Targa Resources Corp.

Previous wording

East Pembrook plant, a 275 MMcf/d plant in Permian Midland (the “East Pembrook plant”), commenced operations late in the first quarter of 2026.

Current wording

East Pembrook plant, a 275 MMcf/d plant in Permian Midland (the “East Pembrook plant”), commenced operations in the first quarter of 2026.

Previous wording

East Driver plant, a 275 MMcf/d plant in Permian Midland (the “East Driver plant”), commenced operations late in the second quarter of 2026.

Current wording

East Driver plant, a 275 MMcf/d plant in Permian Midland (the “East Driver plant”), commenced operations in the second quarter of 2026.

Previous wording

Copperhead plant, a 275 MMcf/d plant in Permian Delaware (the “Copperhead plant”), expected to begin operations in the first quarter of 2027.

Current wording

Copperhead plant, a 275 MMcf/d plant in Permian Delaware (the “Copperhead plant”), expected to begin operations in the fourth quarter of 2026.

Previous wording

Yeti plant, a 275 MMcf/d plant in Permian Delaware (the “Yeti plant”), expected to begin operations in the third quarter of 2027.

Current wording

Yeti plant, a 275 MMcf/d plant in Permian Delaware (the “Yeti plant”), expected to begin operations in the second quarter of 2027.

Previous wording

Yeti II plant, a 275 MMcf/d plant in Permian Delaware (the “Yeti II plant”), expected to begin operations in the fourth quarter of 2027.

Current wording

Yeti II plant, a 275 MMcf/d plant in Permian Delaware (the “Yeti II plant”), expected to begin operations in the third quarter of 2027.

Previous wording

Train 12 in Mont Belvieu, Texas (“Train 12”), expected to begin operations in the first quarter of 2027.

Current wording

Train 12 in Mont Belvieu, Texas (“Train 12”), commenced operations in the fourth quarter of 2026.

Previous wording

In August 2025, we announced a 43-mile extension of our Bull Run intrastate natural gas pipeline (the “Bull Run Extension”) to expand and enhance connectivity of our Permian Delaware system to the Waha hub in West Texas. The Bull Run Extension is expected to begin operations in the first quarter of 2027.

Current wording

In August 2025, we announced a 43-mile extension of our Bull Run intrastate natural gas pipeline (the “Bull Run Extension”) to expand and enhance connectivity of our Permian Delaware system to the Waha hub in West Texas. The Bull Run Extension commenced operations in the fourth quarter of 2026.

Previous wording

In September 2025, we announced a new 35-mile intrastate natural gas pipeline that will enhance connectivity across several of our plants in the Permian Midland and a 55-mile conversion of an existing Targa pipeline into natural gas service (together, “Buffalo Run”) that will connect our Permian Midland and Permian Delaware intra-basin natural gas systems. Buffalo Run is expected to be completed in stages and fully complete in early 2028.

Current wording

In September 2025, we announced a new 35-mile intrastate natural gas pipeline that will enhance connectivity across several of our plants in the Permian Midland and a 55-mile conversion of an existing Targa pipeline into natural gas service (together, “Buffalo Run”) that will connect our Permian Midland and Permian Delaware intra-basin natural gas systems. Buffalo Run is expected to be completed in stages and fully complete in the first quarter of 2028.

Previous wording

In November 2025, we announced the Forza Pipeline (“Forza”), a new 36-mile interstate natural gas pipeline in Permian Delaware that will connect our new and existing gas plants and enhance connectivity to the Waha hub. Forza filed a certificate application on December 3, 2025, with the FERC and, pending receipt of necessary regulatory approvals, is expected to begin operations in the middle of 2028.

Current wording

In November 2025, we announced the Forza Pipeline (“Forza”), a new 36-mile interstate natural gas pipeline in Permian Delaware that will connect our new and existing gas plants and enhance connectivity to the Waha hub. Forza filed a certificate application on December 3, 2025, with the FERC and, pending receipt of necessary regulatory approvals, is expected to begin operations in the second quarter of 2028.

Previous wording

For the three and six months ended June 30, 2026, we repurchased 308,102 shares and 535,903 shares of our common stock at a weighted average per share price of $259.93 and $252.07 for a total net cost of $80.1 million and $135.1 million, respectively. As of June 30, 2026, there was $1,238.5 million remaining under the Share Repurchase Programs.

Current wording

For the three and nine months ended September 30, 2026, we repurchased 180,768 shares and 716,671 shares of our common stock at a weighted average per share price of $287.64 and $261.04 for a total net cost of $52.0 million and $187.1 million, respectively. As of September 30, 2026, there was $1,186.5 million remaining under the Share Repurchase Programs.

Previous wording

As of June 30, 2026, examinations by the Internal Revenue Service (the “IRS”) are currently in process for the 2022 taxable year of certain wholly-owned and consolidated subsidiaries that are treated as partnerships for U.S. federal income tax purposes. We are responding to information requests from the IRS with respect to these audits. We do not expect there to be any audit adjustments that would materially change our taxable income.

Current wording

As of September 30, 2026, examinations by the Internal Revenue Service (the “IRS”) are currently in process for the 2022 and 2024 taxable years of certain wholly owned and consolidated subsidiaries that are treated as partnerships for U.S. federal income tax purposes. We are responding to information requests from the IRS with respect to these audits. We do not expect there to be any audit adjustments that would materially change our taxable income.

Previous wording

Federal statutes of limitations for returns filed in 2022 (for calendar year 2021) have expired. The statute of limitations expired on substantially all 2021 state income tax returns that were filed prior to October 15, 2022. For Texas, the statute of limitations has expired for 2021 returns (for calendar year 2020). However, tax authorities could review and adjust carryover attributes (e.g., net operating losses) generated in a closed tax year if utilized in an open tax year.

Current wording

Federal statutes of limitations for returns filed in 2022 (for taxable year 2021) have expired. The statute of limitations expired on substantially all 2021 state income tax returns that were filed prior to October 15, 2022. For Texas, the statute of limitations has expired for report year 2022 returns. However, tax authorities could review and adjust carryover attributes (e.g., net operating losses) generated in a closed tax year if utilized in an open tax year.

Previous wording

Commodity sales were relatively flat due to lower natural gas prices ($784.8 million) and the unfavorable impact of hedges ($291.6 million), partially offset by higher NGL and condensate prices ($597.8 million) and higher NGL, natural gas and condensate volumes ($435.2 million).

Current wording

The increase in commodity sales reflected higher NGL, natural gas and condensate prices ($801.5 million), higher NGL, natural gas and condensate volumes ($383.0 million) and the favorable impact of hedges ($68.5 million).

Previous wording

The increase in fees from midstream services was primarily due to higher gas gathering and processing fees, higher transportation and fractionation fees, and higher export volumes.

Current wording

The increase in fees from midstream services was primarily due to higher gas gathering and processing fees, and higher transportation and fractionation fees.

Previous wording

The decrease in product purchases and fuel reflected lower natural gas and NGL prices, partially offset by higher NGL and natural gas volumes.

Current wording

The increase in product purchases and fuel reflected higher NGL and natural gas prices, and higher NGL and natural gas volumes.

Previous wording

The increase in operating expenses was primarily due to higher labor and maintenance costs in part due to system expansions, and the acquisition of certain assets in the Permian Basin, partially offset by lower compressor rental costs.

Current wording

The increase in operating expenses was primarily due to higher labor and maintenance costs and taxes in part due to system expansions, and the acquisition of certain assets in the Permian Basin, partially offset by lower compressor rental costs.

Previous wording

The increase in depreciation and amortization expense was primarily due to the acquisition of certain assets in the Permian Basin, higher amortization of right-of-use assets for finance leases, and the impact of system expansions on our asset base.

Current wording

The increase in depreciation and amortization expense was primarily due to the acquisition of certain assets in the Permian Basin, the impact of system expansions on our asset base and higher amortization of right-of-use assets for finance leases.

Previous wording

The increase in interest expense, net, was primarily due to higher borrowings, partially offset by an increase in capitalized interest.

Current wording

The increase in interest expense, net, was primarily due to higher borrowings and finance leases, partially offset by an increase in capitalized interest.

Previous wording

The increase in income tax (expense) benefit was primarily due to the increase in pre-tax book income.

Current wording

The increase in income tax (expense) benefit was primarily due to the increase in pre-tax book income, partially offset by the increase in excess tax-deductible stock compensation.

Previous wording

The decrease in commodity sales reflected lower natural gas and NGL prices ($1,309.2 million) and the unfavorable impact of hedges ($244.1 million), partially offset by higher NGL, natural gas and condensate volumes ($899.6 million) and higher condensate prices ($70.5 million).

Current wording

The increase in commodity sales reflected higher NGL, natural gas and condensate volumes ($1,279.6 million) and higher NGL and condensate prices ($562.0 million), partially offset by lower natural gas prices ($996.3 million) and the unfavorable impact of hedges ($175.5 million).

Previous wording

The increase in fees from midstream services was primarily due to higher gas gathering and processing fees, higher transportation and fractionation fees, and higher export volumes.

Current wording

The increase in fees from midstream services was primarily due to higher gas gathering and processing fees, and higher transportation and fractionation fees.

Previous wording

The decrease in product purchases and fuel reflected lower natural gas prices, partially offset by higher NGL prices, and higher NGL and natural gas volumes.

Current wording

Product purchases and fuel were relatively flat which reflected higher NGL and natural gas volumes and higher NGL prices, partially offset by lower natural gas prices.

Previous wording

The increase in operating expenses was primarily due to higher labor and maintenance costs, and taxes in part due to system expansions, partially offset by lower compressor rental costs.

Current wording

The increase in operating expenses was primarily due to higher labor and maintenance costs, and taxes in part due to system expansions, and the acquisition of certain assets in the Permian Basin, partially offset by lower compressor rental costs.

Previous wording

The increase in depreciation and amortization expense was primarily due to the acquisition of certain assets in the Permian Basin, higher amortization of right-of-use assets for finance leases, and the impact of system expansions on our asset base.

Current wording

The increase in depreciation and amortization expense was primarily due to the acquisition of certain assets in the Permian Basin, the impact of system expansions on our asset base and higher amortization of right-of-use assets for finance leases.

Previous wording

Average realized prices, net of fees, include the effect of realized commodity hedge gain/loss attributable to our equity volumes. The price is calculated using total commodity sales plus the hedge gain/loss as the numerator and total sales volume as the denominator, net of fees. Negative realized natural gas prices during the second quarter of 2026 were a result of an extended period of negative Waha prices due to significant egress constraint in the Permian Basin.

Current wording

Average realized prices, net of fees, include the effect of realized commodity hedge gain/loss attributable to our equity volumes. The price is calculated using total commodity sales plus the hedge gain/loss as the numerator and total sales volume as the denominator, net of fees.

Previous wording

The increase in adjusted operating margin was primarily due to higher natural gas inlet volumes in the Permian which drove higher fee-based margin, partially offset by lower natural gas and NGL prices. The increase in natural gas inlet volumes in the Permian was attributable to the addition of the Pembrook II plant during the third quarter of 2025, the Bull Moose II plant during the fourth quarter of 2025, the Falcon II plant during the first quarter of 2026, the East Pembrook plant during the second quarter of 2026, continued strong producer activity and the acquisition of certain assets in the Permian Basin during the first quarter of 2026.

Current wording

The increase in adjusted operating margin was primarily due to higher natural gas inlet volumes in the Permian which drove higher fee-based margin. The increase in natural gas inlet volumes in the Permian was attributable to the addition of the Bull Moose II plant during the fourth quarter of 2025, the Falcon II and East Pembrook plants during the first quarter of 2026, the East Driver plant during the second quarter of 2026, continued strong producer activity and the acquisition of certain assets in the Permian Basin during the first quarter of 2026.

Previous wording

The increase in adjusted operating margin was primarily due to higher natural gas inlet volumes in the Permian which drove higher fee-based margin, partially offset by lower natural gas prices. The increase in natural gas inlet volumes in the Permian was attributable to the addition of the Pembrook II plant during the third quarter of 2025, the Bull Moose II plant during the fourth quarter of 2025, the Falcon II plant during the first quarter of 2026, the East Pembrook plant during the second quarter of 2026, continued strong producer activity and the acquisition of certain assets in the Permian Basin during the first quarter of 2026.

Current wording

The increase in adjusted operating margin was primarily due to higher natural gas inlet volumes in the Permian which drove higher fee-based margin, partially offset by lower natural gas prices. The increase in natural gas inlet volumes in the Permian was attributable to the addition of the Bull Moose II plant during the fourth quarter of 2025, the Falcon II and East Pembrook plants during the first quarter of 2026, the East Driver plant during the second quarter of 2026, continued strong producer activity and the acquisition of certain assets in the Permian Basin during the first quarter of 2026.

Previous wording

The increase in adjusted operating margin was due to higher marketing margin, higher pipeline transportation and fractionation margin and higher LPG export margin. Marketing margin increased due to greater optimization opportunities. Pipeline transportation and fractionation volumes benefited from higher supply volumes primarily from our Permian Gathering and Processing systems and the addition of Train 11 early in the second quarter of 2026. LPG export margin increased due to higher volumes and fees.

Current wording

The increase in adjusted operating margin was due to higher pipeline transportation and fractionation margin and higher marketing margin. Pipeline transportation and fractionation volumes benefited from higher supply volumes primarily from our Permian Gathering and Processing systems and the addition of Train 11 in the second quarter of 2026. Marketing margin increased due to greater optimization opportunities.

Previous wording

The increase in operating expenses was primarily due to higher compensation and benefits including amounts related to system expansions.

Current wording

The increase in operating expenses was primarily due to higher repairs and maintenance and compensation and benefits including costs related to system expansions.

Previous wording

The increase in adjusted operating margin was due to higher marketing margin, higher pipeline transportation and fractionation margin and higher LPG export margin. Marketing margin increased due to greater optimization opportunities. Pipeline transportation and fractionation volumes benefited from higher supply volumes primarily from our Permian Gathering and Processing systems and the addition of Train 11 early in the second quarter of 2026. LPG export margin increased due to higher volumes and fees.

Current wording

The increase in adjusted operating margin was due to higher marketing margin and higher pipeline transportation and fractionation margin. Marketing margin increased due to greater optimization opportunities. Pipeline transportation and fractionation volumes benefited from higher supply volumes primarily from our Permian Gathering and Processing systems and the addition of Train 11 in the second quarter of 2026.

Previous wording

As of June 30, 2026, inclusive of our consolidated joint venture accounts, we had $132.3 million of Cash and cash equivalents on our Consolidated Balance Sheets. On a consolidated basis, our main sources of liquidity and capital resources are internally generated cash flows from operations, borrowings under the TRGP Revolver, the Commercial Paper Program, the Securitization Facility, and access to debt and equity capital markets. We have the ability to supplement these sources of liquidity with joint venture arrangements and proceeds from asset sales. Our exposure to adverse credit conditions includes our credit facilities, cash investments, hedging abilities, customer performance risks and counterparty performance risks.

Current wording

As of September 30, 2026, inclusive of our consolidated joint venture accounts, we had $142.6 million of Cash and cash equivalents on our Consolidated Balance Sheets. On a consolidated basis, our main sources of liquidity and capital resources are internally generated cash flows from operations, borrowings under the TRGP Revolver, the Commercial Paper Program, the Securitization Facility, and access to debt and equity capital markets. We have the ability to supplement these sources of liquidity with joint venture arrangements and proceeds from asset sales. Our exposure to adverse credit conditions includes our credit facilities, cash investments, hedging abilities, customer performance risks and counterparty performance risks.

Previous wording

Our working capital as of June 30, 2026 increased $402.1 million compared to December 31, 2025. The increase was primarily due to the redemption of all of the Partnership’s 6.875% Notes due 2029 and higher trade receivables, partially offset by a higher outstanding balance on the Securitization Facility, a higher payables balance due to capital spending on growth projects, a lower NGL inventory balance, and higher product purchases and fuel payables.

Current wording

Our working capital as of September 30, 2026 increased $175.8 million compared to December 31, 2025. The increase was primarily due to higher trade receivables and lower Current debt obligations as a result of the redemption of all of the Partnership's 6.875% Senior Unsecured Notes due 2029, partially offset by higher product purchases and fuel payables, a higher outstanding balance on the Securitization Facility, and higher payable balances due to capital spending on growth projects.

Previous wording

As of June 30, 2026, both we and the Partnership were in compliance with the covenants contained in our various debt agreements.

Current wording

As of September 30, 2026, we were in compliance with the covenants contained in our various debt agreements.

Previous wording

The increase in net cash provided by operating activities was primarily due to a decrease in payments for product purchases resulting from lower natural gas and NGL prices, partially offset by lower collections from customers resulting from lower revenues in 2026 compared to 2025, and higher payments for operating costs, hedging activities, and interest on debt.

Current wording

The increase in net cash provided by operating activities was primarily due to a decrease in payments for product purchases resulting from lower natural gas prices and higher collections from customers resulting from higher revenues in 2026 compared to 2025, partially offset by higher payments for operating costs, hedging activities, and interest on debt.

Previous wording

The change in net cash provided by (used in) financing activities was due to lower repurchases of noncontrolling interests primarily due to the Badlands Transaction in 2025 and lower repurchases of common stock, partially offset by lower proceeds from debt activity and by higher dividends paid. The decrease in cash flows from our debt activity during the six months ended June 30, 2026 as compared to the same period in 2025 was due to lower proceeds from the issuance of our senior unsecured notes in 2026 and the use of cash in January 2026 to redeem all of the Partnership’s 6.875% Notes due 2029, partially offset by higher proceeds from net borrowings under the Commercial Paper Program and the Securitization Facility.

Current wording

The increase in net cash provided by financing activities was due to lower repurchases of noncontrolling interests primarily due to the Badlands Transaction in 2025 and lower repurchases of common stock, partially offset by lower proceeds from debt activity and by higher dividends paid. The decrease in cash flows from our debt activity during the nine months ended September 30, 2026 as compared to the same period in 2025 was due to lower proceeds from the issuance of our senior unsecured notes in 2026, partially offset by higher proceeds from net borrowings under the Commercial Paper Program and the Securitization Facility.

Previous wording

The following table details the dividends on common stock declared and/or paid by us for the six months ended June 30, 2026:

Current wording

The following table details the dividends on common stock declared and/or paid by us for the nine months ended September 30, 2026:

Previous wording

Growth capital expenditures, net of any reimbursements of project costs and contributions from noncontrolling interests, and including contributions to investments in unconsolidated affiliates, were $2,027.7 million and $1,479.6 million for the six months ended June 30, 2026 and 2025.

Current wording

Growth capital expenditures, net of any reimbursements of project costs and contributions from noncontrolling interests, and including contributions to investments in unconsolidated affiliates, were $3,213.7 million and $2,332.6 million for the nine months ended September 30, 2026 and 2025.

Previous wording

Maintenance capital expenditures, net of any reimbursements of project costs and contributions from noncontrolling interests, were $90.0 million and $106.2 million for the six months ended June 30, 2026 and 2025.

Current wording

Maintenance capital expenditures, net of any reimbursements of project costs and contributions from noncontrolling interests, were $147.2 million and $163.2 million for the nine months ended September 30, 2026 and 2025.

Previous wording

As of June 30, 2026, there were $64.1 million in surety bonds outstanding related to various performance obligations. These are in place to support various performance obligations as required by (i) statutes within the regulatory jurisdictions where we operate and (ii) counterparty support. Obligations under these surety bonds are not normally called, as we typically comply with the underlying performance requirement.

Current wording

As of September 30, 2026, there were $98.1 million in surety bonds outstanding related to various performance obligations. These are in place to support various performance obligations as required by (i) statutes within the regulatory jurisdictions where we operate and (ii) counterparty support. Obligations under these surety bonds are not normally called, as we typically comply with the underlying performance requirement.