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Revenue Recognition
 12 Months Ended
Dec. 31, 2018
Revenue Recognition [Abstract]  
Revenue Recognition [Text Block]
Note 2 – Revenue Recognition
Revenue by Category
The following table presents our revenue disaggregated by major service line:
 
Northeast
Midstream
 
Atlantic-
Gulf Midstream
 
West Midstream
 
Transco
 
Northwest Pipeline
 
Other
 
Intercompany Eliminations 
 
Total
 
(Millions)
Year Ended December 31, 2018
 
 
Revenues from contracts with customers:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Service revenues:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Non-regulated gathering, processing, transportation, and storage:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Monetary consideration
$
861

 
$
541

 
$
1,590

 
$
—

 
$
—

 
$
2

 
$
(73
)
 
$
2,921

Commodity consideration
20

 
59

 
321

 
—

 
—

 
—

 
—

 
400

Regulated interstate natural gas transportation and storage
—

 
—

 
—

 
1,921

 
443

 
—

 
(2
)
 
2,362

Other
94

 
17

 
46

 
2

 
—

 
—

 
(15
)
 
144

Total service revenues
975

 
617

 
1,957

 
1,923

 
443

 
2

 
(90
)
 
5,827

Product Sales:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
NGL and natural gas
287

 
307

 
2,421

 
127

 
—

 
—

 
(382
)
 
2,760

Other
—

 
—

 
21

 
—

 
—

 
—

 
(4
)
 
17

Total product sales
287

 
307

 
2,442

 
127

 
—

 
—

 
(386
)
 
2,777

Total revenues from contracts with customers
1,262

 
924

 
4,399

 
2,050

 
443

 
2

 
(476
)
 
8,604

Other revenues (1)
21

 
18

 
12

 
11

 
—

 
32

 
(12
)
 
82

Total revenues
$
1,283

 
$
942

 
$
4,411

 
$
2,061

 
$
443

 
$
34

 
$
(488
)
 
$
8,686


______________________________
(1)
Service revenues in our Consolidated Statement of Operations include leasing revenues associated with our headquarters building and management fees that we receive for certain services we provide to operated joint ventures and other investments. The leasing revenues and the management fees do not constitute revenue from contracts with customers. Product sales in our Consolidated Statement of Operations include amounts associated with our derivative contracts that are not within the scope of ASC 606.
Contract Assets
The following table presents a reconciliation of our contract assets:
 
Year Ended December 31, 2018
 
(Millions)
Balance at beginning of period
$
4

Revenue recognized in excess of amounts invoiced
66

Minimum volume commitments invoiced
(66
)
Balance at end of period
$
4


Contract Liabilities
The following table presents a reconciliation of our contract liabilities:
 
Year Ended December 31, 2018
 
(Millions)
Balance at beginning of period
$
1,596

Payments received and deferred
314

Noncash interest expense for significant financing component
16

Deconsolidation of Jackalope interest (Note 4)
(52
)
Deconsolidation of certain Permian assets (Note 6)
(26
)
Recognized in revenue
(451
)
Balance at end of period
$
1,397


The following table presents the amount of the contract liabilities balance as of December 31, 2018, expected to be recognized as revenue in each of the next five years as performance obligations are expected to be satisfied:
 
(Millions)
2019
$
271

2020
142

2021
121

2022
102

2023
95

Thereafter
666

   Total
$
1,397


Remaining Performance Obligations
The following table presents the transaction price allocated to the remaining performance obligations under certain contracts as of December 31, 2018. These primarily include long-term contracts containing MVCs associated with our midstream businesses, fixed payments associated with offshore production handling, and reservation charges on contracted capacity on our gas pipeline firm transportation contracts with customers, as well as storage capacity contracts. Amounts included in the table below for our interstate natural gas pipeline businesses reflect the rates for such services in our current FERC tariffs for the life of the related contracts; however, these rates may change based on future tariffs approved by the FERC and the amount and timing of these changes is not currently known. As a practical expedient permitted by ASC 606, this table excludes variable consideration as well as consideration in contracts that is recognized in revenue as billed. It also excludes consideration received prior to December 31, 2018, that will be recognized in future periods (see above for Contract Liabilities and the expected recognition of those amounts within revenue). Certain of our contracts contain evergreen and other renewal provisions for periods beyond the initial term of the contract. The remaining performance obligation amounts as of December 31, 2018, do not consider potential future performance obligations for which the renewal has not been exercised.
The table below also does not include contracts with customers for which the underlying facilities have not received FERC authorization to be placed into service.
 
(Millions)
2019
$
2,909

2020
2,728

2021
2,622

2022
2,262

2023
2,089

Thereafter
16,916

Total
$
29,526


Accounts Receivable
The following is a summary of our Trade accounts and other receivables:
 
December 31, 2018
 
January 1, 2018
 
(Millions)
Accounts receivable related to revenues from contracts with customers
$
858

 
$
958

Other accounts receivable
134

 
18

Total reflected in Trade accounts and other receivables
$
992

 
$
976

Impact of Adoption of ASC 606
The following table depicts the impact of the adoption of ASC 606 on our 2018 financial statements. The adjustment to Intangible assets – net of accumulated amortization in the table below relates to the recognition under ASC 606 of contract assets for MVC-related contracts associated with a 2014 acquisition. The recognition of these contract assets resulted in a lower purchase price allocation to intangible assets. The adoption of ASC 606 did not result in adjustments to total operating, investing, or financing cash flows.
 
As Reported
 
Adjustments resulting from adoption of ASC 606
 
Balance without adoption of ASC 606
 
(Millions, except per-share amounts)
Consolidated Statement of Operations
Year Ended December 31, 2018
Service revenues
$
5,502

 
$
89

 
$
5,591

Service revenues – commodity consideration
400

 
(400
)
 
—

Product sales
2,784

 
135

 
2,919

Total revenues
8,686

 
(176
)
 
8,510

Product costs
2,707

 
(124
)
 
2,583

Processing commodity expenses
137

 
(137
)
 
—

Operating and maintenance expenses
1,507

 
1

 
1,508

Depreciation and amortization expenses
1,725

 
2

 
1,727

Impairment of certain assets
1,915

 
202

 
2,117

Total costs and expenses
7,918

 
(56
)
 
7,862

Operating income (loss)
768

 
(120
)
 
648

Equity earnings (losses)
396

 
1

 
397

Other investing income (loss) – net
219

 
84

 
303

Interest incurred
(1,160
)
 
16

 
(1,144
)
 
As Reported
 
Adjustments resulting from adoption of ASC 606
 
Balance without adoption of ASC 606
 
(Millions, except per-share amounts)
Interest capitalized
48

 
(10
)
 
38

Income (loss) before income taxes
331

 
(29
)
 
302

Provision (benefit) for income taxes
138

 
(9
)
 
129

Net income (loss)
193

 
(20
)
 
173

Less: Net income (loss) attributable to noncontrolling interests
348

 
(1
)
 
347

Net income (loss) attributable to The Williams Companies, Inc.
(155
)
 
(19
)
 
(174
)
Basic earnings (loss) per common share
$
(0.16
)
 
$
(0.02
)
 
$
(0.18
)
Diluted earnings (loss) per common share
(0.16
)
 
(0.02
)
 
(0.18
)
 
 
 
 
 
 
Consolidated Statement of Comprehensive Income (Loss)
Year Ended December 31, 2018
Net income (loss)
$
193

 
$
(20
)
 
$
173

Comprehensive income (loss)
223

 
(20
)
 
203

Less: Comprehensive income (loss) attributable to noncontrolling interests
346

 
(1
)
 
345

Comprehensive income (loss) attributable to The Williams Companies, Inc.
(123
)
 
(19
)
 
(142
)
 
 
 
 
 
 
Consolidated Balance Sheet
December 31, 2018
Inventories
$
130

 
$
(13
)
 
$
117

Total current assets
1,464

 
(13
)
 
1,451

Investments
7,821

 
1

 
7,822

Property, plant, and equipment – net
27,504

 
(212
)
 
27,292

Intangible assets – net of accumulated amortization
7,767

 
61

 
7,828

Regulatory assets, deferred charges, and other
746

 
(4
)
 
742

Total assets
45,302

 
(167
)
 
45,135

Accrued liabilities
1,102

 
67

 
1,169

Total current liabilities
1,811

 
67

 
1,878

Deferred income tax liabilities
1,524

 
20

 
1,544

Regulatory liabilities, deferred income, and other
3,603

 
(346
)
 
3,257

Retained deficit
(10,002
)
 
64

 
(9,938
)
Total stockholders’ equity
14,660

 
64

 
14,724

Noncontrolling interests in consolidated subsidiaries
1,337

 
28

 
1,365

Total equity
15,997

 
92

 
16,089

Total liabilities and equity
45,302

 
(167
)
 
45,135

 
 
 
 
 
 
Consolidated Statement of Changes in Equity
December 31, 2018
Adoption of ASC 606
$
(121
)
 
$
121

 
$
—

Net income (loss)
193

 
(20
)
 
173

Deconsolidation of subsidiary
(267
)
 
(9
)
 
(276
)
Net increase (decrease) in equity
(178
)
 
92

 
(86
)
Balance at December 31, 2018
15,997

 
92

 
16,089