The two news releases linked above give the first indications of the progress for Atlas Pipeline Partners (APL) to deleverage the company. When the company released its quarterly earnings report a little over a month ago, management said they were in negotiation to sell all or part of 3 different company assets to raise cash and pay down debt. It looks like 2 of the deals are complete and I would say they were pretty successful.
First, APL has sold 51% of their Marcellus shale gathering network for $90 million in cash plus an additional $25 million obligation to be paid later.
The second was the sale of their NOARK natural gas system for $300 million.
So the company has raised almost $400 million in asset sales so far. At the end of 2008 APL had long term debt of approximately $1.5 billion, so they have raised enough to pay off about a quarter of the debt. The big question for shareholders is whether the company can sustain the 38¢ distribution. If they can, the shares which are currently yielding over 30% should move up significantly.
Disclosure: I currently own some Atlas Energy (ATN) and I am now taking a close look at APL.