Energy Transfer Equity Evaluating Additional Asset Drop-downs; Re-Affirms Commitment to Maintain/Improve Current Credit Ratings of ETE and Subsidiaries

DALLAS--(BUSINESS WIRE)--In connection with its revised offer to acquire the outstanding stock of Southern Union Company (NYSE:SUG) announced on July 5, 2011, Energy Transfer Equity L.P. (NYSE:ETE) today reaffirmed its commitment to maintaining appropriate credit metrics to support or improve the current credit ratings of ETE, SUG, and ETE’s existing subsidiaries Energy Transfer Partners, L.P. (NYSE:ETP) and Regency Energy Partners LP (NASDAQ:RGNC). In furtherance of this commitment, ETE is actively considering the potential drop-down of SUG’s gathering and processing assets known as Southern Union Gas Services (“SUGS”) to either ETP or, if ETP does not exercise its existing right of first offer on SUGS, to Regency. The cash proceeds from the SUGS drop-down would be used to repay debt at SUG and to repay ETE’s anticipated borrowings to fund the cash consideration to SUG shareholders.