Reported net income attributable to Valero stockholders of $463 million, or $1.13 per share.
Reported adjusted net income attributable to Valero stockholders of $500 million, or $1.22 per share.
Returned $400 million in cash to stockholders through dividends.
Redeemed the total outstanding balance of $575 million Floating Rate Senior Notes due in 2023.
Completed the Diamond Green Diesel expansion project (DGD 2).
Completed and started up the new Pembroke Cogeneration Unit.

Valero Energy Corporation (NYSE:VLO, "Valero"))) today reported net income attributable to Valero stockholders of $463 million, or $1.13 per share, for the third quarter of 2021, compared to a net loss of $464 million, or $1.14 per share, for the third quarter of 2020. Excluding the adjustments shown in the accompanying earnings release tables, third quarter 2021 adjusted net income attributable to Valero stockholders was $500 million, or $1.22 per share, compared to an adjusted net loss attributable to Valero stockholders of $472 million, or $1.16 per share, for the third quarter of 2020.

Refining

The refining segment reported $835 million of operating income for the third quarter of 2021, compared to a $629 million operating loss for the third quarter of 2020. Third quarter 2021 adjusted operating income was $853 million, compared to an adjusted operating loss of $575 million for the third quarter of 2020. Refinery throughput volumes averaged 2.9 million barrels per day in the third quarter of 2021, which was 338 thousand barrels per day higher than the third quarter of 2020.

"We saw significant improvement in refining margins in the third quarter as economic activity and mobility continued to recover in key markets," said Joe Gorder, Valero Chairman and Chief Executive Officer. "The continued improvement in earnings of our refining business, coupled with the ongoing expansion of our renewables businesses, should strengthen our competitive advantage and drive long-term shareholder returns."

Renewable Diesel

The renewable diesel segment, which consists of the Diamond Green Diesel (DGD) joint venture, reported $108 million of operating income for the third quarter of 2021, compared to $184 million for the third quarter of 2020. Renewable diesel sales volumes averaged 671 thousand gallons per day in the third quarter of 2021, which was 199 thousand gallons per day lower than the third quarter of 2020. The lower operating income and sales volumes in the third quarter of 2021 are primarily attributed to plant downtime due to Hurricane Ida.

Ethanol

The ethanol segment reported a $44 million operating loss for the third quarter of 2021, compared to $22 million of operating income for the third quarter of 2020. Excluding the adjustments shown in the accompanying earnings release tables, third quarter 2021 adjusted operating income was $4 million, compared to $36 million for the third quarter of 2020. Ethanol production volumes averaged 3.6 million gallons per day in the third quarter of 2021, which was 175 thousand gallons per day lower than the third quarter of 2020.

Corporate and Other

General and administrative expenses were $195 million in the third quarter of 2021, compared to $186 million in the third quarter of 2020. The effective tax rate for the third quarter of 2021 was 11 percent, which reflects the benefit from the portion of DGD's net income that is not taxable to Valero.

Investing and Financing Activities

Net cash provided by operating activities was $1.4 billion in the third quarter of 2021. Included in this amount was a $379 million favorable impact from working capital and $59 million associated with our joint venture partner's share of DGD's net cash provided by operating activities, excluding changes in DGD's working capital. Excluding these items, adjusted net cash provided by operating activities was $1.0 billion.

Capital investments totaled $585 million in the third quarter of 2021, of which $191 million was for sustaining the business, including costs for turnarounds, catalysts and regulatory compliance. Excluding capital investments attributable to our partner's 50 percent share of DGD and those related to other variable interest entities, capital investments attributable to Valero were $392 million.

Valero returned $400 million to stockholders through dividends for a payout ratio of 40 percent of adjusted net cash provided by operating activities in the third quarter of 2021.

Valero continues to target a long-term total payout ratio between 40 and 50 percent of adjusted net cash provided by operating activities. Valero defines total payout ratio as the sum of dividends and stock buybacks divided by net cash provided by operating activities adjusted for changes in working capital and DGD's net cash provided by operating activities, excluding changes in its working capital, attributable to our joint venture partner's ownership interest in DGD.

Valero redeemed the entire outstanding principal amount of its $575 million Floating Rate Senior Notes due in 2023 at par value, plus accrued and unpaid interest on September 27, 2021.

Liquidity and Financial Position

Valero ended the third quarter of 2021 with $14.2 billion of total debt and finance lease obligations and $3.5 billion of cash and cash equivalents. The debt to capitalization ratio, net of cash and cash equivalents, was 37 percent as of September 30, 2021.

Strategic Update

The Diamond Green Diesel expansion project at Valero's St. Charles refinery (DGD 2), which increases renewable diesel production capacity by 400 million gallons per year, was completed in the third quarter and is in the process of starting up.

"We are excited to report that the Diamond Green Diesel expansion project at Valero's St. Charles refinery was successfully completed on-budget and ahead of schedule," said Gorder. "This is a testament to the strength of our engineering and operations teams, who got this accomplished despite Hurricane Ida related challenges."

The new DGD plant at Valero's Port Arthur refinery (DGD 3), which is expected to have a renewable diesel production capacity of 470 million gallons per year, is progressing well and is still expected to commence operations in the first half of 2023, increasing DGD's total annual production capacity to approximately 1.2 billion gallons of renewable diesel and 50 million gallons of renewable naphtha.

The large-scale carbon sequestration project with BlackRock and Navigator is also progressing on schedule. Navigator has received the necessary board approvals to proceed with the carbon capture pipeline system as a result of a successful binding open season. Valero is expected to be the anchor shipper with eight of Valero's ethanol plants connected to this system, producing a lower carbon intensity ethanol product to be marketed in low-carbon fuel markets that is expected to result in a higher product margin.

Refinery optimization projects that are expected to reduce cost and improve margin capture are progressing on schedule. The Pembroke Cogeneration Unit, which is expected to provide an efficient and reliable source of electricity and steam, was completed and commissioned in the third quarter of 2021. The Port Arthur Coker project, which is expected to increase the refinery's utilization rate and improve turnaround efficiency, is still expected to be completed in 2023.

Capital investments attributable to Valero are forecasted to be $2.0 billion in 2021, of which approximately 60 percent is for sustaining the business and approximately 40 percent is for growth projects. Over 60 percent of Valero's 2021 growth capital is allocated to expanding the renewable diesel business.

Conference Call

Valero's senior management will hold a conference call at 10 a.m. ET today to discuss this earnings release and to provide an update on operations and strategy.

About Valero

Valero Energy Corporation, through its subsidiaries (collectively, "Valero"), is an international manufacturer and marketer of transportation fuels and petrochemical products. Valero is a Fortune 500 company based in San Antonio, Texas, and owns 15 petroleum refineries with a combined throughput capacity of approximately 3.2 million barrels per day and 12 ethanol plants with a combined production capacity of approximately 1.6 billion gallons per year. The petroleum refineries are located in the United States (U.S.), Canada and the United Kingdom (U.K.), and the ethanol plants are located in the Mid-Continent region of the U.S. Valero is also a joint venture partner in Diamond Green Diesel, which owns and operates a renewable diesel plant in Norco, Louisiana. Diamond Green Diesel owns North America's largest biomass-based diesel plant. Valero sells its products in the wholesale rack or bulk markets in the U.S., Canada, the U.K., Ireland and Latin America. Approximately 7,000 outlets carry Valero's brand names. Please visit www.investorvalero.com for more information.

Valero Contacts

Investors:

Homer Bhullar, Vice President – Investor Relations and Finance, 210-345-1982

Eric Herbort, Senior Manager – Investor Relations, 210-345-3331

Gautam Srivastava, Senior Manager – Investor Relations, 210-345-3992

Media:

Lillian Riojas, Executive Director – Media Relations and Communications, 210-345-5002

Safe-Harbor Statement

Statements contained in this release and the accompanying tables that state the company's or management's expectations or predictions of the future are forward-looking statements intended to be covered by the safe harbor provisions of the Securities Act of 1933 and the Securities Exchange Act of 1934. The words "believe," "expect," "should," "estimates," "intend," "target," "will," "plans," "forecast," and other similar expressions identify forward-looking statements. Forward-looking statements in this release and the accompanying tables include those relating to our greenhouse gas emissions targets, expected timing of completion and performance of projects, future market and industry conditions, future operating and financial performance and management of future risks. It is important to note that actual results could differ materially from those projected in such forward-looking statements based on numerous factors, including those outside of the company's control, such as legislative or political changes or developments, market dynamics, cyberattacks, weather events, and other matters affecting our operations or the demand for our products. These factors also include, but are not limited to, the uncertainties that remain with respect to the COVID-19 pandemic, variants of the virus, governmental and societal responses thereto, including requirements and mandates with respect to vaccines, vaccine distribution and administration levels, and the adverse effects the foregoing may have on our business or economic conditions generally. For more information concerning these and other factors that could cause actual results to differ from those expressed or forecasted, see Valero's annual report on Form 10-K, quarterly reports on Form 10-Q, and other reports filed with the Securities and Exchange Commission and available on Valero's website at www.valero.com.

Use of Non-GAAP Financial Information

This earnings release and the accompanying earnings release tables include references to financial measures that are not defined under U.S. generally accepted accounting principles (GAAP). These non-GAAP measures include adjusted net income (loss) attributable to Valero stockholders, adjusted earnings (loss) per common share – assuming dilution, refining margin, renewable diesel margin, ethanol margin, adjusted refining operating income (loss), adjusted renewable diesel operating income, adjusted ethanol operating income (loss), adjusted net cash provided by (used in) operating activities, and capital investments attributable to Valero. These non-GAAP financial measures have been included to help facilitate the comparison of operating results between periods. See the accompanying earnings release tables for a reconciliation of non-GAAP measures to their most directly comparable U.S. GAAP measures. Note (h) to the earnings release tables provides reasons for the use of these non-GAAP financial measures.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES FINANCIAL HIGHLIGHTS (millions of dollars, except per share amounts) (unaudited)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
Statement of income data
Revenues	$	29,520		$	15,809		$	78,074		$	48,308
Cost of sales:
Cost of materials and other (a) (b)	26,624			14,801			70,865			43,832
Lower of cost or market (LCM) inventory valuation adjustment (c)	—			(313		)	—			(19		)
Operating expenses (excluding depreciation and amortization expense reflected below) (a)	1,348			1,117			4,218			3,268
Depreciation and amortization expense (d)	630			602			1,772			1,737
Total cost of sales	28,602			16,207			76,855			48,818
Other operating expenses	19			25			69			30
General and administrative expenses (excluding depreciation and amortization expense reflected below)	195			186			579			532
Depreciation and amortization expense	11			12			35			37
Operating income (loss)	693			(621		)	536			(1,109		)
Other income, net (e)	32			48			179			107
Interest and debt expense, net of capitalized interest	(152		)	(143		)	(451		)	(410		)
Income (loss) before income tax expense (benefit)	573			(716		)	264			(1,412		)
Income tax expense (benefit) (f)	65			(337		)	86			(614		)
Net income (loss)	508			(379		)	178			(798		)
Less: Net income attributable to noncontrolling interests	45			85			257			264
Net income (loss) attributable to Valero Energy Corporation stockholders	$	463		$	(464	)	$	(79	)	$	(1,062	)

Earnings (loss) per common share	$	1.13		$	(1.14	)	$	(0.20	)	$	(2.62	)
Weighted-average common shares outstanding (in millions)	407			407			407			407

Earnings (loss) per common share – assuming dilution	$	1.13		$	(1.14	)	$	(0.20	)	$	(2.62	)
Weighted-average common shares outstanding – assuming dilution (in millions) (g)	408			407			407			407


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES FINANCIAL HIGHLIGHTS BY SEGMENT (millions of dollars) (unaudited)

	Refining			Renewable Diesel		Ethanol			Corporate and Eliminations			Total
Three months ended September 30, 2021
Revenues:
Revenues from external customers	$	27,989		$	342	$	1,189		$	—		$	29,520
Intersegment revenues	3			60		115			(178		)	—
Total revenues	27,992			402		1,304			(178		)	29,520
Cost of sales:
Cost of materials and other	25,395			256		1,150			(177		)	26,624
Operating expenses (excluding depreciation and amortization expense reflected below)	1,195			26		128			(1		)	1,348
Depreciation and amortization expense (d)	549			11		70			—			630
Total cost of sales	27,139			293		1,348			(178		)	28,602
Other operating expenses	18			1		—			—			19
General and administrative expenses (excluding depreciation and amortization expense reflected below)	—			—		—			195			195
Depreciation and amortization expense	—			—		—			11			11
Operating income (loss) by segment	$	835		$	108	$	(44	)	$	(206	)	$	693

Three months ended September 30, 2020
Revenues:
Revenues from external customers	$	14,727		$	305	$	777		$	—		$	15,809
Intersegment revenues	2			40		58			(100		)	—
Total revenues	14,729			345		835			(100		)	15,809
Cost of sales:
Cost of materials and other (b)	14,103			128		670			(100		)	14,801
LCM inventory valuation adjustment (c)	(296		)	—		(17		)	—			(313		)
Operating expenses (excluding depreciation and amortization expense reflected below)	989			23		105			—			1,117
Depreciation and amortization expense (d)	538			10		54			—			602
Total cost of sales	15,334			161		812			(100		)	16,207
Other operating expenses	24			—		1			—			25
General and administrative expenses (excluding depreciation and amortization expense reflected below)	—			—		—			186			186
Depreciation and amortization expense	—			—		—			12			12
Operating income (loss) by segment	$	(629	)	$	184	$	22		$	(198	)	$	(621	)


See Operating Highlights by Segment. See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES FINANCIAL HIGHLIGHTS BY SEGMENT (millions of dollars) (unaudited)

	Refining			Renewable Diesel		Ethanol			Corporate and Eiminations			Total
Nine months ended September 30, 2021
Revenues:
Revenues from external customers	$	73,426		$	1,190	$	3,458		$	—		$	78,074
Intersegment revenues	7			215		259			(481		)	—
Total revenues	73,433			1,405		3,717			(481		)	78,074
Cost of sales:
Cost of materials and other (a)	67,417			724		3,204			(480		)	70,865
Operating expenses (excluding depreciation and amortization expense reflected below) (a)	3,730			86		403			(1		)	4,218
Depreciation and amortization expense (d)	1,626			35		111			—			1,772
Total cost of sales	72,773			845		3,718			(481		)	76,855
Other operating expenses	68			1		—			—			69
General and administrative expenses (excluding depreciation and amortization expense reflected below)	—			—		—			579			579
Depreciation and amortization expense	—			—		—			35			35
Operating income (loss) by segment	$	592		$	559	$	(1	)	$	(614	)	$	536

Nine months ended September 30, 2020
Revenues:
Revenues from external customers	$	45,327		$	850	$	2,131		$	—		$	48,308
Intersegment revenues	6			150		160			(316		)	—
Total revenues	45,333			1,000		2,291			(316		)	48,308
Cost of sales:
Cost of materials and other (b)	41,769			393		1,984			(314		)	43,832
LCM inventory valuation adjustment (c)	(19		)	—		—			—			(19		)
Operating expenses (excluding depreciation and amortization expense reflected below)	2,912			63		293			—			3,268
Depreciation and amortization expense (d)	1,607			33		97			—			1,737
Total cost of sales	46,269			489		2,374			(314		)	48,818
Other operating expenses	29			—		1			—			30
General and administrative expenses (excluding depreciation and amortization expense reflected below)	—			—		—			532			532
Depreciation and amortization expense	—			—		—			37			37
Operating income (loss) by segment	$	(965	)	$	511	$	(84	)	$	(571	)	$	(1,109	)


See Operating Highlights by Segment. See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES RECONCILIATION OF NON-GAAP MEASURES TO MOST COMPARABLE AMOUNTS REPORTED UNDER U.S. GAAP (h) (millions of dollars, except per share amounts) (unaudited)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021				2020
Reconciliation of net income (loss) attributable to Valero Energy Corporation stockholders to adjusted net income (loss) attributable to Valero Energy Corporation stockholders
Net income (loss) attributable to Valero Energy Corporation stockholders	$	463		$	(464	)		$	(79	)	$	(1,062	)
Adjustments:
Gain on sale of MVP interest (e)	—				—				(62	)		—
Income tax expense related to gain on sale of MVP interest	—				—				14			—
Gain on sale of MVP interest, net of taxes	—				—				(48	)		—
Diamond Pipeline asset impairment (e)	—				—				24			—
Income tax benefit related to Diamond Pipeline asset impairment	—				—				(5	)		—
Diamond Pipeline asset impairment, net of taxes	—				—				19			—
Changes in estimated useful lives (d)	48				30				48			30
Income tax benefit related to the changes in estimated useful lives	(11		)		(6	)			(11	)		(6	)
Changes in estimated useful lives, net of taxes	37				24				37			24
Income tax expense related to changes in statutory tax rates (f)	—				—				64			—
Last-in, first-out (LIFO) liquidation adjustment (b)	—				326				—			326
Income tax benefit related to the LIFO liquidation adjustment	—				(108	)			—			(108	)
LIFO liquidation adjustment, net of taxes	—				218				—			218
LCM inventory valuation adjustment (c)	—				(313	)			—			(19	)
Income tax expense related to the LCM inventory valuation adjustment	—				63				—			3
LCM inventory valuation adjustment, net of taxes	—				(250	)			—			(16	)
Total adjustments	37				(8	)			72			226
Adjusted net income (loss) attributable to Valero Energy Corporation stockholders	$	500		$	(472	)		$	(7	)	$	(836	)

Reconciliation of earnings (loss) per common share – assuming dilution to adjusted earnings (loss) per common share – assuming dilution
Earnings (loss) per common share – assuming dilution (g)	$	1.13		$	(1.14	)		$	(0.20	)	$	(2.62	)
Adjustments:
Gain on sale of MVP interest (e)	—				—				(0.12	)		—
Diamond Pipeline asset impairment (e)	—				—				0.04			—
Changes in estimated useful lives (d)	0.09				0.06				0.09			0.06
Income tax expense related to changes in statutory tax rates (f)	—				—				0.16			—
LIFO liquidation adjustment (b)	—				0.53				—			0.53
LCM inventory valuation adjustment (c)	—				(0.61	)			—			(0.04	)

Total adjustments	0.09				(0.02	)			0.17			0.55
Adjusted earnings (loss) per common share – assuming dilution (g)	$	1.22		$	(1.16	)		$	(0.03	)	$	(2.07	)


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES RECONCILIATION OF NON-GAAP MEASURES TO MOST COMPARABLE AMOUNTS REPORTED UNDER U.S. GAAP (h) (millions of dollars) (unaudited)

	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021		2020
Reconciliation of operating income (loss) by segment to segment margin, and reconciliation of operating income (loss) by segment to adjusted operating income (loss) by segment
Refining segment
Refining operating income (loss)	$	835	$	(629	)	$	592	$	(965	)
Adjustments:
LIFO liquidation adjustment (b)	—		326			—		326
LCM inventory valuation adjustment (c)	—		(296		)	—		(19		)
Operating expenses (excluding depreciation and amortization expense reflected below) (a)	1,195		989			3,730		2,912
Depreciation and amortization expense	549		538			1,626		1,607
Other operating expenses	18		24			68		29
Refining margin	$	2,597	$	952		$	6,016	$	3,890

Refining operating income (loss)	$	835	$	(629	)	$	592	$	(965	)
Adjustments:
LIFO liquidation adjustment (b)	—		326			—		326
LCM inventory valuation adjustment (c)	—		(296		)	—		(19		)
Other operating expenses	18		24			68		29
Adjusted refining operating income (loss)	$	853	$	(575	)	$	660	$	(629	)

Renewable diesel segment
Renewable diesel operating income	$	108	$	184		$	559	$	511
Adjustments:
Operating expenses (excluding depreciation and amortization expense reflected below)	26		23			86		63
Depreciation and amortization expense	11		10			35		33
Other operating expenses	1		—			1		—
Renewable diesel margin	$	146	$	217		$	681	$	607

Renewable diesel operating income	$	108	$	184		$	559	$	511
Adjustment: Other operating expenses	1		—			1		—
Adjusted renewable diesel operating income	$	109	$	184		$	560	$	511


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES RECONCILIATION OF NON-GAAP MEASURES TO MOST COMPARABLE AMOUNTS REPORTED UNDER U.S. GAAP (h) (millions of dollars) (unaudited)

	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
Reconciliation of operating income (loss) by segment to segment margin, and reconciliation of operating income (loss) by segment to adjusted operating income (loss) by segment (continued)
Ethanol segment
Ethanol operating income (loss)	$	(44	)	$	22		$	(1	)	$	(84	)
Adjustments:
LCM inventory valuation adjustment (c)	—			(17		)	—			—
Operating expenses (excluding depreciation and amortization expense reflected below) (a)	128			105			403			293
Depreciation and amortization expense (d)	70			54			111			97
Other operating expenses	—			1			—			1
Ethanol margin	$	154		$	165		$	513		$	307

Ethanol operating income (loss)	$	(44	)	$	22		$	(1	)	$	(84	)
Adjustments:
Changes in estimated useful lives (d)	48			30			48			30
LCM inventory valuation adjustment (c)	—			(17		)	—			—
Other operating expenses	—			1			—			1
Adjusted ethanol operating income (loss)	$	4		$	36		$	47		$	(53	)


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES RECONCILIATION OF NON-GAAP MEASURES TO MOST COMPARABLE AMOUNTS REPORTED UNDER U.S. GAAP (h) (millions of dollars) (unaudited)

	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021			2020
Reconciliation of refining segment operating income (loss) to refining margin (by region), and reconciliation of refining segment operating income (loss) to adjusted refining segment operating income (loss) (by region) (i)
U.S. Gulf Coast region
Refining operating income (loss)	$	341	$	(653	)	$	(8	)	$	(703	)
Adjustments:
LIFO liquidation adjustment (b)	—		200			—			200
LCM inventory valuation adjustment (c)	—		(4		)	—			—
Operating expenses (excluding depreciation and amortization expense reflected below) (a)	674		556			2,279			1,649
Depreciation and amortization expense	332		329			998			990
Other operating expenses	17		18			58			20
Refining margin	$	1,364	$	446		$	3,327		$	2,156

Refining operating income (loss)	$	341	$	(653	)	$	(8	)	$	(703	)
Adjustments:
LIFO liquidation adjustment (b)	—		200			—			200
LCM inventory valuation adjustment (c)	—		(4		)	—			—
Other operating expenses	17		18			58			20
Adjusted refining operating income (loss)	$	358	$	(439	)	$	50		$	(483	)

U.S. Mid-Continent region
Refining operating income (loss)	$	209	$	(140	)	$	322		$	(67	)
Adjustments:
LIFO liquidation adjustment (b)	—		58			—			58
Operating expenses (excluding depreciation and amortization expense reflected below) (a)	174		153			523			465
Depreciation and amortization expense	84		84			253			250
Other operating expenses	1		—			10			—
Refining margin	$	468	$	155		$	1,108		$	706

Refining operating income (loss)	$	209	$	(140	)	$	322		$	(67	)
Adjustments:
LIFO liquidation adjustment (b)	—		58			—			58
Other operating expenses	1		—			10			—
Adjusted refining operating income (loss)	$	210	$	(82	)	$	332		$	(9	)


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES RECONCILIATION OF NON-GAAP MEASURES TO MOST COMPARABLE AMOUNTS REPORTED UNDER U.S. GAAP (h) (millions of dollars) (unaudited)

	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021			2020
Reconciliation of refining segment operating income (loss) to refining margin (by region), and reconciliation of refining segment operating income (loss) to adjusted refining segment operating income (loss) (by region) (i) (continued)
North Atlantic region
Refining operating income	$	237	$	201		$	293		$	84
Adjustments:
LIFO liquidation adjustment (b)	—		33			—			33
LCM inventory valuation adjustment (c)	—		(236		)	—			(19		)
Operating expenses (excluding depreciation and amortization expense reflected below)	186		130			476			383
Depreciation and amortization expense	67		53			179			158
Other operating expenses	—		5			—			8
Refining margin	$	490	$	186		$	948		$	647

Refining operating income	$	237	$	201		$	293		$	84
Adjustments:
LIFO liquidation adjustment (b)	—		33			—			33
LCM inventory valuation adjustment (c)	—		(236		)	—			(19		)
Other operating expenses	—		5			—			8
Adjusted refining operating income	$	237	$	3		$	293		$	106

U.S. West Coast region
Refining operating income (loss)	$	48	$	(37	)	$	(15	)	$	(279	)
Adjustments:
LIFO liquidation adjustment (b)	—		35			—			35
LCM inventory valuation adjustment (c)	—		(56		)	—			—
Operating expenses (excluding depreciation and amortization expense reflected below)	161		150			452			415
Depreciation and amortization expense	66		72			196			209
Other operating expenses	—		1			—			1
Refining margin	$	275	$	165		$	633		$	381

Refining operating income (loss)	$	48	$	(37	)	$	(15	)	$	(279	)
Adjustments:
LIFO liquidation adjustment (b)	—		35			—			35
LCM inventory valuation adjustment (c)	—		(56		)	—			—
Other operating expenses	—		1			—			1
Adjusted refining operating income (loss)	$	48	$	(57	)	$	(15	)	$	(243	)


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES REFINING SEGMENT OPERATING HIGHLIGHTS (millions of dollars, except per barrel amounts) (unaudited)

	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021		2020
Throughput volumes (thousand barrels per day)
Feedstocks:
Heavy sour crude oil	301		318			338		352
Medium/light sour crude oil	249		346			295		357
Sweet crude oil	1,601		1,252			1,390		1,240
Residuals	275		219			239		208
Other feedstocks	125		108			118		92
Total feedstocks	2,551		2,243			2,380		2,249
Blendstocks and other	313		283			325		308
Total throughput volumes	2,864		2,526			2,705		2,557

Yields (thousand barrels per day)
Gasolines and blendstocks	1,451		1,273			1,359		1,217
Distillates	1,055		914			995		931
Other products (j)	390		360			381		424
Total yields	2,896		2,547			2,735		2,572

Operating statistics (a) (h) (k)
Refining margin	$	2,597	$	952		$	6,016	$	3,890
Adjusted refining operating income (loss)	$	853	$	(575	)	$	660	$	(629	)
Throughput volumes (thousand barrels per day)	2,864		2,526			2,705		2,557

Refining margin per barrel of throughput	$	9.85	$	4.10		$	8.15	$	5.55
Less:
Operating expenses (excluding depreciation and amortization expense reflected below) per barrel of throughput	4.53		4.26			5.05		4.16
Depreciation and amortization expense per barrel of throughput	2.08		2.32			2.21		2.29
Adjusted refining operating income (loss) per barrel of throughput	$	3.24	$	(2.48	)	$	0.89	$	(0.90	)


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES RENEWABLE DIESEL SEGMENT OPERATING HIGHLIGHTS (millions of dollars, except per gallon amounts) (unaudited)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Operating statistics (h) (k)
Renewable diesel margin	$	146	$	217	$	681	$	607
Adjusted renewable diesel operating income	$	109	$	184	$	560	$	511
Sales volumes (thousand gallons per day)	671		870		819		844

Renewable diesel margin per gallon of sales	$	2.37	$	2.72	$	3.05	$	2.63
Less:
Operating expenses (excluding depreciation and amortization expense reflected below) per gallon of sales	0.42		0.29		0.39		0.27
Depreciation and amortization expense per gallon of sales	0.19		0.13		0.16		0.15
Adjusted renewable diesel operating income per gallon of sales	$	1.76	$	2.30	$	2.50	$	2.21


See Notes to Earnings Release Tables.

VALERO ENERGY CORPORATION EARNINGS RELEASE TABLES ETHANOL SEGMENT OPERATING HIGHLIGHTS (millions of dollars, except per gallon amounts) (unaudited)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Operating statistics (a) (h) (k)
Ethanol margin	$	154	$	165	$	513	$	307
Adjusted ethanol operating income (loss)	$	4	$	36	$	47	$	(53	)
Production volumes (thousand gallons per day)	3,625		3,800		3,797		3,408

Ethanol margin per gallon of production	$	0.46	$	0.47	$	0.50	$	0.33
Less:
Operating expenses (excluding depreciation and amortization expense reflected below) per gallon of production	0.38		0.30		0.39		0.31
Depreciation and amortization expense per gallon of production (d)	0.21		0.16

Valero Energy Reports Third Quarter 2021 Results