EL DORADO, Ark. & SOUTH SAN FRANCISCO, Calif. --Murphy USA Inc. and Core-Mark Holding Co. Inc. have entered into a five-year supply agreement whereby Core-Mark will be the primary wholesale distributor to Murphy USA, delivering more than 75% of the merchandise sold in its convenience stores.
The companies expect the services under this contract to begin in the first quarter of 2016 and estimate that they will generate approximately $1.7 billion in annualized revenue for Core-Mark while creating efficiencies and a strategic supply-chain relationship for Murphy USA.
“We are confident the Core-Mark team will be an excellent strategic partner for Murphy USA, and we look forward to working together to achieve our mutual goals of profitable growth, efficient operations and superior execution for our stores and our customers,” said Andrew Clyde, president and CEO of Murphy USA.
“This contract win, driven by our trusted relationships and transparent approach, is a bellwether moment for this organization,” said Thomas B. Perkins, president and CEO of Core-Mark. “We are committed to serving Murphy USA stores with operational excellence and an innovative approach.”
El Dorado, Ark.-based Murphy USA is a leading marketer of retail motor fuel products and convenience-store merchandise with more than 1,275 locations in 23 states across the Southwest, Southeast and Midwest. Its stores are 100% company operated.
Core-Mark is one of the largest marketers of fresh and broad-line supply solutions to the convenience-store retail industry in North America. Based in South San Francisco, Calif., it offers a full range of products, marketing programs and technology solutions to more than 36,000 customer locations in the United States and Canada through 29 distribution centers. Core-Mark services traditional c-store retailers, grocers, drug, liquor and specialty stores and other stores that carry convenience products.
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