Holly Energy Partners, L.P. (NYSE: HEP) (the "Partnership" or "Holly
Energy") today announced that the Partnership and its co-issuer, a
wholly-owned subsidiary of the Partnership, will redeem all of their
outstanding 8.25% Senior Notes due 2018. The aggregate principal amount
outstanding of the notes is $150,000,000. The redemption price for the
notes will be equal to 104.125% of the principal amount thereof for a
total payment to holders of the notes of approximately $156,187,500 in
aggregate. The redemption of the notes is scheduled to occur on March
15, 2014. The Partnership intends to fund the redemption with borrowings
under its existing credit facility. On and after the redemption date,
the notes will no longer be deemed outstanding, interest will cease to
accrue thereon and all rights of the holders of the notes will cease,
except for the right to receive the redemption price.
U.S. Bank National Association is the trustee for the notes and is
serving as the paying agent for this transaction. Copies of the Notice
of Redemption and additional information relating to the redemption of
the notes may be obtained from U.S. Bank National Association, Corporate
Trust Services, P.O. Box 64111, St. Paul, MN 55164-0111, telephone:
About Holly Energy Partners, L.P.
Holly Energy Partners, L.P., headquartered in Dallas, Texas, provides
petroleum product and crude oil transportation, tankage and terminal
services to the petroleum industry, including HollyFrontier Corporation,
which currently owns a 39% interest (including a 2% general partner
interest) in Holly Energy. Holly Energy owns and operates petroleum
product and crude pipelines, tankage, terminals and loading facilities
located in Texas, New Mexico, Oklahoma, Arizona, Washington, Kansas,
Wyoming, Idaho and Utah. In addition, Holly Energy owns a 75% interest
in UNEV Pipeline, LLC, the owner of a Holly Energy operated refined
products pipeline running from Salt Lake City, Utah to Las Vegas,
Nevada, and related product terminals and a 25% interest in SLC Pipeline
LLC, a 95-mile intrastate pipeline system serving refineries in the Salt
Lake City, Utah area.
Information about Holly Energy Partners, L.P. may be found on its
website at http://www.hollyenergy.com.
Holly Energy Partners, L.P.
Julia Heidenreich, 214-954-6511
President, Investor Relations
Blake Barfield, 214-954-6511
Source: Holly Energy Partners, L.P.
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