Allentown. PA, Aug. 07, 2024 (GLOBE NEWSWIRE) --

CrossAmerica Partners LP Reports Second Quarter 2024 Results

Reported Second Quarter 2024 Net Income of $12.4 million, Adjusted EBITDA of $42.6 million and Distributable Cash Flow of $26.1 million compared to Net Income of $14.5 million, Adjusted EBITDA of $42.2 million and Distributable Cash Flow of $30.4 million for the Second Quarter 2023
Reported Second Quarter 2024 Gross Profit for the Retail Segment of $76.6 million compared to $66.0 million of Gross Profit for the Second Quarter 2023 and Second Quarter 2024 Gross Profit for the Wholesale Segment of $28.1 million compared to $31.7 million of Gross Profit for the Second Quarter 2023
Leverage, as defined in the CAPL Credit Facility, was 4.39 times as of June 30, 2024, compared to 4.49 times as of March 31, 2024
The Distribution Coverage Ratio for the trailing twelve months ended June 30, 2024 was 1.32 times compared to 1.68 times for the comparable period of 2023
The Board of Directors of CrossAmerica's General Partner declared a quarterly distribution of $0.5250 per limited partner unit attributable to the Second Quarter 2024

Allentown, PA August 7, 2024 – CrossAmerica Partners LP (NYSE:CAPL) ("CrossAmerica" or the "Partnership"), a leading wholesale fuels distributor, convenience store operator, and owner and lessor of real estate used in the retail distribution of motor fuels, today reported financial results for the second quarter ended June 30, 2024.

"Our financial results for the second quarter were significantly improved from the first quarter, despite a continued overall soft fuel demand environment," said Charles Nifong, President and CEO of CrossAmerica. "Our results reflect our continued successful execution of our strategy. We realized strong results in our retail segment, with increases in overall gallons, sales and segment operating income and we converted an additional 43 sites to the retail segment during the quarter. Our distribution coverage ratio for the quarter was solid, materially higher than in the first quarter, and our balance sheet remains strong. Overall, our results demonstrate the stability of our business and that we remain well positioned for future growth."

Second Quarter Results

Consolidated Results

Key Operating Metrics	Q2 2024	Q2 2023
Net Income	$12.4M	$14.5M
Operating Expenses	$55.8M	$49.8M
Adjusted EBITDA	$42.6M	$42.2M
Distributable Cash Flow	$26.1M	$30.4M
Distribution Coverage Ratio: Current Quarter	1.30x	1.53x
Distribution Coverage Ratio: Trailing 12 Months	1.32x	1.68x

CrossAmerica reported an increase in Adjusted EBITDA and declines in Net Income and Distributable Cash Flow for the second quarter 2024 compared to the second quarter 2023. The slight increase in Adjusted EBITDA year-over-year for the quarter was primarily driven by an increase in the retail segment's motor fuel and merchandise gross profit, offset by an increase in operating expenses primarily related to the conversion of certain lessee dealer and commission agent sites to company operated sites. The declines in Net Income and Distributable Cash Flow were primarily driven by an increase in interest expense relative to the prior year mainly due to the expiration of certain favorable interest rate hedges that occurred at the start of the quarter.

Retail Segment

Key Operating Metrics	Q2 2024			Q2 2023
Retail segment gross profit	$76.6M			$66.0M

Retail segment motor fuel gallons distributed	143.0M			130.8M
Same store motor fuel gallons distributed	121.0M			123.3M
Retail segment motor fuel gross profit	$39.3M			$35.7M
Retail segment margin per gallon, before deducting credit card fees and commissions	$	0.373		$	0.370

Same store merchandise sales excluding cigarettes*	$53.5M			$52.6M
Merchandise gross profit*	$29.8M			$24.2M
Merchandise gross profit percentage*		28.3	%		29.0	%

Operating Expenses	$48.6M			$39.9M
Retail Sites (end of period)		589			482

*Includes only company operated retail sites

For the second quarter 2024, the retail segment generated a 16% increase in gross profit compared to the second quarter 2023. The increase for the second quarter 2024 was primarily due to higher motor fuel (+10%) and merchandise (+23%) gross profit.

The retail segment sold 143.0 million of retail fuel gallons during the second quarter 2024, which was an increase of 9% when compared to the second quarter 2023. This volume increase was primarily driven by the conversion of lessee dealer sites to company operated and commission agent sites over the past year and during the quarter, offset by a 2% decline in volume for same store locations.

For the second quarter 2024, CrossAmerica's merchandise gross profit and other revenue increased 25% when compared to the second quarter 2023. The second quarter increase was primarily driven by an increase in the average company operated site count due to the conversion of certain lessee dealer and commission agent sites to company operated sites. Same store merchandise sales excluding cigarettes increased 2% for the second quarter 2024 when compared to the second quarter 2023. Merchandise gross profit percentage decreased from 29.0% for the second quarter 2023 to 28.3% for the second quarter 2024.

For the second quarter 2024, operating expenses for the retail segment increased 22% primarily driven by a 28% (79 site) increase in the average company operated site count due to the conversion of certain lessee dealer and commission agent sites to company operated sites.

Wholesale Segment

Key Operating Metrics	Q2 2024		Q2 2023
Wholesale segment gross profit	$28.1M		$31.7M
Wholesale motor fuel gallons distributed	192.1M		218.1M
Average wholesale gross margin per gallon	$	0.087	$	0.082

During the second quarter 2024, CrossAmerica's wholesale segment gross profit decreased 11% compared to the second quarter 2023. This was driven by a decline in motor fuel and rent gross profit primarily due to the conversion of certain lessee dealer sites to company operated and commission agent sites and a net loss of independent dealer contracts. The motor fuel gross profit decline of 7% was driven by a 12% decrease in wholesale volume distributed, with a substantial portion of the wholesale volume decline attributable to the conversion of wholesale locations to retail locations and the associated volume for these locations is now reflected in CrossAmerica's retail segment. This was partially offset by an increase of 6% in margin per gallon.

Divestment Activity

During the three months ended June 30, 2024, CrossAmerica sold ten properties for $11.9 million in proceeds, resulting in a net gain of $6.5 million.

Acquisition of Assets from Applegreen

As previously announced, the 59 site transaction with Applegreen closed on a rolling basis by site beginning during the first quarter 2024 and ending in April 2024. Additional details regarding this transaction are available in the CrossAmerica Partners Second Quarter 2024 Form 10-Q.

Liquidity and Capital Resources

As of June 30, 2024, CrossAmerica had $789.5 million outstanding under its CAPL Credit Facility. As of August 2, 2024, after taking into consideration debt covenant restrictions, approximately $116.0 million was available for future borrowings under the CAPL Credit Facility. Leverage, as defined in the CAPL Credit Facility, was 4.39 times as of June 30, 2024, compared to 4.49 times as of March 31, 2024. As of June 30, 2024, CrossAmerica was in compliance with its financial covenants under the credit facility.

Distributions

On July 23, 2024, the Board of the Directors of CrossAmerica's General Partner ("Board") declared a quarterly distribution of $0.5250 per limited partner unit attributable to the second quarter 2024. As previously announced, the distribution will be paid on August 9, 2024 to all unitholders of record as of August 2, 2024. The amount and timing of any future distributions is subject to the discretion of the Board as provided in CrossAmerica's Partnership Agreement.

Conference Call

The Partnership will host a conference call on August 8, 2024 at 9:00 a.m. Eastern Time to discuss the second quarter 2024 earnings results. The conference call numbers are 800-717-1738 or 646-307-1865 and the passcode for both is 29269. A live audio webcast of the conference call and the related earnings materials, including reconciliations of any non-GAAP financial measures to GAAP financial measures and any other applicable disclosures, will be available on that same day on the investor section of the CrossAmerica website (www.crossamericapartners.com). After the live conference call, an archive of the webcast will be available on the investor section of the CrossAmerica site at https://caplp.gcs-web.com/webcasts-presentations within 24 hours after the call for a period of sixty days.

Non-GAAP Measures and Same Store Metrics

Non-GAAP measures used in this release include EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio. These Non-GAAP measures are further described and reconciled to their most directly comparable GAAP measures in the Supplemental Disclosure Regarding Non-GAAP Financial Measures section of this release.

Same store fuel volume and same store merchandise sales include aggregated individual store results for all stores that had fuel volume or merchandise sales in all months for both periods within the same segment. Same store merchandise sales excludes branded food sales and other revenues such as lottery commissions and car wash sales. Certain merchandise products have been transitioned from a gross profit model (whereby CrossAmerica owns the inventory and records sales and cost of sales) to a scan-based trading model (whereby a third party owns the inventory and CrossAmerica records a commission in other revenues). Same store merchandise sales for the three and six months ended June 30, 2024 were adjusted to gross it up for the sales that would have been recorded had CrossAmerica not changed models.

CROSSAMERICA PARTNERS LP

CONSOLIDATED BALANCE SHEETS

(Thousands of Dollars, except unit data)

	June 30,			December 31,
	2024			2023
ASSETS
Current assets:
Cash and cash equivalents	$	5,490		$	4,990
Accounts receivable, net of allowances of $755 and $709, respectively		38,931			31,185
Accounts receivable from related parties		88			437
Inventory		63,583			52,344
Assets held for sale		2,486			400
Current portion of interest rate swap contracts		6,478			9,321
Other current assets		8,499			9,845
Total current assets		125,555			108,522
Property and equipment, net		685,306			705,217
Right-of-use assets, net		142,126			148,317
Intangible assets, net		85,819			95,261
Goodwill		99,409			99,409
Deferred tax assets		818			759
Interest rate swap contracts, less current portion		4,873			687
Other assets		20,767			23,510
Total assets	$	1,164,673		$	1,181,682

LIABILITIES AND EQUITY
Current liabilities:
Current portion of debt and finance lease obligations	$	3,183		$	3,083
Current portion of operating lease obligations		35,259			34,787
Accounts payable		75,281			68,986
Accounts payable to related parties		7,551			10,180
Accrued expenses and other current liabilities		24,298			23,674
Motor fuel and sales taxes payable		19,821			20,386
Total current liabilities		165,393			161,096
Debt and finance lease obligations, less current portion		786,674			753,880
Operating lease obligations, less current portion		111,946			118,723
Deferred tax liabilities, net		7,877			12,919
Asset retirement obligations		48,607			47,844
Interest rate swap contracts		430			3,535
Other long-term liabilities		51,925			52,934
Total liabilities		1,172,852			1,150,931

Commitments and contingencies (Note 11)

Preferred membership interests		29,073			27,744

Equity:
Common units— 38,027,194 and 37,983,154 units issued and outstanding at June 30, 2024 and December 31, 2023, respectively		(47,893	)		(2,392	)
Accumulated other comprehensive income		10,641			5,399
Total (deficit) equity		(37,252	)		3,007
Total liabilities and equity	$	1,164,673		$	1,181,682

CROSSAMERICA PARTNERS LP

CONSOLIDATED STATEMENTS OF OPERATIONS

(Thousands of Dollars, Except Unit and Per Unit Amounts)

	Three Months Ended June 30,						Six Months Ended June 30,
	2024			2023			2024			2023
Operating revenues ^(a)	$	1,133,355		$	1,145,396		$	2,074,903		$	2,161,555
Costs of sales ^(b)		1,028,593			1,047,672			1,888,793			1,981,772
Gross profit		104,762			97,724			186,110			179,783

Operating expenses:
Operating expenses ^(c)		55,825			49,798			107,853			95,421
General and administrative expenses		7,892			7,475			14,730			13,214
Depreciation, amortization and accretion expense		18,446			19,298			37,167			39,118
Total operating expenses		82,163			76,571			159,750			147,753
Gain (loss) on dispositions and lease terminations, net		5,578			6,700			(11,228	)		4,933
Operating income		28,177			27,853			15,132			36,963
Other income, net		158			163			407			424
Interest expense		(14,208	)		(10,683	)		(24,749	)		(22,695	)
Income (loss) before income taxes		14,127			17,333			(9,210	)		14,692
Income tax expense (benefit)		1,703			2,797			(4,094	)		1,135
Net income (loss)		12,424			14,536			(5,116	)		13,557
Accretion of preferred membership interests		672			615			1,329			1,216
Net income (loss) available to limited partners	$	11,752		$	13,921		$	(6,445	)	$	12,341

Earnings (loss) per common unit
Basic	$	0.31		$	0.37		$	(0.17	)	$	0.33
Diluted	$	0.31		$	0.36		$	(0.17	)	$	0.32

Weighted-average common units:
Basic		38,027,194			37,952,950			38,010,739			37,946,676
Diluted		38,199,490			38,150,236			38,010,739			38,143,697

Supplemental information:
(a) includes excise taxes of:	$	82,394		$	76,191		$	153,106		$	146,075
(a) includes rent income of:		17,855			20,523			37,021			41,843
(b) excludes depreciation, amortization and accretion
(b) includes rent expense of:		5,192			5,658			10,611			11,212
(c) includes rent expense of:		4,497			3,911			8,439			7,709

CROSSAMERICA PARTNERS LP

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Thousands of Dollars)

	Six Months Ended June 30,
	2024			2023
Cash flows from operating activities:
Net (loss) income	$	(5,116	)	$	13,557
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Depreciation, amortization and accretion expense		37,167			39,118
Amortization of deferred financing costs		968			2,325
Credit loss expense		81			37
Deferred income tax (benefit) expense		(5,100	)		582
Equity-based employee and director compensation expense		574			1,123
Loss (gain) on dispositions and lease terminations, net		11,228			(4,933	)
Changes in operating assets and liabilities, net of acquisitions		(5,079	)		(4,546	)
Net cash provided by operating activities		34,723			47,263

Cash flows from investing activities:
Principal payments received on notes receivable		81			107
Proceeds from sale of assets		10,733			4,533
Capital expenditures		(11,411	)		(11,328	)
Lease terminations payments to Applegreen, including inventory purchases		(25,517	)		—
Net cash used in investing activities		(26,114	)		(6,688	)

Cash flows from financing activities:
Borrowings under revolving credit facilities		70,013			205,900
Repayments on revolving credit facilities		(36,500	)		(50,546	)
Repayments on the Term Loan Facility		—			(158,980	)
Payments of finance lease obligations		(1,513	)		(1,417	)
Payments of deferred financing costs		(74	)		(7,022	)
Distributions paid on distribution equivalent rights		(130	)		(111	)
Income tax distributions paid on preferred membership interests		—			(119	)
Distributions paid on common units		(39,905	)		(39,843	)
Net cash used in financing activities		(8,109	)		(52,138	)
Net increase (decrease) in cash and cash equivalents		500			(11,563	)

Cash and cash equivalents at beginning of period		4,990			16,054
Cash and cash equivalents at end of period	$	5,490		$	4,491

Segment Results

Retail

The following table highlights the results of operations and certain operating metrics of the Retail segment (in thousands, except for the number of retail sites):

	Three Months Ended June 30,						Six Months Ended June 30,
	2024			2023			2024			2023
Gross profit:
Motor fuel	$	39,289		$	35,737		$	65,326		$	62,497
Merchandise		29,849			24,232			51,292			42,355
Rent		2,258			2,263			4,566			4,774
Other revenue		5,248			3,793			9,847			7,248
Total gross profit		76,644			66,025			131,031			116,874
Operating expenses		(48,631	)		(39,874	)		(91,762	)		(75,956	)
Operating income	$	28,013		$	26,151		$	39,269		$	40,918

Retail sites (end of period):
Company operated retail sites ^(a)		372			292			372			292
Commission agents ^(b)		217			190			217			190
Total system sites at the end of the period		589			482			589			482

Total retail segment statistics:
Volume of gallons sold		143,016			130,804			264,733			249,889
Same store total system gallons sold ^(c)		120,974			123,263			226,000			232,697
Average retail fuel sites		576			477			545			468
Margin per gallon, before deducting credit card fees and commissions		0.373			0.370			0.343			0.345

Company operated site statistics:
Average retail fuel sites		365			286			340			273
Same store fuel volume ^(c)		83,013			83,739			152,931			156,229
Margin per gallon, before deducting credit card fees	$	0.397		$	0.394		$	0.365		$	0.369
Same store merchandise sales ^(c)	$	75,748		$	75,719		$	134,534		$	133,872
Same store merchandise sales excluding cigarettes	$	53,520		$	52,630		$	94,113		$	91,897
Merchandise gross profit percentage		28.3	%		29.0	%		28.2	%		28.4	%

Commission site statistics:
Average retail fuel sites		211			191			205			195
Margin per gallon, before deducting credit card fees and commissions	$	0.315		$	0.320		$	0.292		$	0.297

(a) The increase in the company operated site count was primarily attributable to the conversion of certain lessee dealer and commission agent sites to company operated sites.

(b) The increase in the commission agent site count was primarily attributable to the conversion of certain lessee dealer sites to commission agent sites, partially offset by the conversion of certain commission agent sites to company operated sites.

(c) Same store fuel volume and same store merchandise sales include aggregated individual store results for all stores that had fuel volume or merchandise sales in all months for both periods. Same store merchandise sales excludes branded food sales and other revenues such as lottery commissions and car wash sales. Certain merchandise products have been transitioned from a gross profit model (whereby CrossAmerica owns the inventory and records sales and cost of sales) to a scan-based trading model (whereby a third party owns the inventory and CrossAmerica records a commission in other revenues). Same store merchandise sales for the three and six months ended June 30, 2024 were adjusted to gross it up for the sales that would have been recorded had CrossAmerica not changed models.

Wholesale

The following table highlights the results of operations and certain operating metrics of the Wholesale segment (thousands of dollars, except for the number of distribution sites and per gallon amounts):

	Three Months Ended June 30,						Six Months Ended June 30,
	2024			2023			2024			2023
Gross profit:
Motor fuel gross profit	$	16,639		$	17,933		$	31,241		$	34,641
Rent gross profit		10,405			12,602			21,844			25,857
Other revenues		1,074			1,164			1,994			2,411
Total gross profit		28,118			31,699			55,079			62,909
Operating expenses		(7,194	)		(9,924	)		(16,091	)		(19,465	)
Operating income	$	20,924		$	21,775		$	38,988		$	43,444

Motor fuel distribution sites (end of period): ^(a)
Independent dealers ^(b)		618			641			618			641
Lessee dealers ^(c)		457			586			457			586
Total motor fuel distribution sites		1,075			1,227			1,075			1,227

Average motor fuel distribution sites		1,096			1,236			1,134			1,253

Volume of gallons distributed		192,111			218,131			376,136			419,992

Margin per gallon	$	0.087		$	0.082		$	0.083		$	0.082

(a) In addition, CrossAmerica distributed motor fuel to sub-wholesalers who distributed to additional sites.

(b) The decrease in the independent dealer site count was primarily attributable to the net loss of contracts, partially offset by divestitures of certain lessee dealer sites but with continued fuel supply.

(c) The decrease in the lessee dealer count was primarily attributable to the conversion of certain lessee dealer sites to company operated sites, including through the Applegreen Acquisition, and CrossAmerica's real estate rationalization effort.

Supplemental Disclosure Regarding Non-GAAP Financial Measures

CrossAmerica uses the non-GAAP financial measures EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio. EBITDA represents net income before deducting interest expense, income taxes and depreciation, amortization and accretion (which includes certain impairment charges). Adjusted EBITDA represents EBITDA as further adjusted to exclude equity-based compensation expense, gains or losses on dispositions and lease terminations, net and certain discrete acquisition related costs, such as legal and other professional fees, separation benefit costs and certain other discrete non-cash items arising from purchase accounting. Distributable Cash Flow represents Adjusted EBITDA less cash interest expense, sustaining capital expenditures and current income tax expense. The Distribution Coverage Ratio is computed by dividing Distributable Cash Flow by distributions paid.

EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio are used as supplemental financial measures by management and by external users of our financial statements, such as investors and lenders. EBITDA and Adjusted EBITDA are used to assess CrossAmerica's financial performance without regard to financing methods, capital structure or income taxes and the ability to incur and service debt and to fund capital expenditures. In addition, Adjusted EBITDA is used to assess the operating performance of the Partnership's business on a consistent basis by excluding the impact of items which do not result directly from the wholesale distribution of motor fuel, the leasing of real property, or the day to day operations of CrossAmerica's retail site activities. EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio are also used to assess the ability to generate cash sufficient to make distributions to CrossAmerica's unitholders.

CrossAmerica believes the presentation of EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio provides useful information to investors in assessing the financial condition and results of operations. EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio should not be considered alternatives to net income or any other measure of financial performance or liquidity presented in accordance with U.S. GAAP. EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio have important limitations as analytical tools because they exclude some but not all items that affect net income. Additionally, because EBITDA, Adjusted EBITDA, Distributable Cash Flow and Distribution Coverage Ratio may be defined differently by other companies in the industry, CrossAmerica's definitions may not be comparable to similarly titled measures of other companies, thereby diminishing their utility.

The following table presents reconciliations of EBITDA, Adjusted EBITDA, and Distributable Cash Flow to net income, the most directly comparable U.S. GAAP financial measure, for each of the periods indicated (in thousands, except for per unit amounts):

	Three Months Ended June 30,						Six Months Ended June 30,
	2024			2023			2024			2023
Net income (loss)	$	12,424		$	14,536		$	(5,116	)	$	13,557
Interest expense		14,208			10,683			24,749			22,695
Income tax expense (benefit)		1,703			2,797			(4,094	)		1,135
Depreciation, amortization and accretion expense		18,446			19,298			37,167			39,118
EBITDA		46,781			47,314			52,706			76,505
Equity-based employee and director compensation expense		369			562			574			1,123
(Gain) loss on dispositions and lease terminations, net ^(a)		(5,578	)		(6,700	)		11,228			(4,933	)
Acquisition-related costs ^(b)		998			1,022			1,630			1,241
Adjusted EBITDA		42,570			42,198			66,138			73,936
Cash interest expense		(13,723	)		(10,207	)		(23,781	)		(20,370	)
Sustaining capital expenditures ^(c)		(1,926	)		(1,436	)		(3,568	)		(3,485	)
Current income tax expense ^(d)		(870	)		(160	)		(1,007	)		(554	)
Distributable Cash Flow	$	26,051		$	30,395		$	37,782		$	49,527
Distributions paid on common units		19,964			19,925			39,905			39,843
Distribution Coverage Ratio	1.30x			1.53x			0.95x			1.24x

(a) During the three months ended June 30, 2024, CrossAmerica recorded a $6.5 million net gain in connection with its ongoing real estate rationalization effort, partially offset by $0.9 million of net losses on lease terminations and asset disposals, including non-cash write-offs of deferred rent income. During the three months ended June 30, 2023, CrossAmerica recorded a $6.1 million net gain in connection with its ongoing real estate rationalization effort and a $0.6 million net gain on lease terminations and asset disposals.

(b) Relates to certain acquisition-related costs, such as legal and other professional fees, separation benefit costs and purchase accounting adjustments associated with recent acquisitions.

(c) Under the Partnership Agreement, sustaining capital expenditures are capital expenditures made to maintain CrossAmerica's long-term operating income or operating capacity. Examples of sustaining capital expenditures are those made to maintain existing contract volumes, including payments to renew existing distribution contracts, or to maintain the sites in conditions suitable to lease, such as parking lot or roof replacement/renovation, or to replace equipment required to operate the existing business.

(d) Excludes income tax incurred on the sale of sites.

About CrossAmerica Partners LP

CrossAmerica Partners LP is a leading wholesale distributor of motor fuels, convenience store operator, and owner and lessee of real estate used in the retail distribution of motor fuels. Its general partner, CrossAmerica GP LLC, is indirectly owned and controlled by entities affiliated with Joseph V. Topper, Jr., the founder of CrossAmerica Partners and a member of the board of the general partner since 2012. Formed in 2012, CrossAmerica Partners LP is a distributor of branded and unbranded petroleum for motor vehicles in the United States and distributes fuel to approximately 1,700 locations and owns or leases approximately 1,100 sites. With a geographic footprint covering 34 states, the Partnership has well-established relationships with several major oil brands, including ExxonMobil, BP, Shell, Marathon, Valero, Phillips 66 and other major brands. CrossAmerica Partners LP ranks as one of ExxonMobil's largest distributors by fuel volume in the United States and in the top 10 for additional brands. For additional information, please visit www.crossamericapartners.com.

Contact

Investor Relations: Randy Palmer, rpalmer@caplp.com or 610-625-8000

Cautionary Statement Regarding Forward-Looking Statements

Statements contained in this release that state the Partnership's or management's expectations or predictions of the future are forward-looking statements. The words "believe," "expect," "should," "intends," "estimates," "target" and other similar expressions identify forward-looking statements. It is important to note that actual results could differ materially from those projected in such forward-looking statements. For more information concerning factors that could cause actual results to differ from those expressed or forecasted, see CrossAmerica's Form 10-K or Forms 10-Q filed with the Securities and Exchange Commission, and available on CrossAmerica's website at www.crossamericapartners.com. The Partnership undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events or otherwise.