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Energy Transfer Partners, L.P. Announces Private Placement of $568 Million of Common Units with Energy Transfer Equity, L.P.

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Energy Transfer Partners, L.P. Announces Private Placement of $568 Million of Common Units with Energy Transfer Equity, L.P.

Energy Transfer Partners, L.P. (NYSE: ETP) today announced that it has entered into a definitive agreement with Energy Transfer Equity, L.P. (NYSE: ETE) in connection with a private placement of common units representing limited partner interests in ETP pursuant to Section 4(a)(2) of the Securities Act of 1933, as amended. The closing of the transaction, which is scheduled to occur on January 12, 2017, is conditioned upon the closing of ETE’s previously announced $580 million private placement, or PIPE, financing transaction.

Upon the closing of the transaction with ETE, ETP will receive gross proceeds of approximately $568 million in exchange for the issuance to ETE of approximately 15.8 million ETP common units. The purchase price per unit is equal to the volume weighted average trading price of ETP’s common units for the 10 trading day period ending January 5, 2017. ETP intends to use the net proceeds of the transaction to repay existing indebtedness and for general partnership purposes.

The purchase of ETP common units by ETE has been approved by the boards of directors and conflicts committees of both partnerships.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities, nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.

The securities to be sold in the private placement have not been registered under the Securities Act of 1933, as amended, or state securities laws and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission or an applicable exemption from such registration requirements.

Energy Transfer Partners, L.P. (NYSE: ETP) is a master limited partnership that owns and operates one of the largest and most diversified portfolios of energy assets in the United States. ETP’s subsidiaries include Panhandle Eastern Pipe Line Company, LP (the successor of Southern Union Company) and Lone Star NGL LLC, which owns and operates natural gas liquids storage, fractionation and transportation assets. In total, ETP currently owns and operates more than 62,500 miles of natural gas and natural gas liquids pipelines. ETP also owns the general partner, 100% of the incentive distribution rights, and approximately 67.1 million common units of Sunoco Logistics Partners L.P. (NYSE: SXL), which operates a geographically diverse portfolio of pipelines, terminalling and acquisition and marketing assets. ETP recently acquired the general partner, 100% of the incentive distribution rights, and an approximate 65% limited partnership interest in PennTex Midstream Partners, LP (Nasdaq: PTXP), which is a growth-oriented master limited partnership that provides natural gas gathering and processing and residue gas and natural gas liquids transportation services to producers in northern Louisiana. ETP’s general partner is owned by Energy Transfer Equity, L.P. (NYSE: ETE). For more information, visit the Energy Transfer Partners, L.P. website at www.energytransfer.com.

Energy Transfer Equity, L.P. (NYSE: ETE) is a master limited partnership that owns the general partner and 100% of the incentive distribution rights (IDRs) of Energy Transfer Partners, L.P. (NYSE: ETP) and Sunoco LP (NYSE: SUN). ETE also owns approximately 2.6 million ETP common units and approximately 81.0 million ETP Class H Units, which track 90% of the underlying economics of the general partner interest and IDRs of Sunoco Logistics Partners L.P. (NYSE: SXL). On a consolidated basis, ETE’s family of companies owns and operates approximately 71,000 miles of natural gas, natural gas liquids, refined products, and crude oil pipelines. For more information, visit the Energy Transfer Equity, L.P. website at www.energytransfer.com.

Forward-Looking Statements

This press release may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management’s control. An extensive list of factors that can affect future results are discussed in ETE’s Annual Reports on Form 10-K and other documents filed from time to time with the Securities and Exchange Commission. ETE undertakes no obligation to update or revise any forward-looking statement to reflect new information or events.

Investor Relations:
Energy Transfer
Lyndsay Hannah or Brent Ratliff, 214-981-0795
or
Media Relations:
Granado Communications Group
Vicki Granado, 214-599-8785
Cell: 214-498-9272



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