Condensed Consolidating Financial Statements (Tables)

6 Months Ended

Jun. 30, 2017

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Condensed Consolidating Balance Sheets

CONDENSED CONSOLIDATING BALANCE SHEETS

June 30, 2017

(Unaudited)

	WM			WM Holdings		Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	—	$	32		$	—		$	32
Other current assets		3			5		2,286			—			2,294
		3			5		2,318			—			2,326
Property and equipment, net		—			—		11,002			—			11,002
Investments in affiliates		20,673			21,127		—			(41,800	)		—
Advances to affiliates		—			—		13,791			(13,791	)		—
Other assets		13			37		7,461			—			7,511
Total assets	$	20,689		$	21,169	$	34,572		$	(55,591	)	$	20,839
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	250		$	—	$	140		$	—		$	390
Accounts payable and other current liabilities		77			9		2,294			—			2,380
		327			9		2,434			—			2,770
Long-term debt, less current portion		6,075			304		2,288			—			8,667
Due to affiliates		14,088			184		5,299			(19,571	)		—
Other liabilities		12			—		3,883			—			3,895
Total liabilities		20,502			497		13,904			(19,571	)		15,332
Equity:
Stockholders’ equity		5,486			20,672		21,128			(41,800	)		5,486
Advances to affiliates		(5,299	)		—		(481	)		5,780			—
Noncontrolling interests		—			—		21			—			21
		187			20,672		20,668			(36,020	)		5,507
Total liabilities and equity	$	20,689		$	21,169	$	34,572		$	(55,591	)	$	20,839

December 31, 2016

	WM			WM Holdings		Non-Guarantor Subsidiaries			Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—		$	—	$	32		$	—		$	32
Other current assets		5			5		2,334			—			2,344
		5			5		2,366			—			2,376
Property and equipment, net		—			—		10,950			—			10,950
Investments in affiliates		19,924			20,331		—			(40,255	)		—
Advances to affiliates		—			—		13,000			(13,000	)		—
Other assets		14			30		7,489			—			7,533
Total assets	$	19,943		$	20,366	$	33,805		$	(53,255	)	$	20,859
LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	269		$	—	$	148		$	—		$	417
Accounts payable and other current liabilities		81			9		2,287			—			2,377
		350			9		2,435			—			2,794
Long-term debt, less current portion		6,229			304		2,360			—			8,893
Due to affiliates		13,350			128		5,299			(18,777	)		—
Other liabilities		16			—		3,836			—			3,852
Total liabilities		19,945			441		13,930			(18,777	)		15,539
Equity:
Stockholders’ equity		5,297			19,925		20,330			(40,255	)		5,297
Advances to affiliates		(5,299	)		—		(478	)		5,777			—
Noncontrolling interests		—			—		23			—			23
		(2	)		19,925		19,875			(34,478	)		5,320
Total liabilities and equity	$	19,943		$	20,366	$	33,805		$	(53,255	)	$	20,859

Condensed Consolidating Statements of Operations

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

Three Months Ended June 30, 2017

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	3,677		$	—		$	3,677
Costs and expenses		—			—			3,004			—			3,004
Income from operations		—			—			673			—			673
Other income (expense):
Interest expense, net		(74	)		(5	)		(11	)		—			(90	)
Equity in earnings of subsidiaries, net of tax expense		406			409			—			(815	)		—
Other, net		—			—			(13	)		—			(13	)
		332			404			(24	)		(815	)		(103	)
Income before income taxes		332			404			649			(815	)		570
Income tax expense (benefit)		(30	)		(2	)		241			—			209
Consolidated net income		362			406			408			(815	)		361
Less: Net loss attributable to noncontrolling interests		—			—			(1	)		—			(1	)
Net income attributable to Waste Management, Inc.	$	362		$	406		$	409		$	(815	)	$	362

Three Months Ended June 30, 2016

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	3,425		$	—		$	3,425
Costs and expenses		—			—			2,814			—			2,814
Income from operations		—			—			611			—			611
Other income (expense):
Interest expense, net		(76	)		(5	)		(12	)		—			(93	)
Equity in earnings of subsidiaries, net of tax expense		333			336			—			(669	)		—
Other, net		—			—			(59	)		—			(59	)
		257			331			(71	)		(669	)		(152	)
Income before income taxes		257			331			540			(669	)		459
Income tax expense (benefit)		(30	)		(2	)		205			—			173
Consolidated net income		287			333			335			(669	)		286
Less: Net loss attributable to noncontrolling interests		—			—			(1	)		—			(1	)
Net income attributable to Waste Management, Inc.	$	287		$	333		$	336		$	(669	)	$	287

Six Months Ended June 30, 2017

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	7,117		$	—		$	7,117
Costs and expenses		—			—			5,886			—			5,886
Income from operations		—			—			1,231			—			1,231
Other income (expense):
Interest expense, net		(148	)		(10	)		(24	)		—			(182	)
Equity in earnings of subsidiaries, net of tax expense		749			755			—			(1,504	)		—
Other, net		—			—			(45	)		—			(45	)
		601			745			(69	)		(1,504	)		(227	)
Income before income taxes		601			745			1,162			(1,504	)		1,004
Income tax expense (benefit)		(59	)		(4	)		409			—			346
Consolidated net income		660			749			753			(1,504	)		658
Less: Net loss attributable to noncontrolling interests		—			—			(2	)		—			(2	)
Net income attributable to Waste Management, Inc.	$	660		$	749		$	755		$	(1,504	)	$	660

Six Months Ended June 30, 2016

(Unaudited)

	WM			WM Holdings			Non-Guarantor Subsidiaries			Eliminations			Consolidated
Operating revenues	$	—		$	—		$	6,601		$	—		$	6,601
Costs and expenses		—			—			5,482			—			5,482
Income from operations		—			—			1,119			—			1,119
Other income (expense):
Interest expense, net		(150	)		(10	)		(28	)		—			(188	)
Equity in earnings of subsidiaries, net of tax expense		637			643			—			(1,280	)		—
Other, net		(1	)		—			(75	)		—			(76	)
		486			633			(103	)		(1,280	)		(264	)
Income before income taxes		486			633			1,016			(1,280	)		855
Income tax expense (benefit)		(59	)		(4	)		376			—			313
Consolidated net income		545			637			640			(1,280	)		542
Less: Net loss attributable to noncontrolling interests		—			—			(3	)		—			(3	)
Net income attributable to Waste Management, Inc.	$	545		$	637		$	643		$	(1,280	)	$	545

Condensed Consolidating Statements of Comprehensive Income

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	WM		WM Holdings		Non-Guarantor Subsidiaries			Eliminations			Consolidated
Three Months Ended June 30:
2017
Comprehensive income	$	364	$	406	$	439		$	(815	)	$	394
Less: Comprehensive loss attributable to noncontrolling interests		—		—		(1	)		—			(1	)
Comprehensive income attributable to Waste Management, Inc.	$	364	$	406	$	440		$	(815	)	$	395
2016
Comprehensive income	$	289	$	333	$	342		$	(669	)	$	295
Less: Comprehensive loss attributable to noncontrolling interests		—		—		(1	)		—			(1	)
Comprehensive income attributable to Waste Management, Inc.	$	289	$	333	$	343		$	(669	)	$	296

	WM		WM Holdings		Non-Guarantor Subsidiaries			Eliminations			Consolidated
Six Months Ended June 30:
2017
Comprehensive income	$	664	$	749	$	796		$	(1,504	)	$	705
Less: Comprehensive loss attributable to noncontrolling interests		—		—		(2	)		—			(2	)
Comprehensive income attributable to Waste Management, Inc.	$	664	$	749	$	798		$	(1,504	)	$	707
2016
Comprehensive income	$	549	$	637	$	714		$	(1,280	)	$	620
Less: Comprehensive loss attributable to noncontrolling interests		—		—		(3	)		—			(3	)
Comprehensive income attributable to Waste Management, Inc.	$	549	$	637	$	717		$	(1,280	)	$	623

Condensed Consolidating Statements of Cash Flows

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

Six Months Ended June 30, 2017

(Unaudited)

	WM(a)		WM Holdings(a)		Non-Guarantor Subsidiaries(a)			Eliminations		Consolidated
Cash flows provided by (used in):
Operating activities	$	—	$	—	$	1,534		$	—	$	1,534
Investing activities		—		—		(677	)		—		(677	)
Financing activities		—		—		(857	)		—		(857	)
Effect of exchange rate changes on cash and cash equivalents		—		—		—			—		—
Intercompany activity		—		—		—			—		—
Increase (decrease) in cash and cash equivalents		—		—		—			—		—
Cash and cash equivalents at beginning of period		—		—		32			—		32
Cash and cash equivalents at end of period	$	—	$	—	$	32		$	—	$	32

Six Months Ended June 30, 2016

(Unaudited)

	WM(a)		WM Holdings(a)		Non-Guarantor Subsidiaries(a)			Eliminations		Consolidated
Cash flows provided by (used in):
Operating activities	$	—	$	—	$	1,494		$	—	$	1,494
Investing activities		—		—		(1,186	)		—		(1,186	)
Financing activities		—		—		(309	)		—		(309	)
Effect of exchange rate changes on cash and cash equivalents		—		—		1			—		1
Intercompany activity		—		—		—			—		—
Increase (decrease) in cash and cash equivalents		—		—		—			—		—
Cash and cash equivalents at beginning of period		—		—		39			—		39
Cash and cash equivalents at end of period	$	—	$	—	$	39		$	—	$	39

(a) Cash receipts and payments of WM and WM Holdings are transacted by Non-Guarantor Subsidiaries. We have revised the prior year presentation to reflect all relevant cash flow activities in the Non-Guarantor Subsidiaries column.