executives highlighted that Supercenters with gas stations in front attract more shoppers and that Murphy had expertise running stations, which are often low-margin operations, said Clyde
The idea, Clyde
recalled, was to take over "another distraction for management, given everything else that is on their plate."
held a call last week with investors to deliver the news, highlighting a plan to grow without buying land from Wal-Mart
directly, while continuing to benefit from the stations they already own.
The company said it would use funds on share repurchases and to potentially buy land for new gas stations within a one-mile radius of Wal-Mart Supercenters.
"Our business model as a low-cost fuel provider allows us to compete with anyone in the business, whether it is in a Wal-Mart parking lot or a busy intersection down the street," Andrew Clyde, CEO of Murphy, told investors.