Valero Eats $1.1 Billion Loss to Escape Newsom’s Toxic California

[SassyIrishLass]

Except for the fact that it’s going to cause serious financial pain to the residents of California, it would be a pleasure to watch.

We all need fossil fuels, at least in the short run. That doesn’t make me love big old Petroleum companies. But in this story, I have to say, Valero is making the rational choice.

The voters in California may be too far gone to react to this story in a manner consistent with their own needs and interests. But, a sound electoral bludgeoning of the Dims in CA would be the best outcome.

Can anybody (by the use of any meaningful metrics) defend the insane record of Governor Newscum?

Ford Motor just wrote off 19 billion for it's ill advised EV boondoggle

 

[Rawley]

They make over $32 billion/quarter. Don't cry too hard for them.

Cool. They only made 4.7B in all of 2024. How did they pull $32 billion/quarter off in 2025?

 

[d0gbreath]

Cool. They only made 4.7B in all of 2024. How did they pull $32 billion/quarter off in 2025?

I don't know. We both looked it up and neither one of us provided a link. That's one hell of a difference.

 

[Rawley]

I don't know. We both looked it up and neither one of us provided a link. That's one hell of a difference.

https://finance.yahoo.com/quote/VLO/financials/

 

[d0gbreath]

https://finance.yahoo.com/quote/VLO/financials/

OK, thanks. Odd that they made four times that much in '22.
You win. I'm a dummy.

 

[Rawley]

OK, thanks. Odd that they made four times that much in '22.
You win. I'm a dummy.

Nah, you just look at it too quickly. Billion dollar his is a 1/4 of their profits for a year.

 

[d0gbreath]

Nah, you just look at it too quickly. Billion dollar his is a 1/4 of their profits for a year.

Valero Energy (VLO) - Revenue

Current and historical revenue charts for Valero Energy. As of March 2026 Valero Energy's TTM revenue is of $123.07 Billion USD

companiesmarketcap.com

I couldn't find what I looked at before. This sure reads different from your chart.
Am I confusing stock value with profits?

Either way, that loss is pocket change to them.

 

[Rawley]

Valero Energy (VLO) - Revenue

Current and historical revenue charts for Valero Energy. As of March 2026 Valero Energy's TTM revenue is of $123.07 Billion USD

companiesmarketcap.com

I couldn't find what I looked at before. This sure reads different from your chart.
Am I confusing stock value with profits?

Nah. Their revenues are $30B a quarter = $120B a year. But those revenues yield only $4B in gross profit a year.

Either way, that loss is pocket change to them.

It's 1/4 of their profits for a year. I'd call that more than pocket change. They've made, IMHO, the right business decision that it doesn't make sense to stay in CA anymore. The state is just so hostile to fossil fuels.

 

[d0gbreath]

Nah. Their revenues are $30B a quarter = $120B a year. But those revenues yield only $4B in gross profit a year.

It's 1/4 of their profits for a year. I'd call that more than pocket change. They've made, IMHO, the right business decision that it doesn't make sense to stay in CA anymore. The state is just so hostile to fossil fuels.

Thanks for the explanation. High finance isn't anywhere close to my wheelhouse.

 

[Nuthin' Fancy]

Complete sociopath.

That's your dear leader, nut job.

And Nuthin' Fancy disagrees with you.
He actually would vote for that creep. What kind of person is so dull-witted, so numb they look at Newsom and don't realize what a phony creep he is?

Again, that's your dear leader and you voted for the lying, criminal,scumbag.

 

[Lockback]

That's your dear leader, nut job.

Again, that's your dear leader and you voted for the lying, criminal,scumbag.

Your dangerous, irrational hatred for Trump is duly noted.
Now GFY.

 

[Nuthin' Fancy]

Your dangerous, irrational hatred for Trump is duly noted.
Now GFY.

Your love for a lying, scumbag, wannabe oligarch is duly noted.

 

[Mac-7]

Valero Eats $1.1 Billion Loss to Escape Newsom’s Toxic California​

“When a company takes a billion dollar loss just to leave, you know something is seriously broken.”​

Valero Eats $1.1 Billion Loss to Escape Newsom’s Toxic California

'When a company takes a billion dollar loss just to leave, you know something is seriously broken.'

legalinsurrection.com

15 Dec 2025 ~~ By Elizabeth Stauffer


Before handing Gavin Newsom the Democratic presidential nomination in 2028, Democrats may want to pause and consider his long record of failure in California. From his mishandling of the January wildfires to his coddling of illegal immigrants, his poor governance has led to a collapse of public confidence and a mass exodus from the Golden State.
But buried beneath the broader criticism is an often overlooked central failure: Newsom’s policy decisions have made California an increasingly hostile state in which to conduct business. And few industries have suffered more under California’s regulatory assault than fossil fuels, where relentless overreach has driven companies out of the state. The latest major corporation to join the stampede is Valero Energy. The company is so determined to flee California’s overregulation that it was willing to absorb a staggering $1.1 billion loss to get out. Valero will shutter operations by April 2026.
Because other energy companies have already left California, Valero’s exit will put even greater upward pressure on gasoline prices in the state, which are already among the highest in the nation.
~Snip~
Unlike other states, California’s special fuel blends cannot be imported from major U.S. oil-producing states such as Texas, Oklahoma, or Louisiana when inventory runs low. Instead, supply comes largely from a shrinking number of in-state refineries or from a handful of foreign refineries — primarily in countries like South Korea, India, and Singapore — that have the specialized equipment needed to produce CARBOB fuel.
The long-distance transport, exposure to global supply-chain disruptions, and added logistical costs all drive prices higher — costs that are first borne by corporations and ultimately passed on to California consumers at the pump.

​

Valero is taking a $1 billion dollar loss just to get out of California by April 2026
The company will not comply with Gavin Newsom mandates and instead is willing to lose a billion dollars to leave
“When a company takes a billion dollar loss just to leave, you know something…
Leslie Eastman has reported frequently on the flight of energy companies out of California over the past couple of years. She covered Chevron’s departure here and here — as well as Valero’s initial announcement of its decision to shutter its Benicia refinery.
Leslie also wrote about Newsom’s approval of an order to force energy producers to stock pile gasoline, a measure that led Phillips 66 to announce it would end “operations at its Los Angeles-area refinery in the fourth quarter of 2025.”
Needless and ill-considered policies like this are driving energy companies out of California, one regulation at a time.
But the exodus has not been limited to energy companies. Below is a list of other corporations that have left to escape California’s unfriendly business climate in recent years.
~Snip~
These corporate departures are not abstract losses — they are steadily hollowing out California’s tax base. In a state where the top 1 percent of taxpayers generate nearly half of all income tax revenue, the flight of high earners and major employers carries severe fiscal consequences.
Those consequences are now impossible to ignore. Just last month, CalMatters projected an $18 billion deficit for the 2026–27 fiscal year, the fourth major shortfall in as many years. The nonpartisan Legislative Analyst’s Office has warned that California faces “potential structural deficits of $15 billion to $35 billion annually through 2028–29,” a sign not of temporary turbulence, but of deep and persistent mismanagement.
This is the legacy of Gavin Newsom’s governance: a state hemorrhaging businesses, eroding its revenue base, and lurching from one budget crisis to the next. California was once an engine of growth and opportunity. Under Newsom, it has become a cautionary tale.
If this is the model of leadership Democrats intend to export to the nation, voters should ask a simple question: why would anyone entrust the presidency to the man who helped drive the country’s largest state into fiscal and economic decline?



Commentary:
The loss of Valero in California will also affect the states of Arizona and Nevada...
Newsom's list of failures is long and his areas of incompetence are vast.
But he has nice hair, and chicks dig him.
Newsom has without a doubt is destroying California. Just think of the damage he could do as president...
Newsom hasn’t “coddled” illegals, they’re his entire voting base.
The question is, will Trump administration to strike a deal with Valero to keep the site open exclusively for military fuels, and provide Valero with the legal exemption it would need from California law?
Like the Soviet Union, California is a one-party leftist government and it can not reform itself, until it collapses.
Do Californians deserve to suffer under the iron boot of Democrats who've stolen elections and placed them under one party rule?
People don't understand there are millions of conservatives in California that never vote for Democrats or any of their terrible, self serving schemes. This could happen to you in your Blue states too, in fact, it's exactly what the Democrats have planned for you.
All you have to do is look at what is happening in Illinois and New York

I think wacko greenies are cheering all of this

They want gasoline prices sky high

Along with shortages

 

[Dont Taz Me Bro]

They make over $32 billion/quarter. Don't cry too hard for them.

I'm guessing you hadn't realized when you wrote this that it's not Valero getting screwed here.

 

[d0gbreath]

I'm guessing you hadn't realized when you wrote this that it's not Valero getting screwed here.

Thanks for clearing that up.

 

[HikerGuy83]

Valero Eats $1.1 Billion Loss to Escape Newsom’s Toxic California​

“When a company takes a billion dollar loss just to leave, you know something is seriously broken.”​

Valero Eats $1.1 Billion Loss to Escape Newsom’s Toxic California

'When a company takes a billion dollar loss just to leave, you know something is seriously broken.'

legalinsurrection.com

15 Dec 2025 ~~ By Elizabeth Stauffer


Before handing Gavin Newsom the Democratic presidential nomination in 2028, Democrats may want to pause and consider his long record of failure in California. From his mishandling of the January wildfires to his coddling of illegal immigrants, his poor governance has led to a collapse of public confidence and a mass exodus from the Golden State.
But buried beneath the broader criticism is an often overlooked central failure: Newsom’s policy decisions have made California an increasingly hostile state in which to conduct business. And few industries have suffered more under California’s regulatory assault than fossil fuels, where relentless overreach has driven companies out of the state. The latest major corporation to join the stampede is Valero Energy. The company is so determined to flee California’s overregulation that it was willing to absorb a staggering $1.1 billion loss to get out. Valero will shutter operations by April 2026.
Because other energy companies have already left California, Valero’s exit will put even greater upward pressure on gasoline prices in the state, which are already among the highest in the nation.
~Snip~
Unlike other states, California’s special fuel blends cannot be imported from major U.S. oil-producing states such as Texas, Oklahoma, or Louisiana when inventory runs low. Instead, supply comes largely from a shrinking number of in-state refineries or from a handful of foreign refineries — primarily in countries like South Korea, India, and Singapore — that have the specialized equipment needed to produce CARBOB fuel.
The long-distance transport, exposure to global supply-chain disruptions, and added logistical costs all drive prices higher — costs that are first borne by corporations and ultimately passed on to California consumers at the pump.

​

Valero is taking a $1 billion dollar loss just to get out of California by April 2026
The company will not comply with Gavin Newsom mandates and instead is willing to lose a billion dollars to leave
“When a company takes a billion dollar loss just to leave, you know something…
Leslie Eastman has reported frequently on the flight of energy companies out of California over the past couple of years. She covered Chevron’s departure here and here — as well as Valero’s initial announcement of its decision to shutter its Benicia refinery.
Leslie also wrote about Newsom’s approval of an order to force energy producers to stock pile gasoline, a measure that led Phillips 66 to announce it would end “operations at its Los Angeles-area refinery in the fourth quarter of 2025.”
Needless and ill-considered policies like this are driving energy companies out of California, one regulation at a time.
But the exodus has not been limited to energy companies. Below is a list of other corporations that have left to escape California’s unfriendly business climate in recent years.
~Snip~
These corporate departures are not abstract losses — they are steadily hollowing out California’s tax base. In a state where the top 1 percent of taxpayers generate nearly half of all income tax revenue, the flight of high earners and major employers carries severe fiscal consequences.
Those consequences are now impossible to ignore. Just last month, CalMatters projected an $18 billion deficit for the 2026–27 fiscal year, the fourth major shortfall in as many years. The nonpartisan Legislative Analyst’s Office has warned that California faces “potential structural deficits of $15 billion to $35 billion annually through 2028–29,” a sign not of temporary turbulence, but of deep and persistent mismanagement.
This is the legacy of Gavin Newsom’s governance: a state hemorrhaging businesses, eroding its revenue base, and lurching from one budget crisis to the next. California was once an engine of growth and opportunity. Under Newsom, it has become a cautionary tale.
If this is the model of leadership Democrats intend to export to the nation, voters should ask a simple question: why would anyone entrust the presidency to the man who helped drive the country’s largest state into fiscal and economic decline?



Commentary:
The loss of Valero in California will also affect the states of Arizona and Nevada...
Newsom's list of failures is long and his areas of incompetence are vast.
But he has nice hair, and chicks dig him.
Newsom has without a doubt is destroying California. Just think of the damage he could do as president...
Newsom hasn’t “coddled” illegals, they’re his entire voting base.
The question is, will Trump administration to strike a deal with Valero to keep the site open exclusively for military fuels, and provide Valero with the legal exemption it would need from California law?
Like the Soviet Union, California is a one-party leftist government and it can not reform itself, until it collapses.
Do Californians deserve to suffer under the iron boot of Democrats who've stolen elections and placed them under one party rule?
People don't understand there are millions of conservatives in California that never vote for Democrats or any of their terrible, self serving schemes. This could happen to you in your Blue states too, in fact, it's exactly what the Democrats have planned for you.
All you have to do is look at what is happening in Illinois and New York

Oh, let's hope they hand it to him.

Newsome for pres.
Harris for VP
Walz for Inmate of the Year.

 

[HikerGuy83]

Gasoline is a commodity. Even the specialty gasolines.

We used to produce them in New Mexico for Phoenix.

I am not so sure I buy that it will only impact CA if a refinery goes down. If a refinery has to pull from it's pool to satisfy CA, then the remaining customers will have to pay more to get the gasoline to sell....at the cost of a consumer.

Most refineries are not sitting there with extra capacity. It's pretty much a zero sum game at about 90% utilization.

CA will pay more. They'll have to attract that gasoline.

Now, transportation will only add to that. And if there is an interruption, CA will have huge price spikes.

Gasoline is very inelastic in the short term.

 

[Mack The Finger]

No worries for Cali...the taxes the illegals are paying will off set the losses.