UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
For the quarterly period ended
OR
For the transition period from ________________to________________
Commission File No.:
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As of May 9, 2022,
TABLE OF CONTENTS
Page | ||
ALLIANCE RESOURCE PARTNERS, L.P. AND SUBSIDIARIES | ||
Condensed Consolidated Balance Sheets as of March 31, 2022 and December 31, 2021 | 1 | |
Condensed Consolidated Statements of Income for the three months ended March 31, 2022 and 2021 | 2 | |
3 | ||
Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2022 and 2021 | 4 | |
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Management's Discussion and Analysis of Financial Condition and Results of Operations | 22 | |
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33 | ||
35 | ||
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36 |
i
PART I
FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
ALLIANCE RESOURCE PARTNERS, L.P. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except unit data)
(Unaudited)
March 31, | December 31, | ||||||
2022 |
| 2021 | |||||
ASSETS |
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CURRENT ASSETS: | |||||||
Cash and cash equivalents | $ | | $ | | |||
Trade receivables |
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Other receivables |
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Inventories, net |
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Advance royalties |
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Prepaid expenses and other assets |
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Total current assets |
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PROPERTY, PLANT AND EQUIPMENT: | |||||||
Property, plant and equipment, at cost |
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Less accumulated depreciation, depletion and amortization |
| ( |
| ( | |||
Total property, plant and equipment, net |
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OTHER ASSETS: | |||||||
Advance royalties |
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Equity method investments |
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Goodwill | | | |||||
Operating lease right-of-use assets | | | |||||
Other long-term assets |
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Total other assets |
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TOTAL ASSETS | $ | | $ | | |||
LIABILITIES AND PARTNERS' CAPITAL | |||||||
CURRENT LIABILITIES: | |||||||
Accounts payable | $ | | $ | | |||
Accrued taxes other than income taxes |
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Accrued payroll and related expenses |
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Accrued interest |
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Workers' compensation and pneumoconiosis benefits |
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Current finance lease obligations |
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Current operating lease obligations |
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Other current liabilities |
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Current maturities, long-term debt, net |
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Total current liabilities |
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LONG-TERM LIABILITIES: | |||||||
Long-term debt, excluding current maturities, net |
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Pneumoconiosis benefits |
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Accrued pension benefit |
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Workers' compensation |
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Asset retirement obligations |
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Long-term finance lease obligations |
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Long-term operating lease obligations |
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Deferred income tax liabilities |
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Other liabilities |
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Total long-term liabilities |
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Total liabilities |
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COMMITMENTS AND CONTINGENCIES - (NOTE 3) | |||||||
PARTNERS' CAPITAL: | |||||||
ARLP Partners' Capital: | |||||||
Limited Partners - Common Unitholders |
| |
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Accumulated other comprehensive loss |
| ( |
| ( | |||
Total ARLP Partners' Capital |
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Noncontrolling interest | | | |||||
Total Partners' Capital | | | |||||
TOTAL LIABILITIES AND PARTNERS' CAPITAL | $ | | $ | |
See notes to condensed consolidated financial statements.
1
ALLIANCE RESOURCE PARTNERS, L.P. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except unit and per unit data)
(Unaudited)
Three Months Ended | |||||||
March 31, | |||||||
| 2022 |
| 2021 |
| |||
SALES AND OPERATING REVENUES: | |||||||
Coal sales | $ | | $ | | |||
Oil & gas royalties | | | |||||
Transportation revenues |
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Other revenues |
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Total revenues |
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EXPENSES: | |||||||
Operating expenses (excluding depreciation, depletion and amortization) |
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Transportation expenses |
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General and administrative |
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Depreciation, depletion and amortization |
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Total operating expenses |
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INCOME FROM OPERATIONS |
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Interest expense (net of interest capitalized for the three months ended March 31, 2022 and 2021 of $ |
| ( |
| ( | |||
Interest income |
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| | |||
Equity method investment income |
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Other income (expense) |
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| ( | |||
INCOME BEFORE INCOME TAXES |
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INCOME TAX EXPENSE (BENEFIT) |
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| ( | |||
NET INCOME | | | |||||
LESS: NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST |
| ( |
| ( | |||
NET INCOME ATTRIBUTABLE TO ARLP | $ | | $ | | |||
EARNINGS PER LIMITED PARTNER UNIT - BASIC AND DILUTED | $ | | $ | | |||
WEIGHTED-AVERAGE NUMBER OF UNITS OUTSTANDING – BASIC AND DILUTED |
| |
| |
See notes to condensed consolidated financial statements.
2
ALLIANCE RESOURCE PARTNERS, L.P. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In thousands)
(Unaudited)
Three Months Ended | |||||||
March 31, | |||||||
| 2022 |
| 2021 |
| |||
NET INCOME | $ | | $ | | |||
OTHER COMPREHENSIVE INCOME: | |||||||
Defined benefit pension plan | |||||||
Amortization of prior service cost (1) | | | |||||
Amortization of net actuarial loss (1) |
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Total defined benefit pension plan adjustments |
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Pneumoconiosis benefits | |||||||
Amortization of net actuarial loss (1) |
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Total pneumoconiosis benefits adjustments |
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OTHER COMPREHENSIVE INCOME |
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COMPREHENSIVE INCOME | | | |||||
Less: Comprehensive income attributable to noncontrolling interest | ( | ( | |||||
COMPREHENSIVE INCOME ATTRIBUTABLE TO ARLP | $ | | $ | |
(1) | Amortization of prior service cost and net actuarial gain or loss is included in the computation of net periodic benefit cost (see Notes 13 and 15 for additional details). |
See notes to condensed consolidated financial statements.
3
ALLIANCE RESOURCE PARTNERS, L.P. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
Three Months Ended | |||||||
March 31, | |||||||
| 2022 |
| 2021 |
| |||
CASH FLOWS FROM OPERATING ACTIVITIES | $ | | $ | | |||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||
Property, plant and equipment: | |||||||
Capital expenditures |
| ( |
| ( | |||
Increase in accounts payable and accrued liabilities |
| |
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Proceeds from sale of property, plant and equipment |
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Distributions received from investments in excess of cumulative earnings | |
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Other |
| ( |
| — | |||
Net cash used in investing activities |
| ( |
| ( | |||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||
Payments under securitization facility | — |
| ( | ||||
Payments on equipment financings | ( |
| ( | ||||
Borrowings under revolving credit facilities |
| — |
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Payments under revolving credit facilities |
| — |
| ( | |||
Borrowings from line of credit |
| — |
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Payments on finance lease obligations |
| ( |
| ( | |||
Payment of debt issuance costs |
| — |
| ( | |||
Distributions paid to Partners | ( |
| — | ||||
Other |
| ( |
| ( | |||
Net cash used in financing activities |
| ( |
| ( | |||
NET CHANGE IN CASH AND CASH EQUIVALENTS |
| |
| ( | |||
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD |
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CASH AND CASH EQUIVALENTS AT END OF PERIOD | $ | | $ | | |||
SUPPLEMENTAL CASH FLOW INFORMATION: | |||||||
Cash paid for interest | $ | | $ | | |||
SUPPLEMENTAL NON-CASH ACTIVITY: | |||||||
Accounts payable for purchase of property, plant and equipment | $ | | $ | | |||
Right-of-use assets acquired by operating lease | $ | | $ | — |
See notes to condensed consolidated financial statements.
4
ALLIANCE RESOURCE PARTNERS, L.P. AND SUBSIDIARIES
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
1.ORGANIZATION AND PRESENTATION
Significant Relationships Referenced in Notes to Condensed Consolidated Financial Statements
● | References to "we," "us," "our" or "ARLP Partnership" mean the business and operations of Alliance Resource Partners, L.P., the parent company, as well as its consolidated subsidiaries. |
● | References to "ARLP" mean Alliance Resource Partners, L.P., individually as the parent company, and not on a consolidated basis. |
● | References to "MGP" mean Alliance Resource Management GP, LLC, ARLP's general partner. |
● | References to "Mr. Craft" mean Joseph W. Craft III, the Chairman, President and Chief Executive Officer of MGP. |
● | References to "Intermediate Partnership" mean Alliance Resource Operating Partners, L.P., the intermediate partnership of Alliance Resource Partners, L.P. |
● | References to "Alliance Coal" mean Alliance Coal, LLC, the holding company for our coal mining operations. |
● | References to "Alliance Minerals" mean Alliance Minerals, LLC, the holding company for our oil and gas mineral interests. |
● | References to "Alliance Resource Properties" mean Alliance Resource Properties, LLC, the land holding company for certain of our coal mineral interests, including the subsidiaries of Alliance Resource Properties, LLC. |
Organization
ARLP is a Delaware limited partnership listed on the NASDAQ Global Select Market under the ticker symbol "ARLP." ARLP was formed in May 1999 and completed its initial public offering on August 19, 1999 when it acquired substantially all of the coal production and marketing assets of Alliance Resource Holdings, Inc., a Delaware corporation, and its subsidiaries. We are managed by our general partner, MGP, a Delaware limited liability company which holds a non-economic general partner interest in ARLP.
Change in Tax Status
On March 15, 2022, Alliance Minerals changed its federal income tax status from a pass-through entity to a taxable entity via a "check the box" election (the "Tax Election"), which became effective January 1, 2022. This election for Alliance Minerals is anticipated to reduce the total income tax burden on our oil & gas royalties, as Alliance Minerals will pay entity-level taxes at corporate tax rates that are well below individual tax rates that would otherwise be paid by our unitholders. For more information on the Tax Election please see Note 7 – Income Taxes.
Basis of Presentation
The accompanying condensed consolidated financial statements include the accounts and operations of the ARLP Partnership and present our financial position as of March 31, 2022 and December 31, 2021 and the results of our operations, comprehensive income and cash flows for the three months ended March 31, 2022 and 2021. All intercompany transactions and accounts have been eliminated.
These condensed consolidated financial statements and notes are prepared pursuant to the rules and regulations of the Securities and Exchange Commission for interim reporting and do not include all the information normally included with financial statements prepared in accordance with generally accepted accounting principles ("GAAP") of the United States. These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2021.
5
These condensed consolidated financial statements and notes are unaudited. However, in the opinion of management, these condensed consolidated financial statements reflect all normal recurring adjustments necessary for a fair presentation of the results for the periods presented. Results for interim periods are not necessarily indicative of results to be expected for the full year ending December 31, 2022.
Use of Estimates
The preparation of the ARLP Partnership's condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts and disclosures in our condensed consolidated financial statements. Actual results could differ from those estimates.
Income Taxes
We are not a taxable entity for federal or state income tax purposes; the tax effect of our activities accrues to our unitholders. Although publicly traded partnerships as a general rule are taxed as corporations, we qualify for an exemption because at least 90% of our income consists of qualifying income, as defined in Section 7704(c) of the Internal Revenue Code. Net income for financial statement purposes may differ significantly from taxable income reportable to unitholders as a result of differences between the tax basis and financial reporting basis of assets and liabilities and the taxable income allocation requirements under our partnership agreement. Individual unitholders have different investment bases depending upon the timing and price of acquisition of their partnership units. Furthermore, each unitholder's tax accounting, which is partially dependent upon the unitholder's tax position, differs from the accounting followed in our consolidated financial statements. Accordingly, the aggregate difference in the basis of our net assets for financial and tax reporting purposes cannot be readily determined because information regarding each unitholder's tax attributes in our partnership is not available to us.
Our subsidiary Alliance Minerals within our Oil & Gas Royalties segment and certain other subsidiaries within our Other, Corporate and Elimination category are subject to federal and state income taxes. We use the liability method of accounting for income taxes, under which deferred tax assets and liabilities are recognized for the future tax consequences of (i) temporary differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities and (ii) operating losses and tax credit carryforwards. Deferred income tax assets and liabilities are based on enacted rates applicable to the future period when those temporary differences are expected to be recovered or settled. The effect of a change in tax status or a change in tax rates on deferred tax assets and liabilities is recognized in the period the change in status is elected or rate change is enacted. A valuation allowance is provided for deferred tax assets when it is more likely than not the deferred tax assets will not be realized.
2.NEW ACCOUNTING STANDARDS
New Accounting Standards Issued and Adopted
In November 2021, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2021-10, Government Assistance (Topic 832): Disclosures by Business Entities about Government Assistance ("ASU 2021-10"). ASU 2021-10 increases the transparency of government assistance including the disclosure of (1) the types of assistance, (2) an entity’s accounting for the assistance, and (3) the effect of the assistance on an entity’s financial statements. We adopted ASU 2021-10 on January 1, 2022. The adoption of ASU 2021-10 did not have a material impact on our condensed consolidated financial statements.
3.CONTINGENCIES
We are party to litigation that has been initiated against certain of our subsidiaries in which the plaintiffs allege violations of the Fair Labor Standards Act and Kentucky Wage and Hour Act due to an alleged failure to compensate for time "donning" and "doffing" equipment and to account for certain bonuses in the calculation of overtime rates and pay. The plaintiffs seek class or collective action certification. Because the litigation of these matters is in the early stages, we cannot reasonably estimate a range of potential exposure at this time. We believe the plaintiffs’ claims are without merit and our ultimate exposure, if any, will not be material to our results of operations or financial position and we intend to defend the litigation vigorously. However, if our current belief that the claims are without merit is not upheld, it is reasonably possible that the ultimate resolution of these matters could result in a potential loss that may be material to our results of operations.
6
We also have various other lawsuits, claims and regulatory proceedings incidental to our business that are pending against the ARLP Partnership. We record an accrual for a potential loss related to these matters when, in management's opinion, such loss is probable and reasonably estimable. Based on known facts and circumstances, we believe the ultimate outcome of these outstanding lawsuits, claims and regulatory proceedings will not have a material adverse effect on our financial condition, results of operations or liquidity. However, if the results of these matters are different from management's current expectations and in amounts greater than our accruals, such matters could have a material adverse effect on our business and operations.
4.INVENTORIES
Inventories consist of the following:
| March 31, | December 31, | |||||
2022 |
| 2021 |
| ||||
(in thousands) | |||||||
Coal | $ | | $ | | |||
Supplies (net of reserve for obsolescence of $ |
| |
| | |||
Total inventories, net | $ | | $ | |
5.FAIR VALUE MEASUREMENTS
The following table summarizes our fair value measurements within the hierarchy not included elsewhere in these notes:
March 31, 2022 | December 31, 2021 | ||||||||||||||||||
| Level 1 |
| Level 2 |
| Level 3 |
| Level 1 |
| Level 2 |
| Level 3 |
| |||||||
(in thousands) | |||||||||||||||||||
Long-term debt | $ | — | $ | | $ | — | $ | — | $ | | $ | — | |||||||
Total | $ | — | $ | | $ | — | $ | — | $ | | $ | — |
The carrying amounts for cash equivalents, accounts receivable, accounts payable, accrued and other liabilities approximate fair value due to the short maturity of those instruments.
The estimated fair value of our long-term debt, including current maturities, is based on interest rates that we believe are currently available to us in active markets for issuance of debt with similar terms and remaining maturities (See Note 6 – Long-Term Debt). The fair value of debt, which is based upon these interest rates, is classified as a Level 2 measurement under the fair value hierarchy.
7
6.LONG-TERM DEBT
Long-term debt consists of the following:
Unamortized Discount and | |||||||||||||
Principal | Debt Issuance Costs | ||||||||||||
March 31, | December 31, | March 31, | December 31, | ||||||||||
| 2022 |
| 2021 |
| 2022 |
| 2021 |
| |||||
(in thousands) | |||||||||||||
Revolving credit facility | $ | — | $ | — | $ | ( | $ | ( | |||||
Senior notes |
| |
| |
| ( |
| ( | |||||
Securitization facility | — | — | — | — | |||||||||
May 2019 equipment financing | | | — | — | |||||||||
November 2019 equipment financing | | | — | — | |||||||||
June 2020 equipment financing | | | — | — | |||||||||
| |
| |
| ( |
| ( | ||||||
Less current maturities |
| ( |
| ( |
| — |
| — | |||||
Total long-term debt | $ | | $ | | $ | ( | $ | ( |
Credit Facility. On March 9, 2020, our Intermediate Partnership entered into a Fifth Amended and Restated Credit Agreement (the "Credit Agreement") with various financial institutions. The Credit Agreement provides for a $
The Credit Agreement is guaranteed by certain of our Intermediate Partnership's material direct and indirect subsidiaries (the "Restricted Subsidiaries") and is secured by substantially all the assets of the Restricted Subsidiaries. The Credit Agreement is also guaranteed by Alliance Minerals but the oil and gas mineral assets of Alliance Minerals and its direct and indirect subsidiaries (collectively with Alliance Minerals, the "Unrestricted Subsidiaries") are not collateral under the Credit Agreement. Borrowings under the Revolving Credit Facility bear interest, at our option, at either (i) the Base Rate at the greater of three benchmarks or (ii) a Eurodollar Rate, plus margins for (i) or (ii), as applicable, that fluctuate depending upon the ratio of Consolidated Debt to Consolidated Cash Flow (each as defined in the Credit Agreement). The Eurodollar Rate, with applicable margin, under the Revolving Credit Facility was
The Credit Agreement contains various restrictions affecting the Intermediate Partnership and its Restricted Subsidiaries including, among other things, restrictions on incurrence of additional indebtedness and liens, sale of assets, investments, mergers and consolidations and transactions with affiliates, including transactions with Unrestricted Subsidiaries. In each case, these restrictions are subject to various exceptions. In addition, the payment of cash distributions is restricted if such payment would result in a fixed charge coverage ratio of less than
Senior Notes. On April 24, 2017, the Intermediate Partnership and Alliance Resource Finance Corporation (as co-issuer), a wholly owned subsidiary of the Intermediate Partnership ("Alliance Finance"), issued an aggregate principal amount of $
8
things, the incurrence of debt, the payment of distributions or similar restricted payments, undertaking transactions with affiliates and limitations on asset sales. The issuers of the Senior Notes may redeem all or a part of the notes at any time at redemption prices set forth in the indenture governing the Senior Notes.
Accounts Receivable Securitization. On December 5, 2014, certain direct and indirect wholly owned subsidiaries of our Intermediate Partnership entered into a $
May 2019 Equipment Financing. On May 17, 2019, the Intermediate Partnership entered into an equipment financing arrangement accounted for as debt, wherein the Intermediate Partnership received $
November 2019 Equipment Financing. On November 6, 2019, the Intermediate Partnership entered into an equipment financing arrangement accounted for as debt, wherein the Intermediate Partnership received $
June 2020 Equipment Financing. On June 5, 2020, the Intermediate Partnership entered into an equipment financing arrangement accounted for as debt, wherein the Intermediate Partnership received $
7.INCOME TAXES
Components of income tax expense (benefit) are as follows:
Three Months Ended March 31, |
| ||||||
2022 |
| 2021 |
| ||||
(in thousands) | |||||||
Current: | |||||||
Federal | $ | | $ | ( | |||
State |
| |
| — | |||
| |
| ( | ||||
Deferred: | |||||||
Federal |
| |
| ( | |||
State |
| |
| — | |||
| |
| ( | ||||
Income tax expense (benefit) | $ | | $ | ( |
9
Alliance Minerals' Tax Election resulted in the recognition of an initial deferred tax liability of $
Reconciliations of income taxes at the U.S. federal statutory tax rate to income taxes at our effective tax rate are as follows:
Three Months Ended March 31, |
| ||||||
| 2022 |
| 2021 |
| |||
(in thousands) | |||||||
Income taxes at statutory rate | $ | | $ | | |||
Less: Income taxes at statutory rate on Partnership income not subject to income taxes |
| ( |
| ( | |||
Increase (decrease) resulting from: | |||||||
State taxes, net of federal income tax |
| |
| | |||
Change in valuation allowance of deferred tax assets |
| ( |
| ( | |||
Deferred taxes related to tax election | | — | |||||
Other |
| |
| ( | |||
Income tax expense (benefit) | $ | | $ | ( |
The effective income tax rate for our income tax expense for the three months ended March 31, 2022 is greater than the federal statutory rate, primarily due to the effect of the Tax Election previously discussed, partially offset by the portion of income not subject to income taxes. The effective income tax rate for our income tax benefit for the three months ended March 31, 2021 is less than the federal statutory rate, primarily due to the portion of income not subject to income taxes.
Significant components of deferred tax liabilities and deferred tax assets are as follows:
March 31, | December 31, |
| |||||
| 2022 |
| 2021 |
| |||
(in thousands) | |||||||
Deferred tax liabilities: | |||||||
Property, plant and equipment | $ | ( | $ | ( | |||
Total deferred tax liabilities | ( | ( | |||||
Deferred tax assets: | |||||||
Federal loss carryovers and credits | | | |||||
Other |
| |
| | |||
Total deferred tax assets | | | |||||
Less valuation allowance | ( | ( | |||||
Net deferred tax assets | | | |||||
Overall net deferred tax liabilities | $ | ( | $ | ( |
The change in deferred tax liabilities for property, plant and equipment is primarily as a result of the Acquisition Gain discussed above.
Federal loss carryovers and credits are primarily due to net operating losses and research and development credits associated with the operations of other subsidiaries that are taxable for federal income tax purposes.
10
The valuation allowance as of March 31, 2022 and 2021 serves to reduce the available deferred tax assets to amounts that will, more likely than not, be realized. We considered all available positive and negative evidence, which incorporates available tax planning strategies and our estimate of future reversals of existing temporary differences, and have determined that a portion of our deferred tax assets relating to state losses and credits may not be realized.
Our 2018 through 2021 tax years remain open to examination by tax authorities.
8.VARIABLE INTEREST ENTITIES
Cavalier Minerals
On November 10, 2014, our subsidiary, Alliance Minerals, and Bluegrass Minerals Management, LLC ("Bluegrass Minerals") entered into a limited liability company agreement (the "Cavalier Agreement") to create Cavalier Minerals JV, LLC ("Cavalier Minerals"), which was formed to indirectly acquire oil & gas mineral interests through its ownership in AllDale I & II. Alliance Minerals owns a
Alliance | Bluegrass | ||||||
Minerals | Minerals | ||||||
(in thousands) | |||||||
Contributions | $ | | $ | | |||
Distributions | | |
We have concluded that Cavalier Minerals is a variable interest entity ("VIE") which we consolidate as the primary beneficiary because we are the managing member and a substantial equity owner in Cavalier Minerals. Bluegrass Minerals' equity ownership of Cavalier Minerals is accounted for as noncontrolling ownership interest in our condensed consolidated balance sheets. In addition, earnings attributable to Bluegrass Minerals are recognized as noncontrolling interest in our condensed consolidated statements of income.
AllDale III
In February 2017, Alliance Minerals committed to directly invest $
The AllDale III Partnership Agreement includes a
Since AllDale III is structured as a limited partnership with the limited partners 1) not having the ability to remove the general partner and 2) not participating significantly in the operational decisions, we concluded that AllDale III is a VIE. We are not the primary beneficiary of AllDale III as we do not have the power to direct the activities that most significantly impact AllDale III's economic performance. We account for our ownership interest in the income or loss of AllDale III as an equity method investment. We record equity income or loss based on AllDale III's distribution structure. See Note 9 – Investment for more information.
11
9.INVESTMENT
AllDale III
As discussed in Note 8 – Variable Interest Entities, we account for our ownership interest in the income or loss of AllDale III as an equity method investment. We record equity income or loss based on AllDale III's distribution structure. The changes in our equity method investment in AllDale III for each of the periods presented were as follows:
Three Months Ended | |||||||
March 31, | |||||||
| 2022 |
| 2021 | ||||
(in thousands) | |||||||
Beginning balance | $ | | $ | | |||
Equity method investment income | | | |||||
Distributions received | ( | ( | |||||
Ending balance | $ | | $ | |
10.PARTNERS' CAPITAL
Distributions
Distributions paid or declared during 2021 and 2022 were as follows:
Payment Date |
| Per Unit Cash Distribution |
| Total Cash Distribution |
| ||
(in thousands) | |||||||
May 14, 2021 | $ | $ | | ||||
August 13, 2021 | | ||||||
November 12, 2021 | | ||||||
Total | $ | $ | | ||||
February 14, 2022 | $ | $ | | ||||
May 13, 2022 (1) | — | ||||||
Total | $ | $ | |
(1) | On April 26, 2022, we declared this quarterly distribution payable on May 13, 2022 to all unitholders of record as of May 6, 2022. |
Unit Repurchase Program
In May 2018, the MGP board of directors approved the establishment of a unit repurchase program authorizing us to repurchase and retire up to $
12
Change in Partners' Capital
The following tables present the quarterly change in Partners' Capital for the three months ended March 31, 2022 and 2021:
Accumulated | |||||||||||||||
Number of | Limited | Other | |||||||||||||
Limited Partner | Partners' | Comprehensive | Noncontrolling | Total Partners' | |||||||||||
| Units |
| Capital |
| Income (Loss) |
| Interest |
| Capital |
| |||||
(in thousands, except unit data) | |||||||||||||||
Balance at January 1, 2022 |
| | $ | | $ | ( | $ | | $ | | |||||
Comprehensive income: | |||||||||||||||
Net income |
| — |
| |
| — | |
|
| | |||||
Actuarially determined long-term liability adjustments |
| — |
| — |
| |
| — |
|
| | ||||
Total comprehensive income |
|
| | ||||||||||||
Common unit-based compensation |
| — |
| | — | — | | ||||||||
Distributions on deferred common unit-based compensation |
| — |
| ( | — | — | ( | ||||||||
Distributions from consolidated company to noncontrolling interest | — | — | — | ( | ( | ||||||||||
Distributions to Partners |
| — | ( | — | — | ( | |||||||||
Balance at March 31, 2022 | | $ | | $ | ( | $ | | $ | |
Accumulated | |||||||||||||||
Number of | Limited | Other | |||||||||||||
Limited Partner | Partners' | Comprehensive | Noncontrolling | Total Partners' | |||||||||||
| Units |
| Capital |
| Income (Loss) |
| Interest |
| Capital |
| |||||
(in thousands, except unit data) | |||||||||||||||
Balance at January 1, 2021 |
| | $ | | $ | ( | $ | | $ | | |||||
Comprehensive income: | |||||||||||||||
Net income |
| — |
| |
| — | |
|
| | |||||
Actuarially determined long-term liability adjustments |
| — |
| — |
| |
| — |
|
| | ||||
Total comprehensive income |
|
| | ||||||||||||
Common unit-based compensation |
| — |
| | — | — | | ||||||||
Distributions from consolidated company to noncontrolling interest | — | — | — | ( |