Sales Stream #2 - Wholesaler of Gasoline
As a general rule, Jobber-operated stations use gasoline supplied by a major oil company, which is delivered to the gasoline terminal at rack pricing. The jobber has the responsiblity of delivering the gasoline to the retail stations and independently sets the wholesale cost over rack pricing paid by the operator.
PCAI's wholesale jobber contracts for branded and/or unbranded gasoline sold through its distribution network will add net income of $0.04 per gallon (comprised of $0.02 over rack pricing plus $0.02 volume rebate from varied oil companies). Example: 6 million gallons annually would add another $240,000.00 profi directly to the bottom line.