Mr. Bob Espey reports

PARKLAND INCREASES 2023 GUIDANCE AND ANNOUNCES INVESTOR DAY; EXPECTS TO DELIVER $2 BILLION ADJUSTED EBITDA AMBITION ONE YEAR EARLY

Parkland Corp.'s strong performance has resulted in higher 2023 adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) guidance of $1.8-billion to $1.85-billion and accelerated the delivery of its $2-billion adjusted EBITDA ambition to 2024, one year earlier than anticipated. Parkland will host an investor day on Nov. 14, 2023, to provide an update on the execution of its strategy, capital allocation framework and financial outlook.

• 2023 adjusted EBITDA guidance increased to $1.8-billion to $1.85-billion, up from $1.7-billion to $1.8-billion;
• 2024 adjusted EBITDA guidance of approximately $2-billion, which is one year earlier than the company's previously stated ambition;
• Investor day to provide update on strategy execution, capital allocation framework and financial outlook.

"At our 2021 investor day, we shared the ambitious goal of doubling our adjusted EBITDA to $2-billion by 2025," said Bob Espey, president and chief executive officer. "By integrating acquired companies, capturing synergies, and driving organic growth and cost-efficiencies, we now expect to accomplish this goal without further acquisitions, one year early."

"We have built a strong platform for continued growth," added Mr. Espey. "The operational improvements we have made are enabling us to reduce leverage, increase cash flow and enhance returns. We look forward to sharing more on our future growth plans and capital allocation priorities at our upcoming investor day."

2023 adjusted EBITDA guidance raised

• Two thousand twenty-three adjusted EBITDA guidance increased to $1,800-million to $1,850-million, up from $1,700-million to $1,800-million, reflecting the successful execution of the company's strategy, favourable crack margins and confidence in the company's operational performance.
• Two thousand twenty-three capital expenditures guidance lowered to $450-million to $500-million (revised 2023 capital expenditures guidance), down from $500-million to $550-million, reflecting cost-effective procurement, prudent capital allocation and the successful completion of the company's scheduled Burnaby refinery turnaround.
• Leverage ratio guidance of approximately three times by the end of 2023, down from 3.4 times at the end of 2022.

2024 adjusted EBITDA guidance of approximately $2-billion

• Two thousand twenty-four adjusted EBITDA Guidance reflects ongoing synergy capture, realization of the company's previously disclosed $100-million MG&A cost-efficiencies, organic growth across the company's retail and commercial lines of business, and optimized supply advantage.
• Cash flow per share guidance of approximately $9.50 in 2024, up from $8.30 in 2022.
• Return on invested capital (ROIC) guidance of more than 11 per cent in 2024, up from 8.3 per cent in 2022.
• Leverage ratio guidance within our target range of two to three times by the end of 2024.

2023 investor day registration is open

Parkland will host its 2023 investor day presentation on Nov. 14, 2023, at 9 a.m. ET (7 a.m. MT) to provide details on the continued execution of the company's strategy, capital allocation framework and the company's financial outlook. The event will be held at the Fairmont Royal York in Toronto, Ont., and simultaneously webcast with video for those unable to attend in person.

About Parkland Corp.

Parkland is an international fuel distributor and retailer with operations in 25 countries. Its purpose is to power journeys and energize communities, and every day, it provides over one million customers with the essential fuels, convenience items and quality foods on which they depend.

With approximately 4,000 retail and commercial locations across Canada, the United States and the Caribbean region, it has developed supply, distribution and trading capabilities to accelerate growth and business performance. In addition to meeting its customers' needs for essential fuels, it provides a range of choices to help them lower their environmental impact. These include carbon and renewable trading, solar power, renewable manufacturing, and ultrafast electric vehicle charging.

Its proven business model is centred around organic growth, its supply advantage, driven by scale and its integrated refinery and supply infrastructure, acquiring prudently and integrating well. Its strategy is focused on developing its existing business in resilient markets, expanding its food, convenience and renewable energy businesses, and helping customers to decarbonize. Its business is underpinned by its people, and its values -- safety, integrity, community and respect -- which are deeply embedded across the organization.

ROIC guidance

This measure is the forward-looking metric of ROIC (return on invested capital) for 2024. 2024 NOPAT (net operating profit after tax) is assumed to grow in proportion to adjusted EBITDA, where Parkland's adjusted EBITDA guidance is $2-billion for 2024. The ROIC guidance of more than 11 per cent assumes invested capital increases at a slower pace than NOPAT through 2024. The ROIC calculated here differs from the absolute ROIC disclosed in the management information circular.

We seek Safe Harbor.