Energy, Automobile, EV, Renewable News | Williams Delivers Strong First-Quarter Results; Positioned to Hit Top Half of 2024 Financial Guidance Range

Williams Delivers Strong First-Quarter Results; Positioned to Hit Top Half of 2024 Financial Guidance Range

May 7, 2024

TULSA, Okla.–(BUSINESS WIRE)–Williams (NYSE: WMB) today announced its unaudited financial results for the three months ended March 31, 2024.

Business continues to outperform; solid execution on accretive acquisitions and organic growth driving immediate returns

GAAP net income of $631 million, or $0.52 per diluted share (EPS)
Adjusted net income of $719 million, or $0.59 per diluted share (Adj. EPS) – up 5% vs. 1Q 2023
Adjusted EBITDA of $1.934 billion – up $139 million or 8% vs. 1Q 2023
Cash flow from operations (CFFO) of $1.234 billion
Available funds from operations (AFFO) of $1.507 billion – up $62 million or 4% vs. 1Q 2023
Dividend coverage ratio of 2.60x (AFFO basis)
Record contracted transmission capacity of 33.9 Bcf/d – up 4.3% from 1Q 2023
Strong 1Q performance driving expectations to top half of 2024 financial guidance range

Recent acquisitions and large roster of projects in execution building long-term value

Closed acquisition of 6 storage facilities with total capacity of 115 Bcf across Louisiana and Mississippi, strategically located to serve growing LNG exports and power generation demand
Placed Transco’s Carolina Market Link into service 1Q 2024
Received FERC notice to proceed on Transco’s Commonwealth Energy Connector
Commenced construction on Transco’s Southside Reliability Enhancement and Southeast Energy Connector
First phase of Transco’s Regional Energy Access continued to deliver earnings with second phase on track to come online in 4Q 2024
Received FERC certificate for Transco’s Alabama Georgia Connector and Texas to Louisiana Energy Pathway
Pre-filed FERC application for Transco’s ~1.6 Bcf/d Southeast Supply Enhancement
Continued execution of additional transmission, gathering & processing and Deepwater Gulf of Mexico projects

CEO Perspective

Alan Armstrong, president and chief executive officer, made the following comments:

“Our 8 percent higher Adjusted EBITDA was driven by the continued outperformance of our transmission, storage and gathering businesses, which delivered 13 percent higher Adjusted EBITDA compared to the same period last year. Contracted transmission capacity achieved another record in the first quarter and our Transco projects recently placed into service contributed additional fee-based revenues, as did our immediately accretive acquisitions, including the Gulf Coast storage portfolio that we closed in the quarter.

“Crisp execution by our teams in both integrating newly acquired assets and building large-scale organic projects has us on track to be in the top half of our original 2024 guidance range. As our natural gas-focused strategy continues to gain momentum, we are successfully executing a full slate of high return growth projects, with new regulatory milestones reached on seven of our FERC-regulated expansion projects so far this year and progressing on a healthy backlog of expansion opportunities to serve accelerating demand for natural gas.

Armstrong added, “Our track record of generating predictable, growing earnings in all market cycles underscores the value of Williams as a resilient, long-term investment with a strong dividend. We’ve built a business positioned for the future, and we’re leveraging our existing infrastructure and project development capabilities to serve rising domestic and global security needs, while lowering emissions and creating sustainable value for our shareholders.”


Williams Summary Financial Information	1Q
Amounts in millions, except ratios and per-share amounts. Per share amounts are reported on a diluted basis. Net income amounts are from continuing operations attributable to The Williams Companies, Inc. available to common stockholders.	2024		2023

GAAP Measures
Net Income	$	631	$	926
Net Income Per Share	$	0.52	$	0.76
Cash Flow From Operations	$	1,234	$	1,514

Non-GAAP Measures (1)
Adjusted EBITDA	$	1,934	$	1,795
Adjusted Net Income	$	719	$	684
Adjusted Earnings Per Share	$	0.59	$	0.56
Available Funds from Operations	$	1,507	$	1,445
Dividend Coverage Ratio	2.60x		2.65x

Other
Debt-to-Adjusted EBITDA at Quarter End (2)	3.79x		3.57x
Capital Investments (Excluding Acquisitions) (3) (4)	$	563	$	525

(1) Schedules reconciling Adjusted Net Income, Adjusted EBITDA, Available Funds from Operations and Dividend Coverage Ratio (non-GAAP measures) to the most comparable GAAP measure are available at www.williams.com and as an attachment to this news release.

(2) Does not represent leverage ratios measured for WMB credit agreement compliance or leverage ratios as calculated by the major credit ratings agencies. Debt is net of cash on hand, and Adjusted EBITDA reflects the sum of the last four quarters.

(3) Capital Investments include increases to property, plant, and equipment (growth & maintenance capital), purchases of and contributions to equity-method investments and purchases of other long-term investments.

(4) First-quarter 2024 capital excludes $1.851 billion for the acquisition of the Gulf Coast Storage assets, which closed in January 2024. First-quarter 2023 capital excludes $1.056 billion for the acquisition of MountainWest, which closed in February 2023.

GAAP Measures

First-quarter 2024 net income decreased by $295 million compared to the prior year reflecting an unfavorable change of $419 million in net unrealized gains/losses on commodity derivatives, higher net interest expense from recent debt issuances and retirements, as well as higher operating costs, depreciation and interest expense resulting from recent acquisitions. These unfavorable changes were partially offset by a $211 million increase in service revenues driven by acquisitions and expansion projects. The tax provision decreased primarily due to lower pretax income.

First-quarter 2024 cash flow from operations decreased compared to the prior year primarily due to unfavorable net changes in both working capital and derivative collateral requirements.

Non-GAAP Measures

First-quarter 2024 Adjusted EBITDA increased by $139 million over the prior year, driven by the previously described favorable net contributions from acquisitions and expansion projects.

First-quarter 2024 Adjusted Net Income improved by $35 million over the prior year, driven by the previously described impacts to net income, adjusted primarily to remove the effects of net unrealized gains/losses on commodity derivatives and the related income tax effects.

First-quarter Available Funds From Operations (AFFO) increased by $62 million compared to the prior year primarily due to the change in operating results exclusive of non-cash items.

Business Segment Results & Form 10-Q

Williams’ operations are comprised of the following reportable segments: Transmission & Gulf of Mexico, Northeast G&P, West and Gas & NGL Marketing Services, as well as Other. For more information, see the company’s first-quarter 2024 Form 10-Q.


	First Quarter
Amounts in millions	Modified EBITDA							Adjusted EBITDA
Amounts in millions	1Q 2024		1Q 2023		Change			1Q 2024		1Q 2023		Change
Transmission & Gulf of Mexico	$	829	$	715	$	114		$	839	$	728	$	111
Northeast G&P		504		470		34			504		470		34
West		327		304		23			328		286		42
Gas & NGL Marketing Services		101		567		(466	)		189		231		(42	)
Other		76		74		2			74		80		(6	)
Total	$	1,837	$	2,130	$	(293	)	$	1,934	$	1,795	$	139

Note: Williams uses Modified EBITDA for its segment reporting. Definitions of Modified EBITDA and Adjusted EBITDA and schedules reconciling to net income are included in this news release.

Transmission & Gulf of Mexico

First-quarter 2024 Modified and Adjusted EBITDA improved compared to the prior year driven by favorable net contributions from the Gulf Coast Storage and MountainWest acquisitions and the Regional Energy Access expansion project. Modified EBITDA for both periods was impacted by one-time acquisition costs, which are excluded from Adjusted EBITDA.

Northeast G&P

First-quarter 2024 Modified and Adjusted EBITDA increased over the prior year driven by higher rates and volumes at Susquehanna Supply Hub, higher rates at Cardinal, and higher contribution from our Aux Sable investment, partially offset by lower volumes at Ohio Valley Midstream.

West

First-quarter 2024 Modified and Adjusted EBITDA increased compared to the prior year benefiting from the DJ Basin Acquisitions and improved commodity margins reflecting favorable changes in shrink prices related to the absence of a short-term gas price spike at Opal in 2023, partially offset by lower realized gains on natural gas hedges. Modified EBITDA was also impacted by the absence of a 2023 favorable contract settlement, which is excluded from Adjusted EBITDA.

Gas & NGL Marketing Services

First-quarter 2024 Modified EBITDA decreased from the prior year primarily reflecting lower commodity marketing margins and a $427 million net unfavorable change in unrealized gains/losses on commodity derivatives, which is excluded from Adjusted EBITDA.

2024 Financial Guidance

After our strong first-quarter performance, Williams expects Adjusted EBITDA at the top half of its 2024 guidance range of $6.8 billion and $7.1 billion. The company continues to expect 2024 growth capex between $1.45 billion and $1.75 billion and maintenance capex between $1.1 billion and $1.3 billion, which includes capital of $350 million for emissions reduction and modernization initiatives. For 2025, the company continues to expect Adjusted EBITDA between $7.2 billion and $7.6 billion with growth capex between $1.65 billion and $1.95 billion and maintenance capex between $750 million and $850 million, which includes capital of $100 million based on midpoint for emissions reduction and modernization initiatives. Williams continues to anticipate a leverage ratio midpoint for 2024 of 3.85x and has increased the dividend by 6.1% on an annualized basis to $1.90 in 2024 from $1.79 in 2023.

Williams’ First-Quarter 2024 Materials to be Posted Shortly; Q&A Webcast Scheduled for Tomorrow

Williams’ first-quarter 2024 earnings presentation will be posted at www.williams.com. The company’s first-quarter 2024 earnings conference call and webcast with analysts and investors is scheduled for Tuesday, May 7, at 9:30 a.m. Eastern Time (8:30 a.m. Central Time). Participants who wish to join the call by phone must register using the following link: https://register.vevent.com/register/BI2af82b1f777e448892c40bafefdffe05

A webcast link to the conference call will be provided on Williams’ Investor Relations website. A replay of the webcast will also be available on the website for at least 90 days following the event.

About Williams

Williams (NYSE: WMB) is a trusted energy industry leader committed to safely, reliably, and responsibly meeting growing energy demand. We use our 33,000-mile pipeline infrastructure to move a third of the nation’s natural gas to where it’s needed most, supplying the energy used to heat our homes, cook our food and generate low-carbon electricity. For over a century, we’ve been driven by a passion for doing things the right way. Today, our team of problem solvers is leading the charge into the clean energy future – by powering the global economy while delivering immediate emissions reductions within our natural gas network and investing in new energy technologies. Learn more at www.williams.com.


The Williams Companies, Inc.
Consolidated Statement of Income
(Unaudited)

		Three Months Ended March 31,
		2024			2023
	(Millions, except per-share amounts)
Revenues:
Service revenues		$	1,905		$	1,694
Service revenues – commodity consideration			30			36
Product sales			845			845
Net gain (loss) from commodity derivatives			(9	)		506
Total revenues			2,771			3,081
Costs and expenses:
Product costs			526			553
Net processing commodity expenses			5			54
Operating and maintenance expenses			511			463
Depreciation and amortization expenses			548			506
Selling, general, and administrative expenses			186			176
Other (income) expense – net			(17	)		(31	)
Total costs and expenses			1,759			1,721
Operating income (loss)			1,012			1,360
Equity earnings (losses)			137			147
Other investing income (loss) – net			24			8
Interest expense			(349	)		(294	)
Other income (expense) – net			31			20
Income (loss) before income taxes			855			1,241
Less: Provision (benefit) for income taxes			193			284
Net income (loss)			662			957
Less: Net income (loss) attributable to noncontrolling interests			30			30
Net income (loss) attributable to The Williams Companies, Inc.			632			927
Less: Preferred stock dividends			1			1
Net income (loss) available to common stockholders		$	631		$	926
Basic earnings (loss) per common share:
Net income (loss) available to common stockholders		$	.52		$	.76
Weighted-average shares (thousands)			1,218,155			1,219,465
Diluted earnings (loss) per common share:
Net income (loss) available to common stockholders		$	.52		$	.76
Weighted-average shares (thousands)			1,222,222			1,225,781


The Williams Companies, Inc.
Consolidated Balance Sheet
(Unaudited)

	March 31,			December 31,
	2024			2023
	(Millions, except per-share amounts)
ASSETS
Current assets:
Cash and cash equivalents	$	667		$	2,150
Trade accounts and other receivables (net of allowance of $3 at March 31, 2024 and December 31, 2023)		1,355			1,655
Inventories		239			274
Derivative assets		173			239
Other current assets and deferred charges		176			195
Total current assets		2,610			4,513
Investments		4,639			4,637
Property, plant and equipment		54,305			51,842
Accumulated depreciation and amortization		(17,854	)		(17,531	)
Property, plant, and equipment – net		36,451			34,311
Intangible assets – net of accumulated amortization		7,496			7,593
Regulatory assets, deferred charges, and other		1,551			1,573
Total assets	$	52,747		$	52,627

LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	1,042		$	1,379
Derivative liabilities		75			105
Accrued and other current liabilities		1,077			1,284
Commercial paper		—			725
Long-term debt due within one year		2,787			2,337
Total current liabilities		4,981			5,830
Long-term debt		24,100			23,376
Deferred income tax liabilities		4,001			3,846
Regulatory liabilities, deferred income, and other		4,735			4,684
Contingent liabilities and commitments

Equity:
Stockholders’ equity:
Preferred stock ($1 par value; 30 million shares authorized at March 31, 2024 and December 31, 2023; 35,000 shares issued at March 31, 2024 and December 31, 2023)		35			35
Common stock ($1 par value; 1,470 million shares authorized at March 31, 2024 and December 31, 2023; 1,258 million shares issued at March 31, 2024 and 1,256 million shares issued at December 31, 2023)		1,258			1,256
Capital in excess of par value		24,564			24,578
Retained deficit		(12,238	)		(12,287	)
Accumulated other comprehensive income (loss)		10			—
Treasury stock, at cost (39 million shares at March 31, 2024 and December 31, 2023 of common stock)		(1,180	)		(1,180	)
Total stockholders’ equity		12,449			12,402
Noncontrolling interests in consolidated subsidiaries		2,481			2,489
Total equity		14,930			14,891
Total liabilities and equity	$	52,747		$	52,627


The Williams Companies, Inc.
Consolidated Statement of Cash Flows
(Unaudited)

	Three Months Ended March 31,
	2024			2023
	(Millions)
OPERATING ACTIVITIES:
Net income (loss)	$	662		$	957
Adjustments to reconcile to net cash provided (used) by operating activities:
Depreciation and amortization		548			506
Provision (benefit) for deferred income taxes		152			283
Equity (earnings) losses		(137	)		(147	)
Distributions from equity-method investees		188			208
Net unrealized (gain) loss from commodity derivative instruments		92			(327	)
Inventory write-downs		4			18
Amortization of stock-based awards		24			17
Cash provided (used) by changes in current assets and liabilities:
Accounts receivable		314			1,269
Inventories		34			27
Other current assets and deferred charges		9			(4	)
Accounts payable		(309	)		(1,017	)
Accrued and other current liabilities		(218	)		(318	)
Changes in current and noncurrent commodity derivative assets and liabilities		(68	)		82
Other, including changes in noncurrent assets and liabilities		(61	)		(40	)
Net cash provided (used) by operating activities		1,234			1,514
FINANCING ACTIVITIES:
Proceeds from (payments of) commercial paper – net		(723	)		(352	)
Proceeds from long-term debt		2,099			1,502
Payments of long-term debt		(1,012	)		(7	)
Payments for debt issuance costs		(16	)		(8	)
Proceeds from issuance of common stock		5			3
Purchases of treasury stock		—			(74	)
Common dividends paid		(579	)		(546	)
Dividends and distributions paid to noncontrolling interests		(64	)		(54	)
Contributions from noncontrolling interests		26			3
Other – net		(17	)		(17	)
Net cash provided (used) by financing activities		(281	)		450
INVESTING ACTIVITIES:
Property, plant, and equipment:
Capital expenditures (1)		(544	)		(545	)
Dispositions – net		5			(7	)
Purchases of businesses, net of cash acquired		(1,851	)		(1,056	)
Purchases of and contributions to equity-method investments		(52	)		(39	)
Other – net		6			8
Net cash provided (used) by investing activities		(2,436	)		(1,639	)
Increase (decrease) in cash and cash equivalents		(1,483	)		325
Cash and cash equivalents at beginning of year		2,150			152
Cash and cash equivalents at end of period	$	667		$	477

(1) Increases to property, plant, and equipment	$	(509	)	$	(484	)
Changes in related accounts payable and accrued liabilities		(35	)		(61	)
Capital expenditures	$	(544	)	$	(545	)


Transmission & Gulf of Mexico
(UNAUDITED)
	2023															2024
(Dollars in millions)	1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year			1st Qtr
Regulated interstate natural gas transportation, storage, and other revenues ⁽¹⁾	$	774		$	786		$	794		$	822		$	3,176		$	836
Gathering, processing, storage and transportation revenues		100			104			114			100			418			137
Other fee revenues ⁽¹⁾		6			8			5			4			23			12
Commodity margins		10			8			7			8			33			9
Operating and administrative costs ⁽¹⁾		(254	)		(254	)		(257	)		(270	)		(1,035	)		(254	)
Other segment income (expenses) – net ⁽¹⁾		26			31			36			26			119			43
Gain on sale of business		—			—			130			(1	)		129			—
Proportional Modified EBITDA of equity-method investments		53			48			52			52			205			46
Modified EBITDA		715			731			881			741			3,068			829
Adjustments		13			17			(127	)		11			(86	)		10
Adjusted EBITDA	$	728		$	748		$	754		$	752		$	2,982		$	839

Statistics for Operated Assets
Natural Gas Transmission ⁽²⁾
Transcontinental Gas Pipe Line
Avg. daily transportation volumes (MMdth)		14.3			13.2			14.0			14.0			13.9			14.6
Avg. daily firm reserved capacity (MMdth)		19.5			19.4			19.4			19.3			19.4			20.3
Northwest Pipeline LLC
Avg. daily transportation volumes (MMdth)		3.1			2.3			2.3			2.8			2.6			3.1
Avg. daily firm reserved capacity (MMdth)		3.8			3.8			3.8			3.8			3.8			3.8
MountainWest ⁽³⁾
Avg. daily transportation volumes (MMdth)		4.2			3.2			3.8			4.2			3.9			4.3
Avg. daily firm reserved capacity (MMdth)		7.8			7.5			7.5			7.9			7.7			8.4
Gulfstream – Non-consolidated
Avg. daily transportation volumes (MMdth)		1.0			1.2			1.4			1.1			1.2			1.0
Avg. daily firm reserved capacity (MMdth)		1.4			1.4			1.4			1.4			1.4			1.4
Gathering, Processing, and Crude Oil Transportation
Consolidated ⁽⁴⁾
Gathering volumes (Bcf/d)		0.28			0.23			0.27			0.27			0.26			0.25
Plant inlet natural gas volumes (Bcf/d)		0.43			0.40			0.46			0.46			0.44			0.45
NGL production (Mbbls/d)		28			24			28			26			27			28
NGL equity sales (Mbbls/d)		7			5			6			5			6			5
Crude oil transportation volumes (Mbbls/d)		119			111			134			130			123			118
Non-consolidated ⁽⁵⁾
Gathering volumes (Bcf/d)		0.36			0.30			0.36			0.33			0.34			0.27
Plant inlet natural gas volumes (Bcf/d)		0.36			0.30			0.36			0.33			0.34			0.27
NGL production (Mbbls/d)		28			21			30			28			27			15
NGL equity sales (Mbbls/d)		8			3			8			7			7			3

(1) Excludes certain amounts associated with revenues and operating costs for tracked or reimbursable charges.

(2) Tbtu converted to MMdth at one trillion British thermal units = one million dekatherms.

(3) Includes 100% of the volumes associated with the MountainWest Acquisition transmission assets after the purchase on February 14, 2023, including 100% of the volumes associated with the operated equity-method investment White River Hub, LLC. Average volumes were calculated over the period owned.

(4) Excludes volumes associated with equity-method investments that are not consolidated in our results.

(5) Includes 100% of the volumes associated with operated equity-method investments, including Discovery Producer Services.


Northeast G&P
(UNAUDITED)
	2023															2024
(Dollars in millions)	1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year			1st Qtr
Gathering, processing, transportation, and fractionation revenues	$	391		$	431		$	417		$	411		$	1,650		$	411
Other fee revenues ⁽¹⁾		32			27			27			28			114			34
Commodity margins		5			(1	)		7			1			12			11
Operating and administrative costs ⁽¹⁾		(101	)		(101	)		(115	)		(107	)		(424	)		(108	)
Other segment income (expenses) – net		—			—			(1	)		(9	)		(10	)		(1	)
Proportional Modified EBITDA of equity-method investments		143			159			119			153			574			157
Modified EBITDA		470			515			454			477			1,916			504
Adjustments		—			—			31			8			39			—
Adjusted EBITDA	$	470		$	515		$	485		$	485		$	1,955		$	504

Statistics for Operated Assets
Gathering and Processing
Consolidated ⁽²⁾
Gathering volumes (Bcf/d)		4.42			4.61			4.41			4.37			4.45			4.33
Plant inlet natural gas volumes (Bcf/d)		1.92			1.79			1.93			1.93			1.89			1.76
NGL production (Mbbls/d)		144			135			144			133			139			133
NGL equity sales (Mbbls/d)		1			1			—			1			1			1
Non-consolidated ⁽³⁾
Gathering volumes (Bcf/d)		6.97			7.03			6.83			6.85			6.92			6.79
Plant inlet natural gas volumes (Bcf/d)		0.77			0.93			0.99			1.01			0.93			0.98
NGL production (Mbbls/d)		54			64			71			69			65			72
NGL equity sales (Mbbls/d)		4			5			4			4			4			3

(1) Excludes certain amounts associated with revenues and operating costs for reimbursable charges.

(2) Includes volumes associated with Susquehanna Supply Hub, the Northeast JV, and Utica Supply Hub, all of which are consolidated.

(3) Includes 100% of the volumes associated with operated equity-method investments, including the Laurel Mountain Midstream partnership and Blue Racer Midstream which we operate effective January 1, 2024; and the Bradford Supply Hub and the Marcellus South Supply Hub within the Appalachia Midstream Services partnership.

West
(UNAUDITED)
	2023															2024
(Dollars in millions)	1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year			1st Qtr
Net gathering, processing, transportation, storage, and fractionation revenues	$	382		$	373		$	371		$	397		$	1,523		$	421
Other fee revenues⁽¹⁾		5			7			4			8			24			8
Commodity margins		(24	)		18			21			19			34			12
Operating and administrative costs ⁽¹⁾		(115	)		(122	)		(122	)		(144	)		(503	)		(139	)
Other segment income (expenses) – net		23			(7	)		(4	)		(14	)		(2	)		—
Proportional Modified EBITDA of equity-method investments		33			43			45			41			162			25
Modified EBITDA		304			312			315			307			1,238			327
Adjustments		(18	)		—			—			16			(2	)		1
Adjusted EBITDA	$	286		$	312		$	315		$	323		$	1,236		$	328

Statistics for Operated Assets
Gathering and Processing
Consolidated ^{(2) (4)}
Gathering volumes (Bcf/d) ⁽³⁾		5.47			5.51			5.60			6.03			6.02			5.75
Plant inlet natural gas volumes (Bcf/d)		0.92			1.06			1.12			1.63			1.54			1.52
NGL production (Mbbls/d)		25			40			61			99			91			87
NGL equity sales (Mbbls/d)		6			16			22			14			14			6
Non-consolidated ⁽⁵⁾
Gathering volumes (Bcf/d)		0.32			0.33			0.33			—			—			—
Plant inlet natural gas volumes (Bcf/d)		0.32			0.32			0.32			—			—			—
NGL production (Mbbls/d)		37			38			38			—			—			—
NGL and Crude Oil Transportation volumes (Mbbls/d) ⁽⁶⁾		161			217			244			250			218			220

(1) Excludes certain amounts associated with revenues and operating costs for reimbursable charges.

(2) Excludes volumes associated with equity-method investments that are not consolidated in our results.

(3) Includes 100% of the volumes associated with the Cureton Acquisition gathering assets after the purchase on November 30, 2023. Average volumes were calculated over the period owned.

(4) Volumes associated with the Rocky Mountain Midstream (RMM) assets for 4th Qtr 2023 and Year 2023 are presented entirely in the Consolidated section. We acquired the remaining 50 percent of RMM on November 30, 2023.

(5) Includes 100% of the volumes associated with operated equity-method investment RMM through 3rd Qtr 2023.

(6) Includes 100% of the volumes associated with Overland Pass Pipeline Company (an operated equity-method investment), RMM (see Note 4 above) as well as volumes for our consolidated Bluestem pipeline.