Summary of Sunoco's Acquisition of Parkland Corporation Conference Call Company and Industry - **Companies Involved**: Sunoco (SUN) and Parkland Corporation - **Industry**: Fuel distribution and refining Key Points and Arguments 1. **Transaction Overview**: Sunoco will acquire 100% of Parkland's outstanding common shares in a cash and equity transaction valued at $9.1 billion, including assumed debt, resulting in a combined enterprise value of nearly $24.5 billion [4][5] 2. **Shareholder Premium**: The total consideration of $43.33 Canadian per share represents a 25% premium based on the seven-day volume-weighted average prices of both companies as of May 2, 2025 [4] 3. **Financial Benefits**: The transaction is expected to be immediately accretive, generating at least 10% accretion to distributable cash flow per unit and at least $250 million of annual synergies by the third year post-close [5][18] 4. **Regulatory Approval**: The transaction is subject to regulatory approvals and a Parkland shareholder vote, with an expected close in the second half of 2025 [6] 5. **Strategic Rationale**: The merger creates the largest independent fuel distributor in the Americas, optimizing for stability and growth, and enhancing cash flow for reinvestment [8][15] 6. **Management Expertise**: Sunoco's management has a proven track record of integrating large acquisitions and delivering shareholder value, which is expected to benefit Parkland's employees and shareholders [10][12] 7. **Operational Synergies**: The combined company will leverage operational efficiencies, supply chain optimization, and cost advantages due to increased scale [25][30] 8. **Refinery Contribution**: The refinery is projected to contribute about 5% of 2024 pro forma EBITDA, with conservative projections providing a potential upside [17] 9. **Future Growth**: The combined entity is anticipated to generate over 50% higher free cash flow than Sunoco as a standalone company by year three [20] 10. **Suncorp Structure**: A new publicly traded vehicle, Suncorp, will be created for tax purposes, providing a tax-efficient way to fund the equity consideration for the deal [45] Additional Important Content 1. **Employee Opportunities**: The merger is expected to create significant opportunities for employees, with a commitment to retaining a Canadian head office and strong operational presence in Canada [11][12] 2. **Market Presence**: The acquisition enhances Sunoco's market presence in the Atlantic Basin and Pacific regions, providing a robust supply chain and trading organization [55][60] 3. **Tax Implications**: Preliminary analysis suggests manageable to no near-term tax leakage, allowing continued dividend parity for Suncorp [64][70] 4. **Currency Exposure**: The management is open to hedging currency risks associated with the acquisition, although no formal plans have been announced [67] This summary encapsulates the key aspects of the conference call regarding the acquisition of Parkland Corporation by Sunoco, highlighting the strategic, financial, and operational implications of the transaction.

2 Additional Information and Where to Find It Forward-Looking Statements This communication contains "forward-looking statements" within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended. In this context, forward-looking statements often address future business and financial events, conditions, expectations, plans or ambitions, and often include, but are not li ...

Core Viewpoint - Sunoco LP (SUN) is expected to report first-quarter 2025 results on May 6, with adjusted earnings anticipated to show a significant year-over-year improvement despite recent downward revisions in estimates [1][3]. Earnings Performance - In the last reported quarter, Sunoco's adjusted earnings were 75 cents per share, missing the Zacks Consensus Estimate of $2.38, primarily due to lower fuel margins [1]. - The average negative surprise over the last four quarters is 17.6%, with one earnings beat, two misses, and one meeting the estimate [1]. Earnings Estimates - The Zacks Consensus Estimate for first-quarter earnings per share is $1.69, reflecting a 59.4% improvement from the prior year's reported number [1]. - The revenue estimate stands at $5.3 billion, indicating a 3.3% decrease from the year-ago figure [2]. Operational Factors - Sunoco's stable business model is supported by its extensive midstream operations, which include 14,000 miles of pipeline and over 100 terminals, likely generating stable cash flows [3]. - An expected increase of 8.1% in total motor fuel gallons sold year-over-year is anticipated to contribute positively to the bottom line [3]. Earnings Whispers - Current analysis suggests that Sunoco is unlikely to beat earnings expectations this reporting cycle, with an Earnings ESP of 0.00% and a Zacks Rank of 5 (Strong Sell) [4].

Company Overview - Sunoco LP (SUN) closed at $58.77, down 0.68% from the previous session, underperforming the S&P 500 which gained 2.03% [1] - The stock has increased by 2.25% over the past month, outperforming the Oils-Energy sector's decline of 10.82% and the S&P 500's loss of 5.07% [1] Earnings Expectations - The upcoming earnings report is scheduled for May 6, 2025, with an expected EPS of $2.39, indicating a growth of 125.47% year-over-year [2] - Revenue is projected at $5.32 billion, reflecting a 3.3% decrease compared to the same quarter last year [2] Annual Projections - For the annual period, earnings are anticipated to be $10.01 per share, representing a growth of 66.83%, while revenue is expected to be $22.04 billion, showing a decline of 2.9% from the previous year [3] Analyst Sentiment - Recent changes in analyst estimates suggest a positive outlook for Sunoco LP, indicating optimism regarding the company's business and profitability [3] - The Zacks Consensus EPS estimate has shifted downward by 1.57% over the past month, and the company currently holds a Zacks Rank of 3 (Hold) [5] Valuation Metrics - Sunoco LP is trading at a Forward P/E ratio of 5.91, which is significantly lower than its industry's Forward P/E of 21.57, indicating a valuation discount [5] Industry Context - The Oil and Gas - Refining and Marketing - Master Limited Partnerships industry is ranked 172 in the Zacks Industry Rank, placing it in the bottom 31% of over 250 industries [6] - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with higher-ranked industries outperforming lower-ranked ones [6]

DALLAS, April 23, 2025 /PRNewswire/ -- Sunoco LP (NYSE: SUN) ("SUN" or the "Partnership") announced that the Board of Directors of SUN's general partner declared a distribution of $0.8976 per common unit, or $3.5904 on an annualized basis, for the quarter ended March 31, 2025. This represents an increase of approximately 1.25%, or $0.0111 per common unit, as compared with the quarter ended December 31, 2024.This is the second consecutive quarterly increase in SUN's distribution and is consistent with SUN's ...

Group 1 - Sunoco LP will release its first quarter 2025 financial and operating results on May 6, 2025, before market opens [1] - A conference call to discuss the results will be held on the same day at 9:00 a.m. Central Daylight Time [1] - Sunoco LP operates in over 40 U.S. states, Puerto Rico, Europe, and Mexico, with a significant midstream infrastructure [2] Group 2 - The Partnership has approximately 14,000 miles of pipeline and over 100 terminals, supporting its fuel distribution operations [2] - Sunoco serves around 7,400 branded locations and additional independent dealers and commercial customers [2] - The general partner of Sunoco LP is owned by Energy Transfer LP [2]

In the latest market close, Sunoco LP (SUN) reached $57.86, with a -1.13% movement compared to the previous day. This change lagged the S&P 500's 0.22% loss on the day. At the same time, the Dow lost 0.03%, and the tech-heavy Nasdaq lost 0.33%.Heading into today, shares of the master limited partnership had gained 0.38% over the past month, outpacing the Oils-Energy sector's loss of 1.22% and the S&P 500's loss of 7.48% in that time.Analysts and investors alike will be keeping a close eye on the performance ...

DALLAS, March 20, 2025 /PRNewswire/ -- Sunoco LP (NYSE: SUN) ("Sunoco" or the "Partnership") today announced that it has priced at 100% a private offering (the "offering") of 6.250% senior notes due 2033 in an aggregate principal amount of $1 billion (the "notes"). This offering was upsized from an initial offering size of $750 million aggregate principal amount. The sale of the notes is expected to settle on March 31, 2025, subject to the satisfaction of customary closing conditions.Sunoco intends to use t ...

Financial Performance - Net income for Q4 2024 was $141 million, a significant improvement from a net loss of $106 million in Q4 2023[3] - Adjusted EBITDA for Q4 2024 reached $439 million, up from $236 million in Q4 2023, including approximately $7 million in one-time transaction-related expenses[3] - For the full year 2024, net income was $874 million, compared to $394 million in 2023[4] - Adjusted EBITDA for the full year 2024 was $1.46 billion, an increase from $964 million in 2023, including $106 million in one-time transaction-related expenses[4] - Distributable Cash Flow, as adjusted, for Q4 2024 was $261 million, compared to $148 million in Q4 2023[3] - Distributable Cash Flow for the year ended December 31, 2024 was $946 million, compared to $658 million for the year ended December 31, 2023, marking a 44% increase[18] Segment Performance - Fuel Distribution segment profit increased to $302 million in Q4 2024 from $130 million in Q4 2023, reflecting a substantial growth[25] - Pipeline Systems segment profit rose to $203 million in Q4 2024 from $1 million in Q4 2023, driven by increased throughput[27] - Terminals segment profit increased to $120 million in Q4 2024 from $18 million in Q4 2023, attributed to recent acquisitions[30] Distribution and Capital Expenditures - The Board declared a distribution of $0.8865 per unit for Q4 2024, with an annualized distribution of $3.5460 per unit[4] - Total distributions to partners increased to $158 million in Q4 2024 from $90 million in Q4 2023, showing a 75% increase[18] - Total capital expenditures in Q4 2024 were $132 million, including $74 million for growth capital[6] Debt and Leverage - At the end of Q4 2024, long-term debt was approximately $7.5 billion, with a leverage ratio of net debt to Adjusted EBITDA of 4.1 times[6] Future Outlook - The partnership targets a distribution growth rate of at least 5% for 2025 and expects full-year 2025 Adjusted EBITDA to be in the range of $1.90 billion to $1.95 billion[5][11] Operational Metrics - The partnership sold approximately 8.6 billion gallons of fuel in 2024, with Q4 fuel margin at 10.6 cents per gallon[5] - Motor fuel gallons sold decreased to 2,151 million in Q4 2024 from 2,195 million in Q4 2023, a decline of 2%[26] - Pipeline throughput for Q4 2024 was 1,395 thousand barrels per day, compared to no throughput reported in Q4 2023[27] - Adjusted EBITDA related to unconsolidated affiliates was $48 million in Q4 2024, up from $2 million in Q4 2023[18]

DALLAS, March 20, 2025 /PRNewswire/ -- Sunoco LP (NYSE: SUN) ("Sunoco" or the "Partnership") today announced a private offering (the "offering") of senior notes due 2033 in an aggregate principal amount of $750 million (the "notes").Sunoco intends to use the net proceeds from the offering to repay indebtedness, including by redeeming in full NuStar Logistics, L.P.'s 5.750% senior notes due 2025 (the "NuStar 2025 Notes") and repaying a portion of the outstanding borrowings under Sunoco's revolving credit fac ...