Energy Transfer Equity reports 4Q16 results

ETE’s 4Q16 as distributable cash flow, as adjusted, was US$299 million as compared to US$343 million for 4Q15. The decrease in net income attributable to partners and distributable cash flow, as adjusted, was primarily driven by a US$95 million reduction in incentive distributions from ETP. As previously reported, ETE has agreed to a reduction in incentive distributions from ETP in the aggregate amount of US$720 million over a period of seven quarters, beginning in the quarter ending on 30 June 2016.

The Partnership’s recent key accomplishments and other developments include the following:

• In January 2017, ETE issued 32.2 million common units, representing limited partner interests in the partnership to certain institutional investors in a private transaction for gross proceeds of approximately US$580 million, which ETE used to purchase 15.8 million newly issued ETP common units.
• On 26 January 2017, the partnership announced quarterly cash distribution of US$0.285 per ETE common unit for 4Q16, or US$1.14 per unit on an annualised basis.
• As of 31 December 2016, ETE’s US$1.5 billion revolving credit facility had US$875 million of outstanding borrowings and its leverage ratio, as defined by the credit agreement, was 3.00x.

The Partnership’s principal sources of cash flow are derived from distributions related to its direct and indirect investments in the limited and general partner interests in Energy Transfer Partners, L.P. (ETP) and Sunoco LP.

Read the article online at: https://www.worldpipelines.com/business-news/23022017/energy-transfer-equity-reports-4q16-results/