Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 12, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | Targa Resources Corp. | ||
Entity Central Index Key | 1,389,170 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $ 9,571.8 | ||
Entity Common Stock, Shares Outstanding | 218,830,282 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2017 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Current assets: | |||
Cash and cash equivalents | $ 137.2 | $ 73.5 | |
Trade receivables, net of allowances of $0.1 and $0.9 million at December 31, 2017 and December 31, 2016 | 827.6 | 674.6 | |
Inventories | 204.5 | 137.7 | |
Assets from risk management activities | 37.9 | 16.8 | |
Income tax receivable | 0 | 67.8 | |
Other current assets | 62.7 | 36.4 | |
Total current assets | 1,269.9 | 1,006.8 | |
Property, plant and equipment | 14,205.4 | 12,518.7 | |
Accumulated depreciation | (3,775.4) | (2,827.7) | |
Property, plant and equipment, net | 10,430 | 9,691 | |
Intangible assets, net | 2,165.8 | 1,654 | |
Goodwill, net | 256.6 | 210 | |
Long-term assets from risk management activities | 23.2 | 5.1 | |
Investments in unconsolidated affiliates | 221.6 | 240.8 | |
Other long-term assets | 21.5 | 63.5 | |
Total assets | [1] | 14,388.6 | 12,871.2 |
Current liabilities: | |||
Accounts payable and accrued liabilities | 1,186.9 | 843.5 | |
Liabilities from risk management activities | 79.7 | 49.1 | |
Current debt obligations | 350 | 275 | |
Total current liabilities | 1,616.6 | 1,167.6 | |
Long-term debt | 4,703 | 4,606 | |
Long-term liabilities from risk management activities | 19.6 | 26.1 | |
Deferred income taxes, net | 479 | 941.2 | |
Other long-term liabilities | 597.9 | 215.1 | |
Contingencies (see Note 20) | 0 | 0 | |
Targa Resources Corp. stockholders' equity: | |||
Common stock value | 0.2 | 0.2 | |
Preferred stock ($0.001 par value, after designation of Series A Preferred Stock: 98,800,000 shares authorized, no shares issued and outstanding) | 0 | 0 | |
Additional paid-in capital | 6,302.8 | 5,506.2 | |
Retained earnings (deficit) | (77.2) | (187.3) | |
Accumulated other comprehensive income (loss) | (29.9) | (38.3) | |
Treasury stock, at cost (585,640 shares as of December 31, 2017 and 513,880 as of December 31, 2016) | (35.6) | (32.2) | |
Total Targa Resources Corp. stockholders' equity | 6,160.3 | 5,248.6 | |
Noncontrolling interests in subsidiaries | 595.7 | 475.8 | |
Total owners' equity | 6,756 | 5,724.4 | |
Total liabilities, Series A Preferred Stock and owners' equity | 14,388.6 | 12,871.2 | |
Series A Preferred Stock [Member] | |||
Current liabilities: | |||
Series A Preferred 9.5% Stock, $1,000 per share liquidation preference, (1,200,000 shares authorized, issued and outstanding 965,100 shares), net of discount (see Note 12) | $ 216.5 | $ 190.8 | |
[1] | Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets: | ||
Trade receivables, allowances | $ 0.1 | $ 0.9 |
Targa Resources Corp. stockholders' equity: | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (in shares) | 218,152,620 | 185,234,405 |
Common stock, shares outstanding (in shares) | 217,566,980 | 184,720,525 |
Preferred stock, par value (in dollar per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 98,800,000 | 98,800,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Treasury stock, shares (in shares) | 585,640 | 513,880 |
Series A Preferred Stock [Member] | ||
LIABILITIES, SERIES A PREFERRED STOCK AND OWNERS' EQUITY | ||
Preferred Series A Liquidation Stock Percentage | 9.50% | 9.50% |
Preferred Stock, Liquidation Preference Per Share | $ 1,000 | $ 1,000 |
Preferred Stock, Shares Authorized | 1,200,000 | 1,200,000 |
Preferred Stock, Shares Issued | 965,100 | 965,100 |
Preferred Stock, Shares Outstanding | 965,100 | 965,100 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||
Revenues: | |||||
Sales of commodities | $ 7,751.1 | $ 5,626.8 | $ 5,465.4 | ||
Fees from midstream services | 1,063.8 | 1,064.1 | 1,193.2 | ||
Total revenues | 8,814.9 | 6,690.9 | 6,658.6 | ||
Costs and expenses: | |||||
Product purchases | 6,906.1 | 4,922.9 | 4,837.6 | ||
Operating expenses | 622.9 | 553.7 | 540 | ||
Depreciation and amortization expense | 809.5 | 757.7 | 644.5 | ||
General and administrative expense | 203.4 | 187.2 | 161.7 | ||
Impairment of property, plant and equipment | 378 | 0 | 32.6 | ||
Impairment of goodwill | 0 | 207 | 290 | ||
Other operating (income) expense | 17.4 | 6.6 | (7.1) | ||
Income (loss) from operations | (122.4) | [1] | 55.8 | [2],[3] | 159.3 |
Other income (expense): | |||||
Interest expense, net | (233.7) | (254.2) | (231.9) | ||
Equity earnings (loss) | (17) | (14.3) | (2.5) | ||
Gain (loss) from financing activities | (16.8) | (48.2) | (10.1) | ||
Change in contingent considerations | 99.6 | 0.4 | 1.2 | ||
Other, net | (2.6) | 0.8 | (27.8) | ||
Income (loss) before income taxes | (292.9) | (259.7) | (111.8) | ||
Income tax (expense) benefit | 397.1 | 100.6 | (39.6) | ||
Net income (loss) | 104.2 | (159.1) | (151.4) | ||
Less: Net income (loss) attributable to noncontrolling interests | 50.2 | 28.2 | (209.7) | ||
Net income (loss) attributable to Targa Resources Corp. | 54 | (187.3) | 58.3 | ||
Dividends on Series A Preferred Stock | 91.7 | 72.6 | |||
Deemed dividends on Series A Preferred Stock | 25.7 | 18.2 | |||
Net income (loss) attributable to common shareholders | $ (63.4) | $ (278.1) | $ 58.3 | ||
Net income (loss) per common share - basic | $ (0.31) | $ (1.80) | $ 1.09 | ||
Net income (loss) per common share - diluted | $ (0.31) | [4] | $ (1.80) | $ 1.09 | |
Weighted average shares outstanding - basic | 206.9 | 154.4 | 53.5 | ||
Weighted average shares outstanding - diluted | 206.9 | 154.4 | 53.6 | ||
Dividends per common share declared for the period | $ 3.64 | $ 3.64 | $ 3.39 | ||
[1] | Includes a non-cash pre-tax impairment charge of $378.0 million in the third quarter of 2017. See Note 6 – Property, Plant and Equipment and Intangible Assets. | ||||
[2] | Includes a goodwill impairment of $183.0 million in the fourth quarter of 2016. See Note 7 – Goodwill | ||||
[3] | Includes a goodwill impairment of $24.0 million in the first quarter of 2016, which represented the finalization of the 2015 provisional charge. See Note 7 – Goodwill. | ||||
[4] | Include dilutive effects of common stock equivalents in the second quarter of 2017 and fourth quarter of 2017. Dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for the convertible preferred stock. Under the if-converted method, the dividends on the convertible preferred stock are added back to the numerator for the purposes of the diluted earnings per share calculation. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive potential common shares. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Net income (loss) attributable to Targa Resources Corp. | $ 54 | $ (187.3) | $ 58.3 |
Commodity hedging contracts: | |||
Other comprehensive income (loss) attributable to Targa Resources Corp., pre-tax | 15.8 | (161.1) | 1.5 |
Other comprehensive income (loss) attributable to Targa Resources Corp., related income tax | (7.4) | 61.3 | (0.6) |
Other comprehensive income (loss) attributable to Targa Resources Corp., after tax | 8.4 | (99.8) | 0.9 |
Comprehensive income (loss) attributable to Targa Resources Corp. | 62.4 | (287.1) | 59.2 |
Net income (loss) attributable to noncontrolling interests | 50.2 | 28.2 | (209.7) |
Commodity hedging contracts: | |||
Other comprehensive income (loss) attributable to noncontrolling interests, pre-tax | 0 | 12.5 | 24.9 |
Other comprehensive income (loss) attributable to noncontrolling interests, related income tax | 0 | 0 | 0 |
Other comprehensive income (loss) attributable to noncontrolling interests, after tax | 0 | 12.5 | 24.9 |
Comprehensive income (loss) attributable to noncontrolling interests | 50.2 | 40.7 | (184.8) |
Total | |||
Net income (loss) | 104.2 | (159.1) | (151.4) |
Commodity hedging contracts: | |||
Other comprehensive income (loss) attributable to Targa Resources Corp., pre-tax | 15.8 | (148.6) | 26.4 |
Other comprehensive income (loss) attributable to Targa Resources Corp., related income tax | (7.4) | 61.3 | (0.6) |
Other comprehensive income (loss) attributable to Targa Resources Corp., after tax | 8.4 | (87.3) | 25.8 |
Total comprehensive income (loss) | 112.6 | (246.4) | (125.6) |
Commodity Contracts [Member] | |||
Commodity hedging contracts: | |||
Change in fair value, pre-tax | (28.8) | (127.3) | 11 |
Change in fair value, related income tax | 13.5 | 48.5 | (4.2) |
Change in fair value, after tax | (15.3) | (78.8) | 6.8 |
Settlements reclassified to revenues, pre-tax | 44.6 | (33.8) | (9.5) |
Settlements reclassified to revenues, related income tax | (20.9) | 12.8 | 3.6 |
Settlements reclassified to revenues, after tax | 23.7 | (21) | (5.9) |
Commodity hedging contracts: | |||
Change in fair value, pre-tax | 0 | 23.7 | 101.7 |
Change in fair value, related income tax | 0 | 0 | 0 |
Change in fair value, after tax | 0 | 23.7 | 101.7 |
Settlements reclassified to revenues, pre-tax | 0 | (11.2) | (76.8) |
Settlements reclassified to revenues, related income tax | 0 | 0 | 0 |
Settlements reclassified to revenues, after tax | 0 | (11.2) | (76.8) |
Commodity hedging contracts: | |||
Change in fair value, pre-tax | (28.8) | (103.6) | 112.7 |
Change in fair value, related income tax | 13.5 | 48.5 | (4.2) |
Change in fair value, after tax | (15.3) | (55.1) | 108.5 |
Settlements reclassified to revenues, pre-tax | 44.6 | (45) | (86.3) |
Settlements reclassified to revenues, related income tax | (20.9) | 12.8 | 3.6 |
Settlements reclassified to revenues, after tax | $ 23.7 | $ (32.2) | $ (82.7) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN OWNERS' EQUITY AND SERIES A PREFERRED STOCK - USD ($) $ in Millions | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings (Accumulated Deficit) [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Shares [Member] | Noncontrolling Interests [Member] | Series A Preferred Stock [Member] |
Balance at Dec. 31, 2014 | $ 2,539.5 | $ 164.9 | $ 25.5 | $ 4.8 | $ (25.4) | $ 2,369.7 | ||
Balance (in shares) at Dec. 31, 2014 | 42,143,000 | 389,000 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Compensation on equity grants, net of excess tax benefits | 26.1 | 9.5 | 16.6 | |||||
Distribution equivalent rights | (2.4) | (0.8) | (1.6) | |||||
Shares issued under compensation program (in shares) | 50,000 | 0 | ||||||
Shares and units tendered for tax withholding obligations | (8.8) | $ (3.3) | (5.5) | |||||
Shares and units tendered for tax withholding obligations (in shares) | (37,000) | 37,000 | ||||||
Sale of Partnership limited partner interests | 436 | 436 | ||||||
Issuance of common stock | 335.5 | 335.5 | ||||||
Issuance of common stock (in shares) | 3,738,000 | |||||||
Impact of subsidiary equity transactions | 56.8 | (56.8) | ||||||
Dividends | (179) | (179) | ||||||
Common stock dividends | ||||||||
Dividends in excess of retained earnings | (122.1) | 122.1 | ||||||
Distributions to noncontrolling interests | (514.8) | (514.8) | ||||||
Distributions payable to preferred unitholders | (0.9) | (0.9) | ||||||
Contributions from noncontrolling interests | 78.4 | 78.4 | ||||||
Noncontrolling interests in acquired subsidiaries | 216.8 | 216.8 | ||||||
Common stock issued in ATLS merger | 1,013.7 | $ 0.1 | 1,013.6 | |||||
Common stock issued in ATLS merger (in shares) | 10,126,000 | |||||||
Partnership units issued in APL merger | 2,435.7 | 2,435.7 | ||||||
Other comprehensive income (loss) | 25.8 | 0.9 | 24.9 | |||||
Net income (loss) | (151.4) | 58.3 | (209.7) | |||||
Balance at Dec. 31, 2015 | 6,250.2 | $ 0.1 | 1,457.4 | 26.9 | 5.7 | $ (28.7) | 4,788.8 | |
Balance (in shares) at Dec. 31, 2015 | 56,020,000 | 426,000 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Compensation on equity grants, net of excess tax benefits | 29.7 | 27.5 | 2.2 | |||||
Distribution equivalent rights | (8.9) | (8.7) | (0.2) | |||||
Shares issued under compensation program (in shares) | 364,000 | |||||||
Shares and units tendered for tax withholding obligations | (3.6) | $ (3.5) | (0.1) | |||||
Shares and units tendered for tax withholding obligations (in shares) | (88,000) | 88,000 | ||||||
Issuance of common stock | 572.7 | 572.7 | ||||||
Issuance of common stock (in shares) | 12,562,000 | |||||||
Issuance of Series A Preferred and detachable warrants | 796.6 | 796.6 | $ 172.6 | |||||
Exercise of warrants - share settled | 11,337,000 | |||||||
Series A Preferred Stock dividends | ||||||||
Dividends | (72.6) | (72.6) | ||||||
Dividends in excess of retained earnings | (68.8) | 68.8 | ||||||
Deemed dividends - accretion of beneficial conversion feature | (18.2) | (18.2) | 18.2 | |||||
Common stock dividends | ||||||||
Dividends | (513.7) | (513.7) | ||||||
Dividends in excess of retained earnings | (490.6) | 490.6 | ||||||
Distributions to noncontrolling interests | (177) | (177) | ||||||
Contributions from noncontrolling interests | 43.3 | 43.3 | ||||||
Noncontrolling interests in acquired subsidiaries | (880.1) | $ 0.1 | 3,183.7 | 55.8 | (4,119.7) | |||
Acquisition of TRP noncontrolling common interests, net of acquisition costs and deferred income taxes (in shares) | 104,526,000 | |||||||
Purchase of noncontrolling interests in subsidiaries, net of tax impact | (47.6) | 54.6 | (102.2) | |||||
Other comprehensive income (loss) | (87.3) | (99.8) | 12.5 | |||||
Net income (loss) | (159.1) | (187.3) | 28.2 | |||||
Balance at Dec. 31, 2016 | 5,724.4 | $ 0.2 | 5,506.2 | (187.3) | (38.3) | $ (32.2) | 475.8 | |
Balance (in shares) at Dec. 31, 2016 | 184,721,000 | 514,000 | ||||||
Series A Preferred Stock at Dec. 31, 2016 | 190.8 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Impact of accounting standard adoption (see Note 3) | 56.1 | 56.1 | ||||||
Compensation on equity grants, net of excess tax benefits | 42.3 | 42.3 | ||||||
Distribution equivalent rights | (9.7) | (9.7) | ||||||
Shares issued under compensation program (in shares) | 285,000 | |||||||
Shares and units tendered for tax withholding obligations | (3.4) | $ (3.4) | ||||||
Shares and units tendered for tax withholding obligations (in shares) | (72,000) | 72,000 | ||||||
Issuance of common stock | $ 1,644.4 | 1,644.4 | ||||||
Issuance of common stock (in shares) | 0 | 32,633,000 | ||||||
Series A Preferred Stock dividends | ||||||||
Dividends | $ (91.7) | (91.7) | ||||||
Dividends in excess of retained earnings | (91.7) | 91.7 | ||||||
Deemed dividends - accretion of beneficial conversion feature | (25.7) | (25.7) | 25.7 | |||||
Common stock dividends | ||||||||
Dividends | (749.4) | (749.4) | ||||||
Dividends in excess of retained earnings | (749.4) | 749.4 | ||||||
Distributions to noncontrolling interests | (59.4) | (59.4) | ||||||
Contributions from noncontrolling interests | 141.6 | 141.6 | ||||||
Purchase of noncontrolling interests in subsidiaries, net of tax impact | (26.1) | (13.6) | (12.5) | |||||
Other comprehensive income (loss) | 8.4 | 8.4 | ||||||
Net income (loss) | 104.2 | 54 | 50.2 | |||||
Balance at Dec. 31, 2017 | $ 6,756 | $ 0.2 | $ 6,302.8 | $ (77.2) | $ (29.9) | $ (35.6) | $ 595.7 | |
Balance (in shares) at Dec. 31, 2017 | 217,567,000 | 586,000 | ||||||
Series A Preferred Stock at Dec. 31, 2017 | $ 216.5 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Cash flows from operating activities | ||||
Net income (loss) | $ 104.2 | $ (159.1) | $ (151.4) | |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||
Amortization in interest expense | 11.5 | 14.9 | 15.3 | |
Compensation on equity grants | 42.3 | 29.7 | 25 | |
Depreciation and amortization expense | 809.5 | 757.7 | 644.5 | |
Impairment of property, plant and equipment | 378 | 0 | 32.6 | |
Impairment of goodwill | 0 | 207 | 290 | |
Accretion of asset retirement obligations | 3.9 | 4.6 | 5.3 | |
Increase (decrease) in redemption value of mandatorily redeemable preferred interests | 3.3 | (15.2) | (30.6) | |
Deferred income tax expense (benefit) | (392.7) | (37.8) | 24.6 | |
Equity (earnings) loss of unconsolidated affiliates | 17 | 14.3 | 2.5 | |
Distributions of earnings received from unconsolidated affiliates | 12.5 | 4.1 | 13.8 | |
Risk management activities | 47 | 38.8 | 71.1 | |
(Gain) loss on sale or disposition of assets | [1] | 15.9 | 6.1 | (8) |
(Gain) loss from financing activities | 16.8 | 48.2 | 10.1 | |
Change in contingent considerations included in Other expense (income) | (99.6) | (0.4) | (1.2) | |
Changes in operating assets and liabilities, net of business acquisitions: | ||||
Receivables and other assets | (57.1) | (235.7) | 235.9 | |
Inventories | (73.2) | (15.9) | 41.4 | |
Accounts payable and other liabilities | 100.2 | 176.1 | (186.2) | |
Net cash provided by operating activities | 939.5 | 837.4 | 1,034.7 | |
Cash flows from investing activities | ||||
Outlays for property, plant and equipment | (1,297.5) | (562.1) | (817.2) | |
Outlays for business acquisition, net of cash acquired | (570.8) | (1,574.4) | ||
Investments in unconsolidated affiliates | (9.5) | (4.4) | (11.7) | |
Return of capital from unconsolidated affiliates | 0.2 | 4.1 | 1.2 | |
Other, net | (15.1) | 3.8 | 2.5 | |
Net cash used in investing activities | (1,892.7) | (558.6) | (2,399.6) | |
Debt obligations: | ||||
Proceeds from borrowings under credit facilities | 2,701 | 2,322 | 2,488 | |
Repayments of credit facilities | (2,671) | (2,617) | (1,870) | |
Proceeds from borrowings under accounts receivable securitization facility | 666.6 | 171.4 | 391.6 | |
Repayments of accounts receivable securitization facility | (591.6) | (115.7) | (355.1) | |
Proceeds from issuance of senior notes and term loan | 750 | 1,000 | 2,122.5 | |
Redemption of senior notes and term loan | (698.1) | (1,852.2) | (284.3) | |
Redemption of TPL senior notes | 13.3 | 1,168.8 | ||
Proceeds from issuance of common stock | 1,660.4 | 577.3 | 336.8 | |
Proceeds from issuance of preferred stock and warrants | 994.1 | 994.1 | ||
Proceeds from sale of Partnership common and preferred units | 443.6 | |||
Costs incurred in connection with financing arrangements | (23.5) | (71.4) | (54.3) | |
Repurchase of shares and units under compensation plans | (3.4) | (3.6) | (8.8) | |
Purchase of noncontrolling interests in subsidiary | (12.5) | (37.2) | ||
Contributions from noncontrolling interests | 141.6 | 43.3 | 78.4 | |
Distributions to noncontrolling interests | (48.1) | (26.7) | (14.4) | |
Distributions to Partnership unitholders | (11.3) | (150.3) | (500.4) | |
Dividends paid to common and Series A preferred shareholders | (843.2) | (565.9) | (179) | |
Other, net | (0.3) | (1.7) | ||
Net cash provided by (used in) financing activities | 1,016.9 | (345.5) | 1,424.1 | |
Net change in cash and cash equivalents | 63.7 | (66.7) | 59.2 | |
Cash and cash equivalents, beginning of period | 73.5 | 140.2 | 81 | |
Cash and cash equivalents, end of period | $ 137.2 | $ 73.5 | $ 140.2 | |
[1] | Comprised primarily of a $16.1 million loss in 2017 due to the reduction in the carrying value of our ownership interest in VGS in connection with the April 4, 2017 sale. |
Organization and Operations
Organization and Operations | 12 Months Ended |
Dec. 31, 2017 | |
Organization [Abstract] | |
Organization and Operations | Note 1 — Organization and Operations Our Organization Targa Resources Corp. (“TRC”) is a publicly traded Delaware corporation formed in October 2005. Our common stock is listed on the New York Stock Exchange under the symbol “TRGP.” In this Annual Report, unless the context requires otherwise, references to “we,” “us,” “our,” “the Company” or “Targa” are intended to mean our consolidated business and operations. Our Operations The Company is engaged in the business of: • gathering, compressing, treating, processing and selling natural gas; • storing, fractionating, treating, transporting and selling NGLs and NGL products, including services to LPG exporters; • gathering, storing, terminaling and selling crude oil; and • storing, terminaling and selling refined petroleum products. See Note 26 – Segment Information for certain financial information regarding our business segments. |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | Note 2 — Basis of Presentation These accompanying financial statements and related notes present our consolidated financial position as of December 31, 2017 and 2016, and the results of operations, comprehensive income, cash flows, and changes in owners’ equity for the years ended December 31, 2017, 2016 and 2015. We have prepared these consolidated financial statements in accordance with GAAP. All significant intercompany balances and transactions have been eliminated in consolidation. Certain amounts in prior periods may have been reclassified to conform to the current year presentation. One of our indirect subsidiaries is the sole general partner of Targa Resources Partners LP (“the Partnership” or “TRP”). As of February 16, 2016, our interests in the Partnership consisted of the following: • a 2% general partner interest, which we hold through our 100% ownership interest in the general partner of the Partnership; • all Incentive Distribution Rights (“IDRs”); • 16,309,594 common units representing limited partner interests in the Partnership (“common units”), representing an 8.8% limited partnership interest; and • a Special GP Interest representing retained tax benefits related to the contribution to the Partnership from us of the APL general partner interest acquired in the ATLS merger (as defined in Note 4 – Business Acquisitions). On February 17, 2016, we completed the transactions contemplated by the Agreement and Plan of Merger (the “TRC/TRP Merger Agreement,” and such transactions, the “TRC/TRP Merger” or “Buy-in Transaction”), At the effective time of the TRC/TRP Merger, each outstanding TRP common unit not owned by us or our subsidiaries was converted into the right to receive 0.62 shares of our common stock. We issued 104,525,775 shares of our common stock to third-party unitholders of the common units of the Partnership in exchange for all of the 168,590,009 outstanding common units of the Partnership that we previously did not own. No fractional shares were issued in the TRC/TRP Merger, and TRP common unitholders instead received cash in lieu of fractional shares. There were no changes to our other interests in the Partnership. TRP’s 5,000,000 9.0% Series A Fixed-to-Floating Rate Cumulative Redeemable Perpetual Preferred Units (the “Preferred Units”) remain outstanding after the TRC/TRP Merger. The Preferred Units are listed on the NYSE under “NGLS PRA” and are publicly traded. The Preferred Units are reported as noncontrolling interests in our financial statements. As we continued to control the Partnership after the TRC/TRP Merger, the resulting change in our ownership interest was accounted for as an equity transaction, which is reflected in our Consolidated Balance Sheets as a reduction of noncontrolling interests and a corresponding increase in common stock and additional paid in capital. The TRC/TRP Merger was a taxable exchange that resulted in a book/tax difference in the basis of the underlying assets acquired (our investment in TRP). The tax impact is presented as a reduction of additional paid-in capital consistent with the accounting for tax effects of transactions with noncontrolling interests. See Note 23 – Income Taxes. The following table summarizes the financial effects of the TRC/TRP Merger: Common shares Additional paid-in capital Retained earnings Accumulated other comprehensive income (loss) TRC's stockholders' equity Noncontrolling interests (1) Total owners' equity Shares issued for the Merger $ 0.1 $ 1,803.0 $ — $ — $ 1,803.1 $ (4,119.7 ) $ (2,316.6 ) Impact of NCI acquisition on TRC owners' equity — 2,226.7 — 89.9 2,316.6 — 2,316.6 Deferred tax adjustments — (831.0 ) — (34.1 ) (865.1 ) — (865.1 ) Transaction costs, net of tax — (15.0 ) — — (15.0 ) — (15.0 ) Acquisition of TRP noncontrolling common interests $ 0.1 $ 3,183.7 $ — $ 55.8 $ 3,239.6 $ (4,119.7 ) $ (880.1 ) (1) Reflects the February 17, 2016 book value of the publicly held interests in TRP. The equity interests in TRP (which are consolidated in our financial statements) that were owned by the public prior to February 17, 2016 are reflected within “Noncontrolling interests” in our Consolidated Balance Sheets for periods prior to the merger date. The earnings recorded by TRP that were attributed to its common units held by the public prior to February 17, 2016 are reflected within Net income attributable to noncontrolling interests in our Consolidated Statements of Operations for periods prior to the merger date. On October 19, 2016, TRP executed the Third Amended and Restated Agreement of Limited Partnership of Targa Resources Partners LP (the “Third A&R Partnership Agreement”), effective as of December 1, 2016. The Third A&R Partnership Agreement (i) eliminated the IDRs held by the General Partner, and related distribution and allocation provisions, (ii) eliminated the Special GP Interest held by the General Partner, (iii) provided the ability to declare monthly distributions in addition to quarterly distributions, (iv) modified certain provisions relating to distributions from available cash, (v) eliminated the Class B Unit provisions and (vi) made changes to reflect the passage of time and removed provisions that were no longer applicable. In connection with the Third A&R Partnership Agreement, on December 1, 2016, TRP issued to the General Partner (i) 20,380,286 Common Units and 424,590 General Partner Units in exchange for the elimination of the IDRs and (ii) 11,267,485 Common Units and 234,739 General Partner Units in exchange for the elimination of the Special GP Interest. Subsequent Event On February 6, 2018, we announced the formation of three development joint ventures (the “DevCo JVs”) with investment vehicles affiliated with Stonepeak Infrastructure Partners (“Stonepeak”). Stonepeak will own an 80% interest in both the GCX DevCo JV, which will own our 25% interest in the Gulf Coast Express Pipeline (“GCX”), and the Fractionation DevCo JV, which will own a 100% interest in some of the assets associated with a newly announced 100 MBbl/d fractionation train in Mont Belvieu, Texas, expected to begin operations in the first quarter of 2019. Stonepeak will own a 95% interest in the Grand Prix DevCo JV, which will own a 20% interest in the Grand Prix pipeline (“Grand Prix”). We will hold the remaining interest of the DevCo JVs as well as control the management, construction and operation of Grand Prix and fractionation train. For a four-year period beginning on the earlier of the date that all three projects have commenced commercial operations or January 1, 2020, Targa has the option to acquire all or part of Stonepeak’s interests in the DevCo JVs. Targa may acquire up to 50% of Stonepeak’s invested capital in multiple increments with a minimum of $100 million, and would be required to buy Stonepeak’s remaining 50% interest in a single final purchase. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Note 3 — Significant Accounting Policies Consolidation Policy Our consolidated financial statements include our accounts and those of our subsidiaries in which we have a controlling interest. We hold varying undivided interests in various gas gathering and processing facilities in which we are responsible for our proportionate share of the costs and expenses of the facilities. Our consolidated financial statements reflect our proportionate share of the revenues, expenses, assets and liabilities of these undivided interests. We follow the equity method of accounting when we do not exercise control over the investee, but we can exercise significant influence over the operating and financial policies of the investee. Under this method, our equity investments are carried originally at our acquisition cost, increased by our proportionate share of the investee’s net income and by contributions made, and decreased by our proportionate share of the investee’s net losses and by distributions received. We evaluate our equity investments for impairment when evidence indicates the carrying amount of our investment is no longer recoverable. Evidence of a loss in value might include, but would not necessarily be limited to, absence of an ability to recover the carrying amount of the investment or inability of the equity method investee to sustain an earnings capacity that would justify the carrying amount of the investment. When the estimated fair value of an equity investment is less than its carrying value and the loss in value is determined to be other than temporary, we recognize the excess of the carrying value over the estimated fair value as an impairment loss within equity earnings (loss) in our Consolidated Statements of Operations. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in these financial statements and accompanying notes. Estimates and judgments are based on information available at the time such estimates and judgments are made. Adjustments made with respect to the use of these estimates and judgments often relate to information not previously available. Uncertainties with respect to such estimates and judgments are inherent in the preparation of financial statements. Estimates and judgments are used in, among other things, (1) estimating unbilled revenues, product purchases and operating and general and administrative costs, (2) developing fair value assumptions, including estimates of future cash flows and discount rates, (3) analyzing goodwill and long-lived assets for possible impairment, (4) estimating the useful lives of assets, (5) determining amounts to accrue for contingencies, guarantees and indemnifications and (6) estimating redemption value of mandatorily redeemable preferred interests. Actual results, therefore, could differ materially from estimated amounts. Cash and Cash Equivalents Cash and cash equivalents include all cash on hand, demand deposits, and investments with original maturities of three months or less. We consider cash equivalents to include short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. Checks outstanding at the end of a period are reclassified to accounts payable, as we extinguish liabilities when the creditor receives our payment and we are relieved of our obligation (which generally occurs when our bank honors that check). Comprehensive Income Comprehensive income includes net income and other comprehensive income (“OCI”), which includes changes in the fair value of derivative instruments that are designated as cash flow hedges. Allowance for Doubtful Accounts Estimated losses on accounts receivable are provided through an allowance for doubtful accounts. In evaluating the adequacy of the allowance, we make judgments regarding each party’s ability to make required payments, economic events and other factors. As the financial condition of any party changes, circumstances develop or additional information becomes available, adjustments to an allowance for doubtful accounts may be required. Inventories Our inventories consist primarily of NGL product inventories. Most NGL product inventories turn over monthly, but some inventory, primarily propane, is acquired and held during the year to meet anticipated heating season requirements of our customers. NGL product inventories are valued at the lower of cost or net realizable value using the average cost method. Commodity inventories that are not physically or contractually available for sale under normal operations (“deadstock”) are classified as Property, Plant and Equipment. Inventories also include materials and supplies required for our Badlands expansion activities in North Dakota, which are valued at cost using the specific identification method. Product Exchanges Exchanges of NGL products are executed to satisfy timing and logistical needs of the exchange parties. Volumes received and delivered under exchange agreements are recorded as inventory. If the locations of receipt and delivery are in different markets, an exchange differential may be billed or owed. The exchange differential is recorded as either accounts receivable or accrued liabilities. Gas Processing Imbalances Quantities of natural gas and/or NGLs over-delivered or under-delivered related to certain gas plant operational balancing agreements are recorded monthly as inventory or as a payable using the weighted average price at the time the imbalance was created. Inventory imbalances receivable are valued at the lower of cost or net realizable value using the average cost method; inventory imbalances payable are valued at replacement cost. These imbalances are settled either by current cash-out settlements or by adjusting future receipts or deliveries of natural gas or NGLs. Derivative Instruments We utilize derivative instruments to manage the volatility of cash flows due to fluctuating energy prices. All derivative instruments not qualifying for the normal purchase and normal sale exception are recorded on the balance sheets at fair value. The treatment of the periodic changes in fair value will depend on whether the derivative is designated and effective as a hedge for accounting purposes. We have designated certain liquids marketing contracts that meet the definition of a derivative as normal purchases and normal sales, which under GAAP, are not accounted for as derivatives. As a result, the revenues and expenses associated with such contracts are recognized during the period when volumes are physically delivered or received. If a derivative qualifies for hedge accounting and is designated as a cash flow hedge, the effective portion of the change in fair value of the derivative is deferred in Accumulated Other Comprehensive Income (“AOCI”), a component of owners’ equity, and reclassified to earnings when the forecasted transaction occurs. Cash flows from a derivative instrument designated as a hedge are classified in the same category as the cash flows from the item being hedged. As such, we include the cash flows from commodity derivative instruments in revenues. If a derivative does not qualify as a hedge or is not designated as a hedge, the gain or loss resulting from the change in fair value on the derivative is recognized currently in earnings as a component of revenues. We formally document all relationships between hedging instruments and hedged items, as well as its risk management objectives and strategy for undertaking the hedge. This documentation includes the specific identification of the hedging instrument and the hedged item, the nature of the risk being hedged and the manner in which the hedging instrument’s effectiveness will be assessed. At the inception of the hedge, and on an ongoing basis, we assess whether the derivatives used in hedging transactions are highly effective in offsetting changes in cash flows of hedged items. The relationship between the hedging instrument and the hedged item must be highly effective in achieving the offset of changes in cash flows attributable to the hedged risk both at the inception of the contract and on an ongoing basis. We measure hedge ineffectiveness on a quarterly basis and reclassify any ineffective portion of the gain or loss related to the change in fair value to earnings in the current period. We will discontinue hedge accounting on a prospective basis when a hedge instrument is terminated or ceases to be highly effective. Gains and losses deferred in AOCI related to cash flow hedges for which hedge accounting has been discontinued remain deferred until the forecasted transaction occurs. If it is no longer probable that a hedged forecasted transaction will occur, deferred gains or losses on the hedging instrument are reclassified to earnings immediately. For balance sheet classification purposes, we analyze the fair values of the derivative instruments on a contract by contract basis and report the related fair values and any related collateral by counterparty on a gross basis. Property, Plant and Equipment Property, plant and equipment are stated at acquisition value less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. Expenditures for maintenance and repairs are expensed as incurred. Expenditures to refurbish assets that extend the useful lives or prevent environmental contamination are capitalized and depreciated over the remaining useful life of the asset or major asset component. We also capitalize certain costs directly related to the construction of assets, including internal labor costs, interest and engineering costs. The determination of the useful lives of property, plant and equipment requires us to make various assumptions, including the supply of and demand for hydrocarbons in the markets served by our assets, normal wear and tear of the facilities, and the extent and frequency of maintenance programs. We evaluate the recoverability of our property, plant and equipment when events or circumstances such as economic obsolescence, the business climate, legal and other factors indicate we may not recover the carrying amount of the assets. Asset recoverability is measured by comparing the carrying value of the asset or asset group with its expected future pre-tax undiscounted cash flows. These cash flow estimates require us to make projections and assumptions for many years into the future for pricing, demand, competition, operating cost and other factors. If the carrying amount exceeds the expected future undiscounted cash flows, we recognize an impairment equal to the excess of net book value over fair value as determined by quoted market prices in active markets or present value techniques if quotes are unavailable. The determination of the fair value using present value techniques requires us to make projections and assumptions regarding the probability of a range of outcomes and the rates of interest used in the present value calculations. Any changes we make to these projections and assumptions could result in significant revisions to our evaluation of recoverability of our property, plant and equipment and the recognition of additional impairments. Upon disposition or retirement of property, plant and equipment, any gain or loss is recorded to operations. Goodwill Goodwill is a residual intangible asset that results when the cost of an acquisition exceeds the fair value of the net identifiable assets of the acquired business. Goodwill is not amortized, but is assessed annually to determine whether its carrying value has been impaired. Goodwill must be attributed to reporting units for the purpose of impairment testing. A reporting unit is an operating segment or one level below an operating segment (also known as a component). Our annual goodwill impairment test is performed as of November 30, as well as whenever events or changes in circumstances indicate it is more likely than not that the fair value of the reporting unit is less than the carrying amount. Prior to us conducting the goodwill impairment test, we complete a review of the carrying values of our long-lived assets, including property, plant and equipment and other intangible assets, to the extent triggering events exist, and if it is determined that the carrying values are not recoverable, we reduce the carrying values of the long-lived assets pursuant to our policy on property, plant and equipment. We are permitted to first assess qualitative factors for a reporting unit to determine if the quantitative goodwill impairment test is necessary. If we choose to bypass this qualitative assessment or otherwise determine that a goodwill impairment test is required, our annual goodwill impairment test is performed by comparing the fair value of a reporting unit with its carrying amount (including attributed goodwill). Prior to our adoption of ASU 2017-04 (see “Recent Accounting Pronouncements”), if a reporting unit’s carrying amount exceeded the reporting unit’s fair value, we then compared the implied fair value of goodwill to its carrying value. We recognize an impairment loss in our Consolidated Statements of Operations and a corresponding reduction of goodwill on our Consolidated Balance Sheets for the amount by which the carrying amount exceeds the reporting unit’s fair value, or prior to our adoption of ASU 2017-04, the amount by which the carrying amount exceeded the reporting unit’s implied fair value. The goodwill impairment loss will not exceed the total amount of goodwill allocated to that reporting unit. Additionally, we consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. Intangible Assets Intangible assets arose from producer dedications under long-term contracts and customer relationships associated with business and asset acquisitions. The fair value of these acquired intangible assets was determined at the date of acquisition based on the present value of estimated future cash flows. Amortization expense attributable to these assets is recorded in a manner that closely resembles the expected benefit pattern of the intangible assets, or where such pattern is not readily determinable, on a straight-line basis, over the periods in which we benefit from services provided to customers. Asset Retirement Obligations We record the fair value of estimated asset retirement obligations (“ARO”) associated with tangible long-lived assets. Retirement obligations associated with long-lived assets are only recognized for those for which there is a legal obligation to settle under existing or enacted law, statute, written or oral contract or by legal construction. These obligations, which are estimated based on discounted cash flow estimates, are accreted to full value over time as a period cost. In addition, asset retirement costs are capitalized as part of the related asset’s carrying value and are depreciated over the asset’s respective useful life. At least annually, we review the projected timing and amount of asset retirement obligations. Changes resulting from revisions to the timing or the amount of the undiscounted cash flows are recognized as an increase or decrease in the carrying amount of the retirement obligation and the related asset retirement cost capitalized as part of the carrying amount of the related long-lived asset. Upon settlement, any difference between the recorded amount and the actual settlement cost will be recognized at a gain or loss. Debt Issuance Costs Costs incurred in connection with the issuance of long-term debt are deferred and charged to interest expense over the term of the related debt, as are any original issue discount or premium. Debt issuance costs related to revolving credit facilities are presented as other long-term assets and debt issuance costs related to long-term debt obligations with scheduled maturities are reflected as a deduction from the carrying amount of long-term debt on the Consolidated Balance Sheets. Accounts Receivable Securitization Facility Proceeds from the sale or contribution of certain receivables under the Partnership’s accounts receivable securitization facility (the “Securitization Facility”) are treated as collateralized borrowings in our financial statements. Proceeds and repayments under the Securitization Facility are reflected as cash flows from financing activities in our Consolidated Statements of Cash Flows. Environmental Liabilities and Other Loss Contingencies Liabilities for loss contingencies, including environmental remediation costs arising from claims, assessments, litigation, fines, penalties and other sources are charged to operating expense when it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Income Taxes We account for income taxes using the asset and liability method of accounting for deferred income taxes and provide deferred income taxes for all significant temporary differences based on legislated tax rates during the periods that the timing differences are scheduled to reverse. As part of the process of preparing our consolidated financial statements, we are required to estimate our income taxes in each of the jurisdictions in which we operate. This process involves estimating our actual current tax payable and related tax expense together with assessing temporary differences resulting from differing treatment of certain items, such as depreciation, for tax and accounting purposes. These differences can result in deferred tax assets and liabilities, which are reported on a net basis within our Consolidated Balance Sheets. We must then assess the likelihood that our deferred tax assets will be recovered from future taxable income. If we believe that it is more likely than not (a likelihood of more than 50%) that some portion or all of the deferred tax assets will not be realized, we establish a valuation allowance. Any change in the valuation allowance would impact our income tax provision and net income in the period in which such a determination is made. We consider all available evidence to determine whether, based on the weight of the evidence, a valuation allowance is needed. Evidence used includes information about our current financial position and our results of operations for the current and preceding years, as well as all currently available information about future years, including our anticipated future performance, the reversal of deferred tax liabilities and tax planning strategies. Noncontrolling Interests Third-party ownership (other than mandatorily redeemable interests) in the net assets of our consolidated subsidiaries is shown as noncontrolling interests within the equity section of our Consolidated Balance Sheets. In our Consolidated Statements of Operations and Consolidated Statements of Comprehensive Income, noncontrolling interests reflects the attribution of results to third-party investors. Mandatorily Redeemable Preferred Interests Mandatorily redeemable preferred interests are included in other long term liabilities (or assets) on our Consolidated Balance Sheets. Mandatorily redeemable preferred interests with multiple or indeterminate redemption dates are reported at their estimated redemption value as of the reporting date. This point-in-time value does not represent the amount that ultimately would become payable (or receivable) in the future when the interests are redeemed. Changes in the redemption value are recorded in interest expense, net in our Consolidated Statements of Operations. Revenue Recognition Our operating revenues are primarily derived from the following activities: • sales of natural gas, NGLs, condensate, crude oil and petroleum products; • services related to compressing, gathering, treating, and processing of natural gas; and • services related to NGL fractionation, terminaling and storage, transportation and treating. We recognize revenues when all of the following criteria are met: (1) persuasive evidence of an exchange arrangement exists, if applicable, (2) delivery has occurred or services have been rendered, (3) the price is fixed or determinable and (4) collectability is reasonably assured. For natural gas processing activities, we receive either fees and/or a percentage of proceeds from commodity sales as payment for these services, depending on the type of contract. Under fee-based contracts, we receive a fee based on throughput volumes. Under percent-of-proceeds contracts, we receive either an agreed upon percentage of the actual proceeds we receive from our sales of the residue natural gas and NGLs or an agreed upon percentage based on index related prices for the natural gas and NGLs. Typically, our percent-of-proceeds contracts also include a fee-based component. We generally report sales revenues gross in our Consolidated Statements of Operations, as we typically act as the principal in the transactions where we receive commodities, take title to the natural gas and NGLs, and incur the risks and rewards of ownership. However, buy-sell transactions that involve purchases and sales of inventory with the same counterparty that are legally contingent or in contemplation of one another are reported as a single transaction on a combined net basis. We have certain long-term contractual arrangements under which we have received consideration, but which require future performance by Targa. These arrangements result in deferred revenue, which will be recognized as revenue during the periods that services will be provided. Deferred revenue is included in Other long-term liabilities on our Consolidated Balance Sheets. Share-Based Compensation We award share-based compensation to employees, directors and non-management directors in the form of restricted stock, restricted stock units, and performance share units. Compensation expense on restricted stock, restricted stock units, and performance share unit awards that qualify as equity arrangements are measured by the fair value of the award as determined at the date of grant. Compensation expense on performance share unit awards that qualify as liability arrangements is initially measured by the fair value of the award at the date of grant, and re-measured subsequently at each reporting date through the settlement period. Compensation expense is recognized in general and administrative expense over the requisite service period of each award. In addition, we account for forfeitures when they occur. We may withhold shares to satisfy employees’ tax withholding obligations on vested awards. The withheld shares are recorded by us in treasury stock at cost . Cash paid by us when directly withholding shares for tax-withholding purposes is classified as a financing activity on the statement of cash flows. All excess tax benefits and tax deficiencies related to share-based compensation are recognized as income tax benefit or expense in the income statement with the tax effects of exercised or vested awards treated as discrete items in the reporting period which they occur. Excess tax benefits are classified as an operating activity. Earnings per Share We account for earnings per share (“EPS”) in accordance with Accounting Standards Codification (“ASC”) Topic 260 – Earnings per Share. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock so long as it does not have an anti-dilutive effect on EPS. The dilutive effect is determined through the application of the treasury stock method. The assumed proceeds under the treasury stock method exclude windfall tax benefits. Securities that meet the definition of a participating security are required to be considered for inclusion in the computation of basic EPS. Recent Accounting Pronouncements Revenue from Contracts with Customers In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition Other Assets and Deferred Costs – Contracts with Customers With the issuance in August 2015 of ASU 2015-14 , Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients In December 2016, the FASB issued ASU 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers We have disaggregated contracts within our two segments and have completed our review of contracts and transaction types with counterparties in order to finalize the new standard’s impact on our current revenue recognition and disclosure policies upon adoption. As further discussed below, the new standard will affect the classification between revenue and cost of sales on the income statement as well as the reporting of gross vs. net revenues. We are also anticipating additional disclosures for fixed consideration allocated to performance obligations that are unsatisfied (or partially unsatisfied) as of the end of the current reporting period, separate presentation of revenue from contracts with customers and non-customer revenue (i.e. the effects of derivative activity and lease revenue) as well as unbilled receivables and deferred revenue. The new revenue recognition standard is effective for us on January 1, 2018, and will be adopted using the modified retrospective method. At this time, we do not expect a material cumulative effect adjustment to retained earnings on January 1, 2018. A cross-functional team was established to implement the new standard. Effective January 1, 2018, we have established data requirements, including changes in system mapping and configuration for the prospective reporting under the new standard, and have documented the required process changes, identified key risks and designed mitigating controls. Gathering and Processing Segment We have concluded that the contracts within our Gathering and Processing segment where we purchase and obtain control of the entire natural gas stream are contracts with suppliers rather than customers and therefore, not included in the scope of Topic 606. However, these supplier contracts are subject to updated guidance in ASC 705, Cost of Sales and Services In certain contracts, our Gathering and Processing segment purchases and obtains control of only one component of the natural gas stream (i.e. residue gas or NGLs). Such arrangements contain both a supply and a service revenue element and therefore are partially in the scope of Topic 606. That is, the counterparty is a supplier for our cash settled purchase of one component of the natural gas stream and a customer with regards to the service provided to gather, process, and redeliver the other component. Upon adoption, each element will be measured at its standalone selling price. For contracts with a service element, if we obtain noncash consideration in the form of commodities, such consideration will be recognized as revenue from services. This is a change from our historical accounting practice, whereby the revenue related to the commodities retained in kind (i.e. noncash consideration) is only recorded once those commodities are sold to a third party, and is generally classified as “Sales of commodities” revenue without a corresponding cost of sales. We are not anticipating a significant change in the timing of revenue recognition for the contracts within our Gathering and Processing segment with a customer. Logistics and Marketing Segment We are not anticipating a significant change in revenue recognition for the contracts within our Logistics and Marketing segment. However, consistent with the discussion above for our Gathering and Processing segment, the embedded fees within our contracts where we purchase and obtain control of the commodities, which historically have been presented as “Fees from midstream services”, will be reported as a reduction of “Product purchases” upon adoption of the new standard. In addition, for contracts structured as a purchase where we do not control the commodities (i.e. we are acting as an agent), we will recognize revenue for the net amount of consideration we expect to retain. Leases In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) We plan to adopt the amendments in the first quarter of 2019 and are currently evaluating the impacts of the amendments to our consolidated financial statements and accounting practices for leases. In January 2018, the FASB issued ASU 2018-01, Leases (Topic 842): Land Easement Practical Expedient for Transition to Topic 842 Measurement of Credit Losses on Financial Instruments In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. Cash Flow Classification In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) Recognition of Intra-Entity Transfers of Assets Other than Inventory In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other than Inventory We early adopted the applicable amendments in first quarter of 2017 on a modified retrospective basis which resulted in a cumulative effect adjustment on retained earnings as of January 1, 2017 of $56.1 million in order to recognize unamortized tax expense previously deferred of $40.1 million and deferred tax assets previously unrecognized of $96.2 million. We did not have any other intra-entity transfers of assets other than inventory during the year ended December 31, 2017. Business Combinations In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business and will apply the guidance prospectively Impairment of Goodwill In January Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment Other Income In February Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20) These amendments are effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. We plan to adopt this guidance on January 1, 2018, and expect no effect on our consolidated financial statements. Stock Compensation – Scope of Modification Accounting In May 2017, FASB issued ASU 2017-09, Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting, Financial Instruments with Down Round Features In July 2017, FASB issued ASU 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception Targeted Improvements to Accounting for Hedge Activities In August Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedge Activities |
Acquisitions and Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Dec. 31, 2017 | |
Business Acquisitions And Divestitures [Abstract] | |
Acquisitions and Divestitures | Note 4 – Acquisitions and Divestitures 2017 Acquisitions Permian Acquisition On March 1, 2017, Targa completed the purchase of 100% of the membership interests of Outrigger Delaware Operating, LLC, Outrigger Southern Delaware Operating, LLC (together “New Delaware”) and Outrigger Midland Operating, LLC (“New Midland” and together with New Delaware, the “Permian Acquisition”). We paid $484.1 million in cash at closing on March 1, 2017, and paid an additional $90.0 million in cash on May 30, 2017 (collectively, the “initial purchase price”). Subject to certain performance-linked measures and other conditions, additional cash of up to $935.0 million may be payable to the sellers of New Delaware and New Midland in potential earn-out payments that would occur in 2018 and 2019. The potential earn-out payments will be based upon a multiple of realized gross margin from contracts that existed on March 1, 2017. New Delaware’s gas gathering and processing and crude gathering assets are located in Loving, Winkler, Pecos and Ward counties in Texas. The operations are backed by producer dedications of more than 145,000 acres under long-term, largely fee-based contracts, with an average weighted contract life of 14 years. The New Delaware assets include 70 MMcf/d of processing capacity. New Midland’s gas gathering and processing and crude gathering assets are located in Howard, Martin and Borden counties in Texas. The operations are backed by producer dedications of more than 105,000 acres under long-term, largely fee-based contracts, with an average weighted contract life of 13 years. The New Midland assets include 10 MMcf/d of processing capacity. Currently, there is 40 MBbl/d of crude gathering capacity on the New Midland system. Since March 1, 2017, financial and statistical data of New Midland have been included in SAOU operations. New Delaware’s gas gathering and processing assets were connected to our Sand Hills system in the first quarter of 2017, and the New Midland’s gas gathering and processing assets were connected to our WestTX system in October 2017. We believe connecting the acquired assets to our legacy Permian footprint creates operational and capital synergies, and is expected to afford enhanced flexibility in serving our producer customers. On January 26, 2017, we completed a public offering of 9,200,000 shares of our common stock (including the shares sold pursuant to the underwriters’ overallotment option) at a price to the public of $57.65, providing net proceeds of $524.2 million. We used the net proceeds from this public offering to fund the cash portion of the Permian Acquisition purchase price due upon closing and for general corporate purposes. The acquired businesses, which contributed revenues of $127.9 million and a net loss of $19.8 million to us for the period from March 1, 2017 to December 31, 2017, are included in our Gathering and Processing segment. As of December 31, 2017, we had incurred $5.6 million of acquisition-related costs. These expenses are included in Other expense in our Consolidated Statements of Operations for the year ended December 31, 2017. Pro Forma Impact of Permian Acquisition on Consolidated Statements of Operations The following summarized unaudited pro forma Consolidated Statements of Operations information for the years ended December 31, 2017 and December 31, 2016 assumes that the Permian Acquisition occurred as of January 1, 2016. We prepared the following summarized unaudited pro forma financial results for comparative purposes only. The summarized unaudited pro forma information may not be indicative of the results that would have occurred had we completed this acquisition as of January 1, 2016, or that would be attained in the future. December 31, 2017 2016 Pro Forma Pro Forma Revenues $ 8,829.0 $ 6,725.6 Net income (loss) 103.2 (195.4 ) The pro forma consolidated results of operations amounts have been calculated after applying our accounting policies, and making the following adjustments to the unaudited results of the acquired businesses for the periods indicated: • Reflect the amortization expense resulting from the fair value of intangible assets recognized as part of the Permian Acquisition. • Reflect the change in depreciation expense resulting from the difference between the historical balances of the Permian Acquisition’s property, plant and equipment, net, and the fair value of property, plant and equipment acquired. • Exclude $5.6 million of acquisition-related costs incurred as of December 31, 2017 from pro forma net income for the year ended December 31, 2017. Pro forma net income for the year ended December 31, 2016 was adjusted to include those charges. • Reflect the income tax effects of the above pro forma adjustments. The following table summarizes the consideration transferred to acquire New Delaware and New Midland: Fair Value of Consideration Transferred: Cash paid, net of $3.3 million cash acquired $ 570.8 Contingent consideration valuation as of the acquisition date 416.3 Total $ 987.1 We accounted for the Permian Acquisition as an acquisition of a business under purchase accounting rules. The assets acquired and liabilities assumed related to the Permian Acquisition were recorded at their fair values as of the closing date of March 1, 2017. The fair value of the assets acquired and liabilities assumed at the acquisition date is shown below: Fair value determination (final): March 1, 2017 Trade and other current receivables, net $ 6.7 Other current assets 0.6 Property, plant and equipment 255.8 Intangible assets 692.3 Current liabilities (14.1 ) Other long-term liabilities (0.8 ) Total identifiable net assets 940.5 Goodwill 46.6 Total fair value of assets acquired and liabilities assumed $ 987.1 Under the acquisition method of accounting, the assets acquired and liabilities assumed are recognized at their estimated fair values, with any excess of the purchase price over the estimated fair value of the identifiable net assets acquired recorded as goodwill . operational and capital synergies. The fair value of assets acquired included trade receivables of $6.7 million, substantially all of which has been subsequently collected. The valuation of the acquired assets and liabilities was prepared using fair value methods and assumptions including projections of future production volumes and cash flows, benchmark analysis of comparable public companies, expectations regarding customer contracts and relationships, and other management estimates. The fair value measurements of assets acquired and liabilities assumed are based on inputs that are not observable in the market and therefore represent Level 3 inputs, as defined in Note 17 – Fair Value Measurements. These inputs require significant judgments and estimates. During the three months ended June 30, 2017, we recorded measurement period adjustments to our preliminary acquisition date fair values due to the refinement of our valuation models, assumptions and inputs, including forecasts of future volumes, capital expenditures and operating expenses. The measurement period adjustments were based upon information obtained about facts and circumstances that existed at the acquisition date that, if known, would have affected the measurement of the amounts recognized at that date. We recognized these measurement period adjustments in the three months ended June 30, 2017, with the effect in our Consolidated Statements of Operations resulting from the change to the provisional amounts calculated as if the acquisition had been completed at March 1, 2017. During the three months ended June 30, 2017, the acquisition date fair value of contingent consideration liability decreased by $45.3 million, intangible assets increased by $66.7 million, and other assets, net, increased by $0.4 million, which resulted in a decrease in goodwill of $112.4 million. These adjustments resulted in an increase in depreciation and amortization expense of $0.4 million recorded for the three months ended June 30, 2017. During the three months ended September 30, 2017, we finalized the purchase price allocation with no additional measurement period adjustments. Contingent Consideration A contingent consideration liability arising from potential earn-out payments in connection with the Permian Acquisition has been recognized at its fair value. We agreed to pay up to an additional $935.0 million in potential earn-out payments that would occur in 2018 and 2019. The acquisition date fair value of the potential earn-out payments of $416.3 million was recorded within Other long-term liabilities on our Consolidated Balance Sheets. Changes in the fair value of this liability (that were not accounted for as revisions of the acquisition date fair value) are included in earnings. During the year ended December 31, 2017, we recognized $99.3 million as Other income related to the change in fair value of the contingent consideration. See Note 11 – Other Long-term Liabilities and Note 17 – Fair Value Measurements for additional discussion of the change in fair value and the fair value methodology. As of December 31, 2017, the fair value of the first potential earn-out payment of $6.8 million has been recorded as a component of Accounts payable and accrued liabilities, which are included within current liabilities on our Consolidated Balance Sheets. As of December 31, 2017, the fair value of the second potential earn-out payment of $310.2 million has been recorded within Other long-term liabilities on our Consolidated Balance Sheets. Flag City Acquisition On May 9, 2017, we purchased The gas processing activities under the Flag City Plant contracts have been redirected to our Silver Oak Plants. We have shut down the Flag City Plant and are moving the plant and its component parts to other Targa locations. In December 2017, ownership of the Flag City plant assets was transferred to Centrahoma Processing, LLC (“Centrahoma”), a joint venture that we operate, and in which we have a 60% ownership interest. The remaining 40% ownership interest in Centrahoma is held by MPLX, LP. In conjunction with the transfer of the plant assets, MPLX, LP made a cash contribution to Centrahoma in order to maintain its 40% ownership interest. Centrahoma is a consolidated subsidiary. The Flag City plant assets will be relocated to, and installed in, Hughes County, Oklahoma, in 2018, and will be renamed the Hickory Hills Plant. The Hickory Hills Plant will process growing natural gas production from the Arkoma Woodford Basin and is expected to begin operations in the fourth quarter of 2018. We accounted for this purchase as an asset acquisition and have capitalized less than $0.1 million of acquisition related costs as a component of the cost of assets acquired, which resulted in an allocation of $52.3 million of property, plant and equipment, $7.7 million of intangible assets for customer contracts and $3.6 million of current assets and liabilities, net. Purchase of Outstanding Silver Oak II Interest Effective as of June 1, 2017, we repurchased from SN Catarina, LLC (a subsidiary of Sanchez Energy Corp.) its 10% interest in our consolidated Silver Oak II Gas processing facility located in Bee County, Texas for a purchase price of $12.5 million. The change in our ownership interest was accounted for as an equity transaction representing the acquisition of a noncontrolling interest and no gain or loss was recognized in our Consolidated Statements of Operations as a result. 2016 Acquisition Purchase of Outstanding Versado Membership Interest On October 31, 2016, we executed a Membership Interest Sale and Purchase Agreement with Chevron U.S.A. Inc. to acquire the remaining 37% membership interest in our consolidated subsidiary Versado Gas Processors, L.L.C. (“Versado”). As we continue to control Versado, the change in our ownership interest was accounted for as an equity transaction representing the acquisition of a noncontrolling interest and no gain or loss was recognized in our Consolidated Statements of Operations. 2015 Acquisition Atlas Mergers On February 27, 2015, Targa completed the transactions contemplated by the Agreement and Plan of Merger, dated as of October 13, 2014 (the “ATLS Merger Agreement”), by and among (i) Targa, Targa GP Merger Sub LLC, a Delaware limited liability company and a wholly-owned subsidiary of Targa (“GP Merger Sub”), Atlas Energy L.P., a Delaware limited partnership (“ATLS”) and Atlas Energy GP, LLC, a Delaware limited liability company and the general partner of ATLS (“ATLS GP”), and (ii) Targa and the Partnership completed the transactions contemplated by the Agreement and Plan of Merger (the “APL Merger Agreement” and, together with the ATLS Merger Agreement, the “Atlas Merger Agreements”) by and among Targa, the Partnership, the Partnership’s general partner, Trident MLP Merger Sub LLC, a Delaware limited liability company and a wholly-owned subsidiary of the Partnership (“MLP Merger Sub”), ATLS, Atlas Pipeline Partners L.P., a Delaware limited partnership (“APL”) and Atlas Pipeline Partners GP, LLC, a Delaware limited liability company and the general partner of APL (“APL GP”). Pursuant to the terms and conditions set forth in the ATLS Merger Agreement, GP Merger Sub merged (the “ATLS merger”) with and into ATLS, with ATLS continuing as the surviving entity and as a subsidiary of Targa. Pursuant to the terms and conditions set forth in the APL Merger Agreement, MLP Merger Sub merged (the “APL merger” and, together with the ATLS merger, the “Atlas mergers”) with and into APL, with APL continuing as the surviving entity and as a subsidiary of the Partnership. While the Atlas mergers were two separate legal transactions, for GAAP reporting purposes, they are viewed as a single integrated transaction. In connection with the Atlas mergers, APL changed its name to “Targa Pipeline Partners LP,” which we refer to as TPL, and ATLS changed its name to “Targa Energy LP.” TPL is a provider of natural gas gathering, processing and treating services primarily in the Anadarko, Arkoma and Permian Basins located in the southwestern and mid-continent regions of the United States and in the Eagle Ford Shale in South Texas. The Atlas mergers added TPL’s Woodford/SCOOP, Mississippi Lime, Eagle Ford and additional Permian assets to the Partnership’s existing operations. In total, TPL added 2,053 MMcf/d of processing capacity and 12,220 miles of additional pipeline. The operating results of TPL are reported in our Gathering and Processing segment. In addition, prior to the completion of the Atlas mergers, ATLS, pursuant to a separation and distribution agreement entered into by and among ATLS, ATLS GP and Atlas Energy Group, LLC, a Delaware limited liability company (“AEG”), on February 27, 2015, (i) transferred its assets and liabilities other than those related to its “Atlas Pipeline Partners” segment, to AEG and (ii) effected a pro rata distribution to the ATLS unitholders of AEG common units representing a 100% interest in AEG (collectively, the “Spin-Off” and, together with the Atlas mergers, the “Atlas Transactions”). On February 27, 2015, the Partnership’s partnership agreement (the “Partnership Agreement’) was amended to provide for the issuance of the Special GP Interest representing the contribution to the Partnership of the APL GP interest acquired in the ATLS merger totaling $1.6 billion, which is reflected within Additional paid-in capital on the Consolidated Balance Sheets. The Special GP Interest is not entitled to current distributions or allocations of net income or loss, and has no voting rights or other rights except for the limited right to receive deductions attributable to the contribution of APL GP and the right to distributions in liquidation. On December 1, 2016, the Special GP Interest was eliminated with an amendment to the Partnership Agreement. See Note 14 – Partnership Units and Related Matters. The Partnership acquired all of the outstanding units of APL for a total purchase price of approximately $5.3 billion (including $1.8 billion of acquired debt and all other assumed liabilities). Of the $1.8 billion of debt acquired and other liabilities assumed, approximately $1.2 billion of the acquired debt was tendered and settled upon the closing of the Atlas mergers via the Partnership’s January 2015 cash tender offers. These tender offers were in connection with, and conditioned upon, the consummation of the merger with APL. The merger with APL, however, was not conditioned on the consummation of the tender offers. On that same date, we acquired ATLS for a total purchase price of approximately $1.6 billion (including all assumed liabilities). Pursuant to the APL Merger Agreement, Targa agreed to cause the general partner of the Partnership to amend the Partnership Agreement, which we refer to as the “IDR Giveback Amendment”, in order to reduce aggregate distributions to us, as the holder of the Partnership’s IDRs, by (a) $9,375,000 per quarter during the first four quarters following the APL merger, (b) $6,250,000 per quarter for the next four quarters, (c) $2,500,000 per quarter for the next four quarters and (d) $1,250,000 per quarter for the next four quarters, with the amount of such reductions to be distributed pro rata to the holders of the Partnership’s outstanding common units. On December 1, 2016, the IDRs were eliminated with an amendment to the Partnership Agreement (see Note 14 – Partnership Units and Related Matters) and the reallocations of IDRs under the IDR Giveback Amendment ceased in the fourth quarter of 2016. The APL merger was a unit-for-unit transaction with an exchange ratio of 0.5846 of the Partnership’s common units (the “APL Unit Consideration”) and $1.26 in cash for each APL common unit (the “APL Cash Consideration” and, with the APL Unit Consideration, the “APL Merger Consideration”), a $128.0 million total cash payment, of which $0.6 million was expensed at the acquisition date as the cash payment representing accelerated vesting of a portion of retained employees’ APL phantom awards. The Partnership issued 58,614,157 of its common units and awarded 629,231 replacement phantom unit awards with a combined value of approximately $2.6 billion as consideration for the APL merger (based on the $43.82 closing market price of a common unit on the NYSE on February 27, 2015). The cash component of the APL merger also included $701.4 million for the mandatory repayment and extinguishment at closing of the APL Senior Secured Revolving Credit Facility that was to mature in May 2017 (the “APL Revolver”), $28.8 million of payments related to change of control and $6.4 million of cash paid in lieu of unit issuances in connection with settlement of APL equity awards for AEG employees. In March 2015, we contributed $52.4 million to the Partnership to maintain our 2% general partner interest. In addition, pursuant to the APL Merger Agreement, APL exercised its right under the certificate of designations of the APL 8.25% Class E cumulative redeemable perpetual preferred units (“Class E Preferred Units”) to redeem the APL Class E Preferred Units immediately prior to the effective time of the APL merger. The ATLS merger was a stock-for-unit transaction with an exchange ratio of 0.1809 of Targa common stock, par value $0.001 per share (the “ATLS Stock Consideration”), and $9.12 in cash for each ATLS common unit (the ATLS Cash Consideration” and, with the ATLS Stock Consideration, the “ATLS Merger Consideration”), (a $514.7 million total cash payment). We issued 10,126,532 of our common shares and awarded 81,740 replacement restricted stock units with a combined value of approximately $1.0 billion for the ATLS merger (based on the $99.58 closing market price of a TRC common share on the NYSE on February 27, 2015). The cash component of the ATLS merger also included approximately $149.2 million of payments related to change of control and cash settlements of equity awards, $88.0 million for repayment of a portion of ATLS outstanding indebtedness and $11.0 million for reimbursement of certain transaction expenses. Approximately $4.5 million of the one-time cash payments and cash settlements of equity awards, which represent accelerated vesting of a portion of retained employees’ ATLS phantom units, were expensed at the acquisition date. ATLS owned, directly and indirectly, 5,754,253 APL common units immediately prior to closing. Our acquisition of ATLS resulted in us acquiring these common units (converted to 3,363,935 Partnership common units) valued at approximately $147.4 million (based on the $43.82 closing market price of a Partnership common unit on the NYSE on February 27, 2015) and the right to receive the units’ one-time cash payment of approximately $7.3 million, which reduced the consolidated purchase price by approximately $154.7 million. All outstanding ATLS equity awards, whether vested or unvested, were adjusted in connection with the Spin-Off on the terms and conditions set forth in an Employee Matters Agreement entered into by ATLS, ATLS GP and AEG on February 27, 2015. Following the Spin-Off-related adjustment and at the effective time of the ATLS merger, each outstanding ATLS option and ATLS phantom unit award, whether vested or unvested, held by a person who became an employee of AEG became fully vested (to the extent not vested) and was cancelled and converted into the right to receive the ATLS Merger Consideration in respect of each ATLS common unit underlying the ATLS option or phantom unit award (in the case of options, net of the applicable exercise price). Each outstanding vested ATLS option held by an employee of APL who became an employee of the Company in connection with the Atlas Transactions (a “Midstream Employee”) was cancelled and converted into the right to receive the ATLS Merger Consideration in respect of each ATLS common unit underlying the vested ATLS option, net of the applicable exercise price. Each outstanding unvested ATLS option and each outstanding ATLS phantom unit award held by a Midstream Employee was cancelled and converted into the right to receive (1) the ATLS Cash Consideration in respect of each ATLS common unit underlying such ATLS option or phantom unit award and (2) a TRC restricted stock unit award with respect to a number of shares of TRC Common Stock equal to the product of the ATLS Stock Consideration multiplied by the number of ATLS common units underlying such ATLS option or phantom unit award (in the case of options, net of the applicable exercise price). In connection with the APL merger, each outstanding APL phantom unit award held by an employee of AEG became fully vested and was cancelled and converted into the right to receive the APL Merger Consideration in respect of each APL common unit underlying the APL phantom unit award. Each outstanding APL phantom unit award held by a Midstream Employee was cancelled and converted into the right to receive (1) the APL Cash Consideration in respect of each APL common unit underlying such APL phantom unit award and (2) a Partnership phantom unit award with respect to a number of the Partnership’s common units equal to the product of the APL Unit Consideration multiplied by the number of APL common units underlying such APL phantom unit award. The acquired business contributed revenues of $1,459.3 million and a net loss of $30.1 million to the Company for the period from February 27, 2015 to December 31, 2015, and is reported in our Gathering and Processing segment. Cumulative acquisition-related costs totaled $27.3 million. These expenses are included in other expense in our Consolidated Statements of Operations. Pro Forma Impact of Atlas Mergers on Consolidated Statement of Operations The following summarized unaudited pro forma Consolidated Statement of Operations information for the year ended December 31, 2015 assumes that the Partnership’s acquisition of APL and our acquisition of ATLS had occurred as of January 1, 2014. We prepared the following summarized unaudited pro forma financial results for comparative purposes only. The summarized unaudited pro forma financial results may not be indicative of the results that would have occurred if we had completed these acquisitions as of January 1, 2014, or that the results that will be attained in the future. Amounts presented below are in millions. December 31, 2015 Pro Forma Revenues $ 6,947.3 Net income (169.6 ) The pro forma consolidated results of operations amounts have been calculated after applying our accounting policies, and making adjustments to: • Reflect the change in amortization expense resulting from the difference between the historical balances of APL’s intangible assets, net, and the fair value of intangible assets acquired. • Reflect the change in depreciation expense resulting from the difference between the historical balances of APL’s property, plant and equipment, net, and the fair value of property, plant and equipment acquired. • Reflect the change in interest expense resulting from our financing activities directly related to the Atlas mergers as compared to APL’s historical interest expense. • Reflect the changes in stock-based compensation expense related to the fair value of the unvested portion of replacement Partnership Long Term Incentive Plan (“LTIP”) awards that were issued in connection with the acquisition to APL phantom unitholders who continue to provide service as Targa employees following the completion of the APL merger. • Remove the results of operations attributable to the February 2015 transfer to Atlas Resource Partners, L.P. of 100% of APL’s interest in gas gathering assets located in the Appalachian Basin of Tennessee. • Exclude $27.3 million of acquisition-related costs incurred as of December 31, 2015 from pro forma net income for the year ended December 31, 2015. • Reflect the change in APL’s revenues and product purchases to report plant sales of Y-grade at contractual net values to conform to our accounting policy. The following table summarizes the consideration transferred to acquire ATLS and APL, which are viewed together as a single integrated transaction for GAAP reporting purposes: Fair Cash paid, net of cash acquired (1): TRC $ 745.7 TRP 828.7 Common shares of TRC 1,008.5 Replacement restricted stock units awarded (2) 5.2 Common units of TRP 2,421.1 Replacement phantom units awarded (2) 15.0 Total $ 5,024.2 (1) Net of cash acquired of $40.8 million. (2) The fair value of consideration transferred in the form of replacement restricted stock unit awards and replacement phantom unit awards represent the allocation of the fair value of the awards to the pre-combination service period. The fair value of the awards associated with the post-combination service period will be recognized over the remaining service period of the award. Our final fair value determination related to the Atlas mergers was as follows: Fair value determination: February Trade and other current receivables, net $ 181.1 Other current assets 24.4 Assets from risk management activities 102.1 Property, plant and equipment 4,616.9 Investments in unconsolidated affiliates 214.5 Intangible assets 1,354.9 Other long-term assets 5.5 Current liabilities (259.3 ) Long-term debt (1,573.3 ) Deferred income tax liabilities, net (13.6 ) Other long-term liabilities (119.1 ) Total identifiable net assets 4,534.1 Noncontrolling interest in subsidiaries (216.9 ) Goodwill 707.0 Total fair value of consideration transferred $ 5,024.2 The valuation of the acquired assets and liabilities was prepared using fair value methods and assumptions including projections of future production volumes and cash flows, benchmark analysis of comparable public companies, expectations regarding customer contracts and relationships, and other management estimates. The fair value measurements of assets acquired and liabilities assumed are based on inputs that are not observable in the market and therefore represent Level 3 inputs, as defined in Note 17 – Fair Value Measurements. These inputs require significant judgments and estimates at the time of valuation. The excess of the fair value of the consideration transferred over the fair value of net assets acquired was approximately $707.0 million, which was recorded as goodwill. The determination of goodwill is attributable to the workforce of the acquired business and the expected synergies. Goodwill was attributed to the WestTX, SouthTX and SouthOK reporting units in our Gathering and Processing segment. The goodwill is amortizable over 15 years for tax purposes. See Note 7 – Goodwill. The fair value of assets acquired included trade receivables of $178.1 million. The gross amount due under contracts was $178.1 million, all of which was expected to be collectible. The fair value of assets acquired included other receivables of $3.0 million reported in current receivables and $4.5 million reported in other long-term assets related to a contractual settlement with a counterparty. Mandatorily Redeemable Preferred Interests Other long-term liabilities acquired included $109.3 million related to mandatorily redeemable preferred interests held by our partner in two joint ventures. See Note 11 – Other Long-Term Liabilities. Contingent Consideration A liability arising from the contingent consideration for APL’s previous acquisition of a gas gathering system and related assets has been recognized at fair value. APL agreed to pay up to an additional $6.0 million if certain volumes are achieved on the acquired gathering system within a specified time period. The acquisition date fair value of the remaining contingent payment of $4.2 million was recorded within other long term liabilities on our Consolidated Balance Sheets. Subsequent changes in the fair value of this liability are included in earnings. Replacement Restricted Stock Units (“RSUs”) In connection with the ATLS merger, we awarded RSUs in accordance with and as required by the Atlas Merger Agreements to those APL employees who became Targa employees after the acquisition. The vesting dates and terms remained unchanged from the existing ATLS awards, and vest over the remaining terms of the awards, which are either 25% per year over the original four year term or 25% after the third year of the original term and 75% after the fourth year of the original term. Each RSU will entitle the grantee to one common share on the vesting date and is an equity-settled award. The RSUs include dividend equivalents. When we declare and pay cash dividends, the holders of RSUs are entitled within 60 days to receive cash payment of dividend equivalents in an amount equal to the cash dividends the holders would have received if they were the holders of record on the record date of the number of our common shares related to the RSUs. The fair value of the RSUs was based on the closing price of our common shares at the close of trading on February 27, 2015. The fair value was allocated between the pre-acquisition and post-acquisition periods to determine the amount to be treated as purchase consideration and future compensation expense, respectively. Compensation cost will be recognized in general and administrative expense over the remaining service period of each award. See Note 25 – Compensation Plans for discussion of the impact of the TRC/TRP Merger on the replacement RSUs. Replacement Phantom Units In connection with the APL merger, the Partnership awarded replacement phantom units in accordance with and as required by the Atlas Merger Agreements to those APL employees who became Targa employees after the acquisition. The vesting dates and terms remained unchanged from the existing APL awards, and vest over the remaining terms of the awards, which are either 25% per year over the original four year term or 33% per year over the original three year term. Each replacement phantom unit will entitle the grantee to common stock on the vesting date and is an equity-settled award. The replacement phantom units include distribution equivalent rights. When the Partnership declares and pays cash distributions, the holders of replacement phantom units are entitled within 60 days to receive cash payment of distribution equivalent rights in an amount equal to the cash distributions the holders would have received if they were the holders of record on the record date of the number of the Partnership’s common units related to the replacement phantom units. The fair value of the replacement phantom units was based on the closing price of the Partnership’s units at the close of trading on February 27, 2015. The fair value was al |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 5 — Inventories December 31, 2017 December 31, 2016 Commodities $ 191.6 $ 126.9 Materials and supplies 12.9 10.8 $ 204.5 $ 137.7 |
Property, Plant and Equipment a
Property, Plant and Equipment and Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment And Intangible Assets [Abstract] | |
Property, Plant and Equipment and Intangible Assets | Note 6 — Property, Plant and Equipment and Intangible Assets Property, Plant and Equipment December 31, 2017 December 31, 2016 Estimated Useful Lives (In Years) Gathering systems $ 7,037.2 $ 6,626.8 5 to 20 Processing and fractionation facilities 3,569.6 3,390.2 5 to 25 Terminaling and storage facilities 1,244.1 1,205.0 5 to 25 Transportation assets 343.6 451.4 10 to 25 Other property, plant and equipment 303.7 274.2 3 to 25 Land 125.7 121.3 — Construction in progress 1,581.5 449.8 — Property, plant and equipment 14,205.4 12,518.7 Accumulated depreciation (3,775.4 ) (2,827.7 ) Property, plant and equipment, net $ 10,430.0 $ 9,691.0 Intangible assets $ 2,736.6 $ 2,036.6 10 to 20 Accumulated amortization (570.8 ) (382.6 ) Intangible assets, net $ 2,165.8 $ 1,654.0 For each of the years ended December 31, 2017, 2016, and 2015 depreciation expense was $621.3 million, $601.5 million and $507.8 million. 2017 Impairment of North Texas Gathering and Processing Assets We recorded a non-cash pre-tax impairment charge of $378.0 million in the third quarter of 2017 for the partial impairment of gas processing facilities and gathering systems associated with our North Texas operations in our Gathering and Processing segment. The impairment was a result of our assessment that forecasted undiscounted future net cash flows from operations, while positive, will not be sufficient to recover the existing total net book value of the underlying assets. Underlying our assessment was the expected continuing decline in natural gas production across the Barnett Shale in North Texas due in part to producers pursuing more attractive opportunities in other basins. We measured the impairment of property, plant and equipment using discounted estimated future cash flow analysis (“DCF”) including a terminal value (a Level 3 fair value measurement). The future cash flows were based on our estimates of future revenues, income from operations and other factors, such as timing of capital expenditures. We took into account current and expected industry and market conditions, including commodity prices and volumetric forecasts. The discount rate used in our DCF analysis was based on a weighted average cost of capital determined from relevant market comparisons. These carrying value adjustments are included in Impairment of property, plant and equipment in our Consolidated Statements of Operations. 2015 Impairment of Louisiana Gathering and Processing Assets We recorded non-cash pre-tax impairment charges of $32.6 million in 2015 due to the impairment of certain gas processing facilities and gathering systems associated with our Coastal and Big Lake operations. The impairments were a result of reduced forecasted gas processing volumes due to market conditions and processing spreads in Louisiana in the fourth quarter of 2015. We measured the impairment of property, plant and equipment using discounted estimated future cash flows representative of a Level 3 fair value measurement. These carrying value adjustments are included in Impairment of property, plant and equipment Intangible Assets Intangible assets consist of customer contracts and customer relationships acquired in the Permian and Flag City Acquisitions in 2017, the mergers with ATLS and APL in 2015 (collectively, the “Atlas mergers”) and our Badlands acquisition in 2012. The fair values of these acquired intangible assets were determined at the date of acquisition based on the present values of estimated future cash flows. Key valuation assumptions include probability of contracts under negotiation, renewals of existing contracts, economic incentives to retain customers, past and future volumes, current and future capacity of the gathering system, pricing volatility and the discount rate. Amortization expense attributable to these assets is recorded over the periods in which we benefit from services provided to customers The intangible assets acquired in the Permian Acquisition were recorded at a fair value of $692.3 million. We are amortizing these intangible assets over a 15-year life using the straight-line method, as a reliably determinable pattern of amortization could not be identified. The intangible assets acquired in the Flag City Acquisition were recorded at a fair value of $7.7 million. We are amortizing these intangible assets over a 10-year life using the straight-line method, as a reliably determinable pattern of amortization could not be identified. The intangible assets acquired in the Atlas mergers were recorded at a fair value of $1,354.9 million. We are amortizing these intangible assets over a 20-year life using the straight-line method, as a reliably determinable pattern of amortization could not be identified. The intangible assets acquired in the Badlands acquisition were recorded at a fair value of $679.6 million. Amortization expense attributable to these intangible assets is recorded using a method that closely reflects the cash flow pattern underlying the intangible asset valuation over a 20-year life. For each of the years ended December 31, 2017, 2016, and 2015 amortization expense for our intangible assets was $188.2 million, $156.1 million and $136.7 million. The estimated annual amortization expense for intangible assets is approximately $182.6 million, $171.6 million, $159.4 million, $149.5 million and $141.2 million for each of the years 2018 through 2022. As of December 31, 2017 the weighted average amortization period for our intangible assets was approximately 15.9 years. The changes in our intangible assets are as follows: December 31, 2017 December 31, 2016 Beginning of period $ 1,654.0 $ 1,810.1 Additions from Permian Acquisition 692.3 — Additions from Flag City Acquisition 7.7 — Amortization (188.2 ) (156.1 ) End of period $ 2,165.8 $ 1,654.0 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | Note 7 – Goodwill We recognized goodwill of approximately $707.0 million when we acquired Atlas on February 27, 2015. This goodwill was attributed to the WestTX, SouthTX and SouthOK reporting units in our Gathering and Processing segment. We also recognized goodwill of approximately $46.6 million related to the Permian Acquisition on March 1, 2017. This goodwill was attributed to the New Midland and New Delaware reporting units in our Gathering and Processing segment. The future cash flows and resulting fair values of these reporting units are sensitive to changes in crude oil, natural gas and NGL prices. The direct and indirect effects of significant declines in commodity prices from the date of acquisition would likely cause the fair values of these reporting units to fall below their carrying values, and could result in an impairment of goodwill. As described in Note 3 – Significant Accounting Policies, we evaluate goodwill for impairment at least annually on November 30, or more frequently if we believe necessary based on events or changes in circumstances. Our annual evaluations utilized an income approach including a terminal value to estimate the fair values of our reporting units based on a discounted cash flow (“DCF”) analysis . The fair value measurements utilized for the evaluation of goodwill for impairment are based on inputs that are not observable in the market and therefore represent Level 3 inputs, as defined in Note 17 – Fair Value Measurements. These inputs require significant judgments and estimates at the time of valuation. 2015 Goodwill Assessment As of December 31, 2015, we had not completed our November 30, 2015 impairment assessment of the goodwill resulting from the February 2015 Atlas Acquisitions. Based on the results of that preliminary evaluation, we recorded a provisional goodwill impairment of $290.0 million in our Consolidated Statements of Operations during the fourth quarter of 2015. During the first quarter of 2016, we finalized our 2015 impairment assessment and recorded additional impairment expense of $24.0 million in our Consolidated Statements of Operations. The impairment of goodwill was primarily due to the effects of lower commodity prices, and a higher cost of capital for companies in our industry compared to conditions in February 2015 when we acquired Atlas. 2016 Goodwill Assessment Our 2016 annual evaluation of goodwill for impairment was completed in the fourth quarter of 2016. Due to the impact of lower forecasted commodity prices and a refinement in the valuation methodology used to determine fair values of our reporting units, 2017 Goodwill Assessment We did not record any goodwill impairment charges for the year ended December 31, 2017, as the fair values of all reporting units exceeded their accounting carrying values. The future cash flow estimates from the DCF analysis have increased since the last time an annual goodwill impairment assessment was performed due to the favorable effects of current and expected industry and market conditions, including future commodity prices and expected volumetric forecasts. We determined that the fair value of our WestTX reporting unit exceeded its carrying amount at November 30, 2017, but not by a substantial amount. As the reporting unit fair values are sensitive to changes in certain assumptions, there is a possibility that declines in commodity prices, drilling activity and resulting producer volumes, or market multiples, or increases in cost of capital could result in the impairment of goodwill. Changes in the net amounts of our goodwill are as follows: WestTX SouthTX SouthOK Permian (1) Total Balance at January 1, 2015 $ — $ — $ — $ — $ — Acquisition, February 27, 2015 364.5 160.3 182.2 — 707.0 Provisional impairment for 2015 annual assessment (37.6 ) (70.2 ) (182.2 ) — (290.0 ) Balance at December 31, 2015, net 326.9 90.1 — — 417.0 Additional impairment for 2015 annual assessment (14.4 ) (9.6 ) — — (24.0 ) Impairment for 2016 annual assessment (137.8 ) (45.2 ) — — (183.0 ) Balance at December 31, 2016, net 174.7 35.3 — — 210.0 Permian Acquisition, March 1, 2017 — — — 46.6 46.6 Balance at December 31, 2017, net $ 174.7 $ 35.3 $ — $ 46.6 $ 256.6 _______________________________________________________________________________________________________________ (1) Permian column includes net amounts of goodwill of $23.2 million for the New Midland reporting unit and $23.4 million for the New Delaware reporting unit. |
Investments in Unconsolidated A
Investments in Unconsolidated Affiliates | 12 Months Ended |
Dec. 31, 2017 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in Unconsolidated Affiliates | Note 8 – Investments in Unconsolidated Affiliates Our • a • three non-operated joint ventures in South Texas acquired in the Atlas mergers in 2015: a 75% interest in T2 LaSalle, a gas gathering company; a 50% interest in T2 Eagle Ford, a gas gathering company; and a 50% interest in T2 EF Cogen (“Cogen”), which owns a cogeneration facility, (together the “T2 Joint Ventures”); • a 50% operated ownership interest in Cayenne Pipeline, LLC (“Cayenne ”); and • a 25% non-operated ownership interest in GCX. The terms of these joint venture agreements do not afford us the degree of control required for consolidating them in our consolidated financial statements, but do afford us the significant influence required to employ the equity method of accounting. The T2 Joint Ventures were formed to provide services for the benefit of their joint interest owners. The T2 LaSalle and T2 Eagle Ford gathering companies have capacity lease agreements with their joint interest owners, which cover costs of operations (excluding depreciation and amortization). In July 2017, we entered into the Cayenne with American Midstream LLC to convert an existing 62-mile gas pipeline to an NGL pipeline connecting the VESCO plant in Venice, Louisiana, to the Enterprise Products Operating LLC (“Enterprise”) pipeline at Toca, Louisiana, for delivery to Enterprise’s Norco Fractionator. We acquired a 50% interest in the Cayenne for $5.0 million. The project commenced operations in December 2017. The following table shows the activity related to our investments in unconsolidated affiliates: GCF T2 LaSalle T2 Eagle Ford T2 EF Cogen Cayenne Total Balance at December 31, 2014 $ 50.2 $ — $ — $ — $ — $ 50.2 Fair value of T2 Joint Ventures acquired — 67.5 126.7 20.3 — 214.5 Equity earnings (loss) 13.8 (3.9 ) (9.4 ) (3.0 ) — (2.5 ) Cash distributions (1) (14.5 ) — — (0.5 ) — (15.0 ) Cash calls for expansion projects — — 6.5 5.2 — 11.7 Balance at December 31, 2015 $ 49.5 $ 63.6 $ 123.8 $ 22.0 $ — $ 258.9 Equity earnings (loss) 4.1 (5.2 ) (9.4 ) (3.8 ) — (14.3 ) Cash distributions (1) (7.5 ) — — (0.7 ) — (8.2 ) Cash calls for expansion projects — 0.2 4.2 — — 4.4 Balance at December 31, 2016 $ 46.1 $ 58.6 $ 118.6 $ 17.5 $ — $ 240.8 Equity earnings (loss) 12.4 (4.9 ) (10.6 ) (13.9 ) — (17.0 ) Cash distributions (1) (12.7 ) — — — — (12.7 ) Acquisition — — — — 5.0 5.0 Contributions (2) — 0.4 1.2 0.3 3.6 5.5 Balance at December 31, 2017 $ 45.8 $ 54.1 $ 109.2 $ 3.9 $ 8.6 $ 221.6 (1) Includes $0.2 million, $4.1 million and $1.2 million in distributions received from GCF and the T2 Joint Ventures in excess of our share of cumulative earnings for the years ended December 31, 2017, 2016 and 2015. Such excess distributions are considered a return of capital and disclosed in cash flows from investing activities in our Consolidated Statements of Cash Flows. (2) Includes a $1.0 million contribution of property, plant and equipment to T2 Eagle Ford. Our equity loss for the year ended December 31, 2017 includes the effect of an impairment in the carrying value of our investment in T2 EF Cogen. As a result of the decrease in current and expected future utilization of the underlying cogeneration assets, we have determined that factors indicate that a decrease in the value of our investment occurred that was other than temporary. As a result of this evaluation, we recorded an impairment loss of approximately $12.0 million in the first quarter of 2017, which represented our proportionate share (50%) of an impairment charge recorded by the joint venture, as well as our impairment of the unamortized excess fair value resulting from the Atlas mergers. The carrying values of the T2 Joint Ventures include the effects of the Atlas mergers purchase accounting, which determined fair values for the joint ventures as of the date of acquisition. As of December 31, 2017, $26.2 million of unamortized excess fair value over the T2 LaSalle and T2 Eagle Ford capital accounts remained. These basis differences, which are attributable to the underlying depreciable tangible gathering assets, are being amortized on a straight-line basis as components of equity earnings over the estimated 20-year useful lives of the underlying assets. See Note 4 – Acquisitions and Divestitures for further information regarding the fair value determinations related to the Atlas mergers. Gulf Coast Express Joint Venture In December 2017, we entered into definitive joint venture agreements with Kinder Morgan Texas Pipeline LLC (“KMTP”) and DCP Midstream Partners, LP (“DCP”) with respect to the joint development of GCX, which will provide an outlet for increased natural gas production from the Permian Basin to growing markets along the Texas Gulf Coast. Under the terms, we and DCP will each own a 25% interest, and KMTP will own a 50% interest in GCX. In addition, Apache Corporation (which will also be a shipper on GCX) has an option to purchase up to a 15% equity stake from KMTP. KMTP will serve as the operator and constructor of GCX, and we will commit significant volumes to it. In addition, Pioneer Natural Resources Company, a joint owner in our WestTX Permian Basin system has committed volumes to the project. GCX is designed to transport up to 1.98 Bcf/d of natural gas and the cost is expected to be approximately $1.75 billion. GCX is expected to be in service in the fourth quarter of 2019, pending the receipt of necessary regulatory approvals. Subsequent Events In January 2018, we contributed $69.3 million to the Gulf Coast Express Joint Venture. In January 2018, we announced the formation of a 50/50 joint venture with Hess Midstream Partners LP to construct a new 200 MMcf/d natural gas processing plant (“LM4 Plant”) at Targa’s existing Little Missouri facility. The total cost of the LM4 Plant is expected to be approximately $150 million and the plant is anticipated to be completed in the fourth quarter of 2018. Targa will manage construction of, and operate, the LM4 Plant. |
Accounts Payable and Accrued Li
Accounts Payable and Accrued Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Accounts Payable and Accrued Liabilities | Note 9 — Accounts Payable and Accrued Liabilities December 31, 2017 December 31, 2016 Commodities $ 711.5 $ 574.4 Other goods and services 289.7 117.0 Interest 54.4 52.3 Income and other taxes 27.1 24.2 Permian Acquisition contingent consideration, estimated current portion 6.8 — Compensation and benefits 52.8 37.2 Preferred Series A dividends payable 22.9 22.9 Other 21.7 15.5 $ 1,186.9 $ 843.5 Accounts payable and accrued liabilities includes $50.4 million and $30.5 million of liabilities to creditors to whom we have issued checks that remain outstanding as of December 31, 2017 and December 31, 2016. The estimated current portion of the Permian Acquisition contingent consideration represents the fair value as of December 31, 2017 of the first potential earn-out payment that would be payable in May 2018. The estimated remaining portion would be payable in May 2019 and is recorded within Other long-term liabilities on our Consolidated Balance Sheets. |
Debt Obligations
Debt Obligations | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt Obligations | Note 10 — Debt Obligations December 31, 2017 December 31, 2016 Current: Obligations of the Partnership: (1) Accounts receivable securitization facility, due December 2018 $ 350.0 $ 275.0 Long-term: TRC obligations: TRC Senior secured revolving credit facility, variable rate, due February 2020 (2) 435.0 275.0 TRC Senior secured term loan, variable rate, due February 2022 — 160.0 Unamortized discount — (2.2 ) Obligations of the Partnership: (1) Senior secured revolving credit facility, variable rate, due October 2020 (3) 20.0 150.0 Senior unsecured notes: 5% fixed rate, due January 2018 — 250.5 4⅛% fixed rate, due November 2019 749.4 749.4 6⅜% fixed rate, due August 2022 — 278.7 5¼% fixed rate, due May 2023 559.6 559.6 4¼% fixed rate, due November 2023 583.9 583.9 6¾% fixed rate, due March 2024 580.1 580.1 5⅛% fixed rate, due February 2025 500.0 500.0 5⅜% fixed rate, due February 2027 500.0 500.0 5% fixed rate, due January 2028 750.0 — TPL notes, 4¾% fixed rate, due November 2021 6.5 6.5 TPL notes, 5⅞% fixed rate, due August 2023 48.1 48.1 Unamortized premium 0.4 0.5 4,733.0 4,640.1 Debt issuance costs, net of amortization (30.0 ) (34.1 ) Long-term debt 4,703.0 4,606.0 Total debt obligations $ 5,053.0 $ 4,881.0 Irrevocable standby letters of credit: Letters of credit outstanding under the TRC Senior secured credit facility (2) $ — $ — Letters of credit outstanding under the Partnership senior secured revolving credit facility (3) 27.2 13.2 $ 27.2 $ 13.2 (1) While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. (2) As of December 31, 2017, availability under TRC’s $670.0 million senior secured revolving credit facility (“TRC Revolver”) was $235.0 million. (3) As of December 31, 2017, availability under the Partnership’s $1.6 billion senior secured revolving credit facility (“TRP Revolver”) was $1,552.8 million. The following table shows the contractually scheduled maturities of our debt obligations outstanding at December 31, 2017, for the next five years, and in total thereafter: Scheduled Maturities of Debt Total 2018 2019 2020 2021 2022 After 2022 (in millions) TRC Senior secured revolving credit facility $ 435.0 $ — $ — $ 435.0 $ — $ — $ — TRP Revolver 20.0 — — 20.0 — — — Partnership's Senior unsecured notes 4,277.6 — 749.4 — 6.5 — 3,521.7 Partnership's accounts receivable securitization facility 350.0 350.0 — — — — — Total $ 5,082.6 $ 350.0 $ 749.4 $ 455.0 $ 6.5 $ — $ 3,521.7 The following table shows the range of interest rates and weighted average interest rate incurred on variable-rate debt obligations during the year ended December 31, 2017: Range of Interest Rates Incurred Weighted Average Interest Rate Incurred TRC Revolver 2.5% - 4.5% 2.9% TRC Senior secured term loan (1) 5.75% 5.75% TRP Revolver 3.0% - 5.3% 3.2% Partnership's accounts receivable securitization facility 1.8% - 2.6% 2.1% (1) The TRC senior secured term loan is a Eurodollar rate loan with an interest rate of LIBOR (with a LIBOR floor of 1%) plus an applicable rate of 4.75%. Compliance with Debt Covenants As of December 31, 2017, we were in compliance with the covenants contained in our various debt agreements. Debt Obligations TRC Credit Agreement In connection with the closing of the Atlas mergers, we entered into a Credit Agreement (the “TRC Credit Agreement”), dated as of February 27, 2015, among us, each lender from time to time party thereto and Bank of America, N.A. as administrative agent, collateral agent, swing line lender and letter of credit issuer. The TRC Credit Agreement provides for a five year revolving credit facility that is due February 27, 2020 in an aggregate principal amount up to $670.0 million that allows us to request up to $200.0 million in additional commitments, and a seven-year variable rate term loan facility in an aggregate principal amount of $430 million. This facility was issued at a 1.75% discount. The term loan is a Eurodollar rate loan with an interest rate of LIBOR (with a LIBOR floor of 1%) plus an applicable rate of 4.75%. We used the net proceeds from the term loan issuance and the revolving credit facility to fund cash components of the ATLS merger, including cash merger consideration and approximately $160.2 million related to change of control payments made by ATLS, cash settlements of equity awards and transaction fees and expenses. We are required to pay a commitment fee ranging from 0.375% to 0.5% (dependent upon the Company’s consolidated leverage ratio) on the daily average unused portion of the TRC Revolver. Additionally, outstanding borrowings bear interest at an applicable rate ranging from 1.75% to 2.75% (dependent upon the Company’s consolidated leverage ratio). The TRC Credit Agreement is secured by substantially all of the Company’s assets. The TRC Credit Agreement requires us to maintain a consolidated leverage ratio (the ratio of consolidated funded indebtedness to consolidated adjusted EBITDA) of no more than (i) 4.50 to 1.00 for the fiscal quarter ending March 31, 2016 through the fiscal quarter ending December 31, 2016 and (ii) 4.00 to 1.00 for each fiscal quarter ending thereafter. The TRC Credit Agreement restricts our ability to pay dividends to shareholders if, on a pro forma basis after giving effect to such dividend, (a) any default or event of default has occurred and is continuing or (b) we are not in compliance with our consolidated leverage ratio as of the last day of the most recent test period. In addition, the TRC Credit Agreement includes various covenants that may limit, among other things, our ability to incur indebtedness, grant liens, make investments, repay or amend the terms of certain other indebtedness, merge or consolidate, sell assets, and engage in transactions with affiliates. The Partnership’s Revolving Credit Facility In October 2016, the Partnership entered into the Second Amendment and Restatement Agreement (the “Restatement”) to effectuate the Third Amended and Restated Credit Agreement (the “TRP Credit Agreement”). The TRP Credit Agreement amended and restated the TRP Revolver to extend the maturity date from October 2017 to October 2020. The available commitments under the TRP Revolver of $1.6 billion remained unchanged while the Partnership’s ability to request additional commitments increased from up to $300.0 million to up to $500.0 million. The TRP Credit Agreement designates TPL and certain of its subsidiaries as Restricted Subsidiaries and provides for certain changes to occur upon the Partnership receiving an investment grade credit rating from Moody’s Investors Service, Inc. (“Moody’s”) or Standard & Poor’s Corporation (“S&P”), including the release of the security interests in all collateral at the request of the Partnership. As a result of the TRP Credit Agreement, during the fourth quarter of 2016, we recorded a partial write-off of $0.9 million of debt issuance costs associated with the TRP Revolver as a result of a change in syndicate members under the TRP Revolver. The remaining debt issuance costs associated with the TRP Revolver along with debt issuance costs incurred with this amendment will be amortized on a straight-line basis over the life of the TRP Revolver. In 2015, the Partnership used proceeds from borrowings under the TRP Revolver to fund some of the cash components of the APL merger, including $701.4 million for the repayments of the APL Revolver and $28.8 million related to change of control payments. The TRP Revolver bears interest, at the Partnership’s option, either at the base rate or the Eurodollar rate. The base rate is equal to the highest of: (i) Bank of America’s prime rate; (ii) the federal funds rate plus 0.5%; or (iii) the one-month LIBOR rate plus 1.0%, plus an applicable margin ranging from 0.75% to 1.75% (dependent on the Partnership’s ratio of consolidated funded indebtedness to consolidated adjusted EBITDA). The Eurodollar rate is equal to LIBOR rate plus an applicable margin ranging from 1.75% to 2.75% (dependent on the Partnership’s ratio of consolidated funded indebtedness to consolidated adjusted EBITDA). The Partnership is required to pay a commitment fee equal to an applicable rate ranging from 0.3% to 0.5% (dependent on the Partnership’s ratio of consolidated funded indebtedness to consolidated adjusted EBITDA) times the actual daily average unused portion of the TRP Revolver. Additionally, issued and undrawn letters of credit bear interest at an applicable rate ranging from 1.75% to 2.75% (dependent on the Partnership’s ratio of consolidated funded indebtedness to consolidated adjusted EBITDA). The TRP Revolver is collateralized by a pledge of assets and equity from certain of the Partnership’s subsidiaries. Borrowings are guaranteed by the Partnership’s restricted subsidiaries. The TRP Revolver restricts the Partnership’s ability to make distributions of available cash to unitholders if a default or an event of default (as defined in the TRP Revolver) exists or would result from such distribution. The TRP Revolver requires the Partnership to maintain a ratio of consolidated funded indebtedness to consolidated adjusted EBITDA of no more than 5.50 to 1.00. The TRP Revolver also requires the Partnership to maintain a ratio of consolidated adjusted EBITDA to consolidated interest expense of no less than 2.25 to 1.00. In addition, the TRP Revolver contains various covenants that may limit, among other things, the Partnership’s ability to incur indebtedness, grant liens, make investments, repay or amend the terms of certain other indebtedness, merge or consolidate, sell assets, and engage in transactions with affiliates (in each case, subject to the Partnership’s right to incur indebtedness or grant liens in connection with, and convey accounts receivable as part of, a permitted receivables financing). The Partnership’s Accounts Receivable Securitization Facility On February 23, 2017, we amended the Partnership’s accounts receivable securitization facility to increase the facility size from $275.0 million to $350.0 million. On December 8, 2017, we renewed and extended the Partnership’s Securitization Facility with termination date of December 7, 2018. The Securitization Facility provides up to $350.0 million of borrowing capacity at LIBOR market index rates plus a margin through December 7, 2018. Under the Securitization Facility, certain Partnership subsidiaries sell or contribute certain qualifying receivables, without recourse, to another of its consolidated subsidiaries (Targa Receivables LLC or “TRLLC”), a special purpose consolidated subsidiary created for the sole purpose of the Securitization Facility. TRLLC, in turn, sells an undivided percentage ownership in the eligible receivables to third-party financial institutions. Sold or contributed receivables up to the amount of the outstanding debt under the Securitization Facility are not available to satisfy the claims of the creditors of the selling or contributing subsidiaries or the Partnership. Any excess receivables are eligible to satisfy the claims. As of December 31, 2017, total The Partnership’s Senior Unsecured Notes All issues of unsecured senior notes are pari passu with existing and future senior indebtedness, including indebtedness under the TRP Revolver. They are senior in right of payment to any of our future subordinated indebtedness and are unconditionally guaranteed by the Partnership and the Partnership’s restricted subsidiaries. These notes are effectively subordinated to all secured indebtedness under the TRP Revolver and the Partnership’s Securitization Facility, which is secured by accounts receivable pledged under the facility, to the extent of the value of the collateral securing that indebtedness. Interest on all issues of senior unsecured notes is payable semi-annually in arrears. The Partnership’s senior unsecured notes and associated indenture agreements restrict the Partnership’s ability to make distributions to unitholders in the event of default (as defined in the indentures). The indentures also restrict the Partnership’s ability and the ability of certain of its subsidiaries to: (i) incur additional debt or enter into sale and leaseback transactions; (ii) pay certain distributions on or repurchase equity interests (only if such distributions do not meet specified conditions); (iii) make certain investments; (iv) incur liens; (v) enter into transactions with affiliates; (vi) merge or consolidate with another company; and (vii) transfer and sell assets. These covenants are subject to a number of important exceptions and qualifications. If at any time when the notes are rated investment grade by either Moody’s or S&P and no Default or Event of Default (each as defined in the indentures) has occurred and is continuing, many of such covenants will terminate and the Partnership and its subsidiaries will cease to be subject to such covenants. The Partnership may redeem up to 35% of the aggregate principal amount of the notes in the table below at the redemption dates and prices set forth below (expressed as percentages of principal amounts) plus accrued and unpaid interest and liquidation damages, if any, with the net cash proceeds of one or more equity offerings, provided that: (i) at least 65% of the aggregate principal amount of each of the notes (excluding notes held by us) remains outstanding immediately after the occurrence of such redemption; and (ii) the redemption occurs within 180 days of the date of the closing of such equity offering. Note Issue Any Date Prior To Price 6 ¾% Senior Notes September 15, 2018 106.750% 5 ⅛% Senior Notes February 1, 2020 105.125% 5 ⅜% Senior Notes February 1, 2020 105.375% 5% Senior Notes January 15, 2021 105.000% The Partnership may also redeem all or part of each of the series of notes on or after the redemption dates set forth below at the price for each respective year (expressed as percentages of principal amount) plus accrued and unpaid interest and liquidation damages, if any, on the notes redeemed. Note Redemption Date Year Price 4 ⅛% Senior Notes November 15 2017 101.031 % 2018 and thereafter 100 % 5 ¼% Senior Notes November 1 2017 102.625 % 2018 101.750 % 2019 100.875 % 2020 and thereafter 100 % 4 ¼% Senior Notes May 15 2018 102.125 % 2019 101.417 % 2020 100.708 % 2021 and thereafter 100 % 6 ¾% Senior Notes September 15 2019 103.375 % 2020 101.688 % 2021 and thereafter 100 % 5 ⅛% Senior Notes February 1 2020 103.844 % 2021 102.563 % 2022 101.281 % 2023 and thereafter 100 % 5 ⅜% Senior Notes February 1 2022 102.688 % 2023 101.792 % 2024 100.896 % 2025 and thereafter 100 % 5% Senior Notes January 15 2023 102.500 % 2024 101.667 % 2025 100.833 % 2026 and thereafter 100 % TPL 4 ¾% Notes May 15 2017 102.375 % 2018 101.188 % 2019 and thereafter 100 % TPL 5 ⅞% Notes February 1 2018 102.938 % 2019 101.958 % 2020 100.979 % 2021 and thereafter 100 % Senior Notes Issuances In January 2015, the Partnership and Targa Resources Partners Finance Corporation (collectively, the “Partnership Issuers”) In September 2015, the Partnership Issuers issued $600 million in aggregate principal amount of 6 ¾ ¾ ¾ ¾ In October 2016, the Partnership Issuers issued $500.0 million of 5⅛% 5⅜% In October 2017, the Partnership issued $750.0 million aggregate principal amount of 5% senior notes due January 2028 (the “5% Senior Notes due 2028”). The Partnership used the net proceeds of $744.1 million after costs from this offering to redeem its 5% Senior Notes, reduce borrowings under its credit facilities, and for general partnership purposes. Shelf Registrations The Partnership’s April 2015 Shelf In April 2015, the Partnership filed with the SEC a universal shelf registration statement that allows it to issue up to an aggregate of $1.0 billion of debt or equity securities (the “April 2015 Shelf”). The April 2015 Shelf was withdrawn in connection with the TRC/TRP Merger. May 2016 Shelf In May 2016, we filed with the SEC a universal shelf registration statement that allows us to issue debt or equity securities (the “May 2016 Shelf”). The May 2016 Shelf will expire in May 2019. See Note 13 – Common Stock and Related Matters. Debt Repurchases & Extinguishments In March 2015, we repaid $188.0 million of the term loan and wrote off $3.3 million of the discount and $5.8 million of debt issuance costs. In June 2015, we repaid $82.0 million of the term loan and wrote off $1.4 million of the discount and $2.4 million of debt issuance costs. The write-off of the discount and debt issuance costs are reflected as loss from financing activities in our Consolidated Statements of Operations for the year ended December 31, 2015. In March 2017, we repaid the entirety of the TRC Senior secured term loan in the amount of $160.0 million. The repayment resulted in write offs of $2.2 million of discount and $3.7 million of debt issuance costs, which are reflected as Loss from financing activities in our Consolidated Statements of Operations for the year ended December 31, 2017 In June 2017, the Partnership redeemed its outstanding 6⅜% Senior Notes due August 2022 (“6⅜% Senior Notes”), totaling $278.7 million in aggregate principal amount, at a price of 103.188% of the principal amount plus accrued interest through the redemption date. The redemption resulted in a $10.7 million loss, which is reflected as Loss from financing activities in our Consolidated Statements of Operations for the year ended December 31, 2017 In October 2017, the Partnership redeemed its outstanding 5% Senior Notes due 2018 at par value plus accrued interest through the redemption date. The redemption resulted in a non-cash Loss from financing activities to write-off $0.2 million of unamortized debt issuance costs during the year ended December 31, 2017 . During the year ended December 31, 2015 the Partnership repurchased on the open market a portion of its outstanding Senior Notes as follows: Debt Repurchased Book Value Payment Gain/(Loss) Write-off of Debt Issuance Costs Net Gain/(Loss) 5¼% Senior Notes $ 16.3 $ (13.0 ) $ 3.3 $ (0.1 ) $ 3.2 4¼% Senior Notes 1.5 (1.2 ) 0.3 — 0.3 6⅝% Senior Notes 0.1 (0.1 ) — — — $ 17.9 $ (14.3 ) $ 3.6 $ (0.1 ) $ 3.5 During the year ended December 31, 2016 Debt Repurchased Book Value Payment Gain/(Loss) Write-off of Debt Issuance Costs Net Gain/(Loss) 5¼% Senior Notes $ 24.1 $ (20.1 ) $ 4.0 $ (0.2 ) $ 3.8 4¼% Senior Notes 39.5 (31.8 ) 7.7 (0.3 ) 7.4 6⅞% Senior Notes 4.8 (4.3 ) 0.5 (0.1 ) 0.4 6⅝% Senior Notes 32.6 (29.5 ) 3.1 — 3.1 6⅜% Senior Notes 21.3 (18.7 ) 2.6 (0.2 ) 2.4 6¾% Senior Notes 19.9 (17.5 ) 2.4 (0.2 ) 2.2 5% Senior Notes 366.4 (368.2 ) (1.8 ) (2.1 ) (3.9 ) 4⅛% Senior Notes 50.6 (44.2 ) 6.4 (0.4 ) 6.0 $ 559.2 $ (534.3 ) $ 24.9 $ (3.5 ) $ 21.4 During the year ended December 31, 2017, the Partnership did not repurchase any of its outstanding Senior Notes on the open market. We or the Partnership may retire or purchase various series of the Partnership’s outstanding debt through cash purchases and/or exchanges for other debt, in open market purchases, privately negotiated transactions or otherwise. Such repurchases or exchanges, if any, will depend on prevailing market conditions, our liquidity requirements, contractual restrictions and other factors. The amounts involved may be material. Senior Notes Tender Offers Concurrently with the October 2016 Offering, the Partnership commenced tender offers (the “Tender Offers”) to purchase for cash, subject to certain conditions, up to specified aggregate maximum purchase amounts of our 5% Senior Notes, 6 ⅝ ⅝ ⅞ ⅞ ⅝ The results of the Tender Offers, which closed in October 2016, were: Debt Tendered Outstanding Note Balance Prior to Tender Offers Amount Tendered Premium Paid Accrued Interest Paid Total Tender Offer Payments Note Balance After Tender Offers 5% Senior Notes $ 733.6 $ 483.1 $ 16.9 $ 5.4 $ 505.4 $ 250.5 6⅝% Senior Notes 309.9 281.7 10.5 0.3 292.5 28.2 6⅞% Senior Notes 478.6 373.5 14.4 4.6 392.5 105.1 Total $ 1,522.1 $ 1,138.3 $ 41.8 $ 10.3 $ 1,190.4 $ 383.8 As a result of the Tender Offers, we recorded during the fourth quarter of 2016 a loss due to debt extinguishment of approximately $59.2 million comprised of the $41.8 million premium paid, the write-off of $5.8 million of debt issuance costs, $15.1 million of debt discounts less $3.5 million of debt premiums. Note Redemptions Subsequent to the closing of the Tender Offers in October 2016, the Partnership issued notices of full redemption (the “Note Redemptions”) to the trustees and noteholders of the 6⅝% Notes ⅞ 6⅝% Notes and the 2020 ⅞ TPL Senior Notes Tender Offers In January 2015, the Partnership commenced cash tender offers for any and all of the outstanding fixed rate senior secured notes to be acquired in the APL merger (the “TPL Notes Tender Offers”), which totaled $1.55 billion. The results of the TPL Notes Tender Offers were: Debt Tendered Outstanding Note Balance Prior to Tender Offers Amount Tendered Premium Paid Accrued Interest Paid Total Tender Offer Payments % Tendered Note Balance After Tender Offers 6⅝% Senior Notes $ 500.0 $ 140.1 $ 2.1 $ 3.7 $ 145.9 28.02 % $ 359.9 4¾% Senior Notes 400.0 393.5 5.9 5.3 404.7 98.38 % 6.5 5⅞% Senior Notes 650.0 601.9 8.7 2.6 613.2 92.60 % 48.1 Total $ 1,550.0 $ 1,135.5 $ 16.7 $ 11.6 $ 1,163.8 $ 414.5 In connection with the TPL Notes Tender Offers, on February 27, 2015, the supplemental indentures governing the 4 3 4 7 8 Not having achieved the minimum tender condition on the 2020 TPL Notes, the Partnership made a change of control offer, referred to as the Change of Control Offer, for any and all of the 2020 TPL Notes in advance of, and conditioned upon, the consummation of the APL merger. In March 2015, holders representing $4.8 million of the outstanding 2020 TPL Notes tendered their notes requiring a payment of $5.0 million, which included the change of control premium and accrued interest. Payments made under the TPL Notes Tender Offers and Change of Control Offer totaling $1,168.8 million are presented as financing activities for the Partnership in our Consolidated Statements of Cash Flows. Exchange Offer and Consent Solicitation On April 13, 2015, the Partnership Issuers commenced an offer to exchange (the “Exchange Offer”) any and all of the outstanding 2020 TPL Notes, for an equal amount of new unsecured 6 5 8 5 8 5 8 In May 2015, upon the closing of the Exchange Offer, the Partnership Issuers issued $342.1 million aggregate principal amount of the TRP 6 5 8 5 8 Debt Repurchases and Extinguishments Summary The following table summarizes the debt repurchases and extinguishments that are included in our Consolidated Statements of Operations: 2017 2016 2015 Premium over face value paid upon redemption: Partnership 5% Senior Notes $ — $ 16.9 $ — Partnership 6⅝% Senior Notes — 11.5 — Partnership 6⅞% Senior Notes — 18.0 — Partnership 6⅝% TPL Notes — 0.4 — Partnership 6⅜% Senior Notes 8.9 — — Recognition of unamortized discount: TRC Term Loan, variable rate — — 4.7 TRC Senior secured term loan 2.2 — — Partnership 6⅞% Senior Notes — 19.5 — Recognition of unamortized premium: Partnership 6⅝% Senior Notes — (4.3 ) — Partnership 6⅝% TPL Notes — (0.2 ) — Loss (gain) on repurchase of debt: Partnership 5% Senior Notes — 1.8 — Partnership 4⅛% Senior Notes — (6.4 ) — Partnership 6⅝% Senior Notes — (2.8 ) — Partnership 6⅞% Senior Notes — (0.8 ) — Partnership 6⅜% Senior Notes — (2.6 ) — Partnership 5¼% Senior Notes — (4.0 ) (3.3 ) Partnership 4¼% Senior Notes — (7.7 ) (0.3 ) Partnership 6¾% Senior Notes — (2.4 ) — Loss from financing with Exchange Offer: Partnership 6⅝% Senior Notes — — 0.7 Write-off of debt issuance costs: TRP Revolver — 0.9 — TRC Term Loan, variable rate — — 8.2 TRC Senior secured term loan 3.7 — — Partnership 5% Senior Notes 0.2 4.2 — Partnership 4⅛% Senior Notes — 0.4 — Partnership 6⅞% Senior Notes — 4.9 — Partnership 6⅜% Senior Notes 1.8 0.2 — Partnership 5¼% Senior Notes — 0.2 0.1 Partnership 4¼% Senior Notes — 0.3 — Partnership 6¾% Senior Notes — 0.2 — Loss from financing activities $ 16.8 $ 48.2 $ 10.1 |
Other Long-term Liabilities
Other Long-term Liabilities | 12 Months Ended |
Dec. 31, 2017 | |
Other Liabilities Noncurrent [Abstract] | |
Other Long-term Liabilities | Note 11 — Other Long-term Liabilities Other long-term liabilities are comprised of the following obligations: December 31, 2017 December 31, 2016 Asset retirement obligations $ 50.8 $ 64.6 Mandatorily redeemable preferred interests 76.2 68.5 Deferred revenue 136.2 69.8 Permian Acquisition contingent consideration, noncurrent portion 310.2 — Other liabilities 24.5 12.2 Total long-term liabilities $ 597.9 $ 215.1 Asset Retirement Obligations Our ARO primarily relate to certain gas gathering pipelines and processing facilities. The changes in our ARO are as follows: 2017 2016 Beginning of period $ 64.6 $ 70.4 Additions (1) 0.8 — Reduction due to sale of VGS (21.6 ) — Change in cash flow estimate 3.1 (9.1 ) Accretion expense 3.9 4.6 Retirement of ARO — (1.3 ) End of period $ 50.8 $ 64.6 ___________________________________________ (1) Amount reflects ARO assumed from the Permian Acquisition. Mandatorily Redeemable Preferred Interests Our consolidated financial statements include our interest in two joint ventures that, separately, own a 100% interest in the WestOK natural gas gathering and processing system and a 72.8% undivided interest in the WestTX natural gas gathering and processing system. Our partner in the joint ventures holds preferred interests in each joint venture that are redeemable: (i) at our or our partner’s election, on or after July 27, 2022; and (ii) mandatorily, in July 2037. The joint ventures, collectively, hold $1.9 billion face value in notes receivable from our partner, which are due July 2042. The interest rate payable under the notes receivable is a variable LIBOR-based rate. For the years ended December 31, 2017, 2016 and 2015, interest earned on the notes receivable of $10.3 million, $10.5 million, and $8.9 million, exclusive of the priority return payable to our partner, is reflected within Interest expense, net in our Consolidated Statements of Operations. We have accounted for the notes receivable at fair value. Upon redemption: (i) the distributable value of our partner’s interest in each joint venture is required to be adjusted by mutual agreement or under a valuation procedure outlined in each joint venture agreement based, among other things, on changes in the market value of the joint venture’s assets allocable to our partner (including the value of the notes receivable); and (ii) the parties are obligated to set off the value of the notes receivable from our partner against the value of our partner’s interest in the applicable joint venture. For reporting purposes under GAAP, an estimate of our partner’s interest in each joint venture is required to be recorded as if the redemption had occurred on the reporting date. Because redemption will not be required until at least 2022, the actual value of our partner’s allocable share of each joint venture’s assets at the time of redemption may differ from our estimate of redemption value as of December 31, 2017. The aggregate fair values of the notes receivable and the estimated redemption values of our partner’s interest in the joint ventures as of the reporting date are presented on the Consolidated Balance Sheets on a net basis. The following table shows the changes attributable to mandatorily redeemable preferred interests: 2017 2016 Beginning of period $ 68.5 $ 82.9 Income attributable to mandatorily redeemable preferred interests 4.4 0.8 Change in estimated redemption value included in interest expense 3.3 (15.2 ) End of period $ 76.2 $ 68.5 Subsequent Event In February 2018, the parties amended the agreements governing each joint venture to: (i) increase the priority return for capital contributions made on or after January 1, 2017; and (ii) add a non-consent feature effective with respect to certain capital projects undertaken on or after January 1, 2017. Such amendments will impact the estimated redemption value of the mandatorily redeemable preferred interest on a go forward basis. Specifically, the amendments may impact the market value of the joint venture’s assets allocable to the partners. Deferred Revenue We have certain long-term contractual arrangements under which we have received consideration, but which require future performance by Targa. These arrangements result in deferred revenue, which will be recognized over the periods that performance will be provided. Deferred revenue includes consideration received related to the construction and operation of a crude oil and condensate splitter. On December 27, 2015, Targa Terminals LLC and Noble Americas Corp., a subsidiary of Noble Group Ltd., entered into a long-term, fee-based agreement (“Splitter Agreement”) under which we will build and operate a crude oil and condensate splitter at our Channelview Terminal on the Houston Ship Channel (“Channelview Splitter”) and provide approximately 730,000 Bbl of storage capacity. The Channelview Splitter will have the capability to split approximately 35,000 Bbl/d of crude oil and condensate into its various components, including naphtha, kerosene, gas oil, jet fuel, and liquefied petroleum gas and will provide segregated storage for the crude, condensate and components. The Channelview Splitter project is expected to be completed in the second quarter of 2018, and has an estimated total cost of approximately $140 million. The first annual advance payment due under the Splitter Agreement was received in October 2016 and has been recorded as deferred revenue, as the Splitter Agreement In January 2018, Vitol US Holding Co. acquired Noble Americas Corp. Deferred revenue also includes nonmonetary consideration received in a 2015 amendment (the “gas contract amendment”) to a gas gathering and processing agreement. We measured the estimated fair value of the gathering assets transferred to us using significant other observable inputs representative of a Level 2 fair value measurement. Because the gas contract amendment will require future performance by Targa, we have recorded the consideration received as deferred revenue. In December 2017, we received monetary consideration to further amend the terms of the gas gathering and processing agreement. Deferred revenue also includes consideration received for other construction activities of facilities connected to our systems. The deferred revenue related to these other construction activities will be recognized over the periods that future performance will be provided, which extend through 2023. For the years ended December 31, 2017, 2016 and 2015, we recognized approximately $3.1 million, $3.1 million and $2.7 million of revenue for these transactions. The following table shows the components of deferred revenue: December 31, 2017 December 31, 2016 Splitter agreement $ 86.0 $ 43.0 Gas contract amendment 44.7 19.7 Other deferred revenue 5.5 7.1 Total deferred revenue $ 136.2 $ 69.8 The following table shows the changes in deferred revenue: 2017 2016 Beginning of period $ 69.8 $ 27.7 Additions 69.5 45.2 Revenue recognized (3.1 ) (3.1 ) End of period $ 136.2 $ 69.8 Contingent Consideration Upon closing of the Permian Acquisition, a contingent consideration liability arising from potential earn-out provisions was recognized at its preliminary fair value. The potential earn-out payments will be based upon a multiple of gross margin realized during the first two annual periods after the acquisition date During the three months ended June 30, 2017, we recognized certain adjustments that were accounted for as revisions to the acquisition date fair value and decreased the acquisition date fair value of the contingent consideration by $45.3 million to $416.3 million. During the three months ended September 30, 2017, we finalized the purchase price allocation with no additional revisions to the acquisition date fair value. See Note 4 – Acquisitions and Divestments for additional discussion. For the period from the acquisition date to December 31, 2017, the fair value of this liability decreased by $99.3 million, bringing the total Permian Acquisition contingent consideration to $317.0 million at December 31, 2017. The decrease in fair value of the contingent consideration was primarily related to reductions in actual and forecasted volumes and gross margin as a result of changes in producers’ drilling activity in the region since the acquisition date. Such changes in estimated fair value of the contingent consideration are attributable to events and circumstances that occurred after the acquisition date, and as such have been recognized in Other income (expense). As of December 31, 2017, the fair value of the first potential earn-out payment of $6.8 million has been recorded as a component of Accounts payable and accrued liabilities, which are current liabilities on our Consolidated Balance Sheets. As of December 31, 2017, the fair value of the second potential earn-out payment of $310.2 million has been recorded within Other long-term liabilities on our Consolidated Balance Sheets. See Note 17 – Fair Value Measurements for additional discussion of the fair value methodology. The following table shows the changes in contingent consideration: Balance at March 1, 2017 (acquisition date) $ 461.6 Measurement period adjustment of acquisition date value (45.3 ) Decrease in fair value due to factors occurring after acquisition date (99.3 ) Balance at December 31, 2017 317.0 Less: Current portion (6.8 ) Long-term balance at December 31, 2017 $ 310.2 |
Preferred Stock
Preferred Stock | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Preferred Stock | Note 12 – Preferred Stock Preferred Stock and Detachable Warrants In the first quarter of 2016, TRC sold in two tranches to investors in a private placement 965,100 shares of Series A Preferred Stock (“Series A Preferred”) with detachable Series A Warrants exercisable into a maximum of 13,550,004 shares of our common stock and Series B Warrants exercisable into a maximum of 6,533,727 shares of our common stock (collectively the “Warrants”) for an aggregate purchase price of $994.1 million in cash. The Series A Preferred has a liquidation value of $1,000 per share and bears a cumulative 9.5% fixed dividend payable quarterly 45 days after the end of each fiscal quarter. The Series A Preferred ranks senior to the common outstanding stock with respect to the payment of dividends and distributions in liquidation. We had the option to elect to pay dividends for any quarter with a paid-in-kind election (“PIK”) through December 31, 2017. Under the PIK election, unpaid dividends would have been added to the liquidation preference and a commensurate amount of Series A and Series B Warrants would have been issued. We did not make an election to PIK through December 31, 2017. The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock at an exercise price of $20.77, which represented a 10% premium over the ten-day volume weighted average price (“VWAP”) prior to the February 18, 2016 signing date ($18.88) of the Purchase Agreement underlying the first tranche. If the investors do not elect to convert their Series A Preferred into TRC common stock, Targa has a right after year twelve to force conversion, but only if the VWAP for the ten preceding trading days is greater than 120% of the conversion price. A change of control provision could result in forced redemption, at the option of the investor, if the Series A Preferred could not otherwise remain outstanding or be replaced with a “substantially equivalent security.” The change of control premium to the liquidation preference on the redemption is initially 25% in year one, 20% in year two, 15% in year three, 10% in years four through six and 5% thereafter. The Series A Preferred ranks senior to the common outstanding stock with respect to the payment of dividends and distributions in liquidation. The holders of Series A Preferred generally only have voting rights in certain circumstances, subject to certain exceptions, which include: • the issuance or the increase by the Company of any specific class or series of stock that is senior to the Series A Preferred, • the issuance or the increase by any of the Company’s consolidated subsidiaries of any specific class or series of securities, • changes to the Certificates of Incorporation or Designations of the Series A Preferred that would materially and adversely affect the Preferred Stock holder, • the issuance of stock on parity with the Series A Preferred, subject to certain exceptions, if the Company has exceeded a stipulated fixed charge coverage ratio or an aggregate amount of net proceeds from all future issuances of Parity Stock, or would use the proceeds of such issuance to pay dividends, • the incurrence of indebtedness, other than indebtedness that complies with a stipulated fixed charge coverage ratio or under the TRC and TRP Credit Agreements (or replacement commercial bank facilities) in an aggregate amount up to $2.75 billion. In addition, observation right status as a Board Observer was granted to an investor with the right to attend full meetings of the Board of Directors (the “Board”) for TRC and to receive materials other members of the Board receive. Only in the event (i) we have not paid distributions with respect to two full quarters (whether or not consecutive) on the Series A Preferred or (ii) an event of default occurs with respect only to the financial covenants under the TRC and TRP Credit Agreements, will the investor have the right to turn the Board Observer into a member of the Board to serve until (x) all accrued and unpaid distributions on the Series A Preferred are paid or (y) there is no longer such an event of default, as applicable. The Series A Preferred is a hybrid security and is viewed as a debt host for the purpose of evaluating embedded derivatives. Bifurcation of the Company’s redemption provision is not required because the redemption provision is clearly and closely related to the preferred debt host. Further, both our and the investors’ conversion options qualify for a derivatives scope exception under ASC 815 – Derivatives and Hedging The Series A Preferred does not qualify as a liability instrument under ASC 480 – Distinguishing Liabilities from Equity, The detachable Warrants have a seven-year term and were exercisable beginning on September 16, 2016. They were issued in two series: Series A Warrants exercisable into a maximum number of 13,550,004 shares of our common stock with an exercise price of $18.88 and 6,533,727 Series B Warrants with an exercise price of $25.11. The Warrants may be net settled in cash or shares of common stock at the Company’s option. The Warrants qualify as freestanding financial instruments and meet the derivatives accounting scope exception in ASC 815 because they are indexed to our equity and otherwise meet the applicable criteria for equity classification. The portion of proceeds allocated to the Series A and Series B Warrants was recorded as additional paid-in capital. Pursuant to the terms of the Registration Rights Agreement covering the common stock issuable upon exercise of the Warrants (the “Warrants Registration Rights Agreement”), we filed a prospectus supplement on June 30, 2016 (the “Warrants Prospectus Supplement”) to our May 2016 Shelf and together with the Warrants Prospectus Supplement, the “Warrants Registration Statement”) for the registered resale by the selling stockholders described therein of 20,083,731 common shares, which is the maximum amount that could be issued upon conversion of the Warrants. We have granted certain demand and piggyback registration rights with respect to the holders of the common shares underlying the Warrants pursuant to the Warrants Registration Rights Agreement. Also under the Warrants Registration Rights Agreement, we are required to use commercially reasonable efforts to keep the Warrants Registration Statement to be continuously effective, until the earliest to occur of the following: (a) the date on which all Registrable Securities (as defined under the Warrants Registration Rights Agreement) covered by the Warrants Registration Statement have been distributed, (b) the date on which there are no longer any Registrable Securities outstanding and (c) the later of (1) the fourth anniversary of the date on which all Warrants have been converted into common shares and (2) if and only if any holder of Registrable Securities is an “affiliate” (as such term is defined in Rule 144 promulgated under the Securities Act) of the Company, the earlier of (x) the date on which such holder is no longer an “affiliate” (as such term is defined in Rule 144 promulgated under the Securities Act) of the Company and (y) March 16, 2028. See Note 13 – Common Stock and Related Matters for further information regarding the exercise of Warrants. Net cash proceeds were allocated on a relative fair value basis to the Series A Preferred, Series A Warrants and Series B Warrants. The $178.1 million discount on the Series A Preferred created by the relative fair value allocation of proceeds, which is not subject to periodic accretion, would be reported as a deemed dividend in the event a redemption occurs. As described below, $614.4 million of the $787.1 million allocated to the Series A Preferred was allocated to additional paid-in capital to give effect to the intrinsic value of a beneficial conversion feature (“BCF”). Allocation of Proceeds Additional Paid-in Capital Series A Preferred Series A Warrants Series B Warrants Beneficial Conversion Feature Gross proceeds $ 994.1 Transaction fees (24.8 ) Net Proceeds- Initial Relative Fair Value Allocation $ 969.3 $ 787.1 $ 135.7 $ 46.5 $ — Allocation to BCF (614.4 ) — — 614.4 Per balance sheet upon issuance $ 172.7 $ 135.7 $ 46.5 $ 614.4 Beneficial Conversion Feature ASC 470-20-20 – Debt – Debt with conversion and Other Options We have the right to redeem the Series A Preferred beginning after year five. As such, we can effectively mitigate or limit the Series A Preferred Holders’ ability to benefit from their conversion right after year twelve by paying either a $96.5 million (10%) redemption premium in year six or a $48.3 million (5%) redemption premium in years seven through twelve. In either case, the redemption premium would be significantly less than the $614.4 million BCF required to be recognized under GAAP. Upon exercise of our redemption rights, any previously recognized accretion of deemed dividends would be reversed in the period of redemption and reflected as income attributable to common shareholders in our Consolidated Statements of Operations and related per share amounts. Preferred Stock Dividends As of December 31, 2017, we have accrued cumulative preferred dividends of $22.9 million, which were paid on February 14, 2018. During the year ended December 31, 2017, we paid $91.7 million of dividends to preferred shareholders, and recorded deemed dividends of $25.7 million attributable to accretion of the preferred discount resulting from the BCF accounting described above. Such accretion is included in the book value of the Series A Preferred Stock. |
Common Stock and Related Matter
Common Stock and Related Matters | 12 Months Ended |
Dec. 31, 2017 | |
Class Of Stock Disclosures [Abstract] | |
Common Stock and Related Matters | Note 13 — Common Stock and Related Matters Public Offerings of Common Stock On February 27, 2015, we issued 10,126,532 shares of our common stock valued at approximately $1.0 billion in exchange for ATLS common units as part of the Atlas mergers (based on the $99.58 closing market price of our common shares on the NYSE as of February 27, 2015). In addition, we awarded 81,740 RSUs in connection with the Atlas mergers. In March 2015, we sold, in a public offering, 3,250,000 shares of our common stock under a registration statement on Form S-3 at a price of $91.00 per share of common stock, providing net proceeds of $292.8 million to us. Pursuant to the exercise of the underwriters’ overallotment option, we also sold an additional 487,500 shares of our common stock, providing additional net proceeds of $43.9 million. The proceeds from this offering were used to repay a portion of the outstanding borrowings under our term loan and to make a capital contribution of $52.4 million to the Partnership to maintain our 2% general partnership interest in the Partnership and for general corporate purposes. In May 2016, we entered into an equity distribution agreement under the May 2016 Shelf (the “May 2016 EDA”), pursuant to which we may sell, at our option, up to an aggregate of $500.0 million of our common stock. The common stock available for sale under the May 2016 EDA was registered pursuant to a registration statement on Form S-3 filed on May 23, 2016. During 2016, we issued 11,074,266 shares of common stock under the May 2016 EDA, receiving net proceeds of $494.0 million. In December 2016, we terminated the May 2016 EDA with a remaining amount of $2.2 million. In December 2016, we entered into another equity distribution agreement under the May 2016 Shelf (the “December 2016 EDA”), pursuant to which we may sell, at our option, up to an aggregate of $750.0 million of our common stock. In connection with the December 2016 EDA we terminated the May 2016 EDA. During 2016, we issued 1,487,100 shares of common stock under the December 2016 EDA, receiving net proceeds of $78.7 million. On January 26, 2017, we completed a public offering of 9,200,000 shares of our common stock (including the shares sold pursuant to the underwriters’ overallotment option) at a price to the public of $57.65, providing net proceeds of $524.2 million. We used the net proceeds from this public offering to fund the cash portion of the Permian Acquisition purchase price due upon closing and for general corporate purposes. On May 9, 2017, we entered into an equity distribution agreement under the May 2016 Shelf (the “May 2017 EDA”), pursuant to which we may sell through our sales agents, at our option, up to an aggregated amount of $750.0 million of our common stock. For the year ended December 31, 2017, no shares of common stock have been issued under the May 2017 EDA. On June 1, 2017, we completed a public offering of 17,000,000 shares of our common stock at a price to the public of $46.10, providing net proceeds after underwriting discounts, commissions and other expenses of $777.3 million. We used the net proceeds from this public offering to fund a portion of the capital expenditures related to the construction of the Grand Prix NGL pipeline, repay outstanding borrowings under our credit facilities, redeem the Partnership’s 6 ⅜ For the year ended December 31, 2017, we issued 6,433,561 shares of common stock under our December 2016 EDA, receiving net proceeds of $343.1 million. As of December 31, 2017, we have $324.1 million remaining under the December 2016 EDA. TRC/TRP Merger On February 17, 2016, we completed the TRC/TRP Merger and issued 104,525,775 shares of our common stock in exchange for all of the outstanding common units of the Partnership that we previously did not own. See Note 2 – Basis of Presentation. Warrants During 2016, 19,983,843 Warrants were exercised and net settled for 11,336,856 shares of common stock. For the year ended December 31, 2017, no detachable Warrants were exercised. As a result, Series A Warrants exercisable into a maximum of 67,392 shares of common stock and Series B Warrants exercisable into maximum of 32,496 shares of common stock were outstanding as of December 31, 2017 Subsequent Event In January 2018, we issued 1,162,963 shares of common stock under our December 2016 EDA, receiving net proceeds of $57.7 million. As of February 9, 2018, we have $266.0 million remaining under the December 2016 EDA. In February 2018, the remaining 99,888 Warrants were exercised and net settled by us for 58,814 shares of common stock. Dividends The following table details the dividends declared and/or paid by us to common shareholders for the years ended December 31, 2017, 2016 and 2015: Three Months Ended Date Paid or To Be Paid Total Common Dividends Declared Amount of Common Dividends Paid or To Be Paid Accrued Dividends (1) Dividends Declared per Share of Common Stock ( per share amounts) 2017 December 31, 2017 February 15, 2018 $ 202.4 $ 199.1 $ 3.3 $ 0.91000 September 30, 2017 November 15, 2017 199.0 196.2 2.8 0.91000 June 30, 2017 August 15, 2017 198.6 196.2 2.4 0.91000 March 31, 2017 May 16, 2017 182.8 180.3 2.5 0.91000 2016 December 31, 2016 February 15, 2017 $ 178.3 $ 176.5 $ 1.8 $ 0.91000 September 30, 2016 November 15, 2016 166.4 164.6 1.8 0.91000 June 30, 2016 August 15, 2016 153.1 151.6 1.5 0.91000 March 31, 2016 May 16, 2016 147.8 146.1 1.7 0.91000 2015 December 31, 2015 February 9, 2016 $ 51.7 $ 51.0 $ 0.7 $ 0.91000 September 30, 2015 November 16, 2015 51.3 51.0 0.3 0.91000 June 30, 2015 August 17, 2015 49.2 49.0 0.2 0.87500 March 31, 2015 May 18, 2015 46.6 46.4 0.2 0.83000 (1) Represents accrued dividends on restricted stock and restricted stock units that are payable upon vesting. Dividends declared are recorded as a reduction of retained earnings to the extent that retained earnings was available at the close of the prior quarter, with any excess recorded as a reduction of additional paid-in capital. |
Partnership Units and Related M
Partnership Units and Related Matters | 12 Months Ended |
Dec. 31, 2017 | |
Partners Capital [Abstract] | |
Partnership Units and Related Matters | Note 14 — Partnership Units and Related Matters Common Units Equity Offerings As part of the Atlas merger in February 2015, the Partnership issued 58,614,157 common units to former APL unitholders as consideration for the APL merger, of which 3,363,935 common units represented ATLS’s common unit ownership in APL and were issued to us. We contributed $52.4 million to the Partnership to maintain our 2% general partner interest. In May 2015, the Partnership entered the May 2015 EDA under the April 2015 Shelf pursuant to which the Partnership may sell through our sales agents, at its option, up to an aggregate of $1.0 billion of its common units. As of December 31, 2015, the Partnership had issued 7,377,380 common units under its EDAs, receiving net proceeds of $316.1 million. As of December 31, 2015, approximately $4.2 million of capacity and $835.6 million of capacity remained under the May 2014 and May 2015 EDAs. We contributed $6.5 million to the Partnership to maintain our 2% general partner interest. In connection with the TRC/TRP Merger, the Partnership’s April 2015 Shelf was withdrawn. TRC/TRP Merger On February 17, 2016, TRC completed the TRC/TRP Merger, indirectly acquiring all of the outstanding common units not already owned by us and our subsidiaries. As a result of the TRC/TRP Merger, we own all of the Partnership’s outstanding common units. At the effective time of the TRC/TRP Merger, each outstanding TRP common unit not owned by us or our subsidiaries was converted into the right to receive 0.62 shares of our common stock. We issued 104,525,775 shares of our common stock to third-party unitholders of the common units of the Partnership in exchange for all of the 168,590,009 outstanding common units of the Partnership that we previously did not own. No fractional TRC shares were issued in the TRC/TRP Merger, and TRP common unitholders, instead received cash in lieu of fractional TRC shares. Pursuant to the TRC/TRP Merger Agreement, TRC caused the TRP common units to be delisted from the NYSE and deregistered under the Exchange Act. As a result of the completion of the TRC/TRP Merger, the TRP common units are no longer publicly traded. The Partnership’s 5,000,000 Preferred Units remain outstanding as preferred limited partner interests in the Partnership and continue to trade on the NYSE. Distributions As a result of the TRC/TRP Merger, we are entitled to receive all Partnership distributions from available cash on the Partnership’s common units after payment of preferred unit distributions each quarter. The Partnership has discretion under the Third A&R Partnership Agreement See Note 2 – Basis of Presentation The following details the distributions declared or paid by the Partnership during 2017, 2016 and 2015: Three Months Ended Date Paid Or to Be Paid Total Distributions Distributions to Targa Resources Corp. 2017 December 31, 2017 February 12, 2018 $ 228.5 $ 225.7 September 30, 2017 November 10, 2017 225.4 222.6 June 30, 2017 August 10, 2017 225.4 222.6 March 31, 2017 May 11, 2017 209.6 206.8 2016 December 31, 2016 February 10, 2017 $ 198.1 $ 195.3 September 30, 2016 November 11, 2016 194.7 191.9 June 30, 2016 August 11, 2016 181.7 178.9 March 31, 2016 May 12, 2016 157.6 154.8 2015 December 31, 2015 February 9, 2016 $ 200.4 $ 61.4 September 30, 2015 November 13, 2015 200.4 61.4 June 30, 2015 August 14, 2015 200.4 61.4 March 31, 2015 May 15, 2015 193.9 59.0 Pursuant to the IDR Giveback Amendment in conjunction with the Atlas mergers, IDRs of $9.375 million were reallocated to common unitholders for each of the four quarters of 2015. The IDR Giveback Amendment covered sixteen quarterly distribution declarations following the completion of the Atlas mergers on February 27, 2015. The IDR Giveback resulted in reallocation of IDR payments to common unitholders of $6.25 million for each of the first three quarters of 2016. On October 19, 2016, the Partnership executed the Third A&R Partnership Agreement, which became effective on December 1, 2016. The Third A&R Partnership Agreement amendments include among other things (i) eliminating the IDRs held by the general partner, and related distribution and allocation provisions, (ii) eliminating the Special GP Interest (as defined in the Third A&R Partnership Agreement) held by the general partner, (iii) providing the ability to declare monthly distributions in addition to quarterly distributions, (iv) modifying certain provisions relating to distributions from available cash, (v) eliminating the Class B Unit provisions and (vi) changes to the Third A&R Partnership Agreement to reflect the passage of time and to remove provisions that are no longer applicable. As a result of the Third A&R Partnership Agreement, the reallocations of IDRs under the IDR Giveback Amendment ceased in the fourth quarter of 2016. On December 1, 2016 the Partnership issued to the General Partner (i) 20,380,286 common units and 424,590 General Partner units in exchange for the elimination of the IDRs and (ii) 11,267,485 common units and 234,739 General Partner units in exchange for the elimination of the Special GP Interest in connection with the Third A&R Partnership Agreement. Contributions Subsequent to the TRC/TRP Merger, 58,621,036 common units and 1,196,346 general partner units were issued for our contributions of $1,191.0 million. Subsequent to the effective date of the Third A&R Partnership Agreement, no units will be issued for capital contributions but all capital contributions will continue to be allocated 98% to the limited partner and 2% to the general partner. In December 2016, we made a $190.0 million capital contribution to the Partnership which was allocated accordingly. For the year ended December 31, 2017, we made total capital contributions to the Partnership of $1,720.0 million. Preferred Units In October 2015, under the April 2013 Shelf, the Partnership completed an offering of 4,400,000 Preferred Units at a price of $25.00 per unit. Pursuant to the exercise of the underwriters’ overallotment option, the Partnership sold an additional 600,000 Preferred Units at a price of $25.00 per unit. The Partnership received net proceeds after costs of approximately $121.1 million. The Partnership used the net proceeds from this offering to reduce borrowings under its senior secured credit facility and for general partnership purposes. The Preferred Units are listed on the NYSE under the symbol “NGLS PRA.” Distributions on the Partnership’s 5,000,000 Preferred Units are cumulative from the date of original issue in October 2015 and are payable monthly in arrears on the 15th day of each month of each year, when, as and if declared by the board of directors of the Partnership’s general partner. Distributions on the Preferred Units will be payable out of amounts legally available therefor from at a rate equal to 9.0% per annum. On and after November 1, 2020, distributions on the Preferred Units will accumulate at an annual floating rate equal to the one-month LIBOR plus a spread of 7.71%. The Preferred Units, with respect to anticipated monthly distributions, rank: • senior to the Partnership’s common units and to each other class or series of Partnership interests or other equity securities established after the original issue date of the Preferred Units that is not expressly made senior to or pari passu with the Preferred Units as to the payment of distributions; • pari passu with any class or series of Partnership interests or other equity securities established after the original issue date of the Preferred Units that is not expressly made senior or subordinated to the Preferred Units as to the payment of distributions; • junior to all of the Partnership’s existing and future indebtedness (including (i) indebtedness outstanding under the TRP Revolver, (ii) the Partnership’s senior notes and (iii) indebtedness outstanding under the Securitization Facility and other liabilities with respect to assets available to satisfy claims against the Partnership; and • junior to each other class or series of Partnership interests or other equity securities established after the original issue date of the Preferred Units that is expressly made senior to the Preferred Units as to the payment of distributions. At any time on or after November 1, 2020, the Partnership may redeem the Preferred Units, in whole or in part, from any source of funds legally available for such purpose, by paying $25.00 per unit plus an amount equal to all accumulated and unpaid distributions thereon to the date of redemption, whether or not declared. In addition, the Partnership (or a third party with our prior written consent) may redeem the Preferred Units following certain changes of control, as described in our Partnership Agreement. If the Partnership does not (or a third party with our prior written consent does not) exercise this option, then the holders of the Preferred Units (“Preferred Unitholders”) have the option to convert the Preferred Units into a number of common units per Preferred Unit as set forth in the Partnership Agreement. If the Partnership exercises (or a third party with our prior written consent exercises) its redemption rights relating to any Preferred Units, the holders of those Preferred Units will not have the conversion right described above with respect to the Preferred Units called for redemption. The Preferred Unitholders have no voting rights except for certain exceptions set forth in the Partnership Agreement. As of December 31, 2017, the Partnership has 5,000,000 Preferred Units outstanding. The Partnership paid $11.3 million, $11.3 million and $1.5 million of distributions to the Preferred Unitholders during the years ended December 31, 2017, 2016 and 2015. The Preferred Units are reported as noncontrolling interests in our financial statements. In January and February 2018, the board of directors of the general partner of the Partnership declared a cash distribution of $0.1875 per Preferred Unit, resulting in approximately $0.9 million in distributions each month. The distributions declared in January were paid on February 15, 2018 and the distributions declared in February will be paid on March 15, 2018. |
Earnings per Common Share
Earnings per Common Share | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Note 15 — Earnings per Common Share The following table sets forth a reconciliation of net income and weighted average shares outstanding (in millions) used in computing basic and diluted net income per common share: 2017 2016 2015 Net income $ 104.2 $ (159.1 ) $ (151.4 ) Less: Net income attributable to noncontrolling interests 50.2 28.2 (209.7 ) Less: Dividends on preferred stock 117.4 90.8 — Net income attributable to common shareholders for basic earnings per share $ (63.4 ) $ (278.1 ) $ 58.3 Weighted average shares outstanding - basic 206.9 154.4 53.5 Net income available per common share - basic $ (0.31 ) $ (1.80 ) $ 1.09 Weighted average shares outstanding 206.9 154.4 53.5 Dilutive effect of common stock equivalents — — 0.1 Weighted average shares outstanding - diluted 206.9 154.4 53.6 Net income available per common share - diluted $ (0.31 ) $ (1.80 ) $ 1.09 The following potential common stock equivalents are excluded from the determination of diluted earnings per share because the inclusion of such shares would have been anti-dilutive (in millions on a weighted-average basis): 2017 2016 2015 Unvested restricted stock awards 1.2 0.6 0.1 Warrants to purchase common stock 0.1 5.8 — Series A Preferred Stock (1) 46.5 36.9 — (1) The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock. See Note 12 – Preferred Stock. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | Note 16 — Derivative Instruments and Hedging Activities The primary purpose of our commodity risk management activities is to manage our exposure to commodity price risk and reduce volatility in our operating cash flow due to fluctuations in commodity prices. We have hedged the commodity prices associated with a portion of our expected (i) natural gas, NGL, and condensate equity volumes in our Gathering and Processing operations that result from percent-of-proceeds processing arrangements and (ii) future commodity purchases and sales in our Logistics and Marketing segment by entering into derivative instruments. These hedge positions will move favorably in periods of falling commodity prices and unfavorably in periods of rising commodity prices. We have designated these derivative contracts as cash flow hedges for accounting purposes. The hedges generally match the NGL product composition and the NGL delivery points of our physical equity volumes. Our natural gas hedges are a mixture of specific gas delivery points and Henry Hub. The NGL hedges may be transacted as specific NGL hedges or as baskets of ethane, propane, normal butane, isobutane and natural gasoline based upon our expected equity NGL composition. We believe this approach avoids uncorrelated risks resulting from employing hedges on crude oil or other petroleum products as “proxy” hedges of NGL prices. Our natural gas and NGL hedges are settled using published index prices for delivery at various locations. We hedge a portion of our condensate equity volumes using crude oil hedges that are based on the NYMEX futures contracts for West Texas Intermediate light, sweet crude, which approximates the prices received for condensate. This exposes us to a market differential risk if the NYMEX futures do not move in exact parity with the sales price of our underlying condensate equity volumes. As part of the Atlas mergers, outstanding TPL derivative contracts with a fair value of $102.1 million as of the acquisition date were novated to us and included in the acquisition date fair value of assets acquired. We received derivative settlements of $7.6 million, $26.6 million, and $67.9 million for the years ended December 31, 2017, 2016 and 2015, related to these novated contracts. The final settlement was received in December 2017. These settlements were reflected as a reduction of the acquisition date fair value of the TPL derivative assets acquired and had no effect on results of operations. The "off-market" nature of these acquired derivatives can introduce a degree of ineffectiveness for accounting purposes due to an embedded financing element representing the amount that would be paid or received as of the acquisition date to settle the derivative contract. The resulting ineffectiveness can either potentially disqualify the derivative contract in its entirety for hedge accounting or alternatively affect the amount of unrealized gains or losses on qualifying derivatives that can be deferred from inclusion in periodic net income. Additionally, we recorded ineffectiveness losses of $0.2 million, $0.3 million, and $0.9 million for the years ended December 31, 2017, 2016 and 2015, related to otherwise qualifying TPL derivatives, which are primarily natural gas swaps. We also enter into derivative instruments to help manage other short-term commodity-related business risks. We have not designated these derivatives as hedges and record changes in fair value and cash settlements to revenues. At December 31, 2017, the notional volumes of our commodity derivative contracts were: Commodity Instrument Unit 2018 2019 2020 Natural Gas Swaps MMBtu/d 166,470 131,506 - Natural Gas Basis Swaps MMBtu/d 99,521 12,500 10,417 Natural Gas Futures MMBtu/d 466 - - Natural Gas Options MMBtu/d 9,486 - - NGL Swaps Bbl/d 19,298 9,889 427 NGL Futures Bbl/d 14,661 329 - NGL Options Bbl/d 2,986 410 - Condensate Swaps Bbl/d 3,790 1,753 - Condensate Options Bbl/d 691 590 - Our derivative contracts are subject to netting arrangements that permit our contracting subsidiaries to net cash settle offsetting asset and liability positions with the same counterparty within the same Targa entity. We record derivative assets and liabilities on our Consolidated Balance Sheets on a gross basis, without considering the effect of master netting arrangements. The following schedules reflect the fair values of our derivative instruments and their location on our Consolidated Balance Sheets as well as pro forma reporting assuming that we reported derivatives subject to master netting agreements on a net basis: Fair Value as of December 31, 2017 Fair Value as of December 31, 2016 Balance Sheet Derivative Derivative Derivative Derivative Location Assets Liabilities Assets Liabilities Derivatives designated as hedging instruments Commodity contracts Current $ 37.9 $ 78.6 $ 16.7 $ 48.6 Long-term 23.2 18.7 5.1 26.1 Total derivatives designated as hedging instruments $ 61.1 $ 97.3 $ 21.8 $ 74.7 Derivatives not designated as hedging instruments Commodity contracts Current $ - $ 1.1 $ 0.1 $ 0.5 Long-term - 0.9 - - Total derivatives not designated as hedging instruments $ - $ 2.0 $ 0.1 $ 0.5 Total current position $ 37.9 $ 79.7 $ 16.8 $ 49.1 Total long-term position 23.2 19.6 5.1 26.1 Total derivatives $ 61.1 $ 99.3 $ 21.9 $ 75.2 The pro forma impact of reporting derivatives on our Consolidated Balance Sheets on a net basis is as follows: Gross Presentation Pro forma net presentation December 31, 2017 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 37.9 $ (74.7 ) $ 22.9 $ 13.8 $ (27.7 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (5.0 ) - - (5.0 ) 37.9 (79.7 ) 22.9 13.8 (32.7 ) Long Term Position Counterparties with offsetting positions or collateral 23.2 (17.3 ) - 14.8 (8.9 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (2.3 ) - - (2.3 ) 23.2 (19.6 ) - 14.8 (11.2 ) Total Derivatives Counterparties with offsetting positions or collateral 61.1 (92.0 ) 22.9 28.6 (36.6 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (7.3 ) - - (7.3 ) $ 61.1 $ (99.3 ) $ 22.9 $ 28.6 $ (43.9 ) Gross Presentation Pro forma net presentation December 31, 2016 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 16.8 $ (46.1 ) $ 7.0 $ 5.7 $ (28.0 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (3.0 ) - - (3.0 ) 16.8 (49.1 ) 7.0 5.7 (31.0 ) Long Term Position Counterparties with offsetting positions or collateral 5.1 (18.7 ) - - (13.6 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (7.4 ) - - (7.4 ) 5.1 (26.1 ) - - (21.0 ) Total Derivatives Counterparties with offsetting positions or collateral 21.9 (64.8 ) 7.0 5.7 (41.6 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (10.4 ) - - (10.4 ) $ 21.9 $ (75.2 ) $ 7.0 $ 5.7 $ (52.0 ) Our payment obligations in connection with a majority of these hedging transactions are secured by a first priority lien in the collateral securing the TRP Revolver that ranks equal in right of payment with liens granted in favor of the Partnership’s senior secured lenders. Some of our hedges are futures contracts executed through a broker that clears the hedges through an exchange. We maintain a margin deposit with the broker in an amount sufficient enough to cover the fair value of our open futures positions. The margin deposit is considered collateral, which is located within other current assets on our Consolidated Balance Sheets and is not offset against the fair values of our derivative instruments. The fair value of our derivative instruments, depending on the type of instrument, was determined by the use of present value methods or standard option valuation models with assumptions about commodity prices based on those observed in underlying markets. The estimated fair value of our derivative instruments was a net liability of $38.2 million as of December 31, 2017. The estimated fair value is net of an adjustment for credit risk based on the default probabilities as indicated by market quotes for the counterparties’ credit default swap rates. The credit risk adjustment was immaterial for all periods presented. Our futures contracts that are cleared through an exchange are margined daily and do not require any credit adjustment. The following tables reflect amounts recorded in Other Comprehensive Income and amounts reclassified from OCI to revenue and expense for the periods indicated: Derivatives in Cash Flow Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) Hedging Relationships 2017 2016 2015 Commodity contracts $ (28.8 ) $ (103.6 ) $ 112.7 Gain (Loss) Reclassified from OCI into Income (Effective Portion) Location of Gain (Loss) 2017 2016 2015 Revenues (44.6 ) 45.0 86.3 Our consolidated earnings are also affected by the use of the mark-to-market method of accounting for derivative instruments that do not qualify for hedge accounting or that have not been designated as hedges. The changes in fair value of these instruments are recorded on the balance sheet and through earnings rather than being deferred until the anticipated transaction settles. The use of mark-to-market accounting for financial instruments can cause non-cash earnings volatility due to changes in the underlying commodity price indices. Derivatives Not Designated Location of Gain Recognized in Gain (Loss) Recognized in Income on Derivatives as Hedging Instruments Income on Derivatives 2017 2016 2015 Commodity contracts Revenue $ (5.1 ) $ 0.9 $ (5.7) Based on valuations as of December 31, 2017, we expect to reclassify commodity hedge related deferred losses of $35.2 million included in accumulated other comprehensive income into earnings before income taxes through the end of 2020, with $39.9 million of losses to be reclassified over the next twelve months. See Note 17 – Fair Value Measurements for additional disclosures related to derivative instruments and hedging activities. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 17 — Fair Value Measurements Under GAAP, our Consolidated Balance Sheets reflect a mixture of measurement methods for financial assets and liabilities (“financial instruments”). Derivative financial instruments and contingent consideration related to business acquisitions are reported at fair value on our Consolidated Balance Sheets. Other financial instruments are reported at historical cost or amortized cost on our Consolidated Balance Sheets. The following are additional qualitative and quantitative disclosures regarding fair value measurements of financial instruments. Fair Value of Derivative Financial Instruments Our derivative instruments consist of financially settled commodity swaps, futures, option contracts and fixed-price forward commodity contracts with certain counterparties. We determine the fair value of our derivative contracts using present value methods or standard option valuation models with assumptions about commodity prices based on those observed in underlying markets. We have consistently applied these valuation techniques in all periods presented and we believe we have obtained the most accurate information available for the types of derivative contracts we hold. The fair values of our derivative instruments are sensitive to changes in forward pricing on natural gas, NGLs and crude oil. The financial position of these derivatives at December 31, 2017, a net liability position of $38.2 million, reflects the present value, adjusted for counterparty credit risk, of the amount we expect to receive or pay in the future on our derivative contracts. If forward pricing on natural gas, NGLs and crude oil were to increase by 10%, the result would be a fair value reflecting a net liability of $127.5 million, ignoring an adjustment for counterparty credit risk. If forward pricing on natural gas, NGLs and crude oil were to decrease by 10%, the result would be a fair value reflecting a net asset of $51.1 million, ignoring an adjustment for counterparty credit risk. Fair Value of Other Financial Instruments Due to their cash or near-cash nature, the carrying value of other financial instruments included in working capital (i.e., cash and cash equivalents, accounts receivable, accounts payable) approximates their fair value. Long-term debt is primarily the other financial instrument for which carrying value could vary significantly from fair value. We determined the supplemental fair value disclosures for our long-term debt as follows: • The TRC Revolver, TRP Revolver, and the Partnership’s accounts receivable securitization facility are based on carrying value, which approximates fair value as their interest rates are based on prevailing market rates; and • Our term loan (prior to its repayment) and the Partnership’s senior unsecured notes are based on quoted market prices derived from trades of the debt. Contingent consideration liabilities related to business acquisitions are carried at fair value. Fair Value Hierarchy We categorize the inputs to the fair value measurements of financial assets and liabilities at each balance sheet reporting date using a three-tier fair value hierarchy that prioritizes the significant inputs used in measuring fair value: • Level 1 – observable inputs such as quoted prices in active markets; • Level 2 – inputs other than quoted prices in active markets that we can directly or indirectly observe to the extent that the markets are liquid for the relevant settlement periods; and • Level 3 – unobservable inputs in which little or no market data exists, therefore we must develop our own assumptions. The following table shows a breakdown by fair value hierarchy category for (1) financial instruments measurements included on our Consolidated Balance Sheets at fair value and (2) supplemental fair value disclosures for other financial instruments: December 31, 2017 Carrying Fair Value Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 60.3 $ 60.3 $ — $ 58.8 $ 1.5 Liabilities from commodity derivative contracts (1) 98.5 98.5 — 93.3 5.2 Permian Acquisition contingent consideration (2) 317.0 317.0 — — 317.0 TPL contingent consideration (3) 2.4 2.4 — — 2.4 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 137.2 137.2 — — — TRC Revolver 435.0 435.0 — 435.0 — TRC term loan — — — — — TRP Revolver 20.0 20.0 — 20.0 — Partnership's Senior unsecured notes 4,278.0 4,362.4 — 4,362.4 — Partnership's accounts receivable securitization facility 350.0 350.0 — 350.0 — December 31, 2016 Carrying Fair Value Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 21.0 $ 21.0 $ — $ 19.6 $ 1.4 Liabilities from commodity derivative contracts (1) 74.2 74.2 — 69.3 4.9 Permian Acquisition contingent consideration (2) — — — — — TPL contingent consideration (3) 2.6 2.6 — — 2.6 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 73.5 73.5 — — — TRC Revolver 275.0 275.0 — 275.0 — TRC term loan 157.8 158.4 — 158.4 — TRP Revolver 150.0 150.0 — 150.0 — Partnership's Senior unsecured notes 4,057.3 4,101.6 — 4,101.6 — Partnership's accounts receivable securitization facility 275.0 275.0 — 275.0 — (1) The fair value of derivative contracts in this table is presented on a different basis than the Consolidated Balance Sheets presentation as disclosed in Note 16 – Derivative Instruments and Hedging Activities. The above fair values reflect the total value of each derivative contract taken as a whole, whereas the Consolidated Balance Sheets presentation is based on the individual maturity dates of estimated future settlements. As such, an individual contract could have both an asset and liability position when segregated into its current and long-term portions for Consolidated Balance Sheets classification purposes. (2) We have a contingent consideration liability related to the Permian Acquisition, which is carried at fair value. (3) We have a contingent consideration liability for TPL’s previous acquisition of a gas gathering system and related assets, which is carried at fair value. Additional Information Regarding Level 3 Fair Value Measurements Included on Our Consolidated Balance Sheets We reported certain of our swaps and option contracts at fair value using Level 3 inputs due to such derivatives not having observable implied volatilities or market prices for substantially the full term of the derivative asset or liability. For valuations that include both observable and unobservable inputs, if the unobservable input is determined to be significant to the overall inputs, the entire valuation is categorized in Level 3. This includes derivatives valued using indicative price quotations whose contract length extends into unobservable periods. The fair value of these swaps is determined using a discounted cash flow valuation technique based on a forward commodity basis curve. For these derivatives, the primary input to the valuation model is the forward commodity basis curve, which is based on observable or public data sources and extrapolated when observable prices are not available. As of December 31, 2017, we had 14 commodity swap and option contracts categorized as Level 3. The significant unobservable inputs used in the fair value measurements of our Level 3 derivatives are (i) the forward natural gas liquids pricing curves, for which a significant portion of the derivative’s term is beyond available forward pricing and (ii) implied volatilities, which are unobservable as a result of inactive natural gas liquids options trading. The change in the fair value of Level 3 derivatives associated with a 10% change in the forward basis curve where prices are not observable is immaterial. The fair value of the Permian Acquisition contingent consideration was determined using a Monte Carlo simulation model. Significant inputs used in the fair value measurement include expected gross margin (calculated in accordance with the terms of the purchase and sale agreements), term of the earn-out period, risk adjusted discount rate and volatility associated with the underlying assets. A significant decrease in expected gross margin during the earn-out period, or significant increase in the discount rate or volatility would result in a lower fair value estimate. The fair value of the TPL contingent consideration was determined using a probability-based model measuring the likelihood of meeting certain volumetric measures. The inputs for both models are not observable; therefore, the entire valuations of the contingent considerations are categorized in Level 3. Changes in the fair value of these liabilities are included in Other income (expense) in our Consolidated Statements of Operations. The following table summarizes the changes in fair value of our financial instruments classified as Level 3 in the fair value hierarchy: Commodity Derivative Contracts Contingent Asset/(Liability) Liability Balance, December 31, 2016 $ (3.6 ) $ (2.6 ) Change in fair value of TPL contingent consideration - 0.2 Fair value of Permian Acquisition contingent consideration (1) - (317.0 ) New Level 3 derivative instruments (0.2 ) - Transfers out of Level 3 (2) 4.2 - Settlements included in Revenue - - Unrealized gain/(loss) included in OCI (4.2 ) - Balance, December 31, 2017 $ (3.8 ) $ (319.4 ) (1) Represents the December 31, 2017 balance of the contingent consideration that arose as part of the Permian Acquisition in the first quarter of 2017. See Note 4 – Acquisitions and Divestitures for discussion of the initial fair value. (2) Transfers relate to long-term over-the-counter swaps for NGL products for which observable market prices became available for substantially their full term. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 18 — Related Party Transactions Transactions with Unconsolidated Affiliates For the years ended December 31, 2017, 2016 and 2015, transactions with GCF included in revenues were $0.3 million, $0.4 million and $0.5 million. For the same periods, transactions with GCF included in costs and expenses were $4.4 million, $3.2 million and $5.8 million. We are subject to paying a deficiency fee in instances where we do not deliver our minimum volume requirements as outlined in the partnership and fractionation agreements with GCF. We engage in the purchase and sale of residue gas and condensate with the T2 Joint Ventures. Revenue attributable to sales to T2 Eagle Ford and T2 Cogen were $2.0 million and $0.1 million for the year ended December 31, 2017, $4.6 million and $0.6 million for the year ended December 31, 2016, and $4.4 million and $1.4 million for the year ended December 31, 2015. Cost of sales attributable to T2 Eagle Ford were $1.1 million, $2.6 million and $4.0 million for the years ended December 31, 2017, 2016 and 2015. Capacity lease fees paid to T2 Eagle Ford and T2 LaSalle and included in operating expenses were $3.1 million and $0.7 million for the year ended December 31, 2017, $3.2 million and $0.8 million for the year ended December 31, 2016, and $3.0 million and $1.3 million for the year ended December 31, 2015. These fees are billed to us based on our portion of the cost to operate each respective joint venture. As a result of this activity, we had a payable balance with T2 Eagle Ford of $0.3 million at December 31, 2017 and a receivable balance of $0.2 million at December 31, 2016. Relationship with Targa Resources Partners LP We provide general and administrative and other services to the Partnership, associated with the Partnership’s existing assets and assets acquired from third parties. The Partnership Agreement between the Partnership and us, as general partner of the Partnership, governs the reimbursement of costs incurred on the behalf of the Partnership. The employees supporting the Partnership’s operations are employees of us. The Partnership reimburses us for the payment of certain operating expenses, including compensation and benefits of operating personnel assigned to the Partnership’s assets, and for the provision of various general and administrative services for the benefit of the Partnership. We perform centralized corporate functions for the Partnership, such as legal, accounting, treasury, insurance, risk management, health, safety and environmental, information technology, human resources, credit, payroll, internal audit, taxes, engineering and marketing. Since October 1, 2010, after the final conveyance of assets by us to the Partnership, substantially all of our general and administrative costs have been and will continue to be allocated to the Partnership, other than (1) costs attributable to our status as a separate reporting company and (2) our costs of providing management and support services to certain unaffiliated spun-off entities. Relationship with Sajet Resources LLC Former holders of our pre-IPO common equity, including certain of our executive managers and directors, own a controlling interest in Sajet Resources LLC (“Sajet”), which was spun-off in December 2010 prior to the IPO. Sajet owns certain technology rights, real property and ownership interests in Allied CNG Ventures LLC. We provide general and administrative services to Sajet and are reimbursed for these amounts at our actual cost. Services provided to Sajet during the years ended December 31, 2017, 2016 and 2015 totaled $0.3 million, $0.5 million, and $1.1 million, respectively. Relationship with Tesla Resources LLC In September 2012, Tesla Resources LLC (“Tesla”) was spun-off from Sajet. Tesla has ownership interests in Floridian Natural Gas Storage Company LLC (“Floridian”). We provide general and administrative services to Tesla and Floridian and are reimbursed for these amounts at our actual cost. Services provided to Tesla and Floridian during the years ended December 31, 2017, 2016 and 2015 totaled $0.1 million, $0.1 million, and $0.2 million, respectively. |
Commitments (Leases)
Commitments (Leases) | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Commitments (Leases) | Note 19 — Commitments (Leases) Future lease obligations are presented below in aggregate and for each of the next five fiscal years: In Aggregate 2018 2019 2020 2021 2022 Operating leases (1) $ 42.5 $ 12.6 $ 7.5 $ 7.9 $ 7.3 $ 7.2 Land site lease and rights of way (2) 14.6 3.2 3.0 2.8 2.8 2.8 $ 57.1 $ 15.8 $ 10.5 $ 10.7 $ 10.1 $ 10.0 (1) Includes minimum payments on lease obligations for office space, railcars and tractors. (2) Land site lease and rights of way provides for surface and underground access for gathering, processing and distribution assets that are located on property not owned by us. These agreements expire at various dates, with varying terms, some of which are perpetual. Total expenses incurred under the above lease obligations, including short-term leases of compressors and equipment, were: 2017 2016 2015 Operating leases (1) $ 49.6 $ 48.9 $ 46.0 Land site lease and rights of way 5.2 4.4 4.2 $ 54.8 $ 53.3 $ 50.2 _____________________________ (1) Includes short-term leases for items such as compressors and equipment. |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Loss Contingency [Abstract] | |
Contingencies | Note 20 – Contingencies Legal Proceedings We and the Partnership are parties to various legal, administrative and regulatory proceedings that have arisen in the ordinary course of our business. |
Significant Risks and Uncertain
Significant Risks and Uncertainties | 12 Months Ended |
Dec. 31, 2017 | |
Risks And Uncertainties [Abstract] | |
Significant Risks and Uncertainties | Note 21 – Significant Risks and Uncertainties Nature of Our Operations in Midstream Energy Industry We operate in the midstream energy industry. Our business activities include gathering, processing, fractionating and storage of natural gas, NGLs and crude oil. Our results of operations, cash flows and financial condition may be affected by changes in the commodity prices of these hydrocarbon products and changes in the relative price levels among these hydrocarbon products. In general, the prices of natural gas, NGLs, condensate and other hydrocarbon products are subject to fluctuations in response to changes in supply, market uncertainty and a variety of additional factors that are beyond our control. Our profitability could be impacted by a decline in the volume of crude oil, natural gas, NGLs and condensate transported, gathered or processed at our facilities. A material decrease in natural gas or condensate production or condensate refining, as a result of depressed commodity prices, a decrease in exploration and development activities, or otherwise, could result in a decline in the volume of crude oil, natural gas, NGLs and condensate handled by our facilities. A reduction in demand for NGL products by the petrochemical, refining or heating industries, whether because of (i) general economic conditions, (ii) reduced demand by consumers for the end products made with NGL products, (iii) increased competition from petroleum-based products due to the pricing differences, (iv) adverse weather conditions, (v) government regulations affecting commodity prices and production levels of hydrocarbons or the content of motor gasoline or (vi) other reasons, could also adversely affect our results of operations, cash flows and financial position. Our principal market risks are exposure to changes in commodity prices, particularly to the prices of natural gas, NGLs and crude oil, and changes in interest rates. Commodity Price Risk A significant portion of our revenues are derived from percent-of-proceeds contracts under which we receive a portion of the natural gas and/or NGLs or equity volumes as payment for services. The prices of natural gas, NGLs and crude oil are subject to fluctuations in response to changes in supply, demand, market uncertainty and a variety of additional factors beyond our control. In response to these price risks, we monitor NGL inventory levels in order to mitigate losses related to downward price exposure. In an effort to reduce the variability of our cash flows, we have entered into derivative financial instruments to hedge the commodity price associated with a significant portion of our expected natural gas, NGL and condensate equity volumes and future commodity purchases and sales through 2020. Historically, these transactions have included both swaps and purchased puts (or floors) and calls (or caps) to hedge additional expected equity commodity volumes without creating volumetric risk. We hedge a higher percentage of our expected equity volumes in the earlier future periods. With swaps, we typically receive an agreed upon fixed price for a specified notional quantity and pay the hedge counterparty a floating price for that same quantity based upon published index prices. Since we receive from our customers substantially the same floating index price from the sale of the underlying physical commodity, these transactions are designed to effectively lock-in the agreed fixed price in advance for the volumes hedged. In order to avoid having a greater volume hedged than actual equity volumes, we typically limit our use of swaps to hedge the prices of less than our expected equity volumes. Our commodity hedges may expose us to the risk of financial loss in certain circumstances. Counterparty Risk – Credit and Concentration Derivative Counterparty Risk Where we are exposed to credit risk in our financial instrument transactions, management analyzes the counterparty’s financial condition prior to entering into an agreement, establishes credit and/or margin limits and monitors the appropriateness of these limits on an ongoing basis. Generally, management does not require collateral and does not anticipate nonperformance by our counterparties. We have master netting provisions in the International Swap Dealers Association agreements with all of our derivative counterparties. These netting provisions allow us to net settle asset and liability positions with the same counterparties, which reduced our maximum loss due to counterparty credit risk by $61.1 million as of December 31, 2017. The range of losses attributable to our individual counterparties would be between $0.6 million and $22.0 million, depending on the counterparty in default. The credit exposure related to commodity derivative instruments is represented by the fair value of contracts with a net positive fair value, representing expected future receipts, at the reporting date. At such times, these outstanding instruments expose us to losses in the event of nonperformance by the counterparties to the agreements. Should the creditworthiness of one or more of the counterparties decline, the ability to mitigate nonperformance risk is limited to a counterparty agreeing to either a voluntary termination and subsequent cash settlement or a novation of the derivative contract to a third party. In the event of a counterparty default, we may sustain a loss and our cash receipts could be negatively impacted. Customer Credit Risk We extend credit to customers and other parties in the normal course of business. We have established various procedures to manage our credit exposure, including initial credit approvals, credit limits and terms, letters of credit, and rights of offset. We also use prepayments and guarantees to limit credit risk to ensure that our established credit criteria are met. Our allowance for doubtful accounts was $0.1 million as of December 31, 2017 and $0.9 million as of December 31, 2016. Significant Commercial Relationship During the years ended December 31, 2017, 2016 and 2015, we did not have any commercial relationships that exceeded 10% of consolidated revenues. Interest Rate Risk We are exposed to changes in interest rates, primarily as a result of variable rate borrowings under the TRC Revolver, the TRP Revolver, and the Securitization Facility. Casualty or Other Risks We maintain coverage in various insurance programs, which provides us with property damage, business interruption and other coverages which are customary for the nature and scope of our operations. Management believes that we have adequate insurance coverage, although insurance may not cover every type of interruption that might occur. As a result of insurance market conditions, premiums and deductibles may change overtime, and in some instances, certain insurance may become unavailable, or available for only reduced amounts of coverage. As a result, we may not be able to renew existing insurance policies or procure other desirable insurance on commercially reasonable terms, if at all. If we were to incur a significant liability for which we were not fully insured, it could have a material impact on our consolidated financial position and results of operations. In addition, the proceeds of any such insurance may not be paid in a timely manner and may be insufficient if such an event were to occur. Any event that interrupts the revenues generated by us, or which causes us to make significant expenditures not covered by insurance, could reduce our ability to meet our financial obligations. Furthermore, even when a business interruption event is covered, it could affect interperiod results as we would not recognize the contingent gain until realized in a period following the incident. |
Other Operating (Income) Expens
Other Operating (Income) Expense | 12 Months Ended |
Dec. 31, 2017 | |
Other Income And Expenses [Abstract] | |
Other Operating (Income) Expense | Note 22 – Other Operating (Income) Expense Other Operating (Income) Expense is comprised of the following: 2017 2016 2015 (Gain) loss on sale or disposal of assets (1) $ 15.9 $ 6.1 $ (8.0 ) Casualty (gain) loss - - (0.2 ) Miscellaneous business tax 0.8 0.5 0.5 Other 0.7 - 0.6 $ 17.4 $ 6.6 $ (7.1 ) ______________________ (1) Comprised primarily of a $16.1 million loss in 2017 due to the reduction in the carrying value of our ownership interest in VGS in connection with the April 4, 2017 sale. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 23 – Income Taxes Components of the federal and state income tax provisions for the periods indicated are as follows: 2017 2016 2015 Current expense (benefit) $ (4.4 ) $ (62.8 ) $ 15.0 Deferred expense (benefit) (392.7 ) (37.8 ) 24.6 Total income tax expense (benefit) $ (397.1 ) $ (100.6 ) $ 39.6 Our deferred income tax assets and liabilities at December 31, 2017 and 2016 consist of differences related to the timing of recognition of certain types of costs as follows: 2017 2016 Deferred tax assets: Net operating loss 278.1 101.2 Tax credits - 3.9 Other 2.7 3.5 Deferred tax assets before valuation allowance $ 280.8 $ 108.6 Valuation allowance (2.7 ) (3.5 ) Deferred tax assets 278.1 105.1 Deferred tax liabilities: Investments (1) (768.9 ) (1,002.6 ) Property, plant, and equipment (16.4 ) (25.3 ) Other 28.2 (18.4 ) Deferred tax liabilities (757.1 ) (1,046.3 ) Net deferred tax asset (liability) $ (479.0 ) (941.2 ) Net deferred tax asset (liability) Federal $ (386.1 ) $ (833.2 ) Foreign 0.6 0.6 State (93.5 ) (108.6 ) Long-term deferred tax liability, net $ (479.0 ) $ (941.2 ) (1) Our deferred tax liability attributable to investments reflects the differences between the book and tax carrying values of our investment in the Partnership. On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the "Tax Act"). The Tax Act makes broad and complex changes to the Internal Revenue Code of 1986, including, but not limited to, (1) reducing the U.S. federal corporate tax rate from 35% to 21%; (2) eliminating the corporate alternative minimum tax (AMT) and changing how existing AMT credits are realized; (3) creating a new limitation on deductible interest expense; and (4) changing rules related to uses and limitation of net operating loss carryforwards created in tax years beginning after December 31, 2017. The SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”), which provides guidance on accounting for the tax effects of the Tax Act. SAB 118 provides a measurement period that should not extend beyond one year from the Tax Act enactment date for companies to complete the accounting under ASC 740. In accordance with SAB 118, a company must reflect the income tax effects of those aspects of the Act for which the accounting under ASC 740 is complete. To the extent that a company's accounting for certain income tax effects of the Tax Act is incomplete but it is able to determine a reasonable estimate, it must record a provisional estimate in the financial statements. If a company cannot determine a provisional estimate to be included in the financial statements, it should continue to apply ASC 740 on the basis of the provisions of the tax laws that were in effect immediately before the enactment of the Tax Act. In connection with our initial analysis of the impact of the Tax Act, we recorded a discrete net deferred tax benefit of $269.5 million in the period ending December 31, 2017. This net deferred tax benefit consists of the corporate tax rate reduction. For various reasons that are discussed more fully below, we have not completed our accounting for the income tax effects of certain elements of the Tax Act. We were able to make reasonable estimates that we recorded as provisional adjustments with regard to said elements. Our accounting for the following elements of the Tax Act is complete: • We reclassified $4.2 million of alternative minimum tax credits from deferred tax assets to long term assets. We expect to receive this amount as a refund in the years ended 2019, 2020 and 2021. Our accounting for the following elements of the Tax Act is incomplete. However, we are able to make reasonable estimates of certain effects and, therefore, recorded provisional adjustments as follows: • Reduction of U.S. federal corporate tax rate: The Tax Act reduces the corporate tax rate to 21%, effective January 1, 2018. We recorded a provisional deferred tax benefit of $269.5 million for the year ended December 31, 2017. While we are able to make a reasonable estimate of the impact of the reduction in corporate rate, it may be affected by other analyses related to the Tax Act including but not limited to changes to our cost recovery assumptions and the state tax effect of adjustments to federal temporary differences. • Cost recovery: We have not yet completely inventoried and analyzed our 2017 capital expenditures that qualify for bonus expensing. We have recorded a provisional tax depreciation expense of $1.9 billion which does not include full expensing of all qualifying capital expenditures. • Internal Revenue Code (“IRC”) Section 162(m) Limitations: Congress enacted several modifications to the compensation deduction limitation for covered employees under IRC Section 162(m). The modifications do not apply to compensation agreements entered into on or before November 2, 2017. Targa’s covered employees’ compensation is attributable to compensation agreements entered into on or before November 2, 2017. Consequently, we have not recorded a provisional adjustment as we continue to assess the applicability of the modifications in the context of Targa’s pre-November 2, 2017, compensation agreements and all facts and circumstances. We have net operating loss carryforwards of $1.3 billion, which expire between 2036 and 2037. As a result of the TRC/TRP Merger, TRC acquired all of the common units of the Partnership owned by the public. In exchange for said units, TRC transferred its stock with a fair market value as of the close of business February 16, 2016, of approximately $1.8 billion and TRC assumed TRP's liabilities of approximately $5.4 billion, resulting in a purchase price of $7.3 billion. The transaction constitutes a taxable sale which resulted in an adjustment to the tax basis in the underlying assets deemed acquired in the common partnership unit acquisition. A deferred tax liability of approximately $865.0 million related to the book tax basis difference in this investment has been recorded, computed as $4.1 billion book basis in excess of $1.8 billion tax basis at TRC's statutory rate of 37.34% at the time of the transaction. As part of the TPL merger in 2015, we acquired TPL Arkoma Inc., a corporate subsidiary subject to federal and state income tax. Our corporate subsidiary accounts for income taxes under the asset and liability method and provides deferred income taxes for all significant temporary differences. As of December 31, 2017, TPL Arkoma, Inc. had net operating loss carry forwards for federal income tax purposes of approximately $53.0 million, which expire at various dates from 2029 to 2037. Management believes it more likely than not that the deferred tax asset will be fully utilized. Set forth below is the reconciliation between our income tax provision (benefit) computed at the United States statutory rate on income before income taxes and the income tax provision in our Consolidated Statements of Operations for the periods indicated: Income tax reconciliation: 2017 2016 2015 Income (loss) before income taxes $ (292.9 ) $ (259.7 ) $ (111.8 ) Less: Net income attributable to noncontrolling interest (50.2 ) (28.2 ) 209.7 Less: TPL Arkoma, Inc. income to TRC — 0.8 0.5 Less: Income taxes included in noncontrolling interest — — (0.6 ) Income attributable to TRC (excluding TPL Arkoma, Inc.) before income taxes (343.1 ) (287.1 ) 97.8 Income from TPL Arkoma, Inc. — (0.8 ) (7.6 ) Income attributable to TRC and TPL Arkoma, Inc. before income taxes (343.1 ) (287.9 ) 90.2 Federal statutory income tax rate 35 % 35 % 35 % Provision for federal income taxes (120.1 ) (100.8 ) 31.6 State income taxes, net of federal tax benefit (11.7 ) (6.1 ) 3.5 Amortization of deferred charge on 2010 transactions — 4.7 4.7 Tax reform rate change (269.5 ) — — Other, net 4.2 1.6 (0.2 ) Income tax provision (benefit) $ (397.1 ) $ (100.6 ) $ 39.6 We have not identified any uncertain tax positions. We believe that our income tax filing positions and deductions will be sustained on audit and do not anticipate any adjustments that will result in a material adverse effect on our financial condition, results of operations or cash flow. Therefore, no reserves for uncertain income tax positions have been recorded. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Note 24 - Supplemental Cash Flow Information 2017 2016 2015 Cash: Interest paid, net of capitalized interest (1) $ 212.2 $ 282.0 $ 214.1 Income taxes paid, net of refunds (67.5 ) (10.6 ) 12.6 Non-cash investing activities: Deadstock commodity inventory transferred to property, plant and equipment $ 9.0 $ 17.4 1.2 Impact of capital expenditure accruals on property, plant and equipment 205.4 27.6 43.8 Transfers from materials and supplies inventory to property, plant and equipment 3.6 2.4 3.7 Contribution of property, plant and equipment to investments in unconsolidated affiliates 1.0 — — Change in ARO liability and property, plant and equipment due to revised cash flow estimate 3.1 (9.1 ) 3.8 Deferred revenue related to property, plant and equipment received under contract amendment — — 22.6 Non-cash financing activities: Reduction of Owner's Equity related to accrued dividends on unvested equity awards under share compensation arrangements $ 9.7 $ 8.7 1.6 Debt additions and retirements related to exchange of TRP 6⅝% Notes for 6⅝% TPL Notes — — 342.1 Allocation of Series A Preferred Stock net book value of BCF to additional paid-in capital — 614.4 — Change in accrued dividends of Series A Preferred Stock — — 0.9 Accrued dividends of Series A Preferred Stock — 22.9 — Accretion of deemed dividends on Series A Preferred Stock 25.7 18.2 — Transfer within additional paid-in capital for exercise of Warrants — 181.5 — Impact of accounting standard adoption recorded in retained earnings 56.1 — — Non-cash balance sheet movements related to the Permian Acquisition (See Note 4 - Acquisitions and Divestitures): Contingent consideration recorded at the acquisition date $ 416.3 $ — $ — Non-cash balance sheet movements related to the purchase of noncontrolling interests in subsidiary (See Note 4 - Acquisitions and Divestitures): Additional paid-in capital (13.9 ) 65.0 — Deferred tax liability 13.9 — — Noncontrolling interests — (65.0 ) — Additional paid-in capital 0.3 3,207.5 — Accumulated other comprehensive income — 55.8 Noncontrolling interests — (4,119.7 ) — Deferred tax liability (0.3 ) 856.3 — Non-cash balance sheet movements related to the Atlas Merger (See Note 4 - Acquisitions and Divestitures): Non-cash merger consideration - common units and replacement equity awards $ — $ — $ 2,436.1 Non-cash merger consideration - common shares and replacement equity awards — — 1,013.7 Net non-cash balance sheet movements excluded from consolidated statements of cash flows — — 3,449.8 Net cash merger consideration included in investing activities — — 1,574.4 Total fair value of consideration transferred $ — $ — $ 5,024.2 (1) Interest capitalized on major projects was $14.3 million, $8.3 million and $13.2 million for the years ended December 31, 2017, 2016 and 2015. |
Compensation Plans
Compensation Plans | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Compensation Plans | Note 25 – Compensation Plans 2010 TRC Stock Incentive Plan In December 2010, we adopted the Targa Resources Corp. 2010 Stock Incentive Plan for employees, consultants and non-employee directors of the Company. In May 2017, the 2010 TRC Plan was amended and restated (the “2010 TRC Plan”). Total authorized shares of common stock under the plan is 15,000,000, comprised of 5,000,000 shares originally available and an additional 10,000,000 shares that became available in May. The 2010 TRC Plan allows for the grant of (i) incentive stock options qualified as such under U.S. federal income tax laws (“Incentive Options”), (ii) stock options that do not qualify as incentive options (“Non-statutory Options,” and together with Incentive Options, “Options”), (iii) stock appreciation rights (“SARs”) granted in conjunction with Options or Phantom Stock Awards, (iv) restricted stock awards (“Restricted Stock Awards”), (v) phantom stock awards (“Phantom Stock Awards”), (vi) bonus stock awards, (vii) performance unit awards, or (viii) any combination of such awards (collectively referred to a “Awards”). Unless otherwise specified, the compensation costs for the awards listed below were recognized as expenses over related vesting periods based on the grant-date fair values, reduced by forfeitures incurred. Restricted Stock Awards - Restricted stock entitles the recipient to cash dividends. Dividends on unvested restricted stock will be accrued when declared and recorded as short-term or long-term liabilities, dependent on the time remaining until payment of the dividends, and paid in cash when the award vests. The restricted stock awards will be included in the outstanding shares of our common stock upon issuance. Restricted Stock in Lieu of Salary –During 2016, we issued on a quarterly basis, a total of 32,267 shares of restricted stock to two of our executives in lieu of all of their 2016 base salary. These awards vested one year from the date of each grant. The weighted average grant-date fair value of these shares of restricted stock was $41.43. The number of shares of restricted stock awarded was determined by dividing one-fourth of the officer’s annual base salary by the average closing price of the shares of common stock for five trading days before the end of each quarter. There was no issuance of this type of awards in 2017. Director Grants – The committee awarded our common stock to our outside directors. In 2017, 2016 and 2015, we issued 13,818, 24,234 and 6,429 shares of director grants with the weighted average grant-date fair value of $60.48, $16.45 and $86.49. These director grants vested upon issuance. Restricted Stock Units Awards – Restricted Stock Units (“RSUs”) are similar to restricted stock, except that shares of common stock are not issued until the RSUs vest. The vesting periods vary from one year to five years. In 2017, 2016 and 2015, we issued 1,193,942, 1,129,705 and 140,477 shares of RSUs with the weighted average grant-date fair value of $54.18, $27.87 and $83.54. Restricted Stock in Lieu of Bonus – During 2017 and 2016, we issued 84,221 and 153,252 shares of restricted stock awards in lieu of cash bonuses in the form of RSUs for our executives at the weighted average grant-date fair value of $55.94 and $26.34. These awards will cliff vest over three years. The following table summarizes the restricted stock and RSUs under the 2010 TRC Plan in shares and in dollars for the year indicated. Number Weighted Average of shares Grant-Date Fair Value Outstanding at December 31, 2016 1,368,250 $ 38.10 Granted 1,207,760 54.25 Forfeited (16,330 ) 47.35 Vested (130,882 ) 80.47 Outstanding at December 31, 2017 2,428,798 43.78 Performance Share Units During 2017, we issued 113,901 shares of performance share units to executive management and employees for the 2017 compensation cycle that will vest on December 31, 2019. The performance share units granted under the 2010 TRC Plan are three-year equity-settled awards linked to the performance of shares of our common stock. The awards also include dividend equivalent rights (“DERs”) that are based on the notional dividends accumulated during the vesting period. The vesting of the performance share units is dependent on the satisfaction of a combination of certain service-related conditions and the Company’s total shareholder return (“TSR”) relative to the TSR of the members of a specified comparator group of publicly-traded midstream companies (the “LTIP Peer Group”) measured over designated periods. The TSR performance factor is determined by the Committee at the end of the overall performance period based on relative performance over the designated weighting periods as follows: (i) 25% based on annual relative TSR for the first year; (ii) 25% based on annual relative TSR for the second year; (iii) 25% based on annual relative TSR for the third year; and (iv) the remaining 25% based on cumulative three-year relative TSR over the entirety of the performance period. With respect to each weighting period, the Committee determines the “guideline performance percentage,” which could range from 0% to 250%, based upon the Company’s relative TSR performance for the applicable period. The TSR performance factor will be calculated by averaging the guideline performance percentage for each weighting period, and the average percentage may then be decreased or increased by the Committee at its discretion. The grantee will become vested in a number of performance share units equal to the target number awarded multiplied by the TSR performance factor, and vested performance share units will be settled by the issuance of Company common stock. The value of dividend equivalent rights will be paid in cash. Compensation cost for equity-settled performance share units was recognized as an expense over the performance period based on fair value at the grant date. The compensation cost will be reduced if forfeitures occur. Fair value was calculated using a simulated share price that incorporates peer ranking. DERs associated with equity-settled performance share units were accrued over the performance period as a reduction of owners’ equity. We evaluated the grant date fair value using a Monte Carlo simulation model and historical volatility assumption with an expected term of three years. The following table summarizes the performance share units under the 2010 TRC Plan in shares and in dollars for the year indicated. Number Weighted Average of shares Grant-Date Fair Value Outstanding at December 31, 2016 — $ — Granted 113,901 99.71 Outstanding at December 31, 2017 113,901 99.71 TRC Equity Compensation Plan In 2007, both we and the Partnership adopted Long-Term Incentive Plans (each, an “LTIP”) for employees, consultants, directors and non-employee directors of us and our affiliates who perform services for us or our affiliates. The awards under this plan included performance units, phantom units and director grants. The Partnership LTIP (“TRP LTIP”) provided for, among other things, the grant of both cash-settled and equity-settled performance units. In connection with the TRC/TRP Merger, as of February 17, 2016, we assumed, adopted, and amended the TRP LTIP, and changed the name of the plan to the Targa Resources Corp. Equity Compensation Plan (as assumed, adopted and amended, the “TRC Equity Compensation Plan” or the “Plan”), and we assumed all Partnership obligations associated with the Plan existing prior to its assumption and adoption by us. The TRC Equity Compensation Plan allows for the grant of options, performance shares, restricted stocks, replacement stocks and other stock-based awards. The termination date for this plan was February 7, 2017. Awards Under TRP LTIP Performance Units The performance units granted under the TRP LTIP were linked to the performance of the Partnership’s common units. Performance unit awards granted under either LTIP may also include distribution equivalent rights. The TRP LTIP was administered by the board of directors of the general partner of TRP. Total units authorized under the TRP LTIP were 1,680,000. Each performance unit entitled the grantee to the value of our common unit on the vesting date multiplied by a stipulated vesting percentage determined from our ranking in a defined peer group. The performance period for most awards was three years, except for certain awards granted in December 2013, which provided for two, three or four-year vesting periods. The grantee received the vested unit value in cash or common units depending on the terms of the grant. The grantee may also be entitled to the value of any DERs based on the notional distributions accumulated during the vesting period times the vesting percentage. Distribution equivalent rights were paid for both cash-settled and equity-settled performance units. Compensation cost for equity-settled performance units was recognized as an expense over the performance period based on fair value at the grant date. Fair value was calculated using a simulated unit price that incorporates peer ranking. Distribution equivalent rights associated with equity-settled performance units were accrued over the performance period as a reduction of owners’ equity. We evaluated the grant date fair value using a Monte Carlo simulation model and historical volatility assumption to estimate accruals throughout the vesting period. The weighted average grant date fair value of TRP LTIP performance units granted in 2015 were $34.48. Phantom Units In 2015, the Partnership granted phantom units under the LTIP to various employees of Targa. These phantom units were denominated with respect to its common units, but not otherwise linked to the performance of its common units. Their vesting periods vary from one year to five years. The distribution equivalent rights of the phantom units were accumulated to be paid in cash at the vesting dates. In 2015, the Partnership issued 25,162 phantom units with a weighted average grant date fair value of $36.87. Replacement Phantom Units In connection with the APL merger in 2015, the Partnership awarded replacement phantom units in accordance with and as required by the Atlas Merger Agreements to those APL employees who became Targa employees upon close of the acquisition. The vesting dates and terms remained unchanged from the existing APL awards, and will vest either 25% per year over the original four-year term or 33% per year over the original three-year term. The distribution equivalent rights of the replacement phantom units are paid in cash within 60 days of the payment of distributions. A total of 629,231 replacement phantom units were granted in 2015 with a weighted average grant date fair value of $43.82. Partnership Director Grants Starting in 2012, the common units granted to the Partnership’s non-management directors vested immediately at the grant date. The weighted average grant date fair values of the director grants granted in 2016 and 2015 were $10.11 and $44.67. The fair values related to the units vested were $0.3 million and $0.5 million. Impact of TRC/TRP Merger The TRC/TRP Merger did not trigger the acceleration of any time-based vesting of any of the Partnership’s outstanding long-term equity incentive compensation awards under the TRP LTIP. All outstanding performance unit awards previously granted under the TRP LTIP were converted and restated into comparable awards based on Targa’s common shares. Specifically, each outstanding performance unit award was converted and restated, effective as of the effective time of the TRC/TRP Merger, into an award to acquire, pursuant to the same time-based vesting schedule and forfeiture and termination provisions, a comparable number of Targa common shares determined by multiplying the number of performance units subject to each award by the exchange ratio in the TRC/TRP Merger (0.62), rounded down to the nearest whole share, and the performance factor was eliminated. At the time of the TRC/TRP Merger and immediately prior to the assumption and adoption of the Plan, the only outstanding awards under the TRP LTIP were equity-settled performance units and certain phantom units of the Partnership. All such outstanding awards were converted into comparable time-based RSUs based on our common stock. All amounts previously credited as distribution equivalent rights under any outstanding performance unit award continue to remain so credited and will be payable on the payment date set forth in the applicable award agreement, subject to the same time-based vesting schedule previously included in the performance unit award, but without application of any performance factor. The total employees affected by the amendment of the TRP LTIP were 363. The February 17, 2016 conversion of 675,745 equity-settled performance units and 349,541 replacement phantom units outstanding to 418,906 equity-settled performance shares and 216,561 replacement phantom shares was considered modification of awards under ASC 718, Accounting for Stock-Based Compensation In addition to the conversion of TRP awards, we issued 331,282 restricted stock units under the Plan in 2016 which will cliff vest three years from the grant date. Of these 2016 grants, 310,809 RSUs were made in lieu of cash bonus for our nonexecutives. The grant-date fair value for the issuances was $74.01. In 2017, no restricted stock units were issued under the Plan. The following table summarizes the restricted stock units for the year ended December 31, 2017, under the Plan: Restricted Stock Units Number Weighted-average of shares Grant-Date Fair Value Outstanding as of December 31, 2016 700,402 $ 51.52 Forfeited (16,416 ) 31.74 Vested (186,039 ) 90.82 Outstanding as of December 31, 2017 497,947 40.54 TRC Long Term Incentive Plan The TRC LTIP is administered by the Compensation Committee of the Targa board of directors. Prior to the TRC/TRP Merger, the TRC LTIP provided for the grant of cash-settled performance units only. In connection with the TRC/TRP Merger, performance unit grant agreements were amended to convert TRP’s outstanding cash-settled performance unit obligation to cash-settled restricted stock units. On February 17, 2016, as a result of the TRC/TRP Merger, 451,990 of TRP’s outstanding cash-settled performance units were converted to 279,964 cash-settled restricted stock units under the TRC LTIP with performance factors eliminated. All amounts previously credited as distribution equivalent rights under any outstanding performance unit award continue to remain so credited and will be payable on the payment date set forth in the applicable award agreement, subject to the same time-based vesting schedule previously included in the performance unit award, but without application of any performance factor. The February 17, 2016 conversion of outstanding cash-settled performance units to cash-settled restricted stock units was considered modification of awards under ASC 718. The incremental change in fair value between the original grant date fair value and the fair value as of February 17, 2016 resulted in recognition of additional compensation costs during the first quarter of 2016 of $4.8 million. Compensation expense for cash-settled performance units and any related DERs will ultimately be equal to the cash paid to the grantee upon vesting. However, throughout the vesting period we must record an accrued expense based on fair value of the stock on the last business day of the quarter. The following table summarizes the cash-settled restricted stock units for the year ended December 31, 2017, under the TRC LTIP (in shares and millions of dollars). Program Year 2014 Awards 2015 Awards Total Outstanding as of December 31, 2016 72,979 116,316 189,295 Vested and paid (71,752 ) (1,183 ) (72,935 ) Forfeited (1,227 ) (2,583 ) (3,810 ) Outstanding as of December 31, 2017 - 112,550 112,550 Calculated fair market value as of December 31, 2017 $ - $ 6,670,957 $ 6,670,957 Current liability $ - $ 5,473,782 $ 5,473,782 Long-term liability - - - Liability as of December 31, 2017 $ - $ 5,473,782 $ 5,473,782 To be recognized in future periods $ - $ 1,197,175 $ 1,197,175 Vesting date June 2017 June 2018 The cash settled for the awards under TRC LTIP were $4.1 million, $4.8 million and $7.8 million for 2017, 2016 and 2015. The remaining weighted average recognition period for the unrecognized compensation cost is approximately 0.5 years. Stock compensation expense under our plans totaled $44.2 million, $41.2 million, and $22.8 million for the years ended December 31, 2017, 2016, and 2015. As of December 31, 2017, we have $81.5 million of unrecognized compensation expense associated with share-based awards and an approximate remaining weighted average vesting periods of 2.6 years related to our various compensation plans. The fair values of share-based awards vested in 2017, 2016 and 2015 were $16.9 million, $19.8 million and $31.8 million, including cash dividends paid for the vested awards of $2.5 million, $2.7 million and $1.9 million. We Pursuant to ASU 2016-09, Compensation – Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting, Subsequent Events In January 2018, the Compensation Committee of the Targa board of directors made the following awards under the 2010 TRC Plan. • 16,184 shares of restricted stock to our outside directors that will vest in January 2019. • 80,000 shares of RSUs to executive management for the 2018 compensation cycle that will vest 50% in December 2018 and 50% in December 2019. • 192,598 shares of RSUs to executive management for the 2018 compensation cycle that will vest in January 2021. • 182,849 shares of Performance Share Units to executive management for the 2018 compensation cycle that will vest in December 2020. • 112,438 shares of RSUs in lieu of cash bonus to executive management for the 2018 compensation cycle that will vest in January 2021. Targa 401(k) Plan We have a 401(k) plan whereby we match 100% of up to 5% of an employee’s contribution (subject to certain limitations in the plan). We also contribute an amount equal to 3% of each employee’s eligible compensation to the plan as a retirement contribution and may make additional contributions at our sole discretion. All Targa contributions are made 100% in cash. We made contributions to the 401(k) plan totaling $16.5 million, $14.4 million and $13.8 million during 2017, 2016, and 2015. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | Note 26 — Segment Information We operate in two primary segments: (i) Gathering and Processing, and (ii) Logistics and Marketing (also referred to as the Downstream Business). Our reportable segments include operating segments that have been aggregated based on the nature of the products and services provided. Our Gathering and Processing segment includes assets used in the gathering of natural gas produced from oil and gas wells and processing this raw natural gas into merchantable natural gas by extracting NGLs and removing impurities; and assets used for crude oil gathering and terminaling. The Gathering and Processing segment's assets are located in the Permian Basin of West Texas and Southeast New Mexico; the Eagle Ford Shale in South Texas; the Barnett Shale in North Texas; the Anadarko, Ardmore, and Arkoma Basins in Oklahoma and South Central Kansas; the Williston Basin in North Dakota and in the onshore and near offshore regions of the Louisiana Gulf Coast and the Gulf of Mexico. Our Logistics and Marketing segment includes all the activities necessary to convert mixed NGLs into NGL products and provides certain value added services such as storing, terminaling, distributing and marketing of NGLs, the storage and terminaling of refined petroleum products and crude oil and certain natural gas supply and marketing activities in support of our other businesses including services to LPG exporters. It also includes certain natural gas supply and marketing activities in support of our other operations, as well as transporting natural gas and NGLs. The Logistics and Marketing segment also includes Grand Prix, as well as our equity interest in GCX, which are both currently under construction. Logistics and Marketing operations are generally connected to and supplied in part by our Gathering and Processing segment and, except for the pipeline projects and smaller terminals, Other contains the results (including any hedge ineffectiveness) of commodity derivative activities included in operating margin and mark-to-market gains/losses related to derivative contracts that were not designated as cash flow hedges. Elimination of inter-segment transactions are reflected in the corporate and eliminations column. Reportable segment information is shown in the following tables: Year Ended December 31, 2017 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 781.4 $ 6,979.3 $ (9.6 ) $ — $ 7,751.1 Fees from midstream services 566.3 497.5 — — 1,063.8 1,347.7 7,476.8 (9.6 ) — 8,814.9 Intersegment revenues Sales of commodities 3,154.2 321.9 — (3,476.1 ) — Fees from midstream services 6.9 28.0 — (34.9 ) — 3,161.1 349.9 — (3,511.0 ) — Revenues $ 4,508.8 $ 7,826.7 $ (9.6 ) $ (3,511.0 ) $ 8,814.9 Operating margin $ 783.8 $ 511.8 $ (9.6 ) $ (0.1 ) $ 1,285.9 Other financial information: Total assets (1) $ 10,732.3 $ 3,507.4 $ 56.8 $ 92.1 $ 14,388.6 Goodwill $ 256.6 $ — $ — $ — $ 256.6 Capital expenditures $ 1,008.9 $ 470.4 $ — $ 27.2 $ 1,506.5 Business acquisitions $ 987.1 $ — $ — $ — $ 987.1 (1) Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. Year Ended December 31, 2016 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 621.9 $ 4,942.0 $ 62.9 $ — $ 5,626.8 Fees from midstream services 486.6 577.5 — — 1,064.1 1,108.5 5,519.5 62.9 — 6,690.9 Intersegment revenues Sales of commodities 2,124.4 251.5 — (2,375.9 ) — Fees from midstream services 7.8 23.5 — (31.3 ) — 2,132.2 275.0 — (2,407.2 ) — Revenues $ 3,240.7 $ 5,794.5 $ 62.9 $ (2,407.2 ) $ 6,690.9 Operating margin $ 577.1 $ 574.4 $ 62.9 $ (0.1 ) $ 1,214.3 Other financial information: Total assets (1) $ 9,800.6 $ 2,868.7 $ 21.8 $ 180.1 $ 12,871.2 Goodwill $ 210.0 $ — $ — $ — $ 210.0 Capital expenditures $ 402.5 $ 185.3 $ — $ 4.3 $ 592.1 (1) Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. Year Ended December 31, 2015 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 1,485.4 $ 3,895.8 $ 84.2 $ — $ 5,465.4 Fees from midstream services 427.1 766.1 — — 1,193.2 1,912.5 4,661.9 84.2 — 6,658.6 Intersegment revenues Sales of commodities 1,126.3 208.9 — (1,335.2 ) — Fees from midstream services 8.7 17.8 — (26.5 ) — 1,135.0 226.7 — (1,361.7 ) — Revenues $ 3,047.5 $ 4,888.6 $ 84.2 $ (1,361.7 ) $ 6,658.6 Operating margin $ 515.1 $ 681.7 $ 84.2 $ — $ 1,281.0 Other financial information: Total assets (1) $ 10,391.9 $ 2,567.1 $ 127.1 $ 124.9 $ 13,211.0 Goodwill $ 417.0 $ — $ — $ — $ 417.0 Capital expenditures $ 496.3 $ 272.0 $ — $ 8.9 $ 777.2 Business acquisitions $ 5,024.2 $ — $ — $ — $ 5,024.2 (1) Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. The following table shows our consolidated revenues by product and service for the periods presented: 2017 2016 2015 Sales of commodities: Natural gas $ 2,002.0 $ 1,584.5 $ 1,578.6 NGL 5,418.0 3,777.3 3,558.3 Condensate 196.0 133.9 142.4 Petroleum products 144.7 68.2 101.6 Derivative activities (9.6 ) 62.9 84.5 7,751.1 5,626.8 5,465.4 Fees from midstream services: Fractionating and treating 132.8 126.2 209.0 Storage, terminaling, transportation and export 342.2 420.0 506.2 Gathering and processing 523.3 445.0 393.7 Other 65.5 72.9 84.3 1,063.8 1,064.1 1,193.2 Total revenues $ 8,814.9 $ 6,690.9 $ 6,658.6 The following table shows a reconciliation of operating margin to net income (loss) for the periods presented: 2017 2016 2015 Reconciliation of reportable segment operating margin to income (loss) before income taxes: Gathering and Processing operating margin $ 783.8 $ 577.1 $ 515.1 Logistics and Marketing operating margin 511.8 574.4 681.7 Other operating margin (9.6 ) 62.9 84.2 Depreciation and amortization expenses (809.5 ) (757.7 ) (644.5 ) General and administrative expenses (203.4 ) (187.2 ) (161.7 ) Impairment of property, plant and equipment (378.0 ) — (32.6 ) Impairment of goodwill — (207.0 ) (290.0 ) Interest expense, net (233.7 ) (254.2 ) (231.9 ) Other, net 45.7 (68.0 ) (32.1 ) Income (loss) before income taxes $ (292.9 ) $ (259.7 ) $ (111.8 ) |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Selected Quarterly Financial Information [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | Note 27 — Selected Quarterly Financial Data (Unaudited) Our results of operations by quarter for the years ended December 31, 2017 and 2016 were as follows: First Quarter Second Quarter Third Quarter Fourth Quarter Total 2017 Revenues $ 2,112.6 $ 1,867.7 $ 2,131.8 $ 2,702.8 $ 8,814.9 Gross margin 458.4 447.1 468.7 534.6 1,908.8 Income (loss) from operations (1) 50.5 37.2 (323.6 ) 113.5 (122.4 ) Net income (loss) (110.5 ) 70.6 (155.1 ) 299.2 104.2 Net income (loss) attributable to common shareholders (148.3 ) 28.4 (197.0 ) 253.5 (63.4 ) Net income (loss) per common share - basic (0.77 ) 0.14 (0.91 ) 1.17 (0.31 ) Net income (loss) per common share - diluted (2) (0.77 ) 0.14 (0.91 ) 1.05 (0.31 ) 2016 Revenues $ 1,442.4 $ 1,583.6 $ 1,652.3 $ 2,012.6 $ 6,690.9 Gross margin 431.4 438.4 429.6 468.6 1,768.0 Income (loss) from operations (3)(4) 35.5 66.3 51.6 (97.6 ) 55.8 Net income (loss) (0.7 ) (14.6 ) (3.2 ) (140.6 ) (159.1 ) Net income (loss) attributable to common shareholders (6.5 ) (52.6 ) (39.4 ) (179.6 ) (278.1 ) Net income (loss) per common share - basic (0.06 ) (0.33 ) (0.23 ) (0.99 ) (1.80 ) Net income (loss) per common share - diluted (0.06 ) (0.33 ) (0.23 ) (0.99 ) (1.80 ) (1) Includes a non-cash pre-tax impairment charge of $378.0 million (2) Include dilutive effects of common stock equivalents in the second quarter of 2017 and fourth quarter of 2017. Dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for the convertible preferred stock. Under the if-converted method, the dividends on the convertible preferred stock are added back to the numerator for the purposes of the diluted earnings per share calculation. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive potential common shares. (3) Includes a goodwill impairment of $24.0 million in the first quarter of 2016, which represented the finalization of the 2015 provisional charge. See Note 7 – Goodwill. (4) Includes a goodwill impairment of $183.0 million in the fourth quarter of 2016. See Note 7 – Goodwill. |
Condensed Parent Only Financial
Condensed Parent Only Financial Statements | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Parent Only Financial Statements | Note 28— Condensed Parent Only Financial Statements The condensed parent only financial statements represent the financial information required by Rule 5-04 of the Securities and Exchange Commission Regulation S-X for Targa Resources Corp. In the condensed financial statements, Targa’s investments in consolidated subsidiaries are presented under the equity method of accounting. Under this method, the assets and liabilities of affiliates are not consolidated. The investments in net assets of the consolidated subsidiaries are recorded in the balance sheets. The income (loss) from operations of the consolidated subsidiaries is reported as equity in income (loss) of consolidated subsidiaries. Other comprehensive income has been adjusted for Targa’s share of the investees’ currently reported other comprehensive income. A substantial amount of Targa’s operating, investing and financing activities are conducted by its affiliates. The condensed financial statements should be read in conjunction with Targa’s consolidated financial statements, which begin on page F-1 in this Annual Report. TARGA RESOURCES CORP. PARENT ONLY CONDENSED BALANCE SHEETS December 31, 2017 2016 ASSETS Investment in consolidated subsidiaries $ 6,804.2 $ 5,840.2 Deferred income taxes 39.9 54.5 Debt issuance costs 4.5 6.5 Total assets $ 6,848.6 $ 5,901.2 LIABILITIES, SERIES A PREFERRED STOCK AND OWNERS' EQUITY Accrued current liabilities $ 24.4 $ 23.6 Long-term debt 435.0 429.0 Other long-term liabilities 12.4 9.2 Contingencies Series A Preferred 9.5% Stock, net of discount 216.5 190.8 Targa Resources Corp. stockholders' equity 6,160.3 5,248.6 Total liabilities, Series A Preferred Stock and owners' equity $ 6,848.6 $ 5,901.2 TARGA RESOURCES CORP. PARENT ONLY CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2017 2016 2015 Equity in net income (loss) of consolidated subsidiaries $ 103.3 $ (167.3 ) $ 87.6 General and administrative expense (12.9 ) (10.0 ) (8.0 ) Income (loss) from operations 90.4 (177.3 ) 79.6 Other income (expense): Loss on debt extinguishment (5.9 ) — (12.9 ) Interest expense (15.9 ) (20.8 ) (24.2 ) Income (loss) before income taxes 68.6 (198.1 ) 42.5 Deferred income tax (expense) benefit (14.6 ) 10.8 15.8 Net income (loss) attributable to Targa Resources Corp. 54.0 (187.3 ) 58.3 Other comprehensive income (loss) 8.4 (99.8 ) 0.9 Total comprehensive income (loss) $ 62.4 $ (287.1 ) $ 59.2 Dividends on Series A Preferred Stock 91.7 72.6 — Deemed dividends on Series A Preferred Stock 25.7 18.2 — Net income (loss) attributable to common shareholders (63.4 ) (278.1 ) 58.3 Net income (loss) attributable to Targa Resources Corp. $ 54.0 $ (187.3 ) $ 58.3 TARGA RESOURCES CORP. PARENT ONLY CONDENSED STATEMENTS OF CASH FLOWS Year Ended December 31, 2017 2016 2015 Net cash provided by operating activities $ 115.1 $ 125.3 $ 62.6 Cash flows from investing activities Outlays for business acquisitions, net of cash acquired — — (745.7 ) Distribution and return of advances from consolidated subsidiaries (912.9 ) (921.0 ) 60.8 Net cash used in investing activities (912.9 ) (921.0 ) (684.9 ) Cash flows from financing activities Proceeds from long-term debt borrowings 965.0 612.0 914.5 Repayments of long-term debt (965.0 ) (777.0 ) (424.0 ) Costs incurred in connection with financing arrangements (16.0 ) (41.3 ) (22.5 ) Proceeds from issuance of common stock, preferred stock and warrants 1,660.4 1,571.4 335.5 Repurchase of common stock (3.4 ) (3.5 ) (3.3 ) Dividends paid to common and preferred shareholders (843.2 ) (565.9 ) (179.0 ) Excess tax benefit from stock-based awards — — 1.1 Net cash provided by financing activities 797.8 795.7 622.3 Net increase (decrease) in cash and cash equivalents — — — Cash and cash equivalents - beginning of year — — — Cash and cash equivalents - end of year $ — $ — $ — |
Significant Accounting Polici36
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Consolidation Policy | Consolidation Policy Our consolidated financial statements include our accounts and those of our subsidiaries in which we have a controlling interest. We hold varying undivided interests in various gas gathering and processing facilities in which we are responsible for our proportionate share of the costs and expenses of the facilities. Our consolidated financial statements reflect our proportionate share of the revenues, expenses, assets and liabilities of these undivided interests. We follow the equity method of accounting when we do not exercise control over the investee, but we can exercise significant influence over the operating and financial policies of the investee. Under this method, our equity investments are carried originally at our acquisition cost, increased by our proportionate share of the investee’s net income and by contributions made, and decreased by our proportionate share of the investee’s net losses and by distributions received. We evaluate our equity investments for impairment when evidence indicates the carrying amount of our investment is no longer recoverable. Evidence of a loss in value might include, but would not necessarily be limited to, absence of an ability to recover the carrying amount of the investment or inability of the equity method investee to sustain an earnings capacity that would justify the carrying amount of the investment. When the estimated fair value of an equity investment is less than its carrying value and the loss in value is determined to be other than temporary, we recognize the excess of the carrying value over the estimated fair value as an impairment loss within equity earnings (loss) in our Consolidated Statements of Operations. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in these financial statements and accompanying notes. Estimates and judgments are based on information available at the time such estimates and judgments are made. Adjustments made with respect to the use of these estimates and judgments often relate to information not previously available. Uncertainties with respect to such estimates and judgments are inherent in the preparation of financial statements. Estimates and judgments are used in, among other things, (1) estimating unbilled revenues, product purchases and operating and general and administrative costs, (2) developing fair value assumptions, including estimates of future cash flows and discount rates, (3) analyzing goodwill and long-lived assets for possible impairment, (4) estimating the useful lives of assets, (5) determining amounts to accrue for contingencies, guarantees and indemnifications and (6) estimating redemption value of mandatorily redeemable preferred interests. Actual results, therefore, could differ materially from estimated amounts. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include all cash on hand, demand deposits, and investments with original maturities of three months or less. We consider cash equivalents to include short-term, highly liquid investments that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value. Checks outstanding at the end of a period are reclassified to accounts payable, as we extinguish liabilities when the creditor receives our payment and we are relieved of our obligation (which generally occurs when our bank honors that check). |
Comprehensive Income | Comprehensive Income Comprehensive income includes net income and other comprehensive income (“OCI”), which includes changes in the fair value of derivative instruments that are designated as cash flow hedges. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts Estimated losses on accounts receivable are provided through an allowance for doubtful accounts. In evaluating the adequacy of the allowance, we make judgments regarding each party’s ability to make required payments, economic events and other factors. As the financial condition of any party changes, circumstances develop or additional information becomes available, adjustments to an allowance for doubtful accounts may be required. |
Inventories | Inventories Our inventories consist primarily of NGL product inventories. Most NGL product inventories turn over monthly, but some inventory, primarily propane, is acquired and held during the year to meet anticipated heating season requirements of our customers. NGL product inventories are valued at the lower of cost or net realizable value using the average cost method. Commodity inventories that are not physically or contractually available for sale under normal operations (“deadstock”) are classified as Property, Plant and Equipment. Inventories also include materials and supplies required for our Badlands expansion activities in North Dakota, which are valued at cost using the specific identification method. |
Product Exchanges | Product Exchanges Exchanges of NGL products are executed to satisfy timing and logistical needs of the exchange parties. Volumes received and delivered under exchange agreements are recorded as inventory. If the locations of receipt and delivery are in different markets, an exchange differential may be billed or owed. The exchange differential is recorded as either accounts receivable or accrued liabilities. |
Gas Processing Imbalances | Gas Processing Imbalances Quantities of natural gas and/or NGLs over-delivered or under-delivered related to certain gas plant operational balancing agreements are recorded monthly as inventory or as a payable using the weighted average price at the time the imbalance was created. Inventory imbalances receivable are valued at the lower of cost or net realizable value using the average cost method; inventory imbalances payable are valued at replacement cost. These imbalances are settled either by current cash-out settlements or by adjusting future receipts or deliveries of natural gas or NGLs. |
Derivative Instruments | Derivative Instruments We utilize derivative instruments to manage the volatility of cash flows due to fluctuating energy prices. All derivative instruments not qualifying for the normal purchase and normal sale exception are recorded on the balance sheets at fair value. The treatment of the periodic changes in fair value will depend on whether the derivative is designated and effective as a hedge for accounting purposes. We have designated certain liquids marketing contracts that meet the definition of a derivative as normal purchases and normal sales, which under GAAP, are not accounted for as derivatives. As a result, the revenues and expenses associated with such contracts are recognized during the period when volumes are physically delivered or received. If a derivative qualifies for hedge accounting and is designated as a cash flow hedge, the effective portion of the change in fair value of the derivative is deferred in Accumulated Other Comprehensive Income (“AOCI”), a component of owners’ equity, and reclassified to earnings when the forecasted transaction occurs. Cash flows from a derivative instrument designated as a hedge are classified in the same category as the cash flows from the item being hedged. As such, we include the cash flows from commodity derivative instruments in revenues. If a derivative does not qualify as a hedge or is not designated as a hedge, the gain or loss resulting from the change in fair value on the derivative is recognized currently in earnings as a component of revenues. We formally document all relationships between hedging instruments and hedged items, as well as its risk management objectives and strategy for undertaking the hedge. This documentation includes the specific identification of the hedging instrument and the hedged item, the nature of the risk being hedged and the manner in which the hedging instrument’s effectiveness will be assessed. At the inception of the hedge, and on an ongoing basis, we assess whether the derivatives used in hedging transactions are highly effective in offsetting changes in cash flows of hedged items. The relationship between the hedging instrument and the hedged item must be highly effective in achieving the offset of changes in cash flows attributable to the hedged risk both at the inception of the contract and on an ongoing basis. We measure hedge ineffectiveness on a quarterly basis and reclassify any ineffective portion of the gain or loss related to the change in fair value to earnings in the current period. We will discontinue hedge accounting on a prospective basis when a hedge instrument is terminated or ceases to be highly effective. Gains and losses deferred in AOCI related to cash flow hedges for which hedge accounting has been discontinued remain deferred until the forecasted transaction occurs. If it is no longer probable that a hedged forecasted transaction will occur, deferred gains or losses on the hedging instrument are reclassified to earnings immediately. For balance sheet classification purposes, we analyze the fair values of the derivative instruments on a contract by contract basis and report the related fair values and any related collateral by counterparty on a gross basis. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are stated at acquisition value less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets. Expenditures for maintenance and repairs are expensed as incurred. Expenditures to refurbish assets that extend the useful lives or prevent environmental contamination are capitalized and depreciated over the remaining useful life of the asset or major asset component. We also capitalize certain costs directly related to the construction of assets, including internal labor costs, interest and engineering costs. The determination of the useful lives of property, plant and equipment requires us to make various assumptions, including the supply of and demand for hydrocarbons in the markets served by our assets, normal wear and tear of the facilities, and the extent and frequency of maintenance programs. We evaluate the recoverability of our property, plant and equipment when events or circumstances such as economic obsolescence, the business climate, legal and other factors indicate we may not recover the carrying amount of the assets. Asset recoverability is measured by comparing the carrying value of the asset or asset group with its expected future pre-tax undiscounted cash flows. These cash flow estimates require us to make projections and assumptions for many years into the future for pricing, demand, competition, operating cost and other factors. If the carrying amount exceeds the expected future undiscounted cash flows, we recognize an impairment equal to the excess of net book value over fair value as determined by quoted market prices in active markets or present value techniques if quotes are unavailable. The determination of the fair value using present value techniques requires us to make projections and assumptions regarding the probability of a range of outcomes and the rates of interest used in the present value calculations. Any changes we make to these projections and assumptions could result in significant revisions to our evaluation of recoverability of our property, plant and equipment and the recognition of additional impairments. Upon disposition or retirement of property, plant and equipment, any gain or loss is recorded to operations. |
Goodwill | Goodwill Goodwill is a residual intangible asset that results when the cost of an acquisition exceeds the fair value of the net identifiable assets of the acquired business. Goodwill is not amortized, but is assessed annually to determine whether its carrying value has been impaired. Goodwill must be attributed to reporting units for the purpose of impairment testing. A reporting unit is an operating segment or one level below an operating segment (also known as a component). Our annual goodwill impairment test is performed as of November 30, as well as whenever events or changes in circumstances indicate it is more likely than not that the fair value of the reporting unit is less than the carrying amount. Prior to us conducting the goodwill impairment test, we complete a review of the carrying values of our long-lived assets, including property, plant and equipment and other intangible assets, to the extent triggering events exist, and if it is determined that the carrying values are not recoverable, we reduce the carrying values of the long-lived assets pursuant to our policy on property, plant and equipment. We are permitted to first assess qualitative factors for a reporting unit to determine if the quantitative goodwill impairment test is necessary. If we choose to bypass this qualitative assessment or otherwise determine that a goodwill impairment test is required, our annual goodwill impairment test is performed by comparing the fair value of a reporting unit with its carrying amount (including attributed goodwill). Prior to our adoption of ASU 2017-04 (see “Recent Accounting Pronouncements”), if a reporting unit’s carrying amount exceeded the reporting unit’s fair value, we then compared the implied fair value of goodwill to its carrying value. We recognize an impairment loss in our Consolidated Statements of Operations and a corresponding reduction of goodwill on our Consolidated Balance Sheets for the amount by which the carrying amount exceeds the reporting unit’s fair value, or prior to our adoption of ASU 2017-04, the amount by which the carrying amount exceeded the reporting unit’s implied fair value. The goodwill impairment loss will not exceed the total amount of goodwill allocated to that reporting unit. Additionally, we consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. |
Intangible Assets | Intangible Assets Intangible assets arose from producer dedications under long-term contracts and customer relationships associated with business and asset acquisitions. The fair value of these acquired intangible assets was determined at the date of acquisition based on the present value of estimated future cash flows. Amortization expense attributable to these assets is recorded in a manner that closely resembles the expected benefit pattern of the intangible assets, or where such pattern is not readily determinable, on a straight-line basis, over the periods in which we benefit from services provided to customers. |
Asset Retirement Obligations | Asset Retirement Obligations We record the fair value of estimated asset retirement obligations (“ARO”) associated with tangible long-lived assets. Retirement obligations associated with long-lived assets are only recognized for those for which there is a legal obligation to settle under existing or enacted law, statute, written or oral contract or by legal construction. These obligations, which are estimated based on discounted cash flow estimates, are accreted to full value over time as a period cost. In addition, asset retirement costs are capitalized as part of the related asset’s carrying value and are depreciated over the asset’s respective useful life. At least annually, we review the projected timing and amount of asset retirement obligations. Changes resulting from revisions to the timing or the amount of the undiscounted cash flows are recognized as an increase or decrease in the carrying amount of the retirement obligation and the related asset retirement cost capitalized as part of the carrying amount of the related long-lived asset. Upon settlement, any difference between the recorded amount and the actual settlement cost will be recognized at a gain or loss. |
Debt Issuance Costs | Debt Issuance Costs Costs incurred in connection with the issuance of long-term debt are deferred and charged to interest expense over the term of the related debt, as are any original issue discount or premium. Debt issuance costs related to revolving credit facilities are presented as other long-term assets and debt issuance costs related to long-term debt obligations with scheduled maturities are reflected as a deduction from the carrying amount of long-term debt on the Consolidated Balance Sheets. |
Accounts Receivable Securitization Facility | Accounts Receivable Securitization Facility Proceeds from the sale or contribution of certain receivables under the Partnership’s accounts receivable securitization facility (the “Securitization Facility”) are treated as collateralized borrowings in our financial statements. Proceeds and repayments under the Securitization Facility are reflected as cash flows from financing activities in our Consolidated Statements of Cash Flows. |
Environmental Liabilities and Other Loss Contingencies | Environmental Liabilities and Other Loss Contingencies Liabilities for loss contingencies, including environmental remediation costs arising from claims, assessments, litigation, fines, penalties and other sources are charged to operating expense when it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. |
Income Taxes | Income Taxes We account for income taxes using the asset and liability method of accounting for deferred income taxes and provide deferred income taxes for all significant temporary differences based on legislated tax rates during the periods that the timing differences are scheduled to reverse. As part of the process of preparing our consolidated financial statements, we are required to estimate our income taxes in each of the jurisdictions in which we operate. This process involves estimating our actual current tax payable and related tax expense together with assessing temporary differences resulting from differing treatment of certain items, such as depreciation, for tax and accounting purposes. These differences can result in deferred tax assets and liabilities, which are reported on a net basis within our Consolidated Balance Sheets. We must then assess the likelihood that our deferred tax assets will be recovered from future taxable income. If we believe that it is more likely than not (a likelihood of more than 50%) that some portion or all of the deferred tax assets will not be realized, we establish a valuation allowance. Any change in the valuation allowance would impact our income tax provision and net income in the period in which such a determination is made. We consider all available evidence to determine whether, based on the weight of the evidence, a valuation allowance is needed. Evidence used includes information about our current financial position and our results of operations for the current and preceding years, as well as all currently available information about future years, including our anticipated future performance, the reversal of deferred tax liabilities and tax planning strategies. |
Noncontrolling Interests | Noncontrolling Interests Third-party ownership (other than mandatorily redeemable interests) in the net assets of our consolidated subsidiaries is shown as noncontrolling interests within the equity section of our Consolidated Balance Sheets. In our Consolidated Statements of Operations and Consolidated Statements of Comprehensive Income, noncontrolling interests reflects the attribution of results to third-party investors. |
Mandatorily Redeemable Preferred Interests | Mandatorily Redeemable Preferred Interests Mandatorily redeemable preferred interests are included in other long term liabilities (or assets) on our Consolidated Balance Sheets. Mandatorily redeemable preferred interests with multiple or indeterminate redemption dates are reported at their estimated redemption value as of the reporting date. This point-in-time value does not represent the amount that ultimately would become payable (or receivable) in the future when the interests are redeemed. Changes in the redemption value are recorded in interest expense, net in our Consolidated Statements of Operations. |
Revenue Recognition | Revenue Recognition Our operating revenues are primarily derived from the following activities: • sales of natural gas, NGLs, condensate, crude oil and petroleum products; • services related to compressing, gathering, treating, and processing of natural gas; and • services related to NGL fractionation, terminaling and storage, transportation and treating. We recognize revenues when all of the following criteria are met: (1) persuasive evidence of an exchange arrangement exists, if applicable, (2) delivery has occurred or services have been rendered, (3) the price is fixed or determinable and (4) collectability is reasonably assured. For natural gas processing activities, we receive either fees and/or a percentage of proceeds from commodity sales as payment for these services, depending on the type of contract. Under fee-based contracts, we receive a fee based on throughput volumes. Under percent-of-proceeds contracts, we receive either an agreed upon percentage of the actual proceeds we receive from our sales of the residue natural gas and NGLs or an agreed upon percentage based on index related prices for the natural gas and NGLs. Typically, our percent-of-proceeds contracts also include a fee-based component. We generally report sales revenues gross in our Consolidated Statements of Operations, as we typically act as the principal in the transactions where we receive commodities, take title to the natural gas and NGLs, and incur the risks and rewards of ownership. However, buy-sell transactions that involve purchases and sales of inventory with the same counterparty that are legally contingent or in contemplation of one another are reported as a single transaction on a combined net basis. We have certain long-term contractual arrangements under which we have received consideration, but which require future performance by Targa. These arrangements result in deferred revenue, which will be recognized as revenue during the periods that services will be provided. Deferred revenue is included in Other long-term liabilities on our Consolidated Balance Sheets. |
Share-Based Compensation | Share-Based Compensation We award share-based compensation to employees, directors and non-management directors in the form of restricted stock, restricted stock units, and performance share units. Compensation expense on restricted stock, restricted stock units, and performance share unit awards that qualify as equity arrangements are measured by the fair value of the award as determined at the date of grant. Compensation expense on performance share unit awards that qualify as liability arrangements is initially measured by the fair value of the award at the date of grant, and re-measured subsequently at each reporting date through the settlement period. Compensation expense is recognized in general and administrative expense over the requisite service period of each award. In addition, we account for forfeitures when they occur. We may withhold shares to satisfy employees’ tax withholding obligations on vested awards. The withheld shares are recorded by us in treasury stock at cost . Cash paid by us when directly withholding shares for tax-withholding purposes is classified as a financing activity on the statement of cash flows. All excess tax benefits and tax deficiencies related to share-based compensation are recognized as income tax benefit or expense in the income statement with the tax effects of exercised or vested awards treated as discrete items in the reporting period which they occur. Excess tax benefits are classified as an operating activity. |
Earnings per Share | Earnings per Share We account for earnings per share (“EPS”) in accordance with Accounting Standards Codification (“ASC”) Topic 260 – Earnings per Share. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock so long as it does not have an anti-dilutive effect on EPS. The dilutive effect is determined through the application of the treasury stock method. The assumed proceeds under the treasury stock method exclude windfall tax benefits. Securities that meet the definition of a participating security are required to be considered for inclusion in the computation of basic EPS. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Revenue from Contracts with Customers In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standard Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition Other Assets and Deferred Costs – Contracts with Customers With the issuance in August 2015 of ASU 2015-14 , Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, In March 2016, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations In April 2016, the FASB issued ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing In May 2016, the FASB issued ASU 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients In December 2016, the FASB issued ASU 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers We have disaggregated contracts within our two segments and have completed our review of contracts and transaction types with counterparties in order to finalize the new standard’s impact on our current revenue recognition and disclosure policies upon adoption. As further discussed below, the new standard will affect the classification between revenue and cost of sales on the income statement as well as the reporting of gross vs. net revenues. We are also anticipating additional disclosures for fixed consideration allocated to performance obligations that are unsatisfied (or partially unsatisfied) as of the end of the current reporting period, separate presentation of revenue from contracts with customers and non-customer revenue (i.e. the effects of derivative activity and lease revenue) as well as unbilled receivables and deferred revenue. The new revenue recognition standard is effective for us on January 1, 2018, and will be adopted using the modified retrospective method. At this time, we do not expect a material cumulative effect adjustment to retained earnings on January 1, 2018. A cross-functional team was established to implement the new standard. Effective January 1, 2018, we have established data requirements, including changes in system mapping and configuration for the prospective reporting under the new standard, and have documented the required process changes, identified key risks and designed mitigating controls. Gathering and Processing Segment We have concluded that the contracts within our Gathering and Processing segment where we purchase and obtain control of the entire natural gas stream are contracts with suppliers rather than customers and therefore, not included in the scope of Topic 606. However, these supplier contracts are subject to updated guidance in ASC 705, Cost of Sales and Services In certain contracts, our Gathering and Processing segment purchases and obtains control of only one component of the natural gas stream (i.e. residue gas or NGLs). Such arrangements contain both a supply and a service revenue element and therefore are partially in the scope of Topic 606. That is, the counterparty is a supplier for our cash settled purchase of one component of the natural gas stream and a customer with regards to the service provided to gather, process, and redeliver the other component. Upon adoption, each element will be measured at its standalone selling price. For contracts with a service element, if we obtain noncash consideration in the form of commodities, such consideration will be recognized as revenue from services. This is a change from our historical accounting practice, whereby the revenue related to the commodities retained in kind (i.e. noncash consideration) is only recorded once those commodities are sold to a third party, and is generally classified as “Sales of commodities” revenue without a corresponding cost of sales. We are not anticipating a significant change in the timing of revenue recognition for the contracts within our Gathering and Processing segment with a customer. Logistics and Marketing Segment We are not anticipating a significant change in revenue recognition for the contracts within our Logistics and Marketing segment. However, consistent with the discussion above for our Gathering and Processing segment, the embedded fees within our contracts where we purchase and obtain control of the commodities, which historically have been presented as “Fees from midstream services”, will be reported as a reduction of “Product purchases” upon adoption of the new standard. In addition, for contracts structured as a purchase where we do not control the commodities (i.e. we are acting as an agent), we will recognize revenue for the net amount of consideration we expect to retain. Leases In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) We plan to adopt the amendments in the first quarter of 2019 and are currently evaluating the impacts of the amendments to our consolidated financial statements and accounting practices for leases. In January 2018, the FASB issued ASU 2018-01, Leases (Topic 842): Land Easement Practical Expedient for Transition to Topic 842 Measurement of Credit Losses on Financial Instruments In June 2016, the FASB issued ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. Cash Flow Classification In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) Recognition of Intra-Entity Transfers of Assets Other than Inventory In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other than Inventory We early adopted the applicable amendments in first quarter of 2017 on a modified retrospective basis which resulted in a cumulative effect adjustment on retained earnings as of January 1, 2017 of $56.1 million in order to recognize unamortized tax expense previously deferred of $40.1 million and deferred tax assets previously unrecognized of $96.2 million. We did not have any other intra-entity transfers of assets other than inventory during the year ended December 31, 2017. Business Combinations In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business and will apply the guidance prospectively Impairment of Goodwill In January Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment Other Income In February Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20) These amendments are effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. We plan to adopt this guidance on January 1, 2018, and expect no effect on our consolidated financial statements. Stock Compensation – Scope of Modification Accounting In May 2017, FASB issued ASU 2017-09, Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting, Financial Instruments with Down Round Features In July 2017, FASB issued ASU 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features, (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception Targeted Improvements to Accounting for Hedge Activities In August Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedge Activities |
Basis of Presentation (Tables)
Basis of Presentation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Summary of Financial Effects of TRC/TRP Merger | The following table summarizes the financial effects of the TRC/TRP Merger: Common shares Additional paid-in capital Retained earnings Accumulated other comprehensive income (loss) TRC's stockholders' equity Noncontrolling interests (1) Total owners' equity Shares issued for the Merger $ 0.1 $ 1,803.0 $ — $ — $ 1,803.1 $ (4,119.7 ) $ (2,316.6 ) Impact of NCI acquisition on TRC owners' equity — 2,226.7 — 89.9 2,316.6 — 2,316.6 Deferred tax adjustments — (831.0 ) — (34.1 ) (865.1 ) — (865.1 ) Transaction costs, net of tax — (15.0 ) — — (15.0 ) — (15.0 ) Acquisition of TRP noncontrolling common interests $ 0.1 $ 3,183.7 $ — $ 55.8 $ 3,239.6 $ (4,119.7 ) $ (880.1 ) Reflects the February 17, 2016 book value of the publicly held interests in TRP. |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Business Acquisitions And Divestitures [Abstract] | |
Pro Forma Consolidated Information of Operations | The following summarized unaudited pro forma Consolidated Statements of Operations information for the years ended December 31, 2017 and December 31, 2016 assumes that the Permian Acquisition occurred as of January 1, 2016. We prepared the following summarized unaudited pro forma financial results for comparative purposes only. The summarized unaudited pro forma information may not be indicative of the results that would have occurred had we completed this acquisition as of January 1, 2016, or that would be attained in the future. December 31, 2017 2016 Pro Forma Pro Forma Revenues $ 8,829.0 $ 6,725.6 Net income (loss) 103.2 (195.4 ) The following summarized unaudited pro forma Consolidated Statement of Operations information for the year ended December 31, 2015 assumes that the Partnership’s acquisition of APL and our acquisition of ATLS had occurred as of January 1, 2014. We prepared the following summarized unaudited pro forma financial results for comparative purposes only. The summarized unaudited pro forma financial results may not be indicative of the results that would have occurred if we had completed these acquisitions as of January 1, 2014, or that the results that will be attained in the future. Amounts presented below are in millions. December 31, 2015 Pro Forma Revenues $ 6,947.3 Net income (169.6 ) |
Consideration Transferred to Acquire Permian Delaware Assets and Permian Midland Assets | The following table summarizes the consideration transferred to acquire New Delaware and New Midland: Fair Value of Consideration Transferred: Cash paid, net of $3.3 million cash acquired $ 570.8 Contingent consideration valuation as of the acquisition date 416.3 Total $ 987.1 The following table summarizes the consideration transferred to acquire ATLS and APL, which are viewed together as a single integrated transaction for GAAP reporting purposes: Fair Cash paid, net of cash acquired (1): TRC $ 745.7 TRP 828.7 Common shares of TRC 1,008.5 Replacement restricted stock units awarded (2) 5.2 Common units of TRP 2,421.1 Replacement phantom units awarded (2) 15.0 Total $ 5,024.2 (1) Net of cash acquired of $40.8 million. (2) The fair value of consideration transferred in the form of replacement restricted stock unit awards and replacement phantom unit awards represent the allocation of the fair value of the awards to the pre-combination service period. The fair value of the awards associated with the post-combination service period will be recognized over the remaining service period of the award. |
Fair Value of the Assets and Liabilities Assumed at Acquisition Date | We accounted for the Permian Acquisition as an acquisition of a business under purchase accounting rules. The assets acquired and liabilities assumed related to the Permian Acquisition were recorded at their fair values as of the closing date of March 1, 2017. The fair value of the assets acquired and liabilities assumed at the acquisition date is shown below: Fair value determination (final): March 1, 2017 Trade and other current receivables, net $ 6.7 Other current assets 0.6 Property, plant and equipment 255.8 Intangible assets 692.3 Current liabilities (14.1 ) Other long-term liabilities (0.8 ) Total identifiable net assets 940.5 Goodwill 46.6 Total fair value of assets acquired and liabilities assumed $ 987.1 Our final fair value determination related to the Atlas mergers was as follows: Fair value determination: February Trade and other current receivables, net $ 181.1 Other current assets 24.4 Assets from risk management activities 102.1 Property, plant and equipment 4,616.9 Investments in unconsolidated affiliates 214.5 Intangible assets 1,354.9 Other long-term assets 5.5 Current liabilities (259.3 ) Long-term debt (1,573.3 ) Deferred income tax liabilities, net (13.6 ) Other long-term liabilities (119.1 ) Total identifiable net assets 4,534.1 Noncontrolling interest in subsidiaries (216.9 ) Goodwill 707.0 Total fair value of consideration transferred $ 5,024.2 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Components of Inventories | December 31, 2017 December 31, 2016 Commodities $ 191.6 $ 126.9 Materials and supplies 12.9 10.8 $ 204.5 $ 137.7 |
Property, Plant and Equipment40
Property, Plant and Equipment and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment And Intangible Assets [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment December 31, 2017 December 31, 2016 Estimated Useful Lives (In Years) Gathering systems $ 7,037.2 $ 6,626.8 5 to 20 Processing and fractionation facilities 3,569.6 3,390.2 5 to 25 Terminaling and storage facilities 1,244.1 1,205.0 5 to 25 Transportation assets 343.6 451.4 10 to 25 Other property, plant and equipment 303.7 274.2 3 to 25 Land 125.7 121.3 — Construction in progress 1,581.5 449.8 — Property, plant and equipment 14,205.4 12,518.7 Accumulated depreciation (3,775.4 ) (2,827.7 ) Property, plant and equipment, net $ 10,430.0 $ 9,691.0 Intangible assets $ 2,736.6 $ 2,036.6 10 to 20 Accumulated amortization (570.8 ) (382.6 ) Intangible assets, net $ 2,165.8 $ 1,654.0 |
Schedule of Changes in Intangible Assets | The changes in our intangible assets are as follows: December 31, 2017 December 31, 2016 Beginning of period $ 1,654.0 $ 1,810.1 Additions from Permian Acquisition 692.3 — Additions from Flag City Acquisition 7.7 — Amortization (188.2 ) (156.1 ) End of period $ 2,165.8 $ 1,654.0 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Changes in Net Amounts of Goodwill | Changes in the net amounts of our goodwill are as follows: WestTX SouthTX SouthOK Permian (1) Total Balance at January 1, 2015 $ — $ — $ — $ — $ — Acquisition, February 27, 2015 364.5 160.3 182.2 — 707.0 Provisional impairment for 2015 annual assessment (37.6 ) (70.2 ) (182.2 ) — (290.0 ) Balance at December 31, 2015, net 326.9 90.1 — — 417.0 Additional impairment for 2015 annual assessment (14.4 ) (9.6 ) — — (24.0 ) Impairment for 2016 annual assessment (137.8 ) (45.2 ) — — (183.0 ) Balance at December 31, 2016, net 174.7 35.3 — — 210.0 Permian Acquisition, March 1, 2017 — — — 46.6 46.6 Balance at December 31, 2017, net $ 174.7 $ 35.3 $ — $ 46.6 $ 256.6 _______________________________________________________________________________________________________________ (1) Permian column includes net amounts of goodwill of $23.2 million for the New Midland reporting unit and $23.4 million for the New Delaware reporting unit. |
Investments in Unconsolidated42
Investments in Unconsolidated Affiliates (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Activity Related to Partnership's Investments in Unconsolidated Affiliates | The following table shows the activity related to our investments in unconsolidated affiliates: GCF T2 LaSalle T2 Eagle Ford T2 EF Cogen Cayenne Total Balance at December 31, 2014 $ 50.2 $ — $ — $ — $ — $ 50.2 Fair value of T2 Joint Ventures acquired — 67.5 126.7 20.3 — 214.5 Equity earnings (loss) 13.8 (3.9 ) (9.4 ) (3.0 ) — (2.5 ) Cash distributions (1) (14.5 ) — — (0.5 ) — (15.0 ) Cash calls for expansion projects — — 6.5 5.2 — 11.7 Balance at December 31, 2015 $ 49.5 $ 63.6 $ 123.8 $ 22.0 $ — $ 258.9 Equity earnings (loss) 4.1 (5.2 ) (9.4 ) (3.8 ) — (14.3 ) Cash distributions (1) (7.5 ) — — (0.7 ) — (8.2 ) Cash calls for expansion projects — 0.2 4.2 — — 4.4 Balance at December 31, 2016 $ 46.1 $ 58.6 $ 118.6 $ 17.5 $ — $ 240.8 Equity earnings (loss) 12.4 (4.9 ) (10.6 ) (13.9 ) — (17.0 ) Cash distributions (1) (12.7 ) — — — — (12.7 ) Acquisition — — — — 5.0 5.0 Contributions (2) — 0.4 1.2 0.3 3.6 5.5 Balance at December 31, 2017 $ 45.8 $ 54.1 $ 109.2 $ 3.9 $ 8.6 $ 221.6 (1) Includes $0.2 million, $4.1 million and $1.2 million in distributions received from GCF and the T2 Joint Ventures in excess of our share of cumulative earnings for the years ended December 31, 2017, 2016 and 2015. Such excess distributions are considered a return of capital and disclosed in cash flows from investing activities in our Consolidated Statements of Cash Flows. (2) Includes a $1.0 million contribution of property, plant and equipment to T2 Eagle Ford. |
Accounts Payable and Accrued 43
Accounts Payable and Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | December 31, 2017 December 31, 2016 Commodities $ 711.5 $ 574.4 Other goods and services 289.7 117.0 Interest 54.4 52.3 Income and other taxes 27.1 24.2 Permian Acquisition contingent consideration, estimated current portion 6.8 — Compensation and benefits 52.8 37.2 Preferred Series A dividends payable 22.9 22.9 Other 21.7 15.5 $ 1,186.9 $ 843.5 |
Debt Obligations (Tables)
Debt Obligations (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Instrument [Line Items] | |
Schedule of Outstanding Debt | December 31, 2017 December 31, 2016 Current: Obligations of the Partnership: (1) Accounts receivable securitization facility, due December 2018 $ 350.0 $ 275.0 Long-term: TRC obligations: TRC Senior secured revolving credit facility, variable rate, due February 2020 (2) 435.0 275.0 TRC Senior secured term loan, variable rate, due February 2022 — 160.0 Unamortized discount — (2.2 ) Obligations of the Partnership: (1) Senior secured revolving credit facility, variable rate, due October 2020 (3) 20.0 150.0 Senior unsecured notes: 5% fixed rate, due January 2018 — 250.5 4⅛% fixed rate, due November 2019 749.4 749.4 6⅜% fixed rate, due August 2022 — 278.7 5¼% fixed rate, due May 2023 559.6 559.6 4¼% fixed rate, due November 2023 583.9 583.9 6¾% fixed rate, due March 2024 580.1 580.1 5⅛% fixed rate, due February 2025 500.0 500.0 5⅜% fixed rate, due February 2027 500.0 500.0 5% fixed rate, due January 2028 750.0 — TPL notes, 4¾% fixed rate, due November 2021 6.5 6.5 TPL notes, 5⅞% fixed rate, due August 2023 48.1 48.1 Unamortized premium 0.4 0.5 4,733.0 4,640.1 Debt issuance costs, net of amortization (30.0 ) (34.1 ) Long-term debt 4,703.0 4,606.0 Total debt obligations $ 5,053.0 $ 4,881.0 Irrevocable standby letters of credit: Letters of credit outstanding under the TRC Senior secured credit facility (2) $ — $ — Letters of credit outstanding under the Partnership senior secured revolving credit facility (3) 27.2 13.2 $ 27.2 $ 13.2 (1) While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. (2) As of December 31, 2017, availability under TRC’s $670.0 million senior secured revolving credit facility (“TRC Revolver”) was $235.0 million. (3) As of December 31, 2017, availability under the Partnership’s $1.6 billion senior secured revolving credit facility (“TRP Revolver”) was $1,552.8 million. |
Schedule of Contractual Maturities of Outstanding Debt Obligations | The following table shows the contractually scheduled maturities of our debt obligations outstanding at December 31, 2017, for the next five years, and in total thereafter: Scheduled Maturities of Debt Total 2018 2019 2020 2021 2022 After 2022 (in millions) TRC Senior secured revolving credit facility $ 435.0 $ — $ — $ 435.0 $ — $ — $ — TRP Revolver 20.0 — — 20.0 — — — Partnership's Senior unsecured notes 4,277.6 — 749.4 — 6.5 — 3,521.7 Partnership's accounts receivable securitization facility 350.0 350.0 — — — — — Total $ 5,082.6 $ 350.0 $ 749.4 $ 455.0 $ 6.5 $ — $ 3,521.7 |
Range of Interest Rates and Weighted Average Interest Rate Incurred on Variable Rate Debt Obligations | The following table shows the range of interest rates and weighted average interest rate incurred on variable-rate debt obligations during the year ended December 31, 2017: Range of Interest Rates Incurred Weighted Average Interest Rate Incurred TRC Revolver 2.5% - 4.5% 2.9% TRC Senior secured term loan (1) 5.75% 5.75% TRP Revolver 3.0% - 5.3% 3.2% Partnership's accounts receivable securitization facility 1.8% - 2.6% 2.1% (1) The TRC senior secured term loan is a Eurodollar rate loan with an interest rate of LIBOR (with a LIBOR floor of 1%) plus an applicable rate of 4.75%. |
Schedule of Redemption Prices for Issued Debt | The Partnership may redeem up to 35% of the aggregate principal amount of the notes in the table below at the redemption dates and prices set forth below (expressed as percentages of principal amounts) plus accrued and unpaid interest and liquidation damages, if any, with the net cash proceeds of one or more equity offerings, provided that: (i) at least 65% of the aggregate principal amount of each of the notes (excluding notes held by us) remains outstanding immediately after the occurrence of such redemption; and (ii) the redemption occurs within 180 days of the date of the closing of such equity offering. Note Issue Any Date Prior To Price 6 ¾% Senior Notes September 15, 2018 106.750% 5 ⅛% Senior Notes February 1, 2020 105.125% 5 ⅜% Senior Notes February 1, 2020 105.375% 5% Senior Notes January 15, 2021 105.000% The Partnership may also redeem all or part of each of the series of notes on or after the redemption dates set forth below at the price for each respective year (expressed as percentages of principal amount) plus accrued and unpaid interest and liquidation damages, if any, on the notes redeemed. Note Redemption Date Year Price 4 ⅛% Senior Notes November 15 2017 101.031 % 2018 and thereafter 100 % 5 ¼% Senior Notes November 1 2017 102.625 % 2018 101.750 % 2019 100.875 % 2020 and thereafter 100 % 4 ¼% Senior Notes May 15 2018 102.125 % 2019 101.417 % 2020 100.708 % 2021 and thereafter 100 % 6 ¾% Senior Notes September 15 2019 103.375 % 2020 101.688 % 2021 and thereafter 100 % 5 ⅛% Senior Notes February 1 2020 103.844 % 2021 102.563 % 2022 101.281 % 2023 and thereafter 100 % 5 ⅜% Senior Notes February 1 2022 102.688 % 2023 101.792 % 2024 100.896 % 2025 and thereafter 100 % 5% Senior Notes January 15 2023 102.500 % 2024 101.667 % 2025 100.833 % 2026 and thereafter 100 % TPL 4 ¾% Notes May 15 2017 102.375 % 2018 101.188 % 2019 and thereafter 100 % TPL 5 ⅞% Notes February 1 2018 102.938 % 2019 101.958 % 2020 100.979 % 2021 and thereafter 100 % |
Summary of Debt Repurchased on Open Market Portion of Outstanding Senior Notes | During the year ended December 31, 2015 the Partnership repurchased on the open market a portion of its outstanding Senior Notes as follows: Debt Repurchased Book Value Payment Gain/(Loss) Write-off of Debt Issuance Costs Net Gain/(Loss) 5¼% Senior Notes $ 16.3 $ (13.0 ) $ 3.3 $ (0.1 ) $ 3.2 4¼% Senior Notes 1.5 (1.2 ) 0.3 — 0.3 6⅝% Senior Notes 0.1 (0.1 ) — — — $ 17.9 $ (14.3 ) $ 3.6 $ (0.1 ) $ 3.5 During the year ended December 31, 2016 Debt Repurchased Book Value Payment Gain/(Loss) Write-off of Debt Issuance Costs Net Gain/(Loss) 5¼% Senior Notes $ 24.1 $ (20.1 ) $ 4.0 $ (0.2 ) $ 3.8 4¼% Senior Notes 39.5 (31.8 ) 7.7 (0.3 ) 7.4 6⅞% Senior Notes 4.8 (4.3 ) 0.5 (0.1 ) 0.4 6⅝% Senior Notes 32.6 (29.5 ) 3.1 — 3.1 6⅜% Senior Notes 21.3 (18.7 ) 2.6 (0.2 ) 2.4 6¾% Senior Notes 19.9 (17.5 ) 2.4 (0.2 ) 2.2 5% Senior Notes 366.4 (368.2 ) (1.8 ) (2.1 ) (3.9 ) 4⅛% Senior Notes 50.6 (44.2 ) 6.4 (0.4 ) 6.0 $ 559.2 $ (534.3 ) $ 24.9 $ (3.5 ) $ 21.4 |
Results of Tender Offers | The results of the Tender Offers, which closed in October 2016, were: Debt Tendered Outstanding Note Balance Prior to Tender Offers Amount Tendered Premium Paid Accrued Interest Paid Total Tender Offer Payments Note Balance After Tender Offers 5% Senior Notes $ 733.6 $ 483.1 $ 16.9 $ 5.4 $ 505.4 $ 250.5 6⅝% Senior Notes 309.9 281.7 10.5 0.3 292.5 28.2 6⅞% Senior Notes 478.6 373.5 14.4 4.6 392.5 105.1 Total $ 1,522.1 $ 1,138.3 $ 41.8 $ 10.3 $ 1,190.4 $ 383.8 The following table summarizes the debt repurchases and extinguishments that are included in our Consolidated Statements of Operations: 2017 2016 2015 Premium over face value paid upon redemption: Partnership 5% Senior Notes $ — $ 16.9 $ — Partnership 6⅝% Senior Notes — 11.5 — Partnership 6⅞% Senior Notes — 18.0 — Partnership 6⅝% TPL Notes — 0.4 — Partnership 6⅜% Senior Notes 8.9 — — Recognition of unamortized discount: TRC Term Loan, variable rate — — 4.7 TRC Senior secured term loan 2.2 — — Partnership 6⅞% Senior Notes — 19.5 — Recognition of unamortized premium: Partnership 6⅝% Senior Notes — (4.3 ) — Partnership 6⅝% TPL Notes — (0.2 ) — Loss (gain) on repurchase of debt: Partnership 5% Senior Notes — 1.8 — Partnership 4⅛% Senior Notes — (6.4 ) — Partnership 6⅝% Senior Notes — (2.8 ) — Partnership 6⅞% Senior Notes — (0.8 ) — Partnership 6⅜% Senior Notes — (2.6 ) — Partnership 5¼% Senior Notes — (4.0 ) (3.3 ) Partnership 4¼% Senior Notes — (7.7 ) (0.3 ) Partnership 6¾% Senior Notes — (2.4 ) — Loss from financing with Exchange Offer: Partnership 6⅝% Senior Notes — — 0.7 Write-off of debt issuance costs: TRP Revolver — 0.9 — TRC Term Loan, variable rate — — 8.2 TRC Senior secured term loan 3.7 — — Partnership 5% Senior Notes 0.2 4.2 — Partnership 4⅛% Senior Notes — 0.4 — Partnership 6⅞% Senior Notes — 4.9 — Partnership 6⅜% Senior Notes 1.8 0.2 — Partnership 5¼% Senior Notes — 0.2 0.1 Partnership 4¼% Senior Notes — 0.3 — Partnership 6¾% Senior Notes — 0.2 — Loss from financing activities $ 16.8 $ 48.2 $ 10.1 |
TPL Senior Notes Tender Offers [Member] | |
Debt Instrument [Line Items] | |
Results of Tender Offers | The results of the TPL Notes Tender Offers were: Debt Tendered Outstanding Note Balance Prior to Tender Offers Amount Tendered Premium Paid Accrued Interest Paid Total Tender Offer Payments % Tendered Note Balance After Tender Offers 6⅝% Senior Notes $ 500.0 $ 140.1 $ 2.1 $ 3.7 $ 145.9 28.02 % $ 359.9 4¾% Senior Notes 400.0 393.5 5.9 5.3 404.7 98.38 % 6.5 5⅞% Senior Notes 650.0 601.9 8.7 2.6 613.2 92.60 % 48.1 Total $ 1,550.0 $ 1,135.5 $ 16.7 $ 11.6 $ 1,163.8 $ 414.5 |
Other Long-term Liabilities (Ta
Other Long-term Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Liabilities Noncurrent [Abstract] | |
Schedule of Other Long-term Liabilities | Other long-term liabilities are comprised of the following obligations: December 31, 2017 December 31, 2016 Asset retirement obligations $ 50.8 $ 64.6 Mandatorily redeemable preferred interests 76.2 68.5 Deferred revenue 136.2 69.8 Permian Acquisition contingent consideration, noncurrent portion 310.2 — Other liabilities 24.5 12.2 Total long-term liabilities $ 597.9 $ 215.1 |
Changes in Aggregate ARO | The changes in our ARO are as follows: 2017 2016 Beginning of period $ 64.6 $ 70.4 Additions (1) 0.8 — Reduction due to sale of VGS (21.6 ) — Change in cash flow estimate 3.1 (9.1 ) Accretion expense 3.9 4.6 Retirement of ARO — (1.3 ) End of period $ 50.8 $ 64.6 ___________________________________________ (1) Amount reflects ARO assumed from the Permian Acquisition. |
Schedule of Changes Attributable to Mandatorily Redeemable Preferred Interests | The following table shows the changes attributable to mandatorily redeemable preferred interests: 2017 2016 Beginning of period $ 68.5 $ 82.9 Income attributable to mandatorily redeemable preferred interests 4.4 0.8 Change in estimated redemption value included in interest expense 3.3 (15.2 ) End of period $ 76.2 $ 68.5 |
Components of deferred revenue | The following table shows the components of deferred revenue: December 31, 2017 December 31, 2016 Splitter agreement $ 86.0 $ 43.0 Gas contract amendment 44.7 19.7 Other deferred revenue 5.5 7.1 Total deferred revenue $ 136.2 $ 69.8 |
Changes In Deferred revenue | The following table shows the changes in deferred revenue: 2017 2016 Beginning of period $ 69.8 $ 27.7 Additions 69.5 45.2 Revenue recognized (3.1 ) (3.1 ) End of period $ 136.2 $ 69.8 |
Schedule of Changes in Contingent Consideration | The following table shows the changes in contingent consideration: Balance at March 1, 2017 (acquisition date) $ 461.6 Measurement period adjustment of acquisition date value (45.3 ) Decrease in fair value due to factors occurring after acquisition date (99.3 ) Balance at December 31, 2017 317.0 Less: Current portion (6.8 ) Long-term balance at December 31, 2017 $ 310.2 |
Preferred Stock (Tables)
Preferred Stock (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Accounting for Series A preferred stock | Allocation of Proceeds Additional Paid-in Capital Series A Preferred Series A Warrants Series B Warrants Beneficial Conversion Feature Gross proceeds $ 994.1 Transaction fees (24.8 ) Net Proceeds- Initial Relative Fair Value Allocation $ 969.3 $ 787.1 $ 135.7 $ 46.5 $ — Allocation to BCF (614.4 ) — — 614.4 Per balance sheet upon issuance $ 172.7 $ 135.7 $ 46.5 $ 614.4 |
Common Stock and Related Matt47
Common Stock and Related Matters (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Class Of Stock Disclosures [Abstract] | |
Dividends Declared and/or Paid | The following table details the dividends declared and/or paid by us to common shareholders for the years ended December 31, 2017, 2016 and 2015: Three Months Ended Date Paid or To Be Paid Total Common Dividends Declared Amount of Common Dividends Paid or To Be Paid Accrued Dividends (1) Dividends Declared per Share of Common Stock ( per share amounts) 2017 December 31, 2017 February 15, 2018 $ 202.4 $ 199.1 $ 3.3 $ 0.91000 September 30, 2017 November 15, 2017 199.0 196.2 2.8 0.91000 June 30, 2017 August 15, 2017 198.6 196.2 2.4 0.91000 March 31, 2017 May 16, 2017 182.8 180.3 2.5 0.91000 2016 December 31, 2016 February 15, 2017 $ 178.3 $ 176.5 $ 1.8 $ 0.91000 September 30, 2016 November 15, 2016 166.4 164.6 1.8 0.91000 June 30, 2016 August 15, 2016 153.1 151.6 1.5 0.91000 March 31, 2016 May 16, 2016 147.8 146.1 1.7 0.91000 2015 December 31, 2015 February 9, 2016 $ 51.7 $ 51.0 $ 0.7 $ 0.91000 September 30, 2015 November 16, 2015 51.3 51.0 0.3 0.91000 June 30, 2015 August 17, 2015 49.2 49.0 0.2 0.87500 March 31, 2015 May 18, 2015 46.6 46.4 0.2 0.83000 (1) Represents accrued dividends on restricted stock and restricted stock units that are payable upon vesting. |
Partnership Units and Related48
Partnership Units and Related Matters (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Partners Capital [Abstract] | |
Schedule of Distributions | The following details the distributions declared or paid by the Partnership during 2017, 2016 and 2015: Three Months Ended Date Paid Or to Be Paid Total Distributions Distributions to Targa Resources Corp. 2017 December 31, 2017 February 12, 2018 $ 228.5 $ 225.7 September 30, 2017 November 10, 2017 225.4 222.6 June 30, 2017 August 10, 2017 225.4 222.6 March 31, 2017 May 11, 2017 209.6 206.8 2016 December 31, 2016 February 10, 2017 $ 198.1 $ 195.3 September 30, 2016 November 11, 2016 194.7 191.9 June 30, 2016 August 11, 2016 181.7 178.9 March 31, 2016 May 12, 2016 157.6 154.8 2015 December 31, 2015 February 9, 2016 $ 200.4 $ 61.4 September 30, 2015 November 13, 2015 200.4 61.4 June 30, 2015 August 14, 2015 200.4 61.4 March 31, 2015 May 15, 2015 193.9 59.0 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |
Reconciliation of Net Income and Weighted Average Shares Outstanding Used in Computing Basic and Diluted Net Income Per Common Share | The following table sets forth a reconciliation of net income and weighted average shares outstanding (in millions) used in computing basic and diluted net income per common share: 2017 2016 2015 Net income $ 104.2 $ (159.1 ) $ (151.4 ) Less: Net income attributable to noncontrolling interests 50.2 28.2 (209.7 ) Less: Dividends on preferred stock 117.4 90.8 — Net income attributable to common shareholders for basic earnings per share $ (63.4 ) $ (278.1 ) $ 58.3 Weighted average shares outstanding - basic 206.9 154.4 53.5 Net income available per common share - basic $ (0.31 ) $ (1.80 ) $ 1.09 Weighted average shares outstanding 206.9 154.4 53.5 Dilutive effect of common stock equivalents — — 0.1 Weighted average shares outstanding - diluted 206.9 154.4 53.6 Net income available per common share - diluted $ (0.31 ) $ (1.80 ) $ 1.09 |
Summary of Potential Common Stock Equivalents Excluded from Determination of Diluted Earnings Per Share | The following potential common stock equivalents are excluded from the determination of diluted earnings per share because the inclusion of such shares would have been anti-dilutive (in millions on a weighted-average basis): 2017 2016 2015 Unvested restricted stock awards 1.2 0.6 0.1 Warrants to purchase common stock 0.1 5.8 — Series A Preferred Stock (1) 46.5 36.9 — The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock. See Note 12 – Preferred Stock |
Derivative Instruments and He50
Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Notional Volume of Commodity Hedges | At December 31, 2017, the notional volumes of our commodity derivative contracts were: Commodity Instrument Unit 2018 2019 2020 Natural Gas Swaps MMBtu/d 166,470 131,506 - Natural Gas Basis Swaps MMBtu/d 99,521 12,500 10,417 Natural Gas Futures MMBtu/d 466 - - Natural Gas Options MMBtu/d 9,486 - - NGL Swaps Bbl/d 19,298 9,889 427 NGL Futures Bbl/d 14,661 329 - NGL Options Bbl/d 2,986 410 - Condensate Swaps Bbl/d 3,790 1,753 - Condensate Options Bbl/d 691 590 - |
Fair Values of Derivative Instruments | The following schedules reflect the fair values of our derivative instruments and their location on our Consolidated Balance Sheets as well as pro forma reporting assuming that we reported derivatives subject to master netting agreements on a net basis: Fair Value as of December 31, 2017 Fair Value as of December 31, 2016 Balance Sheet Derivative Derivative Derivative Derivative Location Assets Liabilities Assets Liabilities Derivatives designated as hedging instruments Commodity contracts Current $ 37.9 $ 78.6 $ 16.7 $ 48.6 Long-term 23.2 18.7 5.1 26.1 Total derivatives designated as hedging instruments $ 61.1 $ 97.3 $ 21.8 $ 74.7 Derivatives not designated as hedging instruments Commodity contracts Current $ - $ 1.1 $ 0.1 $ 0.5 Long-term - 0.9 - - Total derivatives not designated as hedging instruments $ - $ 2.0 $ 0.1 $ 0.5 Total current position $ 37.9 $ 79.7 $ 16.8 $ 49.1 Total long-term position 23.2 19.6 5.1 26.1 Total derivatives $ 61.1 $ 99.3 $ 21.9 $ 75.2 |
Pro Forma Impact of Derivatives Net in Consolidated Balance Sheet | The pro forma impact of reporting derivatives on our Consolidated Balance Sheets on a net basis is as follows: Gross Presentation Pro forma net presentation December 31, 2017 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 37.9 $ (74.7 ) $ 22.9 $ 13.8 $ (27.7 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (5.0 ) - - (5.0 ) 37.9 (79.7 ) 22.9 13.8 (32.7 ) Long Term Position Counterparties with offsetting positions or collateral 23.2 (17.3 ) - 14.8 (8.9 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (2.3 ) - - (2.3 ) 23.2 (19.6 ) - 14.8 (11.2 ) Total Derivatives Counterparties with offsetting positions or collateral 61.1 (92.0 ) 22.9 28.6 (36.6 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (7.3 ) - - (7.3 ) $ 61.1 $ (99.3 ) $ 22.9 $ 28.6 $ (43.9 ) Gross Presentation Pro forma net presentation December 31, 2016 Asset Liability Collateral Asset Liability Current Position Counterparties with offsetting positions or collateral $ 16.8 $ (46.1 ) $ 7.0 $ 5.7 $ (28.0 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (3.0 ) - - (3.0 ) 16.8 (49.1 ) 7.0 5.7 (31.0 ) Long Term Position Counterparties with offsetting positions or collateral 5.1 (18.7 ) - - (13.6 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (7.4 ) - - (7.4 ) 5.1 (26.1 ) - - (21.0 ) Total Derivatives Counterparties with offsetting positions or collateral 21.9 (64.8 ) 7.0 5.7 (41.6 ) Counterparties without offsetting positions - assets - - - - - Counterparties without offsetting positions - liabilities - (10.4 ) - - (10.4 ) $ 21.9 $ (75.2 ) $ 7.0 $ 5.7 $ (52.0 ) |
Amounts Recorded in Other Comprehensive Income and Amounts Reclassified from OCI to Revenue and Expense | The following tables reflect amounts recorded in Other Comprehensive Income and amounts reclassified from OCI to revenue and expense for the periods indicated: Derivatives in Cash Flow Gain (Loss) Recognized in OCI on Derivatives (Effective Portion) Hedging Relationships 2017 2016 2015 Commodity contracts $ (28.8 ) $ (103.6 ) $ 112.7 Gain (Loss) Reclassified from OCI into Income (Effective Portion) Location of Gain (Loss) 2017 2016 2015 Revenues (44.6 ) 45.0 86.3 |
Gain (Loss) Recognized in Income on Derivatives | The use of mark-to-market accounting for financial instruments can cause non-cash earnings volatility due to changes in the underlying commodity price indices. Derivatives Not Designated Location of Gain Recognized in Gain (Loss) Recognized in Income on Derivatives as Hedging Instruments Income on Derivatives 2017 2016 2015 Commodity contracts Revenue $ (5.1 ) $ 0.9 $ (5.7) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Breakdown by Fair Value Hierarchy Category for Financial Instruments Included in Consolidated Balance Sheets | The following table shows a breakdown by fair value hierarchy category for (1) financial instruments measurements included on our Consolidated Balance Sheets at fair value and (2) supplemental fair value disclosures for other financial instruments: December 31, 2017 Carrying Fair Value Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 60.3 $ 60.3 $ — $ 58.8 $ 1.5 Liabilities from commodity derivative contracts (1) 98.5 98.5 — 93.3 5.2 Permian Acquisition contingent consideration (2) 317.0 317.0 — — 317.0 TPL contingent consideration (3) 2.4 2.4 — — 2.4 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 137.2 137.2 — — — TRC Revolver 435.0 435.0 — 435.0 — TRC term loan — — — — — TRP Revolver 20.0 20.0 — 20.0 — Partnership's Senior unsecured notes 4,278.0 4,362.4 — 4,362.4 — Partnership's accounts receivable securitization facility 350.0 350.0 — 350.0 — December 31, 2016 Carrying Fair Value Value Total Level 1 Level 2 Level 3 Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value: Assets from commodity derivative contracts (1) $ 21.0 $ 21.0 $ — $ 19.6 $ 1.4 Liabilities from commodity derivative contracts (1) 74.2 74.2 — 69.3 4.9 Permian Acquisition contingent consideration (2) — — — — — TPL contingent consideration (3) 2.6 2.6 — — 2.6 Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value: Cash and cash equivalents 73.5 73.5 — — — TRC Revolver 275.0 275.0 — 275.0 — TRC term loan 157.8 158.4 — 158.4 — TRP Revolver 150.0 150.0 — 150.0 — Partnership's Senior unsecured notes 4,057.3 4,101.6 — 4,101.6 — Partnership's accounts receivable securitization facility 275.0 275.0 — 275.0 — (1) The fair value of derivative contracts in this table is presented on a different basis than the Consolidated Balance Sheets presentation as disclosed in Note 16 – Derivative Instruments and Hedging Activities. The above fair values reflect the total value of each derivative contract taken as a whole, whereas the Consolidated Balance Sheets presentation is based on the individual maturity dates of estimated future settlements. As such, an individual contract could have both an asset and liability position when segregated into its current and long-term portions for Consolidated Balance Sheets classification purposes. (2) We have a contingent consideration liability related to the Permian Acquisition, which is carried at fair value. (3) We have a contingent consideration liability for TPL’s previous acquisition of a gas gathering system and related assets, which is carried at fair value. |
Reconciliation of Changes in Fair Value of Financial Instruments Classified as Level 3 | The following table summarizes the changes in fair value of our financial instruments classified as Level 3 in the fair value hierarchy: Commodity Derivative Contracts Contingent Asset/(Liability) Liability Balance, December 31, 2016 $ (3.6 ) $ (2.6 ) Change in fair value of TPL contingent consideration - 0.2 Fair value of Permian Acquisition contingent consideration (1) - (317.0 ) New Level 3 derivative instruments (0.2 ) - Transfers out of Level 3 (2) 4.2 - Settlements included in Revenue - - Unrealized gain/(loss) included in OCI (4.2 ) - Balance, December 31, 2017 $ (3.8 ) $ (319.4 ) (1) Represents the December 31, 2017 balance of the contingent consideration that arose as part of the Permian Acquisition in the first quarter of 2017. See Note 4 – Acquisitions and Divestitures for discussion of the initial fair value. (2) Transfers relate to long-term over-the-counter swaps for NGL products for which observable market prices became available for substantially their full term. |
Commitments (Leases) (Tables)
Commitments (Leases) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Future Lease Obligations for Next Five Fiscal Years | Future lease obligations are presented below in aggregate and for each of the next five fiscal years: In Aggregate 2018 2019 2020 2021 2022 Operating leases (1) $ 42.5 $ 12.6 $ 7.5 $ 7.9 $ 7.3 $ 7.2 Land site lease and rights of way (2) 14.6 3.2 3.0 2.8 2.8 2.8 $ 57.1 $ 15.8 $ 10.5 $ 10.7 $ 10.1 $ 10.0 (1) Includes minimum payments on lease obligations for office space, railcars and tractors. (2) Land site lease and rights of way provides for surface and underground access for gathering, processing and distribution assets that are located on property not owned by us. These agreements expire at various dates, with varying terms, some of which are perpetual. |
Total Expenses Incurred under Lease Obligations Including Short Term Leases of Compressors and Equipment | Total expenses incurred under the above lease obligations, including short-term leases of compressors and equipment, were: 2017 2016 2015 Operating leases (1) $ 49.6 $ 48.9 $ 46.0 Land site lease and rights of way 5.2 4.4 4.2 $ 54.8 $ 53.3 $ 50.2 _____________________________ (1) Includes short-term leases for items such as compressors and equipment. |
Other Operating (Income) Expe53
Other Operating (Income) Expense (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Other Income And Expenses [Abstract] | |
Other Operating (Income) Expense | Other Operating (Income) Expense is comprised of the following: 2017 2016 2015 (Gain) loss on sale or disposal of assets (1) $ 15.9 $ 6.1 $ (8.0 ) Casualty (gain) loss - - (0.2 ) Miscellaneous business tax 0.8 0.5 0.5 Other 0.7 - 0.6 $ 17.4 $ 6.6 $ (7.1 ) ______________________ (1) Comprised primarily of a $16.1 million loss in 2017 due to the reduction in the carrying value of our ownership interest in VGS in connection with the April 4, 2017 sale. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Components of Federal and State Income Tax Provisions | Components of the federal and state income tax provisions for the periods indicated are as follows: 2017 2016 2015 Current expense (benefit) $ (4.4 ) $ (62.8 ) $ 15.0 Deferred expense (benefit) (392.7 ) (37.8 ) 24.6 Total income tax expense (benefit) $ (397.1 ) $ (100.6 ) $ 39.6 |
Deferred Tax Assets and Liabilities | Our deferred income tax assets and liabilities at December 31, 2017 and 2016 consist of differences related to the timing of recognition of certain types of costs as follows: 2017 2016 Deferred tax assets: Net operating loss 278.1 101.2 Tax credits - 3.9 Other 2.7 3.5 Deferred tax assets before valuation allowance $ 280.8 $ 108.6 Valuation allowance (2.7 ) (3.5 ) Deferred tax assets 278.1 105.1 Deferred tax liabilities: Investments (1) (768.9 ) (1,002.6 ) Property, plant, and equipment (16.4 ) (25.3 ) Other 28.2 (18.4 ) Deferred tax liabilities (757.1 ) (1,046.3 ) Net deferred tax asset (liability) $ (479.0 ) (941.2 ) Net deferred tax asset (liability) Federal $ (386.1 ) $ (833.2 ) Foreign 0.6 0.6 State (93.5 ) (108.6 ) Long-term deferred tax liability, net $ (479.0 ) $ (941.2 ) (1) Our deferred tax liability attributable to investments reflects the differences between the book and tax carrying values of our investment in the Partnership. |
Reconciliation of Income Tax Provision (Benefit) | Set forth below is the reconciliation between our income tax provision (benefit) computed at the United States statutory rate on income before income taxes and the income tax provision in our Consolidated Statements of Operations for the periods indicated: Income tax reconciliation: 2017 2016 2015 Income (loss) before income taxes $ (292.9 ) $ (259.7 ) $ (111.8 ) Less: Net income attributable to noncontrolling interest (50.2 ) (28.2 ) 209.7 Less: TPL Arkoma, Inc. income to TRC — 0.8 0.5 Less: Income taxes included in noncontrolling interest — — (0.6 ) Income attributable to TRC (excluding TPL Arkoma, Inc.) before income taxes (343.1 ) (287.1 ) 97.8 Income from TPL Arkoma, Inc. — (0.8 ) (7.6 ) Income attributable to TRC and TPL Arkoma, Inc. before income taxes (343.1 ) (287.9 ) 90.2 Federal statutory income tax rate 35 % 35 % 35 % Provision for federal income taxes (120.1 ) (100.8 ) 31.6 State income taxes, net of federal tax benefit (11.7 ) (6.1 ) 3.5 Amortization of deferred charge on 2010 transactions — 4.7 4.7 Tax reform rate change (269.5 ) — — Other, net 4.2 1.6 (0.2 ) Income tax provision (benefit) $ (397.1 ) $ (100.6 ) $ 39.6 |
Supplemental Cash Flow Inform55
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | 2017 2016 2015 Cash: Interest paid, net of capitalized interest (1) $ 212.2 $ 282.0 $ 214.1 Income taxes paid, net of refunds (67.5 ) (10.6 ) 12.6 Non-cash investing activities: Deadstock commodity inventory transferred to property, plant and equipment $ 9.0 $ 17.4 1.2 Impact of capital expenditure accruals on property, plant and equipment 205.4 27.6 43.8 Transfers from materials and supplies inventory to property, plant and equipment 3.6 2.4 3.7 Contribution of property, plant and equipment to investments in unconsolidated affiliates 1.0 — — Change in ARO liability and property, plant and equipment due to revised cash flow estimate 3.1 (9.1 ) 3.8 Deferred revenue related to property, plant and equipment received under contract amendment — — 22.6 Non-cash financing activities: Reduction of Owner's Equity related to accrued dividends on unvested equity awards under share compensation arrangements $ 9.7 $ 8.7 1.6 Debt additions and retirements related to exchange of TRP 6⅝% Notes for 6⅝% TPL Notes — — 342.1 Allocation of Series A Preferred Stock net book value of BCF to additional paid-in capital — 614.4 — Change in accrued dividends of Series A Preferred Stock — — 0.9 Accrued dividends of Series A Preferred Stock — 22.9 — Accretion of deemed dividends on Series A Preferred Stock 25.7 18.2 — Transfer within additional paid-in capital for exercise of Warrants — 181.5 — Impact of accounting standard adoption recorded in retained earnings 56.1 — — Non-cash balance sheet movements related to the Permian Acquisition (See Note 4 - Acquisitions and Divestitures): Contingent consideration recorded at the acquisition date $ 416.3 $ — $ — Non-cash balance sheet movements related to the purchase of noncontrolling interests in subsidiary (See Note 4 - Acquisitions and Divestitures): Additional paid-in capital (13.9 ) 65.0 — Deferred tax liability 13.9 — — Noncontrolling interests — (65.0 ) — Additional paid-in capital 0.3 3,207.5 — Accumulated other comprehensive income — 55.8 Noncontrolling interests — (4,119.7 ) — Deferred tax liability (0.3 ) 856.3 — Non-cash balance sheet movements related to the Atlas Merger (See Note 4 - Acquisitions and Divestitures): Non-cash merger consideration - common units and replacement equity awards $ — $ — $ 2,436.1 Non-cash merger consideration - common shares and replacement equity awards — — 1,013.7 Net non-cash balance sheet movements excluded from consolidated statements of cash flows — — 3,449.8 Net cash merger consideration included in investing activities — — 1,574.4 Total fair value of consideration transferred $ — $ — $ 5,024.2 (1) Interest capitalized on major projects was $14.3 million, $8.3 million and $13.2 million for the years ended December 31, 2017, 2016 and 2015. |
Compensation Plans (Tables)
Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Restricted Stock Units (RSUs) [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Restricted Stock Awards | The following table summarizes the restricted stock and RSUs under the 2010 TRC Plan in shares and in dollars for the year indicated. Number Weighted Average of shares Grant-Date Fair Value Outstanding at December 31, 2016 1,368,250 $ 38.10 Granted 1,207,760 54.25 Forfeited (16,330 ) 47.35 Vested (130,882 ) 80.47 Outstanding at December 31, 2017 2,428,798 43.78 |
Performance Share Units [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Restricted Stock Units | The following table summarizes the performance share units under the 2010 TRC Plan in shares and in dollars for the year indicated. Number Weighted Average of shares Grant-Date Fair Value Outstanding at December 31, 2016 — $ — Granted 113,901 99.71 Outstanding at December 31, 2017 113,901 99.71 |
Restricted Stock [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Restricted Stock Awards | The following table summarizes the restricted stock units for the year ended December 31, 2017, under the Plan: Restricted Stock Units Number Weighted-average of shares Grant-Date Fair Value Outstanding as of December 31, 2016 700,402 $ 51.52 Forfeited (16,416 ) 31.74 Vested (186,039 ) 90.82 Outstanding as of December 31, 2017 497,947 40.54 |
Cash-Settled Performance Units [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Restricted Stock Units | The following table summarizes the cash-settled restricted stock units for the year ended December 31, 2017, under the TRC LTIP (in shares and millions of dollars). Program Year 2014 Awards 2015 Awards Total Outstanding as of December 31, 2016 72,979 116,316 189,295 Vested and paid (71,752 ) (1,183 ) (72,935 ) Forfeited (1,227 ) (2,583 ) (3,810 ) Outstanding as of December 31, 2017 - 112,550 112,550 Calculated fair market value as of December 31, 2017 $ - $ 6,670,957 $ 6,670,957 Current liability $ - $ 5,473,782 $ 5,473,782 Long-term liability - - - Liability as of December 31, 2017 $ - $ 5,473,782 $ 5,473,782 To be recognized in future periods $ - $ 1,197,175 $ 1,197,175 Vesting date June 2017 June 2018 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Reportable Segment Information | Reportable segment information is shown in the following tables: Year Ended December 31, 2017 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 781.4 $ 6,979.3 $ (9.6 ) $ — $ 7,751.1 Fees from midstream services 566.3 497.5 — — 1,063.8 1,347.7 7,476.8 (9.6 ) — 8,814.9 Intersegment revenues Sales of commodities 3,154.2 321.9 — (3,476.1 ) — Fees from midstream services 6.9 28.0 — (34.9 ) — 3,161.1 349.9 — (3,511.0 ) — Revenues $ 4,508.8 $ 7,826.7 $ (9.6 ) $ (3,511.0 ) $ 8,814.9 Operating margin $ 783.8 $ 511.8 $ (9.6 ) $ (0.1 ) $ 1,285.9 Other financial information: Total assets (1) $ 10,732.3 $ 3,507.4 $ 56.8 $ 92.1 $ 14,388.6 Goodwill $ 256.6 $ — $ — $ — $ 256.6 Capital expenditures $ 1,008.9 $ 470.4 $ — $ 27.2 $ 1,506.5 Business acquisitions $ 987.1 $ — $ — $ — $ 987.1 (1) Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. Year Ended December 31, 2016 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 621.9 $ 4,942.0 $ 62.9 $ — $ 5,626.8 Fees from midstream services 486.6 577.5 — — 1,064.1 1,108.5 5,519.5 62.9 — 6,690.9 Intersegment revenues Sales of commodities 2,124.4 251.5 — (2,375.9 ) — Fees from midstream services 7.8 23.5 — (31.3 ) — 2,132.2 275.0 — (2,407.2 ) — Revenues $ 3,240.7 $ 5,794.5 $ 62.9 $ (2,407.2 ) $ 6,690.9 Operating margin $ 577.1 $ 574.4 $ 62.9 $ (0.1 ) $ 1,214.3 Other financial information: Total assets (1) $ 9,800.6 $ 2,868.7 $ 21.8 $ 180.1 $ 12,871.2 Goodwill $ 210.0 $ — $ — $ — $ 210.0 Capital expenditures $ 402.5 $ 185.3 $ — $ 4.3 $ 592.1 (1) Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. Year Ended December 31, 2015 Gathering and Processing Logistics and Marketing Other Corporate and Eliminations Total Revenues Sales of commodities $ 1,485.4 $ 3,895.8 $ 84.2 $ — $ 5,465.4 Fees from midstream services 427.1 766.1 — — 1,193.2 1,912.5 4,661.9 84.2 — 6,658.6 Intersegment revenues Sales of commodities 1,126.3 208.9 — (1,335.2 ) — Fees from midstream services 8.7 17.8 — (26.5 ) — 1,135.0 226.7 — (1,361.7 ) — Revenues $ 3,047.5 $ 4,888.6 $ 84.2 $ (1,361.7 ) $ 6,658.6 Operating margin $ 515.1 $ 681.7 $ 84.2 $ — $ 1,281.0 Other financial information: Total assets (1) $ 10,391.9 $ 2,567.1 $ 127.1 $ 124.9 $ 13,211.0 Goodwill $ 417.0 $ — $ — $ — $ 417.0 Capital expenditures $ 496.3 $ 272.0 $ — $ 8.9 $ 777.2 Business acquisitions $ 5,024.2 $ — $ — $ — $ 5,024.2 (1) Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. |
Revenues by Product and Service | The following table shows our consolidated revenues by product and service for the periods presented: 2017 2016 2015 Sales of commodities: Natural gas $ 2,002.0 $ 1,584.5 $ 1,578.6 NGL 5,418.0 3,777.3 3,558.3 Condensate 196.0 133.9 142.4 Petroleum products 144.7 68.2 101.6 Derivative activities (9.6 ) 62.9 84.5 7,751.1 5,626.8 5,465.4 Fees from midstream services: Fractionating and treating 132.8 126.2 209.0 Storage, terminaling, transportation and export 342.2 420.0 506.2 Gathering and processing 523.3 445.0 393.7 Other 65.5 72.9 84.3 1,063.8 1,064.1 1,193.2 Total revenues $ 8,814.9 $ 6,690.9 $ 6,658.6 |
Reconciliation of Operating Margin to Net Income (Loss) | The following table shows a reconciliation of operating margin to net income (loss) for the periods presented: 2017 2016 2015 Reconciliation of reportable segment operating margin to income (loss) before income taxes: Gathering and Processing operating margin $ 783.8 $ 577.1 $ 515.1 Logistics and Marketing operating margin 511.8 574.4 681.7 Other operating margin (9.6 ) 62.9 84.2 Depreciation and amortization expenses (809.5 ) (757.7 ) (644.5 ) General and administrative expenses (203.4 ) (187.2 ) (161.7 ) Impairment of property, plant and equipment (378.0 ) — (32.6 ) Impairment of goodwill — (207.0 ) (290.0 ) Interest expense, net (233.7 ) (254.2 ) (231.9 ) Other, net 45.7 (68.0 ) (32.1 ) Income (loss) before income taxes $ (292.9 ) $ (259.7 ) $ (111.8 ) |
Selected Quarterly Financial 58
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Selected Quarterly Financial Information [Abstract] | |
Results of Operations by Quarter | Our results of operations by quarter for the years ended December 31, 2017 and 2016 were as follows: First Quarter Second Quarter Third Quarter Fourth Quarter Total 2017 Revenues $ 2,112.6 $ 1,867.7 $ 2,131.8 $ 2,702.8 $ 8,814.9 Gross margin 458.4 447.1 468.7 534.6 1,908.8 Income (loss) from operations (1) 50.5 37.2 (323.6 ) 113.5 (122.4 ) Net income (loss) (110.5 ) 70.6 (155.1 ) 299.2 104.2 Net income (loss) attributable to common shareholders (148.3 ) 28.4 (197.0 ) 253.5 (63.4 ) Net income (loss) per common share - basic (0.77 ) 0.14 (0.91 ) 1.17 (0.31 ) Net income (loss) per common share - diluted (2) (0.77 ) 0.14 (0.91 ) 1.05 (0.31 ) 2016 Revenues $ 1,442.4 $ 1,583.6 $ 1,652.3 $ 2,012.6 $ 6,690.9 Gross margin 431.4 438.4 429.6 468.6 1,768.0 Income (loss) from operations (3)(4) 35.5 66.3 51.6 (97.6 ) 55.8 Net income (loss) (0.7 ) (14.6 ) (3.2 ) (140.6 ) (159.1 ) Net income (loss) attributable to common shareholders (6.5 ) (52.6 ) (39.4 ) (179.6 ) (278.1 ) Net income (loss) per common share - basic (0.06 ) (0.33 ) (0.23 ) (0.99 ) (1.80 ) Net income (loss) per common share - diluted (0.06 ) (0.33 ) (0.23 ) (0.99 ) (1.80 ) (1) Includes a non-cash pre-tax impairment charge of $378.0 million (2) Include dilutive effects of common stock equivalents in the second quarter of 2017 and fourth quarter of 2017. Dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for the convertible preferred stock. Under the if-converted method, the dividends on the convertible preferred stock are added back to the numerator for the purposes of the diluted earnings per share calculation. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive potential common shares. (3) Includes a goodwill impairment of $24.0 million in the first quarter of 2016, which represented the finalization of the 2015 provisional charge. See Note 7 – Goodwill. (4) Includes a goodwill impairment of $183.0 million in the fourth quarter of 2016. See Note 7 – Goodwill. |
Condensed Parent Only Financi59
Condensed Parent Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Statements | The condensed financial statements should be read in conjunction with Targa’s consolidated financial statements, which begin on page F-1 in this Annual Report. TARGA RESOURCES CORP. PARENT ONLY CONDENSED BALANCE SHEETS December 31, 2017 2016 ASSETS Investment in consolidated subsidiaries $ 6,804.2 $ 5,840.2 Deferred income taxes 39.9 54.5 Debt issuance costs 4.5 6.5 Total assets $ 6,848.6 $ 5,901.2 LIABILITIES, SERIES A PREFERRED STOCK AND OWNERS' EQUITY Accrued current liabilities $ 24.4 $ 23.6 Long-term debt 435.0 429.0 Other long-term liabilities 12.4 9.2 Contingencies Series A Preferred 9.5% Stock, net of discount 216.5 190.8 Targa Resources Corp. stockholders' equity 6,160.3 5,248.6 Total liabilities, Series A Preferred Stock and owners' equity $ 6,848.6 $ 5,901.2 TARGA RESOURCES CORP. PARENT ONLY CONDENSED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) Year Ended December 31, 2017 2016 2015 Equity in net income (loss) of consolidated subsidiaries $ 103.3 $ (167.3 ) $ 87.6 General and administrative expense (12.9 ) (10.0 ) (8.0 ) Income (loss) from operations 90.4 (177.3 ) 79.6 Other income (expense): Loss on debt extinguishment (5.9 ) — (12.9 ) Interest expense (15.9 ) (20.8 ) (24.2 ) Income (loss) before income taxes 68.6 (198.1 ) 42.5 Deferred income tax (expense) benefit (14.6 ) 10.8 15.8 Net income (loss) attributable to Targa Resources Corp. 54.0 (187.3 ) 58.3 Other comprehensive income (loss) 8.4 (99.8 ) 0.9 Total comprehensive income (loss) $ 62.4 $ (287.1 ) $ 59.2 Dividends on Series A Preferred Stock 91.7 72.6 — Deemed dividends on Series A Preferred Stock 25.7 18.2 — Net income (loss) attributable to common shareholders (63.4 ) (278.1 ) 58.3 Net income (loss) attributable to Targa Resources Corp. $ 54.0 $ (187.3 ) $ 58.3 TARGA RESOURCES CORP. PARENT ONLY CONDENSED STATEMENTS OF CASH FLOWS Year Ended December 31, 2017 2016 2015 Net cash provided by operating activities $ 115.1 $ 125.3 $ 62.6 Cash flows from investing activities Outlays for business acquisitions, net of cash acquired — — (745.7 ) Distribution and return of advances from consolidated subsidiaries (912.9 ) (921.0 ) 60.8 Net cash used in investing activities (912.9 ) (921.0 ) (684.9 ) Cash flows from financing activities Proceeds from long-term debt borrowings 965.0 612.0 914.5 Repayments of long-term debt (965.0 ) (777.0 ) (424.0 ) Costs incurred in connection with financing arrangements (16.0 ) (41.3 ) (22.5 ) Proceeds from issuance of common stock, preferred stock and warrants 1,660.4 1,571.4 335.5 Repurchase of common stock (3.4 ) (3.5 ) (3.3 ) Dividends paid to common and preferred shareholders (843.2 ) (565.9 ) (179.0 ) Excess tax benefit from stock-based awards — — 1.1 Net cash provided by financing activities 797.8 795.7 622.3 Net increase (decrease) in cash and cash equivalents — — — Cash and cash equivalents - beginning of year — — — Cash and cash equivalents - end of year $ — $ — $ — |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Details) $ in Millions | Jan. 01, 2020USD ($) | Feb. 06, 2018MBbls / dJointVenture | Feb. 17, 2016shares | Dec. 31, 2017shares | Dec. 31, 2015shares | Dec. 01, 2016shares |
Business Acquisition [Line Items] | ||||||
Ownership interest in Partnership by general partner | 2.00% | 2.00% | ||||
Parent's ownership interest in the general partner of the Partnership | 100.00% | |||||
Number of Partnership common units owned (in units) | 16,309,594 | |||||
Ownership interest in Partnership by limited partner | 8.80% | |||||
Conversion ratio in stock-for-unit transaction | 0.62 | |||||
Number of shares issued in exchange of common units for common shares to the third party (in shares) | 104,525,775 | |||||
Issuance of common units (in units) | 58,621,036 | 7,377,380 | ||||
General Partner unit in exchange for the elimination of the IDRs and Special GP Interest | 1,196,346 | |||||
DevCo JVs [Member] | Scenario Forecast [Member] | Stonepeak Infrastructure Partners [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Option to acquire interest, minimum capital increments | $ | $ 100 | |||||
Option to acquire, percentage of single final purchase | 50.00% | |||||
DevCo JVs [Member] | Scenario Forecast [Member] | Stonepeak Infrastructure Partners [Member] | Maximum [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Percentage of option to purchase interest | 50.00% | |||||
Subsequent Event [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Number of development joint ventures | JointVenture | 3 | |||||
Subsequent Event [Member] | Fractionation Train [Member] | Mont Beliveu, Texas [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Fractionation capacity | MBbls / d | 100 | |||||
IDRs [Member] | Common Units [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Issuance of common units (in units) | 20,380,286 | |||||
IDRs [Member] | General Partner Units [Member] | ||||||
Business Acquisition [Line Items] | ||||||
General Partner unit in exchange for the elimination of the IDRs and Special GP Interest | 424,590 | |||||
Special GP Interest [Member] | Common Units [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Issuance of common units (in units) | 11,267,485 | |||||
Special GP Interest [Member] | General Partner Units [Member] | ||||||
Business Acquisition [Line Items] | ||||||
General Partner unit in exchange for the elimination of the IDRs and Special GP Interest | 234,739 | |||||
Series A Cumulative Redeemable Perpetual Preferred Units [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Preferred units, outstanding | 5,000,000 | |||||
Preferred units dividend percentage | 9.00% | |||||
Targa Resources Partners LP [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Conversion ratio in stock-for-unit transaction | 0.62 | |||||
Number of shares exchanged in exchange of common units for common shares to the third party (in shares) | 168,590,009 | |||||
Stonepeak Infrastructure Partners [Member] | Subsequent Event [Member] | GCX DevCo JV [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Ownership interest | 80.00% | |||||
Stonepeak Infrastructure Partners [Member] | Subsequent Event [Member] | Fractionation DevCo JV [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Ownership interest | 80.00% | |||||
Stonepeak Infrastructure Partners [Member] | Subsequent Event [Member] | Grand Prix DevCo JV [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Ownership interest | 95.00% | |||||
GCX DevCo JV [Member] | Subsequent Event [Member] | GCX [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Ownership interest | 25.00% | |||||
Fractionation DevCo JV [Member] | Subsequent Event [Member] | Fractionation Train [Member] | Mont Beliveu, Texas [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Ownership interest in assets | 100.00% | |||||
Grand Prix DevCo JV [Member] | Subsequent Event [Member] | Grand Prix Joint Venture [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Ownership interest | 20.00% |
Summary of Financial Effects of
Summary of Financial Effects of TRC/TRP Merger (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2016USD ($) | ||
Business Acquisition [Line Items] | ||
Shares issued for the Merger | $ (2,316.6) | |
Impact of NCI acquisition on TRC owners' equity | 2,316.6 | |
Deferred tax adjustments | (865.1) | |
Transaction costs, net of tax | (15) | |
Acquisition of TRP noncontrolling common interests | (880.1) | |
Common Stock [Member] | ||
Business Acquisition [Line Items] | ||
Shares issued for the Merger | 0.1 | |
Acquisition of TRP noncontrolling common interests | 0.1 | |
Additional Paid-in Capital [Member] | ||
Business Acquisition [Line Items] | ||
Shares issued for the Merger | 1,803 | |
Impact of NCI acquisition on TRC owners' equity | 2,226.7 | |
Deferred tax adjustments | (831) | |
Transaction costs, net of tax | (15) | |
Acquisition of TRP noncontrolling common interests | 3,183.7 | |
Accumulated Other Comprehensive Income (Loss) [Member] | ||
Business Acquisition [Line Items] | ||
Impact of NCI acquisition on TRC owners' equity | 89.9 | |
Deferred tax adjustments | (34.1) | |
Acquisition of TRP noncontrolling common interests | 55.8 | |
TRC's Stockholders' Equity [Member] | ||
Business Acquisition [Line Items] | ||
Shares issued for the Merger | 1,803.1 | |
Impact of NCI acquisition on TRC owners' equity | 2,316.6 | |
Deferred tax adjustments | (865.1) | |
Transaction costs, net of tax | (15) | |
Acquisition of TRP noncontrolling common interests | 3,239.6 | |
Noncontrolling Interests [Member] | ||
Business Acquisition [Line Items] | ||
Shares issued for the Merger | (4,119.7) | [1] |
Acquisition of TRP noncontrolling common interests | $ (4,119.7) | [1] |
[1] | Reflects the February 17, 2016 book value of the publicly held interests in TRP. |
Significant Accounting Polici62
Significant Accounting Policies (Details) $ in Millions | Jan. 01, 2017USD ($) | Dec. 31, 2017Component |
New Accounting Pronouncement, Early Adoption, Effect [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Cumulative effect adjustment on retained earnings | $ 56.1 | |
Recognize of unamortized tax expense previously deferred | 40.1 | |
Deferred tax assets previously unrecognized | $ 96.2 | |
Gathering and Processing [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Number of components obtained control of natural gas stream | Component | 1 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Additional Information (Details) | Jun. 02, 2017USD ($)$ / sharesshares | May 30, 2017USD ($) | May 09, 2017USD ($)amiMMcf | Mar. 01, 2017USD ($) | Jan. 26, 2017USD ($)$ / sharesshares | Jan. 22, 2017aMMcfMBbls | Feb. 27, 2015USD ($)$ / sharesshares | Mar. 31, 2015USD ($) | Feb. 28, 2015USD ($)shares | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2017USD ($)$ / shares | Dec. 31, 2015USD ($) | Dec. 31, 2017USD ($)MMcf / dmi$ / sharesshares | Dec. 31, 2016USD ($)$ / shares | Dec. 31, 2015USD ($) | Jun. 30, 2017USD ($) | Oct. 31, 2016 |
Business Acquisition [Line Items] | ||||||||||||||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 37.00% | |||||||||||||||||||
Public offering of common shares (including underwriters' overallotment option) | shares | 17,000,000 | 9,200,000 | 0 | |||||||||||||||||
Shares issued price | $ / shares | $ 46.10 | $ 57.65 | ||||||||||||||||||
Proceeds from issuance of common stock | $ 777,300,000 | $ 524,200,000 | $ 1,660,400,000 | $ 577,300,000 | $ 336,800,000 | |||||||||||||||
Revenues from acquired businesses | $ 1,459,300,000 | |||||||||||||||||||
Net loss from acquired business | (30,100,000) | |||||||||||||||||||
Acquisition-related expenses | $ 27,300,000 | $ 27,300,000 | ||||||||||||||||||
Allocation of property, plant and equipment | $ 4,616,900,000 | |||||||||||||||||||
Allocation of intangible assets for customer contracts | $ 1,354,900,000 | |||||||||||||||||||
Closing market price of common share (in dollars per share) | $ / shares | $ 99.58 | |||||||||||||||||||
Amount contributed to maintain general partner ownership percentage | $ 6,500,000 | |||||||||||||||||||
Percentage of general partner's interest maintained | 2.00% | 2.00% | ||||||||||||||||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | $ 0.001 | |||||||||||||||||
Targa Pipeline Partners LP [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Processing capacity | MMcf / d | 2,053 | |||||||||||||||||||
Length of additional pipelines | mi | 12,220 | |||||||||||||||||||
Targa Resources Partners LP [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Acquired debt and all other assumed liabilities included in purchase consideration | $ 1,800,000,000 | |||||||||||||||||||
Purchase consideration | 7,300,000,000 | |||||||||||||||||||
Permian Acquisition [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | |||||||||||||||||||
Cash payments related to acquisition | $ 484,100,000 | |||||||||||||||||||
Acquired debt and all other assumed liabilities included in purchase consideration | $ 90,000,000 | |||||||||||||||||||
Additional cash that may be paid based on potential earn-out payment | 461,600,000 | $ 317,000,000 | 317,000,000 | $ 416,300,000 | ||||||||||||||||
Revenues from acquired businesses | 127,900,000 | |||||||||||||||||||
Net loss from acquired business | (19,800,000) | |||||||||||||||||||
Acquisition-related expenses | 5,600,000 | |||||||||||||||||||
Allocation of property, plant and equipment | 255,800,000 | |||||||||||||||||||
Allocation of intangible assets for customer contracts | 692,300,000 | |||||||||||||||||||
Permian Acquisition [Member] | Maximum [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Additional cash that may be paid based on potential earn-out payment | $ 935,000,000 | $ 935,000,000 | $ 935,000,000 | |||||||||||||||||
New Delaware [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Oil and gas contracts average weighted contract life | 14 years | |||||||||||||||||||
Gas processing capacity | MMcf | 70 | |||||||||||||||||||
Crude gathering capacity | MBbls | 40 | |||||||||||||||||||
New Delaware [Member] | Minimum [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Area of gas gathering and processing and crude gathering systems | a | 145,000 | |||||||||||||||||||
New Midland [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Oil and gas contracts average weighted contract life | 13 years | |||||||||||||||||||
Gas processing capacity | MMcf | 10 | |||||||||||||||||||
Crude gathering capacity | MBbls | 40 | |||||||||||||||||||
New Midland [Member] | Minimum [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Area of gas gathering and processing and crude gathering systems | a | 105,000 | |||||||||||||||||||
Flag City Acquisition [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payments related to acquisition | $ 60,000,000 | |||||||||||||||||||
Gas processing capacity | MMcf | 150 | |||||||||||||||||||
Acquisition date | May 9, 2017 | |||||||||||||||||||
Additional final adjustment due on base purchase price paid | $ 3,600,000 | |||||||||||||||||||
Number of miles of gas gathering pipeline systems | mi | 24 | |||||||||||||||||||
Business acquisition area of land acquired | a | 102.1 | |||||||||||||||||||
Allocation of property, plant and equipment | $ 52,300,000 | |||||||||||||||||||
Allocation of intangible assets for customer contracts | 7,700,000 | |||||||||||||||||||
Allocation of current assets and liabilities, net | 3,600,000 | |||||||||||||||||||
Flag City Acquisition [Member] | Centrahoma Processing, LLC [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Ownership interest | 60.00% | 60.00% | ||||||||||||||||||
Flag City Acquisition [Member] | MPLX, LP [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Ownership interest | 40.00% | 40.00% | ||||||||||||||||||
Flag City Acquisition [Member] | Maximum [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Acquisition-related expenses | $ 100,000 | |||||||||||||||||||
S N Catarina, LLC [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 10.00% | |||||||||||||||||||
Purchase price of business acquisition | $ 12,500,000 | |||||||||||||||||||
Atlas Energy [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payments related to acquisition | $ 514,700,000 | |||||||||||||||||||
Acquisition-related expenses | $ 11,000,000 | |||||||||||||||||||
Percentage of interest in common units | 100.00% | |||||||||||||||||||
Purchase consideration | $ 1,600,000,000 | |||||||||||||||||||
Distribution of common units/shares for each common unit (in shares) | shares | 0.1809 | |||||||||||||||||||
Cash payment (in dollars per common unit) | $ / shares | $ 9.12 | |||||||||||||||||||
Total distribution of common shares (in shares) | shares | 10,126,532 | |||||||||||||||||||
Common units acquired | $ 1,000,000,000 | |||||||||||||||||||
Closing market price of common share (in dollars per share) | $ / shares | $ 99.58 | |||||||||||||||||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.001 | |||||||||||||||||||
Cash payment related to one-time cash payments and cash settlements of equity awards | $ 7,300,000 | |||||||||||||||||||
Reduction in purchase price | (154,700,000) | |||||||||||||||||||
Atlas Energy [Member] | Common Units [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Total distribution of common shares (in shares) | shares | 3,363,935 | |||||||||||||||||||
Common units acquired | 147,400,000 | |||||||||||||||||||
Atlas Energy [Member] | Phantom Unit Awards [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payment related to one-time cash payments and cash settlements of equity awards | $ 4,500,000 | |||||||||||||||||||
Atlas Energy [Member] | Restricted Stock Units (RSUs) [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Total distribution of common shares (in shares) | shares | 81,740 | |||||||||||||||||||
Atlas Energy [Member] | Change Of Control Payments [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payments related to acquisition | $ 149,200,000 | |||||||||||||||||||
Atlas Energy [Member] | Equity Award Settlements [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payments related to acquisition | $ 88,000,000 | |||||||||||||||||||
Atlas Energy [Member] | Targa Resources Partners LP [Member] | Targa Pipeline Partners LP [Member] | Common Units [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Total distribution of common shares (in shares) | shares | 3,363,935 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Reduction in incentive distribution | $ 9,375,000 | $ 9,375,000 | $ 9,375,000 | $ 9,375,000 | ||||||||||||||||
Amount contributed to maintain general partner ownership percentage | $ 52,400,000 | $ 52,400,000 | ||||||||||||||||||
Percentage of general partner's interest maintained | 2.00% | 2.00% | ||||||||||||||||||
Atlas Pipeline Partners [Member] | Common Units [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Common units owned by parent prior to closing (in units) | shares | 5,754,253 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Revolving Credit Facility [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payments related to acquisition | $ 701,400,000 | $ 701,400,000 | ||||||||||||||||||
Atlas Pipeline Partners [Member] | Phantom Unit Awards [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payment representing accelerated vesting of a portion of employees APL phantom awards | $ 600,000 | |||||||||||||||||||
Total distribution of common shares (in shares) | shares | 629,231 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Acquired debt and all other assumed liabilities included in purchase consideration | $ 1,800,000,000 | |||||||||||||||||||
Purchase consideration | 5,300,000,000 | |||||||||||||||||||
Payments for notes tendered and settled upon closing of merger | $ 1,200,000,000 | |||||||||||||||||||
Distribution of common units/shares for each common unit (in shares) | shares | 0.5846 | |||||||||||||||||||
Cash payment (in dollars per common unit) | $ / shares | $ 1.26 | |||||||||||||||||||
Common units acquired | $ 2,600,000,000 | |||||||||||||||||||
Closing market price of common share (in dollars per share) | $ / shares | $ 43.82 | |||||||||||||||||||
Cash paid in lieu of unit issuances | $ 6,400,000 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Common Units [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Total distribution of common shares (in shares) | shares | 58,614,157 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Class E Preferred Units [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Preferred units dividend percentage | 8.25% | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Change Of Control Payments [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payments related to acquisition | $ 28,800,000 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Distribution Rights Year 1 [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Reduction in incentive distribution | $ 9,375,000 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Distribution Rights Year 2 [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Reduction in incentive distribution | 6,250,000 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Distribution Rights Year 3 [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Reduction in incentive distribution | 2,500,000 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Distribution Rights Year 4 [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Reduction in incentive distribution | $ 1,250,000 | |||||||||||||||||||
Atlas Pipeline Partners [Member] | Targa Resources Partners LP [Member] | Common Unit Holders [Member] | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Cash payments related to acquisition | $ 128,000,000 | |||||||||||||||||||
Total distribution of common shares (in shares) | shares | 58,614,157 |
Acquisitions and Divestitures64
Acquisitions and Divestitures - Pro Forma Impact of Permian Acquisition on Consolidated Statement of Operations (Details) - Permian Acquisition [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Pro forma consolidated results of operations [Abstract] | ||
Revenues | $ 8,829 | $ 6,725.6 |
Net income (loss) | $ 103.2 | $ (195.4) |
Acquisitions and Divestitures65
Acquisitions and Divestitures - Fair Value of Consideration Transferred (Details) - USD ($) $ in Millions | Mar. 01, 2017 | Feb. 27, 2015 | Dec. 31, 2017 | Dec. 31, 2015 |
Fair Value of Consideration Transferred [Abstract] | ||||
Cash paid, net of cash acquired | $ 745.7 | $ 570.8 | $ 1,574.4 | |
Total fair value of consideration transferred | 5,024.2 | $ 987.1 | 5,024.2 | |
Consideration transferred equity interests issued and issuable | $ 3,449.8 | |||
Replacement Restricted Stock Units (RSUs) [Member] | ||||
Fair Value of Consideration Transferred [Abstract] | ||||
Consideration transferred equity interests issued and issuable | 5.2 | |||
Phantom Unit Awards [Member] | ||||
Fair Value of Consideration Transferred [Abstract] | ||||
Consideration transferred equity interests issued and issuable | 15 | |||
Common Stock [Member] | ||||
Fair Value of Consideration Transferred [Abstract] | ||||
Consideration transferred equity interests issued and issuable | 1,008.5 | |||
Targa Resources Partners LP [Member] | ||||
Fair Value of Consideration Transferred [Abstract] | ||||
Cash paid, net of cash acquired | 828.7 | |||
Targa Resources Partners LP [Member] | Common Units [Member] | ||||
Fair Value of Consideration Transferred [Abstract] | ||||
Consideration transferred equity interests issued and issuable | $ 2,421.1 | |||
Permian Acquisition [Member] | ||||
Fair Value of Consideration Transferred [Abstract] | ||||
Cash paid, net of cash acquired | $ 570.8 | |||
Contingent consideration valuation as of the acquisition date | 416.3 | |||
Total fair value of consideration transferred | $ 987.1 |
Acquisitions and Divestitures66
Acquisitions and Divestitures - Fair Value of Consideration Transferred (Parenthetical) (Details) - USD ($) $ in Millions | Mar. 01, 2017 | Feb. 27, 2015 |
Fair Value of Consideration Transferred [Abstract] | ||
Cash acquired from acquisition | $ 40.8 | |
Permian Acquisition [Member] | ||
Fair Value of Consideration Transferred [Abstract] | ||
Cash acquired from acquisition | $ 3.3 |
Acquisitions and Divestitures67
Acquisitions and Divestitures - Fair Value of the Assets and Liabilities Assumed at Acquisition Date (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Mar. 01, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 27, 2015 | Dec. 31, 2014 |
Fair value determination [Abstract] | ||||||
Trade and other current receivables, net | $ 181.1 | |||||
Other current assets | 24.4 | |||||
Property, plant and equipment | 4,616.9 | |||||
Intangible assets | 1,354.9 | |||||
Current liabilities | (259.3) | |||||
Other long-term liabilities | (119.1) | |||||
Total identifiable net assets | 4,534.1 | |||||
Goodwill | $ 256.6 | $ 210 | $ 417 | 707 | $ 0 | |
Total fair value of assets acquired and liabilities assumed | 987.1 | $ 5,024.2 | $ 5,024.2 | |||
Permian Acquisition [Member] | ||||||
Fair value determination [Abstract] | ||||||
Trade and other current receivables, net | $ 6.7 | |||||
Other current assets | 0.6 | |||||
Property, plant and equipment | 255.8 | |||||
Intangible assets | 692.3 | |||||
Current liabilities | (14.1) | |||||
Other long-term liabilities | (0.8) | |||||
Total identifiable net assets | 940.5 | |||||
Goodwill | $ 46.6 | 46.6 | ||||
Total fair value of assets acquired and liabilities assumed | $ 987.1 |
Acquisitions and Divestitures68
Acquisitions and Divestitures - Additional Information Pro Forma Impact of Permian Acquisition on Consolidated Statement of Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Mar. 01, 2017 | Feb. 27, 2015 | Dec. 31, 2014 | |
Measurement-period adjustments to preliminary acquisition date fair values [Abstract] | ||||||||
Goodwill | $ 256.6 | $ 210 | $ 417 | $ 707 | $ 0 | |||
Trade receivables, fair value | $ 6.7 | $ 178.1 | ||||||
Depreciation and amortization expense | 809.5 | $ 757.7 | $ 644.5 | |||||
Measurement Period Adjustments [Member] | ||||||||
Measurement-period adjustments to preliminary acquisition date fair values [Abstract] | ||||||||
Measurement period adjustment | $ (45.3) | |||||||
Intangible assets | 66.7 | |||||||
Other assets, net | 0.4 | |||||||
Goodwill | 112.4 | |||||||
Depreciation and amortization expense | 0.4 | |||||||
Permian Acquisition [Member] | ||||||||
Measurement-period adjustments to preliminary acquisition date fair values [Abstract] | ||||||||
Goodwill | 46.6 | $ 46.6 | ||||||
Measurement period adjustment | $ 0 | $ (45.3) | $ (45.3) |
Acquisitions and Divestitures69
Acquisitions and Divestitures - Additional Information Contingent Liability (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2017 | Mar. 01, 2017 | |
Business Acquisition [Line Items] | |||||
Change in contingent considerations | $ 99,600,000 | $ 400,000 | $ 1,200,000 | ||
Permian Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Additional cash paid in potential earn-out payment | 317,000,000 | $ 416,300,000 | $ 461,600,000 | ||
Potential earn-out payments of acquisition date fair value | 416,300,000 | 461,600,000 | |||
Change in contingent considerations | 99,300,000 | ||||
Fair value of first potential earn-out payment | 6,800,000 | ||||
Fair value of second potential earn-out payment | 310,200,000 | ||||
Permian Acquisition [Member] | Maximum [Member] | |||||
Business Acquisition [Line Items] | |||||
Additional cash paid in potential earn-out payment | $ 935,000,000 | $ 935,000,000 |
Acquisitions and Divestitures70
Acquisitions and Divestitures - Pro Forma Impact of Atlas Mergers on Consolidated Statement of Operations (Details) - Atlas Resource Partners, LP [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Pro forma consolidated results of operations [Abstract] | |
Revenues | $ 6,947.3 |
Net income (loss) | $ (169.6) |
Acquisitions and Divestitures71
Acquisitions and Divestitures - Pro Forma Impact of Atlas Mergers on Consolidated Statement of Operations (Parenthetical) (Details) - USD ($) $ in Millions | 10 Months Ended | 12 Months Ended |
Dec. 31, 2015 | Dec. 31, 2017 | |
Pro forma consolidated results of operations [Abstract] | ||
Acquisition-related expenses | $ 27.3 | $ 27.3 |
Atlas Resource Partners, LP [Member] | ||
Pro forma consolidated results of operations [Abstract] | ||
Percentage of equity interest sold | 100.00% |
Acquisitions and Divestitures72
Acquisitions and Divestitures - Fair Value Determination Related to Mergers (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 27, 2015 | Dec. 31, 2014 |
Fair value determination [Abstract] | |||||
Trade and other current receivables, net | $ 181.1 | ||||
Other current assets | 24.4 | ||||
Assets from risk management activities | 102.1 | ||||
Property, plant and equipment | 4,616.9 | ||||
Investments in unconsolidated affiliates | 214.5 | ||||
Intangible assets | 1,354.9 | ||||
Other long-term assets | 5.5 | ||||
Current liabilities | (259.3) | ||||
Long-term debt | (1,573.3) | ||||
Deferred income tax liabilities, net | (13.6) | ||||
Other long-term liabilities | (119.1) | ||||
Total identifiable net assets | 4,534.1 | ||||
Noncontrolling interest in subsidiaries | (216.9) | ||||
Goodwill | $ 256.6 | $ 210 | $ 417 | 707 | $ 0 |
Total fair value of assets acquired and liabilities assumed | $ 987.1 | $ 5,024.2 | $ 5,024.2 |
Acquisitions and Divestitures73
Acquisitions and Divestitures - Additional Information Pro Forma Impact of Atlas Mergers on Consolidated Statement of Operations (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2017 | Mar. 01, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 27, 2015 | Dec. 31, 2014 | |
Measurement-period adjustments to preliminary acquisition date fair values [Abstract] | ||||||
Trade receivables, fair value | $ 6.7 | $ 178.1 | ||||
Trade receivables, gross amount | 178.1 | |||||
Contractual receivables included in current receivables | 3 | |||||
Contractual receivables included in other long term assets | 4.5 | |||||
Goodwill | $ 256.6 | $ 210 | $ 417 | $ 707 | $ 0 | |
Amortizable period of goodwill for tax purposes | 15 years |
Acquisitions and Divestitures74
Acquisitions and Divestitures - Additional Information Mandatorily Redeemable Preferred Interests (Details) $ in Millions | Dec. 31, 2017USD ($)JointVenture | Dec. 31, 2016USD ($) |
Redeemable Noncontrolling Interest [Line Items] | ||
Other long-term liabilities | $ 597.9 | $ 215.1 |
Mandatorily Redeemable Noncontrolling Interests [Member] | ||
Redeemable Noncontrolling Interest [Line Items] | ||
Other long-term liabilities | $ 109.3 | |
Number of joint ventures | JointVenture | 2 |
Acquisitions and Divestitures75
Acquisitions and Divestitures - Additional Information Contingent Consideration, Replacement Restricted Stock Units and Replacement Phantom Units (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Business Acquisition [Line Items] | |||
Change in contingent considerations included in Other expense (income) | $ (99.6) | $ (0.4) | $ (1.2) |
Replacement Restricted Stock Units (RSUs) [Member] | |||
Business Acquisition [Line Items] | |||
Vesting period of original term | 4 years | ||
Number of common units called by replacement equity unit (in shares) | 1 | ||
Dividend payment period | 60 days | ||
Replacement Restricted Stock Units (RSUs) [Member] | Vesting Term One [Member] | |||
Business Acquisition [Line Items] | |||
Vesting percentage original term | 25.00% | ||
Replacement Restricted Stock Units (RSUs) [Member] | Vesting Term Two [Member] | |||
Business Acquisition [Line Items] | |||
Vesting percentage original term | 25.00% | ||
Replacement Restricted Stock Units (RSUs) [Member] | Vesting Term Three [Member] | |||
Business Acquisition [Line Items] | |||
Vesting percentage original term | 75.00% | ||
Replacement Phantom Units [Member] | |||
Business Acquisition [Line Items] | |||
Number of common units called by replacement equity unit (in shares) | 1 | ||
Dividend payment period | 60 days | ||
Replacement Phantom Units [Member] | Vesting Term One [Member] | |||
Business Acquisition [Line Items] | |||
Vesting percentage original term | 25.00% | ||
Vesting period of original term | 4 years | ||
Replacement Phantom Units [Member] | Vesting Term Two [Member] | |||
Business Acquisition [Line Items] | |||
Vesting percentage original term | 33.00% | ||
Vesting period of original term | 3 years | ||
Atlas Pipeline Partners [Member] | |||
Business Acquisition [Line Items] | |||
Change in contingent considerations included in Other expense (income) | $ 6 | ||
Potential earn-out payments of acquisition date fair value | $ 4.2 |
Acquisitions and Divestitures76
Acquisitions and Divestitures - Additional Information 2017 Divestiture (Details) - USD ($) $ in Millions | Apr. 04, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2017 | |
Business Divestitures [Line Items] | ||||||
Loss from sale of VGS | [1] | $ (15.9) | $ (6.1) | $ 8 | ||
Venice Gathering System, L.L.C. [Member] | Not Qualify as Discontinued Operations [Member] | ||||||
Business Divestitures [Line Items] | ||||||
Subsidiary ownership interest sale percentage | 100.00% | |||||
Proceeds from divestiture of businesses | $ 0.4 | |||||
Loss from sale of VGS | $ (16.1) | |||||
Venice Energy Services Company, L.L.C. [Member] | ||||||
Business Divestitures [Line Items] | ||||||
Ownership interest | 76.80% | |||||
[1] | Comprised primarily of a $16.1 million loss in 2017 due to the reduction in the carrying value of our ownership interest in VGS in connection with the April 4, 2017 sale. |
Acquisitions and Divestitures77
Acquisitions and Divestitures - Additional Information 2017 Joint Venture (Details) $ in Millions | 1 Months Ended | ||
Sep. 30, 2017USD ($) | Jan. 01, 2018MMcf | May 31, 2017MBbls | |
Subsequent Event [Member] | |||
Business Acquisition [Line Items] | |||
Gas processing capacity | MMcf | 120 | ||
Centrahoma Processing, LLC [Member] | Subsequent Event [Member] | |||
Business Acquisition [Line Items] | |||
Ownership interest | 60.00% | ||
MPLX, LP [Member] | Subsequent Event [Member] | |||
Business Acquisition [Line Items] | |||
Ownership interest | 40.00% | ||
Grand Prix Joint Venture [Member] | DevCo JVs Agreements [Member] | |||
Business Acquisition [Line Items] | |||
Expected total growth capital expenditures | $ | $ 728 | ||
Grand Prix Joint Venture [Member] | Blackstone [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest sold | 25.00% | ||
Grand Prix Joint Venture [Member] | Permian Basin [Member] | |||
Business Acquisition [Line Items] | |||
Capacity of pipeline | 300 | ||
Maximum [Member] | Grand Prix Joint Venture [Member] | Permian Basin [Member] | |||
Business Acquisition [Line Items] | |||
Capacity of pipeline | 550 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Inventory Disclosure [Abstract] | ||
Commodities | $ 191.6 | $ 126.9 |
Materials and supplies | 12.9 | 10.8 |
Inventories, net | $ 204.5 | $ 137.7 |
Property, Plant and Equipment79
Property, Plant and Equipment and Intangible Assets - Property, Plant and Equipment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 14,205.4 | $ 12,518.7 | |
Accumulated depreciation | (3,775.4) | (2,827.7) | |
Property, plant and equipment, net | 10,430 | 9,691 | |
Intangible assets | 2,736.6 | 2,036.6 | |
Accumulated amortization | (570.8) | (382.6) | |
Intangible assets, net | $ 2,165.8 | 1,654 | $ 1,810.1 |
Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 10 years | ||
Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 20 years | ||
Gathering Systems [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 7,037.2 | 6,626.8 | |
Gathering Systems [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 5 years | ||
Gathering Systems [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 20 years | ||
Processing and Fractionation Facilities [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 3,569.6 | 3,390.2 | |
Processing and Fractionation Facilities [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 5 years | ||
Processing and Fractionation Facilities [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 25 years | ||
Terminaling and Storage Facilities [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 1,244.1 | 1,205 | |
Terminaling and Storage Facilities [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 5 years | ||
Terminaling and Storage Facilities [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 25 years | ||
Transportation Assets [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 343.6 | 451.4 | |
Transportation Assets [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 10 years | ||
Transportation Assets [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 25 years | ||
Other Property, Plant and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 303.7 | 274.2 | |
Other Property, Plant and Equipment [Member] | Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 3 years | ||
Other Property, Plant and Equipment [Member] | Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 25 years | ||
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 125.7 | 121.3 | |
Construction in Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment | $ 1,581.5 | $ 449.8 |
Property, Plant and Equipment80
Property, Plant and Equipment and Intangible Assets - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2012 | |
Property, Plant and Equipment [Line Items] | |||||
Depreciation expense | $ 621.3 | $ 601.5 | $ 507.8 | ||
Non-cash pre-tax impairment charge | $ 378 | 378 | 0 | 32.6 | |
Non-cash pre-tax impairment charges | $ 378 | 32.6 | |||
Estimated amortization expense for intangible assets [Abstract] | |||||
Amortization | 188.2 | $ 156.1 | 136.7 | ||
2,018 | 182.6 | ||||
2,019 | 171.6 | ||||
2,020 | 159.4 | ||||
2,021 | 149.5 | ||||
2,022 | $ 141.2 | ||||
Weighted average amortization period, intangible assets | 15 years 10 months 24 days | ||||
Permian Acquisitions [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Additions from acquisition | $ 692.3 | ||||
Estimated useful lives | 15 years | ||||
Flag City Acquisition [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Additions from acquisition | $ 7.7 | ||||
Estimated useful lives | 10 years | ||||
Atlas Energy [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Additions from acquisition | $ 1,354.9 | ||||
Estimated useful lives | 20 years | ||||
Badlands [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Additions from acquisition | $ 679.6 | ||||
Estimated useful lives | 20 years |
Property, Plant and Equipment81
Property, Plant and Equipment and Intangible Assets - Schedule of Changes in Intangible Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Finite Lived Intangible Assets Roll Forward | |||
Beginning of period | $ 1,654 | $ 1,810.1 | |
Amortization | (188.2) | (156.1) | $ (136.7) |
End of period | 2,165.8 | $ 1,654 | $ 1,810.1 |
Permian Acquisitions [Member] | |||
Finite Lived Intangible Assets Roll Forward | |||
Additions from acquisition | 692.3 | ||
Flag City Acquisition [Member] | |||
Finite Lived Intangible Assets Roll Forward | |||
Additions from acquisition | $ 7.7 |
Goodwill - Additional Informati
Goodwill - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Mar. 01, 2017 | Feb. 27, 2015 | Dec. 31, 2014 | ||
Goodwill [Line Items] | ||||||||||
Goodwill | $ 210 | $ 417 | $ 256.6 | $ 210 | $ 417 | $ 707 | $ 0 | |||
Goodwill impairment | $ 183 | $ 24 | $ 290 | 0 | $ 207 | $ 290 | ||||
Permian [Member] | ||||||||||
Goodwill [Line Items] | ||||||||||
Goodwill | $ 46.6 | [1] | $ 46.6 | |||||||
[1] | Permian column includes net amounts of goodwill of $23.2 million for the New Midland reporting unit and $23.4 million for the New Delaware reporting unit. |
Goodwill - Changes in Net Amoun
Goodwill - Changes in Net Amounts of Goodwill (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Goodwill [Roll Forward] | |||||||
Beginning balance | $ 417 | $ 210 | $ 417 | $ 0 | |||
Acquisition, February 27, 2015 | 46.6 | 707 | |||||
Provisional impairment | $ (183) | (24) | $ (290) | 0 | (207) | (290) | |
Ending balance | 210 | 417 | 256.6 | 210 | 417 | ||
West Texas LPG Pipeline Limited Partnership [Member] | |||||||
Goodwill [Roll Forward] | |||||||
Beginning balance | 326.9 | 174.7 | 326.9 | 0 | |||
Acquisition, February 27, 2015 | 364.5 | ||||||
Provisional impairment | (137.8) | (14.4) | (37.6) | ||||
Ending balance | 174.7 | 326.9 | 174.7 | 174.7 | 326.9 | ||
SouthTX [Member] | |||||||
Goodwill [Roll Forward] | |||||||
Beginning balance | 90.1 | 35.3 | 90.1 | 0 | |||
Acquisition, February 27, 2015 | 160.3 | ||||||
Provisional impairment | (45.2) | (9.6) | (70.2) | ||||
Ending balance | 35.3 | 90.1 | 35.3 | 35.3 | 90.1 | ||
SouthOK [Member] | |||||||
Goodwill [Roll Forward] | |||||||
Beginning balance | 0 | 0 | 0 | 0 | |||
Acquisition, February 27, 2015 | 0 | 182.2 | |||||
Provisional impairment | 0 | $ 0 | (182.2) | ||||
Ending balance | $ 0 | $ 0 | 0 | $ 0 | $ 0 | ||
Permian [Member] | |||||||
Goodwill [Roll Forward] | |||||||
Acquisition, February 27, 2015 | [1] | 46.6 | |||||
Ending balance | [1] | $ 46.6 | |||||
[1] | Permian column includes net amounts of goodwill of $23.2 million for the New Midland reporting unit and $23.4 million for the New Delaware reporting unit. |
Goodwill - Changes in Net Amo84
Goodwill - Changes in Net Amounts of Goodwill (Parenthetical) (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 27, 2015 | Dec. 31, 2014 |
Goodwill [Line Items] | |||||
Goodwill, net | $ 256.6 | $ 210 | $ 417 | $ 707 | $ 0 |
New Midland Reporting Unit [Member] | |||||
Goodwill [Line Items] | |||||
Goodwill, net | 23.2 | ||||
New Delaware Reporting Unit [Member] | |||||
Goodwill [Line Items] | |||||
Goodwill, net | $ 23.4 |
Investments in Unconsolidated85
Investments in Unconsolidated Affiliates - Additional Information (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jan. 31, 2018USD ($)MMcf / d | Dec. 31, 2017USD ($)JointVentureBcf | Jul. 31, 2017USD ($)mi | Mar. 31, 2017USD ($) | Dec. 31, 2017USD ($)JointVentureBcf | ||
Schedule of Equity Method Investments [Line Items] | ||||||
Payment made to acquire | $ 5 | |||||
Contributions | [1] | $ 5.5 | ||||
Hess Midstream Partners LP [Member] | Subsequent Event [Member] | LM4 Plant ]Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 50.00% | |||||
Processing capacity | MMcf / d | 200 | |||||
Expected total cost of plant | $ 150 | |||||
GCX [Member] | Subsequent Event [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Contributions | $ 69.3 | |||||
Targa Resources Partners LP [Member] | Maximum [Member] | Apache Corporation [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Percentage of option to purchase equity stake | 15.00% | 15.00% | ||||
Targa Resources Partners LP [Member] | Gulf Coast Fractionators LP [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 38.80% | 38.80% | ||||
Targa Resources Partners LP [Member] | T2 Joint Ventures [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Number of non-operated joint ventures acquired in Atlas mergers | JointVenture | 3 | 3 | ||||
Unamortized excess fair value over Joint Ventures | $ 26.2 | $ 26.2 | ||||
Preliminary estimated useful lives of the underlying assets | 20 years | |||||
Targa Resources Partners LP [Member] | T2 LaSalle [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 75.00% | 75.00% | ||||
Contributions | [1] | $ 0.4 | ||||
Targa Resources Partners LP [Member] | T2 Eagle Ford [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 50.00% | 50.00% | ||||
Contributions | [1] | $ 1.2 | ||||
Targa Resources Partners LP [Member] | T2 EF Cogen [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 50.00% | 50.00% | ||||
Equity (earnings) loss of unconsolidated affiliates | $ 12 | |||||
Contributions | [1] | $ 0.3 | ||||
Targa Resources Partners LP [Member] | Cayenne Joint Venture [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 50.00% | 50.00% | 50.00% | |||
Conversion of existing mile gas pipeline | mi | 62 | |||||
Payment made to acquire | $ 5 | $ 5 | ||||
Expected project completion date | 2017-12 | |||||
Contributions | [1] | $ 3.6 | ||||
Targa Resources Partners LP [Member] | GCX [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 25.00% | 25.00% | ||||
Natural gas transportation cost expected | $ 1,750 | |||||
Targa Resources Partners LP [Member] | GCX [Member] | Maximum [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Capacity of natural gas transported per day | Bcf | 1.98 | 1.98 | ||||
Targa Resources Partners LP [Member] | GCX [Member] | DCP [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 25.00% | 25.00% | ||||
Targa Resources Partners LP [Member] | GCX [Member] | KMTP [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership interest | 50.00% | 50.00% | ||||
[1] | Includes a $1.0 million contribution of property, plant and equipment to T2 Eagle Ford. |
Investments in Unconsolidated86
Investments in Unconsolidated Affiliates - Activity Related to Partnership's Investments in Unconsolidated Affiliates (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |||
Jul. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Schedule of Equity Method Investments [Line Items] | |||||
Beginning of period | $ 240.8 | $ 258.9 | $ 50.2 | ||
Fair value of T2 Joint Ventures acquired | 214.5 | ||||
Equity earnings (loss) | (17) | (14.3) | (2.5) | ||
Cash distributions | [1] | (12.7) | (8.2) | (15) | |
Acquisition | 5 | ||||
Contributions | [2] | 5.5 | |||
Cash calls for expansion projects | 4.4 | 11.7 | |||
End of period | 221.6 | 240.8 | 258.9 | ||
Targa Resources Partners LP [Member] | Gulf Coast Fractionators LP [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Beginning of period | 46.1 | 49.5 | 50.2 | ||
Equity earnings (loss) | 12.4 | 4.1 | 13.8 | ||
Cash distributions | [1] | (12.7) | (7.5) | (14.5) | |
End of period | 45.8 | 46.1 | 49.5 | ||
Targa Resources Partners LP [Member] | T2 LaSalle [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Beginning of period | 58.6 | 63.6 | |||
Fair value of T2 Joint Ventures acquired | 67.5 | ||||
Equity earnings (loss) | (4.9) | (5.2) | (3.9) | ||
Contributions | [2] | 0.4 | |||
Cash calls for expansion projects | 0.2 | ||||
End of period | 54.1 | 58.6 | 63.6 | ||
Targa Resources Partners LP [Member] | T2 Eagle Ford [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Beginning of period | 118.6 | 123.8 | |||
Fair value of T2 Joint Ventures acquired | 126.7 | ||||
Equity earnings (loss) | (10.6) | (9.4) | (9.4) | ||
Contributions | [2] | 1.2 | |||
Cash calls for expansion projects | 4.2 | 6.5 | |||
End of period | 109.2 | 118.6 | 123.8 | ||
Targa Resources Partners LP [Member] | T2 EF Cogen [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Beginning of period | 17.5 | 22 | |||
Fair value of T2 Joint Ventures acquired | 20.3 | ||||
Equity earnings (loss) | (13.9) | (3.8) | (3) | ||
Cash distributions | [1] | (0.7) | (0.5) | ||
Contributions | [2] | 0.3 | |||
Cash calls for expansion projects | 5.2 | ||||
End of period | 3.9 | $ 17.5 | $ 22 | ||
Targa Resources Partners LP [Member] | Cayenne Joint Venture [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Beginning of period | |||||
Acquisition | $ 5 | 5 | |||
Contributions | [2] | 3.6 | |||
End of period | $ 8.6 | ||||
[1] | Includes $0.2 million, $4.1 million and $1.2 million in distributions received from GCF and the T2 Joint Ventures in excess of our share of cumulative earnings for the years ended December 31, 2017, 2016 and 2015. Such excess distributions are considered a return of capital and disclosed in cash flows from investing activities in our Consolidated Statements of Cash Flows. | ||||
[2] | Includes a $1.0 million contribution of property, plant and equipment to T2 Eagle Ford. |
Investments in Unconsolidated87
Investments in Unconsolidated Affiliates - Activity Related to Partnership's Investments in Unconsolidated Affiliates (Parenthetical) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Equity Method Investments [Line Items] | |||
Return of capital from unconsolidated affiliate | $ 0.2 | $ 4.1 | $ 1.2 |
Contributions of property, plant and equipment | 1 | ||
Targa Resources Partners LP [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Return of capital from unconsolidated affiliate | 0.2 | $ 4.1 | $ 1.2 |
Targa Resources Partners LP [Member] | T2 Eagle Ford [Member] | |||
Schedule of Equity Method Investments [Line Items] | |||
Contributions of property, plant and equipment | $ 1 |
Accounts Payable and Accrued 88
Accounts Payable and Accrued Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Components of accounts payable and accrued liabilities [Abstract] | ||
Commodities | $ 711.5 | $ 574.4 |
Other goods and services | 289.7 | 117 |
Interest | 54.4 | 52.3 |
Income and other taxes | 27.1 | 24.2 |
Preferred Series A dividends payable | 22.9 | 22.9 |
Compensation and benefits | 52.8 | 37.2 |
Other | 21.7 | 15.5 |
Accounts payable and accrued liabilities | 1,186.9 | $ 843.5 |
Permian Acquisition [Member] | ||
Components of accounts payable and accrued liabilities [Abstract] | ||
Permian Acquisition contingent consideration, estimated current portion | $ 6.8 |
Accounts Payable and Accrued 89
Accounts Payable and Accrued Liabilities - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Payables And Accruals [Abstract] | ||
Outstanding checks | $ 50.4 | $ 30.5 |
Debt Obligations - Summary Of D
Debt Obligations - Summary Of Debt Obligations (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Current Obligations of the Partnership [Abstract] | |||
Current debt | [1] | $ 350 | $ 275 |
Long-term [Abstract] | |||
Long-term debt | 4,703 | 4,606 | |
Long-term debt including Unamortized premium(discount) and Debt issuance costs | 4,733 | 4,640.1 | |
Debt issuance costs, net of amortization | (30) | (34.1) | |
Total debt obligations | 5,053 | 4,881 | |
Letters of credit outstanding | 27.2 | 13.2 | |
TRP Senior Secured Revolving Credit Facility due October 2020 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1],[2] | 20 | 150 |
Secured Debt [Member] | TRC Senior Secured Term Loan due February 2022 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 0 | 160 | |
Unamortized discount/premium | 0 | (2.2) | |
Secured Debt [Member] | TRC Senior Secured Revolving Credit Facility [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Letters of credit outstanding | [3] | 0 | 0 |
Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2018 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 0 | 250.5 |
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 749.4 | 749.4 |
Senior Unsecured Notes [Member] | Senior Unsecured 6 3/8% Notes due August 2022 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 0 | 278.7 |
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 559.6 | 559.6 |
Senior Unsecured Notes [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 583.9 | 583.9 |
Senior Unsecured Notes [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 580.1 | 580.1 |
Senior Unsecured Notes [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 500 | 500 |
Senior Unsecured Notes [Member] | Senior Unsecured 5 3/8% Notes due February 2027 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 500 | 500 |
Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [1] | 750 | 0 |
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 4 3/4% Notes due November 2021 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 6.5 | 6.5 | |
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | 48.1 | 48.1 | |
Unamortized discount/premium | 0.4 | 0.5 | |
Revolving Credit Facility [Member] | TRC Senior Secured Revolving Credit Facility due February 2020 [Member] | |||
Long-term [Abstract] | |||
Long-term debt | [3] | 435 | 275 |
Revolving Credit Facility [Member] | TRP Senior Secured Revolving Credit Facility due October 2020 [Member] | Targa Resources Partners LP [Member] | |||
Long-term [Abstract] | |||
Letters of credit outstanding | [2] | $ 27.2 | $ 13.2 |
[1] | While we consolidate the debt of the Partnership in our financial statements, we do not have the obligation to make interest payments or debt payments with respect to the debt of the Partnership. | ||
[2] | As of December 31, 2017, availability under the Partnership’s $1.6 billion senior secured revolving credit facility (“TRP Revolver”) was $1,552.8 million. | ||
[3] | As of December 31, 2017, availability under TRC’s $670.0 million senior secured revolving credit facility (“TRC Revolver”) was $235.0 million. |
Debt Obligations - Summary Of91
Debt Obligations - Summary Of Debt Obligations (Parenthetical) (Details) - USD ($) | Dec. 08, 2017 | Dec. 31, 2017 | Oct. 31, 2017 | Jun. 30, 2017 | Feb. 23, 2017 | Dec. 31, 2016 |
Senior Unsecured 5% Notes due January 2018 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate on fixed rate debt | 5.00% | |||||
Accounts Receivable Securitization Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Dec. 7, 2018 | |||||
Maximum borrowing capacity | $ 350,000,000 | $ 275,000,000 | ||||
Revolving Credit Facility [Member] | TRC Senior Secured Revolving Credit Facility due February 2020 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Feb. 29, 2020 | |||||
Maximum borrowing capacity | $ 670,000,000 | |||||
Remaining borrowing capacity | $ 235,000,000 | |||||
Secured Debt [Member] | TRC Senior Secured Term Loan due February 2022 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Feb. 28, 2022 | |||||
Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate on fixed rate debt | 5.00% | |||||
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 4 3/4% Notes due November 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Nov. 15, 2021 | |||||
Interest rate on fixed rate debt | 4.75% | |||||
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Aug. 1, 2023 | |||||
Interest rate on fixed rate debt | 5.875% | |||||
Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | Accounts Receivable Securitization Facility Due December 2018 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Dec. 31, 2018 | |||||
Targa Resources Partners LP [Member] | Revolving Credit Facility [Member] | TRP Senior Secured Revolving Credit Facility due October 2020 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Oct. 31, 2020 | |||||
Maximum borrowing capacity | $ 1,600,000,000 | |||||
Remaining borrowing capacity | $ 1,552,800,000 | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2018 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Jan. 15, 2018 | |||||
Interest rate on fixed rate debt | 5.00% | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Nov. 15, 2019 | |||||
Interest rate on fixed rate debt | 4.125% | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 6 3/8% Notes due August 2022 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Aug. 1, 2022 | |||||
Interest rate on fixed rate debt | 6.375% | 6.375% | ||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | May 1, 2023 | |||||
Interest rate on fixed rate debt | 5.25% | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Nov. 15, 2023 | |||||
Interest rate on fixed rate debt | 4.25% | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Mar. 15, 2024 | |||||
Interest rate on fixed rate debt | 6.75% | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Feb. 28, 2025 | |||||
Interest rate on fixed rate debt | 5.125% | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5 3/8% Notes due February 2027 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Feb. 28, 2027 | |||||
Interest rate on fixed rate debt | 5.00% | |||||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Jan. 31, 2028 | |||||
Interest rate on fixed rate debt | 5.00% |
Debt Obligations - Schedule of
Debt Obligations - Schedule of Contractual Maturities of Debt Obligations (Details) $ in Millions | Dec. 31, 2017USD ($) |
Contractual Obligation [Line Items] | |
Total | $ 5,082.6 |
2,018 | 350 |
2,019 | 749.4 |
2,020 | 455 |
2,021 | 6.5 |
2,022 | 0 |
After 2,022 | 3,521.7 |
Accounts Receivable Securitization Facility [Member] | Targa Resources Partners LP [Member] | |
Contractual Obligation [Line Items] | |
Total | 350 |
2,018 | 350 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
2,022 | 0 |
After 2,022 | 0 |
Senior Unsecured Notes [Member] | Targa Resources Partners LP [Member] | |
Contractual Obligation [Line Items] | |
Total | 4,277.6 |
2,018 | 0 |
2,019 | 749.4 |
2,020 | 0 |
2,021 | 6.5 |
2,022 | 0 |
After 2,022 | 3,521.7 |
TRC Senior Secured Revolving Credit Facility [Member] | |
Contractual Obligation [Line Items] | |
Total | 435 |
2,018 | 0 |
2,019 | 0 |
2,020 | 435 |
2,021 | 0 |
2,022 | 0 |
After 2,022 | 0 |
TRP Revolver [Member] | |
Contractual Obligation [Line Items] | |
Total | 20 |
2,018 | 0 |
2,019 | 0 |
2,020 | 20 |
2,021 | 0 |
2,022 | 0 |
After 2,022 | $ 0 |
Debt Obligations - Range of Int
Debt Obligations - Range of Interest Rates and Weighted Average Interest Rate Incurred on Variable Rate Debt Obligations (Details) | Dec. 31, 2017 | |
TRC Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate incurred | 2.90% | |
TRP Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate incurred | 3.20% | |
Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Range of interest rates incurred | 5.75% | [1] |
Weighted average interest rate incurred | 5.75% | [1] |
Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate incurred | 2.10% | |
Minimum [Member] | TRC Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Range of interest rates incurred | 2.50% | |
Minimum [Member] | TRP Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Range of interest rates incurred | 3.00% | |
Minimum [Member] | Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | ||
Debt Instrument [Line Items] | ||
Range of interest rates incurred | 1.80% | |
Maximum [Member] | TRC Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Range of interest rates incurred | 4.50% | |
Maximum [Member] | TRP Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Range of interest rates incurred | 5.30% | |
Maximum [Member] | Targa Resources Partners LP [Member] | Accounts Receivable Securitization Facility [Member] | ||
Debt Instrument [Line Items] | ||
Range of interest rates incurred | 2.60% | |
[1] | The TRC senior secured term loan is a Eurodollar rate loan with an interest rate of LIBOR (with a LIBOR floor of 1%) plus an applicable rate of 4.75%. |
Debt Obligations - Range of I94
Debt Obligations - Range of Interest Rates and Weighted Average Interest Rate Incurred on Variable Rate Debt Obligations (Parenthetical) (Details) - Secured Debt [Member] | 12 Months Ended |
Dec. 31, 2017 | |
LIBOR [Member] | |
Debt Instrument [Line Items] | |
Senior secured loan variable rate | 1.00% |
Eurodollar Rate [Member] | |
Debt Instrument [Line Items] | |
Interest rate on fixed rate debt | 4.75% |
Debt Obligations, TRC Revolving
Debt Obligations, TRC Revolving Credit Agreement - Additional Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Revolving Credit Facility [Member] | TRC Senior Secured Revolving Credit Facility due February 2020 [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Maturity date | Feb. 29, 2020 |
Revolving Credit Facility [Member] | TRC Senior Secured Revolving Credit Facility due February 2020 [Member] | Minimum [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Interest rate on fixed rate debt | 1.75% |
Commitment fee percentage | 0.375% |
Revolving Credit Facility [Member] | TRC Senior Secured Revolving Credit Facility due February 2020 [Member] | Maximum [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Interest rate on fixed rate debt | 2.75% |
Commitment fee percentage | 0.50% |
TRC Credit Agreement [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Leverage ratio for each fiscal quarter in first year | 4.50 |
Leverage ratio for each fiscal quarter thereafter | 4 |
TRC Credit Agreement [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Expiration period for credit facility | 7 years |
Aggregate principal amount | $ 430 |
Debt instrument discount rate | 1.75% |
Cash payments related to change of control payments | $ 160.2 |
TRC Credit Agreement [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | LIBOR [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Senior secured loan variable rate | 1.00% |
TRC Credit Agreement [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | Eurodollar Rate [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Interest rate on fixed rate debt | 4.75% |
TRC Credit Agreement [Member] | Revolving Credit Facility [Member] | |
TRC Revolving Credit Agreement [Abstract] | |
Expiration period for credit facility | 5 years |
Maturity date | Feb. 27, 2020 |
Aggregate principal amount | $ 670 |
Additional commitment increase available upon request | $ 200 |
Debt Obligations, Partnership's
Debt Obligations, Partnership's Revolving Credit Facility - Additional Information (Details) - USD ($) | Feb. 27, 2015 | Oct. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 28, 2015 |
Debt Instrument [Line Items] | |||||||
Write off debt issuance cost | $ 3,500,000 | $ 100,000 | |||||
Atlas Pipeline Partners [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Cash payments related to change of control payments | 28,800,000 | ||||||
Revolving Credit Facility [Member] | Atlas Pipeline Partners [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Cash payments related to acquisition | $ 701,400,000 | $ 701,400,000 | |||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maximum consolidated leverage ratio | 5.50 | ||||||
Minimum ratio of consolidated EBITDA to consolidated interest expense | 2.25 | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Commitment fee percentage | 0.30% | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Commitment fee percentage | 0.50% | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | Federal Funds Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Commitment fee percentage | 0.50% | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | LIBOR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | Base Rate [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.75% | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | Base Rate [Member] | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.75% | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | Eurodollar Rate [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.75% | ||||||
Targa Resources Partners LP [Member] | TRP Revolver [Member] | Eurodollar Rate [Member] | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 2.75% | ||||||
Targa Resources Partners LP [Member] | Revolving Credit Facility [Member] | Second Amendment [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maximum borrowing capacity | $ 1,600,000,000 | ||||||
Additional commitment increase available upon request | $ 500,000,000 | $ 300,000,000 | |||||
Debt maturity period | 2020-10 | ||||||
Write off debt issuance cost | $ 900,000 | ||||||
Targa Resources Partners LP [Member] | Letters of Credit [Member] | TRP Revolver [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate on fixed rate debt | 1.75% | ||||||
Targa Resources Partners LP [Member] | Letters of Credit [Member] | TRP Revolver [Member] | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate on fixed rate debt | 2.75% |
Debt Obligations, Partnership97
Debt Obligations, Partnership's Accounts Receivable Securitization Facility- Additional Information (Details) - USD ($) | Dec. 08, 2017 | Dec. 31, 2017 | Feb. 23, 2017 | Dec. 31, 2016 |
Accounts Receivable Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Outstanding securitization facility | $ 350,000,000 | |||
Accounts Receivable Securitization Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | $ 350,000,000 | $ 275,000,000 | ||
Termination date | Dec. 7, 2018 |
Debt Obligations, Redemption Da
Debt Obligations, Redemption Dates and Price - Additional information (Details) - Targa Resources Partners LP [Member] - Senior Unsecured Notes [Member] | 12 Months Ended |
Dec. 31, 2017 | |
Senior Unsecured 5% Notes due January 2018 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 4 1/8% notes due November 2019 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 6 3/8% Notes due August 2022 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 5 1/4% Notes due May 2023 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 4 1/4% Notes due November 2023 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 6 3/4% Notes due March 2024 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 5 1/8% Notes due February 2025 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 5 3/8% Notes due February 2027 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 5% Notes due January 2028 [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 4 3/4% Notes due November 2021 [Member] | Atlas Pipeline Partners [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Senior Unsecured 5 7/8% Notes due August 2023 [Member] | Atlas Pipeline Partners [Member] | |
Debt Instrument [Line Items] | |
Maximum percentage of aggregate principal amount of debt redeemable by the Partnership with equity offerings | 35.00% |
Redemption condition, minimum percentage of aggregate principal amount outstanding immediately after occurrence of redemption | 65.00% |
Redemption condition, maximum number of days from date of closing of equity offerings | 180 days |
Debt Obligations, Redemption 99
Debt Obligations, Redemption Dates and Price (Details) - Senior Unsecured Notes [Member] | 12 Months Ended |
Dec. 31, 2017 | |
Senior Unsecured 5 7/8% Notes due August 2023 [Member] | Targa Pipeline Partners LP [Member] | 2018 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 102.938% |
Senior Unsecured 5 7/8% Notes due August 2023 [Member] | Targa Pipeline Partners LP [Member] | 2019 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.958% |
Senior Unsecured 5 7/8% Notes due August 2023 [Member] | Targa Pipeline Partners LP [Member] | 2020 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.979% |
Senior Unsecured 5 7/8% Notes due August 2023 [Member] | Targa Pipeline Partners LP [Member] | 2021 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Senior Unsecured 4 3/4% Notes due November 2021 [Member] | Targa Pipeline Partners LP [Member] | 2017 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 102.375% |
Senior Unsecured 4 3/4% Notes due November 2021 [Member] | Targa Pipeline Partners LP [Member] | 2018 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.188% |
Senior Unsecured 4 3/4% Notes due November 2021 [Member] | Targa Pipeline Partners LP [Member] | 2019 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | |
Redemption Dates and Prices [Abstract] | |
Any Date Prior To | Sep. 15, 2018 |
Price | 106.75% |
Targa Resources Partners LP [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | 2019 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 103.375% |
Targa Resources Partners LP [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | 2020 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.688% |
Targa Resources Partners LP [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | 2021 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | |
Redemption Dates and Prices [Abstract] | |
Any Date Prior To | Feb. 1, 2020 |
Price | 105.125% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | 2020 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 103.844% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | 2021 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 102.563% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | 2022 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.281% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/8% Notes due February 2025 [Member] | 2023 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 3/8% Notes due February 2027 [Member] | |
Redemption Dates and Prices [Abstract] | |
Any Date Prior To | Feb. 1, 2020 |
Price | 105.375% |
Targa Resources Partners LP [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | |
Redemption Dates and Prices [Abstract] | |
Any Date Prior To | Jan. 15, 2021 |
Price | 105.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | 2023 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 102.50% |
Targa Resources Partners LP [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | 2024 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.667% |
Targa Resources Partners LP [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | 2025 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.833% |
Targa Resources Partners LP [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | 2026 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | 2017 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.031% |
Targa Resources Partners LP [Member] | Senior Unsecured 4 1/8% notes due November 2019 [Member] | 2018 and thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | 2017 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 102.625% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | 2018 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.75% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | 2019 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.875% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 1/4% Notes due May 2023 [Member] | 2020 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | 2018 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 102.125% |
Targa Resources Partners LP [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | 2019 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.417% |
Targa Resources Partners LP [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | 2020 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.708% |
Targa Resources Partners LP [Member] | Senior Unsecured 4 1/4% Notes due November 2023 [Member] | 2021 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | 2022 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 102.688% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | 2023 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 101.792% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | 2024 [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.896% |
Targa Resources Partners LP [Member] | Senior Unsecured 5 7/8% Notes due August 2023 [Member] | 2025 and Thereafter [Member] | |
Redemption Dates and Prices [Abstract] | |
Price | 100.00% |
Debt Obligations, Senior Notes
Debt Obligations, Senior Notes Issuances - Additional Information (Details) - USD ($) $ in Millions | 1 Months Ended | |||
Oct. 31, 2017 | Oct. 31, 2016 | Sep. 30, 2015 | Jan. 31, 2015 | |
Senior Unsecured 5% Notes due January 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate on fixed rate debt | 5.00% | |||
Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2028 [Member] | ||||
Debt Instrument [Line Items] | ||||
Aggregate principal amount issued | $ 750 | |||
Net proceeds from private placement of notes | 744.1 | |||
Aggregate principal amount | $ 750 | |||
Interest rate on fixed rate debt | 5.00% | |||
Partnership Issuers [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 5% Notes due January 2018 [Member] | ||||
Debt Instrument [Line Items] | ||||
Aggregate principal amount issued | $ 1,100 | |||
Net proceeds from private placement of notes | 1,089.8 | |||
Aggregate principal amount | $ 1,100 | |||
Partnership Issuers [Member] | Senior Unsecured Notes [Member] | Senior Unsecured 6 3/4% Notes due March 2024 [Member] | ||||
Debt Instrument [Line Items] | ||||
Aggregate principal amount issued | $ 600 | |||
Net proceeds from private placement of notes | 595 | |||
Aggregate principal amount | $ 600 | |||
Partnership Issuers [Member] | Senior Notes [Member] | 5 1/8% Senior Notes due February 2025 [Member] | ||||
Debt Instrument [Line Items] | ||||
Aggregate principal amount issued | $ 500 | |||
Net proceeds from private placement of notes | $ 496.2 | |||
Price | 5.125% | |||
Maturity date | Feb. 28, 2025 | |||
Aggregate principal amount | $ 500 | |||
Partnership Issuers [Member] | Senior Notes [Member] | 5 3/8% Senior Notes due February 2027 [Member] | ||||
Debt Instrument [Line Items] | ||||
Aggregate principal amount issued | 500 | |||
Net proceeds from private placement of notes | $ 496.2 | |||
Price | 5.375% | |||
Maturity date | Feb. 28, 2027 | |||
Aggregate principal amount | $ 500 |
Debt Obligations, Shelf Registr
Debt Obligations, Shelf Registration Statements - Additional Information (Details) $ in Billions | Apr. 30, 2015USD ($) |
Targa Resources Partners LP [Member] | April 2015 Shelf [Member] | |
Debt Instrument [Line Items] | |
Aggregate amount of debt or equity securities allowed under shelf agreement | $ 1 |
Debt Obligations, Debt Repurcha
Debt Obligations, Debt Repurchases & Extinguishments - Additional Information (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Oct. 31, 2017 | Jun. 30, 2017 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Nov. 15, 2016 |
Debt Instrument [Line Items] | |||||||||
Write off debt issuance cost | $ 3.5 | $ 0.1 | |||||||
Aggregate principal amount of notes redeemed | $ 559.2 | $ 17.9 | $ 146.2 | ||||||
Senior secured term loan [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Write off debt issuance cost | $ 3.7 | ||||||||
Repayments of senior secured debt | 160 | ||||||||
Write off debt discounts | $ 2.2 | ||||||||
Senior Unsecured 5% Notes due January 2018 [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate on fixed rate debt | 5.00% | ||||||||
Targa Resources Partners LP [Member] | Senior Secured Term Loan [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Repayment of term loan | $ 82 | $ 188 | |||||||
Write off of debt discount | 1.4 | 3.3 | |||||||
Write off debt issuance cost | $ 2.4 | $ 5.8 | |||||||
Targa Resources Partners LP [Member] | Senior Unsecured 6 3/8% Notes due August 2022 [Member] | Senior Unsecured Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Write off debt issuance cost | $ 1.8 | ||||||||
Interest rate on fixed rate debt | 6.375% | 6.375% | |||||||
Aggregate principal amount of notes redeemed | $ 278.7 | ||||||||
Redemption price, percentage of face value | 103.188% | ||||||||
Loss on extinguishment of debt | $ (10.7) | ||||||||
Premium paid on redemption of debt | $ 8.9 | ||||||||
Price | 103.188% | ||||||||
Targa Resources Partners LP [Member] | Senior Unsecured 5% Notes due January 2018 [Member] | Senior Unsecured Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate on fixed rate debt | 5.00% | ||||||||
Partnership Issuers [Member] | Senior Unsecured 5% Notes due January 2018 [Member] | Senior Unsecured Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Write off debt issuance cost | $ 0.2 | ||||||||
Redemption price, percentage of face value | 5.00% | ||||||||
Price | 5.00% | ||||||||
Maturity year | 2,018 |
Debt Obligations - Summary o103
Debt Obligations - Summary of Debt Repurchased on Open Market Portion of Outstanding Senior Notes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Nov. 15, 2016 | |
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | $ 559.2 | $ 17.9 | $ 146.2 |
Open market purchases of senior notes | (534.3) | (14.3) | |
Gain (loss) on repurchase of debt | 24.9 | 3.6 | |
Debt Repurchase, Write-off of Debt Issuance Costs | (3.5) | (0.1) | |
Net Gain (Loss) on Debt Repurchase | 21.4 | 3.5 | |
5¼% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 24.1 | 16.3 | |
Open market purchases of senior notes | (20.1) | (13) | |
Gain (loss) on repurchase of debt | 4 | 3.3 | |
Debt Repurchase, Write-off of Debt Issuance Costs | (0.2) | (0.1) | |
Net Gain (Loss) on Debt Repurchase | 3.8 | 3.2 | |
4¼% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 39.5 | 1.5 | |
Open market purchases of senior notes | (31.8) | (1.2) | |
Gain (loss) on repurchase of debt | 7.7 | 0.3 | |
Debt Repurchase, Write-off of Debt Issuance Costs | (0.3) | ||
Net Gain (Loss) on Debt Repurchase | 7.4 | 0.3 | |
6⅝% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 32.6 | 0.1 | |
Open market purchases of senior notes | (29.5) | $ (0.1) | |
Gain (loss) on repurchase of debt | 3.1 | ||
Net Gain (Loss) on Debt Repurchase | 3.1 | ||
6⅞% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 4.8 | ||
Open market purchases of senior notes | (4.3) | ||
Gain (loss) on repurchase of debt | 0.5 | ||
Debt Repurchase, Write-off of Debt Issuance Costs | (0.1) | ||
Net Gain (Loss) on Debt Repurchase | 0.4 | ||
6⅜% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 21.3 | ||
Open market purchases of senior notes | (18.7) | ||
Gain (loss) on repurchase of debt | 2.6 | ||
Debt Repurchase, Write-off of Debt Issuance Costs | (0.2) | ||
Net Gain (Loss) on Debt Repurchase | 2.4 | ||
6¾% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 19.9 | ||
Open market purchases of senior notes | (17.5) | ||
Gain (loss) on repurchase of debt | 2.4 | ||
Debt Repurchase, Write-off of Debt Issuance Costs | (0.2) | ||
Net Gain (Loss) on Debt Repurchase | 2.2 | ||
5% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 366.4 | ||
Open market purchases of senior notes | (368.2) | ||
Gain (loss) on repurchase of debt | (1.8) | ||
Debt Repurchase, Write-off of Debt Issuance Costs | (2.1) | ||
Net Gain (Loss) on Debt Repurchase | (3.9) | ||
4⅛% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Repurchase, Book Value | 50.6 | ||
Open market purchases of senior notes | (44.2) | ||
Gain (loss) on repurchase of debt | 6.4 | ||
Debt Repurchase, Write-off of Debt Issuance Costs | (0.4) | ||
Net Gain (Loss) on Debt Repurchase | $ 6 |
Debt Obligations - Senior Notes
Debt Obligations - Senior Notes Tender Offers - Additional Information (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Oct. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Oct. 31, 2017 | |
Debt Instrument [Line Items] | |||||
Write off debt issuance cost | $ 3,500,000 | $ 100,000 | |||
Senior Unsecured 5% Notes due January 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate on fixed rate debt | 5.00% | ||||
Concurrent Senior Notes Tender Offers [Member] | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount outstanding | $ 1,000 | ||||
Concurrent Senior Notes Tender Offers [Member] | Senior Unsecured 5% Notes due January 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate on fixed rate debt | 5.00% | ||||
Concurrent Senior Notes Tender Offers [Member] | Senior Unsecured 6 5/8% Notes due October 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate on fixed rate debt | 6.625% | ||||
Maturity date | Oct. 1, 2020 | ||||
Concurrent Senior Notes Tender Offers [Member] | Senior Unsecured 6 7/8% Notes due February 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate on fixed rate debt | 6.875% | ||||
Maturity date | Feb. 1, 2021 | ||||
Senior Notes with Offers Tendered [Member] | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount outstanding | $ 383,800,000 | 383,800,000 | 1,522,100,000 | ||
Loss on extinguishment of debt | (59,200,000) | ||||
Premium Paid | 41,800,000 | 41,800,000 | |||
Write off debt issuance cost | 5,800,000 | ||||
Write off of debt premiums | 3,500,000 | ||||
Write off of debt discount | 15,100,000 | ||||
Senior Notes with Offers Tendered [Member] | Senior Unsecured 5% Notes due January 2018 [Member] | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount outstanding | 250,500,000 | 250,500,000 | 733,600,000 | ||
Premium Paid | 16,900,000 | ||||
Senior Notes with Offers Tendered [Member] | Senior Unsecured 6 5/8% Notes due October 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount outstanding | 28,200,000 | 28,200,000 | 309,900,000 | ||
Premium Paid | 10,500,000 | ||||
Senior Notes with Offers Tendered [Member] | Senior Unsecured 6 7/8% Notes due February 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount outstanding | $ 105,100,000 | 105,100,000 | $ 478,600,000 | ||
Premium Paid | $ 14,400,000 |
Debt Obligations - Results of T
Debt Obligations - Results of Tender Offers (Details) - Senior Notes with Offers Tendered [Member] - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Dec. 31, 2016 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | ||
Outstanding Note Balance Prior to Tender Offers | $ 1,522.1 | |
Amount Tendered | 1,138.3 | |
Premium Paid | $ 41.8 | 41.8 |
Accrued Interest Paid | 10.3 | |
Total Tender Offer Payments | 1,190.4 | |
Note Balance After Tender Offers | 383.8 | 383.8 |
Senior Unsecured 5% Notes due January 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Outstanding Note Balance Prior to Tender Offers | 733.6 | |
Amount Tendered | 483.1 | |
Premium Paid | 16.9 | |
Accrued Interest Paid | 5.4 | |
Total Tender Offer Payments | 505.4 | |
Note Balance After Tender Offers | 250.5 | 250.5 |
Senior Unsecured 6 5/8% Notes due October 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Outstanding Note Balance Prior to Tender Offers | 309.9 | |
Amount Tendered | 281.7 | |
Premium Paid | 10.5 | |
Accrued Interest Paid | 0.3 | |
Total Tender Offer Payments | 292.5 | |
Note Balance After Tender Offers | 28.2 | 28.2 |
Senior Unsecured 6 7/8% Notes due February 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Outstanding Note Balance Prior to Tender Offers | 478.6 | |
Amount Tendered | 373.5 | |
Premium Paid | 14.4 | |
Accrued Interest Paid | 4.6 | |
Total Tender Offer Payments | 392.5 | |
Note Balance After Tender Offers | $ 105.1 | $ 105.1 |
Debt Obligations - Note Redempt
Debt Obligations - Note Redemptions - Additional Information (Details) - USD ($) $ in Millions | Nov. 15, 2016 | Oct. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | ||||||
Face amount of notes redeemed | $ 146.2 | $ 559.2 | $ 559.2 | $ 17.9 | ||
Debt instrument redemption period | Nov. 15, 2016 | |||||
Payment for redemption of debt | $ 151.1 | $ 698.1 | 1,852.2 | 284.3 | ||
Write off debt issuance cost | $ 3.5 | $ 0.1 | ||||
Senior Unsecured 6 5/8% Notes due October 2020 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Price | 103.313% | |||||
Senior Unsecured 6 5/8% Notes due October 2020 [Member] | Targa Pipeline Partners LP [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Price | 103.313% | |||||
Senior Unsecured 6 7/8% Notes due February 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Price | 103.438% | |||||
Note Redemptions [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Loss on extinguishment of debt | (9.7) | |||||
Premium Paid | 4.9 | |||||
Write off debt issuance cost | 1.1 | |||||
Write off of debt premiums | 0.5 | |||||
Write off of debt discount | $ 4.2 |
Debt Obligations, TPL Senior No
Debt Obligations, TPL Senior Notes Tender Offers - Additional Information (Details) - USD ($) $ in Millions | Nov. 15, 2016 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jan. 01, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | |||||||
Repayment of debt | $ 151.1 | $ 698.1 | $ 1,852.2 | $ 284.3 | |||
TPL Senior Notes Tender Offers [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Note balance after tender offers | 414.5 | $ 1,550 | $ 1,550 | ||||
Payments for notes tendered and settled upon closing of merger | 1,135.5 | ||||||
Total tender offer payments | 1,163.8 | ||||||
TPL Senior Notes Tender Offers [Member] | Targa Pipeline Partners LP [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayment of debt | $ 1,168.8 | ||||||
TPL Senior Notes Tender Offers [Member] | Senior Unsecured 6 5/8% Notes due October 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Note balance after tender offers | 359.9 | $ 500 | |||||
Payments for notes tendered and settled upon closing of merger | 140.1 | ||||||
Total tender offer payments | $ 145.9 | ||||||
TPL Senior Notes Tender Offers [Member] | Senior Unsecured 6 5/8% Notes due October 2020 [Member] | Targa Pipeline Partners LP [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Payments for notes tendered and settled upon closing of merger | $ 4.8 | ||||||
Total tender offer payments | $ 5 |
Debt Obligations, TPL Senior108
Debt Obligations, TPL Senior Notes Tender Offers (Details) - TPL Senior Notes Tender Offers [Member] $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Results of tender offers [Abstract] | |
Outstanding Note Balance Prior to Tender Offers | $ 1,550 |
Amount Tendered | 1,135.5 |
Premium Paid | 16.7 |
Accrued Interest Paid | 11.6 |
Total Tender Offer Payments | 1,163.8 |
Note Balance After Tender Offers | 414.5 |
Senior Unsecured 6 5/8% Notes due October 2020 [Member] | |
Results of tender offers [Abstract] | |
Outstanding Note Balance Prior to Tender Offers | 500 |
Amount Tendered | 140.1 |
Premium Paid | 2.1 |
Accrued Interest Paid | 3.7 |
Total Tender Offer Payments | $ 145.9 |
Tendered percentage | 28.02% |
Note Balance After Tender Offers | $ 359.9 |
Senior Unsecured 4 3/4% Notes due November 2021 [Member] | |
Results of tender offers [Abstract] | |
Outstanding Note Balance Prior to Tender Offers | 400 |
Amount Tendered | 393.5 |
Premium Paid | 5.9 |
Accrued Interest Paid | 5.3 |
Total Tender Offer Payments | $ 404.7 |
Tendered percentage | 98.38% |
Note Balance After Tender Offers | $ 6.5 |
Senior Unsecured 5 7/8% Notes due August 2023 [Member] | |
Results of tender offers [Abstract] | |
Outstanding Note Balance Prior to Tender Offers | 650 |
Amount Tendered | 601.9 |
Premium Paid | 8.7 |
Accrued Interest Paid | 2.6 |
Total Tender Offer Payments | $ 613.2 |
Tendered percentage | 92.60% |
Note Balance After Tender Offers | $ 48.1 |
Debt Obligations, Exchange Offe
Debt Obligations, Exchange Offer and Consent Solicitation - Additional Information (Details) - Senior Unsecured 6 5/8% Notes due October 2020 [Member] - Targa Pipeline Partners LP [Member] - USD ($) $ in Millions | Apr. 27, 2015 | Dec. 31, 2015 | May 31, 2015 |
Targa Resources Partners LP [Member] | |||
Debt Instrument [Line Items] | |||
Tendered percentage | 96.30% | ||
Costs associated with exchange offer | $ 0.7 | ||
Partnership Issuers [Member] | |||
Debt Instrument [Line Items] | |||
Aggregate principal amount outstanding | $ 342.1 | ||
Unamortized premium | $ 5.6 |
Debt Obligations, Debt Repur110
Debt Obligations, Debt Repurchases Summary (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | |||
(Gain) loss from financing activities | $ 16.8 | $ 48.2 | $ 10.1 |
Write-off of debt issuance costs | 3.5 | 0.1 | |
Loss from financing activities | 16.8 | 48.2 | 10.1 |
Partnership 5% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 2.1 | ||
Partnership 6⅞% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 0.1 | ||
Partnership 6⅜% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 0.2 | ||
Partnership 5¼% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 0.2 | 0.1 | |
Partnership 4¼% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 0.3 | ||
Partnership 6¾% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 0.2 | ||
Partnership 4⅛% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 0.4 | ||
Senior Unsecured Notes [Member] | TRC Term Loan, variable rate [Member] | |||
Debt Instrument [Line Items] | |||
Recognition of unamortized discount and premium | 4.7 | ||
Write-off of debt issuance costs | 8.2 | ||
Senior Unsecured Notes [Member] | TRC Senior secured term loan [Member] | |||
Debt Instrument [Line Items] | |||
Recognition of unamortized discount and premium | 2.2 | ||
Write-off of debt issuance costs | 3.7 | ||
Senior Unsecured Notes [Member] | TRP Revolver [Member] | |||
Debt Instrument [Line Items] | |||
Write-off of debt issuance costs | 0.9 | ||
Senior Unsecured Notes [Member] | Targa Pipeline Partners LP [Member] | 6⅝% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Premium paid on redemption of debt | 0.4 | ||
Recognition of unamortized discount and premium | (0.2) | ||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Partnership 5% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Premium paid on redemption of debt | 16.9 | ||
(Gain) loss from financing activities | 1.8 | ||
Write-off of debt issuance costs | 0.2 | 4.2 | |
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Partnership 6⅞% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Premium paid on redemption of debt | 18 | ||
Recognition of unamortized discount and premium | 19.5 | ||
(Gain) loss from financing activities | (0.8) | ||
Write-off of debt issuance costs | 4.9 | ||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | 6⅝% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Premium paid on redemption of debt | 11.5 | ||
Recognition of unamortized discount and premium | (4.3) | ||
(Gain) loss from financing activities | (2.8) | ||
Loss from financing with Exchange Offer | 0.7 | ||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Partnership 6⅜% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Premium paid on redemption of debt | 8.9 | ||
(Gain) loss from financing activities | (2.6) | ||
Write-off of debt issuance costs | $ 1.8 | 0.2 | |
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Partnership 5¼% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
(Gain) loss from financing activities | (4) | (3.3) | |
Write-off of debt issuance costs | 0.2 | 0.1 | |
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Partnership 4¼% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
(Gain) loss from financing activities | (7.7) | $ (0.3) | |
Write-off of debt issuance costs | 0.3 | ||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Partnership 6¾% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
(Gain) loss from financing activities | (2.4) | ||
Write-off of debt issuance costs | 0.2 | ||
Targa Resources Partners LP [Member] | Senior Unsecured Notes [Member] | Partnership 4⅛% Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
(Gain) loss from financing activities | (6.4) | ||
Write-off of debt issuance costs | $ 0.4 |
Other Long-term Liabilities - S
Other Long-term Liabilities - Schedule of Other Long-term Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Other Liabilities Noncurrent [Line Items] | |||
Asset retirement obligations | $ 50.8 | $ 64.6 | $ 70.4 |
Mandatorily redeemable preferred interests | 76.2 | 68.5 | |
Deferred revenue | 136.2 | 69.8 | $ 27.7 |
Other liabilities | 24.5 | 12.2 | |
Total long-term liabilities | 597.9 | $ 215.1 | |
Permian Acquisition [Member] | |||
Other Liabilities Noncurrent [Line Items] | |||
Permian Acquisition contingent consideration, noncurrent portion | $ 310.2 |
Other Long-term Liabilities - C
Other Long-term Liabilities - Changes in Aggregate ARO (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Changes in aggregate asset retirement obligations [Roll Forward] | ||||
Beginning of period | $ 64.6 | $ 70.4 | ||
Additions | [1] | 0.8 | ||
Reduction due to sale of VGS | (21.6) | |||
Change in cash flow estimate | 3.1 | (9.1) | $ 3.8 | |
Accretion expense | 3.9 | 4.6 | 5.3 | |
Retirement of ARO | (1.3) | |||
End of period | $ 50.8 | $ 64.6 | $ 70.4 | |
[1] | Amount reflects ARO assumed from the Permian Acquisition. |
Other Long-term Liabilities, Ma
Other Long-term Liabilities, Mandatorily Redeemable Preferred Interests (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017USD ($)JointVenture | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Changes in long-term liabilities attributable to mandatorily redeemable preferred interests [Abstract] | |||
Beginning of period | $ 68.5 | ||
Change in estimated redemption value included in interest expense | 3.3 | $ (15.2) | $ (30.6) |
End of period | $ 76.2 | 68.5 | |
Mandatorily Redeemable Noncontrolling Interests [Member] | |||
Changes in long-term liabilities attributable to mandatorily redeemable preferred interests [Abstract] | |||
Number of joint ventures | JointVenture | 2 | ||
Beginning of period | $ 68.5 | 82.9 | |
Income attributable to mandatorily redeemable preferred interests | 4.4 | 0.8 | |
Change in estimated redemption value included in interest expense | 3.3 | (15.2) | |
End of period | $ 76.2 | 68.5 | 82.9 |
Mandatorily Redeemable Noncontrolling Interests [Member] | West OK [Member] | |||
Changes in long-term liabilities attributable to mandatorily redeemable preferred interests [Abstract] | |||
Ownership interest | 100.00% | ||
Mandatorily Redeemable Noncontrolling Interests [Member] | West TX [Member] | |||
Changes in long-term liabilities attributable to mandatorily redeemable preferred interests [Abstract] | |||
Ownership interest | 72.80% | ||
Mandatorily Redeemable Noncontrolling Interests [Member] | Joint Ventures [Member] | |||
Changes in long-term liabilities attributable to mandatorily redeemable preferred interests [Abstract] | |||
Number of joint ventures | JointVenture | 2 | ||
Notes receivable, face amount | $ 1,900 | ||
Notes receivable, due date | Jul. 31, 2042 | ||
Interest earned on notes receivable, net | $ 10.3 | $ 10.5 | $ 8.9 |
Other Long-term Liabilities, De
Other Long-term Liabilities, Deferred Revenue (Details) $ in Millions | Dec. 27, 2015USD ($)bbl | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Oct. 31, 2017USD ($) |
Deferred Revenue and Other [Abstract] | |||||
Deferred revenue | $ 136.2 | $ 69.8 | $ 27.7 | ||
Deferred revenue recognized related to gas gathering and processing agreement | 3.1 | $ 3.1 | $ 2.7 | ||
Channelview Splitter [Member] | |||||
Deferred Revenue and Other [Abstract] | |||||
Crude and condensate splitter, barrel per day | bbl | 35,000 | ||||
Storage capacity of Channelview Terminal | bbl | 730,000 | ||||
Splitter estimated cost | $ 140 | ||||
Annual deferred revenue payments receivable through 2022 | $ 43 | ||||
Deferred revenue | $ 43 |
Other Long-term Liabilities, Co
Other Long-term Liabilities, Components of Deferred Revenue (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Component Of Deferred Revenue [Line Items] | |||
Total deferred revenue | $ 136.2 | $ 69.8 | $ 27.7 |
Splitter Agreement [Member] | |||
Component Of Deferred Revenue [Line Items] | |||
Total deferred revenue | 86 | 43 | |
Gas Contract Amendment [Member] | |||
Component Of Deferred Revenue [Line Items] | |||
Total deferred revenue | 44.7 | 19.7 | |
Other Deferred Revenue [Member] | |||
Component Of Deferred Revenue [Line Items] | |||
Total deferred revenue | $ 5.5 | $ 7.1 |
Other Long-term Liabilities 116
Other Long-term Liabilities - Changes in Deferred Revenue (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Changes in deferred revenue [Roll Forward] | |||
Beginning of period | $ 69.8 | $ 27.7 | |
Additions | 69.5 | 45.2 | |
Revenue recognized | (3.1) | (3.1) | $ (2.7) |
End of period | $ 136.2 | $ 69.8 | $ 27.7 |
Other Long-term Liabilities,117
Other Long-term Liabilities, Contingent Consideration (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Mar. 01, 2017 | |
Other Liabilities Noncurrent [Line Items] | ||||||
Change in contingent considerations | $ 99.6 | $ 0.4 | $ 1.2 | |||
Permian Acquisition [Member] | ||||||
Other Liabilities Noncurrent [Line Items] | ||||||
Preliminary acquisition date fair value of the contingent consideration | 416.3 | $ 461.6 | ||||
Measurement period adjustment | $ 0 | $ 45.3 | 45.3 | |||
Additional cash paid in potential earn-out payment | $ 416.3 | 317 | $ 461.6 | |||
Change in contingent considerations | 99.3 | |||||
Fair value of first potential earn-out payment | 6.8 | |||||
Fair value of second potential earn-out payment | $ 310.2 |
Other Long-term Liabilities 118
Other Long-term Liabilities - Schedule of Changes in Contingent Consideration (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Other Liabilities Noncurrent [Line Items] | |||||
Change in contingent considerations included in Other expense (income) | $ (99.6) | $ (0.4) | $ (1.2) | ||
Permian Acquisition [Member] | |||||
Other Liabilities Noncurrent [Line Items] | |||||
Balance at March 1, 2017 (acquisition date) | $ 416.3 | ||||
Measurement period adjustment | $ 0 | $ (45.3) | (45.3) | ||
Change in contingent considerations included in Other expense (income) | (99.3) | ||||
Balance at December 31, 2017 | $ 416.3 | 317 | |||
Less: Current portion | (6.8) | ||||
Long-term balance at December 31, 2017 | $ 310.2 |
Preferred Stock - Additional In
Preferred Stock - Additional Information (Details) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2016USD ($)Trancheshares | Dec. 31, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | |
Class Of Stock [Line Items] | |||
Number of tranches sold to investors | Tranche | 2 | ||
Gross proceeds | $ 994,100,000 | $ 994,100,000 | $ 994,100,000 |
Term of preferred stock warrants | 7 years | ||
Allocation to BCF | $ (614,400,000) | (614,400,000) | |
Accounting Conversion Price Of Convertible Preferred Stock | $ / shares | $ 17.02 | ||
Conversion price of preferred stock into common stock | $ / shares | $ 20.77 | ||
Preferred Series A dividends payable | $ 22,900,000 | 22,900,000 | |
Preferred stock dividend paid | $ 91,700,000 | ||
Accrued preferred dividends payable date | Feb. 14, 2018 | ||
Deemed dividends on Series A Preferred Stock | $ 25,700,000 | $ 18,200,000 | |
Maximum [Member] | |||
Class Of Stock [Line Items] | |||
Conversion of warrant into preferred stock | shares | 20,083,731 | ||
Series A Warrants [Member] | |||
Class Of Stock [Line Items] | |||
Preferred stock, shares issued to investors | shares | 13,550,004 | ||
Exercise price of warrants | $ / shares | $ 18.88 | ||
Series B Warrants [Member] | |||
Class Of Stock [Line Items] | |||
Preferred stock, shares issued to investors | shares | 6,533,727 | ||
Exercise price of warrants | $ / shares | $ 25.11 | ||
Series A Preferred Stock [Member] | |||
Class Of Stock [Line Items] | |||
Preferred stock, discount on shares | $ 178,100,000 | ||
Allocation to BCF | $ 614,400,000 | ||
Series A Preferred Stock [Member] | |||
Class Of Stock [Line Items] | |||
Preferred stock, shares issued to investors | shares | 965,100 | 965,100 | |
Preferred stock, liquidation per share | $ / shares | $ 1,000 | $ 1,000 | |
Preferred stock, percentage of dividend | 9.50% | ||
Preferred stock dividend payment terms | fixed dividend payable quarterly 45 days after the end of each fiscal quarter | ||
Preferred stock redemption premium percentage in sixth year | 10.00% | ||
Preferred stock redemption premium percentage in sixth year and thereafter | 5.00% | ||
Preferred stock redemption premium percentage in twelfth year | 10.00% | ||
Volume Weighted Average Share Price | $ / shares | $ 18.88 | ||
Preferred stock redemption premium percentage in twelfth year and thereafter | 120.00% | ||
Stock conversion, description | If the investors do not elect to convert their Series A Preferred into TRC common stock, Targa has a right after year twelve to force conversion, but only if the VWAP for the ten preceding trading days is greater than 120% of the conversion price | ||
Preferred stock premium change in next twelve month | 25.00% | ||
Preferred stock premium change in two year | 20.00% | ||
Preferred stock premium change in three year | 15.00% | ||
Preferred stock premium change in year four through six | 10.00% | ||
Preferred stock premium change in year six and thereafter | 5.00% | ||
Maximum number of common share would be issued upon conversion of preferred share | shares | 46,466,057 | ||
Series A Preferred Stock [Member] | 10% Redemption Premium | |||
Class Of Stock [Line Items] | |||
Preferred stock conversion redemption premium percentage in sixth year | 10.00% | ||
Benefit from conversion right by redemption premium | $ 96,500,000 | ||
Series A Preferred Stock [Member] | 5% Redemption Premium | |||
Class Of Stock [Line Items] | |||
Benefit from conversion right by redemption premium | $ 48,300,000 | ||
Preferred stock conversion redemption premium percentage in year seven through twelve year | 5.00% | ||
Series A Preferred Stock [Member] | Maximum [Member] | |||
Class Of Stock [Line Items] | |||
Incurrence of indebtedness other than stipulated fixed charge coverage | $ 2,750,000,000 | ||
Private Placement [Member] | Series A Warrants [Member] | |||
Class Of Stock [Line Items] | |||
Conversion of warrant into preferred stock | shares | 13,550,004 | ||
Private Placement [Member] | Series B Warrants [Member] | |||
Class Of Stock [Line Items] | |||
Conversion of warrant into preferred stock | shares | 6,533,727 | ||
Private Placement [Member] | Series A Preferred Stock [Member] | |||
Class Of Stock [Line Items] | |||
Preferred stock, shares issued to investors | shares | 965,100 |
Accounting for Series A Preferr
Accounting for Series A Preferred Stock (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Class Of Stock [Line Items] | |||
Proceeds from issuance of preferred stock and warrants | $ 994.1 | $ 994.1 | $ 994.1 |
Transaction fees | (24.8) | ||
Net Proceeds- Initial Relative Fair Value Allocation | 969.3 | ||
Allocation to BCF | 614.4 | $ 614.4 | |
Per balance sheet upon issuance | 614.4 | ||
Series A Preferred Stock [Member] | |||
Class Of Stock [Line Items] | |||
Net Proceeds- Initial Relative Fair Value Allocation | 787.1 | ||
Allocation to BCF | (614.4) | ||
Per balance sheet upon issuance | 172.7 | ||
Series A Warrants [Member] | |||
Class Of Stock [Line Items] | |||
Net Proceeds- Initial Relative Fair Value Allocation | 135.7 | ||
Per balance sheet upon issuance | 135.7 | ||
Series B Warrants [Member] | |||
Class Of Stock [Line Items] | |||
Net Proceeds- Initial Relative Fair Value Allocation | 46.5 | ||
Per balance sheet upon issuance | $ 46.5 |
Common Stock and Related Mat121
Common Stock and Related Matters - Additional Information (Details) - USD ($) | Jun. 02, 2017 | Jan. 26, 2017 | Feb. 17, 2016 | Feb. 27, 2015 | Feb. 16, 2018 | Jan. 31, 2018 | Dec. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 09, 2018 | May 09, 2017 | May 31, 2016 |
Securities Financing Transaction [Line Items] | ||||||||||||||
Closing market price of common share (in dollars per share) | $ 99.58 | |||||||||||||
Issuance of common stock (in shares) | 17,000,000 | 9,200,000 | 0 | |||||||||||
Shares issued price | $ 46.10 | $ 57.65 | ||||||||||||
Proceeds from issuance of common stock | $ 777,300,000 | $ 524,200,000 | $ 1,660,400,000 | $ 577,300,000 | $ 336,800,000 | |||||||||
Amount contributed to maintain general partner ownership percentage | $ 6,500,000 | |||||||||||||
Percentage of general partner's interest maintained | 2.00% | 2.00% | ||||||||||||
Amount of common stock authorized under equity distribution agreement | $ 750,000,000 | |||||||||||||
Number of shares issued in exchange of common units for common shares to the third party (in shares) | 104,525,775 | |||||||||||||
Warrants exercised (in shares) | 0 | 19,983,843 | ||||||||||||
Subsequent Event [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Warrants exercised (in shares) | 99,888 | |||||||||||||
Series A Warrants [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Exercisable warrants outstanding | 67,392 | |||||||||||||
Series B Warrants [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Exercisable warrants outstanding | 32,496 | |||||||||||||
Equity Distribution Agreement May 2016 [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Issuance of common stock (in shares) | 11,074,266 | |||||||||||||
Proceeds from issuance of common stock | $ 494,000,000 | |||||||||||||
Amount of common stock authorized under equity distribution agreement | $ 500,000,000 | |||||||||||||
Equity distribution agreement remaining amount terminated | $ 2,200,000 | |||||||||||||
Equity Distribution Agreement December 2016 [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Issuance of common stock (in shares) | 6,433,561 | 1,487,100 | ||||||||||||
Proceeds from issuance of common stock | $ 343,100,000 | $ 78,700,000 | ||||||||||||
Amount of common stock authorized under equity distribution agreement | $ 750,000,000 | $ 750,000,000 | ||||||||||||
Remaining amount of common stock available under equity distribution agreement | $ 324,100,000 | |||||||||||||
Equity Distribution Agreement December 2016 [Member] | Subsequent Event [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Issuance of common stock (in shares) | 1,162,963 | |||||||||||||
Proceeds from issuance of common stock | $ 57,700,000 | |||||||||||||
Remaining amount of common stock available under equity distribution agreement | $ 266,000,000 | |||||||||||||
Common Stock [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Total issuance of common shares (in shares) | 104,526,000 | |||||||||||||
Issuance of common stock (in shares) | 3,250,000 | 32,633,000 | 12,562,000 | 3,738,000 | ||||||||||
Shares issued price | $ 91 | |||||||||||||
Proceeds from issuance of common stock | $ 292,800,000 | |||||||||||||
Number of additional shares sold in public offering (in shares) | 487,500 | |||||||||||||
Proceeds from issuance of common stock | $ 43,900,000 | |||||||||||||
Amount contributed to maintain general partner ownership percentage | $ 52,400,000 | |||||||||||||
Percentage of general partner's interest maintained | 2.00% | |||||||||||||
Exercise of warrants - share settled (in shares) | 11,336,856 | 11,336,856 | ||||||||||||
Common Stock [Member] | Subsequent Event [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Exercise of warrants - share settled (in shares) | 58,814 | |||||||||||||
Atlas Energy [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Total issuance of common shares (in shares) | 10,126,532 | |||||||||||||
Common units acquired | $ 1,000,000,000 | |||||||||||||
Closing market price of common share (in dollars per share) | $ 99.58 | |||||||||||||
Initial purchase price | $ 1,600,000,000 | |||||||||||||
Atlas Energy [Member] | Restricted Stock Units (RSUs) [Member] | ||||||||||||||
Securities Financing Transaction [Line Items] | ||||||||||||||
Total issuance of common shares (in shares) | 81,740 |
Common Stock and Related Mat122
Common Stock and Related Matters - Dividends Declared And Or Paid (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Feb. 14, 2018 | |||
Dividends Declared per Share of Common Stock | $ 3.64 | $ 3.64 | $ 3.39 | |
Dividend Declared, Q4 2017 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Feb. 15, 2018 | |||
Total Common Dividends Declared | $ 202.4 | |||
Amount of Common Dividends Paid or To Be Paid | 199.1 | |||
Accrued Dividends | [1] | $ 3.3 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q3 2017 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Nov. 15, 2017 | |||
Total Common Dividends Declared | $ 199 | |||
Amount of Common Dividends Paid or To Be Paid | 196.2 | |||
Accrued Dividends | [1] | $ 2.8 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q2 2017 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Aug. 15, 2017 | |||
Total Common Dividends Declared | $ 198.6 | |||
Amount of Common Dividends Paid or To Be Paid | 196.2 | |||
Accrued Dividends | [1] | $ 2.4 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q1 2017 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | May 16, 2017 | |||
Total Common Dividends Declared | $ 182.8 | |||
Amount of Common Dividends Paid or To Be Paid | 180.3 | |||
Accrued Dividends | [1] | $ 2.5 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q4 2016 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Feb. 15, 2017 | |||
Total Common Dividends Declared | $ 178.3 | |||
Amount of Common Dividends Paid or To Be Paid | 176.5 | |||
Accrued Dividends | [1] | $ 1.8 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q3 2016 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Nov. 15, 2016 | |||
Total Common Dividends Declared | $ 166.4 | |||
Amount of Common Dividends Paid or To Be Paid | 164.6 | |||
Accrued Dividends | [1] | $ 1.8 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q2 2016 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Aug. 15, 2016 | |||
Total Common Dividends Declared | $ 153.1 | |||
Amount of Common Dividends Paid or To Be Paid | 151.6 | |||
Accrued Dividends | [1] | $ 1.5 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q1 2016 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | May 16, 2016 | |||
Total Common Dividends Declared | $ 147.8 | |||
Amount of Common Dividends Paid or To Be Paid | 146.1 | |||
Accrued Dividends | [1] | $ 1.7 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q4 2015 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Feb. 9, 2016 | |||
Total Common Dividends Declared | $ 51.7 | |||
Amount of Common Dividends Paid or To Be Paid | 51 | |||
Accrued Dividends | [1] | $ 0.7 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q3 2015 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Nov. 16, 2015 | |||
Total Common Dividends Declared | $ 51.3 | |||
Amount of Common Dividends Paid or To Be Paid | 51 | |||
Accrued Dividends | [1] | $ 0.3 | ||
Dividends Declared per Share of Common Stock | $ 0.91000 | |||
Dividend Declared, Q2 2015 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | Aug. 17, 2015 | |||
Total Common Dividends Declared | $ 49.2 | |||
Amount of Common Dividends Paid or To Be Paid | 49 | |||
Accrued Dividends | [1] | $ 0.2 | ||
Dividends Declared per Share of Common Stock | $ 0.87500 | |||
Dividend Declared, Q1 2015 [Member] | ||||
Dividends Payable [Line Items] | ||||
Accrued preferred dividends payable date | May 18, 2015 | |||
Total Common Dividends Declared | $ 46.6 | |||
Amount of Common Dividends Paid or To Be Paid | 46.4 | |||
Accrued Dividends | [1] | $ 0.2 | ||
Dividends Declared per Share of Common Stock | $ 0.83000 | |||
[1] | Represents accrued dividends on restricted stock and restricted stock units that are payable upon vesting. |
Partnership Units and Relate123
Partnership Units and Related Matters - Additional Information (Details) | Feb. 17, 2016USD ($)shares | Feb. 27, 2015shares | Feb. 28, 2018USD ($)$ / shares | Jan. 31, 2018USD ($)$ / shares | Dec. 31, 2016USD ($)$ / shares | Oct. 31, 2015USD ($)$ / sharesshares | Mar. 31, 2015USD ($) | Feb. 28, 2015USD ($)shares | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($)shares | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2017USD ($)Distribution$ / sharesshares | Dec. 31, 2016USD ($)$ / shares | Dec. 31, 2015USD ($)shares | Dec. 01, 2016shares | May 31, 2015USD ($) |
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Amount contributed to maintain general partner ownership percentage | $ | $ 6,500,000 | |||||||||||||||||
Ownership interest in Partnership by general partner | 2.00% | 2.00% | ||||||||||||||||
Issuance of common units (in units) | shares | 58,621,036 | 7,377,380 | 7,377,380 | |||||||||||||||
Net proceeds from sale of common units | $ | $ 316,100,000 | |||||||||||||||||
Conversion ratio in stock-for-unit transaction | 0.62 | |||||||||||||||||
Number of shares issued in exchange of common units for common shares to the third party (in shares) | shares | 104,525,775 | |||||||||||||||||
General Partner unit in exchange for the elimination of the IDRs and Special GP Interest | shares | 1,196,346 | |||||||||||||||||
Partners Capital Account Contributions for which common and general partner units were issued | $ | $ 1,191,000,000 | |||||||||||||||||
Limited partner capital contribution allocation percentage | 98.00% | |||||||||||||||||
General partner capital contribution allocation percentage | 2.00% | |||||||||||||||||
Capital contributions to partnership | $ | $ 190,000,000 | $ 1,720,000,000 | ||||||||||||||||
Preferred unit, issued | shares | 5,000,000 | |||||||||||||||||
Preferred stock, par value (in dollar per share) | $ / shares | $ 0.001 | $ 0.001 | $ 0.001 | |||||||||||||||
Distributions from partnership | $ | $ 11,300,000 | $ 150,300,000 | 500,400,000 | |||||||||||||||
Subsequent Event [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Distributions declaration month | 2018-01 | |||||||||||||||||
Distribution declared | $ / shares | $ 0.1875 | |||||||||||||||||
Distributions from partnership | $ | $ 900,000 | |||||||||||||||||
Distributions payable date | Feb. 15, 2018 | |||||||||||||||||
Scenario Forecast [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Distributions declaration month | 2018-02 | |||||||||||||||||
Distribution declared | $ / shares | $ 0.1875 | |||||||||||||||||
Distributions from partnership | $ | $ 900,000 | |||||||||||||||||
Distributions payable date | Mar. 15, 2018 | |||||||||||||||||
General Partner Units [Member] | IDRs [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
General Partner unit in exchange for the elimination of the IDRs and Special GP Interest | shares | 424,590 | |||||||||||||||||
General Partner Units [Member] | Special GP Interest [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
General Partner unit in exchange for the elimination of the IDRs and Special GP Interest | shares | 234,739 | |||||||||||||||||
Series A Cumulative Redeemable Perpetual Preferred Units [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Preferred units, outstanding | shares | 5,000,000 | |||||||||||||||||
Preferred unit, dividend interest rate | 9.00% | |||||||||||||||||
Distribution to preferred unitholders | $ | $ 11,300,000 | $ 11,300,000 | 1,500,000 | |||||||||||||||
Equity Distribution Agreement May 2015 [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Capacity remaining available under shelf agreement | $ | $ 835,600,000 | 835,600,000 | ||||||||||||||||
Equity Distribution Agreement May 2015 [Member] | April 2015 Shelf [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Amount of common units authorized under equity distribution agreement | $ | $ 1,000,000,000 | |||||||||||||||||
Equity Distribution Agreement May 2014 [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Capacity remaining available under shelf agreement | $ | 4,200,000 | $ 4,200,000 | ||||||||||||||||
April 2013 Shelf [Member] | Series A Preferred Units [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Preferred unit, issued | shares | 4,400,000 | |||||||||||||||||
Preferred stock, par value (in dollar per share) | $ / shares | $ 25 | |||||||||||||||||
Number of additional preferred units sold in public offering (in shares) | shares | 600,000 | |||||||||||||||||
Net proceeds received after costs | $ | $ 121,100,000 | |||||||||||||||||
Preferred unit, dividend interest rate | 9.00% | |||||||||||||||||
Atlas Pipeline Partners [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Amount contributed to maintain general partner ownership percentage | $ | $ 52,400,000 | $ 52,400,000 | ||||||||||||||||
Ownership interest in Partnership by general partner | 2.00% | 2.00% | ||||||||||||||||
Reallocation of IDR payments to common unitholders | $ | $ 9,375,000 | $ 9,375,000 | $ 9,375,000 | $ 9,375,000 | ||||||||||||||
Number of quarterly distributions that will be reduced | Distribution | 16 | |||||||||||||||||
Atlas Pipeline Partners [Member] | Distribution Rights First Quarter for 2016 [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Reallocation of IDR payments to common unitholders | $ | $ 6,250,000 | |||||||||||||||||
Atlas Energy [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Acquisition of TRP noncontrolling common interests, net of acquisition costs and deferred income taxes (in shares) | shares | 10,126,532 | |||||||||||||||||
Targa Resources Partners LP [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Conversion ratio in stock-for-unit transaction | 0.62 | |||||||||||||||||
Number of shares exchanged in exchange of common units for common shares to the third party (in shares) | | shares | 168,590,009 | |||||||||||||||||
Common Units [Member] | IDRs [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Issuance of common units (in units) | shares | 20,380,286 | |||||||||||||||||
Common Units [Member] | Special GP Interest [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Issuance of common units (in units) | shares | 11,267,485 | |||||||||||||||||
Common Units [Member] | Atlas Energy [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Acquisition of TRP noncontrolling common interests, net of acquisition costs and deferred income taxes (in shares) | shares | 3,363,935 | |||||||||||||||||
Common Units [Member] | Targa Resources Partners LP [Member] | Atlas Pipeline Partners [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Acquisition of TRP noncontrolling common interests, net of acquisition costs and deferred income taxes (in shares) | shares | 58,614,157 | |||||||||||||||||
Series A Preferred Units due November 1, 2020 [Member] | LIBOR [Member] | ||||||||||||||||||
Limited Partners Capital Account [Line Items] | ||||||||||||||||||
Percentage of variable interest rate for distribution on preferred units upon maturity | 7.71% |
Partnership Units and Relate124
Partnership Units and Related Matters - Summary of Distributions Declared or Paid by the Partnership (Details) - USD ($) $ in Millions | 3 Months Ended | |||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | |
Distributions Declared [Member] | ||||||||||||
Distributions declared or paid by the Partnership [Abstract] | ||||||||||||
Distributions payable date | Feb. 12, 2018 | |||||||||||
Total Distributions | $ 228.5 | |||||||||||
Distributions to Targa Resources Corp. | $ 225.7 | |||||||||||
Distributions Paid [Member] | ||||||||||||
Distributions declared or paid by the Partnership [Abstract] | ||||||||||||
Distributions payable date | Nov. 10, 2017 | Aug. 10, 2017 | May 11, 2017 | Feb. 10, 2017 | Nov. 11, 2016 | Aug. 11, 2016 | May 12, 2016 | Feb. 9, 2016 | Nov. 13, 2015 | Aug. 14, 2015 | May 15, 2015 | |
Total Distributions | $ 225.4 | $ 225.4 | $ 209.6 | $ 198.1 | $ 194.7 | $ 181.7 | $ 157.6 | $ 200.4 | $ 200.4 | $ 200.4 | $ 193.9 | |
Distributions to Targa Resources Corp. | $ 222.6 | $ 222.6 | $ 206.8 | $ 195.3 | $ 191.9 | $ 178.9 | $ 154.8 | $ 61.4 | $ 61.4 | $ 61.4 | $ 59 |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||||||
Earnings Per Share [Abstract] | ||||||||||||||||
Net income | $ 299.2 | $ (155.1) | $ 70.6 | $ (110.5) | $ (140.6) | $ (3.2) | $ (14.6) | $ (0.7) | $ 104.2 | $ (159.1) | $ (151.4) | |||||
Net income (loss) attributable to noncontrolling interests | 50.2 | 28.2 | (209.7) | |||||||||||||
Less: Dividends on preferred stock | 117.4 | 90.8 | ||||||||||||||
Net income (loss) attributable to common shareholders | $ 253.5 | $ (197) | $ 28.4 | $ (148.3) | $ (179.6) | $ (39.4) | $ (52.6) | $ (6.5) | $ (63.4) | $ (278.1) | $ 58.3 | |||||
Weighted average shares outstanding - basic (in shares) | 206.9 | 154.4 | 53.5 | |||||||||||||
Net income available per common share - basic (in dollars per share) | $ 1.17 | $ (0.91) | $ 0.14 | $ (0.77) | $ (0.99) | $ (0.23) | $ (0.33) | $ (0.06) | $ (0.31) | $ (1.80) | $ 1.09 | |||||
Weighted average shares outstanding - basic (in shares) | 206.9 | 154.4 | 53.5 | |||||||||||||
Dilutive effect of common stock equivalents | 0.1 | |||||||||||||||
Weighted average shares outstanding - diluted (in shares) | 206.9 | 154.4 | 53.6 | |||||||||||||
Net income available per common share - diluted (in dollars per share) | $ 1.05 | [1] | $ (0.91) | [1] | $ 0.14 | [1] | $ (0.77) | [1] | $ (0.99) | $ (0.23) | $ (0.33) | $ (0.06) | $ (0.31) | [1] | $ (1.80) | $ 1.09 |
[1] | Include dilutive effects of common stock equivalents in the second quarter of 2017 and fourth quarter of 2017. Dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for the convertible preferred stock. Under the if-converted method, the dividends on the convertible preferred stock are added back to the numerator for the purposes of the diluted earnings per share calculation. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive potential common shares. |
Earnings per Common Share - Sum
Earnings per Common Share - Summary of Potential Common Stock Equivalents Excluded from Determination of Diluted Earnings Per Share (Details) - shares shares in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Unvested Restricted Stock Awards [Member] | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Anti-dilutive shares excluded from the determination of diluted earnings per share (in shares) | 1.2 | 0.6 | 0.1 | |
Warrants to Purchase Common Stock [Member] | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Anti-dilutive shares excluded from the determination of diluted earnings per share (in shares) | 0.1 | 5.8 | ||
Series A Preferred Stock [Member] | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Anti-dilutive shares excluded from the determination of diluted earnings per share (in shares) | [1] | 46.5 | 36.9 | |
[1] | The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock. See Note 12 – Preferred Stock |
Earnings per Common Share - 127
Earnings per Common Share - Summary of Potential Common Stock Equivalents Excluded from Determination of Diluted Earnings Per Share (Parenthetical) (Details) - Series A Preferred Stock [Member] | 12 Months Ended |
Dec. 31, 2017 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | |
Preferred stock redemption premium percentage in sixth year | 10.00% |
Preferred stock redemption premium percentage after sixth year | 5.00% |
Derivative Instruments and H128
Derivative Instruments and Hedging Activities - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 27, 2015 | |
Derivative Line [Items] | ||||
Fair value of derivative assets | $ 102.1 | |||
Estimated fair value of derivative instruments, net liability | $ (38.2) | |||
Amount expected to reclassify commodity hedge related deferred losses to earnings before income taxes | 35.2 | |||
Amount of deferred losses to be reclassified into earnings before income taxes over next twelve months | 39.9 | |||
Targa Resources Partners LP [Member] | Targa Pipeline Partners LP [Member] | ||||
Derivative Line [Items] | ||||
Fair value of derivative assets | $ 102.1 | |||
Fair value of derivative contracts received as component of derivative contract settlement | 26.6 | $ 7.6 | $ 67.9 | |
Ineffectiveness losses | $ (0.2) | $ (0.3) | $ (0.9) |
Derivative Instruments and H129
Derivative Instruments and Hedging Activities - Notional Volumes Of The Partnership's Commodity Derivative Contracts (Details) - Targa Resources Partners LP [Member] | 12 Months Ended |
Dec. 31, 2017MMBTUbbl | |
Year 2018 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 3,790 |
Year 2018 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 166,470 |
Year 2018 [Member] | Swaps [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 19,298 |
Year 2018 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 99,521 |
Year 2018 [Member] | Future [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 466 |
Year 2018 [Member] | Future [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 14,661 |
Year 2018 [Member] | Options [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 691 |
Year 2018 [Member] | Options [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 9,486 |
Year 2018 [Member] | Options [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 2,986 |
Year 2019 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 1,753 |
Year 2019 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 131,506 |
Year 2019 [Member] | Swaps [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 9,889 |
Year 2019 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 12,500 |
Year 2019 [Member] | Future [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 0 |
Year 2019 [Member] | Future [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 329 |
Year 2019 [Member] | Options [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 590 |
Year 2019 [Member] | Options [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 0 |
Year 2019 [Member] | Options [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 410 |
Year 2020 [Member] | Swaps [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2020 [Member] | Swaps [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 0 |
Year 2020 [Member] | Swaps [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 427 |
Year 2020 [Member] | Basis Swaps [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 10,417 |
Year 2020 [Member] | Future [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 0 |
Year 2020 [Member] | Future [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2020 [Member] | Options [Member] | Condensate [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Year 2020 [Member] | Options [Member] | Natural Gas [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in MMBtu per day) | MMBTU | 0 |
Year 2020 [Member] | Options [Member] | NGL [Member] | |
Derivative Line [Items] | |
Notional volumes of commodity hedges (in Bbl per day) | 0 |
Derivative Instruments and H130
Derivative Instruments and Hedging Activities, Fair Values Derivatives, Balance Sheet Location, by Derivative Contract Type (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Derivatives, Fair Value [Line Items] | ||
Derivative assets, Current | $ 37.9 | $ 16.8 |
Derivative assets, Long-term | 23.2 | 5.1 |
Derivative assets | 61.1 | 21.9 |
Derivative liabilities | 99.3 | 75.2 |
Derivative liabilities, Current | 79.7 | 49.1 |
Derivative liabilities, Long-term | 19.6 | 26.1 |
Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 61.1 | 21.8 |
Derivative liabilities | 97.3 | 74.7 |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 78.6 | 48.6 |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-Term Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 18.7 | 26.1 |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 37.9 | 16.7 |
Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-Term Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 23.2 | 5.1 |
Not Designated as Hedging Instrument [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 0 | 0.1 |
Derivative liabilities | 2 | 0.5 |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 1.1 | 0.5 |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-Term Liabilities from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative liabilities | 0.9 | 0 |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Current Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 0 | 0.1 |
Not Designated as Hedging Instrument [Member] | Commodity Contracts [Member] | Long-Term Assets from Risk Management Activities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | $ 0 | $ 0 |
Derivative Instruments and H131
Derivative Instruments and Hedging Activities - Pro Forma Impact Of Offsetting Assets (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative Asset [Abstract] | ||
Gross asset | $ 61.1 | $ 21.9 |
Gross liability | (99.3) | (75.2) |
Derivative assets | 61.1 | 21.9 |
Pro forma net presentation, asset, total | 28.6 | 5.7 |
Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 61.1 | 21.9 |
Gross liability | (92) | (64.8) |
Pro forma net presentation, asset | 28.6 | 5.7 |
Current Assets from Risk Management Activities [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 37.9 | 16.8 |
Pro forma net presentation, asset, current | 13.8 | 5.7 |
Current Assets from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 37.9 | 16.8 |
Pro forma net presentation, asset | 13.8 | 5.7 |
Long-Term Assets from Risk Management Activities [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 23.2 | 5.1 |
Pro forma net presentation, asset, noncurrent | 14.8 | |
Long-Term Assets from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross asset | 23.2 | $ 5.1 |
Pro forma net presentation, asset | $ 14.8 |
Derivative Instruments and H132
Derivative Instruments and Hedging Activities - Pro Forma Impact Of Offsetting Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative Liability [Abstract] | ||
Gross liability | $ (99.3) | $ (75.2) |
Pro forma net presentation, liability, total | (43.9) | (52) |
Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (92) | (64.8) |
Pro forma net presentation, liability, total | (36.6) | (41.6) |
Counterparties without Offsetting Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (7.3) | (10.4) |
Pro forma net presentation, liability, total | (7.3) | (10.4) |
Current Liabilities from Risk Management Activities [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (79.7) | (49.1) |
Pro forma net presentation, liability, current | (32.7) | (31) |
Current Liabilities from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (74.7) | (46.1) |
Pro forma net presentation, liability, current | (27.7) | (28) |
Current Liabilities from Risk Management Activities [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (5) | (3) |
Pro forma net presentation, liability, current | (5) | (3) |
Long-Term Liabilities from Risk Management Activities [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (19.6) | (26.1) |
Pro forma net presentation, liability, noncurrent | (11.2) | (21) |
Long-Term Liabilities from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (17.3) | (18.7) |
Pro forma net presentation, liability, noncurrent | (8.9) | (13.6) |
Long-Term Liabilities from Risk Management Activities [Member] | Counterparties without Offsetting Position [Member] | ||
Derivative Liability [Abstract] | ||
Gross liability | (2.3) | (7.4) |
Pro forma net presentation, liability, noncurrent | $ (2.3) | $ (7.4) |
Derivative Instruments and H133
Derivative Instruments and Hedging Activities, Pro Forma Impact - Offsetting Collateral (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative Asset [Abstract] | ||
Gross collateral | $ 22.9 | $ 7 |
Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | 22.9 | 7 |
Current Assets from Risk Management Activities [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | 22.9 | 7 |
Current Assets from Risk Management Activities [Member] | Counterparties with Offsetting Positions or Collateral [Member] | ||
Derivative Asset [Abstract] | ||
Gross collateral | $ 22.9 | $ 7 |
Derivative Instruments and H134
Derivative Instruments and Hedging Activities - Amounts Included in OCI, Income and AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) reclassified from OCI into income (effective portion) | $ (44.6) | $ 45 | $ 86.3 |
Commodity Contracts [Member] | Revenues [Member] | Not Designated as Hedging Instrument [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized in income on derivatives | (5.1) | 0.9 | (5.7) |
Cash Flow Hedging [Member] | Commodity Contracts [Member] | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (loss) recognized in OCI on derivatives (effective portion) | $ (28.8) | $ (103.6) | $ 112.7 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2017USD ($)Swap | |
Fair Value Disclosures [Abstract] | |
Derivative financial instruments, fair value, net | $ (38.2) |
Derivative fair value of net liability if commodity price increases by 10 percent | 127.5 |
Derivative fair value of net asset if commodity price decreases by 10 percent | $ 51.1 |
Number of natural gas basis swaps categorized as Level 3 | Swap | 14 |
Fair Value Measurements - Break
Fair Value Measurements - Breakdown by Fair Value Hierarchy Category for Financial Instruments (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | $ 28.6 | $ 5.7 | |
Liabilities from commodity derivative contracts | 43.9 | 52 | |
Carrying Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 60.3 | 21 |
Liabilities from commodity derivative contracts | [1] | 98.5 | 74.2 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 137.2 | 73.5 | |
Carrying Value [Member] | TRC Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 435 | 275 | |
Carrying Value [Member] | Senior Secured Term Loan [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 157.8 | |
Carrying Value [Member] | TRP Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 20 | 150 | |
Carrying Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 350 | 275 | |
Carrying Value [Member] | Senior Unsecured Notes [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 4,278 | 4,057.3 | |
Carrying Value [Member] | Outrigger Permian Acquisition | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 317 | 0 |
Carrying Value [Member] | Targa Pipeline Partners LP [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [3] | 2.4 | 2.6 |
Fair Value [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 60.3 | 21 |
Liabilities from commodity derivative contracts | [1] | 98.5 | 74.2 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 137.2 | 73.5 | |
Fair Value [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 0 | 0 |
Liabilities from commodity derivative contracts | [1] | 0 | 0 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 0 | 0 | |
Fair Value [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 58.8 | 19.6 |
Liabilities from commodity derivative contracts | [1] | 93.3 | 69.3 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 0 | 0 | |
Fair Value [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Assets from commodity derivative contracts | [1] | 1.5 | 1.4 |
Liabilities from commodity derivative contracts | [1] | 5.2 | 4.9 |
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Cash and cash equivalents | 0 | 0 | |
Fair Value [Member] | TRC Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 435 | 275 | |
Fair Value [Member] | TRC Revolver [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | TRC Revolver [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 435 | 275 | |
Fair Value [Member] | TRC Revolver [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Senior Secured Term Loan [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 158.4 | |
Fair Value [Member] | Senior Secured Term Loan [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Senior Secured Term Loan [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 158.4 | |
Fair Value [Member] | Senior Secured Term Loan [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | TRP Revolver [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 20 | 150 | |
Fair Value [Member] | TRP Revolver [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | TRP Revolver [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 20 | 150 | |
Fair Value [Member] | TRP Revolver [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 350 | 275 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 350 | 275 | |
Fair Value [Member] | Partnership's Accounts Receivable Securitization Facility [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Senior Unsecured Notes [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 4,362.4 | 4,101.6 | |
Fair Value [Member] | Senior Unsecured Notes [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Senior Unsecured Notes [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 4,362.4 | 4,101.6 | |
Fair Value [Member] | Senior Unsecured Notes [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Carrying Value [Abstract] | |||
Long-term debt | 0 | 0 | |
Fair Value [Member] | Outrigger Permian Acquisition | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 317 | 0 |
Fair Value [Member] | Outrigger Permian Acquisition | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 0 | 0 |
Fair Value [Member] | Outrigger Permian Acquisition | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 0 | 0 |
Fair Value [Member] | Outrigger Permian Acquisition | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [2] | 317 | 0 |
Fair Value [Member] | Targa Pipeline Partners LP [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [3] | 2.4 | 2.6 |
Fair Value [Member] | Targa Pipeline Partners LP [Member] | Level 1 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [3] | 0 | 0 |
Fair Value [Member] | Targa Pipeline Partners LP [Member] | Level 2 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [3] | 0 | 0 |
Fair Value [Member] | Targa Pipeline Partners LP [Member] | Level 3 [Member] | |||
Financial Instruments Recorded on Our Consolidated Balance Sheets at Fair Value [Abstract] | |||
Additional cash paid in potential earn-out payment | [3] | $ 2.4 | $ 2.6 |
[1] | The fair value of derivative contracts in this table is presented on a different basis than the Consolidated Balance Sheets presentation as disclosed in Note 16 – Derivative Instruments and Hedging Activities. The above fair values reflect the total value of each derivative contract taken as a whole, whereas the Consolidated Balance Sheets presentation is based on the individual maturity dates of estimated future settlements. As such, an individual contract could have both an asset and liability position when segregated into its current and long-term portions for Consolidated Balance Sheets classification purposes. | ||
[2] | We have a contingent consideration liability related to the Permian Acquisition, which is carried at fair value. See Note 4 – Acquisitions and Divestitures | ||
[3] | We have a contingent consideration liability for TPL’s previous acquisition of a gas gathering system and related assets, which is carried at fair value. |
Fair Value Measurements - Chang
Fair Value Measurements - Changes in Fair Value of Financial Instruments Classified as Level 3 (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2017USD ($) | ||
Contingent Liability [Member] | ||
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | ||
Balance, beginning of period | $ (2.6) | |
New Level 3 derivative instruments | 0 | |
Transfers out of Level 3 | 0 | [1] |
Settlements included in Revenue | 0 | |
Unrealized gain/(loss) included in OCI | 0 | |
Balance, end of period | (319.4) | |
Targa Pipeline Partners LP [Member] | Contingent Liability [Member] | ||
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | ||
Change in fair value of contingent consideration | 0.2 | |
Permian Acquisition [Member] | Contingent Liability [Member] | ||
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | ||
Change in fair value of contingent consideration | (317) | [2] |
Commodity Derivative Contracts Asset/(Liability) [Member] | ||
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | ||
Balance, beginning of period | (3.6) | |
New Level 3 derivative instruments | (0.2) | |
Transfers out of Level 3 | 4.2 | [1] |
Settlements included in Revenue | 0 | |
Unrealized gain/(loss) included in OCI | (4.2) | |
Balance, end of period | (3.8) | |
Commodity Derivative Contracts Asset/(Liability) [Member] | Targa Pipeline Partners LP [Member] | ||
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | ||
Change in fair value of contingent consideration | 0 | |
Commodity Derivative Contracts Asset/(Liability) [Member] | Permian Acquisition [Member] | ||
Changes in fair value of financial instruments classified as Level 3 in fair value hierarchy [Roll Forward] | ||
Change in fair value of contingent consideration | $ 0 | [2] |
[1] | Transfers relate to long-term over-the-counter swaps for NGL products for which observable market prices became available for substantially their full term. | |
[2] | Represents the December 31, 2017 balance of the contingent consideration that arose as part of the Permian Acquisition in the first quarter of 2017. See Note 4 – Acquisitions and Divestitures for discussion of the initial fair value. |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Gulf Coast Fractionators LP [Member] | |||
Related Party Transaction [Line Items] | |||
Revenues from transactions with related party | $ 0.3 | $ 0.4 | $ 0.5 |
Costs and expenses from transactions with related party | 4.4 | 3.2 | 5.8 |
T2 Eagle Ford [Member] | |||
Related Party Transaction [Line Items] | |||
Revenues from transactions with related party | 2 | 4.6 | 4.4 |
Costs and expenses from transactions with related party | 3.1 | 3.2 | 3 |
Cost of sales attributable to related party | 1.1 | 2.6 | 4 |
Amount payable to related parties | 0.3 | ||
Amount charged to related parties for service. | 0.2 | ||
T2 EF Cogen [Member] | |||
Related Party Transaction [Line Items] | |||
Revenues from transactions with related party | 0.1 | 0.6 | 1.4 |
T2 LaSalle [Member] | |||
Related Party Transaction [Line Items] | |||
Costs and expenses from transactions with related party | 0.7 | 0.8 | 1.3 |
SAJET Resources LLC [Member] | |||
Related Party Transaction [Line Items] | |||
Amount charged to related parties for service. | 0.3 | 0.5 | 1.1 |
Tesla Resources LLC [Member] | |||
Related Party Transaction [Line Items] | |||
Amount charged to related parties for service. | $ 0.1 | $ 0.1 | $ 0.2 |
Commitments (Leases) (Details)
Commitments (Leases) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Future lease obligations in aggregate and for each of the next five fiscal years [Abstract] | ||||
In Aggregate | $ 57.1 | |||
2,018 | 15.8 | |||
2,019 | 10.5 | |||
2,020 | 10.7 | |||
2,021 | 10.1 | |||
2,022 | 10 | |||
Total expenses on lease obligations including short-term leases of compressors and equipment | 54.8 | $ 53.3 | $ 50.2 | |
Operating Leases [Member] | ||||
Future lease obligations in aggregate and for each of the next five fiscal years [Abstract] | ||||
In Aggregate | [1] | 42.5 | ||
2,018 | [1] | 12.6 | ||
2,019 | [1] | 7.5 | ||
2,020 | [1] | 7.9 | ||
2,021 | [1] | 7.3 | ||
2,022 | [1] | 7.2 | ||
Total expenses on lease obligations including short-term leases of compressors and equipment | [2] | 49.6 | 48.9 | 46 |
Land Site Lease and Rights-of-Way [Member] | ||||
Future lease obligations in aggregate and for each of the next five fiscal years [Abstract] | ||||
In Aggregate | [3] | 14.6 | ||
2,018 | [3] | 3.2 | ||
2,019 | [3] | 3 | ||
2,020 | [3] | 2.8 | ||
2,021 | [3] | 2.8 | ||
2,022 | [3] | 2.8 | ||
Total expenses on lease obligations including short-term leases of compressors and equipment | $ 5.2 | $ 4.4 | $ 4.2 | |
[1] | Includes minimum payments on lease obligations for office space, railcars and tractors. | |||
[2] | Includes short-term leases for items such as compressors and equipment. | |||
[3] | Land site lease and rights of way provides for surface and underground access for gathering, processing and distribution assets that are located on property not owned by us. These agreements expire at various dates, with varying terms, some of which are perpetual. |
Significant Risks and Uncert140
Significant Risks and Uncertainties (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Concentration Risk [Line Items] | ||
Reduction of maximum loss due to counterparty credit risk by master netting provision | $ 61.1 | |
Allowance for doubtful accounts | 0.1 | $ 0.9 |
Maximum [Member] | ||
Concentration Risk [Line Items] | ||
Potential loss attributable to individual counterparties | 22 | |
Minimum [Member] | ||
Concentration Risk [Line Items] | ||
Potential loss attributable to individual counterparties | $ 0.6 |
Other Operating (Income) Exp141
Other Operating (Income) Expense (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Other Income And Expenses [Abstract] | ||||
(Gain) loss on sale or disposition of assets | [1] | $ 15.9 | $ 6.1 | $ (8) |
Casualty (gain) loss | (0.2) | |||
Miscellaneous business tax | 0.8 | 0.5 | 0.5 | |
Other | 0.7 | 0.6 | ||
Total other operating (income) expense | $ 17.4 | $ 6.6 | $ (7.1) | |
[1] | Comprised primarily of a $16.1 million loss in 2017 due to the reduction in the carrying value of our ownership interest in VGS in connection with the April 4, 2017 sale. |
Other Operating (Income) Exp142
Other Operating (Income) Expense (Parenthetical) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Other Operating Income Expense [Line Items] | ||||
(Gain) loss on sale or disposition of assets | [1] | $ 15.9 | $ 6.1 | $ (8) |
Venice Gathering System, L.L.C. [Member] | Not Qualify as Discontinued Operations [Member] | ||||
Other Operating Income Expense [Line Items] | ||||
(Gain) loss on sale or disposition of assets | $ 16.1 | |||
[1] | Comprised primarily of a $16.1 million loss in 2017 due to the reduction in the carrying value of our ownership interest in VGS in connection with the April 4, 2017 sale. |
Income Taxes - Components of Fe
Income Taxes - Components of Federal and State Income Tax Provisions (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income tax (expense) benefit: | |||
Current expense (benefit) | $ (4.4) | $ (62.8) | $ 15 |
Deferred expense (benefit) | (392.7) | (37.8) | 24.6 |
Total income tax expense (benefit) | $ (397.1) | $ (100.6) | $ 39.6 |
Income Taxes - Components of De
Income Taxes - Components of Deferred Income Tax Assets and Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | |
Deferred tax assets: | |||
Net operating loss | $ 278.1 | $ 101.2 | |
Tax credits | 0 | 3.9 | |
Other | 2.7 | 3.5 | |
Deferred tax assets before valuation allowance | 280.8 | 108.6 | |
Valuation allowance | (2.7) | (3.5) | |
Deferred tax assets | 278.1 | 105.1 | |
Deferred tax liabilities: | |||
Investments | [1] | (768.9) | (1,002.6) |
Property, plant, and equipment | (16.4) | (25.3) | |
Other | 28.2 | (18.4) | |
Deferred tax liabilities | (757.1) | (1,046.3) | |
Net deferred tax asset (liability) | (479) | (941.2) | |
Net deferred tax asset (liability) | |||
Federal | (386.1) | (833.2) | |
Foreign | 0.6 | 0.6 | |
State | (93.5) | (108.6) | |
Net deferred tax asset (liability) | $ (479) | $ (941.2) | |
[1] | Our deferred tax liability attributable to investments reflects the differences between the book and tax carrying values of our investment in the Partnership. |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) | Feb. 16, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Operating Loss Carryforwards [Line Items] | |||||
Tax basis statutory rate | 35.00% | 35.00% | 35.00% | ||
Discrete deferred income tax expense (benefit) net, due to impact of tax act | $ (269,500,000) | ||||
Reclassification of alternative minimum tax credits from deferred tax assets to long term assets | 4,200,000 | ||||
Provisional deferred tax expense (benefit) | (269,500,000) | ||||
Provisional tax depreciation expense | 1,900,000,000 | ||||
Net operating loss carryforwards | 1,300,000,000 | ||||
Uncertain tax reserves | 0 | ||||
TPL Arkoma, Inc [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Net operating loss carryforwards | 53,000,000 | ||||
Targa Resources Partners LP [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax basis statutory rate | 37.34% | ||||
Transferred stock with fair market value | 1,800,000,000 | ||||
Liabilities assumed | 5,400,000,000 | ||||
Initial purchase price | $ 7,300,000,000 | ||||
Investment deferred tax liability | $ 865,000,000 | ||||
Deferred tax liabilities computed over book basis | 4,100,000,000 | ||||
Deferred tax liabilities excess over tax basis | $ 1,800,000,000 | ||||
Maximum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax effects measurement period under tax act | 1 year | ||||
Operating loss carryforwards expiry date | Dec. 31, 2037 | ||||
Maximum [Member] | TPL Arkoma, Inc [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Operating loss carryforwards expiry date | Dec. 31, 2037 | ||||
Minimum [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Operating loss carryforwards expiry date | Dec. 31, 2036 | ||||
Minimum [Member] | TPL Arkoma, Inc [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Operating loss carryforwards expiry date | Dec. 31, 2029 | ||||
Scenario Forecast [Member] | |||||
Operating Loss Carryforwards [Line Items] | |||||
Tax basis statutory rate | 21.00% |
Income Taxes - Income Tax Recon
Income Taxes - Income Tax Reconciliation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income tax reconciliation: | |||
Income (loss) before income taxes | $ (292.9) | $ (259.7) | $ (111.8) |
Less: Net income attributable to noncontrolling interest | (50.2) | (28.2) | 209.7 |
Less: TPL Arkoma, Inc. income to TRC | 0 | 0.8 | 0.5 |
Less: Income taxes included in noncontrolling interest | 0 | 0 | (0.6) |
Income attributable to TRC (excluding TPL Arkoma, Inc.) before income taxes | (343.1) | (287.1) | 97.8 |
Income from TPL Arkoma, Inc. | 0 | (0.8) | (7.6) |
Income attributable to TRC and TPL Arkoma, Inc. before income taxes | $ (343.1) | $ (287.9) | $ 90.2 |
Federal statutory income tax rate | 35.00% | 35.00% | 35.00% |
Provision for federal income taxes | $ (120.1) | $ (100.8) | $ 31.6 |
State income taxes, net of federal tax benefit | (11.7) | (6.1) | 3.5 |
Amortization of deferred charge on 2010 transactions | 0 | 4.7 | 4.7 |
Tax reform rate change | (269.5) | 0 | 0 |
Other, net | 4.2 | 1.6 | (0.2) |
Total income tax expense (benefit) | $ (397.1) | $ (100.6) | $ 39.6 |
Supplemental Cash Flow Infor147
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | Mar. 01, 2017 | Feb. 27, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash: | ||||||
Interest paid, net of capitalized interest | [1] | $ 212.2 | $ 282 | $ 214.1 | ||
Income taxes paid, net of refunds | (67.5) | (10.6) | 12.6 | |||
Non-cash investing activities: | ||||||
Deadstock commodity inventory transferred to property, plant and equipment | 9 | 17.4 | 1.2 | |||
Impact of capital expenditure accruals on property, plant and equipment | 205.4 | 27.6 | 43.8 | |||
Transfers from materials and supplies inventory to property, plant and equipment | 3.6 | 2.4 | 3.7 | |||
Contribution of property, plant and equipment to investments in unconsolidated affiliates | 1 | |||||
Change in ARO liability and property, plant and equipment due to revised cash flow estimate | 3.1 | (9.1) | 3.8 | |||
Deferred revenue related to property, plant and equipment received under contract amendment | 22.6 | |||||
Non-cash financing activities: | ||||||
Reduction of Owner's Equity related to accrued dividends on unvested equity awards under share compensation arrangements | 9.7 | 8.7 | 1.6 | |||
Debt additions and retirements related to exchange of TRP 6⅝% Notes for 6⅝% TPL Notes | 342.1 | |||||
Allocation of Series A Preferred Stock net book value of BCF to additional paid-in capital | 614.4 | 614.4 | ||||
Change in accrued dividends of Series A Preferred Stock | 0.9 | |||||
Accrued dividends of Series A Preferred Stock | 22.9 | 22.9 | ||||
Accretion of deemed dividends on Series A Preferred Stock | 25.7 | 18.2 | ||||
Transfer within additional paid-in capital for exercise of Warrants | 181.5 | |||||
Impact of accounting standard adoption recorded in retained earnings | 56.1 | |||||
Non-cash balance sheet movements related to the purchase of noncontrolling interests in subsidiary (See Note 4 - Acquisitions and Divestitures): | ||||||
Additional paid-in capital | (13.9) | 65 | ||||
Deferred tax liability | 13.9 | |||||
Noncontrolling interests | (65) | |||||
Additional paid-in capital | 0.3 | 3,207.5 | ||||
Accumulated other comprehensive income | 55.8 | |||||
Noncontrolling interests | (4,119.7) | |||||
Deferred tax liability | (0.3) | $ 856.3 | ||||
Non-cash balance sheet movements related to the Atlas Merger (See Note 4 - Acquisitions and Divestitures): | ||||||
Non-cash merger consideration - common units and replacement equity awards | 2,436.1 | |||||
Non-cash merger consideration - common shares and replacement equity awards | 1,013.7 | |||||
Consideration transferred equity interests issued and issuable | 3,449.8 | |||||
Net cash merger consideration included in investing activities | $ 745.7 | 570.8 | 1,574.4 | |||
Total fair value of consideration transferred | $ 5,024.2 | |||||
Permian Acquisition [Member] | ||||||
Non-cash balance sheet movements related to the Permian Acquisition (See Note 4 - Acquisitions and Divestitures): | ||||||
Potential earn-out payments of acquisition date fair value | $ 461.6 | $ 416.3 | ||||
Non-cash balance sheet movements related to the Atlas Merger (See Note 4 - Acquisitions and Divestitures): | ||||||
Net cash merger consideration included in investing activities | $ 570.8 | |||||
[1] | Interest capitalized on major projects was $14.3 million, $8.3 million and $13.2 million for the years ended December 31, 2017, 2016 and 2015. |
Supplemental Cash Flow Infor148
Supplemental Cash Flow Information (Parenthetical) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | |||
Interest capitalized on major projects | $ 14.3 | $ 8.3 | $ 13.2 |
Targa Resources Partners LP [Member] | Senior Unsecured 6 5/8% Notes due October 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate on fixed rate debt | 6.625% | ||
Targa Pipeline Partners LP [Member] | Senior Unsecured 6 5/8% Notes due October 2020 [Member] | |||
Debt Instrument [Line Items] | |||
Interest rate on fixed rate debt | 6.625% |
Compensation Plans - Additional
Compensation Plans - Additional Information (Details) $ / shares in Units, $ in Millions | Feb. 17, 2016USD ($)Employeeshares | Jan. 31, 2018shares | Mar. 31, 2016USD ($) | Dec. 31, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($)$ / sharesshares | Dec. 31, 2015USD ($)$ / sharesshares | May 31, 2017shares |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Conversion ratio in stock-for-unit transaction | 0.62 | ||||||
Compensation costs | $ | $ 44.2 | $ 41.2 | $ 22.8 | ||||
Weighted average recognition period for unrecognized compensation cost | 2 years 7 months 6 days | ||||||
Unrecognized compensation expense | $ | $ 81.5 | ||||||
Employer matching contribution percent | 100.00% | ||||||
Percentage of employees' gross pay for which employer contributes matching contribution | 5.00% | ||||||
Percentage of additional contribution per employee made by employer | 3.00% | ||||||
Percentage of contributions made in cash | 100.00% | ||||||
Contributions to defined contribution plan | $ | $ 16.5 | 14.4 | $ 13.8 | ||||
Accounting Standard Update 2016-09 [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Tax deficiencies of dividends on share-based compensation recognized as income tax expenses | $ | $ 3.1 | $ 0.5 | |||||
Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Conversion ratio in stock-for-unit transaction | 0.62 | ||||||
Restricted Stock Units (RSUs) [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 0 | 331,282 | |||||
Vesting period of original term | 3 years | ||||||
Granted (in dollars per shares) | $ / shares | $ 74.01 | ||||||
Outstanding shares before conversion | 497,947 | 700,402 | |||||
Restricted Stock Units (RSUs) [Member] | Non Executives Cash Bonus [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 310,809 | ||||||
Performance Units [Member] | Targa Resources Partners LP [Member] | Award Granted in December 2013 [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Performance period | 3 years | ||||||
Performance Units [Member] | Vesting Term One [Member] | Targa Resources Partners LP [Member] | Award Granted in December 2013 [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Performance period | 2 years | ||||||
Performance Units [Member] | Vesting Term Two [Member] | Targa Resources Partners LP [Member] | Award Granted in December 2013 [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Performance period | 3 years | ||||||
Performance Units [Member] | Vesting Term Three [Member] | Targa Resources Partners LP [Member] | Award Granted in December 2013 [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Performance period | 4 years | ||||||
Phantom Units [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 25,162 | ||||||
Granted (in dollars per shares) | $ / shares | $ 36.87 | ||||||
Phantom Units [Member] | Minimum [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 1 year | ||||||
Phantom Units [Member] | Maximum [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 5 years | ||||||
Phantom Unit Awards [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Outstanding shares before conversion | 349,541 | ||||||
Converted outstanding shares | 216,561 | ||||||
Phantom Unit Awards [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 629,231 | ||||||
Granted (in dollars per shares) | $ / shares | $ 43.82 | ||||||
Repayment period of cash distribution | 60 days | ||||||
Phantom Unit Awards [Member] | Vesting Term One [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 4 years | ||||||
Vesting percentage original term | 25.00% | ||||||
Phantom Unit Awards [Member] | Vesting Term One [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 4 years | ||||||
Vesting percentage original term | 25.00% | ||||||
Phantom Unit Awards [Member] | Vesting Term Two [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 3 years | ||||||
Vesting percentage original term | 33.00% | ||||||
Phantom Unit Awards [Member] | Vesting Term Two [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 3 years | ||||||
Vesting percentage original term | 33.00% | ||||||
Equity-Settled Performance Units [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Outstanding shares before conversion | 675,745 | ||||||
Converted outstanding shares | 418,906 | ||||||
Equity-Settled Performance Units [Member] | General and Administrative Expense [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Compensation costs | $ | $ 3.9 | ||||||
Cash-Settled Performance Units [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Compensation costs | $ | $ 4.8 | ||||||
Cash-Settled Performance Units [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Liability award | 451,990 | ||||||
Cash-Settled Restricted Stock Units [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Outstanding shares before conversion | 112,550 | 189,295 | |||||
Weighted average recognition period for unrecognized compensation cost | 6 months | ||||||
2010 TRC Stock Incentive Plan [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Total number of units authorized (in shares) | 15,000,000 | ||||||
Total number of units available (in shares) | 5,000,000 | ||||||
Total number of additional units available (in shares) | 10,000,000 | ||||||
Vested in Period, Fair Value | $ | $ 16.9 | $ 19.8 | $ 31.8 | ||||
Cash dividends paid for the vested awards | $ | $ 2.5 | $ 2.7 | 1.9 | ||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock In Lieu Of Salary [Member] | Two Executives [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 0 | 32,267 | |||||
Granted (in dollars per shares) | $ / shares | $ 41.43 | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Recognized tax benefits | $ | $ 1.1 | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock [Member] | Two Executives [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 1 year | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock [Member] | Outside Directors [Member] | Subsequent Event [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 16,184 | ||||||
Vesting date of awards | 2019-01 | ||||||
2010 TRC Stock Incentive Plan [Member] | Director Grants [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 13,818 | 24,234 | 6,429 | ||||
Granted (in dollars per shares) | $ / shares | $ 60.48 | $ 16.45 | $ 86.49 | ||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 1,193,942 | 1,129,705 | 140,477 | ||||
Granted (in dollars per shares) | $ / shares | $ 54.18 | $ 27.87 | $ 83.54 | ||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Minimum [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 1 year | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Maximum [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period of original term | 5 years | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Executive Management [Member] | 2018 Compensation Cycle [Member] | Subsequent Event [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 80,000 | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Executive Management [Member] | 2018 Compensation Cycle [Member] | Third Year [Member] | Subsequent Event [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 192,598 | ||||||
Vesting date of awards | 2021-01 | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Executive Management [Member] | 2018 Compensation Cycle [Member] | December 2018 [Member] | Subsequent Event [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Awards vesting percentage | 50.00% | ||||||
Vesting date of awards | 2018-12 | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member] | Executive Management [Member] | 2018 Compensation Cycle [Member] | December 2019 [Member] | Subsequent Event [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Awards vesting percentage | 50.00% | ||||||
Vesting date of awards | 2019-12 | ||||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock In Lieu Of Bonus [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 84,221 | 153,252 | |||||
Vesting period of original term | 3 years | ||||||
Granted (in dollars per shares) | $ / shares | $ 55.94 | $ 26.34 | |||||
2010 TRC Stock Incentive Plan [Member] | Restricted Stock In Lieu Of Bonus [Member] | Executive Management [Member] | 2018 Compensation Cycle [Member] | Subsequent Event [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 112,438 | ||||||
Vesting date of awards | 2021-01 | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 113,901 | ||||||
Vesting period of original term | 3 years | ||||||
Granted (in dollars per shares) | $ / shares | $ 99.71 | ||||||
Expected term of grant date fair value | 3 years | ||||||
Outstanding shares before conversion | 113,901 | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | First Year [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Awards vesting percentage | 25.00% | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | Second Year [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Awards vesting percentage | 25.00% | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | Third Year [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Awards vesting percentage | 25.00% | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | Entirety of Performance Period [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Awards vesting percentage | 25.00% | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | 2018 Compensation Cycle [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 113,901 | ||||||
Vesting date | Dec. 31, 2019 | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | Minimum [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Guideline performance percentage based on total shareholder return | 0.00% | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | Maximum [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Guideline performance percentage based on total shareholder return | 250.00% | ||||||
2010 TRC Stock Incentive Plan [Member] | Performance Units [Member] | Executive Management [Member] | 2018 Compensation Cycle [Member] | Subsequent Event [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in shares) | 182,849 | ||||||
Vesting date of awards | 2020-12 | ||||||
TRC Equity Compensation Plan [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Termination date | Feb. 7, 2017 | ||||||
Partnership Long-term Incentive Plan [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Total number of units authorized (in shares) | 1,680,000 | ||||||
Number of employees affected, total | Employee | 363 | ||||||
Partnership Long-term Incentive Plan [Member] | Performance Units [Member] | Targa Resources Partners LP [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in dollars per shares) | $ / shares | 34.48 | ||||||
Director Grants And Incentive Plan [Member] | Director Grants [Member] | Non-Management Directors [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Granted (in dollars per shares) | $ / shares | $ 10.11 | $ 44.67 | |||||
Vested in Period, Fair Value | $ | $ 0.3 | $ 0.5 | |||||
TRC Long-term Incentive Plan [Member] | Cash-Settled Restricted Stock Units [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Converted outstanding shares | 279,964 | ||||||
Cash settled for awards | $ | $ 4.1 | $ 4.8 | $ 7.8 |
Compensation Plans - 2010 TRC S
Compensation Plans - 2010 TRC Stock Incentive Plan (Details) - 2010 TRC Stock Incentive Plan [Member] - Restricted Stock and Restricted Stock Units [Member] | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Nonvested, number of shares [Roll Forward] | |
Outstanding, beginning of period (in shares) | shares | 1,368,250 |
Granted (in shares) | shares | 1,207,760 |
Forfeited (in shares) | shares | (16,330) |
Vested (in shares) | shares | (130,882) |
Outstanding, end of period (in shares) | shares | 2,428,798 |
Weighted-average grant-date fair value [Roll Forward] | |
Outstanding, beginning period (in dollars per share) | $ / shares | $ 38.10 |
Granted (in dollars per shares) | $ / shares | 54.25 |
Forfeited (in dollars per share) | $ / shares | 47.35 |
Vested (in dollars per share) | $ / shares | 80.47 |
Outstanding, end of period (in dollars per share) | $ / shares | $ 43.78 |
Compensation Plans - Summary of
Compensation Plans - Summary of Performance Share Units Under 2010 TRC Stock Incentive Plan (Details) - 2010 TRC Stock Incentive Plan [Member] - Performance Share Units [Member] | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Nonvested, number of shares [Roll Forward] | |
Outstanding, beginning of period (in shares) | shares | |
Granted (in shares) | shares | 113,901 |
Outstanding, end of period (in shares) | shares | 113,901 |
Weighted-average grant-date fair value [Roll Forward] | |
Outstanding, beginning period (in dollars per share) | $ / shares | |
Granted (in dollars per shares) | $ / shares | $ 99.71 |
Outstanding, end of period (in dollars per share) | $ / shares | $ 99.71 |
Compensation Plans - Summary152
Compensation Plans - Summary of Restricted Stock Units (Details) - Restricted Stock Units (RSUs) [Member] | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Nonvested, number of shares [Roll Forward] | |
Outstanding, beginning of period (in shares) | shares | 700,402 |
Forfeited (in shares) | shares | (16,416) |
Vested (in shares) | shares | (186,039) |
Outstanding, end of period (in shares) | shares | 497,947 |
Weighted-average grant-date fair value [Roll Forward] | |
Outstanding, beginning period (in dollars per share) | $ / shares | $ 51.52 |
Forfeited (in dollars per share) | $ / shares | 31.74 |
Vested (in dollars per share) | $ / shares | 90.82 |
Outstanding, end of period (in dollars per share) | $ / shares | $ 40.54 |
Compensation Plans - TRC LTIP,
Compensation Plans - TRC LTIP, Cash-Settled Restricted Stock Units (Details) - Cash-Settled Restricted Stock Units [Member] | 12 Months Ended |
Dec. 31, 2017USD ($)shares | |
Nonvested, number of shares [Roll Forward] | |
Outstanding, beginning of period (in shares) | 189,295 |
Vested (in shares) | (72,935) |
Forfeited (in shares) | (3,810) |
Outstanding, end of period (in shares) | 112,550 |
Calculated fair market value as of period end | $ | $ 6,670,957 |
Current liability | $ | 5,473,782 |
Liability as of year end | $ | 5,473,782 |
To be recognized in future periods | $ | $ 1,197,175 |
2014 Long-term Incentive Plan [Member] | |
Nonvested, number of shares [Roll Forward] | |
Outstanding, beginning of period (in shares) | 72,979 |
Vested (in shares) | (71,752) |
Forfeited (in shares) | (1,227) |
Vesting date | Jun. 30, 2017 |
2015 Long-term Incentive Plan [Member] | |
Nonvested, number of shares [Roll Forward] | |
Outstanding, beginning of period (in shares) | 116,316 |
Vested (in shares) | (1,183) |
Forfeited (in shares) | (2,583) |
Outstanding, end of period (in shares) | 112,550 |
Calculated fair market value as of period end | $ | $ 6,670,957 |
Current liability | $ | 5,473,782 |
Liability as of year end | $ | 5,473,782 |
To be recognized in future periods | $ | $ 1,197,175 |
Vesting date | Jun. 30, 2018 |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2017Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Segment Information Revenues an
Segment Information Revenues and Operating Margin (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues: | |||||||||||
Sales of commodities | $ 7,751.1 | $ 5,626.8 | $ 5,465.4 | ||||||||
Fees from midstream services | 1,063.8 | 1,064.1 | 1,193.2 | ||||||||
Revenues | $ 2,702.8 | $ 2,131.8 | $ 1,867.7 | $ 2,112.6 | $ 2,012.6 | $ 1,652.3 | $ 1,583.6 | $ 1,442.4 | 8,814.9 | 6,690.9 | 6,658.6 |
Operating margin | 1,285.9 | 1,214.3 | 1,281 | ||||||||
Gathering and Processing [Member] | |||||||||||
Revenues: | |||||||||||
Revenues | 4,508.8 | 3,240.7 | 3,047.5 | ||||||||
Operating margin | 783.8 | 577.1 | 515.1 | ||||||||
Logistics and Marketing [Member] | |||||||||||
Revenues: | |||||||||||
Revenues | 7,826.7 | 5,794.5 | 4,888.6 | ||||||||
Operating margin | 511.8 | 574.4 | 681.7 | ||||||||
Other Segment [Member] | |||||||||||
Revenues: | |||||||||||
Revenues | (9.6) | 62.9 | 84.2 | ||||||||
Operating margin | (9.6) | 62.9 | 84.2 | ||||||||
Corporate and Eliminations [Member] | |||||||||||
Revenues: | |||||||||||
Revenues | (3,511) | (2,407.2) | (1,361.7) | ||||||||
Operating margin | (0.1) | (0.1) | |||||||||
Operating Segments [Member] | |||||||||||
Revenues: | |||||||||||
Sales of commodities | 7,751.1 | 5,626.8 | 5,465.4 | ||||||||
Fees from midstream services | 1,063.8 | 1,064.1 | 1,193.2 | ||||||||
Revenues | 8,814.9 | 6,690.9 | 6,658.6 | ||||||||
Operating Segments [Member] | Gathering and Processing [Member] | |||||||||||
Revenues: | |||||||||||
Sales of commodities | 781.4 | 621.9 | 1,485.4 | ||||||||
Fees from midstream services | 566.3 | 486.6 | 427.1 | ||||||||
Revenues | 1,347.7 | 1,108.5 | 1,912.5 | ||||||||
Operating Segments [Member] | Logistics and Marketing [Member] | |||||||||||
Revenues: | |||||||||||
Sales of commodities | 6,979.3 | 4,942 | 3,895.8 | ||||||||
Fees from midstream services | 497.5 | 577.5 | 766.1 | ||||||||
Revenues | 7,476.8 | 5,519.5 | 4,661.9 | ||||||||
Operating Segments [Member] | Other Segment [Member] | |||||||||||
Revenues: | |||||||||||
Sales of commodities | (9.6) | 62.9 | 84.2 | ||||||||
Revenues | (9.6) | 62.9 | 84.2 | ||||||||
Intersegment Eliminations [Member] | Gathering and Processing [Member] | |||||||||||
Revenues: | |||||||||||
Sales of commodities | 3,154.2 | 2,124.4 | 1,126.3 | ||||||||
Fees from midstream services | 6.9 | 7.8 | 8.7 | ||||||||
Revenues | 3,161.1 | 2,132.2 | 1,135 | ||||||||
Intersegment Eliminations [Member] | Logistics and Marketing [Member] | |||||||||||
Revenues: | |||||||||||
Sales of commodities | 321.9 | 251.5 | 208.9 | ||||||||
Fees from midstream services | 28 | 23.5 | 17.8 | ||||||||
Revenues | 349.9 | 275 | 226.7 | ||||||||
Intersegment Eliminations [Member] | Corporate and Eliminations [Member] | |||||||||||
Revenues: | |||||||||||
Sales of commodities | (3,476.1) | (2,375.9) | (1,335.2) | ||||||||
Fees from midstream services | (34.9) | (31.3) | (26.5) | ||||||||
Revenues | $ (3,511) | $ (2,407.2) | $ (1,361.7) |
Segment Information, Other Fina
Segment Information, Other Financial Information (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 27, 2015 | Dec. 31, 2014 | ||
Other financial information [Abstract] | ||||||
Total assets | [1] | $ 14,388.6 | $ 12,871.2 | $ 13,211 | ||
Goodwill, net | 256.6 | 210 | 417 | $ 707 | $ 0 | |
Capital expenditures | 1,506.5 | 592.1 | 777.2 | |||
Total fair value of consideration transferred | 987.1 | 5,024.2 | $ 5,024.2 | |||
Operating Segments [Member] | Gathering and Processing [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 10,732.3 | 9,800.6 | 10,391.9 | ||
Goodwill, net | 256.6 | 210 | 417 | |||
Capital expenditures | 1,008.9 | 402.5 | 496.3 | |||
Total fair value of consideration transferred | 987.1 | 5,024.2 | ||||
Operating Segments [Member] | Logistics and Marketing [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 3,507.4 | 2,868.7 | 2,567.1 | ||
Capital expenditures | 470.4 | 185.3 | 272 | |||
Operating Segments [Member] | Other Segment [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 56.8 | 21.8 | 127.1 | ||
Operating Segments [Member] | Corporate and Eliminations [Member] | ||||||
Other financial information [Abstract] | ||||||
Total assets | [1] | 92.1 | 180.1 | 124.9 | ||
Capital expenditures | $ 27.2 | $ 4.3 | $ 8.9 | |||
[1] | Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. |
Segment Information - Summary o
Segment Information - Summary of Consolidated Revenues by Product and Service (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenue from External Customer [Line Items] | |||||||||||
Sales of commodities | $ 7,751.1 | $ 5,626.8 | $ 5,465.4 | ||||||||
Fees from midstream services | 1,063.8 | 1,064.1 | 1,193.2 | ||||||||
Total revenues | $ 2,702.8 | $ 2,131.8 | $ 1,867.7 | $ 2,112.6 | $ 2,012.6 | $ 1,652.3 | $ 1,583.6 | $ 1,442.4 | 8,814.9 | 6,690.9 | 6,658.6 |
Natural Gas Sales [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Sales of commodities | 2,002 | 1,584.5 | 1,578.6 | ||||||||
NGL Sales [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Sales of commodities | 5,418 | 3,777.3 | 3,558.3 | ||||||||
Condensate Sales [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Sales of commodities | 196 | 133.9 | 142.4 | ||||||||
Petroleum Products [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Sales of commodities | 144.7 | 68.2 | 101.6 | ||||||||
Fractionating and Treating Fees [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Fees from midstream services | 132.8 | 126.2 | 209 | ||||||||
Storage, Terminaling, Transportation and Export Fees [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Fees from midstream services | 342.2 | 420 | 506.2 | ||||||||
Gathering and Processing Fees [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Fees from midstream services | 523.3 | 445 | 393.7 | ||||||||
Other [Member] | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Fees from midstream services | 65.5 | 72.9 | 84.3 | ||||||||
Derivative Activities | |||||||||||
Revenue from External Customer [Line Items] | |||||||||||
Sales of commodities | $ (9.6) | $ 62.9 | $ 84.5 |
Segment Information - Reconcili
Segment Information - Reconciliation of Operating Margin to Net Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | |||||||
Operating margin | $ 1,285.9 | $ 1,214.3 | $ 1,281 | ||||
Depreciation and amortization expenses | (809.5) | (757.7) | (644.5) | ||||
General and administrative expenses | (203.4) | (187.2) | (161.7) | ||||
Impairment of property, plant and equipment | $ (378) | (378) | 0 | (32.6) | |||
Impairment of goodwill | $ (183) | $ (24) | $ (290) | 0 | (207) | (290) | |
Interest expense, net | (233.7) | (254.2) | (231.9) | ||||
Other, net | 45.7 | (68) | (32.1) | ||||
Income (loss) before income taxes | (292.9) | (259.7) | (111.8) | ||||
Gathering and Processing [Member] | |||||||
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | |||||||
Operating margin | 783.8 | 577.1 | 515.1 | ||||
Logistics and Marketing [Member] | |||||||
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | |||||||
Operating margin | 511.8 | 574.4 | 681.7 | ||||
Other Segment [Member] | |||||||
Reconciliation of reportable segment operating margin to income (loss) before income taxes: | |||||||
Operating margin | $ (9.6) | $ 62.9 | $ 84.2 |
Selected Quarterly Financial159
Selected Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||||||||
Selected Quarterly Financial Information [Abstract] | |||||||||||||||||||||
Revenues | $ 2,702.8 | $ 2,131.8 | $ 1,867.7 | $ 2,112.6 | $ 2,012.6 | $ 1,652.3 | $ 1,583.6 | $ 1,442.4 | $ 8,814.9 | $ 6,690.9 | $ 6,658.6 | ||||||||||
Gross margin | 534.6 | 468.7 | 447.1 | 458.4 | 468.6 | 429.6 | 438.4 | 431.4 | 1,908.8 | 1,768 | |||||||||||
Income (loss) from operations | 113.5 | [1] | (323.6) | [1] | 37.2 | [1] | 50.5 | [1] | (97.6) | [2],[3] | 51.6 | [2],[3] | 66.3 | [2],[3] | 35.5 | [2],[3] | (122.4) | [1] | 55.8 | [2],[3] | 159.3 |
Net income (loss) | 299.2 | (155.1) | 70.6 | (110.5) | (140.6) | (3.2) | (14.6) | (0.7) | 104.2 | (159.1) | (151.4) | ||||||||||
Net income (loss) attributable to common shareholders | $ 253.5 | $ (197) | $ 28.4 | $ (148.3) | $ (179.6) | $ (39.4) | $ (52.6) | $ (6.5) | $ (63.4) | $ (278.1) | $ 58.3 | ||||||||||
Net income (loss) per common share - basic | $ 1.17 | $ (0.91) | $ 0.14 | $ (0.77) | $ (0.99) | $ (0.23) | $ (0.33) | $ (0.06) | $ (0.31) | $ (1.80) | $ 1.09 | ||||||||||
Net income (loss) per common share - diluted | $ 1.05 | [4] | $ (0.91) | [4] | $ 0.14 | [4] | $ (0.77) | [4] | $ (0.99) | $ (0.23) | $ (0.33) | $ (0.06) | $ (0.31) | [4] | $ (1.80) | $ 1.09 | |||||
[1] | Includes a non-cash pre-tax impairment charge of $378.0 million in the third quarter of 2017. See Note 6 – Property, Plant and Equipment and Intangible Assets. | ||||||||||||||||||||
[2] | Includes a goodwill impairment of $183.0 million in the fourth quarter of 2016. See Note 7 – Goodwill | ||||||||||||||||||||
[3] | Includes a goodwill impairment of $24.0 million in the first quarter of 2016, which represented the finalization of the 2015 provisional charge. See Note 7 – Goodwill. | ||||||||||||||||||||
[4] | Include dilutive effects of common stock equivalents in the second quarter of 2017 and fourth quarter of 2017. Dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for the convertible preferred stock. Under the if-converted method, the dividends on the convertible preferred stock are added back to the numerator for the purposes of the diluted earnings per share calculation. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive potential common shares. |
Selected Quarterly Financial160
Selected Quarterly Financial Data (Unaudited) (Parenthetical) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Sep. 30, 2017 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Selected Quarterly Financial Information [Abstract] | |||||||
Non-cash pre-tax impairment charges | $ 378 | $ 32.6 | |||||
Goodwill impairment | $ 183 | $ 24 | $ 290 | $ 0 | $ 207 | $ 290 |
Condensed Parent Only Financ161
Condensed Parent Only Financial Statements, Condensed Balance Sheets (Details) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
ASSETS | ||||
Total assets | [1] | $ 14,388.6 | $ 12,871.2 | $ 13,211 |
LIABILITIES, SERIES A PREFERRED STOCK AND OWNERS' EQUITY | ||||
Long-term debt | 4,703 | 4,606 | ||
Other long-term liabilities | 597.9 | 215.1 | ||
Contingencies | 0 | 0 | ||
Targa Resources Corp. stockholders' equity | 6,160.3 | 5,248.6 | ||
Total liabilities, Series A Preferred Stock and owners' equity | 14,388.6 | 12,871.2 | ||
Parent Company [Member] | ||||
ASSETS | ||||
Investment in consolidated subsidiaries | 6,804.2 | 5,840.2 | ||
Deferred income taxes | 39.9 | 54.5 | ||
Debt issuance costs | 4.5 | 6.5 | ||
Total assets | 6,848.6 | 5,901.2 | ||
LIABILITIES, SERIES A PREFERRED STOCK AND OWNERS' EQUITY | ||||
Accrued current liabilities | 24.4 | 23.6 | ||
Long-term debt | 435 | 429 | ||
Other long-term liabilities | 12.4 | 9.2 | ||
Contingencies | ||||
Series A Preferred 9.5% Stock, net of discount | 216.5 | 190.8 | ||
Targa Resources Corp. stockholders' equity | 6,160.3 | 5,248.6 | ||
Total liabilities, Series A Preferred Stock and owners' equity | $ 6,848.6 | $ 5,901.2 | ||
[1] | Assets included in the Corporate and Eliminations column primarily include tax-related assets, cash, prepaids and debt issuance costs for our revolving credit facilities. |
Condensed Parent Only Financ162
Condensed Parent Only Financial Statements, Condensed Statements of Operations and Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||||||||
CONDENSED STATEMENT OF OPERATIONS [Abstract] | |||||||||||||||||||||
Equity in net income (loss) of consolidated subsidiaries | $ (17) | $ (14.3) | $ (2.5) | ||||||||||||||||||
General and administrative expenses | (203.4) | (187.2) | (161.7) | ||||||||||||||||||
Income (loss) from operations | $ 113.5 | [1] | $ (323.6) | [1] | $ 37.2 | [1] | $ 50.5 | [1] | $ (97.6) | [2],[3] | $ 51.6 | [2],[3] | $ 66.3 | [2],[3] | $ 35.5 | [2],[3] | (122.4) | [1] | 55.8 | [2],[3] | 159.3 |
Other income (expense): | |||||||||||||||||||||
Income (loss) before income taxes | (292.9) | (259.7) | (111.8) | ||||||||||||||||||
Deferred income tax (expense) benefit | 392.7 | 37.8 | (24.6) | ||||||||||||||||||
Net income (loss) attributable to Targa Resources Corp. | 54 | (187.3) | 58.3 | ||||||||||||||||||
Other comprehensive income (loss) | 8.4 | (99.8) | 0.9 | ||||||||||||||||||
Comprehensive income (loss) attributable to Targa Resources Corp. | 62.4 | (287.1) | 59.2 | ||||||||||||||||||
Dividends on Series A Preferred Stock | 91.7 | 72.6 | |||||||||||||||||||
Deemed dividends on Series A Preferred Stock | 25.7 | 18.2 | |||||||||||||||||||
Net income (loss) attributable to common shareholders | $ 253.5 | $ (197) | $ 28.4 | $ (148.3) | $ (179.6) | $ (39.4) | $ (52.6) | $ (6.5) | (63.4) | (278.1) | 58.3 | ||||||||||
Parent Company [Member] | |||||||||||||||||||||
CONDENSED STATEMENT OF OPERATIONS [Abstract] | |||||||||||||||||||||
Equity in net income (loss) of consolidated subsidiaries | 103.3 | (167.3) | 87.6 | ||||||||||||||||||
General and administrative expenses | (12.9) | (10) | (8) | ||||||||||||||||||
Income (loss) from operations | 90.4 | (177.3) | 79.6 | ||||||||||||||||||
Other income (expense): | |||||||||||||||||||||
Loss on extinguishment of debt | (5.9) | (12.9) | |||||||||||||||||||
Interest expense | (15.9) | (20.8) | (24.2) | ||||||||||||||||||
Income (loss) before income taxes | 68.6 | (198.1) | 42.5 | ||||||||||||||||||
Deferred income tax (expense) benefit | (14.6) | 10.8 | 15.8 | ||||||||||||||||||
Net income (loss) attributable to Targa Resources Corp. | 54 | (187.3) | 58.3 | ||||||||||||||||||
Other comprehensive income (loss) | 8.4 | (99.8) | 0.9 | ||||||||||||||||||
Comprehensive income (loss) attributable to Targa Resources Corp. | 62.4 | (287.1) | 59.2 | ||||||||||||||||||
Dividends on Series A Preferred Stock | 91.7 | 72.6 | |||||||||||||||||||
Deemed dividends on Series A Preferred Stock | 25.7 | 18.2 | |||||||||||||||||||
Net income (loss) attributable to common shareholders | $ (63.4) | $ (278.1) | $ 58.3 | ||||||||||||||||||
[1] | Includes a non-cash pre-tax impairment charge of $378.0 million in the third quarter of 2017. See Note 6 – Property, Plant and Equipment and Intangible Assets. | ||||||||||||||||||||
[2] | Includes a goodwill impairment of $183.0 million in the fourth quarter of 2016. See Note 7 – Goodwill | ||||||||||||||||||||
[3] | Includes a goodwill impairment of $24.0 million in the first quarter of 2016, which represented the finalization of the 2015 provisional charge. See Note 7 – Goodwill. |
Condensed Parent Only Financ163
Condensed Parent Only Financial Statements, Condensed Statements of Cash Flows (Details) - USD ($) $ in Millions | Feb. 27, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
CONDENSED STATEMENTS OF CASH FLOWS [Abstract] | ||||
Net cash provided by operating activities | $ 939.5 | $ 837.4 | $ 1,034.7 | |
Cash flows from investing activities | ||||
Outlays for business acquisition, net of cash acquired | $ (745.7) | (570.8) | (1,574.4) | |
Net cash used in investing activities | (1,892.7) | (558.6) | (2,399.6) | |
Cash flows from financing activities | ||||
Costs incurred in connection with financing arrangements | (23.5) | (71.4) | (54.3) | |
Net cash provided by (used in) financing activities | 1,016.9 | (345.5) | 1,424.1 | |
Net change in cash and cash equivalents | 63.7 | (66.7) | 59.2 | |
Cash and cash equivalents, beginning of period | 73.5 | 140.2 | 81 | |
Cash and cash equivalents, end of period | 137.2 | 73.5 | 140.2 | |
Parent Company [Member] | ||||
CONDENSED STATEMENTS OF CASH FLOWS [Abstract] | ||||
Net cash provided by operating activities | 115.1 | 125.3 | 62.6 | |
Cash flows from investing activities | ||||
Outlays for business acquisition, net of cash acquired | 0 | 0 | (745.7) | |
Distribution and return of advances from consolidated subsidiaries | (912.9) | (921) | 60.8 | |
Net cash used in investing activities | (912.9) | (921) | (684.9) | |
Cash flows from financing activities | ||||
Proceeds from long-term debt borrowings | 965 | 612 | 914.5 | |
Repayments of long-term debt | (965) | (777) | (424) | |
Costs incurred in connection with financing arrangements | (16) | (41.3) | (22.5) | |
Proceeds from issuance of common stock, preferred stock and warrants | 1,660.4 | 1,571.4 | 335.5 | |
Repurchase of common stock | (3.4) | (3.5) | (3.3) | |
Dividends paid to common and preferred shareholders | (843.2) | (565.9) | (179) | |
Excess tax benefit from stock-based awards | 0 | 0 | 1.1 | |
Net cash provided by (used in) financing activities | 797.8 | 795.7 | 622.3 | |
Net change in cash and cash equivalents | 0 | 0 | 0 | |
Cash and cash equivalents, beginning of period | 0 | 0 | 0 | |
Cash and cash equivalents, end of period | $ 0 | $ 0 | $ 0 |