LP Gas, November 2016

Ferrellgas founder takes reins in interim with plans to position company for future Ferrell Wambold Continued on page 12 PROPANE MASTER LIMITED PARTNERSHIP COMPARISON Fiscal Recent Total Units Year Quarter Price Current Current Est Tax Debt Outstanding Company End End 10 21 16 Distribution Yield Deferral Capital millions AmeriGas APU Sept June 4720 376 80 75 64 929 Ferrellgas FGP July July 1055 205 194 90 150 972 NGL Energy Partners NGL March June 1932 156 81 80 59 1055 Suburban Propane SPH Sept June 3378 355 105 80 60 608 Average 115 83 LAST TWELVE MONTHS Gross Gross Gross Profit Gross Profit Retail Gallons Sold Percent Gross Profit Company Revenue Profit Margin Per employee millions Change Per gallon AmeriGas 2076 1347 65 158449 1078 10 119 Ferrellgas 1154 638 55 176079 553 9 082 NGL Energy Partners 803 207 26 64743 153 10 015 Suburban Propane 894 623 70 170830 420 14 148 Average 54 142525 11 091 Source FactSet partnership reports and Wells Fargo Securities LLC Dollar figures in millions except for per unit data Revenue and gross profit data are based on total propane gallons sold Employee data is based on most recently completed fiscal year NGLs revenue and gross profit data include the sale of distillates and other natural gas liquids Sharon Lui analyst Wells Fargo Securities LLC NEWS BRIEFS INDUSTRY NEWS NUMBERS S tephen L Wambold stepped down as president and CEO and as a member of the board of Ferrellgas Partners LP the company announced James E Ferrell the companys founder and chairman of the board succeeded Wambold in an interim role Mr Ferrell was born into the business started by his father A C Ferrell in 1939 the company says in a statement He is intimately familiar with the companys strategy operations customers and most importantly its employee owners We are fortunate to have him once again lead the company The company says Ferrell a 2012 LP Gas Hall of Fame inductee is focused in the near term on optimizing operations for this years winter heating season and getting the companys balance sheet healthy He will be in place Ferrellgas says until the company is again on the road to longterm success Ferrellgas announcement in September came at the same time the company reported a net loss attributable to Ferrellgas Partners LP of 6654 million for fiscal year Energy Distribution Partners makes deal Energy Distribution Partners EDP acquired CMP Energy a propane retailer based in Philipsburg Pennsylvania CMP Energy provides propane home heating oil and HVAC service to about 8000 residential customers across central Pennsylvania Robert Mitchell founded the company in 1954 as Mitchell Oil Co Roberts son Jeff Mitchell took over the business in 1984 and Jeffs son Bobby Mitchell continues to be involved in the companys daily operations According to EDP the Pennsylvania company evolved into CMP Energy after a series of mergers and acquisitions EDPs acquisition of CMP Energy marks the companys fifth transaction in 2016 According to EDP the company remains focused on growing its business in the propane industry Its strategy is to acquire successful operations retain the brand name preserve the local management and delegate to those in the local community MFA Oil marks first acquisition of fiscal year MFA Oil Co acquired Ozark County LP Gas Co Inc a propane retailer with offices in Gainesville Missouri and Mountain Home Arkansas The acquisition of Ozark County LP fills a 10 LPGas November 2016 www LPGasmagazine com