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Acquisitions Acquisitions (Notes)
 6 Months Ended
Jun. 30, 2019
Business Combinations [Abstract]  
Acquisitions Acquisitions

2018 Drop Down
On August 6, 2018, we completed the 2018 Drop Down for total consideration of $1.55 billion. These assets include gathering, storage and transportation assets in the Permian Basin; legacy Western Refining, Inc. assets and associated crude terminals; the majority of Andeavor’s remaining refining terminalling, transportation and storage assets; and equity method investments in Andeavor Logistics Rio Pipeline LLC (“ALRP”), Minnesota Pipe Line Company, LLC, and PNAC, LLC (“PNAC”). In addition, the Conan Crude Oil Gathering System and the Los Angeles Refinery Interconnect Pipeline (“LARIP”) were transferred at cost plus incurred interest.

SLC Core Pipeline System
On May 1, 2018, we completed our acquisition of the SLC Core Pipeline System from Plains All American Pipeline, L.P. for total consideration of $180 million. The system consists of pipelines that transport crude oil to another third-party pipeline system that supplies Salt Lake City area refineries, including Marathon’s Salt Lake City refinery. We financed the acquisition using our Revolving Credit Facility. This acquisition is not material to our condensed consolidated financial statements and its operating results are reported in our Terminalling and Transportation segment.

Combined Consolidated Financial Information

As discussed further in Note 1, we refer to the historical results of the assets acquired from our Sponsor in the 2018 Drop Down (prior to August 6, 2018) as our “Predecessors.” The following table presents our results of operations disaggregated to present results relating to us and the Predecessors for the assets acquired from our Sponsor and the total amounts included in our combined financial statements for the three and six months ended June 30, 2018.

Reconciliation of Combined Financial Statements (in millions)
 
Three Months Ended June 30, 2018
 
Six Months Ended June 30, 2018
 
Combined
 
Andeavor Logistics
 
Predecessors
 
Combined
 
Andeavor Logistics
 
Predecessors
Revenues
 
 
 
 
 
 
 
 
 
 
 
Affiliate
$
389

 
$
381

 
$
8

 
$
716

 
$
699

 
$
17

Third-party
180

 
176

 
4

 
399

 
393

 
6

Total Revenues
569

 
557

 
12

 
1,115

 
1,092

 
23

Costs and Expenses
 
 
 
 
 
 
 
 
 
 
 
NGL expense (exclusive of items shown separately below)
45

 
45

 
—

 
93

 
93

 
—

Operating expenses (exclusive of depreciation and amortization)
221

 
201

 
20

 
422

 
391

 
31

Depreciation and amortization expenses
93

 
83

 
10

 
182

 
163

 
19

General and administrative expenses
29

 
25

 
4

 
60

 
52

 
8

Loss on asset disposals and impairments
1

 
1

 
—

 
1

 
1

 
—

Operating Income (Loss)
180

 
202

 
(22
)
 
357

 
392

 
(35
)
Interest and financing costs, net
(60
)
 
(58
)
 
(2
)
 
(115
)
 
(112
)
 
(3
)
Equity in earnings of equity method investments
10

 
3

 
7

 
18

 
5

 
13

Other income, net
2

 
1

 
1

 
3

 
2

 
1

Net Earnings (Loss)
$
132

 
$
148

 
$
(16
)
 
$
263

 
$
287

 
$
(24
)
 
 
 
 
 
 
 
 
 
 
 
 
Loss attributable to Predecessors
$
16

 
$
—

 
$
16

 
$
24

 
$
—

 
$
24

Net Earnings Attributable to Partners
148

 
148

 
—

 
287

 
287

 
—

Preferred unitholders’ interest in net earnings
(10
)
 
(10
)
 
—

 
(24
)
 
(24
)
 
—

Limited Partners’ Interest in Net Earnings
$
138

 
$
138

 
$
—

 
$
263

 
$
263

 
$
—