Exterran Holdings and Exterran Partners Report Third Quarter 2008 Results

November 6, 2008

HOUSTON--(BUSINESS WIRE)--Nov. 6, 2008--Exterran Holdings, Inc. (NYSE:EXH) and Exterran Partners, L.P. (NASDAQ:EXLP) today reported financial results for the third quarter 2008.

Exterran Holdings, Inc. Financial Results

Exterran Holdings reported net income for the third quarter 2008 of $37.0 million, or $0.56 per share, compared to net income for the second quarter 2008 of $21.7 million, or $0.33 per share, and a net loss for the third quarter 2007 of $75.4 million, or a $1.55 loss per share.

Revenue was $796.0 million for the third quarter 2008 compared to $812.2 million for the second quarter 2008 and $744.6 million for the third quarter 2007. EBITDA, as adjusted (as defined below), was $192.8 million for the third quarter 2008 compared to $166.1 million for the second quarter 2008 and $165.9 million for the third quarter 2007.

The merger of Hanover Compressor Company and Universal Compression Holdings, Inc. was completed on August 20, 2007, and periods prior to the merger reflect only Hanover's results. Third quarter 2008 results included pretax charges that totaled $4.7 million, or $0.04 per share, including $3.7 million for merger and integration related expenses and $1.0 million for asset impairment charges related to units lost or damaged in Hurricane Ike. Second quarter 2008 results included pretax charges of $33.3 million, or $0.30 per share, including $31.8 million for estimated cost overruns in the fabrication segment and $1.5 million for merger and integration expenses. Third quarter 2007 results included pretax charges related to merger, integration and refinancing activities and asset impairment charges that totaled $179.9 million, or $2.37 per share. All share and per share amounts have been retroactively adjusted to reflect the merger conversion ratio of 0.325 shares of Exterran Holdings common stock for each share of Hanover common stock for all periods discussed or presented.

Stephen A. Snider, Exterran Holdings' Chief Executive Officer said, "Our overall operating performance in the third quarter improved despite challenges in our markets, as demonstrated by sequential increases in gross margin contribution in each of our North America contract operations, international contract operations and fabrication segments. We continue to experience good demand for our products and services and an ongoing backlog of new business for our contract operations and sale activities.

"While we are optimistic about the long-term prospects for our business, many of our North American customers have announced or are currently considering reductions in their 2009 capital spending, which may have a negative impact on the demand for our products and services. Nevertheless, we continue to believe there is potential for increased demand for outsourced compression and other services, and our service infrastructure and fleet position us well to capture that demand. Further, we continue to see positive developments in the international sector and we again added new business to our contract operations backlog in the third quarter, which now stands at more than $135 million of annualized revenues."

J. Michael Anderson, Senior Vice President and Chief Financial Officer, added, "With our healthy financial position, we are well positioned to fund existing capital projects and take advantage of growth opportunities. We expect cash generated by our operations to sustain our maintenance and growth capital expenditures for the foreseeable future. In addition, we have significant unused availability under our credit facilities to fund short-term needs and other activities."

Exterran Holdings repurchased 1,087,038 shares of its common stock during the third quarter at an average price of $45.94 per share for a total of approximately $50 million. Including the repurchases made in late 2007, Exterran Holdings has now repurchased approximately $150 million of its common stock under its $200 million share repurchase program.

Exterran Partners, L.P. Financial Results

Exterran Partners reported revenue of $44.4 million for the third quarter 2008 compared to $35.0 million for the second quarter 2008 and $34.7 million for the third quarter 2007. Net income was $9.4 million for the third quarter 2008 compared to $6.1 million for the second quarter 2008 and $7.5 million for the third quarter 2007. EBITDA, as further adjusted (as defined below), totaled $22.7 million for the third quarter 2008 compared to $20.3 million for the second quarter 2008 and $19.1 million for the third quarter 2007. Distributable cash flow (as defined below) totaled $14.8 million for the third quarter 2008 compared to $14.0 million for the second quarter 2008 and $13.5 million for the third quarter 2007.

"Third quarter highlights for Exterran Partners included strong cash flow generation as well as the completion of the acquisition of an additional 254,000 horsepower from Exterran Holdings on July 30," commented Mr. Snider, Chairman and Chief Executive Officer of Exterran Partners' general partner. "Exterran Partners' outlook remains positive due to its financial position and continuing relationship with Exterran Holdings."

On October 28, 2008, Exterran Partners announced a cash distribution of $0.4625 per limited partner unit for the third quarter 2008, compared to $0.425 per limited partner unit for the second quarter 2008 and $0.40 per limited partner unit for the third quarter 2007. The third quarter 2008 per unit distribution is 15.6 percent higher than that for the third quarter of 2007 and reflects the contribution of the additional contract operations assets Exterran Partners purchased from Exterran Holdings.

Conference Call Details

Exterran Holdings, Inc. (NYSE: EXH) and Exterran Partners, L.P. (NASDAQ: EXLP) announce the following schedule and teleconference information for their third quarter 2008 earnings release:

    --  Teleconference: Thursday, November 6, 2008 at 11:00 a.m.
        Eastern Time (10:00 a.m. Central Time). To access the call,
        United States and Canadian participants should dial
        888-727-7721. International participants should dial
        913-312-0381 at least 10 minutes before the scheduled start
        time. Please reference Exterran conference call number
        3429588.

    --  Live Webcast: The webcast will be available in listen-only
        mode via the Companies' website: www.exterran.com.

    --  Webcast Replay: For those unable to participate, a replay will
        be available from 1:30 p.m. Eastern Time on Thursday, November
        6, until 1:00 p.m. Eastern Time on Thursday, November 13,
        2008. To listen to the replay, please dial 888-203-1112 in the
        United States and Canada, or 719-457-0820 internationally, and
        enter access code 3429588.

With respect to Exterran Holdings, EBITDA, as adjusted, a non-GAAP measure, is defined as net income plus income taxes, interest expense (including debt extinguishment costs and gain or loss on termination of interest rate swaps), depreciation and amortization expense, impairment charges, merger and integration expenses, minority interest, excluding non-recurring items, and extraordinary gains or losses.

With respect to Exterran Partners, EBITDA, as further adjusted, a non-GAAP measure, is defined as net income plus income taxes, interest expense, depreciation and amortization expense, non-cash selling, general and administrative expenses and any amounts by which cost of sales and selling, general and administrative costs are reduced as a result of caps on these costs contained in the Omnibus Agreement, which amounts are treated as capital contributions from Exterran Holdings for accounting purposes, and excluding non-recurring items.

With respect to Exterran Partners, distributable cash flow, a non-GAAP measure, is defined as net income plus depreciation and amortization expense, non-cash selling, general and administrative expenses, interest expense and any amounts by which cost of sales and selling, general and administrative costs are reduced as a result of caps on these costs contained in the omnibus agreement to which Exterran Holdings and Exterran Partners are parties (the "Omnibus Agreement"), which amounts are treated as capital contributions from Exterran Holdings for accounting purposes, less cash interest expense and maintenance capital expenditures, and excluding gains/losses on asset sales and non-recurring items.

With respect to Exterran Holdings, Gross Margin, a non-GAAP measure, is defined as total revenue less cost of sales (excluding depreciation and amortization expense).

With respect to Exterran Partners, Gross Margin, as adjusted, a non-GAAP measure, is defined as total revenue less cost of sales (excluding depreciation and amortization expense) plus any amounts by which cost of sales are reduced as a result of caps on these costs contained in the Omnibus Agreement, which amounts are treated as capital contributions from Exterran Holdings for accounting purposes.

About Exterran Holdings and Exterran Partners

Exterran Holdings, Inc. is a global market leader in full service natural gas compression and a premier provider of operations, maintenance, service and equipment for oil and gas production, processing and transportation applications. Exterran Holdings serves customers across the energy spectrum--from producers to transporters to processors to storage owners. Headquartered in Houston, Texas, Exterran and its over 10,000 employees have operations in more than 30 countries.

Exterran Partners, L.P. was formed by Exterran Holdings to provide natural gas contract operations services to customers throughout the United States. Exterran Holdings indirectly owns a majority interest in Exterran Partners.

    For more information, visit www.exterran.com.

    Forward-Looking Statements

All statements in this release (and oral statements made regarding the subjects of this release) other than historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of uncertainties and factors, many of which are outside the control of Exterran Holdings and Exterran Partners (the "Companies"), which could cause actual results to differ materially from such statements. Forward-looking information includes, but is not limited to: Exterran Holdings' expectation of continuing healthy market conditions for the remainder of 2008; the ability of Exterran Holdings to experience attractive returns from its North America and international contract operations backlog; the Companies' operational and financial strategies, and the Companies' ability to successfully effect those strategies; the Companies' financial and operational outlook and ability to fulfill that outlook; demand for the Companies' products and services and growth opportunities for those products and services, including demand arising from an increased interest in outsourcing services; the expected benefits to Exterran Partners from its relationship with Exterran Holdings; and the Companies' expected ability to fund operations, capital expenditures and growth opportunities.

While the Companies believe that the assumptions concerning future events are reasonable, they caution that there are inherent difficulties in predicting certain important factors that could impact the future performance or results of their business. Among the factors that could cause results to differ materially from those indicated by such forward-looking statements are: local, regional, national and international economic conditions and the impact they may have on the Companies and their customers; changes in master limited partnership equity markets and overall financial markets that impact the effect of the drop-down of additional assets to Exterran Partners; changes in tax laws that impact master limited partnerships, including drop-downs of additional assets to Exterran Partners; conditions in the oil and gas industry, including a sustained decrease in the level of supply or demand for oil and natural gas and the impact on the price of oil and natural gas; Exterran Holdings' ability to timely and cost-effectively obtain components necessary to conduct the Companies' business; changes in political or economic conditions in key operating markets, including international markets; changes in safety and environmental regulations pertaining to the production and transportation of oil and natural gas; and, as to each of the Companies, the performance of the other entity.

These forward-looking statements are also affected by the risk factors, forward-looking statements and challenges and uncertainties described in Exterran Holdings' Annual Report on Form 10-K for the year ended December 31, 2007, as amended by Amendment No. 1 thereto, Exterran Partners' Annual Report on Form 10-K for the year ended December 31, 2007, and those set forth from time to time in the Companies' filings with the Securities and Exchange Commission, which are currently available at www.exterran.com. Except as required by law, the Companies expressly disclaim any intention or obligation to revise or update any forward-looking statements whether as a result of new information, future events or otherwise.

                            (Tables Follow)
                       EXTERRAN HOLDINGS, INC.
      UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
               (in thousands, except per share amounts)


                                          Three Months Ended
                                 -------------------------------------
                                 September 30, June 30,  September 30,
                                     2008        2008        2007
                                 ------------- --------- -------------
Revenues:
  North America contract
   operations                    $    197,926  $194,607  $    148,986
  International contract
   operations                         135,153   125,854        88,457
  Aftermarket services                 98,275    97,706        75,045
  Fabrication                         364,608   394,044       432,114
                                 ------------- --------- -------------
                                      795,962   812,211       744,602
                                 ------------- --------- -------------

Costs and expenses:
  Cost of sales (excluding
   depreciation and amortization
   expense):
    North America contract
     operations                        84,440    86,303        64,581
    International contract
     operations                        53,884    48,128        35,439
    Aftermarket services               78,306    76,681        58,049
    Fabrication                       292,978   355,284       364,749
  Selling, general and
   administrative                      94,533    95,339        71,191
  Merger and integration
   expenses                             3,728     1,543        34,008
  Early extinguishment of debt              -         -        70,150
  Depreciation and amortization        94,286    92,415        66,040
  Fleet impairment                      1,000         -        61,945
  Interest expense                     33,364    30,105        38,680
  Equity in (income) loss of
   non-consolidated affiliates         (6,657)   (6,962)        5,005
  Other (income) expense, net           5,689    (8,612)      (13,578)
                                 ------------- --------- -------------
                                      735,551   770,224       856,259
                                 ------------- --------- -------------
Income (loss) before income
 taxes and minority interest           60,411    41,987      (111,657)
Provision (benefit) for income
 taxes                                 20,350    17,084       (38,692)
Minority interest, net of taxes         3,028     3,243         2,426
                                 ------------- --------- -------------
  Net income (loss)              $     37,033  $ 21,660  $    (75,391)
                                 ============= ========= =============
Earnings (loss) per share - (1):
  Basic                          $       0.57  $   0.33  $      (1.55)
                                 ============= ========= =============
  Diluted (2)                    $       0.56  $   0.33  $      (1.55)
                                 ============= ========= =============
Weighted average common and
 equivalent shares outstanding
 (1):
  Basic                                64,940    65,217        48,771
                                 ------------- --------- -------------
  Diluted                              68,537    65,904        48,771
                                 ------------- --------- -------------

(1) Adjusted for the Hanover common share conversion ratio in the
 merger of Hanover and Universal for the period ended September 30,
 2007.
(2) Net income for the diluted earnings per share calculation for the
 three-month periods ending September 30, 2008, June 30, 2008 and
 September 30, 2007 is adjusted to add back interest expense and
 amortization of financing costs, net of tax, relating to the
 Company's convertible senior notes totaling $1.2 million, zero and
 zero, respectively.

                       EXTERRAN HOLDINGS, INC.
                  UNAUDITED SUPPLEMENTAL INFORMATION
                        (Dollars in thousands)


                                         Three Months Ended
                               ---------------------------------------
                               September 30,  June 30,   September 30,
                                   2008         2008         2007
                               ------------- ----------- -------------
Revenues:
  North America contract
   operations                    $  197,926  $  194,607    $  148,986
  International contract
   operations                       135,153     125,854        88,457
  Aftermarket services               98,275      97,706        75,045
  Fabrication                       364,608     394,044       432,114
                               ------------- ----------- -------------
    Total                        $  795,962  $  812,211    $  744,602
                               ============= =========== =============

Gross Margin (1):
  North America contract
   operations                    $  113,486  $  108,304    $   84,405
  International contract
   operations                        81,269      77,726        53,018
  Aftermarket services               19,969      21,025        16,996
  Fabrication                        71,630      38,760        67,365
                               ------------- ----------- -------------
    Total                        $  286,354  $  245,815    $  221,784
                               ============= =========== =============

Selling, General and
 Administrative                  $   94,533  $   95,339    $   71,191
  % of Revenues                          12%         12%           10%

EBITDA, as adjusted (1)          $  192,789  $  166,050    $  165,909
  % of Revenues                          24%         20%           22%

Capital Expenditures (2)         $  119,831  $  153,664    $   90,714
Less: Proceeds from Sale of
 PP&E                               (18,418)    (23,724)       (8,591)
                               ------------- ----------- -------------
Net Capital Expenditures         $  101,413  $  129,940    $   82,123
                               ============= =========== =============

Gross Margin Percentage:
  North America contract
   operations                            57%         56%           57%
  International contract
   operations                            60%         62%           60%
  Aftermarket services                   20%         22%           23%
  Fabrication                            20%         10%           16%
  Total                                  36%         30%           30%

Reconciliation of GAAP to Non-
 GAAP Financial Information:
  Net income (loss)              $   37,033  $   21,660    $  (75,391)
  Depreciation and
   amortization                      94,286      92,415        66,040
  Fleet impairment                    1,000           -        61,945
  Impairment of investment in
   non-consolidated affiliates            -           -         6,743
  Early extinguishment of debt            -           -        70,150
  Interest expense                   33,364      30,105        38,680
  Merger and integration
   expenses                           3,728       1,543        34,008
  Minority interest                   3,028       3,243         2,426
  Provision (benefit) for
   income taxes                      20,350      17,084       (38,692)
                               ------------- ----------- -------------
  EBITDA, as adjusted (1)           192,789     166,050       165,909
  Selling, general and
   administrative                    94,533      95,339        71,191
  Equity in (income) loss of
   non-consolidated affiliates       (6,657)     (6,962)        5,005
  Impairment of investment in
   non-consolidated affiliates            -           -        (6,743)
  Other (income) expense              5,689      (8,612)      (13,578)
                               ------------- ----------- -------------
  Gross Margin (1)               $  286,354  $  245,815    $  221,784
                               ============= =========== =============


                               September 30,  June 30,   September 30,
                                       2008        2008          2007
                               ------------- ----------- -------------

Debt                             $2,467,773  $2,273,087    $2,246,063
Stockholders' Equity              3,239,237   3,239,728     3,151,359
                               ------------- ----------- -------------
Capitalization                   $5,707,010  $5,512,815    $5,397,422
Total Debt to Capitalization           43.2%       41.2%         41.6%

(1) Management believes disclosure of EBITDA, as adjusted, and Gross
 Margin, both non-GAAP measures, provides useful information to
 investors because, when viewed with our GAAP results and accompanying
 reconciliations, they provide a more complete understanding of our
 performance than GAAP results alone. Management uses EBITDA, as
 adjusted, and Gross Margin as supplemental measures to review current
 period operating performance, comparability measures and performance
 measures for period to period comparisons. In addition, EBITDA, as
 adjusted, is used by management as a valuation measure.

(2) Excludes $108.4 million to acquire EMIT Water Discharge
 Technology, LLC during the three months ended September 30, 2008.

                       EXTERRAN HOLDINGS, INC.
                  UNAUDITED SUPPLEMENTAL INFORMATION
            (Horsepower in thousands; dollars in millions)


                                  September 30, June 30, September 30,
                                           2008     2008          2007
                                  ------------- -------- -------------
Total Available Horsepower (at
 period end):
  North America contract
   operations                            4,540    4,504         4,475
  International contract
   operations                            1,478    1,456         1,442
                                  ------------- -------- -------------
    Total                                6,018    5,960         5,917
                                  ============= ======== =============

Total Operating Horsepower (at
 period end):
  North America contract
   operations                            3,452    3,472         3,719
  International contract
   operations                            1,359    1,367         1,290
                                  ------------- -------- -------------
    Total                                4,811    4,839         5,009
                                  ============= ======== =============

Horsepower Utilization (at period
 end):
  North America contract
   operations                               76%      77%           83%
  International contract
   operations                               92%      94%           89%
    Total                                   80%      81%           85%


                                  September 30, June 30, September 30,
                                          2008     2008          2007
                                  ------------- -------- -------------
Fabrication Backlog:
  Compression & accessory         $        359  $   327  $        395
  Production & processing                  732      821           720
                                  ------------- -------- -------------
    Total                         $      1,091  $ 1,148  $      1,115
                                  ============= ======== =============

                       EXTERRAN PARTNERS, L.P.
      UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
               (in thousands, except per unit amounts)



                                           Three Months Ended
                                  ------------------------------------
                                  September 30, June 30, September 30,
                                      2008        2008       2007
                                  ------------- -------- -------------


Revenue                           $      44,390 $34,999  $     34,711

Costs and expenses:
  Cost of sales (excluding
   depreciation and amortization)        19,900  15,937        14,986
  Depreciation and amortization           7,542   5,811         5,160
  Selling, general and
   administrative                         2,423   4,745         3,400
  Interest expense                        4,967   3,445         3,560
  Other (income) expense, net                 -  (1,129)           (9)
                                  ------------- -------- -------------
    Total costs and expenses             34,832  28,809        27,097
                                  ------------- -------- -------------
Income before income taxes                9,558   6,190         7,614
Income tax expense                          147     111           132
                                  ------------- -------- -------------
  Net income                      $       9,411 $ 6,079  $      7,482
                                  ============= ======== =============

General partner interest in net
 income                           $         432 $   186  $        150
                                  ------------- -------- -------------

Limited partner interest in net
 income                           $       8,979 $ 5,893  $      7,332
                                  ============= ======== =============

Weighted average limited partners
 units outstanding:
  Basic                                  18,305  16,679        16,285
                                  ------------- -------- -------------

  Diluted                                18,320  16,779        16,334
                                  ------------- -------- -------------

Earnings per limited partner
 unit:
  Basic                           $        0.49 $  0.35  $       0.45
                                  ============= ======== =============

  Diluted                         $        0.49 $  0.35  $       0.45
                                  ============= ======== =============

                       EXTERRAN PARTNERS, L.P.
                  UNAUDITED SUPPLEMENTAL INFORMATION
           (Dollars in thousands, except per unit amounts)



                                          Three Months Ended
                                 -------------------------------------
                                 September 30, June 30,  September 30,
                                     2008        2008        2007
                                 ------------- --------- -------------

Revenue                              $ 44,390  $ 34,999      $ 34,711

Gross Margin, as adjusted (1)        $ 28,063  $ 22,561      $ 22,572

EBITDA, as further adjusted (1)      $ 22,694  $ 20,313      $ 19,116
  % of Revenue                             51%       58%           55%

Capital Expenditures                 $  4,390  $  7,503      $  7,627
Less: Proceeds from Sale of
 Compression Equipment                      -    (5,275)            -
                                 ------------- --------- -------------
Net Capital Expenditures             $  4,390  $  2,228      $  7,627
                                 ============= ========= =============

Gross Margin percentage, as
 adjusted                                  63%       64%           65%

Distributable cash flow (2)          $ 14,798  $ 14,039      $ 13,496

Distributions per Limited
 Partner Unit                        $ 0.4625  $  0.425      $   0.40
Distribution to All Unitholders,
 including Incentive
 Distributions                       $  9,264  $  8,346      $  6,808
  Distributable Cash Flow
   Coverage                              1.60x     1.68x         1.98x

                                  September    June 30,   September
                                      30,                     30,
                                         2008      2008          2007
                                 ------------- --------- -------------

Debt                                 $399,750  $217,000      $220,000
Total Partners' Capital               175,151   151,214       147,769
                                 ------------- --------- -------------
Capitalization                       $574,901  $368,214      $367,769
Total Debt to Capitalization               70%       59%           60%
EBITDA, as further adjusted (1)
 to Interest Expense                      4.6x      5.9x          5.4x

(1) Management believes disclosure of EBITDA, as further adjusted, and
 Gross Margin, as adjusted, both non-GAAP measures, provides useful
 information to investors because, when viewed with our GAAP results
 and accompanying reconciliations, they provide a more complete
 understanding of our performance than GAAP results alone. Management
 uses EBITDA, as further adjusted, and Gross Margin, as adjusted, as
 supplemental measures to review current period operating performance,
 comparability measures and performance measures for period to period
 comparisons. In addition, EBITDA, as further adjusted, is used by
 management as a valuation measure.

(2) Distributable cash flow, a non-GAAP measure, is a significant
 liquidity metric used by management to compare basic cash flows
 generated by us to the cash distributions we expect to pay our
 partners. Using this metric, management can quickly compute the
 coverage ratio of estimated cash flows to planned cash distributions.

                       EXTERRAN PARTNERS, L.P.
                  UNAUDITED SUPPLEMENTAL INFORMATION
                        (Dollars in thousands)

                                           Three Months Ended
                                  ------------------------------------
                                  September 30, June 30, September 30,
                                      2008        2008       2007
                                  ------------- -------- -------------

Reconciliation of GAAP to Non-
 GAAP Financial Information:

Net income                        $      9,411  $ 6,079  $      7,482
Income tax expense                         147      111           132
Depreciation and amortization            7,542    5,811         5,160
Cap on operating and selling,
 general and administrative costs
 provided by Exterran Holdings
 ("EXH")                                 3,589    3,499         2,847
Non-cash selling, general and
 administrative costs                   (2,962)   1,368           792
Non-recurring cash selling,
 general and administrative
 reimbursement (1)                           -        -          (848)
Interest expense, net of interest
 income                                  4,967    3,445         3,551
                                  ------------- -------- -------------
EBITDA, as further adjusted (2)         22,694   20,313        19,116
Cash selling, general and
 administrative costs                    5,385    3,377         2,608
Plus: Non-recurring cash selling,
 general and administrative
 reimbursement (1)                           -        -           848
Less: cap on selling, general and
 administrative costs provided by
 EXH                                       (16)       -             -
Less: other income, expense, net             -   (1,129)            -
                                  ------------- -------- -------------
Gross Margin, as adjusted for
 operating cost caps provided by
 EXH (2)                          $     28,063  $22,561  $     22,572
Other income, expense, net                   -    1,129             -
Less: Gain on sale of compression
 equipment                                   -   (1,119)            -
Less: Cash interest expense             (4,835)  (3,286)       (3,501)
Less: Cash selling, general and
 administrative, as adjusted for
 cost caps provided by EXH              (5,369)  (3,377)       (2,608)
Less: Income tax expense                  (147)    (111)         (132)
Less: Maintenance capital
 expenditures                           (2,914)  (1,758)       (1,987)
Less: Non-recurring cash selling,
 general and administrative
 reimbursement (1)                           -        -          (848)
                                  ------------- -------- -------------
Distributable cash flow (3)       $     14,798  $14,039  $     13,496
                                  ============= ======== =============


Cash flows from operating
 activities                       $     10,311  $11,824  $     11,305
Amortization of debt issuance
 cost                                      (94)     (88)          (59)
Amortization of fair value of
 acquired interest rate swaps              (38)     (71)            -
Cap on operating and selling,
 general and administrative costs
 provided by EXH                         3,589    3,499         2,847
Interest expense, net of interest
 income                                  4,967    3,445         3,551
Cash interest expense                   (4,835)  (3,286)       (3,501)
Maintenance capital expenditures        (2,914)  (1,758)       (1,987)
Change in assets and liabilities         3,812      474         2,188
Less: Non-recurring cash selling,
 general and administrative
 reimbursement (1)                           -        -          (848)
                                  ------------- -------- -------------
Distributable cash flow (3)       $     14,798  $14,039  $     13,496
                                  ============= ======== =============

(1) Consists of a cash reimbursement from Exterran Holdings of non-
 cash merger-related expenses incurred by Exterran Partners.

(2) Management believes disclosure of EBITDA, as further adjusted, and
 Gross Margin, as adjusted, both non-GAAP measures, provides useful
 information to investors because, when viewed with our GAAP results
 and accompanying reconciliations, they provide a more complete
 understanding of our performance than GAAP results alone. Management
 uses EBITDA, as further adjusted, and Gross Margin, as adjusted, as
 supplemental measures to review current period operating performance,
 comparability measures and performance measures for period to period
 comparisons. In addition, EBITDA, as further adjusted, is used by
 management as a valuation measure.

(3) Distributable cash flow, a non-GAAP measure, is a significant
 liquidity metric used by management to compare basic cash flows
 generated by us to the cash distributions we expect to pay our
 partners. Using this metric, management can quickly compute the
 coverage ratio of estimated cash flows to planned cash distributions.

                       EXTERRAN PARTNERS, L.P.
                  UNAUDITED SUPPLEMENTAL INFORMATION
                      (Horsepower in thousands)


                                           Three Months Ended
                                  ------------------------------------
                                  September 30, June 30, September 30,
                                      2008        2008       2007
                                  ------------- -------- -------------

Total Available Horsepower (at
 period end)                             1,017      742           703
                                  ============= ======== =============

Total Operating Horsepower (at
 period end)                               909      651           664
                                  ============= ======== =============

Average Operating Horsepower               816      652           632
                                  ============= ======== =============

Horsepower Utilization:
      Spot (at period end)                  89%      88%           95%
      Average                               89%      89%           95%

Combined U.S. Contract Operations
 Horsepower of Exterran Holdings
 and Exterran Partners covered by
 contracts converted to service
 agreements (at period end)              1,716    1,624         1,201

Total Available U.S. Contract
 Operations Horsepower of
 Exterran Holdings and Exterran
 Partners (at period end)                4,428    4,393         4,365

% of U.S. Contract Operations
 Horsepower of Exterran Holdings
 and Exterran Partners covered by
 contracts converted to service
 agreements (at period end)               38.8%    37.0%         27.5%

CONTACT:
Exterran, Houston
Investors: David Oatman, 281-836-7035
or
Media: Pat (Patricia) Wente, 281-836-7308

SOURCE:
Exterran