Williams Says Does Not Believe ETE Had Right To Terminate Merger Agreement

(RTTNews) - Williams Companies, Inc. (WMB) confirmed that Energy Transfer Equity, L.P. (ETE) has provided notice that it is attempting to terminate the Merger Agreement based on an alleged failure to satisfy the closing condition requiring delivery of a Section 721(a) tax opinion from Latham & Watkins LLP.

Williams said it does not believe ETE had a right to terminate the Merger Agreement because ETE breached the Merger Agreement by failing to cooperate and use necessary efforts to satisfy the conditions to closing. Accordingly, on June 27, 2016, Williams filed an appeal with the Delaware Supreme Court in connection with the Delaware Court of Chancery's June 24, 2016 ruling relating to the Merger Agreement between Williams and ETE.

Williams recognizes the practical fact that ETE has refused to close the merger. Williams has concluded that it is in the best interests of its stockholders to seek, among other remedies, monetary damages from ETE for its breaches. So, while taking appropriate actions to enforce its rights and deliver benefits of the Merger Agreement to its stockholders, Williams will renew its focus on connecting the best natural gas supplies to the best markets.