Net Income (Loss) Per Limited Partner Unit

12 Months Ended

Dec. 31, 2019

Earnings Per Share [Abstract]

Net Income (Loss) Per Limited Partner Unit

Net Income/(Loss) Per Limited Partner Unit

Net income/(loss) per unit applicable to common limited partner units is computed by dividing net income/(loss) attributable to MPLX LP less income/(loss) allocated to participating securities by the weighted average number of common units outstanding. Additional MPLX common units and MPLX Series B preferred units were issued on July 30, 2019 as a result of the merger with ANDX as discussed in Note 4. Distributions declared on these newly issued common and Series B preferred units are a reduction to income available to MPLX common unit holders due to their participation in distributions of income.

Classes of participating securities for 2019, 2018 and 2017 include:

	2019	2018	2017
Common Units	ü	ü	ü
Equity-based compensation awards	ü	ü	ü
Series A preferred units	ü	ü	ü
Series B preferred units	ü
General partner units and IDRs			ü

The HST, WHC and MPLXT acquisitions and the Merger were transfers between entities under common control as discussed in Note 4. As entities under common control with MPC, prior periods were retrospectively adjusted to furnish comparative information. Accordingly, the prior period earnings have been allocated to the general partner and do not affect the net income/(loss) per unit calculation. The earnings for the entities acquired under common control will be included in the net income/(loss) per unit calculation prospectively as described above.

In 2019 and 2018, MPLX had dilutive potential common units consisting of certain equity-based compensation awards. In 2017, MPLX had dilutive potential common units consisting of certain equity-based compensation awards and Class B units. Potential common units omitted from the diluted earnings per unit calculation for the years ended December 31, 2019, 2018 and 2017 were less than 1 million.

(In millions)	2019			2018			2017
Net income attributable to MPLX LP	$	1,033		$	1,818		$	794
Less: Distributions declared on Series A preferred units(1)	81			75			65
Distributions declared on Series B preferred units(1)	42			—			—
General partner’s distributions declared (includes IDRs)(1)(2)	—			—			328
Limited partners’ distributions declared on MPLX common units (including common units of general partner)(1)	2,635			1,985			895
Undistributed net loss attributable to MPLX LP	$	(1,725	)	$	(242	)	$	(494	)

(1) See Note 8 for distribution information.

(2) Distributions declared on January 25, 2018 on general partner common units issued on February 1, 2018 in exchange for the economic general partner interest, including IDRs, are shown as general partner distributions declared.

	2019
(In millions, except per unit data)	Limited  Partners’ Common  Units			Series A Preferred Units		Series B Preferred Units		Total
Basic and diluted net income attributable to MPLX LP per unit:
Net income attributable to MPLX LP:
Distributions declared	$	2,635		$	81	$	42	$	2,758
Undistributed net loss attributable to MPLX LP	(1,725		)	—		—		(1,725		)
Net income attributable to MPLX LP(1)	$	910		$	81	$	42	$	1,033
Weighted average units outstanding:
Basic(2)	906							906
Diluted(2)	907							907
Net income attributable to MPLX LP per limited partner unit:
Basic	$	1.00
Diluted	$	1.00

	2018
(In millions, except per unit data)	Limited Partners’ Common Units			Series A Preferred Units		Total
Basic and diluted net income attributable to MPLX LP per unit:
Net income attributable to MPLX LP:
Distributions declared	$	1,985		$	75	$	2,060
Undistributed net loss attributable to MPLX LP	(242		)	—		(242		)
Net income attributable to MPLX LP(1)	$	1,743		$	75	$	1,818
Weighted average units outstanding:
Basic	761					761
Diluted	761					761
Net income attributable to MPLX LP per limited partner unit:
Basic	$	2.29
Diluted	$	2.29

	2017
(In millions, except per unit data)	General Partner			Limited Partners’ Common Units			Series A Preferred Units		Total
Basic and diluted net income attributable to MPLX LP per unit:
Net income attributable to MPLX LP:
Distribution declared (including IDRs)	$	328		$	895		$	65	$	1,288
Undistributed net loss attributable to MPLX LP	(10		)	(484		)	—		(494		)
Net income attributable to MPLX LP(1)	$	318		$	411		$	65	$	794
Weighted average units outstanding:
Basic	8			385					393
Diluted	8			388					396
Net income attributable to MPLX LP per limited partner unit:
Basic				$	1.07
Diluted				$	1.06

(1) Allocation of net income/(loss) attributable to MPLX LP assumes all earnings for the period had been distributed based on the distribution priorities applicable to the period.

(2)

The Series B preferred units and the MPLX common units issued in connection with the Merger were not outstanding during the entire year. See Notes 4 and 8 for additional information about the treatment of these units.