Delek US Holdings Reports Second Quarter 2016 Results

Delek US Holdings, Inc. (NYSE: DK) (“Delek US”) today announced
financial results for its second quarter ended June 30, 2016. Delek US
reported a second quarter net loss of $(7.0) million, or $(0.11) per
basic share, versus net income of $48.3 million, or $0.79 per diluted
share, for the quarter ended June 30, 2015. On an adjusted basis, Delek
US reported a net loss of $(5.1) million, or $(0.08) per basic share for
the quarter ended June 30, 2016, compared to net income of $37.8
million, or $0.62 per diluted share on an adjusted basis in the prior
year period. Reconciliations of GAAP earnings to adjusted earnings are
included in the financial tables attached to this release.

On a year-over-year basis, results in the second quarter 2016 benefited
from improved performance in retail and logistics, as well as lower
operating and overhead expenses. The decline in expenses was primarily
due to improved reliability and a combination of lower variable costs,
outside services, employee expenses and maintenance, partially driven by
cost reduction programs implemented throughout the company. These
benefits were more than offset by a 47 percent decline in the WTI Gulf
Coast 5-3-2 crack spread, and a narrowing of the Midland WTI crude oil
discount to Cushing WTI.

In May 2015, Delek US acquired 48 percent of the outstanding stock of
Alon USA. The loss from the equity investment in Alon USA of $(10.4)
million and associated interest costs of $3.8 million related to the
financing of this investment lowered results by approximately $0.15 per
basic share after tax in the second quarter 2016. Excluding the effect
of this investment, Delek US' underlying assets would have earned $0.04
per share on a reported basis and $0.07 per share on an adjusted basis.
For purposes of after-tax calculations, a marginal income tax rate of 35
percent was used related to the effect from the investment in Alon USA.

Uzi Yemin, Chairman, President and Chief Executive Officer of Delek US
stated, "During the second quarter, our initiatives to improve the
factors under our control began to provide results. Programs to reduce
costs were factors in lower operating expenses and G&A expenses on a
year-over-year basis. We also achieved an operating expense per barrel
of $3.41 in our refining system in the second quarter 2016. In addition
our capture rates based on adjusted refining margin improved at both
refineries on a sequential basis compared to first quarter 2016.
Finally, both the logistics and retail segment contribution margins
improved on a year-over-year basis as well."

Yemin concluded, "We ended the quarter with $377.1 million of cash,
which is an improvement from our March 31, 2016 cash balance of $350.0
million. By reducing costs, managing our capital spending programs and
benefiting from cash inflows from tax refunds we lowered our net debt
position on a sequential basis by approximately $48.0 million. Efforts
are underway to unlock the value of our retail segment and we remain
focused on creating long term value for our shareholders as we continue
to explore strategic opportunities."

Regular Quarterly Dividend

Delek US announced today that its Board of Directors had declared its
regular quarterly cash dividend of $0.15 per share. Shareholders of
record on August 23, 2016 will receive this cash dividend payable on
September 13, 2016.

Liquidity

As of June 30, 2016, Delek US had a cash balance of $377.1 million and
total debt of $941.4 million, resulting in net debt of $564.3 million.
This compares to $612.1 million of net debt at March 31, 2016. As of
June 30, 2016, Delek US' subsidiary, Delek Logistics Partners, LP (NYSE:
DKL) ("Delek Logistics"), had $362.6 million of debt, which is included
in the consolidated amounts on Delek US' balance sheet. Excluding Delek
Logistics, Delek US had approximately $377.1 million in cash and $578.8
million of debt, or a $201.7 million net debt position compared to
$254.4 million at March 31, 2016.

During the second quarter 2016, approximately $36.0 million of cash was
received from tax refunds from prior periods and for the first six
months of 2016 approximately $136.0 million has been received from a
combination of a litigation settlement and tax refunds from prior
periods. The total amount expected to be received in 2016 is
approximately $140.0 million. Compared to previous guidance of up to
$160.0 million that was expected to be received in 2016, the timing of
approximately $19.0 million of prior period tax refunds has shifted from
the fourth quarter 2016 into 2017. This amount is subject to change
based on timing of future tax refunds.

Refining Segment

Net sales for the refining segment were $1,077.7 million the second
quarter 2016 compared to $1,336.8 million in the second quarter of 2015.
The decrease in net sales was primarily a result of declines in the
price of U.S. Gulf Coast gasoline and Ultra-Low-Sulfur diesel ("ULSD")
in the second quarter of 2016 compared to the second quarter of 2015.
Additionally, sales volumes at the El Dorado refinery decreased as a
result of lower throughputs and production as operations matched
commercial demand.

Cost of goods sold for the refining segment was $988.1 million in the
second quarter 2016 compared to $1,164.8 million in the prior year
period. The decrease in cost of goods sold was primarily attributable to
a decrease in the cost of WTI crude oil, from an average of $57.80 per
barrel in the second quarter of 2015 to an average of $45.56 in the
second quarter of 2016. Decreases in sales volumes at the El Dorado
refinery also contributed to the decrease. These decreases were
partially offset by an increase in the expense for renewable
identification numbers ("RINs") related to blending obligations which
was $12.3 million in the second quarter 2016 compared to $2.4 million in
the prior year period.

In the second quarter 2016, operating expenses in the refining segment
decreased to $49.6 million from $60.0 million in the prior year period.
The decrease at Tyler was primarily due to lower outside services and
natural gas expense. El Dorado operating expenses decreased primarily
due to outside services, utilities and chemical expenses. Also, the
prior year period at El Dorado included $4.2 million of unanticipated
pipeline expenses that were primarily related to oil spill remediation
costs.

Refining segment contribution margin was $40.0 million in the second
quarter 2016 compared to $112.0 million in the second quarter 2015. The
total segment contribution margin included the Tyler, Texas refinery
contribution margin of $30.8 million in the second quarter 2016 compared
to $75.2 million in the second quarter 2015, and the El Dorado, Arkansas
refinery contribution margin of $7.2 million in the first quarter 2016
compared to $36.6 million in the prior year period. On a year-over-year
basis several factors affected performance at the refineries. First, the
Gulf Coast 5-3-2 crack spread declined to $9.80 per barrel for the
second quarter 2016, compared to $18.60 per barrel for the same period
in 2015. Second, the second quarter 2016 included a net hedging loss of
$(17.4) million compared to a $(15.2) million hedging loss in the prior
year period.

Finally, the Midland WTI crude differential to Cushing WTI averaged a
$0.18 per barrel discount in second quarter 2016 compared to an average
discount of $0.60 per barrel in the second quarter 2015. In addition to
the decline in the Midland differential on a year-over-year basis,
contango in the oil futures market narrowed to $1.43 per barrel in the
second quarter 2016, compared to contango of $1.77 per barrel in the
second quarter 2015.

Inventory was a factor in the change in refining performance on a
year-over-year basis. There was a reduction in the other inventory
charge, excluding lower of cost or market in the second quarter 2016 to
$0.2 million compared to a charge of $11.2 million in the second quarter
2015. Lower of cost or market ("LCM") valuation was a benefit of $13.0
million in the second quarter 2016, compared to an LCM valuation benefit
of $29.9 million in the prior year period. The change on a
year-over-year basis is due to the change in prices of products and
crude oil during the respective quarters. The inventory breakdown by
refinery is included in the attached financial tables.

See the table below for a summary of certain information by refinery
impacting our refining segment operations:

					Tyler, Texas Refinery										El Dorado, Arkansas Refinery
		Operating Highlights			Three Months Ended June 30,										Three Months Ended June 30,
					2016					2015					2016					2015
		Crude Throughput, bpd			69,911					69,685					73,556					74,450
		Total Throughput, bpd			73,394					75,304					75,268					80,436
		Total Sales Volume, bpd			74,398					71,588					80,173					87,565
		Refining Margin, $/bbl sold			$	7.84				$	15.36				$	4.52				$	8.82
		Adjusted Refining Margin, $/bbl sold (1)			$	6.94				$	13.60				$	5.98				$	9.81
		Direct Operating Expense, $ in millions			$	22.3				$	24.9				$	25.7				$	33.7
		Direct Operating Expense, $/bbl sold			$	3.29				$	3.82				$	3.52				$	4.23
(1)		Reconciliations of refining margin and adjusted refining margin are included in the attached tables.

Logistics Segment

Delek US and its affiliates beneficially own approximately 62 percent
(including the 2 percent general partner interest) of all outstanding
Delek Logistics units. The logistics segment's results include 100
percent of the performance of Delek Logistics and adjustments for the
non-controlling interests are made on a consolidated basis.

On a year-over-year basis, results in the logistics segment benefited
from a higher west Texas gross margin and terminalling volumes, combined
with lower operating expenses, which were partially offset by reduced
performance in the trucking operations and on other pipelines on a
year-over-year basis. Net sales for the logistics segment were $111.8
million in the second quarter 2016 compared to $172.1 million for the
second quarter of 2015, a decrease of $60.3 million, or 35.0%. The
decrease was primarily attributable to decreases in the average sales
prices per gallon of gasoline and diesel and in diesel volumes sold in
our west Texas marketing operations. Decreases in the average cost per
gallon of gasoline and diesel also drove a $59.4 million decrease in
cost of goods sold for the logistics segment, as purchases in our west
Texas operations were impacted by the decline. Operating expenses for
the logistics segment were approximately $8.7 million in the second
quarter 2016 compared to $10.8 million for the second quarter of 2015.
The decrease in operating expenses was primarily due to decreases in
maintenance costs and insurance expense. As a result of those factors,
contribution margin in the second quarter 2016 increased to $30.0
million compared to $28.8 million in the second quarter 2015.

Retail Segment

Retail segment performance increased year-over-year primarily due to
higher fuel margins and lower operating expenses. This benefit was
partially offset by lower fuel gallons sold as fuel pricing programs
focused on margin rather than gallons during the second quarter 2016.
Net sales for the retail segment were $369.8 million in the second
quarter 2016 compared to $409.9 million in the second quarter of 2015.
The decrease in net sales was primarily due to a decrease in the retail
fuel price per gallon. On a year over year basis, merchandise sales
increased, which partially offset the decrease in retail fuel. The
decrease in the average retail fuel cost per gallon also drove a $41.5
million decrease in cost of goods sold to $318.5 million in the second
quarter 2016 from $360.0 million in the prior year period. Operating
expenses for the retail segment were $33.1 million in the second quarter
2016 compared to $35.6 million in the second quarter of 2015. The
decrease in operating expenses was primarily attributable to declines in
insurance and credit expenses. Contribution margin for the segment
increased to $18.2 million in the second quarter 2016 compared to $14.3
million in the prior year period.

Fuel gallons sold decreased to 115.3 million in the second quarter 2016
from 116.2 million in the prior-year period and merchandise sales
increased year-over-year to $111.0 million compared to $109.2 million in
the second quarter 2015. On a same store sales basis, fuel gallons sold
decreased (2.4)% and merchandise sales increased 1.7% from second
quarter 2015. At the end of the second quarter 2016, there were a total
of 69 large-format stores in the portfolio.

See the table below for a summary of certain information impacting our
retail segment operations:

			Three Months Ended June 30,
Retail Operating Highlights			2016					2015
Merchandise margin			27.9		%			28.7		%
Fuel margin, per gallon			$	0.170				$	0.153
Store count (end of period)			348					360

Second Quarter 2016 Results | Conference Call
Information

Delek US will hold a conference call to discuss its second quarter 2016
results on Thursday, August 4, 2016 at 8:30 a.m. Central Time. Investors
will have the opportunity to listen to the conference call live by going
to www.DelekUS.com
and clicking on the Investor Relations tab. Participants are encouraged
to register at least 15 minutes early to download and install any
necessary software. For those who cannot listen to the live broadcast, a
telephonic replay will be available through November 4, 2016 by dialing
(855) 859-2056, passcode 48847379. An archived version of the replay
will also be available at www.DelekUS.com
for 90 days.

Investors may also wish to listen to Delek Logistics’ (NYSE: DKL) second
quarter earnings conference call that will be held on Thursday, August
4, 2016 at 7:30 a.m. Central Time and review Delek Logistics’ earnings
press release. Market trends and information disclosed by Delek
Logistics may be relevant to the logistics segment reported by Delek US.
Both a replay of the conference call and press release for Delek
Logistics are available online at www.deleklogistics.com.

About Delek US Holdings, Inc.

Delek US Holdings, Inc. is a diversified downstream energy company with
assets in petroleum refining, logistics and convenience store retailing.
The refining segment consists of refineries operated in Tyler, Texas and
El Dorado, Arkansas with a combined nameplate production capacity of
155,000 barrels per day. Delek US Holdings, Inc. and its affiliates also
own approximately 62 percent (including the 2 percent general partner
interest) of Delek Logistics Partners, LP. Delek Logistics Partners, LP
(NYSE: DKL) is a growth-oriented master limited partnership focused on
owning and operating midstream energy infrastructure assets. The retail
segment markets motor fuel and convenience merchandise through a network
of approximately 348 company-operated convenience store locations
operated under the MAPCO Express®, MAPCO Mart®, East Coast®, Fast Food
and Fuel™, Favorite Markets®, Delta Express® and Discount Food Mart™
brand names. Delek US Holdings, Inc. also owns approximately 48 percent
of the outstanding common stock of Alon USA Energy, Inc. (NYSE: ALJ).

Safe Harbor Provisions Regarding
Forward-Looking Statements

This press release contains forward-looking statements that are based
upon current expectations and involve a number of risks and
uncertainties. Statements concerning current estimates, expectations and
projections about future results, performance, prospects and
opportunities and other statements, concerns, or matters that are not
historical facts are “forward-looking statements,” as that term is
defined under the federal securities laws.

Investors are cautioned that the following important factors, among
others, may affect these forward-looking statements. These factors
include but are not limited to: risks and uncertainties with respect to
the quantities and costs of crude oil we are able to obtain and the
price of the refined petroleum products we ultimately sell; gains and
losses from derivative instruments; management's ability to execute its
strategy of growth through acquisitions and the transactional risks
associated with acquisitions and dispositions; acquired assets may
suffer a diminishment in fair value as a result of which we may need to
record a write-down or impairment in carrying value of the asset; the
effect on our financial results by the financial results of Alon USA
Energy, Inc., in which we hold a significant equity investment; changes
in the scope, costs, and/or timing of capital and maintenance projects;
operating hazards inherent in transporting, storing and processing crude
oil and intermediate and finished petroleum products; our competitive
position and the effects of competition; the projected growth of the
industries in which we operate; general economic and business
conditions, particularly levels of spending relating to travel and
tourism or conditions affecting the southeastern United States; and
other risks contained in our filings with the United States Securities
and Exchange Commission.

Forward-looking statements should not be read as a guarantee of future
performance or results and will not be accurate indications of the times
at or by which such performance or results will be achieved.
Forward-looking information is based on information available at the
time and/or management's good faith belief with respect to future
events, and is subject to risks and uncertainties that could cause
actual performance or results to differ materially from those expressed
in the statements. Delek US undertakes no obligation to update or revise
any such forward-looking statements.

Non-GAAP Disclosures:

This earnings release includes references to financial measures that are
not defined under U.S. generally accepted accounting principles
("GAAP"). These non-GAAP measures include adjusted net income or loss
and adjusted net income or loss per share. Delek US believes that the
presentation of these non-GAAP measures reflects operating results that
are more indicative of Delek US' ongoing operating performance while
improving comparability to prior periods, and, as such, may provide
investors with an enhanced understanding of the Company's past financial
performance and prospects for the future. Adjusted income or loss and
adjusted net income or loss per share should not be considered in
isolation or as alternatives to net income or loss, net income or loss
per share, or any other measure of financial performance presented in
accordance with U.S. GAAP. Additionally, because adjusted net income or
loss and adjusted net income or loss per share may be defined
differently by other companies in its industry, Delek US' definition may
not be comparable to similarly titled measures of other companies. See
the accompanying tables in this earnings release for a reconciliation of
these non-GAAP measures to the most directly comparable GAAP measures.

Delek US Holdings, Inc. Consolidated Balance Sheets (Unaudited)
			June 30, 2016					December 31, 2015
			(In millions, except share and per share data)
ASSETS
Current assets:
Cash and cash equivalents			$	377.1				$	302.2
Accounts receivable			249.1					233.0
Accounts receivable from related party			0.1					0.5
Inventories, net of lower of cost or market valuation			407.8					307.6
Other current assets			74.1					145.5
Total current assets			1,108.2					988.8
Property, plant and equipment:
Property, plant and equipment			2,105.1					2,100.1
Less: accumulated depreciation			(640.3		)			(579.0		)
Property, plant and equipment, net			1,464.8					1,521.1
Goodwill			74.4					74.4
Other intangibles, net			27.3					27.3
Equity method investments			599.7					605.2
Other non-current assets			88.9					108.1
Total assets			$	3,363.3				$	3,324.9
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable			$	465.7				$	397.6
Current portion of long-term debt and capital lease obligations			91.7					95.2
Obligation under Supply and Offtake Agreement			129.8					132.0
Accrued expenses and other current liabilities			226.6					134.9
Total current liabilities			913.8					759.7
Non-current liabilities:
Long-term debt and capital lease obligations, net of current portion			849.7					880.5
Environmental liabilities, net of current portion			6.7					7.9
Asset retirement obligations			9.5					9.7
Deferred tax liabilities			231.8					247.9
Other non-current liabilities			37.0					65.3
Total non-current liabilities			1,134.7					1,211.3
Stockholders’ equity:
Preferred stock, $0.01 par value, 10,000,000 shares authorized, no shares issued and outstanding			—					—
Common stock, $0.01 par value, 110,000,000 shares authorized, 67,019,353 shares and 66,946,721 shares issued at June 30, 2016 and December 31, 2015, respectively			0.7					0.7
Additional paid-in capital			646.3					639.2
Accumulated other comprehensive loss			(30.8		)			(45.3		)
Treasury stock, 5,195,791 shares and 4,809,701 shares, at cost, as of June 30, 2016 and December 31, 2015, respectively			(160.8		)			(154.8		)
Retained earnings			658.4					713.5
Non-controlling interest in subsidiaries			201.0					200.6
Total stockholders’ equity			1,314.8					1,353.9
Total liabilities and stockholders’ equity			$	3,363.3				$	3,324.9

Delek US Holdings, Inc. Consolidated Statements of Income (Unaudited)
			Three Months Ended June 30,										Six Months Ended June 30,
			2016					2015					2016					2015
			(In millions, except share and per share data)
Net sales			$	1,426.4				$	1,693.1				$	2,532.3				$	2,843.7
Operating costs and expenses:
Cost of goods sold			1,253.9					1,438.2					2,245.0					2,444.3
Operating expenses			90.3					106.0					192.2					197.4
Insurance proceeds — business interruption			—					—					(42.4		)			—
General and administrative expenses			29.3					34.3					63.9					67.0
Depreciation and amortization			37.3					34.9					73.4					63.2
Other operating income, net			(0.3		)			(0.1		)			—					(0.1		)
Total operating costs and expenses			1,410.5					1,613.3					2,532.1					2,771.8
Operating income			15.9					79.8					0.2					71.9
Interest expense			15.4					17.3					30.4					27.4
Interest income			(0.4		)			(0.2		)			(0.7		)			(0.6		)
Loss (income) from equity method investments			10.6					(7.4		)			28.6					(7.4		)
Other (income) loss, net			(0.1		)			(0.1		)			0.5					(1.0		)
Total non-operating expenses, net			25.5					9.6					58.8					18.4
(Loss) income before income tax (benefit) expense			(9.6		)			70.2					(58.6		)			53.5
Income tax (benefit) expense			(9.0		)			15.1					(34.1		)			9.1
Net (loss) income			(0.6		)			55.1					(24.5		)			44.4
Net income attributed to non-controlling interest			6.4					6.8					11.7					12.2
Net (loss) income attributable to Delek			$	(7.0	)			$	48.3				$	(36.2	)			$	32.2
Basic & diluted (loss) earnings per share:
Basic			$	(0.11	)			$	0.80				$	(0.58	)			$	0.55
Diluted			$	(0.11	)			$	0.79				$	(0.58	)			$	0.54
Weighted average common shares outstanding:
Basic			61,827,201					60,555,444					61,979,604					58,931,705
Diluted			61,827,201					61,114,471					61,979,604					59,470,929
Dividends declared per common share outstanding			$	0.15				$	0.15				$	0.30				$	0.30

Delek US Holdings, Inc.
Consolidated Statements of Cash Flows
(In millions)
			Six Months Ended June 30,
			2016					2015
Cash Flow Data			(Unaudited)
Operating activities			$	156.6				$	73.7
Investing activities			(59.4		)			(344.2		)
Financing activities			(22.3		)			204.8
Net increase (decrease)			$	74.9				$	(65.7	)

Delek US Holdings, Inc.
Segment Data (Unaudited)
(In millions)
			Three Months Ended June 30, 2016
			Refining					Logistics					Retail					Corporate, Other and Eliminations					Consolidated
Net sales (excluding intercompany fees and sales)			$	980.6				$	75.5				$	369.8				$	0.5				$	1,426.4
Intercompany fees and sales			97.1					36.3					—					(133.4		)			—
Operating costs and expenses:
Cost of goods sold			988.1					73.1					318.5					(125.8		)			1,253.9
Operating expenses			49.6					8.7					33.1					(1.1		)			90.3
Segment contribution margin			$	40.0				$	30.0				$	18.2				$	(6.0	)			82.2
General and administrative expenses																							29.3
Depreciation and amortization																							37.3
Other operating income																							(0.3		)
Operating income																							$	15.9
Total assets			$	2,017.5				$	381.8				$	436.3				$	527.7				$	3,363.3
Capital spending (excluding business combinations)			$	3.6				$	0.8				$	2.5				$	2.8				$	9.7
			Three Months Ended June 30, 2015
			Refining					Logistics					Retail					Corporate, Other and Eliminations					Consolidated
Net sales (excluding intercompany fees and sales)			$	1,147.9				$	134.1				$	409.9				$	1.2				$	1,693.1
Intercompany fees and sales			188.9					38.0					—					(226.9		)			—
Operating costs and expenses:
Cost of goods sold			1,164.8					132.5					360.0					(219.1		)			1,438.2
Operating expenses			60.0					10.8					35.6					(0.4		)			106.0
Segment contribution margin			$	112.0				$	28.8				$	14.3				$	(6.2	)			148.9
General and administrative expenses																							34.3
Depreciation and amortization																							34.9
Other operating income																							(0.1		)
Operating income																							$	79.8
Total assets			$	2,056.3				$	352.0				$	452.3				$	716.8				$	3,577.4
Capital spending (excluding business combinations)			$	38.2				$	6.0				$	2.2				$	1.3				$	47.7

Delek US Holdings, Inc.
Segment Data (Unaudited)
(In millions)
			Six Months Ended June 30, 2016
			Refining					Logistics					Retail					Corporate, Other and Eliminations					Consolidated
Net sales (excluding intercompany fees and sales)			$	1,716.5				$	143.2				$	671.4				$	1.2				$	2,532.3
Intercompany fees and sales			188.5					72.7					—					(261.2		)			—
Operating costs and expenses:
Cost of goods sold			1,776.0					139.9					574.7					(245.6		)			2,245.0
Operating expenses			107.9					19.2					66.5					(1.4		)			192.2
Insurance proceeds - business interruption			(42.4		)			—					—					—					(42.4		)
Segment contribution margin			$	63.5				$	56.8				$	30.2				$	(13.0	)			137.5
General and administrative expenses																							63.9
Depreciation and amortization																							73.4
Operating income																							$	0.2
Capital spending (excluding business combinations)			$	6.9				$	1.9				$	4.4				$	6.4				$	19.6
			Six Months Ended June 30, 2015
			Refining					Logistics					Retail					Corporate, Other and Eliminations					Consolidated
Net sales (excluding intercompany fees and sales)			$	1,848.6				$	245.3				$	747.9				$	1.9				$	2,843.7
Intercompany fees and sales			315.2					70.3					—					(385.5		)			—
Operating costs and expenses:
Cost of goods sold			1,921.7					240.9					653.2					(371.5		)			2,444.3
Operating expenses			108.2					21.6					68.1					(0.5		)			197.4
Segment contribution margin			$	133.9				$	53.1				$	26.6				$	(11.6	)			202.0
General and administrative expenses																							67.0
Depreciation and amortization																							63.2
Other operating income																							(0.1		)
Operating income																							$	71.9
Capital spending (excluding business combinations)			$	123.2				$	9.8				$	3.5				$	1.9				$	138.4

		Refining Segment			Three Months Ended June 30,										Six Months Ended June 30,
					2016					2015					2016					2015
		Tyler Refinery			(Unaudited)										(Unaudited)
		Days in period			91					91					182					181
		Total sales volume (average barrels per day)(1)			74,398					71,588					73,358					47,528
		Products manufactured (average barrels per day):
		Gasoline			39,052					38,242					37,829					24,952
		Diesel/Jet			28,457					30,403					28,150					18,945
		Petrochemicals, LPG, NGLs			3,132					3,697					2,540					2,063
		Other			1,717					1,788					1,600					1,071
		Total production			72,358					74,130					70,119					47,031
		Throughput (average barrels per day):
		Crude oil			69,911					69,685					66,707					44,271
		Other feedstocks			3,483					5,619					4,116					1,470
		Total throughput			73,394					75,304					70,823					45,741
		Per barrel of sales:
		Tyler refining margin			$	7.84				$	15.36				$	6.41				$	13.65
		Direct operating expenses			$	3.29				$	3.82				$	3.76				$	5.26
		El Dorado Refinery
		Days in period			91					91					182					181
		Total sales volume (average barrels per day)(2)			80,173					87,565					79,864					83,376
		Products manufactured (average barrels per day):
		Gasoline			40,003					39,956					41,481					39,981
		Diesel			27,296					28,933					27,034					28,688
		Petrochemicals, LPG, NGLs			809					772					777					719
		Asphalt			4,413					7,365					4,224					7,722
		Other			939					1,763					915					1,760
		Total production			73,460					78,789					74,431					78,870
		Throughput (average barrels per day):
		Crude oil			73,556					74,450					73,088					75,566
		Other feedstocks			1,712					5,986					3,089					4,690
		Total throughput			75,268					80,436					76,177					80,256
		Per barrel of sales:
		El Dorado refining margin			$	4.52				$	8.82				$	2.65				$	8.35
		Direct operating expenses			$	3.52				$	4.23				$	3.76				$	3.99
		Pricing statistics (average for the period presented):
		WTI — Cushing crude oil (per barrel)			$	45.56				$	57.80				$	39.65				$	53.33
		WTI — Midland crude oil (per barrel)			$	45.19				$	57.41				$	39.52				$	52.40
		US Gulf Coast 5-3-2 crack spread (per barrel)			$	9.80				$	18.60				$	8.74				$	16.81
		US Gulf Coast Unleaded Gasoline (per gallon)			$	1.38				$	1.91				$	1.21				$	1.70
		Ultra low sulfur diesel (per gallon)			$	1.34				$	1.83				$	1.19				$	1.76
		Natural gas (per MMBTU)			$	2.13				$	2.73				$	2.05				$	2.80
(1)		Sales volume includes 785 bpd and 1,070 bpd sold to the logistics segment during the three and six months ended June 30, 2016, respectively, and 4,553 bpd and 2,527 bpd during the three and six months ended June 30, 2015, respectively. Sales volume also includes sales of 797 bpd and 516 bpd of intermediate and finished products to the El Dorado refinery during the three and six months ended June 30, 2016, respectively, and 4,875 bpd and 2,880 bpd during the three and six months ended June 30, 2015, respectively. Sales volume excludes 740 bpd and 371 bpd of wholesale activity during the three and six months ended June 30, 2016, respectively and 469 bpd and 3,265 bpd of wholesale activity during the three and six months ended June 30, 2015, respectively.
(2)		Sales volume includes 3,958 bpd and 4,173 bpd of produced finished product sold to the retail segment during the three and six months ended June 30, 2016, respectively, and 3,488 bpd and 3,977 bpd during the three and six months ended June 30, 2015, respectively. Sales volume also includes 783 bpd and 2,314 bpd of produced finished product sold to the Tyler refinery during the three and six months ended June 30, 2015, respectively. There were no sales of produced finished product to the Tyler refinery during the three and six months ended June 30, 2016. Sales volume excludes 20,450 bpd and 22,585 bpd of wholesale activity during the three and six months ended June 30, 2016, respectively, and 26,843 bpd and 25,178 bpd during the three and six months ended June 30, 2015, respectively.

		Delek US Holdings, Inc.
		Reconciliation of Refining Margin per barrel to Adjusted Refining Margin per barrel (3)
		$ in millions, except per share data
					Three Months Ended June 30,										Six Months Ended June 30,
					2016					2015					2016					2015
					(Unaudited)										(Unaudited)
		Tyler (4)
		Reported refining margin, $ per barrel			$	7.84				$	15.36				$	6.41				$	13.65
		Adjustments:
		Lower of cost or market gain			(2.09		)			(4.68		)			(1.36		)			(3.77		)
		Hedging loss			1.28					1.32					0.98					0.47
		Other inventory (gain) loss			(0.09		)			1.60					0.19					1.95
		Adjusted refining margin $/bbl			$	6.94				$	13.60				$	6.22				$	12.30
		El Dorado (5)
		Reported refining margin, $ per barrel			$	4.52				$	8.82				$	2.65				$	8.35
		Adjustments:
		Lower of cost or market charge			0.15					0.07					0.07					0.04
		Hedging loss			1.20					0.82					0.82					0.21
		Other inventory loss			0.11					0.10					1.09					1.28
		Adjusted refining margin $/bbl			$	5.98				$	9.81				$	4.63				$	9.88
(3)		Adjusted refining margin per barrel is presented to provide a measure to evaluate performance excluding inventory, hedging (realized and unrealized) and other items. Delek US believes that the presentation of adjusted measures provides useful information to investors in assessing its results of operations. Because adjusted refining margin per barrel may be defined differently by other companies in its industry, Delek US' definition may not be comparable to similarly titled measures of other companies.
(4)		Tyler adjusted refining margins exclude the following items. Lower of cost or market ("LCM") valuation - Approximately $14.2 million and $30.5 million of LCM valuation benefit in the second quarter 2016 and 2015, respectively. Approximately $18.1 million and $32.5 million of LCM valuation benefit in the six months ended June 30, 2016 and 2015, respectively. Hedging affect - Total hedging loss of $(8.7) million and $(8.6) million occurred in the second quarter 2016 and 2015, respectively. Total hedging loss of $(13.1) million and $(4.0) million occurred in the six months ended June 30, 2016 and 2015, respectively. Other inventory - A gain of $0.6 million and a charge of $(10.4) million in the second quarter 2016 and 2015, respectively. Charges of $(2.6) million and $(16.8) million in the six months ended June 30, 2016 and 2015, respectively. These amounts consist of last-in-first-out inventory price valuation effect in the respective period.
(5)		El Dorado adjusted refining margins exclude the following items Lower of cost or market ("LCM") valuation - Approximately $(1.1) million and $(0.5) million of LCM valuation charges in the second quarter 2016 and 2015, respectively. Approximately $(1.1) million and $(0.5) million of LCM valuation charge in the six months ended June 30, 2016 and 2015, respectively. Hedging affect - The total hedging loss of $(8.8) million and $(6.6) million in the second quarter 2016 and 2015, respectively. Total hedging loss of $(11.9) million and $(3.1) million occurred in the six months ended June 30, 2016 and 2015, respectively. Other inventory - Charges of $(0.8) million and $(0.8) million in the second quarter 2016 and 2015, respectively. Charges of $(15.9) million and $(19.3) million in the six months ended June 30, 2016 and 2015, respectively. These amounts consist of first-in-first-out inventory price valuation effect in the respective period.

			Logistics Segment			Three Months Ended June 30,												Six Months Ended June 30,
						2016						2015						2016						2015
						(Unaudited)												(Unaudited)
			Pipelines & Transportation: (average bpd)
			Lion Pipeline System:
			Crude pipelines (non-gathered)			56,302						53,863						56,322						55,267
			Refined products pipelines to Enterprise Systems			53,670						58,572						53,725						57,258
			SALA Gathering System			18,288						21,305						18,645						21,421
			East Texas Crude Logistics System			12,909						28,677						11,127						23,892
			El Dorado Rail Offloading Rack			—						2,964						—						2,964
			Wholesale Marketing & Terminalling:
			East Texas - Tyler Refinery sales volumes (average bpd)(6)			70,188						66,860						68,301						47,018
			West Texas marketing throughputs (average bpd)			12,594						17,490						13,482						17,070
			West Texas marketing margin per barrel			$	2.13					$	1.31					$	1.00					$	1.35
			Terminalling throughputs (average bpd)(7)			126,476						113,578						122,645						90,581
((6	))		Excludes jet fuel and petroleum coke
((7	))		Consists of terminalling throughputs at our Tyler, Big Sandy and Mount Pleasant, Texas, North Little Rock and El Dorado, Arkansas, and Memphis and Nashville, Tennessee terminals.
			Retail Segment			Three Months Ended June 30,												Six Months Ended June 30,
						2016						2015						2016						2015
						(Unaudited)												(Unaudited)
			Number of stores (end of period)			348						360						348						360
			Average number of stores			352						360						354						361
			Retail fuel sales (thousands of gallons)			115,336						116,157						226,460						224,814
			Average retail gallons per average number of stores (in thousands)			328						323						640						623
			Retail fuel margin ($ per gallon)			$	0.170					$	0.153					$	0.161					$	0.158
			Merchandise sales (in thousands)			$	111,020					$	109,209					$	210,449					$	203,756
			Merchandise margin %			27.9			%			28.7			%			28.0			%			28.5		%
			Change in same-store fuel gallons sold			(2.4			)%			2.6			%			(1.0			)%			4.0		%
			Change in same-store merchandise sales			1.7			%			3.6			%			3.2			%			3.5		%

		Delek US Holdings, Inc.
		Reconciliation of Amounts Reported Under U.S. GAAP
		$ in millions, except per share data
					Three Months Ended June 30,										Six Months Ended June 30,
		Reconciliation of Net (Loss) Income to Adjusted Net (Loss) Income			2016					2015					2016					2015
					(Unaudited)										(Unaudited)
		Reported net (loss) income attributable to Delek			$	(7.0	)			$	48.3				$	(36.2	)			$	32.2
		Adjustments(8)
		Lower of cost or market inventory valuation gain			(13.0		)			(29.9		)			(16.9		)			(31.9		)
		Tax effect of lower of cost or market			4.5					10.8					5.9					11.5
		Net after tax lower of cost or market effect			(8.5		)			(19.1		)			(11.0		)			(20.4		)
		Business interruption proceeds			—					—					(42.4		)			—
		Tax effect of business interruption proceeds			—					—					16.5					—
		Net after tax business interruption proceeds effect			—					—					(25.9		)			—
		Unrealized hedging loss			16.0					13.4					24.6					25.9
		Tax effect of unrealized hedging			(5.7		)			(4.7		)			(8.6		)			(9.1		)
		Net after tax unrealized hedging effect			10.3					8.7					16.0					16.8
		Total after tax adjustments			1.8					(10.4		)			$	(20.9	)			$	(3.6	)
		Adjusted net (loss) income			$	(5.2	)			$	37.9				$	(57.1	)			$	28.6
		Reported net (loss) income per share attributable to Delek			$	(0.11	)			$	0.79				$	(0.58	)			$	0.54
		Adjustments, after tax (per share)(8)
		Lower of cost or market inventory valuation gain			(0.14		)			(0.31		)			(0.18		)			(0.34		)
		Business interruption proceeds			—					—					(0.42		)			—
		Unrealized hedging loss			0.17					0.14					0.26					0.28
		Total adjustments			0.03					(0.17		)			(0.34		)			(0.06		)
		Adjusted net (loss) income per share			$	(0.08	)			$	0.62				$	(0.92	)			$	0.48
(8)		The tax calculation is based on the appropriate marginal income tax rate related to each adjustment and for each respective time period, which is applied to the adjusted items in the calculation of adjusted net income (loss) in all periods.

View source version on businesswire.com: http://www.businesswire.com/news/home/20160803006824/en/

Source: Business Wire
(August 3, 2016 - 8:00 PM EDT)

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