VALERO ENERGY PARTNERS LP (VLP) SEC Filing 10-K Annual report for the fiscal year ending Sunday, December 31, 2017

PDFPDF Microsoft WordWord Microsoft ExcelExcel SubscribeRSS E-mailEmail Smartphone and TabletMobile last10k.com/sec-filings/vlp/0001583103-18-000008.htm
Exhibit 99.01

Valero Energy Partners LP Reports 2017 Fourth Quarter and Full Year Results

Reported net income attributable to partners of $64 million for the fourth quarter and $238 million for the year.
Reported EBITDA attributable to the Partnership of $91 million for the quarter and $328 million for the year.
Reported net cash provided by operating activities of $69 million for the quarter and $289 million for the year.
Reported distributable cash flow of $72 million for the quarter and $284 million for the year.
Successfully integrated the previously announced acquisitions of the Port Arthur terminal assets and Parkway Pipeline LLC.
Delivered annual distribution growth of 25 percent in 2017.

SAN ANTONIO, February 2, 2018 – Valero Energy Partners LP (NYSE: VLP, the “Partnership”) today reported fourth quarter 2017 net income attributable to partners of $64 million, or $0.71 per common limited partner unit, and EBITDA attributable to the Partnership of $91 million. The Partnership reported net cash provided by operating activities of $69 million and distributable cash flow of $72 million. The distribution coverage ratio for the fourth quarter was 1.5x.

For the year ended December 31, 2017, net income attributable to partners was $238 million, or $2.77 per common limited partner unit, and EBITDA attributable to the Partnership was $328 million. The Partnership reported net cash provided by operating activities of $289 million and distributable cash flow of $284 million.

“We operated safely and reliably, delivered 25 percent annual distribution growth, and remain positioned to deliver on our distribution growth target of at least 20 percent for 2018 without having to complete additional acquisitions,” said Joe Gorder, Chairman and Chief Executive Officer of VLP’s general partner. “Our focus remains on disciplined growth through drop downs, organic growth projects, and midstream acquisitions,” Gorder said.




1

The following information was filed by VALERO ENERGY PARTNERS LP on Friday, February 2, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.

Sentiment Analysis off   on

Filter by Sentiment:
Filter by Category:

View our Sentiment Analysis Tour
Filter by Subcategory:
Click a sentiment analysis snippet below from VALERO ENERGY PARTNERS LP's Management Discussions to find these positive and negative remarks within their 10-K Annual report:
  • vlp_10k_2018-02-22_236_157
    Financial - Expense
    The impact of these legislative and regulatory developments, if enacted or adopted, could result in increased compliance costs and additional operating restrictions on our business, each of which could have an adverse impact on our financial position, results of operations, and liquidity.
  • vlp_10k_2018-02-22_225_131
    Financial - Debt
    However, in the event of certain downgrades of our senior unsecured debt by the ratings agencies, the cost of borrowings under our Revolver and Loan Agreements would increase.
  • vlp_10k_2018-02-22_82_59
    MA - Other
    The decrease in acquisition costs in 2017 was partially offset by incremental costs of $319,000 related to the management fee charged to us by Valero in connection with acquired businesses and assets.
  • vlp_10k_2018-02-22_178_317
    Other - Other
    , partially offset by unfavorable changes in working capital of
  • vlp_10k_2018-02-22_138_279
    Other - Other
    , partially offset by unfavorable changes in working capital of
  • vlp_10k_2018-02-22_158_298
    Other - Other
    , partially offset by unfavorable changes in working capital of
  • vlp_10k_2018-02-22_120_83
    Other - Other
    Additionally, we issued the Senior Notes in December 2016 and used the proceeds to repay $494.0 million of outstanding borrowings under our revolving credit facility.
  • vlp_10k_2018-02-22_161_300
    Other - Other
    an increase in receivables related party of
  • vlp_10k_2018-02-22_141_281
    Other - Other
    an increase in receivables related party of
  • vlp_10k_2018-02-22_182_319
    Other - Other
    an increase in receivables related party of
  • vlp_10k_2018-02-22_114_77
    Revenue - Product
    In addition, we experienced a decrease of 26 percent in pipeline transportation throughput volumes at our McKee crude system in 2016 compared to 2015 due to decreased crude oil production in the region.
  • vlp_10k_2018-02-22_75_54
    Revenue - Product
    The increase in volumes had a favorable impact to our operating revenues of $15.8 million.
  • vlp_10k_2018-02-22_86_61
    Other - Other
    We used the proceeds of the Senior Notes to repay $494.0 million of outstanding borrowings under our revolving credit facility.
  • vlp_10k_2018-02-22_243_175
    Other - Other
    Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated useful life of the related asset.
  • vlp_10k_2018-02-22_238_164
    Financial - Expense
    New or expanded environmental requirements, which could increase our environmental costs, may arise in the future.
  • vlp_10k_2018-02-22_114_74
    Revenue - Product
    We estimate that a decrease in throughput volumes at our other pipelines and terminals had an unfavorable impact to our operating revenues of approximately $5.1 million.
  • vlp_10k_2018-02-22_122_89
    Revenue - Product
    During 2016, the relative amount of operating revenues we generated in Texas increased in connection with the acquisitions of the Corpus Christi, McKee, Meraux, and Three Rivers terminals.
  • vlp_10k_2018-02-22_116_81
    Financial - Expense
    Additionally, waste handling costs at our Corpus Christi and St. Charles terminals decreased $2.3 million in 2016.
  • vlp_10k_2018-02-22_114_76
    Revenue - Product
    The decrease in volumes was primarily a result of planned turnaround activity at Valeros Port Arthur refinery in September and October 2016, during which time the refinery was largely shut down.
  • vlp_10k_2018-02-22_39_211
    Financial - Income
    increase in operating income driven by contributions from our McKee, Meraux, Three Rivers, and Port Arthur terminals, which we acquired from Valero in April 2016, September 2016, and November 2017, as further described in Note
  • vlp_10k_2018-02-22_204_339
    Other - Other
    the improvement of assets at our Meraux, Three Rivers, St. Charles, and Houston terminals to extend the useful lives of the tanks and
  • vlp_10k_2018-02-22_208_343
    Other - Other
    the improvement of assets at our St. Charles terminal that will extend the useful lives of the tanks.
  • vlp_10k_2018-02-22_31_14
    MA - Other
    During 2017, we acquired businesses and assets and began receiving fees for services provided by these businesses and assets commencing on the effective date of each acquisition.
  • vlp_10k_2018-02-22_49_36
    Other - Other
    Effective March 31, 2017, we entered into an agreement with Diamond Green Diesel Holdings, LLC DGD, a joint venture consolidated by Valero, to construct and operate a rail loading facility located at Valeros St. Charles Refinery for the purpose of loading DGDs renewable diesel onto railcars.
  • vlp_10k_2018-02-22_116_80
    Financial - Expense
    The decrease was due primarily to lower maintenance expense of $4.7 million at our Corpus Christi terminals related to inspection activity in 2015.
  • vlp_10k_2018-02-22_112_73
    Revenue - Product
    The incremental throughput volumes at these terminals had a favorable impact to our operating revenues of $124.1 million in 2016.
  • vlp_10k_2018-02-22_57_220
    Other - Other
    Less: Net loss attributable to Predecessor
  • vlp_10k_2018-02-22_95_249
    Other - Other
    Less: Net loss attributable to Predecessor
  • vlp_10k_2018-02-22_163_302
    Revenue - Product
    an increase in deferred revenue related party of
  • vlp_10k_2018-02-22_114_75
    Revenue - Product
    The decrease is due primarily to a decrease of 25 percent in pipeline transportation throughput volumes and 21 percent in terminaling throughput volumes at our Port Arthur logistics system in 2016 compared to 2015.
  • vlp_10k_2018-02-22_122_90
    Financial - Income
    As a result, our income tax expense has increased.
  • vlp_10k_2018-02-22_130_100
    Other - Other
    of borrowings and no letters of credit outstanding under the Revolver.
  • vlp_10k_2018-02-22_239_359
    Financial - Expense
    and may be affected by future legislation or regulations, it is not possible to predict all of the ultimate costs of compliance, including remediation costs that may be incurred and penalties that may be imposed.
  • vlp_10k_2018-02-22_79_56
    Financial - Expense
    The increase was due primarily to operating expenses of $3.9 million related to our Parkway pipeline and Port Arthur terminal, which were acquired in November 2017 $2.2 million related to our Red River crude system, which was acquired in January 2017 and $2.0 million related to our DGD rail loading facility, which began operations in May 2017.
  • vlp_10k_2018-02-22_114_78
    Revenue - Product
    Average pipeline transportation revenue per barrel was higher in 2016 compared to 2015 due primarily to the recognition of $2.2 million of deferred revenue associated with unused minimum volume credits by Valero.
  • vlp_10k_2018-02-22_51_43
    Revenue - Product
    We expect our throughput volumes and revenues to increase in 2018 from the full year of operations of these assets.
  • vlp_10k_2018-02-22_88_65
    Financial - Expense
    Interest expense on the incremental borrowings was approximately $6.1 million in 2017.
  • vlp_10k_2018-02-22_121_87
    Financial - Expense
    Interest expense on the incremental borrowings was $8.2 million in 2016.
  • vlp_10k_2018-02-22_87_243
    MA - Other
    Incremental borrowings in connection with acquisitions.
  • vlp_10k_2018-02-22_218_350
    Financial - Debt
    Debt and notes payable related party a
  • vlp_10k_2018-02-22_221_352
    Financial - Debt
    Debt and Notes Payable Related Party
  • vlp_10k_2018-02-22_9_186
    Financial - Earnings
    a material decrease in Valeros profitability
  • vlp_10k_2018-02-22_40_21
    Financial - Income
    The increase in operating income was offset by a
  • vlp_10k_2018-02-22_37_209
    Financial - Earnings
    The increase in net income of
  • vlp_10k_2018-02-22_243_176
    Other - Other
    Changes in the estimated useful lives of the property and equipment could have a material adverse effect on our results of operations.
  • vlp_10k_2018-02-22_227_136
    Financial - Expense
    Any future reduction below investment grade or withdrawal of one or more of our credit ratings could have a material adverse impact on our ability to obtain short- and long-term financing and the cost of such financings.
  • vlp_10k_2018-02-22_184_321
    Other - Other
    an increase in accounts payable related party of
  • vlp_10k_2018-02-22_241_168
    Other - Other
    The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes.
  • vlp_10k_2018-02-22_200_335
    Other - Other
    the construction of a new tank and improvement of assets at our Port Arthur products system

 Please wait while we load the requested 10-K Annual Report. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpform10-kx12312017.htm

Companies may provide additional information to their SEC Filings as exhibits. Click a link below to view an exhibit that was filed with this report:

Exhibit 10.18 - MATERIAL CONTRACT

 Please wait while we load the requested exhibit. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpexh1018-12312017.htm
Exhibit 12.01 - STATEMENT REGARDING CALCULATION OF RATIOS

 Please wait while we load the requested exhibit. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpexh1201-12312017.htm
Exhibit 21.01 - SUBSIDARIES OF THE REGISTRANT

 Please wait while we load the requested exhibit. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpexh2101-12312017.htm
Exhibit 23.01 - CONSENTS OF EXPERTS AND COUNSEL

 Please wait while we load the requested exhibit. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpexh2301-12312017.htm
Exhibit 31.01 - RULE 13A-14(A)/15D-14(A) CERTIFICATION

 Please wait while we load the requested exhibit. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpexh3101-12312017.htm
Exhibit 31.02 - RULE 13A-14(A)/15D-14(A) CERTIFICATION

 Please wait while we load the requested exhibit. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpexh3102-12312017.htm
Exhibit 32.01 - SECTION 1350 CERTIFICATION

 Please wait while we load the requested exhibit. If it does not load, please click the link below:

 https://www.last10k.com/sec-filings/report/1583103/000158310318000008/vlpexh3201-12312017.htm
  • Form Type: Annual
  • Number of times amended: 0
  • Accession Number: 0001583103-18-000008
  • Submitted to the SEC: Thursday, February 22, 2018 5:17:32 PM EST
  • Accepted by the SEC: Thursday, February 22, 2018
  • Fiscal Year ending: December 2017
  • Industry: Pipe Lines No Natural Gas