Good day, and welcome to the Suburban Propane Partners, L.P.  Third Quarter Conference Call. [Operator Instructions] This conference call contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, relating to the partnership's future business expectations and predictions and financial condition and results of operations. These forward-looking statements involve certain risks and uncertainties. The partnership has listed some of the important factors that could cause actual results to differ materially from those discussed in such forward-looking statements, which are referred to as cautionary statements in its earnings press release, which can be viewed on the company's website. All subsequent written and oral forward-looking statements attributable to the partnership or persons acting on its behalf are expressly qualified in their entirety by such cautionary statements. [Operator Instructions] Please note, today's event is being recorded. I would now like to turn the conference over to Davin D'Ambrosio, Vice President and Treasurer. Please go ahead, sir.

Thank you, Rocco. Good morning, everyone. Thank you for joining us this morning for our fiscal 2021 third quarter earnings conference call. Joining me this morning are Mike Stivala, President and Chief Executive Officer; Mike Kuglin, Chief Financial Officer and Chief Accounting Officer; and Steve Boyd, our Chief Operating Officer. This morning, we will review our third quarter financial results, along with our current outlook for the business. Once we've concluded our prepared remarks, we will open the session to questions. Our annual report on Form 10-K for the fiscal year ended September 26, 2020, and Form 10-Q for the period ended June 26, 2021, which will be filed by the end of business today, contain additional disclosures regarding forward-looking statements and risk factors. Copies may be obtained by contacting the partnership or the SEC. Certain non-GAAP measures will be discussed on this call. We have provided a description of those measures as well as a discussion of why we believe this information to be useful in our Form 8-K, which was furnished to the SEC this morning. Form 8-K will be available through a link in the Investor Relations section of our website at suburbanpropane.com. At this point, I will turn the call over to Mike Stivala for some opening remarks. Mike?

Thanks, Davin. Welcome. Thank you all for joining us this morning. The third quarter of fiscal 2021 was another solid quarter for Suburban Propane as we continue to see demand in the commercial and industrial sectors normalize back toward pre-pandemic levels. And we're also seeing the benefits of continued favorable trends from our customer base growth and retention efforts. As a result, propane volumes were nearly 2% ahead of the prior year third quarter, despite the unusually high residential demand last year. To put some perspective on the shifting demand patterns between residential and nonresidential customers resulting from the pandemic, residential volumes typically account for approximately 35% of total third quarter volumes. Yet last year, with the combination of cooler spring temperatures at a time when stay-at-home measures were most prevalent and the dramatic reduction in commercial industrial demand due to COVID-related restrictions, residential volumes accounted for nearly 45% of total volumes sold. This mix shift contributed to unusually high blended unit margins for this counter seasonal quarter and record overall adjusted EBITDA in the prior year third quarter. However, with normalizing demand patterns in the fiscal 2021 third quarter, total propane volumes exceeded pre-pandemic levels from the fiscal 2019 third quarter by 4%, higher than pre-pandemic levels. Adjusted EBITDA for the fiscal 2021 third quarter of $23.3 million was $8.9 million lower than last year, yet exceeded our expectations for the quarter and was $3.2 million or 16% higher than the third quarter of fiscal 2019. In addition to our strong operating performance, we continue to stay focused on our long-term strategic goals of reducing debt, strengthening the balance sheet and fostering the build-out of our renewable energy platform in line with our Go Green with Suburban Propane corporate pillar. Let me give you a few highlights from the…

Thanks, Mike, and good morning, everyone. To be consistent with previous reporting, as I discuss our third quarter results, I'm excluding the impact of unrealized noncash mark-to-market adjustments on our commodity hedges, which resulted in an $11.1 million unrealized gain in the third quarter of 2021, compared to a $900,000 unrealized gain in the prior year, along with certain other noncash adjustments in both years and a loss on debt extinguishment resulting from the refinancing of our 2024 and 2025 senior notes in the third quarter of fiscal 2021. Given the seasonal nature of our business, we typically experience a net loss in the third quarter of our fiscal year. With that said, the net loss for the third quarter was $20.9 million or $0.33 per common unit, compared to $15.5 million or $0.25 per common unit in the prior year. Adjusted EBITDA for the third quarter was $23.3 million, compared to $32.2 million in the prior year. As Mike indicated, our earnings in the prior year third quarter represented a record level of earnings and benefited from several factors, including cool spring temperatures that contributed to strong residential demand, strong blended unit margins due to volume mix skewed toward residential, and savings from various cost containment efforts that we implemented to insulate the business from potential downside risks resulting from COVID-19 effects. Compared to pre-pandemic results, adjusted EBITDA for the third quarter was $3.2 million or 16% higher than the third quarter of 2019 due to solid volume and unit margin performance. Retail propane gallons sold in the third quarter were 76.7 million gallons, which was 1.7% higher than the prior year, primarily due to an increase in commercial and industrial demand, resulting from the easing of COVID-related business restrictions and an improving economy that more than offset a…

Thanks, Mike. Over the course of the past 12 months, we've remained focused on managing the business through the COVID-19 pandemic, executing on our customer base growth and retention initiatives, accelerating our debt reduction efforts, investing in renewable energy solutions and opportunistically refinancing our debt to reduce interest and extend maturities. As we continue to strengthen the balance sheet and execute on our strategic growth plans, we remain committed to delivering sustainable profitable growth for our valued unitholders. Our business is extremely well positioned for the ongoing energy transition. As I have stated before, propane offers immediate benefits for decarbonizing the energy sector in so many applications. Through our Go Green corporate pillar, we continue to advance our advocacy efforts to ensure legislators, regulators and consumers alike, understand the clean burning versatile and cost-effective qualities of propane. We are also committed to investing in innovative solutions to further reduce the carbon intensity of propane or other energy solutions on the pathway to net-zero emissions. This can be achieved through the procurement and distribution of renewable propane, which we continue to lead our industry in bringing this product to market. It can also be achieved through investments in new technologies like the overall fuel renewable DME product, which when blended with propane, can deliver zero carbon or even negative carbon intensity depending on the feedstock. This technology has received great recognition globally as a promising opportunity for the propane industry to leverage its expertise and infrastructure to handle store, transport and deliver near zero emission renewable energy for the transportation sector and beyond. At Suburban Propane, we see similar opportunities to leverage our logistics expertise, our vast network of assets throughout the country and our long legacy of delivering outstanding service and energy solutions for our customers and local communities as the logical and next phase of growth for Suburban Propane and the energy transition. Through our corporate development efforts, we are focused on the build-out of a renewable energy platform with similar Oberon-like investment opportunities. And there are a lot of exciting, promising new technologies in the early stages of this ongoing energy transition. Finally, I once again want to thank the more than 3,200 employees of Suburban Propane for their continued commitment to safety and outstanding service to the customers and communities they serve, and I'm extremely proud of the way we've remained resilient and nimble throughout the past challenging 15 months, while keeping our focus on moving the business forward. And as always, we appreciate your support and attention this morning. And now I'd like to open the call up for questions. And Rocco, if you can give us a hand with that.

[Operator Instructions] I'm showing no questions at this time. So I'd like to turn the conference back over to the management team for any final remarks.

Great. Thank you, Rocco. And again, thank you all for joining us. We look forward to closing out fiscal 2020 very -- 2021 very strong and look forward to regrouping with you back in November for our full year results. Stay safe and be well. Thank you.

Thank you. Ladies and gentlemen, this concludes today's conference call. And as a reminder, today's conference will be available for replay starting approximately 1 hour from now by dialing either 1(877) 344-7529 or (412) 317-0088 and entering the code 10157939. Please leave your name and company when asked to on the recording. Today's conference has now concluded, and we thank you for attending the presentation. You may now disconnect your lines, and have a wonderful day.