|Crosstex Energy, L.P. Units Begin Trading On Nasdaq|
Dallas, December 11, 2002 --- Crosstex Energy, L.P. (NasdaqNM: XTEX) today announced it had priced its initial public offering of 2,000,000 common units at a price of $20 per unit. The common units represent a 28 percent limited partner interest in Crosstex. Holders of the common units will be entitled to receive distributions of available cash of $0.50 per quarter before any distributions are paid on Crosstex's subordinated units, to the extent Crosstex has sufficient cash from operations after establishment of cash reserves and payment of fees and expenses. The net proceeds from the offering will be used primarily to repay outstanding partnership indebtedness.
The common units are scheduled to begin trading on Thursday, December 12 on the Nasdaq National Market under the symbol “XTEX.” The transaction is scheduled to close on Tuesday, December 17, 2002.
A.G. Edwards & Sons, Inc. acted as lead manager and Raymond James and RBC Capital Markets acted as co-managers. Crosstex has granted the underwriters a 30-day option to purchase up to 300,000 additional units to cover over-allotments, if any.
Crosstex Energy, L.P., a mid-stream natural gas company, operates over 1,500 miles of pipeline, two processing plants, and 49 natural gas treating plants. Crosstex currently provides services for over 700 MMBtu/day of natural gas. According to the Mastio & Co. 2002 Producer Purchaser Survey, gas producers ranked Crosstex as the number one provider of midstream services. Crosstex Energy, L.P.'s principal executive offices are located at 2501 Cedar Springs, Suite 600, Dallas, Texas, 75201, and its telephone number is 214-953-9500.
This press release is not an offer to sell, nor the solicitation of an offer to buy, any securities. Any offer will be made by means of a prospectus. A copy of the prospectus can be obtained from A.G. Edwards & Sons at: One North Jefferson, St. Louis, Missouri, 63103, and its telephone number is 314-955-3000.
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts included or incorporated herein may constitute forward-looking statements. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct.