Marathon Petroleum : Download the Presentation

Second Quarter 2020 Conference Call

August 3, 2020

Forward Looking Statements

This presentation contains forward-looking statements within the meaning of federal securities laws regarding Marathon Petroleum Corporation (MPC). These forward-looking statements relate to, among other things, expectations, estimates and projections concerning the business and operations, strategy and value creation plans of MPC. In accordance with "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, these statements are accompanied by cautionary language identifying important factors, though not necessarily all such factors, that could cause future outcomes to differ materially from those set forth in the forward-looking statements. You can identify forward-looking statements by words such as "anticipate," "believe," "commitment," "could," "design," "estimate," "expect," "forecast," "goal," "guidance," "imply," "intend," "may," "objective," "opportunity," "outlook," "plan," "policy," "position," "potential," "predict," "priority," "project," "proposition," "prospective," "pursue," "seek," "should," "strategy," "target," "would," "will" or other similar expressions that convey the uncertainty of future events or outcomes. Such forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond the company's control and are difficult to predict. Factors that could cause MPC's actual results to differ materially from those implied in the forward-looking statements include but are not limited to: the effects of the recent outbreak of COVID-19 and the adverse impact thereof on our business, financial condition, results of operations and cash flows, including, but not limited to, our growth, operating costs, labor availability, logistical capabilities, customer demand for our products and industry demand generally, margins, inventory value, cash position, taxes, the price of our securities and trading markets with respect thereto, our ability to access capital markets, and the global economy and financial markets generally; the effects of the recent outbreak of COVID-19, and the current economic environment generally, on our working capital, cash flows and liquidity, which can be significantly affected by decreases in commodity prices; our ability to reduce capital and operating expenses; with respect to the planned Speedway sale, the ability to successfully complete the sale within the expected timeframe or at all, based on numerous factors, including our ability to satisfy customary conditions, including obtaining regulatory approvals on the proposed terms and schedule, and any conditions imposed in connection with the consummation of the transaction, our ability to utilize the proceeds as anticipated, and our ability to capture value from the associated ongoing supply relationship and realize the other expected benefits; the risk that the cost savings and any other synergies from the Andeavor transaction may not be fully realized or may take longer to realize than expected; disruption from the Andeavor transaction making it more difficult to maintain relationships with customers, employees or suppliers; risks relating to any unforeseen liabilities of Andeavor; risks related to the acquisition of Andeavor Logistics LP by MPLX LP (MPLX), including the risk that anticipated opportunities and any other synergies from or anticipated benefits of the transaction may not be fully realized or may take longer to realize than expected, including whether the transaction will be accretive within the expected timeframe or at all, or disruption from the transaction making it more difficult to maintain relationships with customers, employees or suppliers; the risk of further impairments; the ability to complete any divestitures on commercially reasonable terms and/or within the expected timeframe, and the effects of any such divestitures on the business, financial condition, results of operations and cash flows; future levels of revenues, refining and marketing margins, operating costs, retail gasoline and distillate margins, merchandise margins, income from operations, net income and earnings per share; the regional, national and worldwide availability and pricing of refined products, crude oil, natural gas, NGLs and other feedstocks; consumer demand for refined products; the ability to manage disruptions in credit markets or changes to credit ratings; future levels of capital, environmental and maintenance expenditures; general and administrative and other expenses; the success or timing of completion of ongoing or anticipated capital or maintenance projects; the reliability of processing units and other equipment; business strategies, growth opportunities and expected investment; share repurchase authorizations, including the timing and amounts of such repurchases; the adequacy of capital resources and liquidity, including availability, timing and amounts of free cash flow necessary to execute business plans and to effect any share repurchases or to maintain or increase the dividend; the effect of restructuring or reorganization of business components; the potential effects of judicial or other proceedings on the business, financial condition, results of operations and cash flows; continued or further volatility in and/or degradation of general economic, market, industry or business conditions as a result of the COVID-19 pandemic, other infectious disease outbreaks or otherwise; non-payment or non-performance by our producer and other customers; compliance with federal and state environmental, economic, health and safety, energy and other policies and regulations, including the cost of compliance with the Renewable Fuel Standard, and/or enforcement actions initiated thereunder; the anticipated effects of actions of third parties such as competitors, activist investors or federal, foreign, state or local regulatory authorities or plaintiffs in litigation; the impact of adverse market conditions or other similar risks to those identified herein affecting MPLX; and the factors set forth under the heading "Risk Factors" in MPC's Annual Report on Form 10-K for the year ended Dec. 31, 2019, and in Forms 10-Q and other filings, filed with the SEC. Copies of MPC's Form 10-K, Forms 10-Q and other SEC filings are available on the SEC's website, MPC's website at https://www.marathonpetroleum.com/Investors/ or by contacting MPC's Investor Relations office. Copies of MPLX's Form 10-K, Forms 10-Q and other SEC filings are available on the SEC's website, MPLX's website at http://ir.mplx.com or by contacting MPLX's Investor Relations office.

We have based our forward-looking statements on our current expectations, estimates and projections about our business and industry. We caution that these statements are not guarantees of future performance and you should not rely unduly on them, as they involve risks, uncertainties, and assumptions that we cannot predict. In addition, we have based many of these forward-looking statements on assumptions about future events that may prove to be inaccurate. While our management considers these assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond our control. Accordingly, our actual results may differ materially from the future performance that we have expressed or forecast in our forward-looking statements. We undertake no obligation to update any forward- looking statements except to the extent required by applicable law.

Non-GAAP Financial Measures

Adjusted earnings, EBITDA, cash provided from operations before changes in working capital, Refining and Marketing margin and Retail total margin are non-GAAP financial measures provided in this presentation. Reconciliations to the nearest GAAP financial measures are included in the Appendix to this presentation. These non-GAAP financial measures are not defined by GAAP and should not be considered in isolation or as an alternative to net income attributable to MPC, net cash provided by (used in) operating, investing and financing activities, Refining and Marketing income from operations, Speedway income from operations or other financial measures prepared in accordance with GAAP.

2

Speedway Sale: Executing Strategic Priorities

Certainty of Value

Realization

100% cash transaction

$21 billion represents

significant value unlock

Balance Sheet Strength & Capital Return

Approximately $16.5 billion of

anticipated after-tax cash

proceeds

Strengthens balance sheet and

enables return of capital to

shareholders

Long-Term Relationship

Long-term fuel supply

agreements up to

7.7 billion gallons per year

Potential for incremental fuel supply for existing 7-Eleven locations

Demonstrates commitment to execute on the strategic priorities outlined earlier this year

3

MPC: Strategy for Continuing Value Creation

1	2
Strengthen	Improve
Competitive Position	Commercial
of our Assets	Performance

Achieve best-in-class		Leverage
cost, operating, and		advantaged raw
financial performance		material selection
Focus on contribution		Enhance commercial
of each asset to		skills and technology
shareholder return		improvements

3

Lower Cost

Structure

Strict capital

discipline

Lowering costs and

driving efficiency

4

Business Update

• Progress on tactical and strategic initiatives:
• • Indefinitely idling Gallup and Martinez refineries; evaluating strategic repositioning of Martinez to renewable diesel facility
  • On track to achieve 2020 operating expense and capital spending reductions
  • Enhanced liquidity with new credit facility
  • $7.7 billion of available borrowing capacity

Proactive steps help maintain financial strength, support investment

grade credit rating, and enhance through-cycle resiliency

5

Second Quarter Highlights

$ Millions (unless otherwise noted)	2Q20
Adjusted Loss per Share ($/share) (a)	$(1.33)
Adjusted EBITDA	$653
Cash from Operations, excluding Working Capital	$172
Dividends	$378

(a) Based on weighted average diluted shares

6

Second Quarter Highlights (cont'd)

2Q 2020 vs. 1Q 2020

$ Millions

2,500					Adjusted EBITDA						Reconciliation to Net Income
												1,425
2,000
1,866
		-51	-18
1,500
1,000														-1,097	-972
										653
								34
500						-1,178
0																		9
	1Q 2020		Midstream		Retail		Refining &		Corporate		2Q 2020	LCM Benefit		Turnaround		Interest,		2Q 2020
	Adj. EBITDA						Marketing				Adj. EBITDA	and Other		and D&A		Taxes, and		Net Income
																	Noncontrolling
																	Interests

7

Midstream EBITDA

2Q 2020 vs. 1Q 2020

• Through-cycleEBITDA stability
• Fee-basedwith volume protections across businesses
• Continued progress on organic growth projects

1,500
1,250		18	1,199
	- 69
1,000
$ Millions
500
0
1Q 2020	MPLX	Other	2Q 2020
EBITDA		Midstream	EBITDA

8

Retail EBITDA

2Q 2020 vs. 1Q 2020

• Fuel volumes down ~25% from first quarter due to COVID-19 demand destruction; down ~36% year-over-year
• Fuel margins of nearly 40 cpg
• Seasonal growth in merchandise vs. 1Q; year-over-year same store sales down 4% excluding cigarettes

$ Millions

800
	644	38	21	626
600			-3
		-74
400

200

0

1Q 2020	Fuel	Merchandise	Operating	Other	2Q 2020
EBITDA			Expense		EBITDA
			(a)

(a) Reflects operating, selling, general and administrative expenses.

9

Refining & Marketing Adjusted EBITDA

2Q 2020 vs. 1Q 2020

 Full three month impact of COVID-19 demand destruction

 71% utilization during the	Millions
quarter	$

400

200 154

0

-200

-400-516

-600

-800

• Significantly weaker crack spreads
• Strong expense control

-1,000		-540		366	76
				-17	-1,024
-1,200
-1,400
-1,600			-547
1Q 2020	Mid-Con	USGC	West Coast	Operating	Distribution	Other	2Q 2020
Adj, EBITDA	Margin	Margin	Margin	Costs	Costs		Adj, EBITDA
				(a)	(b)

(a) Includes refining major maintenance and operating costs. Excludes refining planned turnaround and D&A expense.	(b) Excludes D&A expense	10

Total Consolidated Cash Flow

2Q 2020

3,000

531

2,500

366

$ Millions

2,000

172

MPC

457 (b)

1,690

MPLX

74

1,500

-1,062

-378

72

1,091

1,000

-300

500

0

3/31/2020

Operating Cash

Working

Net Debt

Capital

Return of

Net Distributions

Other

6/30/2020

Cash Balance

Flow before

Capital

Expenditures,

Capital to

to Noncontrolling

Cash Balance

Working Capital

Investments

Shareholders

Interests

(a)

(a) $378 MM dividends (b) In late April, the company issued $2.5 billion of senior notes, the proceeds of which were used to repay certain amounts outstanding on the five-year revolving credit facility	11
Note: Excludes restricted cash

Commitment to Cost Discipline

$ Millions

1,800

1,600

1,400

1,200

1,000

	R&M Operating Expenses				 Guided 2Q R&M operating
1,636
									expenses to be ~$300
									million lower than 1Q20
		1,334		1,270
							 2Q20 R&M costs reduced
									by $64 million more than
									guidance
	1Q20 Actual		2Q20 Guidance		2Q20 Actual

Disciplined approach, on track to meet consolidated $950 million operating

expense reduction target

12

Strong Liquidity Position

$ Billions

Credit Facility Availability

7.7

0.7

2.0

4.8

0.8

1.0

5.0

3.0

• March and April working capital impacts partially reversed in May and June as crude prices increased
• Credit facility fully repaid in second quarter
• $7.7 billion of available credit capacity as of June 30, 2020

 Cash balance of $1.1 billion at

June 30, 2020

3/31/2020

6/30/2020

Five-Year Revolver

364-Day Revolvers

Receivables Facility

13

Third-Quarter 2020 Outlook

		Crude	Other	Total							Depreciation
		Charge/	Sweet	Sour	Operating	Distribution		Planned
		Throughput	Throughput		and
		Feedstocks	Crude	Crude	Cost (b)	Cost (c)		Turnaround
		(a)	(a)		Amortization
		Throughput (a)
			in MBPD		Percent of Throughput	$/BBL of Total	$MM		$MM	$MM
				Throughput
	Gulf Coast Region	825	95	920	34%	66%	$5.20			$40	$150
3Q2020	Mid-Con Region	1,000	45	1,045	73%	27%	$5.30			$70	$170
West Coast Region	390	45	435	28%	72%	$11.45			$160	$70
Projected
	R&M Total	2,215	130	2,345	50%	50%	$6.50	$1,285		$270	$440 (d)

• Corporate & other unallocated items estimated at ~$195 MM for 3Q20

Retail Segment
Light Product Sales Volume (MMgal)	2,000	- 2,200
Merchandise Sales ($MM)	$1,700	- $1,800

(a) Region throughput data includes inter-refinery transfers, but MPC totals exclude transfers (b) Includes refining major maintenance and operating costs. Excludes refining planned turnaround and D&A expense.	14
(c) Excludes D&A expense (d) Includes D&A expense associated with distribution assets

Focus on Sustainability and Corporate Leadership

Environment SocialGovernance

Recognized for Energy	Committed to	Independent & Diverse
Efficiency with EPA Energy	Diversity & Inclusion	Board of Directors
Star Partner Awards	Established new Human	Transparency in reporting
Targeting 30% GHG emissions	Rights Policy in 2020	through TCFD and SASB
intensity reduction by 2030		Sustainability
Investing in Renewables	Supporting our communities with
$18.7 million in donations	Performance linked to
		compensation

15

Questions & Answers

Appendix

17

Published 2019 Sustainability Report

Highlights

20% reduction in GHG intensity

since 2014

~$470 million investment converting

Dickinson refinery to renewable diesel plant

45% reduction in criteria emissions since

2002

Over 55,000 employee volunteer hours in

our communities in 2019

Recognitions

Included in Dow Jones Sustainability

Index for North America

EPA Energy Star Partner of the Year - Sustained Excellence Award 2020

2020 Human Rights Campaign Corporate

Equality Index score of 100%

AFPM Distinguished Safety Award

18

Manageable Leverage and Maturities

Debt-to-LTM Adj. EBITDA (a)

2.0x

1.5x

1.0x

0.5x

0.0x

2011 2012 2013 2014 2015 2016 2017 2018 2019

Senior Notes Maturities - Next 10 Years (b)

	2.0
$B	1.0
	0.0

2020 2021 2022 2023 2024 2025 2026 2027 2028 2029

$ Millions	YE18	YE19	2Q20
(unless otherwise noted)
Total Debt (excl. MPLX)	9,114	9,125	11,607
LTM Adj. EBITDA (excl. MPLX)	6,893	5,506	3,022
LTM MPLX Distributions to MPC	1,590	1,823	1,774
Debt-to-Capital	22%	23%	35%
MPC Debt-to-LTM Adj. EBITDA (a)	1.1x	1.2x	2.4x

(a) MPC Debt-to-LTM Adjusted EBITDA calculated using face value of total debt and LTM adjusted pro forma EBITDA. Excludes MPLX debt and EBITDA, includes MPLX distributions to MPC; refer to appendix for reconciliation	19
(b) Senior Notes Maturities as of 6/30/2020

Capitalization and Select Balance Sheet Data

	As of June 30, 2020	MPC	MPLX	MPC Excluding
	Consolidated	Adjustments(a)	MPLX
	($MM except ratio data)
	Total Debt	32,166	20,559	11,607
	Total Equity(b)	31,817	10,437	21,380
	Debt-to-Capital Ratio	50%	-	35%
	Cash and cash equivalents	1,091	67	1,024
	Debt to LTM Adjusted EBITDA(c)	4.1x	-	3.9x
	Debt to LTM Adjusted EBITDA, w/ MPLX LP distributions(c)	N/A	-	2.4x
(a) Adjustments made to exclude MPLX cash, debt (all non-recourse), and the public portions of MPLX equity (b) Includes MPLX mezzanine equity of $968 million (c) Calculated using face value of total debt and LTM adjusted pro forma EBITDA	20

Refining & Marketing Segment Loss

2Q 2020

$ Millions

3,000

2,000

1,000

0

-1,000

-2,000

		336
		392	1,476
958	159	-369
	Volume	123
		Product	464
		Crude	-956

-1,270

							-1,214	-16
									-595	-1,619
Blended	Sweet	Sour	Market	Other	R&M	Operating	Distribution	Other	Turnaround	R&M
Crack	Differential	Differential	Structure	Margin	Margin	Costs	Costs		and D&A	Segment
Spread	(a)	(a)				(b)	(c)			Loss
(a)

(a) Based on market indicators using actual volumes (b) Includes refining major maintenance and operating costs. Excludes refining planned turnaround and D&A expense.	(c) Excludes D&A expense.	21

Refining & Marketing Margins - Market vs. Realized

Total system capture of 80%, key factors included:

 Low crude flat price tightening differentials

 Lower product flat price muting impact of volumetric gain

 Lower West Coast utilization vs. indicator with Martinez idling

 Market structure benefit included in margin indicator

22

Distribution Costs - Components

2Q 2020

$ Millions

1,500

3731,214

1,200

900

468

600

373

300

0

Third Party	MPLX	MPLX Fuels Distribution and	2Q 2020
Fees and Other	Fees	Refinery Logistics Fees	Distribution Costs

Total distribution fees of $841 million paid to MPLX and

$458 million returned to MPC through distributions paid by MPLX(a)

(a) Based on distributions declared for 2Q 2020	23

Refining & Marketing Segment Loss

2Q 2020 vs. 1Q 2020 Variance Analysis

$ Millions

-500

-622

-1,000

-1,500							Volume	- 93
						Product - 425		164
							Crude	24		-1,619
						343
							366	76
-2,000			-1,307	-214	69		-494
-2,500		1Q 2020	Blended	Sour	Sweet	Market	Other	Operating	Distribution	Turnaround,	2Q 2020
		Segment	Crack	Differential	Differential	Structure	Margin	Costs	Costs	D&A and Other	Segment
		Loss	Spread	(a)	(a)			(b)	(c)		Loss
			(a)

(a) Based on market indicators using actual volumes (b) Includes refining major maintenance and operating costs. Excludes refining planned turnaround and D&A expense.	(C) Excludes D&A expense.	24

Earnings

	($MM unless otherwise noted)			2018				2019				2020
	1Q	2Q	3Q	4Q	1Q	2Q	3Q	4Q		1Q	2Q
	Refining & Marketing segment income (loss)	(133)	1,025	666	923	(334)	906	883	912		(622)	(1,619)
	Retail segment income	95	159	161	613	170	493	442	477		519	494
	Midstream segment income	567	617	679	889	908	878	919	889		905	869
	Corporate	(89)	(81)	(99)	(233)	(191)	(179)	(198)	(237)		(227)	(188)
	Income (loss) from operations before items not allocated to segments
	440	1,720	1,407	2,192	553	2,098	2,046	2,041		575	(444)
	Items not allocated to segments:
	Equity method investment restructuring gains	-	-	-	-	207	-	-	52		-	-
	Transaction-related costs	-	(10)	(4)	(183)	(91)	(34)	(22)	(13)		(35)	(30)
	Litigation	-	-	-	-	-	(22)	-	-		-	-
	Impairments	-	1	-	8	-	-	-	(1,239)		(9,137)	(25)
	LCM inventory valuation adjustment	-	-	-	-	-	-	-	-		(3,220)	1,480
	Income (loss) from operations
	440	1,711	1,403	2,017	669	2,042	2,024	841		(11,817)	981
	Net interest and other financing costs	183	195	240	385	306	322	317	302		338	345
	Income (loss) before income taxes
	257	1,516	1,163	1,632	363	1,720	1,707	539		(12,155)	636
	Provision (benefit) for income taxes	22	281	222	437	104	353	340	277		(1,937)	360
	Net income (loss)
	235	1,235	941	1,195	259	1,367	1,367	262		(10,218)	276
	Less net income (loss) attributable to:
	Redeemable noncontrolling interest	16	20	19	20	20	21	20	20		20	21
	Noncontrolling interests	182	160	185	224	246	240	252	(201)		(1,004)	246
	Net income (loss) attributable to MPC
	37	1,055	737	951	(7)	1,106	1,095	443		(9,234)	9
	Effective tax rate (a)
	9%	19%	19%	27%	29%	21%	20%	51%		16%	57%
	(a) 4Q19 tax rate impacted by midstream impairments, net of the portion attributable to noncontrolling interests, and the biodiesel tax credit which are largely non-taxable items. 2Q20 tax rate impacted by changes in our		25
	estimated annual effective rate applied to income for the year to date interim period.

Reconciliation

Net Income Attributable to MPC to Adjusted Net Income (Loss) Attributable to MPC

($MM)	2Q20	2Q19
Net income attributable to MPC	9	1,106
Pre-tax adjustments:
Transaction-related costs	30	34
Impairments	25	-
LCM inventory valuation adjustment	(1,480)	-
Litigation	-	22
Tax impact of adjustments (a)	548	(14)
Adjusted net income (loss) attributable to MPC	(868)	1,148
Diluted income per share	$0.01	$1.66
Adjusted diluted income (loss) per share (b)	$(1.33)	$1.73

(a) We generally tax effect taxable adjustments to reported earnings using a combined federal and state statutory rate of approximately 24 percent.	26
(b) Weighted-average diluted shares outstanding and income allocated to participating securities, if applicable, in the adjusted earnings per share calculation are the same as those used in the GAAP diluted earnings per share calculation except for the three months ended June 30, 2020 which

assumes no dilution and uses basic shares as a result of an adjusted loss attributable to MPC.

Reconciliation

Net Income (Loss) Attributable to MPC to Adjusted EBITDA and LTM Adjusted Pro Forma EBITDA

($MM)	3Q '19	4Q '19	1Q '20	2Q '20	LTM
Net Income (loss) attributable to MPC	1,095	443	(9,234)	9	(7,687)
Add: Net interest and other financial costs	317	302	338	345	1,302
Net income (loss) attributable to noncontrolling interests	272	(181)	(984)	267	(626)
Provision (benefit) for income taxes	340	277	(1,937)	360	(960)
Depreciation and amortization	855	978	962	935	3,730
Refining planned turnaround costs	164	153	329	162	808
Transaction-related costs	22	13	35	30	100
Equity method investment restructuring gains	-	(52)	-	-	(52)
Impairments	-	1,239	9,137	25	10,401
LCM inventory valuation adjustment	-	-	3,220	(1,480)	1,740
Adjusted EBITDA	3,065	3,172	1,866	653	8,756
Credit Metric Adjustments:
Less: Refining planned turnaround costs
				(808)
LTM Adjusted EBITDA					7,948
Less: LTM Adjusted EBITDA related to MPLX (a)					(4,926)
LTM Adjusted EBITDA excluding MPLX					3,022
Add: Distributions to MPC from MPLX					1,774
LTM Adjusted EBITDA excluding MPLX EBITDA, including LP distributions to MPC				4,796

(a) Includes pro forma financials related to ANDX

27

Reconciliation

Net Income Attributable to MPC to EBITDA, Adjusted EBITDA and Adjusted Pro Forma EBITDA

	($MM)	2011	2012	2013	2014	2015	2016	2017	2018	2019
	Net Income (loss) attributable to MPC	2,389	3,389	2,112	2,524	2,852	1,174	3,432	2,780	2,637
	Add: Net interest and other financial costs	26	109	179	216	334	564	674	1,003	1,247
	Net income attributable to noncontrolling interests	-	4	21	31	16	39	372	826	618
	Provision for income taxes	1,330	1,845	1,113	1,280	1,506	609	(460)	962	1,074
	Depreciation and amortization	891	995	1,220	1,326	1,502	2,001	2,114	2,490	3,638
	EBITDA	4,636	6,342	4,645	5,377	6,210	4,387	6,132	8,061	9,214
	Refining planned turnaround costs (a)	-	-	-	-	290	624	501	664	740
	Purchase accounting inventory related effects	-	-	-	-	-	-	-	759	-
	Transaction related costs	-	-	-	-	-	-	-	197	160
	Litigation	-	-	-	-	-	-	29	-	22
	Equity method investment restructuring gains	-	-	-	-	-	-	-	-	(259)
	Minnesota Assets sale settlement gain	-	(183)	-	-	-	-	-	-	-
	Impairment expense	-	-	-	-	144	486	(23)	(9)	1,239
	LCM inventory valuation adjustment	-	-	-	-	370	(370)	-	-	-
	Adjusted EBITDA	4,636	6,159	4,645	5,377	7,014	5,127	6,639	9,672	11,116
	Pro Forma EBITDA related to ANDV	-	-	-	-	-	-	-	2,356	-
	Adjusted Pro Forma EBITDA	4,636	6,159	4,645	5,377	7,014	5,127	6,639	12,028	11,116
	Less: Refining planned turnaround costs	-	-	-	-	(290)	(624)	(501)	(664)	(740)
	Adjusted Pro Forma EBITDA	4,636	6,159	4,645	5,377	6,724	4,503	6,138	11,364	10,376
	MPLX income from operations (b)	-	204	213	245	381	902	1,191	3,336	3,616
	Depreciation and amortization (b)	-	60	70	75	129	591	683	1,135	1,254
	MPLX EBITDA (b)	-	264	283	320	510	1,493	1,874	4,471	4,870
	EBITDA excluding MPLX	4,636	5,895	4,362	5,057	6,214	3,010	4,264	6,893	5,506
	MLP Distributions	-	-	57	76	118	332	498	1,590	1,823
	Adjusted EBITDA excluding MPLX, including distributions from MPC	4,636	5,895	4,419	5,133	6,332	3,342	4,762	8,483	7,329
	Debt (face value): MPC Corp	3,299	3,355	3,395	6,657	12,475	11,069	13,418	27,980	29,282
	MPLX/ANDX	-	(11)	(11)	(645)	(5,736)	(4,858)	(7,362)	(18,866)	(20,119)
	Net of MPLX	3,299	3,344	3,384	6,012	6,739	6,211	6,056	9,114	9,163
	Debt to adjusted EBITDA excluding MPLX, including LP distributions to MPC	0.7	0.6	0.8	1.2	1.1	1.8	1.3	1.1	1.2

(a) Refining & Marketing segment supplemental reporting revised in the second quarter of 2019, including a separate category for refinery planned turnaround costs. Data not available prior to 2015.	(b) Includes pro forma financials related to ANDX	28

Reconciliation

MPLX Net Income (Loss) to EBITDA Related to MPLX

($MM)	3Q '19	4Q '19	1Q '20	2Q '20	LTM
MPLX Net Income / (Loss)	689	(573)	(2,716)	655	(1,945)
Add: Net interest and other financial costs	233	229	230	223	915
Provision (benefit) for income taxes	4	(2)	-	-	2
Impairments	-	1,239	3,429	-	4,668
Depreciation and amortization	302	338	325	321	1,286
EBITDA related to MPLX
1,228	1,231	1,268	1,199	4,926

Note: Includes pro forma financials related to ANDX	29

Reconciliation

Cash Provided by (Used in) Operations to Operating Cash Flow Before Changes in Working Capital

	($MM)			2019			2020
	1Q	2Q	3Q	4Q	1Q	2Q
	Net cash provided by (used in) operations	1,623	2,622	2,787	2,409	(768)	538
	Less changes:
	Current receivables	(1,018)	(679)	280	(303)	1,899	1,218
	Inventories	(4)	744	(558)	(548)	(422)	839
	Current accounts payable and accrued liabilities	1,483	(186)	645	560	(3,453)	(1,767)
	Fair value of derivative instruments	29	(56)	(7)	26	(47)	70
	Right of use assets and operating lease liabilities, net	(1)	10	11	(6)	(4)	6
	Total changes in working capital	489	(167)	371	(271)	(2,027)	366
	Operating cash flow before changes in working capital	1,134	2,789	2,416	2,680	1,259	172

30

Reconciliation

Segment Income (Loss) from Operations to Segment Adjusted EBITDA and Adjusted EBITDA

				2018				2019			2020
	($MM)	1Q	2Q		3Q	4Q	1Q	2Q		3Q	4Q	1Q		2Q
	Refining & Marketing Segment
	Segment income (loss) from operations	(133)	1,025		666	923	(334)	906		883	912	(622)		(1,619)
	Add: Depreciation and amortization	252	252		257	413	427	411		397	430	447		433
	Refining planned turnaround costs	173	62		197	232	186	237		164	153	329		162
	Purchase accounting inventory effect, net of LIFO	-	-		-	759	-	-		-	-	-		-
	Segment Adjusted EBITDA	292	1,339		1,120	2,327	279	1,554		1,444	1,495	154		(1,024)
	Retail Segment
	Segment income from operations	95	159		161	613	170	493		442	477	519		494
	Add: Depreciation and amortization	79	73		76	125	126	130		113	159	125		132
	Segment EBITDA	174	232		237	738	296	623		555	636	644		626
	Midstream Segment
	Segment income from operations	567	617		679	889	908	878		919	889	905		869
	Add: Depreciation and amortization	181	191		205	308	307	318		300	342	345		330
	Segment EBITDA	748	808		884	1,197	1,215	1,196		1,219	1,231	1,250		1,199
	Segment Adjusted EBITDA
	1,214	2,379		2,241	4,262	1,790	3,373		3,218	3,362	2,048		801
	Corporate	(89)	(81)		(99)	(233)	(191)	(179)		(198)	(237)	(227)		(188)
	Add: Depreciation and amortization	16	17		17	28	59	27		45	47	45		40
	Adjusted EBITDA
	1,141	2,315		2,159	4,057	1,658	3,221		3,065	3,172	1,866		653

31

Reconciliation

Refining & Marketing Income (Loss) from Operations to Refining & Marketing Margin

		2019		2020
($MM)	1Q		2Q	1Q		2Q
Refining & Marketing income (loss) from operations (a)	(334)		906	(622)		(1,619)
Plus (Less):
Selling, general and administrative expenses	544		574	554		500
LCM inventory valuation adjustment	-		-	(3,185)		1,470
(Income) loss from equity method investments	(1)		(3)	3		19
Net (gain) loss on disposal of assets	(6)		-	-		1
Other Income	(14)		(8)	(4)		(4)
Refining & Marketing gross margin	189		1,469	(3,254)		367
Plus (Less):
Operating expenses (excluding depreciation and amortization)	2,605		2,610	2,822		2,231
LCM inventory valuation adjustment	-		-	3,185		(1,470)
Depreciation and amortization	427		411	447		433
Gross margin excluded from Refining & Marketing margin (b)	(117)		(142)	(97)		(66)
Other taxes included in Refining & Marketing margin	(4)		(1)	(24)		(19)
Refining & Marketing margin (a, c)	3,100		4,347	3,079		1,476
Refining & Marketing margin by region:
Gulf Coast	917		1,090	977		437
Mid-Continent	1,517		2,193	1,335		819
West Coast	666		1,064	767		220
Refining & Marketing margin	3,100		4,347	3,079		1,476

1. LCM inventory valuation adjustments are excluded from Refining & Marketing income from operations and Refining & Marketing margin.
2. The gross margin, excluding depreciation and amortization, of operations that support Refining & Marketing such as biodiesel and ethanol ventures, power facilities and processing of credit card transactions.
3. Refining & Marketing margin is defined as sales revenue less cost of refinery inputs and purchased products. We believe this non-GAAP financial measure is useful to investors and analysts to assess our ongoing financial performance because, when reconciled to its most comparable GAAP measure, it provides improved comparability between periods through the exclusion of certain items that we believe are not indicative of our core operating performance and that may obscure our underlying business results and trends. This measure should not be considered a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP, and our calculations thereof may not be comparable to similarly titled measures reported by other companies.

32

Reconciliation

Retail Income from Operations to Retail Total Margin

			2019			2020
($MM)	1Q	2Q		3Q	4Q	1Q		2Q
Retail income from operations (a)	170	493		442	477	519		494
Plus (Less):
Operating, selling, general and administrative expenses	583	597		644	632	598		577
LCM inventory valuation adjustment	-	-		-	-	(35)		10
Income from equity method investments	(17)	(21)		(20)	(24)	(22)		(27)
Net gain on disposal of assets	(2)	-		(2)	(27)	(1)		-
Other income	(2)	(4)		(3)	(35)	(49)		(44)
Retail gross margin
732	1,065		1,061	1,023	1,010		1,010
Plus (Less):
LCM inventory valuation adjustment	-	-		-	-	35		(10)
Depreciation and amortization	126	130		113	159	125		132
Retail margin (a)
858	1,195		1,174	1,182	1,170		1,132
Retail margin: (b)
Fuel margin	429	694		649	706	731		657
Merchandise margin	407	471		498	451	414		452
Other margin	22	30		27	25	25		23
Retail margin
858	1,195		1,174	1,182	1,170		1,132

1. LCM inventory valuation adjustments are excluded from Retail income from operations and Retail margin.
2. Retail fuel margin is defined as the price paid by consumers or direct dealers less the cost of refined products, including transportation, consumer excise taxes and bank card processing fees (where applicable). Retail merchandise margin is defined as the price paid by consumers less the cost of merchandise. We believe these non-GAAP financial measures are useful to investors and analysts to assess our ongoing financial performance because, when reconciled to the most comparable GAAP measures, they provide improved comparability between periods through the exclusion of certain items that we believe are not indicative of our core operating performance and that may obscure our underlying business results and trends. These measures should not be considered a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP, and our calculations thereof may not be comparable to similarly titled measures reported by other companies.

33

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