- Lots of “noise” in the numbers; performance problems, further asset writedowns, exclusion of acquisition and transition expenses.
- BPL has been funding distributions by issuing debt and equity.
- Stark differences between reported and sustainable DCF due, in part, to cash consumed by higher inventories and trade receivables.
- DCF coverage is likely to be below 1x in 2014. Expected uplift in this year’s cash flows will only occur in the second half of 2014.
- High multiple of enterprise value to TTM EBITDA relative to better performing MLPs.