CrossAmerica Partners LP Reports Third Quarter 2015 Results

  • Generated record total gross profit of $47.8 million compared to the third quarter of 2014 total gross profit of $36.3 million.
  • Generated record Distributable Cash Flow of $25.1 million and Distribution Coverage Ratio of 1.35x in the third quarter.
  • Declared a third quarter distribution of $0.5775 per unit, a 2.7% increase in the Partnership's distribution rate from the second quarter of 2015.
  • Maintains guidance of 7% to 9% Distribution Per Unit growth rate for 2015 over 2014.

ALLENTOWN, Pa.--()--CrossAmerica Partners LP (NYSE: CAPL), headquartered in Allentown, PA, a leading wholesale fuels distributor, convenience store operator, and owner and lessor of real estate used in the retail distribution of motor fuels, today reported financial results for the third quarter ended September 30, 2015.

“Our record third quarter results reflect the successful execution of our acquisition and integration strategy at CrossAmerica,” said Jeremy Bergeron, the Partnership’s President. “Thanks to the performance of our recently acquired retail business, the contribution of the assets acquired from CST Brands, and the capture of synergies and cost reductions achieved by our team members, we were able to grow distributable cash flow by more than 83% this quarter compared to the same quarter last year.”

Wholesale Segment

During the third quarter 2015, CrossAmerica distributed, on a wholesale basis, 284.1 million gallons of motor fuel at an average wholesale gross margin of $0.061 per gallon, resulting in a wholesale motor fuel gross profit of $17.3 million. For the three month period ended September 30, 2014, the Partnership distributed, on a wholesale basis, 264.2 million gallons of fuel at an average wholesale gross margin of $0.073 per gallon, resulting in a wholesale motor fuel gross profit of $19.2 million. The decrease of 10% in gross profit from wholesale fuel sales for the third quarter of 2015 relative to 2014 was attributable to a decline in the average wholesale fuel margin partially offset by an 8% increase in volume driven by the acquisitions that have been completed since April 2014. Wholesale fuel margin per gallon for the quarter was lower, primarily due to the decline in the margin the Partnership receives from purchase discounts provided to CrossAmerica by its suppliers. The Partnership receives certain discounts from suppliers based on a percentage of the purchase price of fuel, and the dollar value of these discounts varies with the price of wholesale motor fuel.

CrossAmerica's gross profit from its Other revenues for the wholesale segment, which primarily consist of rental income, was $9.7 million for the third quarter of 2015 compared to $5.9 million for the same period in 2014. The increase in rental income was primarily associated with the recent acquisitions of real estate, which the Partnership leases to CST.

Operating income for the wholesale segment increased $6.4 million or 41% primarily driven by an increase in rental income, income from CST Fuel Supply and a decline in operating expenses, partially offset by an increase in depreciation, amortization and accretion.

Retail Segment

For the third quarter 2015, the Partnership sold 61.6 million gallons of motor fuel at an average retail motor fuel gross margin of $0.129 per gallon, net of commissions and credit card fees, resulting in a retail gross profit of $8.0 million. For the same period in 2014, CrossAmerica sold 46.5 million gallons at an average retail motor fuel gross margin of $0.053 per gallon, net of commissions and credit card fees, resulting in a retail gross profit of $2.5 million. The increase in retail gross profit from retail motor fuel sales for the third quarter of 2015 relative to 2014 was due primarily to the Erickson and One Stop acquisitions. These acquisitions also contributed to the $11.1 million in gross margin from the sale of food and merchandise during the quarter. For the same period in 2014, CrossAmerica generated $7.4 million in gross margin from the sale of food and merchandise.

Operating income for the retail segment increased nearly $2.4 million primarily driven by an increase in motor fuel and merchandise gross profit, partially offset by an increase in depreciation, amortization and accretion.

Non-GAAP Metrics

Distributable Cash Flow (See Supplemental Disclosure Regarding Non-GAAP Financial Information below) was $25.1 million for the three month period ended September 30, 2015 compared to $13.7 million for the same period in 2014. The increase in Distributable Cash Flow was due primarily to an increase in earnings driven primarily by the 2014 and 2015 acquisitions, including the purchase of CST Fuel Supply equity interests executed in January and July 2015, when compared to the same period in 2014. Distributable Cash Flow per diluted limited partner unit was $0.76 for the three months ended September 30, 2015 and the Partnership made limited partner distribution per unit of $0.5625 during the quarter, resulting in a Distribution Coverage Ratio of 1.35 times.

Liquidity and Capital Resources

CrossAmerica's revolving credit facility is secured by substantially all of the assets of CrossAmerica and its subsidiaries. As of September 30, 2015, after taking into account letters of credit and debt covenant constraints to availability, approximately $125.4 million was available for future borrowings. In connection with future acquisitions, the revolving credit facility requires, among other things, that the Partnership has, after giving effect to such acquisition, at least $20.0 million of borrowing availability under the revolving credit facility and unrestricted cash on the balance sheet on the date of such acquisition.

Distributions

The Board of the Directors of CrossAmerica's General Partner has declared a quarterly distribution of $0.5775 per unit with respect to the third quarter of 2015. The distribution will be paid on November 25, 2015 to all unitholders of record as of November 18, 2015. The amount and timing of any distribution is subject to the discretion of the Board of Directors of CrossAmerica's General Partner.

Conference Call

The Partnership will host a conference call on November 4, 2015 at 9:00 a.m. Eastern Time (8:00 a.m. Central Time) to discuss third quarter earnings results. The conference call numbers are 800-774-6070 or 630-691-2753 and the passcode for both is 5854571#. A live audio webcast of the conference call and the related earnings materials, including reconciliations of any non-GAAP financial measures to GAAP financial measures and any other applicable disclosures, will be available on that same day on the investor section of the CrossAmerica website (www.crossamericapartners.com). A slide presentation for the conference call will also be available on the investor section of the Partnership’s website. To listen to the audio webcast, go to http://www.crossamericapartners.com/en-us/investors/eventsandpresentations. After the live conference call, a replay will be available for a period of thirty days. The replay numbers are 888-843-7419 or 630-652-3042 and the passcode for both is 5854571#. An archive of the webcast will be available on the investor section of the CrossAmerica website at www.crossamericapartners.com/en-us/investors/eventsandpresentations within 24 hours after the call for a period of sixty days.

         
CROSSAMERICA PARTNERS LP
CONSOLIDATED STATEMENTS OF INCOME
(Thousands of Dollars, Except per Share Amounts)
(Unaudited)
 
Three Months Ended Nine Months Ended
September 30, September 30,
2015     2014 2015     2014
Operating revenues(a) $ 625,566 $ 827,760 $ 1,750,783 $ 2,073,626
Cost of sales(b)   577,740     791,466     1,629,660     1,993,717  
Gross profit   47,826     36,294     121,123     79,909  
 
Income from CST Fuel Supply 4,198 6,473
Operating expenses:
Operating expenses 16,143 12,458 46,315 22,101
General and administrative expenses 9,527 6,988 29,225 22,197
Depreciation, amortization and accretion expense   13,431     8,369     36,344     21,605  
Total operating expenses   39,101     27,815     111,884     65,903  
Gain (loss) on sales of assets, net   1,907     (49 )   2,359     1,484  
Operating income 14,830 8,430 18,071 15,490
Other income, net 87 92 336 315
Interest expense   (4,867 )   (5,162 )   (13,888 )   (12,901 )
Income before income taxes 10,050 3,360 4,519 2,904
Income tax benefit   134     803     2,722     4,579  
Consolidated net income 10,184 4,163 7,241 7,483
Net income attributable to noncontrolling interests   21     8     14     8  

Net income attributable to CrossAmerica limited partners

  10,163       4,155     7,227       7,475  
Distributions to incentive distribution right holders   (428 )     (64 )   (793 )     (126 )
Net income available to CrossAmerica limited partners $ 9,735   $ 4,091   $ 6,434   $ 7,349  
Net income per CrossAmerica limited partner unit:
Basic earnings per common unit $ 0.29 $ 0.21 $ 0.23 $ 0.39
Diluted earnings per common unit $ 0.29 $ 0.21 $ 0.23 $ 0.39
Basic and diluted earnings per subordinated unit $ 0.29 $ 0.21 $ 0.23 $ 0.39
Weighted-average CrossAmerica limited partner units:
Basic common units 25,518,876 11,824,203 20,043,565 11,380,612
 
Diluted common units 25,568,795 11,834,098 20,137,338 11,445,390
Basic and diluted subordinated units   7,525,000     7,525,000     7,525,000     7,525,000  
Total diluted common and subordinated units   33,093,795     19,359,098     27,662,338     18,970,390  
 
Distribution per common and subordinated units $ 0.5625 $ 0.5225 $ 1.6525 $ 1.5475
 
Supplemental information:
(a) Includes excise taxes of: $ 28,223 $ 18,997 $ 75,448 $ 44,581
(a) Includes revenues from fuel sales to related parties of: $ 126,932 $ 216,417 $ 365,072 $ 651,801
(a) Includes income from rentals of: $ 14,771 $ 10,829 $ 38,423 $ 32,287
(b) Includes expenses from fuel sales to related parties of: $ 123,264 $ 211,758 $ 354,735 $ 638,607
(b) Includes expenses from rentals of: $ 4,387 $ 3,912 $ 12,317 $ 11,703
 

Segment Results

Wholesale

The following table highlights the results of operations and certain operating metrics of the Wholesale segment (thousands of dollars, except for the number of distribution sites and per gallon amounts):

    Three Months Ended       Nine Months Ended
September 30, September 30,
2015     2014 2015     2014
Operating revenues:
Motor fuel–third party $ 275,353 $ 417,983 $ 813,324 $ 1,022,113
Motor fuel–intersegment and related party   240,178   248,851     654,852   810,878
Motor fuel operating revenues 515,531 666,834 1,468,176 1,832,991
Other(a)   13,696   9,468     35,825   29,236
Total operating revenues $ 529,227 $ 676,302   $ 1,504,001 $ 1,862,227
Gross profit:
Motor fuel–third party $ 8,757 $ 14,509 $ 22,426 $ 30,297
Motor fuel–intersegment and related party   8,558   4,641     22,618   13,243
Motor fuel gross profit 17,315 19,150 45,044 43,540
Other(b)   9,745   5,925     24,653   18,311
Total gross profit   27,060   25,075     69,697   61,851
 
Income from CST Fuel Supply(c) 4,198 6,473
Operating expenses 2,157 2,636 10,147 6,580
Depreciation, amortization and accretion expense 9,059 6,860 25,504 18,629
Gain (loss) on sales of assets, net   1,907   (50 )   2,359   1,483
Operating income $ 21,949 $ 15,529   $ 42,878 $ 38,125
 
Adjusted EBITDA(d) $ 29,101 $ 22,439 $ 66,023 $ 55,271
 
Motor fuel distribution sites (end of period):(e)
Motor fuel–third party
Independent dealers(f) 374 429 374 429
Lessee dealers(g)   283   213     283   213
Total motor fuel distribution–third party   657   642     657   642
 
Motor fuel–intersegment and related party
Affiliated dealers (related party) 196 228 196 228
CST (related party) 43 43
Commission agents (Retail segment) 71 71 71 71
Retail convenience stores (Retail segment)   121   87     121   87
Total motor fuel distribution–intersegment and related party   431   386     431   386
 
Motor fuel distribution sites (average during the period):
Motor fuel-third party distribution 626 637 616 550
Motor fuel-intersegment and related party distribution 468 387 454 356
 
 
Three Months Ended Six Months Ended
June 30, June 30,
2015 2014 2015 2014
 
Total volume of gallons distributed (in thousands) 284,089 264,242 795,027 646,673
 
Motor fuel gallons distributed per site per day:(h)
Motor fuel–third party
Total weighted average motor fuel distributed–third party(i) 2,467 2,597 2,448 2,335
Independent dealers 2,748 2,921 2,772 2,620
Lessee dealers 2,033 1,926 1,889 1,842
 
Motor fuel–intersegment and related party

Total weighted average motor fuel distributed–intersegment and related party

3,086 2,667 2,877 2,587
Affiliated dealers (related party) 2,670 2,613 2,531 2,543
CST (related party) 5,244 5,085
Commission agents (Retail segment) 2,969 3,206 2,897 3,126
Retail convenience stores (Retail segment)(j) 3,070 2,384 2,699 2,119
 
Wholesale margin per gallon–total system $ 0.061 $ 0.073 $ 0.057 $ 0.067
Wholesale margin per gallon–third party(k) $ 0.058 $ 0.087 $ 0.051 $ 0.076
Wholesale margin per gallon–intersegment and related party $ 0.064 $ 0.048 $ 0.064 $ 0.054
 
(a)   Primarily consists of rental income.
 
(b) Primarily consists of rental income, net of rent expense, on subleased properties.
 
(c) Represents income from CrossAmerica’s equity interests in CST Fuel Supply.
 
(d) Adjusted EBITDA represents operating income adjusted to exclude gains on sales of assets, net and depreciation, amortization and accretion expense. Please see the reconciliation of the segment’s Adjusted EBITDA to consolidated net income under the heading “Non-GAAP Financial Measures.”
 
(e) In addition, as of September 30, 2015 and 2014, CrossAmerica distributes motor fuel to 14 and 18 sub-wholesalers, respectively, who distribute to additional sites.
 
(f) The decline in the independent dealer site count was primarily attributable to 51 terminated motor fuel supply contracts that were not renewed as well as the motor fuel supply contracts related to 13 sites for which CrossAmerica supplied the motor fuel sold to DMS. Partially offsetting these decreases were the nine wholesale fuel supply contracts acquired in the One Stop acquisitions.
 
(g) The increase in the lessee dealer site count is attributable to converting 72 company-operated convenience stores in the Retail segment to the lessee dealer class of trade in the Wholesale segment.
 
(h) Includes 63.8 million and 41.3 million gallons of intersegment volumes distributed from the Wholesale segment to the Retail segments for the three months ended September 30, 2015 and 2014, respectively. Includes 162.6 million and 76.2 million gallons of intersegment volumes distributed from the Wholesale segment to the Retail segments for the nine months ended September 30, 2015 and 2014, respectively.
 
(i) Does not include the motor fuel gallons distributed to sub-wholesalers.
 
(j) Motor fuel gallons distributed per site per day increased at the Partnership's retail convenience stores as a result of the 87 sites acquired in the May 2014 PMI acquisition, 64 sites acquired in the February 2015 Erickson acquisition and the 45 sites acquired in the July 2015 One Stop acquisition. The remaining portion of the increase is due to sites that were converted to dealer sites during the period.
 
(k) Includes the wholesale gross margin for motor fuel distributed to sub-wholesalers.
 
 

Retail

The following table highlights the results of operations and certain operating metrics of the Retail segment (thousands of dollars, except for the number of convenience stores and per gallon amounts):

    Three Months Ended       Nine Months Ended
September 30, September 30,
2015     2014 2015     2014
Operating revenues:
Motor fuel $ 155,952 $ 158,614 $ 409,352 $ 329,145
Merchandise 51,659 23,606 121,508 37,509
Other(a)   1,974     1,672     5,702     3,822  
Total operating revenues $ 209,585   $ 183,892   $ 536,562   $ 370,476  
Gross profit:
Motor fuel $ 7,968 $ 2,470 $ 18,107 $ 4,461
Merchandise 11,116 7,428 28,780 10,602
Other   1,538     1,303     4,557     3,044  
Total gross profit   20,622     11,201     51,444     18,107  
Operating expenses 13,986 9,822 36,168 15,521
Depreciation, amortization and accretion expense   4,372     1,509     10,840     2,976  
Operating income $ 2,264   $ (130 ) $ 4,436   $ (390 )
Adjusted EBITDA(b) $ 7,286 $ 1,379 $ 16,632 $ 4,069
Retail sites (end of period):
Commission agents(c) 71 71 71 71
Company-operated convenience stores(d)   121     87     121     87  
Total system sites at the end of the period   192     158     192     158  
Total system operating statistics:
Average retail sites during the period(d) 229 156 209 110
Motor fuel sales (gallons per site per day) 2,925 3,239 2,901 3,129

Motor fuel gross profit per gallon, net of credit card fees and commissions

$ 0.129 $ 0.053 $ 0.110 $ 0.047
Commission agents statistics:
Average retail sites during the period 72 69 72 62
Motor fuel sales (gallons per site per day) 2,941 3,160 2,903 3,125

Motor fuel gross profit per gallon, net of credit card fees and commissions

$ 0.019 $ (0.034 ) $ 0.026 $ (0.002 )
Company-operated convenience store retail site statistics:(d)
Average retail sites during the period

157

87

137

48
Motor fuel sales (gallons per site per day) 2,917 3,301 2,900 3,134
Motor fuel gross profit per gallon, net of credit card fees $ 0.180 $ 0.120 $ 0.154 $ 0.110
Merchandise sales (per site per day)(e) $ 3,625 $ 2,949 $ 3,321 $ 2,843
Merchandise gross profit percentage, net of credit card fees(e),(f) 21.5 % 31.5 % 23.7 % 28.3 %
 
(a)   Primarily consists of rental income from non-gas tenants and car wash revenues.
(b) Adjusted EBITDA represents operating income adjusted to exclude depreciation, amortization and accretion expense and inventory fair value adjustments related to purchase accounting. Please see the reconciliation of the segment’s Adjusted EBITDA to consolidated net income under the heading “Non-GAAP Financial Measures.”
(c) A commission agent site is a site where CrossAmerica owns or leases the property and then lease or sublease the site to the commission agent, who pays rent to us and operates all of the non-fuel related operations at the sites for their own account.
(d)

The increase in retail sites relates to the Partnership's acquisitions.

(e) During the second quarter of 2015, CrossAmerica began classifying the net margin from lottery tickets within merchandise revenues and reflected this change in presentation retrospectively.
(f)

As part of the One Stop acquisition, the Partnership recorded a one-time, non-cash charge related to a purchase accounting inventory fair value adjustment to cost of sales for approximately $650,000 for the three months ended September 30, 2015.

 
 

Supplemental Disclosure Regarding Non-GAAP Financial Measures

CrossAmerica uses non-GAAP financial measures EBITDA, Adjusted EBITDA, and Distributable Cash Flow in this report. EBITDA represents net income available to CrossAmerica limited partners before deducting interest expense, income taxes and depreciation, amortization and accretion. Adjusted EBITDA represents EBITDA as further adjusted to exclude equity funded expenses related to incentive compensation and the Amended Omnibus Agreement, gains or losses on sales of assets, certain discrete acquisition related costs, such as legal and other professional fees and severance expenses associated with recently acquired companies, and certain other discrete non-cash items, such as inventory fair value adjustments arising from purchase accounting. Distributable Cash Flow represents Adjusted EBITDA less cash interest expense, sustaining capital expenditures and current income tax expense.

EBITDA, Adjusted EBITDA, and Distributable Cash Flow are used as supplemental financial measures by management and by external users of CrossAmerica's financial statements, such as investors and lenders. EBITDA and Adjusted EBITDA are used to assess the Partnership's financial performance without regard to financing methods, capital structure or income taxes and the ability to incur and service debt and to fund capital expenditures. In addition, Adjusted EBITDA is used to assess the operating performance of CrossAmerica's business on a consistent basis by excluding the impact of items which do not result directly from the wholesale distribution of motor fuel, the leasing of real property, or the day to day operations of the Partnership's retail convenience store activities. EBITDA, Adjusted EBITDA, and Distributable Cash Flow are also used to assess the ability to generate cash sufficient to make distributions to CrossAmerica's unit-holders.

The Partnership believes the presentation of EBITDA, Adjusted EBITDA, and Distributable Cash Flow provides useful information to investors in assessing the financial condition and results of operations. EBITDA, Adjusted EBITDA, and Distributable Cash Flow should not be considered alternatives to net income or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP. EBITDA, Adjusted EBITDA, and Distributable Cash Flow have important limitations as analytical tools because they exclude some but not all items that affect net income. Additionally, because EBITDA, Adjusted EBITDA, and Distributable Cash Flow may be defined differently by other companies in CrossAmerica's industry, the Partnership's definitions may not be comparable to similarly titled measures of other companies, thereby diminishing their utility.

The following table presents reconciliations of EBITDA, Adjusted EBITDA, and Distributable Cash Flow to net income, the most directly comparable U.S. GAAP financial measure, for each of the periods indicated (in thousands, except for per unit amounts):

    Three Months Ended       Nine Months Ended
September 30, September 30,
2015       2014   2015       2014  
Net income available to CrossAmerica limited partners $ 9,735 $ 4,091 $ 6,434 $ 7,349
Interest expense 4,867 5,162 13,888 12,901
Income tax benefit 134 803 2,722 4,579
Depreciation, amortization and accretion   13,431     8,369     36,344     21,605  
EBITDA $ 27,899 $ 16,819 $ 53,944 $ 37,276
Equity funded expenses related to incentive compensation and the Amended Omnibus Agreement(a) 3,065 1,825 9,257 3,875
(Gain) loss on sales of assets, net (1,907 ) 49 (2,359 ) (1,484 )
Acquisition costs(b) 1,256 137 3,408 6,088
Inventory fair value adjustments   650         1,356     1,483  
Adjusted EBITDA $ 30,963 $ 18,830 $ 65,606 $ 47,238
Cash interest expense (4,689 ) (4,150 ) (12,604 ) (10,515 )
Sustaining capital expenditures(c) (208 ) (1,002 ) (1,035 ) (1,986 )
Current income tax expense   (946 )   (24 )   (2,433 )   (89 )
Distributable Cash Flow $ 25,120   $ 13,654   $ 49,534   $ 34,648  
 
Weighted average diluted common and subordinated units 33,094 19,359 27,662 18,970
 
Distributable Cash Flow per diluted limited partner unit $ 0.7591 $ 0.7053 $ 1.7907 $ 1.8264
Distributions paid per limited partner unit $ 0.5625 $ 0.5225 $ 1.6525 $ 1.5475
Distribution coverage

1.35

x

1.35

x

1.08

x

1.18

x

 
(a)   As approved by the independent conflicts committee of the General Partner and the executive committee of and CST’s board of directors, CrossAmerica and CST mutually agreed to settle the second and third quarter 2015 amounts due under the terms of the Amended Omnibus Agreement in limited partnership units.
 
(b) Relates to certain discrete acquisition related costs, such as legal and other professional fees and severance expenses associated with recently acquired businesses.
 
(c) Under the Partnership agreement, sustaining capital expenditures are capital expenditures made to maintain the long-term operating income or operating capacity. Examples of sustaining capital expenditures are those made to maintain existing contract volumes, including payments to renew existing distribution contracts, or to maintain CrossAmerica's sites in leasable condition, such as parking lot or roof replacement/renovation, or to replace equipment required to operate the existing business.
 
 

The following table reconciles segment Adjusted EBITDA to consolidated Adjusted EBITDA (in thousands):

    Three Months Ended       Nine Months Ended
September 30, September 30,
2015     2014 2015     2014
Adjusted EBITDA - Wholesale segment $ 29,101 $ 22,439 $ 66,023 $ 55,271
Adjusted EBITDA - Retail segment $ 7,286   $ 1,379   $ 16,632   $ 4,069  
Adjusted EBITDA - Total segment $ 36,387   $ 23,818   $ 82,655   $ 59,340  
 
Reconciling items:
Elimination of intersegment profit in ending inventory balance 144 18 (18 ) (49 )
General and administrative expenses (9,527 ) (6,988 ) (29,225 ) (22,197 )
Other income, net 87 92 336 315
Equity funded expenses related to incentive compensation and the Amended Omnibus Agreement 3,065 1,825 9,257 3,875
Acquisition Costs 1,256 137 3,408 6,088
Net loss attributable to noncontrolling interests (21 ) (8 ) (14 ) (8 )
Distributions to incentive distribution right holders   (428 )   (64 )   (793 )   (126 )
Consolidated Adjusted EBITDA $ 30,963   $ 18,830   $ 65,606   $ 47,238  
 
 

About CrossAmerica Partners LP

CrossAmerica Partners is a leading wholesale distributor of motor fuels and owner and lessee of real estate used in the retail distribution of motor fuels. Its general partner, CrossAmerica GP LLC, is a wholly owned subsidiary of CST Brands, Inc., one of the largest independent retailers of motor fuels and convenience merchandise in North America. Formed in 2012, CrossAmerica Partners LP is a distributor of branded and unbranded petroleum for motor vehicles in the United States and distributes fuel to more than 1,200 locations and owns or leases more than 800 sites. With a geographic footprint covering 25 states, the Partnership has well-established relationships with several major oil brands, including ExxonMobil, BP, Shell, Chevron, Sunoco, Valero, Gulf, Citgo and Marathon. CrossAmerica Partners ranks as one of ExxonMobil’s largest distributors by fuel volume in the United States and in the top 10 for additional brands. For additional information, please visit www.crossamericapartners.com.

Safe Harbor Statement

Statements contained in this release that state the Company’s or management’s expectations or predictions of the future are forward-looking statements. The words “believe,” “expect,” “should,” “intends,” “estimates,” “target” and other similar expressions identify forward-looking statements. It is important to note that actual results could differ materially from those projected in such forward-looking statements. For more information concerning factors that could cause actual results to differ from those expressed or forecasted, see CrossAmerica’s Form 10-Q or Form 10-K filed with the Securities and Exchange Commission, and available on the CrossAmerica’s website at www.crossamericapartners.com. The Partnership undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events or otherwise.

Contacts

CrossAmerica Partners LP
Investor Relations
Karen Yeakel, 610-625-8005
or
Randy Palmer, 210-692-2160

Contacts

CrossAmerica Partners LP
Investor Relations
Karen Yeakel, 610-625-8005
or
Randy Palmer, 210-692-2160