DELAWARE
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000-51757
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16-1731691
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(State or other jurisdiction of
incorporation)
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(Commission File Number)
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(IRS Employer
Identification No.)
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Exhibit
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Number
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Description
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Regency Energy Partners LP Press Release dated August 3, 2011 announcing the results of its operations for the second quarter ended June 30, 2011.
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Regency Energy Partners LP presentation to investors dated August 4, 2011.
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REGENCY ENERGY PARTNERS LP
By: Regency GP LP, its general partner
By: Regency GP LLC, its general partner
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By:
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/s/ Paul M. Jolas
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Paul M. Jolas
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Executive Vice President, Chief Legal Officer and Secretary
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·
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EBITDA;
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·
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adjusted EBITDA;
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·
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cash available for distribution;
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·
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segment margin;
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·
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total segment margin;
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·
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adjusted segment margin; and
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·
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adjusted total segment margin.
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·
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minus interest expense, excluding capitalized interest;
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·
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minus maintenance capital expenditures;
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·
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plus cash proceeds from asset sales, if any; and
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·
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joint venture adjustments, which mainly include interest expense and maintenance capital expenditures.
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·
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Haynesville Joint Venture segment margin;
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·
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MEP Joint Venture segment margin;
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·
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Lone Star Joint Venture segment margin.
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Regency Energy Partners LP
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Consolidated Statements of Operations
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Unaudited
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($ in thousands)
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Successor
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Predecessor
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Three Months Ended June 30, 2011
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Period from Acquisition May 26, 2010 to June 30, 2010 (1)
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Period from April 1, 2010 to May 25, 2010 (1)
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REVENUES
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Gas sales, including related party amounts of $6,161, $447 and $0
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$ | 132,800 | $ | 47,241 | $ | 87,193 | |||
NGL sales, including related party amounts of $77,048, $18,054 and $0
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138,088 | 26,040 | 62,997 | ||||||
Gathering, transportation and other fees, including related party amounts of $5,254, $2,086 and $3,680
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81,817 | 22,571 | 45,041 | ||||||
Net realized and unrealized loss from derivatives
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(7,542 | ) | (130 | ) | 223 | ||||
Other, including related party amounts of $2,924, $0 and $0
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11,335 | 1,258 | 4,811 | ||||||
Total revenues
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356,498 | 96,980 | 200,265 | ||||||
OPERATING COSTS AND EXPENSES
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Cost of sales, including related party amounts of $7,807, $2,281 and $3,198
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259,475 | 70,174 | 140,507 | ||||||
Operation and maintenance
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33,996 | 10,402 | 19,315 | ||||||
General and administrative, including related party amounts of $4,224 and $833 and $0
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17,551 | 7,104 | 21,809 | ||||||
Loss on asset sales, net
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153 | 10 | 19 | ||||||
Depreciation and amortization
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40,503 | 10,545 | 16,889 | ||||||
Total operating costs and expenses
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351,678 | 98,235 | 198,539 | ||||||
OPERATING INCOME (LOSS)
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4,820 | (1,255 | ) | 1,726 | |||||
Income from unconsolidated affiliates
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32,167 | 8,121 | 7,959 | ||||||
Interest expense, net
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(24,689 | ) | (8,081 | ) | (14,059 | ) | |||
Other income and deductions, net
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2,641 | (3,521 | ) | (624 | ) | ||||
INCOME (LOSS) BEFORE INCOME TAXES
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14,939 | (4,736 | ) | (4,998 | ) | ||||
Income tax expense
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102 | 245 | 83 | ||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS
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14,837 | (4,981 | ) | (5,081 | ) | ||||
DISCONTINUED OPERATIONS
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Net Income from operations of east Texas assets
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- | 86 | 585 | ||||||
NET INCOME (LOSS)
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$ | 14,837 | $ | (4,895 | ) | $ | (4,496 | ) | |
Net income attributable to noncontrolling interest
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(293 | ) | (29 | ) | (244 | ) | |||
NET INCOME (LOSS) ATTRIBUTABLE TO REGENCY ENERGY PARTNERS LP
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$ | 14,544 | $ | (4,924 | ) | $ | (4,740 | ) | |
(1) Amounts differ from previously disclosed amounts due to the presentation of discontinued operations for the disposition of east Texas assets.
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Three Month Ended June 30,
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2011
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2010 (1)
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($ in thousands)
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Gathering and Processing Segment
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Financial data:
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Segment margin (1)
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$ | 50,495 | $ | 49,568 | ||
Adjusted segment margin (1)
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52,642 | 55,162 | ||||
Operating data:
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Throughput (MMbtu/d)
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1,063,499 | 1,002,089 | ||||
NGL gross production (Bbls/d)
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28,100 | 25,168 | ||||
(1) Segment margin and adjusted segment margin vary from previously disclosed amounts due to the presentation of discontinued operations for the disposition of east Texas assets, as well as a functional reorganization of our operating segments.
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Three Months Ended June 30,
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2011
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2010
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($ in thousands)
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Contract Compression Segment
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Financial data:
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Segment margin
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$ | 36,973 | $ | 37,814 | ||
Operating data:
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Revenue generating horsepower
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757,572 | 727,296 |
Three Month Ended June 30,
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2011
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2010 (1)
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($ in thousands)
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Contract Treating Segment
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Financial data:
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Segment margin
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$ | 7,701 | $ | - | ||
Operating data:
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Revenue generating GPM
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3,368 | - | ||||
(1) The Partnership acquired Contract Treating segment in September 2010.
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Three Months Ended June 30,
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2011
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2010 (1)
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($ in thousands)
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Corporate & Others
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Financial data:
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Segment margin (1)
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$ | 4,762 | $ | 4,974 | ||
(1) Segment margin varies from previously disclosed amounts due to a functional reorganization of our operating segments.
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Three Months Ended June 30,
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2011
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2010
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($ in thousands)
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Joint Ventures Segment - Haynesville Joint Venture
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Financial data:
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Segment margin
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$ | 48,353 | $ | 43,897 | ||
Operating data:
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Throughput (MMbtu/d)
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1,528,333 | 1,155,692 |
Three Months Ended June 30,
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2011
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2010 (1)
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($ in thousands)
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Joint Ventures Segment - MEP Joint Venture
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Financial data:
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Segment margin
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$ | 61,049 | $ | 51,033 | ||
Operating data:
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Throughput (MMbtu/d)
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1,197,520 | 1,310,363 | ||||
(1) On May 26, 2010, the Partnership acquired 49.9% interest in MEP. The financial and operating data are presented for the three months ended June 30, 2010.
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From May 2, 2011 (Initial Acquisition Date) to June 30, 2011
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($ in thousands)
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Joint Ventures Segment - Lone Star Joint Venture
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Financial data:
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Segment margin
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$ | 46,415 | |
Operating data:
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West Texas Pipeline- Throughput (Bbls/d)
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128,127 | ||
Refinery Service- NGL Throughput (Bbls/d)
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14,806 |
Three Months Ended
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June 30, 2011
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June 30, 2010
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($ in thousands)
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Net income
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$ | 30,265 | $ | 25,871 | ||
Add:
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Operation and maintenance
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4,828 | 5,189 | ||||
General and administrative
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4,345 | 4,658 | ||||
Depreciation and amortization
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8,664 | 8,100 | ||||
Interest expense, net
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251 | 99 | ||||
Other income and deductions, net
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- | (20 | ) | |||
Total Segment Margin (1)
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$ | 48,353 | $ | 43,897 | ||
(1) Calculation represents 100% of Haynesville Joint Venture's Segment Margin.
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Three Months Ended June 30,
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2011
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2010
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($ in thousands)
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Net income
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$ | 20,276 | $ | 14,764 | ||
Add:
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Operation and maintenance
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3,143 | 2,992 | ||||
General and administrative
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7,310 | 6,506 | ||||
Depreciation and amortization
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17,398 | 16,101 | ||||
Interest expense, net
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12,922 | 10,670 | ||||
Total Segment Margin (1)
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$ | 61,049 | $ | 51,033 | ||
(1) Calculation represents 100% of MEP Joint Venture's Segment Margin.
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From May 2, 2011 (Initial Acquisition Date) to June 30, 2011
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($ in thousands)
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Net income
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$ | 27,958 | |
Add:
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Operation and maintenance
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6,485 | ||
General and administrative
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4,649 | ||
Depreciation and amortization
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7,139 | ||
Tax expense
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192 | ||
Other income and deductions, net
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(8 | ) | |
Total Segment Margin (1)
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$ | 46,415 | |
(1) Calculation represents 100% of Lone Star Joint Venture's Segment Margin. The Partnership acquired 30% interest in the joint venture in May 2011.
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Three Months Ended June 30,
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2011
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2010
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($ in thousands)
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Net income (loss)
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$ | 14,837 | $ | (9,391 | ) | |
Add (deduct):
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Interest expense, net
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24,689 | 22,224 | ||||
Depreciation and amortization
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40,503 | 29,604 | ||||
Income tax expense
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102 | 328 | ||||
EBITDA (1)
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$ | 80,131 | $ | 42,765 | ||
Add (deduct):
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Non-cash (gain) loss from commodity and embedded derivatives
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(803 | ) | 9,854 | |||
Non-cash unit based compensation
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875 | 10,441 | ||||
Loss on asset sales, net
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153 | 29 | ||||
Income from unconsolidated affiliates
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(32,167 | ) | (16,080 | ) | ||
Partnership's ownership interest in Haynesville Joint Venture's adjusted EBITDA (2)
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19,586 | 16,333 | ||||
Partnership's ownership interest in MEP Joint Venture's adjusted EBITDA (3)
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25,243 | 8,424 | ||||
Partnership's ownership interest in Lone Star Joint Venture's adjusted EBITDA (4)
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10,584 | - | ||||
Other (income) expense, net
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(146 | ) | 2,165 | |||
Adjusted EBITDA
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$ | 103,456 | $ | 73,931 | ||
(1) Earnings before interest, taxes, depreciation and amortization.
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(2) 100% of Haynesville Joint Venture's Adjusted EBITDA is calculated as follows:
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Net income Haynesville Joint Venture
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$ | 30,265 | $ | 25,871 | ||
Add:
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Depreciation and amortization
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8,664 | 8,100 | ||||
Interest expense, net
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251 | 99 | ||||
Other expense, net
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- | 12 | ||||
Haynesville Joint Venture's Adjusted EBITDA
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$ | 39,180 | $ | 34,082 | ||
(3) 100% of MEP Joint Venture's Adjusted EBITDA is calculated as follows:
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Net income MEP Joint Venture
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$ | 20,276 | $ | 8,068 | ||
Add:
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Depreciation and amortization
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17,398 | 5,383 | ||||
Interest expense, net
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12,913 | 3,431 | ||||
MEP Joint Venture's Adjusted EBITDA
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$ | 50,587 | $ | 16,882 | ||
(4) 100% of Lone Star Joint Venture's Adjusted EBITDA is calculated as follows:
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Net income Lone Star Joint Venture
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$ | 27,958 | $ | - | ||
Add:
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Depreciation and amortization
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7,139 | - | ||||
Income tax expense
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192 | - | ||||
Other (income) expense
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(7 | ) | - | |||
Lone Star Joint Venture's Adjusted EBITDA
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$ | 35,282 | $ | - |
Three Months Ended
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June 30, 2011
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June 30, 2010 (1)
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Net income (loss)
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$ | 14,837 | $ | (9,391 | ) | |
Add (Deduct):
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Operation and maintenance
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33,996 | 29,717 | ||||
General and administrative
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17,551 | 28,913 | ||||
Loss on asset sales, net
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153 | 29 | ||||
Depreciation and amortization
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40,503 | 27,434 | ||||
Income from unconsolidated affiliates
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(32,167 | ) | (16,080 | ) | ||
Interest expense, net
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24,689 | 22,140 | ||||
Loss on debt refinancing, net
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- | |||||
Other income and deductions, net
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(2,641 | ) | 4,145 | |||
Income tax expense
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102 | 328 | ||||
Discontinued Operations
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- | (671 | ) | |||
Total Segment Margin (1)
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97,023 | 86,564 | ||||
Non-cash loss from commodity derivatives
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2,147 | 5,594 | ||||
Adjusted Total Segment Margin (1)
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99,170 | 92,158 | ||||
Gathering and Processing Segment Margin
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$ | 50,495 | $ | 49,568 | ||
Non-cash loss from commodity derivatives
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2,147 | 5,594 | ||||
Adjusted Gathering and Processing Segment Margin
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52,642 | 55,162 | ||||
Contract Compression Segment Margin
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36,973 | 37,814 | ||||
Contract Treating Segment Margin
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7,701 | - | ||||
Corporate and Others Segment Margin (1)
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4,762 | 4,974 | ||||
Inter-segment Elimination
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(2,908 | ) | (5,792 | ) | ||
Adjusted Total Segment Margin (1)
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$ | 99,170 | $ | 92,158 | ||
(1) Segment margin and adjusted segment margin vary from previously disclosed amounts due to the presentation of discontinued operations for the disposition of east Texas assets and a functional reorganization of our operating segments.
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Three Months Ended
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June 30, 2011
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($ in thousands)
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Net cash flows provided by operating activities
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$ | 72,136 | |
Add (deduct):
|
- | ||
Depreciation and amortization, including debt issuance cost amortization
|
(41,938 | ) | |
Amortization of excess fair value of unconsolidated subsidiaries
|
(1,461 | ) | |
Income from unconsolidated subsidiaries
|
33,628 | ||
Derivative valuation change
|
1,140 | ||
Loss on asset sales, net
|
(153 | ) | |
Unit based compensation expenses
|
(826 | ) | |
Trade accounts receivables, accrued revenues, and related party receivables
|
16,147 | ||
Other current assets
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(3,060 | ) | |
Trade accounts payable, accrued cost of gas and liquids, related party payables and deferred revenues
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(40,722 | ) | |
Other current liabilities
|
13,377 | ||
Distributions received from unconsolidated subsidiaries
|
(33,628 | ) | |
Other assets and liabilities
|
197 | ||
Net income
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$ | 14,837 | |
Add:
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Interest expense, net
|
24,689 | ||
Depreciation and amortization
|
40,503 | ||
Income tax expense
|
102 | ||
EBITDA
|
$ | 80,131 | |
Add (deduct):
|
|||
Non-cash gain from commodity and embedded derivatives
|
(803 | ) | |
Non-cash unit based compensation
|
875 | ||
Loss on asset sales, net
|
153 | ||
Income from unconsolidated affiliates
|
(32,167 | ) | |
Partnership's ownership interest in Haynesville Joint Venture's adjusted EBITDA
|
19,586 | ||
Partnership's ownership interest in MEP Joint Venture's adjusted EBITDA
|
25,243 | ||
Partnership's ownership interest in Lone Star Joint Venture's adjusted EBITDA
|
10,584 | ||
Other expense, net
|
(146 | ) | |
Adjusted EBITDA
|
$ | 103,456 | |
Add (deduct):
|
|||
Interest expense, excluding capitalized interest
|
(23,724 | ) | |
Maintenance capital expenditures
|
(2,010 | ) | |
Proceeds from asset disposal
|
3,978 | ||
Convertible preferred distribution
|
(1,945 | ) | |
Joint venture adjustments (1)
|
(9,115 | ) | |
Other
|
(65 | ) | |
Cash available for distribution
|
$ | 70,575 | |
(1) Adjustments for the Partnership's share of the Haynesville Joint Venture's, MEP Joint Venture's and Lone Star Joint Venture's adjustments between their respective adjusted EBITDA and cash available for distribution. Adjustments mainly include interest expense and maintenance capital expenditures.
|
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