Equity and Partners' Capital (Tables)

12 Months Ended

Dec. 31, 2019

The following table summarizes WES Operating’s units issued during the years ended December 31, 2019 and 2018:



	Common Units	Class C Units		General Partner Units		Total
Balance at December 31, 2017	152,602,105	13,243,883		2,583,068		168,429,056
PIK Class C units	—	1,128,782		—		1,128,782
Vesting of Long-Term Incentive Plan Awards	7,180	—		—		7,180
Balance at December 31, 2018	152,609,285	14,372,665		2,583,068		169,565,018
PIK Class C units	—	308,723		—		308,723
Conversion of Class C units	14,681,388	(14,681,388	)	—		—
IDR and General partner unit conversion	105,624,704	—		(2,583,068	)	103,041,636
Units issued as part of the AMA acquisition	45,760,201	—		—		45,760,201
Balance at December 31, 2019 ⁽¹⁾	318,675,578	—		—		318,675,578

⁽¹⁾

All WES Operating common units that converted into the Partnership’s common units at closing of the Merger were canceled and an equivalent amount of the canceled WES Operating common units were issued to the Partnership. See Note 1 for further details on the units issued and converted in connection with the closing of the Merger.

In February 2019, the Partnership issued common units in connection with the closing of the Merger (see Note 1) as follows:



Partnership common units outstanding prior to the Merger			218,937,797
WES Operating common units outstanding prior to the Merger	152,609,285
WES Operating Class C units outstanding prior to the Merger	14,681,388
Less: WES Operating common units owned by the Partnership	(50,132,046	)
WES Operating common units subject to conversion into Partnership common units	117,158,627
Exchange ratio per unit	1.525
Partnership common units issued for WES Operating common units⁽¹⁾			178,692,081
WES Operating common units issued as part of the AMA acquisition	45,760,201
Less: WES Operating common units retained by a subsidiary of Anadarko	(6,375,284	)
WES Operating acquisition common units subject to conversion into Partnership common units	39,384,917
Conversion ratio per unit	1.4056
Partnership common units issued for WES Operating acquisition common units			55,360,984
Partnership common units outstanding at February 28, 2019			452,990,862

⁽¹⁾

Total Partnership units issued at Merger completion exceeds the calculation of such units using the exchange ratio due to the rounding convention described in the Merger Agreement.

Calculation of Net Income (Loss) Per Unit Table

The following table illustrates the calculation of WES Operating’s net income (loss) per common unit:



	Year Ended December 31,
thousands except per-unit amounts	2018			2017
Net income (loss) attributable to Western Midstream Operating, LP	$	627,917		$	731,666
Pre-acquisition net (income) loss allocated to Anadarko	(182,142		)	(164,183		)
Series A Preferred units interest in net (income) loss ⁽¹⁾	—			(42,373		)
General partner interest in net (income) loss	(346,538		)	(303,835		)
Common and Class C limited partners’ interest in net income (loss)	$	99,237		$	221,275
Net income (loss) allocable to common units ⁽¹⁾	$	84,334		$	192,066
Net income (loss) allocable to Class C units ⁽¹⁾	14,903			29,209
Common and Class C limited partners’ interest in net income (loss)	$	99,237		$	221,275
Net income (loss) per unit
Common units – basic and diluted ⁽²⁾	$	0.55		$	1.30
Weighted-average units outstanding
Common units – basic and diluted	152,606			147,194
Excluded due to anti-dilutive effect:
Class C units⁽²⁾	13,795			12,776
Series A Preferred units assuming conversion to common units ⁽²⁾	—			5,406


⁽¹⁾	Adjusted to reflect amortization of the beneficial conversion features.

⁽²⁾

The impact of Class C units would be anti-dilutive for the periods presented and the conversion of Series A Preferred units would be anti-dilutive for the year ended December 31, 2017. On March 1, 2017, 50% of the outstanding Series A Preferred units converted into common units on a one-for-one basis, and on May 2, 2017, all remaining Series A Preferred units converted into common units on a one-for-one basis.