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Business Segment Information
 12 Months Ended
Dec. 31, 2015
Segment Reporting [Abstract]  
Business Segment Information
Business Segment Information
Our operations consist of five operating segments (see Note 1 for discussion of segment reporting change):
•
Offshore Pipeline Transportation – offshore transportation of crude oil and natural gas in the Gulf of Mexico;
•
Onshore Pipeline Transportation –transportation of crude oil, and to a lesser extent, CO2;
•
Refinery Services – processing high sulfur (or “sour”) gas streams as part of refining operations to remove the sulfur and selling the related by-product, NaHS;
•
Marine Transportation – marine transportation to provide waterborne transportation of petroleum products and crude oil throughout North America and;
•
Supply and Logistics – terminaling, blending, storing, marketing, and transporting crude oil and petroleum products (primarily fuel oil, asphalt, and other heavy refined products) and, on a smaller scale, CO2.
Substantially all of our revenues are derived from, and substantially all of our assets are located in, the United States.
We define Segment Margin as revenues less product costs, operating expenses (excluding non-cash charges, such as depreciation and amortization), and segment general and administrative expenses, plus our equity in distributable cash generated by our equity investees. In addition, our Segment Margin definition excludes the non-cash effects of our legacy stock appreciation rights plan and includes the non-income portion of payments received under direct financing leases.
Our chief operating decision maker (our Chief Executive Officer) evaluates segment performance based on a variety of measures including Segment Margin, segment volumes, where relevant, and capital investment.
Segment information for each year presented below is as follows:
 
Offshore Pipeline Transportation
 
Onshore Pipeline
Transportation
 
Refinery
Services
 
Marine Transportation
 
Supply &
Logistics(a)
 
Total
Year Ended December 31, 2015
 
 
 
 
 
 
 
 
 
 
 
Segment Margin (b)
$
197,723

 
$
58,919

 
$
80,246

 
$
103,222

 
$
36,475

 
$
476,585

Capital expenditures (c)
$
1,527,320

 
$
235,069

 
$
1,595

 
$
69,009

 
$
174,618

 
$
2,007,611

Revenues:
 
 
 
 
 
 
 
 
 
 
 
External customers
$
140,230

 
$
64,524

 
$
187,257

 
$
230,192

 
$
1,624,326

 
$
2,246,529

Intersegment (d)
—

 
12,568

 
(9,377
)
 
8,565

 
(11,756
)
 
$
—

Total revenues of reportable segments
$
140,230

 
$
77,092

 
$
177,880

 
$
238,757

 
$
1,612,570

 
$
2,246,529

Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
 
Segment Margin (b)
$
71,598

 
$
61,231

 
$
84,851

 
$
86,239

 
$
43,345

 
$
347,264

Capital expenditures (c)
$
37,639

 
$
46,611

 
$
2,385

 
$
232,783

 
$
325,130

 
$
644,548

Revenues:
 
 
 
 
 
 
 
 
 
 
 
External customers
$
3,296

 
$
66,760

 
$
218,297

 
$
214,039

 
$
3,343,772

 
$
3,846,164

Intersegment (d)
—

 
16,397

 
(10,896
)
 
15,243

 
(20,744
)
 
$
—

Total revenues of reportable segments
$
3,296

 
$
83,157

 
$
207,401

 
$
229,282

 
$
3,323,028

 
$
3,846,164

Year Ended December 31, 2013
 
 
 
 
 
 
 
 
 
 
 
Segment Margin (b)
$
44,530

 
$
64,349

 
$
75,361

 
$
47,726

 
$
48,394

 
$
280,360

Capital expenditures (c)
$
94,286

 
$
130,787

 
$
3,258

 
$
260,736

 
$
215,138

 
$
704,205

Revenues:
 
 
 
 
 
 
 
 
 
 
 
External customers
$
3,923

 
$
65,452

 
$
216,860

 
$
131,049

 
$
3,717,546

 
$
4,134,830

Intersegment (d)
—

 
17,133

 
(10,875
)
 
21,493

 
(27,751
)
 
$
—

Total revenues of reportable segments
$
3,923

 
$
82,585

 
$
205,985

 
$
152,542

 
$
3,689,795

 
$
4,134,830

Total assets by reportable segment were as follows:
 
December 31, 2015
 
December 31, 2014
 
December 31, 2013
Offshore pipeline transportation
2,623,478

 
645,668

 
637,323

Onshore pipeline transportation
614,484

 
460,012

 
437,912

Refinery services
394,626

 
403,703

 
417,121

Marine transportation
777,952

 
745,128

 
529,914

Supply and logistics
1,000,851

 
907,189

 
782,547

Other assets
48,208

 
48,924

 
43,711

Total consolidated assets
$
5,459,599

 
$
3,210,624

 
$
2,848,528

(a)
Discontinued operations are included in Segment Margin but excluded from revenues for all periods presented.
(b)
A reconciliation of Segment Margin to net income attributable to Genesis Energy, L.P. for each year is presented below.
(c) Capital expenditures include maintenance and growth capital expenditures, such as fixed asset additions (including enhancements to existing facilities and construction of growth projects) as well as acquisitions of businesses and contributions to equity investees related to same. In addition to construction of growth projects, capital spending in our offshore pipeline transportation segment included $1.5 billion during the year ended December 31, 2015 to fund our Enterprise acquisition. Capital spending in this segment also included $2.5 million and $36.1 million during the years ended December 31, 2015 and December 31, 2014 representing capital contributions to our SEKCO pipeline to fund our share of the construction costs for its pipeline (as prior to our Enterprise acquisition in July 2015, we owned a 50% interest in the SEKCO pipeline with Enterprise owning the remaining 50%). During 2014, capital spending in our marine transportation segment included $157 million for our purchase of the M/T American Phoenix. During 2013, capital spending in our marine segment also included $230.9 million for the acquisition of our offshore marine transportation assets.
(d) Intersegment sales were conducted under terms that we believe were no more or less favorable than then-existing market conditions.
Reconciliation of Segment Margin to net income attributable to Genesis Energy, L.P.:
 
Year Ended December 31,
 
2015
 
2014
 
2013
Segment Margin
$
476,585

 
$
347,264

 
$
280,360

Corporate general and administrative expenses
(61,370
)
 
(47,065
)
 
(43,353
)
Depreciation and amortization
(150,140
)
 
(90,908
)
 
(64,784
)
Interest expense
(100,596
)
 
(66,639
)
 
(48,583
)
Adjustment to exclude distributable cash generated by equity investees not included in income and include equity in investees net income (1)
(43,018
)
 
(31,093
)
 
(23,889
)
Non-cash items not included in Segment Margin
4,227

 
3,017

 
(7,551
)
Cash payments from direct financing leases in excess of earnings
(5,685
)
 
(5,529
)
 
(5,110
)
Gain on step up of historical basis
332,380

 
—

 
—

Loss on debt extinguishment
(19,225
)
 
—

 
—

Other, net
(6,643
)
 
—

 
2,105

Income tax expense
(3,987
)
 
(2,845
)
 
(845
)
Discontinued operations
—

 
—

 
(2,241
)
Net income attributable to Genesis Energy, L.P.
$
422,528

 
$
106,202

 
$
86,109

(1) Includes distributions attributable to the quarter and received during or promptly following such quarter.