2.2.0.7 false Financial Instruments, Derivatives and Concentrations of Credit Risk 0207 - Disclosure - Financial Instruments, Derivatives and Concentrations of Credit Risk true false false false 1 USD false false USD Standard http://www.xbrl.org/2003/iso4217 USD iso4217 0 EPS Divide http://www.xbrl.org/2003/iso4217 USD iso4217 http://www.xbrl.org/2003/instance shares xbrli 0 Shares Standard http://www.xbrl.org/2003/instance shares xbrli 0 $ 2 Financial Instruments, Derivatives and Concentrations of Credit Risk [Abstract] 0 wpz_FinancialInstrumentsDerivativesAndConcentrationsOfCreditRiskAbstract wpz false na duration Financial Instruments, Derivatives and Concentrations of Credit Risk. false false false false false true false false false false false false 1 false false false false 0 0 false false false xbrli:stringItemType string Financial Instruments, Derivatives and Concentrations of Credit Risk. false 3 Financial Instruments, Derivatives and Concentrations of Credit Risk 1 wpz_FinancialInstrumentsDerivativesAndConcentrationsOfCreditRiskTextBlock wpz false na duration Financial Instruments, Derivatives and Concentrations of Credit Risk. false false false false false false false false false false false verboselabel false 1 false false false false 0 0 Note 7. Financial Instruments, Derivatives and Concentrations of Credit Risk Financial Instruments Fair-value methods We use the following methods and assumptions in estimating our fair-value disclosures for financial instruments:  Cash and cash equivalents: The carrying amounts reported in the Consolidated Balance Sheet approximate fair value due to the short-term maturity of these instruments. ARO Trust Investments: Pursuant to its 2008 rate case settlement, Transco deposits a portion of its collected rates into an external trust (ARO Trust) that is specifically designated to fund future asset retirement obligations. The ARO Trust invests in a portfolio of mutual funds that are reported at fair value in regulatory assets, deferred charges and other in the Consolidated Balance Sheet and are classified as available-for-sale. However, both realized and unrealized gains and losses are ultimately recorded as regulatory assets or liabilities. Long-term debt: The fair value of our publicly traded long-term debt is valued using indicative period-end traded bond market prices. Private debt is valued based on market rates and the prices of similar securities with similar terms and credit ratings. At September 30, 2010 and December 31, 2009, approximately 100 percent and 91 percent, respectively, of our long-term debt was publicly traded. (See Note 4.)  Other: Includes current and noncurrent notes receivable. Energy derivatives: Energy derivatives include forwards and swaps. These are carried at fair value in other current assets and other accrued liabilities in the Consolidated Balance Sheet. See Note 6 for discussion of valuation of our energy derivatives. Carrying amounts and fair values of our financial instruments<div><table style="border-collapse:collapse;margin-top:20px;"><tr style="height: 17px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 17px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 17px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td colspan="5" style="width: 145px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:145px;">September 30, 2010</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="5" style="width: 145px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:145px;">December 31, 2009</td></tr><tr style="height: 14px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 70px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:70px;">Carrying</td><td style="width: 5px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 70px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:70px;">Carrying</td><td style="width: 5px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 11px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 70px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:70px;">Amount</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 70px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:70px;">Fair Value </td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 70px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:70px;"> Amount</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 70px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:70px;">Fair Value </td></tr><tr style="height: 2px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 17px"><td colspan="4" style="width: 324px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:324px;">Asset (Liability)</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td colspan="10" style="width: 285px; text-align:center;border-color:#000000;min-width:285px;">(Millions)</td></tr><tr style="height: 3px"><td style="width: 9px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; border-top-style:solid;border-top-width:1px;text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 17px"><td colspan="4" style="width: 324px; text-align:left;border-color:#000000;min-width:324px;">Cash and cash equivalents </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 92</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 92</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 153</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 153</td></tr><tr style="height: 17px"><td colspan="4" style="width: 324px; text-align:left;border-color:#000000;min-width:324px;">ARO Trust Investments </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 37</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 37</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 22</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 22</td></tr><tr style="height: 17px"><td colspan="4" style="width: 324px; text-align:left;border-color:#000000;min-width:324px;">Long-term debt, including current portion </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (6,223)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (6,958)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (2,996)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (3,194)</td></tr><tr style="height: 17px"><td colspan="4" style="width: 324px; text-align:left;border-color:#000000;min-width:324px;">Other</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> -</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> -</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 3</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 3</td></tr><tr style="height: 17px"><td colspan="4" style="width: 324px; text-align:left;border-color:#000000;min-width:324px;">Net energy derivatives:</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 17px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td colspan="3" style="width: 315px; text-align:left;border-color:#000000;min-width:315px;">Energy commodity cash flow hedges — affiliate </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (7)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (7)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (2)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> (2)</td></tr><tr style="height: 17px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td colspan="3" style="width: 315px; text-align:left;border-color:#000000;min-width:315px;">Other energy derivatives </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 1</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 1</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 2</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 2</td></tr><tr style="height: 17px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 17px"><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 295px; text-align:left;border-color:#000000;min-width:295px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; text-align:left;border-color:#000000;min-width:60px;"> </td></tr></table></div>Energy Commodity Derivatives Risk management activities We are exposed to market risk from changes in energy commodity prices within our operations. We may utilize derivatives to manage our exposure to the variability in expected future cash flows from forecasted purchases of natural gas and forecasted sales of NGLs attributable to commodity price risk. Certain of these derivatives utilized for risk management purposes have been designated as cash flow hedges, while other derivatives have not been designated as cash flow hedges or do not qualify for hedge accounting despite hedging our future cash flows on an economic basis.  We sell NGL volumes received as compensation for certain processing services at different locations throughout the United States. We also buy natural gas to satisfy the required fuel and shrink needed to generate NGLs. To reduce exposure to a decrease in revenues from fluctuations in NGL market prices or increases in costs and operating expenses from fluctuations in natural gas market prices, we may enter into NGL or natural gas swap agreements, financial or physical forward contracts, and financial option contracts to mitigate the price risk on forecasted sales of NGLs and purchases of natural gas. These cash flow hedges are expected to be highly effective in offsetting cash flows attributable to the hedged risk during the term of the hedge. However, ineffectiveness may be recognized primarily as a result of locational differences between the hedging derivative and the hedged item.  Volumes Our energy commodity derivatives are comprised of both contracts to purchase commodities (long positions) and contracts to sell commodities (short positions). Derivative transactions are categorized into two types:  <ul><li>Fixed price: Includes physical and financial derivative transactions that settle at a fixed location price;</li></ul> <ul><li>Basis: Includes financial derivative transactions priced off the difference in value between a commodity at two specific delivery points. </li></ul> The following table depicts the notional quantities of the net long (short) positions in our commodity derivatives portfolio as of September 30, 2010. Natural gas is presented in millions of British Thermal Units (MMBtu) and NGLs are presented in gallons.<div><table style="border-collapse:collapse;margin-top:20px;"><tr style="height: 13px"><td style="width: 230px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:230px;">Derivative Notional Volumes </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 115px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:115px;">Measurement</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:125px;">Fixed Price </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:125px;">Basis </td></tr><tr style="height: 4px"><td style="width: 230px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:230px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 115px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:115px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:125px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:125px;"> </td></tr><tr style="height: 14px"><td style="width: 230px; text-align:left;border-color:#000000;min-width:230px;">Designated as Hedging Instruments</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 115px; text-align:left;border-color:#000000;min-width:115px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:left;border-color:#000000;min-width:125px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:left;border-color:#000000;min-width:125px;"> </td></tr><tr style="height: 14px"><td style="width: 230px; text-align:left;border-color:#000000;min-width:230px;">Midstream Risk Management</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 115px; text-align:center;border-color:#000000;min-width:115px;">MMBtu</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:right;border-color:#000000;min-width:125px;"> 6,365,000</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:right;border-color:#000000;min-width:125px;"> 4,305,000</td></tr><tr style="height: 14px"><td style="width: 230px; text-align:left;border-color:#000000;min-width:230px;">Midstream Risk Management</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 115px; text-align:center;border-color:#000000;min-width:115px;">Gallons</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:right;border-color:#000000;min-width:125px;"> (69,636,000)</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:left;border-color:#000000;min-width:125px;"> </td></tr><tr style="height: 17px"><td style="width: 230px; text-align:left;border-color:#000000;min-width:230px;">Not Designated as Hedging Instruments</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 115px; text-align:center;border-color:#000000;min-width:115px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:left;border-color:#000000;min-width:125px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:left;border-color:#000000;min-width:125px;"> </td></tr><tr style="height: 14px"><td style="width: 230px; text-align:left;border-color:#000000;min-width:230px;">Midstream Risk Management</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 115px; text-align:center;border-color:#000000;min-width:115px;">Gallons</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:right;border-color:#000000;min-width:125px;"> (3,360,000)</td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 125px; text-align:left;border-color:#000000;min-width:125px;"> </td></tr></table></div>Fair values and gains (losses) The following table presents the fair value of energy commodity derivatives. Our derivatives are included in other current assets and other accrued liabilities in our Consolidated Balance Sheet. Derivatives are classified as current or noncurrent based on the contractual timing of expected future net cash flows of individual contracts. The expected future net cash flows for derivatives classified as current are expected to occur by December 31, 2010. <div><table style="border-collapse:collapse;margin-top:20px;"><tr style="height: 17px"><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 225px; text-align:left;border-color:#000000;min-width:225px;"> </td><td rowspan="4" style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td colspan="4" style="width: 155px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:155px;">September 30, 2010</td><td style="width: 25px; text-align:center;border-color:#000000;min-width:25px;"> </td><td rowspan="2" style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td colspan="4" style="width: 155px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:155px;">December 31, 2009</td></tr><tr style="height: 15px"><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 225px; text-align:left;border-color:#000000;min-width:225px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:60px;">Assets </td><td style="width: 25px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:60px;">Liabilities </td><td style="width: 25px; text-align:center;border-color:#000000;min-width:25px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:60px;">Assets </td><td style="width: 25px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:60px;">Liabilities </td></tr><tr style="height: 3px"><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 225px; text-align:left;border-color:#000000;min-width:225px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td><td style="width: 25px; text-align:center;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td><td style="width: 25px; text-align:center;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td><td style="width: 25px; text-align:center;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:60px;"> </td></tr><tr style="height: 17px"><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td style="width: 225px; text-align:left;border-color:#000000;min-width:225px;"> </td><td colspan="4" style="width: 155px; text-align:center;border-color:#000000;min-width:155px;">(Millions)</td><td style="width: 25px; text-align:center;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td colspan="4" style="width: 155px; text-align:center;border-color:#000000;min-width:155px;">(Millions)</td></tr><tr style="height: 17px"><td colspan="4" style="width: 270px; text-align:left;border-color:#000000;min-width:270px;">Designated as hedging instruments </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 1</td><td style="width: 25px; text-align:left;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 8</td><td style="width: 25px; text-align:left;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> -</td><td style="width: 25px; text-align:right;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; text-align:right;border-color:#000000;min-width:60px;"> 2</td></tr><tr style="height: 17px"><td colspan="4" style="width: 270px; text-align:left;border-color:#000000;min-width:270px;">Not designated as hedging instruments </td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;border-color:#000000;min-width:60px;"> 1</td><td style="width: 25px; text-align:left;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;border-color:#000000;min-width:60px;"> -</td><td style="width: 25px; text-align:right;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;border-color:#000000;min-width:60px;"> 2</td><td style="width: 25px; text-align:left;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-bottom-style:solid;border-bottom-width:1px;text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 60px; border-bottom-style:solid;border-bottom-width:1px;text-align:right;border-color:#000000;min-width:60px;"> -</td></tr><tr style="height: 18px"><td style="width: 15px; text-align:left;border-color:#000000;min-width:15px;"> </td><td colspan="3" style="width: 255px; text-align:center;border-color:#000000;min-width:255px;">Total derivatives</td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:60px;"> 2</td><td style="width: 25px; text-align:left;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:60px;"> 8</td><td style="width: 25px; text-align:left;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:60px;"> 2</td><td style="width: 25px; text-align:left;border-color:#000000;min-width:25px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:left;border-color:#000000;min-width:10px;">$</td><td style="width: 60px; border-top-style:solid;border-top-width:1px;border-bottom-style:double;border-bottom-width:3px;text-align:right;border-color:#000000;min-width:60px;"> 2</td></tr></table></div>The following table presents gains and losses for our energy commodity derivatives designated as cash flow hedges, as recognized in AOCI or revenues.<div><table style="border-collapse:collapse;margin-top:20px;"><tr style="height: 27px"><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 314px; text-align:left;border-color:#000000;min-width:314px;"> </td><td colspan="5" style="width: 95px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:95px;">Three months ended September 30,</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td colspan="5" style="width: 95px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:95px;">Nine months ended September 30,</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;"> </td></tr><tr style="height: 3px"><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 314px; text-align:left;border-color:#000000;min-width:314px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;"> </td></tr><tr style="height: 17px"><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 314px; text-align:left;border-color:#000000;min-width:314px;"> </td><td colspan="2" style="width: 45px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:45px;">2010</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 45px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:45px;">2009</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td colspan="2" style="width: 45px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:45px;">2010</td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td colspan="2" style="width: 45px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:45px;">2009</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; border-bottom-style:solid;border-bottom-width:1px;text-align:center;border-color:#000000;min-width:80px;"> Classification </td></tr><tr style="height: 3px"><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 314px; text-align:left;border-color:#000000;min-width:314px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; text-align:center;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; border-top-style:solid;border-top-width:1px;text-align:center;border-color:#000000;min-width:80px;"> </td></tr><tr style="height: 17px"><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 9px; text-align:left;border-color:#000000;min-width:9px;"> </td><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td style="width: 314px; text-align:left;border-color:#000000;min-width:314px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td colspan="4" style="width: 85px; text-align:center;border-color:#000000;min-width:85px;">(Millions)</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td colspan="4" style="width: 85px; text-align:center;border-color:#000000;min-width:85px;">(Millions)</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;"> </td></tr><tr style="height: 17px"><td colspan="4" style="width: 343px; text-align:left;border-color:#000000;min-width:343px;">Net loss recognized in other comprehensive income</td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:left;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:left;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:center;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;"> </td></tr><tr style="height: 17px"><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td colspan="3" style="width: 333px; text-align:center;border-color:#000000;min-width:333px;">(effective portion)</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> (20)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> (6)</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;">AOCI</td></tr><tr style="height: 17px"><td colspan="4" style="width: 343px; text-align:left;border-color:#000000;min-width:343px;">Net gain reclassified from accumulated other comprehensive</td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:left;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:left;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:left;border-color:#000000;min-width:35px;"> </td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:right;border-color:#000000;min-width:10px;"> </td><td style="width: 35px; text-align:left;border-color:#000000;min-width:35px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;"> </td></tr><tr style="height: 17px"><td style="width: 10px; text-align:left;border-color:#000000;min-width:10px;"> </td><td colspan="3" style="width: 333px; text-align:left;border-color:#000000;min-width:333px;">income (loss) into income (effective portion) </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> 4</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 5px; text-align:left;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;">Revenues</td></tr><tr style="height: 17px"><td colspan="4" style="width: 343px; text-align:left;border-color:#000000;min-width:343px;">Gain (loss) recognized in income (ineffective portion) </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 5px; text-align:right;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 5px; text-align:right;border-color:#000000;min-width:5px;"> </td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;">$</td><td style="width: 35px; text-align:right;border-color:#000000;min-width:35px;"> -</td><td style="width: 10px; text-align:center;border-color:#000000;min-width:10px;"> </td><td style="width: 80px; text-align:center;border-color:#000000;min-width:80px;">Revenues</td></tr></table></div>There were no gains or losses recognized in income as a result of excluding amounts from the assessment of hedge effectiveness or as a result of reclassifications to earnings following the discontinuance of any cash flow hedges. As of September 30, 2010, we have hedged portions of future cash flows associated with anticipated NGL sales and natural gas purchases through December 31, 2010. Based on recorded values at September 30, 2010, net losses to be reclassified into earnings by December 31, 2010, are $7 million. These recorded values are based on market prices of the commodities as of September 30, 2010. Due to the volatile nature of commodity prices and changes in the creditworthiness of counterparties, actual gains or losses realized by December 31, 2010, will likely differ from these values. These gains or losses will offset net losses or gains that will be realized in earnings from previous unfavorable or favorable market movements associated with underlying hedged transactions.  We recognized losses of less than $1 million and gains of $3 million in revenues for the nine months ended September 30, 2010, and 2009, respectively, on our energy commodity derivatives not designated as hedging instruments. The cash flow impact of our derivative activities is presented in the Consolidated Statement of Cash Flows as changes in other assets and deferred charges and changes in accrued liabilities.  Credit-risk-related features Our financial swap contracts are with Williams Gas Marketing, Inc., and the derivative contracts not designated as cash flow hedging instruments are primarily physical commodity sale contracts. These agreements do not contain any provisions that require us to post collateral related to net liability positions. Guarantees In addition to the guarantees and payment obligations discussed in Note 8, we have issued guarantees and other similar arrangements as discussed below. We are required by our revolving credit agreement to indemnify lenders for any taxes required to be withheld from payments due to the lenders and for any tax payments made by the lenders. The maximum potential amount of future payments under these indemnifications is based on the related borrowings and such future payments cannot currently be determined. These indemnifications generally continue indefinitely unless limited by the underlying tax regulations and have no carrying value. We have never been called upon to perform under these indemnifications and have no current expectation of a future claim. At September 30, 2010, we do not expect these guarantees to have a material impact on our future liquidity or financial position. However, if we are required to perform on these guarantees in the future, it may have a material adverse effect on our results of operations.  Note 7. Financial Instruments, Derivatives and Concentrations of Credit Risk Financial Instruments Fair-value methods We use the following false false false us-types:textBlockItemType textblock Financial Instruments, Derivatives and Concentrations of Credit Risk. No authoritative reference available. false 1 2 false UnKnown UnKnown UnKnown false true