Supplemental Condensed Consolidating Financial Information | Supplemental Condensed Consolidating Financial Information The Partnership serves as guarantor of the senior notes. These guarantees are full and unconditional. For the purposes of this footnote, Sunoco Logistics Partners L.P. is referred to as "Parent Guarantor" and Sunoco Logistics Partners Operations L.P. is referred to as "Subsidiary Issuer." All other consolidated subsidiaries of the Partnership are collectively referred to as "Non-Guarantor Subsidiaries." The following supplemental condensed consolidating financial information reflects the Parent Guarantor's separate accounts, the Subsidiary Issuer's separate accounts, the combined accounts of the Non-Guarantor Subsidiaries, the combined consolidating adjustments and eliminations, and the Parent Guarantor's consolidated accounts for the dates and periods indicated. For purposes of the following condensed consolidating information, the Parent Guarantor's investments in its subsidiaries and the Subsidiary Issuer's investments in its subsidiaries are accounted for under the equity method of accounting. Condensed Consolidating Statement of Comprehensive Income (Loss) Three Months Ended June 30, 2015 (in millions, unaudited) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues Sales and other operating revenue: Unaffiliated customers $ — $ — $ 2,996 $ — $ 2,996 Affiliates — — 206 — 206 Total Revenues — — 3,202 — 3,202 Costs and Expenses Cost of products sold — — 2,821 — 2,821 Operating expenses — — 55 — 55 Selling, general and administrative expenses — — 25 — 25 Depreciation and amortization expense — — 94 — 94 Impairment charge and other matters — — (100 ) — (100 ) Total Costs and Expenses — — 2,895 — 2,895 Operating Income — — 307 — 307 Interest cost and debt expense, net — (51 ) (1 ) — (52 ) Capitalized interest — 21 — — 21 Other income — — 6 — 6 Equity in earnings of subsidiaries 276 306 — (582 ) — Income (Loss) Before Provision for Income Taxes 276 276 312 (582 ) 282 Provision for income taxes — — (5 ) — (5 ) Net Income (Loss) 276 276 307 (582 ) 277 Less: Net income attributable to redeemable noncontrolling interests — — (1 ) — (1 ) Net Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 276 $ 276 $ 306 $ (582 ) $ 276 Comprehensive Income (Loss) $ 276 $ 276 — $ 307 $ (582 ) $ 277 Less: Comprehensive income attributable to redeemable noncontrolling interests — — (1 ) — (1 ) Comprehensive Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 276 $ 276 $ 306 $ (582 ) $ 276 Condensed Consolidating Statement of Comprehensive Income (Loss) Three Months Ended June 30, 2014 (in millions, unaudited) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues Sales and other operating revenue: Unaffiliated customers $ — $ — $ 4,412 $ — $ 4,412 Affiliates — — 409 — 409 Total Revenues — — 4,821 — 4,821 Costs and Expenses Cost of products sold — — 4,517 — 4,517 Operating expenses — — 28 — 28 Selling, general and administrative expenses — — 22 — 22 Depreciation and amortization expense — — 74 — 74 Total Costs and Expenses — — 4,641 — 4,641 Operating Income — — 180 — 180 Interest cost and debt expense, net — (36 ) (1 ) — (37 ) Capitalized interest — 16 — — 16 Other income — — 7 — 7 Equity in earnings of subsidiaries 156 176 — (332 ) — Income (Loss) Before Provision for Income Taxes 156 156 186 (332 ) 166 Provision for income taxes — — (8 ) — (8 ) Net Income (Loss) 156 156 178 (332 ) 158 Less: Net income attributable to noncontrolling interests — — (2 ) — (2 ) Net Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 156 $ 156 $ 176 $ (332 ) $ 156 Comprehensive Income (Loss) $ 156 $ 156 $ 179 $ (332 ) $ 159 Less: Comprehensive income attributable to noncontrolling interests — — (2 ) — (2 ) Comprehensive Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 156 $ 156 $ 177 $ (332 ) $ 157 Condensed Consolidating Statement of Comprehensive Income (Loss) Six Months Ended June 30, 2015 (in millions, unaudited) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues Sales and other operating revenue: Unaffiliated customers $ — $ — $ 5,449 $ — $ 5,449 Affiliates — — 325 — 325 Total Revenues — — 5,774 — 5,774 Costs and Expenses Cost of products sold — — 5,130 — 5,130 Operating expenses — — 104 — 104 Selling, general and administrative expenses — — 50 — 50 Depreciation and amortization expense — — 176 — 176 Impairment charge and other matters — — (59 ) — (59 ) Total Costs and Expenses — — 5,401 — 5,401 Operating Income — — 373 — 373 Interest cost and debt expense, net — (100 ) (2 ) — (102 ) Capitalized interest — 42 — — 42 Other income — — 12 — 12 Equity in earnings of subsidiaries 312 370 — (682 ) — Income (Loss) Before Provision for Income Taxes 312 312 383 (682 ) 325 Provision for income taxes — — (11 ) — (11 ) Net Income (Loss) 312 312 372 (682 ) 314 Less: Net income attributable to noncontrolling interests — — (1 ) — (1 ) Less: Net income attributable to redeemable noncontrolling interests — — (1 ) — (1 ) Net Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 312 $ 312 $ 370 $ (682 ) $ 312 Comprehensive Income (Loss) $ 312 $ 312 $ 371 $ (682 ) $ 313 Less: Comprehensive income attributable to noncontrolling interests — — (1 ) — (1 ) Less: Comprehensive income attributable to redeemable noncontrolling interests — — (1 ) — (1 ) Comprehensive Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 312 $ 312 $ 369 $ (682 ) $ 311 Condensed Consolidating Statement of Comprehensive Income (Loss) Six Months Ended June 30, 2014 (in millions, unaudited) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Revenues Sales and other operating revenue: Unaffiliated customers $ — $ — $ 8,583 $ — $ 8,583 Affiliates — — 715 — 715 Total Revenues — — 9,298 — 9,298 Costs and Expenses Cost of products sold — — 8,727 — 8,727 Operating expenses — — 69 — 69 Selling, general and administrative expenses — — 52 — 52 Depreciation and amortization expense — — 143 — 143 Total Costs and Expenses — — 8,991 — 8,991 Operating Income — — 307 — 307 Interest cost and debt expense, net — (61 ) (2 ) — (63 ) Capitalized interest — 26 — — 26 Other income — — 11 — 11 Equity in earnings of subsidiaries 263 298 — (561 ) — Income (Loss) Before Provision for Income Taxes 263 263 316 (561 ) 281 Provision for income taxes — — (13 ) — (13 ) Net Income (Loss) 263 263 303 (561 ) 268 Less: Net income attributable to noncontrolling interests — — (5 ) — (5 ) Net Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 263 $ 263 $ 298 $ (561 ) $ 263 Comprehensive Income (Loss) $ 263 $ 263 $ 304 $ (561 ) $ 269 Less: Comprehensive income attributable to noncontrolling interests — — (5 ) — (5 ) Comprehensive Income (Loss) Attributable to Sunoco Logistics Partners L.P. $ 263 $ 263 $ 299 $ (561 ) $ 264 Condensed Consolidating Balance Sheet June 30, 2015 (in millions, unaudited) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Assets Cash and cash equivalents $ — $ 58 $ — $ — $ 58 Accounts receivable, affiliated companies — — 52 — 52 Accounts receivable, net — — 1,777 — 1,777 Inventories — — 730 — 730 Other current assets — — 17 — 17 Total Current Assets — 58 2,576 — 2,634 Properties, plants and equipment, net — — 9,629 — 9,629 Investment in affiliates 6,402 9,498 238 (15,900 ) 238 Long-term note receivable, affiliated companies — — 26 — 26 Goodwill — — 1,358 — 1,358 Intangible assets, net — — 744 — 744 Other assets — 31 38 — 69 Total Assets $ 6,402 $ 9,587 $ 14,609 $ (15,900 ) $ 14,698 Liabilities and Equity Accounts payable $ — $ — $ 1,888 $ — $ 1,888 Accounts payable, affiliated companies — — 15 — 15 Accrued liabilities 1 59 106 — 166 Accrued taxes payable — — 48 — 48 Intercompany (1,191 ) (1,493 ) 2,684 — — Total Current Liabilities (1,190 ) (1,434 ) 4,741 — 2,117 Long-term debt — 4,619 — — 4,619 Other deferred credits and liabilities — — 74 — 74 Deferred income taxes — — 246 — 246 Total Liabilities (1,190 ) 3,185 5,061 — 7,056 Redeemable noncontrolling interests — — 15 — 15 Total Equity 7,592 6,402 9,533 (15,900 ) 7,627 Total Liabilities and Equity $ 6,402 $ 9,587 $ 14,609 $ (15,900 ) $ 14,698 Condensed Consolidating Balance Sheet December 31, 2014 (in millions) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Assets Cash and cash equivalents $ — $ 101 $ — $ — $ 101 Accounts receivable, affiliated companies — 3 6 — 9 Accounts receivable, net — — 1,766 — 1,766 Inventories — — 470 — 470 Other current assets — — 3 — 3 Total Current Assets — 104 2,245 — 2,349 Properties, plants and equipment, net — — 8,849 — 8,849 Investment in affiliates 6,189 9,168 226 (15,357 ) 226 Long-term note receivable, affiliated companies — — 17 — 17 Goodwill — — 1,358 — 1,358 Intangible assets, net — — 770 — 770 Other assets — 28 47 — 75 Total Assets $ 6,189 $ 9,300 $ 13,512 $ (15,357 ) $ 13,644 Liabilities and Equity Accounts payable $ — $ — $ 1,934 $ — $ 1,934 Accounts payable, affiliated companies — — 21 — 21 Accrued liabilities — 58 246 — 304 Accrued taxes payable — — 52 — 52 Intercompany (489 ) (1,172 ) 1,661 — — Total Current Liabilities (489 ) (1,114 ) 3,914 — 2,311 Long-term debt — 4,225 35 — 4,260 Other deferred credits and liabilities — — 71 — 71 Deferred income taxes — — 249 — 249 Total Liabilities (489 ) 3,111 4,269 — 6,891 Redeemable noncontrolling interests — — 15 — 15 Total Equity 6,678 6,189 9,228 (15,357 ) 6,738 Total Liabilities and Equity $ 6,189 $ 9,300 $ 13,512 $ (15,357 ) $ 13,644 Condensed Consolidating Statement of Cash Flows Six Months Ended June 30, 2015 (in millions, unaudited) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Net Cash Flows provided by (used in) Operating Activities $ 312 $ 308 $ 174 $ (682 ) $ 112 Cash Flows provided by (used in) Investing Activities: Capital expenditures — — (1,074 ) — (1,074 ) Acquisitions, net of cash received — — (131 ) — (131 ) Change in long-term note receivable, affiliated companies — — (9 ) — (9 ) Intercompany (1,014 ) (711 ) 1,043 682 — Net cash provided by (used in) investing activities (1,014 ) (711 ) (171 ) 682 (1,214 ) Cash Flows provided by (used in) Financing Activities: Distributions paid to limited and general partners (311 ) — — — (311 ) Net proceeds from issuance of limited partner units 1,013 — — — 1,013 Payments of statutory withholding on net issuance of limited partner units under LTIP — — (9 ) — (9 ) Repayments under credit facilities — (1,160 ) — — (1,160 ) Borrowings under credit facilities — 1,525 — — 1,525 Contributions attributable to acquisition from affiliate — — 6 — 6 Other — (5 ) — — (5 ) Net cash provided by (used in) financing activities 702 360 (3 ) — 1,059 Net change in cash and cash equivalents — (43 ) — — (43 ) Cash and cash equivalents at beginning of period — 101 — — 101 Cash and cash equivalents at end of period $ — $ 58 $ — $ — $ 58 Condensed Consolidating Statement of Cash Flows Six Months Ended June 30, 2014 (in millions, unaudited) Parent Guarantor Subsidiary Issuer Non-Guarantor Subsidiaries Consolidating Adjustments Total Net Cash Flows provided by (used in) Operating Activities $ 260 $ 254 $ 268 $ (561 ) $ 221 Cash Flows provided by (used in) Investing Activities: Capital expenditures — — (1,019 ) — (1,019 ) Investment in joint venture interests — — (42 ) — (42 ) Acquisitions, net of cash received — — (65 ) — (65 ) Change in long-term note receivable, affiliated companies — — (4 ) — (4 ) Intercompany (360 ) (1,093 ) 892 561 — Net cash provided by (used in) investing activities (360 ) (1,093 ) (238 ) 561 (1,130 ) Cash Flows provided by (used in) Financing Activities: Distributions paid to limited and general partners (215 ) — — — (215 ) Distributions paid to noncontrolling interests (4 ) — — — (4 ) Net proceeds from issuance of limited partner units 102 — — — 102 Payments of statutory withholding on net issuance of limited partner units under LTIP — — (6 ) — (6 ) Repayments under credit facilities — (1,220 ) — — (1,220 ) Borrowings under credit facilities — 1,270 — — 1,270 Net proceeds from issuance of long-term debt — 989 — — 989 Repayment of senior notes — (175 ) — — (175 ) Advances to affiliated companies, net 217 79 (57 ) — 239 Contributions attributable to acquisition from affiliate — — 6 — 6 Net cash provided by financing activities 100 943 (57 ) — 986 Net change in cash and cash equivalents — 104 (27 ) — 77 Cash and cash equivalents at beginning of period — 12 27 — 39 Cash and cash equivalents at end of period $ — $ 116 $ — $ — $ 116 |