Attached files
file | filename |
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EX-32.2 - EX-32.2 - GLOBAL PARTNERS LP | glp-20170331ex322006942.htm |
EX-32.1 - EX-32.1 - GLOBAL PARTNERS LP | glp-20170331ex321f1f13b.htm |
EX-31.2 - EX-31.2 - GLOBAL PARTNERS LP | glp-20170331ex312709e10.htm |
EX-31.1 - EX-31.1 - GLOBAL PARTNERS LP | glp-20170331ex3118cac07.htm |
EX-10.1 - EX-10.1 - GLOBAL PARTNERS LP | glp-20170331ex101d82d0f.htm |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
(Mark One) |
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☒ |
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the quarterly period ended March 31, 2017 |
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OR |
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☐ |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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For the transition period from to |
Commission file number 001-32593
Global Partners LP
(Exact name of registrant as specified in its charter)
Delaware |
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74-3140887 |
(State or other jurisdiction of incorporation |
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(I.R.S. Employer Identification No.) |
P.O. Box 9161
800 South Street
Waltham, Massachusetts 02454-9161
(Address of principal executive offices, including zip code)
(781) 894-8800
(Registrant’s telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.Yes ☒ No ☐
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files.Yes ☒ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer ☐ |
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Accelerated filer ☒ |
Non-accelerated filer ☐ |
(Do not check if a smaller reporting company) |
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Smaller reporting company ☐ |
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Emerging growth company ☐ |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ◻
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒
The issuer had 33,995,563 common units outstanding as of May 4, 2017.
GLOBAL PARTNERS LP
(In thousands, except unit data)
(Unaudited)
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March 31, |
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December 31, |
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2017 |
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2016 |
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Assets |
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Current assets: |
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Cash and cash equivalents |
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$ |
14,126 |
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$ |
10,028 |
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Accounts receivable, net |
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312,314 |
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421,360 |
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Accounts receivable—affiliates |
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2,957 |
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3,143 |
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Inventories |
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433,952 |
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521,878 |
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Brokerage margin deposits |
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18,886 |
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27,653 |
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Derivative assets |
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2,720 |
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21,382 |
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Prepaid expenses and other current assets |
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71,110 |
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70,022 |
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Total current assets |
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856,065 |
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1,075,466 |
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Property and equipment, net |
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1,074,465 |
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1,099,899 |
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Intangible assets, net |
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62,443 |
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65,013 |
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Goodwill |
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292,773 |
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294,768 |
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Other assets |
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42,583 |
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28,874 |
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Total assets |
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$ |
2,328,329 |
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$ |
2,564,020 |
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Liabilities and partners’ equity |
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Current liabilities: |
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Accounts payable |
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$ |
232,125 |
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$ |
320,262 |
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Working capital revolving credit facility—current portion |
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176,900 |
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274,600 |
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Environmental liabilities—current portion |
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5,339 |
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5,341 |
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Trustee taxes payable |
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98,955 |
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101,166 |
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Accrued expenses and other current liabilities |
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59,171 |
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70,443 |
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Derivative liabilities |
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4,986 |
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27,413 |
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Total current liabilities |
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577,476 |
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799,225 |
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Working capital revolving credit facility—less current portion |
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150,000 |
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150,000 |
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Revolving credit facility |
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200,700 |
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216,700 |
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Senior notes |
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659,805 |
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659,150 |
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Environmental liabilities—less current portion |
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55,105 |
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57,724 |
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Financing obligations |
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152,466 |
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152,444 |
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Deferred tax liabilities |
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65,296 |
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66,054 |
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Other long-term liabilities |
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62,173 |
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64,882 |
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Total liabilities |
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1,923,021 |
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2,166,179 |
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Partners’ equity |
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Global Partners LP equity: |
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Common unitholders 33,995,563 units issued and 33,554,328 outstanding at March 31, 2017 and 33,995,563 units issued and 33,543,669 outstanding at December 31, 2016) |
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408,187 |
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401,044 |
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General partner interest (0.67% interest with 230,303 equivalent units outstanding at March 31, 2017 and December 31, 2016) |
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(2,900) |
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(2,948) |
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Accumulated other comprehensive loss |
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(4,724) |
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(5,441) |
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Total Global Partners LP equity |
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400,563 |
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392,655 |
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Noncontrolling interest |
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4,745 |
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5,186 |
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Total partners’ equity |
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405,308 |
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397,841 |
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Total liabilities and partners’ equity |
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$ |
2,328,329 |
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$ |
2,564,020 |
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The accompanying notes are an integral part of these consolidated financial statements.
3
GLOBAL PARTNERS LP
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per unit data)
(Unaudited)
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Three Months Ended |
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March 31, |
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2017 |
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2016 |
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Sales |
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$ |
2,270,784 |
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$ |
1,750,812 |
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Cost of sales |
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2,130,757 |
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1,620,753 |
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Gross profit |
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140,027 |
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130,059 |
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Costs and operating expenses: |
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Selling, general and administrative expenses |
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36,787 |
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34,984 |
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Operating expenses |
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67,213 |
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72,236 |
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Amortization expense |
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2,261 |
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2,509 |
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Net (gain) loss on sale and disposition of assets |
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(11,862) |
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6,105 |
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Total costs and operating expenses |
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94,399 |
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115,834 |
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Operating income |
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45,628 |
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14,225 |
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Interest expense |
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(23,287) |
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(22,980) |
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Income (loss) before income tax benefit |
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22,341 |
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(8,755) |
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Income tax benefit |
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164 |
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920 |
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Net income (loss) |
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22,505 |
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(7,835) |
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Net loss attributable to noncontrolling interest |
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441 |
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811 |
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Net income (loss) attributable to Global Partners LP |
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22,946 |
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(7,024) |
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Less: General partner’s interest in net income (loss), including incentive distribution rights |
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154 |
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(47) |
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Limited partners’ interest in net income (loss) |
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$ |
22,792 |
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$ |
(6,977) |
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Basic net income (loss) per limited partner unit |
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$ |
0.68 |
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$ |
(0.21) |
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Diluted net income (loss) per limited partner unit |
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$ |
0.68 |
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$ |
(0.21) |
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Basic weighted average limited partner units outstanding |
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33,554 |
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33,517 |
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Diluted weighted average limited partner units outstanding |
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33,610 |
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33,517 |
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The accompanying notes are an integral part of these consolidated financial statements.
4
GLOBAL PARTNERS LP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
(In thousands)
(Unaudited)
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Three Months Ended |
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March 31, |
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2017 |
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2016 |
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Net income (loss) |
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$ |
22,505 |
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$ |
(7,835) |
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Other comprehensive income: |
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Change in fair value of cash flow hedges |
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398 |
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261 |
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Change in pension liability |
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319 |
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68 |
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Total other comprehensive income |
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717 |
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329 |
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Comprehensive income (loss) |
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23,222 |
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(7,506) |
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Comprehensive loss attributable to noncontrolling interest |
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441 |
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811 |
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Comprehensive income (loss) attributable to Global Partners LP |
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$ |
23,663 |
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$ |
(6,695) |
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The accompanying notes are an integral part of these consolidated financial statements.
5
GLOBAL PARTNERS LP
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
6
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Three Months Ended |
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March 31, |
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2017 |
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2016 |
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Cash flows from operating activities |
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Net income (loss) |
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$ |
22,505 |
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$ |
(7,835) |
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Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: |
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Depreciation and amortization |
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26,364 |
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28,669 |
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Amortization of deferred financing fees |
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1,535 |
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1,429 |
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Amortization of leasehold interests |
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310 |
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313 |
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Amortization of senior notes discount |
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356 |
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343 |
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Bad debt expense |
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752 |
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50 |
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Unit-based compensation expense |
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(117) |
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1,075 |
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Write-off of financing fees |
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— |
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1,828 |
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Net (gain) loss on sale and disposition of assets |
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(11,862) |
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6,105 |
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Changes in operating assets and liabilities, excluding net assets acquired: |
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Accounts receivable |
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108,294 |
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2,945 |
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Accounts receivable-affiliate |
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186 |
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(904) |
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Inventories |
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87,379 |
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(13,920) |
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Broker margin deposits |
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8,767 |
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(7,528) |
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Prepaid expenses, all other current assets and other assets |
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(16,017) |
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(9,952) |
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Accounts payable |
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(88,137) |
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(47,982) |
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Trustee taxes payable |
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(2,211) |
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(7,259) |
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Change in derivatives |
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(5,256) |
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16,714 |
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Accrued expenses, all other current liabilities and other long-term liabilities |
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(15,283) |
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(17,607) |
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Net cash provided by (used in) operating activities |
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117,565 |
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(53,516) |
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Cash flows from investing activities |
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Capital expenditures |
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(8,378) |
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(16,451) |
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Proceeds from sale of property and equipment |
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24,249 |
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8,588 |
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Net cash provided by (used in) investing activities |
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15,871 |
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(7,863) |
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Cash flows from financing activities |
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Net (payments on) borrowings from working capital revolving credit facility |
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(97,700) |
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87,100 |
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Net (payments on) borrowings from revolving credit facility |
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(16,000) |
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6,100 |
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Noncontrolling interest capital contribution |
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— |
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357 |
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Distribution to noncontrolling interest |
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— |
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(595) |
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Distributions to partners |
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(15,638) |
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(15,630) |
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Net cash (used in) provided by financing activities |
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(129,338) |
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77,332 |
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Cash and cash equivalents |
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|
|
|
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Increase in cash and cash equivalents |
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4,098 |
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|
15,953 |
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Cash and cash equivalents at beginning of period |
|
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10,028 |
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|
1,116 |
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Cash and cash equivalents at end of period |
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$ |
14,126 |
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$ |
17,069 |
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Supplemental information |
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Cash paid during the period for interest |
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$ |
17,265 |
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$ |
17,232 |
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The accompanying notes are an integral part of these consolidated financial statements.
6
GLOBAL PARTNERS LP
CONSOLIDATED STATEMENTS OF PARTNERS’ EQUITY
(In thousands)
(Unaudited)
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Accumulated |
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General |
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Other |
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Total |
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Common |
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Partner |
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Comprehensive |
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Noncontrolling |
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Partners’ |
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Unitholders |
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Interest |
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Loss |
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Interest |
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Equity |
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Balance at December 31, 2016 |
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$ |
401,044 |
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$ |
(2,948) |
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$ |
(5,441) |
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$ |
5,186 |
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$ |
397,841 |
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Net income (loss) |
|
|
22,792 |
|
|
154 |
|
|
— |
|
|
(441) |
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|
22,505 |
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Other comprehensive income |
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|
— |
|
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— |
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|
717 |
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— |
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|
717 |
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Unit-based compensation |
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(117) |
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— |
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— |
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— |
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(117) |
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Distributions to partners |
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(15,723) |
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(106) |
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— |
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— |
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(15,829) |
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Dividends on repurchased units |
|
|
191 |
|
|
— |
|
|
— |
|
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— |
|
|
191 |
|
Balance at March 31, 2017 |
|
$ |
408,187 |
|
$ |
(2,900) |
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$ |
(4,724) |
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$ |
4,745 |
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$ |
405,308 |
|
The accompanying notes are an integral part of these consolidated financial statements.
7
Note 1. Organization and Basis of Presentation
Organization
Global Partners LP (the “Partnership”) is a midstream logistics and marketing master limited partnership formed in March 2005 engaged in the purchasing, selling, storing and logistics of transporting petroleum and related products, including gasoline and gasoline blendstocks (such as ethanol), distillates (such as home heating oil, diesel and kerosene), residual oil, renewable fuels, crude oil and propane. The Partnership owns, controls or has access to one of the largest terminal networks of refined petroleum products and renewable fuels in Massachusetts, Maine, Connecticut, Vermont, New Hampshire, Rhode Island, New York, New Jersey and Pennsylvania (collectively, the “Northeast”). The Partnership is one of the largest distributors of gasoline, distillates, residual oil and renewable fuels to wholesalers, retailers and commercial customers in the New England states and New York. The Partnership is also one of the largest independent owners, suppliers and operators of gasoline stations and convenience stores with locations throughout the New England states and New York. As of March 31, 2017, the Partnership had a portfolio of 1,445 owned, leased and/or supplied gasoline stations, including 243 directly operated convenience stores, in the Northeast, Maryland and Virginia. The Partnership also receives revenue from convenience store sales and gasoline station rental income. In addition, the Partnership owns transload and storage terminals in North Dakota and Oregon that extend its origin-to-destination capabilities from the mid-continent region of the United States and Canada.
Global GP LLC, the Partnership’s general partner (the “General Partner”), manages the Partnership’s operations and activities and employs its officers and substantially all of its personnel, except for most of its gasoline station and convenience store employees who are employed by Global Montello Group Corp. (“GMG”), a wholly owned subsidiary of the Partnership.
The General Partner, which holds a 0.67% general partner interest in the Partnership, is owned by affiliates of the Slifka family. As of March 31, 2017, affiliates of the General Partner, including its directors and executive officers and their affiliates, owned 7,433,829 common units, representing a 21.9% limited partner interest.
Recent Transactions
Amended and Restated Credit Agreement— On April 25, 2017, the Partnership and certain of its subsidiaries entered into a third amended and restated credit agreement with aggregate commitments of $1.3 billion and a maturity date of April 30, 2020. See Note 7 for additional information.
Potential Sale of Terminal Assets—On February 2, 2017, the Partnership began soliciting proposals for the potential sale of six refined petroleum products terminals located in New England, New York and Pennsylvania. The assets consist of product terminals that represent 1.1 million barrels of aggregate storage capacity. These assets did not meet the criteria to be presented as held for sale as of March 31, 2017.
Sale of Natural Gas and Electricity Brokerage Businesses—On February 1, 2017, the Partnership completed the sale of its natural gas marketing and electricity brokerage businesses for a purchase price of approximately $17.3 million, subject to customary closing adjustments. Proceeds from the sale amounted to approximately $16.3 million, and the Partnership realized a gain on the sale of $14.2 million. The sale of the natural gas marketing and electricity brokerage businesses reflects the Partnership’s ongoing program to monetize non-strategic assets not fundamental to its growth strategy. Prior to the sale, the results of natural gas marketing and electricity brokerage businesses were included in the Commercial segment. See Note 6.
8
Basis of Presentation
The accompanying consolidated financial statements as of March 31, 2017 and December 31, 2016 and for the three months ended March 31, 2017 and 2016 reflect the accounts of the Partnership. Upon consolidation, all intercompany balances and transactions have been eliminated.
The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and reflect all adjustments (consisting of normal recurring adjustments) which are, in the opinion of management, necessary for a fair presentation of the financial condition and operating results for the interim periods. The interim financial information, which has been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), should be read in conjunction with the consolidated financial statements for the year ended December 31, 2016 and notes thereto contained in the Partnership’s Annual Report on Form 10-K. The significant accounting policies described in Note 2, “Summary of Significant Accounting Policies,” of such Annual Report on Form 10-K are the same used in preparing the accompanying consolidated financial statements.
The results of operations for the three months ended March 31, 2017 are not necessarily indicative of the results of operations that will be realized for the entire year ending December 31, 2017. The consolidated balance sheet at December 31, 2016 has been derived from the audited consolidated financial statements included in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2016.
Noncontrolling Interest
The Partnership acquired a 60% interest in Basin Transload, LLC (“Basin Transload”) on February 1, 2013. After evaluating Accounting Standards Codification (“ASC”) Topic 810, “Consolidations,” the Partnership concluded it is appropriate to consolidate the balance sheet and statements of operations of Basin Transload based on an evaluation of the outstanding voting interests. Amounts pertaining to the noncontrolling ownership interest held by third parties in the financial position and operating results of the Partnership are reported as a noncontrolling interest in the accompanying consolidated balance sheets and statements of operations.
Concentration of Risk
Due to the nature of the Partnership’s business and its reliance, in part, on consumer travel and spending patterns, the Partnership may experience more demand for gasoline during the late spring and summer months than during the fall and winter. Travel and recreational activities are typically higher in these months in the geographic areas in which the Partnership operates, increasing the demand for gasoline. Therefore, the Partnership’s volumes in gasoline are typically higher in the second and third quarters of the calendar year. As demand for some of the Partnership’s refined petroleum products, specifically home heating oil and residual oil for space heating purposes, is generally greater during the winter months, heating oil and residual oil volumes are generally higher during the first and fourth quarters of the calendar year. These factors may result in fluctuations in the Partnership’s quarterly operating results.
9
The following table presents the Partnership’s product sales and other revenues as a percentage of the consolidated sales for the periods presented:
|
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Three Months Ended |
|
||
|
|
March 31, |
|
||
|
|
2017 |
|
2016 |
|
Gasoline sales: gasoline and gasoline blendstocks (such as ethanol) |
|
59 |
% |
57 |
% |
Crude oil sales and crude oil logistics revenue |
|
5 |
% |
8 |
% |
Distillates (home heating oil, diesel and kerosene), residual oil, natural gas and propane sales |
|
33 |
% |
30 |
% |
Convenience store sales, rental income and sundry sales |
|
3 |
% |
5 |
% |
Total |
|
100 |
% |
100 |
% |
The following table presents the Partnership’s product margin by segment as a percentage of the consolidated product margin for the periods presented:
|
|
Three Months Ended |
|
||
|
|
March 31, |
|
||
|
|
2017 |
|
2016 |
|
Wholesale segment |
|
32 |
% |
25 |
% |
Gasoline Distribution and Station Operations segment |
|
65 |
% |
70 |
% |
Commercial segment |
|
3 |
% |
5 |
% |
Total |
|
100 |
% |
100 |
% |
See Note 15, “Segment Reporting,” for additional information on the Partnership’s operating segments.
None of the Partnership’s customers accounted for greater than 10% of total sales for the three months ended March 31, 2017 and 2016.
Note 2. Net Income (Loss) Per Limited Partner Unit
Under the Partnership’s partnership agreement, for any quarterly period, the incentive distribution rights (“IDRs”) participate in net income only to the extent of the amount of cash distributions actually declared, thereby excluding the IDRs from participating in the Partnership’s undistributed net income or losses. Accordingly, the Partnership’s undistributed net income or losses is assumed to be allocated to the common unitholders, or limited partners’ interest, and to the General Partner’s general partner interest.
Common units outstanding as reported in the accompanying consolidated financial statements at March 31, 2017 and December 31, 2016 excluded 441,235 and 451,894 common units, respectively, held on behalf of the Partnership pursuant to its repurchase program (see Note 12). These units are not deemed outstanding for purposes of calculating net income (loss) per limited partner unit (basic and diluted).
10
The following table provides a reconciliation of net income (loss) and the assumed allocation of net income (loss) to the limited partners’ interest for purposes of computing net income (loss) per limited partner unit for the three months ended March 31, 2017 and 2016 (in thousands, except per unit data):
|
|
Three Months Ended March 31, 2017 |
|
|
|
Three Months Ended March 31, 2016 |
|
||||||||||||||||||||
|
|
|
|
|
Limited |
|
General |
|
|
|
|
|
|
|
|
|
Limited |
|
General |
|
|
|
|
||||
|
|
|
|
|
Partner |
|
Partner |
|
|
|
|
|
|
|
|
|
Partner |
|
Partner |
|
|
|
|
||||
Numerator: |
|
Total |
|
Interest |
|
Interest |
|
IDRs |
|
|
|
Total |
|
Interest |
|
Interest |
|
IDRs |
|
||||||||
Net income (loss) attributable to Global Partners LP |
|
$ |
22,946 |
|
$ |
22,792 |
|
$ |
154 |
|
$ |
— |
|
|
|
$ |
(7,024) |
|
$ |
(6,977) |
|
$ |
(47) |
|
$ |
— |
|
Declared distribution |
|
$ |
15,829 |
|
$ |
15,723 |
|
$ |
106 |
|
$ |
— |
|
|
|
$ |
15,829 |
|
$ |
15,723 |
|
$ |
106 |
|
$ |
— |
|
Assumed allocation of undistributed net income (loss) |
|
|
7,117 |
|
|
7,069 |
|
|
48 |
|
|
— |
|
|
|
|
(22,853) |
|
|
(22,700) |
|
|
(153) |
|
|
— |
|
Assumed allocation of net income (loss) |
|
$ |
22,946 |
|
$ |
22,792 |
|
$ |
154 |
|
$ |
— |
|
|
|
$ |
(7,024) |
|
$ |
(6,977) |
|
$ |
(47) |
|
$ |
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Denominator: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average limited partner units outstanding |
|
|
|
|
|
33,554 |
|
|
|
|
|
|
|
|
|
|
|
|
|
33,517 |
|
|
|
|
|
|
|
Dilutive effect of phantom units |
|
|
|
|
|
56 |
|
|
|
|
|
|
|
|
|
|
|
|
|
— |
|
|
|
|
|
|
|
Diluted weighted average limited partner units outstanding |
|
|
|
|
|
33,610 |
|
|
|
|
|
|
|
|
|
|
|
|
|
33,517 |
|
|
|
|
|
|
|
Basic net income (loss) per limited partner unit |
|
|
|
|
$ |
0.68 |
|
|
|
|
|
|
|
|
|
|
|
|
$ |
(0.21) |
|
|
|
|
|
|
|
Diluted net income (loss) per limited partner unit (1) |
|
|
|
|
$ |
0.68 |
|
|
|
|
|
|
|
|
|
|
|
|
$ |
(0.21) |
|
|
|
|
|
|
|
(1) |
Basic units were used to calculate diluted net loss per limited partner unit for the three months ended March 31, 2016, as using the effects of phantom units would have an anti-dilutive effect on net loss per limited partner unit. |
The board of directors of the General Partner declared the following quarterly cash distribution:
|
|
Per Unit Cash |
|
|
Distribution Declared for the |
|
|
Cash Distribution Declaration Date |
|
Distribution Declared |
|
|
Quarterly Period Ended |
|
|
April 28, 2017 |
|
$ |
0.4625 |
|
|
March 31, 2017 |
|
See Note 13, “Partners’ Equity and Cash Distributions” for further information.
Note 3. Inventories
The Partnership hedges substantially all of its petroleum and ethanol inventory using a variety of instruments, primarily exchange-traded futures contracts. These futures contracts are entered into when inventory is purchased and are either designated as fair value hedges against the inventory on a specific barrel basis for inventories qualifying for fair value hedge accounting or not designated and maintained as economic hedges against certain inventory of the Partnership on a specific barrel basis. Changes in fair value of these futures contracts, as well as the offsetting change in fair value on the hedged inventory, is recognized in earnings as an increase or decrease in cost of sales. All hedged inventory designated in a fair value hedge relationship is valued using the lower of cost, as determined by specific identification, or net realizable value, as determined at the product level. All petroleum and ethanol inventory not designated in a fair value hedging relationship is carried at the lower of historical cost, on a first-in, first-out basis, or net realizable value.
Convenience store inventory and Renewable Identification Numbers (“RINs”) inventory are carried at the lower of historical cost or net realizable value.
11
Inventories consisted of the following (in thousands):
|
|
March 31, |
|
December 31, |
|
||
|
|
2017 |
|
2016 |
|
||
Distillates: home heating oil, diesel and kerosene |
|
$ |
157,037 |
|
$ |
180,272 |
|
Gasoline |
|
|
70,093 |
|
|
101,368 |
|
Gasoline blendstocks |
|
|
49,276 |
|
|
54,582 |
|
Crude oil |
|
|
121,577 |
|
|
136,113 |
|
Residual oil |
|
|
18,319 |
|
|
29,536 |
|
Propane and other |
|
|
976 |
|
|
3,167 |
|
Renewable identification numbers (RINs) |
|
|
640 |
|
|
631 |
|
Convenience store inventory |
|
|
16,034 |
|
|
16,209 |
|
Total |
|
$ |
433,952 |
|
$ |
521,878 |
|
In addition to its own inventory, the Partnership has exchange agreements for petroleum products and ethanol with unrelated third-party suppliers, whereby it may draw inventory from these other suppliers and suppliers may draw inventory from the Partnership. Positive exchange balances are accounted for as accounts receivable and amounted to $3.5 million and $4.0 million at March 31, 2017 and December 31, 2016, respectively. Negative exchange balances are accounted for as accounts payable and amounted to $7.4 million and $13.4 million at March 31, 2017 and December 31, 2016, respectively. Exchange transactions are valued using current carrying costs.
Note 4. Goodwill
The following table presents changes in goodwill, all of which has been allocated to the Gasoline Distribution and Station Operations (“GDSO”) segment (in thousands):
Balance at December 31, 2016 |
|
$ |
294,768 |
|
Disposals (1) |
|
|
(1,995) |
|
Balance at March 31, 2017 |
|
$ |
292,773 |
|
(1) |
Disposals represent derecognition of goodwill associated with the sale and disposition of certain assets. See Note 6. |
Note 5. Property and Equipment
Property and equipment consisted of the following (in thousands):
|
|
March 31, |
|
December 31, |
|
||
|
|
2017 |
|
2016 |
|
||
Buildings and improvements |
|
$ |
994,236 |
|
$ |
984,373 |
|
Land |
|
|
411,777 |
|
|
418,025 |
|
Fixtures and equipment |
|
|
41,304 |
|
|
40,354 |
|
Idle plant assets |
|
|
30,500 |
|
|
30,500 |
|
Construction in process |
|
|
33,129 |
|
|
42,069 |
|
Capitalized internal use software |
|
|
20,097 |
|
|
20,097 |
|
Total property and equipment |
|
|
1,531,043 |
|
|
1,535,418 |
|
Less accumulated depreciation |
|
|
456,578 |
|
|
435,519 |
|
Total |
|
$ |
1,074,465 |
|
$ |
1,099,899 |
|
12
Property and equipment includes assets held for sale of $11.9 million and $17.5 million at March 31, 2017 and December 31, 2016, respectively (see Note 5). See Note 21 for assets held for sale recognized subsequent to March 31, 2017.
At March 31, 2017, the Partnership had a $61.5 million remaining net book value of long-lived assets at its West Coast facility, including $30.5 million related to the Partnership’s ethanol plant acquired in 2013. In 2016, the Partnership shifted the facility from crude oil to ethanol transloading and began transloading ethanol. The Partnership would need to take certain measures to prepare the facility for ethanol production in order to place the plant into service. Therefore, the $30.5 million related to the ethanol plant was included in property and equipment and classified as idle plant assets at March 31, 2017 and December 31, 2016.
If the Partnership is unable to generate cash flows to support the recoverability of the plant and facility assets, this may become an indicator of potential impairment of the West Coast facility. Associated with the fair value appraisals determined by third-party valuation specialists in support of the Partnership’s 2016 step two goodwill impairment test, the Partnership received an estimated fair value for the West Coast facility significantly in excess of the $61.5 million remaining net book value. The estimated fair value obtained was based on market comparable transactions for sale of ethanol plant assets, both active and idle, at the time of sale. While the fair value analysis was not prepared or obtained to support the recoverability of the West Coast facility or idle plant assets, the Partnership does not believe that changes in assumptions would impact the estimated fair value such that it might result in a fair value estimate of the West Coast facility that would be less than the $61.5 million net book value at March 31, 2017. The Partnership will continue to monitor the market for ethanol, the continued business development of this facility for either ethanol or crude oil transloading, and the related impact this may have on the facility’s operating cash flows and whether this would constitute an impairment indicator.
Note 6. Sales and Disposition of Assets
The following table provides the Partnership’s (gain) loss on sale and dispositions of assets for the three months ended March 31, 2017 and 2016 (in thousands):
|
|
Three Months Ended |
|
||||
|
|
March 31, |
|
||||
|
|
2017 |
|
2016 |
|
||
Sale of natural gas brokerage and electricity businesses |
|
$ |
(14,172) |
|
$ |
— |
|
Periodic divestiture of gasoline stations |
|
|
(180) |
|
|
579 |
|
Strategic asset divestiture program - Real estate firm coordinated sale |
|
|
423 |
|
|
— |
|
Loss on assets held for sale |
|
|
2,051 |
|
|
5,536 |
|
Other |
|
|
16 |
|
|
(10) |
|
Net (gain) loss on sale and disposition of assets |
|
$ |
(11,862) |
|
$ |
6,105 |
|
Sale of Natural Gas and Electricity Brokerage Businesses
On February 1, 2017, the Partnership completed the sale of its natural gas marketing and electricity brokerage businesses for a purchase price of approximately $17.3 million, subject to customary closing adjustments. Proceeds from the sale amounted to approximately $16.3 million, and the Partnership realized a gain on the sale of $14.2 million. See Note 1.
Periodic Divestiture of Gasoline Stations
As part of the routine course of operations in the GDSO segment, the Partnership may periodically divest certain gasoline stations. The gain or loss on the sale, representing cash proceeds less net book value of assets and recognized liabilities at disposition, net of settlement and dispositions costs, is recorded in net (gain) loss on sale and disposition of
13
assets in the accompanying consolidated statements of operations and amounted to a $0.2 million gain and a $0.6 million loss for the three months ended March 31, 2017 and 2016 respectively.
Strategic Asset Divestiture Program
The Partnership identified certain non-strategic GDSO sites that are part of its Strategic Asset Divestiture Program (the “Divestiture Program”).
Real Estate Firm Coordinated Sale—The Partnership has retained a real estate firm to coordinate the sale of approximately 75 non-strategic GDSO sites as of March 31, 2017. Since the Divesture Program was implemented, the Partnership completed the sale of 45 of these sites, of which 16 sites were sold during the three month ended March 31, 2017. The gain or loss on the sale, representing cash proceeds less net book value of assets and recognized liabilities at disposition, net of settlement and dispositions costs, is recorded in net (gain) loss on sale and disposition of assets in the accompanying consolidated statement of operations and amounted to a $0.4 million loss for the three months ended March 31, 2017, including the derecognition of $2.0 million of GDSO goodwill. As of March 31, 2017, the criteria to be presented as held for sale was met for 22 of the remaining sites. Through April 2017, such criteria was met for one additional site (see Note 21).
Loss on Assets Held for Sale
In conjunction with the periodic divestiture of gasoline stations and the sale of sites within the Divestiture Program, the Partnership may classify certain gasoline station assets as held for sale.
The Partnership classified 15 sites and 17 sites as held for sale at March 31, 2017 and December 31, 2016, respectively, which are periodic divestiture gasoline station sites. The Partnership recorded impairment charges related to these assets held for sale in the amount of $0.2 million and $5.5 million for the three months ended March 31, 2017 and 2016, respectively, which are included in net (gain) loss on sale and disposition of assets in the accompanying consolidated statements of operations.
Additionally, the Partnership classified 22 sites associated with the real estate firm coordinated sale discussed above as held for sale at March 31, 2017. The Partnership recorded impairment charges related to these assets held for sale in the amount of $1.9 and million and $0 for the three months ended March 31, 2017 and 2016, respectively, which are included in net (gain) loss on sale and disposition of assets in the accompanying consolidated statements of operations.
Assets held for sale of $11.9 million and $17.5 million at March 31, 2017 and December 31, 2016, respectively, are included in property and equipment in the accompanying balance sheets. Assets held for sale are expected to be sold within the next 12 months.
Other
The Partnership recognizes gains and losses on the sale and disposition of other assets, including vehicles, fixtures and equipment, and the gain or loss on such other assets are included in other in the aforementioned table.
Note 7. Debt and Financing Obligations
Credit Agreement
As of March 31, 2017, certain subsidiaries of the Partnership, as borrowers, and the Partnership and certain of its subsidiaries, as guarantors, had a $1.475 billion senior secured credit facility (the “Credit Agreement”) that was to
14
mature on April 30, 2018. On April 25, 2017, the Partnership and certain of its subsidiaries entered into a third amended and restated credit agreement with aggregate commitments of $1.3 billion and a maturity date of April 30, 2020 (see “–Third Amended and Restated Credit Agreement” below).
As of March 31, 2017, the two facilities under the Credit Agreement included:
· |
a working capital revolving credit facility to be used for working capital purposes and letters of credit in the principal amount equal to the lesser of the Partnership’s borrowing base and $900.0 million; and |
· |
a $575.0 million revolving credit facility to be used for acquisitions, joint ventures, capital expenditures, letters of credit and general corporate purposes. |
In addition, the Credit Agreement had an accordion feature whereby the Partnership could request on the same terms and conditions of its then-existing credit agreement, provided no Event of Default (as defined in the Credit Agreement) existed, an increase to the working capital revolving credit facility, the revolving credit facility, or both, by up to another $300.0 million.
In addition, the Credit Agreement included a swing line pursuant to which Bank of America, N.A., as the swing line lender, could make swing line loans in U.S. dollars in an aggregate amount equal to the lesser of (a) $50.0 million and (b) the Aggregate WC Commitments (as defined in the Credit Agreement). Swing line loans bore interest at the Base Rate (as defined in the Credit Agreement). The swing line was a sub-portion of the working capital revolving credit facility and was not an addition to the then total available commitments of $1.475 billion.
The average interest rates for the Credit Agreement were 3.4% and 3.8% for the three months ended March 31, 2017 and 2016, respectively. The decline in the average interest rates is due to the May 2016 expiration of an interest rate swap.
The Partnership classifies a portion of its working capital revolving credit facility as a current liability and a portion as a long-term liability. The portion classified as a long-term liability represents the amounts expected to be outstanding during the entire year based on an analysis of historical daily borrowings under the working capital revolving credit facility, the seasonality of borrowings, forecasted future working capital requirements and forward product curves, and because the Partnership has a multi-year, long-term commitment from its bank group. Accordingly, at March 31, 2017, the Partnership estimated working capital revolving credit facility borrowings will equal or exceed $150.0 million over the next twelve months and, therefore, classified $176.9 million as the current portion at March 31, 2017, representing the amount the Partnership expects to pay down over the next twelve months. The long-term portion of the working capital revolving credit facility was $150.0 million at each of March 31, 2017 and December 31, 2016, and the current portion was $176.9 million and $274.6 million at March 31, 2017 and December 31, 2016, respectively. The decrease in total borrowings under the working capital revolving credit facility of $97.7 million from December 31, 2016 was primarily due to decreases in accounts receivable and inventories, in part due to seasonality relating to the heating season, reduced inventory volume and a decline in prices.
As of March 31, 2017, the Partnership had total borrowings outstanding under the Credit Agreement of $527.6 million, including $200.7 million outstanding on the revolving credit facility. In addition, the Partnership had outstanding letters of credit of $39.1 million. Subject to borrowing base limitations, the total remaining availability for borrowings and letters of credit was $908.3 million and $764.8 million at March 31, 2017 and December 31, 2016, respectively.
The Credit Agreement was secured by substantially all of the assets of the Partnership and the Partnership’s wholly owned subsidiaries and was guaranteed by the Partnership and its subsidiaries with the exception of Basin Transload.
15
The Credit Agreement imposed financial covenants that required the Partnership to maintain certain minimum working capital amounts, a minimum combined interest coverage ratio, a maximum senior secured leverage ratio and a maximum total leverage ratio. The Partnership was in compliance with the foregoing covenants at March 31, 2017. The Credit Agreement also contained a representation whereby there can be no event or circumstance, either individually or in the aggregate, that has had or could reasonably be expected to have a Material Adverse Effect (as defined in the Credit Agreement). In addition, the Credit Agreement limited distributions by the Partnership to its unitholders to the amount of Available Cash (as defined in the Partnership’s partnership agreement).
Third Amended and Restated Credit Agreement
On April 25, 2017, the Partnership, its operating company, its operating subsidiaries and GLP Finance Corp. entered into a Third Amended and Restated Credit Agreement (the “Amended Credit Agreement”), with Aggregate Commitments (as defined in the Amended Credit Agreement) available in the amount of $1.3 billion. The Amended Credit Agreement will mature on April 30, 2020.
There are two facilities under the Amended Credit Agreement:
· |
a working capital revolving credit facility to be used for working capital purposes and letters of credit in the principal amount equal to the lesser of the Partnership’s borrowing base and $850.0 million; and |
· |
a $450.0 million revolving credit facility to be used for acquisitions, joint ventures, capital expenditures, letters of credit and general corporate purposes. |
In addition, the Amended Credit Agreement has an accordion feature whereby the borrowers may request on the same terms and conditions then applicable to the Amended Credit Agreement, provided no Event of Default (as defined in the Amended Credit Agreement) then exists, an increase to the working capital revolving credit facility, the revolving credit facility, or both, by up to another $300.0 million, in the aggregate, for a total credit facility of up to $1.6 billion. Any such request for an increase by the borrowers must be in a minimum amount of $25.0 million.
In addition, the Amended Credit Agreement includes a swing line pursuant to which Bank of America, N.A., as the swing line lender, may make swing line loans in U.S. dollars in an aggregate amount equal to the lesser of (a) $75.0 million and (b) the Aggregate WC Commitments (as defined in the Amended Credit Agreement). Swing line loans will bear interest at the Base Rate (as defined in the Amended Credit Agreement). The swing line is a sub-portion of the working capital revolving credit facility and is not an addition to the total available commitments of $1.3 billion.
Borrowings under the Amended Credit Agreement are available in U.S. dollars and Canadian dollars. The aggregate amount of loans made under the Amended Credit Agreement denominated in Canadian dollars cannot exceed $200.0 million.
Availability under the working capital revolving credit facility is subject to a borrowing base which is redetermined from time to time and based on specific advance rates on eligible current assets. Under the Amended Credit Agreement, borrowings under the working capital revolving credit facility cannot exceed the then current borrowing base. Availability under the borrowing base may be affected by events beyond the Partnership’s control, such as changes in petroleum product prices, collection cycles, counterparty performance, advance rates and limits and general economic conditions. These and other events could require the Partnership to seek waivers or amendments of covenants or alternative sources of financing or to reduce expenditures. The Partnership can provide no assurance that such waivers, amendments or alternative financing could be obtained or, if obtained, would be on terms acceptable to the Partnership.
16
Borrowings under the working capital revolving credit facility bear interest at (1) the Eurocurrency rate plus 2.00% to 2.50%, (2) the cost of funds rate plus 2.00% to 2.50%, or (3) the base rate plus 1.00% to 1.50%, each depending on the Utilization Amount (as defined in the Amended Credit Agreement).
Borrowings under the revolving credit facility bear interest at (1) the Eurocurrency rate plus 2.00% to 3.00%, which was reduced from the Eurocurrency rate plus 2.25% to 3.50%, (2) the cost of funds rate plus 2.00% to 3.00%, which was reduced from the cost of funds rate plus 2.25% to 3.50%, or (3) the base rate plus 1.00% to 2.00% which was reduced from the base rate plus 1.25% to 2.50%, each depending on the Combined Total Leverage Ratio (as defined in the Amended Credit Agreement).
The Amended Credit Agreement provides for a letter of credit fee equal to the then applicable working capital rate or then applicable revolver rate (each such rate as defined in the Amended Credit Agreement) per annum for each letter of credit issued. In addition, the Partnership incurs a commitment fee on the unused portion of each facility under the Amended Credit Agreement, ranging from 0.350% to 0.50% per annum.
The Amended Credit Agreement is secured by substantially all of the assets of the Partnership and the Partnership’s wholly-owned subsidiaries and is guaranteed by the Partnership and its subsidiaries, Bursaw Oil LLC, Global Partners Energy Canada ULC, Warex Terminals Corporation, Drake Petroleum Company, Inc., Puritan Oil Company, Inc. and Maryland Oil Company, Inc. The Amended Credit Agreement imposes certain requirements on the borrowers including, for example, a prohibition against distributions if any potential default or Event of Default (as defined in the Amended Credit Agreement) would occur as a result thereof, and certain limitations on the Partnership’s ability to grant liens, make certain loans or investments, incur additional indebtedness or guarantee other indebtedness, make any material change to the nature of the Partnership’s business or undergo a fundamental change, make any material dispositions, acquire another company, enter into a merger, consolidation, sale leaseback transaction or purchase of assets, or make capital expenditures in excess of specified levels.
The Amended Credit Agreement also added (or increased as the case may be) certain baskets that were not included in the Credit Agreement, including: (i) a $25.0 million general secured indebtedness basket, (ii) a $25.0 million general investment basket, (iii) a $75.0 million secured indebtedness basket to permit the borrowers to enter into a Contango Facility (as defined in the Amended Credit Agreement), (iv) an increase in the Sale/Leaseback Transaction (as defined in the Amended Credit Agreement) basket from $75.0 million to $100.0 million, and (v) a basket of $50.0 million in an aggregate amount over the life of the Amended Credit Agreement for the purchase of common units of the Partnership, provided that no Event of Default exists or would occur immediately following such purchase(s).
In addition, the Amended Credit Agreement provides the ability for borrowers to repay certain junior indebtedness, subject to a $100.0 million cap, so long as no Event of Default has occurred or will exist immediately after making such repayment.
The Amended Credit Agreement imposes financial covenants that require the borrowers to maintain certain minimum working capital amounts, a minimum combined interest coverage ratio, a maximum senior secured leverage ratio and a maximum total leverage ratio. The Amended Credit Agreement also contains a representation whereby there can be no event or circumstance, either individually or in the aggregate, that has had or could reasonably be expected to have a Material Adverse Effect (as defined in the Amended Credit Agreement). In addition, the Amended Credit Agreement limits distributions by the Partnership to its unitholders to the amount of Available Cash (as defined in the Partnership’s partnership agreement).
17
Senior Notes
The Partnership had 6.25% senior notes due 2022 and 7.00% senior notes due 2023 outstanding at March 31, 2017. Please read Note 6 of Notes to Consolidated Financial Statements in the Partnership’s Annual Report on Form 10-K for the year ended December 31, 2016 for additional information on these senior notes.
Financing Obligations
Capitol Acquisition
On June 1, 2015, the Partnership acquired retail gasoline stations and dealer supply contracts from Capitol Petroleum Group (“Capitol”). In connection with the acquisition, the Partnership assumed a financing obligation of $89.6 million associated with two sale-leaseback transactions by Capitol for 53 leased sites that did not meet the criteria for sale accounting. During the term of these leases, which expire in May 2028 and September 2029, in lieu of recognizing lease expense for the lease rental payments, the Partnership incurs interest expense associated with the financing obligation. Interest expense of approximately $2.4 million was recorded for each of the three months ended March 31, 2017 and 2016, and is included in interest expense in the accompanying statements of operations. The financing obligation will amortize through expiration of the lease based upon the lease rental payments which were $2.4 million and $2.3 million for the three months ended March 31, 2017 and 2016, respectively. The financing obligation balance outstanding at March 31, 2017 was $89.9 million associated with the Capitol acquisition.
Sale Leaseback Transaction
On June 29, 2016, the Partnership sold to a premier institutional real estate investor (the “Buyer”) real property assets, including the buildings, improvements and appurtenances thereto, at 30 gasoline stations and convenience stores located in Connecticut, Maine, Massachusetts, New Hampshire and Rhode Island (the “Sale Leaseback Sites”) for a purchase price of approximately $63.5 million. In connection with the sale, the Partnership entered into a Master Unitary Lease Agreement with the Buyer to lease back the real property assets sold with respect to the Sale Leaseback Sites (such Master Lease Agreement, together with the Sale Leaseback Sites, the “Sale Leaseback Transaction”). The Master Unitary Lease Agreement provides for an initial term of fifteen years that expires in 2031. The Partnership has one successive option to renew the lease for a ten-year period followed by two successive options to renew the lease for five-year periods on the same terms, covenants, conditions and rental as the primary non-revocable lease term. The Partnership does not have any residual interest nor the option to repurchase any of the sites at the end of the lease term. The proceeds from the Sale Leaseback Transaction were used to reduce indebtedness outstanding under the Partnership’s revolving credit facility.
The sale did not meet the criteria for sale accounting as of March 31, 2017 due to prohibited continuing involvement. Specifically, the sale is considered a partial-sale transaction, which is a form of continuing involvement as the Partnership did not transfer to the Buyer the storage tank systems which are considered integral equipment of the Sale Leaseback Sites. Additionally, a portion of the sold sites have material sub-lease arrangements, which is also a form of continuing involvement. As the sale of the Sale-Leaseback Sites did not meet the criteria for sale accounting, the Partnership did not recognize a gain or loss on the sale of the Sale Leaseback Sites for the three months ended March 31, 2017.
As a result of not meeting the criteria for sale accounting for these sites, the Sale Leaseback Transaction is accounted for as a financing arrangement. As such, the property and equipment sold and leased back by the Partnership has not been derecognized and continues to be depreciated. The Partnership recognized a corresponding financing obligation of $62.5 million equal to the $63.5 million cash proceeds received for the sale of these sites, net of $1.0 million financing fees. During the term of the lease, which expires in June 2031, in lieu of recognizing lease expense for the lease rental payments, the Partnership incurs interest expense associated with the financing obligation. Lease rental payments are recognized as both interest expense and a reduction of the principal balance associated with
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the financing obligation. Interest expense and lease rental payments were $1.1 million for the three months ended March 31, 2017. The financing obligation balance outstanding at March 31, 2017 was $62.5 million associated with the Sale Leaseback Transaction.
Deferred Financing Fees
The Partnership incurs bank fees related to its Credit Agreement and other financing arrangements. These deferred financing fees are capitalized and amortized over the life of the Credit Agreement or other financing arrangements. The Partnership had unamortized deferred financing fees of $12.5 million and $14.1 million at March 31, 2017 and December 31, 2016, respectively.
Unamortized fees related to the Credit Agreement are included in other current assets and other long-term assets and amounted to $5.3 million and $6.5 million at March 31, 2017 and December 31, 2016, respectively. Unamortized fees related to the senior notes are presented as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts, and amounted to $6.3 million and $6.6 million at March 31, 2017 and December 31, 2016, respectively. Unamortized fees related to the Sale-Leaseback Transaction are presented as a direct deduction from the carrying amount of the financing obligation and amounted to $0.9 million and $1.0 million at March 31, 2017 and December 31, 2016, respectively.
On February 24, 2016, the Partnership voluntarily elected to reduce its working capital revolving credit facility from $1.0 billion to $900.0 million and its revolving credit facility from $775.0 million to $575.0 million. As a result, the Partnership incurred expenses of approximately $1.8 million associated with the write-off of a portion of its deferred financing fees. These expenses are included in interest expense in the accompanying statement of operations for the three months ended March 31, 2016.
Amortization expense of approximately $1.5 million and $1.4 million for the three months ended March 31, 2017 and 2016, respectively, is included in interest expense in the accompanying consolidated statements of operations.
Note 8. Derivative Financial Instruments
The Partnership principally uses derivative instruments, which include regulated exchange-traded futures and options contracts (collectively, “exchange-traded derivatives”) and physical and financial forwards and over-the-counter (“OTC”) swaps (collectively, “OTC derivatives”), to reduce its exposure to unfavorable changes in commodity market prices and interest rates. The Partnership uses these exchange-traded and OTC derivatives to hedge commodity price risk associated with its inventory and undelivered forward commodity purchases and sales (“physical forward contracts”) and uses interest rate swap instruments to reduce its exposure to fluctuations in interest rates associated with the Partnership’s credit facilities. The Partnership accounts for derivative transactions in accordance with ASC Topic 815, “Derivatives and Hedging,” and recognizes derivatives instruments as either assets or liabilities in the consolidated balance sheet and measures those instruments at fair value. The changes in fair value of the derivative transactions are presented currently in earnings, unless specific hedge accounting criteria are met.
The fair value of exchange-traded derivative transactions reflects amounts that would be received from or paid to the Partnership’s brokers upon liquidation of these contracts. The fair value of these exchange-traded derivative transactions are presented on a net basis, offset by the cash balances on deposit with the Partnership’s brokers, presented as brokerage margin deposits in the consolidated balance sheets. The fair value of OTC derivative transactions reflects amounts that would be received from or paid to a third party upon liquidation of these contracts under current market conditions. The fair value of these OTC derivative transactions is presented on a gross basis as derivative assets or derivative liabilities in the consolidated balance sheets, unless a legal right of offset exists. The presentation of the change in fair value of the Partnership’s exchange-traded derivatives and OTC derivative transactions depends on the intended use of the derivative and the resulting designation.
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The following table summarizes the notional values related to the Partnership’s derivative instruments outstanding at March 31, 2017:
|
|
Units (1) |
|
Unit of Measure |
|
|
Exchange-Traded Derivatives |
|
|
|
|
|
|
Long |
|
|
66,871 |
|
Thousands of barrels |
|
Short |
|
|
(72,498) |
|
Thousands of barrels |
|
|