Related Party Transactions

3 Months Ended

Mar. 31, 2020

Crestwood Holdings LLC (Crestwood Holdings) indirectly owns both CEQP’s and CMLP’s general partner. The affiliates of Crestwood Holdings and its owners are considered CEQP’s and CMLP’s related parties. We enter into transactions with our affiliates within the ordinary course of business, including gas gathering and processing services, product purchases, marketing services and various operating agreements. We also enter into transactions with our affiliates related to services provided on our expansion projects. During the three months ended March 31, 2020 and 2019, we paid approximately $2.4 million and $2.2 million of capital expenditures to Applied Consultants, Inc., an affiliate of Crestwood Holdings.

The following table shows transactions with our affiliates which are reflected in our consolidated statements of operations (in millions). For a further description of our related party agreements, see our 2019 Annual Report on Form 10-K.



	Three Months Ended
	March 31,
	2020		2019
Revenues at CEQP and CMLP⁽¹⁾	$	7.5	$	1.2
Costs of product/services sold at CEQP and CMLP⁽²⁾	$	3.2	$	34.4
Operations and maintenance expenses charged by CEQP and CMLP⁽³⁾	$	6.2	$	7.5
General and administrative expenses charged by CEQP to CMLP, net⁽⁴⁾	$	7.1	$	11.0
General and administrative expenses at CEQP charged to (from) Crestwood Holdings, net⁽⁵⁾	$	12.8	$	(5.2	)


(1)	Includes $7.5 million during the three months ended March 31, 2020 related to the sale of NGLs to a subsidiary of Crestwood Permian and $1.2 million during the three months ended March 31, 2019 related to the sale of natural gas to a subsidiary of Stagecoach Gas.

(2)

Includes (i) $3.2 million and $8.2 million during the three months ended March 31, 2020 and 2019 related to purchases of NGLs from a subsidiary of Crestwood Permian; (ii) $2.3 million during the three months ended March 31, 2019 related to purchases of natural gas from a subsidiary of Stagecoach Gas; and (iii) $23.9 million during the three months ended March 31, 2019 related to an agency marketing agreement with Ascent Resources - Utica, LLC, an affiliate of Crestwood Holdings.

(3)

We have operating agreements with certain of our unconsolidated affiliates pursuant to which we charge them operations and maintenance expenses in accordance with their respective agreements, and these charges are reflected as a reduction of operations and maintenance expenses in our consolidated statements of operations. During the three months ended March 31, 2020, we charged $1.7 million to Stagecoach Gas, $1.1 million to Tres Palacios, and $3.4 million to Crestwood Permian under these agreements. During the three months ended March 31, 2019, we charged $2.0 million to Stagecoach Gas, $1.2 million to Tres Palacios, $3.8 million to Crestwood Permian, and $0.5 million to Jackalope under these agreements.


(4)	Includes $8.2 million and $11.9 million of unit-based compensation charges allocated from CEQP to CMLP for the three months ended March 31, 2020 and 2019. In addition, includes $1.1 million and $0.9 million of CMLP’s general and administrative costs allocated to CEQP during the three months ended March 31, 2020 and 2019.

(5)

Includes a $12.6 million reduction of unit-based compensation charges allocated from Crestwood Holdings to CEQP and CMLP during the three months ended March 31, 2020 and $5.4 million of unit-based compensation charges allocated from Crestwood Holdings to CEQP and CMLP during the three months ended March 31, 2019. In addition, includes $0.2 million of CEQP’s general and administrative costs allocated to Crestwood Holdings during both the three months ended March 31, 2020 and 2019.

The following table shows accounts receivable and accounts payable with our affiliates (in millions):



	March 31, 2020		December 31, 2019
Accounts receivable at CEQP and CMLP	$	17.2	$	7.3
Accounts payable at CEQP	$	18.4	$	15.6
Accounts payable at CMLP	$	15.9	$	13.1