Net Income Per LP Unit

12 Months Ended

Dec. 31, 2019

Net Income Per LP Unit.

The components of the computation of basic and diluted income (loss) per LP unit from continuing and discontinued operations of Icahn Enterprises are as follows:


	Year Ended December 31,
	2019		2018		2017
	(in millions, except per unit data)
Net (loss) income attributable to Icahn Enterprises from continuing operations	$	(1,066)	$	(238)	$	2,297
Net (loss) income attributable to Icahn Enterprises from continuing operations allocated to limited partners (98.01% allocation)	$	(1,045)	$	(233)	$	2,251

Net (loss) income attributable to Icahn Enterprises from discontinued operations	$	(32)	$	1,720	$	157
Less: net loss attributable to Icahn Enterprises from discontinued operations allocated 100% to general partner	—		598		—
Net (loss) income attributable to Icahn Enterprises from discontinued operations allocable to limited partners	$	(32)	$	2,318	$	157
Net (loss) income attributable to Icahn Enterprises from discontinued operations allocated to limited partners (98.01% allocation)	$	(31)	$	2,272	$	154

Basic and diluted (loss) income per LP unit:
Continuing operations	$	(5.23)	$	(1.29)	$	13.98
Discontinued operations	(0.15)		12.62		0.96
	$	(5.38)	$	11.33	$	14.94
Basic and diluted weighted average LP units outstanding	200		180		161

GP Allocation

As disclosed in Note 2, “Basis of Presentation and Summary of Significant Accounting Policies - Acquisition, Investments and Disposition of Entities under Common Control,” upon the sale of common control entities, such as Federal-Mogul and ARI, a portion of the gain or loss on the sale is first allocated to the general partner in order to restore the general partners’ capital account for cumulative charges or credits relating to periods prior to our obtaining a controlling interest in such entities from Mr. Icahn and his affiliates. After such general partner allocation, the remaining gain is allocated among our general partner and limited partners, in accordance with their respective ownership percentages.

LP Unit Transactions

The following table summarizes the changes in Icahn Enterprises outstanding depositary units during each of the years ended December 31, 2019, 2018 and 2017.


	Mr. Icahn and Affiliates	Public Unitholders	Total
December 31, 2016	129,999,050	14,742,099	144,741,149
Unit distributions	17,374,427	269,725	17,644,152
2017 Incentive Plan	—	7,902	7,902
Rights offering	10,525,105	645,999	11,171,104
December 31, 2017	157,898,582	15,665,725	173,564,307
Unit distributions	17,543,006	235,944	17,778,950
2017 Incentive Plan	—	22,840	22,840
December 31, 2018	175,441,588	15,924,509	191,366,097
Unit distributions	21,608,064	290,789	21,898,853
2017 Incentive Plan	—	19,259	19,259
2019 at-the-market offering	—	794,349	794,349
December 31, 2019	197,049,652	17,028,906	214,078,558

Unit Distributions

During each of the years ended December 31, 2019, 2018 and 2017, we declared four quarterly distributions. Depositary unitholders were given the option to make an election to receive the distributions in either cash or additional depositary units. If a holder did not make an election, it was automatically deemed to have elected to receive the distributions in cash.

2019 At-The-Market Offering

On May 2, 2019, Icahn Enterprises announced the commencement of its “at-the-market” offering pursuant to its Open Market Sale Agreement, pursuant to which Icahn Enterprises may sell its depositary units, from time to time, for up to $400 million in aggregate sale proceeds. During the year ended December 31, 2019, we received gross proceeds of $54 million in connection with this offering.

2017 Incentive Plan

During the years ended December 31, 2019, 2018 and 2017, Icahn Enterprises distributed depositary units, net of payroll withholdings, with respect to certain restricted depositary units and deferred unit awards that vested during the respective periods in connection with the Icahn Enterprises L.P. 2017 Long Term Incentive Plan (the “2017 Incentive Plan”). The aggregate impact of the 2017 Incentive Plan is not material with respect to our consolidated financial statements, including the calculation of potentially dilutive units and diluted income per LP unit.

Rights Offering

In January 2017, Icahn Enterprises commenced a rights offering entitling holders of the rights to acquire newly issued depositary units of Icahn Enterprises. In connection with this rights offering, we received aggregate proceeds of $600 million in 2017 from depositary unitholders and an additional $12 million from our general partner in order to maintain its aggregate 1.99% interest in us.