Delaware | 1-13175 | 74-1828067 | ||
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
One Valero Way San Antonio, Texas | 78249 | |
(Address of principal executive offices) | (Zip Code) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
(d) | Exhibits. |
VALERO ENERGY CORPORATION | |||
Date: | January 29, 2015 | By: | /s/ Michael S. Ciskowski |
Michael S. Ciskowski | |||
Executive Vice President and | |||
Chief Financial Officer |
• | Fourth quarter adjusted earnings of $952 million, or $1.83 per share; full year adjusted earnings of $3.5 billion, or $6.68 per share |
• | Targeting an estimated $1 billion of drop-down transactions to Valero Energy Partners LP (“VLP”) in 2015 |
• | Focused capital allocation priorities on cash returns to stockholders and disciplined investments |
• | Returned $640 million in cash to stockholders through dividends and stock buybacks in the fourth quarter and announced in January a 45 percent increase in the regular quarterly common stock dividend to $0.40 per share |
Three Months Ended | Three Months Ended | ||||||||||||||
September 30, 2014 | December 31, 2015 | ||||||||||||||
As Reported | Annualized (x4) | Forecasted (a) | Annualized (x4) | ||||||||||||
Net income | $ | 18 | $ | 72 | $ | 32 | $ | 128 | |||||||
Plus: | |||||||||||||||
Depreciation expense | 4 | 16 | 11 | 44 | |||||||||||
Interest expense | — | — | 7 | 28 | |||||||||||
Income tax expense | — | — | — | — | |||||||||||
EBITDA | $ | 22 | $ | 88 | $ | 50 | $ | 200 |
(a) | Forecasted amount is based on Valero’s expectations of future drops to Valero Energy Partners LP during 2015. However, there is no certainty that such drops will occur as expected by Valero. |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Statement of Income Data (a): | ||||||||||||||||
Operating revenues | $ | 27,859 | $ | 34,429 | $ | 130,844 | $ | 138,074 | ||||||||
Costs and expenses: | ||||||||||||||||
Cost of sales | 24,321 | 31,177 | 118,141 | 127,316 | ||||||||||||
Operating expenses: | ||||||||||||||||
Refining | 974 | 968 | 3,900 | 3,710 | ||||||||||||
Retail | — | — | — | 226 | ||||||||||||
Ethanol | 129 | 106 | 487 | 387 | ||||||||||||
General and administrative expenses (b) | 214 | 179 | 724 | 758 | ||||||||||||
Depreciation and amortization expense | 425 | 437 | 1,690 | 1,720 | ||||||||||||
Total costs and expenses | 26,063 | 32,867 | 124,942 | 134,117 | ||||||||||||
Operating income | 1,796 | 1,562 | 5,902 | 3,957 | ||||||||||||
Gain on disposition of retained interest in CST Brands, Inc. (c) | — | 325 | — | 325 | ||||||||||||
Other income, net | 9 | 17 | 47 | 59 | ||||||||||||
Interest and debt expense, net of capitalized interest | (101 | ) | (102 | ) | (397 | ) | (365 | ) | ||||||||
Income from continuing operations before income tax expense | 1,704 | 1,802 | 5,552 | 3,976 | ||||||||||||
Income tax expense (d) | 484 | 515 | 1,777 | 1,254 | ||||||||||||
Income from continuing operations | 1,220 | 1,287 | 3,775 | 2,722 | ||||||||||||
Income (loss) from discontinued operations (a) | — | — | (64 | ) | 6 | |||||||||||
Net income | 1,220 | 1,287 | 3,711 | 2,728 | ||||||||||||
Less: Net income (loss) attributable to noncontrolling interests (e) | 65 | (1 | ) | 81 | 8 | |||||||||||
Net income attributable to Valero Energy Corporation stockholders | $ | 1,155 | $ | 1,288 | $ | 3,630 | $ | 2,720 | ||||||||
Net income attributable to Valero Energy Corporation stockholders: | ||||||||||||||||
Continuing operations (f) | $ | 1,155 | $ | 1,288 | $ | 3,694 | $ | 2,714 | ||||||||
Discontinued operations | — | — | (64 | ) | 6 | |||||||||||
Total | $ | 1,155 | $ | 1,288 | $ | 3,630 | $ | 2,720 | ||||||||
Earnings per common share: | ||||||||||||||||
Continuing operations | $ | 2.22 | $ | 2.39 | $ | 7.00 | $ | 4.98 | ||||||||
Discontinued operations | — | — | (0.12 | ) | 0.01 | |||||||||||
Total | $ | 2.22 | $ | 2.39 | $ | 6.88 | $ | 4.99 | ||||||||
Weighted-average common shares outstanding (in millions) | 517 | 536 | 526 | 542 | ||||||||||||
Earnings per common share – assuming dilution: | ||||||||||||||||
Continuing operations (f) | $ | 2.22 | $ | 2.38 | $ | 6.97 | $ | 4.96 | ||||||||
Discontinued operations | — | — | (0.12 | ) | 0.01 | |||||||||||
Total | $ | 2.22 | $ | 2.38 | $ | 6.85 | $ | 4.97 | ||||||||
Weighted-average common shares outstanding - assuming dilution (in millions) | 521 | 542 | 530 | 548 | ||||||||||||
Dividends per common share | $ | 0.275 | $ | 0.225 | $ | 1.050 | $ | 0.850 |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Operating income by business segment: | ||||||||||||||||
Refining (a) | $ | 1,861 | $ | 1,484 | $ | 5,884 | $ | 4,211 | ||||||||
Retail | — | — | — | 81 | ||||||||||||
Ethanol | 158 | 269 | 786 | 491 | ||||||||||||
Corporate (b) | (223 | ) | (191 | ) | (768 | ) | (826 | ) | ||||||||
Total | $ | 1,796 | $ | 1,562 | $ | 5,902 | $ | 3,957 | ||||||||
Depreciation and amortization expense by business segment: | ||||||||||||||||
Refining | $ | 403 | $ | 413 | $ | 1,597 | $ | 1,566 | ||||||||
Retail | — | — | — | 41 | ||||||||||||
Ethanol | 13 | 12 | 49 | 45 | ||||||||||||
Corporate (g) | 9 | 12 | 44 | 68 | ||||||||||||
Total | $ | 425 | $ | 437 | $ | 1,690 | $ | 1,720 | ||||||||
Operating highlights: | ||||||||||||||||
Refining (a): | ||||||||||||||||
Throughput margin per barrel (h) | $ | 12.48 | $ | 11.20 | $ | 11.28 | $ | 9.69 | ||||||||
Operating costs per barrel: | ||||||||||||||||
Operating expenses | 3.76 | 3.79 | 3.87 | 3.79 | ||||||||||||
Depreciation and amortization expense | 1.55 | 1.61 | 1.58 | 1.60 | ||||||||||||
Total operating costs per barrel | 5.31 | 5.40 | 5.45 | 5.39 | ||||||||||||
Operating income per barrel | $ | 7.17 | $ | 5.80 | $ | 5.83 | $ | 4.30 | ||||||||
Throughput volumes (thousand barrels per day): | ||||||||||||||||
Feedstocks: | ||||||||||||||||
Heavy sour crude oil | 447 | 497 | 457 | 486 | ||||||||||||
Medium/light sour crude oil | 420 | 528 | 466 | 466 | ||||||||||||
Sweet crude oil | 1,239 | 1,074 | 1,149 | 1,039 | ||||||||||||
Residuals | 243 | 245 | 230 | 282 | ||||||||||||
Other feedstocks | 133 | 112 | 134 | 106 | ||||||||||||
Total feedstocks | 2,482 | 2,456 | 2,436 | 2,379 | ||||||||||||
Blendstocks and other | 338 | 323 | 329 | 303 | ||||||||||||
Total throughput volumes | 2,820 | 2,779 | 2,765 | 2,682 | ||||||||||||
Yields (thousand barrels per day): | ||||||||||||||||
Gasolines and blendstocks | 1,365 | 1,340 | 1,329 | 1,287 | ||||||||||||
Distillates | 1,041 | 1,066 | 1,047 | 984 | ||||||||||||
Other products (i) | 450 | 412 | 423 | 440 | ||||||||||||
Total yields | 2,856 | 2,818 | 2,799 | 2,711 |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Refining operating highlights by region (j): | ||||||||||||||||
U.S. Gulf Coast (a): | ||||||||||||||||
Operating income | $ | 1,014 | $ | 1,026 | $ | 3,484 | $ | 2,375 | ||||||||
Throughput volumes (thousand barrels per day) | 1,633 | 1,578 | 1,600 | 1,523 | ||||||||||||
Throughput margin per barrel (h) | $ | 11.88 | $ | 12.25 | $ | 11.23 | $ | 9.57 | ||||||||
Operating costs per barrel: | ||||||||||||||||
Operating expenses | 3.56 | 3.57 | 3.66 | 3.67 | ||||||||||||
Depreciation and amortization expense | 1.57 | 1.62 | 1.60 | 1.63 | ||||||||||||
Total operating costs per barrel | 5.13 | 5.19 | 5.26 | 5.30 | ||||||||||||
Operating income per barrel | $ | 6.75 | $ | 7.06 | $ | 5.97 | $ | 4.27 | ||||||||
U.S. Mid-Continent: | ||||||||||||||||
Operating income | $ | 408 | $ | 320 | $ | 1,358 | $ | 1,293 | ||||||||
Throughput volumes (thousand barrels per day) | 490 | 452 | 446 | 435 | ||||||||||||
Throughput margin per barrel (h) | $ | 14.10 | $ | 12.94 | $ | 13.85 | $ | 13.37 | ||||||||
Operating costs per barrel: | ||||||||||||||||
Operating expenses | 3.56 | 3.58 | 3.90 | 3.58 | ||||||||||||
Depreciation and amortization expense | 1.50 | 1.65 | 1.61 | 1.64 | ||||||||||||
Total operating costs per barrel | 5.06 | 5.23 | 5.51 | 5.22 | ||||||||||||
Operating income per barrel | $ | 9.04 | $ | 7.71 | $ | 8.34 | $ | 8.15 | ||||||||
North Atlantic: | ||||||||||||||||
Operating income | $ | 389 | $ | 139 | $ | 971 | $ | 570 | ||||||||
Throughput volumes (thousand barrels per day) | 430 | 485 | 457 | 459 | ||||||||||||
Throughput margin per barrel (h) | $ | 14.49 | $ | 8.04 | $ | 10.38 | $ | 7.93 | ||||||||
Operating costs per barrel: | ||||||||||||||||
Operating expenses | 3.39 | 3.81 | 3.40 | 3.50 | ||||||||||||
Depreciation and amortization expense | 1.24 | 1.12 | 1.16 | 1.03 | ||||||||||||
Total operating costs per barrel | 4.63 | 4.93 | 4.56 | 4.53 | ||||||||||||
Operating income per barrel | $ | 9.86 | $ | 3.11 | $ | 5.82 | $ | 3.40 | ||||||||
U.S. West Coast: | ||||||||||||||||
Operating income (loss) | $ | 50 | $ | (1 | ) | $ | 71 | $ | (27 | ) | ||||||
Throughput volumes (thousand barrels per day) | 267 | 264 | 262 | 265 | ||||||||||||
Throughput margin per barrel (h) | $ | 9.98 | $ | 7.79 | $ | 8.79 | $ | 7.43 | ||||||||
Operating costs per barrel: | ||||||||||||||||
Operating expenses | 5.89 | 5.45 | 5.91 | 5.35 | ||||||||||||
Depreciation and amortization expense | 2.06 | 2.39 | 2.14 | 2.35 | ||||||||||||
Total operating costs per barrel | 7.95 | 7.84 | 8.05 | 7.70 | ||||||||||||
Operating income (loss) per barrel | $ | 2.03 | $ | (0.05 | ) | $ | 0.74 | $ | (0.27 | ) |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Average market reference prices and differentials: | ||||||||||||||||
Feedstocks (dollars per barrel): | ||||||||||||||||
Brent crude oil | $ | 77.35 | $ | 109.26 | $ | 99.57 | $ | 108.74 | ||||||||
Brent less West Texas Intermediate (WTI) crude oil | 3.95 | 11.83 | 6.40 | 10.80 | ||||||||||||
Brent less Alaska North Slope (ANS) crude oil | 2.59 | 3.87 | 1.73 | 1.00 | ||||||||||||
Brent less Louisiana Light Sweet (LLS) crude oil | 1.77 | 7.62 | 2.79 | 0.41 | ||||||||||||
Brent less Mars crude oil | 5.62 | 12.78 | 6.75 | 5.52 | ||||||||||||
Brent less Maya crude oil | 10.09 | 19.88 | 13.73 | 11.31 | ||||||||||||
LLS crude oil | 75.58 | 101.64 | 96.78 | 108.33 | ||||||||||||
LLS less Mars crude oil | 3.85 | 5.16 | 3.96 | 5.11 | ||||||||||||
LLS less Maya crude oil | 8.32 | 12.26 | 10.94 | 10.90 | ||||||||||||
WTI crude oil | 73.40 | 97.43 | 93.17 | 97.94 | ||||||||||||
Natural gas (dollars per million British Thermal Units) | 3.69 | 3.79 | 4.36 | 3.69 | ||||||||||||
Products (dollars per barrel, unless otherwise noted): | ||||||||||||||||
U.S. Gulf Coast: | ||||||||||||||||
CBOB gasoline less Brent | (1.00 | ) | (5.43 | ) | 3.54 | 2.69 | ||||||||||
Ultra-low-sulfur diesel less Brent | 15.21 | 13.16 | 14.28 | 15.95 | ||||||||||||
Propylene less Brent | 21.27 | (5.41 | ) | 5.57 | (2.72 | ) | ||||||||||
CBOB gasoline less LLS | 0.77 | 2.19 | 6.33 | 3.10 | ||||||||||||
Ultra-low-sulfur diesel less LLS | 16.98 | 20.78 | 17.07 | 16.36 | ||||||||||||
Propylene less LLS | 23.04 | 2.21 | 8.36 | (2.31 | ) | |||||||||||
U.S. Mid-Continent: | ||||||||||||||||
CBOB gasoline less WTI | 6.05 | 2.68 | 12.28 | 16.77 | ||||||||||||
Ultra-low-sulfur diesel less WTI | 27.60 | 25.66 | 24.05 | 28.33 | ||||||||||||
North Atlantic: | ||||||||||||||||
CBOB gasoline less Brent | 7.63 | 2.78 | 9.07 | 8.50 | ||||||||||||
Ultra-low-sulfur diesel less Brent | 20.98 | 16.37 | 18.25 | 17.84 | ||||||||||||
U.S. West Coast: | ||||||||||||||||
CARBOB 87 gasoline less ANS | 6.20 | 4.76 | 13.40 | 12.69 | ||||||||||||
CARB diesel less ANS | 21.75 | 18.88 | 19.14 | 18.83 | ||||||||||||
CARBOB 87 gasoline less WTI | 7.56 | 12.72 | 18.07 | 22.49 | ||||||||||||
CARB diesel less WTI | 23.11 | 26.84 | 23.81 | 28.63 | ||||||||||||
New York Harbor corn crush (dollars per gallon) | 0.71 | 0.84 | 0.85 | 0.42 |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Ethanol: | ||||||||||||||||
Operating income | $ | 158 | $ | 269 | $ | 786 | $ | 491 | ||||||||
Production (thousand gallons per day) | 3,752 | 3,570 | 3,422 | 3,294 | ||||||||||||
Gross margin per gallon of production | $ | 0.87 | $ | 1.18 | $ | 1.06 | $ | 0.77 | ||||||||
Operating costs per gallon of production: | ||||||||||||||||
Operating expenses | 0.37 | 0.32 | 0.39 | 0.32 | ||||||||||||
Depreciation and amortization expense | 0.04 | 0.04 | 0.04 | 0.04 | ||||||||||||
Total operating costs per gallon of production | 0.41 | 0.36 | 0.43 | 0.36 | ||||||||||||
Operating income per gallon of production | $ | 0.46 | $ | 0.82 | $ | 0.63 | $ | 0.41 | ||||||||
December 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Balance Sheet Data: | ||||||||||||||||
Current assets | $ | 16,614 | $ | 19,277 | ||||||||||||
Cash and temporary cash investments, including $237 and $375, respectively, held by Valero Energy Partners LP, included in current assets | 3,689 | 4,292 | ||||||||||||||
Inventories included in current assets | 6,623 | 5,758 | ||||||||||||||
Replacement cost (market value) of LIFO inventories in excess of LIFO carrying amounts | 857 | 6,851 | ||||||||||||||
Current liabilities | 9,980 | 13,123 | ||||||||||||||
Current portion of debt and capital lease obligations included in current liabilities | 606 | 303 | ||||||||||||||
Debt and capital lease obligations, less current portion | 5,780 | 6,261 | ||||||||||||||
Total debt and capital lease obligations | 6,386 | 6,564 | ||||||||||||||
Valero Energy Corporation stockholders’ equity | 20,677 | 19,460 | ||||||||||||||
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Valero Energy Partners LP - limited partner units and distribution declared: | ||||||||||||||||
Weighted-average limited partner units outstanding: | ||||||||||||||||
Common units - public (basic) | 17 | 17 | 17 | 17 | ||||||||||||
Common units - public (diluted) | 17 | 17 | 17 | 17 | ||||||||||||
Common units - Valero (basic and diluted) | 12 | 12 | 12 | 12 | ||||||||||||
Subordinated units - Valero (basic and diluted) | 29 | 29 | 29 | 29 | ||||||||||||
Distribution declared: | ||||||||||||||||
Limited partner units - public | $ | 4 | $ | 1 | $ | 16 | $ | 1 | ||||||||
Limited partner units - Valero | 11 | 1 | 38 | 1 | ||||||||||||
General partner units - Valero | — | — | 1 | — | ||||||||||||
Total distribution declared | $ | 15 | $ | 2 | $ | 55 | $ | 2 | ||||||||
(a) | In May 2014, we decided to abandon our Aruba Refinery, except for the associated crude oil and refined products terminal assets that we continue to operate. As a result of our decision, the results attributable to the Aruba Refinery operations have been presented as discontinued operations, and the operating highlights for the refining segment and the U.S. Gulf Coast region exclude the Aruba Refinery for all periods presented. |
(b) | The increase in general and administrative expenses for the three months ended December 31, 2014 compared to the three months ended December 31, 2013 is due primarily to changes in legal reserves. The decrease in general and administrative expenses for the year ended December 31, 2014 compared to the year ended December 31, 2013 is due primarily to administrative expenses in 2013 associated with our former retail business that did not recur due to the separation of that business in May 2013, including costs incurred to effect that separation. |
(c) | In October 2013, we borrowed $525 million under a short-term debt agreement with a third-party financial institution in anticipation of liquidating our retained interest in CST Brands, Inc. (CST). This liquidation was completed on November 14, 2013 by transferring all remaining shares of CST common stock owned by us to the financial institution in exchange for $467 million of our short-term debt, and we paid the remaining $58 million of short-term debt in cash. After paying $19 million of fees, we recognized a $325 million nontaxable gain. |
(d) | The variation in the customary relationship between income tax expense and income from continuing operations for the three months and year ended December 31, 2014 is due primarily to earnings from our international operations that are taxed at statutory tax rates that are lower than in the U.S. |
(e) | We consolidate the financial statements of the entities described below due to our controlling interests. The earnings (losses) incurred by these entities that are attributable to the owners of the noncontrolling interests are subtracted from (added back to) net income to arrive at net income attributable to Valero stockholders. |
• | Valero Energy Partners LP (VLP) - On December 16, 2013, VLP, a master limited partnership formed by us, completed its initial public offering of 17,250,000 common units representing a 29.4 percent limited partner interest in VLP. We own a 2 percent general partner interest and a 68.6 percent limited partner interest. VLP’s assets include crude oil and refined petroleum products pipeline and terminal systems in the U.S. Gulf Coast and U.S. Mid-Continent regions that are integral to the operations of our Ardmore, McKee, Memphis, Port Arthur, and Three Rivers Refineries. |
• | Diamond Green Diesel Holdings LLC (DGD) - We own a 50 percent interest in DGD and have lent DGD $221 million to finance approximately 60 percent of the construction costs of a plant built by DGD that processes animal fats, used cooking oils, and other vegetable oils into renewable green diesel. The plant began operations at the end of June 2013 and is located next to our St. Charles Refinery in Norco, Louisiana. |
• | PI Dock Facilities LLC (PI Dock) - We own a 50 percent interest in PI Dock and have agreed to lend PI Dock up to $90 million to finance construction costs of a crude oil dock and certain shared facilities. PI Dock has agreed to construct and operate the crude oil dock and related facilities located on Pleasure Island, Texas, which is near our Port Arthur Refinery. |
• | Transport Maritime St-Laurent Inc. (TMSL) - We own a 50 percent interest in TMSL. TMSL owns and charters two vessels to us for the transportation of crude oil from our Montreal East Terminal to our Quebec City Refinery. |
(f) | The following table reconciles net income from continuing operations attributable to Valero stockholders to adjusted net income from continuing operations attributable to Valero stockholders (in millions, except per share amounts). |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Actual net income from continuing operations attributable to Valero Energy Corporation stockholders | $ | 1,155 | $ | 1,288 | $ | 3,694 | $ | 2,714 | ||||||||
Adjustments (after taxes): | ||||||||||||||||
LIFO gain | (151 | ) | — | (151 | ) | — | ||||||||||
Blender’s tax credit (1) | (52 | ) | — | — | — | |||||||||||
Gain on disposition of retained interest in CST Brands, Inc., net of separation costs and taxes | — | (325 | ) | — | (296 | ) | ||||||||||
Adjusted net income from continuing operations attributable to Valero Energy Corporation stockholders | $ | 952 | $ | 963 | $ | 3,543 | $ | 2,418 | ||||||||
Earnings per common share-assuming dilution from continuing operations: | ||||||||||||||||
Actual | $ | 2.22 | $ | 2.38 | $ | 6.97 | $ | 4.96 | ||||||||
Adjusted | 1.83 | 1.78 | 6.68 | 4.41 | ||||||||||||
(g) | The decrease in corporate depreciation and amortization expense for the year ended December 31, 2014 compared to the year ended December 31, 2013 is due primarily to the loss on the sale of certain corporate property in 2013. |
(h) | The following table reconciles refining throughput margin per barrel to adjusted refining throughput margin per barrel for each of our refining regions and in total. |
Three Months Ended | Year Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
U.S. Gulf Coast: | ||||||||||||||||
Actual throughput margin per barrel | $ | 11.88 | $ | 12.25 | $ | 11.23 | $ | 9.57 | ||||||||
Adjustments (before taxes): | ||||||||||||||||
LIFO gain | (0.77 | ) | — | (0.20 | ) | — | ||||||||||
Blender’s tax credit (1) | (0.68 | ) | — | — | — | |||||||||||
Adjusted throughput margin per barrel | $ | 10.43 | $ | 12.25 | $ | 11.03 | $ | 9.57 | ||||||||
U.S. Mid-Continent: | ||||||||||||||||
Actual throughput margin per barrel | $ | 14.10 | $ | 12.94 | $ | 13.85 | $ | 13.37 | ||||||||
Adjustments (before taxes): | ||||||||||||||||
LIFO gain | (0.78 | ) | — | (0.22 | ) | — | ||||||||||
Blender’s tax credit (1) | (0.13 | ) | — | — | — | |||||||||||
Adjusted throughput margin per barrel | $ | 13.19 | $ | 12.94 | $ | 13.63 | $ | 13.37 | ||||||||
North Atlantic: | ||||||||||||||||
Actual throughput margin per barrel | $ | 14.49 | $ | 8.04 | $ | 10.38 | $ | 7.93 | ||||||||
Adjustments (before taxes): | ||||||||||||||||
LIFO gain | (1.51 | ) | — | (0.36 | ) | — | ||||||||||
Blender’s tax credit (1) | — | — | — | — | ||||||||||||
Adjusted throughput margin per barrel | $ | 12.98 | $ | 8.04 | $ | 10.02 | $ | 7.93 | ||||||||
U.S. West Coast: | ||||||||||||||||
Actual throughput margin per barrel | $ | 9.98 | $ | 7.79 | $ | 8.79 | $ | 7.43 | ||||||||
Adjustments (before taxes): | ||||||||||||||||
LIFO gain | (0.74 | ) | — | (0.19 | ) | — | ||||||||||
Blender’s tax credit (1) | (0.12 | ) | — | — | — | |||||||||||
Adjusted throughput margin per barrel | $ | 9.12 | $ | 7.79 | $ | 8.60 | $ | 7.43 | ||||||||
Total refining: | ||||||||||||||||
Actual throughput margin per barrel | $ | 12.48 | $ | 11.20 | $ | 11.28 | $ | 9.69 | ||||||||
Adjustments (before taxes): | ||||||||||||||||
LIFO gain | (0.88 | ) | — | (0.23 | ) | — | ||||||||||
Blender’s tax credit (1) | (0.43 | ) | — | — | — | |||||||||||
Adjusted throughput margin per barrel | $ | 11.17 | $ | 11.20 | $ | 11.05 | $ | 9.69 | ||||||||
(i) | Primarily includes petrochemicals, gas oils, No. 6 fuel oil, petroleum coke, sulfur, and asphalt. |
(j) | The regions reflected herein contain the following refineries: U.S. Gulf Coast- Corpus Christi East, Corpus Christi West, Houston, Meraux, Port Arthur, St. Charles, Texas City, and Three Rivers Refineries; U.S. Mid-Continent- Ardmore, McKee, and Memphis Refineries; North Atlantic- Pembroke and Quebec City Refineries; and U.S. West Coast- Benicia and Wilmington Refineries. |