Energy Transfer L.P.

Overview Key strengths Key risks One of the largest midstream energy companies in North America. Some cash flow volatility in the gathering and processing business segment. Approximately 90% of cash flow generated from fee-based contracts. Heightened regulatory, social, and permitting risk related to large pipeline projects. No material counterparty risk; about 85% of its counterparties are investment grade. The $3.25 billion acquisition of WTG (not rated) will comprise $2.45 billion in cash and approximately 50.8 million of newly issued ET common units. WTG provides gas gathering, processing, and intrabasin transportation services. Its assets include eight gas processing plants with two more under construction and more than 6,000 miles of gas gathering pipelines. WTG's assets are backed by volumes from large

...Energy Transfer L.P.'s (ET) proposed acquisition of WTG Midstream LLC (WTG) strengthens its competitive position. The $3.25 billion acquisition of WTG (not rated) will comprise $2.45 billion in cash and approximately 50.8 million of newly issued ET common units. WTG provides gas gathering, processing, and intrabasin transportation services. Its assets include eight gas processing plants with two more under construction and more than 6,000 miles of gas gathering pipelines. WTG's assets are backed by volumes from large cap producers with a combination of firm long-term contracts and acreage dedications. We believe the transaction...

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