Heating Oil Partners Income Fund

Heating Oil Partners Income Fund

October 19, 2005 10:02 ET

Heating Oil Partners Income Fund Announces Final Court Approval of Bankruptcy Financing

TORONTO, ONTARIO--(CCNMatthews - Oct. 19, 2005) - Heating Oil Partners Income Fund (the "Fund") (TSX:HIF.UN) announced that the Fund's operating subsidiary, Heating Oil Partners, L.P. ("HOP" or the "Company") received final U.S. Bankruptcy Court approval to utilize a US$115 million debtor-in-possession revolving credit facility ("DIP Facility"). The Company will be seeking an order in Canada recognizing the U.S. approval.

On September 26, 2005 the Company filed a voluntary petition for reorganization under Chapter 11 of the United States Bankruptcy Code ("Chapter 11") and filed for recognition of the Chapter 11 proceedings under the Companies' Creditors Arrangement Act (Canada) (the "CCAA"). The Company had previously received preliminary approval to utilize the DIP Facility as part of the initial Chapter 11 and CCAA filings.

The Fund indirectly owns approximately 88.1% of HOP, one of the largest residential heating oil distributors in the United States. HOP delivered over 236 million gallons of heating oil and other refined liquid petroleum products for the twelve months ended June 30, 2005 to approximately 137,000 residential, fleet and commercial customers, primarily in Connecticut, Delaware, Maryland, Massachusetts, New Jersey, New Hampshire, New York, Pennsylvania, Rhode Island, Virginia and the District of Columbia. HOP's operations are conducted through 16 regional distribution and service centres. From these centres, HOP provides its customers with a full range of value-added services, including the delivery of heating oil and the installation, maintenance and service of furnaces, boilers, heating equipment and air conditioners on a 24 hours-a-day, 365 days-a-year basis.

This news release contains forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors outside of Management's control that could cause actual results to differ materially from those described in the forward-looking statements. The Fund does not assume responsibility for the accuracy and completeness of these forward-looking statements and does not undertake the obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.

Additional information, including the Fund's complete financial statements for the fiscal year ended September 30, 2004 and the quarter ended June 30, 2005, can be found at www.sedar.com or on the Fund's website at www.hif-un.com.

Contact Information

  • Heating Oil Partners, L.P.
    Carlos Rojas
    Chief Financial Officer
    (203) 655-8290