FGP Ferrellgas Partners LP

Item 1.01 Entry into a Material Definitive Agreement.

On April 28, 2017, Ferrellgas, L.P. (the "operating partnership") executed a sixth amendment to its secured credit facility and a fifth amendment to its accounts receivable securitization facility.

These amendments modify (1) our leverage ratio covenant to be a maximum of 7.75x for each four-quarter period ending on and before April 30, 2018 and thereafter 5.50x and (2) our interest coverage ratio covenant to be a minimum of 1.75x for each four-quarter period end on and before April 30, 2018 and thereafter 2.50x.

Our leverage ratio is defined as the ratio of total debt of the operating partnership to trailing four quarter EBITDA of the operating partnership (adjusted for certain, defined items), as detailed in our secured credit facility and our accounts receivable securitization facility. Our interest coverage ratio is defined as the ratio of trailing four quarter EBITDA of the operating partnership (adjusted for certain, defined items) to interest expense (adjusted for certain defined items) for such period, as detailed in our secured credit facility and our accounts receivable securitization facility.

Before the amendments, our leverage ratio was a maximum of (1) 5.95x for the period ending April 30, 2017, (2) 6.05x for the period ending July 31, 2017, (3) 5.95x for the periods ending October 31, 2017 and January 31, 2017, and (4) 5.50x for each four-quarter period ending thereafter and our interest coverage ratio was a minimum of 2.50x for each four-quarter period.

The amendment to our secured credit facility also (1) reduces the amounts available to be borrowed from $700 million to $575 million, (2) increases the pricing of loans when our leverage ratio is greater than or equal to 6.00x from LIBOR plus 3.50% to LIBOR plus 3.75% and when our leverage ratio is greater than or equal to 7.00x from LIBOR plus 3.50% to LIBOR plus 4.00%, (3) limits the amount of distributions (other than distributions to Ferrellgas Partners, L.P. for payments of interest payable on its unsecured notes) that the operating partnership may make to Ferrellgas Partners, L.P. to $10 million per quarter until the leverage ratio is less than 5.50x, (4) reduces the amount of investments we can make when our leverage ratio is greater than 5.50x from $200 million to $50 million, and (5) requires us to reduce our secured credit facility with 50% of the net cash proceeds received from any equity sale.