Tesoro Provides First Quarter Earnings Guidance

Tesoro Petroleum

Tesoro Petroleum Corporation (NYSE:TSO) expects to earn around $0.70 per share for the first quarter. Stronger refining margins, higher throughput volumes, and lower interest expense are the primary reasons for the expected earnings improvement compared to the first quarter of last year.

Included in the first quarter's expectation is an after-tax charge of $0.02 per share related to the successful completion of the company's consent solicitation relating to its 8% Senior Secured Notes due 2008. The amendment allows Tesoro to exempt all repayments that may be made with respect to its $300 million 9% Senior Subordinated Notes due 2008 from the restrictions in the indenture and credit and guaranty agreement.

Tesoro Petroleum Corporation, a Fortune 500 Company, is an independent refiner and marketer of petroleum products. Tesoro operates six refineries in the western United States with a combined capacity of nearly 560,000 barrels per day. Tesoro's retail-marketing system includes approximately 560 branded retail stations, of which over 200 are company operated under the Tesoro(R) and Mirastar(R) brands.