BRENTWOOD, Tenn. -- (Business Wire)
Delek Logistics Partners, LP (NYSE: DKL), a growth-oriented master
limited partnership focused on owning and operating midstream energy
infrastructure, today announced the declaration of its first quarterly
cash distribution. The distribution for the fourth quarter of 2012 is
$0.224 per unit, and corresponds to the Delek Logistics’ minimum
quarterly cash distribution of $0.375 per unit as prorated for the
period since inception of operations on November 7, 2012. The cash
distribution is payable on February 14, 2013 to unitholders of record on
February 6, 2013. Immediately prior to this distribution there will be
24,488,282 units outstanding including all common, subordinated and
general partner units.
“We are pleased to announce the first quarterly distribution for Delek
Logistics,” remarked Uzi Yemin, Chairman and Chief Executive Officer of
the general partner of Delek Logistics. “The organization has gotten off
to a strong start following our initial public offering and we remain
focused on the delivery of both growth and value. As a result of our
solid performance, we currently expect to recommend to the Board of
Directors of Delek Logistics’ general partner an increase in our
quarterly distribution to $0.385 per unit for the quarter ending March
31, 2013, which would represent a 2.7 percent increase from our minimum
quarterly distribution.”
About Delek Logistic Partners, LP
Delek Logistics Partners, LP, headquartered in Brentwood, Tennessee, was
formed by Delek US Holdings, Inc. (NYSE: DK) to own, operate, acquire
and construct crude oil and refined products logistics and marketing
assets. Delek Logistics’ assets and operating results are reported in
two segments:
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Pipelines and Transportation: Approximately 200 miles of
transportation pipelines and a 600 mile crude oil gathering system, in
addition to associated storage facilities with 1.4 million barrels of
active shell capacity supporting Delek US’ El Dorado and Tyler
refineries. Additionally, this segment includes the Paline pipeline, a
185 mile crude oil pipeline from Longview to Nederland, Texas.
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Wholesale Marketing and Terminalling: Includes a wholesale marketing
business in Texas; and light product terminals, located in Abilene,
Big Sandy and San Angelo, Texas, and in Nashville and Memphis,
Tennessee.
Safe Harbor Provisions Regarding Forward-Looking Statements
This press release contains “forward-looking” statements within the
meaning of the federal securities laws. These statements contain words
such as “possible,” “believe,” “should,” “could,” “would,” “predict,”
“plan,” “estimate,” “intend,” “may,” “anticipate,” “will,” “if,”
“expect” or similar expressions, as well as statements in the future
tense, and can be impacted by numerous factors, including the fact that
a substantial majority of Delek Logistics’ contribution margin is
derived from Delek US Holdings, thereby subjecting us to Delek US
Holdings’ business risks, risks relating to the securities markets
generally, the impact of adverse market conditions affecting business of
Delek Logistics, adverse changes in laws including with respect to tax
and regulatory matters and other risks as disclosed in our filings with
the United States Securities and Exchange Commission. There can be no
assurance that actual results will not differ from those expected by
management of Delek Logistics. Delek Logistics undertakes no obligation
to update or revise such forward-looking statements to reflect events or
circumstances that occur, or which Delek Logistics becomes aware of,
after the date hereof.
Tax Considerations
This release is intended to be a qualified notice under Treasury
Regulation Section 1.1446-4(b)(4) and (d). Please note that 100 percent
of Delek Logistics Partners, LP’s distributions to foreign investors are
attributable to income that is effectively connected with a United
States trade or business. Accordingly, all of Delek Logistic Partners,
LP’s distributions to foreign investors are subject to federal income
tax withholding at the highest applicable effective tax rate for
individuals or corporations, as applicable. Nominees, and not Delek
Logistic Partners, LP, are treated as the withholding agents responsible
for withholding on the distributions received by them on behalf of
foreign investors.
Contacts:
Delek Logistics Partners, LP
Assi Ginzburg, 615-435-1452
Executive
Vice President and Chief Financial Officer
or
Keith Johnson,
615-435-1366
Vice President of Investor Relations
or
Alpha
IR Group
Chris Hodges, 312-589-3505
Founder & CEO
Source: Delek Logistics Partners, LP
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