Valero 2005 Annual Report Download - page 9

VA L E R O E N E R G Y C O R P O R AT I O N 7
After 25 years of achievement, 2005
was the best year in Valero history!
Everyone, from the board members and
employees to the company’s business partners,
had a hand in Valero’s success. Thanks to
their hard work and dedication, Valero broke
records in virtually every area of its business:
• Achieving its best stock performance in a
single year, Valero’s total shareholder return
climbed to 128 percent versus the S&P 500
Index’s 5 percent return.
• Net income hit $3.6 billion, or $6.10 per
common share, the highest earnings in
Valero’s 25-year history.
• Revenues jumped to a record $82 billion
and assets reached a new high of $33 billion.
• As a result of the Premcor Inc. acquisition,
throughput capacity reached an unprec-
edented 3.3 million barrels per day (BPD).
• With coast-to-coast operations, the com-
pany’s refining system grew to become the
most geographically diverse of any U.S.
refiner.
• Valero became the nation’s leader in conver-
sion capacity as it can upgrade more low-
quality, less-costly feedstocks into premium
products than its peers.
• Valero also assembled the largest retail/
branded wholesale network in its history
with approximately 5,000 locations in the
U.S., Canada and the Caribbean.
• Valero maintained its dominance as:
o one of the nation’s largest wholesale mar-
keters, selling products through a bulk
and rack marketing network in 40 U.S.
states, Canada and Latin America;
o the largest U.S. producer of petroleum
coke, supplying power generation cus-
tomers and cement manufacturers;
o the second largest U.S. producer of
asphalt, selling to customers in the pav-
ing and roofing industries; and
o one of the nation’s largest producers of
sulfur with sales primarily to agricul-
tural customers.
• Valero earned more Star Sites in OSHA’s
Voluntary Protection Program, which rec-
ognizes the best industrial safety programs,
than any other U.S. refiner. Out of the
nation’s 149 refineries, there are only 20
Star Sites and Valero owns half of them.
• Valero’s commitment to community service
reached new heights, with the company
and its employees contributing approxi-
mately $45 million and 220,000 volunteer
hours to worthy causes.
• Additionally, the company reached No. 3 –
its highest ranking ever – on FORTUNE’s
“100 Best Companies to Work For” list.
With a strong commitment to maintaining
safe, reliable and environmentally sound oper-
ations, building shareholder value and taking
care of its employees and communities, Valero
should continue to hand in great results in the
coming years!
“Valero Energy was the top-performing
stock on the blue-chip list of Standard
& Poor’s 500. Thanks to refinery acqui-
sitions in 2005, Valero became the
largest North American refining com-
pany and is quickly becoming a national
household trade name...”
-- Columnist David Hendricks, San Antonio
Express-News, January 4, 2006