8-KOther EventsExhibits & Filings

ENTERPRISE PRODUCTS PARTNERS L.P. 8-K Report, Corporate Update (Jul 8, 2009)

Filed July 8, 2009For Securities:EPDEPDU

Summary

This 8-K filing from Enterprise Products Partners L.P. (EPD) announces the adoption of new accounting standards, SFAS 160 and EITF 07-4, effective January 1, 2009. These standards change how noncontrolling interests in consolidated financial statements are presented and disclosed, and how the two-class method is applied to Master Limited Partnerships (MLPs). As a result, the company has retrospectively adjusted certain sections of its 2008 Form 10-K and its General Partner's (EPGP) consolidated balance sheet to reflect these new reporting requirements. Investors should note that this filing primarily deals with accounting methodology changes rather than new operational or financial developments. The company provides Exhibit 99.1, which contains the recast financial statement items from its 2008 10-K, and Exhibit 99.2, a recast consolidated balance sheet for EPGP. While these exhibits reflect updated disclosures, they do not incorporate information or events occurring after March 2, 2009, and investors are directed to more recent filings (like the Q1 2009 10-Q) for up-to-date information.

Key Highlights

  • 1Adoption of SFAS 160 (Noncontrolling Interests) and EITF 07-4 (Two-Class Method for MLPs) effective January 1, 2009.
  • 2Retrospective adjustment of financial statement presentations for the fiscal year ended December 31, 2008, and the consolidated balance sheet of the General Partner (EPGP) as of December 31, 2008.
  • 3Filing includes recast financial statement items (Exhibit 99.1) and a recast EPGP balance sheet (Exhibit 99.2).
  • 4The adjustments reflect changes in presentation and disclosure requirements related to noncontrolling interests and MLP earnings per unit.
  • 5This filing primarily addresses accounting changes and does not introduce new operational or financial performance data beyond what is reflected in the recast historical financials.
  • 6Investors are advised to consult more recent filings (e.g., Form 10-Q for March 31, 2009) for current operational and financial information.
  • 7Includes a cautionary statement regarding forward-looking statements, emphasizing potential risks and uncertainties.

Frequently Asked Questions

SFAS 160 requires changes in how companies report noncontrolling interests (also known as minority interests) in their consolidated financial statements, including how they are presented on the balance sheet and income statement. EITF 07-4 specifically addresses how to apply earnings per unit calculations for Master Limited Partnerships (MLPs) that may have different classes of units. For EPD investors, these standards mean a change in the presentation of financial results, potentially affecting how earnings are attributed to different ownership stakes and how consolidated entities are reflected.

No, this 8-K filing does not report new financial performance or operational results. It solely announces the adoption of new accounting standards and the retrospective adjustment of previously reported financial information (primarily from the 2008 10-K and EPGP's balance sheet) to comply with these standards. The underlying business operations and financial performance remain the same; only the accounting presentation has been updated.

Exhibit 99.1 contains revised financial statement sections (Items 6, 7, 7A, 8 and 15 – Exhibit 12.1) from EPD's 2008 Annual Report (10-K), reflecting the impact of SFAS 160 and EITF 07-4. Exhibit 99.2 is a revised consolidated balance sheet for Enterprise Products GP, LLC (EPGP) as of December 31, 2008, also reflecting SFAS 160. These exhibits will show how noncontrolling interests are now presented and how earnings per unit calculations might have been adjusted for historical periods.

The filing itself directs investors to more recent filings for current information. Specifically, it mentions that Enterprise's Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2009, and other SEC filings contain more up-to-date information regarding events and developments that have occurred since the filing of the 2008 10-K. Investors should review these subsequent filings for the latest operational and financial data.