Company: DK
Filing Date: 2025-02-26
Form Type: 10-K
Source: 0001694426-25-000013
Chunk: 295

Company: Delek US Holdings, Inc.
Filing Date: 2025-02-26
Form: 10-K
Item: Item 15
Chunk 295
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 a strategic decision to abandon certain capital projects included in construction in progress that no longer fit our core objectives. As a result, we recognized a loss of $14.1 million in the year ended December 31, 2024, which is recorded in other operating income, net in the consolidated statements of income. In addition, we recognized impairment charges totaling $9.2 million related to certain pipeline assets because it's no longer probable these assets will be utilized. During the year ended December 31, 2024, we recorded a bonus accrual and equity based compensation for certain employees, including executives, determined to be key to our planned go-forward operations and achievement of certain corporate and strategic milestones provided that they remain through various requisite service periods for a total of $12.3 million of which $8.3 million is recorded in general and administrative expenses and $4.0 million is recorded in operating expenses in the consolidated statements of income.During the year ended December 31, 2023, Delek determined that leased crude oil tanks in Canada were not needed to support the future growth of its business. The exit of these leased crude oil tanks are intended to align with our continued operational and cost optimization efforts. We have the ability and intent to sublease these crude oil tanks for the remainder of the respective lease terms, however, the expected sublease has a lower rate than the head lease, resulting in a right-of-use asset impairment of $23.1 million. We anticipate concluding our restructuring activities by the end of fiscal year 2026. Future cost estimates for these initiatives are continuing to be developed.

F-48 |

The detail of restructuring costs is as follows (in millions):Year Ended December 31, 2024Type of CostsStatement of Income LocationRefiningLogisticsCorporate,Other and EliminationsConsolidatedConsulting fees, severance costs, bonus expense and equity based compensationGeneral and administrative expenses$— $— $13.0 $13.0 Severance costs and bonus expenseOperating expenses0.4 — 4.0 4.4 ImpairmentAsset impairment22.1 — 9.2 31.3 Asset write-offOther operating income, net14.1 — — 14.1 Total$36.6 $— $26.2 $62.8 Year Ended December 31, 2023Type of CostsStatement of Income LocationRefiningLogisticsCorporate,Other and EliminationsCons