THE SPIN-OFF AND BASIS OF PRESENTATION (Policies)

9 Months Ended

Sep. 30, 2017

THE SPIN-OFF AND BASIS OF PRESENTATION

Basis of Presentation

Basis of Presentation

In the opinion of our management, the accompanying financial statements contain all adjustments (consisting of normal recurring adjustments) necessary to fairly present our financial position as of September 30, 2017 and the statements of operations, comprehensive income, and cash flows for the three and nine months ended September 30, 2017 and 2016, as applicable.  We have eliminated all of our significant intercompany transactions and accounts.

We have prepared this report pursuant to the rules and regulations of the United States (U.S.) Securities and Exchange Commission applicable to interim financial information, which permit omission of certain disclosures to the extent they have not changed materially since the latest annual financial statements.  We believe our disclosures are adequate to make the information not misleading.  This Form 10-Q should be read in conjunction with the consolidated and combined financial statements and the notes thereto in our Annual Report on Form 10-K for the year ended December 31, 2016.

Certain prior year amounts have been reclassified to conform to the 2017 presentation.  On the statements of operations, we reclassified gains on asset divestitures out of other expenses, net.  We also moved interest and debt expense, net out of operating income (loss) and into non-operating income (loss).