Marathon Decides Against Spinning Off Speedway
9/5/17 – 9:42 A.M.
After much deliberation, Marathon Petroleum has decided not to spin Speedway into a separate company. The board of directors announced their decision after getting a recommendation from an independent special committee. The committee said the move provides the best chances for “enhancing long-term shareholder value.”
In a statement, Marathon CEO Gary Heminger said, “the Board has unanimously concluded that shareholder value is best optimized with Speedway remaining part of our integrated business.”
The company cited several reasons for deciding against spinning off Speedway. They included lost opportunities for integration. The company also said Speedway’s business helps protect against volatile market conditions.