Related Party Transactions

9 Months Ended

Sep. 30, 2014

Related Party Transactions [Abstract]

Related Party Transactions

Related Party Transactions

Our related parties include:

• Centennial Pipeline LLC (“Centennial”), in which we have a 50 percent noncontrolling interest. Centennial owns a refined products pipeline and storage facility.

• Explorer, in which we have a 25 percent interest. Explorer owns and operates a refined products pipeline.

• LOCAP LLC ("LOCAP"), in which we have a 59 percent noncontrolling interest. LOCAP owns and operates a crude oil pipeline.

• LOOP LLC (“LOOP”), in which we have a 51 percent noncontrolling interest. LOOP owns and operates the only U.S. deepwater oil port.

• TAAE, in which we have a 43 percent noncontrolling interest, TACE, in which we have a 60 percent noncontrolling interest and TAME, in which we have a 67 percent direct and indirect noncontrolling interest. These companies each own an ethanol production facility.

• Other equity method investees.

Sales to related parties, which are included in sales and other operating revenues (including consumer excise taxes) on the consolidated statements of income, were as follows:

	Three Months Ended   September 30,				Nine Months Ended   September 30,
(In millions)	2014		2013		2014		2013
Other equity method investees	$	2	$	3	$	6	$	7

Fees received for operating Centennial's pipeline, which are included in other income on the consolidated statements of income, were $1 million for the nine months ended September 2014 and 2013.

Purchases from related parties were as follows:

	Three Months Ended   September 30,				Nine Months Ended   September 30,
(In millions)	2014		2013		2014		2013
Centennial	$	—	$	4	$	7	$	4
Explorer	10		—		32		—
LOCAP	6		5		16		13
LOOP	12		11		77		32
TAAE	19		8		61		8
TACE	33		42		90		92
TAME	29		31		111		98
Other equity method investees	3		2		7		7
Total	$	112	$	103	$	401	$	254

Related party purchases from Centennial consist primarily of refinery feedstocks and refined product transportation costs. Related party purchases from Explorer consist primarily of refined product transportation costs. Related party purchases from LOCAP, LOOP and other equity method investees consist primarily of crude oil transportation costs and crude oil purchases. Related party purchases from TAAE, TACE and TAME consist of ethanol purchases.

Receivables from related parties, which are included in receivables, less allowance for doubtful accounts on the consolidated balance sheets, were as follows:

(In millions)	September 30, 2014		December 31, 2013
Centennial	$	2	$	1
TAME	2		1
Total	$	4	$	2

We also had a long-term receivable from Centennial of $1 million at September 30, 2014 and of $2 million at December 31, 2013, which is included in other noncurrent assets on the consolidated balance sheets.

Payables to related parties, which are included in accounts payable on the consolidated balance sheets, were as follows:

(In millions)	September 30, 2014		December 31, 2013
Explorer	$	5	$	—
LOCAP	2		2
LOOP	4		3
TAAE	1		2
TACE	2		4
TAME	2		5
Other equity method investees	1		—
Total	$	17	$	16