FULLERTON, Calif. -- A Shell Oil sign replaced the Valero station marker this week at one of the busiest intersections in Fullerton, Calif., reported The Orange County Register.
Economics forced the change in branded name, Michael Gray, vice president of G&M Oil, Huntington Beach, Calif., told the newspaper. "We got a better deal with Shell; Valero did not make enough profit margin."
Gray said a retailer's profit margin on a gallon of gasoline is 10 to 15 cents per gallon. He said Shell has a larger customer base, and patrons [image-nocss] tend to have more fillups.
G&M has more than 130 stations in Southern California with 122 Chevron-branded locations, as well as several each of Shell, Valero, 76 and G&M Oil stations.
Shell spokesperson Anne Peebles told the paper that the company does not charge merchant fees when Shell Master Card is used. "Most credit card companies make more on gas purchases than we do," Gray said.
Separately, Barney's gas stations in the Yuma, Ariz., area are once again carrying the Barney's name, rather than the Valero brand, according to The Yuma Sun.
"We're no longer Valero," Patrick Rook, president of Barnicle Enterprises, which owns and operates eight stations in the Yuma area, told the paper. "We've moved away from the Valero brand and will be just Barney's independent stations."
Along with the changeover, the stations will be getting a new look and more attention to the convenience stores, Rook added.
And Gallahan Oil Co. Inc. officials are changing the company's fuel supplier from CITGO to BP, starting Thursday, said The Peru Tribune. Lance Gallahan, vice president of Gallahan Oilwhich has five gas stations and travel centers and a quick lube in the Peru, Ind., areasaid all stations will retain the Gallahan Kwik Mart name.
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