Restatement of Prior Period (Tables)

12 Months Ended

Dec. 31, 2023

Restatement of Previously Issued Financial Statements

Effects of the restatement on the consolidated balance sheet

The effects of the restatement on the consolidated balance sheet as of December 31, 2022 are summarized in the following table:

		December 31, 2022
		(In millions, except unit data)
		As Previously Reported		Effect of Restatement		As Restated
ASSETS
Current assets:
Cash and cash equivalents	$	35.2	$	—	$	35.2
Accounts receivable, net:
Trade, less allowance for credit losses of $1.3 million		245.7		(1.0)		244.7
Other		22.3		0.1		22.4
		268.0		(0.9)		267.1
Inventories		498.0		(0.3)		497.7
Prepaid expenses and other current assets		19.2		0.4		19.6
Total current assets		820.4		(0.8)		819.6
Property, plant and equipment, net		1,482.0		—		1,482.0
Goodwill		173.0		—		173.0
Other intangible assets, net		36.3		—		36.3
Operating lease right-of-use assets		107.5		—		107.5
Other noncurrent assets, net		122.6		—		122.6
Total assets	$	2,741.8	$	(0.8)	$	2,741.0
LIABILITIES AND PARTNERS’ CAPITAL (DEFICIT)
Current liabilities:
Accounts payable	$	442.4	$	(0.4)	$	442.0
Accrued interest payable		34.6		—		34.6
Accrued salaries, wages and benefits		93.0		—		93.0
Other taxes payable		9.5		—		9.5
Obligations under inventory financing agreements		221.8		—		221.8
Current portion of RINs obligation		399.3		(0.4)		398.9
Other current liabilities		34.3		—		34.3
Current portion of operating lease liabilities		70.7		—		70.7
Current portion of long-term debt		20.0		(0.4)		19.6
Derivative liabilities		26.5		—		26.5
Total current liabilities		1,352.1		(1.2)		1,350.9
Pension and postretirement benefit obligations		4.8		—		4.8
Other long-term liabilities		18.3		—		18.3
Long-term operating lease liabilities		37.1		—		37.1
Long-term RINs obligation, less current portion		77.5		—		77.5
Long-term debt, less current portion		1,539.7		0.4		1,540.1
Total liabilities	$	3,029.5	$	(0.8)	$	3,028.7
Commitments and contingencies
Redeemable noncontrolling interest	$	250.0	$	(4.4)	$	245.6
Partners’ capital (deficit):
Limited partners’ interest (79,189,583 units issued and outstanding at December 31, 2022)	$	(529.9)	$	4.6	$	(525.3)
General partner’s interest		0.5		(0.2)		0.3
Accumulated other comprehensive loss		(8.3)		—		(8.3)
Total partners’ capital (deficit)		(537.7)		4.4		(533.3)
Total liabilities and partners’ capital (deficit)	$	2,741.8	$	(0.8)	$	2,741.0

Effects of the restatement on the consolidated statement

The effects of the restatement on the consolidated balance sheet as of December 31, 2022 are summarized in the following table:

		December 31, 2022
		(In millions, except unit data)
		As Previously Reported		Effect of Restatement		As Restated
ASSETS
Current assets:
Cash and cash equivalents	$	35.2	$	—	$	35.2
Accounts receivable, net:
Trade, less allowance for credit losses of $1.3 million		245.7		(1.0)		244.7
Other		22.3		0.1		22.4
		268.0		(0.9)		267.1
Inventories		498.0		(0.3)		497.7
Prepaid expenses and other current assets		19.2		0.4		19.6
Total current assets		820.4		(0.8)		819.6
Property, plant and equipment, net		1,482.0		—		1,482.0
Goodwill		173.0		—		173.0
Other intangible assets, net		36.3		—		36.3
Operating lease right-of-use assets		107.5		—		107.5
Other noncurrent assets, net		122.6		—		122.6
Total assets	$	2,741.8	$	(0.8)	$	2,741.0
LIABILITIES AND PARTNERS’ CAPITAL (DEFICIT)
Current liabilities:
Accounts payable	$	442.4	$	(0.4)	$	442.0
Accrued interest payable		34.6		—		34.6
Accrued salaries, wages and benefits		93.0		—		93.0
Other taxes payable		9.5		—		9.5
Obligations under inventory financing agreements		221.8		—		221.8
Current portion of RINs obligation		399.3		(0.4)		398.9
Other current liabilities		34.3		—		34.3
Current portion of operating lease liabilities		70.7		—		70.7
Current portion of long-term debt		20.0		(0.4)		19.6
Derivative liabilities		26.5		—		26.5
Total current liabilities		1,352.1		(1.2)		1,350.9
Pension and postretirement benefit obligations		4.8		—		4.8
Other long-term liabilities		18.3		—		18.3
Long-term operating lease liabilities		37.1		—		37.1
Long-term RINs obligation, less current portion		77.5		—		77.5
Long-term debt, less current portion		1,539.7		0.4		1,540.1
Total liabilities	$	3,029.5	$	(0.8)	$	3,028.7
Commitments and contingencies
Redeemable noncontrolling interest	$	250.0	$	(4.4)	$	245.6
Partners’ capital (deficit):
Limited partners’ interest (79,189,583 units issued and outstanding at December 31, 2022)	$	(529.9)	$	4.6	$	(525.3)
General partner’s interest		0.5		(0.2)		0.3
Accumulated other comprehensive loss		(8.3)		—		(8.3)
Total partners’ capital (deficit)		(537.7)		4.4		(533.3)
Total liabilities and partners’ capital (deficit)	$	2,741.8	$	(0.8)	$	2,741.0

The effects of the restatement on the consolidated statement of operations for the year ended December 31, 2022 are summarized in the following table:

	Year Ended December 31, 2022
	As Previously		Effect of
	Reported		Restatement		As Restated
	(In millions, except unit and per unit data)
Sales	$	4,686.7	$	(0.4)	$	4,686.3
Cost of sales		4,335.9		(1.3)		4,334.6
Gross profit		350.8		0.9		351.7
Operating costs and expenses:
Selling		53.9		—		53.9
General and administrative		141.0		2.4		143.4
Taxes other than income taxes		13.7		—		13.7
Loss on impairment and disposal of assets		0.7		—		0.7
Other operating expense		8.1		—		8.1
Operating income		133.4		(1.5)		131.9
Other expense:
Interest expense		(175.9)		—		(175.9)
Debt extinguishment costs		(41.4)		—		(41.4)
Loss on derivative instruments		(81.7)		—		(81.7)
Other expense		(2.8)		—		(2.8)
Total other expense		(301.8)		—		(301.8)
Net loss before income taxes		(168.4)		(1.5)		(169.9)
Income tax expense		3.4		—		3.4
Net loss	$	(171.8)	$	(1.5)	$	(173.3)
Net loss attributable to noncontrolling interest		(6.7)		6.7		—
Net loss attributable to partners	$	(165.1)	$	(8.2)	$	(173.3)
Allocation of net loss to partners:
Net loss attributable to partners	$	(165.1)	$	(8.2)	$	(173.3)
Less:
General partners’ interest in net loss		(3.3)		(0.2)		(3.5)
Net loss available to limited partners	$	(161.8)	$	(8.0)	$	(169.8)
Weighted average limited partner units outstanding:
Basic and diluted		79,336,283		—		79,336,283
Limited partners’ interest basic and diluted net loss per unit:
Limited partners’ interest	$	(2.04)	$	(0.10)	$	(2.14)

The effects of the restatement on the consolidated statement of comprehensive income (loss) for the year ended December 31, 2022 are summarized in the following table:

	Year Ended December 31, 2022
	As Previously		Effect of
	Reported		Restatement		As Restated
	(In millions)
Net loss	$	(171.8)	$	(1.5)	$	(173.3)
Other comprehensive income:
Defined benefit pension and retiree health benefit plans		1.8		—		1.8
Total other comprehensive income		1.8		—		1.8
Comprehensive loss	$	(170.0)	$	(1.5)	$	(171.5)
Less: Comprehensive loss attributable to noncontrolling interest		(6.7)		6.7		—
Comprehensive loss attributable to partners’ capital (deficit)	$	(163.3)	$	(8.2)	$	(171.5)

The effects of the restatement on the consolidated statement of partners’ capital (deficit) for the year ended December 31, 2022 are summarized in the following table:

	Accumulated
	Other		Partners’ Capital (Deficit)
	Comprehensive		General		Limited
	Loss		Partner		Partners		Total
		(In millions)
Balance at December 31, 2021 (as previously reported)	$	(10.1)	$	3.8	$	(378.8)	$	(385.1)
Other comprehensive income		1.8		—		—		1.8
Net loss attributable to partners		—		(3.3)		(161.8)		(165.1)
Settlement of phantom units		—		—		6.7		6.7
Settlement of tax withholdings on equity-based incentive compensation		—		—		(4.1)		(4.1)
Modification of phantom units		—		—		13.5		13.5
Amortization of phantom units		—		—		5.7		5.7
Adjustment to ASC 480 redemption value		—		—		(11.1)		(11.1)
Balance at December 31, 2022	$	(8.3)	$	0.5	$	(529.9)	$	(537.7)
Restatement Impacts
Net loss attributable to partners		—		(0.2)		(8.0)		(8.2)
Settlement of phantom units		—		—		1.5		1.5
Adjustment to ASC 480 redemption value		—		—		11.1		11.1
Balance at December 31, 2022 (restatement impacts)	$	—	$	(0.2)	$	4.6	$	4.4
Balance at December 31, 2021 (as previously reported)	$	(10.1)	$	3.8	$	(378.8)	$	(385.1)
Other comprehensive income		1.8		—		—		1.8
Net loss attributable to partners		—		(3.5)		(169.8)		(173.3)
Settlement of phantom units		—		—		8.2		8.2
Settlement of tax withholdings on equity-based incentive compensation		—		—		(4.1)		(4.1)
Modification of phantom units		—		—		13.5		13.5
Amortization of phantom units		—		—		5.7		5.7
Balance at December 31, 2022 (as restated)	$	(8.3)	$	0.3	$	(525.3)	$	(533.3)

The effects of the restatement on the consolidated statement of cash flows for the year ended December 31, 2022 are summarized in the following table:

	Year Ended December 31, 2022
	As Previously Reported		Effect of Restatement		As Restated
	(In millions)
Operating activities
Net loss	$	(171.8)	$	(1.5)	$	(173.3)
Adjustments to reconcile net loss to net cash provided by operating activities:						—
Depreciation and amortization		98.3		—		98.3
Amortization of turnaround costs		23.1		—		23.1
Non-cash interest expense		17.6		—		17.6
Debt extinguishment costs		41.4		—		41.4
Non-cash RINs expense		197.9		(0.4)		197.5
Unrealized loss on derivative instruments		45.9		—		45.9
Loss on impairment and disposal of assets		0.7		—		0.7
Equity based compensation		15.8		1.5		17.3
Lower of cost or market inventory adjustment		19.4		—		19.4
Other non-cash activities		2.2		—		2.2
Changes in assets and liabilities
Accounts receivable		(15.0)		0.9		(14.1)
Inventories		(190.8)		0.3		(190.5)
Prepaid expenses and other current assets		(5.2)		(0.4)		(5.6)
Turnaround costs		(62.6)		—		(62.6)
Accounts payable		57.3		(0.4)		56.9
Accrued interest payable		8.4		—		8.4
Accrued salaries, wages and benefits		9.5		—		9.5
Other taxes payable		(2.1)		—		(2.1)
Other liabilities		10.6		—		10.6
Net cash provided by operating activities		100.6		—		100.6
Investing activities
Additions to property, plant and equipment		(536.2)		—		(536.2)
Proceeds from sale of property, plant and equipment		0.2		—		0.2
Net cash used in investing activities		(536.0)		—		(536.0)
Financing activities
Proceeds from borrowings — revolving credit facility		1,695.1		—		1,695.1
Repayments of borrowings — revolving credit facility		(1,591.1)		—		(1,591.1)
Proceeds from borrowings — senior notes		325.0		—		325.0
Repayments of borrowings — senior notes		(363.1)		—		(363.1)
Payments on finance lease obligations		(0.9)		—		(0.9)
Proceeds from inventory financing		2,166.0		—		2,166.0
Payments on inventory financing		(2,132.6)		—		(2,132.6)
Proceeds from sale of redeemable noncontrolling interest in subsidiary		250.0		—		250.0
Payments for issuance of Preferred Units		(4.4)		—		(4.4)
Repayments of borrowings — MRL Credit Facility		(347.3)		—		(347.3)
Proceeds from other financing obligations		372.9		—		372.9
Payments on other financing obligations		(15.6)		—		(15.6)
Debt issuance costs		(5.3)		—		(5.3)
Net cash provided by financing activities		348.7		—		348.7
Net decrease in cash, cash equivalents and restricted cash		(86.7)		—		(86.7)
Cash, cash equivalents and restricted cash at beginning of period		121.9		—		121.9
Cash, cash equivalents and restricted cash at end of period	$	35.2	$	—	$	35.2
Cash and cash equivalents	$	35.2	$	—	$	35.2
Restricted cash	$	—	$	—	$	—
Supplemental disclosure of non-cash investing activities
Non-cash property, plant and equipment additions	$	151.4	$	—	$	151.4
Supplemental disclosure of non-cash investing activities
Non-cash property, plant and equipment additions	$	136.9	$	—	$	136.9