Sunoco LP names Joe Kim as chief executive officer

DALLAS, 2017-Nov-07 — /EPR Retail News/ — Sunoco LP (NYSE: SUN) (“Sunoco” or the “Partnership”) announced today (Nov. 6, 2017) that Joe Kim has been named chief executive officer of Dallas-based Sunoco LP, effective January 1, 2018. Kim has been serving as president and chief operating officer since June following the announcement that current Chief Executive Officer Bob Owens would retire from the Partnership as of December 31, 2017. Owens will continue to serve as a consultant to the Partnership through 2019.

Prior to his most recent appointment, Kim had been serving as executive vice president and chief development officer for Sunoco from October 2015 to June 2017, where he was responsible for all business development and merger and acquisition activities across the Partnership.  During his service with Sunoco, Kim has provided a wealth of experience and expertise in strategic planning and execution of growth initiatives.

Previously, Kim held the position of chief operating officer at Pizza Hut, where he was responsible for management of all operations, with an emphasis on speed to market and restaurant excellence.  Prior to that, he worked for fifteen years at Valero Energy where his most recent position was senior vice president of strategy and growth. He also held roles in field and franchise operations, strategic planning, merchandising, development and investor relations. He began his career with Arthur Andersen Business Consulting.  Kim is a graduate of Trinity University in San Antonio, Texas with a bachelor’s degree in business administration.

“I would like to extend a heartfelt thank you to Bob for his more than 20 years of service to Sunoco. We are grateful for his strategic leadership and wish him well as he embarks on his new endeavor,” said Matthew S. Ramsey, chairman of the board of Sunoco LP. “Bob is leaving Sunoco in good hands. Joe is an exceptionally talented leader and he is poised to successfully complete the transformation of the Partnership from a retail-based business into the premier U.S. fuel supplier.”

Sunoco LP  (NYSE: SUN) is a master limited partnership that operates 1,346 convenience stores and retail fuel sites and distributes motor fuel to 7,898 convenience stores, independent dealers, commercial customers and distributors located in 30 states.  Our parent — Energy Transfer Equity, L.P. (NYSE: ETE) — owns SUN’s general partner and incentive distribution rights. For more information visit sunocolp.com.

Forward-Looking Statements

This press release may include certain statements concerning expectations for the future that are forward-looking statements as defined by federal law. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management’s control. An extensive list of factors that can affect future results are discussed in the Partnership’s Annual Report on Form 10-K and other documents filed from time to time with the Securities and Exchange Commission. The Partnership undertakes no obligation to update or revise any forward-looking statement to reflect new information or events.

Contact:

Investors:
Scott Grischow
Senior Director – Investor Relations and Treasury
(214) 840-5660
scott.grischow@sunoco.com

Derek Rabe
CFA
Senior Analyst – Investor Relations and Finance
(214) 840-5553
derek.rabe@sunoco.com

Media:
Alyson Gomez
Director – Communications
(469) 646-1758
alyson.gomez@sunoco.com

SOURCE: Sunoco LP

Sunoco LP to divest a majority of convenience stores to 7-Eleven for $3.3 billion

  • Executes definitive agreement to divest a majority of convenience stores to 7-Eleven for $3.3 billion
  • Includes 15-year take-or-pay fuel supply agreement with 7-Eleven starting with approximately 2.2 billion gallons annually
  • Launches sales process for remaining convenience stores in North and West Texas, New Mexico and Oklahoma
  • Investor call scheduled for 8:00 AM Central Time on Thursday, April 6th 

DALLAS, 2017-Apr-10 — /EPR Retail News/ — Sunoco LP (NYSE: SUN) (“SUN”) today (Apr 06, 2017) announced that it entered into a definitive asset purchase agreement for the sale of a majority of its convenience stores to 7-Eleven, Inc. (“7-Eleven”).

Total consideration in the transaction is $3.3 billion in cash plus fuel, merchandise and other inventories.  SUN expects to use the proceeds to repay indebtedness and for general partnership purposes.

SUN President and Chief Executive Officer Bob Owens stated, “The sale of these retail assets to 7-Eleven is the beginning of an exciting evolution for SUN into a premier nationwide fuel supplier.  Our supply agreement with 7-Eleven provides SUN with a predictable long-term income stream, and this transaction quickly allows SUN to improve its financial profile.”

Assets being sold to 7-Eleven include approximately 1,110 convenience stores in 19 geographic regions primarily along the East Coast and in Texas, and the associated trademarks and intellectual property of the Laredo Taco Company and Stripes.  As part of the transaction, SUN will enter into a 15-year take-or-pay fuel supply agreement with a 7-Eleven subsidiary under which SUN will supply approximately 2.2 billion gallons of fuel annually.  This supply agreement will have guaranteed annual payments to SUN, provides that 7-Eleven will continue to use the Sunoco brand at currently branded Sunoco stores and includes committed growth in future periods.

Approximately 200 convenience stores in North and West Texas, New Mexico and Oklahoma will be sold in a separate process.  SUN’s Aloha Petroleum business unit in Hawaii will continue to operate its highly efficient and integrated business model within SUN.  Likewise, the transaction does not include SUN’s highly successful APlus franchisee-operated stores.

SUN’s transaction with 7-Eleven is the first step in SUN’s strategic shift away from company-operated convenience stores to focus on its industry-leading fuel supply business.  Led by the iconic Sunoco fuel brand and successful APlus franchise, SUN plans to be a leading consolidator in the domestic wholesale fuels business, supplying fuel to a network of more than 8,900 locations of third-party dealers, distributors and other commercial customers, with an enhanced focus on MLP qualifying income. Additionally, the proceeds received in this transaction will be used to further enhance SUN’s credit profile and leverage profile.

This transaction is subject to regulatory clearances and customary closing conditions and is expected to close by the fourth quarter 2017.

J.P. Morgan Securities LLC (“JP Morgan”) served as SUN’s exclusive financial advisor for the transaction.  In addition, SUN has retained JP Morgan to market the approximately 200 remaining convenience stores in North and West Texas, New Mexico and Oklahoma.

Conference Call

Sunoco LP management will hold a conference call on Thursday, April 6, at 8:00 a.m. CT (9:00 a.m. ET) to discuss the transaction.  To participate, dial 201-389-0877 approximately 10 minutes early and ask for the Sunoco LP conference call.

About Sunoco LP

Sunoco LP (NYSE: SUN) is a master limited partnership that operates 1,345 convenience stores and retail fuel sites and distributes motor fuel to 7,845 convenience stores, independent dealers, commercial customers and distributors located in 30 states. Our parent — Energy Transfer Equity, L.P. (NYSE: ETE) — owns SUN’s general partner and incentive distribution rights.

Cautionary Statement Relevant to Forward-Looking Information

This press release includes forward-looking statements regarding future events. These forward-looking statements are based on SUN’s current plans and expectations and involve a numbers of risks and uncertainties that could cause actual results and events to vary materially from the results and events anticipated or implied by such forward-looking statements. For a further discussion of these risks and uncertainties, please refer to the “Risk Factors” section of SUN’s most recently filed annual report on Form 10-K and in other filings made by SUN with the Securities and Exchange Commission.  While Sunoco may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so, even if new information becomes available.

Contacts:
Investors:
Scott Grischow
Senior Director
Investor Relations and Treasury
(214) 840-5660
scott.grischow@sunoco.com

Patrick Graham
Senior Analyst
Investor Relations and Finance
(214) 840-5678
patrick.graham@sunoco.com

Media:
Alyson Gomez
Director – Communications
(469) 646-1758
alyson.gomez@sunoco.com

SOURCE: Sunoco LP