Benefit) for Income Taxes for a discussion of the effective tax rate compared to the federal statutory rate for both periods.
Previous wording
Service revenues increased primarily due to higher volumes from the January 2024 Gulf Coast Storage and February 2023 MountainWest acquisitions at our Transmission & Gulf of Mexico segment and the November 2023 DJ Basin Acquisitions at our West segment, and higher revenues associated with an expansion project at our Transmission & Gulf of Mexico segment.
Current wording
Service revenues increased primarily due to higher volumes from the November 2023 DJ Basin Acquisitions at our West segment and the January 2024 Gulf Coast Storage, February 2023 MountainWest and August 2024 Discovery Acquisitions at our Transmission & Gulf of Mexico segment, and higher revenues associated with an expansion project at our Transmission & Gulf of Mexico segment, partially offset by lower gathering volumes at our West and Northeast G&P segments and the September 2023 sale of certain liquids pipelines at our Transmission & Gulf of Mexico segment.
Previous wording
Operating and maintenance expenses increased primarily due to operating costs of the assets acquired at our West and Transmission & Gulf of Mexico segments, as well as an unfavorable change in our net imbalance liability due to changes in pricing.
Current wording
Operating and maintenance expenses increased primarily due to operating costs of the assets acquired at our West and Transmission & Gulf of Mexico segments; as well as unfavorable changes in employee-related costs, including the impact of a change in a payroll policy; and our net imbalance liability due to changes in pricing.
Previous wording
Depreciation and amortization expenses increased primarily related to the assets acquired at our West and Transmission & Gulf of Mexico segments.
Current wording
Depreciation and amortization expenses increased primarily related to the assets acquired at our West and Transmission & Gulf of Mexico segments. The increase is partially offset by lower amortization of intangibles related to our 2021 Sequent Acquisition.
Previous wording
Equity earnings (losses) changed unfavorably primarily due to the consolidation of RMM following our acquisition of the remaining ownership interest in November 2023 and a decrease at Blue Racer, partially offset by favorable results at OPPL.
Current wording
Equity earnings (losses) changed unfavorably primarily due to the impacts of the consolidation of RMM and Discovery and the sale of our interests in Aux Sable, partially offset by the absence of our share of a loss contingency accrual in 2023 at Aux Sable, as previously discussed, and favorable results at OPPL.
Previous wording
The increase in Interest expense was primarily due to our 2023 and 2024 debt issuances, and imputed interest on deferred consideration obligations related to our DJ Basin and Gulf Coast Storage Acquisitions, partially offset by 2023 and 2024 debt retirements (see Note 6 – Debt and Banking Arrangements).
Current wording
The increase in Interest expense was primarily due to our 2023 and 2024 debt issuances, and imputed interest on deferred consideration obligations related to our DJ Basin and Gulf Coast Storage Acquisitions, partially offset by 2023 and 2024 debt retirements.
Previous wording
Income (loss) from discontinued operations in 2023 includes a pre-tax charge of $115 million to increase the accrued liability associated with our Alaska refinery contamination litigation, partially offset by the related income tax effect.
Current wording
Income (loss) from discontinued operations in 2023 includes a pre-tax charge of $116 million to increase the accrued liability associated with our Alaska refinery contamination litigation, partially offset by the related income tax effect.
Previous wording
Transmission & Gulf of Mexico Modified EBITDA increased primarily due to higher Service revenues and lower Other segment costs and expenses.
Current wording
Transmission & Gulf of Mexico Modified EBITDA decreased primarily due to the absence of a Gain on sale of businessand higher Other segment costs and expenses, partially offset by higher Service revenues.
Previous wording
•A $58 million increase due to the acquisition of Gulf Coast Storage assets in January 2024 primarily in storage revenues (see Note 3 – Acquisitions and Divestitures);
Current wording
•A $57 million increase due to the acquisition of Gulf Coast Storage assets in January 2024 primarily in storage revenues (see Note 3 – Acquisitions and Divestitures);
Previous wording
•A $20 million increase in Transco’s revenues associated with the Regional Energy Access expansion project placed partially in-service in the fourth quarter of 2023; partially offset by
Current wording
•A $36 million increase in Transco’s revenues associated with the Regional Energy Access expansion project placed partially in-service in the fourth quarter of 2023 and full in-service in August 2024;
Previous wording
•A $12 million decrease due to the sale of certain liquids pipelines in the Gulf Coast region in September 2023 primarily in transportation revenues (see Note 3 – Acquisitions and Divestitures).
Current wording
•A $14 million decrease due to the sale of certain liquids pipelines in the Gulf Coast region in September 2023 primarily in transportation revenues (see Note 3 – Acquisitions and Divestitures);
Previous wording
Other segment costs and expenses decreased primarily due to:
Current wording
Other segment costs and expenses increased primarily due to:
Previous wording
•Higher operating expenses and administrative costs including higher operating, acquisition and transition costs related to our Gulf Coast Storage Acquisition and higher costs related to timing and scope of general maintenance activities; substantially offset by significantly lower acquisition and transition costs related to our MountainWest Acquisition (see Note 3 – Acquisitions and Divestitures); a gain associated with MountainWest cash-out sales; and the sale of certain liquids pipelines in the Gulf Coast region.
Current wording
•Higher operating expenses and administrative costs including higher operating costs related to our Gulf Coast Storage and Discovery Acquisitions and higher employee-related costs, including the impact of a change in a payroll policy; partially offset by lower operating costs related to the sale of certain liquids pipelines in the Gulf Coast region; partially offset by
Previous wording
Transmission & Gulf of Mexico Modified EBITDA increased primarily due to higher Service revenues.
Current wording
Transmission & Gulf of Mexico Modified EBITDA increased primarily due to higher Service revenues, partially offset by the absence of a Gain on sale of business.
Previous wording
•A $108 million increase due to the acquisition of Gulf Coast Storage assets primarily in storage revenues;
Current wording
•A $165 million increase due to the acquisition of Gulf Coast Storage assets primarily in storage revenues;
Previous wording
•A $40 million increase in Transco’s revenues associated with the Regional Energy Access expansion project;
Current wording
•A $76 million increase in Transco’s revenues associated with the Regional Energy Access expansion project;
Previous wording
•A $37 million increase in transportation and storage revenues at MountainWest primarily due to the acquisition in February 2023;
Current wording
•A $37 million increase in primarily transportation and storage revenues at MountainWest primarily due to the acquisition in February 2023 (see Note 3 – Acquisitions and Divestitures);
Previous wording
•A $10 million increase in NorTex’s revenues primarily associated with higher storage rates; partially offset by
Current wording
•A $16 million increase in NorTex’s revenues primarily associated with higher storage rates;
Previous wording
•A $25 million decrease due to the sale of certain liquids pipelines in the Gulf Coast region primarily in transportation revenues.
Current wording
•A $39 million decrease due to the sale of certain liquids pipelines in the Gulf Coast region primarily in transportation revenues;
Previous wording
•Higher operating expenses and administrative costs including higher operating, acquisition and transition costs related to our Gulf Coast Storage Acquisition and higher operating and administrative expenses related to our MountainWest Acquisition; substantially offset by significantly lower acquisition and transition costs related to our MountainWest Acquisition; a gain associated with MountainWest cash-out sales; and the sale of certain liquids pipelines in the Gulf Coast region.
Current wording
•Higher operating expenses and administrative costs including higher operating, acquisition and transition costs related to our Gulf Coast Storage, Discovery, and MountainWest Acquisitions; higher employee-related costs, including the impact of a change in a payroll policy; partially offset by significantly lower acquisition and transition costs related to our MountainWest Acquisition and lower operating costs related to the sale of certain liquids pipelines in the Gulf Coast region; partially offset by
Previous wording
•A favorable change in the deferral of ARO-related depreciation at Transco; partially offset by
Current wording
•A favorable change in the deferral of ARO-related depreciation at Transco.
Previous wording
Northeast G&P Modified EBITDA decreased primarily due to lower Service revenues and lower Proportional Modified EBITDA of equity-method investments.
Current wording
Northeast G&P Modified EBITDA increased primarily due to higher Proportional Modified EBITDA of equity-method investments.
Previous wording
•An $8 million decrease in gathering revenues at Susquehanna Supply Hub primarily related to lower volumes partially offset by escalated rates.
Current wording
•A $20 million decrease in gathering revenues at Susquehanna Supply Hub primarily related to lower volumes partially offset by escalated rates; partially offset by
Previous wording
•An $11 million decrease in revenues at the Northeast JV primarily related to lower transportation & fractionation, processing, and gathering volumes, partially offset by higher processing and transportation & fractionation rates.
Current wording
•An $11 million increase in revenues at the Northeast JV primarily related to higher gathering and processing volumes and rates.
Previous wording
Northeast G&P Modified EBITDA was consistent with the prior year primarily due to higher Other segment costs and expenses, partially offset by higher Proportional Modified EBITDA of equity-method investments.
Current wording
Northeast G&P Modified EBITDA increased primarily due to higher Proportional Modified EBITDA of equity-method investments, partially offset by higher Other segment costs and expenses.
Previous wording
•A $15 million decrease in revenues in the Utica Shale region primarily related to lower volumes at Flint and Cardinal;
Current wording
•A $15 million decrease in gathering revenues in the Utica Shale region primarily related to lower volumes at Flint and Cardinal partially offset by escalated rates;
Showing the first 40 of 70 pairs. Open the source sections for the rest.
Rearranged current paragraphs (5)
Current report — wording carried from elsewhere
Net gain (loss) from commodity derivatives includes realized and unrealized gains and losses from derivative instruments reflected within Total revenues primarily in our Gas & NGL Marketing Services and West segments, and at Other.
Current report — wording carried from elsewhere
Provision (benefit) for income taxes changed favorably primarily due to lower pre-tax income.
Current report — wording carried from elsewhere
Other segment costs and expenses increased primarily due to:
Current report — wording carried from elsewhere
Service revenues decreased primarily due to:
Current report — wording carried from elsewhere
•An $8 million decrease in the Barnett Shale region primarily due to lower gathering volumes as well as lower gathering rates driven by unfavorable commodity pricing;
Rearranged previous paragraphs (8)
Previous report — wording carried elsewhere
We have an agreement in place with a third party to facilitate natural gas production growth in the Utica Shale region. We plan to construct approximately 8 miles of gathering pipeline and associated incremental compression. The system, once constructed, will add incremental capacity of 125 MMcf/d and will provide natural gas gathering services to the third party. The project is expected to go into service in the third quarter of 2025.
Previous report — wording carried elsewhere
The Product costs and net processing commodity expenses decrease primarily consists of:
Previous report — wording carried elsewhere
Provision (benefit) for income taxes changed favorably primarily due to lower pre-tax income. See Note 5 – Provision (Benefit) for Income Taxes for a discussion of the effective tax rate compared to the federal statutory rate for both periods.
Previous report — wording carried elsewhere
Income (loss) from discontinued operations in 2023 includes a pre-tax charge of $115 million to increase the accrued liability associated with our Alaska refinery contamination litigation, partially offset by the related income tax effect.
Previous report — wording carried elsewhere
•A favorable change in equity AFUDC primarily as a result of increased capital expenditures at Transco;
Previous report — wording carried elsewhere
•A favorable change in the deferral of ARO-related depreciation at Transco; partially offset by
Previous report — wording carried elsewhere
Net realized gain (loss) from commodity derivatives relating to service revenues reflects an unfavorable change in settled commodity prices relative to our natural gas hedge positions.
Previous report — wording carried elsewhere
On January 3, 2024, we acquired 100 percent of a strategic portfolio of natural gas storage facilities and pipelines, located in Louisiana and Mississippi for $1.95 billion. The acquisition was funded with cash on hand and $100 million of deferred consideration that does not accrue interest and is payable one year from the acquisition date.