Global Partners Declares Increased Cash Distribution on Common Units for the Fourth Quarter of 2020

Rhea-AI Summary

Global Partners LP (NYSE: GLP) announced an increase in its quarterly cash distribution by $0.05 per unit, raising it to $0.55 per unit ($2.20 annualized). This distribution will cover the period from October 1 to December 31, 2020, and will be paid on February 12, 2021, to unitholders of record as of February 8, 2021. The press release also outlines withholding tax implications for non-U.S. investors, indicating that 100% of distributions are taxable at the highest rate. Global Partners operates approximately 1,550 locations in the Northeast and has a significant terminal network.

Positive

• Increased quarterly cash distribution from $0.50 to $0.55 per unit.
• Annualized cash distribution now at $2.20 per unit.
• Strong operational footprint with approximately 1,550 locations in the Northeast.

Negative

• Ongoing uncertainty due to COVID-19 pandemic affecting demand and operations.

Global Partners LP (NYSE: GLP) announced today that the Board of Directors of its general partner, Global GP LLC, has increased its quarterly cash distribution by $0.05 per unit to $0.55 per unit ($2.20 per unit on an annualized basis) on all of its outstanding common units for the period from October 1 to December 31, 2020. The distribution will be paid February 12, 2021 to unitholders of record as of the close of business on February 8, 2021.

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 1,550 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. These forward-looking statements are based on Global Partners’ 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, uncertainty around the timing of an economic recovery in the United States which will impact the demand for the products we sell and the services we provide, uncertainty around the impact of the COVID-19 pandemic to our counterparties and our customers and their corresponding ability to perform their obligations and/or utilize the products we sell and/or services we provide, uncertainty around the impact and duration of federal, state and municipal regulations related to the COVID-19 pandemic, and assumptions that could cause actual results to differ materially from the Partnership’s historical experience and present expectations or projections.

For additional information regarding known material factors that could cause actual results to differ from the Partnership’s projected results, please see Global Partners’ 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. The Partnership 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/20210126005142/en/

FAQ

What is the new cash distribution amount for GLP?

The new cash distribution amount for Global Partners LP (GLP) is $0.55 per unit.

When will the cash distribution be paid to GLP unitholders?

The cash distribution will be paid on February 12, 2021, to unitholders of record as of February 8, 2021.

How much is the annualized cash distribution for GLP?

The annualized cash distribution for GLP is $2.20 per unit.

What tax implications do GLP distributions have for non-U.S. investors?

GLP's distributions to non-U.S. investors are subject to federal income tax withholding at the highest applicable effective tax rate.

How many locations does Global Partners LP operate?

Global Partners LP operates approximately 1,550 locations primarily in the Northeast.