Summit Midstream Partners, LP Reports Second Quarter 2013 Financial and Operating Results

   Summit Midstream Partners, LP Reports Second Quarter 2013 Financial and
                              Operating Results

PR Newswire

DALLAS, Aug. 8, 2013

DALLAS, Aug. 8, 2013 /PRNewswire/ -- Summit Midstream Partners, LP (NYSE:
SMLP) today announced financial and operating results for the three and six
months ended June 30, 2013. SMLP's second quarter highlights included:

  oAdjusted EBITDA of $33.5 million, an increase of $6.8 million, or 25.5%,
    over the second quarter of 2012, offset by $2.4 million of non-recurring
    transaction expenses;
  oAdjusted distributable cash flow of 28.4 million, an increase of $5.0
    million, or 21.2% over the second quarter of 2012;
  o$250.0 million drop down acquisition of associated natural gas gathering
    and compression assets located in the Bakken Shale Play ("Bison
    Midstream") from an affiliate of Summit Midstream Partners, LLC ("Summit
    Investments") on June 4, 2013;
  o$210.0 million acquisition of Marcellus Shale natural gas gathering and
    compression assets ("Mountaineer Midstream") from an affiliate of MarkWest
    Energy Partners, L.P. ("MarkWest") on June 21, 2013;
  oFinancing activities included a $300.0 million issuance of 7.50% senior
    notes due 2021, the exercise of the $50.0 million accordion feature on
    SMLP's revolving credit facility, and the issuance of 4.8 million common
    units to an affiliate of Summit Investments to facilitate the acquisitions
    of Bison Midstream and Mountaineer Midstream; and
  oNet income of $7.5 million compared to $9.1 million in the second quarter
    of 2012.

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For the first six months of 2013, SMLP reported adjusted EBITDA of $67.4
million, an increase of $15.8 million, or 30.7%, over the comparable period in
2012. Adjusted distributable cash flow totaled $57.9 million in the first six
months of 2013. Net income totaled $20.6 million in first six months of 2013,
an increase of $3.9 million, or 23.2%, over the comparable period in 2012.

SMLP's second quarter 2013 adjusted EBITDA growth, compared to the second
quarter of 2012, was primarily driven by the Bison Midstream drop down as well
as higher contracted minimum volume commitments ("MVC") on the Grand River
system and higher volume throughput on the DFW Midstream system. In addition,
because SMLP acquired Bison Midstream from a subsidiary of Summit Investments,
the owner of SMLP's general partner, the transaction was considered an
acquisition from a commonly controlled entity. Therefore, the Bison Midstream
acquisition has been accounted for on an "as if pooled" basis for all periods
in which common control existed, resulting in the combination of SMLP and
Bison Midstream financial results beginning on February 16, 2013. The pooling
of Bison Midstream added approximately $3.0 million of incremental adjusted
EBITDA to SMLP's results in the second quarter of 2013 (from April 1^st to
June 4^th) and approximately $5.5 million in the six months ended June 30,
2013 (from February 16^th to June 4^th).

Steve Newby, President and Chief Executive Officer of SMLP commented, "SMLP
delivered strong financial results in the second quarter of 2013, an active
period in which we completed two acquisitions totaling $460.0 million. These
acquisitions were immediately accretive to distributable cash flow per unit
and have further diversified our operations into two new, high-growth basins
including the crude-oriented Bakken Shale and liquids-rich core of the
Marcellus Shale. We also closed a $300.0 million senior notes offering during
the quarter which enabled us to expand our liquidity and diversify our capital
sources. As a result of the these activities, coupled with SMLP's second
quarter performance and long-term outlook, SMLP increased its second quarter
2013 distribution by 3.6% over the first quarter of 2013, resulting in a
quarterly distribution coverage ratio of 1.20x." 

"In addition, our team continues to be extremely active on the commercial
front across all of our operating subsidiaries. We believe that our recent
acquisitions, our ongoing commercial discussions and the large inventory of
diversified assets available to be offered from our general partner will
enable us to continue to generate accretive growth for our limited partners
over the long term."

DFW Midstream
Volume throughput on the DFW Midstream system averaged 395 million cubic feet
per day ("MMcf/d") in the second quarter of 2013 compared to 331 MMcf/d in the
second quarter of 2012 and 419 MMcf/d in the first quarter of 2013. Volume
declines from the first quarter of 2013 to the second quarter of 2013 were due
to (i) natural declines associated with the large quantity of gas that flowed
in the first quarter of 2013 as a result of system throughput capacity
expansions; and (ii) multiple customers temporarily shutting-in several large
pad sites during the second quarter of 2013 to drill and/or complete new
wells. While this activity is beneficial over the long term, it can create
volume and cash flow volatility on a quarter-to-quarter basis. As of June 30,
2013, DFW Midstream customers had an inventory of 31 wells in various stages
of drilling or completion.

SMLP has also recently executed several commercial agreements that will expand
the DFW Midstream system and the service offerings provided to its customers.
The gathering agreement with Beacon E&P Company, LLC was recently expanded to
include the connection of five additional pad sites and 3,100 acres of
dedication. Two of the five pad site connections are currently under
construction and are expected to be complete by the first quarter of 2014. In
addition, SMLP recently executed agreements with its DFW Midstream customer
base and will install a 150 gallon per minute natural gas treating facility.
The treating facility is expected to be in-service in the second quarter of
2014. Capital expenditures associated with the pad site connections and the
natural gas treating facility are anticipated to total approximately $20.0
million.

Grand River Gathering
Volume throughput on the Grand River system averaged 494 MMcf/d in the second
quarter of 2013 compared to 582 MMcf/d in the second quarter of 2012 and 525
MMcf/d in the first quarter of 2013. The Grand River gathering agreements
include MVCs which largely mitigate the financial impact associated with
declining volumes. As a result, the lower volume throughput at Grand River
during the second quarter of 2013 primarily translated into larger MVC
shortfall payments and had a minimal impact on adjusted EBITDA. In the
aggregate, these MVCs increase annually over the next several years.

Bison Midstream
Bison Midstream is an associated natural gas gathering system with 21.6 MMcf/d
of throughput capacity located in Mountrail and Burke counties in North
Dakota. Bison Midstream gathers and compresses natural gas production from
multiple producers operating in the crude oil-oriented Bakken Shale Play and
delivers to downstream pipelines that serve natural gas processing plants in
the Midwest. Volume throughput on the Bison Midstream system averaged 16.8
MMcf/d in the second quarter of 2013 compared to 16.5 MMcf/d in the period
from February 16, 2013 to March 31, 2013. Slightly higher volume throughput
on the Bison Midstream system in the second quarter of 2013 was attributable
to the connection of nine wells, offset by throughput interruptions across the
system associated with (i) operational adjustments to enhance system
reliability; (ii) the installation of new compression assets to increase
throughput capacity; and (iii) ongoing drilling and completion activities from
its customers. SMLP is currently installing additional compression assets
that will increase throughput capacity from 21.6 MMcf/d to 30.0 MMcf/d. 

Mountaineer Midstream
The Mountaineer Midstream system is a high-pressure natural gas gathering
system with 550 MMcf/d of throughput capacity primarily located in Doddridge
County, West Virginia. Mountaineer Midstream gathers and compresses natural
gas production from an affiliate of Antero Resources Corp. in the liquids-rich
window of the Marcellus Shale Play. Natural gas on the Mountaineer Midstream
system is delivered to MarkWest's Sherwood Processing Complex. Throughput on
the Mountaineer Midstream system has increased each quarter since operations
commenced in the fourth quarter of 2012, in line with processing capacity
increases at the Sherwood Processing Complex and continued drilling activity
from Mountaineer Midstream's customer base. Volume throughput on the
Mountaineer Midstream system averaged 120 MMcf/d from June 22, 2013 to June
30, 2013.

MVC Shortfall Payments
Adjusted EBITDA in the second quarter of 2013 was positively impacted by $7.5
million related to the MVC mechanisms in SMLP's gathering agreements. This
amount included (i) $6.7 million of Adjustments to MVC shortfall payments; and
(ii) $0.8 million of gathering revenue. The $0.8 million of gathering revenue
is associated with a shortfall payment that was billed to a DFW Midstream
customer in the second quarter of 2012 and recorded as deferred revenue at
that time. That shortfall credit expired in the second quarter of 2013 and as
a result, was removed from deferred revenue and recognized in gathering
revenue.



Three Months Ended June 30, 2013
                       MVC        Gathering  Adjustments to MVC   Net Impact
(In millions)                     Revenue    Shortfall Payments   to Adjusted
                       Billings                                   EBITDA
Net Change in Deferred
Revenue:
Grand River            $  3.0     $  —       $     3.0            $  3.0
DFW Midstream          1.5        0.8        0.7                  1.5
Bison Midstream        —          —          —                    —
Total                  $  4.5     $  0.8     $     3.7            $  4.5
MVC Shortfall Payment
Adjustment:
Grand River            $  —       $  —       $     3.2            $  3.2
DFW Midstream             —          —             (0.7)             (0.7)
Bison Midstream           —          —             0.5               0.5
Total                  $  —       $  —       $     3.0            $  3.0
TOTAL                  $  4.5     $  0.8     $     6.7            $  7.5



SMLP billed $4.5 million related to MVC shortfalls in the second quarter of
2013 due to lower actual volume throughput than the minimum volume that the
applicable shippers were contractually required to ship under its gas
gathering agreements. All $4.5 million of the quarterly MVC shortfall
payments was recorded as deferred revenue on SMLP's condensed consolidated
balance sheet because these customers have the ability to use the MVC
shortfall payment as a credit in the future to offset gathering fees related
to throughput in excess of MVCs in future periods. The net change in deferred
revenue in the second quarter of 2013 was $3.7 million, which included $4.5
million of MVC billings less $0.8 million that was removed from deferred
revenue and recognized in gathering revenue.

MVC Shortfall Payment Adjustments in the second quarter of 2013 totaled $3.0
million and included (i) $3.7 million of positive adjustments related to
future anticipated shortfall payments from certain Grand River and Bison
Midstream customers; and (ii) $0.7 million of negative adjustments related to
future anticipated shortfall payments from certain DFW Midstream customers.
Adjustments to MVC shortfall payments are negative in the period in which the
annual payment is billed, and comprise the sum of the adjustments to MVC
shortfall payments recognized in the previous three quarters.

Capital Expenditures
For the quarter ended June 30, 2013, SMLP recorded total capital expenditures
of $16.5 million, including approximately $3.8 million of maintenance capital
expenditures. Quarterly capital expenditures included approximately $3.7
million of growth capital expenditures incurred at Bison Midstream from April
1, 2013 to June 4, 2013. Development activities during the second quarter of
2013 were primarily related to pipeline construction projects across the Grand
River, DFW Midstream and Bison Midstream systems to connect new natural gas
receipt points and to expand compression capacity. With the addition of the
Bison Midstream and Mountaineer Midstream systems, SMLP operated 757 miles of
pipeline as of June 30, 2013.

Capital & Liquidity
SMLP completed two debt financing transactions in the second quarter of 2013
which enhanced its available liquidity, diversified its capital sources, and
facilitated the acquisitions of Bison Midstream and Mountaineer Midstream. On
June 4, 2013, SMLP exercised the $50.0 million accordion feature on its $550.0
million revolving credit facility and increased availability to $600.0
million. On June 17, 2013, SMLP closed a $300.0 million, eight-year senior
notes offering which priced at par to yield 7.50%. The net proceeds of the
senior notes offering were used to repay borrowings under SMLP's $600.0
million revolving credit facility.

As of June 30, 2013, SMLP had total liquidity (cash plus available capacity
under its revolving credit facility) of $365.0 million. Based upon the terms
of SMLP's revolving credit facility and total outstanding debt of $565.1
million, total leverage (net debt divided by EBITDA) was approximately 4.0:1
as of June 30, 2013.

Quarterly Distribution
On July 25, 2013, the board of directors of SMLP's general partner declared a
quarterly cash distribution of $0.435 per unit on all outstanding common and
subordinated units, or $1.74 per unit on an annualized basis, for the quarter
ended June 30, 2013. This distribution will be paid on August 14, 2013 to
unitholders of record as of the close of business on August 7, 2013. This is
SMLP's third consecutive quarterly distribution increase since completing its
IPO in October 2012 and represents an increase of $0.015 per unit, or 3.6%,
over the $0.42 per unit distribution paid for the quarter ended March 31,
2013.

2013 Financial Guidance Reaffirmed
SMLP is reaffirming its 2013 adjusted EBITDA financial guidance of $140.0
million to $150.0 million. SMLP continues to expect to pay a distribution to
its limited partners for the fourth quarter of 2013 that is 18.0% to 22.0%
over its minimum quarterly distribution, or MQD, of $0.40 per unit.

Second Quarter 2013 Earnings Call Information
SMLP will host a conference call at 11:00 a.m. Eastern on Friday, August 9,
2013, to discuss its quarterly operating and financial results. Interested
parties may participate in the call by dialing 847-413-3238 or toll-free
800-447-0521 and entering the passcode 35329543. The conference call will
also be webcast live and can be accessed through the Investors section of
SMLP's website at www.summitmidstream.com.

A replay of the conference call will be available until August 23, 2013 at
11:59 p.m. Eastern, and can be accessed by dialing 888-843-7419 and entering
the replay passcode 35329543#. An archive of the conference call will also be
available on SMLP's website.

Use of Non-GAAP Financial Measures
We report financial results in accordance with U.S. generally accepted
accounting principles ("GAAP"). We also present EBITDA, adjusted EBITDA,
distributable cash flow and adjusted distributable cash flow. We define EBITDA
as net income, plus interest expense, income tax expense, and depreciation and
amortization expense, less interest income and income tax benefit. We define
adjusted EBITDA as EBITDA plus non-cash compensation expense and adjustments
related to MVC shortfall payments. We define distributable cash flow as
adjusted EBITDA plus cash interest income, less cash paid for interest expense
and income taxes, senior notes interest expense and maintenance capital
expenditures. We define adjusted distributable cash flow as distributable cash
flow plus or minus other non-cash or non-recurring expenses or income. Our
definitions of these non-GAAP financial measures may differ from the
definitions of similar measures used by other companies. Management uses
these non-GAAP financial measures in making financial, operating and planning
decisions and in evaluating our financial performance. Furthermore, management
believes that these non-GAAP financial measures may provide users with
additional meaningful comparisons between current results and results of prior
periods as they are expected to be reflective of our core ongoing business.
These measures have limitations, and investors should not consider them in
isolation or as a substitute for analysis of our results as reported under
GAAP. Reconciliations of GAAP to non-GAAP financial measures are attached to
this release.

About Summit Midstream Partners, LP
SMLP is a growth-oriented limited partnership focused on owning and operating
midstream energy infrastructure assets that are strategically located in the
core producing areas of unconventional resource basins, primarily shale
formations, in North America. SMLP currently provides primarily fee-based
natural gas gathering and compression services in four unconventional resource
basins: (i) the Piceance Basin, which includes the Mesaverde formation as well
as the Mancos and Niobrara shale formations in western Colorado; (ii) the Fort
Worth Basin, which includes the Barnett Shale formation in north-central
Texas; (iii) the Williston Basin, which includes the Bakken and Three Forks
shale formations in northwestern North Dakota; and (iv) the Appalachian Basin,
which includes the Marcellus Shale formation in northern West Virginia. SMLP
owns and operates 757 miles of pipeline and 181,200 horsepower of
compression. SMLP is headquartered in Dallas, TX with offices in Houston, TX,
Denver, CO and Atlanta, GA.

SMLP completed its IPO on October 3, 2012 to become a publicly traded entity.
References to the "Company", "we" or "our," when used for dates or periods
ended on or after the IPO, refer collectively to SMLP and its subsidiaries.
References to the "Company", "we" or "our," when used for dates or periods
ended prior to the closing of the IPO, refer collectively to Summit
Investments and its subsidiaries.

About Summit Midstream Partners, LLC
Summit Midstream Partners, LLC ("Summit Investments") owns a 71.6% limited
partner interest in SMLP and owns and controls the general partner of SMLP,
Summit Midstream GP, LLC, which has sole responsibility for conducting the
business and managing the operations of SMLP. Summit Investments also owns,
operates and is developing various crude oil, natural gas, and water-related
midstream energy infrastructure assets in the Bakken Shale Play in North
Dakota, the DJ Niobrara Shale Play in Colorado, the Uinta Basin in Utah, and
the Piceance Basin in western Colorado. Summit Investments is a privately
held company owned by members of management, funds controlled by Energy
Capital Partners II, LLC, and GE Energy Financial Services, Inc. and certain
of its affiliates.

Forward-Looking Statements
This press release includes certain statements concerning expectations for the
future that are forward-looking within the meaning of the federal securities
laws. Forward-looking statements contain known and unknown risks and
uncertainties (many of which are difficult to predict and beyond management's
control) that may cause our actual results in future periods to differ
materially from anticipated or projected results. An extensive list of
specific material risks and uncertainties affecting us is contained in our
2012 Annual Report on Form 10-K filed with the Securities and Exchange
Commission on March 18, 2013 and as amended and updated from time to time. Any
forward-looking statements in this press release are made as of the date of
this press release and SMLP undertakes no obligation to update or revise any
forward-looking statements to reflect new information or events.







SUMMIT MIDSTREAM PARTNERS,  LP AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
                                              June 30, 2013  December 31, 2012
                                              (In thousands)
Assets
Current assets:
Cash and cash equivalents                     $  30,123      $   7,895
Accounts receivable                           33,664         33,504
Due from affiliate                            —              774
Other assets                                  1,114          2,190
 Total current assets                       64,901         44,363
Property, plant and equipment, net            1,000,488      681,993
Intangible assets, net:
Favorable gas gathering contracts             18,859         19,958
Contract intangibles                          375,233        229,596
Rights-of-way                                 43,803         35,986
 Total intangible assets, net               437,895        285,540
Goodwill                                      99,677         45,478
Other noncurrent assets                       12,670         6,137
 Total assets                            $  1,615,631   $   1,063,511
Liabilities and Partners' Capital
Current liabilities:
Trade accounts payable                        $  16,064      $   15,817
Due to affiliate                              2,146          —
Deferred revenue                              1,535          865
Ad valorem taxes payable                      3,424          5,455
Other current liabilities                     7,790          4,324
 Total current liabilities                  30,959         26,461
Long-term debt                                565,050        199,230
Noncurrent liabilities, net                   6,851          7,420
Deferred revenue                              19,384         10,899
Other noncurrent liabilities                  290            254
 Total liabilities                          622,534        244,264
Commitments and contingencies
Common limited partner capital                578,514        418,856
Subordinated limited partner capital          390,906        380,169
General partner interests                     23,677         20,222
 Total partners' capital                    993,097        819,247
 Total liabilities and partners' capital $  1,615,631   $   1,063,511





SUMMIT MIDSTREAM PARTNERS,  LP AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                              Three months ended        Six months ended

                              June 30,                  June 30,
                              2013           2012       2013         2012
                              (In thousands, except per-unit and unit amounts)
Revenues:
Gathering services and other  $   41,251     $ 36,729   $  81,130    $ 68,647
fees
Natural gas, NGLs and        18,284         3,327      29,811       7,058
condensate sales and other
Amortization of favorable and (250)          51         (530)        185
unfavorable contracts
Total revenues                59,285         40,107     110,411      75,890
Costs and expenses:
Operation and maintenance     15,077         11,728     29,549       22,717
Cost of natural gas and NGLs  9,377          —          13,864       —
General and administrative    6,767          6,384      11,949       10,796
Transaction costs             2,418          41         2,426        234
Depreciation and amortization 14,870         8,689      26,720       16,979
Total costs and expenses      48,509         26,842     84,508       50,726
Other income                  1              2          2            6
Interest expense              (3,023)        (2,051)    (4,903)      (2,746)
Affiliated interest expense   —              (1,932)    —            (5,414)
Income before income taxes    7,754          9,284      21,002       17,010
Income tax expense            (221)          (155)      (402)        (294)
Net income                    $   7,533      $ 9,129    $  20,600    $ 16,716
Less: net (loss) income       (535)                     52
attributable to SMP Holdings
Net income attributable to    8,068                     20,548
partners
Less: net income attributable 161                       411
to general partner
Net income attributable to    $   7,907                 $  20,137
limited partners
Earnings per common unit –    $   0.16                  $  0.41
basic
Earnings per common unit –    $   0.16                  $  0.41
diluted
Earnings per subordinated     $   0.16                  $  0.41
unit – basic and diluted
Weighted-average common units 25,172,087                24,790,158
outstanding – basic
Weighted-average common units 25,281,104                24,871,033
outstanding – diluted
Weighted-average subordinated
units outstanding – basic and 24,409,850                24,409,850
diluted





SUMMIT MIDSTREAM PARTNERS,  LP AND SUBSIDIARIES
UNAUDITED OTHER FINANCIAL AND OPERATING DATA
                                    Three months ended    Six months ended

                                    June 30,              June 30,
                                    2013       2012       2013       2012
                                    (Dollars in thousands)
Other financial data:
EBITDA (1)                          $ 25,896   $ 21,903   $ 53,153   $ 41,958
Adjusted EBITDA (1)                 33,463     26,663     67,355     51,544
Capital expenditures (2)            16,460     3,786      41,599     24,363
Acquisitions of Bison Midstream and 410,000    —          410,000    —
Mountaineer Midstream
Distributable cash flow (2)         25,969     23,369     55,492     45,253
Adjusted distributable cash flow    28,387     23,410     57,918     45,487
(2)
Distribution coverage ratio (3)     1.20x                 1.30x
Operating data:
Miles of pipeline (end of period)   757        388        757        388
Aggregate average throughput        918        914        935        913
(MMcf/d)

(1) EBITDA and adjusted EBITDA include transaction costs. These unusual and
non-recurring expenses are settled in cash.
(2) Prior to the fourth quarter of 2012, we did not distinguish between
maintenance and expansion capital expenditures. For the three and six months
ended June 30, 2012, the calculation of distributable cash flow and adjusted
distributable cash flow included an estimate for the portion of total capital
expenditures that were maintenance capital expenditures.
(3) Distribution coverage ratio calculation for the three months ended June
30, 2013 is based on distributions in respect of the second quarter of 2013
that will be paid August 14, 2013. Distribution coverage ratio calculation for
the six months ended June 30, 2013 is based on distributions in respect of the
first and second quarters of 2013.





SUMMIT MIDSTREAM PARTNERS,  LP AND SUBSIDIARIES
UNAUDITED RECONCILIATIONS TO NON-GAAP FINANCIAL MEASURES
                                    Three months ended    Six months ended

                                    June 30,              June 30,
                                    2013       2012       2013       2012
                                    (Dollars in thousands)
Reconciliations of Net Income to
EBITDA, Adjusted EBITDA,
Distributable Cash Flow and
Adjusted Distributable Cash Flow:
Net income                          $ 7,533    $ 9,129    $ 20,600   $ 16,716
Add:
Interest expense                    3,023      3,983      4,903      8,160
Income tax expense                  221        155        402        294
Depreciation and amortization       14,870     8,689      26,720     16,979
expense
Amortization of favorable and       250        (51)       530        (185)
unfavorable contracts (1)
Less:
Interest income                     1          2          2          6
 EBITDA (2)                       $ 25,896   $ 21,903   $ 53,153   $ 41,958
Add:
Non-cash compensation expense       818        952        1,158      1,412
Adjustments related to MVC          6,749      3,808      13,044     8,174
shortfall payments (3)
 Adjusted EBITDA (2)              $ 33,463   $ 26,663   $ 67,355   $ 51,544
Add:
Interest income                     1          2          2          6
Less:
Cash interest paid                  2,125      1,896      4,014      3,591
Senior notes interest expense (4)   875        —          875        —
Cash income taxes paid              660        —          660        —
Maintenance capital expenditures    3,835      1,400      6,316      2,706
(5)
 Distributable cash flow (5)      $ 25,969   $ 23,369   $ 55,492   $ 45,253
Add:
Transaction costs (2)               2,418      41         2,426      234
 Adjusted distributable cash flow $ 28,387   $ 23,410   $ 57,918   $ 45,487
(5)
 Distributions declared (6)       $ 23,740              $ 44,663
 Distribution coverage ratio      1.20x                 1.30x

(1) The amortization of favorable and unfavorable contracts relates to gas
gathering agreements that were deemed to be above or below market at the
acquisition of the DFW Midstream system. We amortize these contracts on a
units-of-production basis over the life of the applicable contract. The life
of the contract is the period over which the contract is expected to
contribute directly or indirectly to our future cash flows.
(2) EBITDA and adjusted EBITDA include transaction costs. These unusual and
non-recurring expenses are settled in cash.
(3) Adjustments related to MVC shortfall payments account for (i) the net
increases or decreases in deferred revenue for MVC shortfall payments and (ii)
our inclusion of future expected annual MVC shortfall payments.
(4) Senior notes interest expense represents interest expense recognized and
accrued during the period. Interest of 7.50% on the $300.0 million senior
notes is paid in cash semi-annually in arrears on January 1 and July 1 until
maturity in July 2021.
(5) Prior to the fourth quarter of 2012, we did not distinguish between
maintenance and expansion capital expenditures. For the three and six months
ended June 30, 2012, the calculation of distributable cash flow and adjusted
distributable cash flow includes an estimate for the portion of total capital
expenditures that were maintenance capital expenditures.
(6) For the three months ended June 30, 2013, reflects quarterly cash
distributions of $0.435 per unit in respect of the second quarter of 2013 that
will be paid August 14, 2013. For the six months ended June 30, 2013, reflects
year-to-date quarterly cash distributions of $0.42 per unit in respect of the
first quarter of 2013 and $0.435 per unit in respect of the second quarter of
2013.



SOURCE Summit Midstream Partners, LP

Website: http://www.summitmidstream.com
Contact: Marc Stratton, Vice President and Treasurer, 214-242-1966,
ir@summitmidstream.com