16. Condensed Consolidating Financial Information

Our $350 million aggregate principal amount of senior unsecured notes co-issued by Genesis Energy, L.P. and Genesis Energy Finance Corporation are fully and unconditionally guaranteed jointly and severally by all of Genesis Energy, L.P.'s subsidiaries, except Genesis Free State Pipeline, LLC, Genesis NEJD Pipeline, LLC and certain other minor subsidiaries. Genesis NEJD Pipeline, LLC is 100% owned by Genesis Energy, L.P., the parent company. The remaining non-guarantor subsidiaries are owned by Genesis Crude Oil, L.P., a guarantor subsidiary. Genesis Energy Finance Corporation has no independent assets or operations. Each subsidiary guarantor and the subsidiary co-issuer are 100% owned, directly or indirectly, by Genesis Energy, L.P. See Note 8 for additional information regarding our consolidated debt obligations. The following is condensed consolidating financial information for Genesis Energy, L.P., the guarantor subsidiaries and the non-guarantor subsidiaries.

Unaudited Condensed Consolidating Balance Sheet

March 31, 2012


	Genesis Energy, L.P. (Parent and Co-Issuer)		Genesis Energy Finance Corporation (Co-Issuer)		Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Genesis Energy, L.P. Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	3	$	—	$	13,885		$	436		$	—		$	14,324
Other current assets		721,386		—		403,154			34,741			(731,474	)		427,807

Total current assets		721,389		—		417,039			35,177			(731,474	)		442,131

Fixed Assets, at cost		—		—		520,490			97,121			—			617,611
Less: Accumulated depreciation		—		—		(121,469	)		(10,459	)		—			(131,928	)

Net fixed assets		—		—		399,021			86,662			—			485,683

Goodwill		—		—		325,046			—			—			325,046
Other assets, net		16,457		—		269,766			161,234			(166,791	)		280,666
Equity investees		—		—		536,749			—			—			536,749
Investments in subsidiaries		1,010,240		—		97,158			—			(1,107,398	)		—

Total assets	$	1,748,086	$	—	$	2,044,779		$	283,073		$	(2,005,663	)	$	2,070,275


LIABILITIES AND PARTNERS' CAPITAL
Current liabilities	$	8,316	$	—	$	1,000,420		$	17,305		$	(731,156	)	$	294,885
Senior secured credit facility		438,200		—		—			—			—			438,200
Senior unsecured notes		350,981		—		—			—			—			350,981
Deferred tax liabilities		—		—		12,512			—			—			12,512
Other liabilities		—		—		20,854			168,860			(166,606	)		23,108

Total liabilities		797,497		—		1,033,786			186,165			(897,762	)		1,119,686

Partners' capital		950,589		—		1,010,993			96,908			(1,107,901	)		950,589

Total liabilities and partners' capital	$	1,748,086	$	—	$	2,044,779		$	283,073		$	(2,005,663	)	$	2,070,275

Unaudited Condensed Consolidating Balance Sheet

December 31, 2011


	Genesis Energy, L.P. (Parent and Co-Issuer)		Genesis Energy Finance Corporation (Co-Issuer)		Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Genesis Energy, L.P. Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	3	$	—	$	9,182		$	1,632		$	—		$	10,817
Other current assets		597,966		—		341,131			31,897			(605,707	)		365,287

Total current assets		597,969		—		350,313			33,529			(605,707	)		376,104

Fixed Assets, at cost		—		—		444,262			96,876			—			541,138
Less: Accumulated depreciation		—		—		(114,655	)		(9,558	)		—			(124,213	)

Net fixed assets		—		—		329,607			87,318			—			416,925

Goodwill		—		—		325,046			—			—			325,046
Other assets, net		14,773		—		276,450			162,373			(167,774	)		285,822
Equity investees		—		—		326,947			—			—			326,947
Investments in subsidiaries		841,725		—		96,303			—			(938,028	)		—

Total assets	$	1,454,467	$	—	$	1,704,666		$	283,220		$	(1,711,509	)	$	1,730,844


LIABILITIES AND PARTNERS' CAPITAL
Current liabilities	$	2,529	$	—	$	835,013		$	17,562		$	(605,676	)	$	249,428
Senior secured credit facility		409,300		—		—			—			—			409,300
Senior unsecured notes		250,000		—		—			—			—			250,000
Deferred tax liabilities		—		—		12,549			—			—			12,549
Other liabilities		—		—		14,673			169,842			(167,586	)		16,929

Total liabilities		661,829		—		862,235			187,404			(773,262	)		938,206

Partners' capital		792,638		—		842,431			95,816			(938,247	)		792,638

Total liabilities and partners' capital	$	1,454,467	$	—	$	1,704,666		$	283,220		$	(1,711,509	)	$	1,730,844

Unaudited Condensed Consolidating Statement of Operations

For the Three Months Ended March 31, 2012


	Genesis Energy, L.P. (Parent and Co-Issuer)			Genesis Energy Finance Corporation (Co-Issuer)		Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Genesis Energy, L.P. Consolidated
REVENUES:
Supply and logistics	$	—		$	—	$	859,907		$	32,179		$	(26,597	)	$	865,489
Refinery services		—			—		48,596			2,645			(3,196	)		48,045
Pipeline transportation services		—			—		12,916			6,493			—			19,409

Total revenues		—			—		921,419			41,317			(29,793	)		932,943

COSTS AND EXPENSES:
Supply and logistics costs		—			—		843,868			28,740			(26,597	)		846,011
Refinery services operating costs		—			—		30,641			3,049			(2,911	)		30,779
Pipeline transportation operating costs		—			—		4,834			218			—			5,052
General and administrative		—			—		9,562			30			—			9,592
Depreciation and amortization		—			—		14,143			892			—			15,035
Net gain on disposal of surplus assets		—			—		(256	)		—			—			(256	)

Total costs and expenses		—			—		902,792			32,929			(29,508	)		906,213

OPERATING INCOME		—			—		18,627			8,388			(285	)		26,730
Equity in earnings of subsidiaries		30,168			—		4,322			—			(34,490	)		—
Equity in earnings of equity investees					—		3,492			—						3,492
Interest (expense) income, net		(10,564	)		—		4,154			(4,186	)		—			(10,596	)

Income before income taxes		19,604			—		30,595			4,202			(34,775	)		19,626
Income tax (expense) benefit		—			—		(95	)		73			—			(22	)

NET INCOME	$	19,604		$	—	$	30,500		$	4,275		$	(34,775	)	$	19,604

Unaudited Condensed Consolidating Statement of Operations

For the Three Months Ended March 31, 2011


	Genesis Energy, L.P. (Parent and Co-Issuer)			Genesis Energy Finance Corporation (Co-Issuer)		Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Genesis Energy, L.P. Consolidated
REVENUES:
Supply and logistics	$	—		$	—	$	627,797		$	—		$	—		$	627,797
Refinery services		—			—		47,510			4,480			(4,444	)		47,546
Pipeline transportation services		—			—		7,921			6,534			—			14,455

Total revenues		—			—		683,228			11,014			(4,444	)		689,798

COSTS AND EXPENSES:
Supply and logistics costs		—			—		621,364			—			—			621,364
Refinery services operating costs		—			—		29,518			4,220			(4,152	)		29,586
Pipeline transportation operating costs		—			—		3,909			161			—			4,070
General and administrative		—			—		8,054			—			—			8,054
Depreciation and amortization		—			—		13,254			649			—			13,903
Net gain on disposal of surplus assets		—			—		(11	)		—			—			(11	)

Total costs and expenses		—			—		676,088			5,030			(4,152	)		676,966

OPERATING INCOME		—			—		7,140			5,984			(292	)		12,832
Equity in earnings of subsidiaries		15,708			—		1,716			—			(17,424	)		—
Equity in earnings of equity investees		—			—		3,197			—			—			3,197
Interest (expense) income, net		(8,678	)		—		4,259			(4,280	)		—			(8,699	)

Income before income taxes		7,030			—		16,312			1,704			(17,716	)		7,330
Income tax expense		—			—		(264	)		(36	)		—			(300	)

NET INCOME	$	7,030		$	—	$	16,048		$	1,668		$	(17,716	)	$	7,030

Unaudited Condensed Consolidating Statement of Cash Flows

For the Three Months Ended March 31, 2012


	Genesis Energy, L.P. (Parent and Co-Issuer)			Genesis Energy Finance Corporation (Co-Issuer)		Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Genesis Energy, L.P. Consolidated
Net cash (used in) provided by operating activities	$	(110,241	)	$	—	$	147,523		$	3,207		$	(20,567	)	$	19,922

CASH FLOWS FROM INVESTING ACTIVITIES:
Payments to acquire fixed and intangible assets		—			—		(47,228	)		(245	)		—			(47,473	)
Cash distributions received from equity investees - return of investment		14,602			—		4,314			—			(14,602	)		4,314
Investments in equity investees		(169,524	)		—		(33,860	)		—			169,842			(33,542	)
Acquisitions		—			—		(205,576	)		—			—			(205,576	)
Repayments on loan to non-guarantor subsidiary		—			—		981			—			(981	)		—
Other, net		—			—		580			(318	)		—			262

Net cash (used in) provided by investing activities		(154,922	)		—		(280,789	)		(563	)		154,259			(282,015	)

CASH FLOWS FROM FINANCING ACTIVITIES:
Bank borrowings		509,200			—		—			—			—			509,200
Bank repayments		(480,300	)		—		—			—			—			(480,300	)
Proceeds from issuance of senior unsecured notes, including premium		101,000			—		—			—			—			101,000
Senior unsecured notes issuance costs		(2,584	)		—		—			—			—			(2,584	)
Issuance of ownership interests to partners for cash		169,524			—		169,524			—			(169,524	)		169,524
Distributions to partners/owners		(31,677	)		—		(31,677	)		(3,182	)		34,859			(31,677	)
Other, net		—			—		122			(658	)		973			437

Net cash provided by (used in) financing activities		265,163			—		137,969			(3,840	)		(133,692	)		265,600

Net increase (decrease) in cash and cash equivalents		—			—		4,703			(1,196	)		—			3,507
Cash and cash equivalents at beginning of period		3			—		9,182			1,632			—			10,817

Cash and cash equivalents at end of period	$	3		$	—	$	13,885		$	436		$	—		$	14,324

Unaudited Condensed Consolidating Statement of Cash Flows

For the Three Months Ended March 31, 2011


	Genesis Energy, L.P. (Parent and Co-Issuer)			Genesis Energy Finance Corporation (Co-Issuer)		Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Genesis Energy, L.P. Consolidated
Net cash (used in) provided by operating activities	$	(29,497	)	$	—	$	26,800		$	585		$	7		$	(2,105	)

CASH FLOWS FROM INVESTING ACTIVITIES:
Payments to acquire fixed and intangible assets		—			—		(5,489	)		—			—			(5,489	)
Cash distributions received from equity investees - return of investment		25,846			—		2,283			—			(25,846	)		2,283
Investments in equity investees		—			—		(194	)		—			—			(194	)
Repayments on loan to non-guarantor subsidiary		—			—		887			—			(887	)		—
Other, net		—			—		(20	)		—			—			(20	)

Net cash provided by (used in) investing activities		25,846			—		(2,533	)		—			(26,733	)		(3,420	)

CASH FLOWS FROM FINANCING ACTIVITIES:
Bank borrowings		127,600			—		—			—			—			127,600
Bank repayments		(98,100	)		—		—			—			—			(98,100	)
Distributions to partners/owners		(25,846	)		—		(25,846	)		—			25,846			(25,846	)
Other, net		—			—		264			(880	)		880			264

Net cash provided by (used in) financing activities		3,654			—		(25,582	)		(880	)		26,726			3,918

Net increase (decrease) in cash and cash equivalents		3			—		(1,315	)		(295	)		—			(1,607	)
Cash and cash equivalents at beginning of period		1			—		5,082			679			—			5,762

Cash and cash equivalents at end of period	$	4		$	—	$	3,767		$	384		$	—		$	4,155