Summary
Marathon Petroleum Corporation (MPC) filed an 8-K on May 1, 2017, primarily to disclose a change in its segment reporting presentation for the first quarter of 2017. This change is a result of the contribution of certain terminal, pipeline, and storage assets to its sponsored master limited partnership, MPLX LP, completed on March 1, 2017. Previously reported within the Refining & Marketing segment, these assets are now classified under the new Midstream segment. Investors should note that MPC has recast comparable prior period information in its First Quarter 2017 Investor Relations Packet to reflect this revised segment presentation. The recasting of results for pipeline and storage assets is effective from January 1, 2015, and for terminal assets from April 1, 2016. This restatement provides a more consistent view of the company's operational structure and financial performance across its evolving business segments, particularly highlighting the growing importance of its midstream operations.
Key Highlights
- 1MPC has revised its segment reporting to reflect the contribution of terminal, pipeline, and storage assets to MPLX LP.
- 2These assets are now presented under a dedicated 'Midstream' segment, previously part of 'Refining & Marketing'.
- 3The change in segment presentation was effective for the first quarter of 2017.
- 4Comparable prior period financial information has been recast to align with the new segment structure.
- 5Recasting for pipeline and storage assets is effective from January 1, 2015.
- 6Recasting for terminal assets is effective from April 1, 2016.
- 7The First Quarter 2017 Investor Relations Packet, containing the recast data, is furnished as an exhibit.