Kinder Morgan Energy Partners LP (KMP)

[Timothy Smith]

In 2012, Kinder Morgan Energy Partners increased distributions quarter on quarter from $1.16 to $1.20 to $1.23 to $1.26, for a total of $4.85 which was 8.9% higher than distributions in 2011

Based on its latest distribution of $1.26, Kinder Morgan Energy Partners has an annualized distribution of $5.04 which gives its units a yield of 6.3% with shares trading at $79.26 as of December 21, 2012.

Looking ahead, Kinder Morgan Energy Partners expects to deliver cash distributions of $5.28 per unit in 2013, a 5.2% increase over 2012.

Kinder Morgan Energy Partners is a solid franchise. Units have exhibited a downward trend through the year, with high volatility.

Future distributions, while solid, appear to be growing at a slower pace than earlier with projected 2013 distributions growing 5.2% compared to an 8.9% increase in 2012.