Net Income/(Loss) Per Common Unit (Tables)

6 Months Ended

Jun. 30, 2020

Computation of basic and diluted net income per common unit

The following table sets forth the computation of basic and diluted net income/(loss) per common unit (in millions, except per unit data):


	Three Months Ended June 30,						Six Months Ended June 30,
	2020		2019		2020		2019
Basic Net Income/(Loss) per Common Unit
Net income/(loss) attributable to PAA	$	142	$	446	$	(2,705)	$	1,416
Distributions to Series A preferred unitholders	(37)		(37)		(74)		(74)
Distributions to Series B preferred unitholders	(12)		(12)		(25)		(25)
Distributions to participating securities	(1)		(1)		(1)		(2)
Other	—		(1)		—		(4)
Net income/(loss) allocated to common unitholders ⁽¹⁾	$	92	$	395	$	(2,805)	$	1,311

Basic weighted average common units outstanding	728		727		728		727

Basic net income/(loss) per common unit	$	0.13	$	0.54	$	(3.85)	$	1.80

Diluted Net Income/(Loss) per Common Unit
Net income/(loss) attributable to PAA	$	142	$	446	$	(2,705)	$	1,416
Distributions to Series A preferred unitholders	(37)		—		(74)		—
Distributions to Series B preferred unitholders	(12)		(12)		(25)		(25)
Distributions to participating securities	(1)		(1)		(1)		(2)

Net income allocated/(loss) to common unitholders ⁽¹⁾	$	92	$	433	$	(2,805)	$	1,389

Basic weighted average common units outstanding	728		727		728		727
Effect of dilutive securities:
Series A preferred units	—		71		—		71
Equity-indexed compensation plan awards	—		2		—		2
Diluted weighted average common units outstanding	728		800		728		800

Diluted net income/(loss) per common unit	$	0.13	$	0.54	$	(3.85)	$	1.74

⁽¹⁾We calculate net income/(loss) allocated to common unitholders based on the distributions pertaining to the current period’s net income (whether paid in cash or in-kind). After adjusting for the appropriate period’s distributions, the remaining undistributed earnings or excess distributions over earnings (i.e., undistributed loss), if any, are allocated to the common unitholders and participating securities in accordance with the contractual terms of our partnership agreement in effect for the period and as further prescribed under the two-class method.