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CONDENSED CONSOLIDATING FINANCIAL INFORMATION
12 Months Ended
Dec. 31, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]  
CONDENSED CONSOLIDATING FINANCIAL INFORMATION

EXHIBIT 99.3

 

17. CONDENSED CONSOLIDATING FINANCIAL INFORMATION

In July 2014 and June 2013, the Co-Issuers issued the Senior Notes. The Senior Notes are fully and unconditionally guaranteed, jointly and severally, on a senior unsecured basis by SMLP and the Guarantor Subsidiaries (see Note 9).

The following supplemental condensed consolidating financial information reflects SMLP's separate accounts, the combined accounts of the Co-Issuers, the combined accounts of the Guarantor Subsidiaries, the combined accounts of the Non-Guarantor Subsidiaries and the consolidating adjustments for the dates and periods indicated.  For purposes of the following consolidating information:

 

each of SMLP and the Co-Issuers account for their subsidiary investments, if any, under the equity method of accounting and

 

the balances and results of operations associated with the assets, liabilities and expenses that were carved out of Summit Investments and allocated to SMLP in connection with the 2016 Drop Down have been attributed to SMLP during the common control period.

 

Condensed Consolidating Balance Sheets.  Balance sheets as of December 31, 2016 and 2015 follow.

 

December 31, 2016

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Assets

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

$

698

 

 

$

51

 

 

$

5,647

 

 

$

1,032

 

 

$

 

 

$

7,428

 

Accounts receivable

53

 

 

 

 

89,584

 

 

7,727

 

 

 

 

97,364

 

Other current assets

1,526

 

 

 

 

2,328

 

 

455

 

 

 

 

4,309

 

Due from affiliate

14,896

 

 

38,013

 

 

369,995

 

 

 

 

(422,904

)

 

 

Total current assets

17,173

 

 

38,064

 

 

467,554

 

 

9,214

 

 

(422,904

)

 

109,101

 

Property, plant and equipment, net

2,266

 

 

 

 

1,440,180

 

 

411,225

 

 

 

 

1,853,671

 

Intangible assets, net

 

 

 

 

396,930

 

 

24,522

 

 

 

 

421,452

 

Goodwill

 

 

 

 

16,211

 

 

 

 

 

 

16,211

 

Investment in equity method investees

 

 

 

 

 

 

707,415

 

 

 

 

707,415

 

Other noncurrent assets

1,993

 

 

5,198

 

 

138

 

 

 

 

 

 

7,329

 

Investment in subsidiaries

2,132,757

 

 

3,347,393

 

 

 

 

 

 

(5,480,150

)

 

 

Total assets

$

2,154,189

 

 

$

3,390,655

 

 

$

2,321,013

 

 

$

1,152,376

 

 

$

(5,903,054

)

 

$

3,115,179

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities and Partners' Capital

 

 

 

 

 

 

 

 

 

 

 

Trade accounts payable

$

978

 

 

$

 

 

$

9,901

 

 

$

5,372

 

 

$

 

 

$

16,251

 

Accrued expenses

2,399

 

 

114

 

 

6,069

 

 

2,807

 

 

 

 

11,389

 

Due to affiliate

408,266

 

 

 

 

 

 

14,896

 

 

(422,904

)

 

258

 

Ad valorem taxes payable

16

 

 

 

 

9,717

 

 

855

 

 

 

 

10,588

 

Accrued interest

 

 

17,483

 

 

 

 

 

 

 

 

17,483

 

Accrued environmental remediation

 

 

 

 

 

 

4,301

 

 

 

 

4,301

 

Other current liabilities

6,718

 

 

 

 

3,798

 

 

955

 

 

 

 

11,471

 

Total current liabilities

418,377

 

 

17,597

 

 

29,485

 

 

29,186

 

 

(422,904

)

 

71,741

 

Long-term debt

 

 

1,240,301

 

 

 

 

 

 

 

 

1,240,301

 

Deferred Purchase Price Obligation

563,281

 

 

 

 

 

 

 

 

 

 

563,281

 

Deferred revenue

 

 

 

 

57,465

 

 

 

 

 

 

57,465

 

Noncurrent accrued environmental remediation

 

 

 

 

 

 

5,152

 

 

 

 

5,152

 

Other noncurrent liabilities

2,858

 

 

 

 

4,602

 

 

106

 

 

 

 

7,566

 

Total liabilities

984,516

 

 

1,257,898

 

 

91,552

 

 

34,444

 

 

(422,904

)

 

1,945,506

 

 

 

 

 

 

 

 

 

 

 

 

 

Total partners' capital

1,169,673

 

 

2,132,757

 

 

2,229,461

 

 

1,117,932

 

 

(5,480,150

)

 

1,169,673

 

Total liabilities and partners' capital

$

2,154,189

 

 

$

3,390,655

 

 

$

2,321,013

 

 

$

1,152,376

 

 

$

(5,903,054

)

 

$

3,115,179

 

 

 

December 31, 2015

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Assets

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

$

73

 

 

$

12,407

 

 

$

6,930

 

 

$

2,383

 

 

$

 

 

$

21,793

 

Accounts receivable

 

 

 

 

84,021

 

 

5,560

 

 

 

 

89,581

 

Other current assets

540

 

 

 

 

2,672

 

 

361

 

 

 

 

3,573

 

Due from affiliate

3,168

 

 

151,443

 

 

207,651

 

 

 

 

(362,262

)

 

 

Total current assets

3,781

 

 

163,850

 

 

301,274

 

 

8,304

 

 

(362,262

)

 

114,947

 

Property, plant and equipment, net

1,178

 

 

 

 

1,462,623

 

 

348,982

 

 

 

 

1,812,783

 

Intangible assets, net

 

 

 

 

438,093

 

 

23,217

 

 

 

 

461,310

 

Goodwill

 

 

 

 

16,211

 

 

 

 

 

 

16,211

 

Investment in equity method investees

 

 

 

 

 

 

751,168

 

 

 

 

751,168

 

Other noncurrent assets

3,480

 

 

4,611

 

 

162

 

 

 

 

 

 

8,253

 

Investment in subsidiaries

2,438,395

 

 

3,222,187

 

 

 

 

 

 

(5,660,582

)

 

 

Total assets

$

2,446,834

 

 

$

3,390,648

 

 

$

2,218,363

 

 

$

1,131,671

 

 

$

(6,022,844

)

 

$

3,164,672

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities and Partners' Capital

 

 

 

 

 

 

 

 

 

 

 

Trade accounts payable

$

482

 

 

$

 

 

$

18,489

 

 

$

21,837

 

 

$

 

 

$

40,808

 

Accrued expenses

1,478

 

 

 

 

4,832

 

 

466

 

 

 

 

6,776

 

Due to affiliate

360,243

 

 

 

 

 

 

3,168

 

 

(362,262

)

 

1,149

 

Deferred revenue

 

 

 

 

677

 

 

 

 

 

 

677

 

Ad valorem taxes payable

9

 

 

 

 

9,881

 

 

381

 

 

 

 

10,271

 

Accrued interest

 

 

17,483

 

 

 

 

 

 

 

 

17,483

 

Accrued environmental remediation

 

 

 

 

 

 

7,900

 

 

 

 

7,900

 

Other current liabilities

3,080

 

 

 

 

2,573

 

 

868

 

 

 

 

6,521

 

Total current liabilities

365,292

 

 

17,483

 

 

36,452

 

 

34,620

 

 

(362,262

)

 

91,585

 

Long-term debt

332,500

 

 

934,770

 

 

 

 

 

 

 

 

1,267,270

 

Deferred revenue

 

 

 

 

45,486

 

 

 

 

 

 

45,486

 

Noncurrent accrued environmental remediation

 

 

 

 

 

 

5,764

 

 

 

 

5,764

 

Other noncurrent liabilities

1,743

 

 

 

 

5,503

 

 

22

 

 

 

 

7,268

 

Total liabilities

699,535

 

 

952,253

 

 

87,441

 

 

40,406

 

 

(362,262

)

 

1,417,373

 

 

 

 

 

 

 

 

 

 

 

 

 

Total partners' capital

1,747,299

 

 

2,438,395

 

 

2,130,922

 

 

1,091,265

 

 

(5,660,582

)

 

1,747,299

 

Total liabilities and partners' capital

$

2,446,834

 

 

$

3,390,648

 

 

$

2,218,363

 

 

$

1,131,671

 

 

$

(6,022,844

)

 

$

3,164,672

 

 

 


Condensed Consolidating Statements of Operations.  For the purposes of the following condensed consolidating statements of operations, we allocate general and administrative expenses recognized at the SMLP parent to the Guarantor Subsidiaries and Non-Guarantor Subsidiaries to reflect what those entities' results would have been had they operated on a stand-alone basis.  Statements of operations for the years ended December 31, 2016, 2015 and 2014 follow.

 

Year ended December 31, 2016

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Revenues:

 

 

 

 

 

 

 

 

 

 

 

Gathering services and related fees

$

 

 

$

 

 

$

288,399

 

 

$

57,562

 

 

$

 

 

$

345,961

 

Natural gas, NGLs and condensate sales

 

 

 

 

35,833

 

 

 

 

 

 

35,833

 

Other revenues

 

 

 

 

18,225

 

 

2,343

 

 

 

 

20,568

 

Total revenues

 

 

 

 

342,457

 

 

59,905

 

 

 

 

402,362

 

Costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

Cost of natural gas and NGLs

 

 

 

 

27,421

 

 

 

 

 

 

27,421

 

Operation and maintenance

 

 

 

 

84,632

 

 

10,702

 

 

 

 

95,334

 

General and administrative

 

 

 

 

43,612

 

 

8,798

 

 

 

 

52,410

 

Depreciation and amortization

580

 

 

 

 

98,891

 

 

12,768

 

 

 

 

112,239

 

Transaction costs

1,321

 

 

 

 

 

 

 

 

 

 

1,321

 

Loss (gain) on asset sales, net

 

 

 

 

99

 

 

(6

)

 

 

 

93

 

Long-lived asset impairment

 

 

 

 

1,235

 

 

529

 

 

 

 

1,764

 

Total costs and expenses

1,901

 

 

 

 

255,890

 

 

32,791

 

 

 

 

290,582

 

Other income

116

 

 

 

 

 

 

 

 

 

 

116

 

Interest expense

(1,441

)

 

(62,369

)

 

 

 

 

 

 

 

(63,810

)

Deferred Purchase Price Obligation expense

(55,854

)

 

 

 

 

 

 

 

 

 

(55,854

)

(Loss) income before income taxes and loss from equity method investees

(59,080

)

 

(62,369

)

 

86,567

 

 

27,114

 

 

 

 

(7,768

)

Income tax expense

(75

)

 

 

 

 

 

 

 

 

 

(75

)

Loss from equity method investees

 

 

 

 

 

 

(30,344

)

 

 

 

(30,344

)

Equity in earnings of consolidated subsidiaries

20,968

 

 

83,337

 

 

 

 

 

 

(104,305

)

 

 

Net (loss) income

$

(38,187

)

 

$

20,968

 

 

$

86,567

 

 

$

(3,230

)

 

$

(104,305

)

 

$

(38,187

)

 

 

 

Year ended December 31, 2015

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Revenues:

 

 

 

 

 

 

 

 

 

 

 

Gathering services and related fees

$

 

 

$

 

 

$

310,830

 

 

$

26,989

 

 

$

 

 

$

337,819

 

Natural gas, NGLs and condensate sales

 

 

 

 

42,079

 

 

 

 

 

 

42,079

 

Other revenues

 

 

 

 

18,411

 

 

2,248

 

 

 

 

20,659

 

Total revenues

 

 

 

 

371,320

 

 

29,237

 

 

 

 

400,557

 

Costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

Cost of natural gas and NGLs

 

 

 

 

31,398

 

 

 

 

 

 

31,398

 

Operation and maintenance

 

 

 

 

87,286

 

 

7,700

 

 

 

 

94,986

 

General and administrative

 

 

 

 

37,926

 

 

7,182

 

 

 

 

45,108

 

Depreciation and amortization

603

 

 

 

 

95,586

 

 

8,928

 

 

 

 

105,117

 

Transaction costs

1,342

 

 

 

 

 

 

 

 

 

 

1,342

 

Environmental remediation

 

 

 

 

 

 

21,800

 

 

 

 

21,800

 

Gain on asset sales, net

 

 

 

 

(172

)

 

 

 

 

 

(172

)

Long-lived asset impairment

 

 

 

 

9,305

 

 

 

 

 

 

9,305

 

Goodwill impairment

 

 

 

 

248,851

 

 

 

 

 

 

248,851

 

Total costs and expenses

1,945

 

 

 

 

510,180

 

 

45,610

 

 

 

 

557,735

 

Other income

2

 

 

 

 

 

 

 

 

 

 

2

 

Interest expense

(10,494

)

 

(48,598

)

 

 

 

 

 

 

 

(59,092

)

Loss before income taxes and loss from equity method investees

(12,437

)

 

(48,598

)

 

(138,860

)

 

(16,373

)

 

 

 

(216,268

)

Income tax benefit

603

 

 

 

 

 

 

 

 

 

 

603

 

Loss from equity method investees

 

 

 

 

 

 

(6,563

)

 

 

 

(6,563

)

Equity in earnings of consolidated subsidiaries

(210,394

)

 

(161,796

)

 

 

 

 

 

372,190

 

 

 

Net loss

$

(222,228

)

 

$

(210,394

)

 

$

(138,860

)

 

$

(22,936

)

 

$

372,190

 

 

$

(222,228

)

 

 

Year ended December 31, 2014

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Revenues:

 

 

 

 

 

 

 

 

 

 

 

Gathering services and related fees

$

 

 

$

 

 

$

255,211

 

 

$

12,267

 

 

$

 

 

$

267,478

 

Natural gas, NGLs and condensate sales

 

 

 

 

97,094

 

 

 

 

 

 

97,094

 

Other revenues

 

 

 

 

20,398

 

 

2,199

 

 

 

 

22,597

 

Total revenues

 

 

 

 

372,703

 

 

14,466

 

 

 

 

387,169

 

Costs and expenses:

 

 

 

 

 

 

 

 

 

 

 

Cost of natural gas and NGLs

 

 

 

 

72,415

 

 

 

 

 

 

72,415

 

Operation and maintenance

 

 

 

 

88,927

 

 

5,942

 

 

 

 

94,869

 

General and administrative

 

 

 

 

40,447

 

 

2,834

 

 

 

 

43,281

 

Depreciation and amortization

588

 

 

 

 

86,762

 

 

3,528

 

 

 

 

90,878

 

Transaction costs

2,985

 

 

 

 

 

 

 

 

 

 

2,985

 

Environmental remediation

 

 

 

 

 

 

5,000

 

 

 

 

5,000

 

Loss on asset sales, net

 

 

 

 

442

 

 

 

 

 

 

442

 

Long-lived asset impairment

 

 

 

 

5,505

 

 

 

 

 

 

5,505

 

Goodwill impairment

 

 

 

 

54,199

 

 

 

 

 

 

54,199

 

Total costs and expenses

3,573

 

 

 

 

348,697

 

 

17,304

 

 

 

 

369,574

 

Other income

 

 

 

 

1,189

 

 

 

 

 

 

1,189

 

Interest expense

(8,417

)

 

(40,169

)

 

 

 

 

 

 

 

(48,586

)

(Loss) income before income taxes and loss from equity method investees

(11,990

)

 

(40,169

)

 

25,195

 

 

(2,838

)

 

 

 

(29,802

)

Income tax (expense) benefit

(1,680

)

 

 

 

826

 

 

 

 

 

 

(854

)

Loss from equity method investees

 

 

 

 

 

 

(16,712

)

 

 

 

(16,712

)

Equity in earnings of consolidated subsidiaries

(33,698

)

 

6,471

 

 

 

 

 

 

27,227

 

 

 

Net (loss) income

$

(47,368

)

 

$

(33,698

)

 

$

26,021

 

 

$

(19,550

)

 

$

27,227

 

 

$

(47,368

)

 

 

 

Condensed Consolidating Statements of Cash Flows.  Statements of cash flows for the years ended December 31, 2016, 2015 and 2014 follow.

 

Year ended December 31, 2016

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Cash flows from operating activities:

 

 

 

 

 

 

 

 

 

 

 

Net cash provided by (used in) operating activities

$

9,691

 

 

$

(58,254

)

 

$

198,991

 

 

$

80,067

 

 

$

 

 

$

230,495

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

(1,668

)

 

 

 

(49,378

)

 

(91,673

)

 

 

 

(142,719

)

Contributions to equity method investees

 

 

 

 

 

 

(31,582

)

 

 

 

(31,582

)

Acquisitions of gathering systems from affiliate, net of acquired cash

(359,431

)

 

 

 

 

 

 

 

 

 

(359,431

)

Other, net

(394

)

 

 

 

 

 

 

 

 

 

(394

)

Advances to affiliates

(15,697

)

 

(255,070

)

 

(150,775

)

 

 

 

421,542

 

 

 

Net cash used in investing activities

(377,190

)

 

(255,070

)

 

(200,153

)

 

(123,255

)

 

421,542

 

 

(534,126

)

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

 

 

Distributions to unitholders

(167,504

)

 

 

 

 

 

 

 

 

 

(167,504

)

Borrowings under Revolving Credit Facility

12,000

 

 

508,300

 

 

 

 

 

 

 

 

520,300

 

Repayments under Revolving Credit Facility

 

 

(204,300

)

 

 

 

 

 

 

 

(204,300

)

Debt issuance costs

 

 

(3,032

)

 

 

 

 

 

 

 

(3,032

)

Proceeds from issuance of common units, net

125,233

 

 

 

 

 

 

 

 

 

 

125,233

 

Contribution from General Partner

2,702

 

 

 

 

 

 

 

 

 

 

2,702

 

Cash advance (to) from Summit Investments (from) to contributed subsidiaries, net

(12,000

)

 

 

 

 

 

24,214

 

 

 

 

12,214

 

Expenses paid by Summit Investments on behalf of contributed subsidiaries

3,030

 

 

 

 

 

 

1,791

 

 

 

 

4,821

 

Other, net

(1,182

)

 

 

 

(121

)

 

135

 

 

 

 

(1,168

)

Advances from affiliates

405,845

 

 

 

 

 

 

15,697

 

 

(421,542

)

 

 

Net cash provided by (used in) financing activities

368,124

 

 

300,968

 

 

(121

)

 

41,837

 

 

(421,542

)

 

289,266

 

Net change in cash and cash equivalents

625

 

 

(12,356

)

 

(1,283

)

 

(1,351

)

 

 

 

(14,365

)

Cash and cash equivalents, beginning of period

73

 

 

12,407

 

 

6,930

 

 

2,383

 

 

 

 

21,793

 

Cash and cash equivalents, end of period

$

698

 

 

$

51

 

 

$

5,647

 

 

$

1,032

 

 

$

 

 

$

7,428

 

 

 

Year ended December 31, 2015

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Cash flows from operating activities:

 

 

 

 

 

 

 

 

 

 

 

Net cash provided by (used in) operating activities

$

409

 

 

$

(46,716

)

 

$

202,324

 

 

$

35,358

 

 

$

 

 

$

191,375

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

(429

)

 

 

 

(118,458

)

 

(153,338

)

 

 

 

(272,225

)

Contributions to equity method investees

 

 

 

 

 

 

(86,200

)

 

 

 

(86,200

)

Acquisitions of gathering systems from affiliate, net of acquired cash

(288,618

)

 

 

 

 

 

 

 

 

 

(288,618

)

Other, net

 

 

 

 

323

 

 

 

 

 

 

323

 

Advances to affiliates

(2,589

)

 

(88,221

)

 

(110,003

)

 

 

 

200,813

 

 

 

Net cash used in investing activities

(291,636

)

 

(88,221

)

 

(228,138

)

 

(239,538

)

 

200,813

 

 

(646,720

)

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

 

 

Distributions to unitholders

(152,074

)

 

 

 

 

 

 

 

 

 

(152,074

)

Borrowings under Revolving Credit Facility

180,000

 

 

187,000

 

 

 

 

 

 

 

 

367,000

 

Repayments under Revolving Credit Facility

(100,000

)

 

(51,000

)

 

 

 

 

 

 

 

(151,000

)

Repayments under term loan

(182,500

)

 

 

 

 

 

 

 

 

 

(182,500

)

Debt issuance costs

(135

)

 

(277

)

 

 

 

 

 

 

 

(412

)

Proceeds from issuance of common units, net

221,977

 

 

 

 

 

 

 

 

 

 

221,977

 

Contribution from General Partner

4,737

 

 

 

 

 

 

 

 

 

 

4,737

 

Cash advance from Summit Investments to contributed subsidiaries, net

102,500

 

 

 

 

21,719

 

 

196,308

 

 

 

 

320,527

 

Expenses paid by Summit Investments on behalf of contributed subsidiaries

12,655

 

 

 

 

3,864

 

 

6,360

 

 

 

 

22,879

 

Other, net

(1,615

)

 

 

 

(192

)

 

 

 

 

 

(1,807

)

Advances from affiliates

198,224

 

 

 

 

 

 

2,589

 

 

(200,813

)

 

 

Net cash provided by financing activities

283,769

 

 

135,723

 

 

25,391

 

 

205,257

 

 

(200,813

)

 

449,327

 

Net change in cash and cash equivalents

(7,458

)

 

786

 

 

(423

)

 

1,077

 

 

 

 

(6,018

)

Cash and cash equivalents, beginning of period

7,531

 

 

11,621

 

 

7,353

 

 

1,306

 

 

 

 

27,811

 

Cash and cash equivalents, end of period

$

73

 

 

$

12,407

 

 

$

6,930

 

 

$

2,383

 

 

$

 

 

$

21,793

 

 

 

Year ended December 31, 2014

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Cash flows from operating activities:

 

 

 

 

 

 

 

 

 

 

 

Net cash (used in) provided by operating activities

$

(3,658

)

 

$

(30,689

)

 

$

179,685

 

 

$

7,615

 

 

$

 

 

$

152,953

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures

(460

)

 

 

 

(220,360

)

 

(122,560

)

 

 

 

(343,380

)

Initial contribution to Ohio Gathering

 

 

 

 

 

 

(8,360

)

 

 

 

(8,360

)

Acquisition of Ohio Gathering Option

 

 

 

 

 

 

(190,000

)

 

 

 

(190,000

)

Option Exercise

 

 

 

 

 

 

(382,385

)

 

 

 

(382,385

)

Contributions to equity method investees

 

 

 

 

 

 

(145,131

)

 

 

 

(145,131

)

Acquisition of gathering systems

 

 

 

 

(10,872

)

 

 

 

 

 

(10,872

)

Acquisitions of gathering systems from affiliate, net of acquired cash

(305,000

)

 

 

 

 

 

 

 

 

 

(305,000

)

Other, net

 

 

 

 

325

 

 

 

 

 

 

325

 

Advances to affiliates

(183

)

 

(174,495

)

 

(47,271

)

 

 

 

221,949

 

 

 

Net cash used in investing activities

(305,643

)

 

(174,495

)

 

(278,178

)

 

(848,436

)

 

221,949

 

 

(1,384,803

)

 

 

Year ended December 31, 2014

 

SMLP

 

Co-Issuers

 

Guarantor Subsidiaries

 

Non-Guarantor Subsidiaries

 

Consolidating adjustments

 

Total

 

(In thousands)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

 

 

Distributions to unitholders

(122,224

)

 

 

 

 

 

 

 

 

 

(122,224

)

Borrowings under Revolving Credit Facility

57,000

 

 

237,295

 

 

 

 

 

 

 

 

294,295

 

Repayments under Revolving Credit Facility

(115,000

)

 

(315,295

)

 

 

 

 

 

 

 

(430,295

)

Borrowings under term loan

400,000

 

 

 

 

 

 

 

 

 

 

400,000

 

Repayments under term loan

(100,000

)

 

 

 

 

 

 

 

 

 

(100,000

)

Debt issuance costs

(3,003

)

 

(5,320

)

 

 

 

 

 

 

 

(8,323

)

Proceeds from issuance of common units, net

197,806

 

 

 

 

 

 

 

 

 

 

197,806

 

Contribution from General Partner

4,235

 

 

 

 

 

 

 

 

 

 

4,235

 

Cash advance (to) from Summit Investments (from) to contributed subsidiaries, net

(242,000

)

 

 

 

81,421

 

 

834,962

 

 

 

 

674,383

 

Expenses paid by Summit Investments on behalf of contributed subsidiaries

12,845

 

 

 

 

10,483

 

 

1,556

 

 

 

 

24,884

 

Issuance of senior notes

 

 

300,000

 

 

 

 

 

 

 

 

300,000

 

Repurchase of equity-based compensation awards

(228

)

 

 

 

 

 

 

 

 

 

(228

)

Other, net

(656

)

 

 

 

 

 

 

 

 

 

(656

)

Advances from affiliates

221,766

 

 

 

 

 

 

183

 

 

(221,949

)

 

 

Net cash provided by financing activities

310,541

 

 

216,680

 

 

91,904

 

 

836,701

 

 

(221,949

)

 

1,233,877

 

Net change in cash and cash equivalents

1,240

 

 

11,496

 

 

(6,589

)

 

(4,120

)

 

 

 

2,027

 

Cash and cash equivalents, beginning of period

6,291

 

 

125

 

 

13,942

 

 

5,426

 

 

 

 

25,784

 

Cash and cash equivalents, end of period

$

7,531

 

 

$

11,621

 

 

$

7,353

 

 

$

1,306

 

 

$

 

 

$

27,811

 

 

EX 99.3-1