Bank of America Merrill Lynch 2014 Refining Conference March 6, 2014
Partnership Overview 3
Partnership Overview About us Master Limited Partnership; founded in 1990; IPO in 2006; Fortune 600 company; experienced management team Our competency 163,000 bpd of petroleum-based specialty products and fuels production capacity in…
Diversified Production Slate Business Segment Production as a % of Total Production 2012 2013 Specialty Specialty 27% 31% Fuels 69% Fuels 73% Production Mix as a % of Total Production(1) 2012 2013 25% 27% 23% 24% 18%…
Wide Array of Specialty Products Applications Note: While Calumet does not produce or sell the consumer products pictured above, its finished products are components of such products. The logos, trademarks and other intellectual…
Remaining Organic Growth Projects (1Q14-1Q16) - Final engineering assessment completed; applying for permits Montana Refinery Expansion - Anticipated completion date of the first quarter 2016 - Est. cost = 400 mm; Est. annual Adj.…
Recent Developments 17
Recent Performance Highlights Increased hedges on anticipated fuels production helps to mitigate commodity price volatility. As of 12/31/13, we have hedged approximately half of our anticipated fuels production for 2014; significantly…
Bel-Ray Acquisition Summary Transaction Overview Calumet acquired Bel-Ray Company, Inc. on December 10, 2013 Bel-Ray is a 70 year-old manufacturer of high performance synthetic lubricants and greases based in New Jersey Bel-Ray sells…
United Petroleum Acquisition Summary Agreement Overview On February 28, 2014, we acquired United Petroleum Company United is a privately-held wholesale supplier and distributor of premium motor oils, coolants and greases United owns…
Asphalt Marketing & Supply Agreement Agreement Overview We announced a multi-year asphalt marketing & supply with privately-held All-States Asphalt, Inc. on January 27, 2014 The agreement became effective on January 1, 2014 Rationale…
Expanded Asphalt Sales Through Muskogee Terminal Agreement Overview Calumet announced a multi-year agreement to lease a 348,000 bpd liquid asphalt terminal in Muskogee, OK The agreement became effective on January 1, 2014 Rationale for…
Key Credit Statistics Debt to Capital Ratio Debt to Adj. EBITDA (Leverage) Ratio 52% 4.7 x 50% 50% 3.7 x 49% 2.7 x 2.7 x 2.8 x 45% 45% 2.2 x YE 2008 YE 2009 YE 2010 YE 2011 YE 2012 YE 2013 YE 2008 YE 2009 YE 2010 YE 2011 YE…
Balanced Capital Structure Actual Actual Actual Millions 12/31/11 12/31/12 12/31/13 Cash 0.1 32.2 121.1 ABL Revolver Borrowings - - - 9.375% Senior Notes due 2019 600.0 600.0 500.0 9.625% Senior Notes due 2020 - 275.0 275.0 7.625%…
Maintaining Ample Liquidity Cash and Revolver Availability (MM) Cash Revolver Availability 593 387 472 355 121 32 As of 12/31/12 As of 12/31/13 28
Measuring RFS Compliance Costs D6 Corn Ethanol (Avg. Price per RIN in ) 0.83 0.86 0.40 0.30 0.02 0.02 0.04 0.04 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 Total RINs Expense by Quarter (MM) D6 Corn Ethanol Prices at Quarter-End…
Hedging Program Helps Mitigate Market Volatility We Have Hedged Nearly Half of Our Anticipated 2014 Fuels Production(1) Gasoline Diesel Distillate Jet Gasoline = 5.0 mm barrels 12.90/bbl avg. Diesel = 5.6 mm barrels 27.53/bbl…
Capital Spending (Historical/Forecast) Replacement, Environmental, Turnaround and Growth Capital Spending (MM) Replacement & Environmental Turnarounds Growth Projects 2014 Total Est. CAPEX = 340-385 million 270-300 2013 Total…
Q&A 32
Appendix 33
Non-GAAP Financial Measures Adj. EBITDA and DCF Reconciliation Year Ended December 31, in millions 2008 2009 2010 2011 2012 2013 Sales 2,489 1,847 2,191 3,135 4,657 5,421 Cost of sales 2,235 1,673 1,992 2,861 4,144 5,011 Gross profit…
Partnership Overview (1) Including the Heritage Group and the Fehsenfeld and Grube families or trusts established on their behalf. (2) Owned by The Heritage Group (51%), Fred M. Fehsenfeld Jr. or trusts for the benefit of his family…
For information, please contact: Noel Ryan Director, Investor/Media Relations 317-328-5660 noel.ryanclmt.com 36
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