Delek to Acquire Williamson Oil Co. Inc.

FRANKLIN, Tenn.-- Delek US Holdings Inc. has agreed to acquire Williamson Oil Co. Inc., a convenience store operator and petroleum distributor headquartered in Fort Payne, Ala. MAPCO Family Centers Inc., a wholly-owned subsidiary of Delek US, has executed a purchase agreement to acquire Williamson Oil's retail operations including 100 convenience stores as well as its wholesale fuel distribution business. The companies expect to close the deal next month.

Delek US, headquartered in Franklin, Tenn., consists of a network of 243 convenience stores. The company operates 207 stores under the Mapco Express brand name and 36 stores under the East Coast brand name. The company's stores are primarily concentrated in and around the company's three divisions located in Memphis and Nashville, Tennessee and Richmond, Va. The company is a wholly-owned subsidiary of Delek Petroleum LTD., one of four operating entities of the Delek Group, a publicly traded conglomerate in Israel.

Williamson Oil operates 89 convenience stores and has a dealership network of 11 stores. All of Williamson Oil's retail stores operate under the Discount Food Mart brand name and sell fuel under multiple brands including Chevron, Exxon, Shell, Discount Food Mart and Victory Fuels. The company also provides wholesale distribution of gasoline and other refined fuels to 77 third-party dealers located in several southeastern states. The wholesale fuel business combined with Williamson Oil's convenience stores sell over 100 million gallons each year. Annual revenues of Williamson Oil exceed $200 million.

"We are very happy to announce our agreement with Williamson Oil," said Uzi Yemin, president of Delek US. "The transaction presents an excellent opportunity for Delek US to grow its existing platform and further its consolidation strategy. The acquisition of Williamson Oil will provide Delek US with significant strategic benefits given the company's large base of high quality stores, wholesale petroleum distribution business, geographic concentration and proximity to our existing markets. Delek US will particularly benefit from Williamson Oil's loyal customer base and deeply ingrained corporate culture."

Following the acquisition of Williamson Oil, Delek US will operate 332 locations in 8 states. Combined annual revenues and gallons sold will be approximately $886 million and $375 million, respectively. Delek US seeks to significantly expand its existing network through several acquisitions over the next five years. The company will target acquisitions in Alabama, Arkansas, Florida, Georgia Kentucky, Louisiana, Mississippi, North Carolina, South Carolina and Texas, in addition to Tennessee and Virginia, according to a company statement.

Clarification:
Yesterday, CSNews Online posted an article on Delek US Holdings' negotiating to acquire 100 U.S. fuel stations. The article included a paragraph about Alon Israel Oil Co.'s August 2000 acquisition of the U.S. operations of Total Fina Elf SA. The acquisition information applies only to Alon's purchase of Total Fina Elf. CSNews Online regrets any confusion.