Summary
Energy Transfer Equity, L.P. (ETE) operates as a holding company, deriving its primary cash flow from its investments in master limited partnerships Energy Transfer Partners, L.P. (ETP) and Regency Energy Partners, L.P. (Regency). The company's 2013 10-K filing highlights a year of significant strategic transactions, including acquisitions, dispositions, and refinancing activities aimed at simplifying its structure and enhancing its financial flexibility. Key developments during 2013 and early 2014 include ETP's acquisition of ETE's interest in Holdco, Regency's significant acquisitions of Southern Union Gathering Company, Eagle Rock's midstream business, and Hoover Energy assets, alongside substantial debt refinancing by ETE. The company's business segments are primarily structured around its investments in ETP and Regency, with significant operations in natural gas and NGL transportation, storage, processing, and midstream services, as well as a retail marketing segment through Sunoco. Investors should note the company's significant debt levels and its dependence on the cash flow generated by its subsidiaries. The report also details various risks, including commodity price volatility, regulatory changes, and the integration of acquired businesses, all of which could impact future distributions and financial performance.
Financial Highlights
45 data points| Revenue | $48.34B |
| Cost of Revenue | $42.58B |
| Gross Profit | $5.78B |
| SG&A Expenses | $533.00M |
| Operating Expenses | $46.78B |
| Operating Income | $1.55B |
| Interest Expense | $1.22B |
| Net Income | $196.00M |
Key Highlights
- 1The company, through its subsidiaries ETP and Regency, is involved in extensive natural gas and NGL midstream, transportation, and storage operations across the U.S.
- 2Significant strategic transactions in 2013 included ETP's acquisition of ETE's interest in Holdco, Regency's contribution of SUGS, and various asset sales and acquisitions by subsidiaries.
- 3ETE completed a comprehensive debt refinancing in December 2013, including public offerings of senior notes and new credit facilities, to improve its financial flexibility.
- 4Regency announced significant pending acquisitions of PVR and Eagle Rock's midstream business, aimed at expanding its geographic footprint and service offerings.
- 5The company reported a goodwill impairment of $689 million related to its Trunkline LNG reporting unit in Q4 2013.
- 6Distributions to unitholders of ETE are derived from cash flow generated by its investments in ETP and Regency, with detailed information provided on distribution policies and amounts.
- 7The company operates in a highly competitive environment with exposure to commodity price volatility, regulatory risks, and operational hazards inherent in the energy infrastructure sector.