Revenue

3 Months Ended

Mar. 31, 2020

Revenue from Contract with Customer [Abstract]

Revenues

The following tables disaggregate total revenues by major source from contracts with customers and the gain (loss) on derivative activity for the three months ended March 31, 2020 and 2019.



	Three Months Ended March 31, 2020
	Gathering and Processing		Transportation and Storage		Eliminations			Total

	(In millions)
Revenues:
Product sales:
Natural gas	$	56	$	73	$	(60	)	$	69
Natural gas liquids	172		2		(2		)	172
Condensate	27		—		—			27
Total revenues from natural gas, natural gas liquids, and condensate	255		75		(62		)	268
Gain on derivative activity	20		—		—			20
Total Product sales	$	275	$	75	$	(62	)	$	288
Service revenues:
Demand revenues	$	39	$	142	$	—		$	181
Volume-dependent revenues	163		17		(1		)	179
Total Service revenues	$	202	$	159	$	(1	)	$	360
Total Revenues	$	477	$	234	$	(63	)	$	648



	Three Months Ended March 31, 2019
	Gathering and Processing			Transportation and Storage			Eliminations			Total

	(In millions)
Revenues:
Product sales:
Natural gas	$	128		$	162		$	(141	)	$	149
Natural gas liquids	270			6			(6		)	270
Condensate	34			—			—			34
Total revenues from natural gas, natural gas liquids, and condensate	432			168			(147		)	453
Loss on derivative activity	(9		)	(1		)	—			(10		)
Total Product sales	$	423		$	167		$	(147	)	$	443
Service revenues:
Demand revenues	$	60		$	131		$	—		$	191
Volume-dependent revenues	147			18			(4		)	161
Total Service revenues	$	207		$	149		$	(4	)	$	352
Total Revenues	$	630		$	316		$	(151	)	$	795

MRT Rate Case Settlements

In June 2018, MRT filed a general NGA rate case (the “2018 Rate Case”), and in October 2019, MRT filed a second rate case (the “2019 Rate Case”). MRT began collecting the rates proposed in the 2018 Rate Case, subject to refund, on January 1, 2019. On March 26, 2020, FERC issued an order approving settlements filed in the 2018 Rate Case and the 2019 Rate Case. Upon issuance of the order and approval of the settlement of the MRT rate cases, the Partnership recognized $17 million of revenues from amounts previously held in reserve related to transportation and storage services performed in 2019. As of March 31, 2020, $21 million is held in reserve to be refunded to customers, which is inclusive of interest and is expected to be paid in May 2020.

Accounts Receivable

The following table summarizes the components of accounts receivable, net of allowance for doubtful accounts.



	March 31, 2020		December 31, 2019

	(In millions)
Accounts Receivable:
Customers	$	176	$	239
Contract assets ⁽¹⁾	26		18
Non-customers	7		12
Total Accounts Receivable ⁽²⁾	$	209	$	269

____________________

(1)

Contract assets reflected in Total Accounts Receivable include accrued minimum volume commitments. Contract assets are primarily attributable to revenues associated with estimated shortfall volumes on certain annual minimum volume commitment arrangements. Total Accounts Receivable does not include $7 million of contracts assets related to firm service transportation contracts with tiered rates, which are reflected in Other Assets.


(2)	Total Accounts Receivable includes Accounts receivable, net of allowance for doubtful accounts and Accounts receivable—affiliated companies.

Contract Liabilities

Our contract liabilities primarily consist of prepayments received from customers for which the good or service has not yet been provided in connection with the prepayment.

The table below summarizes the change in the contract liabilities.



	March 31, 2020		December 31, 2019		Amounts recognized in revenues

	(In millions)
Deferred revenues ⁽¹⁾	$	47	$	48	$	19

The table below summarizes the timing of recognition of these contract liabilities as of March 31, 2020.



	2020		2021		2022		2023		2024 and After
	(In millions)
Deferred revenues ⁽¹⁾	$	22	$	6	$	6	$	6	$	7

____________________


(1)	Deferred revenues includes deferred revenue—affiliated companies. This amount is included in Other current liabilities and Other long-term liabilities.

Remaining Performance Obligations

Our remaining performance obligations consist primarily of firm arrangements and minimum volume commitment arrangements. Upon completion of the performance obligations associated with these arrangements, customers are invoiced and revenue is recognized as Service revenues in the Condensed Consolidated Statements of Income. The table below summarizes the timing of recognition of the remaining performance obligations as of March 31, 2020.



	2020		2021		2022		2023		2024 and After
	(In millions)
Transportation and Storage	$	343	$	308	$	240	$	225	$	702
Gathering and Processing	90		121		123		121		313
Total remaining performance obligations	$	433	$	429	$	363	$	346	$	1,015