Renewable Natural Gas Growth and CO2 Emission Reduction Strategies slide image

Renewable Natural Gas Growth and CO2 Emission Reduction Strategies

GAAP Reconciliations $ in millions 2021 Certain Items in Segment Adjusted Adjusted EBDA Segment Segment Reconciliation of Adjusted Segment EBDA (GAAP) EBDA EBDA Certain Items 2021 Natural Gas Pipelines $3,815 $1,648 $5,463 Fair value amortization $ (19) Products Pipelines 1,064 53 1,117 Terminals 908 42 950 Legal, environmental and taxes other than income tax reserves Change in fair value of derivative contracts (a) 160 19 CO2 Total Reconciliation of Net Debt Outstanding long-term debt 760 $6,547 (6) 754 Loss on impairments, divestitures and other write-downs, net (b) 1,535 $1,737 $8,284 Income tax Certain Items (491) Other 16 2021 Total Certain Items $ 1,220 Current portion of debt Foreign exchange impact on hedges for Euro Debt outstanding Less: cash & cash equivalents Net Debt Adjusted EBITDA Net Debt to Adjusted EBITDA $ 29,772 2,646 (64) (1,140) $ 31,214 $ 7,946 3.9X KINDER MORGAN a) Gains or losses are reflected in our DCF when realized. b) Includes (i) a pre-tax non-cash impairment loss of $1,600 million related to our South Texas gathering and processing assets within our Natural Gas Pipelines business segment resulting from lower expectations regarding the volumes and rates associated with re-contracting, (ii) a write-down of $117 million on a long-term subordinated note receivable from an equity investee, Ruby Pipeline Holding Company, L.L.C., and (iii) a pre-tax non-cash impairment of $20 million related to our Wilmington terminal resulting from certain commercial contract terminations and lower expectations regarding the volumes and rates associated with re-contracting, partially offset by a pre-tax gain of $206 million associated with the sale of a partial interest in our equity investment in NGPL Holdings LLC. Net income attributable to Kinder Morgan, Inc. (GAAP) Total Certain Items DD&A and amortization of excess cost of equity investments Income tax expense (a) JV DD&A and income tax expense (a,b) Interest, net (a) 2022 Budget 2021 Actual Change $ % $ 2,480 $ 1,784 $ (10) 1,220 696 (1,230) 39% (101%) 2,185 2,213 (28) (1%) 710 860 (150) (17%) 343 351 (2%) 1,476 1,518 (42) (3%) $ 7,184 $ 7,946 $ (762) (10%) Adjusted EBITDA Note: See Non-GAAP Financial Measures and Reconciliations. a) Amounts are adjusted for Certain items. b) Includes or represents DD&A, income tax expense, cash taxes and/or sustaining capital expenditures (as applicable for each item) from JVs. 53
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