Kinder Morgan : First Quarter 2024 2024 TGP First Quarter Report

CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(excluding footnotes)

TENNESSEE GAS PIPELINE COMPANY, L.L.C.

As of March 31, 2024 and December 31, 2023 and

For the Three Months Ended March 31, 2024 and 2023

TENNESSEE GAS PIPELINE COMPANY, L.L.C. AND SUBSIDIARY

TABLE OF CONTENTS

	Page
	Number
Consolidated Financial Statements (Unaudited)
Consolidated Statements of Income	1
Consolidated Balance Sheets	2
Consolidated Statements of Cash Flows	3
Consolidated Statements of Member's Equity	4

TENNESSEE GAS PIPELINE COMPANY, L.L.C. AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF INCOME

(In millions, unaudited)

Three Months Ended

March 31,

	2024			2023
Revenues	$	473	$	456
Operating Costs and Expenses
Operations and maintenance		89		78
Depreciation and amortization		62		59
General and administrative		22		21
Taxes, other than income taxes		28		28
Total Operating Costs and Expenses		201		186
Operating Income		272		270
Other Income (Expense)
Earnings from equity investment		2		2
Interest, net		(29)		(26)
Total Other Expense		(27)		(24)
Net Income	$	245	$	246

1

TENNESSEE GAS PIPELINE COMPANY, L.L.C. AND SUBSIDIARY

CONSOLIDATED BALANCE SHEETS

(In millions, unaudited)

		March 31,	December 31,
		2024		2023
ASSETS
Current assets
Cash and cash equivalents	$	-	$	-
Accounts receivable		166		169
Inventories		59		59
Regulatory assets		13		17
Natural gas imbalance receivable		4		10
Other current assets		6		7
Total current assets		248		262
Property, plant and equipment, net		6,247		6,177
Goodwill		3,250		3,250
Note receivable from affiliate		3		37
Investment		80		79
Regulatory assets		148		146
Deferred charges and other assets		190		196
Total Assets	$	10,166	$	10,147
LIABILITIES AND MEMBER'S EQUITY
Current liabilities
Accounts payable	$	146	$	197
Accrued interest		33		28
Accrued taxes, other than income taxes		38		68
Contractual deposits		24		23
Regulatory liabilities		23		26
Natural gas imbalance payable		8		13
Other current liabilities		19		7
Total current liabilities		291		362
Long-term liabilities and deferred credits
Long-term debt		2,240		2,240
Debt fair value adjustments		142		146
Other long-term liabilities and deferred credits		118		119
Total long-term liabilities and deferred credits		2,500		2,505
Total Liabilities		2,791		2,867
Member's Equity		7,374		7,279
Member's equity
Accumulated other comprehensive income		1		1
Total Member's Equity		7,375		7,280
Total Liabilities and Member's Equity	$	10,166	$	10,147

2

TENNESSEE GAS PIPELINE COMPANY, L.L.C. AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In millions, unaudited)

Three Months Ended

March 31,

		2024		2023
Cash Flows From Operating Activities
Net income	$	245	$	246
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		62		59
Earnings from equity investment		(2)		(2)
Other non-cash items		(4)		(3)
Distributions from equity investment earnings		1		-
Changes in components of working capital:
Accounts receivable		3		6
Accounts payable		(5)		(11)
Accrued interest		5		5
Accrued taxes, other than income taxes		(30)		(26)
Other current assets and liabilities		14		5
Other long-term assets and liabilities		(6)		(18)
Net Cash Provided by Operating Activities		283		261
Cash Flows From Investing Activities
Capital expenditures		(156)		(103)
Net change in note receivable from affiliate		34		102
Other, net		(11)		(11)
Net Cash Used in Investing Activities		(133)		(12)
Cash Flows From Financing Activities
Contributions from Member		83		-
Distributions to Member		(233)		(249)
Net Cash Used in Financing Activities		(150)		(249)
Net Change in Cash and Cash Equivalents		-		-
Cash and Cash Equivalents, beginning of period		-		-
Cash and Cash Equivalents, end of period	$	-	$	-
Supplemental Disclosure of Cash Flow Information
Cash paid during the period for interest (net of capitalized interest)	$	25	$	25

3

TENNESSEE GAS PIPELINE COMPANY, L.L.C. AND SUBSIDIARY

CONSOLIDATED STATEMENTS OF MEMBER'S EQUITY

(In millions, unaudited)

Three Months Ended

March 31,

		2024		2023
Beginning Balance	$	7,280	$	7,112
Net income		245		246
Contribution		83		-
Distributions		(233)		(249)
Ending Balance	$	7,375	$	7,109

4