Exhibit 99.1
MarkWest Hydrocarbon, Inc. |
| Contact: |
| Frank Semple, President and CEO |
1515 Arapahoe Street |
|
|
| Nancy K. Buese, CFO |
Tower 2, Suite 700 |
|
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| Andy Schroeder, VP Finance & Treasurer |
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| Phone: |
| (866) 858-0482 |
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| Fax: |
| (303) 290-8769 |
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| E-mail: |
| investorrelations@markwest.com |
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| Website: |
| www.markwest.com |
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MarkWest Hydrocarbon Reports 2006 Full year and
Fourth Quarter Financial Results
DENVER—March 6, 2007—MarkWest Hydrocarbon, Inc. (AMEX: MWP) (the “Company”) today reported net income of $9.5 million for the twelve months ended December 31, 2006, or $0.79 per diluted share, compared to a net loss of $6.8 million, or $0.57 per diluted share, for the same period in 2005. The Company also reported a net loss of $1.2 million for the three months ended December 31, 2006, or $0.10 per diluted share, compared to a net loss of $1.0 million, or $0.09 per diluted share, for the fourth quarter of 2005. The full year and fourth quarter results for the Standalone segment, as defined below, include $4.9 million and $9.5 million, respectively, of non-cash, pre-tax costs associated with the mark-to-market of derivative instruments, the revaluation of long-term shrink obligation, and non-cash compensation expense.
“We are extremely pleased with our overall financial performance and the resultant growth in dividends and shareholder value,” said Frank Semple, President and Chief Executive Officer. “Our strong financial performance in 2006 was a direct result of MarkWest Energy Partners’ distribution growth and continued strong operating cash flow performance from our natural gas liquid marketing business. The partnership increased distributable cash flow by 168 percent in 2006 and is well positioned for future growth. Our share of distributions from our investment in the partnership was $20.1 million in 2006, representing a 63 percent increase from 2005.”
“Our marketing business experienced strong margins as a result of the favorable frac spread environment and we have extended our hedge program through the first quarter of 2010, which has allowed us to lock in historically high margins.”
The Company declared a quarterly cash dividend of $0.30 per share of its common stock for an implied annual rate of $1.20 per share, which was paid on February 21, 2007 to shareholders of record as of February 9, 2007. This quarterly cash dividend represents an increase of $0.02 per share, or 7 percent, over the cash dividend in the third quarter of 2006.
The Company reports its operations under two business segments, MarkWest Hydrocarbon Standalone (“Standalone”) and MarkWest Energy Partners (the “Partnership”).
The Standalone business segment consists of the Company’s natural gas liquid (“NGL”) marketing activities for NGL’s extracted primarily at MarkWest Energy Partners’ Siloam facility and the management of keep-whole contracts in Appalachia.
FULL YEAR 2006 HIGHLIGHTS
For the year ended December 31, 2006, the Standalone segment reported net income of $9.5 million, an increase of $16.3 million when compared to a net loss of $6.8 million for the year ended December 31, 2005. The increase was primarily attributable to:
· The realized frac spread improved significantly to $0.30 per gallon in 2006 versus $0.19 per gallon in 2005, resulting in a positive impact of $11.7 million on segment net income.
· The Company had a net unrealized gain of $4.0 million for the mark-to-market of derivative instruments and the revaluation of the long-term shrink obligation, both of which are non-cash items. This compares to a net unrealized loss of $5.3 million for the same items in 2005 resulting in a positive year over year variance of $9.3 million.
· The above items were offset, in part, by a $7.1 million year over year increase in selling, general and administrative expense attributable to higher non-cash compensation expense.
· In addition, the Company reported income tax expense of $5.1 million in 2006 compared to an income tax benefit of $1.8 million in the prior year for a negative year over year variance of $6.9 million.
For the Partnership segment, the Company’s share of net income attributable to the Partnership, net of the eliminating entry for non-controlling interest in net income of a consolidated subsidiary, was $10.4 million for the twelve months ended December 31, 2006, up from $2.2 million for the same period in 2005.
A key component of the Company’s business activities is the cash distributions it receives for its ownership interest in the Partnership, which consists of approximately 4.9 million limited partner units, as adjusted for the two-for-one unit split effective on February 28, 2007; a two percent general partner interest; and incentive distribution rights. The Company received $20.1 million of distributions in 2006, which represents a 63 percent increase over the $12.3 million received in 2005.
FOURTH QUARTER 2006 HIGHLIGHTS
For the three months ended December 31, 2006, the Standalone segment reported a net loss of $1.2 million, comparable to a net loss of $1.0 million for the same period in 2005. The decrease was primarily attributable to:
· The realized frac spread improved significantly to $0.36 per gallon in the fourth quarter of 2006 versus $0.09 per gallon in the same period in 2005, resulting in a positive impact of $9.5 million on segment net income.
· The Company had an income tax benefit of $0.6 million in the fourth quarter of 2006 compared to income tax expense of $1.1 million in the prior year quarter for a positive quarter over quarter variance of $1.7 million.
· The above two items were offset by a net unrealized loss of $6.1 million for the mark-to-market of derivative instruments and the revaluation of the long-term
shrink obligation, both of which are non-cash items. This compares to a net unrealized gain of $3.0 million for the same items in the fourth quarter of 2005 resulting in a negative quarter over quarter variance of $9.1 million.
· In addition, selling, general and administrative expense increased quarter over quarter by $2.6 million attributable to higher non-cash compensation expense.
For the Partnership segment, the Company’s share of net income attributable to the Partnership, net of the eliminating entry for non-controlling interest in net income of a consolidated subsidiary, was $0.7 million in the fourth quarter of 2006, up from $0.4 million in the fourth quarter of 2005. The Company received $6.5 million of distributions in the fourth quarter of 2006, which represents a 97 percent increase over the $3.3 million received in the fourth quarter of 2005.
The Company will host a conference call Tuesday, March 6, 2007, at 4:00 P.M. EST to review its 2006 fourth quarter and full year earnings. Interested parties can participate in the call by dialing (800) 218-0713 approximately ten minutes prior to the scheduled start time. A replay of the call will be available through Tuesday, March 13, 2007 by dialing (800) 405-2236 and entering the following passcode: 11084450#. To access the webcast, please visit our website at www.markwest.com.
###
MarkWest Hydrocarbon, Inc. (AMEX: MWP) controls and operates MarkWest Energy Partners, L.P. (AMEX: MWE), a publicly traded limited partnership engaged in the gathering, processing and transmission of natural gas; the transportation, fractionation and storage of natural gas liquids; and the gathering and transportation of crude oil. We also market natural gas and NGLs.
This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts included or incorporated herein may constitute forward-looking statements. Actual results could vary significantly from those expressed or implied in such statements and are subject to a number of risks and uncertainties. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. The forward-looking statements involve risks and uncertainties that affect our operations, financial performance and other factors as discussed in our filings with the Securities and Exchange Commission. Among the factors that could cause results to differ materially are those risks discussed in our Form 10-K for the year ended December 31, 2005 as filed with the SEC. You are urged to carefully review and consider the cautionary statements and other disclosures made in those filings, specifically those under the heading “Risk Factors.”
MarkWest Hydrocarbon, Inc.
Statement of Operations
(in thousands, except per share amounts)
| Three months ended |
| Year ended |
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| 2006 |
| 2005 |
| 2006 |
| 2005 |
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Revenues: |
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| ||||
Revenue |
| $ | 164,354 |
| $ | 265,596 |
| $ | 775,339 |
| $ | 717,375 |
|
Derivative gain (loss) |
| 1,977 |
| (1,437 | ) | 10,383 |
| (3,198 | ) | ||||
Total revenue |
| 166,331 |
| 264,159 |
| 785,722 |
| 714,177 |
| ||||
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Operating expenses: |
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|
|
|
|
|
| ||||
Purchased product costs |
| 106,082 |
| 220,155 |
| 512,327 |
| 583,084 |
| ||||
Facility expenses |
| 14,826 |
| 13,250 |
| 57,403 |
| 45,577 |
| ||||
Selling, general and administrative expenses |
| 19,532 |
| 8,210 |
| 63,038 |
| 33,350 |
| ||||
Depreciation |
| 7,728 |
| 6,068 |
| 31,010 |
| 20,829 |
| ||||
Amortization of intangible assets |
| 3,975 |
| 3,368 |
| 16,047 |
| 9,656 |
| ||||
Accretion of asset retirement obligations |
| 27 |
| 23 |
| 102 |
| 160 |
| ||||
Total operating expenses |
| 152,170 |
| 251,074 |
| 679,927 |
| 692,656 |
| ||||
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|
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|
|
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| ||||
Income from operations |
| 14,161 |
| 13,085 |
| 105,795 |
| 21,521 |
| ||||
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Other income (expense): |
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|
|
| ||||
Earnings (losses) from unconsolidated affiliates |
| 2,076 |
| (2,144 | ) | 5,316 |
| (2,153 | ) | ||||
Interest income |
| 468 |
| 219 |
| 1,574 |
| 1,060 |
| ||||
Interest expense |
| (9,517 | ) | (9,349 | ) | (40,942 | ) | (22,622 | ) | ||||
Amortization of deferred financing costs and |
| (1,424 | ) | (5,328 | ) | (9,229 | ) | (6,979 | ) | ||||
Dividend income |
| 120 |
| 103 |
| 447 |
| 392 |
| ||||
Miscellaneous income (expense) |
| 3,800 |
| (34 | ) | 11,537 |
| 266 |
| ||||
Income (loss) before non-controlling interest in |
| 9,684 |
| (3,448 | ) | 74,498 |
| (8,515 | ) | ||||
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| ||||
Income tax (expense) benefit: |
|
|
|
|
|
|
|
|
| ||||
Current |
| 3,033 |
| (554 | ) | 179 |
| (554 | ) | ||||
Deferred |
| (2,430 | ) | (542 | ) | (5,431 | ) | 2,358 |
| ||||
Income tax (expense) benefit |
| 603 |
| (1,096 | ) | (5,252 | ) | 1,804 |
| ||||
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Non-controlling interest in net (income) loss of consolidated subsidiary |
| (11,454 | ) | 3,500 |
| (59,709 | ) | (91 | ) | ||||
Net income (loss) |
| $ | (1,167 | ) | $ | (1,044 | ) | $ | 9,537 |
| $ | (6,802 | ) |
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Net income (loss) per share: |
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Basic |
| $ | (0.10 | ) | $ | (0.09 | ) | $ | 0.80 |
| $ | (0.57 | ) |
Diluted |
| $ | (0.10 | ) | $ | (0.09 | ) | $ | 0.79 |
| $ | (0.57 | ) |
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Weighted average number of outstanding shares of |
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|
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|
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| ||||
Basic |
| 11,958 |
| 11,880 |
| 11,939 |
| 11,864 |
| ||||
Diluted |
| 11,958 |
| 11,880 |
| 12,033 |
| 11,864 |
|
MarkWest Hydrocarbon, Inc.
Segment Income (Loss)
(in thousands)
| MarkWest |
| MarkWest |
| Consolidating |
| Total |
| |||||
Three months ended December 31, 2006: |
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Revenue |
| $ | 61,152 |
| $ | 121,550 |
| $ | (18,348 | ) | $ | 164,354 |
|
Derivative gain (loss) |
| 2,354 |
| (377 | ) | — |
| 1,977 |
| ||||
Total revenue |
| 63,506 |
| 121,173 |
| (18,348 | ) | 166,331 |
| ||||
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|
|
|
|
|
|
|
| ||||
Purchased product costs |
| 54,578 |
| 63,487 |
| (11,983 | ) | 106,082 |
| ||||
Facility expenses |
| 6,043 |
| 15,148 |
| (6,365 | ) | 14,826 |
| ||||
Selling, general and administrative expenses |
| 5,751 |
| 13,781 |
| — |
| 19,532 |
| ||||
Depreciation, Amortization and Accretion |
| 197 |
| 11,533 |
| — |
| 11,730 |
| ||||
Income (loss) from operations |
| (3,063 | ) | 17,224 |
| — |
| 14,161 |
| ||||
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|
|
|
|
|
|
|
| ||||
Earnings from unconsolidated affiliates |
| — |
| 2,076 |
| — |
| 2,076 |
| ||||
Interest income (expense), net |
| 151 |
| (9,200 | ) | — |
| (9,049 | ) | ||||
Amortization of deferred financing costs and |
| (30 | ) | (1,394 | ) | — |
| (1,424 | ) | ||||
Dividend income |
| 120 |
| — |
| — |
| 120 |
| ||||
Miscellaneous income |
| 277 |
| 3,523 |
| — |
| 3,800 |
| ||||
Income before non-controlling interest in net |
| (2,545 | ) | 12,229 |
| — |
| 9,684 |
| ||||
Income tax (expense) benefit |
| 595 |
| (90 | ) | 98 |
| 603 |
| ||||
Non-controlling interest in net income of |
| — |
| — |
| (11,454 | ) | (11,454 | ) | ||||
Interest in net income of consolidated subsidiary |
| 783 |
| — |
| (783 | ) | — |
| ||||
Net income (loss) |
| $ | (1,167 | ) | $ | 12,139 |
| $ | (12,139 | ) | $ | (1,167 | ) |
MarkWest Hydrocarbon, Inc.
Segment Income (Loss)
(in thousands)
| MarkWest |
| MarkWest |
| Consolidating |
| Total |
| |||||
Three months ended December 31, 2005: |
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Revenues: |
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| ||||
Revenue |
| $ | 106,629 |
| $ | 177,356 |
| $ | (18,389 | ) | $ | 265,596 |
|
Derivative gain (loss) |
| — |
| (1,437 | ) | — |
| (1,437 | ) | ||||
Total revenue |
| 106,629 |
| 175,919 |
| (18,389 | ) | 264,159 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Purchased product costs |
| 98,848 |
| 133,357 |
| (12,050 | ) | 220,155 |
| ||||
Facility expenses |
| 4,822 |
| 14,767 |
| (6,339 | ) | 13,250 |
| ||||
Selling, general and administrative expenses |
| 3,124 |
| 5,086 |
| — |
| 8,210 |
| ||||
Depreciation, Amortization and Accretion |
| 207 |
| 9,252 |
| — |
| 9,459 |
| ||||
Income (loss) from operations |
| (372 | ) | 13,457 |
| — |
| 13,085 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Earnings from unconsolidated affiliates |
| — |
| (2,144 | ) | — |
| (2,144 | ) | ||||
Interest income (expense), net |
| — |
| (9,130 | ) | — |
| (9,130 | ) | ||||
Amortization of deferred financing costs and original issue discount (a component of interest expense) |
| (16 | ) | (5,312 | ) | — |
| (5,328 | ) | ||||
Dividend income |
| 103 |
| — |
| — |
| 103 |
| ||||
Miscellaneous income (expense) |
| (29 | ) | (5 | ) | — |
| (34 | ) | ||||
Income before non-controlling interest in net income of consolidated subsidiary and income taxes |
| (314 | ) | (3,134 | ) | — |
| (3,448 | ) | ||||
Income tax expense |
| (1,096 | ) | — |
| — |
| (1,096 | ) | ||||
Non-controlling interest in net (income) loss of consolidated subsidiary |
| — |
| (49 | ) | 3,549 |
| 3,500 |
| ||||
Interest in net income of consolidated subsidiary |
| 366 |
| — |
| (366 | ) | — |
| ||||
Net income (loss) |
| $ | (1,044 | ) | $ | (3,183 | ) | $ | 3,183 |
| $ | (1,044 | ) |
MarkWest Hydrocarbon, Inc.
Segment Income (Loss)
(in thousands)
| MarkWest |
| MarkWest |
| Consolidating |
| Total |
| |||||
Year ended December 31, 2006: |
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|
|
|
|
|
| ||||
Revenues: |
|
|
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|
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|
|
| ||||
Revenue |
| $ | 278,655 |
| $ | 570,320 |
| $ | (73,636 | ) | $ | 775,339 |
|
Derivative gain |
| 4,751 |
| 5,632 |
| — |
| 10,383 |
| ||||
Total revenue |
| 283,406 |
| 575,952 |
| (73,636 | ) | 785,722 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Purchased product costs |
| 239,359 |
| 322,278 |
| (49,310 | ) | 512,327 |
| ||||
Facility expenses |
| 21,617 |
| 60,112 |
| (24,326 | ) | 57,403 |
| ||||
Selling, general and administrative expenses |
| 18,853 |
| 44,185 |
| — |
| 63,038 |
| ||||
Depreciation, Amortization and Accretion |
| 1,017 |
| 46,142 |
| — |
| 47,159 |
| ||||
Income (loss) from operations |
| 2,560 |
| 103,235 |
| — |
| 105,795 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Earnings from unconsolidated affiliates |
| — |
| 5,316 |
| — |
| 5,316 |
| ||||
Interest income (expense), net |
| 336 |
| (39,704 | ) | — |
| (39,368 | ) | ||||
Amortization of deferred financing costs and original issue |
| (135 | ) | (9,094 | ) | — |
| (9,229 | ) | ||||
Dividend income |
| 447 |
| — |
| — |
| 447 |
| ||||
Miscellaneous income |
| 437 |
| 11,100 |
| — |
| 11,537 |
| ||||
Income before non-controlling interest in net income of |
| 3,645 |
| 70,853 |
| — |
| 74,498 |
| ||||
Income tax (expense) benefit |
| (5,124 | ) | (769 | ) | 641 |
| (5,252 | ) | ||||
Non-controlling interest in net income of consolidated |
| — |
| — |
| (59,709 | ) | (59,709 | ) | ||||
Interest in net income of consolidated subsidiary |
| 11,016 |
| — |
| (11,016 | ) | — |
| ||||
Net income (loss) |
| $ | 9,537 |
| $ | 70,084 |
| $ | (70,084 | ) | $ | 9,537 |
|
MarkWest Hydrocarbon, Inc.
Segment Income (Loss)
(in thousands)
| MarkWest |
| MarkWest |
| Consolidating |
| Total |
| |||||
Year ended December 31, 2005: |
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|
|
|
|
| ||||
Revenues: |
|
|
|
|
|
|
|
|
| ||||
Revenue |
| $ | 281,362 |
| $ | 500,935 |
| $ | (64,922 | ) | $ | 717,375 |
|
Derivative loss |
| (1,347 | ) | (1,851 | ) | — |
| (3,198 | ) | ||||
Total revenue |
| 280,015 |
| 499,084 |
| (64,922 | ) | 714,177 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Purchased product costs |
| 258,188 |
| 366,878 |
| (41,982 | ) | 583,084 |
| ||||
Facility expenses |
| 20,545 |
| 47,972 |
| (22,940 | ) | 45,577 |
| ||||
Selling, general and administrative expenses |
| 11,777 |
| 21,573 |
| — |
| 33,350 |
| ||||
Depreciation, Amortization and Accretion |
| 1,296 |
| 29,349 |
| — |
| 30,645 |
| ||||
Income (loss) from operations |
| (11,791 | ) | 33,312 |
| — |
| 21,521 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Losses from unconsolidated affiliates |
| — |
| (2,153 | ) | — |
| (2,153 | ) | ||||
Interest income (expense), net |
| 540 |
| (22,102 | ) | — |
| (21,562 | ) | ||||
Amortization of deferred financing costs and original issue |
| (199 | ) | (6,780 | ) | — |
| (6,979 | ) | ||||
Dividend income |
| 392 |
| — |
| — |
| 392 |
| ||||
Miscellaneous income |
| 215 |
| 51 |
| — |
| 266 |
| ||||
Income (loss) before non-controlling interest in net |
| (10,843 | ) | 2,328 |
| — |
| (8,515 | ) | ||||
Income tax benefit |
| 1,804 |
| — |
| — |
| 1,804 |
| ||||
Non-controlling interest in net income of consolidated subsidiary |
| — |
| 27 |
| (118 | ) | (91 | ) | ||||
Interest in net income of consolidated subsidiary |
| 2,237 |
| — |
| (2,237 | ) |
|
| ||||
Net income (loss) |
| $ | (6,802 | ) | $ | 2,355 |
| $ | (2,355 | ) | $ | (6,802 | ) |
MarkWest Hydrocarbon, Inc.
Segment Balance Sheet
(in thousands)
December 31, 2006 |
| MarkWest |
| MarkWest Energy |
| Consolidating |
| Consolidated |
| ||||
ASSETS |
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| ||||
Current assets: |
|
|
|
|
|
|
|
|
| ||||
Cash and cash equivalents |
| $ | 14,442 |
| $ | 34,402 |
| $ | — |
| $ | 48,844 |
|
Marketable securities |
| 7,713 |
| — |
| — |
| 7,713 |
| ||||
Receivables |
| 16,940 |
| 90,780 |
| (6,604 | ) | 101,116 |
| ||||
Inventories |
| 31,668 |
| 3,593 |
| — |
| 35,261 |
| ||||
Fair value of derivative instruments |
| 5,727 |
| 4,211 |
| — |
| 9,938 |
| ||||
Other current assets |
| 12,217 |
| 3,047 |
| — |
| 15,264 |
| ||||
Total current assets |
| 88,707 |
| 136,033 |
| (6,604 | ) | 218,136 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Property, plant and equipment, net |
| 3,449 |
| 550,886 |
| — |
| 554,335 |
| ||||
Investment in and advances to other equity investee |
| 12,683 |
| — |
| (12,683 | ) | — |
| ||||
Fair value of derivative instruments |
| 35 |
| 2,759 |
| — |
| 2,794 |
| ||||
Other long term assets |
| 2,874 |
| 425,102 |
| — |
| 427,976 |
| ||||
Total assets |
| $ | 107,748 |
| $ | 1,114,780 |
| $ | (19,287 | ) | $ | 1,203,241 |
|
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LIABILITIES AND STOCKHOLDERS’ |
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| ||||
Current liabilities: |
|
|
|
|
|
|
|
|
| ||||
Accounts payable and accrued liabilities |
| $ | 19,370 |
| $ | 131,684 |
| $ | (6,604 | ) | $ | 144,450 |
|
Fair value of derivative instruments |
| 7,385 |
| 91 |
| — |
| 7,476 |
| ||||
Deferred income taxes |
| 180 |
| — |
| — |
| 180 |
| ||||
Current portion of long term debt |
| — |
| — |
| — |
| — |
| ||||
Total current liabilities |
| 26,935 |
| 131,775 |
| (6,604 | ) | 152,106 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Long-term debt |
| — |
| 526,865 |
| — |
| 526,865 |
| ||||
Deferred income taxes |
| 9,425 |
| 769 |
| (641 | ) | 9,553 |
| ||||
Non-controlling interest in consolidated subsidiary |
| 965 |
| — |
| 440,607 |
| 441,572 |
| ||||
Fair value of derivative instruments |
| 98 |
| 1,362 |
| — |
| 1,460 |
| ||||
Other long-term liabilities |
| 28,836 |
| 1,360 |
| — |
| 30,196 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Total stockholders’ equity |
| 41,489 |
| 452,649 |
| (452,649 | ) | 41,489 |
| ||||
Total liabilities and stockholders’ equity |
| $ | 107,748 |
| $ | 1,114,780 |
| $ | (19,287 | ) | $ | 1,203,241 |
|
MarkWest Hydrocarbon, Inc.
Segment Balance Sheet
(in thousands)
December 31, 2005 |
| MarkWest |
| MarkWest Energy |
| Consolidating |
| Consolidated |
| ||||
ASSETS |
|
|
|
|
|
|
|
|
| ||||
Current assets: |
|
|
|
|
|
|
|
|
| ||||
Cash and cash equivalents |
| $ | 863 |
| $ | 20,105 |
| $ | — |
| $ | 20,968 |
|
Marketable securities |
| 6,070 |
| — |
| — |
| 6,070 |
| ||||
Receivables |
| 38,922 |
| 117,978 |
| (11,361 | ) | 145,539 |
| ||||
Inventories |
| 37,513 |
| 3,554 |
| — |
| 41,067 |
| ||||
Other current assets |
| 9,453 |
| 6,861 |
| — |
| 16,314 |
| ||||
Total current assets |
| 92,821 |
| 148,498 |
| (11,361 | ) | 229,958 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Property, plant and equipment, net |
| 1,737 |
| 492,961 |
| — |
| 494,698 |
| ||||
Investment in and advances to other equity investee |
| 6,668 |
| 182 |
| (6,668 | ) | 182 |
| ||||
Other long term assets |
| 3,014 |
| 404,452 |
| — |
| 407,466 |
| ||||
Total assets |
| $ | 104,240 |
| $ | 1,046,093 |
| $ | (18,029 | ) | $ | 1,132,304 |
|
|
|
|
|
|
|
|
|
|
| ||||
LIABILITIES AND STOCKHOLDERS’ |
|
|
|
|
|
|
|
|
| ||||
Current liabilities: |
|
|
|
|
|
|
|
|
| ||||
Accounts payable and accrued liabilities |
| $ | 43,247 |
| $ | 133,088 |
| $ | (11,361 | ) | $ | 164,974 |
|
Fair value of derivative instruments |
| — |
| 728 |
| — |
| 728 |
| ||||
Deferred income taxes |
| 362 |
| — |
| — |
| 362 |
| ||||
Current portion of long term debt |
| — |
| 2,738 |
| — |
| 2,738 |
| ||||
Total current liabilities |
| 43,609 |
| 136,554 |
| (11,361 | ) | 168,802 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Long-term debt |
| 7,500 |
| 601,262 |
| — |
| 608,762 |
| ||||
Non-controlling interest in consolidated subsidiary |
| 508 |
| — |
| 300,507 |
| 301,015 |
| ||||
Other long-term liabilities |
| 12,641 |
| 1,102 |
| — |
| 13,743 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Total stockholders’ equity |
| 39,982 |
| 307,175 |
| (307,175 | ) | 39,982 |
| ||||
Total liabilities and stockholders’ equity |
| $ | 104,240 |
| $ | 1,046,093 |
| $ | (18,029 | ) | $ | 1,132,304 |
|
MarkWest Hydrocarbon, Inc.
Operating Statistics
| Three months ended December 31, |
| Year ended December 31, |
| |||||
|
| 2006 |
| 2005 |
| 2006 |
| 2005 |
|
MarkWest Hydrocarbon Standalone: |
|
|
|
|
|
|
|
|
|
Marketing |
|
|
|
|
|
|
|
|
|
Hydrocarbon frac spread sales (gallons) |
| 37,966,000 |
| 34,867,000 |
| 118,581,000 |
| 120,300,000 |
|
Maytown sales (gallons) |
| 11,045,000 |
| 10,649,000 |
| 43,271,000 |
| 41,700,000 |
|
Total NGL product sales (gallons) |
| 49,011,000 |
| 45,516,000 |
| 161,852,000 |
| 162,000,000 |
|
|
|
|
|
|
|
|
|
|
|
Wholesale |
|
|
|
|
|
|
|
|
|
NGL product sales (gallons) |
| 7,440,000 |
| 27,305,000 |
| 46,555,000 |
| 68,879,000 |
|
|
|
|
|
|
|
|
|
|
|
MarkWest Energy Partners: |
|
|
|
|
|
|
|
|
|
East Texas: |
|
|
|
|
|
|
|
|
|
Gathering systems throughput (Mcf/d) |
| 398,000 |
| 342,300 |
| 378,100 |
| 321,000 |
|
NGL product sales (gallons) |
| 43,525,000 |
| 37,518,000 |
| 161,437,000 |
| 126,476,000 |
|
|
|
|
|
|
|
|
|
|
|
Oklahoma: |
|
|
|
|
|
|
|
|
|
Foss Lake gathering systems throughput (Mcf/d) |
| 92,200 |
| 84,500 |
| 87,500 |
| 75,800 |
|
Woodford Shale gathering systems throughput |
| 34,000 |
| NA |
| 34,000 |
| NA |
|
Arapaho NGL product sales (gallons) |
| 21,508,000 |
| 14,723,000 |
| 79,093,000 |
| 60,903,000 |
|
|
|
|
|
|
|
|
|
|
|
Other Southwest: |
|
|
|
|
|
|
|
|
|
Appleby gathering systems throughput (Mcf/d) |
| 35,800 |
| 35,600 |
| 34,200 |
| 33,400 |
|
Other gathering systems throughput (Mcf/d) |
| 13,800 |
| 17,000 |
| 18,300 |
| 16,500 |
|
Lateral throughput volumes (Mcf/d) |
| 85,100 |
| 52,300 |
| 84,200 |
| 81,000 |
|
|
|
|
|
|
|
|
|
|
|
Appalachia: |
|
|
|
|
|
|
|
|
|
Natural gas processed for a fee (Mcf/d) |
| 212,200 |
| 200,700 |
| 203,000 |
| 197,000 |
|
NGLs fractionated for a fee (Gal/d) |
| 467,200 |
| 441,600 |
| 454,800 |
| 430,000 |
|
NGL product sales (gallons) |
| 11,045,000 |
| 10,649,000 |
| 43,271,000 |
| 41,700,000 |
|
|
|
|
|
|
|
|
|
|
|
Michigan: |
|
|
|
|
|
|
|
|
|
Natural gas processed for a fee (Mcf/d) |
| 6,700 |
| 6,100 |
| 6,500 |
| 6,600 |
|
NGL product sales (gallons) |
| 1,299,000 |
| 1,250,000 |
| 5,643,000 |
| 5,697,000 |
|
Crude oil transported for a fee (Bbl/d) |
| 14,200 |
| 14,260 |
| 14,500 |
| 14,200 |
|
|
|
|
|
|
|
|
|
|
|
Javelina: |
|
|
|
|
|
|
|
|
|
Natural gas processed for a fee (Mcf/d) |
| 121,600 |
| 115,000 |
| 124,300 |
| 115,000 |
|
NGLs fractionated for a fee (Bbl/d) |
| 26,800 |
| 19,400 |
| 26,200 |
| 19,400 |
|
(1) Represents throughput for the month of December 2006 only.