{ "docId": "019dd923-622b-71dc-a6d8-dcf9886328fd", "docSlug": "6256ef3512ba", "documentTitle": "Phillips 66 (PSX)", "authorId": "02_Elliott_Management", "authorName": null, "documentKindSlug": "regulatory-filing", "documentKindLabel": "Regulatory filing", "sourceTypeSlug": "activist_investor", "sourceTypeLabel": "Activist investor", "presentationDate": "2025-04-08 00:00:00", "orientation": "portrait", "aspectRatio": 0.77272725, "pageNumber": 13, "pageCount": 41, "prevPage": 12, "nextPage": 14, "slideType": "quote_slide", "function": "summarize", "density": "overcrowded", "nDataPoints": 0, "notes": "Transcript format with Q&A between 'Bri' and 'Brian'.", "elementsJson": [ "paragraph" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622b-71dc-a6d8-dcf9886328fd/13", "deckHref": "/decks/019dd923-622b-71dc-a6d8-dcf9886328fd", "deckJsonHref": "/decks/019dd923-622b-71dc-a6d8-dcf9886328fd.json", "deckAnchorHref": "/decks/019dd923-622b-71dc-a6d8-dcf9886328fd#slide-13", "components": [ { "bbox": { "h": 0.22, "w": 0.84, "x": 0.08, "y": 0.23 }, "kind": "paragraph", "text": "Brian (08:39) Excellent question. And the answer is I can't think of any. I know when I was there, Phillips 66 stacked up very well. The assets haven't changed. The assets haven't degraded. I've heard it said that there's a belief that maybe the assets are old and tired. And I don't buy that argument. You know, as long as the refinery is well maintained and well invested in from a sustaining capital standpoint, the refineries should continue to perform. And the Phillips 66 refineries are every bit as good as the Valero, Marathon refineries. I think that the logistics, product placement capabilities of these refineries, the high margin product capabilities of some of these refineries is outstanding. And there's no reason why these refineries, why this refining system, these assets can't match up with the competitors, Valero and Marathon.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "1c8c7670-ce80-47dc-8a34-1ca9c3f3bd4c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.84, "x": 0.08, "y": 0.46 }, "kind": "paragraph", "text": "Bri (09:26) Let's talk about the people. So the employees during your time working at these refineries and overseeing them, what was the culture like?", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "4387dead-18f3-4920-b8c2-d2b57e03df4d", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.84, "x": 0.08, "y": 0.82 }, "kind": "paragraph", "text": "Brian (10:40) Well, I think the message is simple, that we see a lot of potential in the Phillips 66 refining company. I mean, there's just tremendous capability there. And so the message would be, be optimistic, be positive. I think what we're looking at is restoring the operating excellence that Phillips 66 has been known for historically. Those assets, those refineries have historically run very, very well. And so the message would be, would like to see that sort of performance be restored at Phillips 66 so that people talk about Phillips 66 as a top performer in refining versus Valero or Marathon.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "445e847d-6bec-457e-9408-9019ff51f661", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.84, "x": 0.08, "y": 0.77 }, "kind": "paragraph", "text": "Bri (10:35) And if you had a message for our listeners that are employees of Phillips 66, what would that be?", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "5f1536d4-6234-446b-a880-85f1761cdc99", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.84, "x": 0.08, "y": 0.19 }, "kind": "paragraph", "text": "Bri (08:34) Is there reason why Phillips's refining assets don't stack up well against its peers?", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "759c4d60-1b05-4572-84c2-5d4f4ad09157", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.84, "x": 0.08, "y": 0.11 }, "kind": "paragraph", "text": "And to do all that, it takes very tight discipline between refining and commercial. The collaboration has to be very high in that regard. That's how you achieve best in class performance. And it seems to me that that's something that Phillips 66 seems to have taken their eye off the ball on.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ad91a050-8ad7-4dfe-8b7c-185b7aee79b4", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.84, "x": 0.08, "y": 0.51 }, "kind": "paragraph", "text": "Brian (09:34) There was a lot of pride at Phillips 66. The employees knew that they had strong assets, strong refineries. They had a lot of support from leadership. Had very high expectations while I was there and even higher accountability for those who were working in refining at the time. The culture was one of operating discipline around achieving safe, reliable operations day in and day out. We never lost focus on that. There was also a lot of focus on costs. I mean, we were one of the best in terms of our cost per barrel because there was intense focus on ensuring that we were optimizing our costs and spending the money where it needed to be, but never overspending. The same thing went for capital. We were focused on capital and turnarounds and doing them very well. And we were held accountable if we didn't. So it was a strong culture of accountability based on high expectations. So we were pretty darn reliable. pretty darn safe and all the employees there were very proud to be a part of that.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "c67e8482-d073-4200-ba81-5aff93a719a9", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.3, "x": 0.05, "y": 0.03 }, "kind": "title", "text": "STREAMLINE 66", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "af8c6342-abbd-4b0d-a06d-77a9eee75d6d", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }