Genesis Energy, L.P. Reports Second Quarter Results.HOUSTON Houston, city (1990 pop. 1,630,553), seat of Harris co., SE Tex., a deepwater port on the Houston Ship Channel; inc. 1837. Economy The fourth largest city in the nation and the largest in the entire South and Southwest, Houston is a port of entry; -- Genesis Energy, L.P. (AMEX AMEX See: American Stock Exchange :GEL gel: see colloid. ) announced today that its net income for the second quarter of 2005 was $743,000, or $0.08 per unit. Net income for the six months of 2005 was $3,513,000, or $0.37 per unit. Mark Gorman Gorman may refer to: People with the surname Gorman
"During the second quarter of 2005, we acquired a 50% interest in a syngas
Syngas (from synthesis gas) is the name given to a gas mixture that contains varying amounts of carbon monoxide and hydrogen generated by the gasification of a carbon containing fuel to a gaseous product with manufacturing facility, which produces syngas (a combination of carbon monoxide carbon monoxide, chemical compound, CO, a colorless, odorless, tasteless, extremely poisonous gas that is less dense than air under ordinary conditions. It is very slightly soluble in water and burns in air with a characteristic blue flame, producing carbon dioxide; and hydrogen hydrogen (hī`drəjən) [Gr.,=water forming], gaseous chemical element; symbol H; at. no. 1; at. wt. 1.00794; m.p. −259.14°C;; b.p. −252.87°C;; density 0.08988 grams per liter at STP; valence usually +1. ) and high pressure steam for a processing fee. This acquisition added $313,000 to Available Cash before Reserves." Financial Results Genesis generated income for the second quarter of 2005 of $0.7 million, or $0.08 per unit, compared to second quarter 2004 earnings of $1.1 million, or $0.12 per unit. Genesis generated income from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the of $0.7 million, or $0.08 per unit, for the 2005 period and income from continuing operations of $1.2 million, or $0.12, per unit for the 2004 quarter. Loss from discontinued operations Discontinued operations Divisions of a business that have been sold or written off and that no longer are maintained by the business. for the 2005 period was $9,000. Loss from discontinued operations for the comparable period of 2004 was $0.1 million. For the six month period, Genesis generated net income for 2005 of $3.5 million, or $0.37 per unit, with $3.2 million of income, or $0.34 per unit, from continuing operations and net income of $0.3 million, or $0.03 per unit from discontinued operations. In the comparable period in 2004, income was $0.1 million, or $0.01 per unit, with $0.4 million, or $0.04 per unit from continuing operations and a loss of $0.3 million, or $0.03 per unit, from discontinued operations. The following table presents selected financial information by segment for the three month and six month reporting periods for continuing operations:
Crude Oil
Gathering and Pipeline CO2
Marketing Transportation Sales Total
------------- -------------- ------- ---------
(in thousands)
Three Months Ended June
30, 2005
-----------------------
Revenues:
External customers $247,692 $5,957 $2,568 $256,217
Intersegment - 927 - 927
------------- -------------- ------- ---------
Total revenues of
reportable segments $247,692 $6,884 $2,568 $257,144
============= ============== ======= =========
Segment margin
excluding depreciation
and amortization (a) $450 $2,808 $1,757 $5,015
Capital expenditures $254 $926 $- $1,180
Maintenance capital
expenditures $25 $175 $- $200
Three Months Ended June
30, 2004
-----------------------
Revenues:
External customers $225,872 $3,206 $2,149 $231,227
Intersegment - 880 - 880
------------- -------------- ------- ---------
Total revenues of
reportable segments $225,872 $4,086 $2,149 $232,107
============= ============== ======= =========
Segment margin
excluding depreciation
and amortization (a) $1,944 $1,657 $1,461 $5,062
Capital expenditures $24 $1,055 $- $1,079
Maintenance capital
expenditures $24 $231 $- $255
Six Months Ended June
30, 2005
-----------------------
Revenues:
External customers $494,700 $12,590 $4,848 $512,138
Intersegment - 1,606 - 1,606
------------- -------------- ------- ---------
Total revenues of
reportable segments $494,700 $14,196 $4,848 $513,744
============= ============== ======= =========
Segment margin
excluding depreciation
and amortization (a) $1,338 $5,251 $3,282 $9,871
Capital expenditures $276 $4,602 $- $4,878
Maintenance capital
expenditures $47 $664 $- $711
Six Months Ended June
30, 2004
-----------------------
Revenues:
External customers $418,868 $6,469 $3,980 $429,317
Intersegment - 1,702 - 1,702
------------- -------------- ------- ---------
Total revenues of
reportable segments $418,868 $8,171 $3,980 $431,019
============= ============== ======= =========
Segment margin
excluding depreciation
and amortization (a) $2,950 $3,510 $2,701 $9,161
Capital expenditures $75 $1,404 $- $1,479
Maintenance capital
expenditures $75 $335 $- $410
(a) Segment margin was calculated as revenues less cost of sales and
operating expenses. A reconciliation of segment margin to income
from continuing operations is presented for periods presented in
the tables at the end of this release.
Segment margin from continuing crude oil gathering and marketing activities was $0.5 million for the 2005 second quarter, a decrease of $1.5 million from the 2004 period. The primary factor decreasing segment margin between the two periods was increased field operating costs operating costs npl → gastos mpl operacionales , including a $0.4 million accrual accrual, n continually recurring short-term liabilities. Examples are accrued wages, taxes, and interest. for our share of the expected costs for the environmental remediation Generally, remediation means providing a remedy, so environmental remediation deals with the removal of pollution or contaminants from environmental media such as soil, groundwater, sediment, or surface water for the general protection of human health and the environment or from a of a site we no longer operate. Also contributing to the higher field costs were increases in fuel costs and personnel costs. The addition of five tractors and trailers to the fleet during the third quarter of 2004 increased vehicle lease costs. A reduction in volumes of crude oil purchased and fluctuations in margins on purchases of crude oil also contributed to the reduction in segment margin. For the six month periods, segment margin from crude oil gathering and marketing decreased $1.6 million in 2005 as compared to the prior period. The reduced segment margin in the first half of 2005 was due primarily to an increase in field costs of $1.8 million. The same factors that increased field costs in the three-month period were responsible for the increase for the six-month period. These increased costs were offset slightly by credit cost reductions and increased margins from purchasing and transporting the crude oil. Pipeline transportation segment margin from continuing operations was $2.8 million for the second quarter of 2005, as compared to $1.7 million for the 2004 period. Higher crude oil prices resulted in greater revenues from the sale of crude oil from volumetric volumetric /vol·u·met·ric/ (vol?u-met´rik) pertaining to or accompanied by measurement in volumes. vol·u·met·ric adj. Of or relating to measurement by volume. gains. Additionally, the 2005 quarter included segment margin from the CO2 pipeline segment constructed in 2004 and from natural gas gathering pipelines acquired during the first quarter of 2005. Finally, changes to tariffs This is a list of tariffs and trade legislation:
Mississippi (mĭs'əsĭp`ē), one of the Deep South states of the United States. It is bordered by Alabama (E), the Gulf of Mexico (S), Arkansas and Louisiana, with most of the border formed by combined with increased volumes on that system increased segment margin more than offsetting volume and tariff tariff, tax on imported and, more rarely, exported goods. It is also called a customs duty. Tariffs may be distinguished from other taxes in that their predominant purpose is not financial but economic—not to increase a nation's revenue but to protect domestic reductions on the Texas System. Segment margin from our crude oil pipeline operations increased $1.7 million between the six month periods for the same reasons noted above for the second quarter of 2005. Segment margin from CO2 sales activities in the 2005 three and six month periods was $1.8 million and $3.3 million, respectively, as compared to $1.5 million and $2.7 million for the three and six month periods in 2004, respectively. The additional volumetric production payment acquired in the third quarter of 2004 provided most of this margin increase. General and administrative expenses increased by $0.4 million during the 2005 second quarter as compared to the 2004 period. During the 2004 quarter, Genesis recorded a $0.5 million credit to account for its employee stock appreciation rights program that was implemented in 2003. This credit resulted from a decrease in Genesis' unit price. In the second quarter of 2005, the unit price increased slightly, resulting in a small charge. Other general and administrative expenses decreased by $0.1 million. General and administrative expenses decreased by $1.9 million during the 2005 six-month period as compared to the 2004 period principally due to the accrual related to the stock appreciation rights plan. In the 2004 period our unit market price increased, requiring us to record a charge of $0.6 million. In 2005, the decrease in our unit price resulted in a credit to general and administrative expenses of $1.3 million. In the first half of 2005, we disposed dis·pose v. dis·posed, dis·pos·ing, dis·pos·es v.tr. 1. To place or set in a particular order; arrange. 2. of idle assets for $1.3 million, generating $0.7 million of gain. The assets sold included pipelines that had been idle in 2002 and 2003. $0.3 million of this gain is reflected as discontinued operations. On April 1, 2005, we acquired a 50% interest in T&P Syngas. Our equity in the earnings of T&P Syngas for the second quarter of 2005, net of the amortization of our purchase price over our share of the equity of T&P Syngas, was $0.3 million for the second quarter. Interest costs were $0.4 million more in the 2005 six month period due to higher debt balances from borrowings to make acquisitions. Additionally market interest rates were higher in 2005. Genesis paid a distribution of $0.15 per unit for the first quarter of 2005 in May 2005, and will pay a distribution of $0.15 per unit for the second quarter of 2005 in August 2005. Genesis generated Available Cash before reserves (a non-GAAP measure) of $2.7 million during the second quarter of 2005 and $5.9 million during the first six months of 2005. (Please see the accompanying ac·com·pa·ny v. ac·com·pa·nied, ac·com·pa·ny·ing, ac·com·pa·nies v.tr. 1. To be or go with as a companion. 2. schedules for a reconciliation of Available Cash, a non-GAAP measure, to net cash flow provided by operations, the GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). measure.) Available Cash Several adjustments to net income are required to calculate Available Cash. The calculation of Available Cash before reserves for the quarter ended June June: see month. 30, 2005 is as follows (in thousands):
Net income $743
Depreciation and amortization expense 1,568
Cash in excess of gain on asset sales 23
Cash from direct financing leases in excess of
income recorded 124
Cash distribution for the second quarter of 2005
from T&P Syngas 313
Non-cash credit for incentive compensation plan
and other non-cash items 126
Maintenance capital expenditures (200)
-------------
Available Cash before reserves $2,697
=============
Available Cash (a non-GAAP liquidity measure) has been reconciled rec·on·cile v. rec·on·ciled, rec·on·cil·ing, rec·on·ciles v.tr. 1. To reestablish a close relationship between. 2. To settle or resolve. 3. to cash flow from operating activities (the GAAP measure) for the three and six months ended June 30, 2005 in the financial tables below. Outlook Genesis expects pipeline segment margin from continuing operations for 2005 to be approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. the same as in 2004. Increased costs for pipeline integrity testing Integrity Testing, is a name given to the Non destructive testing of piled foundations. It was used or started back in the late 1960's and has developed over the years by many companies In Europe CEBTP in Asia and Australia by Integrity Testing, and USA by GRL. and repairs are expected to offset increased revenues. Segment margin from the CO2 sales operation in 2005 is expected to be greater than the 2004 amount due to the acquisition of an additional volumetric production payment in September September: see month. of 2004. Genesis expects gathering and marketing segment margins from continuing operations to be significantly less than the 2004 amounts due primarily to lower volumes and increased operating costs. We expect our investment in T&P Syngas to contribute to Available Cash before reserves during 2005. Genesis expects general and administrative expenses to be lower in 2005 than in 2004 primarily due to incurring in·cur tr.v. in·curred, in·cur·ring, in·curs 1. To acquire or come into (something usually undesirable); sustain: incurred substantial losses during the stock market crash. 2. the initial costs of complying with the Sarbanes Oxley Oxley refers to several things: People
tr.v. ex·pend·ed, ex·pend·ing, ex·pends 1. To lay out; spend: expending tax revenues on government operations. See Synonyms at spend. 2. during 2004 due primarily to pipeline integrity management program expenditures on the Mississippi Pipeline System. Genesis' earnings are likely to be impacted in future periods from volatility Volatility 1. A statistical measure of the tendency of a market or security to rise or fall sharply within a period of time. 2. A variable in option pricing formulas that denotes the extent to which the return of the underlying asset will fluctuate between now and the in its unit price and the effect of that volatility on the accounting for the stock appreciation rights plan. This non-cash expense Noun 1. non-cash expense - an expense (such as depreciation) that is not paid for in cash disbursal, disbursement, expense - amounts paid for goods and services that may be currently tax deductible (as opposed to capital expenditures) is not expected to have an adverse impact on the Partnership's ability to make or increase distributions to its Unitholders. Based on the foregoing, Genesis expects to be able to sustain its regular quarterly distribution of $0.15 per unit during 2005. Our ability to increase distributions during 2005 will depend in part on our success in developing and executing capital projects and making accretive acquisitions Accretive Acquisition An acquisition that will increase the acquiring company's EPS. Notes: As they are expected to increase the acquiring company's future earnings, these acquisitions tend to be favorable for the company's market price. , the costs of repairs and improvements under of our integrity management program, and our ability to generate sustained improvements in the gathering and marketing segment. Earnings Conference Call Genesis Energy, L.P. will broadcast its Earnings Conference Call on Thursday Thursday: see week. , August 4, 2005, at 2:00 p.m. Central time. This call can be accessed at www.genesiscrudeoil.com. Choose the Investor Relations Investor relations The process by which the corporation communicates with its investors. button. Listeners should go to this website at least fifteen minutes before this event to download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer. and install any necessary audio software. For those unable to attend the live broadcast, a replay will be available beginning approximately one hour after the event and remain available on our website for 30 days. There is no charge to access the event. Genesis Energy, L.P. operates crude oil common carrier pipelines and is an independent gatherer and marketer of crude oil in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. , with operations concentrated in Texas, Louisiana Louisiana (ləwē'zēăn`ə, l  ē'–), state in the S central United States. It is bounded by Mississippi, with the Mississippi R. , Alabama Alabama, indigenous people of North AmericaAlabama (ăləbăm`ə), indigenous people of North America whose language belongs to the Muskogean branch of the Hokan-Siouan linguistic stock (see Native American languages). , Florida Florida, state, United States Florida (flôr`ĭdə, flŏr`–), state in the extreme SE United States. A long, low peninsula between the Atlantic Ocean (E) and the Gulf of Mexico (W), Florida is bordered by Georgia and , and Mississippi. Genesis Energy, L.P. also operates a wholesale CO2 sales business. This press release includes forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although Genesis believes that its expectations are based upon reasonable assumptions, it can give no assurance that its goals will be achieved. Important factors that could cause actual results to differ materially from those in the forward-looking statements herein include the timing and extent of changes in commodity prices for oil, ability to obtain adequate credit facilities credit facilities npl → facilidades fpl de crédito credit facilities npl → facilités fpl de paiement credit facilities , managing operating costs, completion of capital projects on schedule and within budget, consummation CONSUMMATION. The completion of a thing; as the consummation of marriage; (q.v.) the consummation of a contract, and the like. 2. A contract is said to be consummated, when everything to be done in relation to it, has been accomplished. of accretive acquisitions, capital spending capital spending Spending for long-term assets such as factories, equipment, machinery, and buildings that permits the production of more goods and services in future years. , environmental risks, government regulation, the ability of the Partnership to meet its stated business goals and other risks noted from time to time in the Partnership's Securities and Exchange Commission filings. Actual results may vary materially. We undertake no obligation to publicly update or revise any forward-looking statement.
Genesis Energy, L.P.
Summary Consolidated Statements of Operations - Unaudited
(in thousands except per unit amounts and volumes)
Three Months Ended Three Months Ended
June 30, 2005 June 30, 2004
------------------ ------------------
Revenues $257,144 $232,107
Cost of sales 252,129 227,045
General & administrative
expenses 2,468 2,022
Depreciation and amortization
expense 1,568 1,627
Gains from disposals of surplus
assets (27) (75)
------------------ ------------------
OPERATING INCOME 1,006 1,488
Equity in earnings of investment
in T&P Syngas Supply Company 252 -
Interest, net (506) (328)
------------------ ------------------
Income from continuing
operations 752 1,160
Loss from discontinued
operations (9) (61)
------------------ ------------------
NET INCOME $743 $1,099
================== ==================
NET INCOME PER COMMON UNIT -
BASIC AND DILUTED
Continuing operations $0.08 $0.12
Discontinued operations 0.00 0.00
------------------ ------------------
Net Income Per Common Unit -
Basic and Diluted $0.08 $0.12
================== ==================
Continuing Operations Volumes:
Crude oil wellhead barrels per
day 40,323 49,128
Total gathering and marketing
barrels per day 55,722 65,164
Crude oil pipeline barrels per
day 64,094 67,156
CO2 sales Mcf per day 51,049 45,480
Genesis Energy, L.P.
Summary Consolidated Statements of Operations - Unaudited
(in thousands except per unit amounts and volumes)
Six Months Ended Six Months Ended
June 30, 2005 June 30, 2004
---------------- ----------------
Revenues $513,744 $431,019
Cost of sales 503,873 421,858
General & administrative expenses 3,326 5,186
Depreciation and amortization
expense 3,094 3,174
Gains from disposals of surplus
assets (398) (75)
---------------- ----------------
OPERATING INCOME 3,849 876
Equity in earnings of investment in
T&P Syngas Supply Company 252 -
Interest, net (861) (498)
---------------- ----------------
Income from continuing operations 3,240 378
Income (loss) from discontinued
operations 273 (284)
---------------- ----------------
NET INCOME $3,513 $94
================ ================
NET INCOME (LOSS) PER COMMON UNIT -
BASIC AND DILUTED
Continuing operations $0.34 $0.04
Discontinued operations 0.03 (0.03)
---------------- ----------------
Net Income Per Common Unit - Basic
and Diluted $0.37 $0.01
================ ================
Continuing Operations Volumes:
Crude oil wellhead barrels per day 41,142 48,787
Total gathering and marketing
barrels per day 57,027 62,877
Crude oil pipeline barrels per day 62,466 67,869
CO2 sales Mcf per day 49,437 42,164
Genesis Energy, L.P.
Summary Consolidated Balance Sheets - Unaudited
(in thousands)
June 30, 2005 December 31, 2004
----------------- -----------------
ASSETS
Cash $1,628 $2,078
Accounts receivable 90,231 69,321
Inventories 4,329 1,866
Other current assets 4,059 4,131
----------------- -----------------
Total Current Assets 100,247 77,396
Net property 34,589 33,786
CO2 contracts 25,023 26,344
Investment in T&P Syngas Supply
Company 13,757 -
Other assets 7,500 5,628
----------------- -----------------
Total Assets $181,116 $143,154
================= =================
LIABILITIES AND PARTNERS' CAPITAL
Accounts payable $92,056 $75,415
Accrued liabilities 8,050 6,523
----------------- -----------------
Total Current Liabilities 100,106 81,938
Long-term debt and other
liabilities 34,592 15,460
Minority interest 517 517
Partners' capital 45,901 45,239
----------------- -----------------
Total Liabilities and
Partners' Capital $181,116 $143,154
================= =================
Genesis Energy, L.P.
Summary Consolidated Statements of Cash Flows - Unaudited
(in thousands)
Six Months Ended Six Months Ended
June 30, 2005 June 30, 2004
---------------- ----------------
Net income $3,513 $94
Adjustments to reconcile net income
to cash provided by operating
activities:
Depreciation and amortization 3,094 3,174
Amortization of credit facility
issuance costs 187 194
Equity in earnings of investment
in T&P Syngas Supply Company (252) -
Amortization of unearned income (349) -
Cash received from direct
financing leases 593 -
Change in fair value of
derivatives (432) (18)
Gains on asset disposals (671) (75)
Other non-cash items (510) 592
Changes to components of working
capital (6,028) 1,503
---------------- ----------------
Net cash (used in) provided by
operating activities (855) 5,464
---------------- ----------------
Additions to property and equipment
and other assets (17,899) (1,490)
Proceeds from sales of assets 1,360 79
Other, net (53) -
---------------- ----------------
Net cash used in investing
activities (16,592) (1,411)
---------------- ----------------
Net borrowings (repayments) of debt 19,100 (1,500)
Distributions to partners (2,851) (2,851)
Credit facility issuance fees - (839)
Other, net 748 -
---------------- ----------------
Net cash provided by (used in)
financing activities 16,997 (5,190)
---------------- ----------------
Net decrease in cash and cash
equivalents (450) (1,137)
Cash and cash equivalents at
beginning of period 2,078 2,869
---------------- ----------------
Cash and cash equivalents at end of
period $1,628 $1,732
================ ================
Genesis Energy, L.P.
Reconciliations
SEGMENT MARGIN EXCLUDING DEPRECIATION AND AMORTIZATION RECONCILIATION
TO OPERATING INCOME FROM CONTINUING OPERATIONS
Three Months Ended Three Months Ended
June 30, 2005 June 30, 2004
------------------ ------------------
(in thousands)
Segment margin excluding
depreciation and amortization $5,015 $5,062
General & administrative
expenses 2,468 2,022
Depreciation and amortization
expense 1,568 1,627
Gains from disposals of surplus
assets (27) (75)
------------------ ------------------
Operating income from
continuing operations $1,006 $1,488
================== ==================
Six Months Ended Six Months Ended
June 30, 2005 June 30, 2004
------------------ ------------------
(in thousands)
Segment margin excluding
depreciation and amortization $9,871 $9,161
General & administrative
expenses 3,326 5,186
Depreciation and amortization
expense 3,094 3,174
Gains from disposals of surplus
assets (398) (75)
------------------ ------------------
Operating income from
continuing operations $3,849 $876
================== ==================
GAAP to Non-GAAP Financial Measure Reconciliation
AVAILABLE CASH BEFORE RESERVES RECONCILIATION TO NET CASH
PROVIDED BY OPERATING ACTIVITIES
Three Months Ended Six Months Ended
June 30, 2005 June 30, 2005
------------------ ------------------
(in thousands)
Net cash flow provided by
operating activities (GAAP
measure) $(3,394) $(855)
Adjustments to reconcile net
cash flow provided by operating
activities to Available Cash
before reserves:
Maintenance capital
expenditures (200) (711)
Proceeds from asset sales 41 1,360
Amortization of credit
facility issuance costs (94) (187)
Cash effects of stock
appreciation rights plan - (50)
Cash distribution for second
quarter 2005 from T&P
Syngas 313 313
Net effect of changes in
operating accounts not
included in calculation of
Available Cash before
reserves 6,031 6,028
------------------ ------------------
Available Cash before reserves
(non-GAAP measure) $2,697 $5,898
================== ==================
Genesis believes that investors benefit from having access to the same financial measures being utilized by management. Segment margin forms the basis of our internal financial reporting and is used by senior management in deciding how to allocate To reserve a resource such as memory or disk. See memory allocation. capital resources among business segments. We believe that investors benefit from having access to the same financial measures that our management uses in evaluating segment results. The GAAP measure most directly comparable to total segment margin is operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. . We define segment margin as revenues less costs of sales and operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. , plus the adjustments for the effects of derivative instruments Derivative instruments Contracts such as options and futures whose price is derived from the price of an underlying financial asset. . This measure is exclusive of depreciation and amortization, general and administrative expenses, and any gains or losses on asset disposals. It also excludes the effects of minority interests and the cumulative effect of any accounting changes. Available Cash is a liquidity measure used by management to compare cash flows generated by the Partnership to the cash distribution paid to the limited partners and the general partner. This is an important financial measure to the public unitholders since it is an indicator Indicator Anything used to predict future financial or economic trends. Notes: In the context of technical analysis, an indicator is a mathematical calculation based on a securities price and/or volume. The result is used to predict future prices. of the Partnership's ability to provide a cash return on their investment. Specifically, this financial measure tells investors whether or not the Partnership is generating cash flows at a level that can support a quarterly cash distribution to the partners. Lastly, Available Cash (also referred to as distributable cash flow) is the quantitative quantitative /quan·ti·ta·tive/ (kwahn´ti-ta?tiv) 1. denoting or expressing a quantity. 2. relating to the proportionate quantities or to the amount of the constituents of a compound. standard used throughout the investment community with respect to publicly-traded partnerships. |
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