Business Context and Reporting Period
This Form 8-K is a current report filed by Energy Transfer Equity, L.P. (ETE) on April 4, 2011, regarding an event that occurred on March 30, 2011. The filing addresses a change in the independent registered public accounting firm for Regency Energy Partners LP ("Regency"), a consolidated subsidiary of ETE.
Key Financial Metrics
This filing does not contain financial performance data such as revenue, profit, cash flow, margins, debt, or liquidity metrics. The document is strictly procedural regarding the appointment and dismissal of an auditor.
Material Changes
- Accountant Change: On March 30, 2011, the Audit Committee of Regency GP LLC approved the dismissal of KPMG LLP and the appointment of Grant Thornton LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2011.
- Corporate Structure: ETE owns all general partner interests in Regency. Grant Thornton continues to serve as the independent auditor for ETE and Energy Transfer Partners, L.P. (ETP).
Guidance, Outlook, and Risks
Audit Opinions: The filing states that KPMG's audit reports for Regency for the years ended December 31, 2010 and 2009, and the interim period through March 30, 2011, did not contain any adverse opinions, disclaimers, or qualifications regarding uncertainty, audit scope, or accounting principles.
Disagreements: There were no disagreements with KPMG on accounting principles, financial statement disclosures, or auditing scope/procedures during the relevant periods that would have required reference in KPMG's reports.
Consultations: Regency did not consult with Grant Thornton regarding matters specified in Item 304(a)(2) of Regulation S-K during the two fiscal years ended December 31, 2010, or the subsequent interim period.
Investor Verification Checklist
- Verify the effective date of the transition from KPMG to Grant Thornton for Regency Energy Partners LP.
- Confirm that no "reportable events" or disagreements existed between Regency and KPMG prior to dismissal.
- Review the letter from KPMG LLP (Exhibit 16.1) to ensure the auditor agrees with ETE's statements regarding the change.
- Note that this filing does not provide updated financial results; refer to the most recent 10-K or 10-Q for financial metrics.