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Martin Midstream Partners L.P. Ltd. Part Reports Operating Results (10-Q)

November 03, 2010 | About:
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10qk

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Martin Midstream Partners L.P. Ltd. Part (MMLP) filed Quarterly Report for the period ended 2010-09-30.

Martin Midstream Partners L.p. Ltd. Part has a market cap of $614 million; its shares were traded at around $34.98 with a P/E ratio of 45 and P/S ratio of 0.9. The dividend yield of Martin Midstream Partners L.p. Ltd. Part stocks is 8.7%.

Highlight of Business Operations:

We are a party to an omnibus agreement with Martin Resource Management. The omnibus agreement requires us to reimburse Martin Resource Management for all direct expenses it incurs or payments it makes on our behalf or in connection with the operation of our business. We reimbursed Martin Resource Management for $19.9 million of direct costs and expenses for the three months ended September 30, 2010 compared to $15.2 million for the three months ended September 30, 2009. We reimbursed Martin Resource Management for $59.7 million of direct costs and expenses for the nine months ended September 30, 2010 compared to $45.3 million for the nine months ended September 30, 2009. There is no monetary limitation on the amount we are required to reimburse Martin Resource Management for direct expenses.

In addition to the direct expenses, under the omnibus agreement, we are required to reimburse Martin Resource Management for indirect general and administrative and corporate overhead expenses. Effective October 1, 2010 through September 30, 2011, the Conflicts Committee of the board of directors of our general partner (the Conflicts Committee) approved an annual reimbursement amount for indirect expenses of $4.2 million. We reimbursed Martin Resource Management for $0.9 of indirect expenses for both the three months ended September 30, 2010 and 2009, respectively. We reimbursed Martin Resource Management for $2.6 million of indirect expenses for both the nine months ended September 30, 2010 and 2009, respectively. These indirect expenses covered the centralized corporate functions Martin Resource Management provides for us, such as accounting, treasury, clerical billing, information technology, administration of insurance, general office expenses and employee benefit plans and other general corporate overhead functions we share with Martin Resource Management retained businesses. The omnibus agreement also contains significant non-compete provisions and indemnity obligations. Martin Resource Management also licenses certain of its trademarks and trade names to us under the omnibus agreement.

Read the The complete Report

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