Company: SREA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001032208-25-000065
Chunk: 53

Company: SEMPRA
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 1
Chunk 53
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SEMPRA INFRASTRUCTUREAssets Held for SaleWe classify assets as held for sale once all applicable criteria under U.S. GAAP have been satisfied, including when management, having the authority to approve the action, commits to a formal plan to actively market an asset for sale and expects the sale to close within the next twelve months. Upon classifying a group of assets as held for sale, we record the disposal group at the lower of its carrying value or its estimated fair value reduced for selling costs, and we stop recording depreciation and amortization expense on those assets.We summarize the carrying amounts of the major classes of assets and related liabilities of SI Partners, inclusive of Ecogas, classified as held for sale in the following table.ASSETS HELD FOR SALE(Dollars in millions)September 30, 2025Cash and cash equivalents$126 Restricted cash, current2,889 Accounts receivable589 Due from unconsolidated affiliates3 Inventories103 Other current assets246 Restricted cash, noncurrent3 Right-of-use assets – operating leases202 Equity method investments2,471 Goodwill1,602 Other intangible assets273 Other long-term assets768 Property, plant and equipment, net19,190 Total assets held for sale$28,465 Short-term debt$897 Accounts payable1,247 Current portion of long-term debt49 Other current liabilities305 Long-term debt6,791 Due to unconsolidated affiliates417 Deferred income taxes901 Asset retirement obligations93 Deferred credits and other475 Total liabilities held for sale$11,175 At September 30, 2025, $28 million of accumulated losses is included in AOCI and is part of the disposal group that is held for sale. We considered the estimated fair value of our assets held for sale, less costs to sell, and determined that no adjustment to carrying value was required. In estimating fair value, we used a discounted cash flow valuation technique. In the event that the estimated sales price, less transaction costs, is less than the carrying value, or updated market information indicates fair value may be less than carrying value, we would recognize a loss in our results of operations at that time.

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SI PartnersIn September 2025, we entered into an agreement to sell 45% of the outstanding Class A Units and all general partner interests in SI Partners to the KKR Partners for an aggregate base purchase price of approximately $9.99