November 15, 2005 (Overland Park, KS) Tortoise Energy Capital Corporation (NYSE: TYY) announced today that it entered into forward interest rate swap arrangements to hedge its interest payment obligations on its recently issued $120 million Auction Rate Senior Notes. By entering into the swaps, the company will protect itself from increasing interest expense on its leverage resulting from increasing short term interest rates. The swaps start March 2006 and end November 2015, and fixes the rate of interest paid by the company at 5.105%. The Auction Rate Senior Notes were rated 'Aaa' and 'AAA' by Moody's Investors Service Inc. and Fitch Ratings, respectively.
About Tortoise Capital
Tortoise Energy Capital Corporation's investment objective is to provide its stockholders with a high level of total return with an emphasis on current distributions paid to stockholders. Tortoise Capital provides financing primarily for master limited partnerships and their affiliates in the energy infrastructure sector which engage in the business of gathering, transporting, processing, storing, distributing or marketing natural gas, natural gas liquids, coal, crude oil, refined petroleum products or other natural resources, or exploring, developing, managing or producing such commodities.
Tortoise Capital Advisors, L.L.C. serves as the adviser to Tortoise Energy Capital Corporation.
Safe Harbor Statement
This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.
Tortoise Capital Advisors, L.L.C.
Investor Relations at (913)981-1020