☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
DE | 35-1811116 | ||||||||||||||||||||||
(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification Number) | ||||||||||||||||||||||
2780 Waterfront Parkway East Drive | , | Suite 200 | |||||||||||||||||||||
Indianapolis | , | IN | 46214 | ||||||||||||||||||||
(Address of Principal Executive Offices) | (Zip Code) |
Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||||||||||||
Common units representing limited partner interests | CLMT | NASDAQ |
Large accelerated filer | o | Accelerated Filer | x | |||||||||||||||||
Non-accelerated filer | o | Smaller reporting company | o | |||||||||||||||||
Emerging growth company | o |
Page | |||||
June 30, 2020 | December 31, 2019 | September 30, 2020 | December 31, 2019 | |||||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||||
(In millions, except unit data) | (In millions, except unit data) | |||||||||||||||||
ASSETS | ASSETS | ASSETS | ||||||||||||||||
Current assets: | Current assets: | |||||||||||||||||
Cash and cash equivalents | $ | 105.4 | $ | 19.1 | Cash and cash equivalents | $ | 109.4 | $ | 19.1 | |||||||||
Accounts receivable, net | 141.7 | 175.0 | Accounts receivable, net | 161.1 | 175.0 | |||||||||||||
Other | 16.3 | 13.5 | Other | 13.9 | 13.5 | |||||||||||||
158.0 | 188.5 | 175.0 | 188.5 | |||||||||||||||
Inventories | 240.4 | 292.6 | Inventories | 230.8 | 292.6 | |||||||||||||
Derivative assets | 19.7 | 0.9 | Derivative assets | 13.0 | 0.9 | |||||||||||||
Prepaid expenses and other current assets | 13.2 | 11.0 | Prepaid expenses and other current assets | 12.8 | 11.0 | |||||||||||||
Total current assets | 536.7 | 512.1 | Total current assets | 541.0 | 512.1 | |||||||||||||
Property, plant and equipment, net | 949.3 | 973.5 | Property, plant and equipment, net | 932.9 | 973.5 | |||||||||||||
Goodwill | 172.5 | 171.4 | Goodwill | 172.5 | 171.4 | |||||||||||||
Other intangible assets, net | 64.8 | 71.2 | Other intangible assets, net | 61.3 | 71.2 | |||||||||||||
Operating lease right-of-use assets | 63.1 | 93.1 | Operating lease right-of-use assets | 66.4 | 93.1 | |||||||||||||
Other noncurrent assets, net | 35.1 | 36.5 | Other noncurrent assets, net | 33.4 | 36.5 | |||||||||||||
Total assets | $ | 1,821.5 | $ | 1,857.8 | Total assets | $ | 1,807.5 | $ | 1,857.8 | |||||||||
LIABILITIES AND PARTNERS’ CAPITAL | ||||||||||||||||||
LIABILITIES AND PARTNERS’ CAPITAL (DEFICIT) | LIABILITIES AND PARTNERS’ CAPITAL (DEFICIT) | |||||||||||||||||
Current liabilities: | Current liabilities: | |||||||||||||||||
Accounts payable | $ | 161.1 | $ | 230.2 | Accounts payable | $ | 158.4 | $ | 230.2 | |||||||||
Accrued interest payable | 31.1 | 32.0 | Accrued interest payable | 45.5 | 32.0 | |||||||||||||
Accrued salaries, wages and benefits | 25.4 | 35.7 | Accrued salaries, wages and benefits | 31.4 | 35.7 | |||||||||||||
Other taxes payable | 11.4 | 11.8 | Other taxes payable | 15.7 | 11.8 | |||||||||||||
Obligations under inventory financing agreements | 80.1 | 134.3 | Obligations under inventory financing agreements | 89.2 | 134.3 | |||||||||||||
Other current liabilities | 85.4 | 58.6 | Other current liabilities | 103.0 | 58.6 | |||||||||||||
Current portion of operating lease liabilities | 36.3 | 60.6 | Current portion of operating lease liabilities | 26.4 | 60.6 | |||||||||||||
Current portion of long-term debt | 2.1 | 1.8 | Current portion of long-term debt | 2.1 | 1.8 | |||||||||||||
Total current liabilities | 432.9 | 565.0 | Total current liabilities | 471.7 | 565.0 | |||||||||||||
Pension and postretirement benefit obligations | 7.5 | 7.9 | Pension and postretirement benefit obligations | 7.4 | 7.9 | |||||||||||||
Other long-term liabilities | 20.0 | 20.8 | Other long-term liabilities | 19.4 | 20.8 | |||||||||||||
Long-term operating lease liabilities | 27.5 | 33.0 | Long-term operating lease liabilities | 40.5 | 33.0 | |||||||||||||
Long-term debt, less current portion | 1,322.7 | 1,209.5 | Long-term debt, less current portion | 1,313.3 | 1,209.5 | |||||||||||||
Total liabilities | 1,810.6 | 1,836.2 | Total liabilities | 1,852.3 | 1,836.2 | |||||||||||||
Commitments and contingencies | Commitments and contingencies | |||||||||||||||||
Partners’ capital: | ||||||||||||||||||
Limited partners’ interest 78,006,842 units and 77,560,355 units issued and outstanding as of June 30, 2020 and December 31, 2019, respectively | 9.9 | 20.2 | ||||||||||||||||
Partners’ capital (deficit): | Partners’ capital (deficit): | |||||||||||||||||
Limited partners’ interest 78,055,816 units and 77,560,355 units issued and outstanding as of September 30, 2020 and December 31, 2019, respectively | Limited partners’ interest 78,055,816 units and 77,560,355 units issued and outstanding as of September 30, 2020 and December 31, 2019, respectively | (44.9) | 20.2 | |||||||||||||||
General partner’s interest | 11.8 | 12.0 | General partner’s interest | 10.7 | 12.0 | |||||||||||||
Accumulated other comprehensive loss | (10.8 | ) | (10.6 | ) | Accumulated other comprehensive loss | (10.6) | (10.6) | |||||||||||
Total partners’ capital | 10.9 | 21.6 | ||||||||||||||||
Total liabilities and partners’ capital | $ | 1,821.5 | $ | 1,857.8 | ||||||||||||||
Total partners’ capital (deficit) | Total partners’ capital (deficit) | (44.8) | 21.6 | |||||||||||||||
Total liabilities and partners’ capital (deficit) | Total liabilities and partners’ capital (deficit) | $ | 1,807.5 | $ | 1,857.8 |
Three Months Ended June 30, | Six Months Ended June 30, | Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||||
(In millions, except per unit and unit data) | (In millions, except per unit and unit data) | |||||||||||||||||||||||||||||||||||||
Sales | $ | 453.7 | $ | 896.9 | $ | 1,146.3 | $ | 1,748.2 | Sales | $ | 568.0 | $ | 929.6 | $ | 1,714.3 | $ | 2,677.8 | |||||||||||||||||||||
Cost of sales | 364.4 | 789.8 | 1,002.7 | 1,505.1 | Cost of sales | 523.4 | 811.8 | 1,526.1 | 2,316.9 | |||||||||||||||||||||||||||||
Gross profit | 89.3 | 107.1 | 143.6 | 243.1 | Gross profit | 44.6 | 117.8 | 188.2 | 360.9 | |||||||||||||||||||||||||||||
Operating costs and expenses: | Operating costs and expenses: | |||||||||||||||||||||||||||||||||||||
Selling | 12.6 | 14.3 | 25.9 | 27.6 | Selling | 11.2 | 12.6 | 37.1 | 40.2 | |||||||||||||||||||||||||||||
General and administrative | 26.8 | 37.8 | 47.0 | 72.7 | General and administrative | 29.7 | 32.8 | 76.7 | 105.5 | |||||||||||||||||||||||||||||
Transportation | 24.8 | 31.6 | 55.6 | 67.5 | Transportation | 28.1 | 28.4 | 83.7 | 95.9 | |||||||||||||||||||||||||||||
(Benefit) expense for taxes other than income taxes | (2.7 | ) | 4.7 | 2.3 | 9.8 | |||||||||||||||||||||||||||||||||
Taxes other than income taxes | Taxes other than income taxes | 3.9 | 5.7 | 6.2 | 15.5 | |||||||||||||||||||||||||||||||||
Loss on impairment and disposal of assets | 0.7 | 16.2 | 6.7 | 27.9 | Loss on impairment and disposal of assets | 0 | 3.2 | 6.7 | 31.1 | |||||||||||||||||||||||||||||
Other operating (income) expense | 4.2 | (2.2 | ) | 7.2 | (0.9 | ) | ||||||||||||||||||||||||||||||||
Other operating expense | Other operating expense | 2.5 | 1.7 | 9.7 | 0.8 | |||||||||||||||||||||||||||||||||
Operating income (loss) | 22.9 | 4.7 | (1.1 | ) | 38.5 | Operating income (loss) | (30.8) | 33.4 | (31.9) | 71.9 | ||||||||||||||||||||||||||||
Other income (expense): | Other income (expense): | |||||||||||||||||||||||||||||||||||||
Interest expense | (30.6 | ) | (33.1 | ) | (59.9 | ) | (65.4 | ) | Interest expense | (33.3) | (33.8) | (93.2) | (99.2) | |||||||||||||||||||||||||
Gain on debt extinguishment | — | 0.3 | — | 0.7 | Gain on debt extinguishment | 0 | 0 | 0 | 0.7 | |||||||||||||||||||||||||||||
Gain on derivative instruments | 11.3 | 10.3 | 49.8 | 19.4 | ||||||||||||||||||||||||||||||||||
Gain (loss) on derivative instruments | Gain (loss) on derivative instruments | 7.9 | (5.0) | 57.7 | 14.4 | |||||||||||||||||||||||||||||||||
Other | 0.2 | 1.3 | 1.1 | 6.6 | Other | 0.2 | 1.3 | 1.3 | 7.9 | |||||||||||||||||||||||||||||
Total other expense | (19.1 | ) | (21.2 | ) | (9.0 | ) | (38.7 | ) | Total other expense | (25.2) | (37.5) | (34.2) | (76.2) | |||||||||||||||||||||||||
Net income (loss) before income taxes | 3.8 | (16.5 | ) | (10.1 | ) | (0.2 | ) | |||||||||||||||||||||||||||||||
Net loss before income taxes | Net loss before income taxes | (56.0) | (4.1) | (66.1) | (4.3) | |||||||||||||||||||||||||||||||||
Income tax expense | 0.2 | 0.3 | 0.7 | 0.2 | Income tax expense | 0.1 | 0.5 | 0.8 | 0.7 | |||||||||||||||||||||||||||||
Net income (loss) | $ | 3.6 | $ | (16.8 | ) | $ | (10.8 | ) | $ | (0.4 | ) | |||||||||||||||||||||||||||
Allocation of net income (loss): | ||||||||||||||||||||||||||||||||||||||
Net income (loss) | $ | 3.6 | $ | (16.8 | ) | $ | (10.8 | ) | $ | (0.4 | ) | |||||||||||||||||||||||||||
Net loss | Net loss | $ | (56.1) | $ | (4.6) | $ | (66.9) | $ | (5.0) | |||||||||||||||||||||||||||||
Allocation of net loss: | Allocation of net loss: | |||||||||||||||||||||||||||||||||||||
Net loss | Net loss | $ | (56.1) | $ | (4.6) | $ | (66.9) | $ | (5.0) | |||||||||||||||||||||||||||||
Less: | Less: | |||||||||||||||||||||||||||||||||||||
General partner’s interest in net income (loss) | 0.1 | (0.3 | ) | (0.2 | ) | — | ||||||||||||||||||||||||||||||||
Net income (loss) available to limited partners | $ | 3.5 | $ | (16.5 | ) | $ | (10.6 | ) | $ | (0.4 | ) | |||||||||||||||||||||||||||
General partner’s interest in net loss | General partner’s interest in net loss | (1.1) | (0.1) | (1.3) | (0.1) | |||||||||||||||||||||||||||||||||
Net loss available to limited partners | Net loss available to limited partners | $ | (55.0) | $ | (4.5) | $ | (65.6) | $ | (4.9) | |||||||||||||||||||||||||||||
Weighted average limited partner units outstanding: | Weighted average limited partner units outstanding: | |||||||||||||||||||||||||||||||||||||
Basic | 78,664,183 | 78,212,837 | 78,532,405 | 78,111,857 | ||||||||||||||||||||||||||||||||||
Diluted | 78,678,970 | 78,212,837 | 78,532,405 | 78,111,857 | ||||||||||||||||||||||||||||||||||
Limited partners’ interest basic net income (loss) per unit: | ||||||||||||||||||||||||||||||||||||||
Basic and diluted | Basic and diluted | 78,743,083 | 78,299,472 | 78,602,651 | 78,174,976 | |||||||||||||||||||||||||||||||||
Limited partners’ interest basic and diluted net loss per unit: | Limited partners’ interest basic and diluted net loss per unit: | |||||||||||||||||||||||||||||||||||||
Limited partners’ interest | $ | 0.05 | $ | (0.21 | ) | $ | (0.13 | ) | $ | — | Limited partners’ interest | $ | (0.70) | $ | (0.06) | $ | (0.83) | $ | (0.06) | |||||||||||||||||||
Limited partners’ interest diluted net income (loss) per unit: | ||||||||||||||||||||||||||||||||||||||
Limited partners’ interest | $ | 0.05 | $ | (0.21 | ) | $ | (0.13 | ) | $ | — |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||
(In millions) | |||||||||||||||
Net income (loss) | $ | 3.6 | $ | (16.8 | ) | $ | (10.8 | ) | $ | (0.4 | ) | ||||
Other comprehensive income (loss): | |||||||||||||||
Cash flow hedges: | |||||||||||||||
Cash flow hedge loss | — | — | (0.2 | ) | — | ||||||||||
Foreign currency translation adjustment | — | — | — | 1.2 | |||||||||||
Total other comprehensive income (loss) | — | — | (0.2 | ) | 1.2 | ||||||||||
Comprehensive income (loss) attributable to partners’ capital | $ | 3.6 | $ | (16.8 | ) | $ | (11.0 | ) | $ | 0.8 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
(In millions) | |||||||||||||||||||||||
Net loss | $ | (56.1) | $ | (4.6) | $ | (66.9) | $ | (5.0) | |||||||||||||||
Other comprehensive income (loss): | |||||||||||||||||||||||
Cash flow hedge loss | 0 | 0 | (0.2) | 0 | |||||||||||||||||||
Defined benefit pension and retiree health benefit plans | 0.2 | 0 | 0.2 | 0 | |||||||||||||||||||
Foreign currency translation adjustment | 0 | 0 | 0 | 1.2 | |||||||||||||||||||
Total other comprehensive income | 0.2 | 0 | 0 | 1.2 | |||||||||||||||||||
Comprehensive loss attributable to partners’ capital | $ | (55.9) | $ | (4.6) | $ | (66.9) | $ | (3.8) |
Accumulated Other Comprehensive Loss | Partners’ Capital | ||||||||||||||
General Partner | Limited Partners | Total | |||||||||||||
(In millions) | |||||||||||||||
Balance at March 31, 2020 | $ | (10.8 | ) | $ | 11.7 | $ | 6.1 | $ | 7.0 | ||||||
Net income | — | 0.1 | 3.5 | 3.6 | |||||||||||
Settlement of tax withholdings on equity-based incentive compensation | — | — | (0.2 | ) | (0.2 | ) | |||||||||
Amortization of phantom units | — | — | 0.5 | 0.5 | |||||||||||
Balance at June 30, 2020 | $ | (10.8 | ) | $ | 11.8 | $ | 9.9 | $ | 10.9 |
Accumulated Other Comprehensive Loss | Partners’ Capital (Deficit) | ||||||||||||||||||||||
General Partner | Limited Partners | Total | |||||||||||||||||||||
(In millions) | |||||||||||||||||||||||
Balance at June 30, 2020 | $ | (10.8) | $ | 11.8 | $ | 9.9 | $ | 10.9 | |||||||||||||||
Other comprehensive income | 0.2 | 0 | 0 | 0.2 | |||||||||||||||||||
Net loss | 0 | (1.1) | (55.0) | (56.1) | |||||||||||||||||||
Amortization of phantom units | 0 | 0 | 0.2 | 0.2 | |||||||||||||||||||
Balance at September 30, 2020 | $ | (10.6) | $ | 10.7 | $ | (44.9) | $ | (44.8) |
Accumulated Other Comprehensive Loss | Partners’ Capital | Accumulated Other Comprehensive Loss | Partners’ Capital (Deficit) | |||||||||||||||||||||||||||||||||||
General Partner | Limited Partners | Total | General Partner | Limited Partners | Total | |||||||||||||||||||||||||||||||||
(In millions) | (In millions) | |||||||||||||||||||||||||||||||||||||
Balance at December 31, 2019 | $ | (10.6 | ) | $ | 12.0 | $ | 20.2 | $ | 21.6 | Balance at December 31, 2019 | $ | (10.6) | $ | 12.0 | $ | 20.2 | $ | 21.6 | ||||||||||||||||||||
Other comprehensive loss | (0.2 | ) | — | — | (0.2 | ) | ||||||||||||||||||||||||||||||||
Net loss | — | (0.2 | ) | (10.6 | ) | (10.8 | ) | Net loss | 0 | (1.3) | (65.6) | (66.9) | ||||||||||||||||||||||||||
Settlement of tax withholdings on equity-based incentive compensation | — | — | (0.5 | ) | (0.5 | ) | Settlement of tax withholdings on equity-based incentive compensation | 0 | 0 | (0.5) | (0.5) | |||||||||||||||||||||||||||
Amortization of phantom units | — | — | 0.8 | 0.8 | Amortization of phantom units | 0 | 0 | 1.0 | 1.0 | |||||||||||||||||||||||||||||
Balance at June 30, 2020 | $ | (10.8 | ) | $ | 11.8 | $ | 9.9 | $ | 10.9 | |||||||||||||||||||||||||||||
Balance at September 30, 2020 | Balance at September 30, 2020 | $ | (10.6) | $ | 10.7 | $ | (44.9) | $ | (44.8) |
Accumulated Other Comprehensive Loss | Partners’ Capital | |||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Loss | Partners’ Capital | General Partner | Limited Partners | Total | ||||||||||||||||||||||||||||||||||
General Partner | Limited Partners | Total | (In millions) | |||||||||||||||||||||||||||||||||||
Balance at June 30, 2019 | Balance at June 30, 2019 | $ | (7.5) | $ | 12.9 | $ | 61.7 | $ | 67.1 | |||||||||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2019 | $ | (7.5 | ) | $ | 13.2 | $ | 77.8 | $ | 83.5 | |||||||||||||||||||||||||||||
Net loss | — | (0.3 | ) | (16.5 | ) | (16.8 | ) | Net loss | 0 | (0.1) | (4.5) | (4.6) | ||||||||||||||||||||||||||
Settlement of tax withholdings on equity-based incentive compensation | — | — | (0.2 | ) | (0.2 | ) | ||||||||||||||||||||||||||||||||
Amortization of phantom units | — | — | 0.6 | 0.6 | Amortization of phantom units | 0 | 0 | 0.3 | 0.3 | |||||||||||||||||||||||||||||
Balance at June 30, 2019 | $ | (7.5 | ) | $ | 12.9 | $ | 61.7 | $ | 67.1 | |||||||||||||||||||||||||||||
Balance at September 30, 2019 | Balance at September 30, 2019 | $ | (7.5) | $ | 12.8 | $ | 57.5 | $ | 62.8 |
Accumulated Other Comprehensive Loss | Partners’ Capital | Accumulated Other Comprehensive Loss | Partners’ Capital | |||||||||||||||||||||||||||||||||||
General Partner | Limited Partners | Total | General Partner | Limited Partners | Total | |||||||||||||||||||||||||||||||||
(In millions) | (In millions) | |||||||||||||||||||||||||||||||||||||
Balance at December 31, 2018 | $ | (8.7 | ) | $ | 12.8 | $ | 61.6 | $ | 65.7 | Balance at December 31, 2018 | $ | (8.7) | $ | 12.8 | $ | 61.6 | $ | 65.7 | ||||||||||||||||||||
Other comprehensive income | 1.2 | — | — | 1.2 | Other comprehensive income | 1.2 | 0 | 0 | 1.2 | |||||||||||||||||||||||||||||
Net loss | — | — | (0.4 | ) | (0.4 | ) | Net loss | 0 | (0.1) | (4.9) | (5.0) | |||||||||||||||||||||||||||
Settlement of tax withholdings on equity-based incentive compensation | — | — | (0.5 | ) | (0.5 | ) | Settlement of tax withholdings on equity-based incentive compensation | 0 | 0 | (0.5) | (0.5) | |||||||||||||||||||||||||||
Amortization of phantom units | — | — | 1.0 | 1.0 | Amortization of phantom units | 0 | 0 | 1.3 | 1.3 | |||||||||||||||||||||||||||||
Contributions from Calumet GP, LLC | — | 0.1 | — | 0.1 | Contributions from Calumet GP, LLC | 0 | 0.1 | 0 | 0.1 | |||||||||||||||||||||||||||||
Balance at June 30, 2019 | $ | (7.5 | ) | $ | 12.9 | $ | 61.7 | $ | 67.1 | |||||||||||||||||||||||||||||
Balance at September 30, 2019 | Balance at September 30, 2019 | $ | (7.5) | $ | 12.8 | $ | 57.5 | $ | 62.8 |
Six Months Ended June 30, | Nine Months Ended September 30, | |||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||
(In millions) | (In millions) | |||||||||||||||||
Operating activities | Operating activities | |||||||||||||||||
Net loss | $ | (10.8 | ) | $ | (0.4 | ) | Net loss | $ | (66.9) | $ | (5.0) | |||||||
Adjustments to reconcile net loss to net cash provided by operating activities: | Adjustments to reconcile net loss to net cash provided by operating activities: | |||||||||||||||||
Depreciation and amortization | 52.6 | 55.2 | Depreciation and amortization | 78.8 | 82.6 | |||||||||||||
Amortization of turnaround costs | 8.7 | 10.4 | Amortization of turnaround costs | 12.7 | 16.5 | |||||||||||||
Non-cash interest expense | 3.1 | 3.5 | Non-cash interest expense | 4.8 | 4.9 | |||||||||||||
Gain on debt extinguishment | — | (0.7 | ) | Gain on debt extinguishment | 0 | (0.7) | ||||||||||||
Unrealized (gain) loss on derivative instruments | (30.4 | ) | 14.8 | Unrealized (gain) loss on derivative instruments | (21.2) | 20.2 | ||||||||||||
Loss on impairment and disposal of assets | 6.7 | 27.9 | Loss on impairment and disposal of assets | 6.7 | 31.1 | |||||||||||||
Operating lease expense | 32.6 | 37.8 | Operating lease expense | 45.0 | 57.1 | |||||||||||||
Operating lease payments | (32.4 | ) | (37.4 | ) | Operating lease payments | (45.0) | (57.1) | |||||||||||
Equity-based compensation | 0.6 | 4.6 | Equity-based compensation | 2.5 | 4.9 | |||||||||||||
Lower of cost or market inventory adjustment | 34.2 | (41.5 | ) | Lower of cost or market inventory adjustment | 35.3 | (38.8) | ||||||||||||
Other non-cash activities | 1.7 | (3.6 | ) | Other non-cash activities | 0.8 | (7.0) | ||||||||||||
Changes in assets and liabilities: | Changes in assets and liabilities: | |||||||||||||||||
Accounts receivable | 27.7 | (66.6 | ) | Accounts receivable | 10.7 | (49.8) | ||||||||||||
Inventories | 18.1 | 40.5 | Inventories | 26.6 | 29.6 | |||||||||||||
Prepaid expenses and other current assets | 1.8 | 6.0 | Prepaid expenses and other current assets | 1.3 | 4.6 | |||||||||||||
Derivative activity | (0.3 | ) | (0.3 | ) | Derivative activity | (0.3) | (0.4) | |||||||||||
Turnaround costs | (16.1 | ) | (6.4 | ) | Turnaround costs | (19.7) | (16.8) | |||||||||||
Other assets | — | 0.1 | ||||||||||||||||
Accounts payable | (55.0 | ) | 42.9 | Accounts payable | (55.5) | 61.7 | ||||||||||||
Accrued interest payable | (1.4 | ) | (0.5 | ) | Accrued interest payable | 12.7 | 10.8 | |||||||||||
Accrued salaries, wages and benefits | (10.1 | ) | (3.0 | ) | Accrued salaries, wages and benefits | (5.7) | 2.6 | |||||||||||
Other taxes payable | (0.4 | ) | 2.7 | Other taxes payable | 3.9 | 6.0 | ||||||||||||
Other liabilities | 19.8 | 3.6 | Other liabilities | 38.1 | (3.1) | |||||||||||||
Pension and postretirement benefit obligations | (0.3 | ) | — | |||||||||||||||
Net cash provided by operating activities | $ | 50.4 | $ | 89.6 | Net cash provided by operating activities | $ | 65.6 | $ | 153.9 | |||||||||
Investing activities | Investing activities | |||||||||||||||||
Additions to property, plant and equipment | (28.4 | ) | (17.1 | ) | Additions to property, plant and equipment | (35.5) | (27.4) | |||||||||||
Acquisition of business, net of cash acquired | (3.3 | ) | — | Acquisition of business, net of cash acquired | (3.3) | 0 | ||||||||||||
Proceeds from sale of unconsolidated affiliate | — | 5.0 | Proceeds from sale of unconsolidated affiliate | 0 | 5.0 | |||||||||||||
Proceeds from sale of property, plant and equipment | — | 3.7 | Proceeds from sale of property, plant and equipment | 0 | 3.7 | |||||||||||||
Net cash provided by discontinued operations | 0.9 | 5.0 | Net cash provided by discontinued operations | 0.9 | 5.0 | |||||||||||||
Net cash used in investing activities | $ | (30.8 | ) | $ | (3.4 | ) | Net cash used in investing activities | $ | (37.9) | $ | (13.7) | |||||||
Financing activities | Financing activities | |||||||||||||||||
Proceeds from borrowings — revolving credit facility | 672.7 | — | Proceeds from borrowings — revolving credit facility | 895.9 | 0 | |||||||||||||
Repayments of borrowings — revolving credit facility | (562.4 | ) | — | Repayments of borrowings — revolving credit facility | (795.8) | 0 | ||||||||||||
Repayments of borrowings — senior notes | — | (88.6 | ) | Repayments of borrowings — senior notes | 0 | (137.3) | ||||||||||||
Payments on finance lease obligations | (0.2 | ) | (0.7 | ) | Payments on finance lease obligations | (0.4) | (0.9) | |||||||||||
Proceeds from inventory financing | 399.3 | 569.7 | Proceeds from inventory financing | 584.8 | 848.7 | |||||||||||||
Payments on inventory financing | (441.4 | ) | (547.7 | ) | Payments on inventory financing | (620.1) | (840.7) | |||||||||||
Proceeds from other financing obligations | 31.4 | — | Proceeds from other financing obligations | 31.4 | 0 | |||||||||||||
Payments on other financing obligations | (32.7 | ) | (1.2 | ) | Payments on other financing obligations | (33.2) | (1.6) | |||||||||||
Contributions from Calumet GP, LLC | — | 0.1 | Contributions from Calumet GP, LLC | 0 | 0.1 | |||||||||||||
Net cash provided by (used in) in financing activities | $ | 66.7 | $ | (68.4 | ) | Net cash provided by (used in) in financing activities | $ | 62.6 | $ | (131.7) | ||||||||
Net increase in cash and cash equivalents | $ | 86.3 | $ | 17.8 | Net increase in cash and cash equivalents | $ | 90.3 | $ | 8.5 | |||||||||
Cash and cash equivalents at beginning of period | 19.1 | 155.7 | Cash and cash equivalents at beginning of period | 19.1 | 155.7 | |||||||||||||
Cash and cash equivalents at end of period | $ | 105.4 | $ | 173.5 | Cash and cash equivalents at end of period | $ | 109.4 | $ | 164.2 | |||||||||
Supplemental disclosure of non-cash investing activities | Supplemental disclosure of non-cash investing activities | |||||||||||||||||
Non-cash property, plant and equipment additions | $ | 4.3 | $ | 5.6 | Non-cash property, plant and equipment additions | $ | 3.8 | $ | 12.3 |
June 30, 2020 | December 31, 2019 | ||||||
RINs Obligation | $ | 58.8 | $ | 13.0 | |||
Transition Services Agreement Payable | — | 19.8 | |||||
Net working capital adjustment liabilities | — | 6.9 | |||||
Other | 26.6 | 18.9 | |||||
Total other current liabilities | $ | 85.4 | $ | 58.6 |
September 30, 2020 | December 31, 2019 | ||||||||||
RINs Obligation | $ | 76.1 | $ | 13.0 | |||||||
Transition Services Agreement Payable | 0 | 19.8 | |||||||||
Net working capital adjustment liabilities | 0 | 6.9 | |||||||||
Other | 26.9 | 18.9 | |||||||||
Total other current liabilities | $ | 103.0 | $ | 58.6 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Sales by major source | |||||||||||||||||||||||
Standard specialty products | $ | 220.4 | $ | 296.2 | $ | 663.5 | $ | 872.2 | |||||||||||||||
Packaged and synthetic specialty products | 60.9 | 59.6 | 177.4 | 180.2 | |||||||||||||||||||
Total specialty products | 281.3 | 355.8 | 840.9 | 1,052.4 | |||||||||||||||||||
Fuel and fuel related products | 238.8 | 508.4 | 743.2 | 1,446.3 | |||||||||||||||||||
Asphalt | 47.9 | 65.4 | 130.2 | 179.1 | |||||||||||||||||||
Total fuel products | 286.7 | 573.8 | 873.4 | 1,625.4 | |||||||||||||||||||
Total sales | $ | 568.0 | $ | 929.6 | $ | 1,714.3 | $ | 2,677.8 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||
Sales by major source | |||||||||||||||
Standard specialty products | $ | 173.9 | $ | 283.7 | $ | 443.1 | $ | 576.0 | |||||||
Packaged and synthetic specialty products | 58.8 | 60.7 | 116.5 | 120.6 | |||||||||||
Total specialty products | 232.7 | 344.4 | 559.6 | 696.6 | |||||||||||
Fuel and fuel related products | 184.4 | 495.0 | 504.4 | 937.9 | |||||||||||
Asphalt | 36.6 | 57.5 | 82.3 | 113.7 | |||||||||||
Total fuel products | 221.0 | 552.5 | 586.7 | 1,051.6 | |||||||||||
Total sales | $ | 453.7 | $ | 896.9 | $ | 1,146.3 | $ | 1,748.2 |
June 30, 2020 | December 31, 2019 | September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Titled Inventory | Supply and Offtake Agreements (1) | Total | Titled Inventory | Supply and Offtake Agreements (1) | Total | Titled Inventory | Supply and Offtake Agreements (1) | Total | Titled Inventory | Supply and Offtake Agreements (1) | Total | |||||||||||||||||||||||||||||||||||||||||||||||
Raw materials | $ | 32.1 | $ | 9.5 | $ | 41.6 | $ | 48.3 | $ | 11.6 | $ | 59.9 | Raw materials | $ | 29.1 | $ | 10.2 | $ | 39.3 | $ | 48.3 | $ | 11.6 | $ | 59.9 | |||||||||||||||||||||||||||||||||
Work in process | 26.1 | 26.1 | 52.2 | 35.0 | 29.1 | 64.1 | Work in process | 30.7 | 22.6 | 53.3 | 35.0 | 29.1 | 64.1 | |||||||||||||||||||||||||||||||||||||||||||||
Finished goods | 109.0 | 37.6 | 146.6 | 124.8 | 43.8 | 168.6 | Finished goods | 105.3 | 32.9 | 138.2 | 124.8 | 43.8 | 168.6 | |||||||||||||||||||||||||||||||||||||||||||||
$ | 167.2 | $ | 73.2 | $ | 240.4 | $ | 208.1 | $ | 84.5 | $ | 292.6 | $ | 165.1 | $ | 65.7 | $ | 230.8 | $ | 208.1 | $ | 84.5 | $ | 292.6 |
June 30, 2020 | December 31, 2019 | |||||||
Assets: | Classification: | |||||||
Operating lease assets | Operating lease right-of-use assets (1) | $ | 63.1 | $ | 93.1 | |||
Finance lease assets | Property, plant and equipment, net (2) | 4.2 | 3.2 | |||||
Total leased assets | $ | 67.3 | $ | 96.3 | ||||
Liabilities: | ||||||||
Current | ||||||||
Operating | Current portion of operating lease liabilities (1) | $ | 36.3 | $ | 60.6 | |||
Finance | Current portion of long-term debt | 0.5 | 0.3 | |||||
Non-current | ||||||||
Operating | Long-term operating lease liabilities (1) | 27.5 | 33.0 | |||||
Finance | Long-term debt, less current portion | 3.4 | 2.4 | |||||
Total lease liabilities | $ | 67.7 | $ | 96.3 |
September 30, 2020 | December 31, 2019 | |||||||||||||
Assets: | Classification: | |||||||||||||
Operating lease assets | Operating lease right-of-use assets (1) | $ | 66.4 | $ | 93.1 | |||||||||
Finance lease assets | Property, plant and equipment, net (2) | 4.2 | 3.2 | |||||||||||
Total leased assets | $ | 70.6 | $ | 96.3 | ||||||||||
Liabilities: | ||||||||||||||
Current | ||||||||||||||
Operating | Current portion of operating lease liabilities (1) | $ | 26.4 | $ | 60.6 | |||||||||
Finance | Current portion of long-term debt | 0.6 | 0.3 | |||||||||||
Non-current | ||||||||||||||
Operating | Long-term operating lease liabilities (1) | 40.5 | 33.0 | |||||||||||
Finance | Long-term debt, less current portion | 3.3 | 2.4 | |||||||||||
Total lease liabilities | $ | 70.8 | $ | 96.3 |
(1)In the third quarter of 2020, the Company had additions to its operating lease right-of-use assets and operating lease liabilities of approximately $20.3 million. (2)Finance lease assets are recorded net of accumulated amortization of $3.2 million and $7.1 million as of September 30, 2020 and December 31, 2019, respectively. 13 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Lease Costs: | Classification: | 2020 | 2019 | 2020 | 2019 | |||||||||||
Fixed operating lease cost | Cost of Sales; SG&A Expenses | $ | 9.5 | $ | 16.2 | $ | 26.1 | $ | 33.7 | |||||||
Short-term operating lease cost (1) | Cost of Sales; SG&A Expenses | 2.5 | 1.4 | 5.2 | 3.4 | |||||||||||
Variable operating lease cost (2) (3) | Cost of Sales; SG&A Expenses | 0.4 | 0.2 | 1.3 | 0.7 | |||||||||||
Finance lease cost: | ||||||||||||||||
Amortization of right-of-use asset | Cost of Sales | 0.2 | 0.4 | 0.3 | 0.7 | |||||||||||
Interest on lease liabilities | Interest expense | 0.1 | 0.1 | 0.2 | 1.1 | |||||||||||
Total lease cost | $ | 12.7 | $ | 18.3 | $ | 33.1 | $ | 39.6 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||
Lease Costs: | Classification: | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||
Fixed operating lease cost | Cost of Sales; SG&A Expenses | $ | 10.3 | $ | 16.7 | $ | 36.4 | $ | 50.4 | |||||||||||||||||
Short-term operating lease cost (1) | Cost of Sales; SG&A Expenses | 1.7 | 2.2 | 6.9 | 5.6 | |||||||||||||||||||||
Variable operating lease cost (2) (3) | Cost of Sales; SG&A Expenses | 0.4 | 0.4 | 1.7 | 1.1 | |||||||||||||||||||||
Finance lease cost: | ||||||||||||||||||||||||||
Amortization of finance lease assets | Cost of Sales | 0.1 | 0.4 | 0.4 | 1.1 | |||||||||||||||||||||
Interest on lease liabilities | Interest expense | 0.1 | 0.2 | 0.3 | 1.3 | |||||||||||||||||||||
Total lease cost | $ | 12.6 | $ | 19.9 | $ | 45.7 | $ | 59.5 |
(1)The Company’s leases with an initial term of 12 months or less are not recorded on the condensed consolidated balance sheets. (2)Approximately $0.8 million and $0.5 million for the nine months ended September 30, 2020 and 2019, respectively, of the Company’s variable operating lease cost relates to its lease agreement with Phillips 66 associated with the LVT unit at its Lake Charles, Louisiana refinery (the “LVT Agreement”). Pursuant to the LVT Agreement, Phillips 66 is obligated to supply a minimum supply quantity which the Company agreed to purchase through December 31, 2020. Pricing for the agreement is indexed to the prior month’s average of Platts Mid USGC 55 Grade Jet Kero price on the day of loading plus a specified margin. Phillips 66 invoices the Company for the estimated volume of product to be purchased by the Company based on a supplied forecast and differences between actual volumes purchased and the estimated volume of product originally billed, which makes up the variable component of the operating lease contract. There were no variable operating lease costs related to the LVT Agreement for the three months ended September 30, 2020 and 2019, respectively. (3)The Company’s railcar leases typically include a mileage limit the railcar can travel over the life of the lease. For any mileage incurred over this limit, the Company is obligated to pay an agreed upon dollar value for each mile that is traveled over the limit. 14 |
Maturity of Lease Liabilities | Operating Leases (1) | Finance Leases (2) | Total | ||||||||||||||
2020 | $ | 16.2 | $ | 0.2 | $ | 16.4 | |||||||||||
2021 | 17.8 | 0.9 | 18.7 | ||||||||||||||
2022 | 13.9 | 0.9 | 14.8 | ||||||||||||||
2023 | 10.4 | 0.9 | 11.3 | ||||||||||||||
2024 | 6.9 | 0.9 | 7.8 | ||||||||||||||
Thereafter | 13.8 | 1.1 | 14.9 | ||||||||||||||
Total | $ | 79.0 | $ | 4.9 | $ | 83.9 | |||||||||||
Less: Interest | 12.1 | 1.0 | 13.1 | ||||||||||||||
Present value of lease liabilities | $ | 66.9 | $ | 3.9 | $ | 70.8 |
Maturity of Lease Liabilities | Operating Leases (1) | Finance Leases (2) | Total | ||||||||
2020 | $ | 31.5 | $ | 0.5 | $ | 32.0 | |||||
2021 | 13.9 | 0.8 | 14.7 | ||||||||
2022 | 10.2 | 0.8 | 11.0 | ||||||||
2023 | 7.2 | 0.8 | 8.0 | ||||||||
2024 | 4.1 | 0.8 | 4.9 | ||||||||
Thereafter | 3.3 | 1.2 | 4.5 | ||||||||
Total | $ | 70.2 | $ | 4.9 | $ | 75.1 | |||||
Less: Interest | 6.4 | 1.0 | 7.4 | ||||||||
Present value of lease liabilities | $ | 63.8 | $ | 3.9 | $ | 67.7 |
(2)As of September 30, 2020, the Company’s finance lease payments included no material options to extend lease terms that are reasonably certain of being exercised. The Company has no legally binding minimum lease payments for leases that have been signed but not yet commenced as of September 30, 2020. |
Lease Term and Discount Rate: | ||||||
Weighted-average remaining lease term (years): | ||||||
Operating leases | ||||||
Finance leases | ||||||
Weighted-average discount rate: | ||||||
Operating leases | % | |||||
Finance leases | 7.4 | % |
Year | Commitment | ||
2020 | $ | 2.0 | |
2021 | 3.9 | ||
2022 | 3.9 | ||
2023 | 3.9 | ||
2024 | 4.0 | ||
Thereafter | 10.0 | ||
Total (1) | $ | 27.7 |
Year | Commitment | ||||
2020 | $ | 1.0 | |||
2021 | 3.9 | ||||
2022 | 3.9 | ||||
2023 | 3.9 | ||||
2024 | 4.0 | ||||
Thereafter | 10.0 | ||||
Total (1) | $ | 26.7 |
(1)As of September 30, 2020, the estimated minimum payments for the unconditional purchase commitments have been accrued and are included in other current liabilities and other long-term liabilities in the condensed consolidated balance sheets. This liability was accrued due to the fact that the contract was entered into to supply crude to a divested facility. |
June 30, 2020 | December 31, 2019 | ||||||
Borrowings under third amended and restated senior secured revolving credit agreement with third-party lenders, interest payments quarterly, borrowings due February 2023, weighted average interest rates of 2.8% and 4.3% for the six months ended June 30, 2020 and the year ended December 31, 2019, respectively | $ | 110.3 | $ | — | |||
Borrowings under 2022 Notes, interest at a fixed rate of 7.625%, interest payments semiannually, borrowings due January 2022, effective interest rate of 8.1% for the six months ended June 30, 2020 and the year ended December 31, 2019, respectively. (1) | 350.9 | 351.1 | |||||
Borrowings under 2023 Notes, interest at a fixed rate of 7.75%, interest payments semiannually, borrowings due April 2023, effective interest rate of 8.1% for the six months ended June 30, 2020 and the year ended December 31, 2019, respectively. | 325.0 | 325.0 | |||||
Borrowings under 2025 Notes, interest at a fixed rate of 11.0%, interest payments semiannually, borrowings due April 2025, effective interest rate of 11.3% and 11.2% for the six months ended June 30, 2020 and the year ended December 31, 2019, respectively. | 550.0 | 550.0 | |||||
Other | 3.0 | 3.8 | |||||
Finance lease obligations, at various interest rates, interest and monthly principal payments | 3.9 | 2.7 | |||||
Less unamortized debt issuance costs (2) | (16.0 | ) | (18.4 | ) | |||
Less unamortized discounts | (2.3 | ) | (2.9 | ) | |||
Total debt | $ | 1,324.8 | $ | 1,211.3 | |||
Less current portion of long-term debt | 2.1 | 1.8 | |||||
Total long-term debt | $ | 1,322.7 | $ | 1,209.5 |
September 30, 2020 | December 31, 2019 | ||||||||||
Borrowings under third amended and restated senior secured revolving credit agreement with third-party lenders, interest payments quarterly, borrowings due February 2023, weighted average interest rates of 2.6% and 4.3% for the nine months ended September 30, 2020 and the year ended December 31, 2019, respectively | $ | 100.1 | $ | 0 | |||||||
Borrowings under the 2022 Notes, interest at a fixed rate of 7.625%, interest payments semiannually, borrowings due January 2022, effective interest rate of 8.1% for the nine months ended September 30, 2020 and the year ended December 31, 2019, respectively. (1) | 150.7 | 351.1 | |||||||||
Borrowings under the 2023 Notes, interest at a fixed rate of 7.75%, interest payments semiannually, borrowings due April 2023, effective interest rate of 8.1% for the nine months ended September 30, 2020 and the year ended December 31, 2019, respectively. | 325.0 | 325.0 | |||||||||
Borrowings under the 2024 Secured Notes, interest at a fixed rate of 9.25%, interest payments semiannually, borrowings due July 2024, effective interest rate of 9.4% for the nine months ended September 30, 2020. | 200.0 | 0 | |||||||||
Borrowings under the 2025 Notes, interest at a fixed rate of 11.0%, interest payments semiannually, borrowings due April 2025, effective interest rate of 11.3% and 11.2% for the nine months ended September 30, 2020 and the year ended December 31, 2019, respectively. | 550.0 | 550.0 | |||||||||
Other | 2.7 | 3.8 | |||||||||
Finance lease obligations, at various interest rates, interest and monthly principal payments | 3.9 | 2.7 | |||||||||
Less unamortized debt issuance costs (2) | (14.9) | (18.4) | |||||||||
Less unamortized discounts | (2.1) | (2.9) | |||||||||
Total debt | $ | 1,315.4 | $ | 1,211.3 | |||||||
Less current portion of long-term debt | 2.1 | 1.8 | |||||||||
Total long-term debt | $ | 1,313.3 | $ | 1,209.5 |
(1)The balance includes a fair value interest rate hedge adjustment, which increased the debt balance by $0.7 million and $1.1 million as of September 30, 2020 and December 31, 2019, respectively. (2)Deferred debt issuance costs are being amortized by the effective interest rate method over the lives of the related debt instruments. These amounts are net of accumulated amortization of $19.2 million and $15.7 million at September 30, 2020 and December 31, 2019, respectively. |
Base Loans | FILO Loans | ||||||||||||||||||||||
Quarterly Average Availability Percentage | Prime Rate Margin | LIBOR Rate Margin | Prime Rate Margin | LIBOR Rate Margin | |||||||||||||||||||
≥ 66% | 0.50% | 1.50% | 1.50% | 2.50% | |||||||||||||||||||
≥ 33% and < 66% | 0.75% | 1.75% | 1.75% | 2.75% | |||||||||||||||||||
< 33% | 1.00% | 2.00% | 2.00% | 3.00% |
Year | Maturity | ||||
2020 | $ | 0.6 | |||
2021 | 2.9 | ||||
2022 | 150.6 | ||||
2023 | 425.8 | ||||
2024 | 200.8 | ||||
Thereafter | 551.0 | ||||
Total | $ | 1,331.7 |
Year | Maturity | ||
2020 | $ | 1.0 | |
2021 | 2.9 | ||
2022 | 350.6 | ||
2023 | 436.0 | ||
2024 | 0.7 | ||
Thereafter | 551.0 | ||
Total | $ | 1,342.2 |
June 30, 2020 | December 31, 2019 | |||||||||||||||||||||||
Balance Sheet Location | Gross Amounts of Recognized Assets | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Assets Presented in the Condensed Consolidated Balance Sheets | Gross Amounts of Recognized Assets | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Assets Presented in the Condensed Consolidated Balance Sheets | ||||||||||||||||||
Derivative instruments not designated as hedges: | ||||||||||||||||||||||||
Specialty products segment: | ||||||||||||||||||||||||
Natural gas swaps | Derivative assets | $ | 0.2 | $ | (0.4 | ) | $ | (0.2 | ) | $ | — | $ | — | $ | — | |||||||||
Fuel products segment: | ||||||||||||||||||||||||
Inventory financing obligation | Obligations under inventory financing agreements | $ | 4.4 | $ | — | $ | 4.4 | $ | — | $ | — | $ | — | |||||||||||
WCS crude oil basis swaps | Derivative assets | 5.2 | (0.3 | ) | 4.9 | — | (1.3 | ) | (1.3 | ) | ||||||||||||||
Gasoline crack spread swaps | Derivative assets | 4.6 | — | 4.6 | 1.8 | (0.5 | ) | 1.3 | ||||||||||||||||
Diesel crack spread swaps | Derivative assets | 9.5 | — | 9.5 | 0.9 | (0.5 | ) | 0.4 | ||||||||||||||||
Diesel-MEH crack spread swap | Derivative assets | 0.9 | — | 0.9 | — | — | — | |||||||||||||||||
2/1/1 crack spread swaps | Derivative assets | — | — | — | 0.5 | — | 0.5 | |||||||||||||||||
Total derivative instruments | $ | 24.8 | $ | (0.7 | ) | $ | 24.1 | $ | 3.2 | $ | (2.3 | ) | $ | 0.9 |
September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||||||||||||||
Balance Sheet Location | Gross Amounts of Recognized Assets | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Assets Presented in the Condensed Consolidated Balance Sheets | Gross Amounts of Recognized Assets | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Assets Presented in the Condensed Consolidated Balance Sheets | ||||||||||||||||||||||||||||||||
Derivative instruments not designated as hedges: | ||||||||||||||||||||||||||||||||||||||
Specialty products segment: | ||||||||||||||||||||||||||||||||||||||
Natural gas swaps | Derivative assets | $ | 0.1 | $ | 0 | $ | 0.1 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||||||||
Fuel products segment: | ||||||||||||||||||||||||||||||||||||||
Inventory financing obligation | Obligations under inventory financing agreements | $ | 1.9 | $ | 0 | $ | 1.9 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||||||||
WCS crude oil basis swaps | Derivative assets | 4.3 | (0.1) | 4.2 | 0 | (1.3) | (1.3) | |||||||||||||||||||||||||||||||
Gasoline crack spread swaps | Derivative assets | 0.8 | 0 | 0.8 | 1.8 | (0.5) | 1.3 | |||||||||||||||||||||||||||||||
Diesel crack spread swaps | Derivative assets | 5.9 | 0 | 5.9 | 0.9 | (0.5) | 0.4 | |||||||||||||||||||||||||||||||
Diesel-MEH crack spread swaps | Derivative assets | 1.6 | 0 | 1.6 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
2/1/1 crack spread swaps | Derivative assets | 0 | 0 | 0 | 0.5 | 0 | 0.5 | |||||||||||||||||||||||||||||||
Natural gas swaps | Derivative assets | 0.4 | 0 | 0.4 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||
Total derivative instruments | $ | 15.0 | $ | (0.1) | $ | 14.9 | $ | 3.2 | $ | (2.3) | $ | 0.9 |
September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||||||||||||||
Balance Sheet Location | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Liabilities Presented in the Condensed Consolidated Balance Sheets | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Liabilities Presented in the Condensed Consolidated Balance Sheets | ||||||||||||||||||||||||||||||||
Derivative instruments not designated as hedges: | ||||||||||||||||||||||||||||||||||||||
Fuel products segment: | ||||||||||||||||||||||||||||||||||||||
Inventory financing obligation | Obligations under inventory financing agreements | $ | 0 | $ | 0 | $ | 0 | $ | (7.2) | $ | 0 | $ | (7.2) | |||||||||||||||||||||||||
WCS crude oil basis swaps | Other current liabilities | (0.1) | 0.1 | 0 | (1.3) | 1.3 | 0 | |||||||||||||||||||||||||||||||
Gasoline crack spread swaps | Other current liabilities | 0 | 0 | 0 | (0.5) | 0.5 | 0 | |||||||||||||||||||||||||||||||
Diesel crack spread swaps | Other current liabilities | 0 | 0 | 0 | (0.5) | 0.5 | 0 | |||||||||||||||||||||||||||||||
Total derivative instruments | $ | (0.1) | $ | 0.1 | $ | 0 | $ | (9.5) | $ | 2.3 | $ | (7.2) |
June 30, 2020 | December 31, 2019 | |||||||||||||||||||||||
Balance Sheet Location | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Liabilities Presented in the Condensed Consolidated Balance Sheets | Gross Amounts of Recognized Liabilities | Gross Amounts Offset in the Condensed Consolidated Balance Sheets | Net Amounts of Liabilities Presented in the Condensed Consolidated Balance Sheets | ||||||||||||||||||
Derivative instruments not designated as hedges: | ||||||||||||||||||||||||
Specialty products segment: | ||||||||||||||||||||||||
Natural gas swaps | Other current liabilities | $ | (0.4 | ) | $ | 0.4 | $ | — | $ | — | $ | — | $ | — | ||||||||||
Fuel products segment: | ||||||||||||||||||||||||
Inventory financing obligation | Obligations under inventory financing agreements | $ | — | $ | — | — | $ | (7.2 | ) | $ | — | $ | (7.2 | ) | ||||||||||
WCS crude oil basis swaps | Other current liabilities | (0.3 | ) | 0.3 | — | (1.3 | ) | 1.3 | — | |||||||||||||||
Gasoline crack spread swaps | Other current liabilities | — | — | — | (0.5 | ) | 0.5 | — | ||||||||||||||||
Diesel crack spread swaps | Other current liabilities | — | — | — | (0.5 | ) | 0.5 | — | ||||||||||||||||
Total derivative instruments | $ | (0.7 | ) | $ | 0.7 | $ | — | $ | (9.5 | ) | $ | 2.3 | $ | (7.2 | ) |
Type of Derivative | Amount of Realized Gain Recognized in Gain on Derivative Instruments | Amount of Unrealized Loss Recognized in Gain on Derivative Instruments | |||||||||||||
Three Months Ended June 30, | Three Months Ended June 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||
Specialty products segment: | |||||||||||||||
Natural gas swaps | $ | (0.5 | ) | $ | — | $ | 0.1 | $ | — | ||||||
Midland crude oil basis swaps | — | 0.5 | — | (0.5 | ) | ||||||||||
Fuel products segment: | |||||||||||||||
Inventory financing obligation | — | — | 0.7 | 15.5 | |||||||||||
WCS crude oil basis swaps | 4.6 | 13.5 | 12.3 | (11.4 | ) | ||||||||||
WCS crude oil percentage basis swaps | — | 0.8 | — | (0.9 | ) | ||||||||||
Midland crude oil basis swaps | — | 1.7 | — | (5.0 | ) | ||||||||||
Gasoline crack spread swaps | 3.4 | — | (13.5 | ) | — | ||||||||||
2/1/1 crack spread swaps | 0.2 | — | (0.4 | ) | — | ||||||||||
Diesel crack spread swaps | 4.8 | 5.4 | (1.3 | ) | (6.6 | ) | |||||||||
Diesel percentage basis crack spread swaps | — | 0.6 | — | (3.3 | ) | ||||||||||
Diesel-MEH crack spread swap | — | — | 0.9 | — | |||||||||||
Total | $ | 12.5 | $ | 22.5 | $ | (1.2 | ) | $ | (12.2 | ) |
Type of Derivative | Amount of Realized Gain (Loss) Recognized in Gain on Derivative Instruments | Amount of Unrealized Gain (Loss) Recognized in Gain on Derivative Instruments | |||||||||||||||||||||
Three Months Ended September 30, | Three Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Specialty products segment: | |||||||||||||||||||||||
Natural gas swaps | $ | 0.1 | $ | 0 | $ | 0.3 | $ | 0 | |||||||||||||||
Fuel products segment: | |||||||||||||||||||||||
Inventory financing obligation | 0 | 0 | (2.5) | (5.5) | |||||||||||||||||||
WCS crude oil basis swaps | 8.3 | 0 | (0.7) | 0 | |||||||||||||||||||
WCS crude oil percentage basis swaps | 0 | 0.1 | 0 | (0.3) | |||||||||||||||||||
Gasoline swaps | 0 | 0 | 0 | 0.1 | |||||||||||||||||||
Gasoline crack spread swaps | 2.6 | 0 | (3.8) | 0 | |||||||||||||||||||
2/1/1 crack spread swaps | 0 | 0 | 0 | 0.3 | |||||||||||||||||||
Diesel crack spread swaps | 5.1 | 0.3 | (3.6) | 0.2 | |||||||||||||||||||
Diesel percentage basis crack spread swaps | 0 | 0 | 0 | (0.2) | |||||||||||||||||||
Diesel-MEH crack spread swaps | 1.0 | 0 | 0.7 | 0 | |||||||||||||||||||
Natural gas swaps | 0 | 0 | 0.4 | 0 | |||||||||||||||||||
Total | $ | 17.1 | $ | 0.4 | $ | (9.2) | $ | (5.4) |
Type of Derivative | Amount of Realized Gain Recognized in Gain on Derivative Instruments | Amount of Unrealized Gain (Loss) Recognized in Gain on Derivative Instruments | |||||||||||||
Six Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||
Specialty products segment: | |||||||||||||||
Natural gas swaps | $ | (0.6 | ) | $ | — | $ | (0.2 | ) | $ | — | |||||
Midland crude oil basis swaps | — | 1.6 | — | (1.0 | ) | ||||||||||
Fuel products segment: | |||||||||||||||
Inventory financing obligation | — | — | 11.7 | 2.8 | |||||||||||
WCS crude oil basis swaps | 4.6 | 17.1 | 6.1 | (14.9 | ) | ||||||||||
WCS crude oil percentage basis swaps | — | 0.9 | — | 6.3 | |||||||||||
Midland crude oil basis swaps | — | 9.0 | — | (7.1 | ) | ||||||||||
Gasoline crack spread swaps | 5.5 | — | 3.3 | — | |||||||||||
2/1/1 crack spread swaps | 2.1 | — | (0.5 | ) | — | ||||||||||
Diesel crack spread swaps | 7.8 | 6.1 | 9.1 | (7.4 | ) | ||||||||||
Diesel-MEH crack spread swap | — | — | 0.9 | — | |||||||||||
Diesel percentage basis crack spread swaps | — | (0.5 | ) | — | 6.5 | ||||||||||
Total | $ | 19.4 | $ | 34.2 | $ | 30.4 | $ | (14.8 | ) |
Type of Derivative | Amount of Realized Gain (Loss) Recognized in Gain on Derivative Instruments | Amount of Unrealized Gain (Loss) Recognized in Gain on Derivative Instruments | |||||||||||||||||||||
Nine Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Specialty products segment: | |||||||||||||||||||||||
Natural gas swaps | $ | (0.5) | $ | 0 | $ | 0.1 | $ | 0 | |||||||||||||||
Midland crude oil basis swaps | 0 | 1.6 | 0 | (1.0) | |||||||||||||||||||
Fuel products segment: | |||||||||||||||||||||||
Inventory financing obligation | 0 | 0 | 9.2 | (2.7) | |||||||||||||||||||
WCS crude oil basis swaps | 12.9 | 17.1 | 5.4 | (14.9) | |||||||||||||||||||
WCS crude oil percentage basis swaps | 0 | 1.0 | 0 | 6.0 | |||||||||||||||||||
Midland crude oil basis swaps | 0 | 9.0 | 0 | (7.1) | |||||||||||||||||||
Gasoline swaps | 0 | 0 | 0 | 0.1 | |||||||||||||||||||
Gasoline crack spread swaps | 8.1 | 0 | (0.5) | 0 | |||||||||||||||||||
2/1/1 crack spread swaps | 2.0 | 0 | (0.5) | 0.3 | |||||||||||||||||||
Diesel crack spread swaps | 13.0 | 6.4 | 5.5 | (7.2) | |||||||||||||||||||
Diesel-MEH crack spread swaps | 1.0 | 0 | 1.6 | 0 | |||||||||||||||||||
Diesel percentage basis crack spread swaps | 0 | (0.5) | 0 | 6.3 | |||||||||||||||||||
Natural gas swaps | 0 | 0 | 0.4 | 0 | |||||||||||||||||||
Total | $ | 36.5 | $ | 34.6 | $ | 21.2 | $ | (20.2) |
WCS Crude Oil Basis Swap Contracts by Expiration Dates | Barrels Purchased | BPD | Average Differential to NYMEX WTI ($/Bbl) | ||||||||||||||
Fourth Quarter 2020 (1) | 1,610,000 | 17,500 | $ | (15.02) | |||||||||||||
First Quarter 2021 | 900,000 | 10,000 | $ | (13.92) | |||||||||||||
Total | 2,510,000 | ||||||||||||||||
Average differential | $ | (14.62) |
WCS Crude Oil Basis Swap Contracts by Expiration Dates | Barrels Purchased | BPD | Average Differential to NYMEX WTI ($/Bbl) | ||||||
Third Quarter 2020 (1) | 1,610,000 | 17,500 | $ | (13.68 | ) | ||||
Fourth Quarter 2020 | 1,610,000 | 17,500 | $ | (15.02 | ) | ||||
Total | 3,220,000 | ||||||||
Average differential | $ | (14.35 | ) |
WCS Crude Oil Basis Swap Contracts by Expiration Dates | Barrels Purchased | BPD | Average Differential to NYMEX WTI ($/Bbl) | ||||||
First Quarter 2020 | 544,000 | 5,978 | $ | (18.92 | ) | ||||
Total | 544,000 | ||||||||
Average differential | $ | (18.92 | ) |
WCS Crude Oil Basis Swap Contracts by Expiration Dates | Barrels Purchased | BPD | Average Differential to NYMEX WTI ($/Bbl) | ||||||||||||||
First Quarter 2020 | 544,000 | 5,978 | $ | (18.92) | |||||||||||||
Total | 544,000 | ||||||||||||||||
Average differential | $ | (18.92) |
Diesel Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | Diesel Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | |||||||||||||||||||
Third Quarter 2020 | 368,000 | 4,000 | $ | 22.23 | ||||||||||||||||||||||
Fourth Quarter 2020 | 368,000 | 4,000 | $ | 21.91 | Fourth Quarter 2020 | 368,000 | 4,000 | $ | 21.91 | |||||||||||||||||
Total | 736,000 | Total | 368,000 | |||||||||||||||||||||||
Average price | $ | 22.07 | Average price | $ | 21.91 |
Diesel Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | ||||||||||||||
First Quarter 2020 | 500,500 | 5,500 | $ | 22.15 | |||||||||||||
Second Quarter 2020 | 379,000 | 4,165 | $ | 21.68 | |||||||||||||
Third Quarter 2020 | 368,000 | 4,000 | $ | 22.23 | |||||||||||||
Fourth Quarter 2020 | 368,000 | 4,000 | $ | 21.91 | |||||||||||||
Total | 1,615,500 | ||||||||||||||||
Average price | $ | 22.00 |
Gasoline Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | ||||||||||||||
Fourth Quarter 2020 | 368,000 | 4,000 | $ | 9.77 | |||||||||||||
Total | 368,000 | ||||||||||||||||
Average price | $ | 9.77 |
Gasoline Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | ||||||
Third Quarter 2020 | 368,000 | 4,000 | $ | 15.24 | |||||
Fourth Quarter 2020 | 368,000 | 4,000 | $ | 9.77 | |||||
Total | 736,000 | ||||||||
Average price | $ | 12.50 |
Gasoline Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | ||||||||||||||
First Quarter 2020 | 591,500 | 6,500 | $ | 12.54 | |||||||||||||
Second Quarter 2020 | 379,000 | 4,165 | $ | 16.41 | |||||||||||||
Third Quarter 2020 | 368,000 | 4,000 | $ | 15.24 | |||||||||||||
Fourth Quarter 2020 | 368,000 | 4,000 | $ | 9.77 | |||||||||||||
Total | 1,706,500 | ||||||||||||||||
Average price | $ | 13.38 |
2/1/1 Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | ||||||||||||||
First Quarter 2020 | 364,000 | 4,000 | $ | 17.43 | |||||||||||||
Second Quarter 2020 | 30,000 | 330 | $ | 19.50 | |||||||||||||
Total | 394,000 | ||||||||||||||||
Average price | $ | 17.58 |
Natural Gas Swap Contracts by Expiration Dates | MMBtu Purchased | Average Swap ($/MMBtu) | |||||||||
Fourth Quarter 2020 (1) | 1,518,000 | $ | 2.25 | ||||||||
Total | 1,518,000 | ||||||||||
Average price | $ | 2.25 |
Natural Gas Swap Contracts by Expiration Dates | MMBtu | Average Swap ($/MMBtu) | ||||
Third Quarter 2020 (1) | 1,518,000 | $ | 2.08 | |||
Fourth Quarter 2020 | 1,518,000 | $ | 2.25 | |||
Total | 3,036,000 | |||||
Average price | $ | 2.16 |
Diesel - MEH Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | Diesel - MEH Crack Spread Swap Contracts by Expiration Dates | Barrels Sold | BPD | Average Swap ($/Bbl) | |||||||||||||||||||
Third Quarter 2020 | 368,000 | 4,000 | $ | 9.51 | ||||||||||||||||||||||
Fourth Quarter 2020 | 368,000 | 4,000 | $ | 9.51 | Fourth Quarter 2020 | 368,000 | 4,000 | $ | 9.51 | |||||||||||||||||
Total | 736,000 | Total | 368,000 | |||||||||||||||||||||||
Average price | $ | 9.51 | Average price | $ | 9.51 |
June 30, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||
Natural gas swaps | $ | — | $ | — | $ | (0.2 | ) | $ | (0.2 | ) | $ | — | $ | — | $ | — | $ | — | |||||||||||||
Gasoline crack spread swaps | — | — | 4.6 | 4.6 | — | — | 1.3 | 1.3 | |||||||||||||||||||||||
Inventory financing obligation | — | — | 4.4 | 4.4 | — | — | — | — | |||||||||||||||||||||||
Diesel crack spread swaps | — | — | 9.5 | 9.5 | — | — | 0.4 | 0.4 | |||||||||||||||||||||||
Diesel - MEH crack spread swaps | — | — | 0.9 | 0.9 | — | — | — | — | |||||||||||||||||||||||
2/1/1 crack spread swaps | — | — | — | — | — | — | 0.5 | 0.5 | |||||||||||||||||||||||
WCS crude oil basis swaps | — | — | 4.9 | 4.9 | — | — | (1.3 | ) | (1.3 | ) | |||||||||||||||||||||
Total derivative assets | $ | — | $ | — | $ | 24.1 | $ | 24.1 | $ | — | $ | — | $ | 0.9 | $ | 0.9 | |||||||||||||||
Pension plan investments | 31.9 | — | — | 31.9 | 32.5 | — | — | 32.5 | |||||||||||||||||||||||
Total recurring assets at fair value | $ | 31.9 | $ | — | $ | 24.1 | $ | 56.0 | $ | 32.5 | $ | — | $ | 0.9 | $ | 33.4 | |||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||
Inventory financing obligation | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | (7.2 | ) | $ | (7.2 | ) | |||||||||||||
Total derivative liabilities | — | — | — | — | — | — | (7.2 | ) | (7.2 | ) | |||||||||||||||||||||
RINs Obligation | — | (58.8 | ) | — | (58.8 | ) | — | (13.0 | ) | — | (13.0 | ) | |||||||||||||||||||
Precious Metals leases | (5.0 | ) | — | — | (5.0 | ) | (5.8 | ) | — | — | (5.8 | ) | |||||||||||||||||||
Liability Awards | (8.4 | ) | — | — | (8.4 | ) | (7.4 | ) | — | — | (7.4 | ) | |||||||||||||||||||
Total recurring liabilities at fair value | $ | (13.4 | ) | $ | (58.8 | ) | $ | — | $ | (72.2 | ) | $ | (13.2 | ) | $ | (13.0 | ) | $ | (7.2 | ) | $ | (33.4 | ) |
September 30, 2020 | December 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||||||||||||||||||||||||||||
Natural gas swaps | $ | 0 | $ | 0 | $ | 0.5 | $ | 0.5 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||||||||||||||||||||
Gasoline crack spread swaps | 0 | 0 | 0.8 | 0.8 | 0 | 0 | 1.3 | 1.3 | |||||||||||||||||||||||||||||||||||||||
Inventory financing obligation | 0 | 0 | 1.9 | 1.9 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||||||||||
Diesel crack spread swaps | 0 | 0 | 5.9 | 5.9 | 0 | 0 | 0.4 | 0.4 | |||||||||||||||||||||||||||||||||||||||
Diesel - MEH crack spread swaps | 0 | 0 | 1.6 | 1.6 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||||||||||||||||||
2/1/1 crack spread swaps | 0 | 0 | 0 | 0 | 0 | 0 | 0.5 | 0.5 | |||||||||||||||||||||||||||||||||||||||
WCS crude oil basis swaps | 0 | 0 | 4.2 | 4.2 | 0 | 0 | (1.3) | (1.3) | |||||||||||||||||||||||||||||||||||||||
Total derivative assets | $ | 0 | $ | 0 | $ | 14.9 | $ | 14.9 | $ | 0 | $ | 0 | $ | 0.9 | $ | 0.9 | |||||||||||||||||||||||||||||||
Pension plan investments | 32.7 | 0 | 0 | 32.7 | 32.5 | 0 | 0 | 32.5 | |||||||||||||||||||||||||||||||||||||||
Total recurring assets at fair value | $ | 32.7 | $ | 0 | $ | 14.9 | $ | 47.6 | $ | 32.5 | $ | 0 | $ | 0.9 | $ | 33.4 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||||||||||||||||||||||||||||
Inventory financing obligation | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | (7.2) | $ | (7.2) | |||||||||||||||||||||||||||||||
Total derivative liabilities | 0 | 0 | 0 | 0 | 0 | 0 | (7.2) | (7.2) | |||||||||||||||||||||||||||||||||||||||
RINs obligation | 0 | (76.1) | 0 | (76.1) | 0 | (13.0) | 0 | (13.0) | |||||||||||||||||||||||||||||||||||||||
Precious metals leases | (5.3) | 0 | 0 | (5.3) | (5.8) | 0 | 0 | (5.8) | |||||||||||||||||||||||||||||||||||||||
Liability awards | (10.1) | 0 | 0 | (10.1) | (7.4) | 0 | 0 | (7.4) | |||||||||||||||||||||||||||||||||||||||
Total recurring liabilities at fair value | $ | (15.4) | $ | (76.1) | $ | 0 | $ | (91.5) | $ | (13.2) | $ | (13.0) | $ | (7.2) | $ | (33.4) |
Six Months Ended June 30, | |||||||
2020 | 2019 | ||||||
Fair value at January 1, | $ | (6.3 | ) | $ | 19.8 | ||
Realized (gain) loss on derivative instruments | (19.4 | ) | (34.2 | ) | |||
Unrealized gain (loss) on derivative instruments | 30.4 | (14.8 | ) | ||||
Settlements | 19.4 | 34.2 | |||||
Fair value at June 30, | $ | 24.1 | $ | 5.0 | |||
Total gain (loss) included in net income (loss) attributable to changes in unrealized gain (loss) relating to financial assets and liabilities held as of June 30, | $ | 30.4 | $ | (14.8 | ) |
Nine Months Ended September 30, | |||||||||||
2020 | 2019 | ||||||||||
Fair value at January 1, | $ | (6.3) | $ | 19.8 | |||||||
Realized gain on derivative instruments | (36.5) | (34.6) | |||||||||
Unrealized gain (loss) on derivative instruments | 21.2 | (20.2) | |||||||||
Settlements | 36.5 | 34.6 | |||||||||
Fair value at September 30, | $ | 14.9 | $ | (0.4) | |||||||
Total gain (loss) included in net loss attributable to changes in unrealized gain (loss) relating to financial assets and liabilities held as of September 30, | $ | 21.2 | $ | (20.2) |
September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||
Level | Fair Value | Carrying Value | Fair Value | Carrying Value | ||||||||||||||||||||||
Financial Instrument: | ||||||||||||||||||||||||||
2022 Notes and 2023 Notes | 1 | $ | 441.6 | $ | 471.5 | $ | 676.4 | $ | 668.1 | |||||||||||||||||
2024 Secured Notes and 2025 Notes | 2 | $ | 715.7 | $ | 740.3 | $ | 598.8 | $ | 540.5 | |||||||||||||||||
Revolving credit facility | 3 | $ | 100.1 | $ | 100.1 | $ | 0 | $ | 0 | |||||||||||||||||
Finance lease and other obligations | 3 | $ | 6.6 | $ | 6.6 | $ | 6.5 | $ | 6.5 |
June 30, 2020 | December 31, 2019 | |||||||||||||||
Level | Fair Value | Carrying Value | Fair Value | Carrying Value | ||||||||||||
Financial Instrument: | ||||||||||||||||
2022 Notes and 2023 Notes | 1 | $ | 644.1 | $ | 669.4 | $ | 676.4 | $ | 668.1 | |||||||
2025 Notes | 2 | $ | 533.2 | $ | 541.4 | $ | 598.8 | $ | 540.5 | |||||||
Revolving credit facility | 3 | $ | 110.3 | $ | 110.3 | $ | — | $ | — | |||||||
Finance lease and other obligations | 3 | $ | 6.9 | $ | 6.9 | $ | 6.5 | $ | 6.5 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||
Numerator for basic and diluted earnings per limited partner unit: | |||||||||||||||
Net income (loss) | $ | 3.6 | $ | (16.8 | ) | $ | (10.8 | ) | $ | (0.4 | ) | ||||
Less: | |||||||||||||||
General partner’s interest in net income (loss) | 0.1 | (0.3 | ) | (0.2 | ) | — | |||||||||
Net income (loss) available to limited partners | $ | 3.5 | $ | (16.5 | ) | $ | (10.6 | ) | $ | (0.4 | ) | ||||
Denominator for earnings per limited partner unit: | |||||||||||||||
Basic weighted average limited partner units outstanding | 78,664,183 | 78,212,837 | 78,532,405 | 78,111,857 | |||||||||||
Effect of dilutive securities: | |||||||||||||||
Incremental Units | 14,787 | — | — | — | |||||||||||
Diluted weighted average limited partner units outstanding (1) | 78,678,970 | 78,212,837 | 78,532,405 | 78,111,857 | |||||||||||
Limited partners’ interest basic net income (loss) per unit: | |||||||||||||||
Limited partners’ interest | $ | 0.05 | $ | (0.21 | ) | $ | (0.13 | ) | $ | — | |||||
Limited partners’ interest diluted net income (loss) per unit: | |||||||||||||||
Limited partners' interest | $ | 0.05 | $ | (0.21 | ) | $ | (0.13 | ) | $ | — |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Numerator for basic and diluted earnings per limited partner unit: | |||||||||||||||||||||||
Net loss | $ | (56.1) | $ | (4.6) | $ | (66.9) | $ | (5.0) | |||||||||||||||
Less: | |||||||||||||||||||||||
General partner’s interest in net loss | (1.1) | (0.1) | (1.3) | (0.1) | |||||||||||||||||||
Net loss available to limited partners | $ | (55.0) | $ | (4.5) | $ | (65.6) | $ | (4.9) | |||||||||||||||
Denominator for basic and diluted earnings per limited partner unit: | |||||||||||||||||||||||
Weighted average limited partner units outstanding (1) | 78,743,083 | 78,299,472 | 78,602,651 | 78,174,976 | |||||||||||||||||||
Limited partners’ interest basic and diluted net loss per unit: | |||||||||||||||||||||||
Limited partners’ interest | $ | (0.70) | $ | (0.06) | $ | (0.83) | $ | (0.06) | |||||||||||||||
(1)Total diluted weighted average limited partner units outstanding excludes a de-minimis amount of un-vested phantom units for the three and nine months ended September 30, 2020 and excludes 0.1 million for the three and nine months ended September 30, 2019. |
•Specialty Products. The specialty products segment produces a variety of lubricating oils, solvents, waxes, synthetic lubricants and other products which are sold to customers who purchase these products primarily as raw material components for industrial, consumer and automotive goods. Specialty products also include synthetic lubricants used in manufacturing, mining and automotive applications. •Fuel Products. The fuel products segment produces primarily gasoline, diesel, jet fuel, and asphalt which are primarily sold to customers located in the PADD 3 and PADD 4 areas within the U.S. • |
Corporate. The corporate segment primarily consists of general and administrative expenses not allocated to the Specialty Products or Fuel Products segments. |
Three Months Ended September 30, 2020 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||||||||||||||||||
Sales: | |||||||||||||||||||||||||||||||||||
External customers | $ | 281.3 | $ | 286.7 | $ | 0 | $ | 0 | $ | 568.0 | |||||||||||||||||||||||||
Inter-segment sales | 13.1 | 7.7 | 0 | (20.8) | 0 | ||||||||||||||||||||||||||||||
Total sales | $ | 294.4 | $ | 294.4 | $ | 0 | $ | (20.8) | $ | 568.0 | |||||||||||||||||||||||||
Adjusted EBITDA | $ | 56.0 | $ | (13.5) | $ | (17.1) | $ | 0 | $ | 25.4 | |||||||||||||||||||||||||
Reconciling items to net loss: | |||||||||||||||||||||||||||||||||||
Depreciation and amortization | 10.7 | 17.6 | 1.9 | 0 | 30.2 | ||||||||||||||||||||||||||||||
LCM / LIFO (gain) loss | (4.7) | 5.8 | 0 | 0 | 1.1 | ||||||||||||||||||||||||||||||
Interest (benefit) expense | (0.1) | 2.1 | 31.3 | 0 | 33.3 | ||||||||||||||||||||||||||||||
Unrealized (gain) loss on derivatives | (0.3) | 9.5 | 0 | 0 | 9.2 | ||||||||||||||||||||||||||||||
Other non-recurring expenses | 5.5 | ||||||||||||||||||||||||||||||||||
Equity-based compensation and other items | 2.1 | ||||||||||||||||||||||||||||||||||
Income tax expense | 0.1 | ||||||||||||||||||||||||||||||||||
Net loss | $ | (56.1) | |||||||||||||||||||||||||||||||||
Three Months Ended September 30, 2019 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||||||||||||||||||
Sales: | |||||||||||||||||||||||||||||||||||
External customers | $ | 355.8 | $ | 573.8 | $ | 0 | $ | 0 | $ | 929.6 | |||||||||||||||||||||||||
Inter-segment sales | 19.8 | 14.3 | 0 | (34.1) | 0 | ||||||||||||||||||||||||||||||
Total sales | $ | 375.6 | $ | 588.1 | $ | 0 | $ | (34.1) | $ | 929.6 | |||||||||||||||||||||||||
Adjusted EBITDA | $ | 51.6 | $ | 47.7 | $ | (23.1) | $ | 0 | $ | 76.2 | |||||||||||||||||||||||||
Reconciling items to net loss: | |||||||||||||||||||||||||||||||||||
Depreciation and amortization | 12.9 | 18.6 | 2.0 | 0 | 33.5 | ||||||||||||||||||||||||||||||
LCM / LIFO (gain) loss | (0.9) | 3.6 | 0 | 0 | 2.7 | ||||||||||||||||||||||||||||||
(Gain) loss on impairment and disposal of assets | 0 | (0.4) | 3.6 | 0 | 3.2 | ||||||||||||||||||||||||||||||
Interest expense | 0 | 5.6 | 28.2 | 0 | 33.8 | ||||||||||||||||||||||||||||||
Unrealized loss on derivatives | 0 | 5.4 | 0 | 0 | 5.4 | ||||||||||||||||||||||||||||||
Other non-recurring expenses | 1.3 | ||||||||||||||||||||||||||||||||||
Equity-based compensation and other items | 0.4 | ||||||||||||||||||||||||||||||||||
Income tax expense | 0.5 | ||||||||||||||||||||||||||||||||||
Net loss | $ | (4.6) |
Three Months Ended June 30, 2020 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||
Sales: | |||||||||||||||||||
External customers | $ | 232.7 | $ | 221.0 | $ | — | $ | — | $ | 453.7 | |||||||||
Inter-segment sales | 11.2 | 4.8 | — | (16.0 | ) | — | |||||||||||||
Total sales | $ | 243.9 | $ | 225.8 | $ | — | $ | (16.0 | ) | $ | 453.7 | ||||||||
Adjusted EBITDA | $ | 56.1 | $ | 1.9 | $ | (17.0 | ) | $ | — | $ | 41.0 | ||||||||
Reconciling items to net income: | |||||||||||||||||||
Depreciation and amortization | 10.1 | 17.8 | 1.9 | — | 29.8 | ||||||||||||||
LCM / LIFO gain | (4.2 | ) | (27.9 | ) | — | — | (32.1 | ) | |||||||||||
Loss on impairment and disposal of assets | — | 0.1 | 0.6 | — | 0.7 | ||||||||||||||
Interest expense | — | (0.4 | ) | 31.0 | — | 30.6 | |||||||||||||
Unrealized (gain) loss on derivatives | (0.4 | ) | 1.6 | — | — | 1.2 | |||||||||||||
Equity-based compensation and other items | 7.0 | ||||||||||||||||||
Income tax expense | 0.2 | ||||||||||||||||||
Net income | $ | 3.6 | |||||||||||||||||
Three Months Ended June 30, 2019 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||
Sales: | |||||||||||||||||||
External customers | $ | 344.4 | $ | 552.5 | $ | — | $ | — | $ | 896.9 | |||||||||
Inter-segment sales | 24.4 | 12.4 | — | (36.8 | ) | — | |||||||||||||
Total sales | $ | 368.8 | $ | 564.9 | $ | — | $ | (36.8 | ) | $ | 896.9 | ||||||||
Adjusted EBITDA | $ | 55.1 | $ | 50.2 | $ | (28.3 | ) | $ | — | $ | 77.0 | ||||||||
Reconciling items to net loss: | |||||||||||||||||||
Depreciation and amortization | 12.2 | 18.5 | 1.9 | — | 32.6 | ||||||||||||||
LCM / LIFO gain | 0.4 | (3.0 | ) | — | — | (2.6 | ) | ||||||||||||
Loss on impairment and disposal of assets | — | 0.1 | 16.1 | — | 16.2 | ||||||||||||||
Interest expense | — | 4.3 | 28.8 | — | 33.1 | ||||||||||||||
Gain on debt extinguishment | — | — | (0.3 | ) | — | (0.3 | ) | ||||||||||||
Unrealized loss on derivatives | 7.6 | 4.6 | — | — | 12.2 | ||||||||||||||
Equity-based compensation and other items | 2.3 | ||||||||||||||||||
Income tax expense | 0.3 | ||||||||||||||||||
Net loss | $ | (16.8 | ) |
Six Months Ended June 30, 2020 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||
Sales: | |||||||||||||||||||
External customers | $ | 559.6 | $ | 586.7 | $ | — | $ | — | $ | 1,146.3 | |||||||||
Inter-segment sales | 28.6 | 12.8 | — | (41.4 | ) | — | |||||||||||||
Total sales | $ | 588.2 | $ | 599.5 | $ | — | $ | (41.4 | ) | $ | 1,146.3 | ||||||||
Adjusted EBITDA | $ | 120.6 | $ | 41.1 | $ | (37.0 | ) | $ | — | $ | 124.7 | ||||||||
Reconciling items to net loss: | |||||||||||||||||||
Depreciation and amortization | 21.9 | 35.6 | 3.8 | — | 61.3 | ||||||||||||||
LCM / LIFO loss | 18.0 | 16.4 | — | — | 34.4 | ||||||||||||||
Loss on impairment and disposal of assets | 1.5 | 0.1 | 5.1 | — | 6.7 | ||||||||||||||
Interest expense | — | (2.1 | ) | 62.0 | — | 59.9 | |||||||||||||
Unrealized gain on derivatives | (0.1 | ) | (30.3 | ) | — | — | (30.4 | ) | |||||||||||
Other non-recurring income | (1.2 | ) | |||||||||||||||||
Equity-based compensation and other items | 4.1 | ||||||||||||||||||
Income tax expense | 0.7 | ||||||||||||||||||
Net loss | $ | (10.8 | ) | ||||||||||||||||
Six Months Ended June 30, 2019 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||
Sales: | |||||||||||||||||||
External customers | $ | 696.6 | $ | 1,051.6 | $ | — | $ | — | $ | 1,748.2 | |||||||||
Inter-segment sales | 47.2 | 23.4 | — | (70.6 | ) | — | |||||||||||||
Total sales | $ | 743.8 | $ | 1,075.0 | $ | — | $ | (70.6 | ) | $ | 1,748.2 | ||||||||
Income from unconsolidated affiliates | $ | 3.8 | $ | — | $ | — | $ | — | $ | 3.8 | |||||||||
Adjusted EBITDA | $ | 113.5 | $ | 76.1 | $ | (52.9 | ) | $ | — | $ | 136.7 | ||||||||
Reconciling items to net loss: | |||||||||||||||||||
Depreciation and amortization | 23.7 | 38.2 | 3.7 | — | 65.6 | ||||||||||||||
LCM / LIFO gain | (5.3 | ) | (35.3 | ) | — | — | (40.6 | ) | |||||||||||
Loss on impairment and disposal of assets | — | 11.8 | 16.1 | — | 27.9 | ||||||||||||||
Interest expense | — | 7.1 | 58.3 | — | 65.4 | ||||||||||||||
Gain on debt extinguishment | — | — | (0.7 | ) | — | (0.7 | ) | ||||||||||||
Unrealized loss on derivatives | 8.1 | 6.7 | — | — | 14.8 | ||||||||||||||
Gain on sale of unconsolidated affiliate | (1.2 | ) | — | — | — | (1.2 | ) | ||||||||||||
Equity-based compensation and other items | 5.7 | ||||||||||||||||||
Income tax expense | 0.2 | ||||||||||||||||||
Net loss | $ | (0.4 | ) |
Nine Months Ended September 30, 2020 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||||||||||||||||||
Sales: | |||||||||||||||||||||||||||||||||||
External customers | $ | 840.9 | $ | 873.4 | $ | 0 | $ | 0 | $ | 1,714.3 | |||||||||||||||||||||||||
Inter-segment sales | 41.7 | 20.5 | 0 | (62.2) | 0 | ||||||||||||||||||||||||||||||
Total sales | $ | 882.6 | $ | 893.9 | $ | 0 | $ | (62.2) | $ | 1,714.3 | |||||||||||||||||||||||||
Adjusted EBITDA | $ | 176.6 | $ | 27.6 | $ | (54.1) | $ | 0 | $ | 150.1 | |||||||||||||||||||||||||
Reconciling items to net loss: | |||||||||||||||||||||||||||||||||||
Depreciation and amortization | 32.6 | 53.2 | 5.7 | 0 | 91.5 | ||||||||||||||||||||||||||||||
LCM / LIFO loss | 13.3 | 22.2 | 0 | 0 | 35.5 | ||||||||||||||||||||||||||||||
Loss on impairment and disposal of assets | 1.5 | 0.1 | 5.1 | 0 | 6.7 | ||||||||||||||||||||||||||||||
Interest (benefit) expense | (0.1) | 0 | 93.3 | 0 | 93.2 | ||||||||||||||||||||||||||||||
Unrealized gain on derivatives | (0.1) | (21.1) | 0 | 0 | (21.2) | ||||||||||||||||||||||||||||||
Other non-recurring expenses | 4.3 | ||||||||||||||||||||||||||||||||||
Equity-based compensation and other items | 6.2 | ||||||||||||||||||||||||||||||||||
Income tax expense | 0.8 | ||||||||||||||||||||||||||||||||||
Net loss | $ | (66.9) | |||||||||||||||||||||||||||||||||
Nine Months Ended September 30, 2019 | Specialty Products | Fuel Products | Corporate | Eliminations | Consolidated Total | ||||||||||||||||||||||||||||||
Sales: | |||||||||||||||||||||||||||||||||||
External customers | $ | 1,052.4 | $ | 1,625.4 | $ | 0 | $ | 0 | $ | 2,677.8 | |||||||||||||||||||||||||
Inter-segment sales | 67.0 | 37.7 | 0 | (104.7) | 0 | ||||||||||||||||||||||||||||||
Total sales | $ | 1,119.4 | $ | 1,663.1 | $ | 0 | $ | (104.7) | $ | 2,677.8 | |||||||||||||||||||||||||
Income from unconsolidated affiliates | $ | 3.8 | $ | 0 | $ | 0 | $ | 0 | $ | 3.8 | |||||||||||||||||||||||||
Adjusted EBITDA | $ | 165.1 | $ | 123.8 | $ | (76.0) | $ | 0 | $ | 212.9 | |||||||||||||||||||||||||
Reconciling items to net loss: | |||||||||||||||||||||||||||||||||||
Depreciation and amortization | 36.6 | 56.8 | 5.7 | 0 | 99.1 | ||||||||||||||||||||||||||||||
LCM / LIFO gain | (6.2) | (31.7) | 0 | 0 | (37.9) | ||||||||||||||||||||||||||||||
Loss on impairment and disposal of assets | 0 | 11.4 | 19.7 | 0 | 31.1 | ||||||||||||||||||||||||||||||
Interest expense | 0 | 12.7 | 86.5 | 0 | 99.2 | ||||||||||||||||||||||||||||||
Gain on debt extinguishment | 0 | 0 | (0.7) | 0 | (0.7) | ||||||||||||||||||||||||||||||
Unrealized loss on derivatives | 8.1 | 12.1 | 0 | 0 | 20.2 | ||||||||||||||||||||||||||||||
Other non-recurring expenses | 1.3 | ||||||||||||||||||||||||||||||||||
Gain on sale of unconsolidated affiliate | (1.2) | 0 | 0 | 0 | (1.2) | ||||||||||||||||||||||||||||||
Equity-based compensation and other items | 6.1 | ||||||||||||||||||||||||||||||||||
Income tax expense | 0.7 | ||||||||||||||||||||||||||||||||||
Net loss | $ | (5.0) |
Three Months Ended June 30, | |||||||||||||
2020 | 2019 | ||||||||||||
Specialty products: | |||||||||||||
Lubricating oils | $ | 91.4 | 20.1 | % | $ | 152.5 | 17.0 | % | |||||
Solvents | 47.3 | 10.4 | % | 80.7 | 9.0 | % | |||||||
Waxes | 27.9 | 6.2 | % | 31.6 | 3.5 | % | |||||||
Packaged and synthetic specialty products | 58.8 | 13.0 | % | 60.7 | 6.8 | % | |||||||
Other | 7.3 | 1.6 | % | 18.9 | 2.1 | % | |||||||
Total | $ | 232.7 | 51.3 | % | $ | 344.4 | 38.4 | % | |||||
Fuel products: | |||||||||||||
Gasoline | $ | 67.4 | 14.9 | % | $ | 183.8 | 20.5 | % | |||||
Diesel | 98.6 | 21.7 | % | 218.1 | 24.3 | % | |||||||
Jet fuel | 10.4 | 2.3 | % | 40.7 | 4.5 | % | |||||||
Asphalt, heavy fuel oils and other | 44.6 | 9.8 | % | 109.9 | 12.3 | % | |||||||
Total | $ | 221.0 | 48.7 | % | $ | 552.5 | 61.6 | % | |||||
Consolidated sales | $ | 453.7 | 100.0 | % | $ | 896.9 | 100.0 | % |
Three Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | ||||||||||||||||||||||
Specialty products: | |||||||||||||||||||||||
Lubricating oils | $ | 122.5 | 21.6 | % | $ | 156.1 | 16.8 | % | |||||||||||||||
Solvents | 54.6 | 9.6 | % | 86.1 | 9.3 | % | |||||||||||||||||
Waxes | 33.8 | 5.9 | % | 30.1 | 3.2 | % | |||||||||||||||||
Packaged and synthetic specialty products | 60.9 | 10.7 | % | 59.6 | 6.4 | % | |||||||||||||||||
Other | 9.5 | 1.7 | % | 23.9 | 2.6 | % | |||||||||||||||||
Total | $ | 281.3 | 49.5 | % | $ | 355.8 | 38.3 | % | |||||||||||||||
Fuel products: | |||||||||||||||||||||||
Gasoline | $ | 97.4 | 17.1 | % | $ | 189.5 | 20.4 | % | |||||||||||||||
Diesel | 110.9 | 19.5 | % | 225.4 | 24.2 | % | |||||||||||||||||
Jet fuel | 17.6 | 3.2 | % | 39.5 | 4.3 | % | |||||||||||||||||
Asphalt, heavy fuel oils and other | 60.8 | 10.7 | % | 119.4 | 12.8 | % | |||||||||||||||||
Total | $ | 286.7 | 50.5 | % | $ | 573.8 | 61.7 | % | |||||||||||||||
Consolidated sales | $ | 568.0 | 100.0 | % | $ | 929.6 | 100.0 | % |
Six Months Ended June 30, | |||||||||||||
2020 | 2019 | ||||||||||||
Specialty products: | |||||||||||||
Lubricating oils | $ | 230.0 | 20.1 | % | $ | 304.6 | 17.4 | % | |||||
Solvents | 124.4 | 10.9 | % | 168.1 | 9.6 | % | |||||||
Waxes | 58.4 | 5.0 | % | 62.5 | 3.6 | % | |||||||
Packaged and synthetic specialty products | 116.5 | 10.2 | % | 120.6 | 6.9 | % | |||||||
Other | 30.3 | 2.6 | % | 40.8 | 2.3 | % | |||||||
Total | $ | 559.6 | 48.8 | % | $ | 696.6 | 39.8 | % | |||||
Fuel products: | |||||||||||||
Gasoline | $ | 188.3 | 16.4 | % | $ | 341.4 | 19.6 | % | |||||
Diesel | 252.4 | 22.0 | % | 444.0 | 25.4 | % | |||||||
Jet fuel | 36.3 | 3.2 | % | 61.3 | 3.5 | % | |||||||
Asphalt, heavy fuel oils and other | 109.7 | 9.6 | % | 204.9 | 11.7 | % | |||||||
Total | $ | 586.7 | 51.2 | % | $ | 1,051.6 | 60.2 | % | |||||
Consolidated sales | $ | 1,146.3 | 100.0 | % | $ | 1,748.2 | 100.0 | % |
Nine Months Ended September 30, | |||||||||||||||||||||||
2020 | 2019 | ||||||||||||||||||||||
Specialty products: | |||||||||||||||||||||||
Lubricating oils | $ | 352.5 | 20.6 | % | $ | 460.7 | 17.2 | % | |||||||||||||||
Solvents | 179.0 | 10.4 | % | 254.2 | 9.5 | % | |||||||||||||||||
Waxes | 92.2 | 5.5 | % | 92.6 | 3.5 | % | |||||||||||||||||
Packaged and synthetic specialty products | 177.4 | 10.3 | % | 180.2 | 6.7 | % | |||||||||||||||||
Other | 39.8 | 2.3 | % | 64.7 | 2.4 | % | |||||||||||||||||
Total | $ | 840.9 | 49.1 | % | $ | 1,052.4 | 39.3 | % | |||||||||||||||
Fuel products: | |||||||||||||||||||||||
Gasoline | $ | 285.7 | 16.7 | % | $ | 530.9 | 19.8 | % | |||||||||||||||
Diesel | 363.3 | 21.2 | % | 669.4 | 25.0 | % | |||||||||||||||||
Jet fuel | 53.9 | 3.1 | % | 100.8 | 3.8 | % | |||||||||||||||||
Asphalt, heavy fuel oils and other | 170.5 | 9.9 | % | 324.3 | 12.1 | % | |||||||||||||||||
Total | $ | 873.4 | 50.9 | % | $ | 1,625.4 | 60.7 | % | |||||||||||||||
Consolidated sales | $ | 1,714.3 | 100.0 | % | $ | 2,677.8 | 100.0 | % |
Employee Termination Benefits | Exit Costs | Total | |||||||||
Balance at December 31, 2019 | $ | — | $ | — | $ | — | |||||
Charges to restructuring | 0.8 | 1.3 | 2.1 | ||||||||
Cash Payments and other | (0.4 | ) | (1.1 | ) | (1.5 | ) | |||||
Balance at March 31, 2020 | $ | 0.4 | $ | 0.2 | $ | 0.6 | |||||
Charges to restructuring | 0.9 | 1.0 | 1.9 | ||||||||
Cash Payments and other | (0.8 | ) | (0.7 | ) | (1.5 | ) | |||||
Balance at June 30, 2020 | $ | 0.5 | $ | 0.5 | $ | 1.0 |
Employee Termination Benefits | Exit Costs | Total | |||||||||||||||
Balance at December 31, 2019 | $ | 0 | $ | 0 | $ | 0 | |||||||||||
Charges to restructuring | 0.8 | 1.3 | 2.1 | ||||||||||||||
Cash Payments and other | (0.4) | (1.1) | (1.5) | ||||||||||||||
Balance at March 31, 2020 | $ | 0.4 | $ | 0.2 | $ | 0.6 | |||||||||||
Charges to restructuring | 0.9 | 1.0 | 1.9 | ||||||||||||||
Cash Payments and other | (0.8) | (0.7) | (1.5) | ||||||||||||||
Balance at June 30, 2020 | $ | 0.5 | $ | 0.5 | $ | 1.0 | |||||||||||
Charges to restructuring | 0.3 | 0.5 | 0.8 | ||||||||||||||
Cash Payments and other | (0.6) | (0.7) | (1.3) | ||||||||||||||
Balance at September 30, 2020 | $ | 0.2 | $ | 0.3 | $ | 0.5 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||
2020 | 2019 | % Change | 2020 | 2019 | % Change | ||||||||||||
(In bpd) | (In bpd) | ||||||||||||||||
Total sales volume (1) | 87,648 | 102,923 | (14.8 | )% | 89,896 | 105,961 | (15.2 | )% | |||||||||
Total feedstock runs (2) | 82,768 | 104,415 | (20.7 | )% | 87,035 | 104,921 | (17.0 | )% | |||||||||
Facility production: (3) | |||||||||||||||||
Specialty products: | |||||||||||||||||
Lubricating oils | 8,636 | 11,327 | (23.8 | )% | 9,438 | 11,839 | (20.3 | )% | |||||||||
Solvents | 6,373 | 7,317 | (12.9 | )% | 6,590 | 7,624 | (13.6 | )% | |||||||||
Waxes | 1,290 | 1,427 | (9.6 | )% | 1,280 | 1,403 | (8.8 | )% | |||||||||
Packaged and synthetic specialty products (4) | 1,359 | 1,747 | (22.2 | )% | 1,382 | 1,810 | (23.6 | )% | |||||||||
Other | 984 | 1,660 | (40.7 | )% | 2,232 | 1,417 | 57.5 | % | |||||||||
Total | 18,642 | 23,478 | (20.6 | )% | 20,922 | 24,093 | (13.2 | )% | |||||||||
Fuel products: | |||||||||||||||||
Gasoline | 17,758 | 23,245 | (23.6 | )% | 18,769 | 23,924 | (21.5 | )% | |||||||||
Diesel | 26,104 | 28,233 | (7.5 | )% | 26,001 | 29,349 | (11.4 | )% | |||||||||
Jet fuel | 2,905 | 5,517 | (47.3 | )% | 3,355 | 4,081 | (17.8 | )% | |||||||||
Asphalt, heavy fuels and other | 14,820 | 21,484 | (31.0 | )% | 15,016 | 20,413 | (26.4 | )% | |||||||||
Total | 61,587 | 78,479 | (21.5 | )% | 63,141 | 77,767 | (18.8 | )% | |||||||||
Total facility production (3) | 80,229 | 101,957 | (21.3 | )% | 84,063 | 101,860 | (17.5 | )% |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | 2020 | 2019 | % Change | ||||||||||||||||||||||||||||||
(In bpd) | (In bpd) | ||||||||||||||||||||||||||||||||||
Total sales volume (1) | 85,529 | 111,022 | (23.0) | % | 88,429 | 107,670 | (17.9) | % | |||||||||||||||||||||||||||
Total feedstock runs (2) | 81,813 | 110,447 | (25.9) | % | 85,282 | 106,784 | (20.1) | % | |||||||||||||||||||||||||||
Facility production: (3) | |||||||||||||||||||||||||||||||||||
Specialty products: | |||||||||||||||||||||||||||||||||||
Lubricating oils | 10,634 | 11,937 | (10.9) | % | 9,839 | 11,872 | (17.1) | % | |||||||||||||||||||||||||||
Solvents | 6,323 | 7,493 | (15.6) | % | 6,500 | 7,580 | (14.2) | % | |||||||||||||||||||||||||||
Waxes | 1,199 | 1,440 | (16.7) | % | 1,253 | 1,416 | (11.5) | % | |||||||||||||||||||||||||||
Packaged and synthetic specialty products (4) | 1,458 | 1,384 | 5.3 | % | 1,407 | 1,667 | (15.6) | % | |||||||||||||||||||||||||||
Other | 790 | 2,037 | (61.2) | % | 1,747 | 1,626 | 7.4 | % | |||||||||||||||||||||||||||
Total | 20,404 | 24,291 | (16.0) | % | 20,746 | 24,161 | (14.1) | % | |||||||||||||||||||||||||||
Fuel products: | |||||||||||||||||||||||||||||||||||
Gasoline | 17,017 | 23,603 | (27.9) | % | 18,181 | 23,816 | (23.7) | % | |||||||||||||||||||||||||||
Diesel | 23,499 | 30,479 | (22.9) | % | 25,161 | 29,729 | (15.4) | % | |||||||||||||||||||||||||||
Jet fuel | 4,301 | 5,213 | (17.5) | % | 3,673 | 4,462 | (17.7) | % | |||||||||||||||||||||||||||
Asphalt, heavy fuels and other | 13,540 | 22,248 | (39.1) | % | 14,520 | 21,031 | (31.0) | % | |||||||||||||||||||||||||||
Total | 58,357 | 81,543 | (28.4) | % | 61,535 | 79,038 | (22.1) | % | |||||||||||||||||||||||||||
Total facility production (3) | 78,761 | 105,834 | (25.6) | % | 82,281 | 103,199 | (20.3) | % |
43 (3)Total facility production represents the barrels per day of specialty products and fuel products yielded from processing crude oil and other feedstocks at our facilities and at certain third-party facilities pursuant to supply and/or processing agreements. The difference between total facility production and total feedstock runs is primarily a result of the time lag between the input of feedstocks and production of finished products and volume loss. |
(4)Represents production of finished lubricants and chemicals specialty products including the products from the Royal Purple, Bel-Ray and Calumet Packaging facilities. |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
(In millions) | |||||||||||||||||||||||
Sales | $ | 568.0 | $ | 929.6 | $ | 1,714.3 | $ | 2,677.8 | |||||||||||||||
Cost of sales | 523.4 | 811.8 | 1,526.1 | 2,316.9 | |||||||||||||||||||
Gross profit | 44.6 | 117.8 | 188.2 | 360.9 | |||||||||||||||||||
Operating costs and expenses: | |||||||||||||||||||||||
Selling | 11.2 | 12.6 | 37.1 | 40.2 | |||||||||||||||||||
General and administrative | 29.7 | 32.8 | 76.7 | 105.5 | |||||||||||||||||||
Transportation | 28.1 | 28.4 | 83.7 | 95.9 | |||||||||||||||||||
Taxes other than income taxes | 3.9 | 5.7 | 6.2 | 15.5 | |||||||||||||||||||
Loss on impairment and disposal of assets | — | 3.2 | 6.7 | 31.1 | |||||||||||||||||||
Other operating expense | 2.5 | 1.7 | 9.7 | 0.8 | |||||||||||||||||||
Operating income (loss) | (30.8) | 33.4 | (31.9) | 71.9 | |||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||
Interest expense | (33.3) | (33.8) | (93.2) | (99.2) | |||||||||||||||||||
Gain on debt extinguishment | — | — | — | 0.7 | |||||||||||||||||||
Gain (loss) on derivative instruments | 7.9 | (5.0) | 57.7 | 14.4 | |||||||||||||||||||
Other | 0.2 | 1.3 | 1.3 | 7.9 | |||||||||||||||||||
Total other expense | (25.2) | (37.5) | (34.2) | (76.2) | |||||||||||||||||||
Net loss before income taxes | (56.0) | (4.1) | (66.1) | (4.3) | |||||||||||||||||||
Income tax expense | 0.1 | 0.5 | 0.8 | 0.7 | |||||||||||||||||||
Net loss | $ | (56.1) | $ | (4.6) | $ | (66.9) | $ | (5.0) | |||||||||||||||
EBITDA | $ | 3.5 | $ | 57.1 | $ | 105.9 | $ | 177.5 | |||||||||||||||
Adjusted EBITDA | $ | 25.4 | $ | 76.2 | $ | 150.1 | $ | 212.9 | |||||||||||||||
Distributable Cash Flow | $ | (15.2) | $ | 19.5 | $ | 23.6 | $ | 70.3 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||
(In millions) | |||||||||||||||
Sales | $ | 453.7 | $ | 896.9 | $ | 1,146.3 | $ | 1,748.2 | |||||||
Cost of sales | 364.4 | 789.8 | 1,002.7 | 1,505.1 | |||||||||||
Gross profit | 89.3 | 107.1 | 143.6 | 243.1 | |||||||||||
Operating costs and expenses: | |||||||||||||||
Selling | 12.6 | 14.3 | 25.9 | 27.6 | |||||||||||
General and administrative | 26.8 | 37.8 | 47.0 | 72.7 | |||||||||||
Transportation | 24.8 | 31.6 | 55.6 | 67.5 | |||||||||||
(Benefit) expense for taxes other than income taxes | (2.7 | ) | 4.7 | 2.3 | 9.8 | ||||||||||
Loss on impairment and disposal of assets | 0.7 | 16.2 | 6.7 | 27.9 | |||||||||||
Other operating (income) expense | 4.2 | (2.2 | ) | 7.2 | (0.9 | ) | |||||||||
Operating income (loss) | 22.9 | 4.7 | (1.1 | ) | 38.5 | ||||||||||
Other income (expense): | |||||||||||||||
Interest expense | (30.6 | ) | (33.1 | ) | (59.9 | ) | (65.4 | ) | |||||||
Gain on debt extinguishment | — | 0.3 | — | 0.7 | |||||||||||
Gain on derivative instruments | 11.3 | 10.3 | 49.8 | 19.4 | |||||||||||
Other | 0.2 | 1.3 | 1.1 | 6.6 | |||||||||||
Total other expense | (19.1 | ) | (21.2 | ) | (9.0 | ) | (38.7 | ) | |||||||
Net income (loss) before income taxes | 3.8 | (16.5 | ) | (10.1 | ) | (0.2 | ) | ||||||||
Income tax expense | 0.2 | 0.3 | 0.7 | 0.2 | |||||||||||
Net income (loss) | $ | 3.6 | $ | (16.8 | ) | $ | (10.8 | ) | $ | (0.4 | ) | ||||
EBITDA | $ | 60.6 | $ | 43.6 | $ | 102.4 | $ | 120.4 | |||||||
Adjusted EBITDA | $ | 41.0 | $ | 77.0 | $ | 124.7 | $ | 136.7 | |||||||
Distributable Cash Flow | $ | 0.4 | $ | 33.1 | $ | 38.8 | $ | 50.8 |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
(In millions) | |||||||||||||||||||||||
Reconciliation of Net loss to EBITDA, Adjusted EBITDA and Distributable Cash Flow: | |||||||||||||||||||||||
Net loss | $ | (56.1) | $ | (4.6) | $ | (66.9) | $ | (5.0) | |||||||||||||||
Add: | |||||||||||||||||||||||
Interest expense | 33.3 | 33.8 | 93.2 | 99.2 | |||||||||||||||||||
Depreciation and amortization | 26.2 | 27.4 | 78.8 | 82.6 | |||||||||||||||||||
Income tax expense | 0.1 | 0.5 | 0.8 | 0.7 | |||||||||||||||||||
EBITDA | $ | 3.5 | $ | 57.1 | $ | 105.9 | $ | 177.5 | |||||||||||||||
Add: | |||||||||||||||||||||||
LCM / LIFO (gain) loss | $ | 1.1 | $ | 2.7 | $ | 35.5 | $ | (37.9) | |||||||||||||||
Unrealized (gain) loss on derivative instruments | 9.2 | 5.4 | (21.2) | 20.2 | |||||||||||||||||||
Amortization of turnaround costs | 4.0 | 6.1 | 12.7 | 16.5 | |||||||||||||||||||
Gain from debt extinguishment | — | — | — | (0.7) | |||||||||||||||||||
Loss on impairment and disposal of assets | — | 3.2 | 6.7 | 31.1 | |||||||||||||||||||
Gain on sale of unconsolidated affiliate | — | — | — | (1.2) | |||||||||||||||||||
Equity-based compensation and other items | 2.1 | 0.4 | 6.2 | 6.1 | |||||||||||||||||||
Other non-recurring expenses | 5.5 | 1.3 | 4.3 | 1.3 | |||||||||||||||||||
Adjusted EBITDA | $ | 25.4 | $ | 76.2 | $ | 150.1 | $ | 212.9 | |||||||||||||||
Less: | |||||||||||||||||||||||
Replacement and environmental capital expenditures (1) | $ | 5.3 | $ | 13.4 | $ | 17.6 | $ | 27.0 | |||||||||||||||
Cash interest expense (2) | 31.6 | 32.4 | 88.4 | 94.3 | |||||||||||||||||||
Turnaround costs | 3.6 | 10.4 | 19.7 | 16.8 | |||||||||||||||||||
Gain from unconsolidated affiliates | — | — | — | 3.8 | |||||||||||||||||||
Income tax expense | 0.1 | 0.5 | 0.8 | 0.7 | |||||||||||||||||||
Distributable Cash Flow | $ | (15.2) | $ | 19.5 | $ | 23.6 | $ | 70.3 |
Nine Months Ended September 30, | ||||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | 2020 | 2019 | |||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | (In millions) | ||||||||||||||||||||||
(In millions) | ||||||||||||||||||||||||||
Reconciliation of Net income (loss) to EBITDA, Adjusted EBITDA and Distributable Cash Flow: | ||||||||||||||||||||||||||
Net income (loss) | $ | 3.6 | $ | (16.8 | ) | $ | (10.8 | ) | $ | (0.4 | ) | |||||||||||||||
Reconciliation of Distributable Cash Flow, Adjusted EBITDA and EBITDA to Net cash provided by operating activities: | Reconciliation of Distributable Cash Flow, Adjusted EBITDA and EBITDA to Net cash provided by operating activities: | |||||||||||||||||||||||||
Distributable Cash Flow | Distributable Cash Flow | $ | 23.6 | $ | 70.3 | |||||||||||||||||||||
Add: | Add: | |||||||||||||||||||||||||
Interest expense | 30.6 | 33.1 | 59.9 | 65.4 | ||||||||||||||||||||||
Depreciation and amortization | 26.2 | 27.0 | 52.6 | 55.2 | ||||||||||||||||||||||
Income tax expense | 0.2 | 0.3 | 0.7 | 0.2 | ||||||||||||||||||||||
EBITDA | $ | 60.6 | $ | 43.6 | $ | 102.4 | $ | 120.4 | ||||||||||||||||||
Add: | ||||||||||||||||||||||||||
LCM / LIFO (gain) loss | $ | (32.1 | ) | $ | (2.6 | ) | $ | 34.4 | $ | (40.6 | ) | |||||||||||||||
Unrealized (gain) loss on derivative instruments | 1.2 | 12.2 | (30.4 | ) | 14.8 | |||||||||||||||||||||
Amortization of turnaround costs | 3.6 | 5.6 | 8.7 | 10.4 | ||||||||||||||||||||||
Gain from debt extinguishment | — | (0.3 | ) | — | (0.7 | ) | ||||||||||||||||||||
Loss on impairment and disposal of assets | 0.7 | 16.2 | 6.7 | 27.9 | ||||||||||||||||||||||
Gain on sale of unconsolidated affiliate | — | — | — | (1.2 | ) | |||||||||||||||||||||
Equity-based compensation and other items | 7.0 | 2.3 | 4.1 | 5.7 | ||||||||||||||||||||||
Other non-recurring income | — | — | (1.2 | ) | — | |||||||||||||||||||||
Adjusted EBITDA | $ | 41.0 | $ | 77.0 | $ | 124.7 | $ | 136.7 | ||||||||||||||||||
Less: | ||||||||||||||||||||||||||
Replacement and environmental capital expenditures (1) | $ | 5.1 | $ | 7.4 | $ | 12.3 | $ | 13.6 | Replacement and environmental capital expenditures (1) | 17.6 | 27.0 | |||||||||||||||
Cash interest expense (2) | 29.0 | 31.5 | 56.8 | 61.9 | Cash interest expense (2) | 88.4 | 94.3 | |||||||||||||||||||
Turnaround costs | 6.3 | 4.7 | 16.1 | 6.4 | Turnaround costs | 19.7 | 16.8 | |||||||||||||||||||
Gain from unconsolidated affiliates | — | — | — | 3.8 | Gain from unconsolidated affiliates | — | 3.8 | |||||||||||||||||||
Income tax expense | 0.2 | 0.3 | 0.7 | 0.2 | Income tax expense | 0.8 | 0.7 | |||||||||||||||||||
Distributable Cash Flow | $ | 0.4 | $ | 33.1 | $ | 38.8 | $ | 50.8 | ||||||||||||||||||
Adjusted EBITDA | Adjusted EBITDA | $ | 150.1 | $ | 212.9 | |||||||||||||||||||||
Less: | Less: | |||||||||||||||||||||||||
LCM / LIFO (gain) loss | LCM / LIFO (gain) loss | $ | 35.5 | $ | (37.9) | |||||||||||||||||||||
Unrealized (gain) loss on derivative instruments | Unrealized (gain) loss on derivative instruments | (21.2) | 20.2 | |||||||||||||||||||||||
Amortization of turnaround costs | Amortization of turnaround costs | 12.7 | 16.5 | |||||||||||||||||||||||
Gain on debt extinguishment | Gain on debt extinguishment | — | (0.7) | |||||||||||||||||||||||
Loss on impairment and disposal of assets | Loss on impairment and disposal of assets | 6.7 | 31.1 | |||||||||||||||||||||||
Gain on sale of unconsolidated affiliate | Gain on sale of unconsolidated affiliate | — | (1.2) | |||||||||||||||||||||||
Equity-based compensation and other items | Equity-based compensation and other items | 6.2 | 6.1 | |||||||||||||||||||||||
Other non-recurring expenses | Other non-recurring expenses | 4.3 | 1.3 | |||||||||||||||||||||||
EBITDA | EBITDA | $ | 105.9 | $ | 177.5 | |||||||||||||||||||||
Add: | Add: | |||||||||||||||||||||||||
Unrealized (gain) loss on derivative instruments | Unrealized (gain) loss on derivative instruments | $ | (21.2) | $ | 20.2 | |||||||||||||||||||||
Cash interest expense (2) | Cash interest expense (2) | (88.4) | (94.3) | |||||||||||||||||||||||
Other non-recurring expenses | Other non-recurring expenses | 4.3 | — | |||||||||||||||||||||||
Equity-based compensation | Equity-based compensation | 2.5 | 4.9 | |||||||||||||||||||||||
Lower of cost or market inventory adjustment | Lower of cost or market inventory adjustment | 35.3 | (38.8) | |||||||||||||||||||||||
Gain from unconsolidated affiliates | Gain from unconsolidated affiliates | — | (3.8) | |||||||||||||||||||||||
Gain on sale of unconsolidated affiliate | Gain on sale of unconsolidated affiliate | — | (1.2) | |||||||||||||||||||||||
Amortization of turnaround costs | Amortization of turnaround costs | 12.7 | 16.5 | |||||||||||||||||||||||
Gain on debt extinguishment | Gain on debt extinguishment | — | (0.7) | |||||||||||||||||||||||
Operating lease expense | Operating lease expense | 45.0 | 57.1 | |||||||||||||||||||||||
Operating lease payments | Operating lease payments | (45.0) | (57.1) | |||||||||||||||||||||||
Loss on impairment and disposal of assets | Loss on impairment and disposal of assets | 6.7 | 31.1 | |||||||||||||||||||||||
Income tax expense | Income tax expense | (0.8) | (0.7) | |||||||||||||||||||||||
Changes in assets and liabilities: | Changes in assets and liabilities: | |||||||||||||||||||||||||
Accounts receivable | Accounts receivable | 10.7 | (49.8) | |||||||||||||||||||||||
Inventories | Inventories | 26.6 | 29.6 | |||||||||||||||||||||||
Other current assets | Other current assets | 1.3 | 4.6 | |||||||||||||||||||||||
Derivative activity | Derivative activity | (0.3) | (0.4) | |||||||||||||||||||||||
Turnaround costs | Turnaround costs | (19.7) | (16.8) | |||||||||||||||||||||||
Accounts payable | Accounts payable | (55.5) | 61.7 | |||||||||||||||||||||||
Accrued interest payable | Accrued interest payable | 12.7 | 10.8 | |||||||||||||||||||||||
Other liabilities | Other liabilities | 36.3 | 5.5 | |||||||||||||||||||||||
Other | Other | (3.5) | (2.0) | |||||||||||||||||||||||
Net cash provided by operating activities | Net cash provided by operating activities | $ | 65.6 | $ | 153.9 |
Six Months Ended June 30, | |||||||
2020 | 2019 | ||||||
(In millions) | |||||||
Reconciliation of Distributable Cash Flow, Adjusted EBITDA and EBITDA to Net cash provided by operating activities: | |||||||
Distributable Cash Flow | $ | 38.8 | $ | 50.8 | |||
Add: | |||||||
Replacement and environmental capital expenditures (1) | 12.3 | 13.6 | |||||
Cash interest expense (2) | 56.8 | 61.9 | |||||
Turnaround costs | 16.1 | 6.4 | |||||
Gain from unconsolidated affiliates | — | 3.8 | |||||
Income tax expense | 0.7 | 0.2 | |||||
Adjusted EBITDA | $ | 124.7 | $ | 136.7 | |||
Less: | |||||||
LCM / LIFO (gain) loss | $ | 34.4 | $ | (40.6 | ) | ||
Unrealized (gain) loss on derivative instruments | (30.4 | ) | 14.8 | ||||
Amortization of turnaround costs | 8.7 | 10.4 | |||||
Gain on debt extinguishment | — | (0.7 | ) | ||||
Loss on impairment and disposal of assets | 6.7 | 27.9 | |||||
Gain on sale of unconsolidated affiliate | — | (1.2 | ) | ||||
Equity-based compensation and other items | 4.1 | 5.7 | |||||
Other non-recurring income | (1.2 | ) | — | ||||
EBITDA | $ | 102.4 | $ | 120.4 | |||
Add: | |||||||
Unrealized (gain) loss on derivative instruments | $ | (30.4 | ) | $ | 14.8 | ||
Cash interest expense (2) | (56.8 | ) | (61.9 | ) | |||
Other non-recurring income | (1.2 | ) | — | ||||
Equity-based compensation | 0.6 | 4.6 | |||||
Lower of cost or market inventory adjustment | 34.2 | (41.5 | ) | ||||
Gain from unconsolidated affiliates | — | (3.8 | ) | ||||
Gain on sale of unconsolidated affiliate | — | (1.2 | ) | ||||
Amortization of turnaround costs | 8.7 | 10.4 | |||||
Gain on debt extinguishment | — | (0.7 | ) | ||||
Operating lease expense | 32.6 | 37.8 | |||||
Operating lease payments | (32.4 | ) | (37.4 | ) | |||
Loss on impairment and disposal of assets | 6.7 | 27.9 | |||||
Income tax expense | (0.7 | ) | (0.2 | ) | |||
Changes in assets and liabilities: | |||||||
Accounts receivable | 27.7 | (66.6 | ) | ||||
Inventories | 18.1 | 40.5 | |||||
Other current assets | 1.8 | 6.0 | |||||
Derivative activity | (0.3 | ) | (0.3 | ) | |||
Turnaround costs | (16.1 | ) | (6.4 | ) | |||
Other assets | — | 0.1 | |||||
Accounts payable | (55.0 | ) | 42.9 | ||||
Accrued interest payable | (1.4 | ) | (0.5 | ) | |||
Other liabilities | 9.3 | 3.3 | |||||
Other | 2.6 | 1.4 | |||||
Net cash provided by operating activities | $ | 50.4 | $ | 89.6 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||
(In millions) | |||||||||||||||
Reconciliation of Adjusted EBITDA to EBITDA and Net income (loss): | |||||||||||||||
Segment Adjusted EBITDA | |||||||||||||||
Specialty products Adjusted EBITDA | $ | 56.1 | $ | 55.1 | $ | 120.6 | $ | 113.5 | |||||||
Fuel products Adjusted EBITDA | 1.9 | 50.2 | 41.1 | 76.1 | |||||||||||
Corporate Adjusted EBITDA | (17.0 | ) | (28.3 | ) | (37.0 | ) | (52.9 | ) | |||||||
Total Adjusted EBITDA | $ | 41.0 | $ | 77.0 | $ | 124.7 | $ | 136.7 | |||||||
Less: | |||||||||||||||
LCM / LIFO (gain) loss | $ | (32.1 | ) | $ | (2.6 | ) | $ | 34.4 | $ | (40.6 | ) | ||||
Unrealized (gain) loss on derivative instruments | 1.2 | 12.2 | (30.4 | ) | 14.8 | ||||||||||
Amortization of turnaround costs | 3.6 | 5.6 | 8.7 | 10.4 | |||||||||||
Gain on debt extinguishment | — | (0.3 | ) | — | (0.7 | ) | |||||||||
Gain on sale of unconsolidated affiliate | — | — | — | (1.2 | ) | ||||||||||
Loss on impairment and disposal of assets | 0.7 | 16.2 | 6.7 | 27.9 | |||||||||||
Equity-based compensation and other items | 7.0 | 2.3 | 4.1 | 5.7 | |||||||||||
Other non-recurring income | — | — | (1.2 | ) | — | ||||||||||
EBITDA | $ | 60.6 | $ | 43.6 | $ | 102.4 | $ | 120.4 | |||||||
Less: | |||||||||||||||
Interest expense | $ | 30.6 | $ | 33.1 | $ | 59.9 | $ | 65.4 | |||||||
Depreciation and amortization | 26.2 | 27.0 | 52.6 | 55.2 | |||||||||||
Income tax expense | 0.2 | 0.3 | 0.7 | 0.2 | |||||||||||
Net income (loss) | $ | 3.6 | $ | (16.8 | ) | $ | (10.8 | ) | $ | (0.4 | ) |
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
(In millions) | |||||||||||||||||||||||
Reconciliation of Adjusted EBITDA to EBITDA and Net loss: | |||||||||||||||||||||||
Segment Adjusted EBITDA | |||||||||||||||||||||||
Specialty products Adjusted EBITDA | $ | 56.0 | $ | 51.6 | $ | 176.6 | $ | 165.1 | |||||||||||||||
Fuel products Adjusted EBITDA | (13.5) | 47.7 | 27.6 | 123.8 | |||||||||||||||||||
Corporate Adjusted EBITDA | (17.1) | (23.1) | (54.1) | (76.0) | |||||||||||||||||||
Total Adjusted EBITDA | $ | 25.4 | $ | 76.2 | $ | 150.1 | $ | 212.9 | |||||||||||||||
Less: | |||||||||||||||||||||||
LCM / LIFO (gain) loss | $ | 1.1 | $ | 2.7 | $ | 35.5 | $ | (37.9) | |||||||||||||||
Unrealized (gain) loss on derivative instruments | 9.2 | 5.4 | (21.2) | 20.2 | |||||||||||||||||||
Amortization of turnaround costs | 4.0 | 6.1 | 12.7 | 16.5 | |||||||||||||||||||
Gain on debt extinguishment | — | — | — | (0.7) | |||||||||||||||||||
Gain on sale of unconsolidated affiliate | — | — | — | (1.2) | |||||||||||||||||||
Loss on impairment and disposal of assets | — | 3.2 | 6.7 | 31.1 | |||||||||||||||||||
Equity-based compensation and other items | 2.1 | 0.4 | 6.2 | 6.1 | |||||||||||||||||||
Other non-recurring expenses | 5.5 | 1.3 | 4.3 | 1.3 | |||||||||||||||||||
EBITDA | $ | 3.5 | $ | 57.1 | $ | 105.9 | $ | 177.5 | |||||||||||||||
Less: | |||||||||||||||||||||||
Interest expense | $ | 33.3 | $ | 33.8 | $ | 93.2 | $ | 99.2 | |||||||||||||||
Depreciation and amortization | 26.2 | 27.4 | 78.8 | 82.6 | |||||||||||||||||||
Income tax expense | 0.1 | 0.5 | 0.8 | 0.7 | |||||||||||||||||||
Net loss | $ | (56.1) | $ | (4.6) | $ | (66.9) | $ | (5.0) |
Three Months Ended June 30, | ||||||||||
2020 | 2019 | % Change | ||||||||
(Dollars in millions, except barrel and per barrel data) | ||||||||||
Sales by segment: | ||||||||||
Specialty products: | ||||||||||
Lubricating oils | $ | 91.4 | $ | 152.5 | (40.1 | )% | ||||
Solvents | 47.3 | 80.7 | (41.4 | )% | ||||||
Waxes | 27.9 | 31.6 | (11.7 | )% | ||||||
Packaged and synthetic specialty products (1) | 58.8 | 60.7 | (3.1 | )% | ||||||
Other (2) | 7.3 | 18.9 | (61.4 | )% | ||||||
Total specialty products | $ | 232.7 | $ | 344.4 | (32.4 | )% | ||||
Total specialty products sales volume (in barrels) | 1,797,000 | 2,241,000 | (19.8 | )% | ||||||
Average specialty products sales price per barrel | $ | 129.49 | $ | 153.68 | (15.7 | )% | ||||
Fuel products: | ||||||||||
Gasoline | $ | 67.4 | $ | 183.8 | (63.3 | )% | ||||
Diesel | 98.6 | 218.1 | (54.8 | )% | ||||||
Jet fuel | 10.4 | 40.7 | (74.4 | )% | ||||||
Asphalt, heavy fuel oils and other (3) | 44.6 | 109.9 | (59.4 | )% | ||||||
Total fuel products | $ | 221.0 | $ | 552.5 | (60.0 | )% | ||||
Total fuel products sales volume (in barrels) | 6,179,000 | 7,125,000 | (13.3 | )% | ||||||
Average fuel products sales price per barrel | $ | 35.77 | $ | 77.54 | (53.9 | )% | ||||
Total sales | $ | 453.7 | $ | 896.9 | (49.4 | )% | ||||
Total specialty and fuel products sales volume (in barrels) | 7,976,000 | 9,366,000 | (14.8 | )% |
Three Months Ended September 30, | |||||||||||||||||
2020 | 2019 | % Change | |||||||||||||||
(Dollars in millions, except barrel and per barrel data) | |||||||||||||||||
Sales by segment: | |||||||||||||||||
Specialty products: | |||||||||||||||||
Lubricating oils | $ | 122.5 | $ | 156.1 | (21.5) | % | |||||||||||
Solvents | 54.6 | 86.1 | (36.6) | % | |||||||||||||
Waxes | 33.8 | 30.1 | 12.3 | % | |||||||||||||
Packaged and synthetic specialty products (1) | 60.9 | 59.6 | 2.2 | % | |||||||||||||
Other (2) | 9.5 | 23.9 | (60.3) | % | |||||||||||||
Total specialty products | $ | 281.3 | $ | 355.8 | (20.9) | % | |||||||||||
Total specialty products sales volume (in barrels) | 2,135,000 | 2,359,000 | (9.5) | % | |||||||||||||
Average specialty products sales price per barrel | $ | 131.76 | $ | 150.83 | (12.6) | ||||||||||||
Fuel products: | |||||||||||||||||
Gasoline | $ | 97.4 | $ | 189.5 | (48.6) | % | |||||||||||
Diesel | 110.9 | 225.4 | (50.8) | % | |||||||||||||
Jet fuel | 17.6 | 39.5 | (55.4) | % | |||||||||||||
Asphalt, heavy fuel oils and other (3) | 60.8 | 119.4 | (49.1) | % | |||||||||||||
Total fuel products | $ | 286.7 | $ | 573.8 | (50.0) | % | |||||||||||
Total fuel products sales volume (in barrels) | 5,734,000 | 7,855,000 | (27.0) | % | |||||||||||||
Average fuel products sales price per barrel | $ | 50.00 | $ | 73.05 | (31.6) | ||||||||||||
Total sales | $ | 568.0 | $ | 929.6 | (38.9) | % | |||||||||||
Total specialty and fuel products sales volume (in barrels) | 7,869,000 | 10,214,000 | (23.0) | % |
(1)Represents packaged and synthetic specialty products at the Royal Purple, Bel-Ray and Calumet Packaging facilities. (2)Represents (a) by-products, including fuels and asphalt, produced in connection with the production of specialty products at the Princeton and Cotton Valley refineries and Dickinson and Karns City facilities and (b) polyolester synthetic lubricants produced at the Missouri facility. (3)Represents asphalt, heavy fuel oils and other products produced in connection with the production of fuels at the Shreveport, San Antonio and Great Falls refineries and crude oil sales from the San Antonio refinery to third-party customers. |
Dollar Change | |||||
(In millions) | |||||
Volume | $ | (33.8) | |||
Sales price | (40.7) | ||||
Total specialty products segment sales decrease | $ | (74.5) |
Dollar Change | |||
(In millions) | |||
Volume | $ | (68.2 | ) |
Sales price | (43.5 | ) | |
Total specialty products segment sales decrease | $ | (111.7 | ) |
Dollar Change | |||||
(In millions) | |||||
Divestiture Impact | $ | (126.3) | |||
Volume | (25.6) | ||||
Sales price | (135.2) | ||||
Total fuel products segment sales decrease | $ | (287.1) |
Dollar Change | |||
(In millions) | |||
Divestiture Impact | $ | (104.8 | ) |
Volume | 33.0 | ||
Sales price | (259.7 | ) | |
Total fuel products segment sales decrease | $ | (331.5 | ) |
Three Months Ended September 30, | |||||||||||||||||
2020 | 2019 | % Change | |||||||||||||||
(Dollars in millions, except per barrel data) | |||||||||||||||||
Gross profit by segment: | |||||||||||||||||
Specialty products: | |||||||||||||||||
Gross profit | $ | 86.5 | $ | 80.7 | 7.2 | % | |||||||||||
Percentage of sales | 30.8 | % | 22.7 | % | |||||||||||||
Specialty products gross profit per barrel | $ | 40.52 | $ | 34.21 | 18.4 | % | |||||||||||
Fuel products: | |||||||||||||||||
Gross profit (loss) | $ | (41.9) | $ | 37.1 | (212.9) | % | |||||||||||
Percentage of sales | (14.6) | % | 6.5 | % | |||||||||||||
Fuel products gross profit (loss) per barrel | $ | (7.31) | $ | 4.72 | (254.7) | % | |||||||||||
Total gross profit | $ | 44.6 | $ | 117.8 | (62.1) | % | |||||||||||
Percentage of sales | 7.9 | % | 12.7 | % |
Three Months Ended June 30, | ||||||||||
2020 | 2019 | % Change | ||||||||
(Dollars in millions, except per barrel data) | ||||||||||
Gross profit by segment: | ||||||||||
Specialty products: | ||||||||||
Gross profit | $ | 84.2 | $ | 82.0 | 2.7 | % | ||||
Percentage of sales | 36.2 | % | 23.8 | % | ||||||
Specialty products gross profit per barrel | $ | 46.86 | $ | 36.59 | 28.1 | % | ||||
Fuel products: | ||||||||||
Gross profit | $ | 5.1 | $ | 25.1 | (79.7 | )% | ||||
Percentage of sales | 2.3 | % | 4.5 | % | ||||||
Fuel products gross profit per barrel | $ | 0.83 | $ | 3.52 | (76.6 | )% | ||||
Total gross profit | $ | 89.3 | $ | 107.1 | (16.6 | )% | ||||
Percentage of sales | 19.7 | % | 11.9 | % |
Dollar Change | |||||
(In millions) | |||||
Three months ended September 30, 2019 reported gross profit | $ | 80.7 | |||
Cost of materials | 49.5 | ||||
Operating costs | 5.7 | ||||
LCM / LIFO inventory adjustments | 3.8 | ||||
Volumes | (12.5) | ||||
Sales price | (40.7) | ||||
Three months ended September 30, 2020 reported gross profit | $ | 86.5 |
Dollar Change | |||
(In millions) | |||
Three months ended June 30, 2019 reported gross profit | $ | 82.0 | |
Cost of materials | 60.8 | ||
Operating costs | 6.9 | ||
LCM / LIFO inventory adjustments | 4.6 | ||
Volumes | (26.5 | ) | |
Sales price | (43.6 | ) | |
Three months ended June 30, 2020 reported gross profit | $ | 84.2 |
Dollar Change | |||||
(In millions) | |||||
Three months ended September 30, 2019 reported gross profit | $ | 37.1 | |||
Cost of materials | 90.3 | ||||
LCM / LIFO inventory adjustments | (3.1) | ||||
Volumes | (4.8) | ||||
Operating costs | 1.9 | ||||
Divestitures | (2.0) | ||||
RINs expense | (26.1) | ||||
Sales price | (135.2) | ||||
Three months ended September 30, 2020 reported gross profit (loss) | $ | (41.9) |
Dollar Change | |||
(In millions) | |||
Three months ended June 30, 2019 reported gross profit | $ | 25.1 | |
Cost of materials | 220.1 | ||
LCM / LIFO inventory adjustments | 24.5 | ||
Volumes | 6.5 | ||
Operating costs | 4.4 | ||
Divestitures | (1.5 | ) | |
RINs expense | (14.4 | ) | |
Sales price | (259.6 | ) | |
Three months ended June 30, 2020 reported gross profit | $ | 5.1 |
Six Months Ended June 30, | ||||||||||
2020 | 2019 | % Change | ||||||||
(Dollars in millions, except barrel and per barrel data) | ||||||||||
Sales by segment: | ||||||||||
Specialty products: | ||||||||||
Lubricating oils | $ | 230.0 | $ | 304.6 | (24.5 | )% | ||||
Solvents | 124.4 | 168.1 | (26.0 | )% | ||||||
Waxes | 58.4 | 62.5 | (6.6 | )% | ||||||
Packaged and synthetic specialty products (1) | 116.5 | 120.6 | (3.4 | )% | ||||||
Other (2) | 30.3 | 40.8 | (25.7 | )% | ||||||
Total specialty products | $ | 559.6 | $ | 696.6 | (19.7 | )% | ||||
Total specialty products sales volume (in barrels) | 4,027,000 | 4,682,000 | (14.0 | )% | ||||||
Average specialty products sales price per barrel | $ | 138.96 | $ | 148.78 | (6.6 | )% | ||||
Fuel products: | ||||||||||
Gasoline | $ | 188.3 | $ | 341.4 | (44.8 | )% | ||||
Diesel | 252.4 | 444.0 | (43.2 | )% | ||||||
Jet fuel | 36.3 | 61.3 | (40.8 | )% | ||||||
Asphalt, heavy fuel oils and other (3) | 109.7 | 204.9 | (46.5 | )% | ||||||
Total fuel products | $ | 586.7 | $ | 1,051.6 | (44.2 | )% | ||||
Total fuel products sales volume (in barrels) | 12,334,000 | 14,497,000 | (14.9 | )% | ||||||
Average fuel products sales price per barrel | $ | 47.57 | $ | 72.54 | (34.4 | )% | ||||
Total sales | $ | 1,146.3 | $ | 1,748.2 | (34.4 | )% | ||||
Total specialty and fuel products sales volume (in barrels) | 16,361,000 | 19,179,000 | (14.7 | )% |
Nine Months Ended September 30, | |||||||||||||||||
2020 | 2019 | % Change | |||||||||||||||
(Dollars in millions, except barrel and per barrel data) | |||||||||||||||||
Sales by segment: | |||||||||||||||||
Specialty products: | |||||||||||||||||
Lubricating oils | $ | 352.5 | $ | 460.7 | (23.5) | % | |||||||||||
Solvents | 179.0 | 254.2 | (29.6) | % | |||||||||||||
Waxes | 92.2 | 92.6 | (0.4) | % | |||||||||||||
Packaged and synthetic specialty products (1) | 177.4 | 180.2 | (1.6) | % | |||||||||||||
Other (2) | 39.8 | 64.7 | (38.5) | % | |||||||||||||
Total specialty products | $ | 840.9 | $ | 1,052.4 | (20.1) | % | |||||||||||
Total specialty products sales volume (in barrels) | 6,162,000 | 7,041,000 | (12.5) | % | |||||||||||||
Average specialty products sales price per barrel | $ | 136.47 | $ | 149.47 | (8.7) | ||||||||||||
Fuel products: | |||||||||||||||||
Gasoline | $ | 285.7 | $ | 530.9 | (46.2) | % | |||||||||||
Diesel | 363.3 | 669.4 | (45.7) | % | |||||||||||||
Jet fuel | 53.9 | 100.8 | (46.5) | % | |||||||||||||
Asphalt, heavy fuel oils and other (3) | 170.5 | 324.3 | (47.4) | % | |||||||||||||
Total fuel products | $ | 873.4 | $ | 1,625.4 | (46.3) | % | |||||||||||
Total fuel products sales volume (in barrels) | 18,067,000 | 22,353,000 | (19.2) | % | |||||||||||||
Average fuel products sales price per barrel | $ | 48.34 | $ | 72.72 | (33.5) | ||||||||||||
Total sales | $ | 1,714.3 | $ | 2,677.8 | (36.0) | % | |||||||||||
Total specialty and fuel products sales volume (in barrels) | 24,229,000 | 29,394,000 | (17.6) | % |
(1)Represents packaged and synthetic specialty products at the Royal Purple, Bel-Ray and Calumet Packaging facilities. (2)Represents (a) by-products, including fuels and asphalt, produced in connection with the production of specialty products at the Princeton and Cotton Valley refineries and Dickinson and Karns City facilities and (b) polyolester synthetic lubricants produced at the Missouri facility. (3)Represents asphalt, heavy fuel oils and other products produced in connection with the production of fuels at the Shreveport, San Antonio and Great Falls refineries and crude oil sales from the San Antonio refinery to third-party customers. |
Dollar Change | |||||
(In millions) | |||||
Volume | $ | (131.3) | |||
Sales price | (80.2) | ||||
Total specialty products segment sales decrease | $ | (211.5) |
Dollar Change | |||
(In millions) | |||
Volume | $ | (97.4 | ) |
Sales price | (39.6 | ) | |
Total specialty products segment sales decrease | $ | (137.0 | ) |
Dollar Change | |||||
(In millions) | |||||
Volume | $ | 36.3 | |||
Sales price | (443.8) | ||||
Divestiture Impact | (344.5) | ||||
Total fuel products segment sales decrease | $ | (752.0) |
Dollar Change | |||
(In millions) | |||
Volume | $ | 61.3 | |
Sales price | (308.0 | ) | |
Divestiture Impact | (218.2 | ) | |
Total fuel products segment sales decrease | $ | (464.9 | ) |
Nine Months Ended September 30, | |||||||||||||||||
2020 | 2019 | % Change | |||||||||||||||
(Dollars in millions, except per barrel data) | |||||||||||||||||
Gross profit by segment: | |||||||||||||||||
Specialty products: | |||||||||||||||||
Gross profit | $ | 240.9 | $ | 255.6 | (5.8) | % | |||||||||||
Percentage of sales | 28.6 | % | 24.3 | % | |||||||||||||
Specialty products gross profit per barrel | $ | 39.09 | $ | 36.30 | 7.7 | % | |||||||||||
Fuel products: | |||||||||||||||||
Gross profit (loss) | $ | (52.7) | $ | 105.3 | (150.0) | % | |||||||||||
Percentage of sales | (6.0) | % | 6.5 | % | |||||||||||||
Fuel products gross profit (loss) per barrel | $ | (2.92) | $ | 4.71 | (162.0) | % | |||||||||||
Total gross profit | $ | 188.2 | $ | 360.9 | (47.9) | % | |||||||||||
Percentage of sales | 11.0 | % | 13.5 | % |
Six Months Ended June 30, | ||||||||||
2020 | 2019 | % Change | ||||||||
(Dollars in millions, except per barrel data) | ||||||||||
Gross profit by segment: | ||||||||||
Specialty products: | ||||||||||
Gross profit | $ | 154.4 | $ | 174.9 | (11.7 | )% | ||||
Percentage of sales | 27.6 | % | 25.1 | % | ||||||
Specialty products gross profit per barrel | $ | 38.34 | $ | 37.36 | 2.6 | % | ||||
Fuel products: | ||||||||||
Gross profit | $ | (10.8 | ) | $ | 68.2 | (115.8 | )% | |||
Percentage of sales | (1.8 | )% | 6.5 | % | ||||||
Fuel products gross profit per barrel | $ | (0.88 | ) | $ | 4.70 | (118.7 | )% | |||
Total gross profit | $ | 143.6 | $ | 243.1 | (40.9 | )% | ||||
Percentage of sales | 12.5 | % | 13.9 | % |
Dollar Change | |||||
(In millions) | |||||
Nine months ended September 30, 2019 reported gross profit | $ | 255.6 | |||
Cost of materials | 125.7 | ||||
Operating costs | 10.5 | ||||
LCM / LIFO inventory adjustments | (19.4) | ||||
Volumes | (51.3) | ||||
Sales price | (80.2) | ||||
Nine months ended September 30, 2020 reported gross profit | $ | 240.9 |
Dollar Change | |||
(In millions) | |||
Six months ended June 30, 2019 reported gross profit | $ | 174.9 | |
Cost of materials | 76.7 | ||
Operating costs | 4.8 | ||
LCM / LIFO inventory adjustments | (23.3 | ) | |
Volumes | (39.0 | ) | |
Sales price | (39.7 | ) | |
Six months ended June 30, 2020 reported gross profit | $ | 154.4 |
Dollar Change | |||||
(In millions) | |||||
Nine months ended September 30, 2019 reported gross profit | $ | 105.3 | |||
Cost of materials | 388.9 | ||||
Volumes | 7.6 | ||||
Operating costs | 4.9 | ||||
Divestitures | (9.1) | ||||
RINs expense | (54.8) | ||||
LCM / LIFO inventory adjustments | (51.7) | ||||
Sales price | (443.8) | ||||
Nine months ended September 30, 2020 reported gross profit (loss) | $ | (52.7) |
Dollar Change | |||
(In millions) | |||
Six months ended June 30, 2019 reported gross profit | $ | 68.2 | |
Cost of materials | 296.7 | ||
Volumes | 13.8 | ||
Operating costs | 2.9 | ||
Divestitures | (7.1 | ) | |
RINs expense | (28.7 | ) | |
LCM / LIFO inventory adjustments | (48.6 | ) | |
Sales price | (308.0 | ) | |
Six months ended June 30, 2020 reported gross profit | $ | (10.8 | ) |
Six Months Ended June 30, | Nine Months Ended September 30, | |||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||
(In millions) | (In millions) | |||||||||||||||||
Net cash provided by operating activities | $ | 50.4 | $ | 89.6 | Net cash provided by operating activities | $ | 65.6 | $ | 153.9 | |||||||||
Net cash used in investing activities | (30.8 | ) | (3.4 | ) | Net cash used in investing activities | (37.9) | (13.7) | |||||||||||
Net cash provided by (used in) financing activities | 66.7 | (68.4 | ) | Net cash provided by (used in) financing activities | 62.6 | (131.7) | ||||||||||||
Net increase in cash and cash equivalents | $ | 86.3 | $ | 17.8 | Net increase in cash and cash equivalents | $ | 90.3 | $ | 8.5 |
Nine Months Ended September 30, | |||||||||||
2020 | 2019 | ||||||||||
(In millions) | |||||||||||
Capital improvement expenditures | $ | 9.6 | $ | 10.1 | |||||||
Replacement capital expenditures | 12.5 | 15.2 | |||||||||
Environmental capital expenditures | 5.1 | 11.8 | |||||||||
Turnaround capital expenditures | 11.3 | 16.1 | |||||||||
Total | $ | 38.5 | $ | 53.2 |
Six Months Ended June 30, | |||||||
2020 | 2019 | ||||||
(In millions) | |||||||
Capital improvement expenditures | $ | 8.4 | $ | 6.5 | |||
Replacement capital expenditures | 8.7 | 7.8 | |||||
Environmental capital expenditures | 3.6 | 5.8 | |||||
Turnaround capital expenditures | 16.1 | 5.7 | |||||
Total | $ | 36.8 | $ | 25.8 |
Payments Due by Period | |||||||||||||||||||
Total | Less Than 1 Year | 1–3 Years | 3–5 Years | More Than 5 Years | |||||||||||||||
(In millions) | |||||||||||||||||||
Operating activities: | |||||||||||||||||||
Interest on long-term debt at contractual rates and maturities (1) | $ | 444.4 | $ | 117.4 | $ | 205.7 | $ | 121.2 | $ | 0.1 | |||||||||
Operating lease obligations (2) | 70.2 | 39.0 | 20.4 | 8.2 | 2.6 | ||||||||||||||
Letters of credit (3) | 25.3 | 25.3 | — | — | — | ||||||||||||||
Purchase commitments (4) | 278.0 | 129.8 | 60.9 | 48.3 | 39.0 | ||||||||||||||
Throughput contract (5) | 27.7 | 3.8 | 7.9 | 7.9 | 8.1 | ||||||||||||||
Financing activities: | |||||||||||||||||||
Obligations under inventory financing agreements | 80.1 | 80.1 | — | — | — | ||||||||||||||
Finance lease obligations | 3.9 | 0.5 | 1.2 | 1.3 | 0.9 | ||||||||||||||
Long-term debt obligations, excluding finance lease obligations | 1,338.3 | 1.5 | 786.8 | — | 550.0 | ||||||||||||||
Total obligations | $ | 2,268.9 | $ | 398.4 | $ | 1,082.9 | $ | 186.9 | $ | 600.7 |
Payments Due by Period | |||||||||||||||||||||||||||||
Total | Less Than 1 Year | 1–3 Years | 3–5 Years | More Than 5 Years | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Operating activities: | |||||||||||||||||||||||||||||
Interest on long-term debt at contractual rates and maturities (1) | $ | 480.0 | $ | 120.3 | $ | 220.0 | $ | 139.7 | $ | — | |||||||||||||||||||
Operating lease obligations (2) | 79.0 | 16.3 | 31.6 | 17.3 | 13.8 | ||||||||||||||||||||||||
Letters of credit (3) | 29.7 | 29.7 | — | — | — | ||||||||||||||||||||||||
Purchase commitments (4) | 270.4 | 130.4 | 58.8 | 48.4 | 32.8 | ||||||||||||||||||||||||
Throughput contract (5) | 26.7 | 3.9 | 7.8 | 7.9 | 7.1 | ||||||||||||||||||||||||
Financing activities: | |||||||||||||||||||||||||||||
Obligations under inventory financing agreements | 89.2 | 89.2 | — | — | — | ||||||||||||||||||||||||
Finance lease obligations | 3.9 | 0.6 | 1.3 | 1.3 | 0.7 | ||||||||||||||||||||||||
Long-term debt obligations, excluding finance lease obligations | 1,327.8 | 1.5 | 576.3 | 200.0 | 550.0 | ||||||||||||||||||||||||
Total obligations | $ | 2,306.7 | $ | 391.9 | $ | 895.8 | $ | 414.6 | $ | 604.4 |
(1)Interest on long-term debt at contractual rates and maturities relates primarily to interest on our senior notes, revolving credit facility interest and fees and interest on our finance lease obligations, which excludes the adjustment for the interest rate swap agreement. (2)We have various operating leases primarily for railcars, the use of land, storage tanks, compressor stations, equipment, precious metals and office facilities that extend through September 2035. (3)Letters of credit primarily supporting crude oil and other feedstock purchases. (4)Purchase commitments consist primarily of obligations to purchase fixed volumes of crude oil, other feedstocks and finished products for resale from various suppliers based on current market prices at the time of delivery. (5)Throughput commitments consist primarily of obligations to transport a minimum volume of crude oil through a pipeline. |
June 30, 2020 | December 31, 2019 | September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||||||||||||
Fair Value | Carrying Value | Fair Value | Carrying Value | Fair Value | Carrying Value | Fair Value | Carrying Value | |||||||||||||||||||||||||||||||
(In millions) | (In millions) | |||||||||||||||||||||||||||||||||||||
Financial Instrument: | Financial Instrument: | |||||||||||||||||||||||||||||||||||||
2022 Notes | $ | 334.9 | $ | 347.8 | $ | 351.2 | $ | 347.1 | 2022 Notes | $ | 148.7 | $ | 149.6 | $ | 351.2 | $ | 347.1 | |||||||||||||||||||||
2023 Notes | $ | 309.2 | $ | 321.6 | $ | 325.2 | $ | 321.0 | 2023 Notes | $ | 292.9 | $ | 321.9 | $ | 325.2 | $ | 321.0 | |||||||||||||||||||||
2024 Secured Notes | 2024 Secured Notes | $ | 217.0 | $ | 198.4 | $ | — | $ | — | |||||||||||||||||||||||||||||
2025 Notes | $ | 533.2 | $ | 541.4 | $ | 598.8 | $ | 540.5 | 2025 Notes | $ | 498.7 | $ | 541.9 | $ | 598.8 | $ | 540.5 | |||||||||||||||||||||
Revolving credit facility | $ | 110.3 | $ | 110.3 | $ | — | $ | — | Revolving credit facility | $ | 100.1 | $ | 100.1 | $ | — | $ | — |
Exhibit Number | Description | |||||||
Exhibit Number | Description | |||||||
31.1* | ||||||||
31.2* | ||||||||
100.INS* | XBRL Instance Document | |||||||
101.SCH* | XBRL Taxonomy Extension Schema Document | |||||||
101.CAL* | XBRL Taxonomy Extension Calculation Linkbase Document | |||||||
101.DEF* | XBRL Taxonomy Extension Definition Linkbase Document | |||||||
101.LAB* | XBRL Taxonomy Extension Label Linkbase Document | |||||||
101.PRE* | XBRL Taxonomy Extension Presentation Linkbase Document | |||||||
* | Filed herewith. | |||||||
** | Furnished herewith. | |||||||
+ | Schedules and exhibits have been omitted pursuant to Item 601(a)(5) of Regulation S-K. A copy of any omitted schedule or exhibit will be furnished to the Commission upon request. | |||||||
CALUMET SPECIALTY PRODUCTS PARTNERS, L.P. | |||||||||||
By: | |||||||||||
Calumet GP, LLC, its general partner | |||||||||||
Date: | By: | /s/ | |||||||||
(Authorized Person and Principal Accounting Officer) | |||||||||||