differences. They represent a fundamentally more valuable customer relationship and a meaningful opportunity to grow repeat traffic, basket attachment, and margin over time. In June, we introduced the 10 Cent Tuesdays, offering enrolled members a few discounts on Tuesdays. Since launch and WorldGuard on Sold on Tuesdays have grown double-digit, demonstrating strong engagement with the loyalty program and its compelling value proposition. We're also leveraging vendor-supported promotion with major vendors and consumer product partners, which delivered a further 6% in customer savings while protecting our merchandise margin. We took action in Q2 to win value-seeking customers, adding more than 100,000 new members, or 5% during the quarter. We will continue working with our supplier partners to help customers save on everyday purchases while driving profitable engagement for our code. This engagement is already showing up in our financials. Enrolled sales grow and enrolled margin both increase 30 basis points in Q2 compared to Q1. With loyalty, our focus is increasingly on the quality of the engagement, active users, repeat visits, incremental basket attachments, gross profit contribution, vendor funding, and measurable return on promotional spend. Behind loyalty, we continue to invest in initiatives designed to modernize our retail offerings, improve customers' experience, and strengthen long-term store economics. During the quarter, we completed two remodels with 12 additional projects currently in progress, and we expect a total of approximately 25 remodels in 2026. Because stores generally stay open during construction, Temporary closure of portion of the sales floor creates a modest headwind to comparable same-store merchandise sales. Completed remodels generated double-digit merchandise sales and gallon grow versus the pre-remodel period, reinforcing our confidence that targeted capital investment can unlock higher productivity from the existing store base. We also opened one new-to-industry retail store during the quarter. Our remodeled and new-to-industry retail location incorporates our fast-grave foods and beverages offering, updated layout, and new technology and operating processes designed to improve store productivity. We are encouraged by the results we are seeing from the NTI open so far. While several are still in ramp-up stage, we're seeing returns approaching 20%, which give us confidence as we look to accelerate the program in a disciplined way. To support the continued growth and modernization of the company's store and fueling footprint, we recently added to our real estate development team an accomplished vice president of real estate development with 30 years of industry experience. Our extensive track record in new store development, capital deployment, and strategic growth will support the execution of the company's remodel, new-to-industry store, and new Cardlock initiative. As planned, we continue to expand what is one of the largest Cardlock platforms in the country. We have identified 20 new Cardlock locations for opening in 2026, have opened three new locations thus far, and have the remaining 17 in various stages of development. We expect to continue adding to this segment because we like the low capital investment, attractive mid-20 expected return per location, and recurring cash flow characteristics of this model. We now offer an announced food service offering in approximately 140 of our stores and expect to expand that to additional locations this year. We remain deliberate in our pace of expansion, prioritizing the regions and store best position to maximize margin while incorporating learning along the way. Dealerization remains an important lever in our cost transformation. During the second quarter, we converted 21 additional retail stores to dealer locations, bringing our total to 471 conversions since the program began in the middle of 2024. We also have approximately 70 additional stores committed under letter of intent, under contract or already converted since quarter end. Each conversion moves us further towards a lower cost, more capital efficient operating model with stronger cash flow characteristics. While the fate of conversion moderated this quarter, our expectation for the program remained unchanged. Stepping back, I want to reiterate again, we ended the first half of the year in a solid position. We've adjusted EBITDA up 14% to last year. Our execution through the first half gave us conviction in our full-year outlook. With that, I will turn the call over to Gallagher to review our second quarter results in greater detail.

Thank you, Ari, and good morning, everyone. As Ari noted, our second quarter results reflected softening in our retail business in June, while APC and Discipline Fuel Margin Management continued to support overall profitability. A gust of EBITDA was $72 million compared with $76.9 million in the prior year period. Net income was $9.4 million. compared with $20.1 million in the prior year period. As a reminder, last year's second quarter included approximately $21 million non-cash gain related to a sale leaseback. Despite the softer retail demand, we continue to generate healthy cash flow, manage expenses with discipline, and preserve flexibility to invest in our highest return priorities. Looking at our retail segment, Same-store merchandising sales, excluding cigarettes, were slightly down 0.9% the prior year period, while same-store merchandising sales overall were 1.7% below the prior year period. Cigarettes continued to decline as expected, but as Ari mentioned, we also saw consumer pressure impact our sales this quarter. We experienced pressure from lower SNAP-EBT sales as certain states tightened eligibility rules around benefit purchases. While SNAP-EBT accounts for less than 2% of our sales, lower EBT spend in the second quarter reduced same-store sales growth ex-cigarettes by approximately 75 basis points in the quarter, primarily across three states. We continue to focus on offering our customers value through our loyalty program, leveraging Fueling America's Future, 10 cent off Tuesdays, and targeted in-store pricing with key partners, working to win on value while protecting our margins. Merchandising margin in the quarter increased 110 basis points versus Q2 2025 to 34.7%, with same-store merchandising margin also increasing. to 34.7%, an expansion of 40 basis points, compared with 34.3% in the prior year period. This reflected our dealerization efforts, disciplined pricing, favorable product mix, and vendor-supported promotions. On retail fuel, same-store gallons were 5.7% below the prior year period, while same-store fuel cents per gallon margin increased 6.5% to 48.7 cents per gallon from 45.7 cents, and same-store fuel contribution grew to $97.8 million. Turning to expenses, total retail site-level operating expenses were $160 million compared with $176.6 million for the prior year period. Same-store operating expenses were $156.5 million compared with $148.2 million in the prior year period, driven primarily by approximately $3.3 million of higher credit card fees associated with elevated fuel prices, along with slightly higher insurance, personnel costs, and rent. On a consolidated basis, G&A expenses were $43.7 million compared to $40.7 million in the prior year period, primarily driven by increased stock-based compensation and normalized incentive compensation. We continue to manage our personnel expenses closely, reducing regular personnel expenses by $1.3 million versus the prior year period. Turning to our wholesale segment, operating income increased 7.1% to $24.9 million from $23.2 million in the prior year period. Gallons were $241 million compared with $252 million, and fuel margin increased 8.7% to $10.9 per gallon from $10.1 in the prior year period. In our fleet fueling segment, operating income slightly increased 1.6% to $13.3 million from $13.1 million for the prior year period. Fleet fuel in gallons were $36.4 million, broadly unchanged from the $36.3 million in the prior year period. While fuel margin was $0.46.9 per gallon compared with $0.49 in the prior year period. primarily due to higher-than-average fuel margins in the prior year, as well as margin compression during the second quarter of 2026, as index prices declined more quickly than our weighted average inventory cost. Starlight location expansion remains one of our most attractive capital allocation opportunities, given its return profile, capital-efficient operating model, and recurring cash flow characteristics. Our balance sheet remains healthy and provides flexibility to invest in our strategic priorities. During the quarter, we repurchased $38 million of our 5 and 1 8th percent senior notes for $35 million of cash. Following this, we ended the quarter with $246 million of cash and cash equivalents and total liquidity of approximately $1 billion. Subsequent to the quarter end, we increased the size of our GPM credit line with PNC by $74 million, bringing the aggregate capacity across our PNC credit lines to $214 million. This liquidity positions us well to fund high-return organic projects, support APC's growth strategy, evaluate additional senior note repurchases, and pursue other value-creating opportunities. while maintaining a disciplined capital allocation approach. We ended the quarter with $675 million of long-term debt, excluding lease-related financing liabilities, a decrease of $29 million versus Q1. Capital expenditures were $33 million in Q2, compared with $45 million in the prior year period. The majority of our capital spending in Q2 continued to be invested in growth initiatives and our capital allocation framework remains consistent and returns-focused. Our priorities are completing dealerization and capturing the associated cash flow benefits, investing in high-return remodels, retail NTIs, and new card logs, and growing food service. We will also maintain balance sheet flexibility, which allows us to deliver our strategy and execute strategic acquisitions when they meet our discipline return thresholds, such as APC's planned acquisition of the business of USPP. We are focused on deploying capital only where we believe it can improve the durability, cash generation, and long-term value of the business. We are reaffirming our full year 2026 adjusted EBITDA guidance of $245 million to $265 million. Given the current operating environment, we are increasing our outlook for full year retail fuel margin to range between 45.5 to 47.5 cents per gallon, with higher margins expected to offset lower retail fuel volumes. Reaffirming guidance in this environment reflects our confidence in the earnings durability of the business and the controllable levers we're executing across retail-operated stores and APC. With that, I'll hand the call back to Ari for closing remarks.

Thank you, Gallagher. We delivered a solid first-off with adjusted EBITDA up 14% to last year. We maintained disciplined margin, continued to execute our transformation plan, and reaffirmed our full-year adjusted EBITDA outlook. Most importantly, the key pillars of our investment story are intact. APC is scaling as a public growth platform. Dealerization is improving the cash flow profile of the business. Loyalty is deepening customer engagement. And our balance sheet gives us flexibility to pursue value-creating opportunities. We're also excited about yesterday's announcement. The planned acquisition of the USPP's business, which we expect will add an annual adjusted EBITDA of approximately $30 million to APC, marks the next phase of growth for both ARCO and for APC. We believe it is a clear demonstration of the value we can create through discipline, a creative M&A as a public company. It adds scale, adds vertical integration, and reinforces why we believe APC can become an increasingly important value driver for our co-shareholders. Our focus remains on execution, capital discipline, and the areas within our control. We believe that through a combination of operational discipline, iReturn Grow Initiative, and our more diversified earning platform, ARCO has continued to convert its large convenience and fuel network into a more resilient, higher cash flow business position to create meaningful long-term value for shareholders. operator please open the line for questions thank you the floor is now open for questions if you would like to ask a question please press star 1 on your telephone keypad at this time a confirmation tone will indicate that your line is in the question queue you may press star 2 if

you would like to remove your question from the queue for participants using speaker equipment it may be necessary to pick up the handset before pressing the star keys again that's star 1 to register a question at this time. Our first question today is coming from Bobby Griffin of Raymond James. Please go ahead.

Good morning, everybody. Thanks for taking the questions and congrats on the deal announcement. I guess first for me, I wanted to understand a little bit more of the EBITDA guide. Is the deal in there? Because when I look at the second half, it implies down EBITDA year over year, but it seems like the fuel margin environment's healthy. You guys have made a little progress inside the stores, and then you have that deal as well. So I'm just trying to understand what the puts and takes are assumed in the adjusted EBITDA guide for ARCO consolidated for the rest of 2026.

Sure. Go ahead. Yeah, thanks, Bobby. This is Gallagher. I'll take that one. When we did the guide, we had plans acquisitions, but we really did not know the size or the timing of the acquisitions. which was part of the reason we had the $20 million range. So based on the timing of close, we do expect some benefits this year, but we feel that's captured in the $20 million guidance. So I think the fundamentals of the business are good, and we feel good about delivering that, and the timing of the close will help us for EBITDA, but it's not going to change our guidance.

Okay, then what's the back half pressure then? Like, you look at forward first half, EBITDA's up year over year, as you guys talked about, and then the back half at the midpoint implied down. You know, what's the moving parts there?

Yeah, it's primarily uncertainty, Bobby. And we've seen fuel volatility. We've seen customer volatility. We're executing our programs. We're doing our part to drive customers into the stores, both for fuel and for merchandising and APC is delivering. We're just very uncertain now going forward. And month to month, it seems to change. So we didn't want to give too much confidence in this uncertain environment other than that we will deliver what we can.

Fair enough. I guess also I wanted to ask on the fleet card segment, the down year-over-year margins, and I'm not as familiar in the weeds of this business versus traditional retail, admittedly, but, like, what was the pressure point, especially in the third-party locations? You know, like, industry margins, it seems from peers, at least at retail, are really good in 2Q. You know, what happened with the third-party locations being down pretty big year-over-year? Got to get everyone to take it, or do you want to take it?

I'll take that one. So what happens in the fleet fueling with the Cardilocks is many of our deals are Opus Plus pricing. So it's a fixed price when we sell the fuel. So in a falling environment, we end up paying more and lose margin in that situation because the price of the customer is fixed in Opus Plus, whereas our purchase price, it could be days or a week before it was higher. So in a falling environment, that pressures those margins.

Okay. And then, Ari, on the deal and adding on the significant amount of gallons, I thought the conversation about some of the other capabilities that are going to be brought to the Arco Enterprise as well as APC, obviously, were interesting. How do you think that helps back into the retail network? Is there synergy opportunities as we look at 27 and 28 from these additional gallons and capabilities of sourcing that could offer some fuel benefits back into your retail ownership?

Well, I think the biggest one, Bobby, is economy of scale. So if you think about that, this is a huge opportunity for us, not only from a gallon standpoint, also from a relationship with the major oil companies. You know, the USPP business brings 280 million gallons. We are currently selling 2 billion gallons. So as you can imagine, you know, efficiency and, you know, better cost of goods when you add another 280 million gallons, which is an extra 14% increase to the current gallons in an environment where everybody is trying to capture gallons, I believe that would be an opportunity for us.

Is there a time of like where you have to – like your fuel contracts come up and they're offering renegotiation at a certain time? Like, you know, I agree with you on the economy as a scale aspect, but I want to get ahead of ourselves on when that could actually play out.

Bobby, we always negotiate fuel supply contracts. This is not just about timing. Every time you grow, you go back. And remember, we have great relationship for many, many years with the fuel suppliers. That's one thing. The second thing is don't forget, we are bringing right now also some throughput opportunities for some of those major oil companies. Given that we have more than 50% available terminal capacity in this market, and we have a lot of business in this market in Great Lakes, that's just another meaningful opportunity for us to announce basically our business. And I just want to remind you that, you know, we keep talking about retail-retail, but, you know, at the end of the day, APC and basically the retail should complement itself. At the end of the day, you know, the better capabilities you actually bring through the business that we are acquiring right now that should provide additional cost of goods, better cost of goods for the overall margin across retail and across, of course, the wholesale business.

Okay. I appreciate the details. I'll jump back in the queue and turn it over to somebody else. Thank you, guys. Thank you, Bobby.

Thank you. The next question is coming from Daniel Guillermo of Capital One. Please go ahead.

Hi, everyone. Thank you for taking my questions. Yet you've talked about the retail store investment with Fast Craves and F&B offering. And the F&B offering, as that's had more time to develop, can you give us a sense of any learnings that you've had there? Are there certain F&B products that are performing better than others? Anything additional would be helpful?

Daniel, that's a good question. And as you can imagine, you know, we started with a menu and we continue to reaffirm our menu. I'll call it, you know, day over day, month over month. I think what you see in the results when we're talking about increasing results, increasing margin to 34.7, it's clearly basically the additional food service offering that we actually add here. There is no question that food service, you know, pushed the margin with all of the additional high margin items over here. So I can't point you to like a specific item, but I can just tell you that we, you know, on a regular basis, we're trying to improve our menu. Don't forget right now with the, you know, with the customer's pressure that we see in the marketplace right now, it's not only the menu, it's also the basically the value. I'll give an example. This morning, loyal members can basically purchase a chicken sandwich plus a Coca-Cola drink and wedges for $5. I don't think you have any kind of offering like this, you know, in the country today. So, I mean, the goal is not only the menu. The goal is also the value creation that we actually bring to customers, especially now when there is so much pressure out there.

Just to add on that, Ari, Daniel, we're still in a very test and learn phase as we roll out food, but one thing we're very happy with is the customer response. We've seen double-digit growth in all those stores, both for merchandising sales and in fuel gallons when we remodel, so we're very happy with that. One thing we continue to work on is the operations. As Ari mentioned, make sure the menu is right, make sure our cost model supports that sales growth that we're seeing. So we will go faster. This year is really about testing and learning from the menu. And right now the customer response is really strong.

Okay, awesome. Yeah, that's all really helpful. I appreciate that color. And then you had mentioned, you know, some retail customer wallets kind of being stretched, volumes down a little bit. And so just you guys are like a national brand now, right? Lots of different states. As kind of we've progressed, are you seeing any kind of softness in particular areas, or is it kind of a broad-based, yeah, just slight softness?

Yeah, I think it's a broad-based. It's a broad-based. It's not one particular area versus the other. But, you know, I think that's, again, that's, you know, our goal, or basically what we are trying to do over here, given our size, is to make sure that we're providing value to our customers. I mean, you know, I mentioned Fueling America, just for your benefit and everybody's benefit, Daniel, is that Fueling America, since we started, provides $4 million saving to our customers. And you know that the number one item that is very expensive and probably, you know, basically puts a lot of pressures on every household is, you know, fuel spending right now. We have over 70 different offerings inside the store that are attached to Fueling America. I mean, you can get up to $2.50 savings, basically, with those offerings. And you can stack that. And you're talking about a $50, basically, discount for purchasing fuel. And those are the things that we need to do. So and in some areas, of course, you know, where, you know, some areas that are more low income, I mean, we probably see people taking more advantage. In addition to that, you know, the 10 cents Tuesday, for example, as we mentioned, since we launched that, you know, we doubled our gallons over there. So we just need to do all of those things in order to help our consumers, you know, to go through this, you know, time that everybody is under pressure. And hopefully when price of fuel will come back to normal, you know, I believe we're going to see the trend, you know, coming back to normal.

Great. Thank you so much. Thank you.

Thank you. The next question is coming from William Reuter of Bank of America. Please go ahead.

Good morning. I just have two. The first, there was a little bit of a deceleration of the deleterization program this quarter. I guess, is there anything that that speaks to? And can you remind us the target of where you ultimately hope to get to in terms of the number of companies operated in our own stores? Sure, sure.

So there is no deceleration. Remember, when we started, we started almost two years ago, in August 2024, when we started, we had a large group of stores that we had to dealerize. It's, you know, up until now, we dealerized 471 stores. So the amount of stores that we have under letter of intent right now, purchase agreement, or in process are a much smaller amount. We're talking about 70 locations right now. So, you know, like I said, when we started with a large amount of stores, you know, it was just a large portion of them that just turned on a quarterly basis. We're, you know, basically getting right now to a smaller amount of stores. We have, like I said, around 70 left. Some of them already closed, you know, during the queue. So it's just a matter of how many stores are out there. We never put a target. But like I said, I think that, you know, right now with those 70 stores, we're going to reach close to a little bit over 500 stores that we're going to dealerize.

Got it. And then the second question for me, I believe this is the first time you've repurchased the 5.8% notes in the open market. I guess, you mentioned in your capital allocation portion of the prepared remarks that this is something you'll continue to evaluate. How are you thinking about those additional repurchases over the next couple quarters versus other uses of capital?

Yeah, I'll take that one. So thank you. And good question, William. We are very return focused in our allocation of capital. You know, there's really two uses. One is growth, which primarily is the new stores, the remodels and the card locks. The other one is opportunistically looking at things like the bonds. And when we're able to get a discount on the bonds, it makes a lot of sense to retire those when we can. So we are working to actively manage our balance sheet to ensure that it just helps drive our growth. And we will continue to look at that. So we'll take advantage of growth opportunities and buy down bonds when we can. But we actually want to maintain enough flexibility to keep our strategy executed.

Yeah. I would like just to jump in, William. And as Gallagher mentioned, we are very, very opportunistic on one end. On the other end, as we basically bought those bonds, we were able to basically to receive an increase in our line of credit from PNC. We just increased that a few days ago. So we just want to make sure that on one end we maintain liquidity, but on the other end we continue to be opportunistic when it comes to our capital and to the return on investment on the things that we're doing over here.

Got it. I guess maybe it's just one quick follow-up on that.

Does it make sense for there to be high-yield bonds in your capital structure going forward, or do you feel like using your line of credit is kind of the way that the company will finance itself in the future? listen when we raised the the bonds uh five years ago uh you know interest rate was close to zero we uh raised the bond at the five uh and one eight percent and you know if you think about it today you can get uh basically you can get those rates today so i think it's very attractive rate and we like it so you know it's part of the capital structure it's been part of the capital structure for the past five years. And, you know, we actually think that this is, you know, this is just something that, you know, very attractive for us from basically from a pricing standpoint.

Got it. Okay. I'll pass to others. Thank you. Thank you.

Thank you. The next question is coming from Karu Martinson of Jefferies. Please go ahead.

Good morning. When you talk about June retail demand softening. As gas prices have come down, have you seen that rebound? And kind of how is the consumer handling the kind of the up and down that we've been seeing on gas prices?

Sure. So, you know, this is a very, very volatile year. Very, very volatile year. You know, we saw – I'm going back to January just to remind everybody. January was a very, very good month from an inside sales standpoint and gallons. Then everybody got hit with the weather during February, and then the war started. And we start to see some pressure probably in April going into May. June was probably the softest month since everything started. But we start to see some bounce back in July. Okay. But who knows where price of fuel is going next week. But at least as we see price of fueling easing a little bit at the end of basically the quarter, we start to see some relief at the beginning or at the month of July so far. But again, it's too early to tell who knows where price of fuel will be tomorrow. The one thing I can tell you, when price of fuel goes above $4, the consumer gets more pressure. And that's why Fueling America and all of those promos with Tencent Tuesday, all of those things are so important, you know, basically, you know, for our customers and for us. And you see it. You see it through the margin. I mean, we lost only 0.9% on, you know, sales excluding cigarettes, but we were able to actually capture margin and increase margin by 110 basis points, which explain to you that the consumers are coming more frequently to buy gas. They're coming inside the stores. Our loyal members are taking advantage of those promotions. And at the end of the day, if you think about it, I mean, we actually finished, you know, our gross margin, basically our gross profit on inside sales, you know, was actually flat.

Okay. And then looking at the U.S. Petroleum Partners, just not being familiar as much with the fuel supply and distribution platforms that are out there, I mean, are there other platforms of this scale that you could be looking at? You know, what are the opportunities in that? Or do you feel that you have the scale now necessary?

Sure, sure. So, first of all, it's a very good question. And I know I say a lot over the call, but I would like maybe to reiterate something and, you know, make it very, very clear. I know I'm very, very excited about this opportunity. This is a very, very important opportunity for APC. That's the first large deal that we're doing after IPO. We've been telling the market about that. And remember, APC become a very, very, very important component of basically of ARCO. So maybe I can just walk you through and walk everybody through maybe the biggest highlight of this deal of S2P. I mean, this deal is, you know, highly complementary to our business model. I mean, not only that we're adding over here fee-based and fixed margin earning, you know, earning to our profile over here. I mean, this business has very low working capital requirement. This business, you know, basically, you know, adds additional 280 million gallons to basically to the ARCO APC business. The business has more than 50% available terminal capacity, which is very, very meaningful, you know, given our relationship with the major oil companies. If you think about that, you know, when we buy fuel, we buy fuel and, you know, we pull the fuel from different terminals. So that's become an opportunity for us to actually bring our APC volumes through our own terminal right now. You know, it's also going to expand APC's participation across the fuel value chain. And it's going to provide, you know, not only basically margin expansion, it's also going to provide some logistic and storage opportunities for the overall, you know, business that we have out here. So again, the bottom line, the bottom line from all of those things that I said, and said a lot is that this deal creates a huge share order actually value over here. It's very accretive to adjust the debita. As I mentioned, you know, we're expecting $30 million on annual adjusted debita increase and that's going to help our discretionary cash flow. It's going to support our dividend capacity and longer basically share order return. It's going to maintain the balance sheet, very, very flexible. And as I mentioned earlier, you know, after this deal is set and done, you know, we're talking about being between three to three and a half times net debt to adjust the EBITDA. So we have plenty of availability to support additional growth. And I think the bottom line, I mean, this deal is going to announce cash flow generation through basically additional fee based earnings streams that will support, you know, basically our shareholders. In terms of opportunities. Just to finish, in terms of opportunities, like I said, this is only the beginning. You know, we have over $700 million of liquidity. We are using $205 million of this liquidity right now in order to increase EBITDA by almost 20%. And that's going to be a big driver for us. And there are plenty of opportunities out there.

Thank you very much.

Appreciate it. thank you thank you our final question today is coming from Ian Zafrino of Oppenheimer please go ahead hi great thank you very much and I appreciate you guys taking my questions um on just and I know you talked about kind of the the consumer environment and what you're doing as it relates to the consumer environment but what does the competitive landscape look like in this environment? And I know you mentioned some of the initiatives you're taking to attract customers, but what are you also kind of doing as far as maybe countering what some of the competitors are doing? Or maybe you could just kind of talk about the competitive environment in general.

So as you know, Ian, Office reported, I believe, last quarter, minus 5.8% or 5.5%, but it's in the high fives. and everybody is actually feeling the pressure. You know, this is a pressure across the country when it's come to fuel. And everybody is basically looking for ways to basically to get gallons. Everybody's struggling. Everybody's trying to get gallons, even though gallons are down dramatically. Fueling America, like I said, I think it's the only promotion in the country. And again, I'm very certain about that. but I don't believe any competitor is providing $2.50 off with 70 different offerings inside the store. Everybody is trying, you know, you asked me about the competitors, everybody is trying to come up with, you know, we came up with 10 cents Tuesday, some other competitors coming up with, you know, 10 cents maybe Monday or Tuesday or Wednesday or whatever, but I think that none of them actually have such a big offering when it's come to basically to fuel. And again, we're just going to continue to tweak it. We're going to continue to be competitive. We're going to continue to come up with food offering and a special value meal basically to ease our consumers. Everybody is trying to do that. I just don't believe anyone in the country is providing up to $2.50 off and up to 20 gallons, which is equal to $50. I don't believe anyone is doing that.

Okay, thanks. And then, you know, as far as APC, how are you just looking at that in general? You know, I know you have still a very large stake. Is this something that you think you'll continue to keep at these levels? Is this something that you might use as a source of funds? Or how do we kind of think about that holding there?

Yeah, so it's a good question. So as Gallagher mentioned earlier, you know, the company is very liquid. If you're looking on ARCO on a consolidated level, we're talking about a billion dollar in liquidity. The cost of capital at APC is very, very attractive. Cost of capital today is around 6.75%. So, you know, our goal is going to continue to basically pursue acquisition very, very similar to this complementary acquisition that we just announced yesterday that I'm very excited about that. If you think about it, we are increasing. We are expecting to increase the EBITDA of APC by around 20%. We are going to increase gallons by approximately 14%. So as long as we can continue to grow and pursue attractive opportunities with our very attractive cost of capital, we're going to continue to do so. There is really no reason for us to, you know, to issue equity or to sell equity at that level and make sure that our current shareholders at APC and at ARCO will enjoy the benefit of what we created and are going to create over here.

All right, great. Thank you very much. Appreciate you taking my questions. Thank you. Thanks, Ian.

Thank you. At this time, I'd like to turn the floor back over to Mr. Cutler for closing comments.

Thank you very much, Donna, and thank you again for joining us today. We hope you enjoy your summer, and we look forward to update you on our progress next quarter. Have a great day, everybody, and a great weekend.

Ladies and gentlemen, this concludes today's event. You may disconnect your lines or lock off the webcast at this time, and enjoy the rest of your day.