Document_and_Entity_Informatio
Document and Entity Information Document | 9 Months Ended | |
Sep. 30, 2014 | Nov. 07, 2014 | |
Document Information | ' | ' |
Entity Registrant Name | 'CST Brands, Inc. | ' |
Entity Central Index Key | '0001562039 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-14 | ' |
Amendment Flag | 'false | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 77,663,486 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||||||
Current assets: | ' | ' | ' | ' | ' | ' |
Cash | $427 | ' | $378 | $424 | ' | $61 |
Receivables, net of allowances of $1 and $1, respectively | 146 | ' | 153 | ' | ' | ' |
Inventories | 202 | ' | 217 | ' | ' | ' |
Deferred income taxes | 10 | ' | 7 | ' | ' | ' |
Prepaid expenses and other | 15 | ' | 11 | ' | ' | ' |
Assets held for sale, net | 39 | ' | 0 | ' | ' | ' |
Total current assets | 839 | ' | 766 | ' | ' | ' |
Property and equipment, at cost | 2,078 | ' | 1,981 | ' | ' | ' |
Accumulated depreciation | -682 | ' | -655 | ' | ' | ' |
Property and equipment, net | 1,396 | ' | 1,326 | ' | ' | ' |
Goodwill and intangible assets, net | 43 | ' | 49 | ' | ' | ' |
Deferred income taxes | 83 | ' | 93 | ' | ' | ' |
Other assets, net | 63 | ' | 69 | ' | ' | ' |
Total assets | 2,424 | ' | 2,303 | ' | ' | ' |
Current liabilities: | ' | ' | ' | ' | ' | ' |
Current portion of debt and capital lease obligations | 45 | ' | 36 | ' | ' | ' |
Accounts payable | 107 | ' | 99 | ' | ' | ' |
Accounts payable to Valero | 277 | ' | 253 | ' | ' | ' |
Accrued expenses | 69 | ' | 43 | ' | ' | ' |
Taxes other than income taxes | 12 | ' | 17 | ' | ' | ' |
Income taxes payable | 38 | ' | 10 | ' | ' | ' |
Asset retirement obligations related to assets held for sale | 6 | ' | 0 | ' | ' | ' |
Dividends payable | 5 | ' | 5 | ' | ' | ' |
Total current liabilities | 559 | ' | 463 | ' | ' | ' |
Debt and capital lease obligations, less current portion | 976 | ' | 1,006 | ' | ' | ' |
Deferred income taxes | 79 | ' | 94 | ' | ' | ' |
Asset retirement obligations | 76 | ' | 79 | ' | ' | ' |
Other long-term liabilities | 39 | ' | 34 | ' | ' | ' |
Total liabilities | 1,729 | ' | 1,676 | ' | ' | ' |
Commitments and contingencies | ' | ' | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' | ' | ' |
Common stock (250,000,000 shares authorized at $0.01 par value; 75,452,983 and 75,397,241 shares issued, respectively) | 1 | ' | 1 | ' | ' | ' |
Additional paid-in capital (APIC) | 415 | ' | 406 | ' | ' | ' |
Retained earnings | 179 | ' | 87 | ' | ' | ' |
Accumulated other comprehensive income (AOCI) | 100 | 131 | 133 | 149 | 138 | 170 |
Total stockholders’ equity | 695 | ' | 627 | ' | ' | ' |
Total liabilities and stockholders’ equity | $2,424 | ' | $2,303 | ' | ' | ' |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, except Share data, unless otherwise specified | ||
Allowance for doubtful accounts receivable | $1 | $1 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, par value per share authorized | $0.01 | $0.01 |
Common stock, shares issued | 75,452,983 | 75,397,241 |
Consolidated_and_Combined_Stat
Consolidated and Combined Statements of Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Share data in Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Operating revenues(a) | $3,221 | $3,316 | $9,483 | $9,715 |
Cost of sales | 2,881 | 3,025 | 8,618 | 8,900 |
Gross profit | 340 | 291 | 865 | 815 |
Operating expenses: | ' | ' | ' | ' |
Operating expenses | 172 | 169 | 502 | 489 |
General and administrative expenses | 31 | 21 | 83 | 56 |
Depreciation, amortization and accretion expense | 31 | 30 | 92 | 90 |
Asset impairments | 2 | 2 | 2 | 2 |
Total operating expenses | 236 | 222 | 679 | 637 |
Operating income | 104 | 69 | 186 | 178 |
Other income, net | 2 | 1 | 4 | 3 |
Interest expense | -10 | -10 | -30 | -17 |
Income before income tax expense | 96 | 60 | 160 | 164 |
Income tax expense | 33 | 18 | 54 | 59 |
Net income | 63 | 42 | 106 | 105 |
Earnings per common share | ' | ' | ' | ' |
Basic earnings per common share | $0.83 | $0.56 | $1.40 | $1.40 |
Weighted-average common shares outstanding (in thousands) | 75,442 | 75,397 | 75,421 | 75,397 |
Earnings per common share - assuming dilution | ' | ' | ' | ' |
Diluted earnings per common share | $0.83 | $0.56 | $1.40 | $1.40 |
Weighted-average common shares outstanding - assuming dilution (in thousands) | 75,631 | 75,432 | 75,570 | 75,416 |
Dividends declared per common share | $0.06 | $0.06 | $0.19 | $0.06 |
Supplemental information: | ' | ' | ' | ' |
(a) Includes excise taxes | $517 | $506 | $1,492 | $1,516 |
Consoldiated_and_Combined_Stat
Consoldiated and Combined Statements of Comprehensive Income Statement (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Net income | $63 | $42 | $106 | $105 |
Other comprehensive (loss) income: | ' | ' | ' | ' |
Foreign currency translation adjustment | -31 | 11 | -33 | -21 |
Other comprehensive (loss) income before income taxes | -31 | 11 | -33 | -21 |
Income taxes related to items of other comprehensive income | 0 | 0 | 0 | 0 |
Other comprehensive (loss) income | -31 | 11 | -33 | -21 |
Comprehensive income | $32 | $53 | $73 | $84 |
Consolidated_and_Combined_Stat1
Consolidated and Combined Statements of Cash Flows (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $106 | $105 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Stock-based compensation expense | 8 | 3 |
Depreciation, amortization and accretion expense | 92 | 90 |
Asset impairments | 2 | 2 |
Deferred income tax (benefit) expense | -11 | 14 |
Change in working capital | 96 | 197 |
Other operating activities, net | 0 | -1 |
Net cash provided by operating activities | 293 | 410 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -192 | -137 |
Acquisitions | -9 | -6 |
Proceeds from dispositions of property and equipment | 2 | 1 |
Other investing activities, net | 1 | 0 |
Net cash used in investing activities | -198 | -142 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of long-term debt | 0 | 500 |
Payments of long-term debt | -25 | -6 |
Debt issuance and credit facility origination costs | -2 | -19 |
Payments of capital lease obligations | -1 | -1 |
Dividends paid | -14 | 0 |
Net transfers to Valero | 0 | -378 |
Net cash (used in) provided by financing activities | -42 | 96 |
Effect of foreign exchange rate changes on cash | -4 | -1 |
Net increase in cash | 49 | 363 |
Cash at beginning of period | 378 | 61 |
Cash at end of period | $427 | $424 |
Description_of_Business_Basis_
Description of Business, Basis of Presentation and Other Items Affecting our Business (Notes) | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Description of Business, Basis of Presentation and Other Items Affecting our Business Disclosure | ' |
DESCRIPTION OF BUSINESS, BASIS OF PRESENTATION AND OTHER ITEMS AFFECTING OUR BUSINESS | |
Description of Business | |
CST Brands, Inc. (“CST,” “we,” “us,” “our,” or “Company”) was incorporated in November 2012 solely in contemplation of the separation and distribution (“spin-off”) of the retail business of Valero Energy Corporation (“Valero”). | |
We operate in two segments, U.S. and Canada, and are one of the largest independent retailers of motor fuel and convenience merchandise items in North America. Our operations include (i) the sale of motor fuel at convenience stores, dealer/agent sites and cardlocks (which are unattended self-service fueling stations that provide motor fuel to fleet customers, such as trucking and other commercial customers), (ii) the sale of convenience merchandise items and other services (such as car wash operations, and commissions from lottery, money orders, air/water/vacuum services, video and game rentals and access to automated teller machines), and (iii) the sale of heating oil to residential customers and the sale of heating oil and motor fuel to small commercial customers. We use the term “retail site” as a general term to refer to convenience stores, dealer/agent sites or cardlocks. | |
Subsequent to September 30, 2014, we are the owner of the general partner of CrossAmerica Partners LP (“CrossAmerica”), formerly named Lehigh Gas Partners LP, and of all of the incentive distribution rights of CrossAmerica. As a result, we control the operations of CrossAmerica, a publicly traded limited partnership (New York Stock Exchange (“NYSE”) symbol “CAPL”) engaged in the distribution of motor fuels, consisting of gasoline and diesel fuel, and the ownership and leasing of real estate used in the retail distribution of motor fuels. | |
Basis of Presentation | |
The consolidated financial statements reflect our financial results for all periods subsequent to the spin-off. The combined financial statements reflect the combined historical results of operations and cash flows of Valero’s retail businesses in the U.S. and Canada prior to the spin-off, including an allocable portion of Valero’s corporate costs. The combined financial statements are presented as if Valero’s retail businesses in the U.S. and Canada were combined for all periods prior to the spin-off. The combined statements of income prior to the spin-off also include approximately $26 million of expense allocations for certain corporate functions historically performed by Valero and not allocated to its operating segments, including allocations of general corporate expenses related to executive oversight, accounting, treasury, tax, legal, procurement, human resources and information technology (“IT”). These allocations were based primarily on specific identification of time and/or activities associated with CST’s operations, employee headcount or capital expenditures. For ease of reference, these consolidated and combined financial statements are referred to as those of CST. | |
We believe the assumptions underlying the combined financial statements, including the assumptions regarding allocating general corporate expenses from Valero, are reasonable. Nevertheless, the combined financial statements may not include all of the actual expenses that would have been incurred had we operated as a stand-alone, publicly-traded company during the combined periods presented and may not reflect our combined results of operations and cash flows had we operated as a stand-alone, publicly-traded company during the combined periods presented. Actual costs that would have been incurred if we had operated as a stand-alone, publicly-traded company during the combined periods presented would depend on multiple factors, including organizational structure and strategic decisions made in various areas, including IT and related infrastructure. | |
Prior to the spin-off, we transferred cash to Valero daily and Valero funded our operating and investing activities as needed through a centralized cash management process. We have reflected net transfers of cash to Valero as a financing activity in our combined statement of cash flows. We did not include any interest income on the net cash transfers to Valero. | |
Valero retained an ownership interest in us through November 14, 2013. We considered transactions with Valero to be with a related-party through this date. | |
Interim Financial Information | |
These unaudited financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities Exchange Act of 1934, as amended. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. All such adjustments are of a normal recurring nature unless disclosed otherwise. Management believes that the disclosures made are adequate to keep the information presented from being misleading. The financial statements contained herein should be read in conjunction with the consolidated and combined financial statements and notes thereto included in our Annual Report on Form 10-K (“Form 10-K”) for the year ended December 31, 2013. Financial information as of September 30, 2014 and for the three and nine months ended September 30, 2014 and 2013 included in these condensed notes to consolidated and combined financial statements has been derived from our unaudited financial statements. Financial information as of December 31, 2013, has been derived from our audited financial statements and notes thereto as of that date. For further information, refer to our consolidated and combined financial statements and notes thereto included in our Form 10-K for the year ended December 31, 2013. | |
Operating results for the three and nine months ended September 30, 2014 are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. Our business exhibits substantial seasonality due to the concentration of our retail sites in certain geographic areas, as well as changes in customer behaviors during different seasons. In general, sales volumes and operating income are highest in the second and third quarters during the summer activity months and lowest during the winter months. | |
Our effective income tax rates for the three and nine months ended September 30, 2014 were 35% and 34%, respectively, compared with 30% and 36% for the corresponding periods of 2013. The effective tax rates differ from the federal statutory rate of 35% primarily due to state income taxes and the impact of foreign operations. Our effective tax rate was lower in the three months ended September 30, 2013 as a result of a $1.1 million favorable Canadian adjustment. Our effective tax rate for nine months ended September 30, 2013 was negatively impacted by $7 million in deferred tax expense resulting from the loss of certain state tax credits that were no longer eligible for use in our consolidated tax return after the spin-off. | |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results and outcomes could differ from those estimates and assumptions. On an ongoing basis, management reviews its estimates based on currently available information. Changes in facts and circumstances could result in revised estimates and assumptions. | |
Significant Accounting Policies | |
As disclosed in our Form 10-K, during the fourth quarter of 2013, we elected to change our method of valuing our Canada motor fuel inventory to the weighted-average cost method, whereas in all previous periods motor fuel inventory was valued using the last-in, first-out method (“LIFO”). Comparative financial statements of prior periods have been adjusted to apply the weighted-average cost method retrospectively. | |
There have been no material changes to the significant accounting policies described in our Form 10-K. | |
New Accounting Pronouncements | |
In April 2014, the Financial Accounting Standards Board issued Accounting Standards Update 2014-08 (“ASU 2014-08”), Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. ASU 2014-08, required to be applied prospectively for reporting periods beginning after December 15, 2014, limits discontinued operations reporting to disposals of components of an entity that represent strategic shifts that have, or will have, a major effect on operations and financial results. The amendment requires expanded disclosures for discontinued operations and also requires additional disclosures regarding disposals of individually significant components that do not qualify as discontinued operations. Early adoption is permitted, but only for disposals (or classifications as held for sale) that have not been reported in financial statements previously issued or available for issuance. We early adopted ASU 2014-08 in 2014, and this adoption impacted the accounting treatment and disclosures related to stores we have been marketing for sale. We determined that certain of these stores met the criteria under ASU 2014-08 to be classified as held for sale, and in accordance with the guidance of ASU 2014-08, property and equipment, net and asset retirement obligations related to these stores have been presented separately on the balance sheet at September 30, 2014. See additional disclosure regarding these stores in Note 2. | |
In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update 2014-09 (“ASU 2014-09”), Revenue from Contracts with Customers. ASU 2014-09 requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. ASU 2014-09 will become effective for us in the first quarter of 2017 and early adoption is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect that ASU 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. | |
Certain new financial accounting pronouncements have become effective for our financial statements. With the exception of ASU 2014-08, discussed above, the adoption of these pronouncements will not affect our financial position or results of operations, nor will they require any additional disclosures. | |
Concentration Risk | |
Valero supplied substantially all of the motor fuel purchased by us for resale during all periods presented. Motor fuel purchased by us from Valero is recorded as a component of cost of sales based on price formulas that vary from terminal to terminal. The actual prices we pay typically change daily, based on market fluctuations of wholesale motor fuel prices in the geographic locations where we purchase our motor fuel for resale. During the three months ended September 30, 2014 and 2013, we purchased $2.5 billion and $2.7 billion, respectively, of motor fuel from Valero. During the nine months ended September 30, 2014 and 2013, we purchased $7.5 billion and $8.0 billion, respectively, of motor fuel from Valero. | |
No customers are individually material to our operations. | |
Purchase of Distribution Warehouse and Office Facilities | |
On July 31, 2014, we closed on the purchase of an existing distribution warehouse with adjoining office facilities located in San Antonio, Texas for $43 million. The purchase was funded by available cash on hand. These facilities will allow us to consolidate our current San Antonio regional distribution center (“RDC”) with future corporate service center office space. We began to transition our RDC operations from our currently leased warehouse in Schertz, Texas to these facilities in the third quarter and expect to complete the RDC move in the first quarter of 2015. | |
Completion of Purchase of the General Partner and Incentive Distribution Rights in Lehigh Gas Partners LP | |
On October 1, 2014, we purchased (the “GP Purchase”) from Lehigh Gas Corporation (“LGC”) 100% of the membership interests in Lehigh Gas GP LLC (the “General Partner”), the general partner of Lehigh Gas Partners LP. In addition, we purchased (the “IDR Purchase”) all of the membership interests in limited liability companies formed by the 2004 Irrevocable Agreement of Trust of Joseph V. Topper, Sr. and the 2008 Irrevocable Agreement of Trust of John B. Reilly, Jr., which owned all of the incentive distribution rights in Lehigh Gas Partners LP. The aggregate consideration paid to LGC and the Trusts for the GP Purchase and the IDR Purchase was $17 million in cash and 2.04 million shares of CST common stock. After the GP Purchase, the name of Lehigh Gas Partners LP was changed to CrossAmerica Partners LP, and on October 6th CrossAmerica’s common units began trading under the symbol “CAPL” on the NYSE. | |
Acquisition of Property of Nice N Easy | |
On November 3, 2014, CrossAmerica announced the closing of the acquisition of Nice N Easy Grocery Shoppes. We jointly purchased with CrossAmerica the assets of Nice N Easy, with CrossAmerica purchasing 23 fee sites as well as certain fuel distribution assets for $65 million. We purchased the retail operations at the 32 company-operated sites and certain other assets, including inventory and working capital, for an immaterial amount. CrossAmerica will lease the acquired real estate to us and will provide wholesale fuel supply to the majority of the Nice N Easy sites under long term agreements. |
Assets_Held_for_Sale_Notes
Assets Held for Sale (Notes) | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract] | ' | ||||
Assets Held for Sale Disclosure | ' | ||||
ASSETS HELD FOR SALE | |||||
In the first quarter of 2014, we conducted market reviews across our entire U.S. system and, as a result, identified approximately 100 company operated convenience stores that were candidates for sale. Convenience stores were identified based on several criteria including fuel volumes, inside sales and operating cash flows. These convenience stores are smaller and less profitable than the average convenience stores in our network. In the second quarter of 2014 we engaged an outside consultant, NRC Realty & Capital Advisors, LLC, to market these properties. Bids for these properties have been received and evaluated by management. We expect to close on the sale of 93 of these convenience stores within the next twelve months. | |||||
The determination to classify an asset as held for sale requires significant judgments about the site and the expected market for the site, which are based on factors including recent sales of comparable sites, recent expressions of interest in the site and the condition of the site. Management must also determine the probability under those market conditions that it will sell the site for an acceptable price within one year. Management considers sites to be held for sale in accordance with ASU 2014-08 when they meet criteria such as whether the sale transaction has been approved by the appropriate level of management and there are no known material contingencies relating to the sale such that the sale is probable and is expected to qualify for recognition as a completed sale within one year. We determined that the 93 stores discussed above met the held for sale criteria as of September 30, 2014. As such, we have presented the property and equipment, net and asset retirement obligations related to these properties separately on the Consolidated Balance Sheet as of September 30, 2014. We are continuing to operate and market the remaining sites, but have determined that they did not meet the criteria to be classified as held for sale at September 30, 2014. | |||||
We determined that these properties did not meet the criteria under ASU 2014-08 to be classified as discontinued operations or an individually significant component of the business and therefore we have not separately presented the results of operations of these properties in the Consolidated and Combined Statements of Income, Consolidated and Combined Statements of Cash Flows or footnotes. | |||||
We have written down the value of certain stores where the net book value exceeded the anticipated net sales proceeds at September 30, 2014. The anticipated sales proceeds were net of estimated selling costs including brokerage fees, commissions and environmental assessment costs. The total amount of these write downs was $2 million, and is included in the “Asset impairments” line on the Consolidated and Combined Statements of Income. | |||||
All of the stores classified as held for sale relate to our U.S. segment. The carrying amounts of major classes of assets consisted of the following (in millions): | |||||
September 30, | |||||
2014 | |||||
Land | $ | 20 | |||
Retail site buildings | 12 | ||||
Equipment | 23 | ||||
Leasehold improvements | 5 | ||||
Other | 10 | ||||
Property and equipment, at cost | 70 | ||||
Accumulated depreciation | (31 | ) | |||
Assets held for sale, net | $ | 39 | |||
Asset retirement obligation liabilities related to these stores totaled $6 million at September 30, 2014. |
Asset_Impairments_Notes
Asset Impairments (Notes) | 9 Months Ended |
Sep. 30, 2014 | |
Property, Plant and Equipment Impairment or Disposal [Abstract] | ' |
Asset Impairments Disclosure | ' |
ASSET IMPAIRMENTS | |
During the second quarter of 2014, we identified certain convenience stores that experienced lower than expected operating results during the first half of the year. We continued to evaluate these convenience stores through October 2014 because our operations are seasonal and we generally experience our highest sales volumes and operating income during the driving season. Considering motor fuel gallons sold, motor fuel gross profit and gross profit inside the convenience store, among other factors, we concluded that the projected undiscounted cash flows exceeded the carrying value of the convenience stores under evaluation and therefore no impairment was recorded. We could be required to perform additional impairment analyses on these convenience stores in the future because cash flows from each convenience store vary from year to year due to changes in market demographics, traffic patterns and competition, among other factors, that impact the overall operations of the convenience store. | |
Negative trends in the factors noted above are an indicator of potential impairment. We monitor these factors at the convenience store level because discrete cash flow information is available by convenience store. As a result of this process, we identified and recorded $2 million of asset impairments during the third quarter of 2013 in our U.S. segment. The asset impairment recorded in the third quarter of 2014 related to the assets held for sale disclosed in Note 2. |
Inventories_Notes
Inventories (Notes) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventories Disclosure | ' | ||||||||
INVENTORIES | |||||||||
Inventories consisted of the following (in millions): | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Convenience store merchandise | $ | 114 | $ | 116 | |||||
Motor fuel | 88 | 101 | |||||||
Inventories | $ | 202 | $ | 217 | |||||
The cost of convenience store merchandise is determined principally under the weighted-average cost method. We account for motor fuel inventory in our U.S. segment on the LIFO basis. As of September 30, 2014, and December 31, 2013, the replacement cost (market value) of our U.S. motor fuel inventories exceeded their LIFO carrying amounts by approximately $22 million and $24 million, respectively. We account for motor fuel inventory in our Canada segment under the weighted-average cost method. |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets (Notes) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Goodwill and Intangible Assets Disclosure | ' | |||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ||||||||||||||||
Goodwill and intangible assets consisted of the following (in millions): | ||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | |||||||||||||||
September 30, | December 31, | September 30, | December 31, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Goodwill | $ | 18 | $ | 18 | ||||||||||||
Intangible assets | 114 | 119 | $ | (89 | ) | $ | (88 | ) | ||||||||
Total | $ | 132 | $ | 137 | $ | (89 | ) | $ | (88 | ) | ||||||
Intangible assets primarily relate to customer lists in our Canada segment, which are being amortized on a straight-line basis over 15 years. As these assets are recorded in the local currency, Canadian dollars, gross carrying amounts are translated at each balance sheet date, resulting in changes from the U.S. dollar amounts presented previously. |
Debt_Notes
Debt (Notes) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||
Debt Disclosure | ' | ||||||||||||||||
DEBT | |||||||||||||||||
Amendment to Credit Agreement | |||||||||||||||||
In connection with the GP Purchase and the IDR Purchase, we entered into the Second Amendment to the Credit Agreement and Amendment to the Guarantee and Collateral Agreement, dated as of September 30, 2014 (the “Amendment”). The Amendment became effective concurrently with the closing of the GP Purchase and the IDR Purchase on October 1, 2014. We capitalized $2 million in bank fees in the third quarter of 2014 as a result of the Amendment. | |||||||||||||||||
The Amendment, among other things: | |||||||||||||||||
• | extends the maturity of the loans and revolving commitments under the Amended Credit Agreement to September 30, 2019; | ||||||||||||||||
• | permits certain future transactions with CrossAmerica, including drop-down asset sales to CrossAmerica, subject to certain conditions; | ||||||||||||||||
• | provides for the designation of unrestricted subsidiaries, including the General Partner, CrossAmerica and subsidiaries of CrossAmerica, and amends covenants and events of default to exclude unrestricted subsidiaries; | ||||||||||||||||
• | increases CST’s ability to make certain investments and acquisitions, make distributions on or redeem or repurchase stock, and make certain payments on subordinated debt, in each case, subject to certain conditions; | ||||||||||||||||
• | amends the maximum total adjusted leverage ratio to permit CST to reduce indebtedness and rental expense in such calculation by unrestricted cash and cash equivalents in excess of a predetermined amount; and | ||||||||||||||||
• | replaces the Credit Agreement’s expansion capital expenditures covenant with a covenant that limits capital expenditures based on CST’s leverage ratio. | ||||||||||||||||
Borrowings under the Amendment (in addition to existing collateral) will be secured by the incentive distribution rights of CrossAmerica and, in the future, common units of CrossAmerica owned by CST and other credit parties. | |||||||||||||||||
Outstanding Debt | |||||||||||||||||
Our balances for long-term debt and capital leases are as follows (in millions): | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
5.00% senior notes due 2023 | $ | 550 | $ | 550 | |||||||||||||
Term loan due 2019 | 463 | 488 | |||||||||||||||
Capital leases | 8 | 4 | |||||||||||||||
Total debt and capital lease obligations outstanding | 1,021 | 1,042 | |||||||||||||||
Less current portion | 45 | 36 | |||||||||||||||
Debt and capital lease obligations, less current portion | $ | 976 | $ | 1,006 | |||||||||||||
Availability under revolving credit facility (expires 2019): | |||||||||||||||||
Total available credit facility limit | 300 | 300 | |||||||||||||||
Letters of credit outstanding | (3 | ) | (3 | ) | |||||||||||||
Maximum leverage ratio constraint | — | (84 | ) | ||||||||||||||
Total available and undrawn | 297 | 213 | |||||||||||||||
Credit Facilities | |||||||||||||||||
The Amendment contains financial covenants consisting of (a) a maximum total lease adjusted leverage ratio set at not greater than 3.75 to 1.00, and (b) a minimum fixed charge coverage ratio set at not less than 1.30 to 1.00. As of September 30, 2014, our lease adjusted leverage ratio and fixed charge coverage ratio were 2.64 to 1.00 and 2.74 to 1.00, respectively. | |||||||||||||||||
Outstanding borrowings under our term loan facility are London Interbank Offered Rate (“LIBOR”) loans bearing interest at 2.16% (effective 30 day LIBOR rate plus a spread of 2.00%) as of September 30, 2014. | |||||||||||||||||
Principal Repayment | |||||||||||||||||
We are required to make principal payments on the term loan in accordance with the following amortization schedule under the terms of the Amendment (in millions): | |||||||||||||||||
Years Ending | Total Principal to be Repaid | ||||||||||||||||
December 31, | |||||||||||||||||
2014 (remainder) | $ | 9 | |||||||||||||||
2015 | 47 | ||||||||||||||||
2016 | 69 | ||||||||||||||||
2017 | 75 | ||||||||||||||||
2018 | 75 | ||||||||||||||||
2019 | 188 | ||||||||||||||||
Total | $ | 463 | |||||||||||||||
Fair Value of Debt | |||||||||||||||||
The carrying values and estimated fair values of our outstanding debt were as follows (in millions): | |||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||
Total debt | $ | 1,013 | $ | 1,000 | $ | 1,038 | $ | 1,018 | |||||||||
The fair value of the term loan approximates its carrying value due to the frequency with which interest rates are reset. The fair value of the senior notes is determined primarily using quoted prices of over the counter traded securities. These quoted prices are considered Level 1 inputs under the fair value hierarchy established by ASC 820, Fair Value Measurements and Disclosures. |
Transition_Services_Agreements
Transition Services Agreements with Valero (Notes) | 9 Months Ended |
Sep. 30, 2014 | |
Transition Services Agreements with Valero [Abstract] | ' |
Transition Services Agreements with Valero Disclosure | ' |
TRANSITION SERVICES AGREEMENTS WITH VALERO | |
Subsequent to the spin-off, Valero has charged us a transition services fee primarily related to IT systems that we record as a component of general and administrative expenses. During the three and nine months ended September 30, 2014, we paid Valero less than $1 million and $2 million, respectively, for these services. We transitioned to our own enterprise reporting system during the second quarter of 2014 and we expect to be substantially complete in transitioning to our independent IT infrastructure before the end of 2014. |
Commitments_and_Contingencies_
Commitments and Contingencies (Notes) | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies Disclosure | ' |
COMMITMENTS AND CONTINGENCIES | |
CST is from time to time party to various lawsuits, claims and other legal proceedings that arise in the ordinary course of business. These actions typically seek, among other things, compensation for alleged personal injury, breach of contract and/or property damages, environmental damages, employment-related claims and damages, punitive damages, civil penalties or other losses, or injunctive or declaratory relief. With respect to all such lawsuits, claims and proceedings, CST records a reserve when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. In addition, CST discloses matters for which management believes a material loss is at least reasonably possible. Except as otherwise stated below, none of these proceedings, separately or in the aggregate, are expected to have a material adverse effect on CST’s consolidated financial position, results of operations or cash flows. In all instances, management has assessed the matter based on current information and made a judgment concerning its potential outcome, giving due consideration to the nature of the claim, the amount and nature of damages sought and the probability of success. Management’s judgment may prove materially inaccurate, and such judgment is made subject to the known uncertainties of litigation. | |
UST Fund Reimbursement Litigation | |
Colorado. On October 30, 2013, the State of Colorado filed a lawsuit against Valero and CST and several of their subsidiaries and affiliates claiming that, prior to the spin-off, Valero and its former retail subsidiaries filed claims with and recovered funds from Colorado’s Underground Storage Tank (“UST”) Fund and failed to disclose the existence of and/or recoveries from insurance policies, which are alleged to provide coverage for the same remediation activities. The case is subject to the accelerated “CAPP” rules of procedure in Colorado and a trial date is set for March 30, 2015. During the first quarter of 2014, the plaintiffs filed an amended complaint seeking forfeiture of amounts paid by the UST Fund or payment of amounts recovered from insurers for these sites, which they alleged to be in excess of $15 million. While Valero has and continues to maintain control over the historical insurance policies at issue, we are unaware of any insurance claims that were made, or proceeds received, for costs associated with UST remediation at sites in Colorado, other than a settlement in 2002, which was reported to the State. The State agreed to accept a portion of the proceeds from that settlement apportioned to retail sites in Colorado and to release all claims for the sites potentially involved in those insurance recovery actions. We believe that there is no factual basis for the State’s claims and that there are numerous legal defenses to these claims. Both Valero and CST have made demands on the other under the terms of the Separation and Distribution Agreement, which CST and Valero have agreed to resolve after the underlying matters is resolved if necessary. We are working jointly with Valero and intend to vigorously defend this litigation. CST believes that the claims advanced by the state, while unsupportable, are also covered by insurance and have made demands on insurers for defense of this litigation as well the defense of the litigation in Louisiana. | |
Louisiana. A lawsuit was filed on behalf of the State of Louisiana in the first quarter of 2014 in Louisiana state court against Valero and CST and several of their subsidiaries and affiliates making claims for pre-spin-off claims and recoveries by Valero and its former retail subsidiaries from Louisiana’s UST Fund. This case is in the very initial stages of litigation. Although the claims are similar to those alleged in the Colorado case previously discussed, this litigation involves only sites in Louisiana. We do not believe that these claims have any factual basis, and we believe that we have numerous legal defenses to these claims. Valero and CST are working jointly and we intend to vigorously defend this litigation. | |
Pennsylvania. A lawsuit was filed on behalf of the State of Pennsylvania in Pennsylvania state court against numerous fuel retailers, including Valero and CST and several of their subsidiaries and affiliates for pre-spin-off claims and recoveries by Valero and its former retail subsidiaries against the Pennsylvania UST Fund. CST’s business never operated sites in Pennsylvania and we do not believe that we are a proper party to this litigation. The state voluntarily dismissed this litigation without prejudice and it is uncertain whether CST will be named as a party to any future litigation the state may choose to pursue. |
Equity_Notes
Equity (Notes) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Equity Disclosure | ' | ||||||||||||||||
EQUITY | |||||||||||||||||
Common Shares | |||||||||||||||||
As of September 30, 2014, a total of 250 million shares of our common stock, $0.01 par value, were authorized. As of September 30, 2014 and December 31, 2013, 75,452,983 basic common shares and 75,397,241 basic common shares were issued, respectively. In connection with the GP Purchase and IDR Purchase, we issued 2,044,490 unregistered shares of our common stock on October 1, 2014. | |||||||||||||||||
Dividends | |||||||||||||||||
Quarterly dividend activity was as follows: | |||||||||||||||||
Quarter Ended | Record Date | Payment Date | Cash Distribution (per share) | Cash Distribution (in millions) | |||||||||||||
December 31, 2013 | December 31, 2013 | January 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
March 31, 2014 | March 31, 2014 | April 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
June 30, 2014 | June 30, 2014 | July 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
September 30, 2014 | September 30, 2014 | October 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
We expect to continue the practice of paying quarterly cash dividends, though the timing, declaration, amount and payment of future dividends to stockholders will fall within the discretion of our Board of Directors. Our indebtedness also restricts our ability to pay dividends. As such, there can be no assurance we will continue to pay dividends in the future. | |||||||||||||||||
Stock Repurchase Plan | |||||||||||||||||
On August 5, 2014, our Board of Directors approved a stock repurchase plan under which we are authorized to purchase shares of our common stock up to a maximum dollar amount of $200 million, until such authorization is exhausted or withdrawn by our Board of Directors. Under the stock repurchase program, we are authorized to repurchase, from time-to-time, shares of our outstanding common stock in the open market, at management’s discretion, based on market and business conditions, applicable legal requirements and other factors, or pursuant to an issuer repurchase plan or agreement that may be in effect. The repurchase program does not obligate us to acquire any specific amount of common stock and will continue until otherwise modified or terminated by our Board of Directors at any time at its sole discretion and without notice. We have not purchased any shares under this plan as of the date of this filing. | |||||||||||||||||
Comprehensive Income | |||||||||||||||||
Comprehensive income for a period encompasses net income and all other changes in equity other than from transactions with our stockholders. Foreign currency translation adjustments of the Canadian dollar into the U.S. dollar are the only component of our accumulated other comprehensive income. We intend to reinvest earnings indefinitely in our Canadian operations even though we are not restricted from repatriating such earnings to the U.S. in the form of cash dividends. Should we decide to repatriate such earnings, we would incur and pay taxes on the amounts repatriated. | |||||||||||||||||
Changes in foreign currency translation adjustments were as follows for the three and nine months ended September 30, 2014 and 2013 (in millions): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Balance at the beginning of the period | $ | 131 | $ | 138 | $ | 133 | $ | 170 | |||||||||
Other comprehensive (loss) income before reclassifications | (31 | ) | 11 | (33 | ) | (21 | ) | ||||||||||
Amounts reclassified from other comprehensive income | — | — | — | — | |||||||||||||
Net other comprehensive (loss) income | (31 | ) | 11 | (33 | ) | (21 | ) | ||||||||||
Balance at the end of the period | $ | 100 | $ | 149 | $ | 100 | $ | 149 | |||||||||
StockBased_Compensation_Notes
Stock-Based Compensation (Notes) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation Disclosure | ' | ||||||||||||||||
STOCK-BASED COMPENSATION | |||||||||||||||||
Compensation expense for our stock-based compensation plans is based on the fair value of the awards granted and is recognized in income on a straight-line basis over the requisite service period of each vesting tranche. For new grants that have retirement-eligibility provisions, we use the non-substantive vesting period approach, under which compensation cost is recognized immediately for awards granted to retirement-eligible employees or over the period from the grant date to the date retirement eligibility is achieved if that date is expected to occur during the nominal vesting period. We record stock-based compensation as components of operating expenses and general and administrative expenses in the Consolidated and Combined Statements of Income. | |||||||||||||||||
We recognized stock-based compensation expense as follows (in millions): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Stock-based compensation expense | $ | 2 | $ | 1 | $ | 8 | $ | 3 | |||||||||
Prior to the spin-off, our employees participated in Valero’s stock-based compensation plans, and Valero allocated stock-based compensation costs to us based on Valero’s determination of actual costs attributable to our employees. Our first grant of stock-based awards under the 2013 CST Brands, Inc. Omnibus Stock Incentive Plan (the “Plan”) occurred in the second quarter of 2013. The Plan was amended in November 2013 and amended again in June 2014. | |||||||||||||||||
Our annual grant of stock-based awards occurred in the first half of 2014 and we did not have any additional significant stock-based compensation activity in the first nine months of 2014. The grants were as follows for the nine months ended September 30, 2014: | |||||||||||||||||
Number of Shares | Weighted-Avg | ||||||||||||||||
Grant-Date | |||||||||||||||||
Fair Value | |||||||||||||||||
Stock options | 367,525 | $ | 11.78 | ||||||||||||||
Restricted stock units | 138,366 | $ | 31.24 | ||||||||||||||
Restricted shares | 32,347 | $ | 31.22 | ||||||||||||||
Earnings_Per_Common_Share_Note
Earnings Per Common Share (Notes) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Earnings Per Common Share Disclosure | ' | ||||||||||||||||
EARNINGS PER COMMON SHARE | |||||||||||||||||
On May 1, 2013, 75,397,241 shares of our common stock were distributed to Valero’s stockholders and Valero in conjunction with the spin-off. For comparative purposes and to provide a more meaningful calculation of earnings per share, we have assumed this amount to be outstanding as of the beginning of the three and nine months ended September 30, 2013 in the calculation of weighted-average shares outstanding. | |||||||||||||||||
Earnings per common share were computed as follows (in millions, except shares outstanding, common equivalent shares and per share amounts): | |||||||||||||||||
Three Months Ended September 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Restricted Shares and Units | Common Stock | Restricted Shares and Units | Common Stock | ||||||||||||||
Earnings per common share: | |||||||||||||||||
Net income attributable to stockholders | $ | 63 | $ | 42 | |||||||||||||
Less dividends declared: | |||||||||||||||||
Common stock | 5 | 5 | |||||||||||||||
Undistributed earnings | $ | 58 | $ | 37 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 315 | 75,442 | 201 | 75,397 | |||||||||||||
Earnings per common share | |||||||||||||||||
Distributed earnings | $ | 0.06 | $ | 0.06 | $ | 0.06 | $ | 0.06 | |||||||||
Undistributed earnings | 0.77 | 0.77 | 0.5 | 0.5 | |||||||||||||
Total earnings per common share | $ | 0.83 | $ | 0.83 | $ | 0.56 | $ | 0.56 | |||||||||
Earnings per common share - assuming dilution: | |||||||||||||||||
Net income attributable to stockholders | $ | 63 | $ | 42 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 75,442 | 75,397 | |||||||||||||||
Common equivalent shares: | |||||||||||||||||
Stock options (in thousands) | 40 | — | |||||||||||||||
Restricted stock (in thousands) | 84 | 35 | |||||||||||||||
Restricted stock units (in thousands) | 65 | — | |||||||||||||||
Weighted-average common shares outstanding - assuming dilution (in thousands) | 75,631 | 75,432 | |||||||||||||||
Earnings per common share - assuming dilution | $ | 0.83 | $ | 0.56 | |||||||||||||
Nine Months Ended September 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Restricted Shares and Units | Common Stock | Restricted Shares and Units | Common Stock | ||||||||||||||
Earnings per common share: | |||||||||||||||||
Net income attributable to stockholders | $ | 106 | $ | 105 | |||||||||||||
Less dividends declared: | |||||||||||||||||
Common stock | 14 | 5 | |||||||||||||||
Undistributed earnings | $ | 92 | $ | 100 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 297 | 75,421 | 111 | 75,397 | |||||||||||||
Earnings per common share | |||||||||||||||||
Distributed earnings | $ | 0.19 | $ | 0.19 | $ | 0.06 | $ | 0.06 | |||||||||
Undistributed earnings | 1.21 | 1.21 | 1.34 | 1.34 | |||||||||||||
Total earnings per common share | $ | 1.4 | $ | 1.4 | $ | 1.4 | $ | 1.4 | |||||||||
Earnings per common share - assuming dilution: | |||||||||||||||||
Net income attributable to stockholders | $ | 106 | $ | 105 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 75,421 | 75,397 | |||||||||||||||
Common equivalent shares: | |||||||||||||||||
Stock options (in thousands) | 24 | — | |||||||||||||||
Restricted stock (in thousands) | 85 | 19 | |||||||||||||||
Restricted stock units (in thousands) | 40 | — | |||||||||||||||
Weighted-average common shares outstanding - assuming dilution (in thousands) | 75,570 | 75,416 | |||||||||||||||
Earnings per common share - assuming dilution | $ | 1.4 | $ | 1.4 | |||||||||||||
The table below presents securities that have been excluded from the computation of diluted earnings per share because they would have been anti-dilutive for the periods presented: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Weighted-average anti-dilutive options (in thousands) | 297 | 234 | 302 | 123 | |||||||||||||
Weighted-average anti-dilutive restricted shares (in thousands) | — | 1 | — | — | |||||||||||||
No stock-based awards of CST were issued in exchange for either vested or non-vested Valero stock-based awards held by our employees prior to the spin-off. Therefore, there are no stock-based awards included in the calculation of shares used in the diluted earnings per share prior to the spin-off. |
Segment_Information_Notes
Segment Information (Notes) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Information Disclosure | ' | ||||||||||||||||
SEGMENT INFORMATION | |||||||||||||||||
We have two reportable segments: U.S. and Canada. The U.S. segment consists of convenience stores located in the United States. The Canada segment consists of retail sites and heating oil operations located in Canada. Operating revenues from our heating oil business were under 5% of our consolidated operating revenues for each period presented and have been included within the Canada segment information. Operations that are not included in either of our reportable segments are included in the corporate category, which consists primarily of general and administrative costs. | |||||||||||||||||
The reportable segments are strategic business units that experience different operating income margins due to geographic supply and demand attributes and specific country and local regulatory environments. There are no intersegment revenues. | |||||||||||||||||
The following table reflects activity related to our reportable segments (in millions): | |||||||||||||||||
U.S. | Canada | Corporate | Total | ||||||||||||||
Three months ended September 30, 2014: | |||||||||||||||||
Operating revenues from external customers | $ | 1,990 | $ | 1,231 | $ | — | $ | 3,221 | |||||||||
Gross profit | 237 | 103 | — | 340 | |||||||||||||
Depreciation, amortization and accretion expense | 22 | 9 | — | 31 | |||||||||||||
Operating income (loss) | 102 | 33 | (31 | ) | 104 | ||||||||||||
Total expenditures for long-lived assets | 88 | 16 | — | 104 | |||||||||||||
Three months ended September 30, 2013: | |||||||||||||||||
Operating revenues from external customers | $ | 2,013 | $ | 1,303 | $ | — | $ | 3,316 | |||||||||
Gross profit | 192 | 99 | — | 291 | |||||||||||||
Depreciation, amortization and accretion expense | 21 | 9 | — | 30 | |||||||||||||
Operating income (loss) | 61 | 29 | (21 | ) | 69 | ||||||||||||
Total expenditures for long-lived assets | 37 | 10 | — | 47 | |||||||||||||
Nine months ended September 30, 2014: | |||||||||||||||||
Operating revenues from external customers | $ | 5,818 | $ | 3,665 | $ | — | $ | 9,483 | |||||||||
Gross profit | 570 | 295 | — | 865 | |||||||||||||
Depreciation, amortization and accretion expense | 65 | 27 | — | 92 | |||||||||||||
Operating income (loss) | 180 | 89 | (83 | ) | 186 | ||||||||||||
Total expenditures for long-lived assets | 164 | 28 | — | 192 | |||||||||||||
Nine months ended September 30, 2013: | |||||||||||||||||
Operating revenues from external customers | $ | 5,948 | $ | 3,767 | $ | — | $ | 9,715 | |||||||||
Gross profit | 519 | 296 | — | 815 | |||||||||||||
Depreciation, amortization and accretion expense | 63 | 27 | — | 90 | |||||||||||||
Operating income (loss) | 147 | 87 | (56 | ) | 178 | ||||||||||||
Total expenditures for long-lived assets | 115 | 22 | — | 137 | |||||||||||||
Fair_Value_Measurements_Notes
Fair Value Measurements (Notes) | 9 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||
Fair Value Measurements Disclosure | ' | ||||||||||||||
FAIR VALUE MEASUREMENTS | |||||||||||||||
General | |||||||||||||||
U.S. GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. U.S. GAAP requires the disclosure of the fair values of all financial instruments, regardless of whether they are recognized at their fair values or carrying amounts in our balance sheets. | |||||||||||||||
U.S. GAAP provides a framework for measuring fair value and establishes a three-level fair value hierarchy that prioritizes inputs to valuation techniques based on the degree to which objective prices in external active markets are available to measure fair value. Following is a description of each of the levels of the fair value hierarchy. | |||||||||||||||
• | Level 1–Observable inputs, such as unadjusted quoted prices in active markets for identical assets or liabilities. | ||||||||||||||
• | Level 2–Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. | ||||||||||||||
• | Level 3–Unobservable inputs for the asset or liability for which there is little, if any, market activity at the measurement date. Unobservable inputs reflect our own assumptions about what market participants would use to price the asset or liability. The inputs are developed based on the best information available in the circumstances, which might include occasional market quotes or sales of similar instruments or our own financial data such as internally developed pricing models, discounted cash flow methodologies, as well as instruments for which the fair value determination requires significant judgment. | ||||||||||||||
During the nine months ended September 30, 2014, there were no transfers between the fair value hierarchy levels. | |||||||||||||||
We do not have any financial instruments measured at fair value on our balance sheets for any of the periods presented. Because of their maturities and/or variable interest rates, certain financial instruments have fair values approximating their carrying values. These instruments include cash, accounts receivable, our credit facilities and trade payables. The fair value disclosure related to our debt is located in Note 6. | |||||||||||||||
Nonfinancial assets, such as property, plant and equipment, and nonfinancial liabilities are recognized at their carrying amounts in our balance sheets. U.S. GAAP does not permit nonfinancial assets and liabilities to be remeasured at their fair values on a recurring basis. However, U.S. GAAP requires the remeasurement of such assets and liabilities to their fair values upon the occurrence of certain events, such as the impairment of property, plant and equipment or goodwill. In addition, if such an event occurs, U.S. GAAP requires the disclosure of the fair value of the asset or liability along with other information, including the gain or loss recognized in income in the period the remeasurement occurred. | |||||||||||||||
Nonrecurring Fair Value Measurements | |||||||||||||||
As discussed in Note 3, we have written certain of our U.S. retail sites down to their fair value in the first nine months of both 2014 and 2013. | |||||||||||||||
The fair value of the assets written down during the first nine months of 2014 was based on expected net sales proceeds derived from bids received on those assets. The anticipated sales proceeds were net of estimated selling costs including brokerage fees, commissions and environmental assessment costs. We consider these inputs to be Level 2. | |||||||||||||||
The fair value of the assets written down during the first nine months of 2013 were derived using an income approach reflecting internally developed discounted cash flows that include, among other things, our expectations of future cash flows based on sales volumes, gross margins and operating expenses. We consider the inputs for this approach to be Level 3. | |||||||||||||||
The following table displays valuation techniques for our nonfinancial assets measured at fair value on a nonrecurring basis as of September 30, 2014 and 2013 (in millions): | |||||||||||||||
Valuation Techniques | Fair Value | Net Book Value | Impairment | ||||||||||||
Level 2 assets as of September 30, 2014: | |||||||||||||||
Property and equipment (assets held for sale) | Net sales proceeds | $ | 1 | $ | 3 | $ | 2 | ||||||||
Level 3 assets as of September 30, 2013: | |||||||||||||||
Property and equipment | Income approach | $ | 1 | $ | 3 | $ | 2 | ||||||||
Supplemental_Cash_Flow_Informa
Supplemental Cash Flow Information (Notes) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Supplemental Cash Flow Information [Abstract] | ' | ||||||||
Supplemental Cash Flow Information Disclosure | ' | ||||||||
SUPPLEMENTAL CASH FLOW INFORMATION | |||||||||
In order to determine net cash provided by operating activities, net income is adjusted by, among other things, changes in working capital as follows (in millions): | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
Decrease (increase): | |||||||||
Receivables, net | $ | 2 | $ | (61 | ) | ||||
Inventories | 12 | 1 | |||||||
Prepaid expenses and other | (2 | ) | (4 | ) | |||||
Increase (decrease): | |||||||||
Accounts payable | 10 | 1 | |||||||
Accounts payable to Valero | 24 | 299 | |||||||
Accrued expenses | 24 | 15 | |||||||
Taxes other than income taxes | (4 | ) | (61 | ) | |||||
Income taxes payable | 30 | 7 | |||||||
Change in working capital | $ | 96 | $ | 197 | |||||
The above changes may differ from changes between amounts reflected in the applicable balance sheets for the respective periods for the following reasons: | |||||||||
• | amounts accrued for capital expenditures are reflected in investing activities when such amounts are paid; and | ||||||||
• | certain differences between balance sheet changes and the changes reflected above result from translating foreign currency denominated amounts at the applicable exchange rates as of each balance sheet date. | ||||||||
Interest and income tax payments were as follows (in millions): | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
Interest paid, in excess of amount capitalized | $ | 22 | $ | 5 | |||||
Income taxes paid | 36 | 13 | |||||||
Guarantor_Subsidiaries_Notes
Guarantor Subsidiaries (Notes) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | |||||||||||||||||||
Guarantor Subsidiaries Disclosure | ' | |||||||||||||||||||
GUARANTOR SUBSIDIARIES | ||||||||||||||||||||
CST’s 100% owned, domestic subsidiaries (the “Guarantor Subsidiaries”) fully and unconditionally guarantee, on a joint and several basis, certain of the outstanding indebtedness of CST. The following consolidating and combining schedules present financial information on a consolidated and combined basis in conformity with the SEC’s Regulation S-X Rule 3-10(f): | ||||||||||||||||||||
CONSOLIDATING BALANCE SHEETS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
30-Sep-14 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash | $ | — | $ | 204 | $ | 223 | $ | — | $ | 427 | ||||||||||
Receivables, net | 2 | 60 | 84 | — | 146 | |||||||||||||||
Inventories | — | 130 | 72 | — | 202 | |||||||||||||||
Deferred income taxes | — | 10 | — | — | 10 | |||||||||||||||
Prepaid expenses and other | — | 9 | 6 | — | 15 | |||||||||||||||
Assets held for sale, net | — | 39 | — | — | 39 | |||||||||||||||
Total current assets | 2 | 452 | 385 | — | 839 | |||||||||||||||
Property and equipment, at cost | 2 | 1,560 | 516 | — | 2,078 | |||||||||||||||
Accumulated depreciation | — | (510 | ) | (172 | ) | — | (682 | ) | ||||||||||||
Property and equipment, net | 2 | 1,050 | 344 | — | 1,396 | |||||||||||||||
Goodwill and intangible assets, net | — | 21 | 22 | — | 43 | |||||||||||||||
Investment in subsidiaries | 1,824 | — | — | (1,824 | ) | — | ||||||||||||||
Deferred income taxes | — | — | 83 | — | 83 | |||||||||||||||
Other assets, net | 31 | 27 | 5 | — | 63 | |||||||||||||||
Total assets | $ | 1,859 | $ | 1,550 | $ | 839 | $ | (1,824 | ) | $ | 2,424 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current portion of debt and capital lease obligations | $ | 44 | $ | 1 | $ | — | $ | — | $ | 45 | ||||||||||
Accounts payable | — | 63 | 44 | — | 107 | |||||||||||||||
Accounts (receivable) payable to Valero | (1 | ) | 164 | 114 | — | 277 | ||||||||||||||
Accrued expenses | 12 | 39 | 18 | — | 69 | |||||||||||||||
Taxes other than income taxes | — | 20 | (8 | ) | — | 12 | ||||||||||||||
Income taxes payable | — | 26 | 12 | — | 38 | |||||||||||||||
Asset retirement obligations related to assets held for sale | — | 6 | — | — | 6 | |||||||||||||||
Dividends payable | 5 | — | — | — | 5 | |||||||||||||||
Total current liabilities | 60 | 319 | 180 | — | 559 | |||||||||||||||
Debt and capital lease obligations, less current portion | 969 | 6 | 1 | — | 976 | |||||||||||||||
Deferred income taxes | — | 79 | — | — | 79 | |||||||||||||||
Intercompany payables (receivables) | 120 | (121 | ) | 1 | — | — | ||||||||||||||
Asset retirement obligations | — | 58 | 18 | — | 76 | |||||||||||||||
Other long-term liabilities | 15 | 9 | 15 | — | 39 | |||||||||||||||
Total liabilities | 1,164 | 350 | 215 | — | 1,729 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 1 | — | — | — | 1 | |||||||||||||||
APIC | 415 | 1,037 | 523 | (1,560 | ) | 415 | ||||||||||||||
Retained earnings | 179 | 163 | 101 | (264 | ) | 179 | ||||||||||||||
AOCI | 100 | — | — | — | 100 | |||||||||||||||
Total stockholders’ equity | 695 | 1,200 | 624 | (1,824 | ) | 695 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,859 | $ | 1,550 | $ | 839 | $ | (1,824 | ) | $ | 2,424 | |||||||||
CONSOLIDATING BALANCE SHEETS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash | $ | — | $ | 231 | $ | 147 | $ | — | $ | 378 | ||||||||||
Receivables, net | — | 56 | 97 | — | 153 | |||||||||||||||
Inventories | — | 139 | 78 | — | 217 | |||||||||||||||
Deferred income taxes | — | 6 | 1 | — | 7 | |||||||||||||||
Prepaid expenses and other | — | 5 | 6 | — | 11 | |||||||||||||||
Total current assets | — | 437 | 329 | — | 766 | |||||||||||||||
Property and equipment, at cost | — | 1,477 | 504 | — | 1,981 | |||||||||||||||
Accumulated depreciation | — | (494 | ) | (161 | ) | — | (655 | ) | ||||||||||||
Property and equipment, net | — | 983 | 343 | — | 1,326 | |||||||||||||||
Goodwill and intangible assets, net | — | 20 | 29 | — | 49 | |||||||||||||||
Investments in subsidiaries | 1,714 | — | — | (1,714 | ) | — | ||||||||||||||
Deferred income taxes | — | — | 93 | — | 93 | |||||||||||||||
Other assets, net | 32 | 32 | 5 | — | 69 | |||||||||||||||
Total assets | $ | 1,746 | $ | 1,472 | $ | 799 | $ | (1,714 | ) | $ | 2,303 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current portion of debt and capital lease obligations | $ | 35 | $ | 1 | $ | — | $ | — | $ | 36 | ||||||||||
Accounts payable | — | 52 | 47 | — | 99 | |||||||||||||||
Accounts (receivable) payable to Valero | (1 | ) | 158 | 96 | — | 253 | ||||||||||||||
Accrued expenses | 4 | 23 | 16 | — | 43 | |||||||||||||||
Taxes other than income taxes | — | 16 | 1 | — | 17 | |||||||||||||||
Income taxes payable | — | 1 | 9 | — | 10 | |||||||||||||||
Dividends payable | 5 | — | — | — | 5 | |||||||||||||||
Total current liabilities | 43 | 251 | 169 | — | 463 | |||||||||||||||
Debt and capital lease obligations, less current portion | 1,003 | 3 | — | — | 1,006 | |||||||||||||||
Deferred income taxes | — | 94 | — | — | 94 | |||||||||||||||
Intercompany payables (receivables) | 58 | (58 | ) | — | — | — | ||||||||||||||
Asset retirement obligations | — | 61 | 18 | — | 79 | |||||||||||||||
Other long-term liabilities | 15 | 7 | 12 | — | 34 | |||||||||||||||
Total liabilities | 1,119 | 358 | 199 | — | 1,676 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 1 | — | — | — | 1 | |||||||||||||||
APIC | 406 | 1,037 | 551 | (1,588 | ) | 406 | ||||||||||||||
Retained Earnings | 87 | 77 | 49 | (126 | ) | 87 | ||||||||||||||
AOCI | 133 | — | — | — | 133 | |||||||||||||||
Total stockholders’ equity | 627 | 1,114 | 600 | (1,714 | ) | 627 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,746 | $ | 1,472 | $ | 799 | $ | (1,714 | ) | $ | 2,303 | |||||||||
CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Three Months Ended September 30, 2014 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Operating revenues | $ | — | $ | 1,990 | $ | 1,231 | $ | — | $ | 3,221 | ||||||||||
Cost of sales | — | 1,753 | 1,128 | — | 2,881 | |||||||||||||||
Gross profit | — | 237 | 103 | — | 340 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 111 | 61 | — | 172 | |||||||||||||||
General and administrative expenses | 2 | 24 | 5 | — | 31 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 22 | 9 | — | 31 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 2 | 159 | 75 | — | 236 | |||||||||||||||
Operating (loss) income | (2 | ) | 78 | 28 | — | 104 | ||||||||||||||
Other income, net | — | 1 | 1 | — | 2 | |||||||||||||||
Interest expense | (10 | ) | — | — | — | (10 | ) | |||||||||||||
Equity in earnings of subsidiaries | 75 | — | — | (75 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 63 | 79 | 29 | (75 | ) | 96 | ||||||||||||||
Income tax expense | — | 25 | 8 | — | 33 | |||||||||||||||
Net income (loss) | 63 | 54 | 21 | (75 | ) | 63 | ||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | (31 | ) | — | — | — | (31 | ) | |||||||||||||
Comprehensive income (loss) | $ | 32 | $ | 54 | $ | 21 | $ | (75 | ) | $ | 32 | |||||||||
CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Three Months Ended September 30, 2013 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Operating revenues | $ | — | $ | 2,013 | $ | 1,303 | $ | — | $ | 3,316 | ||||||||||
Cost of sales | — | 1,821 | 1,204 | — | 3,025 | |||||||||||||||
Gross profit | — | 192 | 99 | — | 291 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 108 | 61 | — | 169 | |||||||||||||||
General and administrative expenses | 1 | 15 | 5 | — | 21 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 21 | 9 | — | 30 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 1 | 146 | 75 | — | 222 | |||||||||||||||
Operating (loss) income | (1 | ) | 46 | 24 | — | 69 | ||||||||||||||
Other income, net | — | — | 1 | — | 1 | |||||||||||||||
Interest expense | (10 | ) | — | — | — | (10 | ) | |||||||||||||
Equity in earnings of subsidiaries | 53 | — | — | (53 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 42 | 46 | 25 | (53 | ) | 60 | ||||||||||||||
Income tax expense | — | 13 | 5 | — | 18 | |||||||||||||||
Net income (loss) | 42 | 33 | 20 | (53 | ) | 42 | ||||||||||||||
Other comprehensive income, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | 11 | — | — | — | 11 | |||||||||||||||
Comprehensive income (loss) | $ | 53 | $ | 33 | $ | 20 | $ | (53 | ) | $ | 53 | |||||||||
CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2014 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Operating revenues | $ | — | $ | 5,818 | $ | 3,665 | $ | — | $ | 9,483 | ||||||||||
Cost of sales | — | 5,248 | 3,370 | — | 8,618 | |||||||||||||||
Gross profit | — | 570 | 295 | — | 865 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 323 | 179 | — | 502 | |||||||||||||||
General and administrative expenses | 6 | 62 | 15 | — | 83 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 65 | 27 | — | 92 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 6 | 452 | 221 | — | 679 | |||||||||||||||
Operating (loss) income | (6 | ) | 118 | 74 | — | 186 | ||||||||||||||
Other income, net | — | 1 | 3 | — | 4 | |||||||||||||||
Interest expense | (30 | ) | — | — | — | (30 | ) | |||||||||||||
Equity in earnings of subsidiaries | 142 | — | — | (142 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 106 | 119 | 77 | (142 | ) | 160 | ||||||||||||||
Income tax expense | — | 33 | 21 | — | 54 | |||||||||||||||
Net income (loss) | 106 | 86 | 56 | (142 | ) | 106 | ||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | (33 | ) | — | — | — | (33 | ) | |||||||||||||
Comprehensive income (loss) | $ | 73 | $ | 86 | $ | 56 | $ | (142 | ) | $ | 73 | |||||||||
CONSOLIDATING AND COMBINING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2013 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated and Combined | ||||||||||||||||
Operating revenues | $ | — | $ | 5,948 | $ | 3,767 | $ | — | $ | 9,715 | ||||||||||
Cost of sales | — | 5,429 | 3,471 | — | 8,900 | |||||||||||||||
Gross profit | — | 519 | 296 | — | 815 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 307 | 182 | — | 489 | |||||||||||||||
General and administrative expenses | 2 | 42 | 12 | — | 56 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 63 | 27 | — | 90 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 2 | 414 | 221 | — | 637 | |||||||||||||||
Operating (loss) income | (2 | ) | 105 | 75 | — | 178 | ||||||||||||||
Other income, net | — | — | 3 | — | 3 | |||||||||||||||
Interest expense | (17 | ) | — | — | — | (17 | ) | |||||||||||||
Equity in earnings of subsidiaries | 81 | — | — | (81 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 62 | 105 | 78 | (81 | ) | 164 | ||||||||||||||
Income tax expense | — | 38 | 21 | — | 59 | |||||||||||||||
Net income (loss) | 62 | 67 | 57 | (81 | ) | 105 | ||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | (21 | ) | — | — | — | (21 | ) | |||||||||||||
Comprehensive income (loss) | $ | 41 | $ | 67 | $ | 57 | $ | (81 | ) | $ | 84 | |||||||||
CONSOLIDATING STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2014 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (28 | ) | $ | 208 | $ | 113 | $ | — | $ | 293 | |||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | — | (164 | ) | (28 | ) | — | (192 | ) | ||||||||||||
Acquisitions | (2 | ) | — | (7 | ) | — | (9 | ) | ||||||||||||
Proceeds from dispositions of property and equipment | — | 2 | — | — | 2 | |||||||||||||||
Other investing activities, net | — | (1 | ) | 2 | — | 1 | ||||||||||||||
Net cash used in investing activities | (2 | ) | (163 | ) | (33 | ) | — | (198 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Payments of long-term debt | (25 | ) | — | — | — | (25 | ) | |||||||||||||
Debt issuance and credit facility origination costs | (2 | ) | — | — | — | (2 | ) | |||||||||||||
Payments of capital lease obligations | — | (1 | ) | — | — | (1 | ) | |||||||||||||
Dividends paid | (14 | ) | — | — | — | (14 | ) | |||||||||||||
Intercompany funding | 71 | (71 | ) | — | — | — | ||||||||||||||
Net cash provided by (used in) financing activities | 30 | (72 | ) | — | — | (42 | ) | |||||||||||||
Effect of foreign exchange rate changes on cash | — | — | (4 | ) | — | (4 | ) | |||||||||||||
Net (decrease) increase in cash | — | (27 | ) | 76 | — | 49 | ||||||||||||||
Cash at beginning of period | — | 231 | 147 | — | 378 | |||||||||||||||
Cash at end of period | $ | — | $ | 204 | $ | 223 | $ | — | $ | 427 | ||||||||||
CONSOLIDATING AND COMBINING STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2013 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated and Combined | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (4 | ) | $ | 289 | $ | 125 | $ | — | $ | 410 | |||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | — | (115 | ) | (22 | ) | — | (137 | ) | ||||||||||||
Acquisitions | — | — | (6 | ) | — | (6 | ) | |||||||||||||
Proceeds from dispositions of property and equipment | — | — | 1 | — | 1 | |||||||||||||||
Other investing activities, net | — | — | — | — | — | |||||||||||||||
Net cash used in investing activities | — | (115 | ) | (27 | ) | — | (142 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Proceeds from issuance of long-term debt | 500 | — | — | — | 500 | |||||||||||||||
Payments of long-term debt | (6 | ) | — | — | — | (6 | ) | |||||||||||||
Debt issuance and credit facility origination costs | (19 | ) | — | — | — | (19 | ) | |||||||||||||
Payments of capital lease obligations | — | (1 | ) | — | — | (1 | ) | |||||||||||||
Net transfers (to) from Valero | (500 | ) | 73 | 49 | — | (378 | ) | |||||||||||||
Intercompany funding | 29 | (29 | ) | — | — | — | ||||||||||||||
Net cash provided by financing activities | 4 | 43 | 49 | — | 96 | |||||||||||||||
Effect of foreign exchange rate changes on cash | — | — | (1 | ) | — | (1 | ) | |||||||||||||
Net increase in cash | — | 217 | 146 | — | 363 | |||||||||||||||
Cash at beginning of year | — | 44 | 17 | — | 61 | |||||||||||||||
Cash at end of period | $ | — | $ | 261 | $ | 163 | $ | — | $ | 424 | ||||||||||
Description_of_Business_Basis_1
Description of Business, Basis of Presentation and Other Items Affecting our Business (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The consolidated financial statements reflect our financial results for all periods subsequent to the spin-off. The combined financial statements reflect the combined historical results of operations and cash flows of Valero’s retail businesses in the U.S. and Canada prior to the spin-off, including an allocable portion of Valero’s corporate costs. The combined financial statements are presented as if Valero’s retail businesses in the U.S. and Canada were combined for all periods prior to the spin-off. The combined statements of income prior to the spin-off also include approximately $26 million of expense allocations for certain corporate functions historically performed by Valero and not allocated to its operating segments, including allocations of general corporate expenses related to executive oversight, accounting, treasury, tax, legal, procurement, human resources and information technology (“IT”). These allocations were based primarily on specific identification of time and/or activities associated with CST’s operations, employee headcount or capital expenditures. For ease of reference, these consolidated and combined financial statements are referred to as those of CST. | |
We believe the assumptions underlying the combined financial statements, including the assumptions regarding allocating general corporate expenses from Valero, are reasonable. Nevertheless, the combined financial statements may not include all of the actual expenses that would have been incurred had we operated as a stand-alone, publicly-traded company during the combined periods presented and may not reflect our combined results of operations and cash flows had we operated as a stand-alone, publicly-traded company during the combined periods presented. Actual costs that would have been incurred if we had operated as a stand-alone, publicly-traded company during the combined periods presented would depend on multiple factors, including organizational structure and strategic decisions made in various areas, including IT and related infrastructure. | |
Prior to the spin-off, we transferred cash to Valero daily and Valero funded our operating and investing activities as needed through a centralized cash management process. We have reflected net transfers of cash to Valero as a financing activity in our combined statement of cash flows. We did not include any interest income on the net cash transfers to Valero. | |
Valero retained an ownership interest in us through November 14, 2013. We considered transactions with Valero to be with a related-party through this date. | |
Interim Financial Information | |
These unaudited financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities Exchange Act of 1934, as amended. Accordingly, they do not include all of the information and notes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. All such adjustments are of a normal recurring nature unless disclosed otherwise. Management believes that the disclosures made are adequate to keep the information presented from being misleading. The financial statements contained herein should be read in conjunction with the consolidated and combined financial statements and notes thereto included in our Annual Report on Form 10-K (“Form 10-K”) for the year ended December 31, 2013. Financial information as of September 30, 2014 and for the three and nine months ended September 30, 2014 and 2013 included in these condensed notes to consolidated and combined financial statements has been derived from our unaudited financial statements. Financial information as of December 31, 2013, has been derived from our audited financial statements and notes thereto as of that date. For further information, refer to our consolidated and combined financial statements and notes thereto included in our Form 10-K for the year ended December 31, 2013. | |
Operating results for the three and nine months ended September 30, 2014 are not necessarily indicative of the results that may be expected for the year ending December 31, 2014. Our business exhibits substantial seasonality due to the concentration of our retail sites in certain geographic areas, as well as changes in customer behaviors during different seasons. In general, sales volumes and operating income are highest in the second and third quarters during the summer activity months and lowest during the winter months. | |
Use of Estimates | ' |
Use of Estimates | |
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results and outcomes could differ from those estimates and assumptions. On an ongoing basis, management reviews its estimates based on currently available information. Changes in facts and circumstances could result in revised estimates and assumptions. | |
Significant Accounting Policies | ' |
Significant Accounting Policies | |
As disclosed in our Form 10-K, during the fourth quarter of 2013, we elected to change our method of valuing our Canada motor fuel inventory to the weighted-average cost method, whereas in all previous periods motor fuel inventory was valued using the last-in, first-out method (“LIFO”). Comparative financial statements of prior periods have been adjusted to apply the weighted-average cost method retrospectively. | |
There have been no material changes to the significant accounting policies described in our Form 10-K. | |
New Accounting Pronouncements | ' |
New Accounting Pronouncements | |
In April 2014, the Financial Accounting Standards Board issued Accounting Standards Update 2014-08 (“ASU 2014-08”), Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. ASU 2014-08, required to be applied prospectively for reporting periods beginning after December 15, 2014, limits discontinued operations reporting to disposals of components of an entity that represent strategic shifts that have, or will have, a major effect on operations and financial results. The amendment requires expanded disclosures for discontinued operations and also requires additional disclosures regarding disposals of individually significant components that do not qualify as discontinued operations. Early adoption is permitted, but only for disposals (or classifications as held for sale) that have not been reported in financial statements previously issued or available for issuance. We early adopted ASU 2014-08 in 2014, and this adoption impacted the accounting treatment and disclosures related to stores we have been marketing for sale. We determined that certain of these stores met the criteria under ASU 2014-08 to be classified as held for sale, and in accordance with the guidance of ASU 2014-08, property and equipment, net and asset retirement obligations related to these stores have been presented separately on the balance sheet at September 30, 2014. See additional disclosure regarding these stores in Note 2. | |
In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update 2014-09 (“ASU 2014-09”), Revenue from Contracts with Customers. ASU 2014-09 requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. ASU 2014-09 will become effective for us in the first quarter of 2017 and early adoption is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. We are evaluating the effect that ASU 2014-09 will have on our consolidated financial statements and related disclosures. We have not yet selected a transition method nor have we determined the effect of the standard on our ongoing financial reporting. | |
Certain new financial accounting pronouncements have become effective for our financial statements. With the exception of ASU 2014-08, discussed above, the adoption of these pronouncements will not affect our financial position or results of operations, nor will they require any additional disclosures. | |
Concentration Risk | ' |
Concentration Risk | |
Valero supplied substantially all of the motor fuel purchased by us for resale during all periods presented. Motor fuel purchased by us from Valero is recorded as a component of cost of sales based on price formulas that vary from terminal to terminal. The actual prices we pay typically change daily, based on market fluctuations of wholesale motor fuel prices in the geographic locations where we purchase our motor fuel for resale. During the three months ended September 30, 2014 and 2013, we purchased $2.5 billion and $2.7 billion, respectively, of motor fuel from Valero. During the nine months ended September 30, 2014 and 2013, we purchased $7.5 billion and $8.0 billion, respectively, of motor fuel from Valero. | |
No customers are individually material to our operations. |
Assets_Held_for_Sale_Tables
Assets Held for Sale (Tables) | 9 Months Ended | ||||
Sep. 30, 2014 | |||||
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract] | ' | ||||
Schedule of Assets Held for Sale | ' | ||||
The carrying amounts of major classes of assets consisted of the following (in millions): | |||||
September 30, | |||||
2014 | |||||
Land | $ | 20 | |||
Retail site buildings | 12 | ||||
Equipment | 23 | ||||
Leasehold improvements | 5 | ||||
Other | 10 | ||||
Property and equipment, at cost | 70 | ||||
Accumulated depreciation | (31 | ) | |||
Assets held for sale, net | $ | 39 | |||
Inventories_Tables
Inventories (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Schedule of Inventories | ' | ||||||||
Inventories consisted of the following (in millions): | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Convenience store merchandise | $ | 114 | $ | 116 | |||||
Motor fuel | 88 | 101 | |||||||
Inventories | $ | 202 | $ | 217 | |||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||
Schedule of Goodwill and Intangible Assets | ' | |||||||||||||||
Goodwill and intangible assets consisted of the following (in millions): | ||||||||||||||||
Gross Carrying Amount | Accumulated Amortization | |||||||||||||||
September 30, | December 31, | September 30, | December 31, | |||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Goodwill | $ | 18 | $ | 18 | ||||||||||||
Intangible assets | 114 | 119 | $ | (89 | ) | $ | (88 | ) | ||||||||
Total | $ | 132 | $ | 137 | $ | (89 | ) | $ | (88 | ) | ||||||
Debt_Tables
Debt (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of Long-term Debt and Capital Leases | ' | ||||||||||||||||
Our balances for long-term debt and capital leases are as follows (in millions): | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
5.00% senior notes due 2023 | $ | 550 | $ | 550 | |||||||||||||
Term loan due 2019 | 463 | 488 | |||||||||||||||
Capital leases | 8 | 4 | |||||||||||||||
Total debt and capital lease obligations outstanding | 1,021 | 1,042 | |||||||||||||||
Less current portion | 45 | 36 | |||||||||||||||
Debt and capital lease obligations, less current portion | $ | 976 | $ | 1,006 | |||||||||||||
Schedule of Availability Under Revolving Credit Facility | ' | ||||||||||||||||
Availability under revolving credit facility (expires 2019): | |||||||||||||||||
Total available credit facility limit | 300 | 300 | |||||||||||||||
Letters of credit outstanding | (3 | ) | (3 | ) | |||||||||||||
Maximum leverage ratio constraint | — | (84 | ) | ||||||||||||||
Total available and undrawn | 297 | 213 | |||||||||||||||
Schedule of Maturities of Long-term Debt | ' | ||||||||||||||||
We are required to make principal payments on the term loan in accordance with the following amortization schedule under the terms of the Amendment (in millions): | |||||||||||||||||
Years Ending | Total Principal to be Repaid | ||||||||||||||||
December 31, | |||||||||||||||||
2014 (remainder) | $ | 9 | |||||||||||||||
2015 | 47 | ||||||||||||||||
2016 | 69 | ||||||||||||||||
2017 | 75 | ||||||||||||||||
2018 | 75 | ||||||||||||||||
2019 | 188 | ||||||||||||||||
Total | $ | 463 | |||||||||||||||
Schedule of Carrying Values and Estimated Fair Values of Outstanding Debt | ' | ||||||||||||||||
The carrying values and estimated fair values of our outstanding debt were as follows (in millions): | |||||||||||||||||
September 30, 2014 | December 31, 2013 | ||||||||||||||||
Carrying Value | Fair Value | Carrying Value | Fair Value | ||||||||||||||
Total debt | $ | 1,013 | $ | 1,000 | $ | 1,038 | $ | 1,018 | |||||||||
Equity_Tables
Equity (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Schedule of Quarterly Dividend Activity | ' | ||||||||||||||||
Quarterly dividend activity was as follows: | |||||||||||||||||
Quarter Ended | Record Date | Payment Date | Cash Distribution (per share) | Cash Distribution (in millions) | |||||||||||||
December 31, 2013 | December 31, 2013 | January 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
March 31, 2014 | March 31, 2014 | April 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
June 30, 2014 | June 30, 2014 | July 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
September 30, 2014 | September 30, 2014 | October 15, 2014 | $ | 0.0625 | $ | 4.7 | |||||||||||
Schedule of Foreign Currency Translation Adjustments | ' | ||||||||||||||||
Changes in foreign currency translation adjustments were as follows for the three and nine months ended September 30, 2014 and 2013 (in millions): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Balance at the beginning of the period | $ | 131 | $ | 138 | $ | 133 | $ | 170 | |||||||||
Other comprehensive (loss) income before reclassifications | (31 | ) | 11 | (33 | ) | (21 | ) | ||||||||||
Amounts reclassified from other comprehensive income | — | — | — | — | |||||||||||||
Net other comprehensive (loss) income | (31 | ) | 11 | (33 | ) | (21 | ) | ||||||||||
Balance at the end of the period | $ | 100 | $ | 149 | $ | 100 | $ | 149 | |||||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||||||
Schedule of Stock-Based Compensation Expense | ' | ||||||||||||||||
We recognized stock-based compensation expense as follows (in millions): | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Stock-based compensation expense | $ | 2 | $ | 1 | $ | 8 | $ | 3 | |||||||||
Schedule of Stock-Based Awards | ' | ||||||||||||||||
Our annual grant of stock-based awards occurred in the first half of 2014 and we did not have any additional significant stock-based compensation activity in the first nine months of 2014. The grants were as follows for the nine months ended September 30, 2014: | |||||||||||||||||
Number of Shares | Weighted-Avg | ||||||||||||||||
Grant-Date | |||||||||||||||||
Fair Value | |||||||||||||||||
Stock options | 367,525 | $ | 11.78 | ||||||||||||||
Restricted stock units | 138,366 | $ | 31.24 | ||||||||||||||
Restricted shares | 32,347 | $ | 31.22 | ||||||||||||||
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted | ' | ||||||||||||||||
Earnings per common share were computed as follows (in millions, except shares outstanding, common equivalent shares and per share amounts): | |||||||||||||||||
Three Months Ended September 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Restricted Shares and Units | Common Stock | Restricted Shares and Units | Common Stock | ||||||||||||||
Earnings per common share: | |||||||||||||||||
Net income attributable to stockholders | $ | 63 | $ | 42 | |||||||||||||
Less dividends declared: | |||||||||||||||||
Common stock | 5 | 5 | |||||||||||||||
Undistributed earnings | $ | 58 | $ | 37 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 315 | 75,442 | 201 | 75,397 | |||||||||||||
Earnings per common share | |||||||||||||||||
Distributed earnings | $ | 0.06 | $ | 0.06 | $ | 0.06 | $ | 0.06 | |||||||||
Undistributed earnings | 0.77 | 0.77 | 0.5 | 0.5 | |||||||||||||
Total earnings per common share | $ | 0.83 | $ | 0.83 | $ | 0.56 | $ | 0.56 | |||||||||
Earnings per common share - assuming dilution: | |||||||||||||||||
Net income attributable to stockholders | $ | 63 | $ | 42 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 75,442 | 75,397 | |||||||||||||||
Common equivalent shares: | |||||||||||||||||
Stock options (in thousands) | 40 | — | |||||||||||||||
Restricted stock (in thousands) | 84 | 35 | |||||||||||||||
Restricted stock units (in thousands) | 65 | — | |||||||||||||||
Weighted-average common shares outstanding - assuming dilution (in thousands) | 75,631 | 75,432 | |||||||||||||||
Earnings per common share - assuming dilution | $ | 0.83 | $ | 0.56 | |||||||||||||
Nine Months Ended September 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Restricted Shares and Units | Common Stock | Restricted Shares and Units | Common Stock | ||||||||||||||
Earnings per common share: | |||||||||||||||||
Net income attributable to stockholders | $ | 106 | $ | 105 | |||||||||||||
Less dividends declared: | |||||||||||||||||
Common stock | 14 | 5 | |||||||||||||||
Undistributed earnings | $ | 92 | $ | 100 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 297 | 75,421 | 111 | 75,397 | |||||||||||||
Earnings per common share | |||||||||||||||||
Distributed earnings | $ | 0.19 | $ | 0.19 | $ | 0.06 | $ | 0.06 | |||||||||
Undistributed earnings | 1.21 | 1.21 | 1.34 | 1.34 | |||||||||||||
Total earnings per common share | $ | 1.4 | $ | 1.4 | $ | 1.4 | $ | 1.4 | |||||||||
Earnings per common share - assuming dilution: | |||||||||||||||||
Net income attributable to stockholders | $ | 106 | $ | 105 | |||||||||||||
Weighted-average common shares outstanding (in thousands) | 75,421 | 75,397 | |||||||||||||||
Common equivalent shares: | |||||||||||||||||
Stock options (in thousands) | 24 | — | |||||||||||||||
Restricted stock (in thousands) | 85 | 19 | |||||||||||||||
Restricted stock units (in thousands) | 40 | — | |||||||||||||||
Weighted-average common shares outstanding - assuming dilution (in thousands) | 75,570 | 75,416 | |||||||||||||||
Earnings per common share - assuming dilution | $ | 1.4 | $ | 1.4 | |||||||||||||
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | ' | ||||||||||||||||
The table below presents securities that have been excluded from the computation of diluted earnings per share because they would have been anti-dilutive for the periods presented: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Weighted-average anti-dilutive options (in thousands) | 297 | 234 | 302 | 123 | |||||||||||||
Weighted-average anti-dilutive restricted shares (in thousands) | — | 1 | — | — | |||||||||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Schedule of Segment Reporting Information, by Segment | ' | ||||||||||||||||
The following table reflects activity related to our reportable segments (in millions): | |||||||||||||||||
U.S. | Canada | Corporate | Total | ||||||||||||||
Three months ended September 30, 2014: | |||||||||||||||||
Operating revenues from external customers | $ | 1,990 | $ | 1,231 | $ | — | $ | 3,221 | |||||||||
Gross profit | 237 | 103 | — | 340 | |||||||||||||
Depreciation, amortization and accretion expense | 22 | 9 | — | 31 | |||||||||||||
Operating income (loss) | 102 | 33 | (31 | ) | 104 | ||||||||||||
Total expenditures for long-lived assets | 88 | 16 | — | 104 | |||||||||||||
Three months ended September 30, 2013: | |||||||||||||||||
Operating revenues from external customers | $ | 2,013 | $ | 1,303 | $ | — | $ | 3,316 | |||||||||
Gross profit | 192 | 99 | — | 291 | |||||||||||||
Depreciation, amortization and accretion expense | 21 | 9 | — | 30 | |||||||||||||
Operating income (loss) | 61 | 29 | (21 | ) | 69 | ||||||||||||
Total expenditures for long-lived assets | 37 | 10 | — | 47 | |||||||||||||
Nine months ended September 30, 2014: | |||||||||||||||||
Operating revenues from external customers | $ | 5,818 | $ | 3,665 | $ | — | $ | 9,483 | |||||||||
Gross profit | 570 | 295 | — | 865 | |||||||||||||
Depreciation, amortization and accretion expense | 65 | 27 | — | 92 | |||||||||||||
Operating income (loss) | 180 | 89 | (83 | ) | 186 | ||||||||||||
Total expenditures for long-lived assets | 164 | 28 | — | 192 | |||||||||||||
Nine months ended September 30, 2013: | |||||||||||||||||
Operating revenues from external customers | $ | 5,948 | $ | 3,767 | $ | — | $ | 9,715 | |||||||||
Gross profit | 519 | 296 | — | 815 | |||||||||||||
Depreciation, amortization and accretion expense | 63 | 27 | — | 90 | |||||||||||||
Operating income (loss) | 147 | 87 | (56 | ) | 178 | ||||||||||||
Total expenditures for long-lived assets | 115 | 22 | — | 137 | |||||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||
Fair Value Measurements, Nonrecurring | ' | ||||||||||||||
The following table displays valuation techniques for our nonfinancial assets measured at fair value on a nonrecurring basis as of September 30, 2014 and 2013 (in millions): | |||||||||||||||
Valuation Techniques | Fair Value | Net Book Value | Impairment | ||||||||||||
Level 2 assets as of September 30, 2014: | |||||||||||||||
Property and equipment (assets held for sale) | Net sales proceeds | $ | 1 | $ | 3 | $ | 2 | ||||||||
Level 3 assets as of September 30, 2013: | |||||||||||||||
Property and equipment | Income approach | $ | 1 | $ | 3 | $ | 2 | ||||||||
Supplemental_Cash_Flow_Informa1
Supplemental Cash Flow Information (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Supplemental Cash Flow Information [Abstract] | ' | ||||||||
Schedule of Changes in Working Capital | ' | ||||||||
In order to determine net cash provided by operating activities, net income is adjusted by, among other things, changes in working capital as follows (in millions): | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
Decrease (increase): | |||||||||
Receivables, net | $ | 2 | $ | (61 | ) | ||||
Inventories | 12 | 1 | |||||||
Prepaid expenses and other | (2 | ) | (4 | ) | |||||
Increase (decrease): | |||||||||
Accounts payable | 10 | 1 | |||||||
Accounts payable to Valero | 24 | 299 | |||||||
Accrued expenses | 24 | 15 | |||||||
Taxes other than income taxes | (4 | ) | (61 | ) | |||||
Income taxes payable | 30 | 7 | |||||||
Change in working capital | $ | 96 | $ | 197 | |||||
Summary of Cash Flows Related To Interest and Taxes | ' | ||||||||
Interest and income tax payments were as follows (in millions): | |||||||||
Nine Months Ended | |||||||||
September 30, | |||||||||
2014 | 2013 | ||||||||
Interest paid, in excess of amount capitalized | $ | 22 | $ | 5 | |||||
Income taxes paid | 36 | 13 | |||||||
Guarantor_Subsidiaries_Tables
Guarantor Subsidiaries (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | |||||||||||||||||||
Condensed Consolidating Balance Sheets | ' | |||||||||||||||||||
CONSOLIDATING BALANCE SHEETS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
30-Sep-14 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash | $ | — | $ | 204 | $ | 223 | $ | — | $ | 427 | ||||||||||
Receivables, net | 2 | 60 | 84 | — | 146 | |||||||||||||||
Inventories | — | 130 | 72 | — | 202 | |||||||||||||||
Deferred income taxes | — | 10 | — | — | 10 | |||||||||||||||
Prepaid expenses and other | — | 9 | 6 | — | 15 | |||||||||||||||
Assets held for sale, net | — | 39 | — | — | 39 | |||||||||||||||
Total current assets | 2 | 452 | 385 | — | 839 | |||||||||||||||
Property and equipment, at cost | 2 | 1,560 | 516 | — | 2,078 | |||||||||||||||
Accumulated depreciation | — | (510 | ) | (172 | ) | — | (682 | ) | ||||||||||||
Property and equipment, net | 2 | 1,050 | 344 | — | 1,396 | |||||||||||||||
Goodwill and intangible assets, net | — | 21 | 22 | — | 43 | |||||||||||||||
Investment in subsidiaries | 1,824 | — | — | (1,824 | ) | — | ||||||||||||||
Deferred income taxes | — | — | 83 | — | 83 | |||||||||||||||
Other assets, net | 31 | 27 | 5 | — | 63 | |||||||||||||||
Total assets | $ | 1,859 | $ | 1,550 | $ | 839 | $ | (1,824 | ) | $ | 2,424 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current portion of debt and capital lease obligations | $ | 44 | $ | 1 | $ | — | $ | — | $ | 45 | ||||||||||
Accounts payable | — | 63 | 44 | — | 107 | |||||||||||||||
Accounts (receivable) payable to Valero | (1 | ) | 164 | 114 | — | 277 | ||||||||||||||
Accrued expenses | 12 | 39 | 18 | — | 69 | |||||||||||||||
Taxes other than income taxes | — | 20 | (8 | ) | — | 12 | ||||||||||||||
Income taxes payable | — | 26 | 12 | — | 38 | |||||||||||||||
Asset retirement obligations related to assets held for sale | — | 6 | — | — | 6 | |||||||||||||||
Dividends payable | 5 | — | — | — | 5 | |||||||||||||||
Total current liabilities | 60 | 319 | 180 | — | 559 | |||||||||||||||
Debt and capital lease obligations, less current portion | 969 | 6 | 1 | — | 976 | |||||||||||||||
Deferred income taxes | — | 79 | — | — | 79 | |||||||||||||||
Intercompany payables (receivables) | 120 | (121 | ) | 1 | — | — | ||||||||||||||
Asset retirement obligations | — | 58 | 18 | — | 76 | |||||||||||||||
Other long-term liabilities | 15 | 9 | 15 | — | 39 | |||||||||||||||
Total liabilities | 1,164 | 350 | 215 | — | 1,729 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 1 | — | — | — | 1 | |||||||||||||||
APIC | 415 | 1,037 | 523 | (1,560 | ) | 415 | ||||||||||||||
Retained earnings | 179 | 163 | 101 | (264 | ) | 179 | ||||||||||||||
AOCI | 100 | — | — | — | 100 | |||||||||||||||
Total stockholders’ equity | 695 | 1,200 | 624 | (1,824 | ) | 695 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,859 | $ | 1,550 | $ | 839 | $ | (1,824 | ) | $ | 2,424 | |||||||||
CONSOLIDATING BALANCE SHEETS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
31-Dec-13 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
ASSETS | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash | $ | — | $ | 231 | $ | 147 | $ | — | $ | 378 | ||||||||||
Receivables, net | — | 56 | 97 | — | 153 | |||||||||||||||
Inventories | — | 139 | 78 | — | 217 | |||||||||||||||
Deferred income taxes | — | 6 | 1 | — | 7 | |||||||||||||||
Prepaid expenses and other | — | 5 | 6 | — | 11 | |||||||||||||||
Total current assets | — | 437 | 329 | — | 766 | |||||||||||||||
Property and equipment, at cost | — | 1,477 | 504 | — | 1,981 | |||||||||||||||
Accumulated depreciation | — | (494 | ) | (161 | ) | — | (655 | ) | ||||||||||||
Property and equipment, net | — | 983 | 343 | — | 1,326 | |||||||||||||||
Goodwill and intangible assets, net | — | 20 | 29 | — | 49 | |||||||||||||||
Investments in subsidiaries | 1,714 | — | — | (1,714 | ) | — | ||||||||||||||
Deferred income taxes | — | — | 93 | — | 93 | |||||||||||||||
Other assets, net | 32 | 32 | 5 | — | 69 | |||||||||||||||
Total assets | $ | 1,746 | $ | 1,472 | $ | 799 | $ | (1,714 | ) | $ | 2,303 | |||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Current portion of debt and capital lease obligations | $ | 35 | $ | 1 | $ | — | $ | — | $ | 36 | ||||||||||
Accounts payable | — | 52 | 47 | — | 99 | |||||||||||||||
Accounts (receivable) payable to Valero | (1 | ) | 158 | 96 | — | 253 | ||||||||||||||
Accrued expenses | 4 | 23 | 16 | — | 43 | |||||||||||||||
Taxes other than income taxes | — | 16 | 1 | — | 17 | |||||||||||||||
Income taxes payable | — | 1 | 9 | — | 10 | |||||||||||||||
Dividends payable | 5 | — | — | — | 5 | |||||||||||||||
Total current liabilities | 43 | 251 | 169 | — | 463 | |||||||||||||||
Debt and capital lease obligations, less current portion | 1,003 | 3 | — | — | 1,006 | |||||||||||||||
Deferred income taxes | — | 94 | — | — | 94 | |||||||||||||||
Intercompany payables (receivables) | 58 | (58 | ) | — | — | — | ||||||||||||||
Asset retirement obligations | — | 61 | 18 | — | 79 | |||||||||||||||
Other long-term liabilities | 15 | 7 | 12 | — | 34 | |||||||||||||||
Total liabilities | 1,119 | 358 | 199 | — | 1,676 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Stockholders’ equity: | ||||||||||||||||||||
Common stock | 1 | — | — | — | 1 | |||||||||||||||
APIC | 406 | 1,037 | 551 | (1,588 | ) | 406 | ||||||||||||||
Retained Earnings | 87 | 77 | 49 | (126 | ) | 87 | ||||||||||||||
AOCI | 133 | — | — | — | 133 | |||||||||||||||
Total stockholders’ equity | 627 | 1,114 | 600 | (1,714 | ) | 627 | ||||||||||||||
Total liabilities and stockholders’ equity | $ | 1,746 | $ | 1,472 | $ | 799 | $ | (1,714 | ) | $ | 2,303 | |||||||||
Condensed Consolidating and Combining Statements of Income and Comprehensive Income | ' | |||||||||||||||||||
CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Three Months Ended September 30, 2014 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Operating revenues | $ | — | $ | 1,990 | $ | 1,231 | $ | — | $ | 3,221 | ||||||||||
Cost of sales | — | 1,753 | 1,128 | — | 2,881 | |||||||||||||||
Gross profit | — | 237 | 103 | — | 340 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 111 | 61 | — | 172 | |||||||||||||||
General and administrative expenses | 2 | 24 | 5 | — | 31 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 22 | 9 | — | 31 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 2 | 159 | 75 | — | 236 | |||||||||||||||
Operating (loss) income | (2 | ) | 78 | 28 | — | 104 | ||||||||||||||
Other income, net | — | 1 | 1 | — | 2 | |||||||||||||||
Interest expense | (10 | ) | — | — | — | (10 | ) | |||||||||||||
Equity in earnings of subsidiaries | 75 | — | — | (75 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 63 | 79 | 29 | (75 | ) | 96 | ||||||||||||||
Income tax expense | — | 25 | 8 | — | 33 | |||||||||||||||
Net income (loss) | 63 | 54 | 21 | (75 | ) | 63 | ||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | (31 | ) | — | — | — | (31 | ) | |||||||||||||
Comprehensive income (loss) | $ | 32 | $ | 54 | $ | 21 | $ | (75 | ) | $ | 32 | |||||||||
CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Three Months Ended September 30, 2013 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Operating revenues | $ | — | $ | 2,013 | $ | 1,303 | $ | — | $ | 3,316 | ||||||||||
Cost of sales | — | 1,821 | 1,204 | — | 3,025 | |||||||||||||||
Gross profit | — | 192 | 99 | — | 291 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 108 | 61 | — | 169 | |||||||||||||||
General and administrative expenses | 1 | 15 | 5 | — | 21 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 21 | 9 | — | 30 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 1 | 146 | 75 | — | 222 | |||||||||||||||
Operating (loss) income | (1 | ) | 46 | 24 | — | 69 | ||||||||||||||
Other income, net | — | — | 1 | — | 1 | |||||||||||||||
Interest expense | (10 | ) | — | — | — | (10 | ) | |||||||||||||
Equity in earnings of subsidiaries | 53 | — | — | (53 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 42 | 46 | 25 | (53 | ) | 60 | ||||||||||||||
Income tax expense | — | 13 | 5 | — | 18 | |||||||||||||||
Net income (loss) | 42 | 33 | 20 | (53 | ) | 42 | ||||||||||||||
Other comprehensive income, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | 11 | — | — | — | 11 | |||||||||||||||
Comprehensive income (loss) | $ | 53 | $ | 33 | $ | 20 | $ | (53 | ) | $ | 53 | |||||||||
CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2014 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Operating revenues | $ | — | $ | 5,818 | $ | 3,665 | $ | — | $ | 9,483 | ||||||||||
Cost of sales | — | 5,248 | 3,370 | — | 8,618 | |||||||||||||||
Gross profit | — | 570 | 295 | — | 865 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 323 | 179 | — | 502 | |||||||||||||||
General and administrative expenses | 6 | 62 | 15 | — | 83 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 65 | 27 | — | 92 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 6 | 452 | 221 | — | 679 | |||||||||||||||
Operating (loss) income | (6 | ) | 118 | 74 | — | 186 | ||||||||||||||
Other income, net | — | 1 | 3 | — | 4 | |||||||||||||||
Interest expense | (30 | ) | — | — | — | (30 | ) | |||||||||||||
Equity in earnings of subsidiaries | 142 | — | — | (142 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 106 | 119 | 77 | (142 | ) | 160 | ||||||||||||||
Income tax expense | — | 33 | 21 | — | 54 | |||||||||||||||
Net income (loss) | 106 | 86 | 56 | (142 | ) | 106 | ||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | (33 | ) | — | — | — | (33 | ) | |||||||||||||
Comprehensive income (loss) | $ | 73 | $ | 86 | $ | 56 | $ | (142 | ) | $ | 73 | |||||||||
CONSOLIDATING AND COMBINING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2013 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated and Combined | ||||||||||||||||
Operating revenues | $ | — | $ | 5,948 | $ | 3,767 | $ | — | $ | 9,715 | ||||||||||
Cost of sales | — | 5,429 | 3,471 | — | 8,900 | |||||||||||||||
Gross profit | — | 519 | 296 | — | 815 | |||||||||||||||
Operating expenses: | ||||||||||||||||||||
Operating expenses | — | 307 | 182 | — | 489 | |||||||||||||||
General and administrative expenses | 2 | 42 | 12 | — | 56 | |||||||||||||||
Depreciation, amortization and accretion expense | — | 63 | 27 | — | 90 | |||||||||||||||
Asset impairments | — | 2 | — | — | 2 | |||||||||||||||
Total operating expenses | 2 | 414 | 221 | — | 637 | |||||||||||||||
Operating (loss) income | (2 | ) | 105 | 75 | — | 178 | ||||||||||||||
Other income, net | — | — | 3 | — | 3 | |||||||||||||||
Interest expense | (17 | ) | — | — | — | (17 | ) | |||||||||||||
Equity in earnings of subsidiaries | 81 | — | — | (81 | ) | — | ||||||||||||||
Income (loss) before income tax expense | 62 | 105 | 78 | (81 | ) | 164 | ||||||||||||||
Income tax expense | — | 38 | 21 | — | 59 | |||||||||||||||
Net income (loss) | 62 | 67 | 57 | (81 | ) | 105 | ||||||||||||||
Other comprehensive loss, net of tax: | ||||||||||||||||||||
Foreign currency translation adjustment | (21 | ) | — | — | — | (21 | ) | |||||||||||||
Comprehensive income (loss) | $ | 41 | $ | 67 | $ | 57 | $ | (81 | ) | $ | 84 | |||||||||
Condensed Consolidating and Combining Statements of Cash Flows | ' | |||||||||||||||||||
CONSOLIDATING STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2014 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (28 | ) | $ | 208 | $ | 113 | $ | — | $ | 293 | |||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | — | (164 | ) | (28 | ) | — | (192 | ) | ||||||||||||
Acquisitions | (2 | ) | — | (7 | ) | — | (9 | ) | ||||||||||||
Proceeds from dispositions of property and equipment | — | 2 | — | — | 2 | |||||||||||||||
Other investing activities, net | — | (1 | ) | 2 | — | 1 | ||||||||||||||
Net cash used in investing activities | (2 | ) | (163 | ) | (33 | ) | — | (198 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Payments of long-term debt | (25 | ) | — | — | — | (25 | ) | |||||||||||||
Debt issuance and credit facility origination costs | (2 | ) | — | — | — | (2 | ) | |||||||||||||
Payments of capital lease obligations | — | (1 | ) | — | — | (1 | ) | |||||||||||||
Dividends paid | (14 | ) | — | — | — | (14 | ) | |||||||||||||
Intercompany funding | 71 | (71 | ) | — | — | — | ||||||||||||||
Net cash provided by (used in) financing activities | 30 | (72 | ) | — | — | (42 | ) | |||||||||||||
Effect of foreign exchange rate changes on cash | — | — | (4 | ) | — | (4 | ) | |||||||||||||
Net (decrease) increase in cash | — | (27 | ) | 76 | — | 49 | ||||||||||||||
Cash at beginning of period | — | 231 | 147 | — | 378 | |||||||||||||||
Cash at end of period | $ | — | $ | 204 | $ | 223 | $ | — | $ | 427 | ||||||||||
CONSOLIDATING AND COMBINING STATEMENTS OF CASH FLOWS | ||||||||||||||||||||
(Millions of Dollars) | ||||||||||||||||||||
(Unaudited) | ||||||||||||||||||||
Nine Months Ended September 30, 2013 | ||||||||||||||||||||
Parent Company | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Eliminations | Consolidated and Combined | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash (used in) provided by operating activities | $ | (4 | ) | $ | 289 | $ | 125 | $ | — | $ | 410 | |||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | — | (115 | ) | (22 | ) | — | (137 | ) | ||||||||||||
Acquisitions | — | — | (6 | ) | — | (6 | ) | |||||||||||||
Proceeds from dispositions of property and equipment | — | — | 1 | — | 1 | |||||||||||||||
Other investing activities, net | — | — | — | — | — | |||||||||||||||
Net cash used in investing activities | — | (115 | ) | (27 | ) | — | (142 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Proceeds from issuance of long-term debt | 500 | — | — | — | 500 | |||||||||||||||
Payments of long-term debt | (6 | ) | — | — | — | (6 | ) | |||||||||||||
Debt issuance and credit facility origination costs | (19 | ) | — | — | — | (19 | ) | |||||||||||||
Payments of capital lease obligations | — | (1 | ) | — | — | (1 | ) | |||||||||||||
Net transfers (to) from Valero | (500 | ) | 73 | 49 | — | (378 | ) | |||||||||||||
Intercompany funding | 29 | (29 | ) | — | — | — | ||||||||||||||
Net cash provided by financing activities | 4 | 43 | 49 | — | 96 | |||||||||||||||
Effect of foreign exchange rate changes on cash | — | — | (1 | ) | — | (1 | ) | |||||||||||||
Net increase in cash | — | 217 | 146 | — | 363 | |||||||||||||||
Cash at beginning of year | — | 44 | 17 | — | 61 | |||||||||||||||
Cash at end of period | $ | — | $ | 261 | $ | 163 | $ | — | $ | 424 | ||||||||||
Description_of_Business_Basis_2
Description of Business, Basis of Presentation and Other Items Affecting our Business - Narrative (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
segments | ||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ' | ' | ' |
Number of reportable segments | ' | ' | 2 | ' |
Expense allocation for certain corporate functions historically performed by Valero | ' | ' | $26 | ' |
Effective income tax rate, percent | 35.00% | 30.00% | 34.00% | 36.00% |
Federal statutory income tax rate, percent | ' | ' | 35.00% | ' |
Effective income tax rate adjustment for Canada discrete items | ' | 1.1 | ' | ' |
Loss of certain state tax credits | ' | ' | ' | $7 |
Description_of_Business_Basis_3
Description of Business, Basis of Presentation and Other Items Affecting our Business - Concentration Risk - Narrative (Details) (Supplier Concentration Risk, USD $) | 3 Months Ended | 9 Months Ended | ||
In Billions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Supplier Concentration Risk | ' | ' | ' | ' |
Concentration Risk | ' | ' | ' | ' |
Cost of sales for motor fuel purchases for resale from Valero- significant vendor | $2.50 | ' | $7.50 | ' |
Cost of sales for motor fuel purchases for resale from Valero- related party | ' | $2.70 | ' | $8 |
Description_of_Business_Basis_4
Description of Business, Basis of Presentation and Other Items Affecting our Business - Purchase of Distribution Warehouse and Office Facilities - Narrative (Details) (USD $) | 0 Months Ended |
In Millions, unless otherwise specified | Jul. 31, 2014 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Payments to acquire distribution warehouse and office facilities | $43 |
Description_of_Business_Basis_5
Description of Business, Basis of Presentation and Other Items Affecting our Business - Subsequent Events - Narrative (Details) (USD $) | 0 Months Ended | 0 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Oct. 01, 2014 | Oct. 01, 2014 | Nov. 03, 2014 | Nov. 03, 2014 |
Completion of Purchase of the General Partner and Incentive Distribution Rights in Lehigh Gas Partners LP | Completion of Purchase of the General Partner and Incentive Distribution Rights in Lehigh Gas Partners LP | Acquisition of Property of Nice N Easy | Acquisition of Property of Nice N Easy | |
Subsequent Events | ' | ' | ' | ' |
Subsequent event description | 'Completion of Purchase of the General Partner and Incentive Distribution Rights in Lehigh Gas Partners LP | ' | 'Acquisition of Property of Nice N Easy | ' |
Subsequent event date | 1-Oct-14 | ' | 3-Nov-14 | ' |
Percentage of Lehigh Gas Corporation to be acquired | ' | 100.00% | ' | ' |
Cash consideration to be paid for acquisition | $17 | ' | $65 | ' |
Common stock consideration to be issued for acquisition of Lehigh Gas Corporation, shares (in millions) | 2,040,000 | ' | ' | ' |
Fee sites purchased by CrossAmerica | ' | ' | ' | 23 |
Company operated sites retail operations purchased by CST | ' | ' | ' | 32 |
Assets_Held_for_Sale_Narrative
Assets Held for Sale - Narrative (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 |
In Millions, unless otherwise specified | Retail Site | Asset retirement obligation liabilities | ||
U.S. | U.S. | |||
Number of stores held for sale | ' | ' | 93 | ' |
Asset retirement obligations related to assets held for sale | $6 | $0 | ' | $6 |
Write down of assets held for sale | ' | ' | $2 | ' |
Assets_Held_for_Sale_Details
Assets Held for Sale (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Long Lived Assets Held-for-sale | ' | ' |
Assets held for sale | $39 | $0 |
U.S. | ' | ' |
Long Lived Assets Held-for-sale | ' | ' |
Assets held for sale, property and equipment, at cost | 70 | ' |
Assets held for sale, property and equipment, accumulated depreciation | -31 | ' |
Assets held for sale | 39 | ' |
U.S. | Land | ' | ' |
Long Lived Assets Held-for-sale | ' | ' |
Assets held for sale, property and equipment, at cost | 20 | ' |
U.S. | Retail Site Buildings | ' | ' |
Long Lived Assets Held-for-sale | ' | ' |
Assets held for sale, property and equipment, at cost | 12 | ' |
U.S. | Equipment | ' | ' |
Long Lived Assets Held-for-sale | ' | ' |
Assets held for sale, property and equipment, at cost | 23 | ' |
U.S. | Leasehold Improvements | ' | ' |
Long Lived Assets Held-for-sale | ' | ' |
Assets held for sale, property and equipment, at cost | 5 | ' |
U.S. | Other | ' | ' |
Long Lived Assets Held-for-sale | ' | ' |
Assets held for sale, property and equipment, at cost | $10 | ' |
Asset_Impairments_Narrative_De
Asset Impairments - Narrative (Details) (Retail Site, U.S., USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 |
Retail Site | U.S. | ' | ' |
Impairment of Certain Retail Sites | ' | ' |
Asset impairments | $2 | $2 |
Inventories_Narrative_Details
Inventories - Narrative (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Excess of replacement or current costs over stated LIFO value | $22 | $24 |
Inventories_Details
Inventories (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventories | ' | ' |
Convenience store merchandise | $114 | $116 |
Motor fuel | 88 | 101 |
Inventories | $202 | $217 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Narrative (Details) | 9 Months Ended |
Sep. 30, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ' |
Finite-lived intangible assets, useful life | '15 years |
Goodwill_and_Intangible_Assets3
Goodwill and Intangible Assets - (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Gross carrying amount - goodwill | $18 | $18 |
Gross carrying amount - intangible assets | 114 | 119 |
Gross carrying amount - total | 132 | 137 |
Accumulated amortization - intangible assets | ($89) | ($88) |
Debt_Amendment_to_Credit_Agree
Debt - Amendment to Credit Agreement - Narrative (Details) (Second Amendment to Credit Agreement, USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Second Amendment to Credit Agreement | ' |
Line of Credit Facility | ' |
Debt issuance costs capitalized | $2 |
Term loan maturity date | 30-Sep-19 |
Debt_Credit_Facilities_Narrati
Debt - Credit Facilities - Narrative (Details) | 9 Months Ended |
Sep. 30, 2014 | |
Term Loan due 2019 | ' |
Line of Credit Facility | ' |
Term loan, interest rate | 2.16% |
Term loan, margin on LIBOR | 2.00% |
Term Loan due 2019 | London Interbank Offered Rate (LIBOR) | ' |
Line of Credit Facility | ' |
Description of variable rate basis | 'LIBOR |
Revolving Credit Facility | ' |
Line of Credit Facility | ' |
Maximum lease adjusted leverage ratio | 3.75 |
Minimum fixed charge ratio | 1.3 |
Consolidated lease adjusted leverage ratio | 2.64 |
Consolidated fixed charge coverage ratio | 2.74 |
Debt_Schedule_of_Longterm_Debt
Debt - Schedule of Long-term Debt Instruments (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Debt Instrument | ' | ' |
Capital leases | $8 | $4 |
Total debt and capital lease obligations outstanding | 1,021 | 1,042 |
Less current portion | 45 | 36 |
Debt and capital lease obligations, less current portion | 976 | 1,006 |
5.00% Senior Notes Due 2023 | ' | ' |
Debt Instrument | ' | ' |
Long-term debt | 550 | 550 |
Term Loan due 2019 | ' | ' |
Debt Instrument | ' | ' |
Long-term debt | $463 | $488 |
Debt_Schedule_of_Availability_
Debt - Schedule of Availability Under Revolving Credit Facility (Details) (Revolving Credit Facility, USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Revolving Credit Facility | ' | ' |
Line of Credit Facility | ' | ' |
Total available credit facility limit | $300 | $300 |
Letters of credit outstanding | -3 | -3 |
Maximum leverage ratio constraint | 0 | -84 |
Total available and undrawn | $297 | $213 |
Debt_Schedule_of_Principal_Rep
Debt - Schedule of Principal Repayments (Details) (Term Loan due 2019, USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Term Loan due 2019 | ' | ' |
Debt Instrument | ' | ' |
2014 (remainder) | $9 | ' |
2015 | 47 | ' |
2016 | 69 | ' |
2017 | 75 | ' |
2018 | 75 | ' |
2019 | 188 | ' |
Total | $463 | $488 |
Debt_Schedule_of_Carrying_Valu
Debt - Schedule of Carrying Values and Estimated Fair Values of Debt (Details) (Revolving Credit Facility, USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Carrying value of debt | $1,013 | $1,038 |
Level 1 | ' | ' |
Fair value of debt | $1,000 | $1,018 |
Transition_Services_Agreements1
Transition Services Agreements with Valero (Details) (Valero Energy Corporation, USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 |
Valero Energy Corporation | ' | ' |
IT transition services fee | $1 | $2 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Narrative (Details) (Pending Litigation, State of Colorado Litigation, USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Pending Litigation | State of Colorado Litigation | ' |
Loss Contingencies | ' |
Lawsuit filing date | 'October 30, 2013 |
Name of defendant | 'State of Colorado |
Damages sought, value | $15 |
Equity_Narrative_Details
Equity - Narrative (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Oct. 01, 2014 |
In Millions, except Share data, unless otherwise specified | Stock Repurchase Program Approved August 5, 2014 | Subsequent Event | ||
Common Stock | ||||
Common Shares and Stock Repurchase Plan | ' | ' | ' | ' |
Common stock, shares authorized | 250,000,000 | 250,000,000 | ' | ' |
Common stock, par value per share authorized | $0.01 | $0.01 | ' | ' |
Common stock, shares issued | 75,452,983 | 75,397,241 | ' | ' |
Common stock consideration to be issued for acquisition of Lehigh Gas Corporation, shares (in millions) | ' | ' | ' | 2,044,490 |
Stock repurchase program, authorized maximum amount | ' | ' | $200 | ' |
Equity_Dividends_Details
Equity - Dividends (Details) (USD $) | 3 Months Ended | |||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 |
Dividends declared, record date | 30-Sep-14 | 30-Jun-14 | 31-Mar-14 | 31-Dec-13 |
Dividends declared, payment date | 15-Oct-14 | 15-Jul-14 | 15-Apr-14 | 15-Jan-14 |
Dividends declared, cash distribution (per share) | $0.06 | $0.06 | $0.06 | $0.06 |
Dividends declared, cash distribution (in millions) | $4.70 | $4.70 | $4.70 | $4.70 |
Equity_Foreign_Currency_Transl
Equity - Foreign Currency Translation Adjustment (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Accumulated Other Comprehensive (Loss) Income | ' | ' | ' | ' |
Balance at the beginning of the period | $131 | $138 | $133 | $170 |
Other comprehensive (loss) income before reclassifications | -31 | 11 | -33 | -21 |
Amounts reclassified from other comprehensive income | 0 | 0 | 0 | 0 |
Other comprehensive (loss) income | -31 | 11 | -33 | -21 |
Balance at the end of the period | $100 | $149 | $100 | $149 |
StockBased_Compensation_StockB
Stock-Based Compensation - Stock-Based Compensation Expense (Details) (Stock Options and Restricted Shares, USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Stock Options and Restricted Shares | ' | ' | ' | ' |
Stock-based compensation | ' | ' | ' | ' |
Stock-based compensation expense | $2 | $1 | $8 | $3 |
StockBased_Compensation_Annual
Stock-Based Compensation - Annual Grants of Stock-Based Awards (Details) (USD $) | 9 Months Ended |
Sep. 30, 2014 | |
Stock Options | ' |
Stock-based compensation | ' |
Stock options granted to certain non-officer employees, shares | 367,525 |
Stock options granted to certain non-officer employees, weighted-average grant date fair value | $11.78 |
Restricted Stock Units (RSUs) | ' |
Stock-based compensation | ' |
Restricted stock units and shares granted to certain non-officer employees, shares | 138,366 |
Restricted stock units and shares granted to certain non-officer employees, weighted-average grant date fair value | $31.24 |
Restricted Shares | ' |
Stock-based compensation | ' |
Restricted stock units and shares granted to certain non-officer employees, shares | 32,347 |
Restricted stock units and shares granted to certain non-officer employees, weighted-average grant date fair value | $31.22 |
Earnings_Per_Common_Share_Narr
Earnings Per Common Share - Narrative (Details) | 1-May-13 |
Earnings Per Share [Abstract] | ' |
Common stock, shares outstanding | 75,397,241 |
Earnings_Per_Common_Share_Basi
Earnings Per Common Share - Basic (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Share data in Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Earnings Per Share, Basic | ' | ' | ' | ' |
Weighted-average common shares outstanding (in thousands) | 75,442 | 75,397 | 75,421 | 75,397 |
Total earnings per common share | $0.83 | $0.56 | $1.40 | $1.40 |
Common Stock | ' | ' | ' | ' |
Earnings Per Share, Basic | ' | ' | ' | ' |
Net income attributable to stockholders | $63 | $42 | $106 | $105 |
Less dividends declared: Common stock | 5 | 5 | 14 | 5 |
Undistributed earnings | $58 | $37 | $92 | $100 |
Weighted-average common shares outstanding (in thousands) | 75,442 | 75,397 | 75,421 | 75,397 |
Distributed earnings | $0.06 | $0.06 | $0.19 | $0.06 |
Undistributed earnings | $0.77 | $0.50 | $1.21 | $1.34 |
Total earnings per common share | $0.83 | $0.56 | $1.40 | $1.40 |
Restricted Shares and Units | ' | ' | ' | ' |
Earnings Per Share, Basic | ' | ' | ' | ' |
Weighted-average common shares outstanding (in thousands) | 315 | 201 | 297 | 111 |
Distributed earnings | $0.06 | $0.06 | $0.19 | $0.06 |
Undistributed earnings | $0.77 | $0.50 | $1.21 | $1.34 |
Total earnings per common share | $0.83 | $0.56 | $1.40 | $1.40 |
Earnings_Per_Common_Share_Assu
Earnings Per Common Share - Assuming Dilution (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Share data in Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Earnings Per Common Share - Assuming Dilution | ' | ' | ' | ' |
Weighted-average common shares outstanding (in thousands) | 75,442 | 75,397 | 75,421 | 75,397 |
Common equivalent shares: | ' | ' | ' | ' |
Weighted-average common shares outstanding - assuming dilution (in thousands) | 75,631 | 75,432 | 75,570 | 75,416 |
Earnings per common share - assuming dilution | $0.83 | $0.56 | $1.40 | $1.40 |
Common Stock | ' | ' | ' | ' |
Earnings Per Common Share - Assuming Dilution | ' | ' | ' | ' |
Net income attributable to stockholders | $63 | $42 | $106 | $105 |
Weighted-average common shares outstanding (in thousands) | 75,442 | 75,397 | 75,421 | 75,397 |
Common equivalent shares: | ' | ' | ' | ' |
Stock options (in thousands) | 40 | 0 | 24 | 0 |
Restricted stock (in thousands) | 84 | 35 | 85 | 19 |
Restricted stock units (in thousands) | 65 | 0 | 40 | 0 |
Weighted-average common shares outstanding - assuming dilution (in thousands) | 75,631 | 75,432 | 75,570 | 75,416 |
Earnings per common share - assuming dilution | $0.83 | $0.56 | $1.40 | $1.40 |
Earnings_Per_Common_Share_Anti
Earnings Per Common Share - Anti-Dilutive Securities (Details) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Stock Options | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share | ' | ' | ' | ' |
Weighted-average anti-dilutive shares (in thousands) | 297 | 234 | 302 | 123 |
Restricted Shares | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share | ' | ' | ' | ' |
Weighted-average anti-dilutive shares (in thousands) | 0 | 1 | 0 | 0 |
Segment_Information_Narrative_
Segment Information - Narrative (Details) | 9 Months Ended |
Sep. 30, 2014 | |
segments | |
Segment Reporting [Abstract] | ' |
Number of reportable segments | 2 |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Reporting Information | ' | ' | ' | ' |
Operating revenues | $3,221 | $3,316 | $9,483 | $9,715 |
Gross profit | 340 | 291 | 865 | 815 |
Depreciation, amortization and accretion expense | 31 | 30 | 92 | 90 |
Operating income (loss) | 104 | 69 | 186 | 178 |
Total expenditures for long-lived assets | 104 | 47 | 192 | 137 |
U.S. | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Operating revenues | 1,990 | 2,013 | 5,818 | 5,948 |
Gross profit | 237 | 192 | 570 | 519 |
Depreciation, amortization and accretion expense | 22 | 21 | 65 | 63 |
Operating income (loss) | 102 | 61 | 180 | 147 |
Total expenditures for long-lived assets | 88 | 37 | 164 | 115 |
Canada | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Operating revenues | 1,231 | 1,303 | 3,665 | 3,767 |
Gross profit | 103 | 99 | 295 | 296 |
Depreciation, amortization and accretion expense | 9 | 9 | 27 | 27 |
Operating income (loss) | 33 | 29 | 89 | 87 |
Total expenditures for long-lived assets | 16 | 10 | 28 | 22 |
Corporate | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Operating revenues | 0 | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 | 0 |
Depreciation, amortization and accretion expense | 0 | 0 | 0 | 0 |
Operating income (loss) | -31 | -21 | -83 | -56 |
Total expenditures for long-lived assets | $0 | $0 | $0 | $0 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | U.S. | Net Sales Proceeds Technique | Income Approach Valuation Technique | ||
U.S. | U.S. | ||||
Fair Value, Measurements, Nonrecurring | Fair Value, Measurements, Nonrecurring | ||||
Level 2 | Level 3 | ||||
Fair Value of Nonfinancial Assets | ' | ' | ' | ' | ' |
Valuation techniques | ' | ' | ' | 'Net sales proceeds | 'Income approach |
Fair value, property and equipment (assets held for sale) | ' | ' | ' | $1 | ' |
Net book value, property and equipment (assets held for sale) | ' | ' | 70 | 3 | ' |
Write down of assets held for sale | ' | ' | ' | 2 | ' |
Fair value, property and equipment | ' | ' | ' | ' | 1 |
Net book value, property and equipment | 1,396 | 1,326 | ' | ' | 3 |
Asset impairments | ' | ' | ' | ' | $2 |
Supplemental_Cash_Flow_Informa2
Supplemental Cash Flow Information - Changes in Current Assets and Current Liabilities (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Decrease (increase): | ' | ' |
Receivables, net | $2 | ($61) |
Inventories | 12 | 1 |
Prepaid expenses and other | -2 | -4 |
Increase (decrease): | ' | ' |
Accounts payable | 10 | 1 |
Accounts payable to Valero | 24 | 299 |
Accrued expenses | 24 | 15 |
Taxes other than income taxes | -4 | -61 |
Income taxes payable | 30 | 7 |
Change in working capital | $96 | $197 |
Supplemental_Cash_Flow_Informa3
Supplemental Cash Flow Information - Cash Flows Related to Interest and Taxes (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Interest and Taxes Paid | ' | ' |
Interest paid, in excess of amount capitalized | $22 | $5 |
Income taxes paid | $36 | $13 |
Guarantor_Subsidiaries_Balance
Guarantor Subsidiaries - Balance Sheets (Details) (USD $) | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||||||
Current assets: | ' | ' | ' | ' | ' | ' |
Cash | $427 | ' | $378 | $424 | ' | $61 |
Receivables, net | 146 | ' | 153 | ' | ' | ' |
Inventories | 202 | ' | 217 | ' | ' | ' |
Deferred income taxes | 10 | ' | 7 | ' | ' | ' |
Prepaid expenses and other | 15 | ' | 11 | ' | ' | ' |
Assets held for sale, net | 39 | ' | 0 | ' | ' | ' |
Total current assets | 839 | ' | 766 | ' | ' | ' |
Property and equipment, at cost | 2,078 | ' | 1,981 | ' | ' | ' |
Accumulated depreciation | -682 | ' | -655 | ' | ' | ' |
Property and equipment, net | 1,396 | ' | 1,326 | ' | ' | ' |
Goodwill and intangible assets, net | 43 | ' | 49 | ' | ' | ' |
Investments in subsidiaries | 0 | ' | 0 | ' | ' | ' |
Deferred income taxes | 83 | ' | 93 | ' | ' | ' |
Other assets, net | 63 | ' | 69 | ' | ' | ' |
Total assets | 2,424 | ' | 2,303 | ' | ' | ' |
Current liabilities: | ' | ' | ' | ' | ' | ' |
Current portion of debt and capital lease obligations | 45 | ' | 36 | ' | ' | ' |
Accounts payable | 107 | ' | 99 | ' | ' | ' |
Accounts (receivable) payable to Valero | 277 | ' | 253 | ' | ' | ' |
Accrued expenses | 69 | ' | 43 | ' | ' | ' |
Taxes other than income taxes | 12 | ' | 17 | ' | ' | ' |
Income taxes payable | 38 | ' | 10 | ' | ' | ' |
Asset retirement obligations related to assets held for sale | 6 | ' | 0 | ' | ' | ' |
Dividends payable | 5 | ' | 5 | ' | ' | ' |
Total current liabilities | 559 | ' | 463 | ' | ' | ' |
Debt and capital lease obligations, less current portion | 976 | ' | 1,006 | ' | ' | ' |
Deferred income taxes | 79 | ' | 94 | ' | ' | ' |
Intercompany payables (receivables) | 0 | ' | 0 | ' | ' | ' |
Asset retirement obligations | 76 | ' | 79 | ' | ' | ' |
Other long-term liabilities | 39 | ' | 34 | ' | ' | ' |
Total liabilities | 1,729 | ' | 1,676 | ' | ' | ' |
Commitments and contingencies | ' | ' | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' | ' | ' |
Common stock | 1 | ' | 1 | ' | ' | ' |
APIC | 415 | ' | 406 | ' | ' | ' |
Retained earnings | 179 | ' | 87 | ' | ' | ' |
AOCI | 100 | 131 | 133 | 149 | 138 | 170 |
Total stockholders’ equity | 695 | ' | 627 | ' | ' | ' |
Total liabilities and stockholders’ equity | 2,424 | ' | 2,303 | ' | ' | ' |
Corporate | Parent Company | ' | ' | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' | ' | ' |
Cash | 0 | ' | 0 | 0 | ' | 0 |
Receivables, net | 2 | ' | 0 | ' | ' | ' |
Inventories | 0 | ' | 0 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Prepaid expenses and other | 0 | ' | 0 | ' | ' | ' |
Assets held for sale, net | 0 | ' | ' | ' | ' | ' |
Total current assets | 2 | ' | 0 | ' | ' | ' |
Property and equipment, at cost | 2 | ' | 0 | ' | ' | ' |
Accumulated depreciation | 0 | ' | 0 | ' | ' | ' |
Property and equipment, net | 2 | ' | 0 | ' | ' | ' |
Goodwill and intangible assets, net | 0 | ' | 0 | ' | ' | ' |
Investments in subsidiaries | 1,824 | ' | 1,714 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Other assets, net | 31 | ' | 32 | ' | ' | ' |
Total assets | 1,859 | ' | 1,746 | ' | ' | ' |
Current liabilities: | ' | ' | ' | ' | ' | ' |
Current portion of debt and capital lease obligations | 44 | ' | 35 | ' | ' | ' |
Accounts payable | 0 | ' | 0 | ' | ' | ' |
Accounts (receivable) payable to Valero | -1 | ' | -1 | ' | ' | ' |
Accrued expenses | 12 | ' | 4 | ' | ' | ' |
Taxes other than income taxes | 0 | ' | 0 | ' | ' | ' |
Income taxes payable | 0 | ' | 0 | ' | ' | ' |
Asset retirement obligations related to assets held for sale | 0 | ' | ' | ' | ' | ' |
Dividends payable | 5 | ' | 5 | ' | ' | ' |
Total current liabilities | 60 | ' | 43 | ' | ' | ' |
Debt and capital lease obligations, less current portion | 969 | ' | 1,003 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Intercompany payables (receivables) | 120 | ' | 58 | ' | ' | ' |
Asset retirement obligations | 0 | ' | 0 | ' | ' | ' |
Other long-term liabilities | 15 | ' | 15 | ' | ' | ' |
Total liabilities | 1,164 | ' | 1,119 | ' | ' | ' |
Commitments and contingencies | ' | ' | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' | ' | ' |
Common stock | 1 | ' | 1 | ' | ' | ' |
APIC | 415 | ' | 406 | ' | ' | ' |
Retained earnings | 179 | ' | 87 | ' | ' | ' |
AOCI | 100 | ' | 133 | ' | ' | ' |
Total stockholders’ equity | 695 | ' | 627 | ' | ' | ' |
Total liabilities and stockholders’ equity | 1,859 | ' | 1,746 | ' | ' | ' |
Reportable Entities | Guarantor Subsidiaries | ' | ' | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' | ' | ' |
Cash | 204 | ' | 231 | 261 | ' | 44 |
Receivables, net | 60 | ' | 56 | ' | ' | ' |
Inventories | 130 | ' | 139 | ' | ' | ' |
Deferred income taxes | 10 | ' | 6 | ' | ' | ' |
Prepaid expenses and other | 9 | ' | 5 | ' | ' | ' |
Assets held for sale, net | 39 | ' | ' | ' | ' | ' |
Total current assets | 452 | ' | 437 | ' | ' | ' |
Property and equipment, at cost | 1,560 | ' | 1,477 | ' | ' | ' |
Accumulated depreciation | -510 | ' | -494 | ' | ' | ' |
Property and equipment, net | 1,050 | ' | 983 | ' | ' | ' |
Goodwill and intangible assets, net | 21 | ' | 20 | ' | ' | ' |
Investments in subsidiaries | 0 | ' | 0 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Other assets, net | 27 | ' | 32 | ' | ' | ' |
Total assets | 1,550 | ' | 1,472 | ' | ' | ' |
Current liabilities: | ' | ' | ' | ' | ' | ' |
Current portion of debt and capital lease obligations | 1 | ' | 1 | ' | ' | ' |
Accounts payable | 63 | ' | 52 | ' | ' | ' |
Accounts (receivable) payable to Valero | 164 | ' | 158 | ' | ' | ' |
Accrued expenses | 39 | ' | 23 | ' | ' | ' |
Taxes other than income taxes | 20 | ' | 16 | ' | ' | ' |
Income taxes payable | 26 | ' | 1 | ' | ' | ' |
Asset retirement obligations related to assets held for sale | 6 | ' | ' | ' | ' | ' |
Dividends payable | 0 | ' | 0 | ' | ' | ' |
Total current liabilities | 319 | ' | 251 | ' | ' | ' |
Debt and capital lease obligations, less current portion | 6 | ' | 3 | ' | ' | ' |
Deferred income taxes | 79 | ' | 94 | ' | ' | ' |
Intercompany payables (receivables) | -121 | ' | -58 | ' | ' | ' |
Asset retirement obligations | 58 | ' | 61 | ' | ' | ' |
Other long-term liabilities | 9 | ' | 7 | ' | ' | ' |
Total liabilities | 350 | ' | 358 | ' | ' | ' |
Commitments and contingencies | ' | ' | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' | ' | ' |
Common stock | 0 | ' | 0 | ' | ' | ' |
APIC | 1,037 | ' | 1,037 | ' | ' | ' |
Retained earnings | 163 | ' | 77 | ' | ' | ' |
AOCI | 0 | ' | 0 | ' | ' | ' |
Total stockholders’ equity | 1,200 | ' | 1,114 | ' | ' | ' |
Total liabilities and stockholders’ equity | 1,550 | ' | 1,472 | ' | ' | ' |
Reportable Entities | Non-Guarantor Subsidiaries | ' | ' | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' | ' | ' |
Cash | 223 | ' | 147 | 163 | ' | 17 |
Receivables, net | 84 | ' | 97 | ' | ' | ' |
Inventories | 72 | ' | 78 | ' | ' | ' |
Deferred income taxes | 0 | ' | 1 | ' | ' | ' |
Prepaid expenses and other | 6 | ' | 6 | ' | ' | ' |
Assets held for sale, net | 0 | ' | ' | ' | ' | ' |
Total current assets | 385 | ' | 329 | ' | ' | ' |
Property and equipment, at cost | 516 | ' | 504 | ' | ' | ' |
Accumulated depreciation | -172 | ' | -161 | ' | ' | ' |
Property and equipment, net | 344 | ' | 343 | ' | ' | ' |
Goodwill and intangible assets, net | 22 | ' | 29 | ' | ' | ' |
Investments in subsidiaries | 0 | ' | 0 | ' | ' | ' |
Deferred income taxes | 83 | ' | 93 | ' | ' | ' |
Other assets, net | 5 | ' | 5 | ' | ' | ' |
Total assets | 839 | ' | 799 | ' | ' | ' |
Current liabilities: | ' | ' | ' | ' | ' | ' |
Current portion of debt and capital lease obligations | 0 | ' | 0 | ' | ' | ' |
Accounts payable | 44 | ' | 47 | ' | ' | ' |
Accounts (receivable) payable to Valero | 114 | ' | 96 | ' | ' | ' |
Accrued expenses | 18 | ' | 16 | ' | ' | ' |
Taxes other than income taxes | -8 | ' | 1 | ' | ' | ' |
Income taxes payable | 12 | ' | 9 | ' | ' | ' |
Asset retirement obligations related to assets held for sale | 0 | ' | ' | ' | ' | ' |
Dividends payable | 0 | ' | 0 | ' | ' | ' |
Total current liabilities | 180 | ' | 169 | ' | ' | ' |
Debt and capital lease obligations, less current portion | 1 | ' | 0 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Intercompany payables (receivables) | 1 | ' | 0 | ' | ' | ' |
Asset retirement obligations | 18 | ' | 18 | ' | ' | ' |
Other long-term liabilities | 15 | ' | 12 | ' | ' | ' |
Total liabilities | 215 | ' | 199 | ' | ' | ' |
Commitments and contingencies | ' | ' | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' | ' | ' |
Common stock | 0 | ' | 0 | ' | ' | ' |
APIC | 523 | ' | 551 | ' | ' | ' |
Retained earnings | 101 | ' | 49 | ' | ' | ' |
AOCI | 0 | ' | 0 | ' | ' | ' |
Total stockholders’ equity | 624 | ' | 600 | ' | ' | ' |
Total liabilities and stockholders’ equity | 839 | ' | 799 | ' | ' | ' |
Eliminations | ' | ' | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' | ' | ' |
Cash | 0 | ' | 0 | 0 | ' | 0 |
Receivables, net | 0 | ' | 0 | ' | ' | ' |
Inventories | 0 | ' | 0 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Prepaid expenses and other | 0 | ' | 0 | ' | ' | ' |
Assets held for sale, net | 0 | ' | ' | ' | ' | ' |
Total current assets | 0 | ' | 0 | ' | ' | ' |
Property and equipment, at cost | 0 | ' | 0 | ' | ' | ' |
Accumulated depreciation | 0 | ' | 0 | ' | ' | ' |
Property and equipment, net | 0 | ' | 0 | ' | ' | ' |
Goodwill and intangible assets, net | 0 | ' | 0 | ' | ' | ' |
Investments in subsidiaries | -1,824 | ' | -1,714 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Other assets, net | 0 | ' | 0 | ' | ' | ' |
Total assets | -1,824 | ' | -1,714 | ' | ' | ' |
Current liabilities: | ' | ' | ' | ' | ' | ' |
Current portion of debt and capital lease obligations | 0 | ' | 0 | ' | ' | ' |
Accounts payable | 0 | ' | 0 | ' | ' | ' |
Accounts (receivable) payable to Valero | 0 | ' | 0 | ' | ' | ' |
Accrued expenses | 0 | ' | 0 | ' | ' | ' |
Taxes other than income taxes | 0 | ' | 0 | ' | ' | ' |
Income taxes payable | 0 | ' | 0 | ' | ' | ' |
Asset retirement obligations related to assets held for sale | 0 | ' | ' | ' | ' | ' |
Dividends payable | 0 | ' | 0 | ' | ' | ' |
Total current liabilities | 0 | ' | 0 | ' | ' | ' |
Debt and capital lease obligations, less current portion | 0 | ' | 0 | ' | ' | ' |
Deferred income taxes | 0 | ' | 0 | ' | ' | ' |
Intercompany payables (receivables) | 0 | ' | 0 | ' | ' | ' |
Asset retirement obligations | 0 | ' | 0 | ' | ' | ' |
Other long-term liabilities | 0 | ' | 0 | ' | ' | ' |
Total liabilities | 0 | ' | 0 | ' | ' | ' |
Commitments and contingencies | ' | ' | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' | ' | ' |
Common stock | 0 | ' | 0 | ' | ' | ' |
APIC | -1,560 | ' | -1,588 | ' | ' | ' |
Retained earnings | -264 | ' | -126 | ' | ' | ' |
AOCI | 0 | ' | 0 | ' | ' | ' |
Total stockholders’ equity | -1,824 | ' | -1,714 | ' | ' | ' |
Total liabilities and stockholders’ equity | ($1,824) | ' | ($1,714) | ' | ' | ' |
Guarantor_Subsidiaries_Stateme
Guarantor Subsidiaries - Statements of Income and Comprehensive Income (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Condensed Income Statements, Captions | ' | ' | ' | ' |
Operating revenues | $3,221 | $3,316 | $9,483 | $9,715 |
Cost of sales | 2,881 | 3,025 | 8,618 | 8,900 |
Gross profit | 340 | 291 | 865 | 815 |
Operating expenses: | ' | ' | ' | ' |
Operating expenses | 172 | 169 | 502 | 489 |
General and administrative expenses | 31 | 21 | 83 | 56 |
Depreciation, amortization and accretion expense | 31 | 30 | 92 | 90 |
Asset impairments | 2 | 2 | 2 | 2 |
Total operating expenses | 236 | 222 | 679 | 637 |
Operating income | 104 | 69 | 186 | 178 |
Other income, net | 2 | 1 | 4 | 3 |
Interest expense | -10 | -10 | -30 | -17 |
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Income before income tax expense | 96 | 60 | 160 | 164 |
Income tax expense | 33 | 18 | 54 | 59 |
Net income | 63 | 42 | 106 | 105 |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Foreign currency translation adjustment | -31 | 11 | -33 | -21 |
Comprehensive income | 32 | 53 | 73 | 84 |
Corporate | Parent Company | ' | ' | ' | ' |
Condensed Income Statements, Captions | ' | ' | ' | ' |
Operating revenues | 0 | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 | 0 |
Operating expenses: | ' | ' | ' | ' |
Operating expenses | 0 | 0 | 0 | 0 |
General and administrative expenses | 2 | 1 | 6 | 2 |
Depreciation, amortization and accretion expense | 0 | 0 | 0 | 0 |
Asset impairments | 0 | 0 | 0 | 0 |
Total operating expenses | 2 | 1 | 6 | 2 |
Operating income | -2 | -1 | -6 | -2 |
Other income, net | 0 | 0 | 0 | 0 |
Interest expense | -10 | -10 | -30 | -17 |
Equity in earnings of subsidiaries | 75 | 53 | 142 | 81 |
Income before income tax expense | 63 | 42 | 106 | 62 |
Income tax expense | 0 | 0 | 0 | 0 |
Net income | 63 | 42 | 106 | 62 |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Foreign currency translation adjustment | -31 | 11 | -33 | -21 |
Comprehensive income | 32 | 53 | 73 | 41 |
Reportable Entities | Guarantor Subsidiaries | ' | ' | ' | ' |
Condensed Income Statements, Captions | ' | ' | ' | ' |
Operating revenues | 1,990 | 2,013 | 5,818 | 5,948 |
Cost of sales | 1,753 | 1,821 | 5,248 | 5,429 |
Gross profit | 237 | 192 | 570 | 519 |
Operating expenses: | ' | ' | ' | ' |
Operating expenses | 111 | 108 | 323 | 307 |
General and administrative expenses | 24 | 15 | 62 | 42 |
Depreciation, amortization and accretion expense | 22 | 21 | 65 | 63 |
Asset impairments | 2 | 2 | 2 | 2 |
Total operating expenses | 159 | 146 | 452 | 414 |
Operating income | 78 | 46 | 118 | 105 |
Other income, net | 1 | 0 | 1 | 0 |
Interest expense | 0 | 0 | 0 | 0 |
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Income before income tax expense | 79 | 46 | 119 | 105 |
Income tax expense | 25 | 13 | 33 | 38 |
Net income | 54 | 33 | 86 | 67 |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Foreign currency translation adjustment | 0 | 0 | 0 | 0 |
Comprehensive income | 54 | 33 | 86 | 67 |
Reportable Entities | Non-Guarantor Subsidiaries | ' | ' | ' | ' |
Condensed Income Statements, Captions | ' | ' | ' | ' |
Operating revenues | 1,231 | 1,303 | 3,665 | 3,767 |
Cost of sales | 1,128 | 1,204 | 3,370 | 3,471 |
Gross profit | 103 | 99 | 295 | 296 |
Operating expenses: | ' | ' | ' | ' |
Operating expenses | 61 | 61 | 179 | 182 |
General and administrative expenses | 5 | 5 | 15 | 12 |
Depreciation, amortization and accretion expense | 9 | 9 | 27 | 27 |
Asset impairments | 0 | 0 | 0 | 0 |
Total operating expenses | 75 | 75 | 221 | 221 |
Operating income | 28 | 24 | 74 | 75 |
Other income, net | 1 | 1 | 3 | 3 |
Interest expense | 0 | 0 | 0 | 0 |
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Income before income tax expense | 29 | 25 | 77 | 78 |
Income tax expense | 8 | 5 | 21 | 21 |
Net income | 21 | 20 | 56 | 57 |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Foreign currency translation adjustment | 0 | 0 | 0 | 0 |
Comprehensive income | 21 | 20 | 56 | 57 |
Eliminations | ' | ' | ' | ' |
Condensed Income Statements, Captions | ' | ' | ' | ' |
Operating revenues | 0 | 0 | 0 | 0 |
Cost of sales | 0 | 0 | 0 | 0 |
Gross profit | 0 | 0 | 0 | 0 |
Operating expenses: | ' | ' | ' | ' |
Operating expenses | 0 | 0 | 0 | 0 |
General and administrative expenses | 0 | 0 | 0 | 0 |
Depreciation, amortization and accretion expense | 0 | 0 | 0 | 0 |
Asset impairments | 0 | 0 | 0 | 0 |
Total operating expenses | 0 | 0 | 0 | 0 |
Operating income | 0 | 0 | 0 | 0 |
Other income, net | 0 | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 | 0 |
Equity in earnings of subsidiaries | -75 | -53 | -142 | -81 |
Income before income tax expense | -75 | -53 | -142 | -81 |
Income tax expense | 0 | 0 | 0 | 0 |
Net income | -75 | -53 | -142 | -81 |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Foreign currency translation adjustment | 0 | 0 | 0 | 0 |
Comprehensive income | ($75) | ($53) | ($142) | ($81) |
Guarantor_Subsidiaries_Cash_Fl
Guarantor Subsidiaries - Cash Flows (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net cash provided by operating activities | $293 | $410 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -192 | -137 |
Acquisitions | -9 | -6 |
Proceeds from dispositions of property and equipment | 2 | 1 |
Other investing activities, net | 1 | 0 |
Net cash used in investing activities | -198 | -142 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of long-term debt | 0 | 500 |
Payments of long-term debt | -25 | -6 |
Debt issuance and credit facility origination costs | -2 | -19 |
Payments of capital lease obligations | -1 | -1 |
Net transfers (to) from Valero | 0 | -378 |
Dividends paid | -14 | 0 |
Intercompany funding | 0 | 0 |
Net cash (used in) provided by financing activities | -42 | 96 |
Effect of foreign exchange rate changes on cash | -4 | -1 |
Net increase in cash | 49 | 363 |
Cash at beginning of period | 378 | 61 |
Cash at end of period | 427 | 424 |
Corporate | Parent Company | ' | ' |
Cash flows from operating activities: | ' | ' |
Net cash provided by operating activities | -28 | -4 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | 0 | 0 |
Acquisitions | -2 | 0 |
Proceeds from dispositions of property and equipment | 0 | 0 |
Other investing activities, net | 0 | 0 |
Net cash used in investing activities | -2 | 0 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of long-term debt | ' | 500 |
Payments of long-term debt | -25 | -6 |
Debt issuance and credit facility origination costs | -2 | -19 |
Payments of capital lease obligations | 0 | 0 |
Net transfers (to) from Valero | ' | -500 |
Dividends paid | -14 | ' |
Intercompany funding | 71 | 29 |
Net cash (used in) provided by financing activities | 30 | 4 |
Effect of foreign exchange rate changes on cash | 0 | 0 |
Net increase in cash | 0 | 0 |
Cash at beginning of period | 0 | 0 |
Cash at end of period | 0 | 0 |
Reportable Entities | Guarantor Subsidiaries | ' | ' |
Cash flows from operating activities: | ' | ' |
Net cash provided by operating activities | 208 | 289 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -164 | -115 |
Acquisitions | 0 | 0 |
Proceeds from dispositions of property and equipment | 2 | 0 |
Other investing activities, net | -1 | 0 |
Net cash used in investing activities | -163 | -115 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of long-term debt | ' | 0 |
Payments of long-term debt | 0 | 0 |
Debt issuance and credit facility origination costs | 0 | 0 |
Payments of capital lease obligations | -1 | -1 |
Net transfers (to) from Valero | ' | 73 |
Dividends paid | 0 | ' |
Intercompany funding | -71 | -29 |
Net cash (used in) provided by financing activities | -72 | 43 |
Effect of foreign exchange rate changes on cash | 0 | 0 |
Net increase in cash | -27 | 217 |
Cash at beginning of period | 231 | 44 |
Cash at end of period | 204 | 261 |
Reportable Entities | Non-Guarantor Subsidiaries | ' | ' |
Cash flows from operating activities: | ' | ' |
Net cash provided by operating activities | 113 | 125 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -28 | -22 |
Acquisitions | -7 | -6 |
Proceeds from dispositions of property and equipment | 0 | 1 |
Other investing activities, net | 2 | 0 |
Net cash used in investing activities | -33 | -27 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of long-term debt | ' | 0 |
Payments of long-term debt | 0 | 0 |
Debt issuance and credit facility origination costs | 0 | 0 |
Payments of capital lease obligations | 0 | 0 |
Net transfers (to) from Valero | ' | 49 |
Dividends paid | 0 | ' |
Intercompany funding | 0 | 0 |
Net cash (used in) provided by financing activities | 0 | 49 |
Effect of foreign exchange rate changes on cash | -4 | -1 |
Net increase in cash | 76 | 146 |
Cash at beginning of period | 147 | 17 |
Cash at end of period | 223 | 163 |
Eliminations | ' | ' |
Cash flows from operating activities: | ' | ' |
Net cash provided by operating activities | 0 | 0 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | 0 | 0 |
Acquisitions | 0 | 0 |
Proceeds from dispositions of property and equipment | 0 | 0 |
Other investing activities, net | 0 | 0 |
Net cash used in investing activities | 0 | 0 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of long-term debt | ' | 0 |
Payments of long-term debt | 0 | 0 |
Debt issuance and credit facility origination costs | 0 | 0 |
Payments of capital lease obligations | 0 | 0 |
Net transfers (to) from Valero | ' | 0 |
Dividends paid | 0 | ' |
Intercompany funding | 0 | 0 |
Net cash (used in) provided by financing activities | 0 | 0 |
Effect of foreign exchange rate changes on cash | 0 | 0 |
Net increase in cash | 0 | 0 |
Cash at beginning of period | 0 | 0 |
Cash at end of period | $0 | $0 |