Segment Reporting Segment Reporting

3 Months Ended

Oct. 31, 2016

Segment Reporting Disclosure

Segment reporting

Following is a summary of segment information for the three months ended October 31, 2016 and 2015:

	Three months ended October 31, 2016
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other			Eliminations			Total
Segment revenues	$	271,498	$	106,327	$	2,946		$	(1,229	)	$	379,542
Direct costs (1)	237,014		101,556		13,831			(1,878		)	350,523
Adjusted EBITDA	$	34,484	$	4,771	$	(10,885	)	$	649		$	29,019
	Three months ended October 31, 2015
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other			Eliminations			Total
Segment revenues	$	277,476	$	189,373	$	4,297		$	—		$	471,146
Direct costs (1)	241,877		164,570		15,800			—			422,247
Adjusted EBITDA	$	35,599	$	24,803	$	(11,503	)	$	—		$	48,899

(1) Direct costs are comprised of "cost of products sold-propane and other gas liquids sales", "cost of products sold-midstream operations", "cost of products sold-other", "operating expense", "general and administrative expense", and "equipment lease expense" less "non-cash stock-based compensation charge", "change in fair value of contingent consideration", "severance charge", "litigation accrual and related legal fees associated with a class action lawsuit", "unrealized (non-cash) loss on changes in fair value of derivatives not designated as hedging instruments" and "acquisition and transition expenses".

Following is a reconciliation of Ferrellgas' total segment performance measure to condensed consolidated net loss:

	Three months ended October 31,
	2016			2015
Net loss attributable to Ferrellgas Partners, L.P.	$	(43,073	)	$	(79,793	)
Income tax benefit	(590		)	(844		)
Interest expense	35,428			33,788
Depreciation and amortization expense	26,202			36,979
EBITDA	17,967			(9,870		)
Non-cash employee stock ownership plan compensation charge	3,754			5,256
Non-cash stock-based compensation charge	1,881			8,122
Asset impairments	—			29,316
Loss on asset sales and disposal	6,423			14,917
Other (income) expense, net	(508		)	122
Change in fair value of contingent consideration	—			(100		)
Severance costs	1,469			856
Unrealized (non-cash) loss (gain) on changes in fair value of derivatives not designated as hedging instruments	(1,569		)	1,038
Acquisition and transition expenses	—			15
Net loss attributable to noncontrolling interest	(398		)	(773		)
Adjusted EBITDA	$	29,019		$	48,899

Following are total assets by segment:

Assets	October 31, 2016		July 31, 2016
Propane and related equipment sales	$	1,255,584	$	1,202,214
Midstream operations - crude oil logistics	228,708		275,303
Corporate and unallocated	182,923		205,789
Total consolidated assets	$	1,667,215	$	1,683,306

Following are capital expenditures by segment:

	Three months ended October 31, 2016
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other		Total
Capital expenditures:
Maintenance	$	1,831	$	127	$	1,306	$	3,264
Growth	5,414		—		—		5,414
Total	$	7,245	$	127	$	1,306	$	8,678
	Three months ended October 31, 2015
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other		Total
Capital expenditures:
Maintenance	$	5,898	$	—	$	284	$	6,182
Growth	8,615		3,303		6,401		18,319
Total	$	14,513	$	3,303	$	6,685	$	24,501

Ferrellgas, L.P. [Member]

Segment Reporting Disclosure

Segment reporting

Following is a summary of segment information for the three months ended October 31, 2016 and 2015:

	Three months ended October 31, 2016
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other			Eliminations			Total
Segment revenues	$	271,498	$	106,327	$	2,946		$	(1,229	)	$	379,542
Direct costs (1)	237,014		101,556		13,831			(1,878		)	350,523
Adjusted EBITDA	$	34,484	$	4,771	$	(10,885	)	$	649		$	29,019
	Three months ended October 31, 2015
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other			Eliminations			Total
Segment revenues	$	277,476	$	189,373	$	4,297		$	—		$	471,146
Direct costs (1)	241,877		164,570		15,800			—			422,247
Adjusted EBITDA	$	35,599	$	24,803	$	(11,503	)	$	—		$	48,899

(1) Direct costs are comprised of "cost of sales-propane and other gas liquids sales", "cost of products sold-midstream operations", "cost of products sold-other", "operating expense", "general and administrative expense", and "equipment lease expense" less "non-cash stock-based compensation charge", "change in fair value of contingent consideration", "severance charge", "litigation accrual and related legal fees associated with a class action lawsuit", "unrealized (non-cash) loss on changes in fair value of derivatives not designated as hedging instruments" and "acquisition and transition expenses".

Following is a reconciliation of Ferrellgas, L.P.'s total segment performance measure to condensed consolidated net loss:

	Three months ended October 31,
	2016			2015
Net loss	$	(39,440	)	$	(76,536	)
Income tax benefit	(591		)	(844		)
Interest expense	31,398			29,758
Depreciation and amortization expense	26,202			36,979
EBITDA	17,569			(10,643		)
Non-cash employee stock ownership plan compensation charge	3,754			5,256
Non-cash stock-based compensation charge	1,881			8,122
Goodwill impairment	—			29,316
Loss on asset sales and disposal	6,423			14,917
Other (income) expense, net	(508		)	122
Change in fair value of contingent consideration	—			(100		)
Severance costs	1,469			856
Unrealized (non-cash) loss (gain) on changes in fair value of derivatives not designated as hedging instruments	(1,569		)	1,038
Acquisition and transition expenses	—			15
Adjusted EBITDA	$	29,019		$	48,899

Following are total assets by segment:

Assets	October 31, 2016		July 31, 2016
Propane and related equipment sales	$	1,255,584	$	1,202,214
Midstream operations - crude oil logistics	228,708		275,303
Corporate and unallocated	182,832		205,696
Total consolidated assets	$	1,667,124	$	1,683,213

Following are capital expenditures by segment:

	Three months ended October 31, 2016
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other		Total
Capital expenditures:
Maintenance	$	1,831	$	127	$	1,306	$	3,264
Growth	5,414		—		—		5,414
Total	$	7,245	$	127	$	1,306	$	8,678
	Three months ended October 31, 2015
	Propane and related equipment sales		Midstream operations - Crude oil logistics		Corporate and other		Total
Capital expenditures:
Maintenance	$	5,898	$	—	$	284	$	6,182
Growth	8,615		3,303		6,401		18,319
Total	$	14,513	$	3,303	$	6,685	$	24,501