EX-99.2 3 psx-2016331_erxsuppinfoxex.htm EXHIBIT 99.2 Exhibit
 
 
 
 
 
 
 
 
 
 
 
 
 
Exhibit 99.2
Phillips 66 Earnings Release Supplemental Data

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CONSOLIDATED INCOME STATEMENT
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Revenues and Other Income
 
 
 
 
 
 
 
 
 
 
 
Sales and other operating revenues*
22,778

28,512

25,792

21,893

98,975

 
17,409

 
 
 
17,409

Equity in earnings of affiliates
456

407

583

127

1,573

 
333

 
 
 
333

Net gain on dispositions
122

139

22


283

 

 
 
 

Other income
70

19

20

9

118

 
18

 
 
 
18

Total Revenues and Other Income
23,426

29,077

26,417

22,029

100,949

 
17,760

 
 
 
17,760

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Costs and Expenses
 
 
 
 
 
 
 
 
 
 
 
Purchased crude oil and products
16,695

22,253

18,580

15,871

73,399

 
11,930

 
 
 
11,930

Operating expenses
1,094

1,043

1,083

1,074

4,294

 
1,023

 
 
 
1,023

Selling, general and administrative expenses
394

406

437

433

1,670

 
386

 
 
 
386

Depreciation and amortization
253

274

270

281

1,078

 
280

 
 
 
280

Impairments

2

1

4

7

 

 
 
 

Taxes other than income taxes*
3,462

3,549

3,610

3,456

14,077

 
3,461

 
 
 
3,461

Accretion on discounted liabilities
5

6

5

5

21

 
5

 
 
 
5

Interest and debt expense
86

79

71

74

310

 
86

 
 
 
86

Foreign currency transaction (gains) losses
49


1

(1
)
49

 
(7
)
 
 
 
(7
)
Total Costs and Expenses
22,038

27,612

24,058

21,197

94,905

 
17,164

 
 
 
17,164

Income before income taxes
1,388

1,465

2,359

832

6,044

 
596

 
 
 
596

Provision for income taxes
391

440

767

166

1,764

 
198

 
 
 
198

Net income
997

1,025

1,592

666

4,280

 
398

 
 
 
398

Less: net income attributable to noncontrolling interests
10

13

14

16

53

 
13

 
 
 
13

Net Income Attributable to Phillips 66
987

1,012

1,578

650

4,227

 
385

 
 
 
385

  * Includes excise taxes on petroleum products sales:
3,362

3,463

3,513

3,442

13,780

 
3,360

 
 
 
3,360

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net Income Attributable to Phillips 66 Per Share of Common Stock (dollars)
 
 
 
 
 
 
 
 
 
 
 
  Basic
 
 
 
1.80

1.85

2.92

1.21

7.78

 
0.72

 
 
 
0.72

  Diluted
 
 
 
1.79

1.84

2.90

1.20

7.73

 
0.72

 
 
 
0.72

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average Common Shares Outstanding (in thousands)
 
 
 
 
 
 
 
 
 
 
 
  Basic
 
 
 
548,200

544,617

540,357

536,399

542,355

 
531,739

 
 
 
531,739

  Diluted
 
 
 
552,337

548,926

544,696

540,245

546,977

 
534,709

 
 
 
534,709

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SUMMARY OF INCOME (LOSS) ATTRIBUTABLE TO PHILLIPS 66 BY SEGMENT
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Midstream
67

(78
)
101

(77
)
13

 
65

 
 
 
65

Chemicals
203

295

252

212

962

 
156

 
 
 
156

Refining
538

604

1,003

410

2,555

 
86

 
 
 
86

Marketing and Specialties
304

314

338

231

1,187

 
205

 
 
 
205

Corporate and Other
(125
)
(123
)
(116
)
(126
)
(490
)
 
(127
)
 
 
 
(127
)
Consolidated
987

1,012

1,578

650

4,227

 
385

 
 
 
385

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SUMMARY OF INCOME (LOSS) BEFORE TAXES BY SEGMENT
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Midstream
116

(99
)
173

(43
)
147

 
121

 
 
 
121

Chemicals
291

416

360

248

1,315

 
228

 
 
 
228

Refining
764

932

1,488

475

3,659

 
127

 
 
 
127

Marketing and Specialties
406

410

514

322

1,652

 
315

 
 
 
315

Corporate and Other
(189
)
(194
)
(176
)
(170
)
(729
)
 
(195
)
 
 
 
(195
)
Consolidated
1,388

1,465

2,359

832

6,044

 
596

 
 
 
596

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
EFFECTIVE TAX RATES
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Midstream
32.8
%
37.4
%
32.9
%
(34.9
)%
49.7
%
 
33.9
%
 
 
 
33.9
%
Chemicals
30.2
%
29.1
%
30.0
%
14.5
 %
26.8
%
 
31.6
%
 
 
 
31.6
%
Refining
29.6
%
35.2
%
32.6
%
13.7
 %
30.2
%
 
32.3
%
 
 
 
32.3
%
Marketing and Specialties
25.1
%
23.4
%
34.2
%
28.3
 %
28.1
%
 
34.9
%
 
 
 
34.9
%
Corporate and Other
33.3
%
35.1
%
33.5
%
24.1
 %
31.7
%
 
33.8
%
 
 
 
33.8
%
Consolidated
28.2
%
30.0
%
32.5
%
20.0
 %
29.2
%
 
33.2
%
 
 
 
33.2
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SUMMARY OF ADJUSTED NET INCOME (LOSS) ATTRIBUTABLE TO PHILLIPS 66 BY SEGMENT
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Midstream
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Transportation
65

65

77

78

285

 
72

 
 
 
72

DCP Midstream
(12
)
(25
)
(18
)
(34
)
(89
)
 
(21
)
 
 
 
(21
)
NGL
14

8

32

(2
)
52

 
(11
)
 
 
 
(11
)
Total Midstream
67

48

91

42

248

 
40

 
 
 
40

Chemicals
203

295

272

182

952

 
156

 
 
 
156

Refining
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
75

90

193

97

455

 
4

 
 
 
4

Gulf Coast
71

83

285

147

586

 
68

 
 
 
68

Central Corridor
195

216

372

121

904

 
20

 
 
 
20

West Coast
154

215

202

11

582

 
(6
)
 
 
 
(6
)
Total Refining
495

604

1,052

376

2,527

 
86

 
 
 
86

Marketing and Specialties
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
144

134

291

198

767

 
162

 
 
 
162

Specialties
50

48

53

29

180

 
43

 
 
 
43

Total Marketing and Specialties
194

182

344

227

947

 
205

 
 
 
205

Corporate and Other
(125
)
(127
)
(112
)
(117
)
(481
)
 
(127
)
 
 
 
(127
)
Consolidated
834

1,002

1,647

710

4,193

 
360

 
 
 
360




Page 1


 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SPECIAL ITEMS INCLUDED IN NET INCOME ATTRIBUTABLE TO PHILLIPS 66
(AFTER-TAX)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Midstream
 
 
 
 
 
 
 
 
 
 
 
Asset dispositions


18


18

 

 
 
 

Pending claims and settlements





 
29

 
 
 
29

Impairments by equity affiliates

(126
)
(2
)
(104
)
(232
)
 
(4
)
 
 
 
(4
)
Pension settlement expenses


(6
)

(6
)
 

 
 
 

Certain tax impacts



(15
)
(15
)
 

 
 
 

Total Midstream

(126
)
10

(119
)
(235
)
 
25

 
 
 
25

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Chemicals
 
 
 
 
 
 
 
 
 
 
 
Impairments by equity affiliates


(20
)
(4
)
(24
)
 

 
 
 

Certain tax impacts



34

34

 

 
 
 

Total Chemicals


(20
)
30

10

 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Refining
 
 
 
 
 
 
 
 
 
 
 
Asset dispositions
5




5

 

 
 
 

Pending claims and settlements
38


(19
)

19

 

 
 
 

Lower-of-cost-or-market inventory adjustments



(33
)
(33
)
 

 
 
 

Pension settlement expenses


(30
)
(2
)
(32
)
 

 
 
 

Certain tax impacts



69

69

 

 
 
 

Total Refining
43


(49
)
34

28

 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Marketing and Specialties
 
 
 
 
 
 
 
 
 
 
 
Asset dispositions
110

132



242

 

 
 
 

Pension settlement expenses


(6
)
(1
)
(7
)
 

 
 
 

Certain tax impacts



5

5

 

 
 
 

Total Marketing and Specialties
110

132

(6
)
4

240

 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Corporate and Other
 
 
 
 
 
 
 
 
 
 
 
Pending claims and settlements

4



4

 

 
 
 

Pension settlement expenses


(4
)

(4
)
 

 
 
 

Certain tax impacts



(9
)
(9
)
 

 
 
 

Total Corporate and Other

4

(4
)
(9
)
(9
)
 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Phillips 66
153

10

(69
)
(60
)
34

 
25

 
 
 
25

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
By Business Lines/Regions
 
 
 
 
 
 
 
 
 
 
 
Midstream
 
 
 
 
 
 
 
 
 
 
 
Transportation



3

3

 

 
 
 

DCP Midstream

(126
)
16

(125
)
(235
)
 
25

 
 
 
25

NGL


(6
)
3

(3
)
 

 
 
 

Total Midstream

(126
)
10

(119
)
(235
)
 
25

 
 
 
25

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Refining
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
38


(13
)
89

114

 

 
 
 

Gulf Coast


(16
)
(19
)
(35
)
 

 
 
 

Central Corridor


(12
)
(35
)
(47
)
 

 
 
 

West Coast
5


(8
)
(1
)
(4
)
 

 
 
 

Total Refining
43


(49
)
34

28

 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Marketing and Specialties
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
110

132

(6
)
1

237

 

 
 
 

Specialties



3

3

 

 
 
 

Total Marketing and Specialties
110

132

(6
)
4

240

 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SPECIAL ITEMS INCLUDED IN INCOME BEFORE TAXES
(PRETAX)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Midstream
 
 
 
 
 
 
 
 
 
 
 
Transportation





 

 
 
 

DCP Midstream

(194
)
26

(168
)
(336
)
 
39

 
 
 
39

NGL


(9
)

(9
)
 

 
 
 

Total Midstream

(194
)
17

(168
)
(345
)
 
39

 
 
 
39

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Chemicals


(20
)
(4
)
(24
)
 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Refining
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe


(21
)
(2
)
(23
)
 

 
 
 

Gulf Coast


(26
)
(2
)
(28
)
 

 
 
 

Central Corridor


(18
)
(53
)
(71
)
 

 
 
 

West Coast
8


(14
)

(6
)
 

 
 
 

Total Refining
8


(79
)
(57
)
(128
)
 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Marketing and Specialties
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
110

132

(10
)
(1
)
231

 

 
 
 

Specialties





 

 
 
 

Total Marketing and Specialties
110

132

(10
)
(1
)
231

 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Corporate and Other

5

(7
)
4

2

 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Phillips 66
118

(57
)
(99
)
(226
)
(264
)
 
39

 
 
 
39



Page 2


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CASH FLOW INFORMATION
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Cash Flows From Operating Activities
 
 
 
 
 
 
 
 
 
 
 
Net income
997

1,025

1,592

666

4,280

 
398

 
 
 
398

Depreciation and amortization
253

274

270

281

1,078

 
280

 
 
 
280

Impairments

2

1

4

7

 

 
 
 

Accretion on discounted liabilities
5

6

5

5

21

 
5

 
 
 
5

Deferred taxes
(6
)
(75
)
(44
)
654

529

 
154

 
 
 
154

Undistributed equity earnings
(337
)
662

(308
)
168

185

 
(166
)
 
 
 
(166
)
Net gain on dispositions
(122
)
(139
)
(22
)

(283
)
 

 
 
 

Other
90

4

(24
)
47

117

 
51

 
 
 
51

Net working capital changes
472

(332
)
(33
)
(328
)
(221
)
 
(464
)
 
 
 
(464
)
Net Cash Provided by Operating Activities
1,352

1,427

1,437

1,497

5,713

 
258

 
 
 
258

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash Flows From Investing Activities
 
 
 
 
 
 
 
 
 
 
 
Capital expenditures and investments
(1,081
)
(1,213
)
(992
)
(2,478
)
(5,764
)
 
(750
)
 
 
 
(750
)
Proceeds from asset dispositions*
(9
)
4

73

2

70

 
5

 
 
 
5

Advances/loans—related parties
(50
)



(50
)
 
(75
)
 
 
 
(75
)
Collection of advances/loans—related parties

50



50

 

 
 
 

Other
102

(55
)
(45
)
(46
)
(44
)
 
(42
)
 
 
 
(42
)
Net Cash Used in Investing Activities
(1,038
)
(1,214
)
(964
)
(2,522
)
(5,738
)
 
(862
)
 
 
 
(862
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash Flows From Financing Activities
 
 
 
 
 
 
 
 
 
 
 
Issuance of debt
1,169




1,169

 
50

 
 
 
50

Repayment of debt
(895
)
(9
)
(14
)
(8
)
(926
)
 
(100
)
 
 
 
(100
)
Issuance of common stock
(25
)

(2
)
8

(19
)
 
(31
)
 
 
 
(31
)
Repurchase of common stock
(399
)
(334
)
(373
)
(406
)
(1,512
)
 
(391
)
 
 
 
(391
)
Dividends paid on common stock
(272
)
(302
)
(300
)
(298
)
(1,172
)
 
(296
)
 
 
 
(296
)
Distributions to noncontrolling interests
(6
)
(14
)
(10
)
(16
)
(46
)
 
(11
)
 
 
 
(11
)
Net proceeds from issuance of Phillips 66 Partners LP common units
384




384

 

 
 
 

Other
(14
)
16


3

5

 
(4
)
 
 
 
(4
)
Net Cash Used in Financing Activities
(58
)
(643
)
(699
)
(717
)
(2,117
)
 
(783
)
 
 
 
(783
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Effect of Exchange Rate Changes on Cash and Cash Equivalents
(73
)
129

(41
)
(6
)
9

 
36

 
 
 
36

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net Change in Cash and Cash Equivalents
183

(301
)
(267
)
(1,748
)
(2,133
)
 
(1,351
)
 
 
 
(1,351
)
Cash and cash equivalents at beginning of period
5,207

5,390

5,089

4,822

5,207

 
3,074

 
 
 
3,074

Cash and Cash Equivalents at End of Period
5,390

5,089

4,822

3,074

3,074

 
1,723

 
 
 
1,723

*Includes return of investments in equity affiliates and working capital true-ups on dispositions.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CAPITAL PROGRAM
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Consolidated Capital Expenditures and Investments
 
 
 
 
 
 
 
 
 
 
 
Midstream
769

899

700

2,089

4,457

 
446

 
 
 
446

Chemicals





 

 
 
 

Refining
274

268

233

294

1,069

 
261

 
 
 
261

Marketing and Specialties
24

30

32

36

122

 
15

 
 
 
15

Corporate and Other
14

16

27

59

116

 
28

 
 
 
28

Total Consolidated
1,081

1,213

992

2,478

5,764

 
750

 
 
 
750

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Proportional Share of Select Equity Affiliates Capital Expenditures and Investments*
 
 
 
 
 
 
 
 
 
 
 
DCP Midstream (Midstream)
157

149

71

61

438

 
35

 
 
 
35

CPChem (Chemicals)
249

259

331

480

1,319

 
247

 
 
 
247

WRB Refining (Refining)
35

36

47

57

175

 
37

 
 
 
37

Select Equity Affiliates
441

444

449

598

1,932

 
319

 
 
 
319


 
 
 
 
 
 
 
 
 
 
 
Total Capital Program*
 
 
 
 
 
 
 
 
 
 
 
Midstream
926

1,048

771

2,150

4,895

 
481

 
 
 
481

Chemicals
249

259

331

480

1,319

 
247

 
 
 
247

Refining
309

304

280

351

1,244

 
298

 
 
 
298

Marketing and Specialties
24

30

32

36

122

 
15

 
 
 
15

Corporate and Other
14

16

27

59

116

 
28

 
 
 
28

Total Capital Program
1,522

1,657

1,441

3,076

7,696

 
1,069

 
 
 
1,069

 * Includes Phillips 66’s portion of self-funded capital spending by DCP Midstream, LLC (DCP Midstream), Chevron Phillips Chemical Company LLC (CPChem) and WRB Refining.


Page 3


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
MIDSTREAM
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Midstream Net Income (Loss) Attributable to Phillips 66 ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Transportation
65

65

77

81

288

 
72

 
 
 
72

DCP Midstream
(12
)
(151
)
(2
)
(159
)
(324
)
 
4

 
 
 
4

NGL
14

8

26

1

49

 
(11
)
 
 
 
(11
)
Midstream Net Income (Loss) Attributable to Phillips 66
67

(78
)
101

(77
)
13

 
65

 
 
 
65

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Midstream Income (Loss) before Income Taxes ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Transportation
113

115

129

134

491

 
123

 
 
 
123

DCP Midstream
(17
)
(233
)
(3
)
(210
)
(463
)
 
7

 
 
 
7

NGL
20

19

47

33

119

 
(9
)
 
 
 
(9
)
Midstream Income (Loss) before Income Taxes
116

(99
)
173

(43
)
147

 
121

 
 
 
121

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Midstream Adjusted EBITDA ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Transportation and NGL
143

144

198

188

673

 
144

 
 
 
144

DCP Midstream
56

33

47

34

170

 
44

 
 
 
44

Midstream Adjusted EBITDA
199

177

245

222

843

 
188

 
 
 
188

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and Amortization ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Transportation
25

27

31

31

114

 
30

 
 
 
30

DCP Midstream





 

 
 
 

NGL
1


2

10

13

 
18

 
 
 
18

Total
26

27

33

41

127

 
48

 
 
 
48

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Operating and SG&A Expense ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Transportation
124

117

113

124

478

 
122

 
 
 
122

DCP Midstream


1


1

 
(1
)
 
 
 
(1
)
NGL
32

25

34

36

127

 
45

 
 
 
45

Total
156

142

148

160

606

 
166

 
 
 
166

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Transportation Volumes (MB/D)
 
 
 
 
 
 
 
 
 
 
 
Pipelines*
3,145

3,290

3,239

3,381

3,264

 
3,488

 
 
 
3,488

Terminals**
1,983

1,969

2,021

1,953

1,981

 
2,209

 
 
 
2,209

    * Pipelines represent the sum of volumes transported through each separately tariffed pipeline segment,
 
 
 
 
 
 
 
      including our share of equity volumes in Yellowstone and Lake Charles pipelines.
 
 
 
 
 
 
 
** Terminals include Bayway and Ferndale crude oil rail rack volumes.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PSX Other Volumes
 
 
 
 
 
 
 
 
 
 
 
NGL Fractionated (MB/D)*
108

108

110

123

112

 
161

 
 
 
161

* Excludes DCP Midstream.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
100% DCP Midstream Results
 
 
 
 
 
 
 
 
 
 
 
Net Income Attributable, excludes parent company income tax related to DCP's earnings ($ Millions)*
(37
)
(466
)
(6
)
(433
)
(942
)
 
24

 
 
 
24

* Q4 2015 revised.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and Amortization ($ Millions)
91

94

93

99

377

 
95

 
 
 
95

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Operating and SG&A Expense ($ Millions)
236

240

275

277

1,028

 
245

 
 
 
245

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net Interest Expense ($ Millions)*
76

79

85

80

320

 
79

 
 
 
79

* Net of interest income.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Capital Expenditures and Investments ($ Millions)
314

297

143

121

875

 
69

 
 
 
69

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Selected DCP Volumes and Gross Margin
 
 
 
 
 
 
 
 
 
 
 
by Major Contract Type (excludes current quarter)
 
 
 
 
 
 
 
 
 
 
 
Percentage of Proceeds (long NGL / long Gas)*
 
 
 
 
 
 
 
 
 
 
 
Volume (TBtu/d)
5.6

5.6

5.7

5.6

5.6

 
 **

 
 
 

Gross Margin ($ Millions)
130

125

120

115

490

 
 **

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Keep-whole (long NGL / short Gas)*
 
 
 
 
 
 
 
 
 
 
 
Volume (TBtu/d)
0.3

0.3

0.3

0.2

0.3

 
 **

 
 
 

Gross Margin ($ Millions)
10

10

5

5

30

 
 **

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fee-based Gas (primarily gathering and transport)*
 
 
 
 
 
 
 
 
 
 
 
Volume (TBtu/d)
4.7

4.7

4.9

4.8

4.8

 
 **

 
 
 

Gross Margin ($ Millions)
95

105

110

135

445

 
 **

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fee-based NGL Transport and Fractionation
 
 
 
 
 
 
 
 
 
 
 
Volume (MB/d)
320

339

354

411

356

 
 **

 
 
 

Gross Margin ($ Millions)
36

44

47

58

185

 
 **

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other Gross Margin***
 
 
 
 
 
 
 
 
 
 
 
Gross Margin ($ Millions)
118

94

162

116

490

 
 **

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Throughput (TBtu/d)
7.1

7.0

7.3

7.1

7.1

 
6.9

 
 
 
6.9

NGL Production (MB/d)
399

408

421

410

410

 
382

 
 
 
382

    * Certain volumes earn duplicate revenue streams (i.e. both fee plus processing economics).
 
 
 
 
 
 
 
  ** Pending DCP Midstream release.
 
 
 
 
 
 
 
*** Includes NGL/Propane Marketing, MTM, Condensate Sales, Gas Marketing activity and other items.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Weighted Average NGL Price*
 
 
 
 
 
 
 
 
 
 
 
 
DCP Midstream ($/BBL)
20.57

19.99

17.57

17.66

18.95

 
15.34

 
 
 
15.34

DCP Midstream ($/gal)
0.49

0.48

0.42

0.42

0.45

 
0.37

 
 
 
0.37

* Based on index prices from the Mont Belvieu and Conway market hubs that are weighted by NGL component and location mix.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
MLP Distributions ($ Millions)*
 
 
 
 
 
 
 
 
 
 
 
GP Distribution from PSXP to Phillips 66
6

9

11

14

40

 
16

 
 
 
16

LP Distribution from PSXP to Phillips 66
21

23

25

27

96

 
28

 
 
 
28

GP Distribution from DPM to DCP Midstream***
31

31

31

31

124

 
**

 
 
 

LP Distribution from DPM to DCP Midstream***
19

19

19

19

76

 
**

 
 
 

      * Cash distributions declared attributable to general partner interest, common unit ownership and incentive
 
 
 
 
 
 
 
        distribution rights. These distributions are eliminated in the respective sponsors consolidated financial statements.
 
 
 
 
 
 
 
   ** Pending DCP Midstream release.
 
 
 
 
 
 
 
*** Represents 100 percent of DCP Midstream's distributions from DPM.
 
 
 
 
 
 
 


Page 4


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CHEMICALS
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Chemicals Net Income Attributable to Phillips 66 ($ Millions)
203

295

252

212

962

 
156

 
 
 
156

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Chemicals Adjusted EBITDA ($ Millions)
380

507

473

341

1,701

 
319

 
 
 
319

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
100% CPChem Results
 
 
 
 
 
 
 
 
 
 
 
Net Income (Loss), excludes parent company income tax related to CPChem's earnings ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Olefins and Polyolefins
530

769

737

499

2,535

 
422

 
 
 
422

Specialties, Aromatics and Styrenics
69

93

4

19

185

 
49

 
 
 
49

Corporate and Other
(12
)
(28
)
(11
)
(18
)
(69
)
 
(12
)
 
 
 
(12
)
Total
 
 
 
587

834

730

500

2,651

 
459

 
 
 
459

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income (Loss) before Income Taxes ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Olefins and Polyolefins
542

780

750

510

2,582

 
432

 
 
 
432

Specialties, Aromatics and Styrenics
77

100

10

23

210

 
56

 
 
 
56

Corporate and Other
(12
)
(28
)
(9
)
(18
)
(67
)
 
(12
)
 
 
 
(12
)
Total
 
 
 
607

852

751

515

2,725

 
476

 
 
 
476


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and Amortization ($ Millions)
76

74

75

81

306

 
77

 
 
 
77

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net Interest Expense ($ Millions)*

(1
)
(1
)

(2
)
 

 
 
 

* Net of interest income.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investing Cash Flows ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Capital Expenditures and Investments
498

518

661

960

2,637

 
493

 
 
 
493

Advances to Equity Companies
10

23

22

20

75

 
14

 
 
 
14

Advance Repayments from Equity Companies



(18
)
(18
)
 

 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Externally Marketed Sales Volumes (MM Lbs)*
 
 
 
 
 
 
 
 
 
 
 
Olefins and Polyolefins
4,019

4,258

4,446

4,193

16,916

 
4,002

 
 
 
4,002

Specialties, Aromatics and Styrenics
1,482

1,356

1,259

1,204

5,301

 
1,254

 
 
 
1,254

Total
 
 
 
5,501

5,614

5,705

5,397

22,217

 
5,256

 
 
 
5,256

* Represents 100 percent of CPChem's outside sales of produced petrochemical products, as well as commission sales from equity affiliates.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Olefins and Polyolefins Capacity Utilization (%)
87
%
91
%
94
%
92
%
91
%
 
93
%
 
 
 
93
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Market Indicators*
 
 
 
 
 
 
 
 
 
 
 
U.S. Industry Prices
 
 
 
 
 
 
 
 
 
 
 
Ethylene, Average Acquisition Contract (cents/lb)
38.04

37.88

29.18

24.44

32.39

 
23.95

 
 
 
23.95

HDPE Blow Molding, Domestic Spot (cents/lb)
 
 
 
52.75

58.83

58.42

54.00

56.00

 
47.42

 
 
 
47.42

 
 
 
 
 
 
 
 
 
 
 
 
U.S. Industry Costs
 
 
 
 
 
 
 
 
 
 
 
Ethylene, Cash Cost Weighted Average Feed (cents/lb)
10.25

9.67

9.64

10.91

10.12

 
9.80

 
 
 
9.80

HDPE Blow Molding, Total Cash Cost (cents/lb)
50.97

50.73

41.91

36.90

45.13

 
36.50

 
 
 
36.50

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ethylene to High-Density Polyethylene Chain Cash Margin (cents/lb)
29.57

36.31

36.05

30.63

33.14

 
25.07

 
 
 
25.07

* Source: IHS, Inc.
 
 
 
 
 
 
 
 
 
 
 

Page 5


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
REFINING
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Refining Net Income (Loss) Attributable to Phillips 66 ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
113

90

180

186

569

 
4

 
 
 
4

Gulf Coast
71

83

269

128

551

 
68

 
 
 
68

Central Corridor
195

216

360

86

857

 
20

 
 
 
20

West Coast
159

215

194

10

578

 
(6
)
 
 
 
(6
)
Refining Net Income (Loss) Attributable to Phillips 66
538

604

1,003

410

2,555

 
86

 
 
 
86

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Refining Income (Loss) before Income Taxes ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
108

130

228

88

554

 
3

 
 
 
3

Gulf Coast
109

127

416

237

889

 
107

 
 
 
107

Central Corridor
301

347

546

132

1,326

 
32

 
 
 
32

West Coast
246

328

298

18

890

 
(15
)
 
 
 
(15
)
Refining Income (Loss) before Income Taxes
764

932

1,488

475

3,659

 
127

 
 
 
127

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Refining Adjusted EBITDA ($ Millions)
996

1,176

1,816

786

4,774

 
376

 
 
 
376

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Realized Refining Margins ($/BBL)*
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
9.94

10.45

10.27

7.18

9.39

 
5.79

 
 
 
5.79

Gulf Coast
10.59

7.38

10.72

8.59

9.29

 
6.76

 
 
 
6.76

Central Corridor
13.86

13.49

20.97

11.43

14.88

 
7.41

 
 
 
7.41

West Coast
16.54

19.87

18.29

12.51

16.86

 
9.70

 
 
 
9.70

Worldwide
12.26

11.70

13.96

9.41

11.84

 
7.11

 
 
 
7.11

* Based on total processed inputs and includes proportional share of refining margins contributed by certain equity affiliates. Realized margin excludes special items.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and Amortization ($ Millions)*
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
45

48

51

53

197

 
47

 
 
 
47

Gulf Coast
54

56

57

58

225

 
57

 
 
 
57

Central Corridor
25

25

25

26

101

 
26

 
 
 
26

West Coast
53

54

54

54

215

 
56

 
 
 
56

Total
177

183

187

191

738

 
186

 
 
 
186

* Excludes D&A of all equity affiliates.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Operating and SG&A Expense ($ Millions)*
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
261

287

265

249

1,062

 
236

 
 
 
236

Gulf Coast
386

299

320

296

1,301

 
286

 
 
 
286

Central Corridor
113

108

138

123

482

 
114

 
 
 
114

West Coast
217

244

256

303

1,020

 
250

 
 
 
250

Total
977

938

979

971

3,865

 
886

 
 
 
886

* Excludes Operating and SG&A Expense of all equity affiliates.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Turnaround Expense ($ Millions), included in
 
 
 
 
 
 
 
 
 
Operating and SG&A Expense*
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
36

89

21

15

161

 
26

 
 
 
26

Gulf Coast
114

8

7

16

145

 
23

 
 
 
23

Central Corridor
6

1

10

16

33

 
10

 
 
 
10

West Coast
17

46

31

83

177

 
56

 
 
 
56

Total
173

144

69

130

516

 
115

 
 
 
115

* Excludes Turnaround Expense of all equity affiliates.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Taxes Other than Income Taxes, excluding Excise Taxes ($ Millions)
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
16

14

14

14

58

 
17

 
 
 
17

Gulf Coast
23

18

18

17

76

 
23

 
 
 
23

Central Corridor
11

10

11

10

42

 
13

 
 
 
13

West Coast
23

21

22

20

86

 
22

 
 
 
22

Total
73

63

65

61

262

 
75

 
 
 
75

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign Currency Gains (Losses) After-Tax ($ Millions)
(37
)
3

(1
)
1

(34
)
 
5

 
 
 
5

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Refining—Equity Affiliate Information ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of affiliates
97

140

112

(24
)
325

 
(9
)
 
 
 
(9
)
Less: Share of equity affiliate gross margin included in Realized Refining Margin and other equity affiliate-related costs*
(266
)
(303
)
(298
)
(186
)
(1,053
)
 
(146
)
 
 
 
(146
)
Equity-affiliate-related expenses not included in Realized Refining Margins
(169
)
(163
)
(186
)
(210
)
(728
)
 
(155
)
 
 
 
(155
)
Regional Totals
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
(28
)
(30
)
(19
)
(16
)
(93
)
 
(18
)
 
 
 
(18
)
Gulf Coast
11

3

7

13

34

 
14

 
 
 
14

Central Corridor
(152
)
(136
)
(174
)
(207
)
(669
)
 
(151
)
 
 
 
(151
)
Total
(169
)
(163
)
(186
)
(210
)
(728
)
 
(155
)
 
 
 
(155
)
* Other costs associated with equity affiliates which do not flow through equity earnings.
 
 
 
 
 
 


Page 6


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
REFINING (continued)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Atlantic Basin/Europe*
 
 
 
 
 
 
 
 
 
 
 
Crude Oil Charge Input (MB/D)
514

475

570

596

539

 
577

 
 
 
577

Total Charge Input (MB/D)
567

524

611

627

583

 
607

 
 
 
607

Crude Oil Capacity Utilization (%)
87
%
81
%
97
%
101
%
92
%
 
98
%
 
 
 
98
%
Clean Product Yield (%)
86
%
84
%
84
%
86
%
85
%
 
83
%
 
 
 
83
%
* Includes our proportionate share of a refinery complex in Karlsruhe, Germany.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gulf Coast
 
 
 
 
 
 
 
 
 
 
 
Crude Oil Charge Input (MB/D)
528

662

735

688

654

 
679

 
 
 
679

Total Charge Input (MB/D)
590

738

816

756

726

 
748

 
 
 
748

Crude Oil Capacity Utilization (%)
72
%
90
%
100
%
93
%
89
%
 
91
%
 
 
 
91
%
Clean Product Yield (%)
76
%
79
%
79
%
83
%
79
%
 
79
%
 
 
 
79
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Central Corridor*
 
 
 
 
 
 
 
 
 
 
 
Crude Oil Charge Input (MB/D)
460

495

448

456

465

 
472

 
 
 
472

Total Charge Input (MB/D)
483

512

465

476

484

 
491

 
 
 
491

Crude Oil Capacity Utilization (%)
94
%
101
%
91
%
93
%
95
%
 
96
%
 
 
 
96
%
Clean Product Yield (%)
86
%
90
%
87
%
87
%
88
%
 
88
%
 
 
 
88
%
* Includes our proportionate share of the Borger Refinery and Wood River Refinery.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
West Coast
 
 
 
 
 
 
 
 
 
 
 
Crude Oil Charge Input (MB/D)
327

337

346

312

330

 
323

 
 
 
323

Total Charge Input (MB/D)
357

358

375

343

358

 
351

 
 
 
351

Crude Oil Capacity Utilization (%)
91
%
94
%
96
%
87
%
92
%
 
90
%
 
 
 
90
%
Clean Product Yield (%)
87
%
84
%
86
%
84
%
85
%
 
81
%
 
 
 
81
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
WorldwideIncluding Proportionate Share of Equity Affiliates
 
 
 
 
 
 
 
 
 
 
Crude Oil Charge Input (MB/D)
1,829

1,969

2,099

2,052

1,988

 
2,051

 
 
 
2,051

Total Charge Input (MB/D)
1,997

2,132

2,267

2,202

2,151

 
2,197

 
 
 
2,197

Crude Oil Capacity Utilization (%)
84
%
90
%
96
%
94
%
91
%
 
94
%
 
 
 
94
%
Clean Product Yield (%)
83
%
84
%
83
%
85
%
84
%
 
82
%
 
 
 
82
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Refined Products Production (MB/D)
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe*
 
 
 
 
 
 
 
 
 
 
 
Gasoline
235

224

248

251

239

 
249

 
 
 
249

Distillates
238

200

251

271

240

 
241

 
 
 
241

Other
100

102

115

112

108

 
121

 
 
 
121

Total
573

526

614

634

587

 
611

 
 
 
611

* Includes our proportionate share of a refinery complex in Karlsruhe, Germany.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gulf Coast
 
 
 
 
 
 
 
 
 
 
 
Gasoline
211

289

318

311

283

 
286

 
 
 
286

Distillates
216

271

302

288

270

 
277

 
 
 
277

Other
174

182

206

163

180

 
192

 
 
 
192

Total
601

742

826

762

733

 
755

 
 
 
755

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Central Corridor*
 
 
 
 
 
 
 
 
 
 
 
Gasoline
237

268

234

238

244

 
254

 
 
 
254

Distillates
178

189

169

174

177

 
175

 
 
 
175

Other
72

56

62

66

65

 
65

 
 
 
65

Total
487

513

465

478

486

 
494

 
 
 
494

* Includes our proportionate share of the Borger Refinery and Wood River Refinery.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
West Coast
 
 
 
 
 
 
 
 
 
 
 
Gasoline
169

173

184

160

172

 
161

 
 
 
161

Distillates
140

129

137

129

134

 
123

 
 
 
123

Other
52

54

54

54

53

 
66

 
 
 
66

Total
361

356

375

343

359

 
350

 
 
 
350

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Worldwide—Including Proportionate Share of Equity Affiliates
 
 
 
 
 
 
 
 
 
 
Gasoline
 
 
 
852

954

984

960

938

 
950

 
 
 
950

Distillates
 
 
 
772

789

859

862

821

 
816

 
 
 
816

Other
 
 
 
398

394

437

395

406

 
444

 
 
 
444

Total
 
 
 
2,022

2,137

2,280

2,217

2,165

 
2,210

 
 
 
2,210

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Certain 2015 refined product production and yield information have been recast to conform to the 2016 presentation.
 
 
 
 
 
 


Page 7


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
REFINING (continued)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Market Indicators
 
 
 
 
 
 
 
 
 
 
 
Crude and Crude Differentials ($/BBL)
 
 
 
 
 
 
 
 
 
 
 
WTI
48.55

57.84

46.37

42.10

48.72

 
33.27

 
 
 
33.27

Brent
53.97

61.92

50.26

43.69

52.46

 
33.89

 
 
 
33.89

LLS
52.83

62.95

50.13

43.57

52.37

 
35.14

 
 
 
35.14

ANS
53.68

62.91

51.44

43.79

52.96

 
34.46

 
 
 
34.46

WTI less Maya
4.43

2.52

3.81

7.73

4.62

 
7.21

 
 
 
7.21

WTI less WCS
13.66

9.74

15.06

14.45

13.23

 
13.63

 
 
 
13.63

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Natural Gas ($/MCF)
 
 
 
 
 
 
 
 
 
 
 
 
 
Henry Hub
 
 
 
2.87

2.72

2.74

2.08

2.61

 
1.98

 
 
 
1.98

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Product Margins ($/BBL)
 
 
 
 
 
 
 
 
 
 
 
Atlantic Basin/Europe
 
 
 
 
 
 
 
 
 
 
 
East Coast Gasoline less Brent
9.19

20.92

19.77

11.92

15.45

 
11.54

 
 
 
11.54

East Coast Distillate less Brent
23.22

17.74

15.41

12.49

17.22

 
10.79

 
 
 
10.79

Gulf Coast
 
 
 
 
 
 
 
 
 
 
 
Gulf Coast Gasoline less LLS
9.99

13.31

13.44

7.62

11.09

 
7.81

 
 
 
7.81

Gulf Coast Distillate less LLS
18.03

13.96

13.13

10.45

13.89

 
7.92

 
 
 
7.92

Central Corridor
 
 
 
 
 
 
 
 
 
 
 
Central Gasoline less WTI
14.88

19.90

22.85

13.22

17.71

 
10.24

 
 
 
10.24

Central Distillate less WTI
22.63

18.21

20.40

15.03

19.06

 
11.08

 
 
 
11.08

West Coast
 
 
 
 
 
 
 
 
 
 
 
West Coast Gasoline less ANS
20.21

32.95

38.61

23.82

28.90

 
17.66

 
 
 
17.66

West Coast Distillate less ANS
19.17

18.16

14.84

15.45

16.91

 
11.19

 
 
 
11.19

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Worldwide Market Crack Spread ($/BBL)*
15.26

18.94

19.51

12.77

16.62

 
10.64

 
 
 
10.64

* Weighted average based on Phillips 66 crude capacity.
 
 
 
 
 
 




Page 8


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
MARKETING AND SPECIALTIES
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Marketing and Specialties Net Income Attributable
to Phillips 66 ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
254

266

285

199

1,004

 
162

 
 
 
162

Specialties
50

48

53

32

183

 
43

 
 
 
43

Marketing and Specialties Net Income Attributable to Phillips 66
304

314

338

231

1,187

 
205

 
 
 
205

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Marketing and Specialties Income before Income Taxes ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
325

335

430

276

1,366

 
246

 
 
 
246

Specialties
81

75

84

46

286

 
69

 
 
 
69

Marketing and Specialties Income before Income Taxes
406

410

514

322

1,652

 
315

 
 
 
315

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Marketing and Specialties Adjusted EBITDA ($ Millions)
320

299

549

348

1,516

 
340

 
 
 
340

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Realized Marketing Fuel Margin ($/BBL)*
 
 
 
 
 
 
 
 
 
 
 
U.S.
1.46

1.46

2.26

1.37

1.65

 
1.83

 
 
 
1.83

International
3.85

2.98

5.94

4.74

4.40

 
3.16

 
 
 
3.16

* On third-party petroleum products sales.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Realized Margins not included in Marketing Fuel Margin ($ Millions)*
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
165

158

159

125

607

 
123

 
 
 
123

Specialties
122

117

122

92

453

 
112

 
 
 
112

Total
287

275

281

217

1,060

 
235

 
 
 
235

* Excludes Gain on Dispositions and Excise Tax Income.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Depreciation and Amortization ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
19

19

20

21

79

 
20

 
 
 
20

Specialties
5

4

5

4

18

 
5

 
 
 
5

Total
24

23

25

25

97

 
25

 
 
 
25

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Operating and SG&A Expense ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Marketing and Other
254

270

292

267

1,083

 
244

 
 
 
244

Specialties
34

35

34

38

141

 
35

 
 
 
35

Total
288

305

326

305

1,224

 
279

 
 
 
279

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Marketing Petroleum Products Sales (MB/D)
 
 
 
 
 
 
 
 
 
 
 
U.S. Marketing
 
 
 
 
 
 
 
 
 
 
 
Gasoline
974

1,174

1,158

1,143

1,113

 
1,086

 
 
 
1,086

Distillates
 
 
 
689

775

792

788

761

 
706

 
 
 
706

Other
 
 
 





 

 
 
 

Total
 
 
 
1,663

1,949

1,950

1,931

1,874

 
1,792

 
 
 
1,792

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
International Marketing
 
 
 
 
 
 
 
 
 
 
 
Gasoline
 
 
 
88

94

95

93

92

 
90

 
 
 
90

Distillates
 
 
 
193

185

193

194

192

 
197

 
 
 
197

Other
 
 
 
16

14

15

18

16

 
15

 
 
 
15

Total
 
 
 
297

293

303

305

300

 
302

 
 
 
302

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Worldwide Marketing
 
 
 
 
 
 
 
 
 
 
 
Gasoline
 
 
 
1,062

1,268

1,253

1,236

1,205

 
1,176

 
 
 
1,176

Distillates
 
 
 
882

960

985

982

953

 
903

 
 
 
903

Other
 
 
 
16

14

15

18

16

 
15

 
 
 
15

Total
 
 
 
1,960

2,242

2,253

2,236

2,174

 
2,094

 
 
 
2,094

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign Currency Gains (Losses) After-Tax ($ Millions)
(1
)
(3
)


(4
)
 
(1
)
 
 
 
(1
)


Page 9


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CORPORATE AND OTHER
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2015
 
2016
 
 
 
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Corporate and Other Net Income (Loss) Attributable to Phillips 66 ($ Millions)
(125
)
(123
)
(116
)
(126
)
(490
)
 
(127
)
 
 
 
(127
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Detail of Net Income (Loss) Attributable to Phillips 66 ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Net interest expense
(53
)
(46
)
(43
)
(44
)
(186
)
 
(54
)
 
 
 
(54
)
Corporate overhead
(45
)
(36
)
(37
)
(39
)
(157
)
 
(42
)
 
 
 
(42
)
Technology
(14
)
(15
)
(15
)
(16
)
(60
)
 
(14
)
 
 
 
(14
)
Other
(13
)
(26
)
(21
)
(27
)
(87
)
 
(17
)
 
 
 
(17
)
Total
(125
)
(123
)
(116
)
(126
)
(490
)
 
(127
)
 
 
 
(127
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Before-Tax Net Interest Expense ($ Millions)
 
 
 
 
 
 
 
 
 
 
 
Interest expense
(102
)
(105
)
(105
)
(104
)
(416
)
 
(105
)
 
 
 
(105
)
Capitalized interest
16

26

34

30

106

 
19

 
 
 
19

Interest revenue
5

9

5

6

25

 
4

 
 
 
4

Premium on early debt retirement





 
(1
)
 
 
 
(1
)
Total
(81
)
(70
)
(66
)
(68
)
(285
)
 
(83
)
 
 
 
(83
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign Currency Gains (Losses) After-Tax ($ Millions)





 
1

 
 
 
1

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Phillips 66 Total Company Debt
 
 
 
 
 
 
 
 
 
 
 
Total Debt ($ Millions)
8,892

8,909

8,897

8,887

8,887

 
8,835

 
 
 
8,835

Debt-to-Capital Ratio (%)
28
%
28
%
27
%
27
%
27
%
 
27
%
 
 
 
27
%
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Equity ($ Millions)
22,595

23,223

24,032

23,938

23,938

 
23,643

 
 
 
23,643



Page 10


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
NON-GAAP FINANCIAL MEASURES RECONCILIATION
 
 
 
 
 
 
 
 
 
Millions of Dollars
 
 
 
 
2015
 
2016
 
1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

YTD

 
1st Qtr

2nd Qtr
3rd Qtr
4th Qtr
YTD

Reconciliation of Midstream Net Income to Adjusted EBITDA
 
 
 
 
 
 
 
 
 
 
 
Midstream net income
78

(62
)
116

(58
)
74

 
80

 
 
 
80

Plus:
 
 
 
 
 
 
 
 
 
 
 
 
 


Provision for income taxes
38

(37
)
57

15

73

 
41

 
 
 
41

Depreciation and amortization
26

27

33

41

127

 
48

 
 
 
48

Midstream EBITDA
142

(72
)
206

(2
)
274

 
169

 
 
 
169

 
 
 
 
 
 
 
 
 
 
 
 
Adjustments (pretax):
 
 
 
 
 
 
 
 
 
 
 
EBITDA attributable to Phillips 66 noncontrolling interests
(16
)
(17
)
(20
)
(20
)
(73
)
 
(18
)
 
 
 
(18
)
Proportional share of selected equity affiliates income taxes
1

(2
)

(1
)
(2
)
 
1

 
 
 
1

Proportional share of selected equity affiliates net interest
32

33

34

34

133

 
32

 
 
 
32

Proportional share of selected equity affiliates depreciation and amortization
40

41

42

43

166

 
43

 
 
 
43

Pending claims and settlements





 
(45
)
 
 
 
(45
)
Impairments by equity affiliates

194

4

168

366

 
6

 
 
 
6

Asset disposition


(30
)

(30
)
 

 
 
 

Pension settlement expenses


9


9

 

 
 
 

Midstream Adjusted EBITDA*
199

177

245

222

843

 
188

 
 
 
188

* Proportional share of selected equity affiliates is net of noncontrolling interests.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
MIDSTREAM ADJUSTED EBITDA BY BUSINESS LINE
 
 
 
 
 
 
 
 
 
 
 
Transportation and NGL
 
 
 
 
 
 
 
 
 
 
 
Transportation and NGL net income
90

89

118

101

398

 
76

 
 
 
76

Plus:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for income taxes
43

45

58

66

212

 
38

 
 
 
38

Depreciation and amortization
26

27

33

41

127

 
48

 
 
 
48

Transportation and NGL EBITDA
159

161

209

208

737

 
162

 
 
 
162

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Adjustments (pretax):
 
 
 
 
 
 
 
 
 
 
 
EBITDA attributable to Phillips 66 noncontrolling interests
(16
)
(17
)
(20
)
(20
)
(73
)
 
(18
)
 
 
 
(18
)
Pension settlement expenses


9


9

 

 
 
 

Transportation and NGL Adjusted EBITDA
143

144

198

188

673

 
144

 
 
 
144

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
DCP Midstream
 
 
 
 
 
 
 
 
 
 
 
DCP Midstream net income
(12
)
(151
)
(2
)
(159
)
(324
)
 
4

 
 
 
4

Plus:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for income taxes
(5
)
(82
)
(1
)
(51
)
(139
)
 
3

 
 
 
3

DCP Midstream EBITDA
(17
)
(233
)
(3
)
(210
)
(463
)
 
7

 
 
 
7

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Adjustments (pretax):
 
 
 
 
 
 
 
 
 
 
 
Proportional share of selected equity affiliates income taxes
1

(2
)

(1
)
(2
)
 
1

 
 
 
1

Proportional share of selected equity affiliates net interest
32

33

34

34

133

 
32

 
 
 
32

Proportional share of selected equity affiliates depreciation and amortization
40

41

42

43

166

 
43

 
 
 
43

Pending claims and settlements





 
(45
)
 
 
 
(45
)
Impairments by equity affiliates

194

4

168

366

 
6

 
 
 
6

Asset disposition


(30
)

(30
)
 

 
 
 

DCP Midstream Adjusted EBITDA*
56

33

47

34

170

 
44

 
 
 
44

* Proportional share of selected equity affiliates is net of noncontrolling interests.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Reconciliation of Chemicals Net Income to Adjusted EBITDA
 
 
 
 
 
 
 
 
 
 
 
Chemicals net income
203

295

252

212

962

 
156

 
 
 
156

Plus:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for income taxes
88

121

108

36

353

 
72

 
 
 
72

Chemicals EBITDA
291

416

360

248

1,315

 
228

 
 
 
228

 
 
 
 
 
 
 
 
 
 
 
 
Adjustments (pretax):
 
 
 
 
 
 
 
 
 
 
 
Proportional share of selected equity affiliates income taxes
22

25

26

18

91

 
18

 
 
 
18

Proportional share of selected equity affiliates net interest
2

1

2

2

7

 
2

 
 
 
2

Proportional share of selected equity affiliates depreciation and amortization
65

65

65

69

264

 
71

 
 
 
71

Impairments by equity affiliates


20

4

24

 

 
 
 

Chemicals Adjusted EBITDA
380

507

473

341

1,701

 
319

 
 
 
319

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Reconciliation of Refining Net Income to Adjusted EBITDA
 
 
 
 
 
 
 
 
 
 
 
Refining net income
538

604

1,003

410

2,555

 
86

 
 
 
86

Plus:
 
 
 
 
 
 
 
 
 
 
 
 
 


Provision for income taxes
226

328

485

65

1,104

 
41

 
 
 
41

Depreciation and amortization
177

183

187

191

738

 
186

 
 
 
186

Refining EBITDA
941

1,115

1,675

666

4,397

 
313

 
 
 
313

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Adjustments (pretax):
 
 
 
 
 
 
 
 
 
 
 
Proportional share of selected equity affiliates income taxes

(2
)

(1
)
(3
)
 

 
 
 

Proportional share of selected equity affiliates net interest





 

 
 
 

Proportional share of selected equity affiliates depreciation and amortization
63

63

62

64

252

 
63

 
 
 
63

Asset dispositions
(8
)



(8
)
 

 
 
 

Pending claims and settlements


30


30

 

 
 
 

Lower-of-cost-or-market inventory adjustments



53

53

 

 
 
 

Pension settlement expenses


49

4

53

 

 
 
 

Refining Adjusted EBITDA
996

1,176

1,816

786

4,774

 
376

 
 
 
376

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Reconciliation of Marketing and Specialties Net Income to Adjusted EBITDA
 
 
 
 
 
 
 
 
 
 
 
Marketing and Specialties net income
304

314

338

231

1,187

 
205

 
 
 
205

Plus:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for income taxes
102

96

176

91

465

 
110

 
 
 
110

Interest revenue

(2
)


(2
)
 

 
 
 

Depreciation and amortization
24

23

25

25

97

 
25

 
 
 
25

Marketing and Specialties EBITDA
430

431

539

347

1,747

 
340

 
 
 
340

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Adjustments (pretax):
 
 
 
 
 
 
 
 
 
 
 
Asset dispositions
(110
)
(132
)


(242
)
 

 
 
 

Pension settlement expenses


10

1

11

 

 
 
 

Marketing and Specialties Adjusted EBITDA
320

299

549

348

1,516

 
340

 
 
 
340

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Reconciliation of Phillips 66 Net Income to Adjusted EBITDA
 
 
 
 
 
 
 
 
 
 
 
Net income
997

1,025

1,592

666

4,280

 
398

 
 
 
398

Plus:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Provision for income taxes
391

440

767

166

1,764

 
198

 
 
 
198

Net interest expense
81

67

66

69

283

 
83

 
 
 
83

Depreciation and amortization
253

274

270

281

1,078

 
280

 
 
 
280

Phillips 66 EBITDA
1,722

1,806

2,695

1,182

7,405

 
959

 
 
 
959

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Adjustments (pretax):
 
 
 
 
 
 
 
 
 
 
 
EBITDA attributable to Phillips 66 noncontrolling interests
(16
)
(17
)
(20
)
(20
)
(73
)
 
(18
)
 
 
 
(18
)
Proportional share of selected equity affiliates income taxes
23

21

26

16

86

 
19

 
 
 
19

Proportional share of selected equity affiliates net interest
34

34

36

36

140

 
34

 
 
 
34

Proportional share of selected equity affiliates depreciation and amortization
168

169

169

176

682

 
177

 
 
 
177

Asset dispositions
(118
)
(132
)
(30
)

(280
)
 

 
 
 

Impairments by equity affiliates

194

24

172

390

 
6

 
 
 
6

Pending claims and settlements


30


30

 
(45
)
 
 
 
(45
)
Lower-of-cost-or-market inventory adjustments



53

53

 

 
 
 

Pension settlement expenses


75

5

80

 

 
 
 

Phillips 66 Adjusted EBITDA
1,813

2,075

3,005

1,620

8,513

 
1,132

 
 
 
1,132

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Use of Non-GAAP Financial Information—This earnings release supplemental data includes the terms EBITDA and adjusted EBITDA. These are non-GAAP financial measures. EBITDA and adjusted EBITDA are included to help facilitate comparisons of operating performance across periods, to help facilitate comparisons with other companies in our industry and to help facilitate determination of enterprise value. The GAAP measure most directly comparable to EBITDA and adjusted EBITDA is net income.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

Page 11