Carolyn L. Green

The past year for Sunoco, like most of our economy, has been one of great change. This report is no different. The first change is that this is Sunoco’s first Corporate Responsibility Report. Although the title may have changed, the contents will be familiar, reflecting the evolution of our report over the past several years. Our key issues remain the same: corporate governance; health, environment and safety performance; energy use/climate change; product stewardship; security and business continuity workforce preparedness; and community engagement.

Secondly, we are no longer producing a separate, stand-alone summary document. Rather, our entire report is available online. For those of you who want something you can hold in your hands, our Executive Summary, Highlights and Company-wide Performance summary data are available in PDF format. Our report still focuses on detailed data for those who want to understand our performance better or who may be interested in a specific facility or business unit. And in response to requests from our stakeholders, we have provided access to other documents of interest, such as our EEO-1 Report, Political Action Committee contribution reports, and our Climate Disclosure Project survey response.

Several organizational changes at Sunoco will affect our future performance and are discussed in the report. First, John G. Drosdick retired from his duties as President and CEO in August and from his position as Chairman of Sunoco’s Board of Directors at the end of the year. His replacement was Lynn Laverty Elsenhans, a refining industry veteran from Shell. This report chronicles our progress in implementing the multi-year Business Improvement Initiative that Lynn instituted to build on the successes that Sunoco achieved under Jack’s leadership and to move us to top quartile performance and cost structure.

Finally, 2008 was the last year for Sunoco’s HES Modifier. Instituted in 2001, the modifier added as much as 10% to or subtracted up to 10% from each employee’s success sharing (bonus) payment, based on performance related to safety and environmental performance targets. In 2009 and subsequent years these targets, as well as additional process safety indicators, will be integrated into the overall success sharing calculation.

We also are tracking many more performance indicators, including leading indicators, to ensure that we meet our aggressive performance goals. We look forward to sharing our progress with you.

Carolyn L. Green
Vice President, HES Regulatory Affairs