Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2021 | Apr. 30, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2021 | |
Document Transition Report | false | |
Entity File Number | 001-33492 | |
Entity Registrant Name | CVR ENERGY, INC | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 61-1512186 | |
Entity Address, Address Line One | 2277 Plaza Drive, Suite 500 | |
Entity Address, City or Town | Sugar Land | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77479 | |
City Area Code | 281 | |
Local Phone Number | 207-3200 | |
Title of 12(b) Security | Common Stock, $0.01 par value per share | |
Trading Symbol | CVI | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 100,530,599 | |
Entity Central Index Key | 0001376139 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents (including $53 and $31, respectively, of consolidated variable interest entities (“VIEs”)) | $ 707 | $ 667 |
Accounts receivable (including $15 and $37, respectively, of VIEs) | 226 | 178 |
Inventories (including $57 and $42, respectively, of VIEs) | 378 | 298 |
Prepaid expenses and other current assets (including $7 and $8, respectively, of VIEs) | 286 | 259 |
Total current assets | 1,597 | 1,402 |
Property, plant and equipment, net (including $883 and $898, respectively, of VIEs) | 2,278 | 2,240 |
Other long-term assets (including $16 and $17, respectively, of VIEs) | 313 | 336 |
Total assets | 4,188 | 3,978 |
Current liabilities: | ||
Accounts payable (including $22 and $25, respectively, of VIEs) | 417 | 282 |
Other current liabilities (including $78 and $51, respectively, of VIEs) | 578 | 377 |
Total current liabilities | 995 | 659 |
Long-term debt and finance lease obligations, net of current portion (including $635 and $634, respectively, of VIEs) | 1,683 | 1,683 |
Deferred income taxes | 290 | 368 |
Other long-term liabilities (including $9 and $8, respectively, of VIEs) | 56 | 49 |
Total long-term liabilities | 2,029 | 2,100 |
Commitments and contingencies (See Note 12) | ||
CVR stockholders’ equity: | ||
Common stock $0.01 par value per share, 350,000,000 shares authorized, 100,629,209 and 100,629,209 shares issued as of March 31, 2021 and December 31, 2020, respectively. | 1 | 1 |
Additional paid-in-capital | 1,510 | 1,510 |
Accumulated deficit | (528) | (490) |
Treasury stock, 98,610 shares at cost | (2) | (2) |
Total CVR stockholders’ equity | 981 | 1,019 |
Noncontrolling interest | 183 | 200 |
Total equity | 1,164 | 1,219 |
Total liabilities and equity | $ 4,188 | $ 3,978 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 707 | $ 667 |
Accounts receivable | 226 | 178 |
Inventories | 378 | 298 |
Prepaid expenses and other current assets | 286 | 259 |
Property, plant and equipment, net | 2,278 | 2,240 |
Other long-term assets | 313 | 336 |
Current liabilities: | ||
Accounts payable | 417 | 282 |
Other current liabilities | 578 | 377 |
Long-term debt and finance lease obligations | 1,683 | 1,683 |
Other long-term liabilities | $ 56 | $ 49 |
Equity: | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 350,000,000 | 350,000,000 |
Common stock, issued (in shares) | 100,629,209 | 100,629,209 |
Treasury stock (in shares) | 98,610 | 98,610 |
Variable Interest Entities | ||
Current assets: | ||
Cash and cash equivalents | $ 53 | $ 31 |
Accounts receivable | 15 | 37 |
Inventories | 57 | 42 |
Prepaid expenses and other current assets | 7 | 8 |
Property, plant and equipment, net | 883 | 898 |
Other long-term assets | 16 | 17 |
Current liabilities: | ||
Accounts payable | 22 | 25 |
Other current liabilities | 78 | 51 |
Long-term debt and finance lease obligations | 635 | 634 |
Other long-term liabilities | $ 9 | $ 8 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Income Statement [Abstract] | ||
Net sales | $ 1,463 | $ 1,130 |
Operating costs and expenses: | ||
Cost of materials and other | 1,369 | 1,058 |
Direct operating expenses (exclusive of depreciation and amortization) | 136 | 119 |
Depreciation and amortization | 63 | 62 |
Cost of sales | 1,568 | 1,239 |
Selling, general and administrative expenses (exclusive of depreciation and amortization) | 27 | 24 |
Depreciation and amortization | 3 | 2 |
Operating loss | (135) | (135) |
Other (expense) income: | ||
Interest expense, net | (31) | (35) |
Investment income on marketable securities | 62 | 31 |
Other income, net | 7 | 2 |
Loss before income tax benefit | (97) | (137) |
Income tax benefit | (42) | (36) |
Net loss | (55) | (101) |
Less: Net loss attributable to noncontrolling interest | (16) | (14) |
Net loss attributable to CVR Energy stockholders | $ (39) | $ (87) |
Basic and diluted loss per share (in dollars per share) | $ (0.39) | $ (0.87) |
Dividends declared per share (in dollars per share) | $ 0 | $ 0.80 |
Weighted-average common shares outstanding: | ||
Basic and diluted (in shares) | 100.5 | 100.5 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (unaudited) - USD ($) $ in Millions | Total | Total CVR Stockholders’ Equity | $0.01 Par Value Common Stock | Additional Paid-In Capital | Accumulated Deficit | Treasury Stock | Noncontrolling Interest |
Beginning balance (in shares) at Dec. 31, 2019 | 100,629,209 | ||||||
Beginning balance at Dec. 31, 2019 | $ 1,668 | $ 1,393 | $ 1 | $ 1,507 | $ (113) | $ (2) | $ 275 |
Increase (Decrease) in Stockholders' Equity | |||||||
Dividends paid to CVR Energy stockholders | (80) | (80) | (80) | ||||
Other | (1) | (1) | (1) | ||||
Net loss | (101) | (87) | (87) | (14) | |||
Ending balance (in shares) at Mar. 31, 2020 | 100,629,209 | ||||||
Ending balance at Mar. 31, 2020 | 1,486 | 1,225 | $ 1 | 1,507 | (281) | (2) | 261 |
Beginning balance (in shares) at Dec. 31, 2020 | 100,629,209 | ||||||
Beginning balance at Dec. 31, 2020 | 1,219 | 1,019 | $ 1 | 1,510 | (490) | (2) | 200 |
Increase (Decrease) in Stockholders' Equity | |||||||
Changes in equity due to CVR Partners’ common unit repurchases | (1) | (1) | |||||
Other | 1 | 1 | 1 | ||||
Net loss | (55) | (39) | (39) | (16) | |||
Ending balance (in shares) at Mar. 31, 2021 | 100,629,209 | ||||||
Ending balance at Mar. 31, 2021 | $ 1,164 | $ 981 | $ 1 | $ 1,510 | $ (528) | $ (2) | $ 183 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (unaudited) (Parenthetical) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
Statement of Stockholders' Equity [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Cash flows from operating activities: | ||
Net loss | $ (55) | $ (101) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 66 | 64 |
Loss on lower of cost or net realizable value adjustment | 0 | 58 |
Unrealized gain on marketable securities | (62) | (30) |
Deferred income taxes | (77) | (2) |
Share-based compensation | 8 | (2) |
Other items | 2 | 6 |
Changes in assets and liabilities: | ||
Current assets and liabilities | 218 | (54) |
Non-current assets and liabilities | (4) | 3 |
Net cash provided by (used in) operating activities | 96 | (58) |
Cash flows from investing activities: | ||
Capital expenditures | (34) | (35) |
Turnaround expenditures | (1) | (22) |
Acquisition of pipeline assets | (20) | 0 |
Proceeds from sale of assets | 1 | 0 |
Investment in marketable securities | 0 | (140) |
Other investing activities | 0 | 1 |
Net cash used in investing activities | (54) | (196) |
Cash flows from financing activities: | ||
Proceeds from issuance of senior secured notes | 0 | 1,000 |
Principal payments on senior secured notes | 0 | (500) |
Call premium on extinguishment of debt | 0 | (5) |
Repurchase of common units by CVR Partners | (1) | 0 |
Dividends to CVR Energy’s stockholders | 0 | (80) |
Other financing activities | (1) | (8) |
Net cash (used in) provided by financing activities | (2) | 407 |
Net increase in cash and cash equivalents and restricted cash | 40 | 153 |
Cash, cash equivalents and restricted cash, beginning of period | 674 | 652 |
Cash, cash equivalents and restricted cash, end of period | $ 714 | $ 805 |
Organization and Nature of Busi
Organization and Nature of Business | 3 Months Ended |
Mar. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Business | (1) Organization and Nature of Business Organization CVR Energy, Inc. (“CVR Energy,” “CVR,” “we,” “us,” “our,” or the “Company”) is a diversified holding company primarily engaged in the petroleum refining and nitrogen fertilizer manufacturing industries through its holdings in CVR Refining, LP (the “Petroleum Segment” or “CVR Refining”) and CVR Partners, LP (the “Nitrogen Fertilizer Segment” or “CVR Partners”). CVR Refining is an independent petroleum refiner and marketer of high value transportation fuels. CVR Partners produces and markets nitrogen fertilizers in the form of urea ammonium nitrate (“UAN”) and ammonia. CVR’s common stock is listed on the New York Stock Exchange (the “NYSE”) under the symbol “CVI.” Icahn Enterprises L.P. and its affiliates (“IEP”) owned approximately 71% of the Company’s outstanding common stock as of March 31, 2021. CVR Partners, LP Interest Holders - As of March 31, 2021, public common unitholders held approximately 64% of CVR Partners’ outstanding common units and CVR Services, LLC (“CVR Services”) (formerly Coffeyville Resources, LLC), a wholly-owned subsidiary of CVR Energy, held approximately 36% of CVR Partners’ outstanding common units. In addition, CVR Services held 100% of CVR Partners’ general partner, CVR GP, LLC (“CVR GP”), which held a non-economic general partner interest in CVR Partners as of March 31, 2021. The noncontrolling interest reflected on the Condensed Consolidated Balance Sheets of CVR is only impacted by the net income of, and distributions from, CVR Partners. Unit Repurchase Program - On May 6, 2020, CVR Partners announced that the board of directors of its general partner (the “UAN GP Board”), on behalf of CVR Partners, authorized a unit repurchase program (the “Unit Repurchase Program”). The Unit Repurchase Program enables CVR Partners to repurchase up to $10 million of its common units. On February 22, 2021, the UAN GP Board authorized an additional $10 million for the Unit Repurchase Program. During the three months ended March 31, 2021, CVR Partners repurchased 24,378 common units on the open market, in accordance with a repurchase agreement under Rules 10b5-1 and 10b-18 of the Exchange Act, at a cost of $1 million, inclusive of transaction costs, or an average price of $21.70 per common unit. As of March 31, 2021, CVR Partners had $12 million in authority remaining under the Unit Repurchase Program. This Unit Repurchase Program does not obligate CVR Partners to acquire any common units and may be cancelled or terminated by the UAN GP Board at any time. As a result of these repurchases, and the resulting change in CVR Energy’s ownership of CVR Partners while maintaining control, CVR Energy recognized a nominal increase to additional paid-in capital from the reduction of non-controlling interests totaling $0.1 million and the recognition of a deferred tax liability totaling $0.1 million from changes in its book versus tax basis in CVR Partners. |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | (2) Basis of Presentation The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”). These condensed consolidated financial statements should be read in conjunction with the December 31, 2020 audited consolidated financial statements and notes thereto included in CVR Energy’s Annual Report on Form 10-K for the year ended December 31, 2020 (the “2020 Form 10-K”). Our condensed consolidated financial statements include the consolidated results of CVR Partners, which is defined as a variable interest entity. In the opinion of the Company’s management, the accompanying condensed consolidated financial statements reflect all adjustments that are necessary for fair presentation of the financial position and results of operations of the Company for the periods presented. Such adjustments are of a normal recurring nature, unless otherwise disclosed. The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities. Actual results could differ from those estimates. Results of operations and cash |
Recent Accounting Pronouncement
Recent Accounting Pronouncements and Accounting Changes | 3 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements and Accounting Changes | (3) Recent Accounting Pronouncements and Accounting Changes Recent Accounting Pronouncements - Adoption of Income Tax Standard In December 2019, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2019-12, Income Taxes (Topic 740). The ASU simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and modifies other areas of the topic to clarify the application of GAAP. Certain amendments within the standard are required to be applied on a retrospective basis and others on a prospective basis. Effective January 1, 2021, we adopted this ASU with no material impact on the Company’s consolidated financial position or results of operations. Recent Accounting Pronouncements - Adoption of Codification Improvements Standard In October 2020, the FASB issued ASU 2020-10, Codification Improvements. The ASU amends various sections of the codification in the FASB’s ongoing efforts to simplify and improve guidance. Effective January 1, 2021, we adopted this ASU with no material impact on the Company’s consolidated financial position or results of operations. Recent Accounting Pronouncements - New Accounting Standards Issued But Not Yet Implemented In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848). This ASU was issued because, by the end of 2021, banks will no longer be required to report information that is used to determine London Interbank Offered Rate (“LIBOR”), which is used globally by all types of entities. As a result, LIBOR could be discontinued, as well as other interest rates used globally. ASU 2020-04 provides companies with optional expedients for contract modifications under Topics 310, 470, 842, and 815-15, excluded components of certain hedging relationships, fair value hedges, and cash flow hedges, as well as certain exceptions, which are intended to help ease the potential accounting burden associated with transitioning away from these reference rates. ASU 2021-01 clarifies certain optional expedients and exceptions for contract modifications and hedge accounting. Companies can apply the ASU immediately. However, the guidance will only be available for a limited time (generally through December 31, 2022). The Company is currently evaluating the impact that adopting this new accounting standard will have on its consolidated financial statements and related disclosures. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Inventories | (4) Inventories Inventories consisted of the following: (in millions) March 31, 2021 December 31, 2020 Finished goods $ 159 $ 133 Raw materials 125 83 In-process inventories 23 16 Parts, supplies and other 71 66 Total inventories $ 378 $ 298 |
Property, Plant and Equipment
Property, Plant and Equipment | 3 Months Ended |
Mar. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | (5) Property, Plant and Equipment Property, plant and equipment consisted of the following: (in millions) March 31, 2021 December 31, 2020 Machinery and equipment $ 3,917 $ 3,881 Buildings and improvements 88 88 ROU finance leases 81 80 Land and improvements 48 47 Furniture and fixtures 38 38 Construction in progress 150 100 Other 14 15 4,336 4,249 Less: Accumulated depreciation and amortization 2,058 2,009 Total property, plant and equipment, net $ 2,278 $ 2,240 On February 1, 2021, the Company completed a pipeline acquisition for total consideration of $23 million, which is accounted for as a business combination under ASC 805. As of March 31, 2021, the Company had not identified the existence of an impairment indicator for our long-lived asset groups as outlined under ASC 360. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Leases | (6) Leases Lease Overview We lease certain pipelines, storage tanks, railcars, office space, land, and equipment across our refining, fertilizer, and corporate operations. Most leases include one or more options to renew, with renewal terms that can extend the lease term from one Balance Sheet Summary as of March 31, 2021 and December 31, 2020 The following tables summarize the right of use asset and lease liability balances for the Company’s operating and finance leases at March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 (in millions) Operating Leases Finance Leases Operating Leases Finance Leases ROU assets, net Pipeline and storage $ 19 $ 25 $ 15 $ 26 Railcars 8 — 8 — Real estate and other 14 20 14 21 Lease liability Pipelines and storage $ 20 $ 37 $ 16 $ 38 Railcars 8 — 8 — Real estate and other 14 22 14 22 Lease Expense Summary for the Three Months Ended March 31, 2021 and 2020 We recognize lease expense on a straight-line basis over the lease term and short-term lease expense within Direct operating expenses (exclusive of depreciation and amortization). For the three months ended March 31, 2021 and 2020, we recognized lease expense comprised of the following components: Three Months Ended (in millions) 2021 2020 Operating lease expense $ 4 $ 4 Finance lease expense: Amortization of ROU $ 2 $ 2 Interest expense on lease liability 1 1 Short-term lease expense $ 2 $ 2 Lease Terms and Discount Rates The following outlines the remaining lease terms and discount rates used in the measurement of the Company’s ROU assets and liabilities: March 31, 2021 December 31, 2020 Operating Leases Finance Leases Operating Leases Finance Leases Weighted-average remaining lease term 4.5 years 7.9 years 3.1 years 8.1 years Weighted-average discount rate 5.5 % 9.0 % 5.5 % 9.0 % Maturities of Lease Liabilities The following summarizes the remaining minimum lease payments through maturity of the Company’s lease liabilities at March 31, 2021: (in millions) Operating Leases Finance Leases Remainder of 2021 $ 11 $ 8 2022 13 11 2023 9 10 2024 6 10 2025 2 10 Thereafter 5 33 Total lease payments 46 82 Less: imputed interest (4) (23) Total lease liability $ 42 $ 59 |
Leases | (6) Leases Lease Overview We lease certain pipelines, storage tanks, railcars, office space, land, and equipment across our refining, fertilizer, and corporate operations. Most leases include one or more options to renew, with renewal terms that can extend the lease term from one Balance Sheet Summary as of March 31, 2021 and December 31, 2020 The following tables summarize the right of use asset and lease liability balances for the Company’s operating and finance leases at March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 (in millions) Operating Leases Finance Leases Operating Leases Finance Leases ROU assets, net Pipeline and storage $ 19 $ 25 $ 15 $ 26 Railcars 8 — 8 — Real estate and other 14 20 14 21 Lease liability Pipelines and storage $ 20 $ 37 $ 16 $ 38 Railcars 8 — 8 — Real estate and other 14 22 14 22 Lease Expense Summary for the Three Months Ended March 31, 2021 and 2020 We recognize lease expense on a straight-line basis over the lease term and short-term lease expense within Direct operating expenses (exclusive of depreciation and amortization). For the three months ended March 31, 2021 and 2020, we recognized lease expense comprised of the following components: Three Months Ended (in millions) 2021 2020 Operating lease expense $ 4 $ 4 Finance lease expense: Amortization of ROU $ 2 $ 2 Interest expense on lease liability 1 1 Short-term lease expense $ 2 $ 2 Lease Terms and Discount Rates The following outlines the remaining lease terms and discount rates used in the measurement of the Company’s ROU assets and liabilities: March 31, 2021 December 31, 2020 Operating Leases Finance Leases Operating Leases Finance Leases Weighted-average remaining lease term 4.5 years 7.9 years 3.1 years 8.1 years Weighted-average discount rate 5.5 % 9.0 % 5.5 % 9.0 % Maturities of Lease Liabilities The following summarizes the remaining minimum lease payments through maturity of the Company’s lease liabilities at March 31, 2021: (in millions) Operating Leases Finance Leases Remainder of 2021 $ 11 $ 8 2022 13 11 2023 9 10 2024 6 10 2025 2 10 Thereafter 5 33 Total lease payments 46 82 Less: imputed interest (4) (23) Total lease liability $ 42 $ 59 |
Other Current Liabilities
Other Current Liabilities | 3 Months Ended |
Mar. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
Other Current Liabilities | (7) Other Current Liabilities Other current liabilities were as follows: (in millions) March 31, 2021 December 31, 2020 Accrued Renewable Fuel Standards (“RFS”) obligation $ 342 $ 214 Accrued derivatives 63 17 Accrued taxes other than income taxes 40 32 Deferred revenue 40 31 Accrued interest 26 25 Personnel accruals 26 23 Share-based compensation 9 4 Current portion of long-term debt and finance lease obligations 8 8 Operating lease liabilities 12 14 Other accrued expenses and liabilities 12 9 Total other current liabilities $ 578 $ 377 |
Long-Term Debt and Finance Leas
Long-Term Debt and Finance Lease Obligations | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Long-Term Debt and Finance Lease Obligations | (8) Long-Term Debt and Finance Lease Obligations Long-term debt and finance lease obligations consist of the following: (in millions) March 31, 2021 December 31, 2020 CVR Partners: 9.25% Senior Secured Notes, due June 2023 (1) $ 645 $ 645 Unamortized discount and debt issuance costs (10) (11) Total CVR Partners debt, net of current portion $ 635 $ 634 CVR Refining: Finance lease obligations, net of current portion (2) 53 55 Total CVR Refining debt, net of current portion $ 53 $ 55 CVR Energy: 5.25% Senior Notes, due February 2025 $ 600 $ 600 5.75% Senior Notes, due February 2028 400 400 Unamortized debt issuance costs (5) (6) Total CVR Energy debt 995 994 Total long-term debt and finance lease obligations, net of current portion $ 1,683 $ 1,683 Current portion of long-term debt and finance lease obligations (2)(3) 8 8 Total long-term debt and finance lease obligations, including current portion $ 1,691 $ 1,691 (1) The call price of the 2023 Notes decreases to par on June 15, 2021. (2) Current portion of finance lease obligations recognized was approximately $6 million and $6 million as of March 31, 2021 and December 31, 2020, respectively. Amounts reported in Other current liabilities. (3) The 6.50% Notes, due April 2021, mature within 12 months, and, therefore, the outstanding balance of $2 million has been classified as short-term debt as of March 31, 2021 and December 31, 2020. Amounts reported in Other current liabilities. On April 15, 2021, the 2021 Notes matured, and the Company paid the outstanding balance, plus accrued and unpaid interest. Credit Agreements (in millions) Total Available Borrowing Capacity Amount Borrowed as of March 31, 2021 Outstanding Letters of Credit Available Capacity as of March 31, 2021 Maturity Date CVR Partners: Asset Based (“Nitrogen Fertilizer ABL”) Credit Agreement (1) $ 25 $ — $ — $ 25 September 30, 2022 CVR Refining: Amended and Restated Asset Based (“Petroleum ABL”) Credit Agreement (2) $ 400 $ — $ 36 $ 364 November 14, 2022 (1) Beginning January 1, 2021, loans under the Nitrogen Fertilizer ABL bear interest at an annual rate equal to (i) (a) 2.00% plus LIBOR, to the extent available, or (b) 1.00% plus a base rate, if our quarterly excess availability is greater than 50% and (ii) (a) 2.50% plus LIBOR, to the extent available, or (b) 1.50% plus a base rate, otherwise. (2) Loans under the Petroleum ABL bear interest at an annual rate equal to (i) (a) 1.50% plus LIBOR, to the extent available, or (b) 0.50% plus a base rate, if our quarterly excess availability is greater than 50% and (ii) (a) 1.75% plus LIBOR, to the extent available, or (b) 0.75% plus a base rate, otherwise. Covenant Compliance The Company and its subsidiaries were in compliance with all covenants under their respective debt instruments as of March 31, 2021. |
Revenue
Revenue | 3 Months Ended |
Mar. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | (9) Revenue The following tables present the Company’s revenue, disaggregated by major product. The following tables include a reconciliation of the disaggregated revenue with the Company’s reportable segments. Three Months Ended March 31, 2021 (in millions) Petroleum Nitrogen Fertilizer Other / Elimination Consolidated Major Product Gasoline $ 750 $ — $ — $ 750 Distillates (1) 587 — — 587 Ammonia — 10 — 10 UAN — 38 — 38 Other urea products — 5 — 5 Freight revenue 5 6 — 11 Other (2) 32 2 (2) 32 Revenue from product sales 1,374 61 (2) 1,433 Crude oil sales 29 — — 29 Other revenue (2) 1 — — 1 Net sales $ 1,404 $ 61 $ (2) $ 1,463 Three Months Ended March 31, 2020 (in millions) Petroleum Nitrogen Fertilizer Other / Elimination Consolidated Major Product Gasoline $ 516 $ — $ — $ 516 Distillates (1) 476 — — 476 Ammonia — 14 — 14 UAN — 47 — 47 Other urea products — 4 — 4 Freight revenue 5 8 — 13 Other (2) 23 2 (2) 23 Revenue from product sales 1,020 75 (2) 1,093 Crude oil sales 37 — — 37 Net sales $ 1,057 $ 75 $ (2) $ 1,130 (1) Distillates consist primarily of diesel fuel, kerosene, and jet fuel. (2) Other revenue consists primarily of feedstock, asphalt sales, and pipeline and processing fees. Transaction Price Allocated to Remaining Performance Obligations As of March 31, 2021, the Nitrogen Fertilizer Segment had approximately $6 million of remaining performance obligations for contracts with an original expected duration of more than one year. The Nitrogen Fertilizer Segment expects to recognize approximately $3 million of these performance obligations as revenue by the end of 2021, an additional $2 million in 2022, and the remaining balance thereafter. Contract Balances The Nitrogen Fertilizer Segment’s deferred revenue is a contract liability that primarily relates to nitrogen fertilizer sales contracts requiring customer prepayment prior to product delivery to guarantee a price and supply of nitrogen fertilizer. A summary of the Nitrogen Fertilizer Segment’s deferred revenue activity during the three months ended March 31, 2021 is presented below: (in millions) Balance at December 31, 2020 $ 31 Add: New prepay contracts entered into during the period (1) 20 Less: Revenue recognized that was included in the contract liability balance at the beginning of the period (8) Revenue recognized related to contracts entered into during the period (3) Balance at March 31, 2021 $ 40 (1) Includes $19 million where payment associated with prepaid contracts was collected as of March 31, 2021. |
Derivative Financial Instrument
Derivative Financial Instruments, Investments and Fair Value Measurements | 3 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments, Investments and Fair Value Measurements | (10) Derivative Financial Instruments, Investments and Fair Value Measurements Derivative Financial Instruments The Petroleum Segment from time to time enters into various commodity derivative transactions to manage price risk on crude oil and other inventories and to fix margins on certain future production. On a regular basis, the Company enters into commodity contracts with counterparties for the purchases or sale of crude oil, blendstocks, various finished products, and RINs. The contracts usually qualify for the normal purchase normal sale exception and follow the accrual method of accounting. All other derivative instruments are recorded at fair value using mark-to-market accounting on a periodic basis utilizing third-party pricing. The Petroleum Segment holds derivative instruments, such as exchange-traded crude oil futures and over-the-counter forward swap agreements, which it believes provide an economic hedge on future transactions, but such instruments are not designated as hedges under GAAP. There are no premiums paid or received at inception of the derivative contracts or upon settlement. The Petroleum Segment may enter into forward purchase or sale contracts associated with RINs. As of March 31, 2021, the Petroleum Segment had open fixed-price commitments to purchase 32 million RINs. Commodity derivatives include commodity swaps and forward purchase and sale commitments. There were 12 million outstanding commodity swap positions as of March 31, 2021. There were approximately 2 million forward purchase commitments and 2 million forward sale commitments as of March 31, 2021. The following outlines the gains (losses) recognized on the Company’s derivative activities, all of which are recorded in Cost of materials and other on the condensed consolidated statements of operations: Gain (loss) on Derivatives Three Months Ended (in millions) 2021 2020 Forward purchases and sales contracts, net $ 18 $ 36 Commodity swap instruments (50) — Futures contracts — 10 Total (loss) gain on derivatives, net $ (32) $ 46 Offsetting Assets and Liabilities The Company elected to offset the fair value amounts recognized for multiple derivative contracts executed with the same counterparty. These amounts are recognized as current assets and current liabilities within the Prepaid expenses and other current assets and Other current liabilities financial statement line items, respectively, in the condensed consolidated balance sheets as follows: Derivative Assets Derivative Liabilities (in millions) March 31, 2021 December 31, 2020 March 31, 2021 December 31, 2020 Commodity derivatives $ 3 $ 1 $ (1) $ (5) Less: Counterparty netting (1) (1) 1 1 Total net fair value of derivatives $ 2 $ — $ — $ (4) Investments Investments consist of equity securities, which are reported at fair value in our condensed consolidated balance sheets. These investments are considered trading securities. Investment income on marketable securities consists of the following: Three Months Ended (in millions) 2021 2020 Dividend income $ — $ 1 Unrealized gain 62 30 Investment income on marketable securities $ 62 $ 31 Fair Value Measurements In accordance with FASB ASC Topic 820 — Fair Value Measurements and Disclosures (“ASC 820”), the Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets, liabilities or a group of assets or liabilities, such as a business. ASC 820 utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels: • Level 1 — Quoted prices in active markets for identical assets or liabilities • Level 2 — Other significant observable inputs (including quoted prices in active markets for similar assets or liabilities) • Level 3 — Significant unobservable inputs (including the Company’s own assumptions in determining the fair value) As of March 31, 2021 and December 31, 2020, the only financial assets and liabilities that are measured at fair value on a recurring basis are the Company’s investments, derivative instruments, long-term debt, and the RFS obligation. The estimated fair value of cash equivalents, including amounts invested in short-term money market funds, and restricted cash approximate their carrying amounts. The Petroleum Segment’s commodity derivative contracts and RFS obligation, which use fair value measurements and are valued using broker quoted market prices of similar instruments, are considered Level 2 inputs. The Company had no transfers of assets or liabilities between any of the above levels during the three months ended March 31, 2021. The following tables set forth the assets and liabilities measured or disclosed at fair value on a recurring basis, by input level, as of March 31, 2021 and December 31, 2020: March 31, 2021 (in millions) Level 1 Level 2 Level 3 Total Location and Description Prepaid expenses and other current assets (investments) $ 235 $ — $ — $ 235 Prepaid expenses and other current assets (commodity derivatives) — 6 — 6 Total Assets $ 235 $ 6 $ — $ 241 Current portion of long-term debt $ — $ (2) $ — $ (2) Other current liabilities (commodity swaps) — (63) — (63) Other current liabilities (RFS obligation) — (342) — (342) Long-term debt and finance lease obligations, net of current portion — (1,627) — (1,627) Total Liabilities $ — $ (2,034) $ — $ (2,034) December 31, 2020 (in millions) Level 1 Level 2 Level 3 Total Location and Description Prepaid expenses and other current assets (investments) $ 173 $ — $ — $ 173 Total Assets $ 173 $ — $ — $ 173 Current portion of long-term debt $ — $ (2) $ — $ (2) Other current liabilities (commodity derivatives) — (17) — (17) Other current liabilities (RFS obligation) — (214) — (214) Long-term debt and finance lease obligations, net of current portion — (1,604) — (1,604) Total Liabilities $ — $ (1,837) $ — $ (1,837) |
Share-Based Compensation
Share-Based Compensation | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based Compensation | (11) Share-Based Compensation A summary of compensation expense during the three months ended March 31, 2021 and 2020 is presented below: Three Months Ended (in millions) 2021 2020 Performance Unit Awards $ (3) $ — CVR Partners LTIP - Phantom Unit Awards 4 (1) Incentive Unit Awards 7 (1) Total Share-Based Compensation Expense $ 8 $ (2) |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (12) Commitments and Contingencies Except as described below, there have been no material changes in the Company’s commitments and contingencies disclosed in the 2020 Form 10-K. In the ordinary course of business, the Company may become party to lawsuits, administrative proceedings, and governmental investigations, including environmental, regulatory, and other matters. The outcome of these matters cannot always be predicted accurately, but the Company accrues liabilities for these matters if the Company has determined that it is probable a loss has been incurred and the loss can be reasonably estimated. While it is not possible to predict the outcome of such proceedings, if one or more of them were decided against us, the Company believes there would be no material impact on its consolidated financial statements. The Company continues to monitor its contractual arrangements and customer, vendor, and supplier relationships to determine whether and to what extent, if any, the impacts of the COVID-19 pandemic or recent crude oil or refined product price volatility will impair or excuse the performance of the Company or its subsidiaries or their customers, vendors, or suppliers under existing agreements. As of March 31, 2021, the Company had not experienced a material financial impact from any actual or threatened impairment of or excuse in its or others’ performance under such agreements. Crude Oil Supply Agreement On August 31, 2012, an indirect, wholly-owned subsidiary of CVR Refining entered into an Amended and Restated Crude Oil Supply Agreement (as amended, the “Crude Oil Supply Agreement”) with Vitol Inc. (“Vitol”). Under the Crude Oil Supply Agreement, Vitol supplies the Petroleum Segment with crude oil and intermediation logistics helping to reduce the amount of inventory held at certain locations and mitigate crude oil pricing risk. Volumes contracted under the Crude Oil Supply Agreement, as a percentage of the total crude oil purchases (in barrels), was approximately 37% and 18% for the three months ended March 31, 2021 and 2020, respectively. The Crude Oil Supply Agreement, which currently extends through December 31, 2021, automatically renews for successive one-year terms (each such term, a “Renewal Term”) unless either party provides the other with notice of non-renewal at least 180 days prior to expiration of any Renewal Term. RFS The Petroleum Segment is subject to the RFS of the Environmental Protection Agency (“EPA”) that requires refiners to either blend renewable fuels in with their transportation fuels or purchase renewable fuel credits, known as RINs, in lieu of blending. The Petroleum Segment is not able to blend the substantial majority of its transportation fuels and has to purchase RINs on the open market, and may have to obtain waiver credits for cellulosic biofuels from the EPA, in order to comply with the RFS. For the three months ended March 31, 2021 and 2020, the Company recognized expense of approximately $178 million and $19 million, respectively, for the Petroleum Segment’s compliance with the RFS. The recognized amounts are included within Cost of materials and other in the Condensed Consolidated Statements of Operations and represent costs to comply with the RFS obligation through purchasing of RINs not otherwise reduced by blending of ethanol or biodiesel. At each reporting period, to the extent RINs purchased or generated through blending are less than the RFS obligation, the remaining obligation is marked-to-market using RIN market prices at period end. As of March 31, 2021 and December 31, 2020, the Petroleum Segment’s RFS obligation was approximately $342 million and $214 million, respectively, which is recorded in Other current liabilities in the Condensed Consolidated Balance Sheets. Litigation The U.S. Attorney’s office for the Southern District of New York contacted CVR Energy in September 2017 seeking production of information pertaining to CVR Refining’s, CVR Energy’s and Mr. Carl C. Icahn’s activities relating to the RFS and Mr. Icahn’s former role as an advisor to the President of the United States. CVR Energy cooperated with the request and provided information in response to the subpoena. The U.S. Attorney’s office has not made any claims or allegations against CVR Energy or Mr. Icahn. CVR Energy believes it maintains a strong compliance program and, while no assurances can be made, CVR Energy does not believe this inquiry will have a material impact on its business, financial condition, results of operations or cash flows. On August 21, 2018, Coffeyville Resources Refining & Marketing, LLC (“CRRM”) received a letter from the United States Department of Justice (“DOJ”) on behalf of the EPA and KDHE alleging violations of the CAA and a 2012 Consent Decree (the “CD”) between Coffeyville Resources Refining & Marketing, LLC (“CRRM”), the United States (on behalf of the EPA) and the Kansas Department of Health and Environment (“KDHE”) at CRRM’s Coffeyville refinery. In June 2020, a tolling agreement between the parties relating to such allegations expired, and the United States and KDHE sent demand letters relating to the allegations (the “Stipulated Claims”) and seeking stipulated penalties. In February 2021, the DOJ and KDHE sent CRRM a statement of position under the CD regarding its demand for Stipulated Claims. As CRRM disputes most claims asserted by the government, in accordance with the CD, CRRM deposited funds into a commercial escrow account pending resolution of disputed claims. The escrowed funds are legally restricted for use and are included within Prepaid expenses and other current assets on the condensed consolidated balance sheets. In December 2020, the DOJ and KDHE filed a supplement complaint in the United States District Court for the District of Kansas asserting nine counts for alleged violations of the Clean Air Act, the Kansas State Implementation Plan and Kansas law (“the Statutory Claims”) and seeking civil penalties, injunctive and related relief. CRRM continues to respond to information requests and negotiations relating to the Stipulated Claims and the Statutory Claims are ongoing. As a result, the Company cannot determine at this time the outcome of these matters, including whether such outcome, or any subsequent enforcement or litigation relating thereto would have a material impact on the Company’s financial position, results of operations, or cash flows. In April 2020, the U.S. Court of Appeals for the 10 th Circuit (the “10 th Circuit”) denied the petitions of Wynnewood Refining Company, LLC (“WRC”) and others seeking rehearing en banc of the January 2020 decision of a three-judge panel of the 10 th Circuit vacating three small refinery exemptions (“SREs”) under the RFS program under the CAA, including one issued to WRC’s Wynnewood refinery (the “Wynnewood Refinery”) for 2017, and remanding the matter back to the EPA for further proceedings. WRC filed a writ of certiorari with the Supreme Court of the United States (the “Supreme Court”) on September 4, 2020, which was granted by the Supreme Court on January 8, 2021. The case was argued on April 27, 2021. As it is not yet clear how the Supreme Court will rule, or what steps the EPA will take with respect to SREs, we cannot currently estimate the outcome, impact, or timing of resolution of this matter In 2019, the Company, CVR Refining and its general partner, CVR Refining Holdings, IEP, and certain directors and affiliates were named in at least one of nine lawsuits that were subsequently consolidated in the Court of Chancery of the State of Delaware related to the Company’s exercise of the call option under the CVR Refining Amended and Restated Agreement of Limited Partnership assigned to it by CVR Refining’s general partner (the “Delaware Lawsuits”) primarily alleging breach of contract, tortious interference and breach of the implied covenant of good faith and fair dealing. In April 2020, a lawsuit was filed in the United States District Court for the Southern District of New York against the Company, CVR Refining and its general partner, CVR Refining Holdings, IEP, and the Company’s Chief Executive Officer by purported former unitholders of CVR Refining on behalf of themselves and an alleged class of similarly situated unitholders (the “New York Lawsuit” and together with the Delaware Lawsuits, the “Call Option Lawsuits”) primarily alleging violations of Sections 10(b) and 20(a) of the Exchange Act and Rule 10b-5 thereunder. The Company believes the Call Option Lawsuits are without merit and intends to vigorously defend against them. Discovery is currently on-going and trial in the Delaware Lawsuit is currently scheduled for July 2021. Accordingly, the Company cannot determine at this time the outcome of the lawsuits, including whether the outcome would have a material impact on the Company’s financial position, results of operations, or cash flows. |
Business Segments
Business Segments | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
Business Segments | (13) Business Segments CVR Energy’s revenues are derived from two operating segments: the Petroleum Segment and the Nitrogen Fertilizer Segment. The Company evaluates the performance of its segments based primarily on segment operating income (loss) and Earnings Before Interest, Taxes, Depreciation, and Amortization (“EBITDA”). For the purposes of the operating segment disclosure, the Company presents operating income (loss) as it is the most comparable measure to the amounts presented on the condensed consolidated statements of operations. The other amounts reflect intercompany eliminations, corporate cash and cash equivalents, income tax activities, and other corporate activities that are not allocated to the operating segments. The following table summarizes certain operating results and capital expenditures information by segment: Three Months Ended (in millions) 2021 2020 Net sales Petroleum $ 1,404 $ 1,057 Nitrogen Fertilizer 61 75 Other, including intersegment eliminations (2) (2) Total $ 1,463 $ 1,130 Operating loss Petroleum $ (115) $ (127) Nitrogen Fertilizer (14) (5) Other, including intersegment eliminations (6) (3) Total (135) (135) Interest expense, net (31) (35) Investment income on marketable securities 62 31 Other income, net 7 2 Loss before income tax benefit $ (97) $ (137) Depreciation and amortization Petroleum $ 51 $ 48 Nitrogen Fertilizer 14 16 Other 1 — Total $ 66 $ 64 Capital expenditures (1) Petroleum $ 10 $ 40 Nitrogen Fertilizer 3 6 Other (2) 55 2 Total $ 68 $ 48 The following table summarizes total assets by segment: (in millions) March 31, 2021 December 31, 2020 Petroleum $ 3,207 $ 2,991 Nitrogen Fertilizer 1,032 1,033 Other, including intersegment eliminations (51) (46) Total Assets $ 4,188 $ 3,978 (1) Capital expenditures are shown exclusive of capitalized turnaround expenditures and business combinations. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 3 Months Ended |
Mar. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Information | (14) Supplemental Cash Flow Information Cash flows related to interest, leases, and capital expenditures included in accounts payable were as follows: Three Months Ended (in millions) 2021 2020 Supplemental disclosures: Cash paid for interest $ 29 $ 16 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 4 4 Operating cash flows from finance leases 1 1 Financing cash flows from finance leases 1 1 Non-cash investing activities: Change in capital expenditures included in accounts payable (1) 34 13 (1) Capital expenditures are shown exclusive of capitalized turnaround expenditures. Cash, cash equivalents and restricted cash consisted of the following: (in millions) March 31, 2021 December 31, 2020 Cash and cash equivalents $ 707 $ 667 Restricted cash (2) 7 7 Cash, cash equivalents and restricted cash $ 714 $ 674 (2) The restricted cash balance is included within Prepaid expenses and other current assets on the condensed consolidated balance sheets. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | (15) Related Party Transactions Activity associated with the Company’s related party arrangements for the three months ended March 31, 2021 and 2020 is summarized below: Expenses from Related Parties Three Months Ended (in millions) 2021 2020 Cost of materials and other Joint Venture Transportation Agreement: Enable $ 3 $ 3 Payments made Dividends (1) — 57 (1) See below for a summary of the dividends paid to IEP for the three months ended March 31, 2021 and year ended December 31, 2020. Dividends to CVR Energy Stockholders Dividends, if any, including the payment, amount and timing thereof, are subject to change at the discretion of CVR Energy’s board of directors (the “Board”). IEP, through its ownership of the Company’s common stock, is entitled to receive dividends that are declared and paid by the Company based on the number of shares held at each record date. There were no dividends declared or paid by the Company during the three months ended March 31, 2021 related to the fourth quarter of 2020, and no dividends were declared for the first quarter of 2021. The following table presents dividends paid to the Company’s stockholders, including IEP, during 2020 (amounts presented in tables below may not add to totals presented due to rounding). Dividends Paid (in millions) Related Period Date Paid Dividend Per Share Stockholders IEP Total 2019 - 4th Quarter March 9, 2020 $ 0.80 $ 23 $ 57 $ 80 2020 - 1st Quarter May 26, 2020 0.40 12 28 40 Total $ 1.20 $ 35 $ 85 $ 121 Distributions to CVR Partners’ Unitholders Distributions, if any, including the payment, amount and timing thereof, are subject to change at the discretion of the UAN GP Board. There were no distributions declared or paid by CVR Partners during the three months ended March 31, 2021 related to the fourth quarter of 2020, and no distributions were paid during 2020. No distributions were declared for the first quarter of 2021. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”). These condensed consolidated financial statements should be read in conjunction with the December 31, 2020 audited consolidated financial statements and notes thereto included in CVR Energy’s Annual Report on Form 10-K for the year ended December 31, 2020 (the “2020 Form 10-K”). Our condensed consolidated financial statements include the consolidated results of CVR Partners, which is defined as a variable interest entity. In the opinion of the Company’s management, the accompanying condensed consolidated financial statements reflect all adjustments that are necessary for fair presentation of the financial position and results of operations of the Company for the periods presented. Such adjustments are of a normal recurring nature, unless otherwise disclosed. The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities. Actual results could differ from those estimates. Results of operations and cash |
Recent Accounting Pronouncements | Recent Accounting Pronouncements - Adoption of Income Tax Standard In December 2019, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2019-12, Income Taxes (Topic 740). The ASU simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and modifies other areas of the topic to clarify the application of GAAP. Certain amendments within the standard are required to be applied on a retrospective basis and others on a prospective basis. Effective January 1, 2021, we adopted this ASU with no material impact on the Company’s consolidated financial position or results of operations. Recent Accounting Pronouncements - Adoption of Codification Improvements Standard In October 2020, the FASB issued ASU 2020-10, Codification Improvements. The ASU amends various sections of the codification in the FASB’s ongoing efforts to simplify and improve guidance. Effective January 1, 2021, we adopted this ASU with no material impact on the Company’s consolidated financial position or results of operations. Recent Accounting Pronouncements - New Accounting Standards Issued But Not Yet Implemented In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848). This ASU was issued because, by the end of 2021, banks will no longer be required to report information that is used to determine London Interbank Offered Rate (“LIBOR”), which is used globally by all types of entities. As a result, LIBOR could be discontinued, as well as other interest rates used globally. ASU 2020-04 provides companies with optional expedients for contract modifications under Topics 310, 470, 842, and 815-15, excluded components of certain hedging relationships, fair value hedges, and cash flow hedges, as well as certain exceptions, which are intended to help ease the potential accounting burden associated with transitioning away from these reference rates. ASU 2021-01 clarifies certain optional expedients and exceptions for contract modifications and hedge accounting. Companies can apply the ASU immediately. However, the guidance will only be available for a limited time (generally through December 31, 2022). The Company is currently evaluating the impact that adopting this new accounting standard will have on its consolidated financial statements and related disclosures. |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Schedule of components of inventories | Inventories consisted of the following: (in millions) March 31, 2021 December 31, 2020 Finished goods $ 159 $ 133 Raw materials 125 83 In-process inventories 23 16 Parts, supplies and other 71 66 Total inventories $ 378 $ 298 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Summary of property, plant and equipment | Property, plant and equipment consisted of the following: (in millions) March 31, 2021 December 31, 2020 Machinery and equipment $ 3,917 $ 3,881 Buildings and improvements 88 88 ROU finance leases 81 80 Land and improvements 48 47 Furniture and fixtures 38 38 Construction in progress 150 100 Other 14 15 4,336 4,249 Less: Accumulated depreciation and amortization 2,058 2,009 Total property, plant and equipment, net $ 2,278 $ 2,240 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Summary of right of use asset and lease liability balances for operating and finance leases | The following tables summarize the right of use asset and lease liability balances for the Company’s operating and finance leases at March 31, 2021 and December 31, 2020: March 31, 2021 December 31, 2020 (in millions) Operating Leases Finance Leases Operating Leases Finance Leases ROU assets, net Pipeline and storage $ 19 $ 25 $ 15 $ 26 Railcars 8 — 8 — Real estate and other 14 20 14 21 Lease liability Pipelines and storage $ 20 $ 37 $ 16 $ 38 Railcars 8 — 8 — Real estate and other 14 22 14 22 |
Lease expense, lease terms, and discount rates | For the three months ended March 31, 2021 and 2020, we recognized lease expense comprised of the following components: Three Months Ended (in millions) 2021 2020 Operating lease expense $ 4 $ 4 Finance lease expense: Amortization of ROU $ 2 $ 2 Interest expense on lease liability 1 1 Short-term lease expense $ 2 $ 2 The following outlines the remaining lease terms and discount rates used in the measurement of the Company’s ROU assets and liabilities: March 31, 2021 December 31, 2020 Operating Leases Finance Leases Operating Leases Finance Leases Weighted-average remaining lease term 4.5 years 7.9 years 3.1 years 8.1 years Weighted-average discount rate 5.5 % 9.0 % 5.5 % 9.0 % |
Summary of remaining minimum lease payments for operating leases | The following summarizes the remaining minimum lease payments through maturity of the Company’s lease liabilities at March 31, 2021: (in millions) Operating Leases Finance Leases Remainder of 2021 $ 11 $ 8 2022 13 11 2023 9 10 2024 6 10 2025 2 10 Thereafter 5 33 Total lease payments 46 82 Less: imputed interest (4) (23) Total lease liability $ 42 $ 59 |
Summary of remaining minimum lease payments for finance leases | The following summarizes the remaining minimum lease payments through maturity of the Company’s lease liabilities at March 31, 2021: (in millions) Operating Leases Finance Leases Remainder of 2021 $ 11 $ 8 2022 13 11 2023 9 10 2024 6 10 2025 2 10 Thereafter 5 33 Total lease payments 46 82 Less: imputed interest (4) (23) Total lease liability $ 42 $ 59 |
Other Current Liabilities (Tabl
Other Current Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
Other current liabilities | Other current liabilities were as follows: (in millions) March 31, 2021 December 31, 2020 Accrued Renewable Fuel Standards (“RFS”) obligation $ 342 $ 214 Accrued derivatives 63 17 Accrued taxes other than income taxes 40 32 Deferred revenue 40 31 Accrued interest 26 25 Personnel accruals 26 23 Share-based compensation 9 4 Current portion of long-term debt and finance lease obligations 8 8 Operating lease liabilities 12 14 Other accrued expenses and liabilities 12 9 Total other current liabilities $ 578 $ 377 |
Long-Term Debt and Finance Le_2
Long-Term Debt and Finance Lease Obligations (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt and finance lease obligations | Long-term debt and finance lease obligations consist of the following: (in millions) March 31, 2021 December 31, 2020 CVR Partners: 9.25% Senior Secured Notes, due June 2023 (1) $ 645 $ 645 Unamortized discount and debt issuance costs (10) (11) Total CVR Partners debt, net of current portion $ 635 $ 634 CVR Refining: Finance lease obligations, net of current portion (2) 53 55 Total CVR Refining debt, net of current portion $ 53 $ 55 CVR Energy: 5.25% Senior Notes, due February 2025 $ 600 $ 600 5.75% Senior Notes, due February 2028 400 400 Unamortized debt issuance costs (5) (6) Total CVR Energy debt 995 994 Total long-term debt and finance lease obligations, net of current portion $ 1,683 $ 1,683 Current portion of long-term debt and finance lease obligations (2)(3) 8 8 Total long-term debt and finance lease obligations, including current portion $ 1,691 $ 1,691 (1) The call price of the 2023 Notes decreases to par on June 15, 2021. (2) Current portion of finance lease obligations recognized was approximately $6 million and $6 million as of March 31, 2021 and December 31, 2020, respectively. Amounts reported in Other current liabilities. (3) The 6.50% Notes, due April 2021, mature within 12 months, and, therefore, the outstanding balance of $2 million has been classified as short-term debt as of March 31, 2021 and December 31, 2020. Amounts reported in Other current liabilities. On April 15, 2021, the 2021 Notes matured, and the Company paid the outstanding balance, plus accrued and unpaid interest. Credit Agreements (in millions) Total Available Borrowing Capacity Amount Borrowed as of March 31, 2021 Outstanding Letters of Credit Available Capacity as of March 31, 2021 Maturity Date CVR Partners: Asset Based (“Nitrogen Fertilizer ABL”) Credit Agreement (1) $ 25 $ — $ — $ 25 September 30, 2022 CVR Refining: Amended and Restated Asset Based (“Petroleum ABL”) Credit Agreement (2) $ 400 $ — $ 36 $ 364 November 14, 2022 (1) Beginning January 1, 2021, loans under the Nitrogen Fertilizer ABL bear interest at an annual rate equal to (i) (a) 2.00% plus LIBOR, to the extent available, or (b) 1.00% plus a base rate, if our quarterly excess availability is greater than 50% and (ii) (a) 2.50% plus LIBOR, to the extent available, or (b) 1.50% plus a base rate, otherwise. (2) Loans under the Petroleum ABL bear interest at an annual rate equal to (i) (a) 1.50% plus LIBOR, to the extent available, or (b) 0.50% plus a base rate, if our quarterly excess availability is greater than 50% and (ii) (a) 1.75% plus LIBOR, to the extent available, or (b) 0.75% plus a base rate, otherwise. |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue disaggregated by major product | The following tables present the Company’s revenue, disaggregated by major product. The following tables include a reconciliation of the disaggregated revenue with the Company’s reportable segments. Three Months Ended March 31, 2021 (in millions) Petroleum Nitrogen Fertilizer Other / Elimination Consolidated Major Product Gasoline $ 750 $ — $ — $ 750 Distillates (1) 587 — — 587 Ammonia — 10 — 10 UAN — 38 — 38 Other urea products — 5 — 5 Freight revenue 5 6 — 11 Other (2) 32 2 (2) 32 Revenue from product sales 1,374 61 (2) 1,433 Crude oil sales 29 — — 29 Other revenue (2) 1 — — 1 Net sales $ 1,404 $ 61 $ (2) $ 1,463 Three Months Ended March 31, 2020 (in millions) Petroleum Nitrogen Fertilizer Other / Elimination Consolidated Major Product Gasoline $ 516 $ — $ — $ 516 Distillates (1) 476 — — 476 Ammonia — 14 — 14 UAN — 47 — 47 Other urea products — 4 — 4 Freight revenue 5 8 — 13 Other (2) 23 2 (2) 23 Revenue from product sales 1,020 75 (2) 1,093 Crude oil sales 37 — — 37 Net sales $ 1,057 $ 75 $ (2) $ 1,130 (1) Distillates consist primarily of diesel fuel, kerosene, and jet fuel. |
Summary of deferred revenue activity | A summary of the Nitrogen Fertilizer Segment’s deferred revenue activity during the three months ended March 31, 2021 is presented below: (in millions) Balance at December 31, 2020 $ 31 Add: New prepay contracts entered into during the period (1) 20 Less: Revenue recognized that was included in the contract liability balance at the beginning of the period (8) Revenue recognized related to contracts entered into during the period (3) Balance at March 31, 2021 $ 40 (1) Includes $19 million where payment associated with prepaid contracts was collected as of March 31, 2021. |
Derivative Financial Instrume_2
Derivative Financial Instruments, Investments and Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Gain (loss) on derivatives | The following outlines the gains (losses) recognized on the Company’s derivative activities, all of which are recorded in Cost of materials and other on the condensed consolidated statements of operations: Gain (loss) on Derivatives Three Months Ended (in millions) 2021 2020 Forward purchases and sales contracts, net $ 18 $ 36 Commodity swap instruments (50) — Futures contracts — 10 Total (loss) gain on derivatives, net $ (32) $ 46 |
Derivative offsetting assets | The Company elected to offset the fair value amounts recognized for multiple derivative contracts executed with the same counterparty. These amounts are recognized as current assets and current liabilities within the Prepaid expenses and other current assets and Other current liabilities financial statement line items, respectively, in the condensed consolidated balance sheets as follows: Derivative Assets Derivative Liabilities (in millions) March 31, 2021 December 31, 2020 March 31, 2021 December 31, 2020 Commodity derivatives $ 3 $ 1 $ (1) $ (5) Less: Counterparty netting (1) (1) 1 1 Total net fair value of derivatives $ 2 $ — $ — $ (4) |
Derivative offsetting liabilities | The Company elected to offset the fair value amounts recognized for multiple derivative contracts executed with the same counterparty. These amounts are recognized as current assets and current liabilities within the Prepaid expenses and other current assets and Other current liabilities financial statement line items, respectively, in the condensed consolidated balance sheets as follows: Derivative Assets Derivative Liabilities (in millions) March 31, 2021 December 31, 2020 March 31, 2021 December 31, 2020 Commodity derivatives $ 3 $ 1 $ (1) $ (5) Less: Counterparty netting (1) (1) 1 1 Total net fair value of derivatives $ 2 $ — $ — $ (4) |
Components of investment income on marketable securities | Investment income on marketable securities consists of the following: Three Months Ended (in millions) 2021 2020 Dividend income $ — $ 1 Unrealized gain 62 30 Investment income on marketable securities $ 62 $ 31 |
Assets and liabilities measured at fair value on a recurring basis | The following tables set forth the assets and liabilities measured or disclosed at fair value on a recurring basis, by input level, as of March 31, 2021 and December 31, 2020: March 31, 2021 (in millions) Level 1 Level 2 Level 3 Total Location and Description Prepaid expenses and other current assets (investments) $ 235 $ — $ — $ 235 Prepaid expenses and other current assets (commodity derivatives) — 6 — 6 Total Assets $ 235 $ 6 $ — $ 241 Current portion of long-term debt $ — $ (2) $ — $ (2) Other current liabilities (commodity swaps) — (63) — (63) Other current liabilities (RFS obligation) — (342) — (342) Long-term debt and finance lease obligations, net of current portion — (1,627) — (1,627) Total Liabilities $ — $ (2,034) $ — $ (2,034) December 31, 2020 (in millions) Level 1 Level 2 Level 3 Total Location and Description Prepaid expenses and other current assets (investments) $ 173 $ — $ — $ 173 Total Assets $ 173 $ — $ — $ 173 Current portion of long-term debt $ — $ (2) $ — $ (2) Other current liabilities (commodity derivatives) — (17) — (17) Other current liabilities (RFS obligation) — (214) — (214) Long-term debt and finance lease obligations, net of current portion — (1,604) — (1,604) Total Liabilities $ — $ (1,837) $ — $ (1,837) |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of share-based compensation expense | A summary of compensation expense during the three months ended March 31, 2021 and 2020 is presented below: Three Months Ended (in millions) 2021 2020 Performance Unit Awards $ (3) $ — CVR Partners LTIP - Phantom Unit Awards 4 (1) Incentive Unit Awards 7 (1) Total Share-Based Compensation Expense $ 8 $ (2) |
Business Segments (Tables)
Business Segments (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
Operating results and capital expenditures information by segment | The following table summarizes certain operating results and capital expenditures information by segment: Three Months Ended (in millions) 2021 2020 Net sales Petroleum $ 1,404 $ 1,057 Nitrogen Fertilizer 61 75 Other, including intersegment eliminations (2) (2) Total $ 1,463 $ 1,130 Operating loss Petroleum $ (115) $ (127) Nitrogen Fertilizer (14) (5) Other, including intersegment eliminations (6) (3) Total (135) (135) Interest expense, net (31) (35) Investment income on marketable securities 62 31 Other income, net 7 2 Loss before income tax benefit $ (97) $ (137) Depreciation and amortization Petroleum $ 51 $ 48 Nitrogen Fertilizer 14 16 Other 1 — Total $ 66 $ 64 Capital expenditures (1) Petroleum $ 10 $ 40 Nitrogen Fertilizer 3 6 Other (2) 55 2 Total $ 68 $ 48 The following table summarizes total assets by segment: (in millions) March 31, 2021 December 31, 2020 Petroleum $ 3,207 $ 2,991 Nitrogen Fertilizer 1,032 1,033 Other, including intersegment eliminations (51) (46) Total Assets $ 4,188 $ 3,978 (1) Capital expenditures are shown exclusive of capitalized turnaround expenditures and business combinations. |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of cash flows related to interest, leases, and capital expenditures included in accounts payable | Cash flows related to interest, leases, and capital expenditures included in accounts payable were as follows: Three Months Ended (in millions) 2021 2020 Supplemental disclosures: Cash paid for interest $ 29 $ 16 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases 4 4 Operating cash flows from finance leases 1 1 Financing cash flows from finance leases 1 1 Non-cash investing activities: Change in capital expenditures included in accounts payable (1) 34 13 (1) Capital expenditures are shown exclusive of capitalized turnaround expenditures. |
Schedule of cash and cash equivalents | Cash, cash equivalents and restricted cash consisted of the following: (in millions) March 31, 2021 December 31, 2020 Cash and cash equivalents $ 707 $ 667 Restricted cash (2) 7 7 Cash, cash equivalents and restricted cash $ 714 $ 674 (2) The restricted cash balance is included within Prepaid expenses and other current assets on the condensed consolidated balance sheets. |
Schedule of restricted cash | Cash, cash equivalents and restricted cash consisted of the following: (in millions) March 31, 2021 December 31, 2020 Cash and cash equivalents $ 707 $ 667 Restricted cash (2) 7 7 Cash, cash equivalents and restricted cash $ 714 $ 674 (2) The restricted cash balance is included within Prepaid expenses and other current assets on the condensed consolidated balance sheets. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Related Party Transactions [Abstract] | |
Schedule of related party transactions | Activity associated with the Company’s related party arrangements for the three months ended March 31, 2021 and 2020 is summarized below: Expenses from Related Parties Three Months Ended (in millions) 2021 2020 Cost of materials and other Joint Venture Transportation Agreement: Enable $ 3 $ 3 Payments made Dividends (1) — 57 (1) See below for a summary of the dividends paid to IEP for the three months ended March 31, 2021 and year ended December 31, 2020. |
Summary of dividends paid | Dividends Paid (in millions) Related Period Date Paid Dividend Per Share Stockholders IEP Total 2019 - 4th Quarter March 9, 2020 $ 0.80 $ 23 $ 57 $ 80 2020 - 1st Quarter May 26, 2020 0.40 12 28 40 Total $ 1.20 $ 35 $ 85 $ 121 |
Organization and Nature of Bu_2
Organization and Nature of Business (Details) - USD ($) | 3 Months Ended | 11 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2021 | Feb. 22, 2021 | May 06, 2020 | |
Organization, Consolidation, and Presentation of Financial Statements [Line Items] | ||||
Changes in equity due to CVR Partners’ common unit repurchases | $ 1,000,000 | |||
Recognition of deferred tax liability from change in book versus tax basis in CVR Partners | 100,000 | $ 100,000 | ||
Additional Paid-In Capital | ||||
Organization, Consolidation, and Presentation of Financial Statements [Line Items] | ||||
Changes in equity due to CVR Partners’ common unit repurchases | 0 | |||
Noncontrolling Interest | ||||
Organization, Consolidation, and Presentation of Financial Statements [Line Items] | ||||
Changes in equity due to CVR Partners’ common unit repurchases | $ 1,000,000 | 100,000 | ||
CVR Partners | ||||
Organization, Consolidation, and Presentation of Financial Statements [Line Items] | ||||
Percentage of interest held by the public | 64.00% | |||
Unit Repurchase Program, authorized amount | $ 10,000,000 | $ 10,000,000 | ||
Common units repurchased on open market (in units) | 24,378 | |||
Cost, inclusive of transaction costs, of repurchase of outstanding common units | $ 1,000,000 | |||
Average price per common unit (in dollars per share) | $ 21.70 | |||
Amount remaining under Unit Repurchase Program | $ 12,000,000 | $ 12,000,000 | ||
CVR Services | CVR Partners | ||||
Organization, Consolidation, and Presentation of Financial Statements [Line Items] | ||||
Percentage of common units owned by wholly-owned subsidiary | 36.00% | |||
CVR Services | CVR GP | ||||
Organization, Consolidation, and Presentation of Financial Statements [Line Items] | ||||
Percentage of common units owned by general partner | 100.00% | |||
Majority Shareholder | ||||
Organization, Consolidation, and Presentation of Financial Statements [Line Items] | ||||
Ownership percentage held by controlling stockholder | 71.00% |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 159 | $ 133 |
Raw materials | 125 | 83 |
In-process inventories | 23 | 16 |
Parts, supplies and other | 71 | 66 |
Total inventories | $ 378 | $ 298 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Property, Plant, and Equipment | ||
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Total property, plant and equipment, net | Total property, plant and equipment, net |
ROU finance leases | $ 81 | $ 80 |
Property, plant and equipment, gross | 4,336 | 4,249 |
Less: Accumulated depreciation and amortization | 2,058 | 2,009 |
Total property, plant and equipment, net | 2,278 | 2,240 |
Machinery and equipment | ||
Property, Plant, and Equipment | ||
Property, plant and equipment, gross | 3,917 | 3,881 |
Buildings and improvements | ||
Property, Plant, and Equipment | ||
Property, plant and equipment, gross | 88 | 88 |
Land and improvements | ||
Property, Plant, and Equipment | ||
Property, plant and equipment, gross | 48 | 47 |
Furniture and fixtures | ||
Property, Plant, and Equipment | ||
Property, plant and equipment, gross | 38 | 38 |
Construction in progress | ||
Property, Plant, and Equipment | ||
Property, plant and equipment, gross | 150 | 100 |
Other | ||
Property, Plant, and Equipment | ||
Property, plant and equipment, gross | $ 14 | $ 15 |
Property, Plant and Equipment -
Property, Plant and Equipment - Additional Information (Details) - USD ($) $ in Millions | Feb. 01, 2021 | Mar. 31, 2021 | Mar. 31, 2020 |
Business Acquisition [Line Items] | |||
Total consideration for pipeline acquisition | $ 20 | $ 0 | |
Pipeline Acquisition | |||
Business Acquisition [Line Items] | |||
Total consideration for pipeline acquisition | $ 23 |
Leases - Additional Information
Leases - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2021 | |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Renewal term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Renewal term | 20 years |
Leases - Balance Sheet Summary
Leases - Balance Sheet Summary (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Operating Leases | ||
Lease liability | $ 42 | |
Finance Leases | ||
Lease liability | 59 | |
Pipeline and storage | ||
Operating Leases | ||
ROU assets, net | 19 | $ 15 |
Lease liability | 20 | 16 |
Finance Leases | ||
ROU assets, net | 25 | 26 |
Lease liability | 37 | 38 |
Railcars | ||
Operating Leases | ||
ROU assets, net | 8 | 8 |
Lease liability | 8 | 8 |
Finance Leases | ||
ROU assets, net | 0 | 0 |
Lease liability | 0 | 0 |
Real estate and other | ||
Operating Leases | ||
ROU assets, net | 14 | 14 |
Lease liability | 14 | 14 |
Finance Leases | ||
ROU assets, net | 20 | 21 |
Lease liability | $ 22 | $ 22 |
Leases - Lease Expense (Details
Leases - Lease Expense (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Leases [Abstract] | ||
Operating lease expense | $ 4 | $ 4 |
Finance lease expense: | ||
Amortization of ROU | 2 | 2 |
Interest expense on lease liability | 1 | 1 |
Short-term lease expense | $ 2 | $ 2 |
Leases - Lease Terms and Discou
Leases - Lease Terms and Discount Rates (Details) | Mar. 31, 2021 | Dec. 31, 2020 |
Weighted-average remaining lease term | ||
Operating Leases | 4 years 6 months | 3 years 1 month 6 days |
Finance Leases | 7 years 10 months 24 days | 8 years 1 month 6 days |
Weighted-average discount rate | ||
Operating Leases | 5.50% | 5.50% |
Finance Leases | 9.00% | 9.00% |
Leases - Remaining Minimum Leas
Leases - Remaining Minimum Lease Payments (Details) $ in Millions | Mar. 31, 2021USD ($) |
Operating Leases | |
Remainder of 2021 | $ 11 |
2022 | 13 |
2023 | 9 |
2024 | 6 |
2025 | 2 |
Thereafter | 5 |
Total lease payments | 46 |
Less: imputed interest | (4) |
Total lease liability | 42 |
Finance Leases | |
Remainder of 2021 | 8 |
2022 | 11 |
2023 | 10 |
2024 | 10 |
2025 | 10 |
Thereafter | 33 |
Total lease payments | 82 |
Less: imputed interest | (23) |
Total lease liability | $ 59 |
Other Current Liabilities (Deta
Other Current Liabilities (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Other Liabilities Disclosure [Abstract] | ||
Accrued Renewable Fuel Standards (“RFS”) obligation | $ 342 | $ 214 |
Accrued derivatives | 63 | 17 |
Accrued taxes other than income taxes | 40 | 32 |
Deferred revenue | 40 | 31 |
Accrued interest | 26 | 25 |
Personnel accruals | 26 | 23 |
Share-based compensation | 9 | 4 |
Current portion of long-term debt and finance lease obligations | $ 8 | $ 8 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Total other current liabilities | Total other current liabilities |
Operating lease liabilities | $ 12 | $ 14 |
Other accrued expenses and liabilities | 12 | 9 |
Total other current liabilities | $ 578 | $ 377 |
Long-Term Debt and Finance Le_3
Long-Term Debt and Finance Lease Obligations - Schedule of Long-term Debt (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Total long-term debt and finance lease obligations, net of current portion | $ 1,683 | $ 1,683 |
Current portion of long-term debt and finance lease obligations | 8 | 8 |
Total long-term debt and finance lease obligations, including current portion | $ 1,691 | $ 1,691 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Total long-term debt and finance lease obligations, net of current portion | Total long-term debt and finance lease obligations, net of current portion |
CVR Energy | ||
Debt Instrument [Line Items] | ||
Unamortized discount and debt issuance costs | $ (5) | $ (6) |
Total debt, net of current portion | 995 | 994 |
CVR Energy | Senior Notes | 5.25% Senior Notes, due February 2025 | ||
Debt Instrument [Line Items] | ||
Total long-term debt, net of current portion, before finance lease obligations, debt issuance costs and discount | $ 600 | 600 |
Stated interest rate | 5.25% | |
CVR Energy | Senior Notes | 5.75% Senior Notes, due February 2028 | ||
Debt Instrument [Line Items] | ||
Total long-term debt, net of current portion, before finance lease obligations, debt issuance costs and discount | $ 400 | 400 |
Stated interest rate | 5.75% | |
CVR Partners | ||
Debt Instrument [Line Items] | ||
Unamortized discount and debt issuance costs | $ (10) | (11) |
Total debt, net of current portion | 635 | 634 |
CVR Partners | Senior Notes | 9.25% Senior Secured Notes, due June 2023 | ||
Debt Instrument [Line Items] | ||
Total long-term debt, net of current portion, before finance lease obligations, debt issuance costs and discount | $ 645 | 645 |
Stated interest rate | 9.25% | |
CVR Partners | Senior Notes | 6.50% Senior Notes due April 2021, net of current portion | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 6.50% | |
Outstanding balance classified as short-term debt | $ 2 | 2 |
CVR Refining | ||
Debt Instrument [Line Items] | ||
Finance lease obligations, net of current portion | 53 | 55 |
Total long-term debt and finance lease obligations, net of current portion | 53 | 55 |
Current portion of finance lease obligations | $ 6 | $ 6 |
Long-Term Debt and Finance Le_4
Long-Term Debt and Finance Lease Obligations - Credit Agreement (Details) - Line of Credit - Revolving Credit Facility | 3 Months Ended |
Mar. 31, 2021USD ($) | |
CVR Partners | Asset Based (Nitrogen Fertilizer ABL) Credit Agreement | |
Line of Credit Facility [Line Items] | |
Total Available Borrowing Capacity | $ 25,000,000 |
Amount Borrowed | 0 |
Outstanding Letters of Credit | 0 |
Available Capacity | $ 25,000,000 |
CVR Partners | Asset Based (Nitrogen Fertilizer ABL) Credit Agreement | LIBOR | Quarterly Excess Availability Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 2.00% |
CVR Partners | Asset Based (Nitrogen Fertilizer ABL) Credit Agreement | LIBOR | Quarterly Excess Availability Not Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 2.50% |
CVR Partners | Asset Based (Nitrogen Fertilizer ABL) Credit Agreement | Base Rate | Quarterly Excess Availability Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 1.00% |
CVR Partners | Asset Based (Nitrogen Fertilizer ABL) Credit Agreement | Base Rate | Quarterly Excess Availability Not Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 1.50% |
CVR Refining | Amended and Restated Asset Based (Petroleum ABL) Credit Agreement | |
Line of Credit Facility [Line Items] | |
Total Available Borrowing Capacity | $ 400,000,000 |
Amount Borrowed | 0 |
Outstanding Letters of Credit | 36,000,000 |
Available Capacity | $ 364,000,000 |
CVR Refining | Amended and Restated Asset Based (Petroleum ABL) Credit Agreement | LIBOR | Quarterly Excess Availability Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 1.50% |
CVR Refining | Amended and Restated Asset Based (Petroleum ABL) Credit Agreement | LIBOR | Quarterly Excess Availability Not Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 1.75% |
CVR Refining | Amended and Restated Asset Based (Petroleum ABL) Credit Agreement | Base Rate | Quarterly Excess Availability Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 0.50% |
CVR Refining | Amended and Restated Asset Based (Petroleum ABL) Credit Agreement | Base Rate | Quarterly Excess Availability Not Greater Than 50% | |
Line of Credit Facility [Line Items] | |
Basis spread on variable rate | 0.75% |
Revenue - Revenue Disaggregated
Revenue - Revenue Disaggregated by Major Product (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 1,463 | $ 1,130 |
Revenue from product sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 1,433 | 1,093 |
Gasoline | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 750 | 516 |
Distillates | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 587 | 476 |
Ammonia | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 10 | 14 |
UAN | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 38 | 47 |
Other urea products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 5 | 4 |
Freight revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 11 | 13 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 32 | 23 |
Crude oil sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 29 | 37 |
Other revenue | ||
Disaggregation of Revenue [Line Items] | ||
Other revenue | 1 | |
Operating Segments | Petroleum | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,404 | 1,057 |
Operating Segments | Petroleum | Revenue from product sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 1,374 | 1,020 |
Operating Segments | Petroleum | Gasoline | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 750 | 516 |
Operating Segments | Petroleum | Distillates | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 587 | 476 |
Operating Segments | Petroleum | Ammonia | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Operating Segments | Petroleum | UAN | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Operating Segments | Petroleum | Other urea products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Operating Segments | Petroleum | Freight revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 5 | 5 |
Operating Segments | Petroleum | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 32 | 23 |
Operating Segments | Petroleum | Crude oil sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 29 | 37 |
Operating Segments | Petroleum | Other revenue | ||
Disaggregation of Revenue [Line Items] | ||
Other revenue | 1 | |
Operating Segments | Nitrogen Fertilizer | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 61 | 75 |
Operating Segments | Nitrogen Fertilizer | Revenue from product sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 61 | 75 |
Operating Segments | Nitrogen Fertilizer | Gasoline | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Operating Segments | Nitrogen Fertilizer | Distillates | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Operating Segments | Nitrogen Fertilizer | Ammonia | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 10 | 14 |
Operating Segments | Nitrogen Fertilizer | UAN | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 38 | 47 |
Operating Segments | Nitrogen Fertilizer | Other urea products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 5 | 4 |
Operating Segments | Nitrogen Fertilizer | Freight revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 6 | 8 |
Operating Segments | Nitrogen Fertilizer | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 2 | 2 |
Operating Segments | Nitrogen Fertilizer | Crude oil sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Operating Segments | Nitrogen Fertilizer | Other revenue | ||
Disaggregation of Revenue [Line Items] | ||
Other revenue | 0 | |
Other / Elimination | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | (2) | (2) |
Other / Elimination | Revenue from product sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | (2) | (2) |
Other / Elimination | Gasoline | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Other / Elimination | Distillates | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Other / Elimination | Ammonia | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Other / Elimination | UAN | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Other / Elimination | Other urea products | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Other / Elimination | Freight revenue | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | 0 |
Other / Elimination | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | (2) | (2) |
Other / Elimination | Crude oil sales | ||
Disaggregation of Revenue [Line Items] | ||
Revenue from product sales | 0 | $ 0 |
Other / Elimination | Other revenue | ||
Disaggregation of Revenue [Line Items] | ||
Other revenue | $ 0 |
Revenue - Remaining Performance
Revenue - Remaining Performance Obligation (Details) - Nitrogen Fertilizer $ in Millions | Mar. 31, 2021USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation | $ 6 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-04-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation | $ 3 |
Remaining performance obligation, expected timing of satisfaction, period | 9 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation | $ 2 |
Remaining performance obligation, expected timing of satisfaction, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining performance obligation | $ 1 |
Remaining performance obligation, expected timing of satisfaction, period |
Revenue - Deferred Revenue (Det
Revenue - Deferred Revenue (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Change in Contract with Customer, Liability [Roll Forward] | |
Balance at beginning of period | $ 31 |
Less: | |
Balance at end of period | 40 |
Prepaid contracts, payment collected | 19 |
Nitrogen Fertilizer | |
Change in Contract with Customer, Liability [Roll Forward] | |
Balance at beginning of period | 31 |
Add: | |
New prepay contracts entered into during the period | 20 |
Less: | |
Revenue recognized that was included in the contract liability balance at the beginning of the period | (8) |
Revenue recognized related to contracts entered into during the period | (3) |
Balance at end of period | $ 40 |
Derivative Financial Instrume_3
Derivative Financial Instruments, Investments and Fair Value Measurements - Additional Information (Details) derivative in Millions | Mar. 31, 2021derivative |
Commodity Swap Postions | |
Derivative [Line Items] | |
Outstanding positions | 12 |
Forward Contracts | Purchase Commitments | |
Derivative [Line Items] | |
Outstanding positions | 2 |
Forward Contracts | Sale Commitments | |
Derivative [Line Items] | |
Outstanding positions | 2 |
RINs | Purchase Commitments | |
Derivative [Line Items] | |
Outstanding positions | 32 |
Derivative Financial Instrume_4
Derivative Financial Instruments, Investments and Fair Value Measurements - Schedule of Gain (Loss) on Derivatives (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Total (loss) gain on derivatives, net | $ (32) | $ 46 |
Forward purchases and sales contracts, net | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Total (loss) gain on derivatives, net | 18 | 36 |
Commodity swap instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Total (loss) gain on derivatives, net | (50) | 0 |
Futures contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Total (loss) gain on derivatives, net | $ 0 | $ 10 |
Derivative Financial Instrume_5
Derivative Financial Instruments, Investments and Fair Value Measurements - Schedule of Offsetting Assets and Liabilities (Details) - Commodity derivatives - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Current Assets | ||
Derivative Assets | ||
Commodity derivatives | $ 3 | $ 1 |
Less: Counterparty netting | (1) | (1) |
Total net fair value of derivatives | 2 | 0 |
Current Liabilities | ||
Derivative Liabilities | ||
Commodity derivatives | (1) | (5) |
Less: Counterparty netting | 1 | 1 |
Total net fair value of derivatives | $ 0 | $ (4) |
Derivative Financial Instrume_6
Derivative Financial Instruments, Investments and Fair Value Measurements - Investments (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Dividend income | $ 0 | $ 1 |
Unrealized gain | 62 | 30 |
Investment income on marketable securities | $ 62 | $ 31 |
Derivative Financial Instrume_7
Derivative Financial Instruments, Investments and Fair Value Measurements - Assets and Liabilities Measured at Fair Value (Details) - Recurring - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 |
Fair value measurements | ||
Prepaid expenses and other current assets (investments) | $ 235 | $ 173 |
Total Assets | 241 | 173 |
Current portion of long-term debt | (2) | (2) |
Long-term debt and finance lease obligations, net of current portion | (1,627) | (1,604) |
Total Liabilities | (2,034) | (1,837) |
Commodity derivatives | ||
Fair value measurements | ||
Prepaid expenses and other current assets (commodity derivatives) | 6 | |
Other current liabilities (derivatives) | (17) | |
Commodity swaps | ||
Fair value measurements | ||
Other current liabilities (derivatives) | (63) | |
RFS obligation | ||
Fair value measurements | ||
Other current liabilities (RFS obligation) | (342) | (214) |
Level 1 | ||
Fair value measurements | ||
Prepaid expenses and other current assets (investments) | 235 | 173 |
Total Assets | 235 | 173 |
Current portion of long-term debt | 0 | 0 |
Long-term debt and finance lease obligations, net of current portion | 0 | 0 |
Total Liabilities | 0 | 0 |
Level 1 | Commodity derivatives | ||
Fair value measurements | ||
Prepaid expenses and other current assets (commodity derivatives) | 0 | |
Other current liabilities (derivatives) | 0 | |
Level 1 | Commodity swaps | ||
Fair value measurements | ||
Other current liabilities (derivatives) | 0 | |
Level 1 | RFS obligation | ||
Fair value measurements | ||
Other current liabilities (RFS obligation) | 0 | 0 |
Level 2 | ||
Fair value measurements | ||
Prepaid expenses and other current assets (investments) | 0 | 0 |
Total Assets | 6 | 0 |
Current portion of long-term debt | (2) | (2) |
Long-term debt and finance lease obligations, net of current portion | (1,627) | (1,604) |
Total Liabilities | (2,034) | (1,837) |
Level 2 | Commodity derivatives | ||
Fair value measurements | ||
Prepaid expenses and other current assets (commodity derivatives) | 6 | |
Other current liabilities (derivatives) | (17) | |
Level 2 | Commodity swaps | ||
Fair value measurements | ||
Other current liabilities (derivatives) | (63) | |
Level 2 | RFS obligation | ||
Fair value measurements | ||
Other current liabilities (RFS obligation) | (342) | (214) |
Level 3 | ||
Fair value measurements | ||
Prepaid expenses and other current assets (investments) | 0 | 0 |
Total Assets | 0 | 0 |
Current portion of long-term debt | 0 | 0 |
Long-term debt and finance lease obligations, net of current portion | 0 | 0 |
Total Liabilities | 0 | 0 |
Level 3 | Commodity derivatives | ||
Fair value measurements | ||
Prepaid expenses and other current assets (commodity derivatives) | 0 | |
Other current liabilities (derivatives) | 0 | |
Level 3 | Commodity swaps | ||
Fair value measurements | ||
Other current liabilities (derivatives) | 0 | |
Level 3 | RFS obligation | ||
Fair value measurements | ||
Other current liabilities (RFS obligation) | $ 0 | $ 0 |
Share-Based Compensation - Shar
Share-Based Compensation - Share-Based Compensation Expense (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Share-Based Compensation | ||
Total Share-Based Compensation Expense | $ 8 | $ (2) |
Performance Unit Awards | ||
Share-Based Compensation | ||
Total Share-Based Compensation Expense | (3) | 0 |
Incentive Unit Awards | ||
Share-Based Compensation | ||
Total Share-Based Compensation Expense | 7 | (1) |
CVR Partners | CVR Partners LTIP | Phantom Units Award | ||
Share-Based Compensation | ||
Total Share-Based Compensation Expense | $ 4 | $ (1) |
Commitments and Contingencies -
Commitments and Contingencies - Crude Oil Supply Agreement (Details) - Crude Oil Supply Agreement | Aug. 31, 2012 | Mar. 31, 2021 | Mar. 31, 2020 |
Loss Contingencies [Line Items] | |||
Renewal term of agreement | 1 year | ||
Notice of non-renewal period prior to expiration | 180 days | ||
Petroleum Segment | Contracted Volume | Supplier Concentration Risk | |||
Loss Contingencies [Line Items] | |||
Volume contracted under Crude Oil Supply Agreement as percentage of total crude oil purchases | 37.00% | 18.00% |
Commitments and Contingencies_2
Commitments and Contingencies - RFS (Details) - Petroleum Segment - Environmental, Health, and Safety Matters - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Loss Contingencies [Line Items] | |||
Expense for compliance with RFS | $ 178 | $ 19 | |
RFS obligation | $ 342 | $ 214 |
Commitments and Contingencies_3
Commitments and Contingencies - Litigation (Details) | 1 Months Ended | ||
Dec. 31, 2020count | Jan. 31, 2020claimant | Dec. 31, 2019lawsuit | |
CRRM | Environmental, Health, and Safety Matters | Clean Air Act Matter | |||
Loss Contingencies [Line Items] | |||
Number of counts asserted related to alleged violations | count | 9 | ||
WRC and Others | Small Refinery Exemption | |||
Loss Contingencies [Line Items] | |||
Number of refineries whose SREs were vacated under RFS program under the CAA | 3 | ||
WRC | Small Refinery Exemption | |||
Loss Contingencies [Line Items] | |||
Number of refineries whose SREs were vacated under RFS program under the CAA | 1 | ||
CVR Energy, CVR Refining and General Partner, CVR Refining Holdings, IEP and Certain Directors and Affiliates | Call Option Lawsuits | |||
Loss Contingencies [Line Items] | |||
Number of lawsuits filed | lawsuit | 9 |
Business Segments - Additional
Business Segments - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2021segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Business Segments - Summary of
Business Segments - Summary of Operating Results and Capital Expenditures by Segment (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 1,463 | $ 1,130 | |
Operating loss | (135) | (135) | |
Interest expense, net | (31) | (35) | |
Investment income on marketable securities | 62 | 31 | |
Other income, net | 7 | 2 | |
Loss before income tax benefit | (97) | (137) | |
Depreciation and amortization | 66 | 64 | |
Capital expenditures | 68 | 48 | |
Total Assets | 4,188 | $ 3,978 | |
Operating Segments | Petroleum | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,404 | 1,057 | |
Operating loss | (115) | (127) | |
Depreciation and amortization | 51 | 48 | |
Capital expenditures | 10 | 40 | |
Total Assets | 3,207 | 2,991 | |
Operating Segments | Nitrogen Fertilizer | |||
Segment Reporting Information [Line Items] | |||
Net sales | 61 | 75 | |
Operating loss | (14) | (5) | |
Depreciation and amortization | 14 | 16 | |
Capital expenditures | 3 | 6 | |
Total Assets | 1,032 | 1,033 | |
Other, including intersegment eliminations | |||
Segment Reporting Information [Line Items] | |||
Net sales | (2) | (2) | |
Operating loss | (6) | (3) | |
Depreciation and amortization | 1 | 0 | |
Capital expenditures | 55 | $ 2 | |
Total Assets | $ (51) | $ (46) |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Supplemental disclosures: | ||
Cash paid for interest | $ 29 | $ 16 |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from operating leases | 4 | 4 |
Operating cash flows from finance leases | 1 | 1 |
Financing cash flows from finance leases | 1 | 1 |
Non-cash investing activities: | ||
Change in capital expenditures included in accounts payable | $ 34 | $ 13 |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information - Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Millions | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | $ 707 | $ 667 | ||
Restricted cash | 7 | 7 | ||
Cash, cash equivalents and restricted cash | $ 714 | $ 674 | $ 805 | $ 652 |
Related Party Transactions - Ex
Related Party Transactions - Expenses from Related Parties (Details) - USD ($) $ in Millions | May 26, 2020 | Mar. 09, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 |
Related Party Transaction [Line Items] | |||||
Cost of materials and other | $ 1,369 | $ 1,058 | |||
Dividends | $ 40 | $ 80 | 0 | 80 | $ 121 |
Enable | Joint Venture Transportation Agreement | |||||
Related Party Transaction [Line Items] | |||||
Cost of materials and other | 3 | 3 | |||
IEP | |||||
Related Party Transaction [Line Items] | |||||
Dividends | $ 28 | $ 57 | $ 0 | $ 57 | $ 85 |
Related Party Transactions - Su
Related Party Transactions - Summary of Dividends (Details) - USD ($) $ / shares in Units, $ in Millions | May 26, 2020 | Mar. 09, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 |
Related Party Transaction [Line Items] | |||||
Dividends declared per share (in dollars per share) | $ 0 | ||||
Dividend Per Share (in dollars per share) | $ 0.40 | $ 0.80 | $ 0 | $ 0.80 | $ 1.20 |
Dividends Paid | $ 40 | $ 80 | $ 0 | $ 80 | $ 121 |
CVR Partners | |||||
Related Party Transaction [Line Items] | |||||
Distributions declared (in dollars per share) | $ 0 | ||||
Distributions paid (in dollars per share) | $ 0 | ||||
IEP | |||||
Related Party Transaction [Line Items] | |||||
Dividends Paid | 28 | 57 | $ 0 | $ 57 | 85 |
Stockholders | |||||
Related Party Transaction [Line Items] | |||||
Dividends Paid | $ 12 | $ 23 | $ 35 |