Inergy Announces Fiscal 2013 Guidance

  Inergy Announces Fiscal 2013 Guidance

         Analyst Conference Webcast Scheduled for 1:30 p.m. ET Today

Business Wire

KANSAS CITY, Mo. -- December 03, 2012

Inergy, L.P. (NYSE:NRGY) (“Inergy”) and Inergy Midstream, L.P. (NYSE:NRGM)
(“Inergy Midstream”) announced today Adjusted EBITDA guidance for fiscal 2013.
Inergy's consolidated Adjusted EBITDA guidance is expected to be approximately
$260 million for the full fiscal year ended September 30, 2013. Inergy’s
consolidated Adjusted EBITDA includes the previously announced Inergy
Midstream Adjusted EBITDA guidance of approximately $180 million for fiscal
2013, which includes the expected results from Inergy Midstream’s pending
acquisition of Rangeland Energy, LLC. Tables reconciling Adjusted EBITDA to
Net Income appear below.

Inergy also expects consolidated growth capital expenditures associated with
its previously disclosed midstream expansion projects to be approximately $100
to $130 million in fiscal 2013. This range includes expected Inergy Midstream
growth capital expenditures of approximately $80 million to $100 million for
fiscal 2013.

Inergy will host an analyst conference today, December 3, 2012, beginning at
1:30 p.m. ET. The meeting will include discussions about its operations, its
business outlook, and financial guidance for fiscal year 2013. The conference
will be webcast via the internet and will be accompanied by a slide
presentation. The presentation, the live internet webcast, and the replay can
be accessed on Inergy’s website, www.inergylp.com, just prior to the start of
the conference. The conference replay will be available for two weeks
following the conference.

                 
Inergy, L.P.
Consolidated Reconciliation of Forecast Net Income to Adjusted EBITDA
Fiscal Year Ended September 30, 2013
(in millions)

                                                           Fiscal Year
                                                  
                                                           2013
Net income^(a)                                             $       28
Interest expense^(a)(b)                                            48
Depreciation and amortization^(a)(c)                               183
Income taxes^(a)                                                  1
Adjusted EBITDA^(a)                                        $       260
                                                           
Maintenance capital expenditure                            $       8-12
range^(a)
                                                           
Growth capital expenditure range^(a)                       $       100-130
                                                           
Common units outstanding^(d)(e)                                    132
                                                           
                          Earnings guidance is based upon various
                          forward-looking assumptions made by the management
                          of Inergy. While Inergy believes that these
                          assumptions are reasonable, it can give no assurance
                          that such results will materialize. Estimates
                          exclude any one-time or non-recurring charges that
                          may occur. Adjusted EBITDA is defined as income
(a)                       (loss) before taxes, plus net interest expense and
                          depreciation and amortization and excludes (i)
                          non-cash gains or losses on derivatives associated
                          with propane supply contracts, (ii) long-term
                          incentive and equity compensation charges, (iii)
                          gains or losses on disposals of assets, and (iv)
                          transaction costs, as disclosed in Inergy, L.P.’s
                          SEC filings.
                          Estimate is based upon our outstanding indebtedness
                          including the indebtedness from all acquisitions to
                          date including; the pending Rangeland Energy
(b)                       acquisition, indebtedness associated with financing
                          our organic expansion projects, and includes
                          approximately $5 million of non-cash amortization of
                          deferred financing costs.
                          Depreciation and amortization are based upon certain
(c)                       preliminary purchase price allocations and is
                          subject to material change.
                          Common limited partner units outstanding reflect the
(d)                       November 14, 2012 conversion of the remaining Class
                          B units into common.
                          Inergy Midstream distributions declared and paid for
(e)                       minority unitholders at the current $1.54 per common
                          unit approximate $45 million.
                          

                  
Inergy Midstream, L.P.
Reconciliation of Forecast Net Income to Adjusted EBITDA
Fiscal Year Ended September 30, 2013
(in millions)
                         
                                                          Fiscal Year
                                                
                                                          2013
Net income^(a)                                            $       49
Interest expense^(a)(b)                                           32
Depreciation and                                                  99
amortization^(a)(c)
Income taxes^(a)                                                 -
Adjusted EBITDA^(a)                                       $       180
                                                          
Maintenance capital expenditure                           $       4-6
range^(a)
                                                          
Growth capital expenditure                                $       80-100
range^(a)
                                                          
Common units outstanding^(d)                                      86
                                                          
                                                          
                         Earnings guidance is based upon various
                         forward-looking assumptions made by the management of
                         Inergy Midstream. While Inergy believes that these
                         assumptions are reasonable, it can give no assurance
                         that such results will materialize. Estimates exclude
                         any one-time or non-recurring charges that may occur.
(a)                      Adjusted EBITDA is defined as income (loss) before
                         taxes, plus net interest expense and depreciation and
                         amortization and excludes (i) non-cash gains or
                         losses on derivatives associated with propane supply
                         contracts, (ii) long-term incentive and equity
                         compensation charges, (iii) gains or losses on
                         disposals of assets, and (iv) transaction costs, as
                         disclosed in Inergy Midstream, L.P.’s SEC filings.
                         Estimate is based upon our outstanding indebtedness
                         including the indebtedness from all acquisitions to
                         date including; the pending Rangeland Energy
(b)                      acquisition, indebtedness associated with financing
                         our organic expansion projects, and includes
                         approximately $2 million of non-cash amortization of
                         deferred financing costs.
                         Depreciation and amortization are based upon certain
(c)                      preliminary purchase price allocations and is subject
                         to material change.
                         Common limited partner units outstanding include
(d)                      approximately 10.7 million units to be issued in a
                         private placement associated with the Rangeland
                         Energy, LLC acquisition.
                         

About Inergy, L.P.

Inergy, L.P., headquartered in Kansas City, Missouri, is a publicly traded
master limited partnership. Inergy’s operations include a natural gas storage
business in Texas and an NGL supply, logistics, and marketing business that
serves customers in the United States and Canada. Through its general partner
interest and majority equity ownership interest in Inergy Midstream, L.P.,
Inergy is also engaged in the development and operation of natural gas and NGL
storage and transportation business in the Northeast region of the United
States.

About Inergy Midstream, L.P.

Inergy Midstream, L.P., headquartered in Kansas City, Missouri, is a master
limited partnership engaged in the development and operation of natural gas
and NGL storage and transportation assets. Our assets are located in the
Northeast region of the United States.

Corporate news, unit prices, and additional information about Inergy,
including reports from the United States Securities and Exchange Commission,
are available on the company’s website, www.inergylp.com. For more
information, contact Vince Grisell in Inergy’s Investor Relations Department
at 816-842-8181 or via e-mail at investorrelations@inergyservices.com.

This press release contains forward-looking statements, which are statements
that are not historical in nature. Forward-looking statements are subject to
certain risks, uncertainties, and assumptions. Should one or more of these
risks or uncertainties materialize or any underlying assumption proves
incorrect, actual results may vary materially from those anticipated,
estimated, or projected. Among the key factors that could cause actual results
to differ materially from those referred to in the forward-looking statements
are: weather conditions that vary significantly from historically normal
conditions; the general level of petroleum product demand and the availability
of supply; the demand for high deliverability natural gas storage capacity in
the Northeast and in Texas; our ability to successfully implement our business
plan; the outcome of rate decisions levied by the Federal Energy Regulatory
Commission; our ability to generate available cash for distribution to
unitholders; and the costs and effects of legal, regulatory, and
administrative proceedings against us or which may be brought against us.
These and other risks and assumptions are described in Inergy’s annual reports
on Form 10-K and other reports that are available from the United States
Securities and Exchange Commission. Readers are cautioned not to place undue
reliance on forward-looking statements, which reflect management’s view only
as of the date made. We undertake no obligation to update any forward-looking
statement, except as otherwise required by law.

Contact:

Inergy, L.P.
Vince Grisell, 816-842-8181
investorrelations@inergyservices.com
 
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