PBF Energy 2013 Annual Report Download - page 27

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“sweet crude oil” refers to a crude oil that is relatively low in sulfur content, requiring less processing to
remove the sulfur than sour crude oil. Sweet crude oil is typically more expensive than sour crude oil.
“Syncrude” refers to a blend of Canadian synthetic oil, a light, sweet crude oil, typically characterized by
an API gravity between 30° and 32° and a sulfur content of approximately 0.1-0.2 weight percent.
“throughput” refers to the volume processed through a unit or refinery.
“turnaround” refers to a periodically required shutdown and comprehensive maintenance event to refurbish
and maintain a refinery unit or units that involves the inspection of such units and occurs generally on a periodic
cycle.
“ULSD” refers to ultra-low-sulfur diesel.
“WCS” refers to Western Canadian Select, a heavy, sour crude oil blend typically characterized by an API
gravity between 20° and 22° and a sulfur content of approximately 3.5 weight percent that is used as a benchmark
for heavy Western Canadian crude oil.
“WTI” refers to West Texas Intermediate crude oil, a light, sweet crude oil, typically characterized by an
API gravity between 38° and 40° and a sulfur content of approximately 0.3 weight percent that is used as a
benchmark for other crude oils.
“WTS” refers to West Texas Sour crude oil, a sour crude oil characterized by an API gravity between 30°
and 33° and a sulfur content of approximately 1.28 weight percent that is used as a benchmark for other sour crude
oils.
“yield” refers to the percentage of refined products that is produced from crude oil and other feedstocks.
ITEM 1A. RISK FACTORS
Risks Relating to Our Business and Industry
You should carefully read the risks and uncertainties described below. The risks and uncertainties described
below are not the only ones facing our company. Additional risks and uncertainties may also impair our business
operations. If any of the following risks actually occur, our business, financial condition, results of operations or
cash flows would likely suffer. In that case, the trading price of our Class A common stock could fall.
We have incurred losses in the past and may incur losses in the future. If we incur losses over an extended
period of time, the value of our Class A common stock could decline.
We experienced losses during our time as a development company and certain periods thereafter. We may
not be profitable in future periods. A lack of profitability could adversely affect the price of our Class A common
stock. We may not continue to remain profitable, which could impair our ability to complete future financings and
have a material adverse effect on our business.
Our limited operating history makes it difficult to evaluate our current business and future prospects. If we
are unsuccessful in executing our business model, our business and operating results will be adversely
affected.
We were formed in March 2008, we acquired our first oil refinery in June 2010 in an idle state and we
acquired our first operating asset in December 2010. Therefore, we have a limited operating history and track
record in executing our business model. Our future success depends on our ability to execute our business strategy
effectively. Our limited operating history may make it difficult to evaluate our current business and future prospects.
We may not be successful in operating any of our refineries or any other properties we may acquire in the future.
In addition, we have encountered and will continue to encounter risks and difficulties frequently experienced by