Westlake Chemical Partners LP Announces Third Quarter 2024 Distribution

Rhea-AI Summary

Westlake Chemical Partners LP (NYSE:WLKP) has announced its third quarter 2024 distribution of $0.4714 per unit, marking its 41st quarterly distribution since its IPO. The distribution will be paid on November 27, 2024, to unitholders of record as of November 12, 2024. The announcement includes notice that 100% of distributions to non-U.S. investors are subject to federal income tax withholding at the highest applicable effective tax rate.

Positive

• Maintains consistent quarterly distribution pattern, demonstrating stability in cash flow
• 41 consecutive quarterly distributions since IPO showing sustainable distribution history

Negative

• None.

Insights

Financial Analyst

The quarterly distribution of $0.4714 per unit maintains WLKP's consistent dividend policy, marking their 41st consecutive quarterly payout since IPO. With an annualized distribution of $1.89 per unit, this translates to a yield of approximately 8.2% based on current market prices. The distribution remains unchanged from previous quarters, demonstrating stability in cash flow generation from their ethylene production operations. The maintenance of this distribution level signals management's confidence in the partnership's ability to sustain its payout despite challenging market conditions in the petrochemical industry. For non-U.S. investors, the tax treatment as effectively connected income (ECI) requires withholding at the highest applicable rate.

• $0.4714 per unit distribution declared payable on November 27, 2024

HOUSTON--(BUSINESS WIRE)-- The Board of Directors of Westlake Chemical Partners GP LLC, the general partner of Westlake Chemical Partners LP (the "Partnership") (NYSE:WLKP), has declared a distribution of $0.4714 per unit. This is the 41st quarterly distribution announced by the Partnership since its initial public offering. The distribution will be payable on November 27, 2024, to unit holders of record on November 12, 2024.

This release is intended to be a qualified notice under Treasury Regulation Section 1.1446-4(b). Brokers and nominees should treat one hundred percent (100.0%) of the Partnership’s distributions to non-U.S. investors as being attributable to income that is effectively connected with a United States trade or business. Accordingly, the Partnership’s distributions to non-U.S. investors are subject to federal income tax withholding at the highest applicable effective tax rate.

About Westlake Chemical Partners LP

Westlake Chemical Partners is a limited partnership formed by Westlake Corporation to operate, acquire and develop ethylene production facilities and other qualified assets. Headquartered in Houston, the Partnership owns a 22.8% interest in Westlake Chemical OpCo LP. Westlake Chemical OpCo LP’s assets include three facilities in Calvert City, Kentucky, and Lake Charles, Louisiana which process ethane and propane into ethylene, and an ethylene pipeline. For more information about Westlake Chemical Partners LP, please visit http://www.wlkpartners.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241030565534/en/

Media Inquiries:

Westlake Corp.

Ben Ederington, 1-713-585-2900

or

Investor Inquiries:

Westlake Corp.

Steve Bender, 1-713-585-2900

Source: Westlake Chemical Partners

FAQ

What is Westlake Chemical Partners' (WLKP) Q3 2024 distribution amount?

Westlake Chemical Partners LP (WLKP) declared a distribution of $0.4714 per unit for the third quarter of 2024.

When is WLKP's Q3 2024 distribution payable?

The distribution is payable on November 27, 2024, to unitholders of record as of November 12, 2024.

How many quarterly distributions has WLKP made since its IPO?

This is WLKP's 41st quarterly distribution since its initial public offering.

What is the tax treatment for WLKP's distributions to non-U.S. investors?

100% of distributions to non-U.S. investors are subject to federal income tax withholding at the highest applicable effective tax rate.