Williams Cos. completes $1 billion pipeline sale
Friday, April 12th 2002, 12:00 am
By: News On 6
TULSA, Okla. (AP) _ Williams Cos. has completed the $1 billion sale of its Midwest Petroleum Products Pipeline to a company partner.
Williams Energy Partners LP paid Tulsa-based Williams $674 million in cash, with the remaining balance paid in Class B units of the limited partnership.
Williams owns 60 percent of the limited partnership, which it spun off last year.
The energy company announced its plan to sell the pipeline in February to quell fears about obligations to its former telecommunications subsidiary, Williams Communications.
The 6,700-mile pipeline, along with 39 storage and distribution terminals, delivers refined petroleum products throughout the Midwest.
Williams sold its Kern River interstate natural gas pipeline system to MidAmerican Energy Holding Co. for $960 million last month. Both sales helped Williams retain its investment-grade credit rating.