Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2021

Summary of Significant Accounting Policies

Schedule of the Company sales to major customers (purchases in excess of 10% of total sales)


	Year Ended December 31,
	2019		2020		2021
Six One Commodities LLC ⁽¹⁾	15	%	11	%	10	%
Sabine Pass Liquefaction LLC	16	%	11	%	*

(1)	Six One Commodities LLC acquired WGL Midstream during the year ended December 31, 2021. WGL Midstream was the Company's major customer during the years ended December 31, 2019 and 2020.

*	Sabine Pass Liquefaction LLC was not a major customer during the year ended December 31, 2021.

Reconciliation of basic weighted average shares outstanding to diluted weighted average shares outstanding

The following is a reconciliation of the Company’s basic weighted average shares outstanding to diluted weighted average shares outstanding during the periods presented (in thousands):


	Year Ended December 31,
	2019	2020	2021
Basic weighted average number of shares outstanding	306,400	272,433	308,146
Add: Dilutive effect of RSUs	—	—	—
Add: Dilutive effect of PSUs	—	—	—
Add: Dilutive effect of outstanding stock options	—	—	—
Add: Dilutive effect of 2026 Convertible Notes	—	—	—
Diluted weighted average number of shares outstanding	306,400	272,433	308,146

Weighted average number of outstanding securities excluded from calculation of diluted earnings per common share ⁽¹⁾:
RSUs	2,357	6,810	6,407
PSUs	1,443	432	2,832
Outstanding stock options	527	327	379
2026 Convertible Notes ⁽²⁾	—	31,388	18,778

(1)	The potential dilutive effects of these awards were excluded from the computation of earnings (loss) per common share—diluted because the inclusion of these awards would have been anti-dilutive.

(2)

Under the treasury stock method, only the amount by which the conversion value exceeds the aggregate principal amount of the 2026 Convertible Notes is considered in the diluted earnings per share computation. As of December 31, 2020, the conversion value did not exceed the principal amount of the notes. On January 12, 2021, the Company completed the January Equitization Transactions (defined below in Note 8—Long-Term Debt) whereby the Company issued 31.4 million shares and repurchased $150 million aggregate principal amount of the 2026 Convertible Notes. See Note 8—Long-Term Debt to the consolidated financial statements for further discussion on this transaction.