Flint Hills Resources Houston Chemical, LLC

CIK:0001577785|SEC Filings

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract]
Sales	$ 211,916	$ 159,378	$ 431,904	$ 368,088
Cost of sales	144,496	111,081	306,085	225,204
Gross profit	67,420	48,297	125,819	142,884
General and administrative expense	10,622	5,321	15,365	10,758
Gain on derivatives, net	0	(5,438)	0	(1,700)
Operating income	56,798	48,414	110,454	133,826
Interest expense, net	(6,447)	(6,431)	(12,885)	(13,549)
Loss on extinguishment of debt	0	0	0	(20,446)
Net income before income tax expense	50,351	41,983	97,569	99,831
Income tax expense	(1,084)	(576)	(1,635)	(1,347)
Net income	49,267	41,407	95,934	98,484
Comprehensive income	$ 49,267	$ 41,407	$ 95,934	$ 98,484
Net income per common unit - basic and diluted (in dollars per unit)	$ 0.35	$ 0.29	$ 0.69	$ 0.70
Weighted average number of common units outstanding - basic and diluted (in units)	139,295,615	139,077,484	139,254,405	139,038,956

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
Operating activities
Net income	$ 95,934	$ 98,484
Adjustments to reconcile net income to net cash provided by operations:
Equity-based compensation expense	2,488	2,249
Amortization of deferred financing costs	1,040	1,432
Loss on extinguishment of debt	0	13,498
Depreciation and amortization expense	23,766	20,303
Accretion expense	51	51
Reversal of unrealized loss on derivatives	0	(63,053)
Non-cash gain on insurance reimbursement	0	(1,368)
Deferred income tax expense	96	699
Changes in working capital:
Accounts receivable	16,474	13,741
Accounts receivable, related parties	(24)	(202)
Inventory	6,802	(18,822)
Prepaid expenses and other current assets	(3,651)	31,644
Accounts payable	2,730	(20,657)
Accounts payable, related parties	45	(94)
Accrued liabilities	(3,347)	3,402
Deferred revenue	(9,960)	(2,425)
Net cash provided by operations	132,444	78,882
Investing activities
Capital expenditures and deferred major maintenance costs	(15,674)	(24,923)
Net cash used in investing activities	(15,674)	(24,923)
Financing activities
Deferred financing costs	0	(1,199)
Proceeds from borrowings	45,300	27,255
Repayments on borrowings	(45,300)	(20,450)
Cash distributions, net of contributions	(93,795)	(44,438)
Total cash used in financing activities	(93,795)	(38,832)
Net change in cash	22,975	15,127
Cash at beginning of period	25,424	31,434
Cash at end of period	48,399	46,561
Noncash financing activities:
Increase in non-cash capital expenditures	274	0
Insurance proceeds receivable	0	1,368
Capital contributions receivable from PL Manufacturing and PL Manufacturing Members for realized losses on derivatives	$ 0	$ 4,808

CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 48,399	$ 25,424
Accounts receivable	58,848	75,322
Accounts receivable, related parties	133	109
Inventory	13,259	20,061
Prepaid expenses and other current assets	6,293	2,642
Total current assets	126,932	123,558
Property, plant, and equipment, net	604,918	612,448
Intangible asset, net	21,611	21,901
Deferred financing costs and other assets	10,999	12,038
Total assets	764,460	769,945
Current liabilities:
Accounts payable	37,305	34,576
Accounts payable, related parties	179	134
Accrued liabilities	21,095	24,168
Deferred revenue	0	9,960
Total current liabilities	58,579	68,838
Long-term debt	365,000	365,000
Asset retirement obligation	1,427	1,376
Deferred income taxes	1,776	1,680
Total liabilities	426,782	436,894
Commitments and contingencies (Note 9)
Partners' capital (139,355,037 and 139,212,767 common units issued and outstanding at June 30, 2014 and December 31, 2013)	337,678	333,051
Total liabilities and partners' capital	$ 764,460	$ 769,945