DESCRIPTION OF THE PARTNERSHIPS CAPITAL STRUCTURE
The following is a description of the material terms of the LP Units and a summary of certain terms of the Partnerships
limited partnership agreement, as amended (the limited partnership agreement), which is incorporated herein by reference. For more information on the limited partnership agreement, see Item 10.B, Additional
InformationMemorandum and Articles of AssociationDescription of Our Units and Our Limited Partnership Agreement in our Annual Report, which is incorporated by reference herein.
As of September 18, 2020, there were 295,284,506 LP Units outstanding (417,237,498 LP Units assuming the
exchange of all of Brookfields RPUs and 418,338,876 LP Units assuming the exchange of all of Brookfields RPUs and Exchange LP Units), 4,989,265 Class A Preferred Units, Series 1, 4,989,262 Class A Preferred Units,
Series 3, 9,986,588 Class A Preferred Units, Series 5, 11,979,750 Class A Preferred Units, Series 7, 7,986,595 Class A Preferred Units, Series 9, 9,936,190 Class A Preferred Units, Series 11 and 8,000,000
Class A Preferred Units, Series 13 outstanding and no Class A Preferred Units, Series 2, Class A Preferred Units, Series 4, Class A Preferred Units, Series 6, Class A Preferred Units, Series 8, Class A
Preferred Units, Series 10 and Class A Preferred Units, Series 12 outstanding. The RPUs are subject to a redemption-exchange mechanism pursuant to which LP Units may be issued in exchange for RPUs on a one for one basis.
As of September 18, 2020, there were 44,988,147 Exchangeable Shares outstanding.
On October 16, 2018, Exchange LP issued 5,726,170 Exchangeable LP Units in connection with the
privatization of Enercare Inc. Each Exchangeable LP Unit is exchangeable for one LP Unit. As of September 18, 2020, there were 1,101,378 Exchangeable LP Units outstanding.
The LP Units are non-voting limited partnership interests in the Partnership.
Holders of LP Units are not entitled to the withdrawal or return of capital contributions in respect of the LP Units, except to the extent, if any, that distributions are made to such holders pursuant to the Partnerships limited
partnership agreement or upon the liquidation of the Partnership as described in our Annual Report or as otherwise required by applicable law. Except to the extent expressly provided in the Partnerships limited partnership agreement, a holder
of LP Units will not have priority over any other holder of LP Units, either as to the return of capital contributions or as to profits, losses or distributions. The LP Units rank junior to the Preferred LP Units with respect to
priority in the payment of distributions and in the distribution of the assets of the Partnership in the event of the liquidation, dissolution or winding-up of the Partnership, whether voluntary or
involuntary, as further described in our Annual Report. Holders of LP Units will not be granted any preemptive or other similar right to acquire additional interests in the Partnership. In addition, holders of LP Units do not have any
right to have their LP Units redeemed by the Partnership. For a more detailed description of the LP Units, please refer to our Annual Report, as updated by our subsequent filings with the SEC that are incorporated herein by reference.
Further, subject to the terms of any preferred LP Units then outstanding, our limited partnership agreement authorizes us
to establish one or more classes, or one or more series of any such classes of preferred LP Units with such designations, preferences, rights, powers and duties (which may be senior to existing classes and series of our preferred LP Units, such as
the Class A Preferred Units), as shall be determined by the Partnerships general partner in its sole discretion, including: (i) the right to share in our profits and losses or items thereof; (ii) the right to share in our
distributions; (iii) the rights upon our dissolution and liquidation; (iv) whether, and the terms and conditions upon which, we may or shall be required to redeem our preferred LP Units (including sinking fund provisions); (v) whether such
preferred LP Unit is issued with the privilege of conversion or exchange and, if so, the terms and conditions of such conversion or exchange; (vi) the terms and conditions upon which each preferred LP Unit will be issued, evidenced by
certificates and assigned or transferred; and (viii) the requirement, if any, of each such preferred LP Unit to consent to certain Partnership matters.
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