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Suburban Propane Partners, L.P. Message Board

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  • rabbitsfootminstrel rabbitsfootminstrel Feb 1, 2008 5:09 PM Flag

    House of pain W/ Suburban Propane

    "How they have been doing it" for the past few years is through operating efficiently and eliminating unprofitable customers. The concept of newcomers breaking into this industry is nothing new. The old industry model, which is still being followed by some of the majors is to continually acquire the little guys to maintain or replace lost volumes. Sooner or later, real organic growth is going to be necessary to remain a winner in this industry. SPH appears to be best positioned among the majors because of their focus on operating more efficiently rather than just following the old model. Their lack of small acquisitions over the past few years tells me that they "get it", which is half the battle. Execution will be the key going forward.

 
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