Energy partnership reports higher income after acquisitions
Monday, January 28th 2002, 12:00 am
By: News On 6
TULSA, Okla. (AP) _ The sale of one fuel terminal and the purchase of others helped boost profits in 2001 at a limited partnership controlled by Tulsa-based Williams Cos.
Williams is general partner in Williams Energy Partners, which stores, transports and distributes refined petroleum products and ammonia.
Net income for the year was $21.7 million, compared with $3 million in 2000. The $18.7 million increase reflected the fourth quarter sale of a Meridian, Miss., inland terminal.
The partnership reported operating profits of $28 million for the year ended Dec. 31. That compared with $17.7 million the year before.
Operating income growth resulted from acquisitions of marine terminals in New Haven, Conn., and Gibson, La., and inland terminals in Little Rock, Ark.
The limited partnership also reported higher ammonia sales, higher usage and rates at Gulf Coast marine facilities and lower expenses because of the partnership structure.
An initial public offering that closed Feb. 9 enabled the partnership to retire debt and reduce its interest costs. The partnership also benefitted because taxes are not paid on earnings until after income is distributed to partners.
Before the offering, assets were held by held by Williams. Since the initial public offering, earnings per unit were $1.87. Earnings per unit calculated on a full-year basis would have been $1.89.