View Filing Data

Document And Entity Information	9 Months Ended
Document And Entity Information	Sep. 30, 2015 shares
Document Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Entity Registrant Name	Panhandle Eastern Pipe Line Co LP
Entity Central Index Key	0000076063
Document Period End Date	Sep. 30, 2015
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q3
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding	0

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 30	$ 32
Accounts receivable, net	41	58
Accounts receivable from related companies	120	128
Exchanges receivable	9	11
Inventories	99	119
Other current assets	15	13
Total current assets	314	361
Property, plant and equipment:
Plant in service	3,408	3,352
Construction work in progress	48	43
Total property, plant and equipment	3,456	3,395
Accumulated depreciation and amortization	(342)	(269)
Net property, plant and equipment	3,114	3,126
INVESTMENTS IN UNCONSOLIDATED AFFILIATES	15	1,443
Other non-current assets, net	127	109
Note receivable from related party	1,369	0
Goodwill	923	1,152
Total assets	5,862	6,191
Current liabilities:
Current maturities of long-term debt	1	1
Accounts payable and accrued liabilities	4	6
Accounts payable to related companies	57	38
Exchanges payable	83	114
Accrued interest	24	12
Customer advances and deposits	9	10
Other current liabilities	60	56
Total current liabilities	238	237
Long-term debt, less current maturities	1,172	1,189
Deferred income taxes	722	1,511
Advances from affiliates	566	51
Other non-current liabilities	289	278
Commitments and contingencies
Partners’ capital:
Partners’ capital	2,874	2,925
Accumulated other comprehensive income	1	0
Total partners’ capital	2,875	2,925
Total liabilities and partners’ capital	$ 5,862	$ 6,191

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
OPERATING REVENUES:
Transportation and storage of natural gas	$ 121	$ 125	$ 393	$ 417
Other	5	7	16	22
Total operating revenues	126	132	409	439
OPERATING EXPENSES:
Cost of natural gas and other energy	1	1	4	4
Operating and maintenance expense	56	55	159	151
General and administrative expense	12	12	35	33
Depreciation and amortization	31	33	101	96
Total operating expenses	100	101	299	284
OPERATING INCOME	26	31	110	155
OTHER INCOME (EXPENSE):
Interest expense, net	(13)	(15)	(38)	(52)
Income from unconsolidated affiliates	28	9	26	7
Interest income - affiliates	6	5	7	17
Other, net	1	1	5	5
Total other expenses, net	22	0	0	(23)
INCOME BEFORE INCOME TAX EXPENSE	48	31	110	132
Income tax expense	(28)	8	9	128
NET INCOME	76	23	101	4
Less: Net income attributable to noncontrolling interest	0	0	0	6
NET INCOME (LOSS) ATTRIBUTABLE TO PARTNERS	$ 76	$ 23	$ 101	$ (2)

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Statement of Income and Comprehensive Income
Net income	$ 76	$ 23	$ 101	$ 4
Other comprehensive income (loss), net of tax:
Actuarial gain (loss) relating to postretirement benefit plans	0	0	1	(1)
Total other comprehensive income, net of tax	0	0	1	(1)
Comprehensive income	$ 76	$ 23	$ 102	$ 3

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONSOLIDATED STATEMENT OF PARTNERS' CAPITAL - USD ($) $ in Millions	Total	Limited partner	Accumulated Other Comprehensive Loss
Stockholders' Equity, Balance	$ 2,925	$ 2,925	$ 0
Distributions to partners	125	125	0
Unit-based Compensation	2	2	0
Other Comprehensive Income (Loss), Net of Tax	1	0	1
Contribution to SUG Holding	(29)	(29)	0
Net income	101	101	0
Stockholders' Equity, Balance	$ 2,875	$ 2,874	$ 1

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References + Details

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
OPERATING ACTIVITIES
Net income	$ 101	$ 4
Reconciliation of net income to net cash provided by operating activities:
Depreciation and amortization	101	96
Deferred income taxes	22	(238)
Amortization included in interest expense	(17)	(16)
Derivative valuation changes	0	(12)
Unit-based compensation expense	5	4
Losses from unconsolidated affiliates	26	7
Distributions of earnings received from unconsolidated affiliates	9	18
Cash flow changes in other assets and liabilities	5	(5)
Cash flow changes in operating assets and liabilities	(23)	336
Net cash flows provided by operating activities	177	180
INVESTING ACTIVITIES
Capital expenditures	(99)	(70)
Distributions in excess of earnings from unconsolidated affiliates	45	36
Repayment of note receivable from related party	40	10
Note receivable issued to related party	(40)	0
Other	0	(16)
Net cash flows used in investing activities	(54)	(40)
FINANCING ACTIVITIES
Distribution to partners	(125)	(102)
Net cash flows used in financing activities	(125)	(102)
Net change in cash and cash equivalents	(2)	38
Cash and cash equivalents, beginning of period	32	17
Cash and cash equivalents, end of period	30	55
NON-CASH INVESTING ACTIVITIES [Abstract]
Note receivable issued in exchange for investment	$ 1,369	$ 0

Operations and Organization (Notes)	9 Months Ended
Operations and Organization (Notes)	Sep. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Operations and Organization	ORGANIZATION AND BASIS OF PRESENTATION Organization Panhandle Eastern Pipe Line Company, LP (“PEPL”) and its subsidiaries (the “Company”) are primarily engaged in interstate pipelines that transport natural gas from the Gulf of Mexico, south Texas and the panhandle region of Texas and Oklahoma to major United States markets in the Midwest and Great Lakes regions and storage of natural gas and are subject to the rules and regulations of the FERC. The Company’s subsidiaries are Trunkline Gas Company, LLC, Sea Robin Pipeline Company, LLC and PanGas Storage LLC. Southern Union Panhandle LLC, an indirect wholly-owned subsidiary of ETP, owns a 1% general partnership interest in PEPL and ETP indirectly owns a 99% limited partnership interest in PEPL. The unaudited financial information included in this Form 10-Q has been prepared on the same basis as the audited consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. In the opinion of the Company’s management, such financial information reflects all adjustments necessary for a fair presentation of the financial position and the results of operations for such interim periods in accordance with GAAP. All intercompany items and transactions have been eliminated in consolidation. Certain information and footnote disclosures normally included in annual consolidated financial statements prepared in accordance with GAAP have been omitted pursuant to the rules and regulations of the SEC. Use of Estimates The unaudited consolidated financial statements have been prepared in conformity with GAAP, which includes the use of estimates and assumptions made by management that affect the reported amounts of assets, liabilities, revenues, expenses and disclosure of contingent assets and liabilities that exist at the date of the consolidated financial statements. Although these estimates are based on management’s available knowledge of current and expected future events, actual results could be different from those estimates.

Related Party Transactions (Notes)

9 Months Ended

Sep. 30, 2015

Related Party Transactions

RELATED PARTY TRANSACTIONS

Accounts receivable from related companies reflected on the consolidated balance sheets primarily related to services provided to ETE, ETP and other affiliates. Accounts payable to related companies reflected on the consolidated balance sheets related to various services provided by ETP and other affiliates.

The following table provides a summary of the related party activity included in our consolidated statements of operations:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Operating revenues	$	4	$	4	$	13	$	28
Operating and maintenance	4		4		12		12
General and administrative	8		9		24		25
Interest income — affiliates	6		5		7		17
Income from unconsolidated affiliates	28		9		26		7

The Company received $39 million and $6 million in cash distributions related to its investment in ETP during the nine months ended September 30, 2015 and 2014, respectively. The Company also received $16 million and $45 million in distributions related to its investment in Regency during the nine months ended September 30, 2015 and 2014, respectively. The Company paid $125 million in distributions to a subsidiary of ETP during the nine months ended September 30, 2015.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References + Details

INVESTMENTS IN UNCONSOLIDATED AFFILIATES INVESTMENTS IN UNCONSOLIDATED AFFILATES (Notes)

9 Months Ended

Sep. 30, 2015

Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures [Abstract]

Equity Method Investments and Joint Ventures Disclosure [Text Block]

INVESTMENTS IN UNCONSOLIDATED AFFILIATES

The Company’s investment in Regency consisted of 31.4 million Regency common units and 6.3 million Regency Class F units at December 31, 2014. In connection with the merger of ETP and Regency in April 2015, the Regency common units and Regency Class F units converted to 15.5 million ETP common units. The Company’s investment was accounted for using the equity method. Effective September 1, 2015, the Company exchanged these ETP common units, along with ETP common units that had been received in a previous transaction, for a note receivable from a subsidiary of ETP in the amount of $1.37 billion. The note receivable accrues interest annually at 4.75% and is due on September 1, 2035. In connection with this transaction, the Company also recorded a reduction in goodwill of $229 million and net deferred tax liabilities of $825 million, which amounts were associated with the exchanged ETP common units as a result of previous transactions whereby the Company had acquired ETP common units (and previously, Regency common units and Class F units) in exchange for other assets.

The following table presents aggregated selected income statement data for ETP (on a 100% basis for all periods presented):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Revenue	$	6,601	$	14,933	$	28,467	$	42,048
Operating income	576		810		2,072		2,284
Net income	393		514		1,500		1,544

The Company has other equity method investments which were not, individually or in the aggregate, significant to our consolidated financial statements.

INCOME TAXES Income Taxes (Notes)	9 Months Ended
INCOME TAXES Income Taxes (Notes)	Sep. 30, 2015
Income Tax Disclosure [Abstract]
Income Tax Disclosure [Text Block]	INCOME TAXES For the nine months ended September 30, 2015, the statutory rate differed from the effective rate primarily due to $14 million of net state tax benefit attributable to statutory rate changes resulting from the merger of ETP and Regency in April 2015 and the non-taxable transfer of ETP common units to an affiliate in September 2015. Additionally, the Company recognized a net tax benefit of $7 million related to the settlement of the Southern Union 2004-2009 Internal Revenue Service (“IRS”) examination in July 2015. The effective tax rate exceeded the statutory rate for the nine months ended September 30, 2014 primarily due to the Lake Charles LNG Transaction. The Lake Charles LNG Transaction, which was treated as a sale for tax purposes, resulted in $81 million of incremental income tax expense.

Derivative Instruments and Hedging Activities (Notes)

9 Months Ended

Sep. 30, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Price Risk Management Assets and Liabilities

DERIVATIVE ASSETS AND LIABILITIES

The Company is exposed to certain risks in its ongoing business operations. The Company, from time to time, uses interest rate derivative contracts to manage interest rate risk associated with its long-term borrowings. The Company recognizes all derivative assets and liabilities at fair value on the consolidated balance sheets. The Company had no outstanding interest rate swap agreements as of September 30, 2015 or December 31, 2014.

The following table summarizes the location and amount (excluding income tax effects) of derivative instrument (gains) and losses reported in the Company’s consolidated financial statements:



	Three Months Ended September 30,					Nine Months Ended September 30,
	2015		2014			2015		2014
Interest rate contracts:
Increase (decrease) in interest expense	$	—	$	(13	)	$	—	$	(6	)

Credit Risk

Credit risk refers to the risk that a shipper may default on its contractual obligations resulting in a credit loss to the Company. A credit policy has been approved and implemented to govern the Company’s portfolio of shippers with the objective of mitigating credit losses. This policy establishes guidelines, controls, and limits, consistent with FERC filed tariffs, to manage credit risk within approved tolerances by mandating an appropriate evaluation of the financial condition of existing and potential shippers, monitoring agency credit ratings, and by implementing credit practices that limit credit exposure according to the risk profiles of the shippers. Furthermore, the Company may, at times, require collateral under certain circumstances in order to mitigate credit risk as necessary.

The Company’s shippers consist of a diverse portfolio of customers across the energy industry, including oil and gas producers, midstream companies, municipalities, utilities, and commercial and industrial end users. Our overall exposure may be affected positively or negatively by macroeconomic or regulatory changes that could impact our shippers to one extent or another. Currently, management does not anticipate a material adverse effect in our financial position or results of operations as a consequence of shipper non-performance.

- Definition

The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 30
-Section 45
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6441202&loc=d3e80720-113993

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624171-113959

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41620-113959

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624163-113959

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579240-113959

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4D
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624177-113959

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80784-113994

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41641-113959

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5579245-113959

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4H
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624258-113959

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 30
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=35736893&loc=d3e80748-113994

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4K
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5708775-113959

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4J
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5708773-113959

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4A
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5618551-113959

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1B
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5580258-113959

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4E
-URI http://asc.fasb.org/extlink&oid=35706170&loc=SL5624181-113959

Reference 17: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 25
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6886632&loc=d3e76258-113986

Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=35706170&loc=d3e41638-113959

Reference 19: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(n))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

+ Details

FAIR VALUE Fair Value (Notes)	9 Months Ended
FAIR VALUE Fair Value (Notes)	Sep. 30, 2015
Fair Value Disclosures [Abstract]
Fair Value Disclosures [Text Block]	FAIR VALUE MEASURES The Company did not have any assets or liabilities measured at fair value on a recurring basis at September 30, 2015 or December 31, 2014. The carrying amount of cash and cash equivalents, accounts receivable and accounts payable approximates fair value due to their short-term maturities. Based on the estimated borrowing rates currently available to the Company and its subsidiaries for loans with similar terms and average maturities, the aggregate fair value of the Company’s consolidated debt obligations at September 30, 2015 and December 31, 2014 was $1.20 billion and $1.24 billion, respectively. The fair value of the Company’s consolidated debt obligations is a Level 2 valuation based on the observable inputs used for similar liabilities. The Company did not have any Level 3 instruments measured at fair value at September 30, 2015 or December 31, 2014, and there were no transfers between hierarchy levels.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Commitments and Contingencies

9 Months Ended

Sep. 30, 2015

Commitments and Contingencies [Abstract]

Commitments and Contingencies Disclosure

REGULATORY MATTERS, COMMITMENTS, CONTINGENCIES AND ENVIRONMENTAL LIABILITIES

Sea Robin Rate Case

On December 2, 2013, Sea Robin filed a general NGA Section 4 rate case at the FERC as required by a previous rate case settlement. In the filing, Sea Robin seeks to increase its authorized rates to recover costs related to asset retirement obligations, depreciation, and return and taxes. A settlement was reached with the shippers and a stipulation and agreement was filed with the FERC on July 23, 2014. The settlement was certified to the FERC by the administrative law judge on October 7, 2014 and was approved by the FERC on June 26, 2015. In September 2015, related to the final settlement, Sea Robin made refunds to customers totaling $11 million, including interest.

PEPL Holdings Guarantee of Collection

The Company fully and unconditionally guaranteed (the “Panhandle Guarantee”) all of the payment obligations of Regency and Regency Energy Finance Corp. under their $600 million in aggregate principal amount of 4.50% senior notes due November 2023, until May 28, 2015, at which time ETP entered into a supplemental indenture relating to the senior notes pursuant to which it has agreed to become a co-obligor with respect to the payment obligations thereunder. Accordingly, pursuant to the terms of the senior notes, the Company’s obligations under the Panhandle Guarantee were released.

Contingent Residual Support Agreement with ETP

The Company provides contingent, residual support to Citrus ETP Finance LLC (on a non-recourse basis to the Company) with respect to Citrus ETP Finance LLC’s obligations to ETP to support the payment of $2 billion in principal amount of senior notes issued by ETP on January 17, 2012.

Environmental Matters

The Company’s operations are subject to federal, state and local laws, rules and regulations regarding water quality, hazardous and solid waste management, air quality control and other environmental matters. These laws, rules and regulations require the Company to conduct its operations in a specified manner and to obtain and comply with a wide variety of environmental registrations, licenses, permits, inspections and other approvals. Failure to comply with environmental laws, rules and regulations may expose the Company to significant fines, penalties and/or interruptions in operations. The Company’s environmental policies and procedures are designed to achieve compliance with such applicable laws and regulations. These evolving laws and regulations and claims for damages to property, employees, other persons and the environment resulting from current or past operations may result in significant expenditures and liabilities in the future. The Company engages in a process of updating and revising its procedures for the ongoing evaluation of its operations to identify potential environmental exposures and enhance compliance with regulatory requirements.

The Company is responsible for environmental remediation at certain sites on its natural gas transmission systems for contamination resulting from the past use of lubricants containing PCBs in compressed air systems; the past use of paints containing PCBs; and the prior use of wastewater collection facilities and other on-site disposal areas. The Company has implemented a program to remediate such contamination. The primary remaining remediation activity on the Company’s systems is associated with past use of paints containing PCBs or PCB impacts to equipment surfaces and to a building at one location. The PCB assessments are ongoing and the related estimated remediation costs are subject to further change. Other remediation typically involves the management of contaminated soils and may involve remediation of groundwater. Activities vary with site conditions and locations, the extent and nature of the contamination, remedial requirements, complexity and sharing of responsibility. The ultimate liability and total costs associated with these sites will depend upon many factors. If remediation activities involve statutory joint and several liability provisions, strict liability, or cost recovery or contribution actions, the Company could potentially be held responsible for contamination caused by other parties. In some instances, the Company may share liability associated with contamination with other potentially responsible parties. The Company may also benefit from contractual indemnities that cover some or all of the cleanup costs. These sites are generally managed in the normal course of business or operations.

The Company’s environmental remediation activities are undertaken in cooperation with and under the oversight of appropriate regulatory agencies, enabling the Company under certain circumstances to take advantage of various voluntary cleanup programs in order to perform the remediation in the most effective and efficient manner.

The table below reflects the amount of accrued liabilities recorded on the consolidated balance sheets at the dates indicated to cover environmental remediation activities where management believes a loss is probable and reasonably estimable. The Company is not able to estimate the possible loss or range of loss in excess of amounts accrued. The Company does not have any material environmental remediation matters assessed as reasonably possible.



	September 30, 2015		December 31, 2014
Current	$	1	$	1
Non-current	3		3
Total environmental liabilities	$	4	$	4

Litigation and Other Claims

The Company is involved in legal, tax and regulatory proceedings before various courts, regulatory commissions and governmental agencies regarding matters arising in the ordinary course of business.

Attorney General of the Commonwealth of Massachusetts v. New England Gas Company

On July 7, 2011, the Massachusetts Attorney General (“AG”) filed a regulatory complaint with the Massachusetts Department of Public Utilities (“MDPU”) against New England Gas Company with respect to certain environmental cost recoveries. The AG is seeking a refund to New England Gas Company customers for alleged “excessive and imprudently incurred costs” related to legal fees associated with Southern Union’s environmental response activities. In the complaint, the AG requests that the MDPU initiate an investigation into the New England Gas Company’s collection and reconciliation of recoverable environmental costs including: (i) the prudence of any and all legal fees, totaling $19 million, that were charged by the Kasowitz, Benson, Torres & Friedman firm and passed through the recovery mechanism since 2005, the year when a partner in the firm, the Southern Union former Vice Chairman, President and Chief Operating Officer, joined Southern Union’s management team; (ii) the prudence of any and all legal fees that were charged by the Bishop, London & Dodds firm and passed through the recovery mechanism since 2005, the period during which a member of the firm served as Southern Union’s Chief Ethics Officer; and (iii) the propriety and allocation of certain legal fees charged that were passed through the recovery mechanism that the AG contends only qualify for a lesser, 50%, level of recovery. Southern Union has filed its answer denying the allegations and moved to dismiss the complaint, in part on a theory of collateral estoppel. The hearing officer has deferred consideration of Southern Union’s motion to dismiss. The AG’s motion to be reimbursed expert and consultant costs by Southern Union of up to $150,000 was granted. By tariff, these costs are recoverable through rates charged to New England Gas Company customers. The hearing officer previously stayed discovery pending resolution of a dispute concerning the applicability of attorney-client privilege to legal billing invoices. The MDPU issued an interlocutory order on June 24, 2013 that lifted the stay, and discovery has resumed. The Company (as successor to Southern Union) believes it has complied with all applicable requirements regarding its filings for cost recovery and has not recorded any accrued liability; however, the Company will continue to assess its potential exposure for such cost recoveries as the matter progresses.

Liabilities for Litigation and Other Claims

The Company records accrued liabilities for litigation and other claim costs when management believes a loss is probable and reasonably estimable. When management believes there is at least a reasonable possibility that a material loss or an additional material loss may have been incurred, the Company discloses (i) an estimate of the possible loss or range of loss in excess of the amount accrued; or (ii) a statement that such an estimate cannot be made. As of September 30, 2015 and December 31, 2014, the Company has litigation and other claim-related accrued liabilities of $21 million. The Company does not have any material litigation or other claim contingency matters assessed as probable or reasonably possible that would require disclosure in the financial statements.

Other Commitments and Contingencies

The Company is subject to the laws and regulations of states and other jurisdictions concerning the identification, reporting and escheatment (the transfer of property to the state) of unclaimed or abandoned funds, and is subject to audit and examination for compliance with these requirements. The Company is currently being examined by a third party auditor on behalf of nine states for compliance with unclaimed property laws.

Related Party Transactions (Tables)

9 Months Ended

Sep. 30, 2015

The following table provides a summary of the related party activity included in our consolidated statements of operations:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Operating revenues	$	4	$	4	$	13	$	28
Operating and maintenance	4		4		12		12
General and administrative	8		9		24		25
Interest income — affiliates	6		5		7		17
Income from unconsolidated affiliates	28		9		26		7

INVESTMENTS IN UNCONSOLIDATED AFFILIATES INVESTMENTS IN UNCONSOLIDATED AFFILIATES (Tables)

9 Months Ended

Sep. 30, 2015

Equity Method Investments and Joint Ventures [Abstract]

Investments in and Advances to Affiliates [Table Text Block]

The following table presents aggregated selected income statement data for ETP (on a 100% basis for all periods presented):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Revenue	$	6,601	$	14,933	$	28,467	$	42,048
Operating income	576		810		2,072		2,284
Net income	393		514		1,500		1,544

DERIVATIVE ASSETS AND LIABILITIES Derivative Instruments (Tables)

9 Months Ended

Sep. 30, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments, Gain (Loss) [Table Text Block]

The following table summarizes the location and amount (excluding income tax effects) of derivative instrument (gains) and losses reported in the Company’s consolidated financial statements:



	Three Months Ended September 30,					Nine Months Ended September 30,
	2015		2014			2015		2014
Interest rate contracts:
Increase (decrease) in interest expense	$	—	$	(13	)	$	—	$	(6	)

Commitments and Contingencies (Tables)

9 Months Ended

Sep. 30, 2015

Commitments and Contingencies [Abstract]

Environmental Liabilities Table



	September 30, 2015		December 31, 2014
Current	$	1	$	1
Non-current	3		3
Total environmental liabilities	$	4	$	4

Operations and Organizaton (Details) - Panhandle [Member]	9 Months Ended
	Sep. 30, 2015
General partnership
Description of the Business
General partnership interest	1.00%
Limited partner
Description of the Business
Limited partnership interest	99.00%

Related Party Transactions (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Related Party Transaction
Operating revenues	$ 4	$ 4	$ 13	$ 28
Operating and maintenance	4	4	12	12
General and administrative	8	9	24	25
Interest income - affiliates	6	5	7	17
Income from unconsolidated affiliates	$ 28	$ 9	$ 26	$ 7

Related Party (Narrative) (Details) - USD ($) $ in Millions	9 Months Ended
Related Party (Narrative) (Details) - USD ($) $ in Millions	Sep. 30, 2015	Sep. 30, 2014
Related Party Transaction
Proceeds from Equity Method Investment, Dividends or Distributions	$ 9	$ 18
Distributions to partners	125
ETP [Member]
Related Party Transaction
Proceeds from Equity Method Investment, Dividends or Distributions	39	6
Regency [Member]
Related Party Transaction
Proceeds from Equity Method Investment, Dividends or Distributions	16	$ 45
Limited partner
Related Party Transaction
Distributions to partners	$ 125

INVESTMENTS IN UNCONSOLIDATED AFFILIATES INV IN UNCONSOLIDATED AFF. - Schedule of Equity Method Investments (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Schedule of Equity Method Investments [Line Items]
Equity Method Investment, Summarized Financial Information, Revenue	$ 6,601	$ 14,933	$ 28,467	$ 42,048
Equity Method Investment, Summarized Financial Information, Income (Loss) from Continuing Operations before Extraordinary Items	576	810	2,072	2,284
Equity Method Investment, Summarized Financial Information, Net Income (Loss)	$ 393	$ 514	$ 1,500	$ 1,544

INVESTMENTS IN UNCONSOLIDATED AFFILIATES INV IN UNCONSOLIDATED AFFILIATES - Narrative (Details) - USD ($) shares in Millions, $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Schedule of Equity Method Investments [Line Items]
Notes Receivable, Related Parties	$ 1,370
Goodwill	923	$ 1,152
Investment In ETP [Member]
Schedule of Equity Method Investments [Line Items]
Goodwill	229
Deferred Tax Liabilities, Deferred Expense	$ 825
Regency [Member]
Schedule of Equity Method Investments [Line Items]
Number of common units of a subsidiary partnership that are held by a less than wholly-owned subsidiary of the Parent.	31.4
Regency [Member] \| Class F Units [Member]
Schedule of Equity Method Investments [Line Items]
Number of common units of a subsidiary partnership that are held by a less than wholly-owned subsidiary of the Parent.	6.3
ETP [Member]
Schedule of Equity Method Investments [Line Items]
Number of common units of a subsidiary partnership that are held by a less than wholly-owned subsidiary of the Parent.	15.5
SUG Holding Note Receivable [Member]
Schedule of Equity Method Investments [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	4.75%

INCOME TAXES Income Taxes (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
INCOME TAXES Income Taxes (Details) - USD ($) $ in Millions	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Jul. 31, 2015
Income Tax Expense (Benefit)	$ (28)	$ 8	$ 9	$ 128
Reduction in franchise tax [Member]
Income Tax Expense (Benefit)			$ 14
Tax Years 2004 - 2009 [Member] \| Southern Union [Member]
Income Tax Examination, Liability (Refund) Adjustment from Settlement with Taxing Authority					$ 7
Unfavorable [Member]
Tax Adjustments, Settlements, and Unusual Provisions				$ 81

DERIVATIVE ASSETS AND LIABILITIES Derivative Instruments - Income Statement Impact (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Fair Value Hedging [Member] \| Interest Rate Contract [Member]
Derivative [Line Items]
Change in fair value - increase (decrease) in interest expense	$ 0	$ (13)	$ 0	$ (6)

DERIVATIVE ASSETS AND LIABILITIES Derivative Instruments Narrative (Details)	Sep. 30, 2015 USD ($)
Interest Rate Swap, Ten Year Period [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative, Notional Amount	$ 0

FAIR VALUE Fair Value Narrative (Details) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Fair Value Disclosures [Abstract]
Debt Instrument, Fair Value Disclosure	$ 1,200	$ 1,240

Commitment and Contingenices (Narrative) (Details)	9 Months Ended
Commitment and Contingenices (Narrative) (Details)	Sep. 30, 2015 USD ($)
Loss Contingencies
Refundable Gas Costs	$ 11,000,000
Contingent Residual Support Agreement, Amount	2,000,000,000
Estimated litigation liability	21,000,000
Regency 4.50% Senior Notes Due 2023 [Member]
Loss Contingencies
Guarantor Obligations, Current Carrying Value	$ 600,000,000
Debt Instrument, Interest Rate, Stated Percentage	4.50%
Attorney General of Commonwealth [Member]
Loss Contingencies
Legal Fees	$ 19,000,000
Percentage Of Recovery	50.00%
Reimbursement expert and consultant cost, maximum	$ 150,000

Commitments and Contingencies - Accrued Liabilities (Details) - USD ($) $ in Millions	Sep. 30, 2015	Dec. 31, 2014
Loss Contingencies
Current	$ 1	$ 1
Non-current	3	3
Total environmental liabilities	$ 4	$ 4