United Oil Acquires 251 Stations from PC& F
SC Fuels Acquires DeWitt Petroleum
California Plastic Bag Ban On Hold
Anthony Acquires New Production Facility

UNITED OIL ACQUIRES 251 STATIONS FROM PC&F

LOS ANGELES, CA. — United Oil, based here, has acquired 251 gasoline stations and convenience stores from Pacific Convenience & Fuels LLC (PC&F), based in Pleasanton, CA.

As part of the terms of the deal, the combined company will now operate under the name United Pacific. It will be owned as a "portfolio business" of Fortress Investment Group LLC, which had acquired United Oil.

Joe Juliano, who had been serving as president and CEO of United Oil, will now serve as president and CEO of United Pacific. The companies stated that, "The majority of PC&F's employees will become employees of United."

Included in the deal are gasoline stations and convenience stores operating under the 76, Conoco, Circle K and independent My Goods Market brands in California, Nevada, Oregon, Washington and Colorado.

The combined company will now include 319 company-operated stores and 60 fee-operated and leased locations operating in the West with over 2,500 employees.

PC&F had acquired over 500 company-owned, dealer and fee operator sites from ConocoPhillips Company in January 2009, a transaction which included nearly all of the U.S. retail assets of the major oil company at that time. That acquisition made PC&F a major marketer of the 76 and Conoco brands and the largest franchisee of Circle K in the U.S. at that time. With the combination of the PC&F assets and the United Oil assets, the company will be one of the largest retailers of the Phillips 66 brands.

"The combination of the two chains will provide for strong synergies and leverage the strengths of each organization," stated Joe Juliano, announcing the deal. "This acquisition significantly expands our retail presence in the Western U.S. and strategically positions our company for future growth."

The acquisition closed at the beginning of June.

SC FUELS ACQUIRES DEWITT PETROLEUM

ORANGE, CA. — SC Fuels has acquired DeWitt Petroleum, South El Monte, CA. The price of the transaction was not disclosed.

Included in the sale are all of of the DeWitt Petroleum assets including the company's wholesale operations, 12 cardlocks in the Southern California area, mobile on-site delivery service, and customer base.

With the addition of the DeWitt Petroleum assets, SC Fuels is now one of the biggest cardlock operators in the West with 49 locations in California and Arizona.

"DeWitt's assets complement our geographic footprint and fit well within our core markets. This acquisition will add significant long-term value to our company and provide SC Fuels the opportunity to strengthen our market presence and leverage our operating platform," stated SC Fuels Chief Operating Officer Steve Greinke, announcing the deal. "We are very pleased to welcome the DeWitt team to SC Fuels."

John DeWitt, former owner of DeWitt Petroleum, said that he and DeWitt Petroleum President Mary Wilson "had been looking down the next 10 to 20 years and we came to the conclusion we couldn't stay doing what we're doing in our niche with 63 employeesÉand withstand the highly regulated atmosphere of California." He noted that "Mary did a lot of serious research and chose to negotiate with the Greinke family. We have a family-run company and lots of long-term employees. We wanted to have a seamless transition with as many employees as possibleÉand a seamless transition for our customer base.

"They have a similar company culture," DeWitt continued. "They are family-run, but much bigger. There are more opportunities for our employees in terms of growth."

"We accepted the offer of SC Fuels," DeWitt concluded, "which included placement of 90% of our hardworking crew. We project a seamless conversion to one of the best-run marketers in the western states." He added, "SC Fuels has been good competition for us at the highest caliber. I think it will work out well."

DeWitt has agreed to join the Advisory Board of Directors of SC Fuels. SC Fuels established an Advisory Board of Directors to gain senior-level counsel and an independent perspective on an array of strategic, operational, and financial issues.

"We're thrilled to have such an accomplished executive join our team," said Steve Greinke. "His experience, expertise, insight, and relationships will be an invaluable asset as we take the company to its next level of development."

Of the appointment DeWitt joked that it "will allow me to recycle my stories of the 'old days'. A new audience should improve acceptance and my performance."

The sale of DeWitt Petroleum to SC Fuels closed on April 30.

CALIFORNIA PLASTIC BAG BAN ON HOLD

SACRAMENTO, CA. — California's statewide plastic bag ban is on hold until voters get a chance to weigh in on the issue.

California legislators had passed SB 270 last year which banned single-use plastic bags. The law also required grocery stores, convenience stores, pharmacies, and liquor stores to charge 10 cents for each paper bag given to customers to carry their purchases.

The law had been slated to take effect at larger stores in July 2015 and expand to all affected businesses in 2016.

A referendum which would overturn the plastic bag ban has qualified for the November 2016 ballot. In the meantime, the ban has been suspended, awaiting the results of the vote.

The referendum does not affect plastic bans currently in place in cities across California including Los Angeles, Long Beach, San Francisco, and Santa Monica.

The America Progressive Bag Alliance, which spearheaded the initiative to put the referendum on the ballot, said their goal was to make sure the law did not take effect "until voters have a say."

Opponents of the legislation, Californians vs. Big Plastic, stated, "We are confident that Californians will protect a law that is already in place in 138 communities that will save marine wildlife, reduce litter, and save taxpayers millions of dollars."

ANTHONY ACQUIRES NEW PRODUCTION FACILITY

SYLMAR, CA. — Convenience store equipment company Anthony, based in Sylmar, CA., has announced that they will acquire the North American Food Display operations division of SCHOTT Gemtron.

Included in the deal is SCHOTT Gemtron's production facility in Vincennes, IN., used to manufacture commercial food display refrigeration and freezer products, as well as other manufacturing assets.

As part of the purchase, Anthony will be able to supply SCHOTT Gemtron customers in North America (US, Canada, Mexico) with the company's full product offerings and customer support.

According to Anthony Vice President of Sales & Marketing Sean McGrann, "Anthony is looking forward to providing our customers throughout the industry with the products they need to continue to successfully operate their businesses."

Originally published in the June 2015 issue of O&A Marketing News.
Copyright 2015 by KAL Publications Inc.