San Antonio-based refiner Valero Energy Corp. provided more details about a planned spinoff of its retail stores, and it announced a new retail chieftain as well as other changes to its leadership team.
Kim Bowers, now Valero executive vice president and general counsel, will take charge of the company’s retail operations in the United States and Canada on Jan. 1, and she will remain head of retail when the separation is completed.
Valero said it expects the separation of its corporate-owned stores to be completed late in the first quarter or early in the second quarter of next year.
The spinoff company, Corner Store Holdings Inc., filed a registration statement last month with the Securities and Exchange Commission. In a posting on its website Monday, Valero said its plan is to distribute to Valero shareholders 80 percent of Corner Store Holdings’ equity, which would trade on the New York Stock Exchange under the ticker symbol CST.
Valero’s Corner Stores number 1,027 in the U.S. and 775 in Canada.
Bowers, who will act as CEO of Corner Store Holdings, “has a lot of experience in mergers and acquisitions, and expanding lines of business,” Valero spokesman Bill Day said. “That’s what retail is all about.”
Five other top managers also will assume different duties starting Jan. 1.
“This realignment is important for the development and execution of our strategies and for the individual development of key leaders within Valero as we prepare for a rapidly changing competitive environment,” chairman and CEO Bill Klesse said in a written statement.
Gary Arthur, currently corporate senior vice president and president of retail, will be corporate senior vice president of wholesale marketing, which the company said is a growing segment of the refining company.
Arthur will oversee operations for the independent branded stores that Valero doesn’t own, Day said. The number of branded stores is growing by converting other brands to Valero, he said.
Jay Browning, corporate senior vice president and corporate secretary, will become corporate senior vice president and general counsel, replacing Bowers.
Jim Gillingham, corporate senior vice president for alternative energy and project development, will move to corporate senior vice president of specialty products,which include ventures that Valero seeks to expand, such as petrochemical production, Day said.
Martin Parrish, corporate vice president of crude, feedstock supply and trading, will become corporate vice president, alternative energy and project development, replacing Gillingham.
Gary Simmons, corporate vice president of supply chain optimization, will become corporate vice president of crude, feedstock supply and trading. Simmons will decide which refineries need which feedstocks to run most efficiently. In his new post, he’ll buy and sell feedstocks and be in charge of the company’s trading floor, Day said.