Condensed Consolidating Financial Statements (Tables)

3 Months Ended

Mar. 31, 2019

CONDENSED CONSOLIDATING BALANCE SHEETS

March 31, 2019

(Unaudited)


			WM		Non-Guarantor
	WM		Holdings		Subsidiaries		Eliminations		Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	—	$	57	$	—	$	57
Other current assets		167		6		2,395		(137)		2,431
		167		6		2,452		(137)		2,488
Property and equipment, net		—		—		12,390		—		12,390
Investments in affiliates		25,116		25,576		—		(50,692)		—
Advances to affiliates		—		—		17,391		(17,391)		—
Other assets		6		11		8,478		—		8,495
Total assets	$	25,289	$	25,593	$	40,711	$	(68,220)	$	23,373

LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	903	$	—	$	140	$	—	$	1,043
Accounts payable and other current liabilities		68		6		2,632		(137)		2,569
		971		6		2,772		(137)		3,612
Long-term debt, less current portion		7,098		304		1,921		—		9,323
Due to affiliates		17,511		169		6,709		(24,389)		—
Other liabilities		3		—		4,018		—		4,021
Total liabilities		25,583		479		15,420		(24,526)		16,956
Equity:
Stockholders’ equity		6,415		25,114		25,578		(50,692)		6,415
Advances to affiliates		(6,709)		—		(289)		6,998		—
Noncontrolling interests		—		—		2		—		2
		(294)		25,114		25,291		(43,694)		6,417
Total liabilities and equity	$	25,289	$	25,593	$	40,711	$	(68,220)	$	23,373

CONDENSED CONSOLIDATING BALANCE SHEETS (Continued)

December 31, 2018


			WM		Non-Guarantor
	WM		Holdings		Subsidiaries		Eliminations		Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	—	$	61	$	—	$	61
Other current assets		2		5		2,577		—		2,584
		2		5		2,638		—		2,645
Property and equipment, net		—		—		11,942		—		11,942
Investments in affiliates		24,676		25,097		—		(49,773)		—
Advances to affiliates		—		—		17,258		(17,258)		—
Other assets		8		31		8,024		—		8,063
Total assets	$	24,686	$	25,133	$	39,862	$	(67,031)	$	22,650

LIABILITIES AND EQUITY
Current liabilities:
Current portion of long-term debt	$	258	$	—	$	174	$	—	$	432
Accounts payable and other current liabilities		82		9		2,585		—		2,676
		340		9		2,759		—		3,108
Long-term debt, less current portion		7,377		304		1,913		—		9,594
Due to affiliates		17,398		146		6,709		(24,253)		—
Other liabilities		5		—		3,667		—		3,672
Total liabilities		25,120		459		15,048		(24,253)		16,374
Equity:
Stockholders’ equity		6,275		24,674		25,099		(49,773)		6,275
Advances to affiliates		(6,709)		—		(286)		6,995		—
Noncontrolling interests		—		—		1		—		1
		(434)		24,674		24,814		(42,778)		6,276
Total liabilities and equity	$	24,686	$	25,133	$	39,862	$	(67,031)	$	22,650

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

Three Months Ended March 31, 2019

(Unaudited)


			WM		Non‑Guarantor
	WM		Holdings		Subsidiaries		Eliminations		Consolidated
Operating revenues	$	—	$	—	$	3,742	$	(46)	$	3,696
Costs and expenses		46		—		3,075		(46)		3,075
Income from operations		(46)		—		667		—		621
Other income (expense):
Interest expense, net		(80)		(5)		(11)		—		(96)
Equity in earnings of subsidiaries, net of tax		440		447		—		(887)		—
Other, net		—		(3)		(60)		—		(63)
		360		439		(71)		(887)		(159)
Income before income taxes		314		439		596		(887)		462
Income tax expense (benefit)		(33)		(1)		149		—		115
Consolidated net income		347		440		447		(887)		347
Less: Net loss attributable to noncontrolling interests		—		—		—		—		—
Net income attributable to Waste Management, Inc.	$	347	$	440	$	447	$	(887)	$	347

Three Months Ended March 31, 2018

(Unaudited)


			WM		Non‑Guarantor
	WM		Holdings		Subsidiaries		Eliminations		Consolidated
Operating revenues	$	—	$	—	$	3,555	$	(44)	$	3,511
Costs and expenses		44		—		2,903		(44)		2,903
Income from operations		(44)		—		652		—		608
Other income (expense):
Interest expense, net		(76)		(5)		(10)		—		(91)
Equity in earnings of subsidiaries, net of tax		485		489		—		(974)		—
Other, net		—		—		(6)		—		(6)
		409		484		(16)		(974)		(97)
Income before income taxes		365		484		636		(974)		511
Income tax expense (benefit)		(31)		(1)		148		—		116
Consolidated net income		396		485		488		(974)		395
Less: Net loss attributable to noncontrolling interests		—		—		(1)		—		(1)
Net income attributable to Waste Management, Inc.	$	396	$	485	$	489	$	(974)	$	396

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)


			WM		Non-Guarantor
	WM		Holdings		Subsidiaries		Eliminations		Consolidated
Three Months Ended March 31:
2019
Comprehensive income	$	349	$	440	$	479	$	(887)	$	381
Less: Comprehensive loss attributable to noncontrolling interests		—		—		—		—		—
Comprehensive income attributable to Waste Management, Inc.	$	349	$	440	$	479	$	(887)	$	381

2018
Comprehensive income	$	398	$	485	$	455	$	(974)	$	364
Less: Comprehensive loss attributable to noncontrolling interests		—		—		(1)		—		(1)
Comprehensive income attributable to Waste Management, Inc.	$	398	$	485	$	456	$	(974)	$	365

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

Three Months Ended March 31, 2019

(Unaudited)


			WM		Non-Guarantor
	WM(a)		Holdings(a)		Subsidiaries(a)		Eliminations		Consolidated
Cash flows provided by (used in):
Operating activities	$	—	$	—	$	890	$	—	$	890
Investing activities		—		—		(800)		—		(800)
Financing activities		—		—		42		—		42
Effect of exchange rate changes on cash, cash equivalents and restricted cash and cash equivalents		—		—		—		—		—
Intercompany activity		—		—		—		—		—
Increase in cash, cash equivalents and restricted cash and cash equivalents		—		—		132		—		132
Cash, cash equivalents and restricted cash and cash equivalents at beginning of period		—		—		183		—		183
Cash, cash equivalents and restricted cash and cash equivalents at end of period	$	—	$	—	$	315	$	—	$	315

Three Months Ended March 31, 2018

(Unaudited)


			WM		Non-Guarantor
	WM(a)		Holdings(a)		Subsidiaries(a)		Eliminations		Consolidated
Cash flows provided by (used in):
Operating activities	$	—	$	—	$	809	$	—	$	809
Investing activities		—		—		(637)		—		(637)
Financing activities		—		—		(38)		—		(38)
Effect of exchange rate changes on cash, cash equivalents and restricted cash and cash equivalents		—		—		(1)		—		(1)
Intercompany activity		—		—		—		—		—
Increase in cash, cash equivalents and restricted cash and cash equivalents		—		—		133		—		133
Cash, cash equivalents and restricted cash and cash equivalents at beginning of period		—		—		293		—		293
Cash, cash equivalents and restricted cash and cash equivalents at end of period	$	—	$	—	$	426	$	—	$	426

Cash receipts and payments of WM and WM Holdings are transacted by Non-Guarantor Subsidiaries.