AmeriGas Partners Reports Third Quarter Results, Raises 2007 Guidance.

VALLEY FORGE, Pa. -- AmeriGas Propane, Inc., general partner of AmeriGas Partners, L.P. (NYSE:APU), reported a significantly lower seasonal net loss for the third fiscal quarter ended June 30, 2007 of $5.7 million compared to a loss of $14.8 million for the same period last year. The Partnership's earnings before interest expense, income taxes, depreciation and amortization (EBITDA) increased substantially to $30.9 million for the third fiscal quarter of 2007 compared to EBITDA of $20.7 million for the prior-year period.

For the three months ended June 30, 2007, retail volumes sold increased 6.4% to 182.1 million gallons from 171.1 million gallons in the prior-year period. Weather nationally was 6.1% warmer than normal during the recent quarter compared to weather that was 21.9% warmer than normal in the prior-year period, according to the National Oceanic and Atmospheric Administration.

Eugene V. N. Bissell, chief executive officer of AmeriGas, said, "We continued to execute at a high level this quarter. Based upon our performance year-to-date, we now expect EBITDA for the fiscal year ending September 30, 2007 to be in a new record range of $290 million to $295 million, excluding the approximately $47 million gain on the previously-announced sale of our Arizona storage terminal that occurred in July."

Revenues for the quarter increased to $433.9 million versus $379.1 million a year ago due to higher retail selling prices and higher sales volumes principally due to colder weather and the effects of higher sales in our cylinder exchange program. Total margin increased $17.1 million compared to the prior-year quarter principally due to higher retail volumes sold at higher average unit margins. Operating and administrative expenses increased $7.5 million during the quarter due to higher employee compensation and benefits expense, higher vehicle costs and higher repair and maintenance expenses partially offset by lower general insurance expense, reflecting continued improvement in claims experience.

AmeriGas Partners is the nation's largest retail propane marketer, serving nearly 1.3 million customers from over 600 locations in 46 states. UGI Corporation (NYSE:UGI), through subsidiaries, owns 44% of the Partnership and individual unitholders own the remaining 56%.

AmeriGas Partners, L.P. will host its third quarter FY 2007 earnings conference call on Wednesday, August 1, 2007, at 4:00 PM ET. Interested parties may listen to a live audio broadcast of the conference call at http://www.shareholder.com/ugi/APU/medialist.cfm or at the company website: www.amerigas.com by clicking on Investor Relations. A telephonic replay of the call may be accessed from 7:00 PM ET on August 1 through Friday, August 3 at 1-888-203-1112, passcode 9403488 (International replay 719-457-0820, passcode 9403488). A webcast replay may be accessed through August 31.

The financial table appended to this news release can be viewed directly at http://www.shareholder.com/ugi/APU/3Q07FinancialTable.pdf.

This press release contains certain forward-looking statements which management believes to be reasonable as of today's date only. Actual results may differ significantly because of risks and uncertainties that are difficult to predict and many of which are beyond management's control. You should read the Partnership's Annual Report on Form 10-K for a more extensive list of factors that could affect results. Among them are adverse weather conditions, price volatility and availability of propane, increased customer conservation measures, the capacity to transport propane to our market areas and political, economic and regulatory conditions in the U. S. and abroad. The Partnership undertakes no obligation to release revisions to its forward-looking statements to reflect events or circumstances occurring after today.

Comprehensive information about AmeriGas is available on the Internet at www.amerigas.com.