Variable Interest Entities (Tables)

9 Months Ended

Sep. 30, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

The following table presents amounts included in the Company's Consolidated Balance Sheet that were for the use or obligation of CNXM as of September 30, 2018:



	September 30, 2018
Assets:
Cash	$	950
Receivables - Related Party	15,053
Receivables - Third Party	7,185
Other Current Assets	2,623
Property, Plant and Equipment, net	848,836
Other Assets	3,404
Total Assets	$	878,051
Liabilities:
Accounts Payable	$	53,391
Accounts Payable - Related Party	4,427
Revolving Credit Facility	44,000
Long-Term Debt	392,978
Total Liabilities	$	494,796

The following table summarizes CNXM's Consolidated Statements of Operations and Cash Flows for the three and nine months ended September 30, 2018, inclusive of affiliate amounts:



	For the Three Months Ended			For the Nine Months Ended
	September 30, 2018			September 30, 2018
Revenue
Gathering Revenue - Related Party	$	41,022		$	116,328
Gathering Revenue - Third Party	19,946			69,523
Total Revenue	60,968			185,851
Expenses
Operating Expense - Related Party	5,131			14,645
Operating Expense - Third Party	4,870			20,744
General and Administrative Expense - Related Party	3,060			10,292
General and Administrative Expense - Third Party	1,771			6,639
Loss on Asset Sales	—			2,501
Depreciation Expense	5,306			16,605
Interest Expense	7,255			16,863
Total Expense	27,393			88,289
Net Income	$	33,575		$	97,562

Net Cash Provided by Operating Activities	$	35,666		$	131,207
Net Cash Used in Investing Activities	$	(44,241	)	$	(79,366	)
Net Cash Provided by (Used in) Financing Activities	$	8,818		$	(54,085	)

The following transactions were included in Other Operating Income and Transportation, Gathering and Compression within the Consolidated Statements of Income:



	For the Three Months Ended		For the Nine Months Ended
	September 30, 2017		September 30, 2017
Other Operating Income:
Equity in Earnings of Affiliates - CNX Gathering	$	2,350	$	4,500
Equity in Earnings of Affiliates - CNXM	$	9,685	$	29,469

Transportation, Gathering and Compression:
Gathering Services - CNX Gathering	$	217	$	702
Gathering Services - CNXM	$	32,639	$	98,388

Investments in and Advances to Affiliates

The following is a summary of the Company's Investment in Affiliates balances included within the Consolidated Balance Sheets associated with CNX Gathering and CNXM, respectively:



	CNX Gathering			CNXM			Total
Balance at December 31, 2016	$	151,075		$	18,133		$	169,208
Equity in Earnings	9,823			38,523			48,346
Distributions	(17,254		)	(24,929		)	(42,183		)
Asset Transfer	(2,527		)	2,527			—
Balance at December 31, 2017	$	141,117		$	34,254		$	175,371

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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