Inergy, L.P. Declares Quarterly Cash Distribution
The Board of Directors of Inergy GP, LLC, general partner of Inergy, L.P. (NYSE: NRGY), announced that it has declared the company's quarterly cash distribution of $0.29 per limited partner unit ($1.16 annually) for the quarter ended September 30, 2012. The distribution will be paid on November 14, 2012, to unitholders of record as of November 7, 2012.
On September 14, 2012, Inergy completed the distribution to unitholders of 14,058,418 Suburban Propane Partners, L.P. (NYSE: SPH) common units at a distribution rate of approximately 0.108. The SPH common units were received by Inergy as partial consideration for the contribution of its retail propane operations to SPH. As a result, Inergy has adjusted its annualized distribution from $1.50 to the current rate of $1.16 to reflect the distribution of the SPH common units to Inergy unitholders. SPH's current annualized distribution is $3.41 per SPH unit. Inergy investors who received – and continue to own – the SPH common units distributed receive total annualized cash distributions of approximately $1.53 per Inergy unit, consisting of the $1.16 paid by Inergy and approximately $0.368 per Inergy unit paid by SPH directly to unitholders.
About Inergy, L.P.
Inergy, L.P., headquartered in Kansas City, Missouri, is a publicly traded master limited partnership. Inergy's operations include a natural gas storage business in Texas and an NGL supply logistics and marketing business that serves customers in the United States and Canada. Through its general partner interest and majority equity ownership interest in Inergy Midstream, L.P. (NYSE: NRGM), Inergy is also engaged in the development and operation of natural gas and NGL storage and transportation business in the Northeast region of the United States.
About Inergy Midstream, L.P.
Inergy Midstream, L.P., headquartered in Kansas City, Missouri, is a master limited partnership engaged in the development and operation of natural gas and NGL storage and transportation assets. Our assets are located in the Northeast region of the United States.
This press release may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management's control. Should one or more of these risks or uncertainties materialize or any underlying assumption proves incorrect, actual results may vary materially from those anticipated, estimated, or projected. Among the key factors that could cause actual results to differ materially from those referred to in the forward-looking statements are: weather conditions that vary significantly from historically normal conditions; the general level of petroleum product demand and the availability of propane supplies; the demand for high deliverability natural gas storage capacity; our ability to successfully implement our business plan, including the placement of our expansion projects in-service in a timely manner; the outcome of rate decisions levied by the Federal Energy Regulatory Commission; our ability to generate available cash for distribution to unitholders; and the costs and effects of legal, regulatory, and administrative proceedings against us or which may be brought against us. These and other risks and assumptions are described in Inergy's annual reports on Form 10-K and other reports that are available from the United States Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management's view only as of the date made. We undertake no obligation to update any forward-looking statement, except as otherwise required by law.
Corporate news, unit prices, and additional information about Inergy, including reports from the United States Securities and Exchange Commission, are available on the company's website, www.inergylp.com. For more information, contact Vince Grisell in Inergy's Investor Relations Department at 816-842-8181 or via e-mail at firstname.lastname@example.org.
This release is intended to be a qualified notice under Treasury Regulation Section 1.1446-4(b). Brokers and nominees should treat one hundred percent of Inergy's distributions to foreign investors as being attributable to income that is effectively connected with a United States trade or business. Accordingly, Inergy's distributions to foreign investors are subject to federal income tax withholding at the highest applicable effective tax rate.
Vince Grisell, 816-842-8181