Report on Retail Lubricant Prices

JobbersWorld Brings Back its Retail Price Tracker

jwrptFor those who have been with JobbersWorld since its inception in 2001, you may remember we provided a retail price tracker “Stats and Facts” in each of our monthly issues. Whereas JobbersWorld continued to track retail prices over the years, the price tracker was not carried over when we switched from a print to an electronic version of JobbersWorld.  Well its back!

Moving forward, JobbersWorld will report on retail prices at the leading big box store and prices at five of the leading auto parts stores. The tracker includes prices by brand and category (synthetic, synthetic blend, high mileage, and conventional).

CLICK FOR MARCH 2017 PRICES

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Rhinehart Oil Acquires Colorado Based Rex Oil Company

rhinehartrex1Rhinehart Oil Co., Inc. Announces Acquisition and Integration Of Rex Oil Company

Rhinehart Oil Co., Inc. announces the recent acquisition and integration of Rex Oil Company, headquartered in Denver, Colorado. The acquisition of Rex Oil Company significantly expands Rhinehart Oil’s presence as a premier fuels and lubricants distributor in the Rocky Mountain region. This acquisition will provide Rhinehart Oil a wider distribution footprint into Utah, Wyoming, and Colorado and provide more products and services to customers in these areas.

4212017quote41“We are extremely excited about this acquisition. It expands our reach in the Rocky Mountain region allowing us to serve a larger customer base,” said John Jardine, Co-CEO of Rhinehart Oil Company. “Tina Powell (President of Rex Oil Company) and I have been friends for several years and I couldn’t be happier this worked out. It’s a great company with a lot of great employees whom we are excited about having joined our team.”

Tina Powell agrees and adds, “I am very happy to make this announcement, I know we chose the right company to give our customers the quality products and excellent service they deserve and expect. It was very important to me that we choose a company that I trusted to care for our many, many long-term employees and customers and I firmly believe we have made the best possible choice.”

A Note From JobbersWorld: The Rex Oil Company described above is a different company than Rex Oil in South Carolina whose lubricants division was acquired by PetroChoice in 2016.

About Rhinehart Oil:
Rhinehart Oil is a privately held family business, based in American Fork, UT. The company has serviced customers in Utah and Wyoming since 1976. Rhinehart Oil provides exceptional quality and impeccable service. Rhinehart Oil is a total solutions provider that offers a wide range of high quality products and supporting services to industrial, commercial, and automotive markets. Rhinehart Oil distributes a wide variety of products including lubricants, fuels, diesel exhaust fluid (DEF), equipment, chemicals, and automotive ancillary products. More.

About Rex Oil Company:
Rex Oil Company has serviced the Colorado market since 1937. This acquisition comprises of both Rex Oil Company and Gray Oil Company, who previously merged into Rex Oil Company in 2014. The company services a broad range of customers with fuel, lubricants, diesel exhaust fluid (DEF), and chemicals throughout the Colorado and South East Wyoming region. This acquisition includes wholesale distribution facilities, convenience stores, and card locks throughout Colorado. More.

Summary: Round 2 Price Increases

Although Amalie was the first to announce a lubricant price increase in round 2 of 2017, CAM2, Allegheny Petroleum, Kleen Performance Products were the first to move with each having price increases taking effect on April 17th. Valvoline is the last to move with an effective date of June 1 for its price increase.

The lubricant price increases announced by majors and independent lubricant manufacturers in Round 2 of 2017 ranged from 3 to 12%. The average increase is 4.3% for the majors, and 6.5% for the independents, and the combined average is 5.8%.

With a range of 19 to 51 days, there is an average of 31 days from the time a company announced a price increase to the effective date of the increase. The longest span from the announced to effective date is seen with the majors at an average of 40 days. The average time span for the independents is 25 days.

IncreaseChart4182017

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Table 2

PRICE INCREASES REPORTED ON BY JOBBERSWORLD
IN ROUND 2 OF 2017

Lubricant Manufacturers Round 2

Company Announced
Date
Effective
Date
Increase
Amalie 3/17/2017 4/21/2017 24 cpg lubes, 3 cpp grease
Calumet 3/20/2017 4/20/2017 4 to 6%
Castrol (excluding industrial) 3/22/2017 5/1/2017 up to 3%
CAM2 3/23/2017 4/17/2017 20 to 35 cpg
Warren Distribution 3/24/2017 4/24/2017 6 to 9%
Smitty’s Supply 3/24/2017 4/24/2017 4 to 6%
Chemlube 3/27/2017 4/20/2017 4 to 7%
Pinnacle Oil 3/28/2017 4/18/2017 5 to 9%
Reliance Fluid Technologies (RFT) 3/28/2017 4/28/2017 6 to 9%
Old World Industries (PEAK) 3/28/2017 4/21/2017 up to 8%
Allegheny Petroleum 3/28/2017 4/17/2017 20 to 35 cpg
Warren Oil Company 3/28/2017 4/24/2017 4 to 9%
Kleen Performance Products 3/29/2017 4/17/2017 5 to 12%
ExxonMobil 3/31/2017 5/10/2017 up to 4%
Royal Mfg 4/1/2017 5/1/2017 4 to 8%
Chevron 4/3/2017 5/15/2017 4 to 6%
Advanced Lubrication Specialties (ALS) 4/3/2017 4/24/2017 5 to 9%
Nu-Tier Brands 4/4/2017 4/24/2017 4 to 7%
Phillips 66 4/5/2017 5/10/2017 4 to 6%
Petro-Canada 4/5/2017 5/5/2017 up to 6% (excluding white oils and process oil)
SOPUS/Shell 4/10/2017 5/15/2017 up to 4%
CITGO 4/11/2017 5/15/2017 4 to 6%
Valvoline 4/11/2017 6/1/2017 up to 4%

 Increase3282017Big2 

2017 Price Increase Timeline – Lubricant Manufacturers
Round 2
Increase4132017

Add CITGO and Valvoline to Round 2

Effective May 15, 2017, CITGO will implement a general price increase of up to 4% to 6% on its branded and private label lubricants. CITGO  says the increase is driven primarily by escalations in base oil and additive costs occurring over the past several months.

Valvoline announced an increase of up to 4% on its branded lubricant products. This increase takes effect June 1, 2017. Valvoline attributes this adjustment to increases in the cost of raw materials and higher manufacturing and distribution costs.

The average time from the date the lubricant manufacturers JobbersWorld reported on in Round 2 – 2017 to the effective date of the increases is 20 days. Interestingly, there is a significant difference in the number of days from announcement to effective dates between the majors and other blenders, as illustrated below and shown in Table 1.

CLICK FOR LARGER IMAGE

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Table 2

PRICE INCREASES REPORTED ON BY JOBBERSWORLD
IN ROUND 2 OF 2017

Lubricant Manufacturers Round 2

Company Announced
Date
Effective
Date
Increase
Amalie 3/17/2017 4/21/2017 24 cpg lubes, 3 cpp grease
Calumet 3/20/2017 4/20/2017 4 to 6%
Castrol (excluding industrial) 3/22/2017 5/1/2017 up to 3%
CAM2 3/23/2017 4/17/2017 20 to 35 cpg
Warren Distribution 3/24/2017 4/24/2017 6 to 9%
Smitty’s Supply 3/24/2017 4/24/2017 4 to 6%
Chemlube 3/27/2017 4/20/2017 4 to 7%
Pinnacle Oil 3/28/2017 4/18/2017 5 to 9%
Reliance Fluid Technologies (RFT) 3/28/2017 4/28/2017 6 to 9%
Old World Industries (PEAK) 3/28/2017 4/21/2017 up to 8%
Allegheny Petroleum 3/28/2017 4/17/2017 20 to 35 cpg
Warren Oil Company 3/28/2017 4/24/2017 4 to 9%
Kleen Performance Products 3/29/2017 4/17/2017 5 to 12%
ExxonMobil 3/31/2017 5/10/2017 up to 4%
Chevron 4/3/2017 5/15/2017 4 to 6%
Advanced Lubrication Specialties (ALS) 4/3/2017 4/24/2017 5 to 9%
Nu-Tier Brands 4/4/2017 4/24/2017 4 to 7%
Phillips 66 4/5/2017 5/10/2017 4 to 6%
Petro-Canada 4/5/2017 5/5/2017 up to 6% (excluding white oils and process oil)
SOPUS/Shell 4/10/2017 5/15/2017 up to 4%
CITGO 4/11/2017 5/15/2017 4 to 6%
Valvoline 4/11/2017 6/1/2017 up to 4%

  


2017 Price Increase Timeline – Lubricant Manufacturers
Round 2
Increase4132017

RelaDyne Acquires Hager Oil Company of Alabama

rdh2017RelaDyne announced the acquisition of Hager Oil Company, located in Jasper, Alabama. This acquisition will solidify RelaDyne’s footprint in Alabama, creating a regional density that will largely expand its robust offering of products and services in the area.

Hager Oil Company has been serving Northern Alabama from Jasper, Alabama, since 1954. The company has prided itself on offering a wide portfolio of products including lubricants, greases, hydraulics, antifreeze, fuels, alternative fuels, and chemicals.

As one of the nation’s leading providers of lubricants, fuel, diesel exhaust fluid (DEF), and industrial reliability services, RelaDyne is equipped to maintain and expand the current customer base of Hager Oil Company while upholding the local culture and the industry expertise that Hager is historically known to provide.

larrysd

Larry Stoddard, CEO RelaDyne

“The Hager Oil Company acquisition is a great addition to our recent geographical expansion to Alabama,” says RelaDyne CEO, Larry Stoddard. “RelaDyne is proud to continue to bring our suite of products and services to more and more customers in the Southern region. We welcome the addition of all of the Hager Oil Company associates to RelaDyne. The result of this acquisition will diversify and expand our product and service offerings to the Hager Oil customer base.

“We align ourselves with the values and quality of service that RelaDyne provides and we are looking forward to adding our great operation to the RelaDyne footprint,” states James Eidson, President of Hager Oil Company. “The entire Hager Oil team is excited for the opportunity to join RelaDyne, and we look forward to continuing to serve our great customers.”

RelaDyne continues to be the “Acquirer of Choice” in the lubricants, fuel and reliability segments. “We continue to focus on acquiring great companies with great people. Distributors with great people are the best businesses in our industry, and that is why we are so excited to welcome Hager Oil Company to the RelaDyne family,” says RelaDyne CSO, Jeff Hart, who leads RelaDyne’s M&A activities. “We started RelaDyne in 2010 with 10 locations in 5 states and have grown to over 50 locations in 18 states. We focus on adding new geography, new capabilities, and more density within our current footprint as we continue to create a national distribution platform.”

About RelaDyne
RelaDyne, headquartered in Cincinnati, Ohio, is one of the nation’s leading providers of lubricants, fuels, diesel exhaust fluid (DEF), and reliability services for industrial, commercial, and automotive businesses in the United States. RelaDyne was formed in 2010 by the combination of four well-established industry-leading companies and has since grown to more than 50 locations by strategically acquiring other industry leaders in the lubricant, fuel distribution and industrial service segments. For more information, visit www.RelaDyne.com.

Lubrication Technologies agrees to acquire Professional Carwash Systems, Inc.

Lubrication Technologies announces acquisition, strengthening Solutions & Services business

Lubetech2Lubrication Technologies announced today that they have reached an agreement to acquire PCS (Professional Carwash Systems, Inc.) with a purchase date effective April 17, 2017. PCS is a vehicle wash sales, installation and service business headquartered in Buffalo, Minnesota.

Founded in 1991, PCS is a regional leader in vehicle wash systems for the Convenience Store, Grocery, Independent Automotive Service Center and Car Dealer markets with operations in Minnesota, South Dakota, Iowa, Nebraska and Wisconsin. PCS offers in-bay automatic and tunnel wash solutions including supporting equipment and chemical products. Combined with the Lubrication Technologies (Lube-Tech) family of companies, Lube-Tech is well positioned to expand the PCS business to Lube-Tech’s broad automotive and fleet customer base across the Upper Midwest. The addition of PCS will provide Lube-Tech and PCS customers with one-stop access to a professional network of lubrication and cleaning maintenance specialists, products and services.

While PCS will become part of the Solutions & Services business of Lube-Tech, it will continue to operate under the PCS name. Lube-Tech and PCS customers will benefit from Lube-Tech’s Total Customer Care offering which includes a broad lubricant, cleaner, energy, recycling, fluid handling equipment and service portfolio along with more than 500 Lube-Tech employees working to ensure their continued success. PCS will continue to offer complete car wash services including sales, installation, service, supply, marketing and laboratory support and will continue to be headquartered in Buffalo, Minnesota.
PCS founder Bob Englund will retain his role as President of PCS and will report to Rick Cummings, General Manager of Lube-Tech’s Solutions & Services business. “This union will provide our valued customers with an even greater level of service and support through the merging of our resources and vast combined experience in the Midwest,” said Bob Englund, President of PCS.

“Lube-Tech and PCS not only share a rich history of quality and customer service; they share the same values as family owned organizations who care about their employees, their customers, their suppliers and their communities. We welcome PCS and its 30-plus employees to the Lube-Tech family”, said Chris Bame, CEO of Lubrication Technologies.

About Lubrication Technologies
Since 1925, Lubrication Technologies (Lube-Tech) and its family of companies have demonstrated an employee-centric, customer-focused approach. Lube-Tech’s mission is to help customers accelerate their performance – from their engines and equipment to their bottom line – while continuously improving our employees’ lives and investing in our community. Lube-Tech serves transportation, automotive, industrial, and small engine customers in over 70 countries with operations throughout the Midwest region, Shreveport, LA, and Langenthal, Switzerland. The company produces and distributes millions of gallons of lubricants, fuels and chemicals; and employs over 500 people. Lube-Tech & Partners Distribution Group serves Minnesota, North Dakota, South Dakota, Iowa, and Wisconsin. For more information, visit www.lubetech.com.

Pugh Lubricants and Apollo Oil Combine to Create One of the Largest Lubricant Distribution Companies in the Eastern United States

PughTwo longtime leaders in lubricant distribution, Apollo Oil and Pugh Lubricants have announced a merger creating an organization uniquely positioned to serve the growing automotive, trucking and industrial lubrication markets with an unparalleled ability to support clients on a broad regional basis with a local touch.

The companies have very little overlap in geography, enabling Apollo and Pugh to continue operating as separate divisions while maintaining their historic company names in the near term, an affirmation of the commitment to customer relationships cultivated over more than one hundred years.  The combination joins Pugh’s service regions in North Carolina, South Carolina, Virginia, and Tennessee with Apollo’s service regions in Kentucky, Ohio and West Virginia under one company.

Pugh President Mike Pugh said, “Apollo has long been recognized for their commitment to excellent service which is the foundation of our industry.  We share the same philosophy and the combination of our two companies reflects a proud history of nearly 140 years in business.  We look forward to building upon that heritage together.”

“The Pugh brand has long been admired and shares Apollo’s values of service, quality, and integrity,” said Ed Dotson the CFO and GM of Apollo. “This combination is a fitting legacy to the original founders of both companies, and we are very excited to join these two companies and deliver increased value to our customers by leveraging the experience, products and services of both organizations.”

Key strategic benefits of the combination include:

  • Augmented product offerings and deeper market footprint.  The larger distribution reach offers suppliers to the combined company unmatched access to customers in the combined operating region.
  • Enhanced service for our customers.  The combination of the companies’ resources allows for accelerated investment in technology and personnel, reinforcing the combined company’s leading position in service to its most valued constituents – the customers who have supported Pugh and Apollo over many decades of operation.
  • Investment in our employees.  This larger organization allows us to provide enhanced training, technology and career advancement opportunities to our employees, especially as we continue to grow our product offering and footprint, making our firm a preferred employer in the markets we serve.
  • Plans to pursue further expansion. The combination allows the combined company to pursue organic and inorganic growth opportunities while continually investing in its value proposition to its customers and suppliers.

Mike Pugh and Ed Dotson will continue in their current leadership roles.

About Pugh Lubricants
Pugh Lubricants is a distributor of nationally branded and private label finished lubricants, antifreeze, and other ancillary product lines throughout the Carolinas, Virginia, Tennessee, and portions of Georgia, Alabama, Mississippi, and Arkansas. For additional information, www.PughLubricants.com.

 About Apollo Oil
Apollo Oil is a distributor of nationally branded and private label finished lubricants, antifreeze, and other ancillary product lines throughout Kentucky, Ohio, West Virginia, and portions of Illinois, Indiana, and Tennessee. For additional information, please visit www.ApolloOil.com

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