Energy Transfer 2015 Annual Report Download - page 103

Table of Contents
(1) Indirect capital expenditures comprise those funded by our publicly traded subsidiaries; all other capital expenditures are reflected as direct capital
expenditures.
(2) Includes capital expenditures related to our proportionate ownership of the Bakken and Rover pipelines.
(3) The retail marketing segment includes our wholly-owned retail marketing operations, including Susser beginning on the acquisition date of August 29,
2014 until its contribution to Sunoco LP in July 2015.
(4) Investment in Sunoco LP includes capital expenditures for the period prior to deconsolidation on July 1, 2015.
Financing Activities
Changes in cash flows from financing activities between periods primarily result from changes in the levels of borrowings and equity issuances, which are
primarily used to fund our acquisitions and growth capital expenditures. Distributions to partners increased between the periods as a result of increases in the
number of Common Units outstanding.
Following is a summary of financing activities by period:

Cash provided by financing activities was $4.94 billion in 2015. We received $1.43 billion in net proceeds from Common Unit offerings, and our
subsidiaries received $1.52 billion in net proceeds from the issuance of common units. Net proceeds from the offerings were used to repay outstanding
borrowings under the ETP Credit Facility, to fund capital expenditures, and acquisitions, as well as for general partnership purposes. In 2015, we had a net
increase in our debt level of $4.85 billion primarily due to ETP’s issuance of $2.50 billion and $3.00 billion in aggregate principal amount of senior notes in
March 2015 and June 2015, respectively, and Sunoco Logistics’ issuances of $1.00 billion in aggregate principal amount of senior notes in November 2015
(see Note 6 to our consolidated financial statements). In addition, we incurred debt issuance costs of $63 million. I n 2015, we paid distributions of
$3.13 billion to our partners and we paid distributions of $338 million to noncontrolling interests. In addition, we received capital contributions from
noncontrolling interests of $841 million.

Cash provided by financing activities was $3.62 billion in 2014. We received $1.38 billion in net proceeds from Common Unit offerings, and our
subsidiaries received $1.24 billion in net proceeds from the issuance of common units. Net proceeds from the offerings were used to repay outstanding
borrowings under the ETP Credit Facility, to fund capital expenditures, and acquisitions, as well as for general partnership purposes. In 2014, we had a net
increase in our debt level of $2.65 billion primarily due to Sunoco Logistics’ issuance of $2.00 billion in aggregate principal amount of senior notes in April
2014 and November 2014. In addition, we incurred debt issuance costs of $63 million. In 2014, we paid distributions of $1.96 billion to our partners and we
paid distributions of $241 million to noncontrolling interests. Regency received net proceeds of $1.23 billion from the issuance of common units and paid
distributions of $645 million to its partners.

Cash provided by financing activities was $1.22 billion in 2013. We received $1.61 billion in net proceeds from Common Unit offerings. Net proceeds from
the offerings were used to repay outstanding borrowings under the ETP Credit Facility, to fund capital expenditures, and acquisitions, as well as for general
partnership purposes. In 2013, we had a net increase in our debt level of $1.99 billion primarily due to ETP’s issuance of $1.25 billion and $1.50 billion in
aggregate principal amount of senior notes in January 2013 and September 2013, respectively, and Sunoco Logistics’ issuance of $700 million in aggregate
principal amount of senior notes in January 2013 partially offset by repayments of long-term debt and credit facilities. In addition, we incurred debt issuance
costs of $57 million. In 2013, we paid distributions of $1.80 billion to our partners and we paid distributions of $303 million to noncontrolling interests.
Regency received net proceeds of $149 million from the issuance of common units and paid distributions of $342 million to its partners.
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