##### 



EXHIBIT
99.1
 Exterran Holdings and Exterran Partners Report
Third Quarter 2007 Results
  Exterran Holdings, Inc. Financial Results




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Exterran Partners, L.P. Financial Results




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Conference Call Details
 
    
    Teleconference:Friday, November 2, 2007 at 11:00 a.m. Eastern Time (10:00 a.m. Central
Time). To access the call, United States and Canadian participants should dial
800-811-8824. International participants should dial 913-981-4903 at least 10 minutes
before the scheduled start time. Please reference Exterran conference call number 5224782.
    
    Live Webcast:The webcast will be available in listen-only mode via the Companys
website: www.exterran.com.
    
    Webcast Replay:For those unable to participate, a replay will be available from 1:30
p.m. Eastern Time on Friday, November 2, until 1:30 p.m. Eastern Time Friday, November 9,
2007. To listen to the replay, please dial 888-203-1112 in the U.S. and Canada, or
719-457-0820 internationally and enter access code 5224782.




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About Exterran
   Forward Looking Statements




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Exterran Contact Information:
 (Tables Follow)




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EXTERRAN HOLDINGS, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands, except per share amounts)
 Three Months EndedSeptember 30,
    
    
    June 30,
    
    
    September 30,2007
    
    
    2007
    
    
    2006Revenues and other income:U.S. contract operations
    
    $
    145,913
    
    
    $
    99,562
    
    
    $
    98,030International contract operations
    
    
    91,530
    
    
    
    69,645
    
    
    
    63,792Aftermarket services
    
    
    150,202
    
    
    
    72,664
    
    
    
    47,951Compressor and accessory fabrication
    
    
    174,235
    
    
    
    139,508
    
    
    
    90,141Production and processing equipment fabrication
    
    
    191,649
    
    
    
    122,595
    
    
    
    115,890Equity in income (loss) of non-consolidated affiliates (1)
    
    
    (5,005
    )
    
    
    6,279
    
    
    
    6,313Gain on sale of business and other income
    
    
    5,006
    
    
    
    5,465
    
    
    
    1,667753,530
    
    
    
    515,718
    
    
    
    423,784Costs and expenses:Cost of sales (excluding depreciation and amortization expense):U.S. contract operations
    
    
    62,184
    
    
    
    40,258
    
    
    
    39,557International contract operations
    
    
    36,731
    
    
    
    27,675
    
    
    
    25,528Aftermarket services
    
    
    127,519
    
    
    
    56,036
    
    
    
    37,894Compressor and accessory fabrication
    
    
    134,916
    
    
    
    106,016
    
    
    
    74,371Production and processing equipment fabrication
    
    
    164,661
    
    
    
    104,336
    
    
    
    97,675Selling, general and administrative
    
    
    73,025
    
    
    
    56,240
    
    
    
    50,913Merger and integration expenses
    
    
    34,008
    
    
    
    3,065
    
    
    
    Depreciation and amortization
    
    
    67,133
    
    
    
    52,772
    
    
    
    45,307Fleet impairment
    
    
    61,945
    
    
    
    
    
    
    
    Interest expense (2)
    
    
    37,483
    
    
    
    26,775
    
    
    
    28,802Foreign currency translation
    
    
    (4,673
    )
    
    
    319
    
    
    
    905Debt extinguishment costs
    
    
    70,255
    
    
    
    
    
    
    
    Total costs and expenses
    
    
    865,187
    
    
    
    473,492
    
    
    
    400,952Income (loss) from continuing operations before income taxes
and minority interest
    
    
    (111,657
    )
    
    
    42,226
    
    
    
    22,832Provision (benefit) for income taxes
    
    
    (38,692
    )
    
    
    16,162
    
    
    
    11,216Income (loss) from continuing operations before minority interest
    
    
    (72,965
    )
    
    
    26,064
    
    
    
    11,616Minority interest, net of taxes
    
    
    (2,426
    )
    
    
    
    
    
    
    93Income (loss) from continuing operations
    
    
    (75,391
    )
    
    
    26,064
    
    
    
    11,709Income from discontinued operations, net of tax
    
    
    
    
    
    
    
    
    
    
    570Net income (loss)
    
    $
    (75,391
    )
    
    $
    26,064
    
    
    $
    12,279Basic income (loss) per common share:Income (loss) from continuing operations
    
    $
    (1.55
    )
    
    $
    0.76
    
    
    $
    0.37Income from discontinued operations, net of tax
    
    
    
    
    
    
    
    
    
    
    Net income (loss)
    
    $
    (1.55
    )
    
    $
    0.76
    
    
    $
    0.37Diluted income (loss) per common share:Income (loss) from continuing operations (3)
    
    $
    (1.55
    )
    
    $
    0.71
    
    
    $
    0.34Income from discontinued operations, net of tax
    
    
    
    
    
    
    
    
    
    
    0.03Net income (loss)
    
    $
    (1.55
    )
    
    $
    0.71
    
    
    $
    0.37Weighted average common and eqivalent shares outstanding (4):Basic
    
    
    48,771
    
    
    
    34,414
    
    
    
    32,948Diluted
    
    
    48,771
    
    
    
    38,368
    
    
    
    33,605
 
 (1)
    
    Includes impairment of investment in non-consolidated affiliate of $6.7 million in the third
quarter of 2007.(2)
    
    Includes termination of interest rate swaps charges of $7.0 million in the third quarter of
2007 related to the refinancing.(3)
    
    Net income for the diluted earnings per share calculation for the three-month period ending
June 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 due 2014 and convertible senior notes due
2029 totaling $1.2 million.(4)
    
    Adjusted for the Hanover common share conversion ratio in the merger of Hanover and Universal
for the periods ended June 30, 2007 and September 30, 2006. Page 6 of 12




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EXTERRAN HOLDINGS, INC.
UNAUDITED SUPPLEMENTAL INFORMATION
(Dollars in thousands)
 Three Months EndedSeptember 30,
    
    
    June 30,
    
    
    September 30,2007
    
    
    2007
    
    
    2006Revenues:U.S. contract operations
    
    $
    145,913
    
    
    $
    99,562
    
    
    $
    98,030International contract operations
    
    
    91,530
    
    
    
    69,645
    
    
    
    63,792Aftermarket services
    
    
    150,202
    
    
    
    72,664
    
    
    
    47,951Compressor and accessory fabrication
    
    
    174,235
    
    
    
    139,508
    
    
    
    90,141Production and processing equipment fabrication (1)
    
    
    191,649
    
    
    
    122,595
    
    
    
    115,890Total
    
    $
    753,529
    
    
    $
    503,974
    
    
    $
    415,804Gross Margin (2):U.S. contract operations
    
    $
    83,729
    
    
    $
    59,304
    
    
    $
    58,473International contract operations
    
    
    54,799
    
    
    
    41,970
    
    
    
    38,264Aftermarket services
    
    
    22,683
    
    
    
    16,628
    
    
    
    10,057Compressor and accessory fabrication
    
    
    39,319
    
    
    
    33,492
    
    
    
    15,770Production and processing equipment fabrication (1)
    
    
    26,988
    
    
    
    18,259
    
    
    
    18,215Total
    
    $
    227,518
    
    
    $
    169,653
    
    
    $
    140,779Selling, General and Administrative
    
    $
    73,025
    
    
    $
    56,240
    
    
    $
    50,913% of Revenues
    
    
    10
    %
    
    
    11
    %
    
    
    12
    %EBITDA, as adjusted (2)
    
    $
    161,237
    
    
    $
    125,157
    
    
    $
    97,846% of Revenues
    
    
    21
    %
    
    
    25
    %
    
    
    24
    %Capital Expenditures
    
    $
    90,713
    
    
    $
    69,451
    
    
    $
    53,883Proceeds from Sale of PP&E
    
    
    8,591
    
    
    
    9,425
    
    
    
    3,852Net Capital Expenditures
    
    $
    82,122
    
    
    $
    60,026
    
    
    $
    50,031Gross Margin Percentage:U.S. contract operations
    
    
    57
    %
    
    
    60
    %
    
    
    60
    %International contract operations
    
    
    60
    %
    
    
    60
    %
    
    
    60
    %Aftermarket services
    
    
    15
    %
    
    
    23
    %
    
    
    21
    %Compressor and accessory fabrication
    
    
    23
    %
    
    
    24
    %
    
    
    17
    %Production and processing equipment fabrication
    
    
    14
    %
    
    
    15
    %
    
    
    16
    %Total
    
    
    30
    %
    
    
    34
    %
    
    
    34
    %Reconciliation of GAAP to Non-GAAP Financial Information:Income from continuing operations
    
    $
    (75,391
    )
    
    $
    26,064
    
    
    $
    11,709Depreciation and amortization
    
    
    67,133
    
    
    
    52,772
    
    
    
    45,307Fleet impairment
    
    
    61,945
    
    
    
    
    
    
    
    Impairment of investment in non-consolidated affiliate
    
    
    6,743
    
    
    
    
    
    
    
    Interest expense
    
    
    37,483
    
    
    
    26,775
    
    
    
    28,802Debt extinguishment costs
    
    
    70,255
    
    
    
    
    
    
    
    Foreign currency translation
    
    
    (4,673
    )
    
    
    319
    
    
    
    905Merger and integration expenses
    
    
    34,008
    
    
    
    3,065
    
    
    
    Minority interest
    
    
    2,426
    
    
    
    
    
    
    
    (93
    )Provision (benefit) for income taxes
    
    
    (38,692
    )
    
    
    16,162
    
    
    
    11,216EBITDA, as adjusted (2)
    
    
    161,237
    
    
    
    125,157
    
    
    
    97,846Selling, general and administrative
    
    
    73,025
    
    
    
    56,240
    
    
    
    50,913Equity in (income) loss of non-consolidated affiliates
    
    
    5,005
    
    
    
    (6,279
    )
    
    
    (6,313
    )Less: Impairment of investment in non-consolidated affiliate
    
    
    (6,743
    )
    
    
    
    
    
    
    Gain on sale of business and other income
    
    
    (5,006
    )
    
    
    (5,465
    )
    
    
    (1,667
    )Gross Margin (2)
    
    $
    227,518
    
    
    $
    169,653
    
    
    $
    140,779
 September 30,
    
    
    June 30,
    
    
    September 30,2007
    
    
    2007
    
    
    2006Debt
    
    $
    2,246,063
    
    
    $
    1,338,479
    
    
    $
    1,426,885Stockholders Equity
    
    $
    3,151,359
    
    
    $
    1,159,863
    
    
    $
    974,881Total Debt to Capitalization
    
    
    41.6
    %
    
    
    53.6
    %
    
    
    59.4
    %
 
 (1)
    
    Our subsidiary, Belleli Energy S.r.l. (Belleli), had revenues of $76.2 million, $81.0 million
and $65.1 million and gross margin of $3.3 million, $6.3 million and $7.7 million in the third
quarter of 2007, second quarter of 2007 and third quarter of 2006, respectively.(2)
    
    Management believes disclosure of EBITDA, as adjusted, and Gross Margin, non-GAAP measures,
provide 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. Page 7 of 12




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EXTERRAN HOLDINGS, INC.
UNAUDITED SUPPLEMENTAL INFORMATION
(Horsepower in thousands; dollars in millions)
 September 30,2007Total Available Horsepower:U.S. contract operations
    
    
    4,365International contract operations
    
    
    1,550Total
    
    
    5,915Horsepower Utilization:U.S. contract operations
    
    
    83
    %International contract operations
    
    
    89
    %Total
    
    
    85
    %
 September 30,
    
    
    June 30,
    
    
    September 30,2007
    
    
    2007
    
    
    2006Fabrication Backlog:Compression & accessory
    
    $
    395
    
    
    $
    299
    
    
    $
    192Production & processing (1)
    
    
    720
    
    
    
    732
    
    
    
    496Total
    
    $
    1,115
    
    
    $
    1,031
    
    
    $
    689
 
 (1)
    
    Includes Bellelis backlog of $518 million, $569 million and
$454 million at September 30, 2007, June 30, 2007 and September 30,
2006, respectively. Page 8 of 12




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EXTERRAN PARTNERS, L.P.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands, except per unit amounts)
 Three Months EndedSeptember 30,
    
    
    June 30,2007
    
    
    2007Revenue and other income:Revenue
    
    $
    34,711
    
    
    $
    18,804Interest income
    
    
    9
    
    
    
    334,720
    
    
    
    18,807Costs and expenses:Cost of sales (excluding depreciation)
    
    
    14,986
    
    
    
    8,062Depreciation
    
    
    5,160
    
    
    
    2,968Selling, general and administrative
    
    
    3,400
    
    
    
    3,426Interest expense
    
    
    3,560
    
    
    
    2,093Total costs and expenses
    
    
    27,106
    
    
    
    16,549Income before income taxes
    
    
    7,614
    
    
    
    2,258Income tax (benefit) expense
    
    
    132
    
    
    
    (6
    )Net income
    
    $
    7,482
    
    
    $
    2,264General partner interest in net income
    
    $
    150
    
    
    $
    45Limited partner interest in net income
    
    $
    7,332
    
    
    $
    2,219Weighted average limited partners units outstanding:Basic
    
    
    16,285
    
    
    
    12,650Diluted
    
    
    16,334
    
    
    
    12,709Earnings per limited partner unit:Basic
    
    $
    0.45
    
    
    $
    0.18Diluted
    
    $
    0.45
    
    
    $
    0.17
 Page 9 of 12




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EXTERRAN PARTNERS, L.P.
UNAUDITED SUPPLEMENTAL INFORMATION
(Dollars in thousands, except per unit amounts)
 Three Months EndedSeptember 30,
    
    
    June 30,2007
    
    
    2007Revenue
    
    $
    34,711
    
    
    $
    18,804Gross Margin, as adjusted (1)
    
    $
    22,572
    
    
    $
    12,911EBITDA, as further adjusted (1)
    
    $
    19,116
    
    
    $
    10,411% of Revenue
    
    
    55
    %
    
    
    55
    %Capital Expenditures
    
    $
    7,627
    
    
    $
    10,071Proceeds from Sale of PP&E
    
    
    
    
    
    
    Net Capital Expenditures
    
    $
    7,627
    
    
    $
    10,071Gross Margin percentage, as adjusted
    
    
    65
    %
    
    
    69
    %Distributable cash flow (2)
    
    $
    13,496
    
    
    $
    6,894Distributions per Unit
    
    $
    0.40
    
    
    $
    0.35Distribution to All Unitholders
    
    $
    6,808
    
    
    $
    5,957Distributable Cash Flow Coverage
    
    
    1.98x
    
    
    
    1.16x
 September 30,
    
    
    June 30,2007
    
    
    2007Debt
    
    $
    220,000
    
    
    $
    121,000Total Partners Capital
    
    $
    147,769
    
    
    $
    74,861Total Debt to Capitalization
    
    
    59.8
    %
    
    
    61.8
    %Total Debt to Annualized EBITDA, as further adjusted (1)
    
    
    2.9x
    
    
    
    2.9xEBITDA, as further adjusted (1) to Interest Expense
    
    
    5.4x
    
    
    
    5.0x
 
 (1)
    
    Management believes disclosure of EBITDA, as further adjusted, and Gross Margin, as
adjusted, non-GAAP measures, provide 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. Page 10 of 12




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EXTERRAN PARTNERS, L.P.
UNAUDITED SUPPLEMENTAL INFORMATION
(Dollars in thousands)
 Three Months EndedSeptember 30,
    
    
    June 30,2007
    
    
    2007Reconciliation of GAAP to Non-GAAP Financial Information:Net income
    
    $
    7,482
    
    
    $
    2,264Income tax (benefit) expense
    
    
    132
    
    
    
    (6
    )Depreciation
    
    
    5,160
    
    
    
    2,968Cap on operating and selling, general and administrative costs provided by Exterran Holdings (EXH)
    
    
    2,847
    
    
    
    1,789Non-cash selling, general and administrative costs
    
    
    792
    
    
    
    1,303Non-recurring cash selling, general and administrative reimbursement (1)
    
    
    (848
    )
    
    
    Interest expense, net of interest income
    
    
    3,551
    
    
    
    2,093EBITDA, as further adjusted (2)
    
    
    19,116
    
    
    
    10,411Cash selling, general and administrative costs (see note 1 below)
    
    
    2,608
    
    
    
    2,612Less: cap on selling, general and administrative costs provided by EXH
    
    
    
    
    
    
    (112
    )Plus: Non-recurring cash selling, general and administrative reimbursement (1)
    
    
    848
    
    
    
    Gross Margin, as adjusted for operating cost caps provided by EXH (2)
    
    $
    22,572
    
    
    $
    12,911Less: Cash interest expense
    
    
    (3,501
    )
    
    
    (2,085
    )Less: Cash selling, general and administrative, as adjusted for cost caps provided by EXH
    
    
    (2,608
    )
    
    
    (2,500
    )Less: Income tax (expense) benefit
    
    
    (132
    )
    
    
    6Less: Maintenance capital expenditures
    
    
    (1,987
    )
    
    
    (1,438
    )Less: Non-recurring cash selling, general and administrative reimbursement (1)
    
    
    (848
    )
    
    
    Distributable cash flow (3)
    
    $
    13,496
    
    
    $
    6,894Cash flows from operating activities
    
    $
    11,305
    
    
    $
    5,658Amortization of debt issuance cost
    
    
    (59
    )
    
    
    (56
    )Cap on operating and selling, general and administrative costs provided by EXH
    
    
    2,847
    
    
    
    1,789Interest expense, net of interest income
    
    
    3,551
    
    
    
    2,093Cash interest expense
    
    
    (3,501
    )
    
    
    (2,085
    )Maintenance capital expenditures
    
    
    (1,987
    )
    
    
    (1,438
    )Change in current assets/liabilities
    
    
    2,314
    
    
    
    807Change in non-current assets/liabilities
    
    
    (126
    )
    
    
    126Less: Non-recurring cash selling, general and administrative reimbursement (1)
    
    
    (848
    )
    
    
    Distributable cash flow (3)
    
    $
    13,496
    
    
    $
    6,894
 
 (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,
non-GAAP measures, provide 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. Page 11 of 12




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EXTERRAN PARTNERS, L.P.
UNAUDITED SUPPLEMENTAL INFORMATION
(Horsepower in thousands)
 Three Months EndedSeptember 30,
    
    
    June 30,2007
    
    
    2007Total Available Horsepower (at period end)
    
    
    703
    
    
    
    387Average Operating Horsepower
    
    
    632
    
    
    
    348Horsepower Utilization:Spot (at period end)
    
    
    94.5
    %
    
    
    92.7
    %Average
    
    
    94.9
    %
    
    
    93.1
    %Combined U.S. Contract Operations Horsepower of Exterran Holdings
and Exterran Partners covered by contracts converted to service
agreements (at period end) (1)
    
    
    1,201
    
    
    
    1,194Total Available U.S. Contract Operations Horsepower of Exterran Holdings
and Exterran Partners (at period end) (1)
    
    
    4,365
    
    
    
    2,147% of U.S. Contract Operations Horsepower of Exterran Holdings
and Exterran Partners under Converted Contract Form (at period end) (1)
    
    
    27.5
    %
    
    
    55.6
    %
 
 (1)
    
    Includes only horsepower of Universal Compression, Inc. at June 30, 2007. Page 12 of 12