Delek Logistics Partners, LP Increases Quarterly Cash Distribution to $0.91 per Common Limited Partner Unit
Delek Logistics Partners, LP (NYSE: DKL) announced a quarterly cash distribution of $0.91 per common limited partner unit for the fourth quarter of 2020, a 0.6% increase from Q3 2020 and a 2.8% rise from Q4 2019. This marks the 31st consecutive quarterly increase in distributions, aligning with their 5% growth target for 2020. The distribution will be payable on February 9, 2021 to unitholders on record as of February 2, 2021.
Chairman Uzi Yemin emphasized the business's stability amidst challenging market conditions.
- Quarterly cash distribution increased to $0.91 per unit, the 31st consecutive increase.
- Distribution growth met the target of 5% for 2020.
- Stable business performance despite a challenging macro energy environment.
- None.
BRENTWOOD, Tenn., Jan. 25, 2021 /PRNewswire/ -- Delek Logistics Partners, LP (NYSE: DKL) ("Delek Logistics") today declared its quarterly cash distribution for the fourth quarter 2020 of
"This marks the 31st consecutive quarterly increase in the cash distribution and demonstrates stability of the business despite a difficult macro energy environment. We delivered on our 5 percent distribution growth target for 2020, while exceeding our year-end guidance levels for both distribution coverage and leverage ratios," said Uzi Yemin, Chairman, President and Chief Executive Officer of Delek Logistics.
About Delek Logistics Partners, LP
Delek Logistics Partners, LP, headquartered in Brentwood, Tennessee, was formed by Delek US Holdings, Inc. (NYSE: DK) ("Delek US") to own, operate, acquire and construct crude oil and refined products logistics and marketing assets.
Safe Harbor Provisions Regarding Forward-Looking Statements
This press release contains forward-looking statements that are based upon current expectations and involve a number of risks and uncertainties. Statements regarding Delek Logistics' future distributions, including the amounts and timing thereof, and other statements concerning current estimates, expectations and projections about future results, performance, prospects, opportunities, plans, actions and events and other statements, concerns, or matters that are not historical facts are "forward-looking statements," within the meaning of federal securities laws. Investors are cautioned that the following important factors, among others, may affect these forward-looking statements: the fact that a substantial majority of Delek Logistics' contribution margin is derived from Delek US, thereby subjecting it to Delek US' business risks; risks and uncertainties related to the effects of the COVID-19 pandemic; risks and costs relating to the age and operational hazards of our assets including, without limitation, costs, penalties, regulatory or legal actions and other effects related to releases, spills and other hazards inherent in transporting and storing crude oil and intermediate and finished petroleum products; the impact of adverse market conditions affecting the business of Delek Logistics, including margins generated by its wholesale fuel business; adverse changes in laws including with respect to tax and regulatory matters and other risks as disclosed in our annual report on Form 10-K, quarterly reports on Form 10-Q and other reports and filings with the United States Securities and Exchange Commission.
Forward-looking statements are based on information available at the time and/or management's good faith belief with respect to future events, and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the statements. There can be no assurance that actual results will not differ from those expected by management or described in forward-looking statements. Delek Logistics undertakes no obligation to update or revise such forward-looking statements to reflect events or circumstances that occur, or which Delek Logistics becomes aware of, after the date hereof.
Tax Considerations
This release is intended to be a qualified notice under Treasury Regulation Section 1.1446-4(b)(4) and (d). Please note that 100 percent of Delek Logistics Partners, LP's distributions to foreign investors are attributable to income that is effectively connected with a United States trade or business. Accordingly, all of Delek Logistics Partners, LP's distributions to foreign investors are subject to federal income tax withholding at the highest applicable effective tax rate for individuals or corporations, as applicable. Nominees, and not Delek Logistics Partners, LP, are treated as the withholding agents responsible for withholding on the distributions received by them on behalf of foreign investors.
Information about Delek Logistics Partners, LP can be found on its website (www.deleklogistics.com), investor relations webpage (ir.deleklogistics.com), news webpage (www.deleklogistics.com/news) and its Twitter account (@DelekLogistics).
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SOURCE Delek Logistics
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