Profile: Suburban Propane Partners LP (SPH)
11 Dec 2017
Suburban Propane Partners, L.P., incorporated on December 18, 1995, is s a marketer and distributor of a range of products. The Company specializes in the distribution of propane, fuel oil and refined fuels, as well as the marketing of natural gas and electricity in deregulated markets. The Company's segments include Propane, Fuel Oil and Refined Fuels, Natural Gas and Electricity, and All Other. In support of its marketing and distribution operations, the Company installs and services a range of home comfort equipment, particularly in the areas of heating and ventilation. The Company conducts its business through Suburban Propane, L.P., which operates its propane business and assets (the Operating Partnership), and its direct and indirect subsidiaries. As of September 24, 2016, it had sold approximately 414.8 million gallons of propane and 30.9 million gallons of fuel oil and refined fuels to retail customers.
As of September 24, 2016, the Company had distributed propane through a retail distribution network consisting of approximately 660 locations in 41 states. The Company's operations are concentrated in the east and west coast regions of the United States, as well as portions of the Midwest region of the United States and Alaska. Most of its residential customers receive their propane supply through an automatic delivery system. These deliveries are scheduled through computer technology. Additionally, the Company offers its customers a budget payment plan whereby the customer's estimated annual propane purchases and service contracts are paid for in a series of estimated equal monthly payments over a 12-month period. From its customer service centers, the Company also sells, installs and services equipment to customers purchasing propane from the Company, including heating and cooking appliances and, at some locations, propane fuel systems for motor vehicles. It sells propane to customer markets, including residential, commercial, industrial (including engine fuel), agricultural, other retail users and wholesale.
The Company owns and operates a propane storage facility in Elk Grove, California. The Company also operates smaller storage facilities in other locations and has rights to use storage facilities in additional locations. These storage facilities enable it to buy and store large quantities of propane.
Fuel Oil and Refined Fuels
The Company markets and distributes fuel oil, kerosene, diesel fuel and gasoline to residential and commercial customers in the northeast region of the United States. As of September 24, 2016, the Company had sold 30.9 million gallons of fuel oil and refined fuels. The Company sells diesel fuel and gasoline to commercial and industrial customers to operate motor vehicles.
Natural Gas and Electricity
The Company markets natural gas and electricity through its subsidiary, Agway Energy Services, LLC (AES), in the deregulated markets of New York and Pennsylvania to residential and small commercial customers. The Company serves natural gas and electricity customers in New York and Pennsylvania. As of September 24, 2016, the Company had sold approximately 2.8 million dekatherms of natural gas and 443.3 million kilowatt hours of electricity through the natural gas and electricity segment.
The Company sells, installs and services various types of whole-house heating products, air cleaners, humidifiers and space heaters to the customers of its propane, fuel oil, natural gas and electricity businesses. The Company's supply needs are filled through supply arrangements with various regional equipment manufacturers and distribution companies.
Suburban Propane Partners LP
240 Route 10 West One Suburban P
PO Box 206
WHIPPANY NJ 07981-0206