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Entered into a letter of intent with Air Products and Chemicals, Inc. (NYSE: APD) to monetize five hydrogen plants for cash proceeds of $530 million, with a targeted transaction close in April. PBF will enter into off-take arrangements for hydrogen on terms in line with similar arrangements in place throughout its refining system;
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Reducing Capital Expenditures by $240 million, a 35% reduction to our previous 2020 guidance, including the Martinez refinery, and a more than 45% reduction of our projected spend for the remainder of 2020. We intend to satisfy all required safety, environmental and regulatory capital commitments;
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Lowering 2020 operating expenses by approximately $125 million, driven by a significant reduction in discretionary activities and third party services;
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Reducing corporate overhead expenses by over $20 million on an annual basis primarily through salary reductions. Specifically, the Board and Executive Leadership have reduced their compensation by 50%, while Chairman and CEO Thomas Nimbley’s salary has been reduced by 67%. In addition, more than 50% of our corporate and non-represented employees have also reduced their salaries; and
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Suspending PBF’s quarterly dividend of $0.30 per share, anticipated to preserve approximately $35 million of cash each quarter to support the balance sheet.