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Title: Murphy Oil- Wal-Mart Fuel Post by: sauerkraut on July 16, 2007, 11:50:43 am Hey gang- Does anyone know why Wal-Mart is closing their gas stations? A big Wal-Mart Supercentert in Ohio closed it's fuel station, as did a few Wal-Mart stores around the city.- I asked around but no one really knows nothing. They just posted a sign that read "July 12, 2007 will be the last day of operations for this station, be sure to use your Wal-Mart fuel cards by then, thank you". Are the Wal-Mart gas stations still open in Tulsa?[V]
Title: Murphy Oil- Wal-Mart Fuel Post by: ttownclown on July 16, 2007, 12:00:37 pm I found this company press release --
EL DORADO, Ark., May 03, 2007 (BUSINESS WIRE) -- Murphy Oil Corporation (MUR : Murphy Oil Corporation News , chart , profile , more Last: 62.87-0.52-0.82% 1:40pm 07/16/2007 Delayed quote dataAdd to portfolio Analyst Create alertInsider Discuss Financials Sponsored by: MUR62.87, -0.52, -0.8%) announced today that its wholly owned subsidiary, Murphy Oil USA, Inc. (Company), has entered into an Agreement with Wal-Mart Stores, Inc. and subsidiaries to purchase parcels of property which the Company currently leases from Wal-Mart for its Murphy USA(R) retail gasoline stations. Murphy USA's retail presence currently covers twenty-one states primarily in the Southeast and upper Midwest. As a result of this transaction, capital expenditures for the Company are expected to increase by up to approximately $315 million during the 2007/2008 period. Under the terms of the Agreement, the conveyance of the parcels will occur in multiple phases over the next year. Expansion of the Murphy USA program will continue with additional opportunities to purchase new site locations in the future. In conjunction with this agreement, the Company plans to close up to 47 locations and incur after-tax impairment and restoration costs of approximately $18 million in the second quarter of 2007 which was not included in previously issued earnings guidance. Claiborne P. Deming, Murphy Oil Corporation's President and Chief Executive Officer, commented, "The purchase of these parcels reflects our commitment to sustaining the longevity of these very productive assets. We look forward to continuing our association with Wal-Mart as we expand our station base in the future while adhering to our strategy of offering high quality, competitively priced gasoline to our customers." The forward-looking statements reflected in this release are made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. No assurance can be given that the results discussed herein will be attained, and certain important factors that may cause actual results to differ materially are contained in Murphy's January 15, 1997 Form 8-K report on file with the U.S. Securities and Exchange Commission. SOURCE: Murphy Oil Corporation Title: Murphy Oil- Wal-Mart Fuel Post by: cannon_fodder on July 16, 2007, 12:30:01 pm Most gas stations make their money from merchandise sales. As fuel prices climb, gas retailers margin shrink and they rely more and more on merchandise. This explains why QT has been dominant the last 5 or 6 years...
It also explains why a retailer of just gas would be struggling. Title: Murphy Oil- Wal-Mart Fuel Post by: sauerkraut on July 16, 2007, 04:42:29 pm quote:That was a intresting article. In Ohio we have no QT fuel stations, but in Oklahoma they are always busy. No matter what QT you go into it's busy. They must make a ton of money. In Ohio we have places like "SpeedWay" and "Thortons" and the "Giant Eagle" food stores sell gasoline as well as Meijer stores. A Meijer store is a bit like a Wal-Mart Supercenter but the focus is a bit more on food items. Meijer just markets in a few mid-western states. Title: Murphy Oil- Wal-Mart Fuel Post by: sgrizzle on July 16, 2007, 07:47:12 pm quote: But some of your gas stations have Tim Hortons. Mmm.. timbits. |