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In 2006, KAG:
- Delivered in excess of 20 billion gallons of refined petroleum products;
- Operated approximately 80 terminals and 95 satellite locations;
- Generated $570 million in revenue; and
- Continued to be six times larger than any other competitor.
Our customer base includes many of the major oil companies, truck stop chains, convenience stores, hypermarkets, aviation fuel marketers and other national and regional petroleum marketers. Each of our ten largest customers for 2006 has been a customer for more than ten years. We are the only independent fuels delivery carrier with a nationwide network, having operations in 32 states and the ability to deliver within all 48 states of the continental United States and Canada.
The KAG nationwide network allows our customers broad distribution capabilities that are difficult for other competitors to replicate. In addition, we have expanded services to our customers by providing value-added logistics solutions through KAG Logistics and KAG Ethanol Logistics. Some of these services include real-time delivery monitoring, inventory and supply source management, fleet scheduling and integrated billing and payment. Together with our nationwide footprint, these services make the KAG a single source provider for nationwide supply chain solutions for petroleum and petrochemical products.
We have grown substantially through strategic acquisitions and internal growth. Since 2000, we have expanded from 14 to 32 states and extended our infrastructure with 7 acquisitions and 18 private fleet conversions. This growth resulted in increased revenues from approximately $7 million in 1992, to approximately $570 million in 2006, representing a compound annual growth rate of approximately 37%.
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