Replies to post #96 on Delek US Holdings, Inc. (DK)

[pete807]

positioning for higher cash returns to shareholders

Hopefully the dividend will at least double to 4% and compete with 10yr treasury bonds,

Appreciation has been very good since they acquired ALJ. The refineries, some idle in California were step 1. They implied they would consolidate and we longs at ALDW thought it likely DKL would gain some of ALDW assets, but there was no timetable. Some of us took half our positions in ALDW and came aboard here and with DKL when acquisition of the 18% of ALDW common units they didn't already own was announced. It makes sense to drop down the retail assets to DKL and combine all the refining in DK, if that is how they handle the ALDW swallowing.

Big Spring refinery, as you know sits in the geographic heart of the Permian boom land.

DKL trading volume should also rise with larger assets including the huge 300 retail 7-11 segment.