Ferrellgas L.P. enters into forbearance agreement with senior note holders

Ferrellgas Partners, L.P. (“FGP”) announced June 11 that it has entered into a forbearance agreement with holders of its 8.625% Senior Notes due June 15, 2020 (the “2020 Notes”) holding approximately 77% of the outstanding amount of such notes (the “Forbearing Holders”).
Pursuant to the agreement, the Forbearing Holders of the 2020 Notes agreed to forbear from exercising any rights or remedies during the forbearance period against FGP arising from FGP’s failure to pay amounts due and owing under the applicable indenture. The Forbearing Holders also agreed to direct U.S. Bank National Association, as indenture trustee, not to take any remedial action during the term of the forbearance agreement.
During the forbearance period, FGP and the Forbearing Holders agreed to work cooperatively to negotiate a definitive restructuring agreement with respect to the 2020 Notes. The forbearance period extends through July 31, 2020, subject to FGP’s satisfaction of certain milestones.