Phillips 66 posts loss on $3 B writedowns in refining
Refiner Phillips 66 (PSX.N) swung to a quarterly loss on Friday on the back of $3 billion writedowns in its refining and transportation businesses amid a crash in demand for jet fuel and gasoline due to the ongoing COVID-19 pandemic.
Fuel demand has plunged about 30% as countries around the world limit travel to stem the spread of the coronavirus.
Phillips 66 joined rivals Valero Energy (VLO.N), which took a $2 billion inventory writedown on Wednesday, and Marathon Petroleum Corp (MPC.N), that warned of an inventory charge of up to $3.3 billion last week, in taking charges.
The Houston, Texas-based company said losses in its refining segment ballooned to $2.3 billion, primarily on a $1.8 billion goodwill impairment charge.
On an adjusted basis, the company posted a loss of $401 million, compared with $219 million a year earlier, as refining margins fell 1.7% to $7.11 per barrel in the three months to March 31.
The company also took a $1.2 billion impairment charge in its equity investm
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