LIBERTY, Mo., Sept. 24 /PRNewswire-FirstCall/ -- Ferrellgas Partners, L.P.
(NYSE: FGP), the nation's second-largest retail marketer of propane, announced
today it had successfully completed the sale of $170 million of 8 3/4% senior
notes due 2012.
Ferrellgas' sale of these senior notes satisfied the funding condition
related to the previously announced tender offer of all its 9 3/8% senior
secured notes due 2006. The tender offer expired today at 9:00 a.m., Eastern
Daylight Time. The net proceeds from the sale will be used to tender or
redeem the $160 million of Ferrellgas' outstanding 9 3/8% senior secured
notes, including related call premiums, fees, accrued and unpaid interest and
consent payments.
"We are very pleased by the market's favorable reception to our debt
offering," said Kevin T. Kelly, Senior Vice President and Chief Financial
Officer of Ferrellgas. "Our recent financial performance and strong
reputation in the capital markets allowed us to capitalize on the favorable
interest rate environment, securing replacement financing well into the future
at a lower interest rate."
As of the expiration of the tender offer, $159,950,000 aggregate principal
amount of the tendered notes, which represents approximately 99% of the 9 3/8%
senior secured notes, were tendered at a price of $1,032.50 per $1,000
principal amount, which includes a consent payment of $1.25 per $1,000
principal amount for those notes tendered within the consent period. All
notes tendered have been accepted for payment. Ferrellgas intends to
immediately redeem, pursuant to the terms of a supplemental indenture, the
remaining $50,000 of 9 3/8% senior secured notes not tendered in the offer.
Credit Suisse First Boston acted as Dealer Manager in connection with the
tender offer and consent solicitation, and co-led the underwriting group
together with Banc of America Securities LLC in connection with the sale of
the 8 3/4% senior notes.
Ferrellgas Partners, L.P., through its operating partnership, Ferrellgas,
L.P., serves more than one million customers in 45 states. Its employees
indirectly own more than 17 million common units of Ferrellgas through an
employee stock ownership plan. Its common units trade on the New York Stock
Exchange under the ticker symbol FGP.
Statements in this release concerning expectations for the future are
forward-looking statements. A variety of known and unknown risks,
uncertainties and other factors could cause actual results, performance and
expectations to differ materially from anticipated results, performance or
expectations. These risks, uncertainties and other factors are discussed in
the partnership's annual report on Form 10-K for fiscal 2001 dated July 31,
2001, as filed with the Securities and Exchange Commission on October 25,
2001, and other documents filed from time to time with the Securities and
Exchange Commission.
CONTACT: Ryan VanWinkle, Investor Relations of Ferrellgas Partners, L.P.,
+1-816-792-7998.
SOURCE Ferrellgas Partners, L.P.
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Related links:
http://www.ferrellgas.com
CONTACT:
Ryan VanWinkle, Investor Relations of
Ferrellgas Partners, L.P., +1-816-792-7998
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