|TEPPCO Partners, L.P. General Partner Acquired by EPCO, Inc.|
HOUSTON, Feb 24, 2005 /PRNewswire-FirstCall via COMTEX/ -- TEPPCO Partners, L.P. (NYSE: TPP) announced today that EPCO, Inc., a privately owned company controlled by Dan L. Duncan, has acquired its general partner, Texas Eastern Products Pipeline Company, LLC from Duke Energy Field Services, LLC. The acquisition is valued at $1.1 billion. Additionally, in a separate transaction, EPCO and its affiliates have agreed to purchase 2.5 million TEPPCO limited partner units, valued at approximately $100 million, from Duke Energy (NYSE: DUK).
"We believe our association with Dan Duncan and EPCO will provide considerable opportunities for TEPPCO," said Barry R. Pearl, president and chief executive officer of the general partner of TEPPCO. "Mr. Duncan has long been committed to the energy infrastructure business through his extensive holdings in Enterprise Products Partners L.P. Additionally, he has been one of the strongest general partners in the master limited partnership sector, as evidenced by his continual support of Enterprise's growth initiatives and capital requirements. The acquisition of TEPPCO's general partner should improve our ongoing business, growth prospects and long-term potential."
"We are pleased to have the opportunity to acquire the general partner of TEPPCO," said Dan L. Duncan, chairman of EPCO, Inc. "I believe TEPPCO has an established franchise in the businesses and areas it operates. Strong fundamental growth of demand for energy products and supplies should position TEPPCO for growth in the future."
Going forward, the general partners of both TEPPCO and Enterprise will continue to operate independently and will maintain separate boards of directors, management teams and offices. Both of the boards will continue to operate each partnership's business consistent with past practice. Additionally, TEPPCO and Enterprise will continue to separately and independently pursue commercial opportunities and growth strategies. Neither TEPPCO nor Enterprise were parties to this transaction.
TEPPCO and EPCO, Inc. will host a conference call for investors at 11 a.m. CT today to discuss this transaction. Interested parties may listen live over the Internet or via telephone by dialing 800/362-0653, confirmation code 4602877. Please call in five to 10 minutes prior to the scheduled start time.
An audio replay of the conference call will also be available for seven days by dialing 888/203-1112, confirmation code 4602877. A replay and transcript will also be available by accessing the company's Web site at http://www.teppco.com .
TEPPCO Partners, L.P. is a publicly traded master limited partnership, which conducts business through various subsidiary operating companies. TEPPCO owns and operates one of the largest common carrier pipelines of refined petroleum products and liquefied petroleum gases in the United States; owns and operates petrochemical and natural gas liquid pipelines; is engaged in crude oil transportation, storage, gathering and marketing; owns and operates natural gas gathering systems; and owns 50-percent interests in Seaway Crude Pipeline Company, Centennial Pipeline LLC, and Mont Belvieu Storage Partners, L.P., and an undivided ownership interest in the Basin Pipeline. Texas Eastern Products Pipeline Company, LLC, a wholly owned subsidiary of Enterprise GP Holdings L.P., is the general partner of TEPPCO Partners, L.P. For more information, visit TEPPCO's Web site at http://www.teppco.com .
EPCO, Inc. and its affiliates separately own the general partner of Enterprise Products Partners L.P. (NYSE: EPD) ("Enterprise") and approximately 145 million Enterprise common units in addition to the newly acquired TEPPCO interests. Enterprise is one of the largest publicly traded master limited partnership with an enterprise value of more than $14 billion.
Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements that involve certain risks and uncertainties. These risks and uncertainties include, among other things, market conditions, governmental regulations and factors discussed in TEPPCO Partners, L.P. filings with the Securities and Exchange Commission.
CONTACTS: Kathleen A. Sauve - Media Relations
Brenda J. Peters - Investor Relations
SOURCE TEPPCO Partners, L.P.