williams quarterly data book - second quarter 2015

We make energy happen.®

July 29, 2015

© 2015 The Williams Companies, Inc. All rights reserved.

Williams Quarterly Data Book

(Includes WMB and WPZ)

Second Quarter 2015

1 © 2015 The Williams Companies, Inc. All rights reserved.Williams and Williams Partners L.P. Second Quarter 2015 Earnings | 7/29/2015

> The reports, filings, and other public announcements of The Williams Companies, Inc. (Williams) and Williams Partners L.P. (WPZ)may contain or incorporate by reference statements that do not directly or exclusively relate to historical facts. Such statements are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of theSecurities Exchange Act of 1934, as amended. We make these forward-looking statements in reliance on the safe harbor protections provided under the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by various forms of words such as “anticipates,” “believes,” “seeks,” “could,” “may,” “should,” “continues,” “estimates,” “expects,” “forecasts,” “intends,” “might,” “goals,” “objectives,” “targets,” “planned,” “potential,” “projects,” “scheduled,” “will,” “assumes,” “guidance,” “outlook,” “in service date” or other similar expressions. These forward-looking statements are based on management's beliefs and assumptions and on information currently available to management and include, among others, statements regarding:

– Expected levels of cash distributions by WPZ with respect to general partner interests, incentive distribution rights, and limited partner interests;– Levels of dividends to Williams stockholders;– The status, expected timing, and expected outcome of Williams’ proposed acquisition of all of the publicly held outstanding common units of WPZ in

exchange for shares of Williams common stock (Acquisition of WPZ Public Units);– The status, expected timing, and expected outcome of the unsolicited proposal for Williams to be acquired in an all-equity transaction (Unsolicited

Proposal) and Williams Board of Directors’ ongoing review of strategic alternatives;– Future credit ratings of Williams and WPZ;– Amounts and nature of future capital expenditures; – Expansion and growth of our business and operations; – Financial condition and liquidity; – Business strategy; – Cash flow from operations or results of operations;– Seasonality of certain business components;– Natural gas, natural gas liquids, and olefins prices, supply, and demand;– Demand for our services.

> Forward-looking statements are based on numerous assumptions, uncertainties and risks that could cause future events or results to be materially different from those stated or implied in this presentation. Many of the factors that will determine these results are beyond our ability to control or predict. Specific factors that could cause actual results to differ from results contemplated by the forward-looking statements include, among others, the following:

– Satisfaction of the conditions to the completion of the Acquisition of WPZ Public Units, including receipt of the approval of Williams’ stockholders;– The results of Williams Board of Directors’ ongoing review of strategic alternatives;– Whether WPZ will produce sufficient cash flows to provide level of cash distributions we expect;– Whether Williams is able to pay current and expected levels of dividends;– Availability of supplies, market demand, and volatility of prices;

Forward Looking Statements


– Inflation, interest rates, and fluctuation in foreign exchange rates and general economic conditions (including future disruptions and volatility in the global credit markets and the impact of these events on customers and suppliers);

– The strength and financial resources of our competitors and the effects of competition; – Whether we are able to successfully identify, evaluate and execute investment opportunities;– Our ability to acquire new businesses and assets and successfully integrate those operations and assets into our existing businesses as well as

successfully expand our facilities;– Development of alternative energy sources;– The impact of operational and developmental hazards and unforeseen interruptions;– Costs of, changes in, or the results of laws, government regulations (including safety and environmental regulations), environmental liabilities, litigation,

and rate proceedings;– Williams’ costs and funding obligations for defined benefit pension plans and other postretirement benefit plans;– WPZ’s allocated costs for defined benefit pension plans and other postretirement benefit plans sponsored by its affiliates;– Changes in maintenance and construction costs;– Changes in the current geopolitical situation;– Our exposure to the credit risk of our customers and counterparties;– Risks related to financing, including restrictions stemming from debt agreements, future changes in credit ratings as determined by nationally-

recognized credit rating agencies and the availability and cost of capital;– The amount of cash distributions from and capital requirements of our investments and joint ventures in which we participate;– Risks associated with weather and natural phenomena, including climate conditions;– Acts of terrorism, including cybersecurity threats and related disruptions; – Additional risks described in our filings with the Securities and Exchange Commission (SEC).

> Given the uncertainties and risk factors that could cause our actual results to differ materially from those contained in any forward-looking statement, we caution investors not to unduly rely on our forward-looking statements. We disclaim any obligations to and do not intend to update the above list or announce publicly the result of any revisions to any of the forward-looking statements to reflect future events or developments.

> In addition to causing our actual results to differ, the factors listed above may cause our intentions to change from those statements of intention set forth in this presentation. Such changes in our intentions may also cause our results to differ. We may change our intentions, at any time and without notice, based upon changes in such factors, our assumptions, or otherwise.

> Investors are urged to closely consider the disclosures and risk factors in Williams’ and WPZ’s annual reports on Form 10-K filed with the SEC on Feb. 25, 2015, and each of our quarterly reports on Form 10-Q available from our offices or from our websites atwww.williams.com and www.investor.williams.com.

Forward Looking Statements (cont’d)

WPZ - Access Midstream


WPZ- Access Midstream

Access Midstream



Access Midstream operating statistics


WPZ – Access

1Data as of quarter ended June 30, 2015. Volume represents the gross throughput for operated assets and net throughput allocated to the Partnership’s interest for non-operated assets.

High Quality, Scalable Asset Base in High Growth Unconventional Plays

Key Operating Data1

Dedicated Area: ~8.3MM acres

Miles of Pipe: 6,745

Volume: 5.73 Bcf/d

Horsepower: 671,438


WPZ – Access

1 Dedicated Acreage in all regions represents the gross acres dedicated to WPZ and it’s partners.2 Gas Gathered represents the gross throughput for operated assets and net throughput allocated to WPZ’s interest for non-operated assets.

3 WPZ is Operator of its Marcellus and Cardinal Joint Ventures.

Leading Contract Structure – 100% Fixed FeeBarnett Mid-Continent Haynesville Permian Eagle Ford Marcellus Utica

Contract Structure

MVC and Fee Redetermination

Annual Fee Redetermination

Annual Fee Redetermination/

Fixed Fee with MVC & Fee Tiers

Cost of Service/ Fee

Redetermination Cost of Service Cost of ServiceCost of Service

(gathering)/ Fixed Fee (processing)

Term 20 Year AcreageDedication

20 Year AcreageDedication

10-20 YearAcreage

Dedication20 Year Acreage



Dedication15-20 Year

Acreage Dedication

Dedicated Acreage1 900,000 1,550,000 550,000 400,000 1,400,000 1,500,000 1,600,000

Gas Gathered (MMcf/d)2 804 400 1,085 115 377 2,032 919

Ownership3 100% 100% 100%Perm Op – 100%

DBJV – 50%RWTX – 33%

100% ~45%Cardinal – 66%UGS – 100%UEOM – 62%



Low Risk Business Model

Considerations Mitigants

Volume & Capital

Re-contracting

Commodity and Basin

MVC and long-term acreage dedicationsRate redetermination, cost of service and fee tiers Conservative maintenance capital

100% fixed-fee revenuesCommitment to maintain contract structure / business model as business growsConcentrated in low cost basins

Arms-length, 10-20 year contracts at market ratesCritical infrastructure providing access to marketDedicated acreage



Cost of Service Growth 15-20 year fee calculated based on mid-teens return on invested capitalLong-term EBITDA growth part of contractual modelFee recalculated annually for actual experience and revised forecast

Cost of service structure provides long-term, built-in EBITDA growth

WPZ – Atlantic-Gulf


WPZ-Atlantic Gulf

Atlantic-Gulf


WPZ-Atlantic Gulf

Atlantic-Gulf operating statistics


Eastern Interstates: Nation’s Largest, Fastest-growing Interstate Pipeline Systems

WPZ – Atlantic - Gulf

$5.1

CAPITAL INVESTMENT PLACED INTO SERVICE ($B)

2015$1.4

$0.4 2016

2017$3.3

NE Connector/Rockaway Lateral

LeidySoutheast

VirginiaSouthside I & II

Mobile BaySouth III

Rock Springs Expansion

Dalton Expansion

HillabeePhase 1

Gulf Trace

Garden State Expansion

South Louisiana Market

New York Bay Expansion

AtlanticSunrise

Constitution

CPVWoodbridge


Constitution Pipeline: New Market Accessfor Marcellus Production


> A 125-mile, 30-inch pipeline connecting Williams Partners’ Gathering System in Susquehanna County, PA to Iroquois Gas Transmission and Tennessee Gas Pipeline in Schoharie County, NY

> Capacity: 650 MDth/d> Expected project capex:

$380 million (41%)> New FERC-regulated

interstate pipeline> Owned (41%) and operated

by WPZ; Cabot Oil and Gas owns 25%, Piedmont Constitution Pipeline Company owns 24%, and WGL Midstream, Inc. owns 10%

> Target in-service date: 2nd

half 2016


Atlantic Sunrise: Unlocking Marcellus Access


> Bolsters connection to growing Marcellus supplies

> 1.7 MMDth/d fully committed

> 15-year binding firm-transportation agreements

> Expecting WPZ net investment of $1.9 billion

> Producers, LDCs investing in greenfield portion of project

> Target in-service: second half of 2017

195

85

165

Atlantic Sunrise• 1.7 MMDth/d• 2017


Proposed Appalachian Connector Leverages Northeast G&P’s Ohio Valley Midstream Position


> Incremental firm transportation capacity from receipt points in western Marcellus, Utica to mid-Atlantic, Southeast and Gulf Coast markets as far south as Station 65in Louisiana

> In discussions with potential shippers

> Facilities and scope to be determined based on final level of shipper commitment

165

65

85

195

Proposed Appalachian

Connector Project

Market Pull: LNG,

Mexico

Market Pull: Power

Gen


6

8

10

12

14

16

18

20

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

2003 2005 2007 2009 2011 2013 2015 2017

Transco Gulfstream* Constitution* Capacity*

Eastern Interstates: Unprecedented Growthwith Fully Contracted Projects


* Represents Williams ownership percentage. The estimated project in-service dates assume timely receipt of all regulatory approvals. Constitution expected in service second half of 2016.

CAPITAL INVESTMENT PLACED INTO SERVICE

($MM) MMdt/Day

7.7

17.7

10.8

13.4Peak Day Transco

Record Jan. 7


Northern Market: Continuing Strong GrowthWPZ – Atlantic - Gulf

VAVA

195

210

New York City

Leidy Hub

Constitution• 650 MDth/d• 2016

Atlantic Sunrise• 1,700 MDth/d• 2017

Rock Springs Lateral• 192 MDth/d• 2016

NE Connector• 100 MDth/d• December 1, 2014

and May 15, 2015

Garden State• 180 MDth/d• 2017

Rockaway Lateral• 647 MDth/d• May 15, 2015

CPV Woodbridge• 264 MDth/d• April 1, 2015

Leidy Southeast• 525 MDth/d• 2015

Note: In-service dates and capacities for projects not yet in service represent expected in-service dates and capacities


Power Gen Fuels Southern Market Expansions


85

160

165

Virginia Southside II• 250 MDth/d• 2017

Virginia Southside• 270 MDth/d• 2015

Dalton Expansion• 448 MDth/d• 2017

Hillabee Expansion Phase I• 818 MDth/d• 2017

Mobile Bay South III• 225 MDth/d• April 1, 2015



Gulf Market Area Expansions Serving LNG and Industrial Customers


4550

65

30

Proposed Gulf Connector• 1,200 MDth/d• 2019

Gulf Trace• 1,200 MDth/d• 2017

South Louisiana Market• 190 MDth/d• 2018




> 50% WPZ ownership interest

> Flexible supply– Gulf of Mexico– Midcontinent Shales

> Fully subscribed with long-term contracts

> Average contract life~ 15 years

> Serves growing Florida market

– Growth driven by increased power generation needs

> No rate case requirement

Gulfstream: Stable, High-Return Base Asset


Gulf East: Tiebacks Drive New Opportunities


CONTRACTED:

> Appomattox development (Norphlet Play) – gas gathering, transportation, & processing –projected in service 2019

> Taggart – tieback to Devils Tower –projected in service early 2017

POTENTIAL:

> Tubular Bells – Gulfstar One (GS1) – ramping up production from3 wells and bringing on fourth well now

> Kodiak – tieback to Devils Tower –projected in service 4Q 2015

> Gunflint – tieback to GS1 –projected in service 1Q 2016


Gulf West: Strong Competitive Position for Mexico, Deepwater Business


> Well positioned for Alaminos Canyon, Pemex, and export to Mexico

> Eagle Ford rich gas gathering and processing opportunities

> Continued development at Perdido has resulted in record production rates of 175MMcfd and 90Mbpd

> Opportunity to build 2.6 Bcfd gas pipeline to supply several CFE pipelines in Mexico


Discovery: Keathley Canyon Connector™ Ramps Up


> 400 MMcf/d capacity

> Lucius First Gas: Feb. 7, 2015

> Hadrian South First Gas:March 28, 2015

> Combined Lucius/Hadrian South ramp-up ongoing

> Heidelberg First Gas: Expected mid-2016

> Buckskin/Moccasin: Likely tied back to Lucius

> High-potential neighborhoods with development drilling planned in 2015

> Total Discovery system currently at max capacity of 650MMcf/d

WPZ and WMB – NGL & Petchem Services


WPZ- NGL & Petchem Services

NGL & Petchem Services


WPZ- NGL & Petchem Services

NGL & Petchem Services operating statistics


Geismar Expansion and Modernization

WPZ - NGL & Petchem Services

Restore Confidence in Geismar’s Reliability

> Delivering product to customers - Operating stably> Focus on optimizing reliability and profitability with new equipment configuration> Deliver promised value to our customers and shareholders> Expansion increases annual ethylene production capacity 50% to 1.95 billion lbs

– Williams’ share is 1.7 billion lbs


Geismar Benefits from Healthy Olefins Margins

WPZ – NGL & Petchem Services

Note: Historical CMAI spot prices for ethylene and ethane.Crack spread and ethane price stated before any co-product credits.

ETHYLENE CRACK SPREAD

$US/lb

Industry Crack Spread

$0.00

$0.10

$0.20

$0.30

$0.40

$0.50

$0.60

$0.70

$0.80

$0.90

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q

Ethane Price Ethylene Spot Price

20152010 2011 2012 2013 2014


0%

20%

40%

60%

80%

100%

120%


Ethane as a % of WTI Ethylene as % of WTI

Geismar Mitigates Declining Ethane to Crude Ratio


Note: Historical CMAI spot prices for ethylene and ethane converted to a $/barrel basis.

ETHANE AND ETHYLENE RELATIONSHIP TO CRUDE

% of Crude

Evangeline Pipeline outage

20152010 2011 2012 2013 2014


WPZ - NGL & Petchem Services

Demand Increasing for NGL Services

> Distressed Propane Prices, Powder River Growth and Bakken Growth contributing to increasing demand in Mid-continent for NGL services

– Customers also pursuing seasonal fuels blending opportunities

> Overland Pass Pipeline– Significant growth expected in 2015

volumes primarily driven by Bakken and Niobrara volume

> Conway Rail and Storage– Strong storage season exceeded

expectations– New Hutch rail capacity allows

flexibility for Williams to capture rail unloading and associated storage

> Conway Frac– Williams share fully utilized due to

Overland Pass Pipeline connection

Maximizing the Mid-continent


Our Canada Growth Story


> Existing asset position– Ft. McMurray Cryo at Suncor 26 Mbpd

– Boreal Pipeline 43 Mbpd (expandable to 125 Mbpd)

– The only pipeline capable of moving offgasliquids from the oil sands region to the Edmonton region

> Upgrading product value– Aggregating more liquids from

the oil sands

– Increasing Boreal Pipeline utilization

– Recovering ethane and ethylene

> Environmental benefits– Reduces sulphur dioxide, CO2 emissions

E i ti tVALUE DRIVERS

Capitalizing on Our Competitive Advantages


$0

$5

$10

$15

$20

$25

$30

$35

$40

$45


Gas Ethane Propane Crude Ethylene Propylene

Propylene

Propylene Consistently at Top of Value Chain


Note: Historical CMAI Gulf Coast spot prices converted to a $/MMBtu basis.

OLEFINS PRODUCTION FROM NGLs AND OFFGAS RECOVERY ADDS SIGNIFICANT ADDITIONAL MARGIN POTENTIAL TO THE NATURAL GAS VALUE CHAIN

$/MMBtu

20152010 2011 2012 2013 2014


$0.00

$0.10

$0.20

$0.30

$0.40

$0.50

$0.60

$0.70

$0.80

$0.90

$1.00


Natural Gas Propane Cracking Propylene

Canadian Operations Hold Distinct Feedstock Cost Advantage


Note: Historical CMAI spot pricing for propylene and propane and AECO pricing for natural gas. Assume 1.05 lbs of propane for each 1 lb of propylene cracked.

OFFGAS PROPYLENE MARGIN

$US/lb

Offgas Margin

IndustryMargin

20152010 2011 2012 2013 2014


WMB – NGL & Petchem Services

Note: These financials apply to the Williams NGL & Petchem Services segment of WMB

Williams NGL & Petchem Services


Agreement to Process CNRL’s Horizon Upgrader Offgas


> Expected to add approximately 15 Mbpd of NGL/Olefins production (12 Mbpd by 4Q 2015; growing to 15Mbpd by 2018)

> Ethane price risk mitigated via previously announced agreement to supply NOVA upto 17 Mbpd of ethane and ethylene (includes price floor)

> Total capex expected to be US$600–$700 million shared between WMB and WPZ

> Expected in-service 4Q 2015



Land-locked Propane Converted to Globally Competitive Polypropylene

1) Front End Engineering Design

> Propylene capacity of 525 KTA– 450 KTA fee for service firm

off-take– 75 KTA marketed as propylene

> With propylene derivative partner this system makes some of the most competitive polypropylene in North America

Fee-based Alberta Propylene Production (PDH-1)

> Significant FEED1) completed to reduce capital risk

> Target full sanction in mid 2016


Pipeline Projects Meeting Market Demands

NGL & Petchem Services

Texas Belle and Bayou Ethane Now OperationalWMB TEXAS BELLE PIPELINE

> In-service

> Transportation solution for new C4+ NGL demand

– On-purpose butylene production and other butane demand

– Motor fuel blending and export

WPZ BAYOU ETHANE PIPELINE

> Phase 1 and Phase 2 in-service

> Phase 3 expected later this year

> Supplies Geismar plant along with customers in Mississippi River Corridor, Golden Triangle and Lake Charles areas


Promesa Open Access Ethylene Pipeline

WMB - NGL & Petchem Services

Pipeline in Construction

Note: Ethylene supply and consumption data per IHS

> Linking new growing supplies with new growing demand of ethylene

> Connecting the Ship Channel, Mont Belvieu, Golden Triangle and the Mississippi River markets

> Strengthens the Williams ethylene hub

> System of repurposed, leased and some new-build pipelines

– Integrity work progressing on repurposed pipeline

0

400

800

1,200

1,600

2,000

2014 2019 2024

MM

lbs/

yr

Net Ethylene CapacityGolden Triangle Area

(6,000)

(4,000)

(2,000)

-2014 2019 2024

MM

lbs/

yr

Net Ethylene CapacityMont Belvieu/Ship Channel

0

0

400

800

1,200

1,600

2,000

2014 2019 2024

MM

lbs/

yr

Net Ethylene CapacityLake Charles Area

(6,000)

(4,000)

(2,000)

-2014 2019 2024

MM

lbs/

yr

Net Ethylene CapacityMississippi River Area

0

WPZ – Northeast G&P


WPZ-Northeast G&P

Northeast G&P


WPZ-Northeast G&P

Northeast G&P operating statistics


Delivering Large-Scale Infrastructure to the Marcellus & Utica


1 LMM, Blue Racer and Utica Midstream are partially owned systems. Blue Racer and a portion of Utica Midstream are not operated by Williams.2 Utica Midstream, Marcellus South and Bradford MN systems shown here are currently managed and reported as part of Access Midstream segment

Ohio Valley Midstream

Utica Midstream1, 2

Blue RacerMidstream1

NW PA and NE Ohio/TRM

SusquehannaSupply Hub

Bradford MN 2

Marcellus South 2

Laurel MountainMidstream1


Susquehanna Supply Hub Large-scale Gathering System in Northeast PA


* Excludes Constitution, estimated in-service date is 2016

Atlantic Sunrise

Wyoming

SIGNIFICANT SUPPLY HUB WITH ACCESS TO EAST COAST MARKETS

> Access to 3 Bcf/d* of takeaway capacity into 3 major interstate pipelines

– Transco, Tennessee, Millennium

> Future expansions will deliver into Constitution and Atlantic Sunrise

EXPANDING GAS GATHERING SYSTEM TO MEET PRODUCERS’ DRILLING PLANS

> Key customers– Cabot– Southwestern Energy– Carrizo-Reliance

> Large-scale build out

Constitution


Laurel Mountain Midstream Covers Broad Footprint in Western PA


CONTINUED SYSTEM EXPANSION THROUGH JV WITH CHEVRON

> JV with Chevron– 69% WPZ owned starting Oct 1st, 2014– WPZ operated

> Optimization of capital plan for dry gas area

– System capacity of ~700 MMcf/d by 2015 year end

EXTENSIVE DEDICATIONS PROVIDE EXPOSURE TO DRY GAS AREAS

> Approximately 275,000 acres dedicated


Additional Growth Opportunities for Dedicated Acreage in NW PA and NE Ohio


Rex, Shell and Chevron Acreage Dedications

EXTENSIVE DEDICATION PROVIDES OPPORTUNITIES TO EXPAND

> Rex and Shell G&P Agreement – 244,500 dedicated acres– Fee-based

> Chevron G&P Agreement– 285,000 dedicated acres– Fee-based


Ohio Valley Midstream Large-scale Presence in Liquids-rich Marcellus


Ft. BeelerOak GroveMoundsville

Proposed Liberty Pipeline

EXTENSIVE ACREAGE, GATHERING ANDPROCESSING UNDER CONTRACT

> Long-term contracts:– 236,000 acres dedicated – 7 producers– Processing of gathered gas

WELL POSITIONED ASSETS WITH SIGNIFICANT EXPANSION OPPORTUNITIES

> Processing Capacity– Fort Beeler Cryogenic Plant currently 520 MMcf/d– Oak Grove Cryogenic Plant currently 200 MMcf/d

> Fractionation/Deethanization Capacity– Moundsville fractionation 42.5 MBPD– Oak Grove Deethanizer 40 MBPD of ethane– Condensate Stabilizer 14.5 MBPD

> Ethane outlet to Sunoco


Caiman Energy II/Blue Racer Midstream JV Interest Enhances Presence in Utica Shale


NatriumBerne

FOCUSES ON COUNTIES IN EAST OH AND NORTHWEST PA COVERING THE UTICA SHALE

> Blue Racer Midstream is developing a substantial gathering and processing system

– Nearly 600 miles of large-diameter gathering pipelines, approximately 1.5Bcf/d capacity

– Nearly 130 miles of NGL and condensate transportation pipelines

– 0.8 Bcfd Processing capacity at Natrium and Berne complexes

– Approximately 125 Mbpd fractionation capacity at Natrium complex

> Williams Partners owns a 58% equity investment in Caiman Energy II. Caiman Energy II owns 50% of Blue Racer Midstream

> Williams Partners invested approximately $420 million through 2014 for its proportional interest in Blue Racer Midstream


- 200 400 600 800

1,000 1,200 1,400 1,600 1,800 2,000 2,200 2,400 2,600 2,800 3,000

2Q'14 3Q'14 4Q'14 1Q'15 2Q'15

Aver

age

Gat

here

d Vo

lum

es (M

Mcf

/d)

0.0

0.5

1.0

1.5

2.0

2.5

2012 2013 2014Av

erag

e G

athe

red

Volu

mes

(Bcf

/d)

Delivering Large Scale Infrastructure for Fastest-Growing Supply Area in the U.S.


1Laurel Mountain Midstream average annual gathered volumes are 100% amounts. WPZ owns 69% of Laurel Mountain Midstream.Note: Excludes Marcellus/Utica investments in Blue Racer and Three Rivers.

STEADY AND SIGNIFICANT HISTORICAL FEE-BASED VOLUME GROWTH (MMCF/D)

GATHERING VOLUME GROWTHTHROUGH 2014 (BCF/D)

Laurel Mountain Midstream1 Susquehanna Supply Hub Ohio Valley Midstream

0.2 Bcf/d or 8% Growth

2Q YTDY-o-Y

1.3 Bcf/d or 45% CAGR

’12-’14

WPZ – West


WPZ- West

West


WPZ- West

West operating statistics


West G&P: Scale, Stability, Potential Growth

WPZ – West

> Large-scale positions provide competitive advantages

> Business generating strong cash flows and driving efficiencies

> Ability to quickly “throttle up” in improved commodity price environment – significant gas and liquids infrastructure in place

> Customer base transitioning –more aggressive independent producers buying positions

> Pursuing growth opportunities to provide midstream services to Four Corners shale-oil plays

Piceance Basin> 328 miles of pipeline> 1.4 Bcf/d of gathering capacity> 1.8 Bcf/d of processing capacity

Four Corners> 3,739 miles of pipeline> 1.8 Bcf/d of

gathering capacity> 1.5 Bcf/d of processing/

treating capacity

Wyoming> 3,776 miles of pipeline> 1.2 Bcf/d of gathering capacity> 2.3 Bcf/d of processing capacity

NorthwestPipeline


Durable, Fee-based Revenue 88% of Gross Margin and Expected to Continue Growing

WPZ – West

$1.2 BILLION GROSS MARGIN - 2015

G&P Fee

NWP Fee

Commodity-based FeeNGL Margins


West G&P Delivers Significant Volumes, Revenue

WPZ – West

1 Reflects volumes gathered on Williams-operated systems.

GATHERING VOLUME BY QUARTER (BCF/D)1


Northwest Pipeline: Delivering Value for Customers in Pacific Northwest

WPZ – West

1 In the mega/major pipeline category.

NorthwestPipeline

> Optionality for customers betweenCanada and Rockies prices

– Plentiful, diverse supply sources in British Columbia, Alberta, Rockies, San Juan

> Strong competitive position– Premier provider in most major markets– Established infrastructure to provide

competitive high-quality service to producer customers

– 99.9% reliability on firm transportation

> High-quality revenue for Williams– High credit-quality customers – Average remaining contract life > 9 years

> Strong customer relationships– Ranked #2 in Mastio survey of

pipeline customers1

– Most customers rated Northwest Pipeline “better” or “much better” than other pipelines

3.9 MMDth/d long-term capacity- 3,900 miles of pipeline- 41 compressor stations

14 MMDth storage capacity- 2 storage facilities- 731 Mdth/d withdrawal capacity

Boise

Portland

Seattle Spokane


Pacific Northwest Demand Growth Heating Up

WPZ – West

> Announced New Market Opportunities

– LNG Export– Methanol Export– Fertilizer Plants– Coal Conversion

> Potential Projects– Washington Expansion– Pacific Connector

Jordan Cove

Oregon LNG

Magnida FertilizerUp to 75 MDth/d

Target ISD: 2018

Port Westward Methanol ExportUp to 320 MDth/dTarget ISD: 2019

TransAlta Coal PlantUp to 200 MDth/d

Target ISD: 2020/2025

Washington ExpansionUp to 750 MDth/dTarget ISD: 2020

Pacific Connector Gas Pipeline

1 Bcf/dTarget ISD: 2019

Seattle

Boise

Portland

Blue = Proposed Expansion Projects(not included in guidance)

Green = Potential new end-use markets announced by 3rd parties (may lead to additional expansion opportunities on Northwest)

Kalama Methanol ExportUp to 320 MDth/dTarget ISD: 2018

Port of Tacoma Methanol ExportUp to 320 MDth/dTarget ISD: 2019

Williams (WMB) and Williams Partners L.P. (WPZ) Consolidated

| |


30%

30%

32%

5% 3%0

WMB expecting ~ 89% fee-based gross margins for 2015-2017

2015 FORECAST: $6.6 BILLION (includes proportional JV margins)

Note: Gross margin dollars and fee-based percentage calculated at midpoint of guidance range.

Regulated Gas Pipeline Fee Based Revenue (30%)(Demand Payments)

Access Midstream Fee Based Revenue (30%)(Primarily Cost of Service and MVC)

Other Fee Based Revenue (32%)

Olefins Commodity Margins (5%)

NGL Commodity Margins (3%)

WMB - Corporate


Note: Growth capital dollars and fee-based percentage calculated at midpoint of guidance range.

WMB allocating 96% of $9.8 billion in growth capital guidance to fee-based projects

2015-2017 GROWTH CAPITAL FORECAST

Regulated Gas Pipeline Fee Based Projects (51%)(Demand Payments)

Access Fee Based Projects (20%)(Primarily Cost of Service and MVC)

Other Fee Based Projects (25%)

Commodity Margin Projects (4%)

51%

20%

25%

4%

WMB - Corporate


WPZ- Consolidated

Consolidated statement of income


Consolidated statement of income cont’d

WPZ- Consolidated


Operating statistics

WPZ- Consolidated


WPZ- Consolidated

Operating statistics cont’d


Capital expenditures and investmentsWPZ- Consolidated


PROJECT DESCRIPTION AND EST. CAPEX $ IN MILLIONS

EXPECTED REMAINING TIME TOIN-SERVICE DATE1)

WMB - Corporate

1) Actual in-service date often dependent on customer readiness, regulatory approvals, and other factors outside our control. Estimated project capital expenditures include amounts invested prior to 2015.

Strategic, Large-Scale, PrimarilyFee-Based Cash Flows Driving Growth

> Target IRRs> Fee-based 13%-25%> Commodity-exposed

25%+

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

2015 2016 2017

Pipeline Acq. & Related Petchem Svs. Proj. – $450

CNRL Upgrader – $450

CNRL Upgrader – $250

Geismar Expansion – $810

Gunflint – $150

Garden State - $125

Virginia South Side, Ph. 2 – $210

Dalton Lateral – $285

Hillabee Expansion (Phase 1) – $310

Gulf Trace – $300

Virginia South Side – $300

Rockaway Lateral – $350

Constitution Pipeline 41% Ownership – $380

Keathley Canyon Connector 60% Ownership – $440

Leidy SE – $600

Atlantic Sunrise (Transco share) – $1,900

WPZAtlantic/Gulf

WMBNGL/Petchem

WPZ NGL/Petchem

Partial Service

Partial Service

Phase 2


TARGET IN-SERVICE DATES FOR VISIBLE GROWTH PROJECTS2015 2016 2017 2018+

Geismar ExpansionRockaway Lateral / NE ConnectorMobile Bay South IIICPV WoodbridgeLeidy SE 1)

Virginia Southside 1)

ACMP G&PKodiakNortheast G&PCNRL Offgas ProcessingGulf Coast PetchemServices1)

Constitution PipelineRock SpringsACMP G&PGunflintNortheast G&P

Atlantic SunriseDalton LateralHillabee Phase 1Gulf TraceGarden StateACMP G&PNortheast G&PSabal Trail ownership option

Transco – numerous other expansionsACMP G&PNortheast G&PParachute Plant ExpansionGulfstar FPS and pipelines –U.S., PEMEXGulf of Mexico – other oil-driven servicesPacific Connector and other NWP projectsCanadian PDH 1&2Syncrude Offgas ProcessingGeismar 2NGL & Petchemservices – other

Committed and Potential Growth Capital through 2020 over $30 Billion and Growing

WMB- Corporate

CompletedIn progressPotential/under negotiation

1) Partial service underway


WMB - Corporate

Cash Available for Dividend Guidance

(1) A more detailed schedule reconciling this non-GAAP measure is provided in this presentation.(2) Includes taxes paid in Canada.(3) Reflects third and fourth quarter 2015 dividends pro forma for the WPZ acquisition.

($ and shares in millions except per share data)2016 2017 2018

Adjusted WMB EBITDA(1) $5,375 $6,050 $6,800Less: Maintenance and Corporate Capex (500) (480) (480)Less: Distributions to Non Controlling Interest (195) (230) (215)Less: Interest Expense (1,155) (1,215) (1,330)Less: Cash Taxes(2) (10) (15) (15) Total Cash Available for Dividend $3,515 $4,110 $4,760

Expected Coverage >1.1x ~1.2x

Dividends per Share $2.85 $3.21 $3.61Annual Growth Rate (3) 15.6% 12.5% 12.5%

Previous Dividends per Share in Guidance $2.68 $3.01 NA

Cash Available for Dividend Guidance assumes completion of Williams’ acquisition of Williams Partners’ public units (originally published May 13, 2015)


2015-2018 WMB Guidance

Expected Benefits

Guidance Metric

2015 2016 2017 2018

Low Mid High Low Mid High Low Mid High Low Mid High

Adjusted EBITDA (millions) (1) $4,130 $4,230 $4,330 $5,170 $5,375 $5,580 $5,825 $6,050 $6,275 $6,500 $6,800 $7,100 Capital & Investment Expenditures (millions)

Growth $3,475 $3,790 $4,105 $2,810 $3,115 $3,420 $2,555 $2,855 $3,155 $830 $980 $1,130 Maintenance 485 485 485 490 490 490 470 470 470 470 470 470

Total Capital & Investment Expenditures $3,960 $4,275 $4,590 $3,300 $3,605 $3,910 $3,025 $3,325 $3,625 $1,300 $1,450 $1,600

Dividend Illustration

Cash Available for Dividends (millions) (2) N/A $3,515 $4,110 $4,760 Dividends per Share $2.47 $2.85 $3.21 $3.61

(1) Adjusted EBITDA, cash available for dividends, dividend coverage ratio, distributable cash flow and cash distribution coverage ratio are non-GAAP measures. Reconciliations to the most relevant measures included in GAAP are provided in this presentation.

(2) 2016 through 2018 cash available for dividend guidance assumes completion of Williams’ acquisition of Williams Partners’ public units. In light of this prospective transaction, 2015 Cash Available for Dividends guidance is not provided.

WMB - Corporate


WMB - Corporate

Commodity price assumptions

Expected Benefits

Expected Benefits

Expected Benefits

Expected Benefits

2015 2016 2017 2018

Low Mid High Low Mid High Low Mid High Low Mid High

Crude – WTI $/barrelfor reference only(1)

$52.55 $57.55 $62.55 $53.75 $65.00 $76.25 $57.50 $70.00 $82.50 $61.25 $75.00 $88.75

NG – Henry Hub $/MMBtu $2.65 $2.90 $3.15 $2.75 $3.25 $3.75 $3.25 $3.75 $4.25 $3.50 $4.00 $4.50

Composite NGL barrel(2) – cents/gallon 37.3 41.0 44.7 41.0 49.0 56.0 46.0 55.0 62.0 51.0 65.0 77.0

Crack Spread - cents/pound(3)

Ethylene spot - cents/poundEthane - cents/gallon

27.0

34.517.6

29.8

37.819.1

32.5

41.220.6

32.3

39.517.0

37.6

46.521.0

44.3

54.023.0

34.6

43.020.0

39.5

50.025.0

46.6

58.027.0

31.6

40.020.0

37.3

50.030.0

44.4

60.037.0

Propane - cents/gallon 44.8 49.5 54.3 55.0 65.0 75.0 60.0 70.0 80.0 75.0 90.0 105.0

Propylene spot - cents/pound 35.6 41.1 46.6 41.5 48.5 55.5 43.0 50.0 57.0 45.0 55.0 65.0

(1) No crude oil sales, price provided for reference only(2) Component weighting of composite NGL barrel assuming ethane recovery (ethane 55%, propane 23%, iso-butane 7%, normal butane 5%, C5+ 10%)(3) Crack spread is based on delivered U.S. Gulf Coast ethylene and Mont Belvieu ethane.


Sensitivities to price changes (millions)

Includes equity volumes associated with Opal, Echo, Piceance, Four Corners, Mobile Bay, Markham, Discovery, RGP Splitter, Geismar, Conway, Ohio Valley and Canada. Fixed margin and commodity exposed fee contracts are also taken into account.

1) Excludes volumes associated with RGP Splitter

NG Ethane Propane C4+ Ethylene Propylene 1

2015 WMB + $.10/Mmbtu ($2.7)+ $.01/gallon ($1.6) $1.6 $1.0+ $.01/pound $6.4 $1.0

2016 WMB + $.10/Mmbtu ($7.5)+ $.01/gallon ($4.1) $4.2 $2.8 + $.01/pound $16.1 $3.0


WMB - Corporate



Tax RatesWMB- Corporate

Dollars in millions 2015First Quarter

2015Second Quarter

2015Second Quarter

Year-to-Date

Provision (benefit) at statutory rate $15 35% $93 35% $108 35%

Increases (decreases) in taxes resulting from:

Impact of nontaxable noncontrolling interests (4) -9% (22) -8% (26) -8%

State income taxes (net of federal benefit) 1 2% 0 0% 1 0%

Tax related to prior year foreign taxable income adjustment 14 33% 0 0% 14 5%

Other-net 4 9% 12 5% 16 5%

Provision (benefit) for income taxes 30 70% 83 31% 113 37%

Rates Below Are Based On Income From Continuing Operations Before Income Taxes

2015 2016 2017 2018

Full Year Effective Tax Rate Guidance 32-34% 33-35% 34-36% 34-36%

See Williams Dividend Illustration and

Coverage Calculation slide, for WMB effective

cash tax rates

WMB Non-GAAP Reconciliations



> This presentation includes certain financial measures – adjusted EBITDA, adjusted income from continuing operations (“earnings”), adjusted earnings per share, cash available for dividends, dividend coverage ratio, distributable cash flow and cash distribution coverage ratio – that are non-GAAP financial measures as defined under the rules of the Securities and Exchange Commission

> Our segment performance measure, modified EBITDA is defined as net income (loss) before income (loss) from discontinued operations, income tax expense, net interest expense, equity earnings from equity-method investments, other net investing income, depreciation and amortization expense, and accretion expense associated with asset retirement obligations for nonregulated operations. We also add our proportional ownership share (based on ownership interest) of modified EBITDA of equity investments.

> Adjusted EBITDA further excludes items of income or loss that we characterize as unrepresentative of our ongoing operations and may include assumed business interruption insurance related to the Geismar plant. Management believes this measure provides investors meaningful insight into results from ongoing operations

> For Williams, cash available for dividends is defined as cash received from its ownership in MLPs, cash received (used) by its NGL &Petchem Services segment (other than cash for capital expenditures) less interest, taxes and maintenance capital expenditures associated with Williams and not the underlying MLPs. We also calculate the ratio of cash available for dividends to the total cash dividends paid (dividend coverage ratio). This measure reflects Williams’ cash available for dividends relative to its actual cash dividends paid.

> For Williams Partners L.P., we define distributable cash flow as adjusted EBITDA less maintenance capital expenditures, cash portion of interest expense, income attributable to noncontrolling interests and cash income taxes plus WPZ restricted stock unit non-cash compensation and certain other adjustments that management believes affects the comparability of results. Adjustments for maintenance capital expenditures and cash portion of interest expense include our proportionate share of these items of our equity-method investments.

> For Williams Partners L.P., we also calculate the ratio of distributable cash flow to the total cash distributed (cash distribution coverage ratio). This measure reflects the amount of distributable cash flow relative to our cash distribution. We have also provided this ratio calculated using the most directly comparable GAAP measure, net income.

> This presentation is accompanied by a reconciliation of these non-GAAP financial measures to their nearest GAAP financial measures. Management uses these financial measures because they are accepted financial indicators used by investors to compare company performance. In addition, management believes that these measures provide investors an enhanced perspective of the operating performance of the Company’s assets and the cash that the business is generating.

> Neither adjusted EBITDA, adjusted income from continuing operations, cash available for dividends, nor distributable cash flow are intended to represent cash flows for the period, nor are they presented as an alternative to net income or cash flow from operations. They should not be considered in isolation or as substitutes for a measure of performance prepared in accordance with United States generally accepted accounting principles.

WMB Non-GAAP Disclaimer



WMB Non-GAAP reconciliation schedule


WMB Non-GAAP Reconciliationsp

WMB Non-GAAP reconciliation schedule cont’d



Reconciliation of Non-GAAP Modified EBITDA to Non-GAAP Adjusted EBITDA


Net Income to Adjusted EBITDA Reconciliation($ in millions)

Low Base High Low Base High Low Base High Low Base High

Net income from continuing operations 634 709 784 $1,255 $1,385 $1,515 $1,570 $1,720 $1,870 $1,735 $1,925 $2,115Add: Net interest expense 1,065 1,060 1,055 1,120 1,115 1,110 1,185 1,175 1,165 1,325 1,315 1,305 Add: Provision for income taxes 330 360 390 620 700 780 815 900 985 930 1,050 1,170 Add: Depreciation & amortization (DD&A) 1,775 1,775 1,775 1,870 1,870 1,870 1,945 1,945 1,945 2,110 2,110 2,110 Less: Equity (earnings) / losses from investments (355) (360) (365) (495) (505) (515) (645) (660) (675) (755) (780) (805) Add: Proportional EBITDA of equity-method investments 1 710 715 720 800 810 820 955 970 985 1,155 1,180 1,205 Adjustments 2 (29) (29) (29) - - - - - - - - - Adjusted EBITDA $4,130 $4,230 $4,330 $5,170 $5,375 $5,580 $5,825 $6,050 $6,275 $6,500 $6,800 $7,100

2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 81) Proportional EBITDA of equity-method investments: Low Base High Low Base High Low Base High Low Base High

Net income from continuing operations $355 $360 $365 $495 $505 $515 $645 $660 $675 $755 $780 $805Add: Net interest expense 44 44 44 58 58 58 61 61 61 56 56 56 Add: Depreciation & amortization (DD&A) 232 232 232 226 226 226 236 236 236 287 287 287 Other 79 79 79 21 21 21 13 13 13 57 57 57 Adjusted EBITDA from Equity Investments $710 $715 $720 $800 $810 $820 $955 $970 $985 $1,155 $1,180 $1,205

2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 82) Adjustments: Low Base High Low Base High Low Base High Low Base High

Geismar incident adjustment for insurance and timing ($124) ($124) ($124) - - - - - - - - - Merger and transition related expenses 65 65 65 - - - - - - - - - Share of impairment at equity-method investment 9 9 9 - - - - - - - - - Impairment of certain materials and equipment 27 27 27 - - - - - - - - - Loss related to Opal incident 1 1 1 - - - - - - - - - Gain on extinguishment of debt (14) (14) (14) - - - - - - - - - Expenses associated with strategic alternatives 7 7 7 Total Adjustments ($29) ($29) ($29) - - - - - - - - -

2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8

WPZ Non-GAAP Reconciliations



> This presentation includes certain financial measures – adjusted EBITDA, distributable cash flow, and cash distribution coverage ratio – that are non-GAAP financial measures as defined under the rules of the Securities and Exchange Commission

> Our segment performance measure, modified EBITDA, is defined as net income (loss) before income tax expense, net interest expense, equity earnings from equity-method investments, other net investing income, depreciation and amortization expense, and accretion expense associated with asset retirement obligations for nonregulated operations. We also add our proportional ownership share (based on ownership interest) of modified EBITDA of equity investments.

> Adjusted EBITDA further excludes items of income or loss that we characterize as unrepresentative of our ongoing operations and may include assumed business interruption insurance related to the Geismar plant. Management believes this measure provides investors meaningful insight into results from ongoing operations.

> We define distributable cash flow as adjusted EBITDA less maintenance capital expenditures, cash portion of interest expense, income attributable to noncontrolling interests and cash income taxes plus WPZ restricted stock unit non-cash compensations and certain other adjustments that management believes affects the comparability of results. Adjustments for maintenance capital expenditures and cash portion of interest expense include our proportionate share of these items of our equity-method investments.

> We also calculate the ratio of distributable cash flow to the total cash distributed (cash distribution coverage ratio). This measure reflects the amount of distributable cash flow relative to our cash distribution. We have also provided this ratio calculated using the most directly comparable GAAP measure, net income.

> This presentation is accompanied by a reconciliation of these non-GAAP financial measures to their nearest GAAP financial measures. Management uses these financial measures because they are accepted financial indicators used by investors to compare company performance. In addition, management believes that these measures provide investors an enhanced perspective of the operating performance of the Partnership's assets and the cash that the business is generating.

> Neither adjusted EBITDA, nor distributable cash flow are intended to represent cash flows for the period, nor are they presented as an alternative to net income or cash flow from operations. They should not be considered in isolation or as substitutes for a measure of performance prepared in accordance with United States generally accepted accounting principles

WPZ Non-GAAP Disclaimer



Reconciliation of Non-GAAP distributable cash flow to GAAP net income



Reconciliation of Non-GAAP distributable cash flow to GAAP net income cont’d



Reconciliation of Non-GAAP Modified EBITDA to Non-GAAP Adjusted EBITDA



Adjustments to Modified EBITDA by Segment

williams quarterly data book - second quarter 2015

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