XML 32 R22.htm IDEA: XBRL DOCUMENT v3.5.0.2
Condensed Consolidating Financial Information
6 Months Ended
Jun. 30, 2016
Condensed Consolidating Financial Information [Abstract]  
Condensed Consolidating Financial Information
Condensed Consolidating Financial Information
Our $1.8 billion aggregate principal amount of senior unsecured notes co-issued by Genesis Energy, L.P. and Genesis Energy Finance Corporation are fully and unconditionally guaranteed jointly and severally by all of Genesis Energy, L.P.’s current and future 100% owned domestic subsidiaries, except Genesis Free State Pipeline, LLC, Genesis NEJD Pipeline, LLC and certain other minor subsidiaries. Genesis NEJD Pipeline, LLC is 100% owned by Genesis Energy, L.P., the parent company. The remaining non-guarantor subsidiaries are owned by Genesis Crude Oil, L.P., a guarantor subsidiary. Genesis Energy Finance Corporation has no independent assets or operations. See Note 8 for additional information regarding our consolidated debt obligations.
During 2015, the Company determined the need to revise its disclosures and presentation with respect to the Condensed Consolidating Financial Information included in this footnote. These revisions relate solely to transactions between Genesis Energy, L.P. and its subsidiaries and only impact the information that is presented in the Condensed Consolidating Financial Information presented herein and does not affect the Consolidated Financial Statements in any way. The Company determined that adjustments to the presentation relating to advances to and from affiliates was necessary and were made. This resulted in the reclassification of such advances from current assets and liabilities to long term assets and liabilities. The condensed consolidated statement of cash flows for the six months ended June 30, 2015 has been adjusted to reflect these changes. There is also a schedule below that reflects all these adjustments and reconciles from what has been disclosed in previous filings to what we represent in the financial statements below.
The following is condensed consolidating financial information for Genesis Energy, L.P., the guarantor subsidiaries and the non-guarantor subsidiaries.


Unaudited Condensed Consolidating Balance Sheet
June 30, 2016

 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)
 
Genesis
Energy Finance
Corporation
(Co-Issuer)
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Genesis
Energy, L.P.
Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
6

 
$

 
$
6,933

 
$
1,611

 
$

 
$
8,550

Other current assets
100

 

 
353,548

 
10,868

 
(540
)
 
363,976

Total current assets
106

 

 
360,481

 
12,479

 
(540
)
 
372,526

Fixed assets, at cost

 

 
4,511,453

 
77,585

 

 
4,589,038

Less: Accumulated depreciation

 

 
(440,277
)
 
(22,967
)
 

 
(463,244
)
Net fixed assets

 

 
4,071,176

 
54,618

 

 
4,125,794

Goodwill

 

 
325,046

 

 

 
325,046

Other assets, net
12,734

 

 
398,460

 
137,028

 
(133,335
)
 
414,887

Advances to affiliates
2,843,031

 

 

 
60,272

 
(2,903,303
)
 

Equity investees

 

 
427,558

 

 

 
427,558

Investments in subsidiaries
2,336,668

 

 
90,100

 

 
(2,426,768
)
 

Total assets
$
5,192,539

 
$

 
$
5,672,821

 
$
264,397

 
$
(5,463,946
)
 
$
5,665,811

LIABILITIES AND PARTNERS’ CAPITAL
 
 
 
 
 
 
 
 
 
 
 
Current liabilities
$
34,555

 
$

 
$
233,286

 
$

 
$
(227
)
 
$
267,614

Senior secured credit facility
1,405,800

 

 

 

 

 
1,405,800

Senior unsecured notes
1,810,101

 

 

 

 

 
1,810,101

Deferred tax liabilities

 

 
23,995

 

 

 
23,995

Advances from affiliates

 

 
2,903,302

 

 
(2,903,302
)
 

Other liabilities

 

 
182,661

 
175,332

 
(133,173
)
 
224,820

Total liabilities
3,250,456

 

 
3,343,244

 
175,332

 
(3,036,702
)
 
3,732,330

Partners’ capital, common units
1,942,083

 

 
2,329,577

 
97,667

 
(2,427,244
)
 
1,942,083

Noncontrolling interests

 

 

 
(8,602
)
 

 
(8,602
)
Total liabilities and partners’ capital
$
5,192,539

 
$

 
$
5,672,821

 
$
264,397

 
$
(5,463,946
)
 
$
5,665,811


Unaudited Condensed Consolidating Balance Sheet
December 31, 2015
 
 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)
 
Genesis
Energy Finance
Corporation
(Co-Issuer)
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Genesis
Energy, L.P.
Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
6

 
$

 
$
8,288

 
$
2,601

 
$

 
$
10,895

Other current assets
50

 

 
285,313

 
10,422

 
(364
)
 
295,421

Total current assets
56

 

 
293,601

 
13,023

 
(364
)
 
306,316

Fixed assets, at cost

 

 
4,232,641

 
77,585

 

 
4,310,226

Less: Accumulated depreciation

 

 
(356,530
)
 
(21,717
)
 

 
(378,247
)
Net fixed assets

 

 
3,876,111

 
55,868

 

 
3,931,979

Goodwill

 

 
325,046

 

 

 
325,046

Other assets, net
13,140

 

 
394,294

 
140,409

 
(125,977
)
 
421,866

Advances to affiliates
2,619,493

 

 

 
47,034

 
(2,666,527
)
 

Equity investees

 

 
474,392

 

 

 
474,392

Investments in subsidiaries
2,353,804

 

 
90,741

 

 
(2,444,545
)
 

Total assets
$
4,986,493

 
$

 
$
5,454,185

 
$
256,334

 
$
(5,237,413
)
 
$
5,459,599

LIABILITIES AND PARTNERS’ CAPITAL
 
 
 
 
 
 
 
 
 
 
 
Current liabilities
$
35,338

 
$

 
$
267,294

 
$

 
$
(496
)
 
$
302,136

Senior secured credit facility
1,115,000

 

 

 

 

 
1,115,000

Senior unsecured notes
1,807,054

 

 

 

 

 
1,807,054

Deferred tax liabilities

 

 
22,586

 

 

 
22,586

Advances from affiliates

 

 
2,666,527

 

 
(2,666,527
)
 

Other liabilities

 

 
150,877

 
167,006

 
(125,811
)
 
192,072

Total liabilities
2,957,392

 

 
3,107,284

 
167,006

 
(2,792,834
)
 
3,438,848

Partners’ capital, common units
2,029,101

 

 
2,346,901

 
97,678

 
(2,444,579
)
 
2,029,101

Noncontrolling interests

 

 

 
(8,350
)
 

 
(8,350
)
Total liabilities and partners’ capital
$
4,986,493

 
$

 
$
5,454,185

 
$
256,334

 
$
(5,237,413
)
 
$
5,459,599

























Unaudited Condensed Consolidating Statement of Operations
Three Months Ended June 30, 2016
 
 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)
 
Genesis
Energy Finance
Corporation
(Co-Issuer)
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Genesis
Energy, L.P.
Consolidated
REVENUES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation services
$

 
$

 
$
78,994

 
$

 
$

 
$
78,994

Onshore pipeline transportation services

 

 
11,264

 
4,986

 

 
16,250

Refinery services

 

 
42,115

 
1,715

 
(2,506
)
 
41,324

Marine transportation

 

 
52,609

 

 

 
52,609

Supply and logistics

 

 
256,799

 

 

 
256,799

Total revenues

 

 
441,781

 
6,701

 
(2,506
)
 
445,976

COSTS AND EXPENSES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation operating costs

 

 
22,044

 
632

 

 
22,676

Onshore pipeline transportation operating costs

 

 
5,480

 
280

 

 
5,760

Refinery services operating costs

 

 
22,167

 
1,918

 
(2,506
)
 
21,579

Marine transportation costs

 

 
34,430

 

 

 
34,430

Supply and logistics costs

 

 
246,360

 

 

 
246,360

General and administrative

 

 
11,283

 

 

 
11,283

Depreciation and amortization

 

 
55,275

 
625

 

 
55,900

Total costs and expenses

 

 
397,039

 
3,455

 
(2,506
)
 
397,988

OPERATING INCOME

 

 
44,742

 
3,246

 

 
47,988

Equity in earnings of subsidiaries
60,205

 

 
(156
)
 

 
(60,049
)
 

Equity in earnings of equity investees

 

 
12,157

 

 

 
12,157

Interest (expense) income, net
(35,508
)
 

 
3,632

 
(3,659
)
 

 
(35,535
)
Other income/(expense), net

 

 

 

 

 

Income before income taxes
24,697

 

 
60,375

 
(413
)
 
(60,049
)
 
24,610

Income tax benefit (expense)

 

 
(1,097
)
 
88

 

 
(1,009
)
NET INCOME
24,697

 

 
59,278

 
(325
)
 
(60,049
)
 
23,601

Net loss attributable to noncontrolling interest

 

 

 
126

 

 
126

NET INCOME ATTRIBUTABLE TO GENESIS ENERGY, L.P.
$
24,697

 
$

 
$
59,278

 
$
(199
)
 
$
(60,049
)
 
$
23,727


Unaudited Condensed Consolidating Statement of Operations
Three Months Ended June 30, 2015
 
 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)

 
Genesis
Energy Finance
Corporation
(Co-Issuer)

 
Guarantor
Subsidiaries

 
Non-Guarantor
Subsidiaries

 
Eliminations

 
Genesis
Energy, L.P.
Consolidated

REVENUES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation services
$

 
$

 
$
1,258

 
$

 
$

 
$
1,258

Onshore pipeline transportation services

 

 
13,120

 
5,813

 

 
18,933

Refinery services

 

 
45,272

 
5,859

 
(4,807
)
 
46,324

Marine transportation

 

 
62,594

 

 

 
62,594

Supply and logistics

 

 
529,073

 
(3,966
)
 
2,111

 
527,218

Total revenues

 

 
651,317

 
7,706

 
(2,696
)
 
656,327

COSTS AND EXPENSES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation operating costs

 

 
400

 

 

 
400

Onshore pipeline transportation operating costs

 

 
6,574

 
(92
)
 

 
6,482

Refinery services operating costs

 

 
25,081

 
5,526

 
(4,772
)
 
25,835

Marine transportation costs

 

 
35,286

 

 

 
35,286

Supply and logistics costs

 

 
517,230

 
(3,433
)
 
2,110

 
515,907

General and administrative

 

 
14,861

 
(29
)
 

 
14,832

Depreciation and amortization

 

 
28,249

 
(44
)
 

 
28,205

Total costs and expenses

 

 
627,681

 
1,928

 
(2,662
)
 
626,947

OPERATING INCOME

 

 
23,636

 
5,778

 
(34
)
 
29,380

Equity in earnings of subsidiaries
48,777

 

 
2,099

 

 
(50,876
)
 

Equity in earnings of equity investees

 

 
18,661

 

 

 
18,661

Interest (expense) income, net
(17,887
)
 

 
3,787

 
(3,805
)
 

 
(17,905
)
Other income/(expense), net
(19,225
)
 

 
1,696

 

 

 
(17,529
)
Income before income taxes
11,665

 

 
49,879

 
1,973

 
(50,910
)
 
12,607

Income tax expense

 

 
(1,023
)
 
81

 

 
(942
)
NET INCOME
$
11,665

 
$

 
$
48,856

 
$
2,054

 
$
(50,910
)
 
$
11,665

Unaudited Condensed Consolidating Statement of Operations
Six Months Ended June 30, 2016
 
 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)
 
Genesis
Energy Finance
Corporation
(Co-Issuer)
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Genesis
Energy, L.P.
Consolidated
REVENUES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation services
$

 
$

 
$
155,120

 
$

 
$

 
$
155,120

Onshore pipeline transportation services

 

 
23,870

 
10,531

 

 
34,401

Refinery services

 

 
84,409

 
2,518

 
(3,067
)
 
83,860

Marine transportation

 

 
104,645

 

 

 
104,645

Supply and logistics

 

 
446,364

 

 

 
446,364

Total revenues

 

 
814,408

 
13,049

 
(3,067
)
 
824,390

COSTS AND EXPENSES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation operating costs

 

 
39,349

 
1,261

 

 
40,610

Onshore pipeline transportation operating costs

 

 
11,920

 
576

 

 
12,496

Refinery services operating costs

 

 
42,613

 
3,018

 
(3,067
)
 
42,564

Marine transportation costs

 

 
67,452

 

 

 
67,452

Supply and logistics costs

 

 
427,393

 

 

 
427,393

General and administrative

 

 
23,504

 

 

 
23,504

Depreciation and amortization

 

 
101,285

 
1,250

 

 
102,535

Total costs and expenses

 

 
713,516

 
6,105

 
(3,067
)
 
716,554

OPERATING INCOME

 

 
100,892

 
6,944

 

 
107,836

Equity in earnings of subsidiaries
128,863

 

 
(78
)
 

 
(128,785
)
 

Equity in earnings of equity investees

 

 
22,874

 

 

 
22,874

Interest (expense) income, net
(69,833
)
 

 
7,266

 
(7,355
)
 

 
(69,922
)
Income before income taxes
59,030

 

 
130,954

 
(411
)
 
(128,785
)
 
60,788

Income tax expense

 

 
(2,007
)
 
(3
)
 

 
(2,010
)
NET INCOME
59,030

 

 
128,947

 
(414
)
 
(128,785
)
 
58,778

Net loss attributable to noncontrolling interest

 

 

 
252

 

 
252

NET INCOME ATTRIBUTABLE TO GENESIS ENERGY, L.P.
$
59,030

 
$

 
$
128,947

 
$
(162
)
 
$
(128,785
)
 
$
59,030


Unaudited Condensed Consolidating Statement of Operations
Six Months Ended June 30, 2015
 
 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)
 
Genesis
Energy Finance
Corporation
(Co-Issuer)
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Genesis
Energy, L.P.
Consolidated
REVENUES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation services
$

 
$

 
$
2,048

 
$

 
$

 
$
2,048

Onshore pipeline transportation services

 

 
25,744

 
12,257

 

 
38,001

Refinery services

 

 
90,591

 
7,971

 
(6,114
)
 
92,448

Marine transportation

 

 
119,965

 

 

 
119,965

Supply and logistics

 

 
930,722

 

 

 
930,722

Total revenues

 

 
1,169,070

 
20,228

 
(6,114
)
 
1,183,184

COSTS AND EXPENSES:
 
 
 
 
 
 
 
 
 
 
 
Offshore pipeline transportation operating costs

 

 
643

 

 

 
643

Onshore pipeline transportation operating costs

 

 
12,812

 
341

 

 
13,153

Refinery services operating costs

 

 
51,300

 
7,645

 
(6,083
)
 
52,862

Marine transportation costs

 

 
66,880

 

 

 
66,880

Supply and logistics costs

 

 
912,064

 

 

 
912,064

General and administrative

 

 
28,053

 

 

 
28,053

Depreciation and amortization

 

 
54,045

 
1,285

 

 
55,330

Total costs and expenses

 

 
1,125,797

 
9,271

 
(6,083
)
 
1,128,985

OPERATING INCOME

 

 
43,273

 
10,957

 
(31
)
 
54,199

Equity in earnings of subsidiaries
88,184

 

 
3,486

 

 
(91,670
)
 

Equity in earnings of equity investees

 

 
34,180

 

 

 
34,180

Interest (expense) income, net
(37,079
)
 

 
7,601

 
(7,642
)
 

 
(37,120
)
Other income/(expense), net
(19,225
)
 

 
1,696

 

 

 
(17,529
)
Income before income taxes
31,880

 

 
90,236

 
3,315

 
(91,701
)
 
33,730

Income tax benefit (expense)

 

 
(1,934
)
 
84

 

 
(1,850
)
NET INCOME
$
31,880

 
$

 
$
88,302

 
$
3,399

 
$
(91,701
)
 
$
31,880




Unaudited Condensed Consolidating Statement of Cash Flows
Six Months Ended June 30, 2016
 
 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)
 
Genesis
Energy Finance
Corporation
(Co-Issuer)
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Genesis
Energy, L.P.
Consolidated
Net cash (used in) provided by operating activities
$
80,297

 
$

 
$
154,169

 
$
4,918

 
$
(135,712
)
 
$
103,672

CASH FLOWS FROM INVESTING ACTIVITIES:
 
 
 
 
 
 
 
 
 
 
 
Payments to acquire fixed and intangible assets

 

 
(247,416
)
 

 

 
(247,416
)
Cash distributions received from equity investees - return of investment

 

 
11,851

 

 

 
11,851

Investments in equity investees

 

 
(1,135
)
 

 

 
(1,135
)
Acquisitions

 

 
(25,394
)
 

 

 
(25,394
)
Intercompany transfers
(223,537
)
 

 

 

 
223,537

 

Repayments on loan to non-guarantor subsidiary

 

 
2,979

 

 
(2,979
)
 

Contributions in aid of construction costs

 

 
8,940

 

 

 
8,940

Proceeds from asset sales

 

 
3,183

 

 

 
3,183

Other, net

 

 
107

 

 

 
107

Net cash provided by (used) in investing activities
(223,537
)
 

 
(246,885
)
 

 
220,558

 
(249,864
)
CASH FLOWS FROM FINANCING ACTIVITIES:
 
 
 
 
 
 
 
 
 
 
 
Borrowings on senior secured credit facility
631,900

 

 

 

 

 
631,900

Repayments on senior secured credit facility
(341,100
)
 

 

 

 

 
(341,100
)
Debt issuance costs
(1,539
)
 

 

 

 

 
(1,539
)
Intercompany transfers

 

 
236,775

 
(13,238
)
 
(223,537
)
 

Distributions to partners/owners
(146,021
)
 

 
(146,021
)
 

 
146,021

 
(146,021
)
Other, net

 

 
607

 
7,330

 
(7,330
)
 
607

Net cash provided by (used in) financing activities
143,240

 

 
91,361

 
(5,908
)
 
(84,846
)
 
143,847

Net (decrease) increase in cash and cash equivalents

 

 
(1,355
)
 
(990
)
 

 
(2,345
)
Cash and cash equivalents at beginning of period
6

 

 
8,288

 
2,601

 

 
10,895

Cash and cash equivalents at end of period
$
6

 
$

 
$
6,933

 
$
1,611

 
$

 
$
8,550

 Unaudited Condensed Consolidating Statement of Cash Flows
Six Months Ended June 30, 2015
 
 
Genesis
Energy, L.P.
(Parent and
Co-Issuer)
 
Genesis
Energy Finance
Corporation
(Co-Issuer)
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Genesis
Energy, L.P.
Consolidated
Net cash (used in) provided by operating activities
$
(2,724
)
 
$

 
$
102,165

 
$
17,167

 
$
(45,506
)
 
$
71,102

CASH FLOWS FROM INVESTING ACTIVITIES:
 
 
 
 
 
 
 
 
 
 
 
Payments to acquire fixed and intangible assets

 

 
(240,646
)
 

 

 
(240,646
)
Cash distributions received from equity investees - return of investment
71,787

 

 
11,490

 

 
(71,787
)
 
11,490

Investments in equity investees
(197,722
)
 

 
(1,750
)
 

 
197,722

 
(1,750
)
Intercompany transfers
(28,132
)
 

 

 

 
28,132

 

Repayments on loan to non-guarantor subsidiary

 

 
2,692

 

 
(2,692
)
 

Proceeds from asset sales

 

 
2,228

 

 

 
2,228

Other, net

 

 
(729
)
 

 

 
(729
)
Net cash used in investing activities
(154,067
)
 

 
(226,715
)
 

 
151,375

 
(229,407
)
CASH FLOWS FROM FINANCING ACTIVITIES:
 
 
 
 
 
 
 
 
 
 
 
Borrowings on senior secured credit facility
550,500

 

 

 

 

 
550,500

Repayments on senior secured credit facility
(515,700
)
 

 

 

 

 
(515,700
)
Proceeds from issuance of senior unsecured notes
400,000

 

 

 

 

 
400,000

Repayment of senior unsecured notes
(350,000
)
 

 

 

 

 
(350,000
)
Debt issuance costs
(8,418
)
 

 

 

 

 
(8,418
)
Intercompany transfers

 

 
43,059

 
(14,927
)
 
(28,132
)
 

Issuance of common units for cash, net
197,722

 

 
197,722

 

 
(197,722
)
 
197,722

Distributions to partners/owners
(117,316
)
 

 
(117,316
)
 

 
117,316

 
(117,316
)
Other, net

 

 
774

 
(2,669
)
 
2,669

 
774

Net cash provided by (used in) financing activities
156,788

 

 
124,239

 
(17,596
)
 
(105,869
)
 
157,562

Net (decrease) increase in cash and cash equivalents
(3
)
 

 
(311
)
 
(429
)
 

 
(743
)
Cash and cash equivalents at beginning of period
9

 

 
8,310

 
1,143

 

 
9,462

Cash and cash equivalents at end of period
$
6

 
$

 
$
7,999

 
$
714

 
$

 
$
8,719




See below for revisions to previously presented Condensed Consolidating Financial Information.
Cash Flow Restatements
 
As Previously Reported
 
Adjustment
 
As Revised
June 30, 2015
 
 
 
 
 
 
Parent Column
 
 
 
 
 
 
Net cash provided by operating activities
 
(30,856
)
 
28,132

 
(2,724
)
Intercompany transfers (investing)
 

 
(28,132
)
 
(28,132
)
Net cash used in investing activities
 
(125,935
)
 
(28,132
)
 
(154,067
)
Guarantor Column
 
 
 
 
 
 
Net cash provided by operating activities
 
145,231

 
(43,066
)
 
102,165

Intercompany transfers (financing)
 

 
43,059

 
43,059

Net cash provided by (used in) financing activities
 
81,180

 
43,059

 
124,239

Non-Guarantor Column
 
 
 
 
 
 
Net cash provided by operating activities
 
2,233

 
14,934

 
17,167

Intercompany transfers (financing)
 

 
(14,927
)
 
(14,927
)
Net cash provided by (used in) financing activities
 
(2,669
)
 
(14,927
)
 
(17,596
)
Eliminations Column
 
 
 
 
 
 
Intercompany transfers (investing)
 

 
28,132

 
28,132

Net cash used in investing activities
 
123,243

 
28,132

 
151,375

Intercompany transfers (financing)
 

 
(28,132
)
 
(28,132
)
Net cash provided by (used in) financing activities
 
(77,737
)
 
(28,132
)
 
(105,869
)