Fuels

Next-Generation Buyback

Three Winona stations return to Severson family, carry on tradition of thanking vets
WINONA, Minn. -- Three Sinclair gas station/convenience stores in Winona, Minn., recently returned to Severson family ownership when they were purchased by Josh and Josi Severson, children of previous owner and Vietnam veteran Tom Severson, said The Winona Daily News. Severson Oil Co. sold five locations in Lake City, Winona and Rochester, Minn., in July 2007 to Sinclair Oil Corp.

The three stations have been branded Sinclair since July 2007. Last August, Salt Lake City-based Sinclair said that it had made a commitment to exit retail by the first quarter of 2010.[image-nocss]

In 2007, when ConocoPhillips pulled out of Minnesotaas well as North Carolina, South Carolina and certain portions of Wisconsin, North and South Dakota, Arizona and Nevadaas part of its portfolio rationalization strategy, Severson created his own fuel brand, called Mileage. He now supplies several Mileage stations in Minnesota and Wisconsin.

At the time of the sale to Sinclair, Tom Severson said he felt his stores needed more marketing support than Severson Oil could provide, the newspaper said then. Although he had planned to switch his stations' gasoline to the Mileage brand after ConocoPhillips stopped supplying fuel in Minnesota, after reviewing other options, Severson said he settled on selling to Sinclair because of its family legacy and private ownership.

Severson Oil traces its roots back to 1939 when Orville Severson became a commissioned agent for Conoco, according to the company's website. Tom Severson worked in his father's station and on deliveries while growing up. After attending college and serving in the army in Vietnam, he worked for Conoco for 12 years in various capacities.

In 1981, Tom Severson purchased Christenson Oil Co., which serviced the Winona area, and converted the product line from Texaco to Conoco. It has since expanded into lubes, chemicals, propane, fuels and fuel additives. It sells many brands including Conoco, Mileage, Amoco, Kendall, Phillips Aviation, racing gas, Alky Race fuels, Severson Specialty Oils, 76, Mobil, Shell, Texaco, ValvTect Diesel Guard and fuel additives, Tierra Java coffees and Steel King canopies.

Tom Severson opened the first store in 1982 and the others in 1998. Josi and Josh Severson started working at their father's stores when they were each 15. Both started as cashiers and maintenance workers. Both tried different careers and lived in different places, but Josh and Josi Severson came back to Winona to work for Winona-based Severson Oil.

The stores came up for sale in August 2009. The Seversons declined to disclose the purchase price, said the report.

The stations continue to sell Sinclair gasoline. The owners have kept the Sinclair name on the stores, but have added Severson Oil signage. The c-stores are being promoted as Severson-Sinclair stores, the report added.

And true to his military heritage, Tom Severson has created promotions designed to thank other veterans for their service. One longstanding promotion is free doughnuts for veterans over the Memorial Day weekend. Another is free car washes for veterans, also over the Memorial Day weekend.

He took his inspiration from the famous Wall Drug Store in South Dakota. "Its famous billboards advertise free doughnuts for veterans," he told CSP Daily News. "I, being a veteran of Vietnam, always make it a point to stop there for my free doughnut, so many years ago when we first got stores, we decided it would be nice to offer free doughnuts to vets on Memorial Day weekend."

Tom Severson then met a distributor and car wash operator who was giving free car washes to vets over the holiday. "This sounded like an even better idea since we had just built some car washes and wanted to get more people exposed to them," he said. "It serves as a reminder to why we have Memorial Day, plus gives us a chance to thank veterans. We have them sign up with their service dates and branch of service. They like telling us how they served, and I like seeing how they served."

Sinclair continued the offer when it owned the stores, he added.

"In the past, I did the radio ad personally to make people aware of Memorial Day to remind people that 'freedom is not free' and about our offer to thank the vets. Now that Josi and Josh own the stores, they decided they would like to continue the tradition, so Josh wrote and recorded his own ad with the thank-you offer."

Tom Severson also raises funds for honor flights to Washington, D.C., for World War II veterans. After seeing a video on honor flights, he thought that there were people who wanted to contribute, but could not give a large amount, so they needed a easy way to contribute.

Contributions have ranged from change at the register to some $500 checks. So far, the effort has raised about $4,000 and so should max out matching funds of $5,000 by the Fourth of July for at least $10,000.

"Memorial Day, Flag Day and the Fourth of July makes this a patriotic season," he added. "We are partnering with the radio station to give away a American Flag daily and reminding people about the honor flight."

Click the Download Now button below to view promotional materials on the honor flight.

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