El Paso Pipeline Partners, L.P. (NYSE: EPB) today reported its quarterly cash distribution per common unit of $0.65 ($2.60 annualized) payable on Feb. 14, 2014, to unitholders of record as of Jan. 31, 2014. This represents a 7 percent increase from the fourth quarter 2012 cash distribution per unit of $0.61 ($2.44 annualized) and remains flat from the third quarter 2013 distribution of $0.65 per unit.
Chairman and CEO Richard D. Kinder said, “EPB had a solid year and will distribute $2.55 per unit for 2013, a 13 percent increase over 2012. We generated cash in excess of our distributions of $16 million. EPB’s regulated pipeline and storage assets reported higher 2013 earnings before DD&A and certain items ($1.195 billion versus $1.175 billion) than in 2012. Earnings were impacted in both the third and fourth quarters, however, by two rate case settlements that resulted in lower rates on the Southern Natural Gas (SNG) and Wyoming Interstate Company (WIC) pipelines. A portion of that impact was offset by good results on the Elba Express Pipeline, attributable to an expansion project that added capacity to the pipeline in the spring of 2013. Looking ahead, EPB has over $1.3 billion of expansion projects under contract with customers which will benefit EPB unitholders in 2016 and beyond, and we are pursuing customer commitments for additional projects.”
EPB reported fourth quarter distributable cash flow before certain items of $144 million, down from $163 million for the same period in 2012. Distributable cash flow per unit before certain items was $0.66, compared to $0.75 for the fourth quarter last year. Net income for the fourth quarter before certain items was $159 million compared to $180 million for the same period in 2012. Including certain items, net income was $159 million compared to $178 million for the fourth quarter last year.