GATX Corporation Completes Sale of Calnev Pipeline To Kinder Morgan Energy Partners, L.P.

Apr 02, 2001, 01:00 ET from GATX Corporation

    CHICAGO, April 2 /PRNewswire/ -- GATX Corporation (NYSE:   GMT) today
 announced that it completed the sale of GATX Terminals' Calnev Pipeline to
 Kinder Morgan Energy Partners, L.P.  The purchase price for the Calnev
 Pipeline was $375 million, including approximately $360 million in cash and
 $15 million in assumed liabilities.  This transaction completes the sale of
 essentially all of GATX Terminals' domestic operations.
     Ronald H. Zech, chairman of GATX Corporation, stated, "We are pleased that
 the California Public Utilities Commission approved the Calnev sale and that
 we were able to close the transaction with Kinder Morgan.  The sale of GATX
 Terminals' domestic operations to Kinder Morgan, encompassing Calnev and the
 previous sale of other domestic operations, was a very successful transaction
 that generated after-tax cash proceeds for GATX in excess of $700 million.
     "The timing of the GATX Terminals sale has been beneficial for GATX.
 During the first quarter of 2001, we experienced excellent investment
 opportunities and we have been putting capital to work in attractive markets.
 The Terminals' proceeds, and our conservative approach to the use of the
 proceeds, have enabled GATX to reinvest in our core businesses while also
 maintaining a strong capital structure."
     Mr. Zech concluded, "The sale of GATX Terminals' domestic operations has
 been a complex and lengthy process.  The successful completion of this sale is
 a testament to the many employees, both at GATX Corporation and GATX
 Terminals, who dedicated themselves to completing this transaction. Our focus
 will now shift to the sale of GATX Terminals' primary remaining operations,
 the Asian terminals and joint ventures."
 
     COMPANY DESCRIPTION
     GATX Corporation (NYSE:   GMT) is a unique finance and leasing company
 combining asset knowledge and services, structuring expertise, creative
 partnering and risk capital to serve customers and partners worldwide.  GATX
 Corporation provides leasing and financial services responsive to the
 specialized needs of a range of businesses.  GATX Corporation specializes in
 railcar and locomotive operating leasing, aircraft operating leasing,
 information technology leasing, and venture finance for customers in diverse
 industrial sectors worldwide.
 
     FORWARD LOOKING STATEMENTS
     This press release includes statements which may constitute forward-
 looking statements made pursuant to the safe harbor provision of the Private
 Securities Litigation Reform Act of 1995.  This information may involve risks
 and uncertainties that could cause actual results to differ materially from
 the forward-looking statements.  Although the company believes that the
 expectations reflected in such forward-looking statements are based on
 reasonable assumptions, such statements are subject to risks and uncertainties
 that could cause actual results to differ materially from those projected.
 
     Investor, corporate information and press releases may be found at
 http://www.gatx.com .  A variety of current financial information, historical
 financial information, press releases and photographs are available at this
 site. GATX press releases may be obtained by accessing PR Newswire's Company
 News On-Call's automated fax service at 800-758-5804.  The company
 identification number for GATX is 105121.
 
 

SOURCE GATX Corporation
    CHICAGO, April 2 /PRNewswire/ -- GATX Corporation (NYSE:   GMT) today
 announced that it completed the sale of GATX Terminals' Calnev Pipeline to
 Kinder Morgan Energy Partners, L.P.  The purchase price for the Calnev
 Pipeline was $375 million, including approximately $360 million in cash and
 $15 million in assumed liabilities.  This transaction completes the sale of
 essentially all of GATX Terminals' domestic operations.
     Ronald H. Zech, chairman of GATX Corporation, stated, "We are pleased that
 the California Public Utilities Commission approved the Calnev sale and that
 we were able to close the transaction with Kinder Morgan.  The sale of GATX
 Terminals' domestic operations to Kinder Morgan, encompassing Calnev and the
 previous sale of other domestic operations, was a very successful transaction
 that generated after-tax cash proceeds for GATX in excess of $700 million.
     "The timing of the GATX Terminals sale has been beneficial for GATX.
 During the first quarter of 2001, we experienced excellent investment
 opportunities and we have been putting capital to work in attractive markets.
 The Terminals' proceeds, and our conservative approach to the use of the
 proceeds, have enabled GATX to reinvest in our core businesses while also
 maintaining a strong capital structure."
     Mr. Zech concluded, "The sale of GATX Terminals' domestic operations has
 been a complex and lengthy process.  The successful completion of this sale is
 a testament to the many employees, both at GATX Corporation and GATX
 Terminals, who dedicated themselves to completing this transaction. Our focus
 will now shift to the sale of GATX Terminals' primary remaining operations,
 the Asian terminals and joint ventures."
 
     COMPANY DESCRIPTION
     GATX Corporation (NYSE:   GMT) is a unique finance and leasing company
 combining asset knowledge and services, structuring expertise, creative
 partnering and risk capital to serve customers and partners worldwide.  GATX
 Corporation provides leasing and financial services responsive to the
 specialized needs of a range of businesses.  GATX Corporation specializes in
 railcar and locomotive operating leasing, aircraft operating leasing,
 information technology leasing, and venture finance for customers in diverse
 industrial sectors worldwide.
 
     FORWARD LOOKING STATEMENTS
     This press release includes statements which may constitute forward-
 looking statements made pursuant to the safe harbor provision of the Private
 Securities Litigation Reform Act of 1995.  This information may involve risks
 and uncertainties that could cause actual results to differ materially from
 the forward-looking statements.  Although the company believes that the
 expectations reflected in such forward-looking statements are based on
 reasonable assumptions, such statements are subject to risks and uncertainties
 that could cause actual results to differ materially from those projected.
 
     Investor, corporate information and press releases may be found at
 http://www.gatx.com .  A variety of current financial information, historical
 financial information, press releases and photographs are available at this
 site. GATX press releases may be obtained by accessing PR Newswire's Company
 News On-Call's automated fax service at 800-758-5804.  The company
 identification number for GATX is 105121.
 
 SOURCE  GATX Corporation

RELATED LINKS

http://www.gatx.com