ACQUISTION AND DIVESTITURE ACTIVITY (Tables)

12 Months Ended

Dec. 31, 2018

Business Combinations [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table sets forth the allocation of the total purchase price paid to the identifiable assets acquired and liabilities assumed.

PURCHASE PRICE ALLOCATION
(Dollars in millions)
	At March 9, 2018(1)
Assets acquired:
Accounts receivable – other, net	$	1
Due from unconsolidated affiliates	46
Investment in Oncor Holdings	9,227
Deferred income tax assets	287
Other noncurrent assets	109
Total assets acquired	9,670
Liabilities assumed:
Other current liabilities	23
Pension and other postretirement benefit plan obligations	21
Deferred credits and other	58
Total liabilities assumed	102
Net assets acquired	$	9,568
Total purchase price paid	$	9,568

⁽¹⁾  In the fourth quarter of 2018, we received additional information regarding deferred income taxes related to

the resolution of claims in EFH’s emergence from bankruptcy as of the acquisition date. As a result, we

recorded an adjustment to increase our investment in Oncor Holdings by $64 million, decrease deferred

income tax assets by $66 million and decrease deferred credits and other liabilities by $2 million. Also

in the fourth quarter of 2018, we recorded $2 million of additional purchase price paid related to additional

transaction costs.The following table summarizes the fair value of the CTNG business combination and the preliminary purchase price allocation of the assets acquired and liabilities assumed at the date of acquisition:

PRELIMINARY PURCHASE PRICE ALLOCATION
(Dollars in millions)
	At December 18, 2018
Assets acquired:
Cash and cash equivalents	$	18
Other assets	5
Other intangible assets	46
Property, plant and equipment	162
Total assets acquired	231
Liabilities assumed:
Other current liabilities	1
Deferred income taxes	42
Total liabilities assumed	43
Total identifiable net assets acquired	188
Goodwill	38
Total purchase price paid	$	226

Schedule of Proforma Information Table

The following table represents unaudited pro forma information for the years ended December 31, 2018 and 2017, combining the historical results of operations of Sempra Energy and CTNG as though the acquisition occurred on January 1, 2017. The pro forma information is not necessarily indicative of results that would have been achieved had the business been combined during the periods presented or the results that we would expect going forward.

UNAUDITED PRO FORMA INFORMATION – SEMPRA ENERGY CONSOLIDATED
(Dollars in millions)
	Years ended December 31,
	2018		2017
Total revenues	$	11,703	$	11,224
Net income	1,130		356
Earnings attributable to common shares	928		261

Schedule of Business Acquisitions Table

The following table summarizes the total fair value of the 2016 business combinations at Sempra Mexico, described below, and the final purchase price allocations of the assets acquired and liabilities assumed at the dates of acquisition:

PURCHASE PRICE ALLOCATIONS
(Dollars in millions)
	IEnova Pipelines		Ventika
	At September 26, 2016(1)		At December 14, 2016(2)
Fair value of business combination:
Cash consideration (fair value of total consideration)	$	1,144	$	310
Fair value of equity interest in IEnova Pipelines immediately prior to acquisition	1,144		—
Total fair value of business combination	$	2,288	$	310
Assets acquired:
Cash and cash equivalents	$	66	$	—
Restricted cash	—		68
Accounts receivable	39		14
Other current assets	6		1
Other intangible assets	—		154
Deferred income taxes	—		36
Regulatory assets	33		—
Property, plant and equipment	1,248		673
Other noncurrent assets	1		3
Total assets acquired	1,393		949
Liabilities assumed:
Short-term debt	—		125
Accounts payable	11		1
Due to unconsolidated affiliates	3		—
Current portion of long-term debt	49		7
Fixed-price contracts and other derivatives, current	6		4
Other current liabilities	20		8
Long-term debt	315		478
Asset retirement obligations	5		2
Deferred income taxes	127		120
Fixed-price contracts and other derivatives, noncurrent	19		10
Other noncurrent liabilities	11		—
Total liabilities assumed	566		755
Total identifiable net assets acquired	827		194
Goodwill	1,461		116
Total fair value of business combination	$	2,288	$	310

⁽¹⁾  During the fourth quarter of 2016, we received additional information regarding IEnova Pipelines’ deferred income taxes as of the acquisition date, primarily related to basis differences in IEnova Pipelines’ PP&E. As a result, we recorded measurement period adjustments that resulted in a net increase to goodwill of $86 million, an increase in deferred income tax liabilities of $119 million and $33 million of regulatory assets related to deferred income taxes on AFUDC.

⁽²⁾ 

During the fourth quarter of 2017, we received additional information regarding Ventika’s deferred income taxes as of the acquisition date, primarily related to net operating loss carryforwards. As a result, we recorded a measurement period adjustment that resulted in a decrease to goodwill and an increase in deferred income tax assets of $13 million.

Schedule Of Assets Held for Sale and Deconsolidation of Subsidiaries Table

The following table summarizes the deconsolidation of certain subsidiaries that have been sold in 2018 and 2016, as we discuss below:

DECONSOLIDATION OF SUBSIDIARIES
(Dollars in millions)
	Certain subsidiaries of Sempra Renewables			EnergySouth
	At December 13, 2018			At September 12, 2016
Proceeds from sale, net of transaction costs	$	1,585		$	304
Cash	(7		)	(2		)
Restricted cash	(7		)	—
Other current assets	(14		)	(17		)
Property, plant and equipment, net	(1,303		)	(199		)
Other investments	(329		)	—
Goodwill	—			(72		)
Other noncurrent assets	(24		)	(65		)
Current liabilities	8			25
Long-term debt	70			67
Asset retirement obligations	52			—
Other noncurrent liabilities	5			89
Noncontrolling interests	486			—
Accumulated other comprehensive income	(9		)	—
Gain on sale	$	513		$	130

The carrying amounts of the major classes of assets and related liabilities classified as held for sale associated with Sempra Renewables and Sempra LNG & Midstream are summarized in the following table.

ASSETS HELD FOR SALE AT DECEMBER 31, 2018
(Dollars in millions)
	Sempra Renewables		Sempra LNG & Midstream
Cash and cash equivalents	$	7	$	—
Accounts receivable – trade, net	2		5
Accounts receivable – other, net	1		—
Other current assets	1		6
Property, plant and equipment, net	366		324
Other noncurrent assets	—		1
Total assets held for sale	$	377	$	336
Accounts payable – trade	$	2	$	2
Other current liabilities	4		3
Asset retirement obligations	6		8
Total liabilities held for sale	$	12	$	13