Williams Agrees to Acquire Global Infrastructure Partners’ GP and LP Interests in Access Midstream Partners for $5.995 Billion; Plans Higher Dividend; Proposes Subsequent Merger of Access Midstream Partners and Williams Partners
June 15, 2014
Increasing Access Midstream Partners Ownership to 100% of GP and
50% of LP via Acquisition
Planning Williams 3Q 2014 Dividend Up 32% to $0.56, or $2.24 on an
Annualized Basis; $2.46 for 2015, With Follow-on Annual Dividend
Growth of Approximately 15% through 2017
Accelerating Transformation of Williams to Pure-Play GP
Proposing Subsequent Merger of Williams Partners and Access
Midstream Partners; If Consummated, Creates Industry-Leading MLP With
Expected 2015 Adjusted EBITDA of Approximately $5 Billion, Strong
Coverage, and 10%-12% Annual LP Distribution Growth Rate Through 2017
Expecting 2015 Distributions for Merged MLP to Be at Least 25%
Above Access Midstream Partners’ Current 2015 Distribution Guidance;
Up More Than 40% vs. Current 2014 Distribution Guidance
Acquiring Access Midstream GP, LP Interests Not Contingent on
Merger of the Two Partnerships
Providing Update on Geismar and Williams Partners Segment Guidance
Holding Investor Call at 10 a.m. EDT Monday to Discuss Acquisition,
TULSA, Okla.--(BUSINESS WIRE)--
(NYSE:WMB) today announced that it has agreed to acquire the 50 percent
general partner interest and 55.1 million limited partner units in
Oklahoma City-based Access Midstream Partners L.P. (NYSE:ACMP) held by
Global Infrastructure Partners II (“GIP”) for $5.995 billion in cash. At
the close of trading on Friday, June 13, the 55.1 million LP units had a
market value of $3.6 billion. Upon closing, Williams will own 100
percent of the general partner and 50 percent of the limited partner
interests in Access Midstream Partners. This transaction follows
Williams’ acquisition of its 50 percent GP interest and 23 percent LP
interest in Access Midstream Partners in December 2012. Williams expects
the acquisition to close in the third quarter of 2014. Following the
closing of the acquisition, Williams plans to increase its third-quarter
2014 dividend by 32 percent to $0.56 per share.
Williams also today announced a proposal to merge Williams Partners L.P.
(NYSE:WPZ) with and into Access Midstream Partners.
“Today, we’re announcing a series of steps designed to amplify the
benefits of our existing relationship with Access Midstream Partners, an
increase in our dividend and the acceleration of Williams’ move to a
pure-play GP holding company of two leading master limited
partnerships,” said Alan Armstrong, Williams’ chief executive officer.
“The proposed merger of Williams Partners and Access Midstream Partners,
if consummated, would create an industry-leading, large-scale MLP with
substantial positions across the midstream business – spanning natural
gas gathering and processing, natural gas transmission pipelines, and
NGL and petchem services. Our positions in these businesses provide
clearly identified growth for the foreseeable future,” Armstrong said.
The Acquisition of Access Midstream Partners
The acquisition of the additional interests in Access Midstream Partners
is expected to increase Williams’ cash flow per share as a result of
rapid growth in Access Midstream Partners’ business, which drives
attractive growth in its GP/IDR (incentive distribution rights) and LP
cash-distributions. Williams expects the acquisition to increase
fee-based revenues to more than 80 percent of its gross margin as a
result of Access Midstream Partners’ fee-based revenues.
Access Midstream Partners’ business growth is driven by expected
production increases in its portfolio of more than 8.3 million acres
under dedication in major shale and unconventional producing areas,
including the Marcellus, Utica, Eagle Ford, Haynesville, Barnett,
Mid-continent and Niobrara.
Williams expects to close the acquisition of GIP’s Access Midstream
Partners interests in the third quarter this year. The closing of the
acquisition is not conditioned upon the consummation of Williams’
proposed merger of Williams Partners and Access Midstream Partners.
Closing of the acquisition is subject only to the receipt of regulatory
approvals under provisions of the Hart-Scott-Rodino Act.
“Our acquisition of the additional GP and LP interests in Access
Midstream Partners represents a unique, strategic opportunity for
investors, customers and the employees of both Access Midstream Partners
and Williams,” Armstrong continued. “We expect the acquisition to
deliver immediate and future dividend growth for Williams’ shareholders
and to further enhance our presence in attractive growth basins. In
addition, we expect the acquisition of Access Midstream Partners will
fortify Williams’ stable, fee-based business model and support our
industry-leading dividend growth strategy.”
Williams plans to fund approximately half of the $5.995 billion
acquisition with equity and the remainder with a combination of
long-term debt, revolver borrowings and cash on hand. The company
expects to repay revolver borrowings with proceeds from the planned
drop-down of its remaining NGL & Petchem Services assets and projects.
In addition, Williams has entered into a backup financing commitment
with respect to a $5.995 billion interim-liquidity facility with UBS
Investment Bank, Barclays and Citigroup that would be available to fund
Williams expects to retain its investment-grade credit ratings at two of
the three ratings agencies. The company expects the third agency to
reduce Williams’ credit rating one notch to sub-investment-grade as a
result of the agency’s recently announced proposed change in ratings
methodology for general partners, along with Williams’ plans to
accelerate its move to a GP holding company and the acquisition
announced today. The company expects Williams Partners to retain its
current strong BBB investment-grade credit ratings.
Williams plans to increase its third-quarter 2014 dividend 32 percent to
$0.56, or $2.24 on an annualized basis. In addition to the third-quarter
2014 dividend increase, Williams also is providing new dividend-growth
guidance of approximately 15 percent annually – from the higher
third-quarter 2014 base – through 2017 with planned dividends of
approximately $1.96 in 2014, $2.46 in 2015, $2.82 in 2016, and $3.25 in
2017. The expected quarterly increases in Williams’ dividend are subject
to quarterly approval of the company’s board of directors.
Accelerated Transformation to Pure-Play GP Holding Company
To complete Williams’ transition to a pure-play GP holding company,
Williams plans to accelerate the drop-down of its remaining NGL &
Petchem Services assets and projects to late 2014 or early 2015.
Williams expects to have invested approximately $600 million in the
drop-down assets by year-end 2014. This drop-down transaction will be
subject to MLP board conflicts-committee approval.
Proposed Merger of Access Midstream Partners and Williams Partners
Williams is proposing the merger of Williams Partners with and into
Access Midstream Partners following the completion of its acquisition of
GIP’s interests in Access Midstream Partners.
Williams proposes Williams Partners merge in a unit-for-unit exchange at
a ratio of 0.85 Access Midstream Partners units per Williams Partners
unit. The proposal also includes an option for Williams Partners
unitholders to take either a one-time special payment of $0.81 per unit,
or an equivalent value of additional common units of Access Midstream
Partners, to compensate for a lower expected per-unit LP cash
distribution in 2015.
The proposed merger terms will be subject to negotiation, review and
approval by conflicts committees of each partnership’s board of
directors. The conflicts committees, comprised solely of independent
board members, are expected to retain legal and financial advisors.
Williams expects the proposed merger to be subject to approval by
Williams Partners unitholders.
If consummated, the merged MLP would be named Williams Partners L.P. and
would become one of the largest and fastest-growing MLPs – with expected
2015 adjusted EBITDA of approximately $5 billion.
Williams expects the merged partnership will be a synergistic
combination that is well-positioned to benefit from the ongoing energy
infrastructure super-cycle. The company’s operations represent a
strategic, expanding footprint that connects the best supplies with the
The merged MLP would feature large-scale positions across three key
components of the midstream sector, including:
Natural Gas Pipelines – Transco, Northwest and Gulfstream represent
the nation’s premier interstate pipeline network. Transco is the
nation’s largest and fastest-growing pipeline system.
Gathering and Processing – Large-scale positions in growing
natural-gas supply areas in major shale and unconventional producing
areas, including the Marcellus, Utica, Piceance, Four Corners,
Wyoming, Eagle Ford, Haynesville, Barnett, Mid-continent and Niobrara.
Additionally, the business would include oil and natural gas gathering
services in the deepwater Gulf of Mexico.
Natural Gas Liquids and Petrochemical Services – Unique downstream
presence on the Gulf Coast and in western Canada provides
differentiated long-term growth.
If the merger is completed, it is anticipated that the merged
partnership will be based in Tulsa, Oklahoma. Oklahoma City would become
one of the partnership’s major offices, which would also include
Houston, Pittsburgh, Salt Lake City and Calgary.
Assuming the merger is consummated in 2014, the merged MLP is expected
to have a 2015 distribution increase of at least 25 percent above Access
Midstream Partners’ current guidance of $2.79 per unit, with a
best-in-class distribution growth rate of 10 to 12 percent through 2017
and strong coverage. Distribution coverage is estimated to be
approximately 1.2x in 2015 and at or above 1.1x through 2017.
Expected Benefits of Proposed Merger to Access Midstream Partners
Significantly broadened customer base, enhanced business platform,
expanded technical and operational expertise, and additional
opportunities to sustain long-term growth.
If the proposed merger is consummated in 2014:
Expected increase in 2015 distributions of at least 25 percent
above Access Midstream Partners’ current 2015 distribution
guidance. This represents an increase of more than 40 percent
above current 2014 distribution guidance.
Expected increase in 2016 distributions of at least 20 percent
above Access Midstream Partners’ current 2016 distribution
Expected best-in-class 10 to 12 percent annual distribution growth
rate in each 2016 and 2017. Quarterly distributions will be
subject to approval of the merged MLP’s board of directors.
Distribution coverage is estimated to be approximately 1.2x in
2015 and at or above 1.1x through 2017.
Expected to improve credit ratings to investment-grade levels, which
lowers debt cost and increases access to capital.
Expected to increase trading liquidity and broaden appeal to investors
as a core MLP holding.
Expected Benefits of Proposed Merger to Williams Partners Unitholders
Expected increased scale and diversification with substantial
operating footprint in major supply-growth basins in the United
States, creating one of the most substantial growth platforms in the
Significantly broadens customer base, enhances business platform,
expands technical and operational expertise, and drives opportunities
to sustain long-term growth.
Proposed merger exchange ratio (described above) would provide
unitholders with an expected immediate premium.
Williams Partners unitholders will receive Access Midstream Partners
units with pro-forma best-in-class distribution growth and significant
cash coverage – with the combined MLP expected to benefit from
attractive equity valuation.
Stronger credit profile expected upon integration of Access Midstream
Partners’ 100 percent fee-based business.
Expected Benefits of Proposed Merger to Williams Shareholders
Provides opportunity to enhance and streamline operations,
business-development, commercial and support capabilities.
Further simplifies the corporate structure.
Aligns Williams Partners and Access Midstream Partners unitholders.
Expected to increase efficiency in capital allocation to growth
Increased growth visibility expected to drive higher Williams
Additional Perspective on Proposed Merger
“In addition to creating a unique, large-scale MLP with one of the most
substantial growth platforms in the industry and operations in top
supply-growth basins, the proposed merger of Williams Partners and
Access Midstream Partners is designed to deliver best-in-class
distribution growth with strong coverage and investment-grade credit,”
Armstrong said. “We expect the proposed merger to deliver value for
investors in Access Midstream Partners, Williams Partners and Williams.
“One of the truly compelling benefits of the proposed merger is the
ability to incorporate the experience and expertise of Access Midstream
Partners’ talented employees with our own,” Armstrong continued. “We
have had unique visibility with respect to Access Midstream Partners’
talented employees since we made our initial investment. The combination
of our teams will enable us to better align resources and seize the
opportunities of the more than $25 billion in potential growth
investments in our business. We look forward to building on the talents
and capabilities across both organizations and maintaining a sizeable
presence in Oklahoma City following the merger.”
Financial Guidance and Geismar Update
Williams Partners is lowering its financial guidance for 2014; financial
guidance for 2015 and 2016 are unchanged. The 2014 change is primarily
the result of delays in Geismar’s expected in-service date and increased
construction spending. The updated guidance also reflects various other
changes since the company issued guidance in October 2013.
“The strength of Williams Partners’ ongoing business allows us to
preserve the growth reflected in its 2015 and 2016 financial guidance,”
Armstrong said. “We are lowering the 2014 guidance primarily as a result
of delays and cost increases specific to work to bring the expanded,
rebuilt Geismar facility back into service. We are now targeting late
July for initiation of the startup process.”
The partnership’s current guidance for its 2014 earnings, distributable
cash flow and capital expenditures are displayed in the following table:
Williams Partners Guidance
Amounts are in millions except coverage ratio.
DCF attributable to partnership ops. (1)
Total Cash Distribution (2)
Cash Distribution Coverage Ratio (1)
Adjusted Segment Profit (1):
Adjusted Segment Profit + DD&A (1):
Growth Capital Expenditures
(1) Distributable Cash Flow, Cash Distribution Coverage Ratio,
Adjusted Segment Profit and Adjusted Segment Profit +
DD&A are non-GAAP measures. Reconciliations to the most
relevant measures included in GAAP are attached to this news
(2) The cash distributions in guidance are on an accrual basis
and reflect an approximate annual growth rate in
limited partner distributions of 5-7% for 2014.
The Geismar plant rebuild and expansion projects are targeted for
initiation of startup in late July. Williams Partners’ financial
guidance assumes ethylene sales commencing in mid-August. The delay from
the previous expectation of startup initiation in late June resulted
from lower than planned construction labor productivity and other
factors on both the rebuild and expansion projects. The Geismar
expansion project capital spending is expected to increase to $715
million, up $65 million from previous guidance, primarily as a result of
Additionally, risks associated with the expected full recovery of $500
million in insurance proceeds related to the Geismar incident could
result in full-year 2014 distributable cash flow that is below the new
guidance range. In May, the insurers approved $50 million of the most
recent claim-payment request of $200 million. Upon receipt of such $50
million, expected in June, the total insurance receipts to date will be
$225 million. The insurers continue to evaluate Williams Partners’
claims and have recently raised questions around key assumptions
involving our business-interruption claim. As a result, the insurers
have elected to make a partial payment pending further assessment of
these issues. Williams Partners continues to work with insurers in
support of all claims, as submitted, and is vigorously pursuing full
Williams is maintaining its consolidated financial guidance for 2014 to
2016 within the existing ranges it has previously published – excluding
the effects of the acquisition and other plans it announced today. The
company expects to update its guidance on July 30, concurrent with its
second-quarter 2014 earnings release, to include the effect of the
acquisition as well as Williams Partners’ updated segment guidance.
Following closing of the purchase of the GIP interests, Williams expects
to consolidate its investment in Access Midstream Partners for purposes
of financial reporting. In connection with this transaction, Williams
expects to receive tax benefits consistent with those recognized by
Williams from its December 2012 initial investment in Access Midstream
Investor Conference Call
Williams will hold a conference call with investors at 10 a.m. EDT
Monday to discuss the substance of this news release. A presentation and
a link to the live webcast will be available at www.williams.com
shortly before 10 a.m. EDT Monday. A limited number of phone lines will
be available at (888) 401-4671. International callers should dial (719)
UBS Investment Bank, Barclays and Citigroup acted as financial advisors
and Gibson Dunn acted as legal counsel to Williams. Additionally, UBS
Investment Bank, Barclays and Citigroup are acting as lead arrangers for
the Williams interim-liquidity facility.
This press release includes combined adjusted EBITDA for Williams
Partners and Access Midstream Partners for 2015, which is a non-GAAP
financial measure as defined under the rules of the SEC.
For Williams Partners L.P. we define adjusted EBITDA as net income
(loss) attributable to partnership before income tax expense, net
interest expense, depreciation and amortization expense, equity earnings
from investments and allowance for equity funds used during
construction, adjusted for equity investments cash distributions to
partnership and certain other items management believes affect the
comparability of operating results.
Access Midstream Partners defines adjusted EBITDA as net income (loss)
before income tax expense, interest expense, depreciation and
amortization expense and certain other items management believes affect
the comparability of operating results.
The table below presents a reconciliation of adjusted EBITDA to the
nearest GAAP financial measure for 2015 (in millions):
Net income after tax attributable to partnership
Net interest expense
Income tax expense
Equity earnings from investments
Equity investments cash distributions to partnership
Depreciation & amortization (DD&A)
Equity allowance for funds used during construction
Adjusted EBITDA attributable to partnership
*Excludes the effects of any potential financial synergies.
This press release also refers to the financial measures – adjusted
segment profit, adjusted segment profit + DD&A, distributable cash flow
and cash distribution coverage ratio – that are also non-GAAP financial
measures as defined under the rules of the SEC.
For Williams Partners L.P., adjusted segment profit excludes items of
income or loss that we characterize as unrepresentative of our ongoing
operations. Adjusted segment profit + DD&A is further adjusted to add
back depreciation and amortization expense. Management believes these
measures provide investors meaningful insight into Williams Partners
L.P.’s results from ongoing operations.
For Williams Partners L.P. we define distributable cash flow as net
income plus depreciation and amortization and cash distributions from
our equity investments less our earnings from our equity investments,
income attributable to noncontrolling interests and maintenance capital
expenditures. We also adjust for payments and/or reimbursements under
omnibus agreements with Williams and certain other items.
For Williams Partners L.P. we also calculate the ratio of distributable
cash flow to the total cash distributed (cash distribution coverage
ratio). This measure reflects the amount of distributable cash flow
relative to our cash distribution. We have also provided this ratio
calculated using the most directly comparable GAAP measure, net income.
This press release is accompanied by a reconciliation of these non-GAAP
financial measures to their nearest GAAP financial measures. Management
uses these financial measures because they are accepted financial
indicators used by investors to compare company performance. In
addition, management believes that these measures provide investors an
enhanced perspective of the operating performance of the partnership's
assets and the cash that the business is generating. Neither adjusted
segment profit, adjusted segment profit + DD&A, adjusted EBITDA nor
distributable cash flow are intended to represent cash flows for the
period, nor are they presented as an alternative to net income or cash
flow from operations. They should not be considered in isolation or as
substitutes for a measure of performance prepared in accordance with
United States generally accepted accounting principles.
About Williams (NYSE: WMB)
Williams is one of the leading energy infrastructure companies in North
America. It owns interests in or operates 15,000 miles of interstate gas
pipelines, 1,000 miles of NGL transportation pipelines, and more than
10,000 miles of oil and gas gathering pipelines. The company's
facilities have daily gas processing capacity of 6.6 billion cubic feet
of natural gas, NGL production of more than 200,000 barrels per day and
domestic olefins production capacity of 1.35 billion pounds of ethylene
and 90 million pounds of propylene per year. Williams owns approximately
66 percent of Williams Partners L.P. (NYSE: WPZ), one of the largest
diversified energy master limited partnerships. Williams Partners owns
most of Williams' interstate gas pipeline and domestic midstream
assets. Williams also owns Canadian operations and certain domestic
olefins pipelines assets, as well as a significant investment in Access
Midstream Partners, L.P. (NYSE: ACMP), a midstream natural gas
services provider. The company's headquarters is in Tulsa, Okla. For
more information, visit www.williams.com,
where the company routinely posts important information.
The Williams Companies, Inc.
Our reports, filings, and other public announcements may include
"forward-looking statements" within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended. These forward-looking statements
relate to anticipated financial performance, management's plans and
objectives for future operations, business prospects, outcome of
regulatory proceedings, market conditions and other matters. We make
these forward-looking statements in reliance on the safe harbor
protections provided under the Private Securities Litigation Reform Act
All statements, other than statements of historical facts, included
in this report that address activities, events or developments that we
expect, believe or anticipate will exist or may occur in the future, are
forward-looking statements. Forward-looking statements can be identified
by various forms of words such as "anticipates," "believes," "seeks,"
"could," "may," "should," "continues," "estimates," "expects,"
"forecasts," "intends," "might," "goals," "objectives," "targets,"
"planned," "potential," "projects," "scheduled," "will," "assumes,"
"guidance," "outlook," "in service date" or other similar expressions.
These forward-looking statements are based on management's beliefs and
assumptions and on information currently available to management and
include, among others, statements regarding:
•The closing of, and the sources of funding for, the
anticipated transaction with certain Global Infrastructure Partners
funds (the “GIP Purchase”);
•Expected production increases in the producing areas served
by Access Midstream Partners, L.P. (“ACMP”), as well as its levels of
cash distributions with respect to general partner interests, incentive
distribution rights, and limited partner interests;
•Increases in our fee-based revenues as a percentage of our
gross margin following the GIP Purchase;
•Planned increases in our dividends following the GIP
•The timing of the drop-down of our remaining NGL & Petchem
Services assets and projects;
•The completion of the proposed merger (the “Proposed
Merger”) of ACMP and Williams Partners L.P. (“WPZ”), including the
approval of the Proposed Merger by the conflicts committees of each
partnership and the exchange ratio to be utilized in the Proposed Merger;
•The benefits of the Proposed Merger to unitholders of ACMP
and WPZ, respectively, and to our stockholders;
•The operations, performance, levels of distributions, and
distribution coverage of the merged partnership following the Proposed
•Our future credit ratings and the future credit ratings of
WPZ and ACMP;
•The expected timing for the restart of WPZ’s Geismar,
Louisiana, olefins plant;
•The expected timing of receipt and amounts of proceeds from
insurance claims related to the Geismar plant;
•Amounts and the nature of future capital expenditures;
•Expansion and growth of our business and operations;
•Financial condition and liquidity;
•Cash flow from operations or results of operations,
including cash flow per share following the GIP Purchase;
•The levels of dividends to stockholders;
•Natural gas, natural gas liquids and olefins, supply, prices
and demand; and
•Demand for our services.
Forward-looking statements are based on numerous assumptions,
uncertainties and risks that could cause future events or results to be
materially different from those stated or implied in this report. Many
of the factors that will determine these results are beyond our ability
to control or predict. Specific factors that could cause actual results
to differ from results contemplated by the forward-looking statements
include, among others, the following:
•Whether we will receive necessary regulatory approvals, or
be required to make any divestitures, under provisions of the
Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, to
consummate the GIP Purchase;
•Whether ACMP will produce sufficient cash flows following
the GIP Purchase to provide the level of cash distributions we expect;
•ACMP’s reliance on a limited number of customers for a
substantial majority of its revenues;
•Whether any nationally-recognized credit rating agency
issues a decrease in our credit ratings or the credit ratings of ACMP or
•Our ability to achieve our expected increases in the levels
of quarterly dividends;
•Potential fluctuations in the market prices of WPZ’s or
ACMP’s common units following our announcement of the Proposed Merger;
•Approval of the Proposed Merger, including by the conflicts
committees of ACMP and WPZ;
•Our ability to successfully integrate the businesses of ACMP
and WPZ in order to achieve the expected benefits of the Proposed Merger;
•Our ability to recover expected insurance proceeds related
to the Geismar plant;
•Whether we have sufficient cash to enable us to pay current
and expected levels of dividends;
•Availability of supplies, market demand and volatility of
•Inflation, interest rates, fluctuation in foreign exchange
rates, and general economic conditions (including future disruptions and
volatility in the global credit markets and the impact of these events
on our customers and suppliers);
•The strength and financial resources of our competitors and
the effects of competition;
•Whether we are able to successfully identify, evaluate and
execute investment opportunities;
•Our ability to acquire new businesses and assets and
successfully integrate those operations and assets into our existing
businesses, as well as successfully expand our facilities;
•Development of alternative energy sources;
•The impact of operational and development hazards and
•Costs of, changes in, or the results of laws, government
regulations (including safety and environmental regulations),
environmental liabilities, litigation, and rate proceedings;
•Our costs and funding obligations for defined benefit
pension plans and other postretirement benefit plans;
•Changes in maintenance and construction costs;
•Changes in the current geopolitical situation;
•Our exposure to the credit risk of our customers and
•Risks related to financing, including restrictions stemming
from our debt agreements, future changes in our credit ratings and the
availability and cost of capital;
•The amount of cash distributions from and capital
requirements of our investments and joint ventures in which we
•Risks associated with weather and natural phenomena,
including climate conditions;
•Acts of terrorism, including cybersecurity threats and
related disruptions; and
•Additional risks described in our filings with the
Securities and Exchange Commission.
Given the uncertainties and risk factors that could cause our actual
results to differ materially from those contained in any forward-looking
statement, we caution investors not to unduly rely on our
forward-looking statements. We disclaim any obligations to and do not
intend to update the above list or to announce publicly the result of
any revisions to any of the forward-looking statements to reflect future
events or developments.
In addition to causing our actual results to differ, the factors
listed above may cause our intentions to change from those statements of
intention set forth in this announcement. Such changes in our intentions
may also cause our results to differ. We may change our intentions, at
any time and without notice, based upon changes in such factors, our
assumptions, or otherwise.
Investors are urged to closely consider the disclosures and risk
factors in our annual report on Form 10-K filed with the SEC on Feb. 26,
2014, and each of our quarterly reports on Form 10-Q available from our
offices or from our website at www.williams.com.
Williams Partners L.P. - segment profit guidance – reported to
adjusted and adjusted segment profit + DD&A
Dollars in millions
Total reported segment profit
Loss related to compressor station fire
Total adjustments - Northeast G&P
Geismar incident adjustment for insurance and timing
Total adjustments - NGL & Petchem Services
Total segment profit adjustments
Adjusted segment profit:
Total adjusted segment profit
Total adjusted segment profit + DD&A
Williams Partners L.P. - Distributable cash flow and cash
distribution coverage ratio
Dollars in millions
Attributable to Noncontrolling Interests
Geismar incident adjustment for insurance and timing
Other / Rounding
Distributable Cash Flow
Less: Pre-Partnership Distributable Cash Flow
Distributable Cash Flow Attributable to Partnership Operations
Cash Distributions 1
Cash Distribution Coverage Ratio
Net Income / Cash Distributions
Note 1: Distributions reflect per-unit increases of 5%-7% annually.
Williams Media: Tom Droege, 918-573-4034 or Investor: John
Porter, 918-573-0797 or Sharna Reingold, 918-573-2078