CST Brands plans 38 new stores

San Antonio – Convenience store operator CST Brands plans to open 38 new stores in North America during fiscal 2014. That includes 30 new stores in the U.S. and eight in Canada.

CST says the new stores will provide a much larger footprint, more product variety and enhanced food service offerings. The company has opened eight new stores in the U.S. and one in Canada so far in 2014. In addition, CST has identified 117 existing stores as good candidates for network optimization, either by selling them to outside parties or to its own wholesale business.

The new store announcement came as part of CST’s financial report for the first quarter of fiscal 2014. The company’s net income fell 52% from $23 million to $11 million, with the expense of becoming a public company a major factor. Revenues dropped 6% from $3.2 billion to $3 billion, driven by declining sales and prices in motor fuels.

“As we celebrate our one year anniversary as a separate company, we are making tremendous strides on the initiatives we outlined following our spin,” said Kim Bowers, chairman and CEO of CST Brands. “We have significantly increased our new store builds, our fuel margin capture continues to improve and our focus on food and overall inside margin is positioning us for a solid year in 2014.”

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