8-KRegulation FDExhibits & Filings

ENTERPRISE PRODUCTS PARTNERS L.P. 8-K Report, Regulation FD Disclosure (Dec 5, 2006)

Filed December 5, 2006For Securities:EPDEPDU

Summary

This 8-K filing reports on Enterprise Products Partners L.P.'s (EPD) presentation at the Wachovia Pipeline & MLP Symposium on December 5, 2006. The presentation, delivered by Michael A. Creel, EVP and CFO, focused on the company's businesses, growth strategies, and recent financial performance. EPD is described as a North American midstream energy company providing services for natural gas, NGLs, and crude oil, with a strong presence in pipeline development across the continental U.S. and Gulf of Mexico. The filing also clarifies various industry terms and abbreviations used in the presentation. A significant portion details EPD's use of non-GAAP financial measures, including gross operating margin, distributable cash flow (DCF), EBITDA, and consolidated EBITDA. Reconciliations to GAAP measures are provided, emphasizing that these non-GAAP metrics are used internally for performance evaluation and investor communication, particularly DCF as a key indicator of the ability to sustain and grow distributions.

Key Highlights

  • 1EPD presented to investors and analysts at the Wachovia Pipeline & MLP Symposium on December 5, 2006.
  • 2The presentation covered EPD's businesses, growth strategies, and recent financial performance.
  • 3EPD is a North American midstream energy company involved in natural gas, NGL, and crude oil services and infrastructure.
  • 4The filing includes definitions of industry terms and abbreviations used in the presentation.
  • 5EPD utilizes and explains several non-GAAP financial measures: Gross Operating Margin, Distributable Cash Flow (DCF), EBITDA, and Consolidated EBITDA.
  • 6Reconciliations of non-GAAP measures to comparable GAAP measures are provided.
  • 7Schedule A details the calculation of reinvested distributable cash flow since the GTM Merger (September 30, 2004) and since January 1, 1999.

Frequently Asked Questions

The main purpose of this 8-K filing is to disclose that Enterprise Products Partners L.P. (EPD) presented at the Wachovia Pipeline & MLP Symposium on December 5, 2006. A copy of the investor presentation is filed as an exhibit, and the company is using this filing to provide investors with the information shared during that presentation.

EPD discusses Gross Operating Margin, Distributable Cash Flow (DCF), EBITDA, and Consolidated EBITDA. They use these non-GAAP measures because management believes they provide a more accurate view of core operational profitability, liquidity, and the ability to generate cash to cover distributions. DCF, in particular, is highlighted as a key metric for investors to assess the sustainability and potential growth of cash distributions.

Reinvested distributable cash flow represents the portion of distributable cash flow that EPD has retained and reinvested back into the business after paying distributions to partners. Schedule A in the filing provides calculations of this reinvestment since the GTM Merger in 2004 and since 1999, indicating the company's historical approach to capital allocation between distributions and internal growth.

No, according to General Instruction B.2 of Form 8-K, the information presented in the investor presentation is furnished under Regulation FD Disclosure and is not deemed 'filed' for purposes of Section 18 of the Securities Exchange Act of 1934. It will also not be incorporated by reference into any other Securities Act filings unless explicitly stated otherwise.