INVENTORIES

9 Months Ended

Sep. 30, 2026

Inventories consisted of the following:


(in millions)	September 30, 2026		December 31, 2025
Crude oil and feedstocks	$	1,601.0	$	1,438.0
Refined products and blendstocks	1,423.5		1,260.5

Warehouse stock and other	190.6		177.6
	3,215.1		2,876.1
Lower of cost or market adjustment	—		(313.0)
Total inventories	$	3,215.1	$	2,563.1

At September 30, 2026, the replacement cost of inventories exceeded their carrying value under the last-in, first-out (“LIFO”) method by approximately $1.6 billion. During the nine months ended September 30, 2026, the Company reversed the $313.0 million lower of cost or market (“LCM”) inventory reserve recorded at December 31, 2025, increasing income from operations by $313.0 million and resulting in no LCM inventory reserve at September 30, 2026.

An actual valuation of inventories valued under the LIFO method is made at the end of each year based on inventory levels and costs at that time. During the year ended December 31, 2025, the Company recorded a pre-tax charge related to a LIFO layer decrement of $5.4 million in the Refining segment, primarily associated with the Martinez refinery.