Sunoco Announces First Quarter 2012 Results

Sunoco, Inc. (NYSE: SUN) reported net income attributable to Sunoco, Inc. shareholders of $248 million ($2.32 per share diluted) for the first quarter of 2012 versus a net loss attributable to Sunoco, Inc. shareholders of $101 million ($0.84 per share diluted) for the first quarter of 2011. Excluding special items, Sunoco had a loss of $53 million ($0.49 per share diluted) for the first quarter of 2012 versus a loss of $121 million ($1.00 per share diluted) for the first quarter of 2011. Key first quarter details include:

• Logistics contributed pretax income of $57 million, while Retail Marketing realized a $6 million pretax loss
• Refining and Supply reported a pretax loss of $87 million
• Pretax income from special items totaled $493 million including a $497 million LIFO inventory gain and a $104 million pretax gain related to the participation payment received in April 2012 in connection with the sale of the Toledo refinery in March 2011
• Completed the separation of SunCoke Energy, Inc. in January 2012
• Repurchased 1.26 million shares of Company stock for $50 million and contributed $200 million to trusts established for retiree medical benefits

"Sunoco's focus on the high-return logistics segment continues to bear fruit as Sunoco Logistics Partners L.P. had another excellent quarter and contributed $57 million in pretax income to Sunoco," said Brian P. MacDonald, Sunoco's president and chief executive officer. "Sharply rising crude prices pressured margins in Refining and Supply, as well as Retail Marketing, resulting in losses in both segments."

“We also continued to make progress on our strategic initiatives, spending approximately $380 million in the first quarter to reduce debt, fund our retiree medical trusts and repurchase shares. However, our cash position at the end of the quarter remains strong at $2 billion.” Commenting on the Company's recently announced merger with Energy Transfer Partners, L.P. (“ETP”), MacDonald said, “The combination with ETP is a strategically and financially compelling combination that provides substantial value-creation opportunities for Sunoco shareholders and ETP unitholders and will improve the ability of Sunoco’s logistics and retail businesses to deliver on their full potential. We believe our shareholders will receive an attractive premium. Because the consideration to be received by Sunoco shareholders consists of both cash and ETP units, our shareholders can also benefit from the potential upside of ETP’s attractive yield and improving growth profile. In addition, under the merger agreement, Sunoco will continue its plans for exiting its refining business as previously announced, as well as continue its plans for the proposed refinery joint venture being discussed by Sunoco and The Carlyle Group.”

1 2 3 4 5 6 7 Next › Last »