World Fuel Services 2015 Annual Report Download - page 6

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PART I
Item 1. Business
Overview
World Fuel Services Corporation (the “Company”) was incorporated in Florida in July 1984 and along with its consolidated
subsidiaries is referred to collectively in this Annual Report on Form 10-K (“2015 10-K Report”) as “World Fuel,” “we,” “our”
and “us.”
We are a global fuel logistics, transaction management and payment processing company, which provides energy
management solutions to the aviation, marine and land transportation industries. We compete by providing our customers
with value-added benefits, including single-supplier convenience, competitive pricing, the availability of trade credit, price
risk management, logistical support, fuel quality control and fuel procurement outsourcing. We primarily contract with third
parties for the delivery and storage of fuel products, however, we also operate storage facilities and transportation assets.
We have offices throughout the United States and in various foreign jurisdictions, including: the United Kingdom, Denmark,
Norway, Sweden, Switzerland, the Netherlands, Germany, Greece, the United Arab Emirates, Russia, Taiwan, South Korea,
Singapore, Japan, Hong Kong, Indonesia, Costa Rica, Brazil, Chile, Argentina, Mexico, Colombia, Canada, South Africa,
Gibraltar, India and Australia. See “Item 2 – Properties” for a list of principal offices by business segment and “Exhibit 21.1 –
Subsidiaries of the Registrant” included in this 2015 10-K Report for a list of our subsidiaries.
As of February 4, 2016, we employed approximately 4,700 employees globally. Our principal executive office is located at
9800 Northwest 41
st
Street, Miami, Florida 33178 and our telephone number at this address is 305-428-8000. Our internet
address is http://www.wfscorp.com and the investor relations section of our website is located at http://ir.wfscorp.com. We
make available free of charge, on or through the investor relations section of our website, our Annual Reports on Form 10-K,
Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, Proxy Statements and amendments to those reports filed
or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)
with the Securities and Exchange Commission (“SEC”) as soon as reasonably practicable after such material is
electronically filed with, or furnished to, the SEC. Also posted on our website are our Code of Conduct (“Code of Conduct”),
Board of Directors’ committee charters and Corporate Governance Principles. Our internet website and information
contained on our internet website are not part of this 2015 10-K Report and are not incorporated by reference in this 2015
10-K Report.
Segments
We operate in three reportable segments consisting of aviation, marine and land. In our aviation segment, we offer fuel and
related products and services to major commercial airlines, second and third tier airlines, cargo carriers, regional and low
cost carriers, airports, fixed based operators, corporate fleets, fractional operators, private aircraft, military fleets and to the
United States (“U.S.”) and foreign governments as well as intergovernmental organizations. Our marine segment product
and service offerings include fuel, lubricants and related products and services to a broad base of customers, including
international container and tanker fleets, commercial cruise lines, yachts and time charter operators, offshore rig owners
and operators, the U.S. and foreign governments as well as other fuel suppliers. In our land segment, we offer fuel, crude
oil, lubricants, natural gas and related products and services to customers including petroleum distributors operating in the
land transportation market, retail petroleum operators, and industrial, commercial, residential and government customers.
Within each of our segments we may enter into derivative contracts to mitigate the risk of market price fluctuations and also
to offer our customers fuel pricing alternatives to meet their needs. Financial information with respect to our business
segments and the geographic areas of our business is provided below and within Note 11 to the accompanying consolidated
financial statements included in this 2015 10-K Report.
Aviation Segment
Our aviation-related service offerings include fuel management, price risk management, ground handling, 24/7 global
dispatch services, and international trip planning services, including flight plans, weather reports and overflight permits. In
addition, we offer card payment solutions and related processing services. Because fuel is a major component of an
aircraft’s operating costs, our customers require cost effective and professional fuel services. We have developed an
extensive network of third-party suppliers and service providers that enables us to provide aviation fuel and related services
throughout the world. We believe the breadth of our service offering combined with our global supplier network is a strategic
differentiator that allows customers to secure fuel and high-quality services in locations worldwide on short notice.
We purchase our aviation fuel from suppliers worldwide, which may be delivered into our customers’ aircraft or to a
designated storage facility located at one of our suppliers’ locations, pursuant to arrangements with them. Inventory is