Morgan Stanley (NYSE: MS) announced today that its dedicated infrastructure group, Morgan Stanley Infrastructure Partners, will acquire a 40 percent economic stake and a 50 percent voting stake in Southern Star Central Corp., parent company of Southern Star Central Gas Pipeline (Southern Star), an interstate natural gas pipeline and storage operation servicing the Midwest region of the U.S.  Southern Star is the primary gas transmission and storage facility provider for several major Midwest cities and power generation providers.  Southern Star serves the major metropolitan areas of Kansas City, Springfield, St. Louis, St. Joseph and Joplin, Missouri; and Kansas City, Wichita, Topeka and Lawrence, Kansas.  Southern Star serves its customer base primarily under long term contracts, which provide for a stable and predictable cash flow profile.

"Southern Star offers a unique opportunity for Morgan Stanley Infrastructure Partners to invest in a proven and stable energy asset, as well as Southern Star's well respected, customer-focused employee and management team," said Global Head of Morgan Stanley Infrastructure Partners, Sadek Wahba.

Jerry Morris, President & CEO of Southern Star said, "We look forward to working with Morgan Stanley Infrastructure Partners, an expert in infrastructure investing, as we continue to serve our customers in the Midwest.  The purchase by Morgan Stanley Infrastructure Partners is expected to be seamless and will have no impact on customers or day-to-day operations.  I anticipate only positive developments to arise out of this new relationship." 

About Morgan Stanley
Morgan Stanley (NYSE: MS) is a leading global financial services firm providing a wide range of investment banking, securities, investment management and wealth management services.  The Firm's employees serve clients worldwide including corporations, governments, institutions and individuals from more than 1200 offices in 37 countries.  For further information about Morgan Stanley, please visit www.morganstanley.com.

About Morgan Stanley Infrastructure Partners
Morgan Stanley Infrastructure Partners, with $4 billion in equity under management, is a leading infrastructure investment platform that focuses on long-term investments in infrastructure assets associated with providing essential public goods and services to societies across the globe.  For further information about Morgan Stanley Infrastructure Partners, please visit www.morganstanley.com/infrastructure. 

About Southern Star
Southern Star is an interstate natural gas transportation company that owns and operates a natural gas pipeline system, including facilities for natural gas transmission and natural gas storage, with office headquarters in Owensboro, Kentucky.  The pipeline system operates in Colorado, Kansas, Missouri, Nebraska, Oklahoma, Texas and Wyoming, and serves customers in these seven states, including major metropolitan areas in Kansas and Missouri, its main market areas.  As of December 31, 2009, Southern Star's natural gas pipeline system had a mainline delivery capacity of approximately 2.4 billion cubic feet, or Bcf, of natural gas per day and is composed of approximately 6,000 miles of mainline and branch transmission and storage pipelines.  Southern Star also operates eight underground storage fields, seven in Kansas and one in Oklahoma, with an aggregate natural gas storage capacity of approximately 43 Bcf and an aggregate delivery capacity of approximately 1.2 Bcf of natural gas per day.  For further information about Southern Star, please visit www.sscgp.com or www.southernstarcentralcorp.com.

Media Relations Contact: Carissa Ramirez, 212.762.6834