To learn more about these forward-looking statements and non-GAAP measures please see Pembina’s various financial reports available at pembina.com and on both SEDAR and EDGAR. Actual results could differ materially from the forward-looking statements we may express or imply today.The second quarter and the first half of the year has been a very busy time. We closed our acquisition of Provident on April 2 and since then we have made a lot of progress on our integration activities. As you know, we are listed on New York Stock exchange and that made substantial progress on bringing our two teams together. This is the first quarter we are reporting as a combined entity which also means that this is the first time, we’re presenting results that show a consolidated view of our business and includes those assets that are new to Pembina. Admittedly we are faced with a challenging opening market conditions that impacts our results this quarter, but we maintained steady performance across all areas of our business while managing the integration work we needed to do. I will give a high level overview of the results in a minute, but I will like to start off by talking a little more specifically about the progress we are making on integration. It's still early in the game for us. We have only owned these assets for just over four months. But so far the integration is going very well. We are seeing real upside possibilities associated with these assets and we have retained a great group of people, people who have the knowledge and the experience to help us achieve Pembina's future goals. I am very happy to say that as of mid July, we have moved all of the former Calgary Provident employees to our head office in Calgary which will now give us the chance to begin working even more closely as a single team, focused on common set of goals.
Our employees have to deal with a high volume of change during the quarter. Yet I am proud that they were able to achieve solid results in each of our businesses despite the attention required for the integration.This integration has tested every aspect of our business. We are not just combining two companies. We’re identifying the best processes and practices to adopt moving forward. Now let's look at Pembina Q2 results compared to second quarter last year. With such a large acquisition, reported numbers look quite a bit different than what you are used to. So I will try to add some color. I want to start up by saying that we are confident in the strong fundamental story of our business. We didn’t undertake take this acquisition for few months work of the results, but for the long-term benefits . We see involving from our industry leading suite of integrated assets. To provide a better contacts before getting into specifics the NGL business, we have acquired from Provident is a seasonal business during which the second quarter traditionally contributes lower operating margins due to lower NGL sales and weaker pricing in the summer months. Propone prices were as low as CAD0.73 per gallon in June of 2012 compared to CAD1.26 per gallon in the first quarter of 2012 and a CAD1.50 this time last year. Current propane prices are CAD0.94 per gallon and the future price for the second half of the year averages about CAD0.95 per gallon. Looking at revenue operating margin, gross profit, EBITDA and earnings you can see that each of these metrics have increased for the quarter and year-to-date largely as a result of the acquisition, continued solid performance of Pembina's legacy businesses. A significant unrealized gain on commodity related derivative financial instruments also build up our results. Pembina is required to employ mark-to-market accounting for all unrealized gains and losses associated with financial derivative instruments at a point in time and report these against current period earnings. Read the rest of this transcript for free on seekingalpha.com