What were the costs on disposal for Petro Stopping Center in 2024?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
| Land and land improvements | Buildings | Oil and gas propertiesa | Plant, machinery and equipment | Fittings, fixtures and office equipment | Transportation | Oil depots, storage tanks and service stations | $ million Total | |
|---|---|---|---|---|---|---|---|---|
| Cost - owned PP&E | ||||||||
| Deletions and disposals | 85 | 29 | (5,966) | (480) | (17) | (310) | (153) | (6,812) |
Source: Item 23 — RECEIPTS **RECEIPTS (FDD pages 87–131)
What This Means (2025 FDD)
According to Petro Stopping Center's 2025 Franchise Disclosure Document, the costs associated with deletions and disposals of owned property, plant, and equipment (PP&E) in 2024 amounted to $6,812 million. This figure is derived from a table summarizing the changes in the cost of owned PP&E during the year.
Specifically, the table provides a breakdown of these costs across various categories of assets. These categories include land and land improvements ($85 million), buildings ($29 million), oil and gas properties ($5,966 million), plant, machinery, and equipment ($480 million), fittings, fixtures, and office equipment ($17 million), transportation ($310 million), and oil depots, storage tanks, and service stations ($153 million). The sum of these individual components constitutes the total cost of deletions and disposals for the year.
Prospective franchisees should understand that these figures reflect the costs incurred by Petro Stopping Center as a whole, not necessarily the costs that a single franchise unit might incur. However, this information can provide a broader context for understanding how Petro Stopping Center manages its assets and accounts for disposals. Franchisees may want to inquire about specific disposal-related costs they might encounter, such as the disposal of obsolete equipment or property, and how those costs would be handled within the franchise agreement.