Summary
Enterprise Products Partners L.P. (EPD) filed an 8-K on December 3, 2009, to disclose the completion of the TEPPCO Merger, which effectively combined EPD with TEPPCO Partners, L.P. and its general partner. This transaction was accounted for as a reorganization of entities under common control, meaning the historical financial data of both entities has been recast to reflect their combined operations as if they were always one entity, dating back to January 1, 2005. This provides investors with a more cohesive view of the business prior to the merger. The report also details the restructuring of EPD's business segments to reflect the integration of TEPPCO. The company now reports under five distinct segments: NGL Pipelines & Services, Onshore Natural Gas Pipelines & Services, Onshore Crude Oil Pipelines & Services, Offshore Pipelines & Services, and Petrochemical & Refined Products Services. Investors should note that the filing includes updated risk factors in Exhibit 99.1, which are crucial for understanding potential impacts on the company's business, financial position, results of operations, and cash flows.
Key Highlights
- 1EPD completed the merger with TEPPCO Partners, L.P. and its general partner on October 26, 2009.
- 2The TEPPCO Merger was accounted for as a reorganization of entities under common control, providing recast historical financial data.
- 3Recast financial and operating information now includes TEPPCO and TEPPCO GP, effective January 1, 2005.
- 4EPD revised its business segments to reflect the integration of TEPPCO, establishing five new reportable segments.
- 5The new business segments are: NGL Pipelines & Services, Onshore Natural Gas Pipelines & Services, Onshore Crude Oil Pipelines & Services, Offshore Pipelines & Services, and Petrochemical & Refined Products Services.
- 6Exhibit 99.1 contains updated key risk factors for investors to consider.
- 7The filing aims to provide investors with a consolidated view of the combined entities' historical performance.