Ferrellgas Investor FAQs
Q: What is the difference between a distribution and a dividend?
A: Distributions are paid by a partnership to its partners, generally as a return of capital, which is tax-deferred. A dividend is paid by a corporation to its stockholders and is generally taxable in the year it is received.
Q: Is any portion of Ferrellgas’ quarterly distribution tax-deferred?
A: Yes. We estimate that more than 90 percent of our quarterly distribution is tax deferrable to our investors. The tax deferral to investors is primarily attributed to our allocation of tax depreciation on our assets. We believe that the tax shield created by this allocation should last at least three years from the date common units are purchased. Any deferred portion of taxes will be realized through gain recognition when the common units are sold.
Q: Can common units be purchased directly from Ferrellgas?
A: No. Ferrellgas no longer offers a direct purchase/reinvestment plan and any units that you wish to purchase must be done through a broker.
Q: Who is Ferrellgas’ transfer agent?
A: Our transfer agent is Computershare. You may speak with an investor services representative at 781-575-3120.
Q: As an investor, who do I contact if I need to change my mailing address for tax forms or company mailings?
A: If our common units are owned through a broker, please notify your broker of any change in address. Otherwise, please contact Computershare at 781-575-3120. Computershare may also be contacted by mail at P.O. Box 8040, Boston, Massachusetts 02266-8040, or visit the company's Web site at www.equiserve.com.
Q: Whom do I contact if I did not receive a Schedule?
A: To request a duplicate copy of a Schedule K-1, please contact our support staff at 877-838-6033.
NOTE: It is the responsibility of each holder of Ferrellgas Partners, L.P units to investigate the legal and tax consequences of his or her investment under federal tax law and the laws of pertinent states and localities. You should consult your tax advisor regarding these matters.