UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) March 4, 2003
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HOLLY CORPORATION
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(Exact name of registrant as specified in its charter)
Delaware 001-03876 75-1056913
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(State or other jurisdiction (Commission File Number) (I.R.S. Employer
of incorporation) Identification No.)
100 Crescent Court, Suite 1600
Dallas, Texas 75201-6927
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (214) 871-3555
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ITEM 5. OTHER EVENTS
On March 4, 2003, the Company issued the following press release:
HOLLY CORPORATION ANNOUNCES SALE OF CRUDE OIL GATHERING SYSTEM
Dallas, Texas, March 4, 2003 - Holly Corporation (AMEX - HOC),
today announced the sale of its Iatan crude oil gathering system located
in West Texas to Plains Marketing L.P. for a purchase price of $24
million in cash. In connection with the transaction, Holly and Plains
have entered into a six and a half year agreement which allows Holly to
transport crude oil on the Iatan system at an agreed upon tariff. The
sale will result in a pre-tax gain of approximately $17 million to Holly.
"We are pleased that we have been able to sell this asset, which
has been profitable since it was acquired in 1998 but is not central to
our refining operations," said Matthew P. Clifton, President of Holly
Corporation. "The net proceeds of the sale will be reinvested in our core
refining operations. We plan to remain a substantial purchaser of crude
oil in West Texas, and we are pleased that the tariff agreement with
Plains Marketing, L.P. will allow Holly to continue to gather and
purchase crude oil from producers served by this pipeline system."
Holly Corporation, through its affiliates, Navajo Refining
Company and Montana Refining Company, is engaged in the refining,
transportation, terminalling and wholesale marketing of petroleum
products.
The following is a "safe harbor" statement under the Private
Securities Litigation Reform Act of 1995: The statements in this press
release relating to matters that are not historical facts are
forward-looking statements based on management's belief and assumptions
using currently available information and expectations as of the date
hereof, are not guarantees of future performance and involve certain
risks and uncertainties. Although the Company believes that the
expectations reflected in such forward-looking statements are reasonable,
the Company cannot give any assurances that these expectations will prove
to be correct. Therefore, actual outcomes and results could materially
differ from what is expressed, implied or forecast in such
statements. Such differences could be caused by a number of factors
including, but not limited to, risks and uncertainties with respect to
the actions of actual or potential competitive suppliers of refined
petroleum products in the Company's markets, the demand for and supply of
crude oil and refined products, the spread between market prices for
refined products and market prices for crude oil, the possibility of
constraints on the transportation of refined products, the possibility of
inefficiencies or shutdowns in refinery operations or pipelines, effects
of governmental regulations and policies, the availability and cost of
financing to the Company, the effectiveness of the Company's capital
investments and marketing strategies, the Company's efficiency in
carrying out construction projects, the possibility of terrorist attacks
and the consequences of any such attacks, general economic conditions,
and other financial, operational and legal risks and uncertainties
detailed from time to time in the Company's Securities and Exchange
Commission filings. The Company assumes no duty to publicly update or
revise such statements, whether as a result of new information, future
events or otherwise.
For further information, contact:
Matthew P. Clifton, President
Stephen J. McDonnell, Vice President and
Chief Financial Officer
Holly Corporation
(214) 871-3555
This Current Report on Form 8-K contains certain "forward-looking
statements" within the meaning of the U.S. Private Securities Litigation Reform
Act of 1995. All statements, other than statements of historical facts included
in this Form 8-K, are forward-looking statements. Such statements are subject to
risks and uncertainties, including but not limited to risks and uncertainties
with respect to the actions of actual or potential competitive suppliers of
refined petroleum products in the Company's markets, the demand for and supply
of crude oil and refined products, the spread between market prices for refined
products and market prices for crude oil, the possibility of constraints on the
transportation of refined products, the possibility of inefficiencies or
shutdowns in refinery operations or pipelines, effects of governmental
regulations and policies, the availability and cost of financing to the Company,
the effectiveness of the Company's capital investments and marketing strategies,
the Company's efficiency in carrying out construction projects, the possibility
of terrorist attacks and the consequences of any such attacks, and general
economic conditions. Although the Company believes that the expectations
reflected by such forward-looking statements are reasonable based on information
currently available to the Company, no assurances can be given that such
expectations will prove to have been correct. This summary discussion of risks
and uncertainties that may cause actual results to differ from those indicated
in forward-looking statements should be read in conjunction with the discussion
under the heading "Additional Factors That May Affect Future Results" included
in Item 7 of the Company's Annual Report on Form 10-K for the fiscal year ended
July 31, 2002, and the discussion under the heading "Additional Factors That May
Affect Future Results"
included in Item 2 of Part I of the Company's Quarterly Report on Form 10-Q for
the quarter ended October 31, 2002. All forward-looking statements included in
this Current Report on Form 8-K and all subsequent oral forward-looking
statements attributable to the Company or persons acting on its behalf are
expressly qualified in their entirety by the cautionary statements set forth
above.
SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
HOLLY CORPORATION
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(Registrant)
Date: March 4, 2003 By /s/ Stephen J. McDonnell
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Stephen J. McDonnell
Vice President and Chief
Financial Officer