Good day, ladies and gentlemen, and welcome to the Martin Midstream Fourth Quarter 2014 Earnings Conference Call. At this time all participants are in a listen-only mode. Later we'll have a question-and-answer session and instructions will follow at that time. [Operator Instructions] As a reminder, this conference call is being recorded. I'd now like to turn the call over to Mr. Bob Bondurant, CFO. Please go ahead.

Thank you, Nicholas. Let everyone know who is on the call today. We have Ruben Martin, our President and Chief Executive Officer; Joe McCreery, our Vice President of Finance and also our Head of Investor Relations; and Wes Martin, our VP of Corporate Development. Before we get started with the financial and operational results for the fourth quarter, I need to make this disclaimer. Certain statements made during this conference call may be forward-looking statements relating to financial forecasts, future performance, and our ability to make distributions to unit holders. We report our financial results in accordance with Generally Accepted Accounting Principles, and use certain non-GAAP financial measures within the meanings of the SEC Regulation G, such as distributed cash flow, or DCF; and earnings before interest, taxes, depreciation, and amortization, or EBITDA; and we also use adjusted EBITDA. We use these measures because we believe it provides users of our financial information with meaningful comparisons between current results and prior reported results, and it can be a meaningful measure of the Partnership's cash available to pay distributions. Now we also included in our press release issued yesterday a reconciliation of EBITDA, adjusted EBITDA, and distributable cash flow to the most comparable GAAP financial measure. Our earnings press release is available at our website, www.martinmidstream.com. Now as I address our performance for the fourth quarter, I will do it from the perspective of continuing operations. As most you know, earlier this month, we sold our six inland NGL floating storage barges for $41.25 million, realizing a gain of approximately $1.5 million on the sale of these assets in the first quarter of 2015. These six barges support the NGL product purchases and sales in the Corpus Christi area. This business, while utilizing these six NGL barges as floating storage carry…

Thanks Bob. I'll start with our normal walk-through of the debt components of our balance sheet and our bank ratios. Then I'll discuss the partnership's outlook and our ability to navigate through this commodity price cycle. On December 31, 2014, the partnership had total long-term funded debt of approximately $902 million. This consist of $402 million of senior unsecured notes and $500 million drawn under $900 million revolving credit facility. Thus the partnership's available liquidity under the revolving credit facility at yearend was $400 million. For the fourth quarter ended 2014, our bank compliant leverage ratios defined as senior secured indebtedness to adjusted EBITDA and total indebtedness to adjusted EBITDA were 2.49 times and 4.67 times respectively. Additionally, our bank compliant interest coverage ratio, as defined by adjusted EBITDA to consolidated interest expense was 3.56 times. For this non-GAAP calculations again I note that when we calculate our bank compliant ratios, we're required to include the pro forma impact of our discontinued operations, in this case our NGL floating storage asset divesture as if the sale of those assets took place during the previous four quarter period. Looking at the balance sheet to the same pro forma wins, our total debt to total capitalization at 12/31/14, was approximately 63.9%, a slight improvement compared to the quarter ended September 30, 2014, again primarily a result of the pro forma effect of the sale of the NGL floating storage assets. In all, at December 31, 2014, the partnership was in full compliance with all banking covenants financial or otherwise. Now reconciling our current revolver balance to the quarter ended December 31, 2014, the outstanding amount today is $490 million and thus the partnership has available liquidity currently of $410 million under its credit facility. This lower current revolver balance is attributed to…

[Operator Instructions] And our first question comes from the line Gabe Moreen with Bank of America/Merrill Lynch. Your line is now open, please proceed with your question.

Hey good morning, everyone. Question on I guess distribution policy and I know you don't necessarily give explicit distribution policy, but is it given the frustration around I guess the unit price performance, is it fair to say you don’t think increase in the distribution until your unit price acts a little better is going to happen and I guess given the coverage -- but that’s despite the coverage improvement and the fact that you probably could increase the distribution a bit if you wanted to?

Yeah, I think a couple of things Gabe, one is although we haven’t been incredibly transparent with our policy, I think by and large we’re looking for kind of 1.15 times on a quarterly basis. We were basically there on a discontinued ops adjusted level for the fourth quarter, but nonetheless, we held that for this quarter. As you've seen in the past, we’ve done incremental kind of quarter cent increases. And we’re not sure the market is giving us full credit for those it's kind of hard to tell. So for this quarter, we decided not to increase the distribution, just let it play out. But nonetheless, I think we’re focused on growing the distribution. As you know, we’ve been over time probably relegated to a 3% plus or minus distribution growth entity and I think that metric is kind of where we envision ourselves again for 2015.

Got it. Thanks and then turning to I guess opening the floor to whatever comments you kind of want to make around how anything you’re looking out with your general partner might play into 2015. And I hate to ask a generic dropdown question, but I’m wondering what the latest is in terms of discussions with your general partner?

Sure Gabe, this is Wes…

[Indiscernible] general partner, sorry excuse me.

Yeah, no problem. Look I think, first of all I think in 2014 that was a pretty good year for us on the acquisitions front. We closed two relatively large acquisitions in our 20% WTLPG interest and then also the remaining interest in Cardinal, which is a total of $500 million deals plus or minus that we did in the first nine months of 2014. So we were pretty busy on the deal front. That said in 2015 I think it’s safe to say that we’re going to refocus some of our efforts here internally within Martin and Alinda as well regarding the potential for dropdowns. And as usual, I don’t want to speak for the Alinda team, but I think that both Martin and Alinda are on the same page in those efforts and I know that’s sort of a generic answer to your question. But in terms of timing or definitives on those, we’re not there yet, but I think both partners are refocused on those efforts on trying to move the ball forward on that front in '15.

Got it. Thanks Wes. And just last one from me on the potential expansion of West Texas LPG, can you just talk about kind of latest discussions and I guess also on that expansion, do you guys think, you’ll be taking volume risk without or would you strictly adhere to take or pay?

Yeah so, this is Wes again, I think and specific to ONEOK obviously they closed their deal in the fourth quarter of last year. I think their efforts primarily have been focused on transitioning, getting the systems in-house in place. So, we haven’t had explicit detailed conversations with those guys at this point. With respect to the full plans I can tell you that what they’re going out to the market and what they've said and I think they reaffirmed this past conference call that they just recently had earlier this week was $500 million of CapEx for their 80% interest and looking to over time sort of blend their multiple down into the six to eight times range. So if you grossed up that $500 million this is again, we haven’t had very specific conversations with these guys yet, but that could mean $100 million plus or minus of CapEx for us in the out years call it some maybe in '15, but probably more focused on '16 and '17. So that’s a little bit more specific, but I think in terms of the expansion case, again we haven’t had a chance to sit down with those guys and really get their feel for it. But I do know that in general if you follow their press releases and their public commentary, they do have some plans and we do have some plans as well in terms of looking at expansion on that line.

Great, thanks Wes.

[Operator Instructions] And our next question comes from the line of T.J. Schultz with RBC Capital. Your line is now open. Please proceed with your question.

Hey guys, good morning. On the lubricant business, so I guess you’re down, it sounds like about $7 million in 2014 year-over-year. And now sounds like you think you can get a pretty significant increase in 2015. So just wanted to see if you could expand a little bit on that business what gives you kind of line of sight to get that rebound this year? If it’s just customers that have fully destocked at this point, just trying to get a little bit more info there?

Yeah, this is Bob. I’ll take that. We have like I said in my comments we have seen the demand for volume pickup. It’s not all the way back to the levels that was pre-energy price collapse, but it is recovering, but because we felt like there could be a softer kind of sight on the sales volume side we have done things on the production front as far as cutting cost. We had one production facility that we converted to just a distribution facility. So we cut out fixed cost related to that production line. So it’s going to be a combination of sales volume improvement year-over-year and also cost reduction improvement year-over-year and our forecast is currently showing we should tend to recover to where we were in 2013.

Okay. Thanks. The marine segment when are the two inland asphalt vessels entering service? And if you can give me any kind of or try to quantify the impact from those?

Yeah, one is online now, it’s been blended in with another asphalt toe and the other one is coming online I believe sometime late this first quarter.

Into March right.

Into March, I don’t have the specific barge rates, but about 8500 a day kind of rate is typical on the sum of both barges for the tow.

Okay. And just lastly [for interest] [ph] on the balance sheet maybe if you could frame 2015 CapEx plan seem manageable it sounds like we should see some cash flow improvement in the business. So as we think about current leverage, do you think current -- the cash flow improvement this year and the ATM would be enough to get leverage where you wanted. How, or if you're thinking about further asset sales that may make sense just any general thoughts on the balance sheet?

Sure, this is Joe, T.J. where I think we are, we’re a little elevated from where we want to be, we're going to stick to our kind of transparent goal to the market with 4.5 times being our target and obviously we’re slightly ahead of that about 20 basis point. So we’re doing some balance sheet improvement. I think you’re right. With respect to the manageable level of CapEx, it’s currently forecasted. We can probably limp home and maybe utilize the ATM little bit. So we don’t have any near-term equity plans. I think from our perspective, we’re just going to let it sort of play out and see if we opportunistically find an opportunity from an M&A perspective or a larger growth project enters the equation and then I think we'll address the capital raise at that time, but I think for now, we’re probably okay.

Okay. And then asphalt sales, is that’s just a one-off or is that -- are you looking at anything else there?

Yeah I would categorise that as a one-off right. I think as Bob alluded to, that was a benefit from both the numerator and denominator perspective to have an asset that was losing cash flow I think we did a prudent thing to secure that.

Okay. Thanks make sense. Appreciate it.

[Operator Instructions] And pardon me speakers. It looks like we have no further questions in the queue.

Well we thank everybody for being on the call today and we realize there’s been a lot of changes in this business and since the fourth quarter with energy prices and so forth and so our growth is we still have that diversified portfolio. And so we don’t see our growth stopping, but it will slow down like a lot of other people have been talking about. We see ourselves as insulated from commodity type exposures. We’re evaluating every business that we have and looking at what we do have on that commodity business. But we’ve been through the tougher times when we see some of the other companies. So we don’t feel like we've got a lot of exposure at all to commodity. The partnership we do a lot of business with a lot of refineries so, we believe that’s a good staying power and along with our diversity. So I've seen these cycles before. We've all been through these cycles before. I've seen it high and I've seen it low and we know how to handle this situation. But again we appreciate everybody's time and please join us for Investor Day on March 24. We always have some really good goodies to hand out at that one after lunch. So we appreciate everybody's interest in our company. Thank you.

Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program. And you may all disconnect. Have a good day everyone.