The Crosstex Energy companies, Crosstex Energy, L.P. (NASDAQ:XTEX) (the
Partnership) and Crosstex Energy, Inc. (NASDAQ:XTXI) (the Corporation),
today reported results for the fourth quarter and full year 2013.
Fourth Quarter 2013 - Crosstex Energy, L.P. Financial Results
The Partnership realized adjusted EBITDA of $53.9 million and
distributable cash flow of $31.8 million for the fourth quarter of 2013,
compared with adjusted EBITDA of $51.7 million and distributable cash
flow of $26.7 million for the fourth quarter of 2012. The Partnership’s
net loss for the fourth quarter of 2013 was $17.7 million versus a net
loss of $24.5 million for the fourth quarter of 2012.
The Partnership’s fourth quarter 2013 gross operating margin of $96.1
million decreased $7.9 million compared to a gross operating margin of
$104.0 million for the fourth quarter of 2012. Adjusted EBITDA,
distributable cash flow and gross operating margin are non-GAAP
financial measures and are explained in greater detail under “Non-GAAP
Financial Information,” and reconciliations of these measures to their
most directly comparable GAAP measures are included in the tables at the
end of this news release.
“This was a transformational year for Crosstex as we continued to
execute on our strategy to enhance our scale and diversification,” said
Barry E. Davis, Crosstex President and Chief Executive Officer. “We
completed phase one of our Cajun-Sibon expansion project and announced
the agreement to combine with Devon’s midstream assets to create EnLink
Midstream. The transaction provides us with greater operating leverage,
a strong financial foundation and significant opportunities for growth.
We look forward to completing the transaction in the first quarter,
which will create value for our equity holders, customers and employees.”
The Partnership reports results by operating segment principally based
on regions served. Reportable segments consist of natural gas gathering,
processing and transmission operations in the Barnett Shale in north
Texas and in the Permian Basin in west Texas (NTX); gas pipelines and
gas processing plants in Louisiana (LIG); gas processing and NGL assets,
including NGL fractionation and marketing activities in south Louisiana
(PNGL); and rail, truck, pipeline and barge facilities in the Ohio River
Valley (ORV).
Each business segment’s contribution to the fourth quarter 2013 gross
operating margin compared with that of the fourth quarter of 2012, and
the factors affecting those contributions, are described below:
-
The PNGL segment’s gross operating margin increased by $6.4 million
primarily due to increased margins from NGL fractionation and
marketing activities related to the start-up of phase one of the
Cajun-Sibon pipeline expansion, which was partially offset by lower
truck and rail NGL volumes and lower storage fee revenues.
-
The LIG segment’s gross operating margin decreased by $3.2 million
primarily due to lower margins from the gathering and transmission
assets from the expiration of certain contracts in north Louisiana and
a reduction in north Louisiana treating and blending volumes, which
was partially offset by increased processing margins in the fourth
quarter of 2013.
-
The ORV segment's gross operating margin decreased by $3.3 million
primarily due to decreased brine disposal and handling activity along
with reduced crude oil and condensate volumes and margins.
-
The NTX segment’s gross operating margin decreased by $7.8 million
primarily due to decreased rich and lean gathered and processed
volumes on the North Texas system and a decline in activity at the
Mesquite fractionator and rail terminal from the fourth quarter of
2012.
The Partnership’s fourth quarter 2013 operating expenses were $37.1
million, an increase of $0.1 million, or 0.3%, from the fourth quarter
of 2012. General and administrative expenses increased by $1.1 million,
or 6.5%, versus the fourth quarter of 2012 largely due to increased
stock-based compensation. Depreciation and amortization expense for the
fourth quarter of 2013 decreased by $13.6 million, or 26.1%, compared
with the fourth quarter of 2012 primarily due to accelerated
depreciation of the Sabine Pass Plant recorded in the fourth quarter of
2012 and decreased intangible amortization. Interest expense for the
fourth quarter of 2013 decreased by $1.3 million to $21.3 million
primarily due to lower capitalized interest in the fourth quarter of
2012.
The net loss per limited partner common unit for the fourth quarter of
2013 was $0.38 per common unit compared with a net loss of $0.51 per
common unit for the fourth quarter of 2012.
Full Year 2013 - Crosstex Energy, L.P. Financial Results
The Partnership realized adjusted EBITDA of $214.9 million and
distributable cash flow of $126.3 million for 2013, compared with
adjusted EBITDA of $214.1 million and distributable cash flow of $112.8
million for 2012. The Partnership’s net loss for 2013 was $113.1 million
versus a net loss of $40.1 million for 2012. The increase in net loss in
2013 was primarily the result of an impairment expense of $72.6 million
in the third quarter of 2013 due to the termination of customer
contracts associated with the Eunice processing plant which was shut
down in August 2013.
The Partnership’s 2013 gross operating margin of $396.3 million
increased by $2.5 million compared to a gross operating margin of $393.8
million for 2012. Each business segment’s contribution to 2013 gross
operating margin compared with 2012 gross operating margin, and the
factors affecting those contributions, are described below:
-
The PNGL segment’s gross operating margin increased by $20.4 million
primarily due to increased margins from NGL fractionation and
marketing activities, including the impact of the November 2013
start-up of phase one of the Cajun-Sibon pipeline expansion, and
increased margins from crude oil terminal activity, which were
partially offset by decreased south Louisiana processing activity.
-
The ORV segment's gross operating margin was $53.1 million in 2013,
which included twelve months of operations, compared to $25.7 million
in 2012, which only included six months of operations from the date of
the acquisition. Gross operating margin from oil and condensate
handling totaled $35.8 million and gross operating margin from brine
disposal and handling totaled $17.3 million in 2013, as compared to
gross operating margins from crude oil and condensate handling
totaling $17.3 million and brine disposal and handling totaling $8.5
million in 2012.
-
The LIG segment’s gross operating margin decreased by $24.2 million
primarily due to lower margins from the gathering, transmission and
processing assets because of lost opportunity sales volumes from lower
processing margins, a reduction in treating and blending volumes and
sales volumes losses related to the Bayou Corne sinkhole.
-
The NTX segment’s gross operating margin decreased by $21.1 million
primarily due to decreased transmission and gathering margins
resulting from a decline in throughput volumes combined with a
reduction in gathering rates under certain contracts, including a
contract with a major producer in North Texas. This decrease was
partially offset by additional margins from increased throughput in
the Permian Basin system.
The Partnership’s 2013 operating expenses were $150.3 million, an
increase of $19.5 million, or 14.9%, from 2012. The increase was
primarily due to a higher employee headcount for increased activity in
the PNGL and ORV segments and increased trucking expenses in the ORV
segment. General and administrative expenses increased $6.8 million, or
11.1%, versus 2012 largely due to increased stock-based compensation.
Depreciation and amortization expense for 2013 decreased $22.2 million,
or 13.7%, compared with 2012 primarily due to accelerated depreciation
of the Sabine Pass Plant in the fourth quarter of 2012 and decreased
intangible amortization. Interest expense for 2013 decreased by $10.3
million to $76.2 million primarily due to greater capitalized interest
in 2013.
The net loss per limited partner common unit for 2013 was $1.71 per
common unit compared with a net loss of $1.01 per limited partner common
unit for 2012.
Fourth Quarter and Full Year 2013 - Crosstex Energy, Inc. Financial
Results
The Corporation reported a net loss of $10.8 million for the fourth
quarter of 2013 compared with a net loss of $5.7 million for the fourth
quarter of 2012. The net loss for 2013 was $29.6 million compared with a
net loss of $12.5 million for 2012.
Excluding cash and debt held by the Partnership and E2, the compression
and stabilization company in which the Corporation has invested, the
Corporation had cash on hand of approximately $0.6 million and $65.0
million of borrowings outstanding under the bank credit facility of the
Corporation's subsidiary as of December 31, 2013.
Crosstex to Hold Earnings Conference Call on February 28, 2014
The Partnership and the Corporation will hold a conference call to
discuss fourth quarter and full year 2013 financial results on Friday,
February 28, 2014, at 9:00 a.m. Central time (10:00 a.m. Eastern time).
The dial-in number for the call is 1-888-713-4209. Callers outside the
United States should dial 1-617-213-4863. The passcode is 26113812 for
all callers. Investors are advised to dial in to the call at least 10
minutes prior to the call time to register. Participants may preregister
for the call at https://www.theconferencingservice.com/prereg/key.process?key=P48QCM3Q6.
Preregistrants will be issued a pin number to use when dialing in to the
live call, which will provide quick access to the conference by
bypassing the operator upon connection. Interested parties also can
access the live webcast of the call on the Investors page of Crosstex’s
website at www.crosstexenergy.com.
After the conference call, a replay can be accessed until May 28, 2014,
by dialing 1-888-286-8010. International callers should dial
1-617-801-6888 for a replay. The passcode for all callers listening to
the replay is 61433548. Interested parties also can visit the Investors
page of Crosstex’s website to listen to a replay of the call.
About the Crosstex Energy Companies
Crosstex Energy, L.P. (NASDAQ: XTEX) is an integrated midstream energy
partnership headquartered in Dallas that offers diversified, tailored
customer solutions spanning the energy value chain with services and
infrastructure that link energy production with consumption. XTEX
operates approximately 3,500 miles of natural gas, natural gas liquids
and oil pipelines, nine natural gas processing plants and four
fractionators, as well as barge and rail terminals, product storage
facilities, brine disposal wells and an extensive truck fleet. XTEX has
the right platform, the right opportunities and the right people to
pursue its growth-focused business strategy.
Crosstex Energy, Inc. (NASDAQ: XTXI) owns the general partner interest,
the incentive distribution rights and a portion of the limited partner
interests in Crosstex Energy, L.P. as well as the majority interest in a
services company focused on the Utica Shale play in the Ohio River
Valley.
Additional information about the Crosstex companies can be found at www.crosstexenergy.com.
Additional Information and Where to Find It
This press release contains information about the proposed merger
involving a Devon Energy Corporation (“Devon”) entity and a Crosstex
Energy entity. In connection with the proposed merger, EnLink Midstream,
LLC (formerly known as New Public Rangers, L.L.C.) filed with the United
States Securities Exchange Commission (“SEC”) a registration statement
on Form S-4 that includes a proxy statement/prospectus for the
Corporation’s stockholders. The Corporation commenced the mailing of the
final proxy statement/prospectus to its stockholders on February 6,
2014. Investors and stockholders are urged to read the proxy
statement/prospectus and other relevant documents filed or to be filed
with the SEC. These documents and any other documents filed by Crosstex
Energy or Devon with the SEC may be obtained free of charge at the SEC’s
website, at www.sec.gov.
In addition, stockholders will be able to obtain free copies of the
proxy statement/prospectus from the Corporation by contacting Investor
Relations by mail at Attention: Investor Relations, 2501 Cedar Springs,
Dallas, Texas 75201.
Participants in the Solicitation
Devon, Crosstex Energy and their respective directors and officers may
be deemed to be participants in the solicitation of proxies from the
stockholders of the Corporation in respect of the proposed transaction.
Information regarding the persons who may, under the rules of the SEC,
be deemed participants in the solicitation of the stockholders of the
Corporation in connection with the proposed transaction, including a
description of their direct or indirect interests, by security holdings
or otherwise, is set forth in the preliminary proxy statement/prospectus
filed with the SEC. Information regarding the Corporation’s directors
and executive officers is contained in its Annual Report on Form 10-K
for the year ended December 31, 2012, which is filed with the SEC, and
in its Annual Report on Form 10-K for the year ended December 31, 2013,
which is to be filed with the SEC. Information regarding Devon’s
directors and executive officers is contained in its Annual Report on
Form 10-K for the year ended December 31, 2013, which is filed with the
SEC.
Non-GAAP Financial Information
This press release contains non-generally accepted accounting principle
financial measures that the Partnership refers to as gross operating
margin, adjusted EBITDA and distributable cash flow. Gross operating
margin is defined as revenue less the cost of purchased gas, NGL and
crude oil. Adjusted EBITDA is defined as net income plus interest
expense, provision for income taxes, depreciation and amortization
expense, impairments, stock-based compensation, (gain) loss on non-cash
derivatives, distribution from a limited liability company and
non-controlling interest; less gain on sale of property and equity in
income (loss) of a limited liability company. Distributable cash flow is
defined as earnings before certain noncash charges and the gain on the
sale of assets less maintenance capital expenditures.
The amounts included in the calculation of these measures are computed
in accordance with generally accepted accounting principles (GAAP) with
the exception of maintenance capital expenditures. Maintenance capital
expenditures are capital expenditures made to replace partially or fully
depreciated assets in order to maintain the existing operating capacity
of the assets and to extend their useful lives.
The Partnership believes these measures are useful to investors because
they may provide users of this financial information with meaningful
comparisons between current results and prior-reported results and a
meaningful measure of the Partnership’s cash flow after it has satisfied
the capital and related requirements of its operations.
Gross operating margin, adjusted EBITDA and distributable cash flow, as
defined above, are not measures of financial performance or liquidity
under GAAP. They should not be considered in isolation or as an
indicator of the Partnership’s performance. Furthermore, they should not
be seen as measures of liquidity or a substitute for metrics prepared in
accordance with GAAP. Reconciliations of these measures to their most
directly comparable GAAP measures are included in the following tables.
Forward-Looking Statements
This press release contains forward-looking statements within the
meaning of the federal securities laws. These statements are based on
certain assumptions made by the Partnership and the Corporation based
upon management’s experience and perception of historical trends,
current conditions, expected future developments and other factors the
Partnership and the Corporation believe are appropriate in the
circumstances. These statements include, but are not limited to,
statements with respect to the Partnership’s and the Corporation’s
guidance and future outlook, distribution and dividend guidelines and
future estimates and results of operations. Such statements are subject
to a number of assumptions, risk and uncertainties, many of which are
beyond the control of the Partnership and the Corporation, which may
cause the Partnership’s and the Corporation’s actual results to differ
materially from those implied or expressed by the forward-looking
statements. These risks include the following: (1) the Partnership’s
profitability is dependent upon prices and market demand for natural
gas, NGL, condensate and crude oil; (2) the Partnership’s substantial
indebtedness could limit its flexibility and adversely affect its
financial health; (3) the Partnership may not be able to obtain funding,
which would impair its ability to grow; (4) the Partnership and the
Corporation do not have diversified assets; (5) the Partnership may not
be successful in balancing its purchases and sales; (6) drilling levels
may decrease due to deterioration in the credit and commodity markets;
(7) the Partnership’s credit risk management efforts may fail to
adequately protect against customer non-payment; (8) the amount of
natural gas, NGL, condensate and crude oil transported may
decline as a result of reduced drilling by producers, competition for
supplies, reserve declines and reduction in demand from key customers
and markets; (9) the level of the Partnership’s processing,
fractionation, crude oil handling and brine disposal operations may
decline for similar reasons; (10) the successful execution of major
projects is subject to factors beyond the control of the Partnership;
(11) operational, regulatory and other asset-related risks, including
weather conditions, exist because a significant portion of the
Partnership’s assets are located in southern Louisiana and the Ohio
River Valley; (12) the Partnership’s use of derivative financial
instruments does not eliminate its exposure to fluctuations in commodity
prices and interest rates; (13) failure to satisfy closing conditions
with respect to the combination with Devon; (14) the risks that the
Partnership’s, the Corporation’s and Devon’s businesses will not be
integrated successfully or that such integration may take longer than
anticipated; (15) the possibility that expected synergies of the
combination with Devon will not be realized or will not be realized
within the expected time frame; and (16) other factors discussed in the
Partnership’s and the Corporation’s Annual Reports on Form 10-K for the
years ended December 31, 2012 and December 31, 2013 (when they are
available), the Quarterly Reports on Form 10-Q for the quarters ended
March 31, 2013, June 30, 2013 and September 30, 2013 and other filings
with the Securities and Exchange Commission. The Partnership and the
Corporation have no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information,
future events or otherwise.
|
|
|
|
|
|
|
|
|
|
|
|
CROSSTEX ENERGY, L.P.
Selected Financial Data
(All amounts in thousands except per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
Years Ended December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
(Unaudited)
|
|
|
Revenues
|
|
|
$
|
574,599
|
|
|
$
|
525,980
|
|
|
$
|
1,943,239
|
|
|
$
|
1,791,288
|
|
Purchased gas, NGLs and crude oil
|
|
|
|
478,523
|
|
|
|
422,023
|
|
|
|
1,546,987
|
|
|
|
1,397,530
|
|
Gross operating margin
|
|
|
|
96,076
|
|
|
|
103,957
|
|
|
|
396,252
|
|
|
|
393,758
|
|
Operating costs and expenses:
|
|
|
|
|
|
|
|
|
|
Operating expenses
|
|
|
|
37,142
|
|
|
|
36,954
|
|
|
|
150,346
|
|
|
|
130,882
|
|
General and administrative
|
|
|
|
18,008
|
|
|
|
16,910
|
|
|
|
68,061
|
|
|
|
61,308
|
|
(Gain) loss on sale of property
|
|
|
|
(880
|
)
|
|
|
53
|
|
|
|
(1,055
|
)
|
|
|
(342
|
)
|
Loss on derivatives
|
|
|
|
642
|
|
|
|
2,983
|
|
|
|
2,304
|
|
|
|
1,006
|
|
Depreciation and amortization
|
|
|
|
38,460
|
|
|
|
52,120
|
|
|
|
140,026
|
|
|
|
162,226
|
|
Impairment
|
|
|
|
—
|
|
|
|
—
|
|
|
|
72,576
|
|
|
|
—
|
|
Total operating costs and expenses
|
|
|
|
93,372
|
|
|
|
109,020
|
|
|
|
432,258
|
|
|
|
355,080
|
|
Operating income (loss)
|
|
|
|
2,704
|
|
|
|
(5,063
|
)
|
|
|
(36,006
|
)
|
|
|
38,678
|
|
Interest expense, net of interest income
|
|
|
|
(21,345
|
)
|
|
|
(22,589
|
)
|
|
|
(76,219
|
)
|
|
|
(86,521
|
)
|
Equity in income of limited liability company
|
|
|
|
152
|
|
|
|
1,740
|
|
|
|
46
|
|
|
|
3,250
|
|
Other income
|
|
|
|
999
|
|
|
|
589
|
|
|
|
1,367
|
|
|
|
5,053
|
|
Total other expense
|
|
|
|
(20,194
|
)
|
|
|
(20,260
|
)
|
|
|
(74,806
|
)
|
|
|
(78,218
|
)
|
Loss before non-controlling interest and income taxes
|
|
|
|
(17,490
|
)
|
|
|
(25,323
|
)
|
|
|
(110,812
|
)
|
|
|
(39,540
|
)
|
Income tax provision
|
|
|
|
(240
|
)
|
|
|
782
|
|
|
|
(2,337
|
)
|
|
|
(725
|
)
|
Net Loss
|
|
|
|
(17,730
|
)
|
|
|
(24,541
|
)
|
|
|
(113,149
|
)
|
|
|
(40,265
|
)
|
Less: Net loss attributable to the non-controlling interest
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(163
|
)
|
Net Loss attributable to Crosstex Energy, L.P.
|
|
|
$
|
(17,730
|
)
|
|
$
|
(24,541
|
)
|
|
$
|
(113,149
|
)
|
|
$
|
(40,102
|
)
|
Preferred interest in net loss attributable to Crosstex Energy, L.P.
|
|
|
$
|
12,481
|
|
|
$
|
5,433
|
|
|
$
|
35,977
|
|
|
$
|
20,779
|
|
General partner interest in net income (loss)
|
|
|
$
|
286
|
|
|
$
|
(114
|
)
|
|
$
|
(2,721
|
)
|
|
$
|
(534
|
)
|
Limited partners’ interest in net loss attributable to Crosstex
Energy, L.P.
|
|
|
$
|
(30,497
|
)
|
|
$
|
(29,860
|
)
|
|
$
|
(146,405
|
)
|
|
$
|
(60,347
|
)
|
Net loss attributable to Crosstex Energy, L.P. per limited partner
unit:
|
|
|
|
|
|
|
|
|
|
Basic and diluted common units
|
|
|
$
|
(0.38
|
)
|
|
$
|
(0.51
|
)
|
|
$
|
(1.71
|
)
|
|
$
|
(1.01
|
)
|
Weighted average limited partners’ units outstanding:
|
|
|
|
|
|
|
|
|
|
Basic and diluted common units
|
|
|
|
90,425
|
|
|
|
65,300
|
|
|
|
84,589
|
|
|
|
58,935
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CROSSTEX ENERGY, L.P.
Reconciliation of Net Loss to Adjusted EBITDA and Distributable
Cash Flow
(All amounts in thousands except ratios and per unit amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
Years Ended December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
|
|
|
Net loss attributable to Crosstex Energy, L.P.
|
|
|
$
|
(17,730
|
)
|
|
$
|
(24,541
|
)
|
|
$
|
(113,149
|
)
|
|
$
|
(40,102
|
)
|
Interest expense, net
|
|
|
|
21,345
|
|
|
|
22,589
|
|
|
|
76,219
|
|
|
|
86,521
|
|
Depreciation and amortization
|
|
|
|
38,460
|
|
|
|
52,120
|
|
|
|
140,026
|
|
|
|
162,226
|
|
Impairment
|
|
|
|
—
|
|
|
|
—
|
|
|
|
72,576
|
|
|
|
—
|
|
Equity in income of limited liability company
|
|
|
|
(152
|
)
|
|
|
(1,739
|
)
|
|
|
(46
|
)
|
|
|
(3,250
|
)
|
(Gain) loss on sale of property
|
|
|
|
(880
|
)
|
|
|
53
|
|
|
|
(1,055
|
)
|
|
|
(342
|
)
|
Stock-based compensation
|
|
|
|
3,092
|
|
|
|
1,710
|
|
|
|
14,170
|
|
|
|
9,207
|
|
Distribution received from Howard Energy Partners
|
|
|
|
4,373
|
|
|
|
—
|
|
|
|
17,468
|
|
|
|
—
|
|
Other (1)
|
|
|
|
5,433
|
|
|
|
1,496
|
|
|
|
8,667
|
|
|
|
(171
|
)
|
Adjusted EBITDA
|
|
|
|
53,941
|
|
|
|
51,688
|
|
|
|
214,876
|
|
|
|
214,089
|
|
Interest expense
|
|
|
|
(21,183
|
)
|
|
|
(22,267
|
)
|
|
|
(75,499
|
)
|
|
|
(86,244
|
)
|
Cash taxes and other
|
|
|
|
338
|
|
|
|
141
|
|
|
|
(1,581
|
)
|
|
|
(1,373
|
)
|
Maintenance capital expenditures
|
|
|
|
(1,329
|
)
|
|
|
(2,845
|
)
|
|
|
(11,479
|
)
|
|
|
(13,645
|
)
|
Distributable cash flow
|
|
|
$
|
31,767
|
|
|
$
|
26,717
|
|
|
$
|
126,317
|
|
|
$
|
112,827
|
|
Actual declared distribution (common units and preferred units)
|
|
|
$
|
35,867
|
|
|
$
|
27,805
|
|
|
$
|
127,929
|
|
|
$
|
102,036
|
|
Distribution coverage
|
|
|
0.89x
|
|
0.96x
|
|
0.99x
|
|
1.11x
|
Distributions declared per limited partner unit
|
|
|
$
|
0.36
|
|
|
$
|
0.33
|
|
|
$
|
1.36
|
|
|
$
|
1.32
|
|
(1)
|
|
|
Includes financial derivatives marked-to-market; income taxes;
transaction costs associated with successful transactions; and
non-controlling interest (as allowed for adjustment under our credit
facility).
|
|
|
|
|
|
|
|
|
|
|
|
|
CROSSTEX ENERGY, L.P.
Operating Data
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
Years Ended December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
Pipeline Throughput (MMBtu/d)
|
|
|
|
|
|
|
|
|
|
LIG
|
|
|
412,000
|
|
|
690,000
|
|
|
473,000
|
|
|
783,000
|
|
NTX – Gathering
|
|
|
635,000
|
|
|
773,000
|
|
|
700,000
|
|
|
810,000
|
|
NTX – Transmission
|
|
|
355,000
|
|
|
342,000
|
|
|
342,000
|
|
|
350,000
|
|
Total Gathering and Transmission Volume
|
|
|
1,402,000
|
|
|
1,805,000
|
|
|
1,515,000
|
|
|
1,943,000
|
|
|
|
|
|
|
|
|
|
|
|
Natural Gas Processed (MMBtu/d)
|
|
|
|
|
|
|
|
|
|
PNGL
|
|
|
354,000
|
|
|
659,000
|
|
|
399,000
|
|
|
738,000
|
|
LIG
|
|
|
256,000
|
|
|
269,000
|
|
|
255,000
|
|
|
248,000
|
|
NTX
|
|
|
360,000
|
|
|
398,000
|
|
|
382,000
|
|
|
364,000
|
|
Total Gas Volumes Processed
|
|
|
970,000
|
|
|
1,326,000
|
|
|
1,036,000
|
|
|
1,350,000
|
|
|
|
|
|
|
|
|
|
|
|
Crude Oil Handling (Bbls/d) (1)
|
|
|
11,200
|
|
|
11,500
|
|
|
12,000
|
|
|
11,800
|
|
Brine Disposal (Bbls/d) (2)
|
|
|
5,100
|
|
|
8,000
|
|
|
7,000
|
|
|
7,800
|
|
|
|
|
|
|
|
|
|
|
|
NGLs Fractionated (Gal/d)
|
|
|
2,280,000
|
|
|
1,584,000
|
|
|
1,473,000
|
|
|
1,359,000
|
|
Realized weighted average
|
|
|
|
|
|
|
|
|
|
Natural Gas Liquids price ($/gallon) (3)
|
|
|
0.99
|
|
|
1.02
|
|
|
0.99
|
|
|
1.07
|
|
Actual weighted average
|
|
|
|
|
|
|
|
|
|
Natural Gas Liquids-to-Gas price ratio
|
|
|
291
|
%
|
|
309
|
%
|
|
280
|
%
|
|
383
|
%
|
|
|
|
|
|
|
|
|
|
|
North Texas Gathering (4)
|
|
|
|
|
|
|
|
|
|
Wells connected
|
|
|
11
|
|
|
17
|
|
|
62
|
|
|
118
|
|
(1)
|
|
|
Crude oil handling includes barrels handled by both the ORV and PNGL
segments.
|
(2)
|
|
|
Crude oil handling and brine disposal volumes for ORV for the year
ended December 31, 2012 include a daily average for July 2012
through December 31, 2012, which was the six month period these
assets were operated by the Partnership.
|
(3)
|
|
|
Ethane represents 41 percent and 37 percent of NGL gallons sold at
realized prices of $0.27/gal for both the three and twelve months
ended December 31, 2013, and 34 percent and 38 percent of NGL
gallons sold at realized prices of $0.29/gal and $0.40/gal for the
three and twelve months ended December 31, 2012.
|
(4)
|
|
|
North Texas Gathering wells connected are as of the last day of the
period and include centralized delivery point connections where the
Partnership connects multiple wells at a single meter station.
|
|
|
|
|
|
|
|
|
|
|
|
|
CROSSTEX ENERGY, INC.
Selected Financial Data
(All amounts in thousands except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
Years Ended December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
(Unaudited)
|
|
|
Revenues
|
|
|
$
|
575,243
|
|
|
$
|
525,980
|
|
|
$
|
1,944,312
|
|
|
$
|
1,791,288
|
|
Purchased gas, NGLs and crude oil
|
|
|
|
478,522
|
|
|
|
422,023
|
|
|
|
1,546,987
|
|
|
|
1,397,530
|
|
Gross operating margin
|
|
|
|
96,721
|
|
|
|
103,957
|
|
|
|
397,325
|
|
|
|
393,758
|
|
Operating costs and expenses:
|
|
|
|
|
|
|
|
|
|
Operating expenses
|
|
|
|
37,250
|
|
|
|
36,954
|
|
|
|
150,858
|
|
|
|
130,882
|
|
General and administrative
|
|
|
|
26,063
|
|
|
|
18,354
|
|
|
|
79,993
|
|
|
|
65,083
|
|
(Gain) loss on sale of property
|
|
|
|
(880
|
)
|
|
|
53
|
|
|
|
(1,055
|
)
|
|
|
(342
|
)
|
Loss on derivatives
|
|
|
|
642
|
|
|
|
2,983
|
|
|
|
2,304
|
|
|
|
1,006
|
|
Impairments
|
|
|
|
—
|
|
|
|
—
|
|
|
|
72,576
|
|
|
|
—
|
|
Depreciation and amortization
|
|
|
|
38,457
|
|
|
|
52,138
|
|
|
|
140,285
|
|
|
|
162,300
|
|
Total operating costs and expenses
|
|
|
|
101,532
|
|
|
|
110,482
|
|
|
|
444,961
|
|
|
|
358,929
|
|
Operating income (loss)
|
|
|
|
(4,811
|
)
|
|
|
(6,525
|
)
|
|
|
(47,636
|
)
|
|
|
34,829
|
|
Interest expense, net of interest income
|
|
|
|
(21,710
|
)
|
|
|
(22,588
|
)
|
|
|
(76,859
|
)
|
|
|
(86,515
|
)
|
Equity in income of limited liability company
|
|
|
|
152
|
|
|
|
1,740
|
|
|
|
46
|
|
|
|
3,250
|
|
Other income
|
|
|
|
1,233
|
|
|
|
590
|
|
|
|
1,600
|
|
|
|
5,054
|
|
Total other expense
|
|
|
|
(20,325
|
)
|
|
|
(20,258
|
)
|
|
|
(75,213
|
)
|
|
|
(78,211
|
)
|
Loss before non-controlling interest and income taxes
|
|
|
|
(25,136
|
)
|
|
|
(26,783
|
)
|
|
|
(122,849
|
)
|
|
|
(43,382
|
)
|
Income tax benefit
|
|
|
|
1,882
|
|
|
|
4,030
|
|
|
|
10,214
|
|
|
|
6,642
|
|
Net loss
|
|
|
|
(23,254
|
)
|
|
|
(22,753
|
)
|
|
|
(112,635
|
)
|
|
|
(36,740
|
)
|
Less: Net loss attributable to the non-controlling Interest
|
|
|
|
(12,470
|
)
|
|
|
(17,083
|
)
|
|
|
(82,999
|
)
|
|
|
(24,259
|
)
|
Net loss attributable to Crosstex Energy, Inc.
|
|
|
$
|
(10,784
|
)
|
|
$
|
(5,670
|
)
|
|
$
|
(29,636
|
)
|
|
$
|
(12,481
|
)
|
Net loss per common share:
|
|
|
|
|
|
|
|
|
|
Basic and diluted
|
|
|
$
|
(0.22
|
)
|
|
$
|
(0.12
|
)
|
|
$
|
(0.60
|
)
|
|
$
|
(0.26
|
)
|
Weighted average shares outstanding:
|
|
|
|
|
|
|
|
|
|
Basic and diluted
|
|
|
|
47,752
|
|
|
|
47,414
|
|
|
|
47,664
|
|
|
|
47,384
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CROSSTEX ENERGY, INC.
Calculation of Cash Available for Dividends
(All amounts in thousands except per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
Years Ended December 31,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
Distributions declared by Crosstex Energy, L.P. associated with:
|
|
|
|
|
|
|
|
|
|
General Partner Interest
|
|
|
$
|
483
|
|
|
$
|
427
|
|
|
$
|
1,838
|
|
|
$
|
1,796
|
|
Incentive Distribution Rights
|
|
|
|
2,214
|
|
|
|
1,215
|
|
|
|
6,356
|
|
|
|
4,391
|
|
L.P. Units Owned
|
|
|
|
5,909
|
|
|
|
5,417
|
|
|
|
22,324
|
|
|
|
21,668
|
|
Total share of distributions declared
|
|
|
$
|
8,606
|
|
|
$
|
7,059
|
|
|
$
|
30,518
|
|
|
$
|
27,855
|
|
Other non-partnership uses:
|
|
|
|
|
|
|
|
|
|
General and administrative expenses
|
|
|
|
(652
|
)
|
|
|
(1,938
|
)
|
|
|
(1,928
|
)
|
|
|
(3,732
|
)
|
Cash reserved *
|
|
|
|
(795
|
)
|
|
|
(512
|
)
|
|
|
(2,859
|
)
|
|
|
(2,412
|
)
|
Cash available for dividends
|
|
|
$
|
7,159
|
|
|
$
|
4,609
|
|
|
$
|
25,731
|
|
|
$
|
21,711
|
|
Dividend declared per share
|
|
|
$
|
0.15
|
|
|
$
|
0.12
|
|
|
$
|
0.52
|
|
|
$
|
0.48
|
|
* Cash reserved represents a cash holdback by the Corporation to cover
tax payments, equity-matching investments in the Partnership and other
miscellaneous cash expenditures. The amount is currently estimated at 10
percent of the Corporation’s share of Partnership distributions
declared, net of non-partnership general and administrative expenses.
Copyright Business Wire 2014