Global Partners Announces Cash Distributions on Series A and B Preferred Units

Rhea-AI Summary

Global Partners LP (NYSE: GLP) announced a cash distribution of $0.609375 per unit for its Series A preferred units, and $0.59375 per unit for Series B preferred units for the period between November 15, 2022 and February 14, 2023. Payments are due on February 15, 2023, to holders registered before February 1, 2023. Importantly, distributions to non-U.S. investors will face the highest federal income tax withholding as they are considered effectively connected with a U.S. trade or business.

Global Partners operates over 1,700 gasoline stations and convenience stores primarily in the Northeast, holding a significant terminal network in New England.

Positive

• Declared cash distribution of $0.609375 per unit for Series A preferred units.
• Declared cash distribution of $0.59375 per unit for Series B preferred units.
• Strong operational presence with approximately 1,700 locations in the Northeast.

Negative

• Distributions to non-U.S. investors subject to highest federal income tax withholding.

WALTHAM, Mass.--(BUSINESS WIRE)-- Global Partners LP (NYSE: GLP) (the “Partnership”) announced today that the Board of Directors (the “Board”) of its general partner, Global GP LLC, has declared a cash distribution of $0.609375 per unit ($2.4375 per unit on an annualized basis) on the Partnership’s Series A preferred units for the period from November 15, 2022 through February 14, 2023. This distribution will be payable on February 15, 2023 to holders of record as of the opening of business on February 1, 2023.

The Board also declared a cash distribution of $0.59375 per unit ($2.375 per unit on an annualized basis) on the Partnership’s Series B preferred units for the period from November 15, 2022 through February 14, 2023. This distribution will be payable on February 15, 2023 to holders of record as of the opening of business on February 1, 2023.

Non-U.S. Withholding Information

This press release is intended to be a qualified notice under Treasury Regulation Section 1.1446-4(b). Brokers and nominees should treat one hundred percent (100%) of GLP’s distributions to non-U.S. investors as being attributable to income that is effectively connected with a United States trade or business. Accordingly, GLP’s distributions to non-U.S. investors are subject to federal income tax withholding at the highest applicable effective tax rate.

About Global Partners LP

With approximately 1,700 locations primarily in the Northeast, Global Partners is one of the region’s largest independent owners, suppliers and operators of gasoline stations and convenience stores. Global also owns, controls or has access to one of the largest terminal networks in New England and New York, through which it distributes gasoline, distillates, residual oil and renewable fuels to wholesalers, retailers and commercial customers. In addition, Global engages in the transportation of petroleum products and renewable fuels by rail from the mid-continental U.S. and Canada. Global, a master limited partnership, trades on the New York Stock Exchange under the ticker symbol “GLP.” For additional information, visit www.globalp.com.

Forward-looking Statements

Certain statements and information in this press release may constitute “forward-looking statements.” The words “believe,” “expect,” “anticipate,” “plan,” “intend,” “foresee,” “should,” “would,” “could” or other similar expressions are intended to identify forward-looking statements, which are generally not historical in nature, although not all forward-looking statements contain such identifying words. These forward-looking statements are based on Global’s current expectations and beliefs concerning future developments and their potential effect on the Partnership. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting the Partnership will be those that it anticipates. Forward-looking statements involve significant risks and uncertainties (some of which are beyond the Partnership’s control) including, without limitation, the impact and duration of the COVID-19 pandemic and its impact on our counterparties, our customers and our operations and other assumptions that could cause actual results to differ materially from the Partnership's historical experience and present expectations or projections. We believe these assumptions are reasonable given currently available information. Our assumptions and future performance are subject to a wide range of business risks, uncertainties and factors, which are described in our filings with the Securities and Exchange Commission (SEC).

For additional information regarding known material factors that could cause actual results to differ from the Partnership’s projected results, please see Global’s filings with the SEC, including its Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.

Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Global undertakes no obligation to publicly update or revise any forward-looking statements after the date they are made, whether as a result of new information, future events or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230116005540/en/

Gregory B. Hanson

Chief Financial Officer

Global Partners LP

(781) 894-8800

Sean T. Geary

Chief Legal Officer and Secretary

Global Partners LP

(781) 894-8800

Source: Global Partners LP

FAQ

What is the cash distribution declared by Global Partners LP for Series A preferred units?

Global Partners LP declared a cash distribution of $0.609375 per unit for Series A preferred units.

What is the cash distribution declared by Global Partners LP for Series B preferred units?

Global Partners LP declared a cash distribution of $0.59375 per unit for Series B preferred units.

When will the cash distributions for Global Partners LP be paid?

The cash distributions will be payable on February 15, 2023.

What is the record date for the cash distributions of Global Partners LP?

The record date for the cash distributions is February 1, 2023.

Are distributions to non-U.S. investors from Global Partners LP subject to withholding tax?

Yes, distributions to non-U.S. investors are subject to federal income tax withholding at the highest effective tax rate.