Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | 4-May-15 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | SRLP | |
Entity Registrant Name | Sprague Resources LP | |
Entity Central Index Key | 1525287 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Accelerated Filer | |
Common Units [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 11,004,292 | |
Subordinated Units [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 10,071,970 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $21,609,000 | $4,080,000 |
Accounts receivable, net | 342,174,000 | 289,424,000 |
Inventories | 217,912,000 | 390,555,000 |
Fair value of derivative assets | 169,298,000 | 229,890,000 |
Deferred income taxes | 961,000 | 895,000 |
Other current assets | 50,115,000 | 52,416,000 |
Total current assets | 802,069,000 | 967,260,000 |
Property, plant and equipment, net | 251,336,000 | 250,126,000 |
Assets held for sale | 68,000 | 1,321,000 |
Intangibles, net | 25,585,000 | 27,626,000 |
Other assets, net | 26,322,000 | 30,219,000 |
Goodwill | 63,288,000 | 63,288,000 |
Total assets | 1,168,668,000 | 1,339,840,000 |
Current liabilities: | ||
Accounts payable | 124,972,000 | 198,609,000 |
Accrued liabilities | 56,510,000 | 63,816,000 |
Fair value of derivative liabilities | 55,685,000 | 89,176,000 |
Current portion of long-term debt | 258,678,000 | 397,214,000 |
Current portion of capital leases | 1,004,000 | 1,313,000 |
Total current liabilities | 508,818,000 | 765,468,000 |
Commitments and contingencies (Note 9) | ||
Long-term debt | 469,708,000 | 418,356,000 |
Long-term capital leases | 4,245,000 | 5,424,000 |
Other liabilities | 18,157,000 | 17,884,000 |
Deferred income taxes | 15,190,000 | 15,826,000 |
Total liabilities | 1,016,966,000 | 1,223,946,000 |
Unitholders' equity: | ||
Accumulated other comprehensive loss, net of tax | -11,735,000 | -9,833,000 |
Total unitholders' equity | 151,702,000 | 115,894,000 |
Total liabilities and unitholders' equity | 1,168,668,000 | 1,339,840,000 |
Common Unitholders - Public [Member] | ||
Unitholders' equity: | ||
Partners' equity | 186,997,000 | 171,055,000 |
Common Unitholders - Affiliated [Member] | ||
Unitholders' equity: | ||
Partners' equity | -1,908,000 | -5,566,000 |
Subordinated Unitholders - Affiliated [Member] | ||
Unitholders' equity: | ||
Partners' equity | -21,652,000 | -39,762,000 |
General Partner [Member] | ||
Current liabilities: | ||
Due to General Partner and affiliates | 11,969,000 | 15,340,000 |
Due to General Partner | $848,000 | $988,000 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) | Mar. 31, 2015 | Dec. 31, 2014 |
Common Unitholders - Public [Member] | ||
Units, issued | 8,969,914 | 8,969,914 |
Units, outstanding | 8,777,922 | 8,777,922 |
Common Unitholders - Affiliated [Member] | ||
Units, issued | 2,034,378 | 2,034,378 |
Units, outstanding | 2,034,378 | 2,034,378 |
Subordinated Unitholders - Affiliated [Member] | ||
Units, issued | 10,071,970 | 10,071,970 |
Units, outstanding | 10,071,970 | 10,071,970 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net sales | $1,598,358 | $1,994,699 |
Cost of products sold (exclusive of depreciation and amortization) | 1,490,373 | 1,864,419 |
Operating expenses | 18,883 | 16,838 |
Selling, general and administrative | 32,381 | 27,411 |
Depreciation and amortization | 4,992 | 3,955 |
Total operating costs and expenses | 1,546,629 | 1,912,623 |
Operating income | 51,729 | 82,076 |
Other income | 514 | |
Interest income | 112 | 110 |
Interest expense | -7,766 | -8,016 |
Income before income taxes | 44,589 | 74,170 |
Income tax provision | -650 | -1,038 |
Net income | 43,939 | 73,132 |
Exclude loss attributable to Kildair (Note 1) | 2,203 | |
Assumed net income to be allocated | 43,939 | 75,335 |
Net income per limited partner unit: | ||
Common - basic | $2.10 | $3.74 |
Common - diluted | $2.06 | $3.74 |
Units used to compute net income per limited partner unit: | ||
Common - basic | 10,897,488 | 10,072,186 |
Common - diluted | 11,064,510 | 10,073,176 |
Distribution declared per common and subordinated units | $0.47 | $0.41 |
Subordinated Unitholders - Affiliated [Member] | ||
Assumed net income to be allocated | $21,105 | $37,667 |
Net income per limited partner unit: | ||
Common - basic | $2.10 | $3.74 |
Common - diluted | $2.10 | $3.74 |
Subordinated - basic and diluted | $2.10 | $3.74 |
Units used to compute net income per limited partner unit: | ||
Subordinated - basic and diluted | 10,071,970 | 10,071,970 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Comprehensive Income [Abstract] | ||
Net income | $43,939 | $73,132 |
Unrealized (loss) gain on interest rate swaps | ||
Net loss arising in the period | -700 | -63 |
Reclassification adjustment related for losses realized in income | 130 | 608 |
Net change in unrealized loss on interest rate swaps | -570 | 545 |
Tax effect | 17 | -14 |
Unrealized (loss) gain on interest rate swaps, Total | -553 | 531 |
Foreign currency translation adjustment | -1,349 | -459 |
Other comprehensive (loss) income | -1,902 | 72 |
Comprehensive income | $42,037 | $73,204 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Unitholders' Equity (Deficit) (USD $) | Total | Accumulated Other Comprehensive (Loss) Income [Member] | Common-Public [Member] | Common-Sprague Holdings [Member] | Subordinated-Sprague Holdings [Member] | Kildair [Member] | Kildair [Member] | Castle (Romita) [Member] | Castle (Romita) [Member] |
In Thousands | Common-Sprague Holdings [Member] | Common-Public [Member] | |||||||
Beginning balance at Dec. 31, 2013 | $71,293 | ($10,610) | $127,496 | ($6,155) | ($39,438) | ||||
Net income | 122,814 | 50,141 | 9,953 | 62,720 | |||||
Other comprehensive (loss) income | 777 | 777 | |||||||
Unit-based compensation | 3,617 | 1,528 | 286 | 1,803 | |||||
Distribution to unitholders | -31,594 | -13,370 | -2,460 | -15,764 | |||||
Distribution to sponsor for Kildair acquisition | -66,667 | -17,652 | -49,015 | ||||||
Common units issued for acquisition | 10,002 | 10,002 | 5,318 | 5,318 | |||||
Other contribution from Parent | 470 | 470 | |||||||
Repurchased units withheld for employee tax obligation | -136 | -58 | -10 | -68 | |||||
Ending balance at Dec. 31, 2014 | 115,894 | -9,833 | 171,055 | -5,566 | -39,762 | ||||
Net income | 43,939 | 18,571 | 4,263 | 21,105 | |||||
Other comprehensive (loss) income | -1,902 | -1,902 | |||||||
Unit-based compensation | 764 | 323 | 74 | 367 | |||||
Distribution to unitholders | -9,589 | -4,050 | -931 | -4,608 | |||||
Common units issued in connection with annual bonus | 4,939 | 2,088 | 479 | 2,372 | |||||
Repurchased units withheld for employee tax obligation | -2,343 | -990 | -227 | -1,126 | |||||
Ending balance at Mar. 31, 2015 | $151,702 | ($11,735) | $186,997 | ($1,908) | ($21,652) |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flows from operating activities | ||
Net income | $43,939 | $73,132 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization (includes amortization of deferred debt issue costs) | 5,898 | 5,179 |
Provision for doubtful accounts | 730 | 190 |
Gain on sale of assets and insurance recoveries | -514 | -5 |
Deferred income taxes | -678 | 620 |
Non-cash unit-based compensation | 4,068 | 538 |
Changes in assets and liabilities: | ||
Accounts receivable | -53,480 | -59,883 |
Inventories | 172,643 | 135,747 |
Prepaid expenses and other assets | 7,230 | 424 |
Fair value of commodity derivative instruments | 26,531 | -52,750 |
Due to General Partner and affiliates | -3,510 | 12,928 |
Accounts payable, accrued liabilities and other | -80,439 | -25,617 |
Net cash provided by operating activities | 122,418 | 90,503 |
Cash flows from investing activities | ||
Purchases of property, plant and equipment | -3,527 | -5,600 |
Proceeds from property insurance settlement and sale of assets | 336 | 25 |
Net cash used in investing activities | -3,191 | -5,575 |
Cash flows from financing activities | ||
Net payments under credit agreements | -87,042 | -74,016 |
Payments on capital lease liabilities and term debt | -390 | -208 |
Payments on long-term terminal obligations | -97 | -167 |
Debt issue costs | -1,938 | |
Distribution to unitholders | -9,589 | -5,693 |
Foreign exchange on capital lease obligations | -157 | -88 |
Repurchased units withheld for employee tax obligation | -2,343 | -136 |
Net increase in payable to Parent | 147 | |
Net cash used in financing activities | -101,556 | -80,161 |
Effect of exchange rate changes on cash balances held in foreign currencies | -142 | 34 |
Net change in cash and cash equivalents | 17,529 | 4,801 |
Cash and cash equivalents, beginning of period | 4,080 | 2,046 |
Cash and cash equivalents, end of period | 21,609 | 6,847 |
Supplemental disclosure of cash flow information | ||
Cash paid for interest | 6,929 | 7,429 |
Cash paid for taxes | $773 | $511 |
Description_of_Business_and_Su
Description of Business and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Description of Business and Summary of Significant Accounting Policies | 1. Description of Business and Summary of Significant Accounting Policies |
Partnership Businesses | |
Sprague Resources LP (the “Partnership”) is a Delaware limited partnership formed on June 23, 2011 to engage in activities for which limited partnerships may be organized under the Delaware Revised Limited Partnership Act including, but not limited to, actions to form a limited liability company and/or acquire assets owned by Sprague Operating Resources LLC, a Delaware limited liability company and the Partnership’s operating company (the “Predecessor” and “OLLC”), an entity engaged in the sales and marketing of energy products, as well as materials handling operations. | |
Unless the context otherwise requires, references to “Sprague Resources,” and the “Partnership,” when used in a historical context prior to October 30, 2013, refer to Sprague Operating Resources LLC, the “Predecessor” for accounting purposes and the successor to Sprague Energy Corp., also referenced as “the Predecessor” and when used in the present tense or prospectively, refer to Sprague Resources LP and its subsidiaries. Unless the context otherwise requires, references to “Axel Johnson” or the “Parent” refer to Axel Johnson Inc. and its controlled affiliates, collectively, other than Sprague Resources, its subsidiaries and its general partner. References to “Sprague Holdings” refer to Sprague Resources Holdings LLC, a wholly owned subsidiary of Axel Johnson and the owner of the General Partner. References to the “General Partner” refer to Sprague Resources GP LLC. | |
The Partnership is one of the largest independent wholesale distributors of refined products in the Northeast United States based on aggregate terminal capacity. The Partnership owns, operates and/or controls a network of 19 refined products and materials handling terminals located in the Northeast United States and in Quebec, Canada. The Partnership also utilizes third-party terminals in the Northeast United States through which it sells or distributes refined products pursuant to rack, exchange and throughput agreements. The Partnership has four business segments: refined products, natural gas, materials handling and other operations. The refined products segment purchases a variety of refined products, such as heating oil, diesel fuel, residual fuel oil, kerosene, jet fuel, gasoline and asphalt (primarily from refining companies, trading organizations and producers), and sells them to wholesale and commercial customers. The natural gas segment purchases, sells and distributes natural gas to commercial and industrial customers in the Northeast and Mid-Atlantic United States. The Partnership purchases the natural gas it sells from natural gas producers and trading companies. The materials handling segment offloads, stores and prepares for delivery a variety of customer-owned products, including asphalt, clay slurry, salt, gypsum, crude oil, coal, petroleum coke, caustic soda, tallow, pulp and heavy equipment. The Partnership’s other operations include the purchase and distribution of coal and certain commercial trucking activities. | |
On October 1, 2012, the Predecessor acquired Kildair Service Ltd. and two related subsidiaries (together “Kildair”). Kildair owns a terminal in Sorel-Tracy, Quebec, on the St. Lawrence River where it maintains 3.3 million barrels of residual fuel, asphalt, and crude oil storage. Kildair’s primary businesses include marketing of residual fuel oil both locally and for export, marketing of asphalt including polymer modified grades, and crude-by-rail handling services. Kildair’s terminal has blending infrastructure allowing the ability to process a wide range of varying quality blend components. | |
In connection with the completion on October 30, 2013 of the initial public offering (the “IPO”) of common units representing limited partner interests in the Partnership, Axel Johnson Inc. contributed to Sprague Holdings all of the ownership interests in the Predecessor. The Predecessor distributed to a wholly owned subsidiary of Sprague Holdings certain assets and liabilities, its ownership of Kildair and accounts receivable and cash in an aggregate amount equal to the net proceeds of the IPO. Sprague Holdings then contributed all of the ownership interests in the Predecessor to the Partnership. All of the assets and liabilities of the Predecessor contributed to the Partnership by Sprague Holdings were recorded at the Parent’s historical cost, as the foregoing transactions are among entities under common control. | |
On December 9, 2014, the Partnership acquired all of the equity interest in Kildair through the acquisition of the equity interests of Kildair’s parent, Sprague Canadian Properties, LLC, from a wholly owned subsidiary of Sprague Holdings. As this transaction represents a transfer of entities under common control, the Condensed Consolidated Financial Statements and related information presented herein have been recast to include the historical results of Kildair for all periods presented where Kildair was controlled by Axel Johnson, which commenced on October 1, 2012. Limited partners’ interest in net income as well as the related per unit amounts have not been recast for the three months ended March 31, 2014. | |
As of March 31, 2015, the Parent, through its ownership of Sprague Holdings owns 2,034,378 common units and 10,071,970 subordinated units, representing an aggregate 57% limited partner interest in the Partnership. Sprague Holdings also owns the Partnership’s General Partner, which in turn owns a non-economic interest in the Partnership. The principal difference between the Partnership’s common units and subordinated units is that during the subordination period, the common units have the right to receive distributions of cash from distributable cash flow each quarter in an amount equal to $0.4125 per common unit, which is the amount | |
defined in the partnership agreement as the minimum quarterly distribution, plus any arrearages in the payment of the minimum quarterly distribution on the common units from prior quarters, before any distributions of cash from distributable cash flow may be made on the subordinated units. Furthermore, no arrearages will accrue or be paid on the subordinated units. Upon expiration of the subordination period, any outstanding arrearages in payment of the minimum quarterly distribution on the common units will be extinguished (not paid), each outstanding subordinated unit will immediately convert into one common unit and will thereafter participate pro rata with the other common units in distributions. | |
Sprague Holdings currently holds incentive distribution rights (“IDR’s”) that entitle it to receive increasing percentages, up to a maximum of 50%, of the cash the Partnership distributes from distributable cash flow. IDR participation begins once distributions exceed $0.474375 per unit per quarter. The maximum distribution of 50% does not include any distributions that Sprague Holdings may receive on any limited partner units that it owns. | |
Basis of Presentation | |
The Condensed Consolidated Financial Statements include the accounts of the Partnership and its wholly-owned subsidiaries. Intercompany transactions between the Partnership, and its subsidiaries have been eliminated. The accompanying unaudited condensed consolidated financial statements were prepared in accordance with the requirements of the Securities and Exchange Commission (“SEC”) for interim financial information. As permitted under those rules, certain notes or other financial information that are normally required by U.S. generally accepted accounting principles (“GAAP”) to be included in annual financial statements have been condensed or omitted from these interim financial statements. These interim financial statements should be read in conjunction with the consolidated financial statements and related notes of the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2014 as filed with the SEC on March 16, 2015 (the “2014 Annual Report”). | |
The significant accounting policies are described in Note 1 “Description of Business and Summary of Significant Accounting Policies” in the Partnership’s audited consolidated financial statements, included in the 2014 Annual Report, and are the same as are used in preparing these unaudited interim condensed consolidated financial statements. | |
The unaudited results of operations for the interim periods reported are not necessarily indicative of results to be expected for the full year. Demand for some of the Partnership’s refined petroleum products, specifically heating oil and residual oil for space heating purposes, and to a lesser extent natural gas, are generally higher during the first and fourth quarters of the calendar year which may result in significant fluctuations in the Partnership’s quarterly operating results. | |
Use of Estimates | |
The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheet and the reported revenues and expenses in the income statement. Actual results could differ from those estimates. Among the estimates made by management are asset valuations, the fair value of derivative assets and liabilities, environmental and legal obligations and income taxes. | |
New Accounting Guidance | |
In April 2015, the Financial Accounting Standards Board issued Accounting Standard Update 2015-06, Earnings Per Share (Topic 260): Effects on Historical Earnings per Unit of Master Limited Partnership Dropdown Transactions (a consensus of the Emerging Issues Task Force). The Partnership is currently evaluating the potential impact of this guidance, however at this time we do not believe that the application of this ASU will result in changes to the Partnership’s presentation of earnings per unit or related disclosures in connection with the Partnership’s 2014 dropdown transaction. This guidance is effective for fiscal years beginning after December 15, 2015 and interim periods within those fiscal years and is to be applied on a retrospective basis. | |
In April 2015, the Financial Accounting Standards Board issued Accounting Standard Update 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. The Partnership has not yet adopted the provisions of this guidance which is effective for annual reporting periods beginning after December 15, 2015, and interim periods within those fiscal years. As of March 31, 2015 and December 31, 2014, the Partnership’s unamortized debt issuance costs were $16.9 million and $15.5 million respectively. | |
In May 2014, the Financial Accounting Standards Board issued Accounting Standard Update 2014-09, Revenue from Contracts with Customers, which revises the principles of revenue recognition from one based on the transfer of risks and rewards to when a customer obtains control of a good or service. The Partnership is currently evaluating the potential impact of this guidance which is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. |
Business_Combinations
Business Combinations | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Business Combinations [Abstract] | |||||
Business Combinations | 2. Business Combinations | ||||
Acquisition of Kildair | |||||
On December 9, 2014, the Partnership indirectly acquired all of the equity interests in Kildair through the Partnership’s acquisition of all of the equity interest of Kildair’s parent, Sprague Canadian Properties LLC, from Axel Johnson for total consideration of $175.0 million, (a portion of which was used to retire Kildair debt) which included $10.0 million in the Partnership’s unregistered common units. As the acquisition of Kildair by the Partnership represents a transfer of entities under common control, the Condensed Consolidated Financial Statements and related information presented herein have been recast by including the historical financial results of Kildair for all periods that were controlled by Axel Johnson. As such, summarized financial information has not been presented. The Partnership recognized $1.7 million of acquisition-related costs that were expensed in 2014. | |||||
Acquisition of Castle Oil | |||||
On December 8, 2014, the Partnership acquired substantially all of the assets of Castle Oil Corporation (“Castle”) and certain of its affiliates by purchasing Castle’s Bronx, New York terminal and its associated wholesale, commercial, and retail fuel distribution business. The acquisition-date fair value of the consideration consisted of cash of $45.3 million, an obligation to pay $5.0 million over a three year period (net present value of $4.6 million) and $5.3 million in the Partnership’s unregistered common units, plus payments for Castle’s inventory and other current assets of $37.0 million. Castle’s Bronx terminal is a large deep water petroleum products terminal located in New York City, and has 0.9 million barrels of storage capacity. The purchase of this facility augments the Partnership’s supply, storage and marketing opportunities and provides new opportunities in refined fuels, and expanded materials handling capabilities. The acquisition was accounted for as a business combination and was financed with borrowings under the Partnership’s credit facility. | |||||
The following summarizes the preliminary fair values of the assets acquired and liabilities assumed: | |||||
Inventories | $ | 36,512 | |||
Derivative assets | 4,837 | ||||
Other current assets and prepaids | 533 | ||||
Property, plant and equipment | 49,879 | ||||
Intangibles and other assets | 5,046 | ||||
Total identifiable assets acquired | 96,807 | ||||
Accrued liabilities | 2,018 | ||||
Derivative liabilities | 390 | ||||
Long term capital leases | 1,481 | ||||
Other liabilities | 761 | ||||
Total liabilities assumed | 4,650 | ||||
Net assets acquired | $ | 92,157 | |||
A preliminary allocation of the purchase price to the assets acquired and liabilities assumed was made based on available information and incorporating management’s best estimates. The Partnership is currently in the process of finalizing the valuation of the assets acquired and liabilities assumed. The actual allocation of the final purchase price and resulting effect on income from operations may differ from the amounts included above. The Partnership expects to finalize the purchase allocation during 2015. | |||||
The following represents the unaudited pro forma consolidated net sales and net income as if Castle had been included in the unaudited consolidated results of the Partnership for the three months ended March 31, 2014. | |||||
Three Months Ended | |||||
March 31, 2014 | |||||
Net sales | $ | 2,435,524 | |||
Net income | $ | 83,039 | |||
Limited partners’ interest in net income | $ | 85,242 | |||
Net income per limited partner common unit - basic | $ | 4.18 | |||
Net income per limited partner common unit - diluted | $ | 4.18 | |||
These amounts have been calculated after applying the Partnership’s accounting policies and adjusting the results of Castle to reflect the additional depreciation and amortization that would have been charged assuming the fair value adjustments to property, plant and equipment; and intangible assets had been applied on January 1, 2014, together with the consequential tax effects. The Partnership recognized $1.1 million of acquisition related costs that were expensed in 2014. | |||||
Acquisition of Metromedia Gas & Power, Inc. | |||||
On October 1, 2014, the Partnership completed its purchase of Metromedia Gas & Power Inc. (“Metromedia Energy”) for $22.0 million, not including the purchase of natural gas inventory, utility security deposits, and other adjustments. Total consideration at closing was $32.8 million. Metromedia Energy markets natural gas and brokers electricity to commercial, industrial and municipal consumers primarily in the Northeast and Mid-Atlantic United States. The acquisition was accounted for as a business combination and was financed with borrowings under the Partnership’s credit facility. | |||||
The following table summarizes the fair values of the assets acquired and liabilities assumed at the acquisition date. | |||||
Inventories | $ | 1,365 | |||
Derivative assets | 24,971 | ||||
Other current assets | 543 | ||||
Intangible assets | 13,900 | ||||
Natural gas transportation assets | 39,427 | ||||
Other long term assets | 6,683 | ||||
Property, plant and equipment | 556 | ||||
Total identifiable assets acquired | 87,445 | ||||
Derivative liabilities | 67,413 | ||||
Other current liabilities | 52 | ||||
Natural gas transportation liabilities | 1,458 | ||||
Total liabilities assumed | 68,923 | ||||
Net identifiable assets acquired | 18,522 | ||||
Goodwill | 14,243 | ||||
Net assets acquired | $ | 32,765 | |||
The Partnership determined the fair value of intangible assets using income approaches that incorporated projected cash flows as well as excess earnings and lost profits methods. The Partnership determined the fair value of derivative assets, derivative liabilities and natural gas transportation assets by applying the Partnership’s existing valuation methodologies. The Partnership determined that book value approximated fair value for substantially all other assets and liabilities. | |||||
The goodwill recognized is primarily attributable to Metromedia Energy’s assembled workforce, its reputation in the Northeast United States and the residual cash flow the Partnership believes that it will be able to generate. The goodwill is expected to be deductible for tax purposes. The Partnership recognized $0.1 million of acquisition related costs that were expensed in 2014. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss, Net of Tax | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Equity [Abstract] | |||||||||
Accumulated Other Comprehensive Loss, Net of Tax | 3. Accumulated Other Comprehensive Loss, Net of Tax | ||||||||
Amounts included in accumulated other comprehensive loss, net of tax, consisted of the following: | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Fair value of interest rate swaps, net of tax | $ | (959 | ) | $ | (406 | ) | |||
Cumulative foreign currency translation adjustment | (10,776 | ) | (9,427 | ) | |||||
Accumulated other comprehensive loss, net of tax | $ | (11,735 | ) | $ | (9,833 | ) | |||
A summary of the changes in accumulated other comprehensive loss related to foreign currency translation is as follows: | |||||||||
Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
Balance - beginning of period | $ | (9,427 | ) | $ | (8,284 | ) | |||
Foreign currency translation adjustment | (1,349 | ) | (459 | ) | |||||
Balance - end of period | $ | (10,776 | ) | $ | (8,743 | ) | |||
Inventories
Inventories | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Inventories | 4. Inventories | ||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Petroleum and related products | $ | 196,764 | $ | 366,431 | |||||
Asphalt | 18,595 | 18,357 | |||||||
Coal | 1,907 | 2,380 | |||||||
Natural gas | 646 | 3,387 | |||||||
Inventories | $ | 217,912 | $ | 390,555 | |||||
Due to changing market conditions, the Partnership recorded a provision of $9.6 million and $50.5 million as of March 31, 2015 and December 31, 2014, respectively, to write-down petroleum, natural gas and asphalt inventory to its net realizable value. These charges are included in cost of products sold (exclusive of depreciation and amortization) in the Consolidated Statements of Operations. |
Debt
Debt | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Debt | 5. Debt | ||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Current debt | |||||||||
Credit agreement | $ | 258,460 | $ | 396,961 | |||||
Other | 218 | 253 | |||||||
Current debt | 258,678 | 397,214 | |||||||
Long-term debt | |||||||||
Credit agreement | 469,240 | 417,789 | |||||||
Other | 468 | 567 | |||||||
Long-term debt | 469,708 | 418,356 | |||||||
Total debt | $ | 728,386 | $ | 815,570 | |||||
Credit Agreement | |||||||||
On December 9, 2014, in connection with the acquisition of Kildair, the Partnership entered into an amended and restated revolving credit agreement (the “Credit Agreement”) that will mature on December 9, 2019. The revolving credit facilities under the Credit Agreement contain, among other items, the following: | |||||||||
• | U.S. dollar revolving working capital facility of up to $1.0 billion to be used for working capital loans and letters of credit in the principal amount equal to the lesser of the Partnership’s borrowing base and $1.0 billion; | ||||||||
• | Multicurrency revolving working capital facility of up to $120.0 million to be used by Kildair for working capital loans and letters of credit in the principal amount equal to the lesser of Kildair’ s borrowing base and $120.0 million; | ||||||||
• | Revolving acquisition facility of up to $400.0 million to be used for loans and letters of credit to fund capital expenditures and acquisitions and other general corporate purposes related to the Partnership’s current businesses; and, | ||||||||
• | Subject to certain conditions, the U.S. dollar or multicurrency revolving working capital facilities may be increased by $200.0 million. Additionally, subject to certain conditions, the revolving acquisition facility may be increased by $200.0 million. | ||||||||
All obligations under the Credit Agreement are secured by substantially all of the assets of the Partnership and its subsidiaries. | |||||||||
Indebtedness under the Credit Agreement will bear interest, at the Partnership’s option, at a rate per annum equal to either the Eurocurrency Base Rate (which is the LIBOR Rate for loans denominated in U.S. dollars and CDOR for loans denominated in Canadian dollars, in each case adjusted for certain regulatory costs) for interest periods of one, two, three or six months plus a specified margin or an alternate rate plus a specified margin. | |||||||||
For the U.S. dollar working capital facility and the acquisition facility, the alternate rate is the Base Rate which is the higher of (a) the U.S. Prime Rate as in effect from time to time, (b) the Federal Funds rate as in effect from time to time plus 0.50% and (c) the one-month Eurocurrency Rate for U.S. dollars as in effect from time to time plus 1.00%. | |||||||||
For the Canadian dollar working capital facility, the alternate rate is the Prime Rate which is the higher of (a) the Canadian Prime Rate as in effect from time to time and (b) the one-month Eurocurrency Rate for U.S. dollars as in effect from time to time plus 1.00%. | |||||||||
As of March 31, 2015 and December 31, 2014, working capital facilities borrowings were $416.1 million and $503.2 million, respectively, and outstanding letters of credit were $36.1 million and $120.2 million, respectively. The working capital facilities are subject to borrowing base reporting and as of March 31, 2015 and December 31, 2014, had a borrowing base of $639.1 million and $843.3 million, respectively. As of March 31, 2015, excess availability under the working capital facility was $186.9 million. | |||||||||
Acquisition line borrowings were $311.6 million at both March 31, 2015 and December 31, 2014, respectively. As of March 31, 2015, excess availability under the acquisition facility was $88.4 million. | |||||||||
The weighted average interest rate was 2.8% at both March 31, 2015 and December 31, 2014 respectively. The current portion of the credit agreement at March 31, 2015 and December 31, 2014 represents the amounts intended to be repaid during the following twelve month period. | |||||||||
The Credit Agreement contains certain restrictions and covenants among which are a minimum level of net working capital, fixed charge coverage and debt leverage ratios and limitations on the incurrence of indebtedness. As of March 31, 2015, the Partnership is in compliance with these financial covenants. The Credit Agreement limits the Partnership’s ability to make distributions in the event of a default as defined in the Credit Agreement. |
Related_Party_Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 6. Related Party Transactions |
The General Partner charges the Partnership for the reimbursements of employee costs and related employee benefits and other overhead costs supporting the Partnership’s operations which amounted to $32.6 million and $30.1 million for the three months ended March 31, 2015 and 2014, respectively. Through the General Partner, the Partnership also participates in certain of the Parent’s pension and other post-retirement benefits. Amounts due to the General Partner were $12.8 million and $16.3 million as of March 31, 2015 and December 31, 2014 respectively. |
Segment_Reporting
Segment Reporting | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Segment Reporting | 7. Segment Reporting | ||||||||
The Partnership is a wholesale and commercial distributor engaged in the purchase, storage, distribution and sale of refined products and natural gas, and also provides storage and handling services for a broad range of materials. The Partnership has four reporting operating segments that comprise the structure used by the chief operating decision makers (CEO and CFO/COO) to make key operating decisions and assess performance. These segments are refined products, natural gas, materials handling and other activities. | |||||||||
The Partnership’s refined products segment purchases a variety of refined products, such as heating oil, diesel fuel, residual fuel oil, asphalt, kerosene, jet fuel and gasoline (primarily from refining companies, trading organizations and producers), and sells them to its customers. The Partnership has wholesale customers who resell the refined products they purchase from the Partnership and commercial customers who consume the refined products they purchase from the Partnership. The Partnership’s wholesale customers consist of home heating oil retailers and diesel fuel and gasoline resellers. The Partnership’s commercial customers include federal and state agencies, municipalities, regional transit authorities, large industrial companies, real estate management companies, hospitals and educational institutions. | |||||||||
The Partnership’s natural gas segment purchases, sells and distributes natural gas to commercial and industrial customers primarily in the Northeast and Mid-Atlantic United States. The Partnership purchases natural gas from natural gas producers and trading companies. | |||||||||
The Partnership’s materials handling segment offloads, stores, and/or prepares for delivery a variety of customer-owned products, including asphalt, clay slurry, salt, gypsum, crude oil, coal, petroleum coke, caustic soda, tallow, pulp and heavy equipment. These services are fee-based activities which are generally conducted under multi-year agreements. | |||||||||
The Partnership’s other activities include the purchase, sale and distribution of coal and commercial trucking activities unrelated to its refined products segment. Other activities are not reported separately as they represent less than 10% of consolidated net sales and adjusted gross margin. | |||||||||
The Partnership evaluates segment performance based on adjusted gross margin, which is net sales less cost of products sold (exclusive of depreciation and amortization) increased by unrealized hedging losses and decreased by unrealized hedging gains, in each case with respect to refined products and natural gas inventory and natural gas transportation contracts. | |||||||||
Based on the way the business is managed, it is not reasonably possible for the Partnership to allocate the components of operating costs and expenses among the operating segments. There were no significant intersegment sales for any of the years presented below. | |||||||||
Summarized financial information for the Partnership’s reportable segments for the three months ended March 31, 2015 and 2014 is presented in the table below: | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Net sales: | |||||||||
Refined products | $ | 1,431,845 | $ | 1,844,973 | |||||
Natural gas | 146,679 | 134,340 | |||||||
Materials handling | 10,184 | 8,079 | |||||||
Other operations | 9,650 | 7,307 | |||||||
Net sales | $ | 1,598,358 | $ | 1,994,699 | |||||
Adjusted gross margin(1): | |||||||||
Refined products | $ | 66,306 | $ | 51,530 | |||||
Natural gas | 34,817 | 35,344 | |||||||
Materials handling | 10,184 | 8,077 | |||||||
Other operations | 2,983 | 1,336 | |||||||
Adjusted gross margin | 114,290 | 96,287 | |||||||
Reconciliation to operating income(2): | |||||||||
Add: unrealized gain (loss) on inventory(3) | (3,534 | ) | 5,866 | ||||||
Add: unrealized gain (loss) on natural gas transportation contracts(4) | (2,771 | ) | 28,127 | ||||||
Operating costs and expenses not allocated to operating segments: | |||||||||
Operating expenses | (18,883 | ) | (16,838 | ) | |||||
Selling, general and administrative | (32,381 | ) | (27,411 | ) | |||||
Depreciation and amortization | (4,992 | ) | (3,955 | ) | |||||
Operating income | 51,729 | 82,076 | |||||||
Other income | 514 | — | |||||||
Interest income | 112 | 110 | |||||||
Interest expense | (7,766 | ) | (8,016 | ) | |||||
Income tax provision | (650 | ) | (1,038 | ) | |||||
Net income | $ | 43,939 | $ | 73,132 | |||||
1) | Adjusted gross margin is a non-GAAP financial measure used by management and external users of the Partnership’s consolidated financial statements to assess the Partnership’s economic results of operations and its market value reporting to lenders. The Partnership adjusts its segment results for the impact of unrealized hedging gains and losses with regard to refined products and natural gas inventory and natural gas transportation contracts relating to the underlying commodity derivative hedges, which are not marked to market for the purpose of recording unrealized gains or losses in net income (loss). These adjustments align the unrealized hedging gains and losses to the period in which the revenue from the sale of inventory and the utilization of transportation contracts relating to those hedges is realized in net income. | ||||||||
-2 | Reconciliation of adjusted gross margin to operating income, the most directly comparable GAAP measure. | ||||||||
-3 | Inventory is valued at the lower of cost or market. The fair value of the derivatives the Partnership uses to economically hedge its inventory declines or appreciates in value as the value of the underlying inventory appreciates or declines, which creates unrealized hedging losses (gains) with respect to the derivatives that are included in net income. | ||||||||
-4 | The unrealized hedging (gain) loss on natural gas transportation contracts represents the Partnership’s estimate of the change in fair value of the natural gas transportation contracts which are not recorded in net income (loss) until the transportation is utilized in the future (i.e., when natural gas is delivered to the customer), as these contracts are executory contracts that do not qualify as derivatives. As the fair value of the natural gas transportation contracts decline or appreciate, the offsetting physical or financial derivative will also appreciate or decline creating ‘unmatched’ unrealized hedging losses (gains) in net income. | ||||||||
The Partnership had no single customer whose revenue was greater than 10% of total net sales for the three months ended March 31, 2015 and 2014, respectively. The Partnership’s foreign sales, primarily sales of refined products, asphalt and natural gas to its customers in Canada, were $58.1 million and $92.4 million for the three months ended March 31, 2015 and 2014, respectively. | |||||||||
Segment Assets | |||||||||
Due to the comingled nature and uses of the Partnership’s fixed assets, the Partnership does not track its fixed assets between its refined products and materials handling operating segments or its other activities. There are no significant fixed assets attributable to the natural gas reportable segment. | |||||||||
As of March 31, 2015 and December 31, 2014, goodwill for the refined products, natural gas, materials handling and other operations segments amounted to $36.6 million, $18.6 million, $6.9 million and $1.2 million, respectively. |
Financial_Instruments_and_OffB
Financial Instruments and Off-Balance Sheet Risk | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||
Financial Instruments and Off-Balance Sheet Risk | 8. Financial Instruments and Off-Balance Sheet Risk | ||||||||||||||||||||||||
Cash and Cash Equivalents, Accounts Receivable and Debt | |||||||||||||||||||||||||
As of March 31, 2015 and December 31, 2014, the carrying amounts of cash and cash equivalents and accounts receivable approximated fair value because of the short maturity of these instruments. As of March 31, 2015 and December 31, 2014, the carrying value of the Partnership’s debt approximated fair value due to the variable interest nature of these instruments. | |||||||||||||||||||||||||
Derivative Instruments | |||||||||||||||||||||||||
The Partnership utilizes derivative instruments consisting of futures contracts, forward contracts, swaps, options and other derivatives individually or in combination, to mitigate its exposure to fluctuations in prices of refined petroleum products and natural gas. On a limited basis and within the Partnership’s risk management guidelines, the Partnership can utilize derivatives to generate profits from changes in market prices. The Partnership enters into futures and over-the-counter (“OTC”) transactions either on regulated exchanges or in the OTC market. Futures contracts are exchange-traded contractual commitments to either receive or deliver a standard amount or value of a commodity at a specified future date and price, with some futures contracts based on cash settlement rather than a delivery requirement. Futures exchanges typically require margin deposits as security. OTC contracts, which may or may not require margin deposits as security, involve parties that have agreed either to exchange cash payments or deliver or receive the underlying commodity at a specified future date and price. The Partnership posts initial margin with futures transaction brokers, along with variation margin, which is paid or received on a daily basis, and is included in other current assets in the Consolidated Balance Sheets. In addition, the Partnership may either pay or receive margin based upon exposure with counterparties. Payments made by the Partnership are included in other current assets, whereas payments received by the Partnership are included in accrued liabilities in the Consolidated Balance Sheets. Substantially all of the Partnership’s commodity derivative contracts outstanding as of March 31, 2015 will settle prior to September 30, 2016. | |||||||||||||||||||||||||
The Partnership enters into some master netting arrangements to mitigate credit risk with significant counterparties. Master netting arrangements are standardized contracts that govern all specified transactions with the same counterparty and allow the Partnership to terminate all contracts upon occurrence of certain events, such as counterparty’s default. The Partnership has elected not to offset the fair value of its derivatives, even where these arrangements provide the right to do so. | |||||||||||||||||||||||||
The Partnership’s derivative instruments are recorded at fair value, with changes in fair value recognized in net income or other comprehensive income each period as appropriate. The Partnership’s fair value measurements are determined using the market approach and includes non-performance risk and time value of money considerations. Counterparty credit is considered for receivable balances, and the Partnership’s credit is considered for payable balances. | |||||||||||||||||||||||||
The Partnership determines fair value in accordance with Accounting Standards Codification (“ASC”) 820, “Fair Value Measurements and Disclosures” which established a hierarchy for the inputs used to measure the fair value of financial assets and liabilities based on the source of the input, which generally range from quoted prices for identical instruments in a principal trading market (Level 1) to estimates determined using significant unobservable inputs (Level 3). Multiple inputs may be used to measure fair value, however, the level of fair value is based on the lowest significant input level within this fair value hierarchy. | |||||||||||||||||||||||||
Details on the methods and assumptions used to determine the fair values are as follows: | |||||||||||||||||||||||||
Fair value measurements based on Level 1 inputs: Measurements that are most observable and are based on quoted prices of identical instruments obtained from the principal markets in which they are traded. Closing prices are both readily available and representative of fair value. Market transactions occur with sufficient frequency and volume to assure liquidity. | |||||||||||||||||||||||||
Fair value measurements based on Level 2 inputs: Measurements that are derived indirectly from observable inputs or from quoted prices from markets that are less liquid. Measurements based on Level 2 inputs include over-the-counter derivative instruments that are priced on an exchange traded curve, but have contractual terms that are not identical to exchange traded contracts. The Partnership utilizes fair value measurements based on Level 2 inputs for its fixed forward contracts, over-the-counter commodity price swaps and interest rate swaps. The Partnership did not have any transfers between Level 1 and Level 2 fair value measurement during the three months ended March 31, 2015. | |||||||||||||||||||||||||
Fair value measurements based on Level 3 inputs: Measurements that are least observable are estimated from significant unobservable inputs determined from sources with little or no market activity for comparable contracts or for positions with longer durations. | |||||||||||||||||||||||||
The Partnership does not offset fair value amounts recognized for the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) against the fair value of derivative instruments executed with the same counterparty under the same master netting arrangement. The Partnership had no right to reclaim, or obligation to return, cash collateral as of March 31, 2015 or December 31, 2014. | |||||||||||||||||||||||||
The following table presents all financial assets and financial liabilities of the Partnership measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014: | |||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Fair Value | Quoted | Significant | Significant | ||||||||||||||||||||||
Measurement | Prices in | Other | Unobservable | ||||||||||||||||||||||
Active | Observable | Inputs | |||||||||||||||||||||||
Markets | Inputs | Level 3 | |||||||||||||||||||||||
Level 1 | Level 2 | ||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Commodity fixed forwards | $ | 169,186 | $ | — | $ | 169,186 | $ | — | |||||||||||||||||
Commodity swaps and options | 112 | — | 112 | — | |||||||||||||||||||||
Total | $ | 169,298 | $ | — | $ | 169,298 | $ | — | |||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Commodity exchange contracts | $ | 93 | $ | 93 | $ | — | $ | — | |||||||||||||||||
Commodity fixed forwards | 47,508 | — | 47,508 | — | |||||||||||||||||||||
Commodity swaps and options | 7,055 | — | 7,055 | — | |||||||||||||||||||||
Commodity derivatives | 54,656 | 93 | 54,563 | — | |||||||||||||||||||||
Interest rate swaps | 987 | — | 987 | — | |||||||||||||||||||||
Currency swaps | 42 | — | 42 | — | |||||||||||||||||||||
Total | $ | 55,685 | $ | 93 | $ | 55,592 | $ | — | |||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Fair Value | Quoted | Significant | Significant | ||||||||||||||||||||||
Measurement | Prices in | Other | Unobservable | ||||||||||||||||||||||
Active | Observable | Inputs | |||||||||||||||||||||||
Markets | Inputs | Level 3 | |||||||||||||||||||||||
Level 1 | Level 2 | ||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Commodity fixed forwards | $ | 229,679 | $ | — | $ | 229,679 | $ | — | |||||||||||||||||
Commodity swaps and options | 74 | — | 74 | — | |||||||||||||||||||||
Commodity derivatives | 229,753 | — | 229,753 | — | |||||||||||||||||||||
Interest rate swaps | 137 | — | 137 | — | |||||||||||||||||||||
Total | $ | 229,890 | $ | — | $ | 229,890 | $ | — | |||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Commodity exchange contracts | $ | 97 | $ | 97 | $ | — | $ | — | |||||||||||||||||
Commodity fixed forwards | 80,080 | — | 80,080 | — | |||||||||||||||||||||
Commodity swaps and options | 8,424 | — | 8,424 | — | |||||||||||||||||||||
Commodity derivatives | 88,601 | 97 | 88,504 | — | |||||||||||||||||||||
Interest rate swaps | 553 | — | 553 | — | |||||||||||||||||||||
Currency swaps | 22 | — | 22 | — | |||||||||||||||||||||
Total | $ | 89,176 | $ | 97 | $ | 89,079 | $ | — | |||||||||||||||||
The Partnership enters into derivative contracts with counterparties, some of which are subject to master netting arrangements, which allow net settlements under certain conditions. The Partnership presents derivatives at gross fair values in the Consolidated Balance Sheets. The maximum amount of loss due to credit risk that the Partnership would incur if its counterparties failed completely to perform according to the terms of the contracts, based on the gross fair value of these financial instruments, was $169.3 million at March 31, 2015. Information related to these offsetting arrangements as of March 31, 2015 and December 31, 2014 is as follows: | |||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Gross Amount Not Offset in | |||||||||||||||||||||||||
Gross | the Balance Sheet | ||||||||||||||||||||||||
Amounts of | Gross | Amounts of | Financial | Cash | Net Amount | ||||||||||||||||||||
Recognized | Amounts | Assets/ | Instruments | Collateral | |||||||||||||||||||||
Assets/ | Offset in the | Liabilities in | Posted | ||||||||||||||||||||||
Liabilities | Balance Sheet | Balance Sheet | |||||||||||||||||||||||
Fair value of commodity derivative assets | $ | 169,298 | $ | — | $ | 169,298 | $ | (3,371 | ) | $ | (1,147 | ) | $ | 164,780 | |||||||||||
Commodity derivative liabilities | $ | (54,656 | ) | $ | — | $ | (54,656 | ) | $ | 3,371 | $ | — | $ | (51,285 | ) | ||||||||||
Interest rate swap derivative liabilities | (987 | ) | — | (987 | ) | — | — | (987 | ) | ||||||||||||||||
Currency swap derivative liabilities | (42 | ) | — | (42 | ) | — | — | (42 | ) | ||||||||||||||||
Fair value of derivative liabilities | $ | (55,685 | ) | $ | — | $ | (55,685 | ) | $ | 3,371 | $ | — | $ | (52,314 | ) | ||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Gross Amount Not Offset in | |||||||||||||||||||||||||
Gross | the Balance Sheet | ||||||||||||||||||||||||
Amounts of | Gross | Amounts of | Financial | Cash | Net Amount | ||||||||||||||||||||
Recognized | Amounts | Assets/ | Instruments | Collateral | |||||||||||||||||||||
Assets/ | Offset in the | Liabilities in | Posted | ||||||||||||||||||||||
Liabilities | Balance Sheet | Balance Sheet | |||||||||||||||||||||||
Commodity derivative assets | $ | 229,753 | $ | — | $ | 229,753 | $ | (4,831 | ) | $ | (2,417 | ) | $ | 222,505 | |||||||||||
Interest rate swap derivative assets | 137 | — | 137 | — | — | 137 | |||||||||||||||||||
Fair value of derivative assets | $ | 229,890 | $ | — | $ | 229,890 | $ | (4,831 | ) | $ | (2,417 | ) | $ | 222,642 | |||||||||||
Commodity derivative liabilities | $ | (88,601 | ) | $ | — | $ | (88,601 | ) | $ | 4,831 | $ | — | $ | (83,770 | ) | ||||||||||
Interest rate swap derivative liabilities | (553 | ) | — | (553 | ) | — | — | (553 | ) | ||||||||||||||||
Currency swap derivative liabilities | (22 | ) | — | (22 | ) | — | — | (22 | ) | ||||||||||||||||
Fair value of derivative liabilities | $ | (89,176 | ) | $ | — | $ | (89,176 | ) | $ | 4,831 | $ | — | $ | (84,345 | ) | ||||||||||
The following table presents total realized and unrealized gains (losses) on derivative instruments utilized for commodity risk management purposes for the three months ended March 31, 2015 and 2014. Such amounts are included in cost of products sold (exclusive of depreciation and amortization) in the Condensed Consolidated Statements of Operations: | |||||||||||||||||||||||||
Three Months Ended March 31, | |||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Refined products contracts | $ | 61,804 | $ | 6,342 | |||||||||||||||||||||
Natural gas contracts | (4,328 | ) | (13,693 | ) | |||||||||||||||||||||
Total | $ | 57,476 | $ | (7,351 | ) | ||||||||||||||||||||
There were no discretionary trading activities for the three months ended March 31, 2015 and 2014. The following table presents the gross volume of commodity derivative instruments outstanding as of March 31, 2015 and December 31, 2014: | |||||||||||||||||||||||||
As of March 31, 2015 | As of December 31, 2014 | ||||||||||||||||||||||||
Refined Products | Natural Gas | Refined Products | Natural Gas | ||||||||||||||||||||||
(Barrels) | (MMBTUs) | (Barrels) | (MMBTUs) | ||||||||||||||||||||||
Long contracts | 8,711 | 117,614 | 10,823 | 131,376 | |||||||||||||||||||||
Short contracts | (11,793 | ) | (71,417 | ) | (15,434 | ) | (82,796 | ) | |||||||||||||||||
Interest Rate Derivatives | |||||||||||||||||||||||||
The Partnership has entered into interest rate swaps to manage its exposure to changes in interest rates on its Credit Agreement. The Partnership’s interest rate swaps hedge actual and forecasted LIBOR borrowings and have been designated as cash flow hedges. Counterparties to the Partnership’s interest rate swaps are large multinational banks and the Partnership does not believe there is a material risk of counterparty non-performance. | |||||||||||||||||||||||||
At March 31, 2015, the Partnership held six interest rate swaps with a total notional value of $175.0 million whose swap periods began in January 2015, expiring in January 2016; and five interest rate swaps with a total notional value of $150.0 million whose swap periods begin in January 2016, expiring in January 2017. There was no material ineffectiveness determined for the cash flow hedges for the three months ended March 31, 2015 and 2014. | |||||||||||||||||||||||||
The Partnership records unrealized gains and losses on its interest rate swaps as a component of accumulated other comprehensive loss, net of tax, which is reclassified to earnings as interest expense when the payments are made. As of March 31, 2015, the amount of unrealized losses, net of tax, expected to be reclassified to earnings during the following twelve-month period was approximately $0.5 million. | |||||||||||||||||||||||||
Currency Derivatives | |||||||||||||||||||||||||
Kildair enters into forward currency contracts to manage the risk of currency rate fluctuations between its Canadian dollar denominated activity and the U.S. dollar, which is its functional currency. At March 31, 2015, Kildair has entered into a series of forward currency swaps that mature through April 2015. The contracts obligate Kildair to purchase $10.0 million in Canadian dollars at an exchange rate of 1.2734 to 1. The Canadian to U.S. dollar exchange rate was 1.2666 to 1 at March 31, 2015. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 9. Commitments and Contingencies |
Legal, Environmental and Other Proceedings | |
The Partnership is involved in various lawsuits, other proceedings and environmental matters, all of which arose in the normal course of business. The Partnership believes, based upon its examination of currently available information, its experience to date, and advice from legal counsel, that the individual and aggregate liabilities resulting from the resolution of these contingent matters will not have a material adverse impact on the Partnership’s consolidated results of operations, financial position or cash flows. |
EquityBased_Compensation
Equity-Based Compensation | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||
Equity-Based Compensation | 10. Equity-Based Compensation | ||||||||||||||||||||||||
On July 11, 2014, the board of directors of the General Partner approved that under the annual bonus program which is provided to substantially all employees, bonuses for the majority of participants will be settled in cash with others receiving a combination of cash and common units. The Partnership records the entire expected bonus payment as a liability until a grant date has been established and awards finalized, which occurs in the first quarter of the following year. During the three months ended March 31, 2015, $4.9 million of the annual bonus expense accrual as of December 31, 2014 was settled by issuing 200,775 common units and the Partnership withheld from the recipients 67,141 common units (estimated fair value of $1.7 million) to satisfy minimum tax withholding obligations. The Partnership estimates that $3.3 million of the annual bonus expense recorded during the three months ended March 31, 2015 will be settled in common units. | |||||||||||||||||||||||||
The board of directors of the General Partner grants performance-based phantom unit awards to key employees that vest if certain performance criteria are met. Upon vesting, a holder of performance-based phantom units is entitled to receive a number of common units of the Partnership equal to a percentage (between 0 to 200 percent) of the target phantom units granted, based on the Partnership’s total unitholder return over the vesting period, compared with the total unitholder return of a peer group of other master limited partnership energy companies over the same period. The Partnership’s performance-based phantom unit awards are equity awards with both service and market-based conditions, which results in the compensation cost for these awards being recognized over the requisite service period, provided that the requisite service period is fulfilled, regardless of when, if ever, the market based conditions are satisfied. The fair value of the performance-based phantom units granted is estimated based on a Monte Carlo model that estimated the most likely performance outcome based on the terms of the award. The key inputs in the model include the market price of the Partnership’s common units as of the valuation date, the historical volatility of the market price of the Partnership’s common units, the historical volatility of the market price of the common units or common stock of the peer companies and the correlation between changes in the market price of the Partnership’s common units and those of the peer companies. | |||||||||||||||||||||||||
The fair value of the performance-based phantom units granted on March 5, 2015 was estimated to be $4.5 million based on a Monte Carlo simulation using a weighted average volatility of 32.9% and a weighted average risk free rate of 0.98%. | |||||||||||||||||||||||||
Based on the total unitholder return calculation, the performance-based phantom units with a performance period ending as of December 31, 2014 vested at the 200% level and as a result 74,048 common units were issued during the three months ended March 31, 2015. In connection with these vested awards, the Partnership withheld from the recipients 24,605 units (estimated fair value of $0.6 million) to satisfy minimum tax withholding obligations. | |||||||||||||||||||||||||
Total unrecognized compensation cost related to performance-based phantom units totaled $5.4 million as of March 31, 2015, which is expected to be recognized over a period of 33 months. Performance-based phantom units accrue dividend equivalents which are recorded as liabilities over the requisite service period and are paid in cash upon vesting of the underlying performance-based phantom unit. | |||||||||||||||||||||||||
A summary of the Partnership’s unit awards subject to vesting for the three months ended March 31, 2015 is set forth below: | |||||||||||||||||||||||||
Restricted Units | Time Based | Performance-Based | |||||||||||||||||||||||
Phantom Units | Phantom Units | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | Units | Weighted | ||||||||||||||||||||
Average | Average | Average | |||||||||||||||||||||||
Grant Date | Grant Date | Grant Date | |||||||||||||||||||||||
Fair Value | Fair Value | Fair Value | |||||||||||||||||||||||
(per unit) | (per unit) | (per unit) | |||||||||||||||||||||||
Nonvested at December 31, 2014 | 4,444 | $ | 17.33 | 23,685 | $ | 20.16 | 111,075 | $ | 36.88 | ||||||||||||||||
Granted | — | — | — | — | 141,000 | $ | 31.58 | ||||||||||||||||||
Forfeited | — | — | — | — | — | — | |||||||||||||||||||
Vested | — | — | (13,766 | ) | $ | (20.16 | ) | — | — | ||||||||||||||||
Nonvested at March 31, 2015 | 4,444 | $ | 17.33 | 9,919 | $ | 20.16 | 252,075 | $ | 33.92 | ||||||||||||||||
The following table provides information with respect to changes in the Partnership’s units: | |||||||||||||||||||||||||
Common Units | |||||||||||||||||||||||||
Public | Sprague | Subordinated | |||||||||||||||||||||||
Holdings | Units | ||||||||||||||||||||||||
Balance as of December 31, 2013 | 8,506,666 | 1,571,970 | 10,071,970 | ||||||||||||||||||||||
Employee and Director vested awards | 27,401 | — | — | ||||||||||||||||||||||
Units issued in connection with Castle acquisition | 243,855 | — | — | ||||||||||||||||||||||
Units issued in connection with Kildair acquisition | — | 462,408 | — | ||||||||||||||||||||||
Balance as of December 31, 2014 | 8,777,922 | 2,034,378 | 10,071,970 | ||||||||||||||||||||||
Units issued in connection with employee bonus | 133,634 | — | — | ||||||||||||||||||||||
Units issued in connection with employee phantom awards | 58,358 | — | — | ||||||||||||||||||||||
Balance as of March 31, 2015 | 8,969,914 | 2,034,378 | 10,071,970 | ||||||||||||||||||||||
Unit-based compensation recorded in unitholders’ equity for the three months ended March 31, 2015 and 2014 was $0.8 million and $0.5 million, respectively, and is included in selling, general and administrative expenses. Units issued under the Partnership’s LTIP are newly issued. |
Earnings_Per_Unit
Earnings Per Unit | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Earnings Per Unit | 11. Earnings Per Unit | ||||||||||||
Earnings per unit applicable to limited partners (including subordinated unitholders) is computed by dividing limited partners’ interest in net income, after deducting any incentive distributions, by the weighted-average number of outstanding common and subordinated units. The Partnership’s net income is allocated to the limited partners in accordance with their respective partnership percentages, after giving effect to priority income allocations for incentive distributions, if any, to Sprague Holdings, the holder of the IDRs, pursuant to the partnership agreement, which are declared and paid following the close of each quarter. Earnings (losses) per unit is only calculated for the Partnership after the IPO as no units were outstanding prior to October 30, 2013. Earnings in excess of distributions are allocated to the limited partners based on their respective ownership interests. Payments made to the Partnership’s unitholders are determined in relation to actual distributions declared and are not based on the net income allocations used in the calculation of earnings per unit. | |||||||||||||
In addition to the common and subordinated units, the Partnership has also identified the IDRs and unvested unit awards as participating securities and uses the two-class method when calculating the net income per unit applicable to limited partners, which is based on the weighted-average number of common units outstanding during the period. Diluted earnings per unit includes the effects of potentially dilutive units on the Partnership’s common units, consisting of unvested unit awards. Basic and diluted earnings per unit applicable to subordinated limited partners are the same because there are no potentially dilutive subordinated units outstanding. | |||||||||||||
The following table shows the weighted average common units outstanding used to compute net income per common unit for the three months ended March 31, 2015 and 2014: | |||||||||||||
Three Months Ended | |||||||||||||
March 31, | |||||||||||||
2015 | 2014 | ||||||||||||
Weighted average limited partner common units - basic | 10,897,488 | 10,072,186 | |||||||||||
Dilutive effect of unvested restricted and phantom units | 167,022 | 990 | |||||||||||
Weighted average limited partner common units - dilutive | 11,064,510 | 10,073,176 | |||||||||||
The following table presents the Partnership’s basic earnings per common and subordinated unit for the three months ended March 31, 2015 and 2014: | |||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||
Common | Subordinated | Total | |||||||||||
Units | Units | ||||||||||||
(in thousands, except for per unit amounts) | |||||||||||||
Limited partners’ interest in net income | $ | 43,939 | |||||||||||
Distributions declared | $ | 5,204 | $ | 4,759 | $ | 9,963 | |||||||
Assumed net income from operations after distributions | 17,630 | 16,346 | 33,976 | ||||||||||
Assumed net income to be allocated | $ | 22,834 | $ | 21,105 | $ | 43,939 | |||||||
Earnings per unit - basic | $ | 2.1 | $ | 2.1 | |||||||||
Earnings per unit - diluted | $ | 2.06 | $ | 2.1 | |||||||||
Three Months Ended March 31, 2014 | |||||||||||||
Common | Subordinated | Total | |||||||||||
Units | Units | ||||||||||||
(in thousands, except for per unit amounts) | |||||||||||||
Limited partners’ interest in net income | $ | 75,335 | |||||||||||
Distributions declared | $ | 4,165 | $ | 4,155 | $ | 8,320 | |||||||
Assumed net income from operations after distributions. | 33,503 | 33,512 | 67,015 | ||||||||||
Assumed net income to be allocated | $ | 37,668 | $ | 37,667 | $ | 75,335 | |||||||
Earnings per unit - basic | $ | 3.74 | $ | 3.74 | |||||||||
Earnings per unit - diluted | $ | 3.74 | $ | 3.74 |
Partnership_Distributions
Partnership Distributions | 3 Months Ended |
Mar. 31, 2015 | |
Equity [Abstract] | |
Partnership Distributions | 12. Partnership Distributions |
The Partnership agreement sets forth the calculation to be used to determine the amount and priority of cash distributions that the common and subordinated unitholders will receive. | |
On January 28, 2015, the Partnership declared a cash distribution totaling $9.6 million, or $0.4575 per unit for the three months ended December 31, 2014. Such distribution was paid on February 13, 2015, to unitholders of record on February 9, 2015. |
Subsequent_Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Event | 13. Subsequent Event |
On April 29, 2015, the Partnership declared a cash distribution totaling $10.0 million, or $0.4725 per unit for the three months ended March 31, 2015, payable on May 15, 2015, to unitholders of record on May 11, 2015. |
Description_of_Business_and_Su1
Description of Business and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation |
The Condensed Consolidated Financial Statements include the accounts of the Partnership and its wholly-owned subsidiaries. Intercompany transactions between the Partnership, and its subsidiaries have been eliminated. The accompanying unaudited condensed consolidated financial statements were prepared in accordance with the requirements of the Securities and Exchange Commission (“SEC”) for interim financial information. As permitted under those rules, certain notes or other financial information that are normally required by U.S. generally accepted accounting principles (“GAAP”) to be included in annual financial statements have been condensed or omitted from these interim financial statements. These interim financial statements should be read in conjunction with the consolidated financial statements and related notes of the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2014 as filed with the SEC on March 16, 2015 (the “2014 Annual Report”). | |
The significant accounting policies are described in Note 1 “Description of Business and Summary of Significant Accounting Policies” in the Partnership’s audited consolidated financial statements, included in the 2014 Annual Report, and are the same as are used in preparing these unaudited interim condensed consolidated financial statements. | |
The unaudited results of operations for the interim periods reported are not necessarily indicative of results to be expected for the full year. Demand for some of the Partnership’s refined petroleum products, specifically heating oil and residual oil for space heating purposes, and to a lesser extent natural gas, are generally higher during the first and fourth quarters of the calendar year which may result in significant fluctuations in the Partnership’s quarterly operating results. | |
Use of Estimates | Use of Estimates |
The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheet and the reported revenues and expenses in the income statement. Actual results could differ from those estimates. Among the estimates made by management are asset valuations, the fair value of derivative assets and liabilities, environmental and legal obligations and income taxes. | |
New Accounting Guidance | New Accounting Guidance |
In April 2015, the Financial Accounting Standards Board issued Accounting Standard Update 2015-06, Earnings Per Share (Topic 260): Effects on Historical Earnings per Unit of Master Limited Partnership Dropdown Transactions (a consensus of the Emerging Issues Task Force). The Partnership is currently evaluating the potential impact of this guidance, however at this time we do not believe that the application of this ASU will result in changes to the Partnership’s presentation of earnings per unit or related disclosures in connection with the Partnership’s 2014 dropdown transaction. This guidance is effective for fiscal years beginning after December 15, 2015 and interim periods within those fiscal years and is to be applied on a retrospective basis. | |
In April 2015, the Financial Accounting Standards Board issued Accounting Standard Update 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. The Partnership has not yet adopted the provisions of this guidance which is effective for annual reporting periods beginning after December 15, 2015, and interim periods within those fiscal years. As of March 31, 2015 and December 31, 2014, the Partnership’s unamortized debt issuance costs were $16.9 million and $15.5 million respectively. | |
In May 2014, the Financial Accounting Standards Board issued Accounting Standard Update 2014-09, Revenue from Contracts with Customers, which revises the principles of revenue recognition from one based on the transfer of risks and rewards to when a customer obtains control of a good or service. The Partnership is currently evaluating the potential impact of this guidance which is effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period. |
Business_Combinations_Tables
Business Combinations (Tables) | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Summary of Business Acquisition, Pro Forma Consolidated Net Sales and Net Income | The following represents the unaudited pro forma consolidated net sales and net income as if Castle had been included in the unaudited consolidated results of the Partnership for the three months ended March 31, 2014. | ||||
Three Months Ended | |||||
March 31, 2014 | |||||
Net sales | $ | 2,435,524 | |||
Net income | $ | 83,039 | |||
Limited partners’ interest in net income | $ | 85,242 | |||
Net income per limited partner common unit - basic | $ | 4.18 | |||
Net income per limited partner common unit - diluted | $ | 4.18 | |||
Metromedia Energy [Member] | |||||
Summary of Fair Values of Assets Acquired and Liabilities Assumed at Acquisition Date | The following table summarizes the fair values of the assets acquired and liabilities assumed at the acquisition date. | ||||
Inventories | $ | 1,365 | |||
Derivative assets | 24,971 | ||||
Other current assets | 543 | ||||
Intangible assets | 13,900 | ||||
Natural gas transportation assets | 39,427 | ||||
Other long term assets | 6,683 | ||||
Property, plant and equipment | 556 | ||||
Total identifiable assets acquired | 87,445 | ||||
Derivative liabilities | 67,413 | ||||
Other current liabilities | 52 | ||||
Natural gas transportation liabilities | 1,458 | ||||
Total liabilities assumed | 68,923 | ||||
Net identifiable assets acquired | 18,522 | ||||
Goodwill | 14,243 | ||||
Net assets acquired | $ | 32,765 | |||
Castle Oil [Member] | |||||
Summary of Fair Values of Assets Acquired and Liabilities Assumed at Acquisition Date | The following summarizes the preliminary fair values of the assets acquired and liabilities assumed: | ||||
Inventories | $ | 36,512 | |||
Derivative assets | 4,837 | ||||
Other current assets and prepaids | 533 | ||||
Property, plant and equipment | 49,879 | ||||
Intangibles and other assets | 5,046 | ||||
Total identifiable assets acquired | 96,807 | ||||
Accrued liabilities | 2,018 | ||||
Derivative liabilities | 390 | ||||
Long term capital leases | 1,481 | ||||
Other liabilities | 761 | ||||
Total liabilities assumed | 4,650 | ||||
Net assets acquired | $ | 92,157 | |||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss, Net of Tax (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Equity [Abstract] | |||||||||
Schedule of Accumulated Other Comprehensive Loss, Net of Tax | Amounts included in accumulated other comprehensive loss, net of tax, consisted of the following: | ||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Fair value of interest rate swaps, net of tax | $ | (959 | ) | $ | (406 | ) | |||
Cumulative foreign currency translation adjustment | (10,776 | ) | (9,427 | ) | |||||
Accumulated other comprehensive loss, net of tax | $ | (11,735 | ) | $ | (9,833 | ) | |||
Summary of Changes in Accumulated Other Comprehensive Loss Related to Foreign Currency Translation | A summary of the changes in accumulated other comprehensive loss related to foreign currency translation is as follows: | ||||||||
Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
Balance - beginning of period | $ | (9,427 | ) | $ | (8,284 | ) | |||
Foreign currency translation adjustment | (1,349 | ) | (459 | ) | |||||
Balance - end of period | $ | (10,776 | ) | $ | (8,743 | ) | |||
Inventories_Tables
Inventories (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Schedule of Inventories | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Petroleum and related products | $ | 196,764 | $ | 366,431 | |||||
Asphalt | 18,595 | 18,357 | |||||||
Coal | 1,907 | 2,380 | |||||||
Natural gas | 646 | 3,387 | |||||||
Inventories | $ | 217,912 | $ | 390,555 | |||||
Debt_Tables
Debt (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Schedule of Debt | |||||||||
March 31, | December 31, | ||||||||
2015 | 2014 | ||||||||
Current debt | |||||||||
Credit agreement | $ | 258,460 | $ | 396,961 | |||||
Other | 218 | 253 | |||||||
Current debt | 258,678 | 397,214 | |||||||
Long-term debt | |||||||||
Credit agreement | 469,240 | 417,789 | |||||||
Other | 468 | 567 | |||||||
Long-term debt | 469,708 | 418,356 | |||||||
Total debt | $ | 728,386 | $ | 815,570 | |||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Summary of Financial Information for Partnership's Reportable Segments | Summarized financial information for the Partnership’s reportable segments for the three months ended March 31, 2015 and 2014 is presented in the table below: | ||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Net sales: | |||||||||
Refined products | $ | 1,431,845 | $ | 1,844,973 | |||||
Natural gas | 146,679 | 134,340 | |||||||
Materials handling | 10,184 | 8,079 | |||||||
Other operations | 9,650 | 7,307 | |||||||
Net sales | $ | 1,598,358 | $ | 1,994,699 | |||||
Adjusted gross margin(1): | |||||||||
Refined products | $ | 66,306 | $ | 51,530 | |||||
Natural gas | 34,817 | 35,344 | |||||||
Materials handling | 10,184 | 8,077 | |||||||
Other operations | 2,983 | 1,336 | |||||||
Adjusted gross margin | 114,290 | 96,287 | |||||||
Reconciliation to operating income(2): | |||||||||
Add: unrealized gain (loss) on inventory(3) | (3,534 | ) | 5,866 | ||||||
Add: unrealized gain (loss) on natural gas transportation contracts(4) | (2,771 | ) | 28,127 | ||||||
Operating costs and expenses not allocated to operating segments: | |||||||||
Operating expenses | (18,883 | ) | (16,838 | ) | |||||
Selling, general and administrative | (32,381 | ) | (27,411 | ) | |||||
Depreciation and amortization | (4,992 | ) | (3,955 | ) | |||||
Operating income | 51,729 | 82,076 | |||||||
Other income | 514 | — | |||||||
Interest income | 112 | 110 | |||||||
Interest expense | (7,766 | ) | (8,016 | ) | |||||
Income tax provision | (650 | ) | (1,038 | ) | |||||
Net income | $ | 43,939 | $ | 73,132 | |||||
1) | Adjusted gross margin is a non-GAAP financial measure used by management and external users of the Partnership’s consolidated financial statements to assess the Partnership’s economic results of operations and its market value reporting to lenders. The Partnership adjusts its segment results for the impact of unrealized hedging gains and losses with regard to refined products and natural gas inventory and natural gas transportation contracts relating to the underlying commodity derivative hedges, which are not marked to market for the purpose of recording unrealized gains or losses in net income (loss). These adjustments align the unrealized hedging gains and losses to the period in which the revenue from the sale of inventory and the utilization of transportation contracts relating to those hedges is realized in net income. | ||||||||
-2 | Reconciliation of adjusted gross margin to operating income, the most directly comparable GAAP measure. | ||||||||
-3 | Inventory is valued at the lower of cost or market. The fair value of the derivatives the Partnership uses to economically hedge its inventory declines or appreciates in value as the value of the underlying inventory appreciates or declines, which creates unrealized hedging losses (gains) with respect to the derivatives that are included in net income. | ||||||||
-4 | The unrealized hedging (gain) loss on natural gas transportation contracts represents the Partnership’s estimate of the change in fair value of the natural gas transportation contracts which are not recorded in net income (loss) until the transportation is utilized in the future (i.e., when natural gas is delivered to the customer), as these contracts are executory contracts that do not qualify as derivatives. As the fair value of the natural gas transportation contracts decline or appreciate, the offsetting physical or financial derivative will also appreciate or decline creating ‘unmatched’ unrealized hedging losses (gains) in net income. |
Financial_Instruments_and_OffB1
Financial Instruments and Off-Balance Sheet Risk (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||
Summary of Financial Assets and Financial Liabilities of Partnership Measured at Fair Value on Recurring Basis | The following table presents all financial assets and financial liabilities of the Partnership measured at fair value on a recurring basis as of March 31, 2015 and December 31, 2014: | ||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Fair Value | Quoted | Significant | Significant | ||||||||||||||||||||||
Measurement | Prices in | Other | Unobservable | ||||||||||||||||||||||
Active | Observable | Inputs | |||||||||||||||||||||||
Markets | Inputs | Level 3 | |||||||||||||||||||||||
Level 1 | Level 2 | ||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Commodity fixed forwards | $ | 169,186 | $ | — | $ | 169,186 | $ | — | |||||||||||||||||
Commodity swaps and options | 112 | — | 112 | — | |||||||||||||||||||||
Total | $ | 169,298 | $ | — | $ | 169,298 | $ | — | |||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Commodity exchange contracts | $ | 93 | $ | 93 | $ | — | $ | — | |||||||||||||||||
Commodity fixed forwards | 47,508 | — | 47,508 | — | |||||||||||||||||||||
Commodity swaps and options | 7,055 | — | 7,055 | — | |||||||||||||||||||||
Commodity derivatives | 54,656 | 93 | 54,563 | — | |||||||||||||||||||||
Interest rate swaps | 987 | — | 987 | — | |||||||||||||||||||||
Currency swaps | 42 | — | 42 | — | |||||||||||||||||||||
Total | $ | 55,685 | $ | 93 | $ | 55,592 | $ | — | |||||||||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Fair Value | Quoted | Significant | Significant | ||||||||||||||||||||||
Measurement | Prices in | Other | Unobservable | ||||||||||||||||||||||
Active | Observable | Inputs | |||||||||||||||||||||||
Markets | Inputs | Level 3 | |||||||||||||||||||||||
Level 1 | Level 2 | ||||||||||||||||||||||||
Financial assets: | |||||||||||||||||||||||||
Commodity fixed forwards | $ | 229,679 | $ | — | $ | 229,679 | $ | — | |||||||||||||||||
Commodity swaps and options | 74 | — | 74 | — | |||||||||||||||||||||
Commodity derivatives | 229,753 | — | 229,753 | — | |||||||||||||||||||||
Interest rate swaps | 137 | — | 137 | — | |||||||||||||||||||||
Total | $ | 229,890 | $ | — | $ | 229,890 | $ | — | |||||||||||||||||
Financial liabilities: | |||||||||||||||||||||||||
Commodity exchange contracts | $ | 97 | $ | 97 | $ | — | $ | — | |||||||||||||||||
Commodity fixed forwards | 80,080 | — | 80,080 | — | |||||||||||||||||||||
Commodity swaps and options | 8,424 | — | 8,424 | — | |||||||||||||||||||||
Commodity derivatives | 88,601 | 97 | 88,504 | — | |||||||||||||||||||||
Interest rate swaps | 553 | — | 553 | — | |||||||||||||||||||||
Currency swaps | 22 | — | 22 | — | |||||||||||||||||||||
Total | $ | 89,176 | $ | 97 | $ | 89,079 | $ | — | |||||||||||||||||
Summary of Offsetting Arrangements | Information related to these offsetting arrangements as of March 31, 2015 and December 31, 2014 is as follows: | ||||||||||||||||||||||||
As of March 31, 2015 | |||||||||||||||||||||||||
Gross Amount Not Offset in | |||||||||||||||||||||||||
Gross | the Balance Sheet | ||||||||||||||||||||||||
Amounts of | Gross | Amounts of | Financial | Cash | Net Amount | ||||||||||||||||||||
Recognized | Amounts | Assets/ | Instruments | Collateral | |||||||||||||||||||||
Assets/ | Offset in the | Liabilities in | Posted | ||||||||||||||||||||||
Liabilities | Balance Sheet | Balance Sheet | |||||||||||||||||||||||
Fair value of commodity derivative assets | $ | 169,298 | $ | — | $ | 169,298 | $ | (3,371 | ) | $ | (1,147 | ) | $ | 164,780 | |||||||||||
Commodity derivative liabilities | $ | (54,656 | ) | $ | — | $ | (54,656 | ) | $ | 3,371 | $ | — | $ | (51,285 | ) | ||||||||||
Interest rate swap derivative liabilities | (987 | ) | — | (987 | ) | — | — | (987 | ) | ||||||||||||||||
Currency swap derivative liabilities | (42 | ) | — | (42 | ) | — | — | (42 | ) | ||||||||||||||||
Fair value of derivative liabilities | $ | (55,685 | ) | $ | — | $ | (55,685 | ) | $ | 3,371 | $ | — | $ | (52,314 | ) | ||||||||||
As of December 31, 2014 | |||||||||||||||||||||||||
Gross Amount Not Offset in | |||||||||||||||||||||||||
Gross | the Balance Sheet | ||||||||||||||||||||||||
Amounts of | Gross | Amounts of | Financial | Cash | Net Amount | ||||||||||||||||||||
Recognized | Amounts | Assets/ | Instruments | Collateral | |||||||||||||||||||||
Assets/ | Offset in the | Liabilities in | Posted | ||||||||||||||||||||||
Liabilities | Balance Sheet | Balance Sheet | |||||||||||||||||||||||
Commodity derivative assets | $ | 229,753 | $ | — | $ | 229,753 | $ | (4,831 | ) | $ | (2,417 | ) | $ | 222,505 | |||||||||||
Interest rate swap derivative assets | 137 | — | 137 | — | — | 137 | |||||||||||||||||||
Fair value of derivative assets | $ | 229,890 | $ | — | $ | 229,890 | $ | (4,831 | ) | $ | (2,417 | ) | $ | 222,642 | |||||||||||
Commodity derivative liabilities | $ | (88,601 | ) | $ | — | $ | (88,601 | ) | $ | 4,831 | $ | — | $ | (83,770 | ) | ||||||||||
Interest rate swap derivative liabilities | (553 | ) | — | (553 | ) | — | — | (553 | ) | ||||||||||||||||
Currency swap derivative liabilities | (22 | ) | — | (22 | ) | — | — | (22 | ) | ||||||||||||||||
Fair value of derivative liabilities | $ | (89,176 | ) | $ | — | $ | (89,176 | ) | $ | 4,831 | $ | — | $ | (84,345 | ) | ||||||||||
Summary of Realized and Unrealized Gains (Losses) on Derivative Instruments for Commodity Risk Management | The following table presents total realized and unrealized gains (losses) on derivative instruments utilized for commodity risk management purposes for the three months ended March 31, 2015 and 2014. Such amounts are included in cost of products sold (exclusive of depreciation and amortization) in the Condensed Consolidated Statements of Operations: | ||||||||||||||||||||||||
Three Months Ended March 31, | |||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Refined products contracts | $ | 61,804 | $ | 6,342 | |||||||||||||||||||||
Natural gas contracts | (4,328 | ) | (13,693 | ) | |||||||||||||||||||||
Total | $ | 57,476 | $ | (7,351 | ) | ||||||||||||||||||||
Schedule of Gross Volume of Commodity Derivative Instruments Outstanding | The following table presents the gross volume of commodity derivative instruments outstanding as of March 31, 2015 and December 31, 2014: | ||||||||||||||||||||||||
As of March 31, 2015 | As of December 31, 2014 | ||||||||||||||||||||||||
Refined Products | Natural Gas | Refined Products | Natural Gas | ||||||||||||||||||||||
(Barrels) | (MMBTUs) | (Barrels) | (MMBTUs) | ||||||||||||||||||||||
Long contracts | 8,711 | 117,614 | 10,823 | 131,376 | |||||||||||||||||||||
Short contracts | (11,793 | ) | (71,417 | ) | (15,434 | ) | (82,796 | ) |
EquityBased_Compensation_Table
Equity-Based Compensation (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||
Summary of Partnership's Unit Awards Subject to Vesting | A summary of the Partnership’s unit awards subject to vesting for the three months ended March 31, 2015 is set forth below: | ||||||||||||||||||||||||
Restricted Units | Time Based | Performance-Based | |||||||||||||||||||||||
Phantom Units | Phantom Units | ||||||||||||||||||||||||
Units | Weighted | Units | Weighted | Units | Weighted | ||||||||||||||||||||
Average | Average | Average | |||||||||||||||||||||||
Grant Date | Grant Date | Grant Date | |||||||||||||||||||||||
Fair Value | Fair Value | Fair Value | |||||||||||||||||||||||
(per unit) | (per unit) | (per unit) | |||||||||||||||||||||||
Nonvested at December 31, 2014 | 4,444 | $ | 17.33 | 23,685 | $ | 20.16 | 111,075 | $ | 36.88 | ||||||||||||||||
Granted | — | — | — | — | 141,000 | $ | 31.58 | ||||||||||||||||||
Forfeited | — | — | — | — | — | — | |||||||||||||||||||
Vested | — | — | (13,766 | ) | $ | (20.16 | ) | — | — | ||||||||||||||||
Nonvested at March 31, 2015 | 4,444 | $ | 17.33 | 9,919 | $ | 20.16 | 252,075 | $ | 33.92 | ||||||||||||||||
Schedule of Changes in Partnership's Units | The following table provides information with respect to changes in the Partnership’s units: | ||||||||||||||||||||||||
Common Units | |||||||||||||||||||||||||
Public | Sprague | Subordinated | |||||||||||||||||||||||
Holdings | Units | ||||||||||||||||||||||||
Balance as of December 31, 2013 | 8,506,666 | 1,571,970 | 10,071,970 | ||||||||||||||||||||||
Employee and Director vested awards | 27,401 | — | — | ||||||||||||||||||||||
Units issued in connection with Castle acquisition | 243,855 | — | — | ||||||||||||||||||||||
Units issued in connection with Kildair acquisition | — | 462,408 | — | ||||||||||||||||||||||
Balance as of December 31, 2014 | 8,777,922 | 2,034,378 | 10,071,970 | ||||||||||||||||||||||
Units issued in connection with employee bonus | 133,634 | — | — | ||||||||||||||||||||||
Units issued in connection with employee phantom awards | 58,358 | — | — | ||||||||||||||||||||||
Balance as of March 31, 2015 | 8,969,914 | 2,034,378 | 10,071,970 | ||||||||||||||||||||||
Earnings_Per_Unit_Tables
Earnings Per Unit (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Earnings Per Share [Abstract] | |||||||||||||
Summary of Weighted Average Common Units Outstanding | The following table shows the weighted average common units outstanding used to compute net income per common unit for the three months ended March 31, 2015 and 2014: | ||||||||||||
Three Months Ended | |||||||||||||
March 31, | |||||||||||||
2015 | 2014 | ||||||||||||
Weighted average limited partner common units - basic | 10,897,488 | 10,072,186 | |||||||||||
Dilutive effect of unvested restricted and phantom units | 167,022 | 990 | |||||||||||
Weighted average limited partner common units - dilutive | 11,064,510 | 10,073,176 | |||||||||||
Schedule of Partnership's Basic Earnings Per Common and Subordinated Unit | The following table presents the Partnership’s basic earnings per common and subordinated unit for the three months ended March 31, 2015 and 2014: | ||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||
Common | Subordinated | Total | |||||||||||
Units | Units | ||||||||||||
(in thousands, except for per unit amounts) | |||||||||||||
Limited partners’ interest in net income | $ | 43,939 | |||||||||||
Distributions declared | $ | 5,204 | $ | 4,759 | $ | 9,963 | |||||||
Assumed net income from operations after distributions | 17,630 | 16,346 | 33,976 | ||||||||||
Assumed net income to be allocated | $ | 22,834 | $ | 21,105 | $ | 43,939 | |||||||
Earnings per unit - basic | $ | 2.1 | $ | 2.1 | |||||||||
Earnings per unit - diluted | $ | 2.06 | $ | 2.1 | |||||||||
Three Months Ended March 31, 2014 | |||||||||||||
Common | Subordinated | Total | |||||||||||
Units | Units | ||||||||||||
(in thousands, except for per unit amounts) | |||||||||||||
Limited partners’ interest in net income | $ | 75,335 | |||||||||||
Distributions declared | $ | 4,165 | $ | 4,155 | $ | 8,320 | |||||||
Assumed net income from operations after distributions. | 33,503 | 33,512 | 67,015 | ||||||||||
Assumed net income to be allocated | $ | 37,668 | $ | 37,667 | $ | 75,335 | |||||||
Earnings per unit - basic | $ | 3.74 | $ | 3.74 | |||||||||
Earnings per unit - diluted | $ | 3.74 | $ | 3.74 |
Description_of_Business_and_Su2
Description of Business and Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 | Oct. 01, 2012 |
Segment | bbl | ||
Nature Of Business And Basis Of Presentation [Line Items] | |||
Limited partnership formation date | 23-Jun-11 | ||
Number of reporting operating segments | 4 | ||
Distributions from distributable cash flow | $0.47 | ||
Unamortized debt issuance costs | $16.90 | $15.50 | |
Common Units [Member] | |||
Nature Of Business And Basis Of Presentation [Line Items] | |||
Distribution amount per share | $0.41 | ||
Maximum [Member] | |||
Nature Of Business And Basis Of Presentation [Line Items] | |||
Percentages incentive distribution rights | 50.00% | ||
Sprague Holdings [Member] | |||
Nature Of Business And Basis Of Presentation [Line Items] | |||
Common units issued | 2,034,378 | ||
Percentage of limited partnership interest | 57.00% | ||
Subordinated Units [Member] | Sprague Holdings [Member] | |||
Nature Of Business And Basis Of Presentation [Line Items] | |||
Common units issued | 10,071,970 | ||
Predecessor [Member] | |||
Nature Of Business And Basis Of Presentation [Line Items] | |||
Number of terminals owned | 19 | ||
Number of reporting operating segments | 4 | ||
Predecessor [Member] | Kildair [Member] | |||
Nature Of Business And Basis Of Presentation [Line Items] | |||
Storage capacity related to Kildair | 3,300,000 |
Business_Combinations_Addition
Business Combinations - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | |
In Millions, unless otherwise specified | Oct. 01, 2014 | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 09, 2014 | Dec. 08, 2014 |
Metromedia Energy [Member] | |||||
Business Acquisition [Line Items] | |||||
Business acquisition, effective date of acquisition | 1-Oct-14 | ||||
Business acquisition, purchase price | $32.80 | ||||
Acquisition related costs | 0.1 | ||||
Payments to acquire businesses | 22 | ||||
Kildair [Member] | |||||
Business Acquisition [Line Items] | |||||
Business acquisition, effective date of acquisition | 9-Dec-14 | ||||
Business acquisition, purchase price | 175 | ||||
Business acquisition, common stock value | 10 | ||||
Acquisition related costs | 1.7 | ||||
Castle Oil [Member] | |||||
Business Acquisition [Line Items] | |||||
Business acquisition, effective date of acquisition | 8-Dec-14 | ||||
Business acquisition, purchase price | 45.3 | ||||
Business acquisition, common stock value | 5.3 | ||||
Acquisition related costs | 1.1 | ||||
Business acquisition contingent consideration obligation to pay | 5 | ||||
Business acquisition contingent consideration payment period | 3 years | ||||
Business acquisition contingent consideration net present value | 4.6 | ||||
Business acquisition, consideration payments for inventory and other current assets | $37 | ||||
Storage capacity for gasoline products | 900,000 |
Business_Combinations_Summary_
Business Combinations - Summary of Fair Values of Assets Acquired and Liabilities Assumed at Acquisition Date - Castle Oil (Detail) (Castle Oil [Member], USD $) | Dec. 08, 2014 |
In Thousands, unless otherwise specified | |
Castle Oil [Member] | |
Business Acquisition [Line Items] | |
Inventories | $36,512 |
Derivative assets | 4,837 |
Other current assets and prepaids | 533 |
Property, plant and equipment | 49,879 |
Intangibles and other assets | 5,046 |
Total identifiable assets acquired | 96,807 |
Accrued liabilities | 2,018 |
Derivative liabilities | 390 |
Long term capital leases | 1,481 |
Other liabilities | 761 |
Total liabilities assumed | 4,650 |
Net assets acquired | $92,157 |
Business_Combinations_Summary_1
Business Combinations - Summary of Business Acquisition, Pro Forma Consolidated Net Sales and Net Income (Detail) (USD $) | 3 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 |
Business Combinations [Abstract] | |
Net sales | $2,435,524 |
Net income | 83,039 |
Limited partners' interest in net income | $85,242 |
Net income per limited partner common unit - basic | $4.18 |
Net income per limited partner common unit - diluted | $4.18 |
Business_Combinations_Summary_2
Business Combinations - Summary of Fair Values of Assets Acquired and Liabilities Assumed at Acquisition Date - Metromedia Gas and Power (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Oct. 01, 2014 |
In Thousands, unless otherwise specified | |||
Business Acquisition [Line Items] | |||
Goodwill | $63,288 | $63,288 | |
Metromedia Energy [Member] | |||
Business Acquisition [Line Items] | |||
Inventories | 1,365 | ||
Derivative assets | 24,971 | ||
Other current assets | 543 | ||
Intangible assets | 13,900 | ||
Natural gas transportation assets | 39,427 | ||
Other long term assets | 6,683 | ||
Property, plant and equipment | 556 | ||
Total identifiable assets acquired | 87,445 | ||
Derivative liabilities | 67,413 | ||
Other current liabilities | 52 | ||
Natural gas transportation liabilities | 1,458 | ||
Total liabilities assumed | 68,923 | ||
Net identifiable assets acquired | 18,522 | ||
Goodwill | 14,243 | ||
Net assets acquired | $32,765 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss, Net of Tax - Schedule of Accumulated Other Comprehensive Loss, Net of Tax (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Fair value of interest rate swaps, net of tax | ($959) | ($406) | ||
Cumulative foreign currency translation adjustment | -10,776 | -9,427 | -8,743 | -8,284 |
Accumulated other comprehensive loss, net of tax | ($11,735) | ($9,833) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss, Net of Tax - Summary of Changes in Accumulated Other Comprehensive Income (Loss) Related to Foreign Currency Translation (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||
Balance - beginning of period | ($9,427) | ($8,284) |
Foreign currency translation adjustment | -1,349 | -459 |
Balance - end of period | ($10,776) | ($8,743) |
Inventories_Schedule_of_Invent
Inventories - Schedule of Inventories (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Inventory [Line Items] | ||
Inventories | $217,912 | $390,555 |
Petroleum and Related Products [Member] | ||
Inventory [Line Items] | ||
Inventories | 196,764 | 366,431 |
Asphalt [Member] | ||
Inventory [Line Items] | ||
Inventories | 18,595 | 18,357 |
Coal [Member] | ||
Inventory [Line Items] | ||
Inventories | 1,907 | 2,380 |
Natural Gas [Member] | ||
Inventory [Line Items] | ||
Inventories | $646 | $3,387 |
Inventories_Additional_Informa
Inventories - Additional Information (Detail) (Petroleum, Natural Gas and Asphalt Inventory [Member], USD $) | 3 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Petroleum, Natural Gas and Asphalt Inventory [Member] | ||
Public Utilities, Inventory [Line Items] | ||
Provision for inventory write-down | $9.60 | $50.50 |
Debt_Schedule_of_Debt_Detail
Debt - Schedule of Debt (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current debt | ||
Credit agreement | $258,460 | $396,961 |
Other | 218 | 253 |
Current debt | 258,678 | 397,214 |
Long-term debt | ||
Credit agreement | 469,240 | 417,789 |
Other | 468 | 567 |
Long-term debt | 469,708 | 418,356 |
Total debt | $728,386 | $815,570 |
Debt_Additional_Information_De
Debt - Additional Information (Detail) (USD $) | 3 Months Ended | 0 Months Ended | |
Mar. 31, 2015 | Dec. 09, 2014 | Dec. 31, 2014 | |
U.S. dollar [Member] | Federal Funds Rate [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, interest rate | 0.50% | ||
U.S. dollar [Member] | Eurocurrency Rate [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, interest rate | 1.00% | ||
Canadian Dollars [Member] | Eurocurrency Rate [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, interest rate | 1.00% | ||
Working Capital Facility [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, borrowing capacity, increase | $200,000,000 | ||
Working Capital Facility [Member] | U.S. dollar [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, interest rate description | For the U.S. dollar working capital facility and the acquisition facility, the alternate rate is the Base Rate which is the higher of (a) the U.S. Prime Rate as in effect from time to time, (b) the Federal Funds rate as in effect from time to time plus 0.50% and (c) the one-month Eurocurrency Rate for U.S. dollars as in effect from time to time plus 1.00%. | ||
Working Capital Facility [Member] | Canadian Dollars [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, interest rate description | For the Canadian dollar working capital facility, the alternate rate is the Prime Rate which is the higher of (a) the Canadian Prime Rate as in effect from time to time and (b) the one-month Eurocurrency Rate for U.S. dollars as in effect from time to time plus 1.00%. | ||
Acquisition Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, borrowing capacity, increase | 200,000,000 | ||
Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Agreement amendment date | 9-Dec-14 | ||
Debt instruments, weighted average interest rate | 2.80% | 2.80% | |
Credit Agreement [Member] | Amended and Restated Revolving Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, maturity date | 9-Dec-19 | ||
Credit Agreement [Member] | Working Capital Facility [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, borrowing capacity | 1,000,000,000 | ||
Borrowings under Credit Agreement | 416,100,000 | 503,200,000 | |
Letters of credit outstanding | 36,100,000 | 120,200,000 | |
Borrowing base under Credit Agreement | 639,100,000 | 843,300,000 | |
Excess availability under Credit Agreement | 186,900,000 | ||
Credit Agreement [Member] | Working Capital Facility [Member] | Kildair [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, borrowing capacity | 120,000,000 | ||
Credit Agreement [Member] | Acquisition Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Debt instruments, borrowing capacity | 400,000,000 | ||
Borrowings under Credit Agreement | 311,600,000 | 311,600,000 | |
Excess availability under Credit Agreement | 88,400,000 |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (General Partner [Member], USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
General Partner [Member] | |||
Related Party Transaction [Line Items] | |||
Reimbursement of employees related benefits expenses and other costs | $32.60 | $30.10 | |
Amounts due to General Partner | $12.80 | $16.30 |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | |
Customer | Customer | ||
Segment | |||
Segment Reporting Information [Line Items] | |||
Number of reporting operating segments | 4 | ||
Number of customers accounted for more than 10% of revenue | 0 | 0 | |
Net sales revenue | $1,598,358,000 | $1,994,699,000 | |
Significant fixed assets | 1,168,668,000 | 1,339,840,000 | |
Goodwill | 63,288,000 | 63,288,000 | |
Canada [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales revenue | 58,100,000 | 92,400,000 | |
Natural Gas [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales revenue | 146,679,000 | 134,340,000 | |
Significant fixed assets | 0 | ||
Goodwill | 18,600,000 | 18,600,000 | |
Refined Products [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales revenue | 1,431,845,000 | 1,844,973,000 | |
Goodwill | 36,600,000 | 36,600,000 | |
Materials Handling [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales revenue | 10,184,000 | 8,079,000 | |
Goodwill | 6,900,000 | 6,900,000 | |
Other Operations [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales revenue | 9,650,000 | 7,307,000 | |
Goodwill | $1,200,000 | $1,200,000 | |
Net Sales and Adjusted Gross Margin [Member] | Maximum [Member] | |||
Segment Reporting Information [Line Items] | |||
Percentage of net sales | 10.00% | ||
Sales Revenue, Net [Member] | Maximum [Member] | |||
Segment Reporting Information [Line Items] | |||
Percentage of net sales | 10.00% | 10.00% |
Segment_Reporting_Summary_of_F
Segment Reporting - Summary of Financial Information for Partnership's Reportable Segments (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Net sales: | |||
Net sales | $1,598,358 | $1,994,699 | |
Adjusted gross margin: | |||
Adjusted gross margin | 114,290 | 96,287 | |
Reconciliation to operating income: | |||
Add: unrealized gain (loss) on inventory | -3,534 | 5,866 | |
Add: unrealized gain (loss) on natural gas transportation contracts | -2,771 | 28,127 | |
Operating costs and expenses not allocated to operating segments: | |||
Operating expenses | -18,883 | -16,838 | |
Selling, general and administrative | -32,381 | -27,411 | |
Depreciation and amortization | -4,992 | -3,955 | |
Operating income | 51,729 | 82,076 | |
Other income | 514 | ||
Interest income | 112 | 110 | |
Interest expense | -7,766 | -8,016 | |
Income tax provision | -650 | -1,038 | |
Net income | 43,939 | 73,132 | 122,814 |
Refined Products [Member] | |||
Net sales: | |||
Net sales | 1,431,845 | 1,844,973 | |
Adjusted gross margin: | |||
Adjusted gross margin | 66,306 | 51,530 | |
Natural Gas [Member] | |||
Net sales: | |||
Net sales | 146,679 | 134,340 | |
Adjusted gross margin: | |||
Adjusted gross margin | 34,817 | 35,344 | |
Materials Handling [Member] | |||
Net sales: | |||
Net sales | 10,184 | 8,079 | |
Adjusted gross margin: | |||
Adjusted gross margin | 10,184 | 8,077 | |
Other Operations [Member] | |||
Net sales: | |||
Net sales | 9,650 | 7,307 | |
Adjusted gross margin: | |||
Adjusted gross margin | $2,983 | $1,336 |
Financial_Instruments_and_OffB2
Financial Instruments and Off-Balance Sheet Risk - Summary of Financial Assets and Financial Liabilities of Partnership Measured at Fair Value on Recurring Basis (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Financial assets: | ||
Financial assets | $169,298 | $229,890 |
Financial liabilities: | ||
Financial liabilities | 55,685 | 89,176 |
Commodity Exchange Contracts [Member] | ||
Financial liabilities: | ||
Financial liabilities | 93 | 97 |
Commodity Fixed Forwards [Member] | ||
Financial assets: | ||
Financial assets | 169,186 | 229,679 |
Financial liabilities: | ||
Financial liabilities | 47,508 | 80,080 |
Commodity Swaps and Options [Member] | ||
Financial assets: | ||
Financial assets | 112 | 74 |
Financial liabilities: | ||
Financial liabilities | 7,055 | 8,424 |
Commodity Derivatives [Member] | ||
Financial assets: | ||
Financial assets | 169,298 | 229,753 |
Financial liabilities: | ||
Financial liabilities | 54,656 | 88,601 |
Interest Rate Swaps [Member] | ||
Financial assets: | ||
Financial assets | 137 | |
Financial liabilities: | ||
Financial liabilities | 987 | 553 |
Currency Swap [Member] | ||
Financial liabilities: | ||
Financial liabilities | 42 | 22 |
Quoted Prices in Active Markets Level 1 [Member] | ||
Financial liabilities: | ||
Financial liabilities | 93 | 97 |
Quoted Prices in Active Markets Level 1 [Member] | Commodity Exchange Contracts [Member] | ||
Financial liabilities: | ||
Financial liabilities | 93 | 97 |
Quoted Prices in Active Markets Level 1 [Member] | Commodity Derivatives [Member] | ||
Financial liabilities: | ||
Financial liabilities | 93 | 97 |
Significant Other Observable Inputs Level 2 [Member] | ||
Financial assets: | ||
Financial assets | 169,298 | 229,890 |
Financial liabilities: | ||
Financial liabilities | 55,592 | 89,079 |
Significant Other Observable Inputs Level 2 [Member] | Commodity Fixed Forwards [Member] | ||
Financial assets: | ||
Financial assets | 169,186 | 229,679 |
Financial liabilities: | ||
Financial liabilities | 47,508 | 80,080 |
Significant Other Observable Inputs Level 2 [Member] | Commodity Swaps and Options [Member] | ||
Financial assets: | ||
Financial assets | 112 | 74 |
Financial liabilities: | ||
Financial liabilities | 7,055 | 8,424 |
Significant Other Observable Inputs Level 2 [Member] | Commodity Derivatives [Member] | ||
Financial assets: | ||
Financial assets | 229,753 | |
Financial liabilities: | ||
Financial liabilities | 54,563 | 88,504 |
Significant Other Observable Inputs Level 2 [Member] | Interest Rate Swaps [Member] | ||
Financial assets: | ||
Financial assets | 137 | |
Financial liabilities: | ||
Financial liabilities | 987 | 553 |
Significant Other Observable Inputs Level 2 [Member] | Currency Swap [Member] | ||
Financial liabilities: | ||
Financial liabilities | $42 | $22 |
Financial_Instruments_and_OffB3
Financial Instruments and Off-Balance Sheet Risk - Additional Information (Detail) | 0 Months Ended | 3 Months Ended | ||||||
Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | |
USD ($) | CAD | Canadian Dollars [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Forward Currency Swaps [Member] | |
USD ($) | USD ($) | Six Interest Rate Swap Agreements [Member] | Five Interest Rate Swap Agreements [Member] | |||||
USD ($) | USD ($) | |||||||
Interest_Rate_Swaps | Interest_Rate_Swaps | |||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||||
Maximum amount of loss due to credit risk if counterparties failed completely to perform | $169,300,000 | |||||||
Number of interest rate swap | 6 | 5 | ||||||
Notional amount of interest rate swap agreements | 175,000,000 | 150,000,000 | ||||||
Notional amount of interest rate swap, expire period | 2016-01 | 2017-01 | ||||||
Notional amount of interest rate swap, beginning period | 2015-01 | 2016-01 | ||||||
Material ineffectiveness for the cash flow hedges | 0 | 0 | ||||||
Unrealized losses, net of tax, expected to be reclassified to earnings | 500,000 | |||||||
Maturity of forward currency swaps | 30-Apr-15 | |||||||
Purchase of U.S. dollars | The contracts obligate Kildair to purchase $10.0 million in Canadian dollars | |||||||
Foreign currency exchange rate | 1.2666 | 1.2734 | ||||||
Contracts obligate Canadian subsidiary to purchase U.S. dollars at exchange rate | 10,000,000 |
Financial_Instruments_and_OffB4
Financial Instruments and Off-Balance Sheet Risk - Summary of Offsetting Arrangements (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Gross Amounts of Recognized Assets | $229,890 | |
Gross Amount Offset in the Balance Sheet, Assets | 0 | |
Amounts of Assets in Balance Sheet | 169,298 | 229,890 |
Financial Instruments, Assets | -4,831 | |
Cash Collateral Posted, Assets | -2,417 | |
Net Amount, Assets | 222,642 | |
Gross Amounts of Recognized Liabilities | -55,685 | -89,176 |
Gross Amount Offset in the Balance Sheet, Liabilities | 0 | 0 |
Amounts of Liabilities in Balance Sheet | -55,685 | -89,176 |
Financial Instruments, Liabilities | 3,371 | 4,831 |
Cash Collateral Posted, Liabilities | 0 | 0 |
Net Amount, Liabilities | -52,314 | -84,345 |
Commodity Derivatives [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Gross Amounts of Recognized Assets | 169,298 | 229,753 |
Gross Amount Offset in the Balance Sheet, Assets | 0 | 0 |
Amounts of Assets in Balance Sheet | 169,298 | 229,753 |
Financial Instruments, Assets | -3,371 | -4,831 |
Cash Collateral Posted, Assets | -1,147 | -2,417 |
Net Amount, Assets | 164,780 | 222,505 |
Gross Amounts of Recognized Liabilities | -54,656 | -88,601 |
Gross Amount Offset in the Balance Sheet, Liabilities | 0 | 0 |
Amounts of Liabilities in Balance Sheet | -54,656 | -88,601 |
Financial Instruments, Liabilities | 3,371 | 4,831 |
Cash Collateral Posted, Liabilities | 0 | 0 |
Net Amount, Liabilities | -51,285 | -83,770 |
Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Gross Amounts of Recognized Assets | 137 | |
Gross Amount Offset in the Balance Sheet, Assets | 0 | |
Amounts of Assets in Balance Sheet | 137 | |
Net Amount, Assets | 137 | |
Gross Amounts of Recognized Liabilities | -987 | -553 |
Gross Amount Offset in the Balance Sheet, Liabilities | 0 | 0 |
Amounts of Liabilities in Balance Sheet | -987 | -553 |
Cash Collateral Posted, Liabilities | 0 | 0 |
Net Amount, Liabilities | -987 | -553 |
Currency Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Gross Amounts of Recognized Liabilities | -42 | -22 |
Gross Amount Offset in the Balance Sheet, Liabilities | 0 | 0 |
Amounts of Liabilities in Balance Sheet | -42 | -22 |
Cash Collateral Posted, Liabilities | 0 | 0 |
Net Amount, Liabilities | ($42) | ($22) |
Financial_Instruments_and_OffB5
Financial Instruments and Off-Balance Sheet Risk - Summary of Realized and Unrealized Gains (Losses) on Derivative Instruments for Commodity Risk Management (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Realized and unrealized gains (losses) on derivative instruments | $57,476 | ($7,351) |
Refined Products Contracts [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Realized and unrealized gains (losses) on derivative instruments | 61,804 | 6,342 |
Natural Gas Contracts [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Realized and unrealized gains (losses) on derivative instruments | ($4,328) | ($13,693) |
Financial_Instruments_and_OffB6
Financial Instruments and Off-Balance Sheet Risk - Schedule of Gross Volume of Commodity Derivative Instruments Outstanding (Detail) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2015 | Dec. 31, 2014 | |
bbl | bbl | |
Refined Products Contracts [Member] | Long Contracts [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross volume | 8,711,000 | 10,823,000 |
Refined Products Contracts [Member] | Short Contracts [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross volume | -11,793,000 | -15,434,000 |
Natural Gas Contracts [Member] | Long Contracts [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross volume | 117,614,000 | 131,376,000 |
Natural Gas Contracts [Member] | Short Contracts [Member] | ||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||
Gross volume | -71,417,000 | -82,796,000 |
EquityBased_Compensation_Addit
Equity-Based Compensation - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Mar. 05, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Annual bonus expense | $3,300,000 | $4,900,000 | ||
Number of common units issued for settlement of annual bonus expenses | 200,775 | |||
Unit-based compensation recorded in unitholders' equity | 4,068,000 | 538,000 | ||
Annual Bonus Program [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of units reacquired from recipient | 67,141 | |||
Estimated grant date fair value | 1,700,000 | |||
Restricted and Phantom Unit Award Activity [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unit-based compensation recorded in unitholders' equity | 800,000 | 500,000 | ||
Performance Based Phantom Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of units reacquired from recipient | 24,605 | |||
Estimated grant date fair value | 600,000 | |||
Percentage of phantom units granted | 200.00% | |||
Estimated fair value of performance-based phantom units | 4,500,000 | |||
Weighted average volatility rate | 32.90% | |||
Weighted average risk free rate | 0.98% | |||
Common stock units issued | 74,048 | |||
Unrecognized compensation cost | $5,400,000 | |||
Unrecognized compensation cost, expected recognition period | 33 months | |||
Performance Based Phantom Units [Member] | Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of phantom units granted | 0.00% | |||
Performance Based Phantom Units [Member] | Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of phantom units granted | 200.00% |
EquityBased_Compensation_Summa
Equity-Based Compensation - Summary of Partnership's Unit Awards Subject to Vesting (Detail) (USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Restricted Common Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Units, Beginning | 4,444 |
Forfeited Units | 0 |
Nonvested Units, Ending | 4,444 |
Weighted-Average Grant Date Fair Value, Nonvested Units, Beginning | $17.33 |
Weighted-Average Grant Date Fair Value, Forfeited Units | $0 |
Weighted-Average Grant Date Fair Value, Nonvested Units, Ending | $17.33 |
Time Based Phantom Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Units, Beginning | 23,685 |
Forfeited Units | 0 |
Vested Units | -13,766 |
Nonvested Units, Ending | 9,919 |
Weighted-Average Grant Date Fair Value, Nonvested Units, Beginning | $20.16 |
Weighted-Average Grant Date Fair Value, Forfeited Units | $0 |
Weighted-Average Grant Date Fair Value, Vested Units | ($20.16) |
Weighted-Average Grant Date Fair Value, Nonvested Units, Ending | $20.16 |
Performance Based Phantom Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Units, Beginning | 111,075 |
Granted Units | 141,000 |
Forfeited Units | 0 |
Nonvested Units, Ending | 252,075 |
Weighted-Average Grant Date Fair Value, Nonvested Units, Beginning | $36.88 |
Weighted-Average Grant Date Fair Value, Granted Units | $31.58 |
Weighted-Average Grant Date Fair Value, Forfeited Units | $0 |
Weighted-Average Grant Date Fair Value, Nonvested Units, Ending | $33.92 |
EquityBased_Compensation_Sched
Equity-Based Compensation - Schedule of Changes in Partnership's Units (Detail) | 12 Months Ended | 3 Months Ended | |
Dec. 31, 2014 | Mar. 31, 2015 | Dec. 31, 2013 | |
Common Unitholders - Public [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Beginning balance | 8,506,666 | ||
Ending balance | 8,777,922 | 8,969,914 | 8,506,666 |
Common Unitholders - Public [Member] | Directors and Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Units issued | 27,401 | ||
Common Unitholders - Public [Member] | Employee Bonus Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Units issued | 133,634 | ||
Common Unitholders - Public [Member] | Phantom Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Units issued | 58,358 | ||
Common Unitholders - Public [Member] | Castle (Romita) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Units issued in connection with acquisition | 243,855 | ||
Common Unitholders - Affiliated [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Beginning balance | 1,571,970 | ||
Ending balance | 2,034,378 | 2,034,378 | 1,571,970 |
Common Unitholders - Affiliated [Member] | Kildair [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Units issued in connection with acquisition | 462,408 | ||
Subordinated Unitholders - Affiliated [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Beginning balance | 10,071,970 | ||
Ending balance | 10,071,970 | 10,071,970 | 10,071,970 |
Earnings_Per_Unit_Additional_I
Earnings Per Unit - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2015 | |
Subordinated Units [Member] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Potentially dilutive units outstanding | 0 |
Prior to October 30, 2013 [Member] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Units outstanding prior to IPO | 0 |
Earnings_Per_Unit_Summary_of_W
Earnings Per Unit - Summary of Weighted Average Common Units Outstanding (Detail) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Weighted average limited partner common units - basic | 10,897,488 | 10,072,186 |
Weighted average limited partner common units - dilutive | 11,064,510 | 10,073,176 |
Phantom Units [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Dilutive effect of unvested restricted and phantom units | 167,022 | 990 |
Earnings_Per_Unit_Schedule_of_
Earnings Per Unit - Schedule of Partnership's Basic Earnings Per Common and Subordinated Unit (Detail) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||
Limited partners' interest in net income | $43,939 | $75,335 |
Distributions declared | 9,963 | 8,320 |
Assumed net income from operations after distributions | 33,976 | 67,015 |
Assumed net income to be allocated | 43,939 | 75,335 |
Earnings per unit - basic | $2.10 | $3.74 |
Earnings per unit - diluted | $2.06 | $3.74 |
Common Unitholders - Affiliated [Member] | ||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||
Distributions declared | 5,204 | 4,165 |
Assumed net income from operations after distributions | 17,630 | 33,503 |
Assumed net income to be allocated | 22,834 | 37,668 |
Earnings per unit - basic | $2.10 | $3.74 |
Earnings per unit - diluted | $2.06 | $3.74 |
Subordinated Unitholders - Affiliated [Member] | ||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||
Distributions declared | 4,759 | 4,155 |
Assumed net income from operations after distributions | 16,346 | 33,512 |
Assumed net income to be allocated | $21,105 | $37,667 |
Earnings per unit - basic | $2.10 | $3.74 |
Earnings per unit - diluted | $2.10 | $3.74 |
Partnership_Distributions_Addi
Partnership Distributions - Additional Information (Detail) (USD $) | 3 Months Ended | 0 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Feb. 13, 2015 | Jan. 28, 2015 |
Distribution Made to Limited Partner [Line Items] | ||||
Cash distribution, declared value | $9,963 | $8,320 | ||
Cash distribution, paid value | 9,589 | 5,693 | ||
Cash distribution, declared per share | $0.47 | $0.41 | ||
Dividend Declared on January 28, 2015 [Member] | ||||
Distribution Made to Limited Partner [Line Items] | ||||
Cash distribution, declared value | 9,600 | |||
Cash distribution, paid value | $9,600 | |||
Cash distribution, declared per share | $0.46 | |||
Cash distribution, paid per share | $0.46 | |||
Cash distribution, declared date | 28-Jan-15 | |||
Cash distribution, paid date | 13-Feb-15 | |||
Cash distribution, record date | 9-Feb-15 |
Subsequent_Event_Additional_In
Subsequent Event - Additional Information (Detail) (USD $) | 3 Months Ended | 0 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Apr. 29, 2015 |
Subsequent Event [Line Items] | |||
Cash distribution, declared value | $9,963 | $8,320 | |
Dividend Declared on April 29, 2015 [Member] | |||
Subsequent Event [Line Items] | |||
Cash distribution, declared date | 29-Apr-15 | ||
Cash distribution, paid date | 15-May-15 | ||
Cash distribution, record date | 11-May-15 | ||
Subsequent Event [Member] | Dividend Declared on April 29, 2015 [Member] | |||
Subsequent Event [Line Items] | |||
Cash distribution, declared value | $10,000 | ||
Cash distribution, declared per share | $0.47 |