Investor
FAQs

What is Kinder Morgan's strategy?

Kinder Morgan is one of the largest energy infrastructure companies in North America. We own an interest in or operate approximately 84,000 miles of pipelines and 157 terminals. Our pipelines transport natural gas, refined petroleum products, crude oil, condensate, CO2 and other products, and our terminals transload and store liquid commodities including petroleum products, ethanol and chemicals, and bulk products, including petroleum coke, metals and ores.

Focused on stable fee-based assets that are core to North American energy infrastructure with market-leading positions in each segment of our business

Leverage our asset footprint to seek attractive capital investment opportunities, both expansion and acquisition

For more information on Kinder Morgan please refer to our investor presentations, and our SEC filings

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How does Kinder Morgan make money?

Kinder Morgan is focused on cash flow and makes its money typically by charging fees for use of the capacity of its pipelines, terminals and other assets.

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Why does Kinder Morgan focus on cash flow?

We focus on cash flow instead of net income because we believe cash is the best gauge of underlying asset performance. Kinder Morgan’s Distributable Cash Flow (DCF) has historically been an accurate proxy for sustainable cash flow. The main difference between net income and DCF is net income is reduced by GAAP depreciation and DCF is reduced by sustaining capital.

Some believe GAAP depreciation is a good measure for the annual costs needed to maintain assets. We believe a vastly more precise determination of expenses and capital required to maintain safe, reliable, compliant assets can be derived using a project by project, asset by asset bottom-up approach incorporating asset-specific characteristics and current technologies.

There are multiple reasons why sustaining capital is more precise than GAAP depreciation. First, sustaining capital varies greatly by the specific asset characteristics (age of pipe, pipeline diameter, amount of compression, size of compressor units, utilization of the system, number of high-consequence areas on the system, geography, historical maintenance of the pipe, and others). Second, technological advancements have significantly improved and are expected to continue to lower maintenance costs. Third, GAAP depreciation is based on the book value of assets. There can be a meaningful disconnect between book value and actual value of an asset depending on several factors including if an asset has been owned for a long period of time or if it was recently acquired.

It is also important to note that a material amount of the dollars we spend maintaining our assets is recorded as operating expenses, not maintenance capital. “Pipeline integrity” and “third party damage prevention” are two significant maintenance categories for pipelines, and the vast majority of these expenditures are recorded as operating expenses. This includes remediation work involving inspection digs and repair work which might include recoating, sleeving, or the replacement of a pipeline joint. Under GAAP accounting, a substantial amount of pipe must be replaced in order for the work to be capitalized.

Operating expenses and sustaining capital are both deducted in determining DCF. However, GAAP depreciation does not take in to account expenses already incurred to maintain and extend the lives of our assets, despite the fact these expenses are already deducted from operating income.

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What are all the equity securities within the Kinder Morgan family?

Publicly traded equities within the Kinder Morgan family:
- Kinder Morgan, Inc. (NYSE:KMI)
- Kinder Morgan Canada Limited (TSX: KML)
- Kinder Morgan Canada Limited 5.25% PFD Series 1 (TSX: KML.PR.A)
- Kinder Morgan Canada Limited 5.20% PFD Series 3 (TSX: KML.PR.C)

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When did each Kinder Morgan entity begin trading?

Kinder Morgan, Inc. filed its IPO and began trading on the New York Stock Exchange (NYSE) on February 10, 2011 under ticker symbol “KMI”

Kinder Morgan Canada Limited began trading on the Toronto Stock Exchange (TSX) after filing its IPO on May 30, 2017 under ticker symbol “KML”

Kinder Morgan Energy Partners, L.P. traded on the New York Stock Exchange (NYSE) from February 18, 1997 until November 26, 2014 under ticker symbol “KMP” (predecessor IPO July 30, 1992 under ticker symbol “ENP”)

Kinder Morgan Management, LLC traded from its IPO on May 14, 2001 until November 26, 2014 on the New York Stock Exchange (NYSE) under ticker symbol “KMR”

El Paso Pipeline Partners, L.P. traded from its IPO on November 15, 2007 until November 26, 2014 on the New York Stock Exchange (NYSE) under ticker symbol “EPB”

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Which KM securities have had stock or unit splits?

KMP (no longer publicly traded) had two 2-for-1 unit splits in its history, one declared on 09/2/1997 and another declared on 07/19/2001

KML effected a 1-for-3 (three shares consolidating to one share) reverse stock split on January 4, 2019

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What type of equity interest does Kinder Morgan Inc. (KMI) represent, and what form of yield does it pay out?

KMI is structured as a C-Corp, and pays a regular cash dividend to its shareholders

KMI dividends may qualify as return of capital for tax purposes. For more dividend tax information, please click here

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What tax documents are attributable to Kinder Morgan Inc. (KMI)?

KMI shareholders receive an annual 1099 pertaining to their dividend income (NO K-1 or UBTI)

KMI dividends may qualify as return of capital for tax purposes. For more dividend tax information, please click here

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Which securities generate a K-1?

Kinder Morgan Inc. does NOT generate a K-1; instead, investors would receive a 1099.

KMI dividends may qualify as return of capital for tax purposes. For more dividend tax information, please click here

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How can I get my 1099 for KMI?

If you own KMI shares through a broker, please contact your brokerage firm for your 1099. If you own KMI shares directly, please contact Computershare to request your 1099

KMI dividends may qualify as return of capital for tax purposes. For more dividend tax information, please click here

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What type of dividend does KMI pay?

KMI is classified as a corporation for U.S. federal income tax purposes. A distribution of cash by KMI to a stockholder who is a U.S. holder will generally be included in such U.S. holder’s income as ordinary dividend income to the extent of KMI’s current and accumulated ‘‘earnings and profits’’ as determined under U.S. federal income tax laws and regulations (also known as a “qualified dividend” for KMI). A portion of the cash distributed to KMI shareholders by KMI may exceed KMI’s current and accumulated earnings and profits. Distributions of cash in excess of KMI’s current and accumulated earnings and profits will be treated first as a non-taxable return of capital reducing a U.S. holder’s adjusted tax basis in such U.S. holder’s shares of KMI common stock and, to the extent the distribution exceeds such stockholder’s adjusted tax basis, as capital gain from the sale or exchange of such shares of KMI common stock.

For more dividend tax information, please click here

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Does Kinder Morgan have a dividend / distribution reinvestment plan (DRIP)?

No, Kinder Morgan does not offer a DRIP; however, you can purchase your shares through computershare our transfer agent and establish a DRIP with their service.

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Does Kinder Morgan offer a direct investment program?

Kinder Morgan does not offer a direct investment program and KMI must be bought through a broker or through our transfer agent Computershare.

Computershare: (800) 847-4351

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What is Kinder Morgan's fiscal year-end?

Our fiscal year follows the calendar year; the first quarter ends March 31, second quarter ends June 30, third quarter ends September 30, and fourth quarter ends December 31.

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Where is Kinder Morgan, Inc. headquartered?

1001 Louisiana Street, Suite 1000
Houston, Texas 77002

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How can I get in contact with Kinder Morgan, Inc. Investor Relations?

You can call KMI Investor Relations at (713) 369-9490 or (800) 324-2900, or email the team at km_ir@kindermorgan.com

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Can I have an investor kit sent to me?

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Where can I sign up to automatically receive information updates?

You can sign up to automatically receive e-mail alerts at the following link:

KMI Email Updates Sign-Up

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Who is Kinder Morgan's transfer agent and how can I contact them?

The transfer agent for Kinder Morgan is Computershare, who can be contacted at Computershare Website or by calling (800) 847-4351

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