Visibility to Growth and Disciplined Capital Management

Now vs. Then – A Shift In Refining Valuation INDUSTRY/MACRO • • • • - In the Past Range bound industry wide EV/EBITDA multiple +/- 4.5x Peer group fragmented with smaller scale, less efficient refiners U.S. importing products to meet domestic product shortage Stock prices driven by seasonal refining trading cycles • Higher interest rates (10-yr Treasury ~5 percent) VALERO • • Marginal operations (+/- 85% utilization) Third quartile operating performance impacted by M&A integration Disadvantaged East Coast and Caribbean operations Less disciplined M&A and capital project execution Frequent acquisitions Focused on volume growth Approximately $3.5 billion annual capex Volatile cash flow profile and lower stockholder returns 1-2 percent dividend yield ($0.32/share annually) Approximately $5 billion of liquidity > 570 million shares outstanding Volatile stock price INDUSTRY/MACRO - New Paradigm EV/EBITDA multiple expansion and dispersion by company Peer group of larger scale, efficient and complex refiners Tight global product market expected to continue Economic growth and price environment remains favorable for healthy product demand Abundant supply of domestic crude oil and natural gas providing feedstock advantage Lower interest rates (10-yr Treasury ~2 percent) VALERO Premier operations (+/- 95% utilization) First quartile operating performance amid stable, upgraded portfolio (lowest cash operating costs) Advantaged operations and scale Disciplined capital investment and growth strategy Rigorous M&A targeting and screening process 25% after-tax IRR hurdle rate for projects focused on market expansion, margin enhancement and operating cost reduction Approximately $2.5 billion annual capex Distinctive free cash flow and higher stockholder returns Annualized dividend of $3.60/share Approximately $7.5 billion of liquidity as of September 30, 2019 Approximately 411 million shares outstanding as of October 29, 2019 Higher lows and less volatility in stock price with support from dividend and long-only investors 36 Valero

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