Delaware
|
76-0568219
|
||
(State or Other Jurisdiction of
|
(I.R.S. Employer Identification No.)
|
||
Incorporation or Organization)
|
|||
1100 Louisiana Street, 10th Floor
|
|||
Houston, Texas 77002
|
|||
(Address of Principal Executive Offices, Including Zip Code)
|
|||
(713) 381-6500
|
|||
(Registrant’s Telephone Number, Including Area Code)
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Large accelerated filer þ
|
Accelerated filer o
|
Non-accelerated filer o (Do not check if a smaller reporting company)
|
Smaller reporting company o
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Page No.
|
||
March 31,
|
December 31,
|
|||||||
ASSETS
|
2010
|
2009
|
||||||
Current assets:
|
||||||||
Cash and cash equivalents
|
$ | 134.9 | $ | 54.7 | ||||
Restricted cash
|
101.7 | 63.6 | ||||||
Accounts and notes receivable – trade, net of allowance for doubtful accounts
of $17.5 at March 31, 2010 and $16.8 at December 31, 2009
|
3,056.0 | 3,099.0 | ||||||
Accounts receivable – related parties
|
26.9 | 38.4 | ||||||
Inventories
|
990.9 | 711.9 | ||||||
Prepaid and other current assets
|
296.8 | 279.3 | ||||||
Total current assets
|
4,607.2 | 4,246.9 | ||||||
Property, plant and equipment, net
|
17,735.3 | 17,689.2 | ||||||
Investments in unconsolidated affiliates
|
883.5 | 890.6 | ||||||
Intangible assets, net of accumulated amortization of $824.6 at
March 31, 2010 and $795.0 at December 31, 2009
|
1,035.2 | 1,064.8 | ||||||
Goodwill
|
2,018.3 | 2,018.3 | ||||||
Other assets
|
221.6 | 241.8 | ||||||
Total assets
|
$ | 26,501.1 | $ | 26,151.6 | ||||
LIABILITIES AND EQUITY
|
||||||||
Current liabilities:
|
||||||||
Current maturities of long-term debt
|
$ | 175.0 | $ | -- | ||||
Accounts payable – trade
|
419.0 | 410.6 | ||||||
Accounts payable – related parties
|
47.8 | 69.8 | ||||||
Accrued product payables
|
3,695.1 | 3,393.0 | ||||||
Accrued expenses
|
79.4 | 108.5 | ||||||
Accrued interest
|
170.0 | 228.0 | ||||||
Other current liabilities
|
354.4 | 326.1 | ||||||
Total current liabilities
|
4,940.7 | 4,536.0 | ||||||
Long-term debt (see Note 9)
|
10,915.7 | 11,346.4 | ||||||
Deferred tax liabilities
|
72.5 | 71.7 | ||||||
Other long-term liabilities
|
160.2 | 155.2 | ||||||
Commitments and contingencies
|
||||||||
Equity: (see Note 10)
|
||||||||
Enterprise Products Partners L.P. partners’ equity:
|
||||||||
Limited Partners:
|
||||||||
Common units (617,009,491 units outstanding at March 31, 2010
and 603,202,828 units outstanding at December 31, 2009)
|
9,575.4 | 9,173.5 | ||||||
Restricted common units (3,925,881 units outstanding at March 31, 2010
and 2,720,882 units outstanding at December 31, 2009)
|
43.7 | 37.7 | ||||||
Class B units (4,520,431 units outstanding at March 31, 2010 and December 31, 2009)
|
118.5 | 118.5 | ||||||
General partner
|
199.1 | 190.8 | ||||||
Accumulated other comprehensive loss
|
(54.6 | ) | (8.4 | ) | ||||
Total Enterprise Products Partners L.P. partners’ equity
|
9,882.1 | 9,512.1 | ||||||
Noncontrolling interest
|
529.9 | 530.2 | ||||||
Total equity
|
10,412.0 | 10,042.3 | ||||||
Total liabilities and equity
|
$ | 26,501.1 | $ | 26,151.6 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009* | |||||||
Revenues:
|
||||||||
Third parties
|
$ | 8,312.1 | $ | 4,667.4 | ||||
Related parties
|
232.4 | 219.5 | ||||||
Total revenues (see Note 11)
|
8,544.5 | 4,886.9 | ||||||
Costs and expenses:
|
||||||||
Operating costs and expenses:
|
||||||||
Third parties
|
7,647.9 | 4,147.1 | ||||||
Related parties
|
324.0 | 229.5 | ||||||
Total operating costs and expenses
|
7,971.9 | 4,376.6 | ||||||
General and administrative costs:
|
||||||||
Third parties
|
14.1 | 7.9 | ||||||
Related parties
|
23.5 | 27.0 | ||||||
Total general and administrative costs
|
37.6 | 34.9 | ||||||
Total costs and expenses
|
8,009.5 | 4,411.5 | ||||||
Equity in income of unconsolidated affiliates
|
16.0 | 7.4 | ||||||
Operating income
|
551.0 | 482.8 | ||||||
Other income (expense):
|
||||||||
Interest expense
|
(148.6 | ) | (152.5 | ) | ||||
Interest income
|
0.2 | 0.9 | ||||||
Other, net
|
(0.1 | ) | 0.3 | |||||
Total other expense, net
|
(148.5 | ) | (151.3 | ) | ||||
Income before provision for income taxes
|
402.5 | 331.5 | ||||||
Provision for income taxes
|
(8.7 | ) | (16.0 | ) | ||||
Net income
|
393.8 | 315.5 | ||||||
Net income attributable to noncontrolling interest
|
(16.0 | ) | (90.2 | ) | ||||
Net income attributable to Enterprise Products Partners L.P.
|
$ | 377.8 | $ | 225.3 | ||||
Net income allocated to:
|
||||||||
Limited partners
|
$ | 317.4 | $ | 186.3 | ||||
General partner
|
$ | 60.4 | $ | 39.0 | ||||
Basic earnings per unit (see Note 13)
|
$ | 0.51 | $ | 0.41 | ||||
Diluted earnings per unit (see Note 13)
|
$ | 0.50 | $ | 0.41 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009* | |||||||
Net income
|
$ | 393.8 | $ | 315.5 | ||||
Other comprehensive income (loss):
|
||||||||
Cash flow hedges:
|
||||||||
Commodity derivative instrument losses during period
|
(58.9 | ) | (62.0 | ) | ||||
Reclassification adjustment for losses included in net income
related to commodity derivative instruments
|
16.5 | 32.2 | ||||||
Interest rate derivative instrument losses during period
|
(5.7 | ) | (0.7 | ) | ||||
Reclassification adjustment for losses included in net income
related to interest rate derivative instruments
|
3.3 | 2.3 | ||||||
Foreign currency derivative losses during period
|
(0.1 | ) | (10.6 | ) | ||||
Reclassification adjustment for gains included in net income
related to foreign currency derivative instruments
|
(0.3 | ) | -- | |||||
Total cash flow hedges
|
(45.2 | ) | (38.8 | ) | ||||
Foreign currency translation adjustment
|
0.6 | (0.4 | ) | |||||
Change in funded status of pension and postretirement plans, net of tax
|
(0.9 | ) | -- | |||||
Total other comprehensive loss
|
(45.5 | ) | (39.2 | ) | ||||
Comprehensive income
|
348.3 | 276.3 | ||||||
Comprehensive income attributable to noncontrolling interest
|
(16.7 | ) | (92.2 | ) | ||||
Comprehensive income attributable to Enterprise Products Partners L.P.
|
$ | 331.6 | $ | 184.1 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009* | |||||||
Operating activities:
|
||||||||
Net income
|
$ | 393.8 | $ | 315.5 | ||||
Adjustments to reconcile net income to net cash
flows provided by operating activities:
|
||||||||
Depreciation, amortization and accretion
|
217.6 | 199.1 | ||||||
Non-cash impairment charges
|
1.5 | -- | ||||||
Equity in income of unconsolidated affiliates
|
(16.0 | ) | (7.4 | ) | ||||
Distributions received from unconsolidated affiliates
|
30.2 | 22.4 | ||||||
Operating lease expenses paid by EPCO
|
0.2 | 0.2 | ||||||
Gain from asset sales and related transactions
|
(7.5 | ) | (0.2 | ) | ||||
Deferred income tax expense
|
1.0 | 0.9 | ||||||
Changes in fair market value of derivative instruments
|
(7.8 | ) | (12.6 | ) | ||||
Effect of pension settlement recognition
|
(0.2 | ) | (0.1 | ) | ||||
Net effect of changes in operating accounts (see Note 16)
|
74.1 | (145.8 | ) | |||||
Net cash flows provided by operating activities
|
686.9 | 372.0 | ||||||
Investing activities:
|
||||||||
Capital expenditures
|
(347.8 | ) | (513.9 | ) | ||||
Contributions in aid of construction costs
|
3.6 | 6.4 | ||||||
Increase in restricted cash
|
(38.1 | ) | (40.7 | ) | ||||
Cash used for business combinations
|
(2.2 | ) | -- | |||||
Acquisition of intangible assets
|
-- | (1.4 | ) | |||||
Investments in unconsolidated affiliates
|
(7.7 | ) | (7.1 | ) | ||||
Proceeds from asset sales and related transactions
|
21.7 | 0.3 | ||||||
Other investing activities
|
-- | 3.8 | ||||||
Cash used in investing activities
|
(370.5 | ) | (552.6 | ) | ||||
Financing activities:
|
||||||||
Borrowings under debt agreements
|
345.5 | 1,163.4 | ||||||
Repayments of debt
|
(595.0 | ) | (915.9 | ) | ||||
Debt issuance costs
|
(0.1 | ) | (0.9 | ) | ||||
Cash distributions paid to partners
|
(407.3 | ) | (279.7 | ) | ||||
Cash distributions paid to noncontrolling interest
|
(17.4 | ) | (105.5 | ) | ||||
Cash contributions from noncontrolling interest
|
0.2 | (0.6 | ) | |||||
Net cash proceeds from issuance of common units
|
437.7 | 310.8 | ||||||
Acquisition of treasury units
|
(0.2 | ) | -- | |||||
Cash provided by (used in) financing activities
|
(236.6 | ) | 171.6 | |||||
Effect of exchange rate changes on cash
|
0.4 | (2.0 | ) | |||||
Net change in cash and cash equivalents
|
79.8 | (9.0 | ) | |||||
Cash and cash equivalents, January 1
|
54.7 | 61.7 | ||||||
Cash and cash equivalents, March 31
|
$ | 134.9 | $ | 50.7 |
Enterprise Products Partners L.P.
|
||||||||||||||||||||
Accumulated
|
||||||||||||||||||||
Other
|
||||||||||||||||||||
Limited
|
General
|
Comprehensive
|
Noncontrolling
|
|||||||||||||||||
Partners
|
Partner
|
Loss
|
Interest
|
Total
|
||||||||||||||||
Balance, December 31, 2009
|
$ | 9,329.7 | $ | 190.8 | $ | (8.4 | ) | $ | 530.2 | $ | 10,042.3 | |||||||||
Net income
|
317.4 | 60.4 | -- | 16.0 | 393.8 | |||||||||||||||
Operating lease expenses paid by EPCO
|
0.2 | -- | -- | -- | 0.2 | |||||||||||||||
Cash distributions paid to partners
|
(345.5 | ) | (60.9 | ) | -- | -- | (406.4 | ) | ||||||||||||
Unit option reimbursements to EPCO
|
(0.9 | ) | -- | -- | -- | (0.9 | ) | |||||||||||||
Cash distributions paid to noncontrolling interest
|
-- | -- | -- | (17.4 | ) | (17.4 | ) | |||||||||||||
Net cash proceeds from issuance of common units
|
428.3 | 8.8 | -- | -- | 437.1 | |||||||||||||||
Cash proceeds from exercise of unit options
|
0.6 | -- | -- | -- | 0.6 | |||||||||||||||
Cash contributions from noncontrolling interest
|
-- | -- | -- | 0.2 | 0.2 | |||||||||||||||
Amortization of equity awards
|
8.0 | -- | -- | 0.2 | 8.2 | |||||||||||||||
Acquisition of treasury units
|
(0.2 | ) | -- | -- | -- | (0.2 | ) | |||||||||||||
Foreign currency translation adjustment
|
-- | -- | 0.6 | -- | 0.6 | |||||||||||||||
Change in funded status of pension and postretirement plans, net of tax
|
-- | -- | (0.9 | ) | -- | (0.9 | ) | |||||||||||||
Cash flow hedges
|
-- | -- | (45.9 | ) | 0.7 | (45.2 | ) | |||||||||||||
Balance, March 31, 2010
|
$ | 9,737.6 | $ | 199.1 | $ | (54.6 | ) | $ | 529.9 | $ | 10,412.0 |
Enterprise Products Partners L.P.
|
||||||||||||||||||||
Accumulated
|
||||||||||||||||||||
Other
|
||||||||||||||||||||
Limited
|
General
|
Comprehensive
|
Noncontrolling
|
|||||||||||||||||
Partners
|
Partner
|
Loss
|
Interest
|
Total
|
||||||||||||||||
Balance, December 31, 2008*
|
$ | 6,063.1 | $ | 123.6 | $ | (97.2 | ) | $ | 3,206.4 | $ | 9,295.9 | |||||||||
Net income
|
186.3 | 39.0 | -- | 90.2 | 315.5 | |||||||||||||||
Operating lease expenses paid by EPCO
|
0.2 | -- | -- | -- | 0.2 | |||||||||||||||
Cash distributions paid to partners
|
(239.5 | ) | (40.1 | ) | -- | -- | (279.6 | ) | ||||||||||||
Unit option reimbursements to EPCO
|
(0.1 | ) | -- | -- | -- | (0.1 | ) | |||||||||||||
Cash distributions paid to noncontrolling interest
|
-- | -- | -- | (105.5 | ) | (105.5 | ) | |||||||||||||
Net cash proceeds from issuance of common units
|
304.5 | 6.2 | -- | -- | 310.7 | |||||||||||||||
Cash proceeds from exercise of unit options
|
0.1 | -- | -- | -- | 0.1 | |||||||||||||||
Cash contributions from noncontrolling interest
|
-- | -- | -- | (0.6 | ) | (0.6 | ) | |||||||||||||
Amortization of equity awards
|
2.7 | 0.1 | -- | 1.1 | 3.9 | |||||||||||||||
Foreign currency translation adjustment
|
-- | -- | (0.4 | ) | (0.4 | ) | ||||||||||||||
Cash flow hedges
|
-- | -- | (40.8 | ) | 2.0 | (38.8 | ) | |||||||||||||
Balance, March 31, 2009*
|
$ | 6,317.3 | $ | 128.8 | $ | (138.4 | ) | $ | 3,193.6 | $ | 9,501.3 |
March 31, 2010
|
December 31, 2009
|
|||||||||||||||
Carrying
|
Fair
|
Carrying
|
Fair
|
|||||||||||||
Financial Instruments
|
Value
|
Value
|
Value
|
Value
|
||||||||||||
Financial assets:
|
||||||||||||||||
Cash and cash equivalents and restricted cash
|
$ | 236.6 | $ | 236.6 | $ | 118.3 | $ | 118.3 | ||||||||
Accounts receivable
|
3,082.9 | 3,082.9 | 3,137.4 | 3,137.4 | ||||||||||||
Financial liabilities:
|
||||||||||||||||
Accounts payable and accrued expenses
|
4,411.3 | 4,411.3 | 4,209.9 | 4,209.9 | ||||||||||||
Other current liabilities (excluding derivative instruments)
|
222.8 | 222.8 | 233.1 | 233.1 | ||||||||||||
Fixed-rate debt (principal amount)
|
10,532.7 | 11,156.2 | 10,586.7 | 11,056.2 | ||||||||||||
Variable-rate debt
|
514.8 | 514.8 | 710.3 | 710.3 |
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Restricted unit awards (1)
|
$ | 5.3 | $ | 2.4 | ||||
Unit option awards (1)
|
0.9 | 0.1 | ||||||
Unit appreciation rights (2)
|
0.1 | -- | ||||||
Profits interests awards (1)
|
1.8 | 1.4 | ||||||
Total compensation expense
|
$ | 8.1 | $ | 3.9 | ||||
(1) Accounted for as equity-classified awards.
(2) Accounted for as liability-classified awards.
|
Weighted-
|
||||||||
Average Grant
|
||||||||
Number of
|
Date Fair Value
|
|||||||
Units
|
per Unit (1)
|
|||||||
Enterprise Products Partners restricted unit awards
|
||||||||
Restricted units at December 31, 2009
|
2,720,882 | $ | 27.70 | |||||
Granted (2) (3)
|
1,290,075 | $ | 32.27 | |||||
Vested (3)
|
(34,528 | ) | $ | 26.62 | ||||
Forfeited
|
(50,548 | ) | $ | 28.82 | ||||
Restricted units at March 31, 2010
|
3,925,881 | $ | 29.35 | |||||
Duncan Energy Partners restricted unit awards
|
||||||||
Restricted units at December 31, 2009
|
-- | |||||||
Granted (3) (4)
|
6,348 | $ | 25.26 | |||||
Vested (3)
|
(6,348 | ) | $ | 25.26 | ||||
Restricted units at March 31, 2010
|
-- | |||||||
(1) Determined by dividing the aggregate grant date fair value of awards before an allowance for forfeitures by the number of awards issued.
(2) Aggregate grant date fair value of our restricted unit awards issued during 2010 was $41.6 million based on grant date market price of our common units of $32.27 per unit. Estimated forfeiture rates ranging between 4.6% and 17% were applied to these awards.
(3) Includes awards granted to the independent directors of the board of directors of EPGP and DEP GP as part of their annual compensation in February 2010 and immediately vested.
(4) Aggregate grant date fair value of Duncan Energy Partners’ restricted unit awards issued during 2010 was $0.2 million based on grant date market prices of Duncan Energy Partners’ common units of $25.26 per unit.
|
Weighted-
|
||||||||||||||||
Weighted-
|
Average
|
|||||||||||||||
Average
|
Remaining
|
Aggregate
|
||||||||||||||
Number of
|
Strike Price
|
Contractual
|
Intrinsic
|
|||||||||||||
Units
|
(dollars/unit)
|
Term (in years)
|
Value (1)
|
|||||||||||||
Outstanding at December 31, 2009
|
3,825,920 | $ | 26.52 | |||||||||||||
Granted (2)
|
755,000 | $ | 32.27 | |||||||||||||
Exercised
|
(97,500 | ) | $ | 22.77 | ||||||||||||
Outstanding at March 31, 2010
|
4,483,420 | $ | 27.57 | 4.6 | $ | 3.1 | ||||||||||
Options exercisable at March 31, 2010
|
350,000 | $ | 25.74 | 4.9 | $ | 3.1 | ||||||||||
(1) Aggregate intrinsic value reflects fully vested unit options at the date indicated.
(2) Aggregate grant date fair value of these unit options issued during 2010 was $2.2 million based on the following assumptions: (i) a grant date market price of our common units of $32.27 per unit; (ii) expected life of options of 4.9 years; (iii) risk-free interest rate of 2.4%; (iv) expected distribution yield on our common units of 6.9% and (v) expected unit price volatility on our common units of 23.2%. An estimated forfeiture rate of 17% was applied to awards granted during 2010.
|
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Total intrinsic value of option awards exercised during period
|
$ | 0.9 | $ | 0.1 | ||||
Cash received from EPCO in connection with the exercise of unit option awards
|
0.6 | 0.1 | ||||||
Option-related reimbursements to EPCO
|
0.9 | 0.1 |
UARs Issued by
|
||||||||||||
Enterprise
Products
Partners
|
Enterprise GP Holdings
|
Total
|
||||||||||
UARs at December 31, 2009
|
142,196 | 90,000 | 232,196 | |||||||||
Settled or forfeited
|
(10,255 | ) | -- | (10,255 | ) | |||||||
UARs at March 31, 2010
|
131,941 | 90,000 | 221,941 |
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Accrued liability for UARs, at end of period
|
$ | 0.4 | $ | 0.1 |
Phantom units at December 31, 2009
|
14,927 | |||
Granted
|
6,200 | |||
Vested
|
(4,327 | ) | ||
Phantom units at March 31, 2010
|
16,800 |
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Accrued liability for phantom unit awards, at end of period
|
$ | 0.1 | $ | 0.4 | ||||
Liabilities paid for phantom unit awards
|
0.1 | 0.8 |
§
|
Changes in the fair value of a recognized asset or liability, or an unrecognized firm commitment - In a fair value hedge, gains and losses for both the derivative instrument and the hedged item are recognized in income during the period of change.
|
§
|
Variable cash flows of a forecasted transaction - In a cash flow hedge, the effective portion of the hedge is reported in other comprehensive income (loss) (“OCI”) and is reclassified into earnings when the forecasted transaction affects earnings.
|
§
|
Foreign currency exposure - A foreign currency hedge can be treated as either a fair value hedge or a cash flow hedge depending on the risk being hedged.
|
Number and Type of
|
Notional
|
Period of
|
Rate
|
Accounting
|
|
Hedged Transaction
|
Derivative Employed
|
Amount
|
Hedge
|
Swap
|
Treatment
|
Enterprise Products Partners:
|
|||||
Senior Notes C
|
1 fixed-to-floating swap
|
$100.0
|
1/04 to 2/13
|
6.4% to 2.3%
|
Fair value hedge
|
Senior Notes G
|
3 fixed-to-floating swaps
|
$300.0
|
10/04 to 10/14
|
5.6% to 1.5%
|
Fair value hedge
|
Senior Notes P
|
7 fixed-to-floating swaps
|
$400.0
|
6/09 to 8/12
|
4.6% to 2.7%
|
Fair value hedge
|
Duncan Energy Partners:
|
|||||
Variable-rate borrowings
|
3 floating-to-fixed swaps
|
$175.0
|
9/07 to 9/10
|
0.3% to 4.6%
|
Cash flow hedge
|
Number and Type of
|
Notional
|
Period of
|
Average Rate
|
Accounting
|
|
Hedged Transaction
|
Derivative Employed
|
Amount
|
Hedge
|
Locked
|
Treatment
|
Future debt offering
|
1 forward starting swap
|
$50.0
|
6/10 to 6/20
|
3.3%
|
Cash flow hedge
|
Future debt offering
|
3 forward starting swaps
|
$250.0
|
2/11 to 2/21
|
3.6%
|
Cash flow hedge
|
Future debt offering
|
6 forward starting swaps
|
$300.0
|
2/12 to 2/22
|
4.7%
|
Cash flow hedge
|
Volume (1)
|
Accounting
|
||
Derivative Purpose
|
Current
|
Long-Term (2)
|
Treatment
|
Derivatives designated as hedging instruments:
|
|||
Enterprise Products Partners:
|
|||
Natural gas processing:
|
|||
Forecasted natural gas purchases for plant thermal reduction (“PTR”) (3)
|
26.5 Bcf
|
n/a
|
Cash flow hedge
|
Forecasted NGL sales (4)
|
6.3 MMBbls
|
n/a
|
Cash flow hedge
|
Octane enhancement:
|
|||
Forecasted purchases of NGLs
|
2.1 MMBbls
|
n/a
|
Cash flow hedge
|
NGLs inventory management
|
0.1 MMBbls
|
n/a
|
Cash flow hedge
|
Forecasted sales of octane enhancement products
|
3.2 MMBbls
|
0.4 MMBbls
|
Cash flow hedge
|
Natural gas marketing:
|
|||
Natural gas storage inventory management activities
|
1.9 Bcf
|
1.2 Bcf
|
Fair value hedge
|
NGL marketing:
|
|||
Forecasted purchases of NGLs and related hydrocarbon products
|
11.1 MMBbls
|
0.5 MMBbls
|
Cash flow hedge
|
Forecasted sales of NGLs and related hydrocarbon products
|
10.9 MMBbls
|
0.7 MMBbls
|
Cash flow hedge
|
Derivatives not designated as hedging instruments:
|
|||
Enterprise Products Partners:
|
|||
Natural gas risk management activities (5) (6)
|
315.4 Bcf
|
51.2 Bcf
|
Mark-to-market
|
NGL risk management activities (6)
|
0.4 MMBbls
|
n/a
|
Mark-to-market
|
Crude oil risk management activities (6)
|
9.4 MMBbls
|
n/a
|
Mark-to-market
|
Duncan Energy Partners:
|
|||
Natural gas risk management activities (6)
|
1.4 Bcf
|
n/a
|
Mark-to-market
|
(1) Volume for derivatives designated as hedging instruments reflects the total amount of volumes hedged whereas volume for derivatives not designated as hedging instruments reflects the absolute value of derivative notional volumes.
(2) The maximum term for derivatives included in the long-term column is December 2012.
(3) PTR represents the British thermal unit equivalent of the NGLs extracted from natural gas by a processing plant, and includes the natural gas used as plant fuel to extract those liquids, plant flare and other shortages. See the discussion below for the primary objective of this strategy.
(4) Excludes 6.1 million barrels (“MMBbls”) of additional hedges executed under contracts that have been designated as normal sales agreements under the FASB’s derivative and hedging guidance. The combination of these volumes with the 6.3 MMBbls reflected as derivatives in the table above results in a total of 12.4 MMBbls of hedged forecasted NGL sales volumes, which corresponds to the 26.5 billion cubic feet (“Bcf”) of forecasted natural gas purchase volumes for PTR.
(5) Current and long-term volumes include approximately 134.9 and 9.9 Bcf, respectively, of physical derivative instruments that are predominantly priced at an index plus a premium or minus a discount.
(6) Reflects the use of derivative instruments to manage risks associated with transportation, processing and storage assets.
|
Asset Derivatives
|
Liability Derivatives
|
|||||||||||||||||||
March 31, 2010
|
December 31, 2009
|
March 31, 2010
|
December 31, 2009
|
|||||||||||||||||
Balance Sheet
|
Fair
|
Balance Sheet
|
Fair
|
Balance Sheet
|
Fair
|
Balance Sheet
|
Fair
|
|||||||||||||
Location
|
Value
|
Location
|
Value
|
Location
|
Value
|
Location
|
Value
|
|||||||||||||
Derivatives designated as hedging instruments
|
||||||||||||||||||||
Interest rate derivatives
|
Other current assets
|
$ | 44.5 |
Other current assets
|
$ | 32.7 |
Other current liabilities
|
$ | 3.8 |
Other current liabilities
|
$ | 5.5 | ||||||||
Interest rate derivatives
|
Other assets
|
19.7 |
Other assets
|
31.8 |
Other liabilities
|
0.1 |
Other liabilities
|
2.2 | ||||||||||||
Total interest rate derivatives
|
64.2 | 64.5 | 3.9 | 7.7 | ||||||||||||||||
Commodity derivatives
|
Other current assets
|
47.9 |
Other current assets
|
52.0 |
Other current liabilities
|
89.4 |
Other current liabilities
|
62.6 | ||||||||||||
Commodity derivatives
|
Other assets
|
0.9 |
Other assets
|
0.5 |
Other liabilities
|
2.1 |
Other liabilities
|
1.8 | ||||||||||||
Total commodity derivatives (1)
|
48.8 | 52.5 | 91.5 | 64.4 | ||||||||||||||||
Foreign currency derivatives
|
Other current assets
|
-- |
Other current assets
|
0.2 |
Other current liabilities
|
-- |
Other current liabilities
|
-- | ||||||||||||
Total derivatives designated as hedging instruments
|
$ | 113.0 | $ | 117.2 | $ | 95.4 | $ | 72.1 | ||||||||||||
Derivatives not designated as hedging instruments
|
||||||||||||||||||||
Commodity derivatives
|
Other current assets
|
$ | 43.0 |
Other current assets
|
$ | 28.9 |
Other current liabilities
|
$ | 38.4 |
Other current liabilities
|
$ | 24.9 | ||||||||
Commodity derivatives
|
Other assets
|
3.4 |
Other assets
|
2.0 |
Other liabilities
|
10.3 |
Other liabilities
|
2.7 | ||||||||||||
Total commodity derivatives
|
46.4 | 30.9 | 48.7 | 27.6 | ||||||||||||||||
Total derivatives not designated as hedging instruments
|
$ | 46.4 | $ | 30.9 | $ | 48.7 | $ | 27.6 | ||||||||||||
(1) Represent commodity derivative instrument transactions that either have not settled or have settled and not been invoiced. Settled and invoiced transactions are reflected in either accounts receivable or accounts payable depending on the outcome of the transaction.
|
Derivatives in Fair Value
|
Gain/(Loss) Recognized in
|
||||||||
Hedging Relationships
|
Location
|
Income on Derivative
|
|||||||
For the Three Months
|
|||||||||
Ended March 31,
|
|||||||||
2010
|
2009
|
||||||||
Interest rate derivatives
|
Interest expense
|
$ | 7.4 | $ | (1.3 | ) | |||
Commodity derivatives
|
Revenue
|
(1.8 | ) | 0.3 | |||||
Total
|
$ | 5.6 | $ | (1.0 | ) |
Derivatives in Fair Value
|
Gain/(Loss) Recognized in
|
||||||||
Hedging Relationships
|
Location
|
Income on Hedged Item
|
|||||||
For the Three Months
|
|||||||||
Ended March 31,
|
|||||||||
2010
|
2009
|
||||||||
Interest rate derivatives
|
Interest expense
|
$ | (7.4 | ) | $ | 1.3 | |||
Commodity derivatives
|
Revenue
|
1.9 | 0.1 | ||||||
Total
|
$ | (5.5 | ) | $ | 1.4 |
Change in Value
|
||||||||
Recognized in OCI on
|
||||||||
Derivatives in Cash Flow
|
Derivative
|
|||||||
Hedging Relationships
|
(Effective Portion)
|
|||||||
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Interest rate derivatives
|
$ | (5.7 | ) | $ | (0.7 | ) | ||
Commodity derivatives – Revenue
|
(7.1 | ) | (10.0 | ) | ||||
Commodity derivatives – Operating costs and expenses
|
(51.8 | ) | (52.0 | ) | ||||
Foreign currency derivatives
|
(0.1 | ) | (10.6 | ) | ||||
Total
|
$ | (64.7 | ) | $ | (73.3 | ) |
Amount of Gain/(Loss)
|
|||||||||
Location of Gain/(Loss)
|
Reclassified from AOCI
|
||||||||
Derivatives in Cash Flow
|
Reclassified from AOCI
|
into Income
|
|||||||
Hedging Relationships
|
into Income (Effective Portion)
|
(Effective Portion)
|
|||||||
For the Three Months
|
|||||||||
Ended March 31,
|
|||||||||
2010
|
2009
|
||||||||
Interest rate derivatives
|
Interest expense
|
$ | (3.3 | ) | $ | (2.3 | ) | ||
Commodity derivatives
|
Revenue
|
(15.8 | ) | 15.3 | |||||
Commodity derivatives
|
Operating costs and expenses
|
(0.7 | ) | (47.5 | ) | ||||
Foreign currency derivatives
|
Other income
|
0.3 | -- | ||||||
Total
|
$ | (19.5 | ) | $ | (34.5 | ) |
Location of Loss
|
Amount of Loss
|
||||||||
Recognized in Income
|
Recognized in Income on
|
||||||||
Derivatives in Cash Flow
|
on Ineffective Portion
|
Ineffective Portion of
|
|||||||
Hedging Relationships
|
of Derivative
|
Derivative
|
|||||||
For the Three Months
|
|||||||||
Ended March 31,
|
|||||||||
2010
|
2009
|
||||||||
Commodity derivatives
|
Operating costs and expenses
|
$ | (0.6 | ) | $ | (1.1 | ) | ||
Total
|
$ | (0.6 | ) | $ | (1.1 | ) |
Gain/(Loss) Recognized in
|
|||||||||
Derivatives Not Designated
|
Income on Derivative
|
||||||||
Hedging Instruments
|
Amount
|
Location
|
|||||||
For the Three Months
|
|||||||||
Ended March 31,
|
|||||||||
2010
|
2009
|
||||||||
Commodity derivatives
|
$ | 3.9 | $ | 24.3 |
Revenue
|
||||
Commodity derivatives
|
(1.5 | ) | -- |
Operating costs and expenses
|
|||||
Foreign currency derivatives
|
-- | (0.1 | ) |
Other, net
|
|||||
Total
|
$ | 2.4 | $ | 24.2 |
§
|
Level 1 fair values are based on quoted prices, which are available in active markets for identical assets or liabilities as of the measurement date. Active markets are defined as those in which transactions for identical assets or liabilities occur with sufficient frequency so as to provide pricing information on an ongoing basis (e.g., the New York Mercantile Exchange). Our Level 1 fair values primarily consist of financial assets and liabilities such as exchange-traded commodity derivative instruments.
|
§
|
Level 2 fair values are based on pricing inputs other than quoted prices in active markets (as reflected in Level 1 fair values) and are either directly or indirectly observable as of the measurement date. Level 2 fair values include instruments that are valued using financial models or other appropriate valuation methodologies. Such financial models are primarily industry-standard models that consider various assumptions, including quoted forward prices for commodities, the time value of money, volatility factors, current market and contractual prices for the underlying instruments and other relevant economic measures. Substantially all of these assumptions are: (i) observable in the marketplace throughout the full term of the instrument, (ii) can be derived from observable data or (iii) are validated by inputs other than quoted prices (e.g., interest rate and yield curves at commonly quoted intervals). Our Level 2 fair values consist of commodity derivative instruments such as forwards, swaps and other instruments transacted on an exchange or over the counter and interest rate derivative instruments. The fair values of these derivatives are based on observable price quotes for similar products and locations. The value of our interest rate derivatives are valued by using appropriate financial models with the implied forward London Interbank Offered Rate yield curve for the same period as the future interest swap settlements.
|
§
|
Level 3 fair values are based on unobservable inputs. Unobservable inputs are used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. Unobservable inputs reflect the reporting entity’s own ideas about the assumptions that market participants would use in pricing an asset or liability (including assumptions about risk). Unobservable inputs are based on the best information available in the circumstances, which might include the reporting entity’s internally developed data. The reporting entity must not ignore information about market participant assumptions that is reasonably available without undue cost and effort. Level 3 inputs are typically used in connection with internally developed valuation methodologies where management makes its best estimate of an instrument’s fair value. Our Level 3 fair values largely consist of ethane, normal butane and natural gasoline-based contracts
|
At March 31, 2010
|
||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||||||
Financial assets:
|
||||||||||||||||
Interest rate derivative instruments
|
$ | -- | $ | 64.2 | $ | -- | $ | 64.2 | ||||||||
Commodity derivative instruments
|
30.2 | 33.8 | 31.2 | 95.2 | ||||||||||||
Total
|
$ | 30.2 | $ | 98.0 | $ | 31.2 | $ | 159.4 | ||||||||
Financial liabilities:
|
||||||||||||||||
Interest rate derivative instruments
|
$ | -- | $ | 3.9 | $ | -- | $ | 3.9 | ||||||||
Commodity derivative instruments
|
64.8 | 41.6 | 33.8 | 140.2 | ||||||||||||
Total
|
$ | 64.8 | $ | 45.5 | $ | 33.8 | $ | 144.1 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Balance, January 1
|
$ | 5.7 | $ | 32.4 | ||||
Total gains (losses) included in:
|
||||||||
Net income (1)
|
(3.6 | ) | 12.9 | |||||
Other comprehensive income (loss)
|
(8.3 | ) | 1.5 | |||||
Purchases, issuances, settlements - net
|
3.6 | (12.3 | ) | |||||
Balance, March 31
|
$ | (2.6 | ) | $ | 34.5 | |||
(1) There were $0.5 million of unrealized gains and $0.2 million of unrealized losses included in these amounts for the three months ended March 31, 2010 and 2009, respectively.
|
Level 3
|
Impairment
Charges
|
|||||||
Property, plant and equipment
|
$ | -- | $ | 1.5 |
March 31,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
Working inventory (1)
|
$ | 702.8 | $ | 466.4 | ||||
Forward sales inventory (2)
|
288.1 | 245.5 | ||||||
Total inventory
|
$ | 990.9 | $ | 711.9 | ||||
(1) Working inventory is comprised of inventories of natural gas, NGLs, crude oil, refined products, lubrication oils and certain petrochemical products that are either available-for-sale or used in the provision for services.
(2) Forward sales inventory consists of identified natural gas, NGL, refined product and crude oil volumes dedicated to the fulfillment of forward sales contracts.
|
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Cost of sales (1)
|
$ | 7,342.3 | $ | 3,817.9 | ||||
LCM adjustments
|
5.7 | 4.3 | ||||||
(1) Cost of sales is included in “Operating costs and expenses,” as presented on our Unaudited Condensed Statements of Consolidated Operations. The fluctuation in this amount quarter-to-quarter is primarily due to changes in energy commodity prices and sales volumes associated with our marketing activities.
|
Estimated
|
||||||||||||
Useful Life
|
March 31,
|
December 31,
|
||||||||||
in Years
|
2010
|
2009
|
||||||||||
Plants and pipelines (1)
|
3-45 (5) | $ | 18,077.8 | $ | 17,681.9 | |||||||
Underground and other storage facilities (2)
|
5-40 (6) | 1,294.6 | 1,280.5 | |||||||||
Platforms and facilities (3)
|
20-31 | 637.6 | 637.6 | |||||||||
Transportation equipment (4)
|
3-10 | 61.2 | 60.1 | |||||||||
Marine vessels
|
15-30 | 559.0 | 559.4 | |||||||||
Land
|
82.9 | 82.9 | ||||||||||
Construction in progress
|
1,021.8 | 1,207.2 | ||||||||||
Total
|
21,734.9 | 21,509.6 | ||||||||||
Less accumulated depreciation
|
3,999.6 | 3,820.4 | ||||||||||
Property, plant and equipment, net
|
$ | 17,735.3 | $ | 17,689.2 | ||||||||
(1) Plants and pipelines include processing plants; NGL, petrochemical, crude oil and natural gas pipelines; terminal loading and unloading facilities; office furniture and equipment; buildings; laboratory and shop equipment and related assets.
(2) Underground and other storage facilities include underground product storage caverns; above ground storage tanks; water wells and related assets.
(3) Platforms and facilities include offshore platforms and related facilities and other associated assets.
(4) Transportation equipment includes vehicles and similar assets used in our operations.
(5) In general, the estimated useful lives of major components of this category are as follows: processing plants, 20-35 years; pipelines and related equipment, 5-45 years; terminal facilities, 10-35 years; delivery facilities, 20-40 years; office furniture and equipment, 3-20 years; buildings, 20-40 years; and laboratory and shop equipment, 5-35 years.
(6) In general, the estimated useful lives of major components of this category are as follows: underground storage facilities, 5-35 years; storage tanks, 10-40 years; and water wells, 5-35 years.
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Depreciation expense (1)
|
$ | 180.3 | $ | 158.6 | ||||
Capitalized interest (2)
|
10.5 | 17.4 | ||||||
(1) Depreciation expense is a component of “Costs and expenses” as presented in our Unaudited Condensed Statements of Consolidated Operations.
(2) Capitalized interest increases the carrying value of the associated asset and reduces interest expense during the period it is recorded.
|
ARO liability balance, December 31, 2009
|
$ | 54.8 | ||
Revisions in estimated cash flows
|
4.2 | |||
Accretion expense
|
1.0 | |||
ARO liability balance, March 31, 2010
|
$ | 60.0 |
Remainder of
|
||||||||||||||||||
2010
|
2011
|
2012
|
2013
|
2014
|
||||||||||||||
$ | 2.8 | $ | 3.7 | $ | 4.0 | $ | 4.3 | $ | 4.7 |
Ownership
|
||||||||||||
Interest at
|
||||||||||||
March 31,
|
March 31,
|
December 31,
|
||||||||||
2010
|
2010
|
2009
|
||||||||||
NGL Pipelines & Services:
|
||||||||||||
Venice Energy Service Company, L.L.C.
|
13.1% | $ | 31.6 | $ | 32.6 | |||||||
K/D/S Promix, L.L.C. (“Promix”)
|
50% | 50.1 | 48.9 | |||||||||
Baton Rouge Fractionators LLC
|
32.2% | 22.5 | 22.2 | |||||||||
Skelly-Belvieu Pipeline Company, L.L.C.
|
50% | 34.5 | 37.9 | |||||||||
Onshore Natural Gas Pipelines & Services:
|
||||||||||||
Evangeline (1)
|
49.5% | 5.8 | 5.6 | |||||||||
White River Hub, LLC
|
50% | 26.6 | 26.4 | |||||||||
Onshore Crude Oil Pipelines & Services:
|
||||||||||||
Seaway Crude Pipeline Company (“Seaway”)
|
50% | 177.2 | 178.5 | |||||||||
Offshore Pipelines & Services:
|
||||||||||||
Poseidon Oil Pipeline Company, L.L.C. (“Poseidon”)
|
36% | 61.0 | 61.7 | |||||||||
Cameron Highway Oil Pipeline Company (“Cameron Highway”)
|
50% | 237.5 | 239.6 | |||||||||
Deepwater Gateway, L.L.C.
|
50% | 100.7 | 101.8 | |||||||||
Neptune Pipeline Company, L.L.C.
|
25.7% | 55.6 | 53.8 | |||||||||
Petrochemical & Refined Products Services:
|
||||||||||||
Baton Rouge Propylene Concentrator, LLC
|
30% | 11.1 | 11.1 | |||||||||
Centennial Pipeline LLC (“Centennial”)
|
50% | 65.6 | 66.7 | |||||||||
Other (2)
|
Various
|
3.7 | 3.8 | |||||||||
Total
|
$ | 883.5 | $ | 890.6 | ||||||||
|
||||||||||||
(1) Evangeline refers to our ownership interests in Evangeline Gas Pipeline Company, L.P. and Evangeline Gas Corp., collectively.
(2) Other unconsolidated affiliates include a 50% interest in a propylene pipeline extending from Mont Belvieu, Texas to La Porte, Texas and a 25% interest in a company that provides logistics communications solutions between petroleum pipelines and their customers.
|
March 31,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
NGL Pipelines & Services
|
$ | 26.4 | $ | 27.1 | ||||
Onshore Crude Oil Pipelines & Services
|
20.2 | 20.4 | ||||||
Offshore Pipelines & Services
|
17.0 | 17.3 | ||||||
Petrochemical & Refined Products Services
|
3.3 | 4.0 | ||||||
Total
|
$ | 66.9 | $ | 68.8 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
NGL Pipelines & Services
|
$ | 0.2 | $ | 0.2 | ||||
Onshore Crude Oil Pipelines & Services
|
0.2 | 0.2 | ||||||
Offshore Pipelines & Services
|
0.3 | 0.3 | ||||||
Petrochemical & Refined Products Services
|
0.7 | 1.3 | ||||||
Total
|
$ | 1.4 | $ | 2.0 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
NGL Pipelines & Services
|
$ | 3.3 | $ | 1.2 | ||||
Onshore Natural Gas Pipelines & Services
|
1.3 | 1.1 | ||||||
Onshore Crude Oil Pipelines & Services
|
2.3 | 3.3 | ||||||
Offshore Pipelines & Services
|
11.8 | 4.7 | ||||||
Petrochemical & Refined Products Services
|
(2.7 | ) | (2.9 | ) | ||||
Total
|
$ | 16.0 | $ | 7.4 |
Summarized Income Statement Information for the Three Months Ended
|
||||||||||||||||||||||||
March 31, 2010
|
March 31, 2009
|
|||||||||||||||||||||||
Operating
|
Net
|
Operating
|
Net
|
|||||||||||||||||||||
Revenues
|
Income
|
Income (Loss)
|
Revenues
|
Income
|
Income
|
|||||||||||||||||||
NGL Pipelines & Services
|
$ | 74.8 | $ | 13.1 | $ | 13.0 | $ | 55.6 | $ | 5.0 | $ | 5.1 | ||||||||||||
Onshore Natural Gas Pipelines & Services
|
42.3 | 2.5 | 2.4 | 38.3 | 2.1 | 2.2 | ||||||||||||||||||
Onshore Crude Oil Pipelines & Services
|
18.5 | 7.3 | 7.3 | 19.7 | 8.7 | 8.7 | ||||||||||||||||||
Offshore Pipelines & Services
|
55.0 | 29.2 | 28.7 | 29.4 | 1.1 | 0.5 | ||||||||||||||||||
Petrochemical & Refined Products Services
|
8.6 | 0.6 | (0.3 | ) | 14.9 | 3.7 | 1.0 |
March 31, 2010
|
December 31, 2009
|
|||||||||||||||||||||||
Gross
|
Accum.
|
Carrying
|
Gross
|
Accum.
|
Carrying
|
|||||||||||||||||||
Value
|
Amort.
|
Value
|
Value
|
Amort.
|
Value
|
|||||||||||||||||||
NGL Pipelines & Services:
|
||||||||||||||||||||||||
Customer relationship intangibles
|
$ | 237.4 | $ | (90.6 | ) | $ | 146.8 | $ | 237.4 | $ | (86.5 | ) | $ | 150.9 | ||||||||||
Contract-based intangibles
|
321.4 | (161.9 | ) | 159.5 | 321.4 | (156.7 | ) | 164.7 | ||||||||||||||||
Segment total
|
558.8 | (252.5 | ) | 306.3 | 558.8 | (243.2 | ) | 315.6 | ||||||||||||||||
Onshore Natural Gas Pipelines & Services:
|
||||||||||||||||||||||||
Customer relationship intangibles
|
372.0 | (129.3 | ) | 242.7 | 372.0 | (124.3 | ) | 247.7 | ||||||||||||||||
Contract-based intangibles
|
565.3 | (295.0 | ) | 270.3 | 565.3 | (285.8 | ) | 279.5 | ||||||||||||||||
Segment total
|
937.3 | (424.3 | ) | 513.0 | 937.3 | (410.1 | ) | 527.2 | ||||||||||||||||
Onshore Crude Oil Pipelines & Services:
|
||||||||||||||||||||||||
Contract-based intangibles
|
10.0 | (3.6 | ) | 6.4 | 10.0 | (3.5 | ) | 6.5 | ||||||||||||||||
Segment total
|
10.0 | (3.6 | ) | 6.4 | 10.0 | (3.5 | ) | 6.5 | ||||||||||||||||
Offshore Pipelines & Services:
|
||||||||||||||||||||||||
Customer relationship intangibles
|
205.8 | (108.6 | ) | 97.2 | 205.8 | (105.3 | ) | 100.5 | ||||||||||||||||
Contract-based intangibles
|
1.2 | (0.3 | ) | 0.9 | 1.2 | (0.2 | ) | 1.0 | ||||||||||||||||
Segment total
|
207.0 | (108.9 | ) | 98.1 | 207.0 | (105.5 | ) | 101.5 | ||||||||||||||||
Petrochemical & Refined Products Services:
|
||||||||||||||||||||||||
Customer relationship intangibles
|
104.6 | (20.1 | ) | 84.5 | 104.6 | (18.8 | ) | 85.8 | ||||||||||||||||
Contract-based intangibles
|
42.1 | (15.2 | ) | 26.9 | 42.1 | (13.9 | ) | 28.2 | ||||||||||||||||
Segment total
|
146.7 | (35.3 | ) | 111.4 | 146.7 | (32.7 | ) | 114.0 | ||||||||||||||||
Total all segments
|
$ | 1,859.8 | $ | (824.6 | ) | $ | 1,035.2 | $ | 1,859.8 | $ | (795.0 | ) | $ | 1,064.8 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
NGL Pipelines & Services
|
$ | 9.3 | $ | 9.8 | ||||
Onshore Natural Gas Pipelines & Services
|
14.2 | 14.6 | ||||||
Onshore Crude Oil Pipelines & Services
|
0.1 | 0.1 | ||||||
Offshore Pipelines & Services
|
3.4 | 3.9 | ||||||
Petrochemical & Refined Products Services
|
2.6 | 2.7 | ||||||
Total
|
$ | 29.6 | $ | 31.1 |
Remainder of
|
||||||||||||||||||
2010
|
2011
|
2012
|
2013
|
2014
|
||||||||||||||
$ | 85.1 | $ | 105.7 | $ | 70.0 | $ | 81.9 | $ | 76.5 |
March 31,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
EPO senior debt obligations:
|
||||||||
Multi-Year Revolving Credit Facility, variable-rate, due November 2012
|
$ | -- | $ | 195.5 | ||||
Pascagoula MBFC Loan, 8.70% fixed-rate, due March 2010
|
-- | 54.0 | ||||||
Petal GO Zone Bonds, variable-rate, due August 2034
|
57.5 | 57.5 | ||||||
Senior Notes B, 7.50% fixed-rate, due February 2011 (1)
|
450.0 | 450.0 | ||||||
Senior Notes C, 6.375% fixed-rate, due February 2013
|
350.0 | 350.0 | ||||||
Senior Notes D, 6.875% fixed-rate, due March 2033
|
500.0 | 500.0 | ||||||
Senior Notes G, 5.60% fixed-rate, due October 2014
|
650.0 | 650.0 | ||||||
Senior Notes H, 6.65% fixed-rate, due October 2034
|
350.0 | 350.0 | ||||||
Senior Notes I, 5.00% fixed-rate, due March 2015
|
250.0 | 250.0 | ||||||
Senior Notes J, 5.75% fixed-rate, due March 2035
|
250.0 | 250.0 | ||||||
Senior Notes K, 4.95% fixed-rate, due June 2010 (1)
|
500.0 | 500.0 | ||||||
Senior Notes L, 6.30% fixed-rate, due September 2017
|
800.0 | 800.0 | ||||||
Senior Notes M, 5.65% fixed-rate, due April 2013
|
400.0 | 400.0 | ||||||
Senior Notes N, 6.50% fixed-rate, due January 2019
|
700.0 | 700.0 | ||||||
Senior Notes O, 9.75% fixed-rate, due January 2014
|
500.0 | 500.0 | ||||||
Senior Notes P, 4.60% fixed-rate, due August 2012
|
500.0 | 500.0 | ||||||
Senior Notes Q, 5.25% fixed-rate, due January 2020
|
500.0 | 500.0 | ||||||
Senior Notes R, 6.125% fixed-rate, due October 2039
|
600.0 | 600.0 | ||||||
Senior Notes S, 7.625% fixed-rate, due February 2012
|
490.5 | 490.5 | ||||||
Senior Notes T, 6.125% fixed-rate, due February 2013
|
182.5 | 182.5 | ||||||
Senior Notes U, 5.90% fixed-rate, due April 2013
|
237.6 | 237.6 | ||||||
Senior Notes V, 6.65% fixed-rate, due April 2018
|
349.7 | 349.7 | ||||||
Senior Notes W, 7.55% fixed-rate, due April 2038
|
399.6 | 399.6 | ||||||
TEPPCO senior debt obligations:
|
||||||||
TEPPCO Senior Notes
|
40.1 | 40.1 | ||||||
Duncan Energy Partners’ debt obligations:
|
||||||||
DEP Revolving Credit Facility, variable-rate, due February 2011 (2)
|
175.0 | 175.0 | ||||||
DEP Term Loan, variable-rate, due December 2011
|
282.3 | 282.3 | ||||||
Total principal amount of senior debt obligations
|
9,514.8 | 9,764.3 | ||||||
EPO Junior Subordinated Notes A, fixed/variable-rate, due August 2066
|
550.0 | 550.0 | ||||||
EPO Junior Subordinated Notes B, fixed/variable-rate, due January 2068
|
682.7 | 682.7 | ||||||
EPO Junior Subordinated Notes C, fixed/variable-rate, due June 2067
|
285.8 | 285.8 | ||||||
TEPPCO Junior Subordinated Notes, fixed/variable-rate, due June 2067
|
14.2 | 14.2 | ||||||
Total principal amount of senior and junior debt obligations
|
11,047.5 | 11,297.0 | ||||||
Other, non-principal amounts:
|
||||||||
Change in fair value of debt-related derivative instruments (see Note 4)
|
41.2 | 44.4 | ||||||
Unamortized discounts, net of premiums
|
(18.4 | ) | (18.7 | ) | ||||
Unamortized deferred net gains related to terminated interest rate swaps (see Note 4)
|
20.4 | 23.7 | ||||||
Total other, non-principal amounts
|
43.2 | 49.4 | ||||||
Less current maturities of debt (2)
|
(175.0 | ) | -- | |||||
Total long-term debt
|
$ | 10,915.7 | $ | 11,346.4 | ||||
(1) Long-term and current maturities of debt reflect the classification of such obligations at March 31, 2010 after taking into consideration EPO’s ability to use available long-term borrowing capacity under its Multi-Year Revolving Credit Facility to satisfy the current maturities of Senior Notes B and K.
(2) Reflects Duncan Energy Partners’ classification of debt at March 31, 2010.
|
Range of
|
Weighted-Average
|
|
Interest Rates
|
Interest Rate
|
|
Paid
|
Paid
|
|
EPO Multi-Year Revolving Credit Facility
|
0.73% to 3.25%
|
0.75%
|
DEP Revolving Credit Facility
|
0.80% to 0.86%
|
0.83%
|
DEP Term Loan
|
0.93%
|
0.93%
|
Petal GO Zone Bonds
|
0.12% to 0.29%
|
0.18%
|
Scheduled Maturities of Debt
|
||||||||||||||||||||||||||||
Remainder of
|
After
|
|||||||||||||||||||||||||||
Total
|
2010
|
2011
|
2012
|
2013
|
2014
|
2014
|
||||||||||||||||||||||
Revolving Credit Facilities
|
$ | 175.0 | $ | -- | $ | 175.0 | $ | -- | $ | -- | $ | -- | $ | -- | ||||||||||||||
Senior Notes
|
9,000.0 | 500.0 | 450.0 | 1,000.0 | 1,200.0 | 1,150.0 | 4,700.0 | |||||||||||||||||||||
Term Loans
|
282.3 | -- | 282.3 | -- | -- | -- | -- | |||||||||||||||||||||
Junior Subordinated Notes
|
1,532.7 | -- | -- | -- | -- | -- | 1,532.7 | |||||||||||||||||||||
Other
|
57.5 | -- | -- | -- | -- | -- | 57.5 | |||||||||||||||||||||
Total
|
$ | 11,047.5 | $ | 500.0 | $ | 907.3 | $ | 1,000.0 | $ | 1,200.0 | $ | 1,150.0 | $ | 6,290.2 |
Scheduled Maturities of Debt
|
||||||||||||||||||||||||||||||||
Ownership
|
Remainder of
|
After
|
||||||||||||||||||||||||||||||
Interest
|
Total
|
2010
|
2011
|
2012
|
2013
|
2014
|
2014
|
|||||||||||||||||||||||||
Poseidon
|
36% | $ | 92.0 | $ | -- | $ | 92.0 | $ | -- | $ | -- | $ | -- | $ | -- | |||||||||||||||||
Evangeline
|
49.5% | 10.7 | 3.2 | 7.5 | -- | -- | -- | -- | ||||||||||||||||||||||||
Centennial
|
50% | 117.7 | 6.8 | 9.0 | 8.9 | 8.6 | 8.6 | 75.8 | ||||||||||||||||||||||||
Total
|
$ | 220.4 | $ | 10.0 | $ | 108.5 | $ | 8.9 | $ | 8.6 | $ | 8.6 | $ | 75.8 |
Net Cash Proceeds from Issuance of Common Units
|
||||||||||||||||
Number of
|
Contributed
|
Contributed by
|
Total
|
|||||||||||||
Common Units
|
by Limited
|
General
|
Net Cash
|
|||||||||||||
Issued
|
Partners
|
Partner
|
Proceeds
|
|||||||||||||
January underwritten offering
|
10,925,000 | $ | 343.3 | $ | 7.0 | $ | 350.3 | |||||||||
February DRIP and EUPP
|
2,834,584 | 85.0 | 1.8 | 86.8 | ||||||||||||
Total 2010
|
13,759,584 | $ | 428.3 | $ | 8.8 | $ | 437.1 |
Restricted
|
||||||||||||||||
Common
|
Common
|
Class B
|
Treasury
|
|||||||||||||
Units
|
Units
|
Units
|
Units
|
|||||||||||||
Balance, December 31, 2009
|
603,202,828 | 2,720,882 | 4,520,431 | -- | ||||||||||||
Common units issued in connection with underwritten offering
|
10,925,000 | -- | -- | -- | ||||||||||||
Common units issued in connection with DRIP and EUPP
|
2,834,584 | -- | -- | -- | ||||||||||||
Common units issued in connection with equity awards
|
20,092 | -- | -- | -- | ||||||||||||
Restricted units issued
|
-- | 1,290,075 | -- | -- | ||||||||||||
Forfeiture of restricted units
|
-- | (50,548 | ) | -- | -- | |||||||||||
Conversion of restricted units to common units
|
34,528 | (34,528 | ) | -- | -- | |||||||||||
Acquisition of treasury units
|
(7,480 | ) | -- | -- | 7,480 | |||||||||||
Cancellation of treasury units
|
-- | -- | -- | (7,480 | ) | |||||||||||
Other
|
(61 | ) | -- | -- | -- | |||||||||||
Balance, March 31, 2010
|
617,009,491 | 3,925,881 | 4,520,431 | -- |
Restricted
|
||||||||||||||||
Common
|
Common
|
Class B
|
||||||||||||||
Units
|
Units
|
Units
|
Total
|
|||||||||||||
Balance, December 31, 2009
|
$ | 9,173.5 | $ | 37.7 | $ | 118.5 | $ | 9,329.7 | ||||||||
Net income
|
315.8 | 1.6 | -- | 317.4 | ||||||||||||
Operating lease expenses paid by EPCO
|
0.2 | -- | -- | 0.2 | ||||||||||||
Cash distributions paid to partners
|
(344.0 | ) | (1.5 | ) | -- | (345.5 | ) | |||||||||
Unit option reimbursements to EPCO
|
(0.9 | ) | -- | -- | (0.9 | ) | ||||||||||
Net cash proceeds from issuance of common units
|
428.3 | -- | -- | 428.3 | ||||||||||||
Cash proceeds from exercise of unit options
|
0.6 | -- | -- | 0.6 | ||||||||||||
Amortization of equity awards
|
1.9 | 6.1 | -- | 8.0 | ||||||||||||
Acquisition of treasury units
|
-- | (0.2 | ) | -- | (0.2 | ) | ||||||||||
Balance, March 31, 2010
|
$ | 9,575.4 | $ | 43.7 | $ | 118.5 | $ | 9,737.6 |
Distribution Per
|
Record
|
Payment
|
|
Common Unit
|
Date
|
Date
|
|
2008
|
|||
1st Quarter
|
$0.5075
|
Apr. 30, 2008
|
May 7, 2008
|
2nd Quarter
|
$0.5150
|
Jul. 31, 2008
|
Aug. 7, 2008
|
3rd Quarter
|
$0.5225
|
Oct. 31, 2008
|
Nov. 12, 2008
|
4th Quarter
|
$0.5300
|
Jan. 30, 2009
|
Feb. 9, 2009
|
2009
|
|||
1st Quarter
|
$0.5375
|
Apr. 30, 2009
|
May 8, 2009
|
2nd Quarter
|
$0.5450
|
Jul. 31, 2009
|
Aug. 7, 2009
|
3rd Quarter
|
$0.5525
|
Oct. 30, 2009
|
Nov. 5, 2009
|
4th Quarter
|
$0.5600
|
Jan. 29, 2010
|
Feb. 4, 2010
|
2010
|
|||
1st Quarter
|
$0.5675
|
Apr. 30, 2010
|
May 6, 2010
|
March 31,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
Commodity derivative instruments (1)
|
$ | (41.9 | ) | $ | 0.5 | |||
Interest rate derivative instruments (1)
|
(14.9 | ) | (12.5 | ) | ||||
Foreign currency derivative instruments (1)
|
-- | 0.4 | ||||||
Foreign currency translation adjustment (2)
|
1.4 | 0.8 | ||||||
Pension and postretirement benefit plans
|
(1.7 | ) | (0.8 | ) | ||||
Subtotal
|
(57.1 | ) | (11.6 | ) | ||||
Amount attributable to noncontrolling interest
|
2.5 | 3.2 | ||||||
Total AOCI in partners’ equity
|
$ | (54.6 | ) | $ | (8.4 | ) | ||
(1) See Note 4 for additional information regarding these components of AOCI.
(2) Relates to transactions of our Canadian NGL marketing subsidiary.
|
March 31,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
Limited partners of Duncan Energy Partners:
|
||||||||
Third-party owners of Duncan Energy Partners (1)
|
$ | 412.7 | $ | 414.3 | ||||
Related party owners of Duncan Energy Partners
|
1.7 | 1.7 | ||||||
Joint venture partners (2)
|
118.0 | 117.4 | ||||||
AOCI attributable to noncontrolling interest
|
(2.5 | ) | (3.2 | ) | ||||
Total
|
$ | 529.9 | $ | 530.2 | ||||
(1) Represents non-affiliate public unitholders of Duncan Energy Partners.
(2) Represents third-party ownership interests in joint ventures that we consolidate, including Seminole Pipeline Company, Tri-States Pipeline L.L.C., Independence Hub LLC, Rio Grande Pipeline, LLC and Wilprise Pipeline Company LLC.
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Former owners of TEPPCO
|
$ | -- | $ | 78.3 | ||||
Limited partners of Duncan Energy Partners
|
8.7 | 5.1 | ||||||
Joint venture partners
|
7.3 | 6.8 | ||||||
Total
|
$ | 16.0 | $ | 90.2 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Cash distributions paid to noncontrolling interest:
|
||||||||
Limited partners of TEPPCO
|
$ | -- | $ | 91.4 | ||||
Limited partners of Duncan Energy Partners
|
10.6 | 6.4 | ||||||
Joint venture partners
|
6.8 | 7.7 | ||||||
Total cash distributions paid to noncontrolling interest
|
$ | 17.4 | $ | 105.5 | ||||
Cash contributions from noncontrolling interest:
|
||||||||
Limited partners of TEPPCO
|
$ | -- | $ | 1.6 | ||||
Limited partners of Duncan Energy Partners
|
0.2 | -- | ||||||
Joint venture partners
|
-- | (2.2 | ) | |||||
Total cash contributions from noncontrolling interest
|
$ | 0.2 | $ | (0.6 | ) |
For the Three Months
|
|||||||||
Ended March 31,
|
|||||||||
2010
|
2009
|
||||||||
Revenues
|
$ | 8,544.5 | $ | 4,886.9 | |||||
Less:
|
Operating costs and expenses
|
(7,971.9 | ) | (4,376.6 | ) | ||||
Add:
|
Equity in income of unconsolidated affiliates
|
16.0 | 7.4 | ||||||
Depreciation, amortization and accretion in operating costs and expenses (1)
|
212.4 | 196.4 | |||||||
Non-cash impairment charges
|
1.5 | -- | |||||||
Operating lease expenses paid by EPCO
|
0.2 | 0.2 | |||||||
Gain from asset sales and related transactions in operating costs and expenses (2)
|
(7.3 | ) | (0.2 | ) | |||||
Total segment gross operating margin
|
$ | 795.4 | $ | 714.1 | |||||
(1) Amount is a component of “Depreciation, amortization and accretion” as presented on the Unaudited Condensed Statements of Consolidated Cash Flows.
(2) Amount is a component of “Gain from asset sales and related transactions” as presented on the Unaudited Condensed Statements of Consolidated Cash Flows.
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Total segment gross operating margin
|
$ | 795.4 | $ | 714.1 | ||||
Adjustments to reconcile total segment gross operating margin
to operating income:
|
||||||||
Depreciation, amortization and accretion in operating costs and expenses
|
(212.4 | ) | (196.4 | ) | ||||
Non-cash impairment charges
|
(1.5 | ) | -- | |||||
Operating lease expenses paid by EPCO
|
(0.2 | ) | (0.2 | ) | ||||
Gain from asset sales and related transactions in operating costs and expenses
|
7.3 | 0.2 | ||||||
General and administrative costs
|
(37.6 | ) | (34.9 | ) | ||||
Operating income
|
551.0 | 482.8 | ||||||
Other expense, net
|
(148.5 | ) | (151.3 | ) | ||||
Income before provision for income taxes
|
$ | 402.5 | $ | 331.5 |
Reportable Segments
|
||||||||||||||||||||||||||||
Onshore
|
Onshore
|
Petrochemical
|
||||||||||||||||||||||||||
NGL
|
Natural Gas
|
Crude Oil
|
Offshore
|
& Refined
|
Adjustments
|
|||||||||||||||||||||||
Pipelines
|
Pipelines
|
Pipelines
|
Pipelines
|
Products
|
and
|
Consolidated
|
||||||||||||||||||||||
& Services
|
& Services
|
& Services
|
& Services
|
Services
|
Eliminations
|
Totals
|
||||||||||||||||||||||
Revenues from third parties:
|
||||||||||||||||||||||||||||
Three months ended March 31, 2010
|
$ | 3,666.3 | $ | 1,111.1 | $ | 2,386.7 | $ | 86.5 | $ | 1,061.5 | $ | -- | $ | 8,312.1 | ||||||||||||||
Three months ended March 31, 2009
|
2,266.9 | 667.7 | 1,269.7 | 68.5 | 394.6 | -- | 4,667.4 | |||||||||||||||||||||
Revenues from related parties:
|
||||||||||||||||||||||||||||
Three months ended March 31, 2010
|
180.0 | 50.4 | (0.1 | ) | 2.1 | -- | -- | 232.4 | ||||||||||||||||||||
Three months ended March 31, 2009
|
153.5 | 65.8 | 0.2 | -- | -- | -- | 219.5 | |||||||||||||||||||||
Intersegment and intrasegment revenues:
|
||||||||||||||||||||||||||||
Three months ended March 31, 2010
|
2,547.2 | 215.6 | 24.7 | 0.4 | 257.8 | (3,045.7 | ) | -- | ||||||||||||||||||||
Three months ended March 31, 2009
|
1,387.9 | 153.7 | 8.2 | 0.3 | 116.2 | (1,666.3 | ) | -- | ||||||||||||||||||||
Total revenues:
|
||||||||||||||||||||||||||||
Three months ended March 31, 2010
|
6,393.5 | 1,377.1 | 2,411.3 | 89.0 | 1,319.3 | (3,045.7 | ) | 8,544.5 | ||||||||||||||||||||
Three months ended March 31, 2009
|
3,808.3 | 887.2 | 1,278.1 | 68.8 | 510.8 | (1,666.3 | ) | 4,886.9 | ||||||||||||||||||||
Equity in income (loss) of
unconsolidated affiliates:
|
||||||||||||||||||||||||||||
Three months ended March 31, 2010
|
3.3 | 1.3 | 2.3 | 11.8 | (2.7 | ) | -- | 16.0 | ||||||||||||||||||||
Three months ended March 31, 2009
|
1.2 | 1.1 | 3.3 | 4.7 | (2.9 | ) | -- | 7.4 | ||||||||||||||||||||
Gross operating margin:
|
||||||||||||||||||||||||||||
Three months ended March 31, 2010
|
437.3 | 130.3 | 26.7 | 81.1 | 120.0 | -- | 795.4 | |||||||||||||||||||||
Three months ended March 31, 2009
|
350.9 | 161.9 | 50.5 | 61.3 | 89.5 | -- | 714.1 | |||||||||||||||||||||
Segment assets:
|
||||||||||||||||||||||||||||
At March 31, 2010
|
7,257.4 | 6,863.8 | 861.7 | 2,097.8 | 3,569.8 | 1,021.8 | 21,672.3 | |||||||||||||||||||||
At December 31, 2009
|
7,191.2 | 6,918.7 | 865.4 | 2,121.4 | 3,359.0 | 1,207.2 | 21,662.9 | |||||||||||||||||||||
Property, plant and equipment:
(see Note 6)
|
||||||||||||||||||||||||||||
At March 31, 2010
|
6,471.2 | 6,033.5 | 375.1 | 1,462.8 | 2,370.9 | 1,021.8 | 17,735.3 | |||||||||||||||||||||
At December 31, 2009
|
6,392.8 | 6,074.6 | 377.4 | 1,480.9 | 2,156.3 | 1,207.2 | 17,689.2 | |||||||||||||||||||||
Investments in unconsolidated affiliates:
(see Note 7)
|
||||||||||||||||||||||||||||
At March 31, 2010
|
138.7 | 32.4 | 177.2 | 454.8 | 80.4 | -- | 883.5 | |||||||||||||||||||||
At December 31, 2009
|
141.6 | 32.0 | 178.5 | 456.9 | 81.6 | -- | 890.6 | |||||||||||||||||||||
Intangible assets, net: (see Note 8)
|
||||||||||||||||||||||||||||
At March 31, 2010
|
306.3 | 513.0 | 6.4 | 98.1 | 111.4 | -- | 1,035.2 | |||||||||||||||||||||
At December 31, 2009
|
315.6 | 527.2 | 6.5 | 101.5 | 114.0 | -- | 1,064.8 | |||||||||||||||||||||
Goodwill: (see Note 8)
|
||||||||||||||||||||||||||||
At March 31, 2010
|
341.2 | 284.9 | 303.0 | 82.1 | 1,007.1 | -- | 2,018.3 | |||||||||||||||||||||
At December 31, 2009
|
341.2 | 284.9 | 303.0 | 82.1 | 1,007.1 | -- | 2,018.3 |
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
NGL Pipelines & Services:
|
||||||||
Sales of NGLs
|
$ | 3,664.1 | $ | 2,252.2 | ||||
Sales of other petroleum and related products
|
0.5 | 0.5 | ||||||
Midstream services
|
181.7 | 167.7 | ||||||
Total
|
3,846.3 | 2,420.4 | ||||||
Onshore Natural Gas Pipelines & Services:
|
||||||||
Sales of natural gas
|
975.2 | 556.6 | ||||||
Midstream services
|
186.3 | 176.9 | ||||||
Total
|
1,161.5 | 733.5 | ||||||
Onshore Crude Oil Pipelines & Services:
|
||||||||
Sales of crude oil
|
2,367.3 | 1,245.8 | ||||||
Midstream services
|
19.3 | 24.1 | ||||||
Total
|
2,386.6 | 1,269.9 | ||||||
Offshore Pipelines & Services:
|
||||||||
Sales of natural gas
|
0.4 | 0.3 | ||||||
Sales of crude oil
|
2.1 | 0.2 | ||||||
Midstream services
|
86.1 | 68.0 | ||||||
Total
|
88.6 | 68.5 | ||||||
Petrochemical & Refined Products Services:
|
||||||||
Sales of other petroleum and related products
|
932.6 | 261.5 | ||||||
Midstream services
|
128.9 | 133.1 | ||||||
Total
|
1,061.5 | 394.6 | ||||||
Total consolidated revenues
|
$ | 8,544.5 | $ | 4,886.9 | ||||
Consolidated costs and expenses
|
||||||||
Operating costs and expenses:
|
||||||||
Cost of sales for our marketing activities
|
$ | 6,649.2 | $ | 3,403.3 | ||||
Depreciation, amortization and accretion
|
212.4 | 196.4 | ||||||
Gain from asset sales and related transactions
|
(7.3 | ) | (0.2 | ) | ||||
Non-cash impairment charges
|
1.5 | -- | ||||||
Other operating costs and expenses
|
1,116.1 | 777.1 | ||||||
General and administrative costs
|
37.6 | 34.9 | ||||||
Total consolidated costs and expenses
|
$ | 8,009.5 | $ | 4,411.5 |
Total revenues, as previously reported
|
$ | 3,423.1 | ||
Revenues from TEPPCO
|
1,457.5 | |||
Revenues from Jonah Gas Gathering Company (“Jonah”) (1)
|
59.4 | |||
Eliminations (2)
|
(53.1 | ) | ||
Total revenues, as currently reported
|
$ | 4,886.9 | ||
Total segment gross operating margin, as previously reported
|
$ | 548.7 | ||
Gross operating margin from TEPPCO
|
151.2 | |||
Gross operating margin from Jonah
|
45.3 | |||
Eliminations (3)
|
(31.1 | ) | ||
Total segment gross operating margin, as currently reported
|
$ | 714.1 | ||
(1) Prior to the TEPPCO Merger, we and TEPPCO were joint venture partners in Jonah. As a result of the TEPPCO Merger, Jonah became a consolidated subsidiary.
(2) Represents the elimination of revenues between Enterprise Products Partners, TEPPCO and Jonah.
(3) Represents the elimination of equity earnings from Jonah recorded by Enterprise Products Partners and TEPPCO prior to the merger.
|
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Revenues – related parties:
|
||||||||
Energy Transfer Equity and subsidiaries
|
$ | 186.6 | $ | 162.8 | ||||
Unconsolidated affiliates
|
45.8 | 56.7 | ||||||
Total revenue – related parties
|
$ | 232.4 | $ | 219.5 | ||||
Costs and expenses – related parties:
|
||||||||
EPCO and affiliates
|
$ | 158.4 | $ | 143.8 | ||||
Energy Transfer Equity and subsidiaries
|
176.9 | 91.4 | ||||||
Unconsolidated affiliates
|
12.2 | 6.9 | ||||||
Other
|
-- | 14.4 | ||||||
Total costs and expenses – related parties
|
$ | 347.5 | $ | 256.5 |
March 31,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
Accounts receivable - related parties:
|
||||||||
EPCO and affiliates
|
$ | 0.3 | $ | -- | ||||
Energy Transfer Equity and subsidiaries
|
11.3 | 28.2 | ||||||
Other
|
15.3 | 10.2 | ||||||
Total accounts receivable – related parties
|
$ | 26.9 | $ | 38.4 | ||||
Accounts payable - related parties:
|
||||||||
EPCO and affiliates
|
$ | 2.1 | $ | 26.8 | ||||
Energy Transfer Equity and subsidiaries
|
37.5 | 33.4 | ||||||
Other
|
8.2 | 9.6 | ||||||
Total accounts payable – related parties
|
$ | 47.8 | $ | 69.8 |
§
|
EPCO and its privately held affiliates;
|
§
|
EPGP, our sole general partner;
|
§
|
Enterprise GP Holdings, which owns and controls our general partner; and
|
§
|
the Employee Partnerships (see Note 3).
|
Percentage of
|
||
Number of Units
|
Outstanding Units
|
|
Enterprise Products Partners (1) (2)
|
195,882,296
|
31.3%
|
Enterprise GP Holdings (3)
|
108,919,199
|
78.2%
|
(1) Includes 4,520,431 Class B units owned by a privately held affiliate of EPCO and 21,563,177 common units owned by Enterprise GP Holdings.
(2) Enterprise GP Holdings owns 100% of our general partner, EPGP.
(3) An affiliate of EPCO, Dan Duncan LLC, which is controlled by the DD LLC Trustees, who are currently the same individuals as the EPCO Trustees and the independent co-executors of the estate of Dan L. Duncan, also owns 100% of the general partner of Enterprise GP Holdings, EPE Holdings.
|
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
General partner distributions
|
$ | 7.0 | $ | 4.9 | ||||
Incentive distributions
|
53.9 | 35.2 | ||||||
Total distributions
|
$ | 60.9 | $ | 40.1 |
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Enterprise Products Partners
|
$ | 82.9 | $ | 74.9 | ||||
Enterprise GP Holdings
|
57.3 | 43.2 | ||||||
Total distributions
|
$ | 140.2 | $ | 118.1 |
§
|
EPCO will provide selling, general and administrative services, and management and operating services, as may be necessary to manage and operate our businesses, properties and assets (all in accordance with prudent industry practices). EPCO will employ or otherwise retain the services of such personnel as may be necessary to provide such services.
|
§
|
We are required to reimburse EPCO for its services in an amount equal to the sum of all costs and expenses incurred by EPCO which are directly or indirectly related to our business or activities (including expenses reasonably allocated to us by EPCO). In addition, we have agreed to pay all sales, use, excise, value added or similar taxes, if any, that may be applicable from time to time in respect of the services provided to us by EPCO.
|
§
|
EPCO will allow us to participate as a named insured in its overall insurance program, with the associated premiums and other costs being allocated to us.
|
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Operating costs and expenses
|
$ | 134.4 | $ | 117.8 | ||||
General and administrative expenses
|
24.0 | 26.0 | ||||||
Total costs and expenses
|
$ | 158.4 | $ | 143.8 |
§
|
We sell natural gas to Evangeline, which, in turn, uses the natural gas to satisfy supply commitments it has with a major Louisiana utility. Revenues from Evangeline were $37.8 million and $53.6 million for the three months ended March 31, 2010 and 2009, respectively.
|
§
|
We pay Promix for the transportation, storage and fractionation of NGLs. In addition, we sell natural gas to Promix for its plant fuel requirements. Revenues from Promix were $3.1 million and $2.7 million for the three months ended March 31, 2010 and 2009, respectively. Expenses with Promix were $8.6 million and $4.5 million for the three months ended March 31, 2010 and 2009, respectively.
|
§
|
We paid $2.6 million and $1.7 million to Centennial for the three months ended March 31, 2010 and 2009 for other pipeline transportation services, respectively.
|
§
|
For the three months ended March 31, 2010 and 2009, we paid Seaway $1.1 million and $1.8 million, respectively, for transportation and tank rentals in connection with our crude oil marketing activities.
|
§
|
We perform management services for certain of our unconsolidated affiliates. We charged such affiliates $2.9 million and $2.6 million for the three months ended March 31, 2010 and 2009, respectively.
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Net income attributable to Enterprise Products Partners L.P.
|
$ | 377.8 | $ | 225.3 | ||||
Less incentive earnings allocations to EPGP
|
(53.9 | ) | (35.2 | ) | ||||
Net income available after incentive earnings allocation
|
323.9 | 190.1 | ||||||
Multiplied by EPGP ownership interest
|
2.0 | % | 2.0 | % | ||||
Standard earnings allocation to EPGP
|
$ | 6.5 | $ | 3.8 | ||||
Incentive earnings allocation to EPGP
|
$ | 53.9 | $ | 35.2 | ||||
Standard earnings allocation to EPGP
|
6.5 | 3.8 | ||||||
Net income available to EPGP
|
60.4 | 39.0 | ||||||
Adjustment for master limited partnerships (1)
|
2.9 | 1.4 | ||||||
Net income available to EPGP for EPU purposes
|
$ | 63.3 | $ | 40.4 | ||||
(1) FASB guidance specific to master limited partnerships has been applied for purposes of computing basic and diluted earnings per unit.
|
For the Three Month
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
BASIC EARNINGS PER UNIT
|
||||||||
Numerator
|
||||||||
Net income attributable to Enterprise Products Partners L.P.
|
$ | 377.8 | $ | 225.3 | ||||
Net income available to EPGP for EPU purposes
|
(63.3 | ) | (40.4 | ) | ||||
Net income available to limited partners
|
$ | 314.5 | $ | 184.9 | ||||
Denominator
|
||||||||
Weighted – average common units
|
614.6 | 450.7 | ||||||
Weighted – average time-vested restricted units
|
3.2 | 2.0 | ||||||
Total
|
617.8 | 452.7 | ||||||
Basic earnings per unit
|
||||||||
Net income per unit before EPGP earnings allocation
|
$ | 0.61 | $ | 0.50 | ||||
Net income available to EPGP
|
(0.10 | ) | (0.09 | ) | ||||
Net income available to limited partners
|
$ | 0.51 | $ | 0.41 | ||||
DILUTED EARNINGS PER UNIT
|
||||||||
Numerator
|
||||||||
Net income attributable to Enterprise Products Partners L.P.
|
$ | 377.8 | $ | 225.3 | ||||
Net income available to EPGP for EPU purposes
|
(63.3 | ) | (40.4 | ) | ||||
Net income available to limited partners
|
$ | 314.5 | $ | 184.9 | ||||
Denominator
|
||||||||
Weighted – average common units
|
614.6 | 450.7 | ||||||
Weighted – average time-vested restricted units
|
3.2 | 2.0 | ||||||
Class B units
|
4.5 | -- | ||||||
Incremental option units
|
0.7 | -- | ||||||
Total
|
623.0 | 452.7 | ||||||
Diluted earnings per unit
|
||||||||
Net income per unit before EPGP earnings allocation
|
$ | 0.60 | $ | 0.50 | ||||
Net income available to EPGP
|
(0.10 | ) | (0.09 | ) | ||||
Net income available to limited partners
|
$ | 0.50 | $ | 0.41 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Business interruption proceeds:
|
||||||||
Hurricane Ike
|
$ | 1.1 | $ | -- | ||||
Total business interruption proceeds
|
1.1 | -- | ||||||
Property damage proceeds: (1)
|
||||||||
Hurricane Katrina
|
-- | 23.2 | ||||||
Hurricane Rita
|
26.8 | -- | ||||||
Hurricane Ike
|
1.9 | -- | ||||||
Total property damage proceeds
|
28.7 | 23.2 | ||||||
Total
|
$ | 29.8 | $ | 23.2 | ||||
(1) Our operating income for the three months ended March 31, 2010 and 2009 includes $7.6 million and $0.6 million, respectively, of proceeds from property damage insurance claims.
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Decrease (increase) in:
|
||||||||
Accounts and notes receivable – trade
|
$ | 43.4 | $ | 152.0 | ||||
Accounts receivable – related party
|
11.9 | 11.9 | ||||||
Inventories
|
(279.1 | ) | (157.0 | ) | ||||
Prepaid and other current assets
|
(55.5 | ) | 11.6 | |||||
Other assets
|
0.6 | (33.8 | ) | |||||
Increase (decrease) in:
|
||||||||
Accounts payable – trade
|
118.4 | (15.9 | ) | |||||
Accounts payable – related party
|
(21.9 | ) | (10.6 | ) | ||||
Accrued product payables
|
302.5 | (85.2 | ) | |||||
Accrued expenses
|
(29.3 | ) | 12.9 | |||||
Accrued interest
|
(54.2 | ) | (29.3 | ) | ||||
Other current liabilities
|
40.6 | (0.2 | ) | |||||
Other liabilities
|
(3.3 | ) | (2.2 | ) | ||||
Net effect of changes in operating accounts
|
$ | 74.1 | $ | (145.8 | ) |
EPO and Subsidiaries
|
||||||||||||||||||||||||||||
Subsidiary Issuer (EPO)
|
Other Subsidiaries
(Non-guarantor)
|
EPO and Subsidiaries Eliminations and Adjustments
|
Consolidated
EPO and Subsidiaries
|
Parent Company (Guarantor)
|
Eliminations and Adjustments
|
Consolidated Total
|
||||||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||||||
Current assets:
|
||||||||||||||||||||||||||||
Cash and cash equivalents
|
$ | 70.3 | $ | 68.8 | $ | (4.4 | ) | $ | 134.7 | $ | -- | $ | 0.2 | $ | 134.9 | |||||||||||||
Restricted Cash
|
99.1 | 2.6 | -- | 101.7 | -- | -- | 101.7 | |||||||||||||||||||||
Accounts and notes receivable, net
|
758.7 | 2,370.8 | (44.0 | ) | 3,085.5 | (2.6 | ) | -- | 3,082.9 | |||||||||||||||||||
Inventories
|
788.6 | 204.8 | (2.5 | ) | 990.9 | - | -- | 990.9 | ||||||||||||||||||||
Prepaid and other current assets
|
195.3 | 108.6 | (7.3 | ) | 296.6 | 0.2 | -- | 296.8 | ||||||||||||||||||||
Total current assets
|
1,912.0 | 2,755.6 | (58.2 | ) | 4,609.4 | (2.4 | ) | 0.2 | 4,607.2 | |||||||||||||||||||
Property, plant and equipment, net
|
1,429.7 | 16,315.8 | (10.2 | ) | 17,735.3 | -- | -- | 17,735.3 | ||||||||||||||||||||
Investments in unconsolidated affiliates
|
18,706.4 | 5,898.1 | (23,721.0 | ) | 883.5 | 9,884.6 | (9,884.6 | ) | 883.5 | |||||||||||||||||||
Intangible assets, net
|
165.8 | 884.7 | (15.3 | ) | 1,035.2 | -- | -- | 1,035.2 | ||||||||||||||||||||
Goodwill
|
473.7 | 1,544.6 | -- | 2,018.3 | -- | -- | 2,018.3 | |||||||||||||||||||||
Other assets
|
255.7 | 123.8 | (158.9 | ) | 220.6 | -- | 1.0 | 221.6 | ||||||||||||||||||||
Total assets
|
$ | 22,943.3 | $ | 27,522.6 | $ | (23,963.6 | ) | $ | 26,502.3 | $ | 9,882.2 | $ | (9,883.4 | ) | $ | 26,501.1 | ||||||||||||
LIABILITIES AND EQUITY
|
||||||||||||||||||||||||||||
Current liabilities:
|
||||||||||||||||||||||||||||
Current maturities of debt
|
$ | -- | $ | 183.9 | $ | (8.9 | ) | $ | 175.0 | $ | -- | $ | -- | $ | 175.0 | |||||||||||||
Accounts payable
|
214.7 | 426.8 | (174.8 | ) | 466.7 | 0.1 | -- | 466.8 | ||||||||||||||||||||
Accrued product payables
|
1,891.1 | 1,832.8 | (28.8 | ) | 3,695.1 | -- | -- | 3,695.1 | ||||||||||||||||||||
Other current liabilities
|
360.5 | 246.5 | (3.3 | ) | 603.7 | -- | 0.1 | 603.8 | ||||||||||||||||||||
Total current liabilities
|
2,466.3 | 2,690.0 | (215.8 | ) | 4,940.5 | 0.1 | 0.1 | 4,940.7 | ||||||||||||||||||||
Long-term debt
|
10,521.9 | 393.8 | -- | 10,915.7 | -- | -- | 10,915.7 | |||||||||||||||||||||
Commitments and contingencies
|
||||||||||||||||||||||||||||
Other long-term liabilities
|
24.1 | 209.9 | (1.3 | ) | 232.7 | -- | -- | 232.7 | ||||||||||||||||||||
Equity:
|
||||||||||||||||||||||||||||
Controlling interests
|
9,931.0 | 20,717.5 | (20,775.7 | ) | 9,872.8 | 9,882.1 | (9,872.8 | ) | 9,882.1 | |||||||||||||||||||
Noncontrolling interests
|
-- | 3,511.4 | (2,970.8 | ) | 540.6 | -- | (10.7 | ) | 529.9 | |||||||||||||||||||
Total equity
|
9,931.0 | 24,228.9 | (23,746.5 | ) | 10,413.4 | 9,882.1 | (9,883.5 | ) | 10,412.0 | |||||||||||||||||||
Total liabilities and equity
|
$ | 22,943.3 | $ | 27,522.6 | $ | (23,963.6 | ) | $ | 26,502.3 | $ | 9,882.2 | $ | (9,883.4 | ) | $ | 26,501.1 |
EPO and Subsidiaries
|
||||||||||||||||||||||||||||
Subsidiary Issuer (EPO)
|
Other Subsidiaries
(Non-guarantor)
|
EPO and Subsidiaries Eliminations and Adjustments
|
Consolidated
EPO and Subsidiaries
|
Parent Company (Guarantor)
|
Eliminations and Adjustments
|
Consolidated Total
|
||||||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||||||
Current assets:
|
||||||||||||||||||||||||||||
Cash and cash equivalents
|
$ | 14.4 | $ | 46.3 | $ | (6.2 | ) | $ | 54.5 | $ | -- | $ | 0.2 | $ | 54.7 | |||||||||||||
Restricted Cash
|
63.1 | 0.5 | -- | 63.6 | -- | -- | 63.6 | |||||||||||||||||||||
Accounts and notes receivable, net
|
509.6 | 2,674.0 | (45.7 | ) | 3,137.9 | (0.3 | ) | (0.2 | ) | 3,137.4 | ||||||||||||||||||
Inventories
|
595.4 | 120.3 | (3.8 | ) | 711.9 | -- | -- | 711.9 | ||||||||||||||||||||
Prepaid and other current assets
|
185.4 | 100.6 | (6.7 | ) | 279.3 | -- | -- | 279.3 | ||||||||||||||||||||
Total current assets
|
1,367.9 | 2,941.7 | (62.4 | ) | 4,247.2 | (0.3 | ) | -- | 4,246.9 | |||||||||||||||||||
Property, plant and equipment, net
|
1,436.1 | 16,242.0 | 11.1 | 17,689.2 | -- | -- | 17,689.2 | |||||||||||||||||||||
Investments in unconsolidated affiliates
|
18,981.2 | 5,912.7 | (24,003.3 | ) | 890.6 | 9,512.4 | (9,512.4 | ) | 890.6 | |||||||||||||||||||
Intangible assets, net
|
170.0 | 910.3 | (15.5 | ) | 1,064.8 | -- | -- | 1,064.8 | ||||||||||||||||||||
Goodwill
|
473.7 | 1,544.6 | -- | 2,018.3 | -- | -- | 2,018.3 | |||||||||||||||||||||
Other assets
|
287.2 | 131.1 | (177.4 | ) | 240.9 | -- | 0.9 | 241.8 | ||||||||||||||||||||
Total assets
|
$ | 22,716.1 | $ | 27,682.4 | $ | (24,247.5 | ) | $ | 26,151.0 | $ | 9,512.1 | $ | (9,511.5 | ) | $ | 26,151.6 | ||||||||||||
LIABILITIES AND EQUITY
|
||||||||||||||||||||||||||||
Current liabilities:
|
||||||||||||||||||||||||||||
Accounts payable
|
$ | 146.3 | $ | 551.5 | $ | (217.4 | ) | $ | 480.4 | $ | -- | $ | -- | $ | 480.4 | |||||||||||||
Accrued product payables
|
1,842.6 | 1,557.3 | (6.9 | ) | 3,393.0 | -- | -- | 3,393.0 | ||||||||||||||||||||
Other current liabilities
|
403.7 | 274.2 | (15.3 | ) | 662.6 | -- | -- | 662.6 | ||||||||||||||||||||
Total current liabilities
|
2,392.6 | 2,383.0 | (239.6 | ) | 4,536.0 | -- | -- | 4,536.0 | ||||||||||||||||||||
Long-term debt
|
10,777.6 | 568.8 | -- | 11,346.4 | -- | -- | 11,346.4 | |||||||||||||||||||||
Commitments and contingencies
|
||||||||||||||||||||||||||||
Other long-term liabilities
|
17.9 | 209.0 | -- | 226.9 | -- | -- | 226.9 | |||||||||||||||||||||
Equity:
|
||||||||||||||||||||||||||||
Controlling interests
|
9,528.0 | 21,058.3 | (21,084.5 | ) | 9,501.8 | 9,512.1 | (9,501.8 | ) | 9,512.1 | |||||||||||||||||||
Noncontrolling interests
|
-- | 3,463.3 | (2,923.4 | ) | 539.9 | -- | (9.7 | ) | 530.2 | |||||||||||||||||||
Total equity
|
9,528.0 | 24,521.6 | (24,007.9 | ) | 10,041.7 | 9,512.1 | (9,511.5 | ) | 10,042.3 | |||||||||||||||||||
Total liabilities and equity
|
$ | 22,716.1 | $ | 27,682.4 | $ | (24,247.5 | ) | $ | 26,151.0 | $ | 9,512.1 | $ | (9,511.5 | ) | $ | 26,151.6 |
EPO and Subsidiaries
|
||||||||||||||||||||||||||||
Subsidiary Issuer (EPO)
|
Other Subsidiaries
(Non-guarantor)
|
EPO and Subsidiaries Eliminations and Adjustments
|
Consolidated
EPO and Subsidiaries
|
Parent Company (Guarantor)
|
Eliminations and Adjustments
|
Consolidated Total
|
||||||||||||||||||||||
Revenues
|
$ | 6,957.4 | $ | 4,613.0 | $ | (3,025.9 | ) | $ | 8,544.5 | $ | -- | $ | -- | $ | 8,544.5 | |||||||||||||
Costs and expenses:
|
||||||||||||||||||||||||||||
Operating costs and expenses
|
6,846.1 | 4,152.3 | (3,026.5 | ) | 7,971.9 | -- | -- | 7,971.9 | ||||||||||||||||||||
General and administrative costs
|
-- | 35.6 | -- | 35.6 | 2.0 | -- | 37.6 | |||||||||||||||||||||
Total costs and expenses
|
6,846.1 | 4,187.9 | (3,026.5 | ) | 8,007.5 | 2.0 | -- | 8,009.5 | ||||||||||||||||||||
Equity in income of unconsolidated affiliates
|
413.7 | 53.5 | (451.2 | ) | 16.0 | 379.8 | (379.8 | ) | 16.0 | |||||||||||||||||||
Operating income
|
525.0 | 478.6 | (450.6 | ) | 553.0 | 377.8 | (379.8 | ) | 551.0 | |||||||||||||||||||
Other income (expense):
|
||||||||||||||||||||||||||||
Interest expense
|
(143.8 | ) | (7.4 | ) | 2.6 | (148.6 | ) | -- | -- | (148.6 | ) | |||||||||||||||||
Other, net
|
2.8 | (0.1 | ) | (2.6 | ) | 0.1 | -- | -- | 0.1 | |||||||||||||||||||
Total other expense, net
|
(141.0 | ) | (7.5 | ) | -- | (148.5 | ) | -- | -- | (148.5 | ) | |||||||||||||||||
Income before provision for income taxes
|
384.0 | 471.1 | (450.6 | ) | 404.5 | 377.8 | (379.8 | ) | 402.5 | |||||||||||||||||||
Provision for income taxes
|
(4.9 | ) | (3.8 | ) | -- | (8.7 | ) | -- | -- | (8.7 | ) | |||||||||||||||||
Net income
|
379.1 | 467.3 | (450.6 | ) | 395.8 | 377.8 | (379.8 | ) | 393.8 | |||||||||||||||||||
Net income attributable to noncontrolling interest
|
-- | 0.2 | (16.3 | ) | (16.1 | ) | -- | 0.1 | (16.0 | ) | ||||||||||||||||||
Net income attributable to entity
|
$ | 379.1 | $ | 467.5 | $ | (466.9 | ) | $ | 379.7 | $ | 377.8 | $ | (379.7 | ) | $ | 377.8 |
EPO and Subsidiaries
|
||||||||||||||||||||||||||||
Subsidiary Issuer (EPO)
|
Other Subsidiaries
(Non-guarantor)
|
EPO and Subsidiaries Eliminations and Adjustments
|
Consolidated
EPO and Subsidiaries
|
Parent Company (Guarantor)
|
Eliminations and Adjustments
|
Consolidated Total
|
||||||||||||||||||||||
Revenues
|
$ | 3,681.7 | $ | 2,858.2 | $ | (1,653.0 | ) | $ | 4,886.9 | $ | -- | $ | -- | $ | 4,886.9 | |||||||||||||
Costs and expenses:
|
||||||||||||||||||||||||||||
Operating costs and expenses
|
3,580.1 | 2,448.7 | (1,652.2 | ) | 4,376.6 | -- | -- | 4,376.6 | ||||||||||||||||||||
General and administrative costs
|
1.9 | 31.0 | -- | 32.9 | 2.0 | -- | 34.9 | |||||||||||||||||||||
Total costs and expenses
|
3,582.0 | 2,479.7 | (1,652.2 | ) | 4,409.5 | 2.0 | -- | 4,411.5 | ||||||||||||||||||||
Equity in income of unconsolidated affiliates
|
244.2 | 55.4 | (292.2 | ) | 7.4 | 227.3 | (227.3 | ) | 7.4 | |||||||||||||||||||
Operating income
|
343.9 | 433.9 | (293.0 | ) | 484.8 | 225.3 | (227.3 | ) | 482.8 | |||||||||||||||||||
Other income (expense):
|
||||||||||||||||||||||||||||
Interest expense
|
(116.6 | ) | (39.1 | ) | 3.2 | (152.5 | ) | -- | -- | (152.5 | ) | |||||||||||||||||
Other, net
|
3.3 | 1.1 | (3.2 | ) | 1.2 | -- | -- | 1.2 | ||||||||||||||||||||
Total other expense, net
|
(113.3 | ) | (38.0 | ) | -- | (151.3 | ) | -- | -- | (151.3 | ) | |||||||||||||||||
Income before provision for income taxes
|
230.6 | 395.9 | (293.0 | ) | 333.5 | 225.3 | (227.3 | ) | 331.5 | |||||||||||||||||||
Provision for income taxes
|
(3.3 | ) | (12.7 | ) | -- | (16.0 | ) | -- | -- | (16.0 | ) | |||||||||||||||||
Net income
|
227.3 | 383.2 | (293.0 | ) | 317.5 | 225.3 | (227.3 | ) | 315.5 | |||||||||||||||||||
Net income attributable to noncontrolling interest
|
-- | 2.6 | (92.8 | ) | (90.2 | ) | -- | -- | (90.2 | ) | ||||||||||||||||||
Net income attributable to entity
|
$ | 227.3 | $ | 385.8 | $ | (385.8 | ) | $ | 227.3 | $ | 225.3 | $ | (227.3 | ) | $ | 225.3 |
EPO and Subsidiaries
|
||||||||||||||||||||||||||||
Subsidiary Issuer (EPO)
|
Other Subsidiaries
(Non-guarantor)
|
EPO and Subsidiaries Eliminations and Adjustments
|
Consolidated
EPO and Subsidiaries
|
Parent Company (Guarantor)
|
Eliminations and Adjustments
|
Consolidated Total
|
||||||||||||||||||||||
Operating activities:
|
||||||||||||||||||||||||||||
Net income
|
$ | 379.1 | $ | 467.3 | $ | (450.6 | ) | $ | 395.8 | $ | 377.8 | $ | (379.8 | ) | $ | 393.8 | ||||||||||||
Adjustments to reconcile net income to cash provided
by operating activities:
|
||||||||||||||||||||||||||||
Depreciation, accretion and amortization
|
21.5 | 196.4 | (0.3 | ) | 217.6 | -- | -- | 217.6 | ||||||||||||||||||||
Non-cash impairment charges
|
-- | 1.5 | -- | 1.5 | -- | -- | 1.5 | |||||||||||||||||||||
Equity in income of unconsolidated affiliates
|
(413.7 | ) | (53.5 | ) | 451.2 | (16.0 | ) | (379.8 | ) | 379.8 | (16.0 | ) | ||||||||||||||||
Distributions received from unconsolidated affiliates
|
47.7 | 44.4 | (61.9 | ) | 30.2 | 406.8 | (406.8 | ) | 30.2 | |||||||||||||||||||
Operating lease expenses paid by EPCO
|
0.2 | -- | -- | 0.2 | -- | -- | 0.2 | |||||||||||||||||||||
Gain from asset sales and related transactions
|
-- | (7.5 | ) | -- | (7.5 | ) | -- | -- | (7.5 | ) | ||||||||||||||||||
Deferred income tax expense
|
0.9 | 0.1 | -- | 1.0 | -- | -- | 1.0 | |||||||||||||||||||||
Changes in fair market value of derivative instruments
|
(9.6 | ) | 1.8 | -- | (7.8 | ) | -- | -- | (7.8 | ) | ||||||||||||||||||
Effect of pension settlement recognition
|
-- | (0.2 | ) | -- | (0.2 | ) | -- | -- | (0.2 | ) | ||||||||||||||||||
Net effect of changes in operating accounts
|
435.7 | (425.3 | ) | 61.7 | 72.1 | 2.1 | (0.1 | ) | 74.1 | |||||||||||||||||||
Cash provided by operating activities
|
461.8 | 225.0 | 0.1 | 686.9 | 406.9 | (406.9 | ) | 686.9 | ||||||||||||||||||||
Investing activities:
|
||||||||||||||||||||||||||||
Capital expenditures, net of contributions in aid of
construction costs
|
(18.0 | ) | (326.2 | ) | -- | (344.2 | ) | -- | -- | (344.2 | ) | |||||||||||||||||
Increase in restricted cash
|
(36.0 | ) | (2.1 | ) | -- | (38.1 | ) | -- | -- | (38.1 | ) | |||||||||||||||||
Cash used for business combinations
|
(2.2 | ) | -- | -- | (2.2 | ) | -- | -- | (2.2 | ) | ||||||||||||||||||
Investments in unconsolidated affiliates
|
(84.8 | ) | (7.4 | ) | 84.5 | (7.7 | ) | (437.1 | ) | 437.1 | (7.7 | ) | ||||||||||||||||
Repayment of loan to Duncan Energy Partners
|
(45.6 | ) | 45.6 | -- | -- | -- | -- | -- | ||||||||||||||||||||
Proceeds from asset sales and related transactions
|
-- | 21.7 | -- | 21.7 | -- | -- | 21.7 | |||||||||||||||||||||
Cash used in investing activities
|
(186.6 | ) | (268.4 | ) | 84.5 | (370.5 | ) | (437.1 | ) | 437.1 | (370.5 | ) | ||||||||||||||||
Financing activities:
|
||||||||||||||||||||||||||||
Borrowings under debt agreements
|
330.4 | 15.1 | -- | 345.5 | -- | -- | 345.5 | |||||||||||||||||||||
Repayments of debt
|
(579.9 | ) | (15.1 | ) | -- | (595.0 | ) | -- | -- | (595.0 | ) | |||||||||||||||||
Cash distributions paid to partners
|
(406.8 | ) | (49.1 | ) | 49.1 | (406.8 | ) | (407.3 | ) | 406.8 | (407.3 | ) | ||||||||||||||||
Cash distributions paid to noncontrolling interest
|
-- | (32.8 | ) | 15.3 | (17.5 | ) | -- | 0.1 | (17.4 | ) | ||||||||||||||||||
Net cash proceeds from issuance of common units
|
-- | -- | -- | -- | 437.7 | -- | 437.7 | |||||||||||||||||||||
Cash contributions from members
|
437.1 | 68.6 | (68.6 | ) | 437.1 | -- | (437.1 | ) | -- | |||||||||||||||||||
Cash contributions from noncontrolling interest
|
-- | 78.8 | (78.6 | ) | 0.2 | -- | -- | 0.2 | ||||||||||||||||||||
Other financing activities
|
(0.1 | ) | -- | -- | (0.1 | ) | (0.2 | ) | -- | (0.3 | ) | |||||||||||||||||
Cash provided by (used in) financing activities
|
(219.3 | ) | 65.5 | (82.8 | ) | (236.6 | ) | 30.2 | (30.2 | ) | (236.6 | ) | ||||||||||||||||
Effect of exchange rate changes on cash
|
-- | 0.4 | -- | 0.4 | -- | -- | 0.4 | |||||||||||||||||||||
Net change in cash and cash equivalents
|
55.9 | 22.1 | 1.8 | 79.8 | -- | -- | 79.8 | |||||||||||||||||||||
Cash and cash equivalents, January 1
|
14.4 | 46.3 | (6.2 | ) | 54.5 | -- | 0.2 | 54.7 | ||||||||||||||||||||
Cash and cash equivalents, March 31
|
$ | 70.3 | $ | 68.8 | $ | (4.4 | ) | $ | 134.7 | $ | -- | $ | 0.2 | $ | 134.9 |
EPO and Subsidiaries
|
||||||||||||||||||||||||||||
Subsidiary Issuer (EPO)
|
Other Subsidiaries
(Non-guarantor)
|
EPO and Subsidiaries Eliminations and Adjustments
|
Consolidated
EPO and Subsidiaries
|
Parent Company (Guarantor)
|
Eliminations and Adjustments
|
Consolidated Total
|
||||||||||||||||||||||
Operating activities:
|
||||||||||||||||||||||||||||
Net income
|
$ | 227.3 | $ | 383.2 | $ | (293.0 | ) | $ | 317.5 | $ | 225.3 | $ | (227.3 | ) | $ | 315.5 | ||||||||||||
Adjustments to reconcile net income to cash provided
by operating activities:
|
||||||||||||||||||||||||||||
Depreciation, accretion and amortization
|
18.1 | 180.9 | 0.1 | 199.1 | -- | -- | 199.1 | |||||||||||||||||||||
Equity in income of unconsolidated affiliates
|
(244.2 | ) | (55.4 | ) | 292.2 | (7.4 | ) | (227.3 | ) | 227.3 | (7.4 | ) | ||||||||||||||||
Distributions received from unconsolidated affiliates
|
29.3 | 60.4 | (67.3 | ) | 22.4 | 287.6 | (287.6 | ) | 22.4 | |||||||||||||||||||
Operating lease expenses paid by EPCO
|
0.2 | -- | -- | 0.2 | -- | -- | 0.2 | |||||||||||||||||||||
Gain from asset sales and related transactions
|
-- | (0.2 | ) | -- | (0.2 | ) | -- | -- | (0.2 | ) | ||||||||||||||||||
Deferred income tax expense
|
0.3 | 0.7 | -- | 1.0 | -- | (0.1 | ) | 0.9 | ||||||||||||||||||||
Changes in fair market value of derivative instruments
|
(9.6 | ) | (3.0 | ) | -- | (12.6 | ) | -- | -- | (12.6 | ) | |||||||||||||||||
Effect of pension settlement recognition
|
-- | (0.1 | ) | -- | (0.1 | ) | -- | -- | (0.1 | ) | ||||||||||||||||||
Net effect of changes in operating accounts
|
(19.8 | ) | (252.3 | ) | 132.9 | (139.2 | ) | (6.1 | ) | (0.5 | ) | (145.8 | ) | |||||||||||||||
Cash provided by operating activities
|
1.6 | 314.2 | 64.9 | 380.7 | 279.5 | (288.2 | ) | 372.0 | ||||||||||||||||||||
Investing activities:
|
||||||||||||||||||||||||||||
Capital expenditures, net of contributions in aid of
construction costs
|
(37.1 | ) | (470.4 | ) | -- | (507.5 | ) | -- | -- | (507.5 | ) | |||||||||||||||||
Increase in restricted cash
|
(40.7 | ) | -- | -- | (40.7 | ) | -- | -- | (40.7 | ) | ||||||||||||||||||
Acquisition of intangible assets
|
-- | (1.4 | ) | -- | (1.4 | ) | -- | -- | (1.4 | ) | ||||||||||||||||||
Investments in unconsolidated affiliates
|
(158.9 | ) | (15.6 | ) | 167.4 | (7.1 | ) | (310.7 | ) | 310.7 | (7.1 | ) | ||||||||||||||||
Proceeds from asset sales and related transactions
|
-- | 0.3 | 0.3 | 0.3 | ||||||||||||||||||||||||
Other investing activities
|
-- | 3.8 | -- | 3.8 | -- | -- | 3.8 | |||||||||||||||||||||
Cash used in investing activities
|
(236.7 | ) | (483.3 | ) | 167.4 | (552.6 | ) | (310.7 | ) | 310.7 | (552.6 | ) | ||||||||||||||||
Financing activities:
|
||||||||||||||||||||||||||||
Borrowings under debt agreements
|
844.0 | 319.4 | -- | 1,163.4 | -- | -- | 1,163.4 | |||||||||||||||||||||
Repayments of debt
|
(631.6 | ) | (284.3 | ) | -- | (915.9 | ) | -- | -- | (915.9 | ) | |||||||||||||||||
Cash distributions paid to partners
|
(287.6 | ) | (61.3 | ) | 61.3 | (287.6 | ) | (279.7 | ) | 287.6 | (279.7 | ) | ||||||||||||||||
Cash distributions paid to noncontrolling interest
|
-- | (114.8 | ) | 8.4 | (106.4 | ) | -- | 0.9 | (105.5 | ) | ||||||||||||||||||
Net cash proceeds from issuance of common units
|
-- | -- | -- | -- | 310.8 | -- | 310.8 | |||||||||||||||||||||
Cash contributions from members
|
310.7 | 152.2 | (152.2 | ) | 310.7 | -- | (310.7 | ) | -- | |||||||||||||||||||
Cash contributions from noncontrolling interest
|
-- | 148.7 | (149.0 | ) | (0.3 | ) | -- | (0.3 | ) | (0.6 | ) | |||||||||||||||||
Other financing activities
|
(0.7 | ) | (0.2 | ) | -- | (0.9 | ) | -- | -- | (0.9 | ) | |||||||||||||||||
Cash provided by financing activities
|
234.8 | 159.7 | (231.5 | ) | 163.0 | 31.1 | (22.5 | ) | 171.6 | |||||||||||||||||||
Effect of exchange rate changes on cash
|
-- | (2.0 | ) | -- | (2.0 | ) | -- | -- | (2.0 | ) | ||||||||||||||||||
Net change in cash and cash equivalents
|
(0.3 | ) | (9.4 | ) | 0.8 | (8.9 | ) | (0.1 | ) | -- | (9.0 | ) | ||||||||||||||||
Cash and cash equivalents, January 1
|
1.0 | 69.7 | (9.4 | ) | 61.3 | 0.2 | 0.2 | 61.7 | ||||||||||||||||||||
Cash and cash equivalents, March 31
|
$ | 0.7 | $ | 58.3 | $ | (8.6 | ) | $ | 50.4 | $ | 0.1 | $ | 0.2 | $ | 50.7 |
/d
|
= per day
|
|
BBtus
|
= billion British thermal units
|
|
MBPD
|
= thousand barrels per day
|
|
MMBbls
|
= million barrels
|
|
MMBtus
|
= million British thermal units
|
|
MMcf
|
= million cubic feet
|
|
Bcf
|
= billion cubic feet
|
Total revenues, as previously reported
|
$ | 3,423.1 | ||
Revenues from TEPPCO
|
1,457.5 | |||
Revenues from Jonah Gas Gathering Company (“Jonah”) (1)
|
59.4 | |||
Eliminations (2)
|
(53.1 | ) | ||
Total revenues, as currently reported
|
$ | 4,886.9 | ||
Total segment gross operating margin, as previously reported
|
$ | 548.7 | ||
Gross operating margin from TEPPCO
|
151.2 | |||
Gross operating margin from Jonah
|
45.3 | |||
Eliminations (3)
|
(31.1 | ) | ||
Total segment gross operating margin, as currently reported
|
$ | 714.1 | ||
(1) Prior to the TEPPCO Merger, we and TEPPCO were joint venture partners in Jonah. As a result of the TEPPCO Merger, Jonah became a consolidated subsidiary.
(2) Represents the elimination of revenues between Enterprise Products Partners, TEPPCO and Jonah.
(3) Represents the elimination of equity earnings from Jonah recorded by Enterprise Products Partners and TEPPCO prior to the merger.
|
Polymer
|
Refinery
|
||||||||
Natural
|
Normal
|
Natural
|
Grade
|
Grade
|
|||||
Gas,
|
Crude Oil,
|
Ethane,
|
Propane,
|
Butane,
|
Isobutane,
|
Gasoline,
|
Propylene,
|
Propylene,
|
|
$/MMBtu
|
$/barrel
|
$/gallon
|
$/gallon
|
$/gallon
|
$/gallon
|
$/gallon
|
$/pound
|
$/pound
|
|
(1)
|
(2)
|
(1)
|
(1)
|
(1)
|
(1)
|
(1)
|
(1)
|
(1)
|
|
2009
|
|||||||||
1st Quarter
|
$4.91
|
$43.31
|
$0.36
|
$0.68
|
$0.87
|
$0.97
|
$0.96
|
$0.26
|
$0.20
|
2nd Quarter
|
$3.51
|
$59.79
|
$0.43
|
$0.73
|
$0.93
|
$1.11
|
$1.21
|
$0.34
|
$0.28
|
3rd Quarter
|
$3.39
|
$68.24
|
$0.47
|
$0.87
|
$1.12
|
$1.19
|
$1.42
|
$0.48
|
$0.43
|
4th Quarter
|
$4.16
|
$76.19
|
$0.67
|
$1.09
|
$1.39
|
$1.49
|
$1.64
|
$0.50
|
$0.44
|
2009 Averages
|
$3.99
|
$61.88
|
$0.48
|
$0.84
|
$1.08
|
$1.19
|
$1.31
|
$0.39
|
$0.34
|
2010
|
|||||||||
1st Quarter
|
$5.30
|
$78.72
|
$0.73
|
$1.24
|
$1.52
|
$1.64
|
$1.82
|
$0.63
|
$0.54
|
(1) Natural gas, NGL, polymer grade propylene and refinery grade propylene prices represent an average of various commercial index prices including Oil Price Information Service (“OPIS”) and Chemical Market Associates, Inc. (“CMAI”). Natural gas price is representative of Henry-Hub I-FERC. NGL prices are representative of Mont Belvieu Non-TET pricing. Refinery grade propylene represents a weighted-average of CMAI spot prices. Polymer-grade propylene represents average CMAI contract pricing.
(2) Crude oil price is representative of an index price for West Texas Intermediate as measured on the New York Mercantile Exchange (“NYMEX”).
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
NGL Pipelines & Services, net:
|
||||||||
NGL transportation volumes (MBPD)
|
2,240 | 2,121 | ||||||
NGL fractionation volumes (MBPD)
|
473 | 441 | ||||||
Equity NGL production (MBPD)
|
122 | 114 | ||||||
Fee-based natural gas processing (MMcf/d)
|
2,679 | 3,104 | ||||||
Onshore Natural Gas Pipelines & Services, net:
|
||||||||
Natural gas transportation volumes (BBtus/d)
|
10,706 | 10,339 | ||||||
Onshore Crude Oil Pipelines & Services, net:
|
||||||||
Crude oil transportation volumes (MBPD)
|
672 | 645 | ||||||
Offshore Pipelines & Services, net:
|
||||||||
Natural gas transportation volumes (BBtus/d)
|
1,406 | 1,542 | ||||||
Crude oil transportation volumes (MBPD)
|
354 | 126 | ||||||
Platform natural gas processing (MMcf/d)
|
632 | 777 | ||||||
Platform crude oil processing (MBPD)
|
18 | 3 | ||||||
Petrochemical Services, net:
|
||||||||
Butane isomerization volumes (MBPD)
|
73 | 90 | ||||||
Propylene fractionation volumes (MBPD)
|
80 | 68 | ||||||
Octane additive production volumes (MBPD)
|
11 | 5 | ||||||
Transportation volumes, primarily refined products
and petrochemicals (MBPD)
|
804 | 841 | ||||||
Total, net:
|
||||||||
NGL, crude oil, refined products and petrochemical transportation volumes (MBPD)
|
4,070 | 3,733 | ||||||
Natural gas transportation volumes (BBtus/d)
|
12,112 | 11,881 | ||||||
Equivalent transportation volumes (MBPD) (1)
|
7,257 | 6,860 | ||||||
(1) Reflects equivalent energy volumes where 3.8 MMBtus of natural gas are equivalent to one barrel of NGLs.
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Revenues
|
$ | 8,544.5 | $ | 4,886.9 | ||||
Operating costs and expenses
|
7,971.9 | 4,376.6 | ||||||
General and administrative costs
|
37.6 | 34.9 | ||||||
Equity in income of unconsolidated affiliates
|
16.0 | 7.4 | ||||||
Operating income
|
551.0 | 482.8 | ||||||
Interest expense
|
148.6 | 152.5 | ||||||
Provision for income taxes
|
8.7 | 16.0 | ||||||
Net income
|
393.8 | 315.5 | ||||||
Net income attributable to noncontrolling interest
|
16.0 | 90.2 | ||||||
Net income attributable to Enterprise Products Partners L.P.
|
377.8 | 225.3 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Gross operating margin by segment:
|
||||||||
NGL Pipelines & Services
|
$ | 437.3 | $ | 350.9 | ||||
Onshore Natural Gas Pipelines & Services
|
130.3 | 161.9 | ||||||
Onshore Crude Oil Pipelines & Services
|
26.7 | 50.5 | ||||||
Offshore Pipeline & Services
|
81.1 | 61.3 | ||||||
Petrochemical & Refined Products Services
|
120.0 | 89.5 | ||||||
Total segment gross operating margin
|
$ | 795.4 | $ | 714.1 |
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
NGL Pipelines & Services:
|
||||||||
Sales of NGLs
|
$ | 3,664.1 | $ | 2,252.2 | ||||
Sales of other petroleum and related products
|
0.5 | 0.5 | ||||||
Midstream services
|
181.7 | 167.7 | ||||||
Total
|
3,846.3 | 2,420.4 | ||||||
Onshore Natural Gas Pipelines & Services:
|
||||||||
Sales of natural gas
|
975.2 | 556.6 | ||||||
Midstream services
|
186.3 | 176.9 | ||||||
Total
|
1,161.5 | 733.5 | ||||||
Onshore Crude Oil Pipelines & Services:
|
||||||||
Sales of crude oil
|
2,367.3 | 1,245.8 | ||||||
Midstream services
|
19.3 | 24.1 | ||||||
Total
|
2,386.6 | 1,269.9 | ||||||
Offshore Pipelines & Services:
|
||||||||
Sales of natural gas
|
0.4 | 0.3 | ||||||
Sales of crude oil
|
2.1 | 0.2 | ||||||
Midstream services
|
86.1 | 68.0 | ||||||
Total
|
88.6 | 68.5 | ||||||
Petrochemical & Refined Products Services:
|
||||||||
Sales of other petroleum and related products
|
932.6 | 261.5 | ||||||
Midstream services
|
128.9 | 133.1 | ||||||
Total
|
1,061.5 | 394.6 | ||||||
Total consolidated revenues
|
$ | 8,544.5 | $ | 4,886.9 |
Underwritten Equity Offering
|
Number of Common Units Issued
|
Offering
Price
|
Net Cash
Proceeds
|
|||||||||
January 2010 underwritten offering (1)
|
10,925,000 | $ | 32.42 | $ | 343.3 | |||||||
April 2010 underwritten offering (2)
|
13,800,000 | $ | 35.55 | 475.5 | ||||||||
Total
|
24,725,000 | $ | 818.8 | |||||||||
(1) Net cash proceeds from this equity offering were used to temporarily reduce borrowings outstanding under EPO’s Multi-Year Revolving Credit Facility and for general partnership purposes.
(2) Net cash proceeds from this equity offering were used to pay a portion of the purchase price for our acquisition of assets from Momentum and for general partnership purposes.
|
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Net cash flows provided by operating activities
|
$ | 686.9 | $ | 372.0 | ||||
Cash used in investing activities
|
370.5 | 552.6 | ||||||
Cash provided by (used in) financing activities
|
(236.6 | ) | 171.6 |
§
|
Net cash flows from consolidated operations (excluding distributions received from unconsolidated affiliates and cash payments for interest) increased $363.9 million quarter-to-quarter. The increase in operating cash flow is generally due to increased profitability and the timing of related cash receipts and disbursements.
|
§
|
Cash payments for interest increased $56.8 million quarter-to-quarter primarily due to an increase in fixed-rate debt obligations quarter-to-quarter.
|
§
|
Capital spending for property, plant and equipment, net of contributions in aid of construction costs, decreased $163.3 million quarter-to-quarter. For additional information related to our capital spending program, see “Liquidity and Capital Resources – Capital Spending” included within this Item 2.
|
§
|
Proceeds from asset sales and related transactions increased $21.4 million quarter-to-quarter.
|
§
|
Net repayments under our consolidated debt agreements of $249.5 million for the three months ended March 31, 2010 compared to net borrowings under our consolidated debt agreements of $247.5 million for the three months ended March 31, 2009. During the three months ended March 31, 2010, EPO temporarily repaid the outstanding balance of its Multi-Year Revolving Credit Facility and its Pascagoula Mississippi Business Finance Corporation (“MBFC”) Loan matured and was repaid. For information regarding our consolidated debt obligations see Note 9 of the Notes to Unaudited Condensed Consolidated Financial Statements included under Item 1 of this quarterly report.
|
§
|
Cash distributions paid to our partners increased $127.6 million quarter-to-quarter due to increases in our common units outstanding and quarterly distribution rates.
|
§
|
Distributions paid to noncontrolling interests decreased $88.1 million quarter-to-quarter primarily due to the cessation of TEPPCO’s cash distributions following the TEPPCO Merger.
|
§
|
Net cash proceeds from the issuance of our common units increased $126.9 million quarter-to-quarter primarily due to more common units issued at a higher price in our underwritten equity offering in January 2010 compared to our underwritten equity offering in January 2009.
|
For the Three Months
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Capital spending for property, plant and equipment, net
|
||||||||
of contributions in aid of construction costs
|
$ | 344.2 | $ | 507.5 | ||||
Capital spending for business combinations
|
2.2 | -- | ||||||
Capital spending for intangible assets
|
-- | 1.4 | ||||||
Capital spending for investments in unconsolidated affiliates
|
7.7 | 7.1 | ||||||
Total capital spending
|
$ | 354.1 | $ | 516.0 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Expensed
|
$ | 9.4 | $ | 7.4 | ||||
Capitalized
|
2.7 | 3.5 | ||||||
Total
|
$ | 12.1 | $ | 10.9 |
For the Three Months
|
||||||||
Ended March 31,
|
||||||||
2010
|
2009
|
|||||||
Total segment gross operating margin
|
$ | 795.4 | $ | 714.1 | ||||
Adjustments to reconcile total segment gross operating margin
to operating income:
|
||||||||
Depreciation, amortization and accretion in operating costs and expenses
|
(212.4 | ) | (196.4 | ) | ||||
Non-cash impairment charges
|
(1.5 | ) | -- | |||||
Operating lease expenses paid by EPCO
|
(0.2 | ) | (0.2 | ) | ||||
Gain from asset sales and related transactions in operating costs and expenses
|
7.3 | 0.2 | ||||||
General and administrative costs
|
(37.6 | ) | (34.9 | ) | ||||
Operating income
|
551.0 | 482.8 | ||||||
Other expense, net
|
(148.5 | ) | (151.3 | ) | ||||
Income before provision for income taxes
|
$ | 402.5 | $ | 331.5 |
Enterprise Products Partners (excluding Duncan Energy Partners)
|
Resulting
|
Swap Fair Value at
|
|||||||
Scenario
|
Classification
|
March 31, 2010
|
April 20, 2010
|
||||||
FV assuming no change in underlying interest rates
|
Asset
|
$ | 48.6 | $ | 44.3 | ||||
FV assuming 10% increase in underlying interest rates
|
Asset
|
43.5 | 39.4 | ||||||
FV assuming 10% decrease in underlying interest rates
|
Asset
|
53.7 | 49.2 |
Duncan Energy Partners
|
Resulting
|
Swap Fair Value at
|
|||||||
Scenario
|
Classification
|
March 31, 2010
|
April 20, 2010
|
||||||
FV assuming no change in underlying interest rates
|
Liability
|
$ | (3.8 | ) | $ | (3.8 | ) | ||
FV assuming 10% increase in underlying interest rates
|
Liability
|
(3.8 | ) | (3.8 | ) | ||||
FV assuming 10% decrease in underlying interest rates
|
Liability
|
(3.8 | ) | (3.8 | ) |
Resulting
|
Swap Fair Value at
|
||||||||
Scenario
|
Classification
|
March 31, 2010
|
April 20, 2010
|
||||||
FV assuming no change in underlying interest rates
|
Asset
|
$ | 15.5 | $ | 12.7 | ||||
FV assuming 10% increase in underlying interest rates
|
Asset
|
35.0 | 32.1 | ||||||
FV assuming 10% decrease in underlying interest rates
|
Liability
|
(5.9 | ) | (8.6 | ) |
Resulting
|
Portfolio Fair Value at
|
||||||||
Scenario
|
Classification
|
March 31, 2010
|
April 20, 2010
|
||||||
FV assuming no change in underlying commodity prices
|
Liability
|
$ | (4.4 | ) | $ | (4.4 | ) | ||
FV assuming 10% increase in underlying commodity prices
|
Liability
|
(9.0 | ) | (10.5 | ) | ||||
FV assuming 10% decrease in underlying commodity prices
|
Asset
|
0.1 | 1.6 |
Resulting
|
Portfolio Fair Value at
|
||||||||
Scenario
|
Classification
|
March 31, 2010
|
April 20, 2010
|
||||||
FV assuming no change in underlying commodity prices
|
Liability
|
$ | (40.6 | ) | $ | (41.8 | ) | ||
FV assuming 10% increase in underlying commodity prices
|
Liability
|
(91.4 | ) | (96.4 | ) | ||||
FV assuming 10% decrease in underlying commodity prices
|
Asset
|
10.2 | 12.9 |
Resulting
|
Portfolio Fair Value at
|
||||||||
Scenario
|
Classification
|
March 31, 2010
|
April 20, 2010
|
||||||
FV assuming no change in underlying commodity prices
|
Asset
|
$ | -- | $ | 0.9 | ||||
FV assuming 10% increase in underlying commodity prices
|
Liability
|
(1.0 | ) | (3.9 | ) | ||||
FV assuming 10% decrease in underlying commodity prices
|
Asset
|
1.1 | 5.8 |
§
|
the forward sale of a portion of our expected equity NGL production at fixed prices through December 2010, achieved through the use of forward physical sales and commodity derivative instruments and
|
§
|
the purchase of commodity derivative instruments with a notional amount determined by the amount of natural gas expected to be consumed as PTR in the production of such equity NGL production.
|
(i)
|
that our disclosure controls and procedures are designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including the CEO and CFO, as appropriate to allow timely decisions regarding required disclosure; and
|
(ii)
|
that our disclosure controls and procedures are effective.
|
Maximum
|
||||
Total Number of
|
Number of Units
|
|||
Average
|
of Units Purchased
|
That May Yet
|
||
Total Number of
|
Price Paid
|
as Part of Publicly
|
Be Purchased
|
|
Period
|
Units Purchased
|
per Unit
|
Announced Plans
|
Under the Plans
|
February 2010 (1)
|
7,480
|
$32.17
|
--
|
--
|
(1) Of the 34,528 restricted units that vested in February 2010 and converted to common units, 7,480 of these units were sold back to us by employees to cover related withholding tax requirements.
|
Exhibit Number
|
Exhibit*
|
2.1
|
Merger Agreement, dated as of December 15, 2003, by and among Enterprise Products Partners L.P., Enterprise Products GP, LLC, Enterprise Products Management LLC, GulfTerra Energy Partners, L.P. and GulfTerra Energy Company, L.L.C. (incorporated by reference to Exhibit 2.1 to Form 8-K filed December 15, 2003).
|
2.2
|
Amendment No. 1 to Merger Agreement, dated as of August 31, 2004, by and among Enterprise Products Partners L.P., Enterprise Products GP, LLC, Enterprise Products Management LLC, GulfTerra Energy Partners, L.P. and GulfTerra Energy Company, L.L.C. (incorporated by reference to Exhibit 2.1 to Form 8-K filed September 7, 2004).
|
2.3
|
Parent Company Agreement, dated as of December 15, 2003, by and among Enterprise Products Partners L.P., Enterprise Products GP, LLC, Enterprise Products GTM, LLC, El Paso Corporation, Sabine River Investors I, L.L.C., Sabine River Investors II, L.L.C., El Paso EPN Investments, L.L.C. and GulfTerra GP Holding Company (incorporated by reference to Exhibit 2.2 to Form 8-K filed December 15, 2003).
|
2.4
|
Amendment No. 1 to Parent Company Agreement, dated as of April 19, 2004, by and among Enterprise Products Partners L.P., Enterprise Products GP, LLC, Enterprise Products GTM, LLC, El Paso Corporation, Sabine River Investors I, L.L.C., Sabine River Investors II, L.L.C., El Paso EPN Investments, L.L.C. and GulfTerra GP Holding Company (incorporated by reference to Exhibit 2.1 to Form 8-K filed April 21, 2004).
|
2.5
|
Purchase and Sale Agreement (Gas Plants), dated as of December 15, 2003, by and between El Paso Corporation, El Paso Field Services Management, Inc., El Paso Transmission, L.L.C., El Paso Field Services Holding Company and Enterprise Products Operating L.P. (incorporated by reference to Exhibit 2.4 to Form 8-K filed December 15, 2003).
|
2.6
|
Agreement and Plan of Merger, dated as of June 28, 2009, by and among Enterprise Products Partners L.P., Enterprise Products GP, LLC, Enterprise Sub B LLC, TEPPCO Partners, L.P. and Texas Eastern Products Pipeline Company, LLC (incorporated by reference to Exhibit 2.1 to Form 8-K filed June 29, 2009).
|
2.7
|
Agreement and Plan of Merger, dated as of June 28, 2009, by and among Enterprise Products Partners L.P., Enterprise Products GP, LLC, Enterprise Sub A LLC, TEPPCO Partners, L.P. and Texas Eastern Products Pipeline Company, LLC (incorporated by reference to Exhibit 2.2 to Form 8-K filed June 29, 2009).
|
3.1
|
Certificate of Limited Partnership of Enterprise Products Partners L.P. (incorporated by reference to Exhibit 3.6 to Form 10-Q filed November 9, 2007).
|
3.2
|
Fifth Amended and Restated Agreement of Limited Partnership of Enterprise Products Partners L.P., dated August 8, 2005 (incorporated by reference to Exhibit 3.1 to Form 8-K filed August 10, 2005).
|
3.3
|
Amendment No. 1 to Fifth Amended and Restated Agreement of Limited Partnership of Enterprise Products Partners L.P. dated December 27, 2007 (incorporated by reference to Exhibit 3.1 to Form 8-K/A filed January 3, 2008).
|
3.4
|
Amendment No. 2 to Fifth Amended and Restated Agreement of Limited Partnership of Enterprise Products Partners L.P. dated April 14, 2008 (incorporated by reference to Exhibit 10.1 to Form 8-K filed April 16, 2008).
|
3.5
|
Amendment No. 3 to Fifth Amended and Restated Agreement of Limited Partnership of Enterprise Products Partners L.P. dated November 6, 2008 (incorporated by reference to Exhibit 3.5 to Form 10-Q filed November 10, 2008).
|
3.6
|
Amendment No. 4 to Fifth Amended and Restated Agreement of Limited Partnership of Enterprise Products Partners L.P. dated October 26, 2009 (incorporated by reference to Exhibit 3.1 to Form 8-K filed October 28, 2009).
|
3.7
|
Fifth Amended and Restated Limited Liability Company Agreement of Enterprise Products GP, LLC, dated November 7, 2007 (incorporated by reference to Exhibit 3.2 to Form 10-Q filed November 9, 2007).
|
3.8
|
First Amendment to Fifth Amended and Restated Limited Liability Company Agreement of Enterprise Products GP, LLC, dated November 6, 2008 (incorporated by reference to Exhibit 3.7 to Form 10-Q filed November 10, 2008).
|
3.9
|
Company Agreement of Enterprise Products Operating LLC dated June 30, 2007 (incorporated by reference to Exhibit 3.3 to Form 10-Q filed August 8, 2007).
|
3.10
|
Certificate of Incorporation of Enterprise Products OLPGP, Inc., dated December 3, 2003 (incorporated by reference to Exhibit 3.5 to Form S-4 Registration Statement, Reg. No. 333-121665, filed December 27, 2004).
|
3.11
|
Bylaws of Enterprise Products OLPGP, Inc., dated December 8, 2003 (incorporated by reference to Exhibit 3.6 to Form S-4 Registration Statement, Reg. No. 333-121665, filed December 27, 2004).
|
4.1
|
Form of Common Unit certificate (incorporated by reference to Exhibit 4.1 to Form S-1A Registration Statement, Reg. No. 333-52537, filed July 21, 1998).
|
4.2
|
Indenture, dated as of March 15, 2000, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Guarantor, and First Union National Bank, as Trustee (incorporated by reference to Exhibit 4.1 to Form 8-K filed March 10, 2000).
|
4.3
|
First Supplemental Indenture, dated as of January 22, 2003, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Guarantor, and Wachovia Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.2 to Registration Statement on Form S-4, Reg. No. 333-102776, filed January 28, 2003).
|
4.4
|
Second Supplemental Indenture, dated as of February 14, 2003, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Guarantor, and Wachovia Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 10-K filed March 31, 2003).
|
4.5
|
Third Supplemental Indenture, dated as of June 30, 2007, among Enterprise Products Operating L.P., as Original Issuer, Enterprise Products Partners L.P., as Parent Guarantor, Enterprise Products Operating LLC, as New Issuer, and U.S. Bank National Association, as successor Trustee (incorporated by reference to Exhibit 4.55 to Form 10-Q filed August 8, 2007).
|
4.6
|
Indenture, dated as of October 4, 2004, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.1 to Form 8-K filed October 6, 2004).
|
4.7
|
First Supplemental Indenture, dated as of October 4, 2004, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.2 to Form 8-K filed October 6, 2004).
|
4.8
|
Second Supplemental Indenture, dated as of October 4, 2004, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 8-K filed October 6, 2004).
|
4.9
|
Third Supplemental Indenture, dated as of October 4, 2004, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.4 to Form 8-K filed October 6, 2004).
|
4.10
|
Fourth Supplemental Indenture, dated as of October 4, 2004, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.5 to Form 8-K filed October 6, 2004).
|
4.11
|
Fifth Supplemental Indenture, dated as of March 2, 2005, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.2 to Form 8-K filed March 3, 2005).
|
4.12
|
Sixth Supplemental Indenture, dated as of March 2, 2005, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 8-K filed March 3, 2005).
|
4.13
|
Seventh Supplemental Indenture, dated as of June 1, 2005, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.46 to Form 10-Q filed November 4, 2005).
|
4.14
|
Eighth Supplemental Indenture, dated as of July 18, 2006, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.2 to Form 8-K filed July 19, 2006).
|
4.15
|
Ninth Supplemental Indenture, dated as of May 24, 2007, among Enterprise Products Operating L.P., as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.2 to Form 8-K filed May 24, 2007).
|
4.16
|
Tenth Supplemental Indenture, dated as of June 30, 2007, among Enterprise Products Operating L.P., as Original Issuer, Enterprise Products Partners L.P., as Parent Guarantor, Enterprise Products Operating LLC, as New Issuer, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.54 to Form 10-Q filed August 8, 2007).
|
4.17
|
Eleventh Supplemental Indenture, dated as of September 4, 2007, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 8-K filed September 5, 2007).
|
4.18
|
Twelfth Supplemental Indenture, dated as of April 3, 2008, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 8-K filed April 3, 2008).
|
4.19
|
Thirteenth Supplemental Indenture, dated as of April 3, 2008, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.4 to Form 8-K filed April 3, 2008).
|
4.20
|
Fourteenth Supplemental Indenture, dated as of December 8, 2008, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 8-K filed December 8, 2008).
|
4.21
|
Fifteenth Supplemental Indenture, dated as of June 10, 2009, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 8-K filed June 10, 2009).
|
4.22
|
Sixteenth Supplemental Indenture, dated as of October 5, 2009, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.3 to Form 8-K filed October 5, 2009).
|
4.23
|
Seventeenth Supplemental Indenture, dated as of October 27, 2009, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.1 to Form 8-K filed October 28, 2009).
|
4.24
|
Eighteenth Supplemental Indenture, dated as of October 27, 2009, among Enterprise Products Operating LLC, as Issuer, Enterprise Products Partners L.P., as Parent Guarantor, and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.2 to Form 8-K filed October 28, 2009).
|
4.25
|
Global Note representing $350.0 million principal amount of 6.375% Series B Senior Notes due 2013 with attached Guarantee (incorporated by reference to Exhibit 4.3 to Registration Statement on Form S-4, Reg. No. 333-102776, filed January 28, 2003).
|
4.26
|
Global Note representing $499.2 million principal amount of 6.875% Series B Senior Notes due 2033 with attached Guarantee (incorporated by reference to Exhibit 4.5 to Form 10-K filed March 31, 2003).
|
4.27
|
Global Notes representing $450.0 million principal amount of 7.50% Senior Notes due 2011 (incorporated by reference to Exhibit 4.1 to Form 8-K filed January 25, 2001).
|
4.28
|
Global Note representing $500.0 million principal amount of 4.00% Series B Senior Notes due 2007 with attached Guarantee (incorporated by reference to Exhibit 4.14 to Form S-3 Registration Statement, Reg. No. 333-123150, filed March 4, 2005).
|
4.29
|
Global Note representing $500.0 million principal amount of 5.60% Series B Senior Notes due 2014 with attached Guarantee (incorporated by reference to Exhibit 4.17 to Form S-3 Registration Statement, Reg. No. 333-123150, filed March 4, 2005).
|
4.30
|
Global Note representing $150.0 million principal amount of 5.60% Series B Senior Notes due 2014 with attached Guarantee (incorporated by reference to Exhibit 4.18 to Form S-3 Registration Statement, Reg. No. 333-123150, filed March 4, 2005).
|
4.31
|
Global Note representing $350.0 million principal amount of 6.65% Series B Senior Notes due 2034 with attached Guarantee (incorporated by reference to Exhibit 4.19 to Form S-3 Registration Statement, Reg. No. 333-123150, filed March 4, 2005).
|
4.32
|
Global Note representing $500.0 million principal amount of 4.625% Series B Senior Notes due 2009 with attached Guarantee (incorporated by reference to Exhibit 4.27 to Form 10-K filed March 15, 2005).
|
4.33
|
Global Note representing $250.0 million principal amount of 5.00% Series B Senior Notes due 2015 with attached Guarantee (incorporated by reference to Exhibit 4.31 to Form 10-Q filed November 4, 2005).
|
4.34
|
Global Note representing $250.0 million principal amount of 5.75% Series B Senior Notes due 2035 with attached Guarantee (incorporated by reference to Exhibit 4.32 to Form 10-Q filed November 4, 2005).
|
4.35
|
Global Note representing $500.0 million principal amount of 4.95% Senior Notes due 2010 with attached Guarantee (incorporated by reference to Exhibit 4.47 to Form 10-Q filed November 4, 2005).
|
4.36
|
Form of Junior Subordinated Note, including Guarantee (incorporated by reference to Exhibit 4.2 to Form 8-K filed July 19, 2006).
|
4.37
|
Global Note representing $800.0 million principal amount of 6.30% Senior Notes due 2017 with attached Guarantee (incorporated by reference to Exhibit 4.38 to Form 10-Q filed November 9, 2007).
|
4.38
|
Form of Global Note representing $400.0 million principal amount of 5.65% Senior Notes due 2013 with attached Guarantee (incorporated by reference to Exhibit 4.3 to Form 8-K filed April 3, 2008).
|
4.39
|
Form of Global Note representing $700.0 million principal amount of 6.50% Senior Notes due 2019 with attached Guarantee (incorporated by reference to Exhibit 4.4 to Form 8-K filed April 3, 2008).
|
4.40
|
Form of Global Note representing $500.0 million principal amount of 9.75% Senior Notes due 2014 with attached Guarantee (incorporated by reference to Exhibit 4.3 to Form 8-K filed December 8, 2008).
|
4.41
|
Form of Global Note representing $500.0 million principal amount of 4.60% Senior Notes due 2012 with attached Guarantee (incorporated by reference to Exhibit 4.3 to Form 8-K filed June 10, 2009).
|
4.42
|
Form of Global Note representing $500.0 million principal amount of 5.25% Senior Notes due 2020 with attached Guarantee (incorporated by reference to Exhibit 4.3 to Form 8-K filed October 5, 2009).
|
4.43
|
Form of Global Note representing $600.0 million principal amount of 6.125% Senior Notes due 2039 with attached Guarantee (incorporated by reference to Exhibit 4.3 to Form 8-K filed October 5, 2009).
|
4.44
|
Form of Global Note representing $490.5 million principal amount of 7.625% Senior Notes due 2012 with attached Guarantee (incorporated by reference to Exhibit 4.3 to Form 8-K filed October 28, 2009).
|
4.45
|
Form of Global Note representing $182.6 million principal amount of 6.125% Senior Notes due 2013 with attached Guarantee (incorporated by reference to Exhibit 4.4 to Form 8-K filed October 28, 2009).
|
4.46
|
Form of Global Note representing $237.6 million principal amount of 5.90% Senior Notes due 2013 with attached Guarantee (incorporated by reference to Exhibit 4.5 to Form 8-K filed October 28, 2009).
|
4.47
|
Form of Global Note representing $349.7 million principal amount of 6.65% Senior Notes due 2018 with attached Guarantee (incorporated by reference to Exhibit 4.6 to Form 8-K filed October 28, 2009).
|
4.48
|
Form of Global Note representing $399.6 million principal amount of 7.55% Senior Notes due 2038 with attached Guarantee (incorporated by reference to Exhibit 4.7 to Form 8-K filed October 28, 2009).
|
4.49
|
Form of Global Note representing $285.8 million principal amount of 7.000% Junior Subordinated Notes due 2067 with attached Guarantee (incorporated by reference to Exhibit 4.8 to Form 8-K filed October 28, 2009).
|
4.50
|
Replacement Capital Covenant, dated May 24, 2007, executed by Enterprise Products Operating L.P. and Enterprise Products Partners L.P. in favor of the covered debtholders described therein (incorporated by reference to Exhibit 99.1 to Form 8-K filed May 24, 2007).
|
4.51
|
First Amendment to Replacement Capital Covenant dated August 25, 2006, executed by Enterprise Products Operating L.P. in favor of the covered debtholders described therein (incorporated by reference to Exhibit 99.2 to Form 8-K filed August 25, 2006).
|
4.52
|
Purchase Agreement, dated as of July 12, 2006 between Cerrito Gathering Company, Ltd., Cerrito Gas Marketing, Ltd., Encinal Gathering, Ltd., as Sellers, Lewis Energy Group, L.P. as Guarantor, and Enterprise Products Partners L.P., as Buyer (incorporated by reference to Exhibit 4.6 to Form 10-Q filed August 8, 2006).
|
4.53
|
Replacement Capital Covenant, dated October 27, 2009, among Enterprise Products Operating LLC and Enterprise Products Partners L.P. in favor of the covered debtholders described therein (incorporated by reference to Exhibit 4.9 to Form 8-K filed October 28, 2009).
|
4.54
|
Indenture, dated February 20, 2002, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P. and Jonah Gas Gathering Company, as Subsidiary Guarantors, and First Union National Bank, NA, as Trustee (incorporated by reference to Exhibit 99.2 to the Form 8-K filed by TEPPCO Partners, L.P. on February 20, 2002).
|
4.55
|
First Supplemental Indenture, dated February 20, 2002, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P. and Jonah Gas Gathering Company, as Subsidiary Guarantors, and First Union National Bank, NA, as Trustee (incorporated by reference to Exhibit 99.3 to the Form 8-K filed by TEPPCO Partners, L.P. on February 20, 2002).
|
4.56
|
Second Supplemental Indenture, dated June 27, 2002, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P. and Jonah Gas Gathering Company, as Initial Subsidiary Guarantors, Val Verde Gas Gathering Company, L.P., as New Subsidiary Guarantor, and Wachovia Bank, National Association, formerly known as First Union National Bank, as Trustee (incorporated by reference to Exhibit 4.6 to the Form 10-Q filed by TEPPCO Partners, L.P. on August 14, 2002).
|
4.57
|
Third Supplemental Indenture, dated January 20, 2003, by and among TEPPCO Partners, L.P. as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P., Jonah Gas Gathering Company and Val Verde Gas Gathering Company, L.P. as Subsidiary Guarantors, and Wachovia Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.7 to the Form 10-K filed by TEPPCO Partners, L.P. on March 21, 2003).
|
4.58
|
Full Release of Guarantee, dated July 31, 2006, by Wachovia Bank, National Association, as Trustee, in favor of Jonah Gas Gathering Company (incorporated by reference to Exhibit 4.8 to the Form 10-Q filed by TEPPCO Partners, L.P. on November 7, 2006).
|
4.59
|
Fourth Supplemental Indenture, dated June 30, 2007, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P., Val Verde Gas Gathering Company, L.P., TE Products Pipeline Company, LLC and TEPPCO Midstream Companies, LLC, as Subsidiary Guarantors, and U.S. Bank National Association, as Trustee (incorporated by reference to Exhibit 4.3 to the Form 8-K filed by TE Products Pipeline Company, LLC on July 6, 2007).
|
4.60
|
Fifth Supplemental Indenture, dated March 27, 2008, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, LLC, TCTM, L.P., TEPPCO Midstream Companies, LLC and Val Verde Gathering Company, L.P., as Subsidiary Guarantors, and U.S. Bank National Association, as Trustee (incorporated by reference to Exhibit 4.11 to the Form 10-Q filed by TEPPCO Partners, L.P. on May 8, 2008).
|
4.61
|
Sixth Supplemental Indenture, dated March 27, 2008, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, LLC, TCTM, L.P., TEPPCO Midstream Companies, LLC and Val Verde Gas Gathering Company, L.P., as Subsidiary Guarantors, and U.S. Bank National Association, as Trustee (incorporated by reference to Exhibit 4.12 to the Form 10-Q filed by TEPPCO Partners, L.P. on May 8, 2008).
|
4.62
|
Seventh Supplemental Indenture, dated March 27, 2008, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, LLC, TCTM, L.P., TEPPCO Midstream Companies, LLC and Val Verde Gas Gathering Company, L.P., as Subsidiary Guarantors, and U.S. Bank National Association, as Trustee (incorporated by reference to Exhibit 4.13 to the Form 10-Q filed by TEPPCO Partners, L.P. on May 8, 2008).
|
4.63
|
Eighth Supplemental Indenture, dated October 27, 2009, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, LLC, TCTM, L.P., TEPPCO Midstream Companies, LLC and Val Verde Gas Gathering Company, L.P., as Subsidiary Guarantors, and U.S. Bank National Association, as Trustee (incorporated by reference to Exhibit 4.1 to the Form 8-K filed by TEPPCO Partners, L.P. on October 28, 2009).
|
4.64
|
Full Release of Guarantee, dated November 23, 2009, of TE Products Pipeline Company, LLC, TCTM, L.P., TEPPCO Midstream Companies, LLC and Val Verde Gas Gathering Company, L.P. by U.S. Bank National Association, as Trustee (incorporated by reference to Exhibit 4.64 to Form 10-K filed on March 1, 2010).
|
4.65
|
Indenture, dated May 14, 2007, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P. and Val Verde Gas Gathering Company, L.P., as Subsidiary Guarantors, and The Bank of New York Trust Company, N.A., as Trustee (incorporated by reference to Exhibit 99.1 of the Form 8-K filed by TEPPCO Partners, L.P. on May 15, 2007).
|
4.66
|
First Supplemental Indenture, dated May 18, 2007, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P. and Val Verde Gas Gathering Company, L.P., as Subsidiary Guarantors, and The Bank of New York Trust Company, N.A., as Trustee (incorporated by reference to Exhibit 4.2 to the Form 8-K filed by TEPPCO Partners, L.P. on May 18, 2007).
|
4.67
|
Replacement of Capital Covenant, dated May 18, 2007, executed by TEPPCO Partners, L.P., TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P. and Val Verde Gas Gathering Company, L.P. in favor of the covered debt holders described therein (incorporated by reference to Exhibit 99.1 to the Form 8-K of TEPPCO Partners, L.P. on May 18, 2007).
|
4.68
|
Second Supplemental Indenture, dated as of June 30, 2007, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, Limited Partnership, TCTM, L.P., TEPPCO Midstream Companies, L.P. and Val Verde Gas Gathering Company, L.P., as Existing Subsidiary Guarantors, TE Products Pipeline Company, LLC and TEPPCO Midstream Companies, LLC, as New Subsidiary Guarantors, and The Bank of New York Trust Company, N.A., as Trustee (incorporated by reference to Exhibit 4.2 to the Form 8-K filed by TE Products Pipeline Company, LLC on July 6, 2007).
|
4.69
|
Third Supplemental Indenture, dated as of October 27, 2009, by and among TEPPCO Partners, L.P., as Issuer, TE Products Pipeline Company, LLC, TCTM, L.P., TEPPCO Midstream Companies, LLC and Val Verde Gas Gathering Company, L.P., as Subsidiary Guarantors, and The Bank of New York Mellon Trust Company, N.A., as Trustee (incorporated by reference to Exhibit 4.2 to the Form 8-K filed by TEPPCO Partners, L.P. on October 28, 2009).
|
4.70
|
Full Release of Guarantee, dated as of November 23, 2009, of TE Products Pipeline Company, LLC, TCTM, L.P., TEPPCO Midstream Companies, LLC and Val Verde Gas Gathering Company, L.P. by The Bank of New York Mellon Trust Company, N.A., as Trustee (incorporated by reference to Exhibit 4.70 to Form 10-K filed on March 1, 2010).
|
10.1***
|
Enterprise Products 1998 Long-Term Incentive Plan (Amended and Restated as of February 23, 2010) (incorporated by reference to Exhibit 10.1 to Form 8-K filed February 26, 2010).
|
10.2***
|
Amendment to Form of Option Grant Award under the Enterprise Products 1998 Long-Term Incentive Plan for awards issued before February 23, 2010 (incorporated by reference to Exhibit 10.2 to Form 8-K filed February 26, 2010).
|
10.3***
|
Form of Option Grant Award under the Enterprise Products 1998 Long-Term Incentive Plan (incorporated by reference to Exhibit 10.3 to Form 8-K filed February 26, 2010).
|
10.4***
|
Amendment to Form of Restricted Unit Grant Award under the Enterprise Products 1998 Long-Term Incentive Plan for awards issued before February 23, 2010 (incorporated by reference to Exhibit 10.4 to Form 8-K filed February 26, 2010).
|
10.5***
|
Form of Employee Restricted Unit Grant Award under the Enterprise Products 1998 Long-Term Incentive Plan (incorporated by reference to Exhibit 10.5 to Form 8-K filed February 26, 2010).
|
10.6***
|
Form of Non-Employee Director Restricted Unit Grant Award under the Enterprise Products 1998 Long-Term Incentive Plan (incorporated by reference to Exhibit 10.6 to Form 8-K filed February 26, 2010).
|
10.7***
|
Enterprise Products Company 2005 EPE Long-Term Incentive Plan (amended and restated as of February 23, 2010) (incorporated by reference to Exhibit 10.1 to Form 8-K filed by Enterprise GP Holdings L.P. on February 26, 2010).
|
10.8***
|
Form of Option Grant Award under the Enterprise Products Company 2005 EPE Long-Term Incentive Plan (incorporated by reference to Exhibit 10.2 to Form 8-K filed by Enterprise GP Holdings L.P. on February 26, 2010).
|
10.9***
|
Form of Employee Restricted Unit Grant Award under the Enterprise Products Company 2005 EPE Long-Term Incentive Plan (incorporated by reference to Exhibit 10.3 to Form 8-K filed by Enterprise GP Holdings L.P. on February 26, 2010).
|
10.10***
|
Form of Non-Employee Director Restricted Unit Grant Award under the Enterprise Products Company 2005 EPE Long-Term Incentive Plan (incorporated by reference to Exhibit 10.4 to Form 8-K filed by Enterprise GP Holdings L.P. on February 26, 2010).
|
10.11***
|
Form of Phantom Unit Grant Award under the Enterprise Products Company 2005 EPE Long-Term Incentive Plan (incorporated by reference to Exhibit 10.5 to Form 8-K filed by Enterprise GP Holdings L.P. on February 26, 2010).
|
10.12***
|
Amended and Restated 2008 Enterprise Products Long-Term Incentive Plan (February 23, 2010) (incorporated by reference to Exhibit 10.7 to Form 8-K filed February 26, 2010).
|
10.13***
|
Amendment to Form of Option Grant Award under the Amended and Restated 2008 Enterprise Products Long-Term Incentive Plan for awards issued before February 23, 2010 (incorporated by reference to Exhibit 10.8 to Form 8-K filed February 26, 2010).
|
10.14***
|
Form of Option Grant Award under the Amended and Restated 2008 Enterprise Products Long-Term Incentive Plan (incorporated by reference to Exhibit 10.9 to Form 8-K filed February 26, 2010).
|
10.15***
|
Form of Employee Restricted Unit Grant Award under the Amended and Restated 2008 Enterprise Products Long-Term Incentive Plan (incorporated by reference to Exhibit 10.10 to Form 8-K filed February 26, 2010).
|
10.16***
|
Form of Non-Employee Director Restricted Unit Grant Award under the Amended and Restated 2008 Enterprise Products Long-Term Incentive Plan (incorporated by reference to Exhibit 10.11 to Form 8-K filed February 26, 2010).
|
10.17***
|
2010 Duncan Energy Partners L.P. Long-Term Incentive Plan (Amended and Restated February 23, 2010) (incorporated by reference to Exhibit 10.1 to Form 8-K filed by Duncan Energy Partners L.P. on February 26, 2010).
|
10.18***
|
Form of Option Grant Award under the 2010 Duncan Energy Partners L.P. Long-Term Incentive Plan (incorporated by reference to Exhibit 10.2 to Form 8-K filed by Duncan Energy Partners L.P. on February 26, 2010).
|
10.19***
|
Form of Employee Restricted Unit Grant Award under the 2010 Duncan Energy Partners L.P. Long-Term Incentive Plan (incorporated by reference to Exhibit 10.3 to Form 8-K filed by Duncan Energy Partners L.P. on February 26, 2010).
|
10.20***
|
Form of Non-Employee Director Restricted Unit Grant Award under the 2010 Duncan Energy Partners L.P. Long-Term Incentive Plan (incorporated by reference to Exhibit 10.4 to Form 8-K filed by Duncan Energy Partners L.P. on February 26, 2010).
|
31.1#
|
Sarbanes-Oxley Section 302 certification of Michael A. Creel for Enterprise Products Partners L.P. for the March 31, 2010 Quarterly Report on Form 10-Q.
|
31.2#
|
Sarbanes-Oxley Section 302 certification of W. Randall Fowler for Enterprise Products Partners L.P. for the March 31, 2010 Quarterly Report on Form 10-Q.
|
32.1#
|
Section 1350 certification of Michael A. Creel for the March 31, 2010 Quarterly Report on Form 10-Q.
|
32.2#
|
Section 1350 certification of W. Randall Fowler for the March 31, 2010 Quarterly Report on Form 10-Q.
|
101.CAL#
|
XBRL Calculation Linkbase Document
|
101.DEF#
|
XBRL Definition Linkbase Document
|
101.INS#
|
XBRL Instance Document
|
101.LAB#
|
XBRL Labels Linkbase Document
|
101.PRE#
|
XBRL Presentation Linkbase Document
|
101.SCH#
|
XBRL Schema Document
|
*
|
With respect to any exhibits incorporated by reference to any Exchange Act filings, the Commission file numbers for Enterprise GP Holdings L.P, Duncan Energy Partners L.P., TEPPCO Partners, L.P. and TE Products Pipeline Company, LLC are 1-32610, 1-33266, 1-10403 and 1-13603, respectively.
|
***
|
Identifies management contract and compensatory plan arrangements.
|
#
|
Filed with this report.
|
ENTERPRISE PRODUCTS PARTNERS L.P.
|
||||||
(A Delaware Limited Partnership)
|
||||||
By: Enterprise Products GP, LLC, as General Partner
|
||||||
By:
|
/s/ Michael J. Knesek
|
|||||
Name:
|
Michael J. Knesek
|
|||||
Title:
|
Senior Vice President, Controller
and Principal Accounting Officer
of the General Partner
|