Groceries, big boxes selling cheapest gas

Transcription

Groceries, big boxes selling cheapest gas
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-21-2008 Zone: Late Edition: 1 Page Name: A1.0
Time: 07-20-2008 22:57 User: jmeo1
Color:
Cyan
Black
Yellow
Magenta
L O C A L B1
Strong winds and lightning rattle the area
THE CINCINNATI ENQUIRER
CINCINNATI.COM
LN
MONDAY, JULY 21, 2008
‘DARK KNIGHT’
BREAKS RECORD
Treasury chief: Banks are sound
The Associated Press
One comic-book hero,
Batman, has beaten a
counterpart at the
box office, taking in
$155.34 million during its first weekend
to top the record set
by “Spider-Man 3.”
FOCUS ON PEOPLE A2
‘The Dark Knight’
quiz, poll, photos
and showtimes.
Search: Batman
WASHINGTON – Treasury
Secretary Henry Paulson sought
to reassure an anxious public
Sunday that the banking system
is sound, while bracing people
for more troubled times ahead.
“I think it’s going to be
months that we’re working our
way through this period – clearly
But Paulson sees tough months ahead
months,” he said.
Paulson said the number of
troubled banks will increase as
they struggle to cope with big
losses on bad mortgages. The
government this month took
over IndyMac after a run made it
the largest regulated thrift to fail.
“Of course the list is going to
grow longer given the stresses
we have in the marketplace,
given the housing correction,”
he said. “But again, it’s a safe
banking system, a sound banking system. Our regulators are
on top of it. This is a very man-
ageable situation.”
Paulson appeared on Sunday
talk shows to remind people that
deposits up to $100,000 are fully
insured by the Federal Deposit
Insurance Corp.
“We’re going through a challenging time with our economy.
This is a tough time. The three
big issues we’re facing right now
are, first, the housing correction
which is at the heart of the slowdown; secondly, turmoil of the
capital markets; and thirdly, the
high oil prices, which are going
to prolong the slowdown,” he
said.
See PAULSON, Page A8
Groceries, big boxes
selling cheapest gas
Must reads inside
today’s Enquirer
By Malia Rulon
Enquirer Washington Bureau
A defensive meltdown by
the Reds gave the Mets a
7-5 win in the last of a fourgame series. Dusty Baker
thinks the team could
have done better.
SPORTS C1
Hundreds will
bring their ‘babies’
UC design students need
scuba gear in learning to
build structures for extreme environments.
LOCAL B1
Also …
Etiquette experts give
pointers on how to be
pleasant on the phone –
tips that some of us apparently need.
LIFE D1
Victory Bathing Solutions
in Fort Mitchell sells walkin tubs and steam showers
that especially appeal to older people and the disabled.
BUSINESS A11
WEATHER
High 90°
Low 65°
Strong
storms
COMPLETE FORECAST: B6
INDEX
Four sections, 168th year, No. 103
Advice ............D2 Movies ............D5
Business .......A11 Obituaries .......B2
Comics ...........D4 Region ............B3
Editorial ..........B4 Sports .............C1
Lotteries ..........B6 TV ...................D2
Classified .........................................C8
Copyright, 2008, The Cincinnati Enquirer
Portions of
today’s Enquirer
were printed on
recycled paper
Business, A11
m Economy
changing lifestyles.
Cincinnati.Com
m Money-saving
tips and news.
Search: economy
Lindners, Farmers,
LaRosas give to GOP
Defense let us
down, Dusty says
A sub-specialty:
building in water
Inside,
online
Big names
put money
into local
campaigns
Up Front
How much do owners love
their Porsches? You’ll find
out Saturday in Oxford,
when cars will strut their
stuff.
LOCAL B1
50 CENTS
Photos by Jeff Swinger/The Enquirer
Grocery-store gas stations such as the Western Hills Kroger, or discount retailers Costco or Sam’s Club, generally have the
lowest pump prices, an Enquirer analysis shows. But buying requires a membership or a minimum of other purchases.
By James Pilcher
and Gregory Korte
GAS PRICE
SECRETS
REVEALED
D AY O N E
jpilcher@enquirer.com
and gkorte@enquirer.com
Sam’s Club and Costco customers must pay an annual membership fee of up to $50 to get
the lower prices. Businesses
pay about $100 a year.
Kroger requires customers
to make $100 in purchases in a
month to qualify for discounts
of 10 cents or more a gallon.
The strategy is to sell gas
below market averages to
drive people into the stores,
where they will buy other
products with higher profit
margins. It’s a big advantage
over traditional gas stations,
where profits are razor-thin
on fewer items.
It also appears to be working: Cincinnati-based Kroger
posted record earnings in
April, May and June but only
broke even on gas sales.
The Enquirer will publish
findings of the price analysis all
week. On Sunday, a special report will explain how the gas
market is rapidly changing, affecting prices you pay.
Shopping for the lowestpriced milk? Check gas, too.
Grocery stores and big-box
discount retailers have the lowest gas prices in Greater CincinALL THIS WEEK
nati and Northern Kentucky.
The Enquirer will bring you
An Enquirer analysis of daily findings of an in-depth analysis
sales at 716 gas stations in May of gas prices in Greater Cincinnati
and June found that regular, unand Northern Kentucky.
leaded fuel sold for as much as
COMING TUESDAY
10 cents a gallon less at nonCheapest day to buy gas
traditional outlets than at
brand-name stations.
AVERAGE PRICE BY MAJOR BRAND
Prices were provided by the counties in Kentucky; and
Store (Number surveyed)
Oil
Price Information Service, a Dearborn County in Indiana. In
$3.82
Costco (2)
Wall, N.J.-based oil and gas all, 31,439 price points were an$3.84
Sam’s Club (3)
marketing information firm, alyzed.
Kroger (28)
$3.88 and analyzed by The Enquirer
During the survey period,
Meijer (7)
$3.89 to demystify local gas prices.
unleaded gas was lowest at 33
Mobil (93)
$3.89
The 716 stations represent local Costco, Sam’s Club and
Speedway (80)
$3.90 about 80 percent of all stations Kroger stores.
What the averages don’t
Regional Average
$3.91 in Hamilton, Butler, Warren
Sunoco (61)
$3.91 and Clermont counties in Ohio; show, however, are the hidden
BP (107)
$3.92 Boone, Campbell and Kenton subsidies behind the low prices.
Marathon (134)
$3.92
CINCINNATI.COM, SEARCH: GAS
Shell (82)
$3.92
Source: Enquirer, Oil Price Information Service data,
m Find cheapest gas at CinciNavigator m Learn tips for stretching your mileage
regular unleaded gas sales at 716 stations in SW
m Calculate your fuel costs
m Tell us: Join the conversation about gas prices
Ohio, N. Kentucky and SE Indiana in May and June
The Arizona Republic
Land, sea re-entries would be eased
People who chafe at the cost of a
passport or worry about carrying
one to the beach soon will have a
cheaper, easier option.
The government is on the cusp of
releasing passport cards that fit in a
wallet and cost half the price of a
new passport.
About 350,000 Americans have
applied for the new card, the latest
step in ratcheting up security at the
borders.
People who apply now can expect
a four-week wait for cards.
The U.S. State Department expects the number of applicants to
swell to 4 million by June 1, 2009.
That’s when U.S. travelers cannot
re-enter the country from Mexico,
Canada or the Caribbean without a
passport, a new passport card or an
equivalent document.
Starting in January, travelers
could no longer re-enter the country
from Mexico or Canada by verbally
declaring their U.S. citizenship.
They must carry valid travel and
identification documents, but a
Chateau
Haut-Nadeau
Bordeaux. Superieur
12
$
For more specials, visit:
www.liquordirect.net
99
2005
Limited
While Supply Lasts
grace period remains in effect until
next summer.
Ultimately, millions of passport
cards should be in circulation, helping day-trippers and frequent visitors who travel by land or sea.
A regular passport is still required for air travel.
The changes stem from the
Western Hemisphere Travel Initiative, one of a string of post-Sept. 11
security requirements.
See PASSPORT, Page A8
Chateau
Haut-Guiraud
Haut-Medoc
14
$
99
2005
Limited
While Supply Lasts
How and where to get the
new passport cards:
Cost: $45 for adults; $35 for
minors; $20 for all passport
holders.
Process time: About four
weeks.
Renewal time: 10 years for
adults, five years for those under 18.
Where to get them: There are
9,300 places nationwide,
which you can search by ZIP
code at iafdb.travel.state.gov.
For more information: Go to
travel.state.gov/passport.
Chateau
Pey La Tour
Bordeaux. Superieur
16
$
Bush backers benefit Schmidt, Chabot
Rep. Jean Schmidt has received more than
$38,000 from at least 10 members of the Lindner family, well-known in GOP circles for the
hundreds of thousands of dollars Carl H. Lindner III and Carl H. Lindner Jr. raised for President Bush.
Rep. Steve Chabot also benefited from the
Lindner family’s largess. He has received
$14,000 from five members of the Lindner clan.
Other big-time Bush fundraisers also
stepped up to the plate for Schmidt, including
Richard T. Farmer, chairman of the board at
Cintas Corp., who was dubbed a “ranger” in
2004 for raising $200,000 for Bush. Farmer and
his wife, Joyce, together donated $4,600 to
Schmidt.
Gary Heiman of Standard Textile Co. and
his wife, Kim, donated $6,900 to Schmidt. Heiman was named a “pioneer” for raising
$100,000 for Bush in 2004.
Predecessors, colleagues step up
Schmidt also got financial backing from her
two predecessors in the 2nd Congressional
District. Former Rep. Willis D. Gradison Jr.
gave $500 and former Rep. Rob Portman of
Terrace Park gave $2,000.
Portman also contributed $3,300 to Chabot
over the election cycle. Additionally, two of his
former chiefs of staff – Bob Schellhas and Rob
Lehman – contributed $500 each to Chabot.
See CAMPAIGNS, Page A8
Passport card can fit in wallet How to get one
By Sean Holstege
WASHINGTON – The candidates in Cincinnati’s two congressional districts together
raised more than $1 million during the past
three months – and spent half that much.
The money came from family members, bigtime President Bush supporters and a Cincinnati doctor linked to the late-term abortion procedure opponents call “partial-birth” abortion.
Besides regular office expenses, the money
went to pay for a private jet, as well as campaign
cups, T-shirts – and temporary tattoos.
Here are the highlights, gleaned from the
latest batch of reports to the Federal Election
Commission, released last week. The reports
cover April, May and June.
99
2005
Limited
While Supply Lasts
Obama, in Afghanistan,
calls for shifting troops
Sen. Barack Obama
met with Afghanistan’s
president in Kabul on
Sunday and called on the
Bush administration to
redeploy thousands of
troops there from Iraq.
The high-profile trip,
Obama
including Iraq next, was
designed to bolster Obama’s credentials
on war and foreign policy.
POLITICS A5
These are our
Everday Low Prices!
COVINGTON 670 W. 3rd St. 859-291-2550
FT. THOMAS PLAZA Exit #2 off I-471 859-781-8105
all prices include tax!
Free Wine Tastings Fri. 4-8pm Sat. 2-6pm
This week’s wines: Brown Bag/
Brown Forman Wines
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-22-2008 Zone: Late Edition: 1 Page Name: A1.0
Time: 07-21-2008 22:47 User: jmeo1
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Yellow
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S P O R T S C1
Reds blow game in top and bottom of 9th, lose 6-4
THE CINCINNATI ENQUIRER
CINCINNATI.COM
LN
TUESDAY, JULY 22, 2008
GAS PRICE
SECRETS REVEALED
MELLENCAMP
D AY T W O
Weekend increases start building Wednesdays
jpilcher@enquirer.com
and gkorte@enquirer.com
Up Front
Must reads inside
today’s Enquirer
It’s all about the
fans, Chad says
Chad Johnson is promoting his DVD, but he’s also
taking time to review his
sniping about the Bengals.
He’s not sorry about his
comments, but he’s done.
SPORTS C1
ALL THIS WEEK
The Enquirer will bring you findings of an
in-depth analysis of gasoline prices in
Greater Cincinnati and Northern Kentucky.
Cheapest day to buy gas: Tuesday
By James Pilcher and Gregory Korte
After John Mellencamp plays Riverbend Wednesday, go
to Cincinnati.Com to
give your review.
Search: Mellencamp
Inside: For band
member Miriam
Sturm (above), the
show is a return
home. Life, D1
Call it Thrifty Tuesday.
Week after week for the past two
months, Tuesday proved to be the
cheapest day to buy regular unleaded
gasoline in Greater Cincinnati and
Northern Kentucky.
Most expensive day: Wednesday.
An Enquirer analysis of daily sales at
716 stations in May and June found that
regular fuel sold for an average 3 cents a
gallon less on Tuesdays than on
Wednesdays.
Prices were provided by Oil Price Information Service, a Wall, N.J., marketing information firm that tracks U.S.
wholesale and retail oil and fuel prices.
The analysis shows that local prices
consistently increased Wednesday – by
16 cents a gallon overnight May 7.
Prices typically would remain high
through the weekend as motorists filled
up for weekend jaunts. Then prices
would start to fall to a low by Tuesday,
before shooting up on Wednesday and
restarting the cycle.
By raising prices Wednesday, dealers
could start to take advantage of the upcoming weekend demand, while making
up for profit missed during the “cheap”
days.
Experts say gas always has been
cheapest midweek, when demand is lowest. But the exact cheapest day is likely
to change at any moment, without notice, they say.
“It’s almost like you have to look at it
hourly to get any sense of where it’s going,” says Matt Lewis, an economics professor at Ohio State University.
“But they always do it when demand is
low – you’ll never see that on a weekend,” he says.
The Enquirer is publishing findings
of the price analysis all week. Sunday, a
special report will explain how the gas
market is rapidly changing, affecting
prices you pay at the pump.
Eminent domain Two years after court decision
Owner’s legal victory
leaves land in limbo
Assault with
peanut alleged
The Enquirer/Michael E. Keating
Saved by a court ruling, the last house at the Rookwood Exchange site is vacant, and the project is in deep freeze.
WEATHER
High 86°
Low 62°
A thunderstorm
COMPLETE FORECAST: B8
INDEX
Four sections, 168th year, No. 104
Advice ............D2 Movies ............D5
Business .........A6 Obituaries .......B4
Comics ...........D4 Region ............B3
Editorial ..........B6 Sports .............C1
Lotteries ..........B8 TV ...................D2
Classified ....................................C6-10
First Run Classified ...........................A8
Copyright, 2008, The Cincinnati Enquirer
Portions of
today’s Enquirer
were printed on
recycled paper
NORWOOD – In a rural setting, few
would take note of an11-acre site with nothing
on it but a vacant, boarded-up two-story
house and an expanse of high grass and
weeds.
But in the bustling urban environment at
Edwards and Edmondson roads in Norwood,
the site provokes a lot of puzzled looks and
questions.
“It’s horrible, absolutely horrible,” said
Cassie Armstrong, who lives in the neighborhood on Edwards Road in Oakley.
Added resident Charles Smith: “I’d like to
see something done with it. I don’t know
what.” He paused and smiled. “Maybe they
could plant corn there and sell it.”
Six years ago, the Rookwood Partners announced plans to build the Rookwood Exchange, a $125 million complex of offices,
stores and condos, on the property.
When seven of 71 home and business owners refused to sell, the city of Norwood used
eminent domain to seize their properties,
sparking a long, bitter, nationally watched legal battle.
Saturday, it will be exactly two years since
the Ohio Supreme Court ended that battle
with a landmark decision rejecting Norwood’s use of eminent domain for economic
development.
The high court’s ruling has resonated far
beyond Norwood, a city of almost 20,000 residents that’s surrounded by Cincinnati.
NORWOOD
Williams Ave.
OAKLEY
71
Markbreit Ave.
Norwood
eminent
domain site
Ed
mo
nd
Rd. son
Rookwood
Commons/
Rookwood
Pavilion
Edwards Rd.
Lead paint in older homes
continues to be a health
hazard.
LIFE D1, D6
skemme@enquirer.com
S mit h R d .
Social Security has a new
online calculator.
NATION & WORLD A2
Monday
Tuesday
$3.911
$3.898
$3.890
$3.917
Wednesday
Thursday
$3.909
Friday
$3.915
Saturday
$3.914
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Sheriff
cuts beds,
patrols
jlbrown@enquirer.com
By Steve Kemme
The $550,000 indecency
fine against CBS for Janet
Jackson’s 2004 breast flash
was thrown out.
NATION/WORLD A3
Sunday
BUSINESS, A6
m Oil profits hardly go
to exploration.
CINCINNATI.COM
m Find cheapest fuel at
CinciNavigator.
m Video: Best day to buy.
m Share thoughts online.
m Read Monday’s story:
Grocers, big boxes have
cheapest gas.
SEARCH: GAS
COMING WEDNESDAY
m The value of streetcorner competition.
By Jessica Brown
He’s 16. She’s 42
and pleads guilty
Also …
AVERAGE PRICE BY DAY OF THE WEEK
Inside, online
But metal detectors
stay at courthouse
A woman tried to cram a
peanut into the mouth of
her highly allergic neighbor, then vandalized her
car, the neighbor claims.
LOCAL B2
A former employee of
West Clermont schools
pleaded guilty to giving
marijuana to a boy she had
sex with.
LOCAL B1
50 CENTS
di
Ma
Wasson Rd.
d.
R
son
HYDE
PARK
CINCINNATI Detail
See NORWOOD, Page A5
The Enquirer
‘You look at the site today and think about what it could have been
for the City of Norwood, and you know it will never be that now.’
The Hamilton County sheriff may be closing down
floors at the jail and ordering cruisers parked, but it looks
like the metal detectors will be spared.
The leaders of several county departments in secure buildings agreed Monday to chip in the roughly $100,000 cost
for deputies to operate the devices.
Sheriff Simon Leis said last week that
he would do away with the service Aug. 1
due to mid-year budget cuts.
Leis, who must cut $2.2 million from
his budget, is also closing floors of the Clerk of
Queensgate jail and instructing patrol Courts Greg
deputies to park their cruisers for 30 min- Hartmann
utes each hour to save gas.
led efforts
“We can’t cut much more,” Leis said. to keep the
“Someone has to find a solution to the metal deproblem.”
tectors.
County Commissioners last week
cut all departments’ budgets by 6
percent, or a total of $6.9 million, to avoid a fiscal
emergency. The county is projecting a $12 million
budget shortfall by the end of the year because of the
sluggish economy.
Clerk of Courts Greg Hartmann, whose office is in the
courthouse, spearheaded the effort to save the metal detector service. Weapons are confiscated at the machines
almost daily.
“It’s in the public’s interest that we continue to provide
security for the jurors who serve on juries and the witnesses that appear in court,” Hartmann said.
Navy judge bars evidence from coercion
By Mike Melia
The Associated Press
Trial begins for bin Laden’s driver
GUANTANAMO BAY NAVAL BASE, Cuba – The judge in
the first American war crimes trial
since World War II barred some evidence Monday that interrogators
obtained from Osama bin Laden’s
driver, ruling that he was subjected
to “highly coercive” conditions in
Afghanistan.
But Judge Keith Allred, a Navy
captain, left the door open to statements Salim Hamdan made at
Guantanamo, despite defense
claims that all his
statements
were
tainted by abuse including sleep deprivation and solitary
confinement.
Hamdan,
captured
at
a
roadblock
Hamdan
in Afghanistan in
November 2001, pleaded not guilty
at the start of a trial that will be
closely watched as the first full test
of the Pentagon’s system for prose-
cuting alleged terrorists. He faces a
life sentence if convicted of conspiracy and aiding terrorism.
The chief prosecutor for the tribunals, Army Col. Lawrence Morris, said the loss of some of Hamdan’s statements will not keep the
trial from going forward.
“It does not reduce my confidence in our ability fully to depict
Mr. Hamdan’s criminality,” he told
reporters. “We’re fine.”
The judge said the prosecution
cannot use a series of interrogations at the Bagram air base and
Panshir, Afghanistan, because of
the “highly coercive environments
and conditions under which they
were made.”
At Bagram, Hamdan says, he
was kept in isolation 24 hours a day
with hands and feet restrained, and
soldiers prompted him to talk by
kneeing him in the back. He says
his captors at Panshir repeatedly
tied him up, put a bag over his head
and knocked him to the ground.
See COERCION, Page A5
See SHERIFF, Page A5
Businessman sentenced
8 months for hiring
illegal immigrants
The owner of Spectrum Interiors
was sentenced Monday to eight
months in prison for using illegal immigrant labor.
Jeff Wolnitzek and his Crescent
Springs-based contracting business
will forfeit $2 million.
U.S. District Judge David Bunning
called Wolnitzek’s business practices
“cheating” and said businessmen like
him contribute to the illegal immigration problem.
LOCAL B2
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100 95 90 80 70 60 50 40 30 20 10 5
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L O C A L B1
‘Extreme Makeover’ family gets even more good news
THE CINCINNATI ENQUIRER
CINCINNATI.COM
LN
WEDNESDAY, JULY 23, 2008
Competition shaves pennies at pump
If there are few stations, you’ll pay more for fuel, analysis finds
By James Pilcher and Gregory Korte
jpilcher@enquirer.com, gkorte@enquirer.com
Dining: Real Chinese
food is foreign to most
Americans. Where to
find it here. D1, D3
Browse our recipe finder to find all the ingredients you need for a
quick and easy meal.
Search: recipes
After the cost of crude oil, competition
is the No. 1 driving force behind what
you pay at the pump.
The more stations competing nearby
for your business, the less you pay.
An Enquirer analysis of daily sales at
716 area gasoline stations in May and
June found that regular unleaded fuel
was about a penny a gallon less at stations with at least one competitor within
1mile, compared with stations with rivals
farther away.
Prices were obtained from Oil Price Information Service, a Wall, N.J.-based marketing information firm that tracks U.S.
wholesale and retail oil and gas prices.
GAS PRICE
SECRETS REVEALED
D AY T H R E E
Coming Thursday: Wide price differences
within brands.
Competition helped influence prices
for the entire region as well. The analysis
generally found lower prices in Greater
Cincinnati and Northern Kentucky suburbs, where the concentration of stations
is higher than in the city.
Consumers in the urban core and lesspopulated parts of outlying Boone and
Warren counties pay higher-than-average prices.
Kentucky’s rural ZIP code 41092,
which includes Verona and just two stations reporting, had the highest average
price at $4.06 a gallon. Ohio’s ZIP code
45011, which includes populous Hamilton and 16 reporting stations, had one of
the lowest average prices, $3.86 a gallon.
The Enquirer is publishing findings of
the price analysis all week. Sunday, a
special report will explain how the gas
market is rapidly changing, affecting
prices you pay at the pump.
Must reads inside
today’s Enquirer
NAACP happy with
Cincinnati police
It wasn’t that long ago that
the reaction to Cincinnati
police might have been
very different. But the national NAACP convention
gave them an ovation.
LOCAL B1
Bengals get ready
for a new season
Freddie, Fannie
bailout: $25B
The proposed rescue of
the nation’s two mortgage
finance giants would cost
taxpayers $25 billion.
NATION A3
Mom admits guilt
in shooting death
Tinisha Jones pleaded
guilty to killing the mother of a child who got in an
argument with hers.
LOCAL B2
High 84°
Low 58°
Partly
sunny
COMPLETE FORECAST: B8
$3.910
$3.905
$3.900
-0.5
mile
1
mile
1.5
2 2.5 +2.5
miles miles miles miles
DISTANCE FROM NEAREST COMPETITOR
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
jpilcher@enquirer.com
The Associated Press/Jae C. Hong
Democratic presidential candidate Barack Obama, accompanied by Sen. Jack Reed (second from right), D-R.I.,
and Sen. Chuck Hagel, R-Neb., speaks Tuesday at the citadel in Amman, Jordan.
Compromise, Obama
tells old Mideast foes
Says Palestinians, Israelis
too weak on peace initiative
By David Espo
The Associated Press
AMMAN, Jordan – Democratic presidential contender
Barack Obama stepped into the
thicket of Mideast politics
Tuesday, declaring in Jordan
that neither the Israelis nor the
Palestinians are strong enough
internally to make the bold concessions necessary for peace.
Obama said he would work
to bring the two sides together
“starting from the minute I’m
sworn into office.” But he cautioned that it was “unrealistic to
expect that a U.S. president
alone can suddenly snap his fingers and bring about peace in
this region.”
After meeting with Jordan’s
King Abdullah II, Obama flew
to Israel for talks with Israeli
and Palestinian leaders.
Upon his arrival in Jerusalem, he spoke of a “historic and
special relationship between
the United States and Israel,
one that cannot be broken” and
one that he hoped to strengthen as president.
See OBAMA, Page A9
Inside,
online
Associated Press/Carolyn Kaster
Republican presidential
candidate John McCain
turned up the heat Tuesday on Obama at a town
hall in New Hampshire.
Page A4
m McCain touts energy alternatives,
says off-shore drilling a must for national security and
lower fuel prices.
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Search: election
Medic-alert button didn’t save dad
By Janice Morse
jmorse@enquirer.com
Fire death spurs questions about service levels
Copyright, 2008, The Cincinnati Enquirer
WEST CHESTER TWP. – Robert
Hunter died in a house fire last weekend
even though he had hit a personal medical-alarm button to summon help.
But had Hunter contracted with his
alarm company to call 911 – or to call his
daughter only?
The answer to that question might
have meant the difference between life
and death, Hunter’s daughter, Debbie
Marsh, said Tuesday.
“I should not have lost my dad.
That’s how I feel,” Marsh, 43, of West
Chester, said as she stood crying out-
side the fire-gutted shell of her father’s home. “When you pay for a service like that, you feel like you’re
protected, you’re safer.”
Her father, 66, died at Bethesda
North Hospital after the fire. His
$130,000 home, rebuilt after Hunter and
his family survived a 1974 tornado, was a
total loss.
Such a situation shows the importance of older people and caregivers
understanding details of any contract,
said Kelly Keller, Ohio spokeswoman
for the AARP.
Portions of
today’s Enquirer
were printed on
recycled paper
$3.915
By James Pilcher
INDEX
Six sections, 168th year, No. 105
Advice ........... D2 Movies ........... D7
Business . A10-11 Obituaries ...... B4
Comics .......... D6 Region ........... B3
Editorials ........ B6 Sports ............ C1
Lotteries ......... B8 TV .................. D2
Classified ............................. E1-6, F1-6
First Run Classified .......................... C6
$3.920
PAGE A10
m Crude falls to earlyJune levels.
CINCINNATI.COM
SEARCH: GAS
m Find the cheapest fuel
at CinciNavigator.
m Use calculators to figure your fuel costs.
m Learn tips for boosting
your mileage.
m Read previous stories.
More positions are available
– but not enough for seekers
The Bengals are brimming with their usual preseason optimism. Columnist Paul Daugherty talks
about “moving forward.”
SPORTS C1
AK Steel reported record
operating profits, and its
stock went down. Fifth
Third reported its first
quarterly loss this decade,
and its stock went up.
BUSINESS A10
Prices are lower when stations have
nearby rivals.
$3.925
Jobless
rate rises
in region
Up Front
AK Steel, 5/3
report earnings
Inside, online
VALUE OF NEARBY STATIONS
“You have to ask the right questions,
and make sure that what you are buying
is what you thought it was – whether
you’re buying a car or buying a medicalert service,” Keller said.
About 10:30 p.m. Friday, Hunter activated his personal help button, sending
a signal to the alarm company, Marsh
said. A company representative later
called Marsh and told her that Hunter
couldn’t be reached via phone or
through an intercom, Marsh said.
See DEATH, Page A9
•HOME
HOME APPLIANCES
•HEATING/COOLING
HEATING/COOLING
•WATER
WATER HEATERS
TheComfortZone.com
TheComfortZone.com
9
942-ZONE
42-ZONE
Local
unemployment
jumped to a 2½-year high in
June, with a large influx of
new workers coming into the
work force but employers creating only 2,000 jobs.
The 15-county region’s
June jobless rate was 6
percent, according to data released Tuesday by the Ohio
Department of Job and Family
Services – the highest since
February 2005. The rate
jumped from 5.2 percent in
May and 5.3 percent in June
2007 and was the biggest
monthly rise since June 2004.
The numbers were not seasonally
adjusted,
which
means that the data show the
traditional spike in new job entrants from area high schools
and colleges. About 11,000
new job seekers entered the
work force during the month.
The slow job creation
shows that “the economy is
not expanding fast enough to
absorb the workers wanting
jobs,” Miami University economics professor Dennis Sullivan said. “We usually see
these seasonally unadjusted
spikes smooth out, but it
wouldn’t surprise me that unemployment starts to rise
even as those people get jobs
(and) as we start to get experienced workers show up in the
job-seeker pool.”
The reading also pushed
the regional rate above the
nation’s, which was 5.7
percent in June (up from 5.2
percent in May and 4.7
Cincinnati.Com
m Get tips for mitigating the
high cost of living, and share
your ideas.
m See the latest news on the
economy.
m Find personal finance tips.
Search: economy
percent in June 2007).
The 15 counties are Brown,
Butler, Clermont, Hamilton
and Warren in Ohio; Boone,
Bracken, Campbell, Gallatin,
Grant, Kenton and Pendleton
counties in Kentucky; and
Dearborn, Franklin and Ohio
counties in Indiana. The new
numbers were broken down
from data released Friday.
In Southwest Ohio, job creation was particularly weak
while new workers flooded
the market. The result: big increases in jobless rates for
Butler, Clermont, Hamilton
and Warren counties.
Butler’s jobless rate rose to
6.2 percent – the worst in the
region – from 5.3 percent in
May, because the county added 100 jobs while 1,700 people
joined the labor force.
Ohio’s jobless rate in June
shot up to 6.7 percent, from
6.0 percent in May and 5.8
percent in June 2006.
Unemployment figures for
individual Kentucky counties
won’t be released until next
week. But the statewide rate
there rose to 6.3 percent in
June as compared with 6.2
percent in May and 5.5
percent in June 2006.
Beijing Games next month
Olympians’ families find trip costly
Family members of the
seven Olympians who are
competing next month in
China are excited about their
loved ones heading to Beijing. They just wish that they
could go, too.
So far, few can afford the
up to $8,000 that it costs to
travel halfway around the
world. Some are scrambling
to come up with the cash for
airfares, hotels, passport and
visa fees, event tickets and
more.
Some are even planning
fundraisers.
SPORTS C1
H
HOT
OT S
SUMMER
UMMER
S
SAVINGS!
AVINGS!
FR
A/C EstiEE
m
Online!ates
0000272614
IN LIFE
WEATHER
50 CENTS
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-24-2008 Zone: Late Edition: 1 Page Name: A1.0
Time: 07-23-2008 22:39 User: bmullins
Color:
Cyan
Black
Yellow
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BUSINESS A9
Kroger pulls jalapeños after FDA warning on salmonella
THE CINCINNATI ENQUIRER
CINCINNATI.COM
LN
THURSDAY, JULY 24, 2008
FAMILY DAY
Prices vary widely within same brand
Diversity of store locations, ownership accounts for difference
By James Pilcher and Gregory Korte
jpilcher@enquirer.com and gkorte@enquirer.com
Adam Dunn and his
teammates enjoyed
Family Day activities
before Wednesday’s
game. Click through
a gallery of images
at Cincinnati.Com.
Search: Reds
Bronson Arroyo wins
his fifth straight.
SPORTS C1
50 CENTS
You know the sinking feeling: You fill
up with gas, then find the same brand
selling for less down the road, on the
same day.
An Enquirer analysis of daily sales at
716 area gas stations in May and June
found prices for regular unleaded gasoline routinely varied by at least 11 cents a
day within major brands.
BP prices varied the most: The data
showed a 38-cent average daily difference between lowest and highest prices
at 107 BP outlets in Greater Cincinnati
and Northern Kentucky.
The prices were provided by Wall, N.J.based oil and gas marketing information
firm Oil Price Information Service. The 716
stations surveyed represent about 80
percent of all gas outlets in the region.
franchisee chains and company-owned
stores. That makes for scores of decision-makers in pricing all over the region, creating daily differences.
Other brands operate the same way,
especially Shell. That brand primarily
had been sold regionally by Ameristop,
which went bankrupt in November. The
Ameristop name survived, however, and
now, several owners sell Shell under the
Ameristop name. In addition, Illinoisbased Road Ranger recently bought and
converted 11 Ameristop stations, mostly
in Northern Kentucky.
The Enquirer is publishing findings of
the price analysis all week. On Sunday, a
special report will explain how the gas
market is rapidly changing, affecting
prices you pay at the pump.
GAS PRICE
SECRETS REVEALED
D AY F O U R
Coming Friday: Is gasoline near the
interstate cheaper or more expensive?
Typical drivers may not see such a
price spread on a daily commute. But the
price difference is possible because stations surveyed are spread across as
many as 50 miles, in eight counties, in
vastly different urban, suburban and
nearly rural areas.
BP has the biggest variety of sales
points, including independent owners,
AVG.DAILY DIFFERENCEWITHIN BRANDS
Brand Avg. diff.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Inside, online
BUSINESS A11
m Prices for oil, other
commodities falling.
CINCINNATI.COM
SEARCH: GAS
m Find the cheapest
gas at CinciNavigator.
m Use calculators to
figure your fuel costs.
m Learn tips for
stretching your mileage.
m Tell us: What do you
want to know about gas
pricing?
m Read previous
stories in the series.
State budget
benefits cats
GOP calls
Strickland
pick a ploy
Ohio is chipping in $1.5
million for the zoo’s Cat
Canyon and a breeding
facility for small wild cats
in Warren County.
LOCAL B1
By Howard Wilkinson
Up Front
DOLLY HITS, LEVEES HOLD
Must reads inside
today’s Enquirer
We’re still No. 1
… in airfares
The average cost of a trip
originating at CVG was
$535, while the national
average was $332.
BUSINESS A9
Raussen’s new state job may
open up House seat for Dems
hwilkinson@enquirer.com
Getting into jail
gets a bit harder
The Butler County sheriff
wants to reduce the number of misdemeanor offenders in his jail, because
it costs money each time
the door swings open.
LOCAL B1
Tune in to find out
why he’s popular
“I’m a flashy guy. Very
suave,” says WIZF-FM
deejay “Don Juan Fasho.”
(As in, for sure.) He’s the
region’s top-rated latenight radio personality.
LIFE D1
Also …
Public protests will be
permitted when Beijing
hosts the Olympics next
month, but there will be
rules and restrictions.
WORLD A7
WEATHER
High 87°
Low 62°
Mostly
sunny
The Associated Press/The Dallas Morning News, Erich Schlegel
Brownsville schools employee Ramon Hernandez helps Diana Sepulveda while she carries her son Joshua Gutierrez to a shelter Wednesday as Hurricane Dolly hits Brownsville, Texas. Levees holding back the Rio Grande
were standing pat despite the heavy rain and 100 mph winds, easing fears of massive flooding. Story, A2
House advances housing rescue
after Bush removes veto threat
Inside, A2
By Sue Kirchoff
USA Today
WASHINGTON – The House on
Wednesday approved compromise legislation to shore up mortgage giants
Fannie Mae and Freddie Mac while
helping hundreds of thousands of
homeowners refinance into more affordable loans.
The measure now goes to the Senate,
where some conservatives want to delay a final vote.
The 272-152 House vote came hours
after President Bush dropped his threat
The bill would ease some problems, but
provide only modest benefits for home
buyers or borrowers facing foreclosure.
to veto the measure unless Democrats
eliminated a $4 billion fund to help local
governments buy and redevelop foreclosed homes. Bush had argued the
neighborhood grants would benefit
bankers and lenders. But the White
House said a showdown with Congress
over the proposal would be ill-timed.
See HOUSING, Page A8
Raussen
Pillich
year-old from Montgomery
who was a special assistant to
the president in the Bush
White House and now heads
former Congressman Rob
Portman’s political action
committee.
m Tom Weidman, a Sycamore Township trustee.
Alex Triantafilou, the Hamilton County GOP chairman,
said he is putting together a
screening committee, which
will likely begin interviewing
candidates for the 28th Ohio
House District next week. Under Ohio election law, the party has until Aug. 20 to choose
a replacement for Raussen on
the November ballot.
Raussen, who will earn
$115,000 in his new job, will
work with Ohio’s insurance
companies to help them
expand their Ohio operations,
according to Keith Dailey, a
Strickland spokesman.
See RAUSSEN, Page A8
Fugitive in the woods, on the run
COMPLETE FORECAST: B8
Chris Crosby has eluded authorities since June 12
INDEX
Five sections, 168th year, No. 106
Advice ........... D2 Movies ........... D5
Business ... A9-11 Obituaries ...... B4
Comics .......... D4 Region ........... B4
Editorials ........ B6 Sports ............ C1
Lotteries ......... B8 TV .................. D2
Classified ..................................... E1-6
First Run Classified .......................... C3
By Barrett J. Brunsman
bbrunsman@enquirer.com
Copyright, 2008, The Cincinnati Enquirer
Portions of
today’s Enquirer
were printed on
recycled paper
Treasury Secretary Henry Paulson
said the bill’s “wasteful” provisions were
outweighed by the need for expanded
Treasury power to make emergency
loans to, or buy stock in, Fannie Mae
and Freddie Mac.
The companies, which hold or back
half of all U.S. mortgages, have taken a
financial bath as home prices plummet
and foreclosures soar. While Fannie
Mae and Freddie Mac’s regulator says
they have sufficient capital, there are
concerns they could need help.
While the Ohio Republican
Party was crying foul over
Gov. Ted Strickland hiring
GOP state Rep. Jim Raussen
of Springdale to a newly created state job, Republicans in
his northern Hamilton County district were lining up to replace him.
Strickland, a Democrat, on
Tuesday chose Raussen –
who was running for a fourth
and final term in the Ohio
House – to be the state’s director of insurance and financial
development. It was a move
that Republican leaders said
was a ploy to help Raussen’s
opponent, Democrat Connie
Pillich, win the 28th Ohio
House District seat this fall.
By Wednesday morning,
three Republicans in the
House District, which includes most of Cincinnati’s
northern Hamilton County
suburbs, had told Hamilton
County Republican leaders
they are interested in running
in Raussen’s place:
m Rick Bryan, a Blue Ash
councilman and former mayor who is executive director of
the Wellness Community.
m Andrew Ciafardini, a 31-
Provided photo
Chris Crosby has been on the run since failing to show up for sentencing June 12.
Authorities say he’s been spotted on
horseback and has been receiving help.
BATAVIA – Chris Crosby, the
bail-jumping burglar who has been
spotted on horseback while eluding
police for 1½ months in Clermont
County, has flirted with the idea of
surrendering.
“He has said more than one time
through secondary sources that he
planned to turn himself in,” said
Sheriff A.J. “Tim” Rodenberg.
“Each time he said it … he’s failed
to show up.”
While that’s frustrating, “he’s
just delaying the inevitable,” Rodenberg said.
Everywhere the sheriff goes
these days, the first thing people
ask him is whether Crosby, 25, has
been apprehended.
A resident of Ohio 232 in the Laurel area of Monroe Township, Crosby has been on the lam since June
12. He failed to show in Common
Pleas Court for sentencing by
Judge Victor M. Haddad.
Crosby pleaded guilty May 12 to
five charges: safecracking, grand
theft, burglary and two counts of receiving stolen property.
He faces up to 14½ years in prison on the first three charges alone,
plus a fine of up to $30,000.
From the beginning of the year
through Monday, 309 arrest warrants were issued by Clermont
County judges after someone failed
to show for a criminal hearing in
Common Pleas Court or a meeting
that might involve a probation violation.
See CROSBY, Page A8
If you see him
Anyone
who sees
Chris Crosby
should call
the Clermont County Communications
Crosby
Center at
513-732-2231. Those with
information that could help
in the search should call
the sheriff’s office at
513-732-7545.
THE
BIGGEST 800-540-0921
WED-SAT,
9AM-9PM
SUNDAY,
11AM-5PM
For More Info & Search For A Vehicle:
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www.29Down.com
*STK# 55322Z, 2003 CHEVY ASTRO. SELLING PRICE $5510. $29 DOWN, $99 A MONTH FOR 60 MONTHS AT 5.99% APR. ALL OTHER TERMS VARY BASED ON YEAR, MAKE AND MODEL. PLUS TAX, TITLE AND DEALER FEES. WITH APPROVED CREDIT. 740 BEACON SCORE OR ABOVE. SUBJECT TO PRIOR SALE.
0000278897
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Product: ENQUIRER PubDate: 07-25-2008 Zone: Late Edition: 1 Page Name: A1.0
Time: 07-24-2008 22:46 User: jreedy
Color:
Cyan
Black
Yellow
Magenta
W E E K E N D / L I F E E10
Earth, Wind & Fire and Frankie Beverly highlight Macy’s Fest
THE CINCINNATI ENQUIRER
CINCINNATI.COM
50 CENTS
Gas does cost more near interstates
OLYMPICS
By James Pilcher and Gregory Korte
jpilcher@enquirer.com, gkorte@enquirer.com
With two weeks until
the Opening Ceremonies, see how boxer
Rau’Shee Warren and
other local athletes
are preparing for the
Beijing Games and
get the latest news.
Search: Olympics
Up Front
Must reads inside
today’s Enquirer
West Chester,
Brentwood heists
solved, police say
Two men whom police
have dubbed the “interstate bank bandits” are in
jail out of state and facing
charges.
LOCAL B1
Girls debunk
myth about math
They’re just as good as the
boys, finds a study comparing 7 million students.
HEALTH/SCIENCE A12
Change at Kroger
is a real beauty
A makeover in some local
groceries could soon roll
out to hundreds of company stores nationwide.
BUSINESS A13
Some are red-hot,
perfect trade bait
Reds management should
think about the future instead of living for the moment, columnist Paul
Daugherty says.
SPORTS C1
Ford hopes it can
import success
Bleeding cash, the automaker sees its small, fuelefficient cars sold in Europe as a possible savior.
BUSINESS A13
WEATHER
LN
FRIDAY, JULY 25, 2008
High 88°
Low 63°
Partly
sunny
COMPLETE FORECAST: B12
INDEX
Five sections, 168th year, No. 107
Advice .......... E18 Movies .... E42-44
Business . A13-15 Obituaries ...... B8
Comics ... E22-23 Sports ............ C1
Editorials ...... B10 TV ........... E20-21
Lotteries ....... B12 Worship ...... B4-5
Classified ................................... D1-10
First Run Classified .......................... B9
Copyright, 2008, The Cincinnati Enquirer
Portions of
today’s Enquirer
were printed on
recycled paper
A common perception turns out to be
true: Gasoline stations near the interstates
really do have the highest prices in Greater Cincinnati and Northern Kentucky.
An Enquirer analysis of daily sales at
716 area stations in May and June found
that regular unleaded gas was almost 1½
cents a gallon higher at stations within 1
mile of an interstate exit, compared to
stations more than a mile away. Compared to stations 3 to 4 miles from an interstate exit, the near-highway stations
charged 2½ cents a gallon more.
Prices for the analysis were obtained
from Oil Price Information Service, a
Wall, N.J.-based marketing information
firm that tracks wholesale and retail oil
and gas prices nationwide.
The lone Mobil station next to the
Mineola Pike exit off Interstate 275 near
Analysis finds 2½-cent difference from stations farther away
GAS PRICE
SECRETS REVEALED
D AY F I V E
Coming Saturday: Where is gas higher –
Ohio or Kentucky?
Cincinnati/Northern Kentucky International Airport had the highest average
price in the area during May and June:
$4.06 a gallon.
“It’s disgusting what I have to charge,
and I feel guilty every day when I have to
explain this to my customers,” station
owner Alex Othman says. “But I refuse
to lose money on gas – what can I do?”
Gas makes up 80 percent of his revenue. Still, he says he only makes 1 to 2
cents for every gallon sold, after paying
for the gas, plus credit card fees.
Experts cite interstate economics:
There’s more demand for gas along busy
highways than in the middle of town.
Strong demand can even overcome fierce
competition that might ordinarily drive
down costs at multiple stations at an exit.
“We’ve seen studies that show people
will drive two to three extra exits to save
1 to 2 cents a gallon. But they won’t drive
1 to 2 miles off the exit,” says Steve Harper, a Florence-based gas distributor who
owns several convenience stores, including two just off exits of Interstate 71/
75 in Northern Kentucky.
The Enquirer is publishing findings
of the price analysis all week.
INTERSTATE EFFECT
Prices are higher when stations are close
to major highways.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Coming
Sunday
Housing still struggling
to make a turnaround
Sales, prices
remain down
for first half
of this year
lbernard@enquirer.com
See HOUSING, Page A11
E.L. Hubbard for
The Enquirer
A special report in The Enquirer will explain how
the gas market is rapidly changing, affecting prices you pay at the pump.
Obama
wows
Germans
By David Espo and David Rising
The Associated Press
The Enquirer/Leigh Taylor
The current housing market worked out well for John and Julie Benham and their son John, 2.
They recently bought a bigger house in Mason and sold their own home in Oakley in 2½
weeks. The couple had expected it would take longer to sell.
Five-year glance at building permits
SOUTHWEST OHIO
10,000
8,519
7,620
8,000
Online, inside
NORTHERN KENTUCKY
10,000
Cincinnati.Com
m Get the latest news on the housing
market, see previous coverage of the
8,000
foreclosure crisis and search area fore6,000
6,000
closure listings. Search: foreclosure
5,235
On Page A13
3,798
4,000
4,000 3,145
m Stocks tumble on worse-than-ex2,361 2,002
2,000
1,542
1,345 2,000
692 pected housing news; biggest-ever decline for shares of builders.
0
0
’04 ’05 ’06 ’07 ’08*
’04 ’05 ’06 ’07 ’08* On Page A15
*Through June
m Number of vacant homes hits allSources: Home Builders Association of Greater Cincinnati and the Northern Kentucky
time high of 18.6 million.
Home Builders Association
The Enquirer
Veillette garden brings some peace
Cheerleaders
with Mason
Youth Football Cheerleading view
pictures of
Marguerite
Veillette during a dedication Thursday
of the Veillette Memorial Garden.
Marguerite
was a member of the
group.
CINCINNATI.COM
SEARCH: GAS
m Find cheapest gas at
CinciNavigator.
m Use calculators to figure your fuel costs.
m Learn tips for stretching mileage.
m Join live chat at 11:30
a.m. today.
m See coverage from
previous days.
Talk of environment,
no nukes gets applause
By Lisa Bernard-Kuhn
The first half of 2008 delivered few signs of recovery in
the region’s housing market,
as home sales and prices continued to tumble and a national lending crisis fueled record
foreclosures and weakened
consumer confidence.
In Greater Cincinnati home
sales dropped 17.8 percent
compared to the first half of
2007, and the median price
slid 6.4 percent to $131,000, according to the Cincinnati Area
Board of Realtors.
Northern Kentucky home
sales were off by 15 percent for
the same period, and the median price remained relatively
flat at $137,000, according to
the Northern Kentucky Multiple Listing Service.
Nationally, sales of existing
homes fell 14.8 percent compared to June 2007 as the
housing industry suffers its
the worst slump in more than
two decades.
The sluggish market has
taken its toll on local home
builders.
3 to 4 More than
miles 4 miles
More online
Slain mom, 4 children remembered
By Janice Morse
jmorse@enquirer.com
MASON – Five lives taken cruelly – the four Veillette children and
their mother – are now memorialized in a peaceful garden brimming
with life, just feet away from a playground where the youngsters once
frolicked.
“May this garden help to remember the good and the happy times in
their honor,” Karen Harris, president of Mason Youth Football
Cheerleading, said at Thursday’s
dedication of the garden at Corwin
M. Nixon Park.
About 500 people attended the
short ceremony honoring Nadya
Ferrari-Veillette and her children:
Mason football cheerleader Marguerite, 8; Vincent, 4; and twins, Mia
and Jacob, 2.
The children died in a Jan. 11
house fire that their father, Michel,
set after fatally stabbing their mother. He hanged himself in the Warren County Jail in April before the
case went to trial.
Because the crime – the worst
anyone in upscale suburban Mason
can remember – wiped out all local
members of the Veillette family, “I
think many people didn’t know what
to do,” Harris said.
“There was no one left for them to
focus their caring, their feelings,
on.”
See VEILLETTE, Page A10
BERLIN – Cheered by an enormous international crowd, Democratic presidential contender Barack Obama on Thursday summoned
Europeans and Americans together to “defeat
terror and dry up the well of extremism that supports it” as surely as they conquered communism a generation ago.
Obama said he was speaking as a citizen, not as a president, but the evening was
awash in politics as the firstterm U.S. senator sought to
burnish his international credentials. His remarks before
a crowd estimated at 200,000
inevitably invited comparison to historic speeches in m McCain camthe same city by Presidents paigns in ColumKennedy and Reagan.
bus, speaks at
Obama borrowed rhetoric cancer forum. A2
from his own appeals to campaign audiences this year in m Americans
the likes of Berlin, N.H., as he praise Obama –
spoke in one of the great cit- but some skeptical, too. A3
ies of Europe.
“People of Berlin, people
of the world, this is our moment. This is our
time,” he declared.
“The walls between old allies on either side of
the Atlantic cannot stand,” Obama said, speaking not far from where the Berlin Wall once divided the city. “The walls between the countries
with the most and those with the least cannot
stand. The walls between races and tribes, natives and immigrants, Christians and Muslims
and Jews cannot stand.”
Obama’s speech was the centerpiece of a fastpaced tour through Europe designed to reassure skeptical voters in the U.S. about his ability
to lead the country and take a cross-Atlantic alliance in a new direction after President Bush.
Republicans chafed at the media attention
Obama’s campaign-season trip has drawn. Presidential rival John McCain went to a German
restaurant in swing-state Ohio, and said he’d
like to deliver a speech in Germany – but as
president, not as a candidate.
Obama met earlier in the day with German
Chancellor Angela Merkel for a discussion that
ranged across the wars in Iraq and Afghanistan,
climate change, energy issues and more.
For his speech, Obama drew loud applause
when he talked of a world without nuclear weapons and when he called for steps to counter climate change.
Obama mentioned Iraq, a war he has opposed from the start, only in passing. In discussing Afghanistan, he said, “no one welcomes war.
... But my country and yours have a stake in seeing that NATO’s first mission beyond Europe’s
borders is a success.”
Inside
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S P O R T S C1
Rockies pound Reds 7-2 in series opener
THE CINCINNATI ENQUIRER
CINCINNATI.COM
N.Ky. drivers pay more at the pump
Lower taxes not enough to offset cost of summer gas formula
Cincinnati.Com
By James Pilcher and Gregory Korte
jpilcher@enquirer.com
and gkorte@enquirer.com
Macy’s Music Festival
opened Friday at
Paul Brown Stadium
with artists such as
Chrisette Michele
(above). Click on our
photo galleries of
fans and performers,
see a review or offer
your own at Cincinnati.Com.
Search: macys
Dayton Dragons
cool things down
The Single-A baseball
team hit the field Friday
after Thursday’s brawl
with the Peoria Chiefs.
SPORTS C1
Where nature
meets nurture
A Liberty Township couple
have transformed their
backyard into a place to
enjoy the wildlife.
LIFE/HOME STYLE E1
Also…
Orders for U.S. durable
goods rose in June, and
sales of new homes were
higher than forecast.
BUSINESS B1
Federal regulators approved the merger of the
nation’s only two satelliteradio operators on Friday.
BUSINESS B2
A Qantas jumbo jet landed
safely after a hole was
ripped into the fuselage.
WORLD A8
High 90°
Low 65°
A thunderstorm
COMPLETE FORECAST: D6
INDEX
Six sections, 168th year, No. 108
Advice ............ E2 Movies ........... E9
Business ........ B1 Obituaries ...... D2
Comics ........... E8 Region ........... D3
Editorials ........ D4 Sports ............ C1
Lotteries ......... D6 TV .................. E2
Classified ................................... F1-26
First Run Classified .......................... C8
Copyright, 2008, The Cincinnati Enquirer
Portions of
today’s Enquirer
were printed on
recycled paper
m Find cheaper gas at CinciNavigator.
m Q&A and Friday’s gas chat transcript.
m Tips for stretching your mileage.
m Tell us: What do you want to know
about gas pricing?
Coming Sunday: Gas prices,
neighborhood by neighborhood.
from 16 to 21 cents a gallon higher in
Kentucky. Prices were obtained
from Wall, N.J.-based Oil Price Information Service, a firm that tracks
wholesale and retail fuel prices nationwide.
choose different blends of gasoline
to reduce pollution. But demand for
different blends is straining an already-stressed refining industry.
Any glitch in the system creates
wildly fluctuating price spikes.
Last year, Ohio switched to a
blend that evaporates more slowly
than Kentucky’s blend, which burns
more cleanly in an engine.
“So Kentucky drivers are going
across the river to buy cheaper gas
that doesn’t burn as cleanly, and
then they come back over to Kentucky, which kind of defeats the purpose,” says Linda Casey, spokeswoman for Marathon Oil, which
owns and operates the region’s
Speedway retail stores.
Hamilton Co. Fair
a relic of the past?
Must reads inside
today’s Enquirer
An archaeological dig at
the Fort Ancient State Memorial in Warren County
was getting down to the
nitty-gritty Friday.
LOCAL D1
The Enquirer has published findings of the price analysis every day
this week. Sunday, a special report
will explain how the gas market is
rapidly changing, affecting prices
you pay at the pump.
Currently, Kentucky drivers pay
a state gas tax of 22.5 cents a gallon.
Ohio drivers pay 28 cents a gallon.
But Northern Kentucky counties
in the summer also require the sale
of cleaner-burning reformulated
gas, which is expensive to produce.
No nearby refineries make it, so it
must be piped in or trucked from
places such as Chicago.
The difference in price from state
to state reflects a broader national issue. States and cities are free to
Search: gas
State gasoline taxes are 5½ cents
a gallon less in Kentucky than Ohio
– but that doesn’t mean gas is cheaper in the Bluegrass State.
To the contrary, Northern Kentucky drivers paid as much or more
for regular unleaded fuel as Ohio
drivers in May and June, according
to an Enquirer analysis of daily sales
at 716 area stations.
Prices averaged $3.91 a gallon in
Kentucky and $3.90 in Ohio during
the two months. In recent days, the
disparity has grown wider: Since July 15, regular unleaded has ranged
Up Front
Archaeology Day;
can you dig it?
50 CENTS
Declining attendance
threatens long tradition
By Jessica Brown
jlbrown@enquirer.com
The Hamilton County Fair, preparing for its 153rd edition this year, isn’t faring so well these days.
The annual event, which begins Wednesday, was once
a packed-house affair that drew about 30,000 people.
But much like the aging buildings that dot its 30-acre
fairgrounds in Carthage, the event has lost much of its
luster.
Attendance dropped 40 percent
between 2003 and 2007, hitting an
Cincinnati.Com
all-time low of 12,458 last year.
Other local fairs in Greater Cin- m Does Hamilton
cinnati are doing well. But a little County really need a
farther north, Franklin County fair anymore?
(Columbus) also experienced a News.Cincinbig drop in attendance.
nati.Com/forums
Hamilton County Fair managm View photo gallerers blame last summer’s heat wave
for part of the 2007 attendance ies from area county
drop, but they don’t deny that their fairs. Search: photos
fair needs help. Several things
might be contributing to the fair’s weak pulse.
m Outdated buildings. The fair’s main source of revenue is renting out buildings in the offseason, but it is difficult to rent out buildings in poor condition.
m Lack of corporate or government support. The county gives $3,300, which is the minimum the state allows.
Hamilton County has more people than surrounding counties, but its fair drew fewer people in 2007.
COUNTY POPULATION ATTENDANCE
PERCENT*
almost 70,000
36
357,888
88,000
24.6
Warren
204,390
N/A
N/A
Hamilton
842,369
12,458
1.5
Boone
112,459
30,000
26.7
Kenton
156,675
est. 25,000
16
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Housing
rescue
closer
WASHINGTON – The Senate cleared the
last hurdle Friday to passing a housing rescue
aimed at sparing hundreds of thousands of
homeowners from foreclosure and bolstering
mortgage giants Fannie Mae and Freddie Mac.
The 80-13 test vote showed
broad support for the electionyear package and put it on track Read past artito pass the Senate by today. The cles about the
White House says President housing crisis
Bush will sign it, having earlier at Cincinnati.
dropped a threat to veto it over Com.
$3.9 billion in neighborhood Search:
grants.
foreclose
The bill – regarded as the
most significant housing legislation in a generation – is designed to help an estimated 400,000 homeowners escape foreclosure
by letting them refinance into more affordable
loans backed by the Federal Housing Administration.
It was set to clear Congress as a private company reported that the number of households facing the foreclosure process more than doubled
in the second quarter of 2008 compared with a
year ago. Irvine, Calif.-based RealtyTrac, Inc.,
said 739,714 homes received at least one foreclosure-related notice during the quarter, or one in
every 171 U.S. households.
The plan gives the Treasury Department power to spend unlimited amounts to prop up Fannie
and Freddie, should they need it, to calm investor fears about their financial stability at a time of
rising foreclosures and falling home values.
Many Republicans have vehemently opposed
the rescue, which they call a bailout of irresponsible homeowners and unscrupulous lenders.
Online
How the fairs compare
190,000
CHEAPER GAS: OHIO OR KENTUCKY?
The Associated Press
See FAIR, Page A9
Butler
D AY S I X
Final Senate vote
is expected today
Online
Clermont
GAS PRICE
SECRETS REVEALED
The Enquirer/Tony Jones
Annie Gallick, 11, of Wyoming, with her horse Blue, is a 4-H member
who’s preparing for the Hamilton County Fair, which begins Wednes*County population that went to the fair
Source: Census data, Enquirer research day. Attendance at the fair has been in a free fall in recent years.
McCain gains traction after long week
Salmonella source
Avoid jalapeños
from Mexico
Labors busily while Obama in spotlight
The U.S. Food and Drug Administration told consumers
Friday to avoid eating raw Mexican-grown jalapeños and the
serrano peppers often confused
with them.
The peppers are the most
likely source of the salmonella
breakout that has sickened almost 1,300 people, the government said. Monday, the FDA
said it had found the salmonella
strain on a Mexican-grown jalapeño in a Texas warehouse.
NATION A5
By Tom Raum
The Associated Press
DENVER – Republican presidential candidate John McCain –
ridiculing Barack Obama for “the
audacity of hopelessness” in his policies on Iraq – said Friday that the
entire Middle East could have
plunged into war had U.S. troops
been withdrawn as his rival advocated.
Speaking to an audience of Hispanic military veterans, McCain
stepped up his criticism of Obama
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SENTRA 2.0
Model #42718
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while the Illinois
senator continued
his headline-grabbing tour of the
Middle East and
Europe. The Arizona Republican contended
that
Obama’s policies – he opposed
sending more troops to Iraq in the
“surge” that McCain supported –
would have led to defeat there and
in Afghanistan.
See MCCAIN, Page A11
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Inside,
online
The Associated Press/Carolyn Kaster
Republican presidential candidate John McCain meets Friday with the Dalai Lama in Aspen, Colo.
Page A2
m Obama continues trip
across Europe.
m Israeli paper
says it has
Obama’s note.
Cincinnati.Com
m Get the latest on the presidential campaign.
Search:
election
FALHABER NISSAN
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LN
SATURDAY, JULY 26, 2008
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A1.0
Time: 07-26-2008 22:01 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
MORE COVERAGE IN SPORTS
TRAINING CAMP AND TENNIS
BENGALS: MARVIN LEWIS SAYS IT’S TIME TO PERFORM
ATP: MASON TOURNEY COULD BE NADAL’S CROWNING
COUPONS WORTH $114 INSIDE TODAY
GO ONLINE: FIND PHOTOS FROM THE REDS GAME AND FAN FACES. SEARCH: REDS
THE CINCINNATI ENQUIRER
CINCINNATI.COM
LN
SUNDAY, JULY 27, 2008
Up Front
Must reads inside
today’s Enquirer
Indian
city hit
by series
of bombs
REVEALED
GAS PRICE SECRETS
GAS WARS
Pops maestro
triumphantly
returns to China
Erich Kunzel will lead the
Cincinnati Pops, the only
American orchestra invited, in two performances at
the Olympics in Beijing.
A&E D1
Attack at market
kills at least 29
Columbus family
adopts local teen
By R.K. Misra
The Associated Press
The Steinhausers reflect a
Hamilton County agency’s
new emphasis on finding
homes for foster children.
LOCAL B1
Hoosier state’s
summer highlights
Indiana’s summer is taking off with something for
every kind of traveler.
TRAVEL F1
Snooty Fox makes
saving stylish
The consignment chain’s
owner refurbished an old
idea for high profits.
BUSINESS G1
Candidates’ plans
for the war in Iraq
Read columns that Barack
Obama and John McCain
recently submitted to the
New York Times.
FORUM I1
Enquirer photos
Ashley Deel (in photo at left) changes prices at the Speedway on Hunt Road in Blue Ash with the assistance of station manager Kenneth McNeill. Stations on Mason-Montgomery Road (top) were
selling for $3.85 Wednesday. Renee Klein of Florence pumps gas at a Chevron on U.S. 42 in Florence. Prices were a little lower at the Kroger on Mason-Montgomery (above right).
Also…
A Wyoming couple renovated their 1890 house to
evoke two distinct styles.
HOMESCAPE E1
“Mad Men,” AMC’s drama
about the ’60s, returns for
a second season of lies,
changes.
TV WEEK
2008 Summer Olympics
preview: Shawn Johnson
is the gymnast to watch in
Beijing, says 1996 goldmedalist Shannon Miller.
Plus, a pullout day-by-day
TV guide.
USA WEEKEND
WEATHER
High 88°
Low 66°
Partly
sunny
COMPLETE FORECAST: B8
INDEX
12 sections, 168th year, No. 109
A&E ............... D1 Movies ........... D2
Business ........ G1 Obituaries ...... B6
Forum ............. I1 Puzzles ........... D7
Life ............. F6-7 Sports ............ C1
Lotteries ......... B8 TV .......... TV Week
Classified .................. E1-12, H1-6, J1-8
First Run Classified ........................ A20
Copyright, 2008, The Cincinnati Enquirer
Portions of
today’s Enquirer
were printed on
recycled paper
$1.50
How the fight over pennies affects prices you pay
By James Pilcher
and Gregory Korte
jpilcher@enquirer.com and
gkorte@enquirer.com
O
n May 7, the average price
of regular unleaded gas
shot up 16 cents overnight
in Greater Cincinnati and
Northern Kentucky – then spiked
another 16 cents six days later.
On May 16, an Ameristop in
Franklin sold regular unleaded
gas for $4.46 a gallon while another Ameristop, eight miles north,
sold the same Shell fuel for $3.96.
And on June 29, prices in
Northern Kentucky hit $4.16 a
gallon for regular unleaded gas,
compared to $4.02 in Cincinnati.
Up one morning, down the
next. Same brand, different prices. Why?
As gas hovers around $4 a gallon, motorists are paying prices
set by a complicated alchemy of
location, competition and timing
in one of the most competitive
markets in the nation.
Part street fight and part marketing science, gas pricing has
become as sophisticated as the
latest statistical analysis and as
simple as one station owner
looking across the street to see
what his rival is doing.
An Enquirer analysis of daily
gas prices at 716 area stations in
May and June, and interviews
with dozens of dealers, consumers and experts, finds that competition is still the No. 1 factor influencing how prices are set.
But the analysis also underscores the impact of new trends
on local pricing at the pump:
See GAS, Page A10
Inside, online
Pages A10-11
m Six secrets you need to know
m Prices by neighborhood
m Highest, lowest prices
Cincinnati.Com, Search: gas
m Find the cheapest gas in your
area at CinciNavigator
m Use calculators to figure costs
m Join the discussion
m Video: You asked the
questions
AHMADABAD,
India
–
Bombs exploded Saturday near a
busy market and a hospital in a
western Indian city, killing 29 people and injuring 88 a day after deadly blasts struck the southern technology hub of Bangalore.
There was no immediate claim
of responsibility and it was not clear
whether the bombings were connected to those a day earlier. But
suspicion quickly fell on Muslim
militants blamed for previous attacks, including the 2006 bombings
that killed nearly 200 in Mumbai,
also known as Bombay.
At least 16 bombs went off Saturday evening in several crowded
neighborhoods of Ahmadabad – a
historic city that in 2002 was the
scene of some of the worst rioting
between India’s Hindu majority
and its Muslim minority.
The bombs went off in two separate spates. The first, near a busy
market, left some of the dead
sprawled beside stands piled high
with fruit, next to twisted bicycles
and in public squares. The second
went off near a hospital.
Narenda Modi, the chief minister
of Gujarat state, where Ahmadabad
is located, called the blasts “a crime
against humanity.” He said the
bombings appeared to have been
masterminded by a group or groups
who “are using a similar modus operandi all over the country.”
The attacks are believed to be an
attempt to provoke violence between India’s Hindu majority and
the Muslim minority.
Those fears were amplified by
the history of Ahmadabad’s 2002 riots between Muslims and Hindus.
That violence killed about 1,000
people, most of them Muslims. It
was triggered by a fire that killed 60
passengers on a train packed with
Hindu pilgrims. Hindu extremists
blamed the deaths on Muslims and
rampaged through Muslim neighborhoods, although the cause of
the blaze remains unclear.
On Friday, seven synchronized
small bombs killed two people and
injured at least five in Bangalore.
Battle among beer baron’s heirs
brews up trouble for law firm
By Kimball Perry
Online: Read Cundall’s
classmates and buddies at
Walnut Hills High.
As adults, they used that
friendship and reliance on
each other to make their
names and build their fortunes.
Koons became an executive with Cincinnati’s Burger
Beer brewery and the majority shareholder in its succes-
sor company, which sold four
soft drink bottling businesses
in 2005 for $340 million.
Ward became a prominent
Cincinnati lawyer, a former
president of the Cincinnati
Bar Association who started
his own firm in 1958. He was
Koons’ personal and business
lawyer for more than four dec-
kperry@enquirer.com
lawsuit and other documents
John “Bud” Koons III and at Cincinnati.Com.
Richard “Dick” Ward were Search: Koons
ades, work for which he
earned millions of dollars,
court documents note.
Now, Koons’ estate and
Ward, 85, are prime players in
a $300 million legal drama unfolding in Hamilton County
and Florida involving three
bitter lawsuits.
They deal with broken confidences established over
generations and accusations
concerning huge dollars and
even bigger egos.
The numbers involved are
eye-popping – followed by six,
seven and eight zeroes – with
the centerpiece transaction
exceeding a third of a billion
dollars.
The accusations include a
lawyer retaliating against a client for being removed from a
consulting job that paid him
$250,000 per year for no more
than 10 hours work per
month. They come from an
estate that would pass to a
Florida politician and the widow of rock icon Jerry Garcia.
See BATTLE, Page A6
The Enquirer/Joseph Fuqua II
Holiday time at Macy’s fest
J. Holiday performs Saturday during the Macy’s Music
Festival at Paul Brown Stadium.
At Cincinnati.Com: More photos and a review from
Saturday night’s show. Search: photos
Inside, B2: A review of Friday performances.
HURRY OFFER ENDS JULY 31
Kroger helps you get more
for your money with...
With the purchase of $300, $600 or
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worth of Kroger Gift Cards, and get an
extra 10% added to the value–Free!
Offer applies to in-store purchases only of new Kroger gift cards,
and does not include re-loads on existing gift cards. This offer cannot
be combined with any other discount or offer. Limit one offer per
household, with Kroger Plus Card. Bonus amounts cannot be
redeemed for alcohol, tobacco, pharmaceuticals or lottery tickets.
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A1.0
Time: 07-26-2008 22:01 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
MORE COVERAGE IN SPORTS
TRAINING CAMP AND TENNIS
BENGALS: MARVIN LEWIS SAYS IT’S TIME TO PERFORM
ATP: MASON TOURNEY COULD BE NADAL’S CROWNING
COUPONS WORTH $114 INSIDE TODAY
GO ONLINE: FIND PHOTOS FROM THE REDS GAME AND FAN FACES. SEARCH: REDS
THE CINCINNATI ENQUIRER
CINCINNATI.COM
LN
SUNDAY, JULY 27, 2008
Up Front
Must reads inside
today’s Enquirer
Indian
city hit
by series
of bombs
REVEALED
GAS PRICE SECRETS
GAS WARS
Pops maestro
triumphantly
returns to China
Erich Kunzel will lead the
Cincinnati Pops, the only
American orchestra invited, in two performances at
the Olympics in Beijing.
A&E D1
Attack at market
kills at least 29
Columbus family
adopts local teen
By R.K. Misra
The Associated Press
The Steinhausers reflect a
Hamilton County agency’s
new emphasis on finding
homes for foster children.
LOCAL B1
Hoosier state’s
summer highlights
Indiana’s summer is taking off with something for
every kind of traveler.
TRAVEL F1
Snooty Fox makes
saving stylish
The consignment chain’s
owner refurbished an old
idea for high profits.
BUSINESS G1
Candidates’ plans
for the war in Iraq
Read columns that Barack
Obama and John McCain
recently submitted to the
New York Times.
FORUM I1
Enquirer photos
Ashley Deel (in photo at left) changes prices at the Speedway on Hunt Road in Blue Ash with the assistance of station manager Kenneth McNeill. Stations on Mason-Montgomery Road (top) were
selling for $3.85 Wednesday. Renee Klein of Florence pumps gas at a Chevron on U.S. 42 in Florence. Prices were a little lower at the Kroger on Mason-Montgomery (above right).
Also…
A Wyoming couple renovated their 1890 house to
evoke two distinct styles.
HOMESCAPE E1
“Mad Men,” AMC’s drama
about the ’60s, returns for
a second season of lies,
changes.
TV WEEK
2008 Summer Olympics
preview: Shawn Johnson
is the gymnast to watch in
Beijing, says 1996 goldmedalist Shannon Miller.
Plus, a pullout day-by-day
TV guide.
USA WEEKEND
WEATHER
High 88°
Low 66°
Partly
sunny
COMPLETE FORECAST: B8
INDEX
12 sections, 168th year, No. 109
A&E ............... D1 Movies ........... D2
Business ........ G1 Obituaries ...... B6
Forum ............. I1 Puzzles ........... D7
Life ............. F6-7 Sports ............ C1
Lotteries ......... B8 TV .......... TV Week
Classified .................. E1-12, H1-6, J1-8
First Run Classified ........................ A20
Copyright, 2008, The Cincinnati Enquirer
Portions of
today’s Enquirer
were printed on
recycled paper
$1.50
How the fight over pennies affects prices you pay
By James Pilcher
and Gregory Korte
jpilcher@enquirer.com and
gkorte@enquirer.com
O
n May 7, the average price
of regular unleaded gas
shot up 16 cents overnight
in Greater Cincinnati and
Northern Kentucky – then spiked
another 16 cents six days later.
On May 16, an Ameristop in
Franklin sold regular unleaded
gas for $4.46 a gallon while another Ameristop, eight miles north,
sold the same Shell fuel for $3.96.
And on June 29, prices in
Northern Kentucky hit $4.16 a
gallon for regular unleaded gas,
compared to $4.02 in Cincinnati.
Up one morning, down the
next. Same brand, different prices. Why?
As gas hovers around $4 a gallon, motorists are paying prices
set by a complicated alchemy of
location, competition and timing
in one of the most competitive
markets in the nation.
Part street fight and part marketing science, gas pricing has
become as sophisticated as the
latest statistical analysis and as
simple as one station owner
looking across the street to see
what his rival is doing.
An Enquirer analysis of daily
gas prices at 716 area stations in
May and June, and interviews
with dozens of dealers, consumers and experts, finds that competition is still the No. 1 factor influencing how prices are set.
But the analysis also underscores the impact of new trends
on local pricing at the pump:
See GAS, Page A10
Inside, online
Pages A10-11
m Six secrets you need to know
m Prices by neighborhood
m Highest, lowest prices
Cincinnati.Com, Search: gas
m Find the cheapest gas in your
area at CinciNavigator
m Use calculators to figure costs
m Join the discussion
m Video: You asked the
questions
AHMADABAD,
India
–
Bombs exploded Saturday near a
busy market and a hospital in a
western Indian city, killing 29 people and injuring 88 a day after deadly blasts struck the southern technology hub of Bangalore.
There was no immediate claim
of responsibility and it was not clear
whether the bombings were connected to those a day earlier. But
suspicion quickly fell on Muslim
militants blamed for previous attacks, including the 2006 bombings
that killed nearly 200 in Mumbai,
also known as Bombay.
At least 16 bombs went off Saturday evening in several crowded
neighborhoods of Ahmadabad – a
historic city that in 2002 was the
scene of some of the worst rioting
between India’s Hindu majority
and its Muslim minority.
The bombs went off in two separate spates. The first, near a busy
market, left some of the dead
sprawled beside stands piled high
with fruit, next to twisted bicycles
and in public squares. The second
went off near a hospital.
Narenda Modi, the chief minister
of Gujarat state, where Ahmadabad
is located, called the blasts “a crime
against humanity.” He said the
bombings appeared to have been
masterminded by a group or groups
who “are using a similar modus operandi all over the country.”
The attacks are believed to be an
attempt to provoke violence between India’s Hindu majority and
the Muslim minority.
Those fears were amplified by
the history of Ahmadabad’s 2002 riots between Muslims and Hindus.
That violence killed about 1,000
people, most of them Muslims. It
was triggered by a fire that killed 60
passengers on a train packed with
Hindu pilgrims. Hindu extremists
blamed the deaths on Muslims and
rampaged through Muslim neighborhoods, although the cause of
the blaze remains unclear.
On Friday, seven synchronized
small bombs killed two people and
injured at least five in Bangalore.
Battle among beer baron’s heirs
brews up trouble for law firm
By Kimball Perry
Online: Read Cundall’s
classmates and buddies at
Walnut Hills High.
As adults, they used that
friendship and reliance on
each other to make their
names and build their fortunes.
Koons became an executive with Cincinnati’s Burger
Beer brewery and the majority shareholder in its succes-
sor company, which sold four
soft drink bottling businesses
in 2005 for $340 million.
Ward became a prominent
Cincinnati lawyer, a former
president of the Cincinnati
Bar Association who started
his own firm in 1958. He was
Koons’ personal and business
lawyer for more than four dec-
kperry@enquirer.com
lawsuit and other documents
John “Bud” Koons III and at Cincinnati.Com.
Richard “Dick” Ward were Search: Koons
ades, work for which he
earned millions of dollars,
court documents note.
Now, Koons’ estate and
Ward, 85, are prime players in
a $300 million legal drama unfolding in Hamilton County
and Florida involving three
bitter lawsuits.
They deal with broken confidences established over
generations and accusations
concerning huge dollars and
even bigger egos.
The numbers involved are
eye-popping – followed by six,
seven and eight zeroes – with
the centerpiece transaction
exceeding a third of a billion
dollars.
The accusations include a
lawyer retaliating against a client for being removed from a
consulting job that paid him
$250,000 per year for no more
than 10 hours work per
month. They come from an
estate that would pass to a
Florida politician and the widow of rock icon Jerry Garcia.
See BATTLE, Page A6
The Enquirer/Joseph Fuqua II
Holiday time at Macy’s fest
J. Holiday performs Saturday during the Macy’s Music
Festival at Paul Brown Stadium.
At Cincinnati.Com: More photos and a review from
Saturday night’s show. Search: photos
Inside, B2: A review of Friday performances.
HURRY OFFER ENDS JULY 31
Kroger helps you get more
for your money with...
With the purchase of $300, $600 or
$1200 worth of Kroger Gift Cards!
Gift Card
Here’s how it works:
Now through July 31st buy $300, $600 or $1,200
worth of Kroger Gift Cards, and get an
extra 10% added to the value–Free!
Offer applies to in-store purchases only of new Kroger gift cards,
and does not include re-loads on existing gift cards. This offer cannot
be combined with any other discount or offer. Limit one offer per
household, with Kroger Plus Card. Bonus amounts cannot be
redeemed for alcohol, tobacco, pharmaceuticals or lottery tickets.
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A10.0
Time: 07-26-2008 20:58 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
A10 SUNDAY, JULY 27, 2008
How neighborhoods compare
How much you pay for gas often depends on where you live. On average, motorists
pay more in inner-city neighborhoods and rural areas where fewer gas stations
compete for your business. Motorists fueling up in Indian Hill and Verona paid some
of the highest prices in May and June, while consumers in Union and Avondale paid
some of the lowest.
Average price by ZIP code
May-June 2008
$3.81 - $3.87
$3.88 - $3.93
$3.94 - $4.00
$4.01 - $4.06
No stations
75
Butler Co.
74
Dearborn Co.
Warren Co.
Hamilton Co.
Clermont Co.
275
275
Kenton Co.
Boone Co.
Southwest Ohio
45002
45005
45011
45013
45014
45015
45026
45030
45032
45036
45039
45040
45042
45044
45050
45053
45056
45065
45066
45067
45068
45069
45102
45103
45106
45120
45122
45140
45150
45152
45157
45160
45174
45176
45202
45203
45204
45205
45206
45207
45208
45209
45211
45212
45213
45214
45215
45216
45217
45219
45220
45223
45224
45225
45226
45227
45229
45230
Cleves
Franklin
Hamilton
Hamilton
Fairfield
Hamilton
Hamilton
Harrison
Harveysburg
Lebanon
Maineville
Mason
Middletown
Middletown
Monroe
Okeana
Oxford
South Lebanon
Springboro
Trenton
Waynesville
West Chester
Amelia
Batavia
Bethel
Felicity
Goshen
Loveland
Milford
Morrow
New Richmond
Owensville
Terrace Park
Williamsburg
Downtown
West End
Lower Price Hill
Price Hill
Walnut Hills
Evanston
Hyde Park
Oakley
Westwood
Norwood
Kennedy Heights
Fairmount
Wyoming
Carthage
Saint Bernard
Corryville
Clifton
Northside
College Hill
Camp Washington
East End
Fairfax
Avondale
Mount Washington
Campbell Co.
75
71
ZIP Code Includes*
71
Average Number
Price of stations ZIP Code Includes*
$3.94
$3.87
$3.86
$3.90
$3.88
$3.88
$3.88
$3.94
$3.96
$3.92
$3.89
$3.89
$3.90
$3.88
$3.90
$3.92
$3.89
$3.88
$3.87
$3.88
$3.95
$3.91
$3.89
$3.91
$3.96
$4.03
$3.90
$3.89
$3.88
$3.92
$3.94
$3.91
$3.95
$3.95
$3.94
$3.94
$3.90
$3.92
$3.92
$3.92
$3.93
$3.90
$3.91
$3.89
$3.91
$3.91
$3.90
$3.90
$3.90
$3.93
$4.03
$3.92
$3.91
$3.94
$3.92
$3.92
$3.85
$3.93
5
18
16
13
23
3
1
12
1
13
4
17
8
15
4
1
9
1
7
4
4
19
11
12
3
2
2
19
18
2
2
2
3
3
1
3
2
4
3
2
4
6
10
10
6
3
8
7
4
2
1
5
5
5
4
7
5
8
45231 Mount Healthy
45232 Saint Bernard
45233 Delhi Township
45236 Blue Ash
45237 Bond Hill
45238 Covedale
45239 White Oak
45240 Forest Park
45241 Sharonville
45242 Montgomery
45243 Indian Hill
45244 Mariemont
45245 Newtown
45246 Glendale
45247 Colerain Township
45248 Westwood
45249 Symmes Township
45251 Colerain Township
45255 Anderson Township
Southwest Ohio total
Northern Kentucky
ZIP Code Includes*
41001 Alexandria
41005 Burlington
41007 California
41011 Covington
41015 Latonia
41016 Covington
41017 Fort Mitchell
41018 Erlanger
41042 Florence
41048 Hebron
41051 Independence
41059 Melbourne
41071 Newport
41073 Bellevue
41074 Dayton
41075 Fort Thomas
41076 Newport
41091 Union
41092 Verona
41094 Walton
Northern Kentucky total
Southeastern Indiana
ZIP Code Includes*
47001 Aurora
47018 Dillsboro
47022 Guilford
47025 Lawrenceburg
47032 Moores Hill
47060 West Harrison
Southeastern Indiana total
Regional total
Average Number
Price of stations
$3.90
$3.91
$3.95
$3.92
$3.91
$3.91
$3.92
$3.87
$3.91
$3.92
$4.05
$3.91
$3.90
$3.89
$3.92
$3.91
$3.89
$3.94
$3.91
$3.90
20
1
4
11
5
14
8
9
15
11
2
15
9
10
8
7
7
6
7
561
Average Number
Price of stations
$3.90
$3.95
$3.92
$3.92
$3.90
$3.96
$3.94
$3.93
$3.91
$3.92
$3.92
$3.91
$3.91
$3.90
$3.89
$3.96
$3.89
$3.81
$4.06
$3.92
$3.91
10
2
2
12
6
1
13
12
27
5
4
1
4
3
1
3
11
3
2
8
130
Average Number
Price of stations
$3.96
$3.97
$4.01
$3.95
$3.97
$3.95
$3.96
$3.91
7
2
1
11
1
3
25
716
*ZIP codes often contain multiple neighborhoods, and neighborhoods often cross several ZIP codes.
These representative neighborhoods are listed simply to help readers locate the ZIP code.
Source: Enquirer analysis of data from the Oil Price Information Service. Analysis based on sales of regular,
unleaded gas at 716 stations in SW Ohio, N. Kentucky and SE Indiana.
The Enquirer/Gregory Korte, Randy Mazzola
About this report:
716 stations, 61 days
T
o unlock the secrets of retail
gas prices, The Enquirer analyzed a database of daily gas
prices reported by 716 stations in Greater Cincinnati, Northern Kentucky and Southeastern
Indiana. Data were reported over
61 days in May and June – a time
period that saw a 50-cent climb in
average gas prices.
In all, 31,439 price points were
analyzed.
The data came courtesy of the
Oil Price Information Service, a
Wall, N.J., provider of pricing data. It’s the same source used by
many gasoline retailers to monitor
the competition and set their own
prices.
All prices in this report are for a
gallon of regular unleaded gas.
Not all participating stations reported prices for all days; the typical station reported data for 44 of
the 61 days. In some cases, The
Enquirer omitted stations from
the analysis when the small number of reporting dates would have
skewed their average cost.
Other sources of data included
interstate ramp maps supplied by
the Ohio-Kentucky-Indiana Regional Council of Governments
and ZIP-code areas from the U.S.
Census Bureau.
Data supplied by the Oil Price
Information Service differs from
numbers provided by Gasbuddy.com, which supplies retail gas
prices to many media outlets including The Enquirer’s Web site,
Cincinnati.Com. Gasbuddy data
come from prices reported by motorists, who share prices they see
with others in an online forum. It’s
free (as opposed to the subscription-based OPIS data) and available in real time.
The data used for this report,
on the other hand, are more comprehensive – about 80 percent of
the region’s stations participate.
It’s also more reliable because
prices come directly from creditcard charges for the actual cost
paid.
— Gregory Korte
and James Pilcher
REVEALED
THE ENQUIRER
Gas: Stations in price dogfight
From Page A1
m Speedway has emerged as
the region’s market leader. It routinely uses its competitive power
to set pricing, and other stations
follow.
m Increasing numbers of fueling stations at Kroger, Costco,
Sam’s Club and other large operators are making gas sales more
competitive, with lower-than-average prices.
m Most oil companies are exiting the difficult retail gas business. That’s increased the number of smaller gas station owners
who can influence street pricing
up or down.
The cost of crude oil, refining
expenses, taxes and marketing all
are driving the price of gas. But
most of the profits have long been
pocketed by the oil companies
and refineries that pulled crude
out of the ground, shipped it and
made it into gas.
What’s left of your gas dollar is
open to cutthroat competition.
“Once the product leaves the
refinery gate, it’s every man for
himself,” says James Patneau Jr.,
chairman of the Ohio Petroleum
Marketers and Convenience
Store Association, who runs four
stations and delivers gas to 30 or
so others around Cleveland.
Competition rules
Greater Cincinnati and Northern Kentucky is among the most
competitive regions in the country, noted for relatively small differences between wholesale and
retail gas prices, according to the
Oil Price Information Service, a
Wall, N.J., firm that tracks national oil and gas pricing. The company supplied the daily prices for
regular unleaded gas used in The
Enquirer’s analysis.
Greater Cincinnati also has a
relatively high concentration of
gas stations competing, according
to the U.S. Census Bureau.
Cincinnati’s 92 gas stations per
100,000 households compares to
87 for Indianapolis, 86 for Kansas
City, Mo., and 62 for Sacramento,
Calif. – all cities of similar or
slightly larger size.
Add relative newcomer Kroger
and its strategy of undercutting
street pricing through its loyalty
card program, and competition
has become even more intense.
“This is a penny business –
we’re all just fighting over
pennies,” says Stephen Hightower, president and chief executive
officer of Franklin-based Hightowers Petroleum Co. His company supplies gas to hundreds of
U.S. stations and is trying to buy
more than 100 BP stations.
“Unfortunately, it’s that marquee sign across the street that
determines whether we’ll make a
penny or five or lose two to
three,” he says.
Daily, station managers and
owners decide whether to match
price increases or decreases by
competitors across the street, or
to raise prices on their own – and
maybe make more profit but lose
all-important volume.
The decisions can mean the
difference between eking out a
meager profit and losing money.
Take this typical scenario:
A station owner buys gas at
$3.55 a gallon and sells it for
$3.86, current wholesale and retail averages in Southwest Ohio.
The dealer nets a gross profit of
31 cents a gallon, or $2,480 a
week if he sells 8,000 gallons – a
very busy store. But credit card
companies are charging gas retailers 3 percent or more on total
sales, meaning that $926 or more
is knocked off the owner’s profit
since the vast majority of purchases are made with plastic.
That leaves about $1,500 before
covering costs such as insurance,
payroll, the mortgage and possible drive-off thefts.
Replacing hose nozzles – a station might lose two a month to absent-minded drivers – will cost
$600 each.
Prices may be slightly different
in Kentucky, but the effect is still
the same: Station owners say they
make more profit off a $1.49 cup
of coffee than a full tank of gas.
“The store will not pay for your
overhead,” says Robert Lusby,
who owns a Sunoco station on
Buttermilk Pike just off Interstate
The Enquirer/Jeff Swinger
Ebony Johnson (left), 14, and her mother, Anissa Johnson of Westwood, pump gas into their van Friday at the Western Hills Kroger.
71/75 in Crescent Springs. “You
can’t sell enough Twinkies and
soda to make it – I lost $80,000
last year.”
When asked why he’s still in
the business, Lusby shoots back:
“Want to buy it?”
The cents are adding up for
consumers as well: Americans
spent nearly $100 million more on
gas in June than in May, and $1
billion more on gas in June than
during the same month five years
ago.
For consumers used to a decade of cheap energy in the 1990s,
the price increases are nothing
short of shocking.
“Basically, I am working to buy
gas at this point,” West Chester
school teacher Kim Fowler says.
She just put $80 worth of gas into
her three-ton Toyota Sequoia in
Florence for a trip to Atlanta.
Fowler would love to “even pay
$3 a gallon, even though I used to
cringe at that.”
Leaders and followers
Retailers say they usually follow the leader when it comes to
setting a daily price.
Locally, that leader is Speedway, the Enquirer analysis shows.
With at least 80 stores in the
area, Speedway owns the highest
market share – more than 20
percent of all gas sold in the region, market studies show.
Every week during May and
June, average area prices spiked
on Wednesday, then slowly declined over the next few days before reaching a low on Tuesday.
Wednesday’s spike was preceded
every week by an increase in
Speedway prices on Tuesday.
Speedway prices then routinely
fell slightly below the area average over the rest of the week.
The chain owned by Houstonbased Marathon Oil sold regular,
unleaded gas at an average $3.90
a gallon during May and June,
falling right in the middle of average prices for all stations.
“They are the market leader,
and they compete using that advantage,” says Pat Gilligan, president of Hyde Park-based Gilligan
Oil, which owns 43 stations in
Cincinnati and Columbus.
Marathon Oil’s Linda Casey
says Speedway has “a high-quality fuel supply, and we can offer it
at competitive prices.”
She wouldn’t discuss Speedway’s local market position or
specific pricing strategies, citing a
lawsuit by the Kentucky attorney
general over alleged price gouging after Hurricanes Katrina and
Rita in fall 2005.
Retail price also is influenced
by the price a station pays for gas
in the first place. A smaller fuel
delivery costs more per gallon
than a full delivery from an 8,700-
major impact on the market.
gallon tanker.
In addition, franchisees can get Those guys will always push the
price frontier.
rebates from their parent gas
“You’re going to see Kroger
companies for volume sold –
continue to be a leader in this armuch like incentives that car
manufacturers give their dealers. ea and around the country.”
Company officials wouldn’t disThat might make a station owner
cuss pricing policies.
willing to knock a penny or two
But in a conference call with
off his street price to drive more
analysts last month, Kroger execsales.
utives said that gas sales only
Most consumers are aware
that retail prices usually climb as broke even in January, February
and March.
soon as the price of crude oil
“We price our fuel stations
spikes, even if the gas in a stareally well on the street price.
tion’s underground tanks was
And, so, that drives some of the
bought at a lower price.
(grocery) business, too,” Kroger
“I get a lot of flak for that, and
it makes me mad because people chairman and CEO Dave Dillon
said during the call.
don’t understand,” says Steve
Local distributor Hightower
Harper, whose Florence-based
sells gas to Kroger here and elseHarper Oil Co. runs eight convenience stores and supplies anoth- where. He says big-box stores are
er 25 or so in Northern Kentucky. “some of the most sophisticated
“I’ve got to do that to be able to buyers out there when it comes
to gas, and they know how to get
get the margin to afford the next
the lowest prices.”
load, which will be much more
expensive. It’s not like I’ll make
any profit in the long run – any re- Changing face of retail
Fierce competition in difficult
turns on raising the price go into
times has caused many major oil
the next load at a higher price.”
companies to leave the retail busiThe Kroger effect
ness and concentrate instead on
Stations within a mile of Kromore lucrative exploration, exger gas pumps were about a pen- traction and refining operations.
ny cheaper than those farther
Last fall, the Ameristop conveaway during May and June, the
nience store chain went out of
Enquirer analysis shows.
business. The name survived,
Experts say grocers and other however, and many different ownnontraditional gas sellers are pull- ers now sell Shell gasoline under
ing prices down everywhere,
the Ameristop name. In Northern
even selling below cost to lure
Kentucky, 11 former Ameristops
shoppers inside their stores.
are now Road Ranger stores.
Kroger began selling gas localShell left the retail business a
ly about eight years ago at the
few years ago, and England-based
Mount Orab store. Now, Kroger
BP is selling off its retail outlets.
operates fuel centers at 28 of its
“It’s hard for BP to manage a
77 stores in Greater Cincinnati
station, say at the corner of Broad
and Northern Kentucky.
and Third in Columbus, from
Kroger offers local customers
London,” says Karen Dryer, execwho spend $100 a month inside
utive vice president of the Ohio
the stores the opportunity to pur- Petroleum Marketers Associachase a fill-up at a 10-cent-a-gallon tion.
discount.
Speedway, owned by Marathon
Calvin Taylor of Anderson
Oil, will soon be the region’s last
Township buys his gas at Kroger remaining convenience-store
on Beechmont Road. His main in- chain owned by an oil company.
terest is in consolidating trips and
More owners could mean a
saving money. “I am willing to
greater range in gas pricing localwait in line (at the pump), but I
ly, although not necessarily lower
do it when I buy my groceries,”
prices, since owners already are
he says.
sometimes losing money.
Grocers and big-box stores are
Nobody is willing to guess
slowly changing the retail gas inwhere the high prices might
dustry, says Matt Lewis, econom- lead.
ics professor at Ohio State Uni“I’ve been around this business
versity. Still, he says, the shift is
in one way or another for about
nothing like the rapid makeover
38 years, and I’ve never seen anyof the market in the 1970s, when
thing as serious as what we’re
the Arab oil embargo put an emdealing with now,” says Harper,
phasis on gas prices and led to in- the Northern Kentucky operator.
novations such as self-service
“We’ve got increased price for the
pumps and convenience stores
product, continually depressed
selling gas.
margins, higher credit card fees
“You’re never going to have as and other expenses.
many grocery stores as gas sta“If energy prices don’t start gotions to meet the demand,” says
ing in the other direction, a lot of
Lewis, who specializes in retail
people are going to fall out of this
gas prices. “But they are having a business.”
GAS SECRETS REVIEW The Enquirer’s analysis of daily gas prices in May and June confirmed some old notions and revealed some surprises.
AVERAGE PRICE BY DAY OF THE WEEK
AVERAGE PRICE BY MAJOR BRAND
VALUE OF NEARBY STATIONS
1
2
3
Kroger, Sam’s
Club and Costco
had the cheapest
gas – as much as
10 cents a gallon
less than traditional outlets.
Store (Number surveyed)
Costco (2)
Sam’s Club (3)
Kroger (28)
Meijer (7)
Mobil (93)
Speedway (80)
Regional Average
Sunoco (61)
BP (107)
Marathon (134)
Shell (82)
$3.82
$3.84
$3.88
$3.89
$3.89
$3.90
$3.91
$3.91
$3.92
$3.92
$3.92
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Sunday
Tuesday was
the cheapest day
of the week to
buy gas. Wednesday was the most
expensive.
Monday
Tuesday
Wednesday
Thursday
$3.911
$3.898
$3.890
$3.917
$3.909
Friday
$3.915
Saturday
$3.914
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Gas was one
cent a gallon
less at stations
with a competitor
located within a
mile.
Prices are lower when stations have
nearby rivals.
$3.925
$3.920
$3.915
$3.910
$3.905
$3.900
-0.5
mile
1
mile
1.5
2 2.5 +2.5
miles miles miles miles
DISTANCE FROM NEAREST COMPETITOR
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A10.0
Time: 07-26-2008 20:58 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
A10 SUNDAY, JULY 27, 2008
How neighborhoods compare
How much you pay for gas often depends on where you live. On average, motorists
pay more in inner-city neighborhoods and rural areas where fewer gas stations
compete for your business. Motorists fueling up in Indian Hill and Verona paid some
of the highest prices in May and June, while consumers in Union and Avondale paid
some of the lowest.
Average price by ZIP code
May-June 2008
$3.81 - $3.87
$3.88 - $3.93
$3.94 - $4.00
$4.01 - $4.06
No stations
75
Butler Co.
74
Dearborn Co.
Warren Co.
Hamilton Co.
Clermont Co.
275
275
Kenton Co.
Boone Co.
Southwest Ohio
45002
45005
45011
45013
45014
45015
45026
45030
45032
45036
45039
45040
45042
45044
45050
45053
45056
45065
45066
45067
45068
45069
45102
45103
45106
45120
45122
45140
45150
45152
45157
45160
45174
45176
45202
45203
45204
45205
45206
45207
45208
45209
45211
45212
45213
45214
45215
45216
45217
45219
45220
45223
45224
45225
45226
45227
45229
45230
Cleves
Franklin
Hamilton
Hamilton
Fairfield
Hamilton
Hamilton
Harrison
Harveysburg
Lebanon
Maineville
Mason
Middletown
Middletown
Monroe
Okeana
Oxford
South Lebanon
Springboro
Trenton
Waynesville
West Chester
Amelia
Batavia
Bethel
Felicity
Goshen
Loveland
Milford
Morrow
New Richmond
Owensville
Terrace Park
Williamsburg
Downtown
West End
Lower Price Hill
Price Hill
Walnut Hills
Evanston
Hyde Park
Oakley
Westwood
Norwood
Kennedy Heights
Fairmount
Wyoming
Carthage
Saint Bernard
Corryville
Clifton
Northside
College Hill
Camp Washington
East End
Fairfax
Avondale
Mount Washington
Campbell Co.
75
71
ZIP Code Includes*
71
Average Number
Price of stations ZIP Code Includes*
$3.94
$3.87
$3.86
$3.90
$3.88
$3.88
$3.88
$3.94
$3.96
$3.92
$3.89
$3.89
$3.90
$3.88
$3.90
$3.92
$3.89
$3.88
$3.87
$3.88
$3.95
$3.91
$3.89
$3.91
$3.96
$4.03
$3.90
$3.89
$3.88
$3.92
$3.94
$3.91
$3.95
$3.95
$3.94
$3.94
$3.90
$3.92
$3.92
$3.92
$3.93
$3.90
$3.91
$3.89
$3.91
$3.91
$3.90
$3.90
$3.90
$3.93
$4.03
$3.92
$3.91
$3.94
$3.92
$3.92
$3.85
$3.93
5
18
16
13
23
3
1
12
1
13
4
17
8
15
4
1
9
1
7
4
4
19
11
12
3
2
2
19
18
2
2
2
3
3
1
3
2
4
3
2
4
6
10
10
6
3
8
7
4
2
1
5
5
5
4
7
5
8
45231 Mount Healthy
45232 Saint Bernard
45233 Delhi Township
45236 Blue Ash
45237 Bond Hill
45238 Covedale
45239 White Oak
45240 Forest Park
45241 Sharonville
45242 Montgomery
45243 Indian Hill
45244 Mariemont
45245 Newtown
45246 Glendale
45247 Colerain Township
45248 Westwood
45249 Symmes Township
45251 Colerain Township
45255 Anderson Township
Southwest Ohio total
Northern Kentucky
ZIP Code Includes*
41001 Alexandria
41005 Burlington
41007 California
41011 Covington
41015 Latonia
41016 Covington
41017 Fort Mitchell
41018 Erlanger
41042 Florence
41048 Hebron
41051 Independence
41059 Melbourne
41071 Newport
41073 Bellevue
41074 Dayton
41075 Fort Thomas
41076 Newport
41091 Union
41092 Verona
41094 Walton
Northern Kentucky total
Southeastern Indiana
ZIP Code Includes*
47001 Aurora
47018 Dillsboro
47022 Guilford
47025 Lawrenceburg
47032 Moores Hill
47060 West Harrison
Southeastern Indiana total
Regional total
Average Number
Price of stations
$3.90
$3.91
$3.95
$3.92
$3.91
$3.91
$3.92
$3.87
$3.91
$3.92
$4.05
$3.91
$3.90
$3.89
$3.92
$3.91
$3.89
$3.94
$3.91
$3.90
20
1
4
11
5
14
8
9
15
11
2
15
9
10
8
7
7
6
7
561
Average Number
Price of stations
$3.90
$3.95
$3.92
$3.92
$3.90
$3.96
$3.94
$3.93
$3.91
$3.92
$3.92
$3.91
$3.91
$3.90
$3.89
$3.96
$3.89
$3.81
$4.06
$3.92
$3.91
10
2
2
12
6
1
13
12
27
5
4
1
4
3
1
3
11
3
2
8
130
Average Number
Price of stations
$3.96
$3.97
$4.01
$3.95
$3.97
$3.95
$3.96
$3.91
7
2
1
11
1
3
25
716
*ZIP codes often contain multiple neighborhoods, and neighborhoods often cross several ZIP codes.
These representative neighborhoods are listed simply to help readers locate the ZIP code.
Source: Enquirer analysis of data from the Oil Price Information Service. Analysis based on sales of regular,
unleaded gas at 716 stations in SW Ohio, N. Kentucky and SE Indiana.
The Enquirer/Gregory Korte, Randy Mazzola
About this report:
716 stations, 61 days
T
o unlock the secrets of retail
gas prices, The Enquirer analyzed a database of daily gas
prices reported by 716 stations in Greater Cincinnati, Northern Kentucky and Southeastern
Indiana. Data were reported over
61 days in May and June – a time
period that saw a 50-cent climb in
average gas prices.
In all, 31,439 price points were
analyzed.
The data came courtesy of the
Oil Price Information Service, a
Wall, N.J., provider of pricing data. It’s the same source used by
many gasoline retailers to monitor
the competition and set their own
prices.
All prices in this report are for a
gallon of regular unleaded gas.
Not all participating stations reported prices for all days; the typical station reported data for 44 of
the 61 days. In some cases, The
Enquirer omitted stations from
the analysis when the small number of reporting dates would have
skewed their average cost.
Other sources of data included
interstate ramp maps supplied by
the Ohio-Kentucky-Indiana Regional Council of Governments
and ZIP-code areas from the U.S.
Census Bureau.
Data supplied by the Oil Price
Information Service differs from
numbers provided by Gasbuddy.com, which supplies retail gas
prices to many media outlets including The Enquirer’s Web site,
Cincinnati.Com. Gasbuddy data
come from prices reported by motorists, who share prices they see
with others in an online forum. It’s
free (as opposed to the subscription-based OPIS data) and available in real time.
The data used for this report,
on the other hand, are more comprehensive – about 80 percent of
the region’s stations participate.
It’s also more reliable because
prices come directly from creditcard charges for the actual cost
paid.
— Gregory Korte
and James Pilcher
REVEALED
THE ENQUIRER
Gas: Stations in price dogfight
From Page A1
m Speedway has emerged as
the region’s market leader. It routinely uses its competitive power
to set pricing, and other stations
follow.
m Increasing numbers of fueling stations at Kroger, Costco,
Sam’s Club and other large operators are making gas sales more
competitive, with lower-than-average prices.
m Most oil companies are exiting the difficult retail gas business. That’s increased the number of smaller gas station owners
who can influence street pricing
up or down.
The cost of crude oil, refining
expenses, taxes and marketing all
are driving the price of gas. But
most of the profits have long been
pocketed by the oil companies
and refineries that pulled crude
out of the ground, shipped it and
made it into gas.
What’s left of your gas dollar is
open to cutthroat competition.
“Once the product leaves the
refinery gate, it’s every man for
himself,” says James Patneau Jr.,
chairman of the Ohio Petroleum
Marketers and Convenience
Store Association, who runs four
stations and delivers gas to 30 or
so others around Cleveland.
Competition rules
Greater Cincinnati and Northern Kentucky is among the most
competitive regions in the country, noted for relatively small differences between wholesale and
retail gas prices, according to the
Oil Price Information Service, a
Wall, N.J., firm that tracks national oil and gas pricing. The company supplied the daily prices for
regular unleaded gas used in The
Enquirer’s analysis.
Greater Cincinnati also has a
relatively high concentration of
gas stations competing, according
to the U.S. Census Bureau.
Cincinnati’s 92 gas stations per
100,000 households compares to
87 for Indianapolis, 86 for Kansas
City, Mo., and 62 for Sacramento,
Calif. – all cities of similar or
slightly larger size.
Add relative newcomer Kroger
and its strategy of undercutting
street pricing through its loyalty
card program, and competition
has become even more intense.
“This is a penny business –
we’re all just fighting over
pennies,” says Stephen Hightower, president and chief executive
officer of Franklin-based Hightowers Petroleum Co. His company supplies gas to hundreds of
U.S. stations and is trying to buy
more than 100 BP stations.
“Unfortunately, it’s that marquee sign across the street that
determines whether we’ll make a
penny or five or lose two to
three,” he says.
Daily, station managers and
owners decide whether to match
price increases or decreases by
competitors across the street, or
to raise prices on their own – and
maybe make more profit but lose
all-important volume.
The decisions can mean the
difference between eking out a
meager profit and losing money.
Take this typical scenario:
A station owner buys gas at
$3.55 a gallon and sells it for
$3.86, current wholesale and retail averages in Southwest Ohio.
The dealer nets a gross profit of
31 cents a gallon, or $2,480 a
week if he sells 8,000 gallons – a
very busy store. But credit card
companies are charging gas retailers 3 percent or more on total
sales, meaning that $926 or more
is knocked off the owner’s profit
since the vast majority of purchases are made with plastic.
That leaves about $1,500 before
covering costs such as insurance,
payroll, the mortgage and possible drive-off thefts.
Replacing hose nozzles – a station might lose two a month to absent-minded drivers – will cost
$600 each.
Prices may be slightly different
in Kentucky, but the effect is still
the same: Station owners say they
make more profit off a $1.49 cup
of coffee than a full tank of gas.
“The store will not pay for your
overhead,” says Robert Lusby,
who owns a Sunoco station on
Buttermilk Pike just off Interstate
The Enquirer/Jeff Swinger
Ebony Johnson (left), 14, and her mother, Anissa Johnson of Westwood, pump gas into their van Friday at the Western Hills Kroger.
71/75 in Crescent Springs. “You
can’t sell enough Twinkies and
soda to make it – I lost $80,000
last year.”
When asked why he’s still in
the business, Lusby shoots back:
“Want to buy it?”
The cents are adding up for
consumers as well: Americans
spent nearly $100 million more on
gas in June than in May, and $1
billion more on gas in June than
during the same month five years
ago.
For consumers used to a decade of cheap energy in the 1990s,
the price increases are nothing
short of shocking.
“Basically, I am working to buy
gas at this point,” West Chester
school teacher Kim Fowler says.
She just put $80 worth of gas into
her three-ton Toyota Sequoia in
Florence for a trip to Atlanta.
Fowler would love to “even pay
$3 a gallon, even though I used to
cringe at that.”
Leaders and followers
Retailers say they usually follow the leader when it comes to
setting a daily price.
Locally, that leader is Speedway, the Enquirer analysis shows.
With at least 80 stores in the
area, Speedway owns the highest
market share – more than 20
percent of all gas sold in the region, market studies show.
Every week during May and
June, average area prices spiked
on Wednesday, then slowly declined over the next few days before reaching a low on Tuesday.
Wednesday’s spike was preceded
every week by an increase in
Speedway prices on Tuesday.
Speedway prices then routinely
fell slightly below the area average over the rest of the week.
The chain owned by Houstonbased Marathon Oil sold regular,
unleaded gas at an average $3.90
a gallon during May and June,
falling right in the middle of average prices for all stations.
“They are the market leader,
and they compete using that advantage,” says Pat Gilligan, president of Hyde Park-based Gilligan
Oil, which owns 43 stations in
Cincinnati and Columbus.
Marathon Oil’s Linda Casey
says Speedway has “a high-quality fuel supply, and we can offer it
at competitive prices.”
She wouldn’t discuss Speedway’s local market position or
specific pricing strategies, citing a
lawsuit by the Kentucky attorney
general over alleged price gouging after Hurricanes Katrina and
Rita in fall 2005.
Retail price also is influenced
by the price a station pays for gas
in the first place. A smaller fuel
delivery costs more per gallon
than a full delivery from an 8,700-
major impact on the market.
gallon tanker.
In addition, franchisees can get Those guys will always push the
price frontier.
rebates from their parent gas
“You’re going to see Kroger
companies for volume sold –
continue to be a leader in this armuch like incentives that car
manufacturers give their dealers. ea and around the country.”
Company officials wouldn’t disThat might make a station owner
cuss pricing policies.
willing to knock a penny or two
But in a conference call with
off his street price to drive more
analysts last month, Kroger execsales.
utives said that gas sales only
Most consumers are aware
that retail prices usually climb as broke even in January, February
and March.
soon as the price of crude oil
“We price our fuel stations
spikes, even if the gas in a stareally well on the street price.
tion’s underground tanks was
And, so, that drives some of the
bought at a lower price.
(grocery) business, too,” Kroger
“I get a lot of flak for that, and
it makes me mad because people chairman and CEO Dave Dillon
said during the call.
don’t understand,” says Steve
Local distributor Hightower
Harper, whose Florence-based
sells gas to Kroger here and elseHarper Oil Co. runs eight convenience stores and supplies anoth- where. He says big-box stores are
er 25 or so in Northern Kentucky. “some of the most sophisticated
“I’ve got to do that to be able to buyers out there when it comes
to gas, and they know how to get
get the margin to afford the next
the lowest prices.”
load, which will be much more
expensive. It’s not like I’ll make
any profit in the long run – any re- Changing face of retail
Fierce competition in difficult
turns on raising the price go into
times has caused many major oil
the next load at a higher price.”
companies to leave the retail busiThe Kroger effect
ness and concentrate instead on
Stations within a mile of Kromore lucrative exploration, exger gas pumps were about a pen- traction and refining operations.
ny cheaper than those farther
Last fall, the Ameristop conveaway during May and June, the
nience store chain went out of
Enquirer analysis shows.
business. The name survived,
Experts say grocers and other however, and many different ownnontraditional gas sellers are pull- ers now sell Shell gasoline under
ing prices down everywhere,
the Ameristop name. In Northern
even selling below cost to lure
Kentucky, 11 former Ameristops
shoppers inside their stores.
are now Road Ranger stores.
Kroger began selling gas localShell left the retail business a
ly about eight years ago at the
few years ago, and England-based
Mount Orab store. Now, Kroger
BP is selling off its retail outlets.
operates fuel centers at 28 of its
“It’s hard for BP to manage a
77 stores in Greater Cincinnati
station, say at the corner of Broad
and Northern Kentucky.
and Third in Columbus, from
Kroger offers local customers
London,” says Karen Dryer, execwho spend $100 a month inside
utive vice president of the Ohio
the stores the opportunity to pur- Petroleum Marketers Associachase a fill-up at a 10-cent-a-gallon tion.
discount.
Speedway, owned by Marathon
Calvin Taylor of Anderson
Oil, will soon be the region’s last
Township buys his gas at Kroger remaining convenience-store
on Beechmont Road. His main in- chain owned by an oil company.
terest is in consolidating trips and
More owners could mean a
saving money. “I am willing to
greater range in gas pricing localwait in line (at the pump), but I
ly, although not necessarily lower
do it when I buy my groceries,”
prices, since owners already are
he says.
sometimes losing money.
Grocers and big-box stores are
Nobody is willing to guess
slowly changing the retail gas inwhere the high prices might
dustry, says Matt Lewis, econom- lead.
ics professor at Ohio State Uni“I’ve been around this business
versity. Still, he says, the shift is
in one way or another for about
nothing like the rapid makeover
38 years, and I’ve never seen anyof the market in the 1970s, when
thing as serious as what we’re
the Arab oil embargo put an emdealing with now,” says Harper,
phasis on gas prices and led to in- the Northern Kentucky operator.
novations such as self-service
“We’ve got increased price for the
pumps and convenience stores
product, continually depressed
selling gas.
margins, higher credit card fees
“You’re never going to have as and other expenses.
many grocery stores as gas sta“If energy prices don’t start gotions to meet the demand,” says
ing in the other direction, a lot of
Lewis, who specializes in retail
people are going to fall out of this
gas prices. “But they are having a business.”
GAS SECRETS REVIEW The Enquirer’s analysis of daily gas prices in May and June confirmed some old notions and revealed some surprises.
AVERAGE PRICE BY DAY OF THE WEEK
AVERAGE PRICE BY MAJOR BRAND
VALUE OF NEARBY STATIONS
1
2
3
Kroger, Sam’s
Club and Costco
had the cheapest
gas – as much as
10 cents a gallon
less than traditional outlets.
Store (Number surveyed)
Costco (2)
Sam’s Club (3)
Kroger (28)
Meijer (7)
Mobil (93)
Speedway (80)
Regional Average
Sunoco (61)
BP (107)
Marathon (134)
Shell (82)
$3.82
$3.84
$3.88
$3.89
$3.89
$3.90
$3.91
$3.91
$3.92
$3.92
$3.92
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Sunday
Tuesday was
the cheapest day
of the week to
buy gas. Wednesday was the most
expensive.
Monday
Tuesday
Wednesday
Thursday
$3.911
$3.898
$3.890
$3.917
$3.909
Friday
$3.915
Saturday
$3.914
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Gas was one
cent a gallon
less at stations
with a competitor
located within a
mile.
Prices are lower when stations have
nearby rivals.
$3.925
$3.920
$3.915
$3.910
$3.905
$3.900
-0.5
mile
1
mile
1.5
2 2.5 +2.5
miles miles miles miles
DISTANCE FROM NEAREST COMPETITOR
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A10.0
Time: 07-26-2008 20:58 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
A10 SUNDAY, JULY 27, 2008
How neighborhoods compare
How much you pay for gas often depends on where you live. On average, motorists
pay more in inner-city neighborhoods and rural areas where fewer gas stations
compete for your business. Motorists fueling up in Indian Hill and Verona paid some
of the highest prices in May and June, while consumers in Union and Avondale paid
some of the lowest.
Average price by ZIP code
May-June 2008
$3.81 - $3.87
$3.88 - $3.93
$3.94 - $4.00
$4.01 - $4.06
No stations
75
Butler Co.
74
Dearborn Co.
Warren Co.
Hamilton Co.
Clermont Co.
275
275
Kenton Co.
Boone Co.
Southwest Ohio
45002
45005
45011
45013
45014
45015
45026
45030
45032
45036
45039
45040
45042
45044
45050
45053
45056
45065
45066
45067
45068
45069
45102
45103
45106
45120
45122
45140
45150
45152
45157
45160
45174
45176
45202
45203
45204
45205
45206
45207
45208
45209
45211
45212
45213
45214
45215
45216
45217
45219
45220
45223
45224
45225
45226
45227
45229
45230
Cleves
Franklin
Hamilton
Hamilton
Fairfield
Hamilton
Hamilton
Harrison
Harveysburg
Lebanon
Maineville
Mason
Middletown
Middletown
Monroe
Okeana
Oxford
South Lebanon
Springboro
Trenton
Waynesville
West Chester
Amelia
Batavia
Bethel
Felicity
Goshen
Loveland
Milford
Morrow
New Richmond
Owensville
Terrace Park
Williamsburg
Downtown
West End
Lower Price Hill
Price Hill
Walnut Hills
Evanston
Hyde Park
Oakley
Westwood
Norwood
Kennedy Heights
Fairmount
Wyoming
Carthage
Saint Bernard
Corryville
Clifton
Northside
College Hill
Camp Washington
East End
Fairfax
Avondale
Mount Washington
Campbell Co.
75
71
ZIP Code Includes*
71
Average Number
Price of stations ZIP Code Includes*
$3.94
$3.87
$3.86
$3.90
$3.88
$3.88
$3.88
$3.94
$3.96
$3.92
$3.89
$3.89
$3.90
$3.88
$3.90
$3.92
$3.89
$3.88
$3.87
$3.88
$3.95
$3.91
$3.89
$3.91
$3.96
$4.03
$3.90
$3.89
$3.88
$3.92
$3.94
$3.91
$3.95
$3.95
$3.94
$3.94
$3.90
$3.92
$3.92
$3.92
$3.93
$3.90
$3.91
$3.89
$3.91
$3.91
$3.90
$3.90
$3.90
$3.93
$4.03
$3.92
$3.91
$3.94
$3.92
$3.92
$3.85
$3.93
5
18
16
13
23
3
1
12
1
13
4
17
8
15
4
1
9
1
7
4
4
19
11
12
3
2
2
19
18
2
2
2
3
3
1
3
2
4
3
2
4
6
10
10
6
3
8
7
4
2
1
5
5
5
4
7
5
8
45231 Mount Healthy
45232 Saint Bernard
45233 Delhi Township
45236 Blue Ash
45237 Bond Hill
45238 Covedale
45239 White Oak
45240 Forest Park
45241 Sharonville
45242 Montgomery
45243 Indian Hill
45244 Mariemont
45245 Newtown
45246 Glendale
45247 Colerain Township
45248 Westwood
45249 Symmes Township
45251 Colerain Township
45255 Anderson Township
Southwest Ohio total
Northern Kentucky
ZIP Code Includes*
41001 Alexandria
41005 Burlington
41007 California
41011 Covington
41015 Latonia
41016 Covington
41017 Fort Mitchell
41018 Erlanger
41042 Florence
41048 Hebron
41051 Independence
41059 Melbourne
41071 Newport
41073 Bellevue
41074 Dayton
41075 Fort Thomas
41076 Newport
41091 Union
41092 Verona
41094 Walton
Northern Kentucky total
Southeastern Indiana
ZIP Code Includes*
47001 Aurora
47018 Dillsboro
47022 Guilford
47025 Lawrenceburg
47032 Moores Hill
47060 West Harrison
Southeastern Indiana total
Regional total
Average Number
Price of stations
$3.90
$3.91
$3.95
$3.92
$3.91
$3.91
$3.92
$3.87
$3.91
$3.92
$4.05
$3.91
$3.90
$3.89
$3.92
$3.91
$3.89
$3.94
$3.91
$3.90
20
1
4
11
5
14
8
9
15
11
2
15
9
10
8
7
7
6
7
561
Average Number
Price of stations
$3.90
$3.95
$3.92
$3.92
$3.90
$3.96
$3.94
$3.93
$3.91
$3.92
$3.92
$3.91
$3.91
$3.90
$3.89
$3.96
$3.89
$3.81
$4.06
$3.92
$3.91
10
2
2
12
6
1
13
12
27
5
4
1
4
3
1
3
11
3
2
8
130
Average Number
Price of stations
$3.96
$3.97
$4.01
$3.95
$3.97
$3.95
$3.96
$3.91
7
2
1
11
1
3
25
716
*ZIP codes often contain multiple neighborhoods, and neighborhoods often cross several ZIP codes.
These representative neighborhoods are listed simply to help readers locate the ZIP code.
Source: Enquirer analysis of data from the Oil Price Information Service. Analysis based on sales of regular,
unleaded gas at 716 stations in SW Ohio, N. Kentucky and SE Indiana.
The Enquirer/Gregory Korte, Randy Mazzola
About this report:
716 stations, 61 days
T
o unlock the secrets of retail
gas prices, The Enquirer analyzed a database of daily gas
prices reported by 716 stations in Greater Cincinnati, Northern Kentucky and Southeastern
Indiana. Data were reported over
61 days in May and June – a time
period that saw a 50-cent climb in
average gas prices.
In all, 31,439 price points were
analyzed.
The data came courtesy of the
Oil Price Information Service, a
Wall, N.J., provider of pricing data. It’s the same source used by
many gasoline retailers to monitor
the competition and set their own
prices.
All prices in this report are for a
gallon of regular unleaded gas.
Not all participating stations reported prices for all days; the typical station reported data for 44 of
the 61 days. In some cases, The
Enquirer omitted stations from
the analysis when the small number of reporting dates would have
skewed their average cost.
Other sources of data included
interstate ramp maps supplied by
the Ohio-Kentucky-Indiana Regional Council of Governments
and ZIP-code areas from the U.S.
Census Bureau.
Data supplied by the Oil Price
Information Service differs from
numbers provided by Gasbuddy.com, which supplies retail gas
prices to many media outlets including The Enquirer’s Web site,
Cincinnati.Com. Gasbuddy data
come from prices reported by motorists, who share prices they see
with others in an online forum. It’s
free (as opposed to the subscription-based OPIS data) and available in real time.
The data used for this report,
on the other hand, are more comprehensive – about 80 percent of
the region’s stations participate.
It’s also more reliable because
prices come directly from creditcard charges for the actual cost
paid.
— Gregory Korte
and James Pilcher
REVEALED
THE ENQUIRER
Gas: Stations in price dogfight
From Page A1
m Speedway has emerged as
the region’s market leader. It routinely uses its competitive power
to set pricing, and other stations
follow.
m Increasing numbers of fueling stations at Kroger, Costco,
Sam’s Club and other large operators are making gas sales more
competitive, with lower-than-average prices.
m Most oil companies are exiting the difficult retail gas business. That’s increased the number of smaller gas station owners
who can influence street pricing
up or down.
The cost of crude oil, refining
expenses, taxes and marketing all
are driving the price of gas. But
most of the profits have long been
pocketed by the oil companies
and refineries that pulled crude
out of the ground, shipped it and
made it into gas.
What’s left of your gas dollar is
open to cutthroat competition.
“Once the product leaves the
refinery gate, it’s every man for
himself,” says James Patneau Jr.,
chairman of the Ohio Petroleum
Marketers and Convenience
Store Association, who runs four
stations and delivers gas to 30 or
so others around Cleveland.
Competition rules
Greater Cincinnati and Northern Kentucky is among the most
competitive regions in the country, noted for relatively small differences between wholesale and
retail gas prices, according to the
Oil Price Information Service, a
Wall, N.J., firm that tracks national oil and gas pricing. The company supplied the daily prices for
regular unleaded gas used in The
Enquirer’s analysis.
Greater Cincinnati also has a
relatively high concentration of
gas stations competing, according
to the U.S. Census Bureau.
Cincinnati’s 92 gas stations per
100,000 households compares to
87 for Indianapolis, 86 for Kansas
City, Mo., and 62 for Sacramento,
Calif. – all cities of similar or
slightly larger size.
Add relative newcomer Kroger
and its strategy of undercutting
street pricing through its loyalty
card program, and competition
has become even more intense.
“This is a penny business –
we’re all just fighting over
pennies,” says Stephen Hightower, president and chief executive
officer of Franklin-based Hightowers Petroleum Co. His company supplies gas to hundreds of
U.S. stations and is trying to buy
more than 100 BP stations.
“Unfortunately, it’s that marquee sign across the street that
determines whether we’ll make a
penny or five or lose two to
three,” he says.
Daily, station managers and
owners decide whether to match
price increases or decreases by
competitors across the street, or
to raise prices on their own – and
maybe make more profit but lose
all-important volume.
The decisions can mean the
difference between eking out a
meager profit and losing money.
Take this typical scenario:
A station owner buys gas at
$3.55 a gallon and sells it for
$3.86, current wholesale and retail averages in Southwest Ohio.
The dealer nets a gross profit of
31 cents a gallon, or $2,480 a
week if he sells 8,000 gallons – a
very busy store. But credit card
companies are charging gas retailers 3 percent or more on total
sales, meaning that $926 or more
is knocked off the owner’s profit
since the vast majority of purchases are made with plastic.
That leaves about $1,500 before
covering costs such as insurance,
payroll, the mortgage and possible drive-off thefts.
Replacing hose nozzles – a station might lose two a month to absent-minded drivers – will cost
$600 each.
Prices may be slightly different
in Kentucky, but the effect is still
the same: Station owners say they
make more profit off a $1.49 cup
of coffee than a full tank of gas.
“The store will not pay for your
overhead,” says Robert Lusby,
who owns a Sunoco station on
Buttermilk Pike just off Interstate
The Enquirer/Jeff Swinger
Ebony Johnson (left), 14, and her mother, Anissa Johnson of Westwood, pump gas into their van Friday at the Western Hills Kroger.
71/75 in Crescent Springs. “You
can’t sell enough Twinkies and
soda to make it – I lost $80,000
last year.”
When asked why he’s still in
the business, Lusby shoots back:
“Want to buy it?”
The cents are adding up for
consumers as well: Americans
spent nearly $100 million more on
gas in June than in May, and $1
billion more on gas in June than
during the same month five years
ago.
For consumers used to a decade of cheap energy in the 1990s,
the price increases are nothing
short of shocking.
“Basically, I am working to buy
gas at this point,” West Chester
school teacher Kim Fowler says.
She just put $80 worth of gas into
her three-ton Toyota Sequoia in
Florence for a trip to Atlanta.
Fowler would love to “even pay
$3 a gallon, even though I used to
cringe at that.”
Leaders and followers
Retailers say they usually follow the leader when it comes to
setting a daily price.
Locally, that leader is Speedway, the Enquirer analysis shows.
With at least 80 stores in the
area, Speedway owns the highest
market share – more than 20
percent of all gas sold in the region, market studies show.
Every week during May and
June, average area prices spiked
on Wednesday, then slowly declined over the next few days before reaching a low on Tuesday.
Wednesday’s spike was preceded
every week by an increase in
Speedway prices on Tuesday.
Speedway prices then routinely
fell slightly below the area average over the rest of the week.
The chain owned by Houstonbased Marathon Oil sold regular,
unleaded gas at an average $3.90
a gallon during May and June,
falling right in the middle of average prices for all stations.
“They are the market leader,
and they compete using that advantage,” says Pat Gilligan, president of Hyde Park-based Gilligan
Oil, which owns 43 stations in
Cincinnati and Columbus.
Marathon Oil’s Linda Casey
says Speedway has “a high-quality fuel supply, and we can offer it
at competitive prices.”
She wouldn’t discuss Speedway’s local market position or
specific pricing strategies, citing a
lawsuit by the Kentucky attorney
general over alleged price gouging after Hurricanes Katrina and
Rita in fall 2005.
Retail price also is influenced
by the price a station pays for gas
in the first place. A smaller fuel
delivery costs more per gallon
than a full delivery from an 8,700-
major impact on the market.
gallon tanker.
In addition, franchisees can get Those guys will always push the
price frontier.
rebates from their parent gas
“You’re going to see Kroger
companies for volume sold –
continue to be a leader in this armuch like incentives that car
manufacturers give their dealers. ea and around the country.”
Company officials wouldn’t disThat might make a station owner
cuss pricing policies.
willing to knock a penny or two
But in a conference call with
off his street price to drive more
analysts last month, Kroger execsales.
utives said that gas sales only
Most consumers are aware
that retail prices usually climb as broke even in January, February
and March.
soon as the price of crude oil
“We price our fuel stations
spikes, even if the gas in a stareally well on the street price.
tion’s underground tanks was
And, so, that drives some of the
bought at a lower price.
(grocery) business, too,” Kroger
“I get a lot of flak for that, and
it makes me mad because people chairman and CEO Dave Dillon
said during the call.
don’t understand,” says Steve
Local distributor Hightower
Harper, whose Florence-based
sells gas to Kroger here and elseHarper Oil Co. runs eight convenience stores and supplies anoth- where. He says big-box stores are
er 25 or so in Northern Kentucky. “some of the most sophisticated
“I’ve got to do that to be able to buyers out there when it comes
to gas, and they know how to get
get the margin to afford the next
the lowest prices.”
load, which will be much more
expensive. It’s not like I’ll make
any profit in the long run – any re- Changing face of retail
Fierce competition in difficult
turns on raising the price go into
times has caused many major oil
the next load at a higher price.”
companies to leave the retail busiThe Kroger effect
ness and concentrate instead on
Stations within a mile of Kromore lucrative exploration, exger gas pumps were about a pen- traction and refining operations.
ny cheaper than those farther
Last fall, the Ameristop conveaway during May and June, the
nience store chain went out of
Enquirer analysis shows.
business. The name survived,
Experts say grocers and other however, and many different ownnontraditional gas sellers are pull- ers now sell Shell gasoline under
ing prices down everywhere,
the Ameristop name. In Northern
even selling below cost to lure
Kentucky, 11 former Ameristops
shoppers inside their stores.
are now Road Ranger stores.
Kroger began selling gas localShell left the retail business a
ly about eight years ago at the
few years ago, and England-based
Mount Orab store. Now, Kroger
BP is selling off its retail outlets.
operates fuel centers at 28 of its
“It’s hard for BP to manage a
77 stores in Greater Cincinnati
station, say at the corner of Broad
and Northern Kentucky.
and Third in Columbus, from
Kroger offers local customers
London,” says Karen Dryer, execwho spend $100 a month inside
utive vice president of the Ohio
the stores the opportunity to pur- Petroleum Marketers Associachase a fill-up at a 10-cent-a-gallon tion.
discount.
Speedway, owned by Marathon
Calvin Taylor of Anderson
Oil, will soon be the region’s last
Township buys his gas at Kroger remaining convenience-store
on Beechmont Road. His main in- chain owned by an oil company.
terest is in consolidating trips and
More owners could mean a
saving money. “I am willing to
greater range in gas pricing localwait in line (at the pump), but I
ly, although not necessarily lower
do it when I buy my groceries,”
prices, since owners already are
he says.
sometimes losing money.
Grocers and big-box stores are
Nobody is willing to guess
slowly changing the retail gas inwhere the high prices might
dustry, says Matt Lewis, econom- lead.
ics professor at Ohio State Uni“I’ve been around this business
versity. Still, he says, the shift is
in one way or another for about
nothing like the rapid makeover
38 years, and I’ve never seen anyof the market in the 1970s, when
thing as serious as what we’re
the Arab oil embargo put an emdealing with now,” says Harper,
phasis on gas prices and led to in- the Northern Kentucky operator.
novations such as self-service
“We’ve got increased price for the
pumps and convenience stores
product, continually depressed
selling gas.
margins, higher credit card fees
“You’re never going to have as and other expenses.
many grocery stores as gas sta“If energy prices don’t start gotions to meet the demand,” says
ing in the other direction, a lot of
Lewis, who specializes in retail
people are going to fall out of this
gas prices. “But they are having a business.”
GAS SECRETS REVIEW The Enquirer’s analysis of daily gas prices in May and June confirmed some old notions and revealed some surprises.
AVERAGE PRICE BY DAY OF THE WEEK
AVERAGE PRICE BY MAJOR BRAND
VALUE OF NEARBY STATIONS
1
2
3
Kroger, Sam’s
Club and Costco
had the cheapest
gas – as much as
10 cents a gallon
less than traditional outlets.
Store (Number surveyed)
Costco (2)
Sam’s Club (3)
Kroger (28)
Meijer (7)
Mobil (93)
Speedway (80)
Regional Average
Sunoco (61)
BP (107)
Marathon (134)
Shell (82)
$3.82
$3.84
$3.88
$3.89
$3.89
$3.90
$3.91
$3.91
$3.92
$3.92
$3.92
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Sunday
Tuesday was
the cheapest day
of the week to
buy gas. Wednesday was the most
expensive.
Monday
Tuesday
Wednesday
Thursday
$3.911
$3.898
$3.890
$3.917
$3.909
Friday
$3.915
Saturday
$3.914
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Gas was one
cent a gallon
less at stations
with a competitor
located within a
mile.
Prices are lower when stations have
nearby rivals.
$3.925
$3.920
$3.915
$3.910
$3.905
$3.900
-0.5
mile
1
mile
1.5
2 2.5 +2.5
miles miles miles miles
DISTANCE FROM NEAREST COMPETITOR
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A10.0
Time: 07-26-2008 20:58 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
A10 SUNDAY, JULY 27, 2008
How neighborhoods compare
How much you pay for gas often depends on where you live. On average, motorists
pay more in inner-city neighborhoods and rural areas where fewer gas stations
compete for your business. Motorists fueling up in Indian Hill and Verona paid some
of the highest prices in May and June, while consumers in Union and Avondale paid
some of the lowest.
Average price by ZIP code
May-June 2008
$3.81 - $3.87
$3.88 - $3.93
$3.94 - $4.00
$4.01 - $4.06
No stations
75
Butler Co.
74
Dearborn Co.
Warren Co.
Hamilton Co.
Clermont Co.
275
275
Kenton Co.
Boone Co.
Southwest Ohio
45002
45005
45011
45013
45014
45015
45026
45030
45032
45036
45039
45040
45042
45044
45050
45053
45056
45065
45066
45067
45068
45069
45102
45103
45106
45120
45122
45140
45150
45152
45157
45160
45174
45176
45202
45203
45204
45205
45206
45207
45208
45209
45211
45212
45213
45214
45215
45216
45217
45219
45220
45223
45224
45225
45226
45227
45229
45230
Cleves
Franklin
Hamilton
Hamilton
Fairfield
Hamilton
Hamilton
Harrison
Harveysburg
Lebanon
Maineville
Mason
Middletown
Middletown
Monroe
Okeana
Oxford
South Lebanon
Springboro
Trenton
Waynesville
West Chester
Amelia
Batavia
Bethel
Felicity
Goshen
Loveland
Milford
Morrow
New Richmond
Owensville
Terrace Park
Williamsburg
Downtown
West End
Lower Price Hill
Price Hill
Walnut Hills
Evanston
Hyde Park
Oakley
Westwood
Norwood
Kennedy Heights
Fairmount
Wyoming
Carthage
Saint Bernard
Corryville
Clifton
Northside
College Hill
Camp Washington
East End
Fairfax
Avondale
Mount Washington
Campbell Co.
75
71
ZIP Code Includes*
71
Average Number
Price of stations ZIP Code Includes*
$3.94
$3.87
$3.86
$3.90
$3.88
$3.88
$3.88
$3.94
$3.96
$3.92
$3.89
$3.89
$3.90
$3.88
$3.90
$3.92
$3.89
$3.88
$3.87
$3.88
$3.95
$3.91
$3.89
$3.91
$3.96
$4.03
$3.90
$3.89
$3.88
$3.92
$3.94
$3.91
$3.95
$3.95
$3.94
$3.94
$3.90
$3.92
$3.92
$3.92
$3.93
$3.90
$3.91
$3.89
$3.91
$3.91
$3.90
$3.90
$3.90
$3.93
$4.03
$3.92
$3.91
$3.94
$3.92
$3.92
$3.85
$3.93
5
18
16
13
23
3
1
12
1
13
4
17
8
15
4
1
9
1
7
4
4
19
11
12
3
2
2
19
18
2
2
2
3
3
1
3
2
4
3
2
4
6
10
10
6
3
8
7
4
2
1
5
5
5
4
7
5
8
45231 Mount Healthy
45232 Saint Bernard
45233 Delhi Township
45236 Blue Ash
45237 Bond Hill
45238 Covedale
45239 White Oak
45240 Forest Park
45241 Sharonville
45242 Montgomery
45243 Indian Hill
45244 Mariemont
45245 Newtown
45246 Glendale
45247 Colerain Township
45248 Westwood
45249 Symmes Township
45251 Colerain Township
45255 Anderson Township
Southwest Ohio total
Northern Kentucky
ZIP Code Includes*
41001 Alexandria
41005 Burlington
41007 California
41011 Covington
41015 Latonia
41016 Covington
41017 Fort Mitchell
41018 Erlanger
41042 Florence
41048 Hebron
41051 Independence
41059 Melbourne
41071 Newport
41073 Bellevue
41074 Dayton
41075 Fort Thomas
41076 Newport
41091 Union
41092 Verona
41094 Walton
Northern Kentucky total
Southeastern Indiana
ZIP Code Includes*
47001 Aurora
47018 Dillsboro
47022 Guilford
47025 Lawrenceburg
47032 Moores Hill
47060 West Harrison
Southeastern Indiana total
Regional total
Average Number
Price of stations
$3.90
$3.91
$3.95
$3.92
$3.91
$3.91
$3.92
$3.87
$3.91
$3.92
$4.05
$3.91
$3.90
$3.89
$3.92
$3.91
$3.89
$3.94
$3.91
$3.90
20
1
4
11
5
14
8
9
15
11
2
15
9
10
8
7
7
6
7
561
Average Number
Price of stations
$3.90
$3.95
$3.92
$3.92
$3.90
$3.96
$3.94
$3.93
$3.91
$3.92
$3.92
$3.91
$3.91
$3.90
$3.89
$3.96
$3.89
$3.81
$4.06
$3.92
$3.91
10
2
2
12
6
1
13
12
27
5
4
1
4
3
1
3
11
3
2
8
130
Average Number
Price of stations
$3.96
$3.97
$4.01
$3.95
$3.97
$3.95
$3.96
$3.91
7
2
1
11
1
3
25
716
*ZIP codes often contain multiple neighborhoods, and neighborhoods often cross several ZIP codes.
These representative neighborhoods are listed simply to help readers locate the ZIP code.
Source: Enquirer analysis of data from the Oil Price Information Service. Analysis based on sales of regular,
unleaded gas at 716 stations in SW Ohio, N. Kentucky and SE Indiana.
The Enquirer/Gregory Korte, Randy Mazzola
About this report:
716 stations, 61 days
T
o unlock the secrets of retail
gas prices, The Enquirer analyzed a database of daily gas
prices reported by 716 stations in Greater Cincinnati, Northern Kentucky and Southeastern
Indiana. Data were reported over
61 days in May and June – a time
period that saw a 50-cent climb in
average gas prices.
In all, 31,439 price points were
analyzed.
The data came courtesy of the
Oil Price Information Service, a
Wall, N.J., provider of pricing data. It’s the same source used by
many gasoline retailers to monitor
the competition and set their own
prices.
All prices in this report are for a
gallon of regular unleaded gas.
Not all participating stations reported prices for all days; the typical station reported data for 44 of
the 61 days. In some cases, The
Enquirer omitted stations from
the analysis when the small number of reporting dates would have
skewed their average cost.
Other sources of data included
interstate ramp maps supplied by
the Ohio-Kentucky-Indiana Regional Council of Governments
and ZIP-code areas from the U.S.
Census Bureau.
Data supplied by the Oil Price
Information Service differs from
numbers provided by Gasbuddy.com, which supplies retail gas
prices to many media outlets including The Enquirer’s Web site,
Cincinnati.Com. Gasbuddy data
come from prices reported by motorists, who share prices they see
with others in an online forum. It’s
free (as opposed to the subscription-based OPIS data) and available in real time.
The data used for this report,
on the other hand, are more comprehensive – about 80 percent of
the region’s stations participate.
It’s also more reliable because
prices come directly from creditcard charges for the actual cost
paid.
— Gregory Korte
and James Pilcher
REVEALED
THE ENQUIRER
Gas: Stations in price dogfight
From Page A1
m Speedway has emerged as
the region’s market leader. It routinely uses its competitive power
to set pricing, and other stations
follow.
m Increasing numbers of fueling stations at Kroger, Costco,
Sam’s Club and other large operators are making gas sales more
competitive, with lower-than-average prices.
m Most oil companies are exiting the difficult retail gas business. That’s increased the number of smaller gas station owners
who can influence street pricing
up or down.
The cost of crude oil, refining
expenses, taxes and marketing all
are driving the price of gas. But
most of the profits have long been
pocketed by the oil companies
and refineries that pulled crude
out of the ground, shipped it and
made it into gas.
What’s left of your gas dollar is
open to cutthroat competition.
“Once the product leaves the
refinery gate, it’s every man for
himself,” says James Patneau Jr.,
chairman of the Ohio Petroleum
Marketers and Convenience
Store Association, who runs four
stations and delivers gas to 30 or
so others around Cleveland.
Competition rules
Greater Cincinnati and Northern Kentucky is among the most
competitive regions in the country, noted for relatively small differences between wholesale and
retail gas prices, according to the
Oil Price Information Service, a
Wall, N.J., firm that tracks national oil and gas pricing. The company supplied the daily prices for
regular unleaded gas used in The
Enquirer’s analysis.
Greater Cincinnati also has a
relatively high concentration of
gas stations competing, according
to the U.S. Census Bureau.
Cincinnati’s 92 gas stations per
100,000 households compares to
87 for Indianapolis, 86 for Kansas
City, Mo., and 62 for Sacramento,
Calif. – all cities of similar or
slightly larger size.
Add relative newcomer Kroger
and its strategy of undercutting
street pricing through its loyalty
card program, and competition
has become even more intense.
“This is a penny business –
we’re all just fighting over
pennies,” says Stephen Hightower, president and chief executive
officer of Franklin-based Hightowers Petroleum Co. His company supplies gas to hundreds of
U.S. stations and is trying to buy
more than 100 BP stations.
“Unfortunately, it’s that marquee sign across the street that
determines whether we’ll make a
penny or five or lose two to
three,” he says.
Daily, station managers and
owners decide whether to match
price increases or decreases by
competitors across the street, or
to raise prices on their own – and
maybe make more profit but lose
all-important volume.
The decisions can mean the
difference between eking out a
meager profit and losing money.
Take this typical scenario:
A station owner buys gas at
$3.55 a gallon and sells it for
$3.86, current wholesale and retail averages in Southwest Ohio.
The dealer nets a gross profit of
31 cents a gallon, or $2,480 a
week if he sells 8,000 gallons – a
very busy store. But credit card
companies are charging gas retailers 3 percent or more on total
sales, meaning that $926 or more
is knocked off the owner’s profit
since the vast majority of purchases are made with plastic.
That leaves about $1,500 before
covering costs such as insurance,
payroll, the mortgage and possible drive-off thefts.
Replacing hose nozzles – a station might lose two a month to absent-minded drivers – will cost
$600 each.
Prices may be slightly different
in Kentucky, but the effect is still
the same: Station owners say they
make more profit off a $1.49 cup
of coffee than a full tank of gas.
“The store will not pay for your
overhead,” says Robert Lusby,
who owns a Sunoco station on
Buttermilk Pike just off Interstate
The Enquirer/Jeff Swinger
Ebony Johnson (left), 14, and her mother, Anissa Johnson of Westwood, pump gas into their van Friday at the Western Hills Kroger.
71/75 in Crescent Springs. “You
can’t sell enough Twinkies and
soda to make it – I lost $80,000
last year.”
When asked why he’s still in
the business, Lusby shoots back:
“Want to buy it?”
The cents are adding up for
consumers as well: Americans
spent nearly $100 million more on
gas in June than in May, and $1
billion more on gas in June than
during the same month five years
ago.
For consumers used to a decade of cheap energy in the 1990s,
the price increases are nothing
short of shocking.
“Basically, I am working to buy
gas at this point,” West Chester
school teacher Kim Fowler says.
She just put $80 worth of gas into
her three-ton Toyota Sequoia in
Florence for a trip to Atlanta.
Fowler would love to “even pay
$3 a gallon, even though I used to
cringe at that.”
Leaders and followers
Retailers say they usually follow the leader when it comes to
setting a daily price.
Locally, that leader is Speedway, the Enquirer analysis shows.
With at least 80 stores in the
area, Speedway owns the highest
market share – more than 20
percent of all gas sold in the region, market studies show.
Every week during May and
June, average area prices spiked
on Wednesday, then slowly declined over the next few days before reaching a low on Tuesday.
Wednesday’s spike was preceded
every week by an increase in
Speedway prices on Tuesday.
Speedway prices then routinely
fell slightly below the area average over the rest of the week.
The chain owned by Houstonbased Marathon Oil sold regular,
unleaded gas at an average $3.90
a gallon during May and June,
falling right in the middle of average prices for all stations.
“They are the market leader,
and they compete using that advantage,” says Pat Gilligan, president of Hyde Park-based Gilligan
Oil, which owns 43 stations in
Cincinnati and Columbus.
Marathon Oil’s Linda Casey
says Speedway has “a high-quality fuel supply, and we can offer it
at competitive prices.”
She wouldn’t discuss Speedway’s local market position or
specific pricing strategies, citing a
lawsuit by the Kentucky attorney
general over alleged price gouging after Hurricanes Katrina and
Rita in fall 2005.
Retail price also is influenced
by the price a station pays for gas
in the first place. A smaller fuel
delivery costs more per gallon
than a full delivery from an 8,700-
major impact on the market.
gallon tanker.
In addition, franchisees can get Those guys will always push the
price frontier.
rebates from their parent gas
“You’re going to see Kroger
companies for volume sold –
continue to be a leader in this armuch like incentives that car
manufacturers give their dealers. ea and around the country.”
Company officials wouldn’t disThat might make a station owner
cuss pricing policies.
willing to knock a penny or two
But in a conference call with
off his street price to drive more
analysts last month, Kroger execsales.
utives said that gas sales only
Most consumers are aware
that retail prices usually climb as broke even in January, February
and March.
soon as the price of crude oil
“We price our fuel stations
spikes, even if the gas in a stareally well on the street price.
tion’s underground tanks was
And, so, that drives some of the
bought at a lower price.
(grocery) business, too,” Kroger
“I get a lot of flak for that, and
it makes me mad because people chairman and CEO Dave Dillon
said during the call.
don’t understand,” says Steve
Local distributor Hightower
Harper, whose Florence-based
sells gas to Kroger here and elseHarper Oil Co. runs eight convenience stores and supplies anoth- where. He says big-box stores are
er 25 or so in Northern Kentucky. “some of the most sophisticated
“I’ve got to do that to be able to buyers out there when it comes
to gas, and they know how to get
get the margin to afford the next
the lowest prices.”
load, which will be much more
expensive. It’s not like I’ll make
any profit in the long run – any re- Changing face of retail
Fierce competition in difficult
turns on raising the price go into
times has caused many major oil
the next load at a higher price.”
companies to leave the retail busiThe Kroger effect
ness and concentrate instead on
Stations within a mile of Kromore lucrative exploration, exger gas pumps were about a pen- traction and refining operations.
ny cheaper than those farther
Last fall, the Ameristop conveaway during May and June, the
nience store chain went out of
Enquirer analysis shows.
business. The name survived,
Experts say grocers and other however, and many different ownnontraditional gas sellers are pull- ers now sell Shell gasoline under
ing prices down everywhere,
the Ameristop name. In Northern
even selling below cost to lure
Kentucky, 11 former Ameristops
shoppers inside their stores.
are now Road Ranger stores.
Kroger began selling gas localShell left the retail business a
ly about eight years ago at the
few years ago, and England-based
Mount Orab store. Now, Kroger
BP is selling off its retail outlets.
operates fuel centers at 28 of its
“It’s hard for BP to manage a
77 stores in Greater Cincinnati
station, say at the corner of Broad
and Northern Kentucky.
and Third in Columbus, from
Kroger offers local customers
London,” says Karen Dryer, execwho spend $100 a month inside
utive vice president of the Ohio
the stores the opportunity to pur- Petroleum Marketers Associachase a fill-up at a 10-cent-a-gallon tion.
discount.
Speedway, owned by Marathon
Calvin Taylor of Anderson
Oil, will soon be the region’s last
Township buys his gas at Kroger remaining convenience-store
on Beechmont Road. His main in- chain owned by an oil company.
terest is in consolidating trips and
More owners could mean a
saving money. “I am willing to
greater range in gas pricing localwait in line (at the pump), but I
ly, although not necessarily lower
do it when I buy my groceries,”
prices, since owners already are
he says.
sometimes losing money.
Grocers and big-box stores are
Nobody is willing to guess
slowly changing the retail gas inwhere the high prices might
dustry, says Matt Lewis, econom- lead.
ics professor at Ohio State Uni“I’ve been around this business
versity. Still, he says, the shift is
in one way or another for about
nothing like the rapid makeover
38 years, and I’ve never seen anyof the market in the 1970s, when
thing as serious as what we’re
the Arab oil embargo put an emdealing with now,” says Harper,
phasis on gas prices and led to in- the Northern Kentucky operator.
novations such as self-service
“We’ve got increased price for the
pumps and convenience stores
product, continually depressed
selling gas.
margins, higher credit card fees
“You’re never going to have as and other expenses.
many grocery stores as gas sta“If energy prices don’t start gotions to meet the demand,” says
ing in the other direction, a lot of
Lewis, who specializes in retail
people are going to fall out of this
gas prices. “But they are having a business.”
GAS SECRETS REVIEW The Enquirer’s analysis of daily gas prices in May and June confirmed some old notions and revealed some surprises.
AVERAGE PRICE BY DAY OF THE WEEK
AVERAGE PRICE BY MAJOR BRAND
VALUE OF NEARBY STATIONS
1
2
3
Kroger, Sam’s
Club and Costco
had the cheapest
gas – as much as
10 cents a gallon
less than traditional outlets.
Store (Number surveyed)
Costco (2)
Sam’s Club (3)
Kroger (28)
Meijer (7)
Mobil (93)
Speedway (80)
Regional Average
Sunoco (61)
BP (107)
Marathon (134)
Shell (82)
$3.82
$3.84
$3.88
$3.89
$3.89
$3.90
$3.91
$3.91
$3.92
$3.92
$3.92
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Sunday
Tuesday was
the cheapest day
of the week to
buy gas. Wednesday was the most
expensive.
Monday
Tuesday
Wednesday
Thursday
$3.911
$3.898
$3.890
$3.917
$3.909
Friday
$3.915
Saturday
$3.914
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Gas was one
cent a gallon
less at stations
with a competitor
located within a
mile.
Prices are lower when stations have
nearby rivals.
$3.925
$3.920
$3.915
$3.910
$3.905
$3.900
-0.5
mile
1
mile
1.5
2 2.5 +2.5
miles miles miles miles
DISTANCE FROM NEAREST COMPETITOR
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A10.0
Time: 07-26-2008 20:58 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
A10 SUNDAY, JULY 27, 2008
How neighborhoods compare
How much you pay for gas often depends on where you live. On average, motorists
pay more in inner-city neighborhoods and rural areas where fewer gas stations
compete for your business. Motorists fueling up in Indian Hill and Verona paid some
of the highest prices in May and June, while consumers in Union and Avondale paid
some of the lowest.
Average price by ZIP code
May-June 2008
$3.81 - $3.87
$3.88 - $3.93
$3.94 - $4.00
$4.01 - $4.06
No stations
75
Butler Co.
74
Dearborn Co.
Warren Co.
Hamilton Co.
Clermont Co.
275
275
Kenton Co.
Boone Co.
Southwest Ohio
45002
45005
45011
45013
45014
45015
45026
45030
45032
45036
45039
45040
45042
45044
45050
45053
45056
45065
45066
45067
45068
45069
45102
45103
45106
45120
45122
45140
45150
45152
45157
45160
45174
45176
45202
45203
45204
45205
45206
45207
45208
45209
45211
45212
45213
45214
45215
45216
45217
45219
45220
45223
45224
45225
45226
45227
45229
45230
Cleves
Franklin
Hamilton
Hamilton
Fairfield
Hamilton
Hamilton
Harrison
Harveysburg
Lebanon
Maineville
Mason
Middletown
Middletown
Monroe
Okeana
Oxford
South Lebanon
Springboro
Trenton
Waynesville
West Chester
Amelia
Batavia
Bethel
Felicity
Goshen
Loveland
Milford
Morrow
New Richmond
Owensville
Terrace Park
Williamsburg
Downtown
West End
Lower Price Hill
Price Hill
Walnut Hills
Evanston
Hyde Park
Oakley
Westwood
Norwood
Kennedy Heights
Fairmount
Wyoming
Carthage
Saint Bernard
Corryville
Clifton
Northside
College Hill
Camp Washington
East End
Fairfax
Avondale
Mount Washington
Campbell Co.
75
71
ZIP Code Includes*
71
Average Number
Price of stations ZIP Code Includes*
$3.94
$3.87
$3.86
$3.90
$3.88
$3.88
$3.88
$3.94
$3.96
$3.92
$3.89
$3.89
$3.90
$3.88
$3.90
$3.92
$3.89
$3.88
$3.87
$3.88
$3.95
$3.91
$3.89
$3.91
$3.96
$4.03
$3.90
$3.89
$3.88
$3.92
$3.94
$3.91
$3.95
$3.95
$3.94
$3.94
$3.90
$3.92
$3.92
$3.92
$3.93
$3.90
$3.91
$3.89
$3.91
$3.91
$3.90
$3.90
$3.90
$3.93
$4.03
$3.92
$3.91
$3.94
$3.92
$3.92
$3.85
$3.93
5
18
16
13
23
3
1
12
1
13
4
17
8
15
4
1
9
1
7
4
4
19
11
12
3
2
2
19
18
2
2
2
3
3
1
3
2
4
3
2
4
6
10
10
6
3
8
7
4
2
1
5
5
5
4
7
5
8
45231 Mount Healthy
45232 Saint Bernard
45233 Delhi Township
45236 Blue Ash
45237 Bond Hill
45238 Covedale
45239 White Oak
45240 Forest Park
45241 Sharonville
45242 Montgomery
45243 Indian Hill
45244 Mariemont
45245 Newtown
45246 Glendale
45247 Colerain Township
45248 Westwood
45249 Symmes Township
45251 Colerain Township
45255 Anderson Township
Southwest Ohio total
Northern Kentucky
ZIP Code Includes*
41001 Alexandria
41005 Burlington
41007 California
41011 Covington
41015 Latonia
41016 Covington
41017 Fort Mitchell
41018 Erlanger
41042 Florence
41048 Hebron
41051 Independence
41059 Melbourne
41071 Newport
41073 Bellevue
41074 Dayton
41075 Fort Thomas
41076 Newport
41091 Union
41092 Verona
41094 Walton
Northern Kentucky total
Southeastern Indiana
ZIP Code Includes*
47001 Aurora
47018 Dillsboro
47022 Guilford
47025 Lawrenceburg
47032 Moores Hill
47060 West Harrison
Southeastern Indiana total
Regional total
Average Number
Price of stations
$3.90
$3.91
$3.95
$3.92
$3.91
$3.91
$3.92
$3.87
$3.91
$3.92
$4.05
$3.91
$3.90
$3.89
$3.92
$3.91
$3.89
$3.94
$3.91
$3.90
20
1
4
11
5
14
8
9
15
11
2
15
9
10
8
7
7
6
7
561
Average Number
Price of stations
$3.90
$3.95
$3.92
$3.92
$3.90
$3.96
$3.94
$3.93
$3.91
$3.92
$3.92
$3.91
$3.91
$3.90
$3.89
$3.96
$3.89
$3.81
$4.06
$3.92
$3.91
10
2
2
12
6
1
13
12
27
5
4
1
4
3
1
3
11
3
2
8
130
Average Number
Price of stations
$3.96
$3.97
$4.01
$3.95
$3.97
$3.95
$3.96
$3.91
7
2
1
11
1
3
25
716
*ZIP codes often contain multiple neighborhoods, and neighborhoods often cross several ZIP codes.
These representative neighborhoods are listed simply to help readers locate the ZIP code.
Source: Enquirer analysis of data from the Oil Price Information Service. Analysis based on sales of regular,
unleaded gas at 716 stations in SW Ohio, N. Kentucky and SE Indiana.
The Enquirer/Gregory Korte, Randy Mazzola
About this report:
716 stations, 61 days
T
o unlock the secrets of retail
gas prices, The Enquirer analyzed a database of daily gas
prices reported by 716 stations in Greater Cincinnati, Northern Kentucky and Southeastern
Indiana. Data were reported over
61 days in May and June – a time
period that saw a 50-cent climb in
average gas prices.
In all, 31,439 price points were
analyzed.
The data came courtesy of the
Oil Price Information Service, a
Wall, N.J., provider of pricing data. It’s the same source used by
many gasoline retailers to monitor
the competition and set their own
prices.
All prices in this report are for a
gallon of regular unleaded gas.
Not all participating stations reported prices for all days; the typical station reported data for 44 of
the 61 days. In some cases, The
Enquirer omitted stations from
the analysis when the small number of reporting dates would have
skewed their average cost.
Other sources of data included
interstate ramp maps supplied by
the Ohio-Kentucky-Indiana Regional Council of Governments
and ZIP-code areas from the U.S.
Census Bureau.
Data supplied by the Oil Price
Information Service differs from
numbers provided by Gasbuddy.com, which supplies retail gas
prices to many media outlets including The Enquirer’s Web site,
Cincinnati.Com. Gasbuddy data
come from prices reported by motorists, who share prices they see
with others in an online forum. It’s
free (as opposed to the subscription-based OPIS data) and available in real time.
The data used for this report,
on the other hand, are more comprehensive – about 80 percent of
the region’s stations participate.
It’s also more reliable because
prices come directly from creditcard charges for the actual cost
paid.
— Gregory Korte
and James Pilcher
REVEALED
THE ENQUIRER
Gas: Stations in price dogfight
From Page A1
m Speedway has emerged as
the region’s market leader. It routinely uses its competitive power
to set pricing, and other stations
follow.
m Increasing numbers of fueling stations at Kroger, Costco,
Sam’s Club and other large operators are making gas sales more
competitive, with lower-than-average prices.
m Most oil companies are exiting the difficult retail gas business. That’s increased the number of smaller gas station owners
who can influence street pricing
up or down.
The cost of crude oil, refining
expenses, taxes and marketing all
are driving the price of gas. But
most of the profits have long been
pocketed by the oil companies
and refineries that pulled crude
out of the ground, shipped it and
made it into gas.
What’s left of your gas dollar is
open to cutthroat competition.
“Once the product leaves the
refinery gate, it’s every man for
himself,” says James Patneau Jr.,
chairman of the Ohio Petroleum
Marketers and Convenience
Store Association, who runs four
stations and delivers gas to 30 or
so others around Cleveland.
Competition rules
Greater Cincinnati and Northern Kentucky is among the most
competitive regions in the country, noted for relatively small differences between wholesale and
retail gas prices, according to the
Oil Price Information Service, a
Wall, N.J., firm that tracks national oil and gas pricing. The company supplied the daily prices for
regular unleaded gas used in The
Enquirer’s analysis.
Greater Cincinnati also has a
relatively high concentration of
gas stations competing, according
to the U.S. Census Bureau.
Cincinnati’s 92 gas stations per
100,000 households compares to
87 for Indianapolis, 86 for Kansas
City, Mo., and 62 for Sacramento,
Calif. – all cities of similar or
slightly larger size.
Add relative newcomer Kroger
and its strategy of undercutting
street pricing through its loyalty
card program, and competition
has become even more intense.
“This is a penny business –
we’re all just fighting over
pennies,” says Stephen Hightower, president and chief executive
officer of Franklin-based Hightowers Petroleum Co. His company supplies gas to hundreds of
U.S. stations and is trying to buy
more than 100 BP stations.
“Unfortunately, it’s that marquee sign across the street that
determines whether we’ll make a
penny or five or lose two to
three,” he says.
Daily, station managers and
owners decide whether to match
price increases or decreases by
competitors across the street, or
to raise prices on their own – and
maybe make more profit but lose
all-important volume.
The decisions can mean the
difference between eking out a
meager profit and losing money.
Take this typical scenario:
A station owner buys gas at
$3.55 a gallon and sells it for
$3.86, current wholesale and retail averages in Southwest Ohio.
The dealer nets a gross profit of
31 cents a gallon, or $2,480 a
week if he sells 8,000 gallons – a
very busy store. But credit card
companies are charging gas retailers 3 percent or more on total
sales, meaning that $926 or more
is knocked off the owner’s profit
since the vast majority of purchases are made with plastic.
That leaves about $1,500 before
covering costs such as insurance,
payroll, the mortgage and possible drive-off thefts.
Replacing hose nozzles – a station might lose two a month to absent-minded drivers – will cost
$600 each.
Prices may be slightly different
in Kentucky, but the effect is still
the same: Station owners say they
make more profit off a $1.49 cup
of coffee than a full tank of gas.
“The store will not pay for your
overhead,” says Robert Lusby,
who owns a Sunoco station on
Buttermilk Pike just off Interstate
The Enquirer/Jeff Swinger
Ebony Johnson (left), 14, and her mother, Anissa Johnson of Westwood, pump gas into their van Friday at the Western Hills Kroger.
71/75 in Crescent Springs. “You
can’t sell enough Twinkies and
soda to make it – I lost $80,000
last year.”
When asked why he’s still in
the business, Lusby shoots back:
“Want to buy it?”
The cents are adding up for
consumers as well: Americans
spent nearly $100 million more on
gas in June than in May, and $1
billion more on gas in June than
during the same month five years
ago.
For consumers used to a decade of cheap energy in the 1990s,
the price increases are nothing
short of shocking.
“Basically, I am working to buy
gas at this point,” West Chester
school teacher Kim Fowler says.
She just put $80 worth of gas into
her three-ton Toyota Sequoia in
Florence for a trip to Atlanta.
Fowler would love to “even pay
$3 a gallon, even though I used to
cringe at that.”
Leaders and followers
Retailers say they usually follow the leader when it comes to
setting a daily price.
Locally, that leader is Speedway, the Enquirer analysis shows.
With at least 80 stores in the
area, Speedway owns the highest
market share – more than 20
percent of all gas sold in the region, market studies show.
Every week during May and
June, average area prices spiked
on Wednesday, then slowly declined over the next few days before reaching a low on Tuesday.
Wednesday’s spike was preceded
every week by an increase in
Speedway prices on Tuesday.
Speedway prices then routinely
fell slightly below the area average over the rest of the week.
The chain owned by Houstonbased Marathon Oil sold regular,
unleaded gas at an average $3.90
a gallon during May and June,
falling right in the middle of average prices for all stations.
“They are the market leader,
and they compete using that advantage,” says Pat Gilligan, president of Hyde Park-based Gilligan
Oil, which owns 43 stations in
Cincinnati and Columbus.
Marathon Oil’s Linda Casey
says Speedway has “a high-quality fuel supply, and we can offer it
at competitive prices.”
She wouldn’t discuss Speedway’s local market position or
specific pricing strategies, citing a
lawsuit by the Kentucky attorney
general over alleged price gouging after Hurricanes Katrina and
Rita in fall 2005.
Retail price also is influenced
by the price a station pays for gas
in the first place. A smaller fuel
delivery costs more per gallon
than a full delivery from an 8,700-
major impact on the market.
gallon tanker.
In addition, franchisees can get Those guys will always push the
price frontier.
rebates from their parent gas
“You’re going to see Kroger
companies for volume sold –
continue to be a leader in this armuch like incentives that car
manufacturers give their dealers. ea and around the country.”
Company officials wouldn’t disThat might make a station owner
cuss pricing policies.
willing to knock a penny or two
But in a conference call with
off his street price to drive more
analysts last month, Kroger execsales.
utives said that gas sales only
Most consumers are aware
that retail prices usually climb as broke even in January, February
and March.
soon as the price of crude oil
“We price our fuel stations
spikes, even if the gas in a stareally well on the street price.
tion’s underground tanks was
And, so, that drives some of the
bought at a lower price.
(grocery) business, too,” Kroger
“I get a lot of flak for that, and
it makes me mad because people chairman and CEO Dave Dillon
said during the call.
don’t understand,” says Steve
Local distributor Hightower
Harper, whose Florence-based
sells gas to Kroger here and elseHarper Oil Co. runs eight convenience stores and supplies anoth- where. He says big-box stores are
er 25 or so in Northern Kentucky. “some of the most sophisticated
“I’ve got to do that to be able to buyers out there when it comes
to gas, and they know how to get
get the margin to afford the next
the lowest prices.”
load, which will be much more
expensive. It’s not like I’ll make
any profit in the long run – any re- Changing face of retail
Fierce competition in difficult
turns on raising the price go into
times has caused many major oil
the next load at a higher price.”
companies to leave the retail busiThe Kroger effect
ness and concentrate instead on
Stations within a mile of Kromore lucrative exploration, exger gas pumps were about a pen- traction and refining operations.
ny cheaper than those farther
Last fall, the Ameristop conveaway during May and June, the
nience store chain went out of
Enquirer analysis shows.
business. The name survived,
Experts say grocers and other however, and many different ownnontraditional gas sellers are pull- ers now sell Shell gasoline under
ing prices down everywhere,
the Ameristop name. In Northern
even selling below cost to lure
Kentucky, 11 former Ameristops
shoppers inside their stores.
are now Road Ranger stores.
Kroger began selling gas localShell left the retail business a
ly about eight years ago at the
few years ago, and England-based
Mount Orab store. Now, Kroger
BP is selling off its retail outlets.
operates fuel centers at 28 of its
“It’s hard for BP to manage a
77 stores in Greater Cincinnati
station, say at the corner of Broad
and Northern Kentucky.
and Third in Columbus, from
Kroger offers local customers
London,” says Karen Dryer, execwho spend $100 a month inside
utive vice president of the Ohio
the stores the opportunity to pur- Petroleum Marketers Associachase a fill-up at a 10-cent-a-gallon tion.
discount.
Speedway, owned by Marathon
Calvin Taylor of Anderson
Oil, will soon be the region’s last
Township buys his gas at Kroger remaining convenience-store
on Beechmont Road. His main in- chain owned by an oil company.
terest is in consolidating trips and
More owners could mean a
saving money. “I am willing to
greater range in gas pricing localwait in line (at the pump), but I
ly, although not necessarily lower
do it when I buy my groceries,”
prices, since owners already are
he says.
sometimes losing money.
Grocers and big-box stores are
Nobody is willing to guess
slowly changing the retail gas inwhere the high prices might
dustry, says Matt Lewis, econom- lead.
ics professor at Ohio State Uni“I’ve been around this business
versity. Still, he says, the shift is
in one way or another for about
nothing like the rapid makeover
38 years, and I’ve never seen anyof the market in the 1970s, when
thing as serious as what we’re
the Arab oil embargo put an emdealing with now,” says Harper,
phasis on gas prices and led to in- the Northern Kentucky operator.
novations such as self-service
“We’ve got increased price for the
pumps and convenience stores
product, continually depressed
selling gas.
margins, higher credit card fees
“You’re never going to have as and other expenses.
many grocery stores as gas sta“If energy prices don’t start gotions to meet the demand,” says
ing in the other direction, a lot of
Lewis, who specializes in retail
people are going to fall out of this
gas prices. “But they are having a business.”
GAS SECRETS REVIEW The Enquirer’s analysis of daily gas prices in May and June confirmed some old notions and revealed some surprises.
AVERAGE PRICE BY DAY OF THE WEEK
AVERAGE PRICE BY MAJOR BRAND
VALUE OF NEARBY STATIONS
1
2
3
Kroger, Sam’s
Club and Costco
had the cheapest
gas – as much as
10 cents a gallon
less than traditional outlets.
Store (Number surveyed)
Costco (2)
Sam’s Club (3)
Kroger (28)
Meijer (7)
Mobil (93)
Speedway (80)
Regional Average
Sunoco (61)
BP (107)
Marathon (134)
Shell (82)
$3.82
$3.84
$3.88
$3.89
$3.89
$3.90
$3.91
$3.91
$3.92
$3.92
$3.92
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Sunday
Tuesday was
the cheapest day
of the week to
buy gas. Wednesday was the most
expensive.
Monday
Tuesday
Wednesday
Thursday
$3.911
$3.898
$3.890
$3.917
$3.909
Friday
$3.915
Saturday
$3.914
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Gas was one
cent a gallon
less at stations
with a competitor
located within a
mile.
Prices are lower when stations have
nearby rivals.
$3.925
$3.920
$3.915
$3.910
$3.905
$3.900
-0.5
mile
1
mile
1.5
2 2.5 +2.5
miles miles miles miles
DISTANCE FROM NEAREST COMPETITOR
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A11.0
Time: 07-26-2008 20:57 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
THE ENQUIRER
REVEALED
SUNDAY, JULY 27, 2008 A11
Q&A
A trip to save doesn’t make sense
By Gregory Korte
gkorte@enquirer.com
Some drivers would rather pay for convenience of a nearby station
How far out of your way would you go to
save a couple of cents on a gallon of gas?
Before answering, consider this:
At $4 a gallon, a typical driver burns 16
cents in gas every mile. A gas station a mile
away – two miles round trip – would have to
save 2 cents a gallon just to break even.
That’s assuming your car gets 25 miles
per gallon in the city (the national average)
and has a 15-gallon gas tank. The greater
the mileage and the bigger the tank, the
more you can afford to shop around.
It rarely makes sense to drive more than
a block or two to save money. That’s why
gas stations without competition nearby can charge a
few cents more.
Even when it makes economic sense, some studies
show that drivers would
rather pay for the convenience of a nearby station. A
Biddle
survey conducted in January for the National Association of Convenience Stores found that:
m Gas prices would have to be 3 cents
less to convince most drivers to bypass a
station on the right and cross heavy traffic
to shop at a cheaper station on the left.
m It would take a 5-cent difference for
most drivers to drive five minutes out of
their way.
m It would take a 10-cent difference to
get most drivers to drive 10 minutes out of
their way.
“Because I purchase a lot of gas, it is not
worth my while to drive extra or cross two
to three lanes for a few cents off,” said
Charles Biddle of Louisville, while filling
up at a station off Interstate 75 as part of his
weekly commute to get treatment for his
son at Cincinnati Children’s Hospital Med-
ical Center.
Of course, most drivers don’t have to go
out of their way to pass by competing gas
stations.
Some roads – Dixie Highway (both in
Ohio and Kentucky), Montgomery Road,
Hamilton Avenue, Alexandria Pike, Reading Road and Colerain Avenue – have more
than a dozen stations each.
In those cases, some planning can save
money. Online tools like The Enquirer’s
CinciNavigator.com can help identify prices at gas stations along your route before
you leave.
During May and June, the station with the highest average price charged 37 cents a
gallon more than the station with the lowest average price. Here’s what the owners say:
From $4.06 … to $3.69
THE HIGHEST STATION
THE LOWEST STATION
Question: Why does Kroger discount its gas10 cents a
gallon if you spend $100 in
the store in a month, but
knocks 20 cents off after you
spend $50 in other cities?
Answer: Kroger acknowledges that its discounts are different in different markets, but
says it must adjust for differing
competition. The example you
cite is offered in the Toledo/
Bowling Green area to compete
with a similar discount offered by
Giant Eagle grocery.
Q: Can gas credit cards
save you money?
A: In some cases, yes. BP, for
example, offers new credit customers 10 percent rebates per
gallon for the first six months –
which equates into nearly 40
cents a gallon. The rebate can be
redeemed for cash, other merchandise or donated to charity.
But customers first must accumulate $25 in rebates to redeem.
Q: I’ve heard that it’s not
good to buy gas immediately
after a supply tanker has
serviced a station. Is this
true?
A:You’re referring to the notion that the delivery of new fuel
stirs up sediment in a station’s
underground tanks, contaminating gas that could harm your engine. The risk is minimal, especially for newer model cars,
which have advanced fuel filters.
A change in federal regulations
forced all stations to upgrade
their underground tanks several
years ago. In addition, all tanks
and gas pumps have filters that
should weed out any sediment or
foreign material.
Q: Is there a better time of
day to buy gas?
A: This is more of an issue
during the summer, because gas
evaporates more quickly when it
is warmer. But a station’s tanks
are underground and cooler, so
evaporation is usually held to a
minimum. It is a much bigger issue in the South, where temperatures are much higher. Still, experts say morning is the best
time to fuel up to ensure you get
what you pay for.
— James Pilcher
Have a question? Email James
Pilcher at jpilcher@enquirer.com
The Enquirer/Amie Dworecki
Alex Othman, owner of the Mobil station at Mineola Pike and Interstate 275, says
he makes more money on a cup of coffee than he does on a gallon of gas.
Jack Hunt of Union, who recently switched to driving his car instead of his truck to
save more than $100 a week in gas, pumps gas at Union Food Mart, a BP station
that had the lowest average gas prices for May and June.
By James Pilcher
By James Pilcher
The Enquirer/Jeff Swinger
Despite the beefs, Store owner uses
he won’t take loss fuel as loss leader
jpilcher@enquirer.com
ERLANGER – Alex Othman looks at
the receipt for 8,000 gallons of gas he recently purchased and sighs.
His Mobil station by the Mineola Pike
exit off Interstate 275 charged the highest
average price among 716 stations surveyed
in May and June – $4.06 per gallon for regular unleaded gas.
The reason: Othman refuses to sell gas at
a loss as some other stations do.
“I actually hope some days that I come in
the morning and the gas is gone and I don’t
have to worry about it,” Othman said. “So
many people complain, and there is so
much headache.”
His station is the only one at the Mineola
Pike exit and one of only two at the two
interstate exits nearest Cincinnati/Northern Kentucky International Airport. The location nets him considerable traffic from
drivers topping off the tanks of rental cars
before returning them at the airport.
Still, Othman says he earns just 1 to 2
percent of his profit on gas, even though
fuel accounts for 75 percent of his store’s
sales.
On this day, he’s selling regular unleaded for $4.29 a gallon. He says that will earn
him about 2 to 3 cents per gallon in gross
profit after credit card fees and the cost of
the fuel – or about $112 a day.
jpilcher@enquirer.com
UNION – Just call Ram Chinthala the anti-Kroger, a guy trying to beat the grocery
store giant at its own game.
Like his much larger counterpart 1½
miles away, Chinthala’s Union Food Mart
sells BP gas well below the regional average. Often, he sells gas for less than he paid
for it.
Chinthala’s station charged an average
$3.69 a gallon for regular unleaded gas in
May and June – lowest among 716 local gas
outlets surveyed that reported prices for at
least 30 days.
“I always lose money on gas, but it’s all
about competition, and I need to get people
in here to make any money,” Chinthala said.
Chinthala and his brother Raghu bought
the station 3½ years ago. Despite losses on
gas, Chinthala says his station is profitable,
with a full-service deli and soft-serve ice
cream machine. His strategy: Lose money
on gas but sell convenience and earn profits
from other items in his store.
“I get a lot of customers just looking for a
loaf of bread or some milk, and who wants to
walk across a big parking lot or wait in line at
a grocery store?” he said.
But on this day, the strategy wasn’t quite
working. The nearby Kroger, Speedway and
United Dairy Farmers all were selling gas
for 10 cents less than he was.
In the old days, stations didn’t have to advertise
By James Pilcher
jpilcher@enquirer.com
Gas is the only major commodity
that shouts daily prices from towering outdoor signs.
But it wasn’t always that way. It
took the 1973 Arab oil embargo and
the nation’s first experience with a
big spike in oil prices to make
Americans demand the kind of
signs that endure today.
Earlier gas signs were large but
simply promised that motorists
would “Save!” by buying a particular
brand, says Michael Karl Witzel, author of “The American Gas Station.”
The Austin, Texas resident recalls
that Lady Bird Johnson even under-
took a beautification campaign in the
1960s to rid roadsides of the gas
signs she saw as unsightly.
Back then, gas companies used
slogans such as Exxon’s “Tiger in
your tank” and giveaways of dinnerware, glassware and silverware
to lure customers. Women were
courted with green stamps that
were redeemable for other merchandise. It all fit a model that
stressed full service over speed and
convenience.
“They didn’t have to advertise on
price before that because oil prices
were stable and they bought gas on a
long-term contract,” says Lisa Margonelli, a fellow with the New America
Foundation, a Washington think tank,
and author of “Oil on the Brain.”
“My grandma’s gas station owner was like the family doctor – he
knew everything about us and
about our car.”
But then the embargo hit, drivers began comparing costs and station owners started displaying
hand-painted signs with prices. As
price drove sales, self-service
pumps and convenience stores got
their start – and the signs became
bigger and more official.
“Now, the stations and convenience stores are all just boxy and
Enquirer file
can be changed from one brand to
another in case of a buyout over- The first gasoline “filling station” in Ohio, and possibly the first in
night, by just changing the signs,” the industry, was set up in a garage at Young and Oak streets in
Columbus in 1921.
Margonelli said.
What you can do
You can stretch your gas mileage by driving wisely:
m Have your car tuned regularly.
An engine tune-up can improve car
fuel economy by an average of 1
mile per gallon.
m Keep your tires properly inflated. Underinflated tires can decrease fuel economy by up to 1
mile per gallon.
m Slow down. The faster you
drive, the more gasoline your car
uses. Driving at 65 mph rather
than 55 mph reduces fuel economy by about 2 miles per gallon.
m Avoid jackrabbit starts. Abrupt
starts require about twice as much
gasoline as gradual starts.
m Pace your driving. Unnecessary
speedups, slowdowns and stops
can decrease fuel economy by up
to 2 miles per gallon.
m Use your air conditioner sparingly. The use of air conditioning
can reduce fuel economy by as
much as 2 miles per gallon.
m Avoid engine idling. Turn your
engine off when you are delayed
for more than a couple of minutes.
m Plan your trips carefully. Avoid
traveling during rush hours if possible to reduce fuel-consumption
patterns such as starting and stopping and numerous idling periods.
m Consider joining a car pool.
— American Petroleum
Institute
ONLINE
Cincinnati.Com, search: gas
m Find cheapest gas in your area at CinciNavigator.
m Use calculators to figure
costs.
m Join the discussion.
m Video: Your questions.
GAS SECRETS REVIEW These findings were published all last week in The Enquirer and online at Cincinnati.Com.
AVG.DAILY DIFFERENCEWITHIN BRANDS
INTERSTATE EFFECT
CHEAPER GAS: OHIO OR KENTUCKY?
4
5
6
Brand Avg. diff.
Prices varied
daily by 11 cents
to 38 cents a gallon within major
brands.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Prices are higher when stations are close
to major highways.
Gas was an
average 11⁄2 cents
a gallon more
at stations near
interstate exits.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
3 to 4 More than
miles 4 miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Motorists pay
more – sometimes much
more – for gas
in Northern
Kentucky than
in Ohio.
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A11.0
Time: 07-26-2008 20:57 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
THE ENQUIRER
REVEALED
SUNDAY, JULY 27, 2008 A11
Q&A
A trip to save doesn’t make sense
By Gregory Korte
gkorte@enquirer.com
Some drivers would rather pay for convenience of a nearby station
How far out of your way would you go to
save a couple of cents on a gallon of gas?
Before answering, consider this:
At $4 a gallon, a typical driver burns 16
cents in gas every mile. A gas station a mile
away – two miles round trip – would have to
save 2 cents a gallon just to break even.
That’s assuming your car gets 25 miles
per gallon in the city (the national average)
and has a 15-gallon gas tank. The greater
the mileage and the bigger the tank, the
more you can afford to shop around.
It rarely makes sense to drive more than
a block or two to save money. That’s why
gas stations without competition nearby can charge a
few cents more.
Even when it makes economic sense, some studies
show that drivers would
rather pay for the convenience of a nearby station. A
Biddle
survey conducted in January for the National Association of Convenience Stores found that:
m Gas prices would have to be 3 cents
less to convince most drivers to bypass a
station on the right and cross heavy traffic
to shop at a cheaper station on the left.
m It would take a 5-cent difference for
most drivers to drive five minutes out of
their way.
m It would take a 10-cent difference to
get most drivers to drive 10 minutes out of
their way.
“Because I purchase a lot of gas, it is not
worth my while to drive extra or cross two
to three lanes for a few cents off,” said
Charles Biddle of Louisville, while filling
up at a station off Interstate 75 as part of his
weekly commute to get treatment for his
son at Cincinnati Children’s Hospital Med-
ical Center.
Of course, most drivers don’t have to go
out of their way to pass by competing gas
stations.
Some roads – Dixie Highway (both in
Ohio and Kentucky), Montgomery Road,
Hamilton Avenue, Alexandria Pike, Reading Road and Colerain Avenue – have more
than a dozen stations each.
In those cases, some planning can save
money. Online tools like The Enquirer’s
CinciNavigator.com can help identify prices at gas stations along your route before
you leave.
During May and June, the station with the highest average price charged 37 cents a
gallon more than the station with the lowest average price. Here’s what the owners say:
From $4.06 … to $3.69
THE HIGHEST STATION
THE LOWEST STATION
Question: Why does Kroger discount its gas10 cents a
gallon if you spend $100 in
the store in a month, but
knocks 20 cents off after you
spend $50 in other cities?
Answer: Kroger acknowledges that its discounts are different in different markets, but
says it must adjust for differing
competition. The example you
cite is offered in the Toledo/
Bowling Green area to compete
with a similar discount offered by
Giant Eagle grocery.
Q: Can gas credit cards
save you money?
A: In some cases, yes. BP, for
example, offers new credit customers 10 percent rebates per
gallon for the first six months –
which equates into nearly 40
cents a gallon. The rebate can be
redeemed for cash, other merchandise or donated to charity.
But customers first must accumulate $25 in rebates to redeem.
Q: I’ve heard that it’s not
good to buy gas immediately
after a supply tanker has
serviced a station. Is this
true?
A:You’re referring to the notion that the delivery of new fuel
stirs up sediment in a station’s
underground tanks, contaminating gas that could harm your engine. The risk is minimal, especially for newer model cars,
which have advanced fuel filters.
A change in federal regulations
forced all stations to upgrade
their underground tanks several
years ago. In addition, all tanks
and gas pumps have filters that
should weed out any sediment or
foreign material.
Q: Is there a better time of
day to buy gas?
A: This is more of an issue
during the summer, because gas
evaporates more quickly when it
is warmer. But a station’s tanks
are underground and cooler, so
evaporation is usually held to a
minimum. It is a much bigger issue in the South, where temperatures are much higher. Still, experts say morning is the best
time to fuel up to ensure you get
what you pay for.
— James Pilcher
Have a question? Email James
Pilcher at jpilcher@enquirer.com
The Enquirer/Amie Dworecki
Alex Othman, owner of the Mobil station at Mineola Pike and Interstate 275, says
he makes more money on a cup of coffee than he does on a gallon of gas.
Jack Hunt of Union, who recently switched to driving his car instead of his truck to
save more than $100 a week in gas, pumps gas at Union Food Mart, a BP station
that had the lowest average gas prices for May and June.
By James Pilcher
By James Pilcher
The Enquirer/Jeff Swinger
Despite the beefs, Store owner uses
he won’t take loss fuel as loss leader
jpilcher@enquirer.com
ERLANGER – Alex Othman looks at
the receipt for 8,000 gallons of gas he recently purchased and sighs.
His Mobil station by the Mineola Pike
exit off Interstate 275 charged the highest
average price among 716 stations surveyed
in May and June – $4.06 per gallon for regular unleaded gas.
The reason: Othman refuses to sell gas at
a loss as some other stations do.
“I actually hope some days that I come in
the morning and the gas is gone and I don’t
have to worry about it,” Othman said. “So
many people complain, and there is so
much headache.”
His station is the only one at the Mineola
Pike exit and one of only two at the two
interstate exits nearest Cincinnati/Northern Kentucky International Airport. The location nets him considerable traffic from
drivers topping off the tanks of rental cars
before returning them at the airport.
Still, Othman says he earns just 1 to 2
percent of his profit on gas, even though
fuel accounts for 75 percent of his store’s
sales.
On this day, he’s selling regular unleaded for $4.29 a gallon. He says that will earn
him about 2 to 3 cents per gallon in gross
profit after credit card fees and the cost of
the fuel – or about $112 a day.
jpilcher@enquirer.com
UNION – Just call Ram Chinthala the anti-Kroger, a guy trying to beat the grocery
store giant at its own game.
Like his much larger counterpart 1½
miles away, Chinthala’s Union Food Mart
sells BP gas well below the regional average. Often, he sells gas for less than he paid
for it.
Chinthala’s station charged an average
$3.69 a gallon for regular unleaded gas in
May and June – lowest among 716 local gas
outlets surveyed that reported prices for at
least 30 days.
“I always lose money on gas, but it’s all
about competition, and I need to get people
in here to make any money,” Chinthala said.
Chinthala and his brother Raghu bought
the station 3½ years ago. Despite losses on
gas, Chinthala says his station is profitable,
with a full-service deli and soft-serve ice
cream machine. His strategy: Lose money
on gas but sell convenience and earn profits
from other items in his store.
“I get a lot of customers just looking for a
loaf of bread or some milk, and who wants to
walk across a big parking lot or wait in line at
a grocery store?” he said.
But on this day, the strategy wasn’t quite
working. The nearby Kroger, Speedway and
United Dairy Farmers all were selling gas
for 10 cents less than he was.
In the old days, stations didn’t have to advertise
By James Pilcher
jpilcher@enquirer.com
Gas is the only major commodity
that shouts daily prices from towering outdoor signs.
But it wasn’t always that way. It
took the 1973 Arab oil embargo and
the nation’s first experience with a
big spike in oil prices to make
Americans demand the kind of
signs that endure today.
Earlier gas signs were large but
simply promised that motorists
would “Save!” by buying a particular
brand, says Michael Karl Witzel, author of “The American Gas Station.”
The Austin, Texas resident recalls
that Lady Bird Johnson even under-
took a beautification campaign in the
1960s to rid roadsides of the gas
signs she saw as unsightly.
Back then, gas companies used
slogans such as Exxon’s “Tiger in
your tank” and giveaways of dinnerware, glassware and silverware
to lure customers. Women were
courted with green stamps that
were redeemable for other merchandise. It all fit a model that
stressed full service over speed and
convenience.
“They didn’t have to advertise on
price before that because oil prices
were stable and they bought gas on a
long-term contract,” says Lisa Margonelli, a fellow with the New America
Foundation, a Washington think tank,
and author of “Oil on the Brain.”
“My grandma’s gas station owner was like the family doctor – he
knew everything about us and
about our car.”
But then the embargo hit, drivers began comparing costs and station owners started displaying
hand-painted signs with prices. As
price drove sales, self-service
pumps and convenience stores got
their start – and the signs became
bigger and more official.
“Now, the stations and convenience stores are all just boxy and
Enquirer file
can be changed from one brand to
another in case of a buyout over- The first gasoline “filling station” in Ohio, and possibly the first in
night, by just changing the signs,” the industry, was set up in a garage at Young and Oak streets in
Columbus in 1921.
Margonelli said.
What you can do
You can stretch your gas mileage by driving wisely:
m Have your car tuned regularly.
An engine tune-up can improve car
fuel economy by an average of 1
mile per gallon.
m Keep your tires properly inflated. Underinflated tires can decrease fuel economy by up to 1
mile per gallon.
m Slow down. The faster you
drive, the more gasoline your car
uses. Driving at 65 mph rather
than 55 mph reduces fuel economy by about 2 miles per gallon.
m Avoid jackrabbit starts. Abrupt
starts require about twice as much
gasoline as gradual starts.
m Pace your driving. Unnecessary
speedups, slowdowns and stops
can decrease fuel economy by up
to 2 miles per gallon.
m Use your air conditioner sparingly. The use of air conditioning
can reduce fuel economy by as
much as 2 miles per gallon.
m Avoid engine idling. Turn your
engine off when you are delayed
for more than a couple of minutes.
m Plan your trips carefully. Avoid
traveling during rush hours if possible to reduce fuel-consumption
patterns such as starting and stopping and numerous idling periods.
m Consider joining a car pool.
— American Petroleum
Institute
ONLINE
Cincinnati.Com, search: gas
m Find cheapest gas in your area at CinciNavigator.
m Use calculators to figure
costs.
m Join the discussion.
m Video: Your questions.
GAS SECRETS REVIEW These findings were published all last week in The Enquirer and online at Cincinnati.Com.
AVG.DAILY DIFFERENCEWITHIN BRANDS
INTERSTATE EFFECT
CHEAPER GAS: OHIO OR KENTUCKY?
4
5
6
Brand Avg. diff.
Prices varied
daily by 11 cents
to 38 cents a gallon within major
brands.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Prices are higher when stations are close
to major highways.
Gas was an
average 11⁄2 cents
a gallon more
at stations near
interstate exits.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
3 to 4 More than
miles 4 miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Motorists pay
more – sometimes much
more – for gas
in Northern
Kentucky than
in Ohio.
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A11.0
Time: 07-26-2008 20:57 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
THE ENQUIRER
REVEALED
SUNDAY, JULY 27, 2008 A11
Q&A
A trip to save doesn’t make sense
By Gregory Korte
gkorte@enquirer.com
Some drivers would rather pay for convenience of a nearby station
How far out of your way would you go to
save a couple of cents on a gallon of gas?
Before answering, consider this:
At $4 a gallon, a typical driver burns 16
cents in gas every mile. A gas station a mile
away – two miles round trip – would have to
save 2 cents a gallon just to break even.
That’s assuming your car gets 25 miles
per gallon in the city (the national average)
and has a 15-gallon gas tank. The greater
the mileage and the bigger the tank, the
more you can afford to shop around.
It rarely makes sense to drive more than
a block or two to save money. That’s why
gas stations without competition nearby can charge a
few cents more.
Even when it makes economic sense, some studies
show that drivers would
rather pay for the convenience of a nearby station. A
Biddle
survey conducted in January for the National Association of Convenience Stores found that:
m Gas prices would have to be 3 cents
less to convince most drivers to bypass a
station on the right and cross heavy traffic
to shop at a cheaper station on the left.
m It would take a 5-cent difference for
most drivers to drive five minutes out of
their way.
m It would take a 10-cent difference to
get most drivers to drive 10 minutes out of
their way.
“Because I purchase a lot of gas, it is not
worth my while to drive extra or cross two
to three lanes for a few cents off,” said
Charles Biddle of Louisville, while filling
up at a station off Interstate 75 as part of his
weekly commute to get treatment for his
son at Cincinnati Children’s Hospital Med-
ical Center.
Of course, most drivers don’t have to go
out of their way to pass by competing gas
stations.
Some roads – Dixie Highway (both in
Ohio and Kentucky), Montgomery Road,
Hamilton Avenue, Alexandria Pike, Reading Road and Colerain Avenue – have more
than a dozen stations each.
In those cases, some planning can save
money. Online tools like The Enquirer’s
CinciNavigator.com can help identify prices at gas stations along your route before
you leave.
During May and June, the station with the highest average price charged 37 cents a
gallon more than the station with the lowest average price. Here’s what the owners say:
From $4.06 … to $3.69
THE HIGHEST STATION
THE LOWEST STATION
Question: Why does Kroger discount its gas10 cents a
gallon if you spend $100 in
the store in a month, but
knocks 20 cents off after you
spend $50 in other cities?
Answer: Kroger acknowledges that its discounts are different in different markets, but
says it must adjust for differing
competition. The example you
cite is offered in the Toledo/
Bowling Green area to compete
with a similar discount offered by
Giant Eagle grocery.
Q: Can gas credit cards
save you money?
A: In some cases, yes. BP, for
example, offers new credit customers 10 percent rebates per
gallon for the first six months –
which equates into nearly 40
cents a gallon. The rebate can be
redeemed for cash, other merchandise or donated to charity.
But customers first must accumulate $25 in rebates to redeem.
Q: I’ve heard that it’s not
good to buy gas immediately
after a supply tanker has
serviced a station. Is this
true?
A:You’re referring to the notion that the delivery of new fuel
stirs up sediment in a station’s
underground tanks, contaminating gas that could harm your engine. The risk is minimal, especially for newer model cars,
which have advanced fuel filters.
A change in federal regulations
forced all stations to upgrade
their underground tanks several
years ago. In addition, all tanks
and gas pumps have filters that
should weed out any sediment or
foreign material.
Q: Is there a better time of
day to buy gas?
A: This is more of an issue
during the summer, because gas
evaporates more quickly when it
is warmer. But a station’s tanks
are underground and cooler, so
evaporation is usually held to a
minimum. It is a much bigger issue in the South, where temperatures are much higher. Still, experts say morning is the best
time to fuel up to ensure you get
what you pay for.
— James Pilcher
Have a question? Email James
Pilcher at jpilcher@enquirer.com
The Enquirer/Amie Dworecki
Alex Othman, owner of the Mobil station at Mineola Pike and Interstate 275, says
he makes more money on a cup of coffee than he does on a gallon of gas.
Jack Hunt of Union, who recently switched to driving his car instead of his truck to
save more than $100 a week in gas, pumps gas at Union Food Mart, a BP station
that had the lowest average gas prices for May and June.
By James Pilcher
By James Pilcher
The Enquirer/Jeff Swinger
Despite the beefs, Store owner uses
he won’t take loss fuel as loss leader
jpilcher@enquirer.com
ERLANGER – Alex Othman looks at
the receipt for 8,000 gallons of gas he recently purchased and sighs.
His Mobil station by the Mineola Pike
exit off Interstate 275 charged the highest
average price among 716 stations surveyed
in May and June – $4.06 per gallon for regular unleaded gas.
The reason: Othman refuses to sell gas at
a loss as some other stations do.
“I actually hope some days that I come in
the morning and the gas is gone and I don’t
have to worry about it,” Othman said. “So
many people complain, and there is so
much headache.”
His station is the only one at the Mineola
Pike exit and one of only two at the two
interstate exits nearest Cincinnati/Northern Kentucky International Airport. The location nets him considerable traffic from
drivers topping off the tanks of rental cars
before returning them at the airport.
Still, Othman says he earns just 1 to 2
percent of his profit on gas, even though
fuel accounts for 75 percent of his store’s
sales.
On this day, he’s selling regular unleaded for $4.29 a gallon. He says that will earn
him about 2 to 3 cents per gallon in gross
profit after credit card fees and the cost of
the fuel – or about $112 a day.
jpilcher@enquirer.com
UNION – Just call Ram Chinthala the anti-Kroger, a guy trying to beat the grocery
store giant at its own game.
Like his much larger counterpart 1½
miles away, Chinthala’s Union Food Mart
sells BP gas well below the regional average. Often, he sells gas for less than he paid
for it.
Chinthala’s station charged an average
$3.69 a gallon for regular unleaded gas in
May and June – lowest among 716 local gas
outlets surveyed that reported prices for at
least 30 days.
“I always lose money on gas, but it’s all
about competition, and I need to get people
in here to make any money,” Chinthala said.
Chinthala and his brother Raghu bought
the station 3½ years ago. Despite losses on
gas, Chinthala says his station is profitable,
with a full-service deli and soft-serve ice
cream machine. His strategy: Lose money
on gas but sell convenience and earn profits
from other items in his store.
“I get a lot of customers just looking for a
loaf of bread or some milk, and who wants to
walk across a big parking lot or wait in line at
a grocery store?” he said.
But on this day, the strategy wasn’t quite
working. The nearby Kroger, Speedway and
United Dairy Farmers all were selling gas
for 10 cents less than he was.
In the old days, stations didn’t have to advertise
By James Pilcher
jpilcher@enquirer.com
Gas is the only major commodity
that shouts daily prices from towering outdoor signs.
But it wasn’t always that way. It
took the 1973 Arab oil embargo and
the nation’s first experience with a
big spike in oil prices to make
Americans demand the kind of
signs that endure today.
Earlier gas signs were large but
simply promised that motorists
would “Save!” by buying a particular
brand, says Michael Karl Witzel, author of “The American Gas Station.”
The Austin, Texas resident recalls
that Lady Bird Johnson even under-
took a beautification campaign in the
1960s to rid roadsides of the gas
signs she saw as unsightly.
Back then, gas companies used
slogans such as Exxon’s “Tiger in
your tank” and giveaways of dinnerware, glassware and silverware
to lure customers. Women were
courted with green stamps that
were redeemable for other merchandise. It all fit a model that
stressed full service over speed and
convenience.
“They didn’t have to advertise on
price before that because oil prices
were stable and they bought gas on a
long-term contract,” says Lisa Margonelli, a fellow with the New America
Foundation, a Washington think tank,
and author of “Oil on the Brain.”
“My grandma’s gas station owner was like the family doctor – he
knew everything about us and
about our car.”
But then the embargo hit, drivers began comparing costs and station owners started displaying
hand-painted signs with prices. As
price drove sales, self-service
pumps and convenience stores got
their start – and the signs became
bigger and more official.
“Now, the stations and convenience stores are all just boxy and
Enquirer file
can be changed from one brand to
another in case of a buyout over- The first gasoline “filling station” in Ohio, and possibly the first in
night, by just changing the signs,” the industry, was set up in a garage at Young and Oak streets in
Columbus in 1921.
Margonelli said.
What you can do
You can stretch your gas mileage by driving wisely:
m Have your car tuned regularly.
An engine tune-up can improve car
fuel economy by an average of 1
mile per gallon.
m Keep your tires properly inflated. Underinflated tires can decrease fuel economy by up to 1
mile per gallon.
m Slow down. The faster you
drive, the more gasoline your car
uses. Driving at 65 mph rather
than 55 mph reduces fuel economy by about 2 miles per gallon.
m Avoid jackrabbit starts. Abrupt
starts require about twice as much
gasoline as gradual starts.
m Pace your driving. Unnecessary
speedups, slowdowns and stops
can decrease fuel economy by up
to 2 miles per gallon.
m Use your air conditioner sparingly. The use of air conditioning
can reduce fuel economy by as
much as 2 miles per gallon.
m Avoid engine idling. Turn your
engine off when you are delayed
for more than a couple of minutes.
m Plan your trips carefully. Avoid
traveling during rush hours if possible to reduce fuel-consumption
patterns such as starting and stopping and numerous idling periods.
m Consider joining a car pool.
— American Petroleum
Institute
ONLINE
Cincinnati.Com, search: gas
m Find cheapest gas in your area at CinciNavigator.
m Use calculators to figure
costs.
m Join the discussion.
m Video: Your questions.
GAS SECRETS REVIEW These findings were published all last week in The Enquirer and online at Cincinnati.Com.
AVG.DAILY DIFFERENCEWITHIN BRANDS
INTERSTATE EFFECT
CHEAPER GAS: OHIO OR KENTUCKY?
4
5
6
Brand Avg. diff.
Prices varied
daily by 11 cents
to 38 cents a gallon within major
brands.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Prices are higher when stations are close
to major highways.
Gas was an
average 11⁄2 cents
a gallon more
at stations near
interstate exits.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
3 to 4 More than
miles 4 miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Motorists pay
more – sometimes much
more – for gas
in Northern
Kentucky than
in Ohio.
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A11.0
Time: 07-26-2008 20:57 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
THE ENQUIRER
REVEALED
SUNDAY, JULY 27, 2008 A11
Q&A
A trip to save doesn’t make sense
By Gregory Korte
gkorte@enquirer.com
Some drivers would rather pay for convenience of a nearby station
How far out of your way would you go to
save a couple of cents on a gallon of gas?
Before answering, consider this:
At $4 a gallon, a typical driver burns 16
cents in gas every mile. A gas station a mile
away – two miles round trip – would have to
save 2 cents a gallon just to break even.
That’s assuming your car gets 25 miles
per gallon in the city (the national average)
and has a 15-gallon gas tank. The greater
the mileage and the bigger the tank, the
more you can afford to shop around.
It rarely makes sense to drive more than
a block or two to save money. That’s why
gas stations without competition nearby can charge a
few cents more.
Even when it makes economic sense, some studies
show that drivers would
rather pay for the convenience of a nearby station. A
Biddle
survey conducted in January for the National Association of Convenience Stores found that:
m Gas prices would have to be 3 cents
less to convince most drivers to bypass a
station on the right and cross heavy traffic
to shop at a cheaper station on the left.
m It would take a 5-cent difference for
most drivers to drive five minutes out of
their way.
m It would take a 10-cent difference to
get most drivers to drive 10 minutes out of
their way.
“Because I purchase a lot of gas, it is not
worth my while to drive extra or cross two
to three lanes for a few cents off,” said
Charles Biddle of Louisville, while filling
up at a station off Interstate 75 as part of his
weekly commute to get treatment for his
son at Cincinnati Children’s Hospital Med-
ical Center.
Of course, most drivers don’t have to go
out of their way to pass by competing gas
stations.
Some roads – Dixie Highway (both in
Ohio and Kentucky), Montgomery Road,
Hamilton Avenue, Alexandria Pike, Reading Road and Colerain Avenue – have more
than a dozen stations each.
In those cases, some planning can save
money. Online tools like The Enquirer’s
CinciNavigator.com can help identify prices at gas stations along your route before
you leave.
During May and June, the station with the highest average price charged 37 cents a
gallon more than the station with the lowest average price. Here’s what the owners say:
From $4.06 … to $3.69
THE HIGHEST STATION
THE LOWEST STATION
Question: Why does Kroger discount its gas10 cents a
gallon if you spend $100 in
the store in a month, but
knocks 20 cents off after you
spend $50 in other cities?
Answer: Kroger acknowledges that its discounts are different in different markets, but
says it must adjust for differing
competition. The example you
cite is offered in the Toledo/
Bowling Green area to compete
with a similar discount offered by
Giant Eagle grocery.
Q: Can gas credit cards
save you money?
A: In some cases, yes. BP, for
example, offers new credit customers 10 percent rebates per
gallon for the first six months –
which equates into nearly 40
cents a gallon. The rebate can be
redeemed for cash, other merchandise or donated to charity.
But customers first must accumulate $25 in rebates to redeem.
Q: I’ve heard that it’s not
good to buy gas immediately
after a supply tanker has
serviced a station. Is this
true?
A:You’re referring to the notion that the delivery of new fuel
stirs up sediment in a station’s
underground tanks, contaminating gas that could harm your engine. The risk is minimal, especially for newer model cars,
which have advanced fuel filters.
A change in federal regulations
forced all stations to upgrade
their underground tanks several
years ago. In addition, all tanks
and gas pumps have filters that
should weed out any sediment or
foreign material.
Q: Is there a better time of
day to buy gas?
A: This is more of an issue
during the summer, because gas
evaporates more quickly when it
is warmer. But a station’s tanks
are underground and cooler, so
evaporation is usually held to a
minimum. It is a much bigger issue in the South, where temperatures are much higher. Still, experts say morning is the best
time to fuel up to ensure you get
what you pay for.
— James Pilcher
Have a question? Email James
Pilcher at jpilcher@enquirer.com
The Enquirer/Amie Dworecki
Alex Othman, owner of the Mobil station at Mineola Pike and Interstate 275, says
he makes more money on a cup of coffee than he does on a gallon of gas.
Jack Hunt of Union, who recently switched to driving his car instead of his truck to
save more than $100 a week in gas, pumps gas at Union Food Mart, a BP station
that had the lowest average gas prices for May and June.
By James Pilcher
By James Pilcher
The Enquirer/Jeff Swinger
Despite the beefs, Store owner uses
he won’t take loss fuel as loss leader
jpilcher@enquirer.com
ERLANGER – Alex Othman looks at
the receipt for 8,000 gallons of gas he recently purchased and sighs.
His Mobil station by the Mineola Pike
exit off Interstate 275 charged the highest
average price among 716 stations surveyed
in May and June – $4.06 per gallon for regular unleaded gas.
The reason: Othman refuses to sell gas at
a loss as some other stations do.
“I actually hope some days that I come in
the morning and the gas is gone and I don’t
have to worry about it,” Othman said. “So
many people complain, and there is so
much headache.”
His station is the only one at the Mineola
Pike exit and one of only two at the two
interstate exits nearest Cincinnati/Northern Kentucky International Airport. The location nets him considerable traffic from
drivers topping off the tanks of rental cars
before returning them at the airport.
Still, Othman says he earns just 1 to 2
percent of his profit on gas, even though
fuel accounts for 75 percent of his store’s
sales.
On this day, he’s selling regular unleaded for $4.29 a gallon. He says that will earn
him about 2 to 3 cents per gallon in gross
profit after credit card fees and the cost of
the fuel – or about $112 a day.
jpilcher@enquirer.com
UNION – Just call Ram Chinthala the anti-Kroger, a guy trying to beat the grocery
store giant at its own game.
Like his much larger counterpart 1½
miles away, Chinthala’s Union Food Mart
sells BP gas well below the regional average. Often, he sells gas for less than he paid
for it.
Chinthala’s station charged an average
$3.69 a gallon for regular unleaded gas in
May and June – lowest among 716 local gas
outlets surveyed that reported prices for at
least 30 days.
“I always lose money on gas, but it’s all
about competition, and I need to get people
in here to make any money,” Chinthala said.
Chinthala and his brother Raghu bought
the station 3½ years ago. Despite losses on
gas, Chinthala says his station is profitable,
with a full-service deli and soft-serve ice
cream machine. His strategy: Lose money
on gas but sell convenience and earn profits
from other items in his store.
“I get a lot of customers just looking for a
loaf of bread or some milk, and who wants to
walk across a big parking lot or wait in line at
a grocery store?” he said.
But on this day, the strategy wasn’t quite
working. The nearby Kroger, Speedway and
United Dairy Farmers all were selling gas
for 10 cents less than he was.
In the old days, stations didn’t have to advertise
By James Pilcher
jpilcher@enquirer.com
Gas is the only major commodity
that shouts daily prices from towering outdoor signs.
But it wasn’t always that way. It
took the 1973 Arab oil embargo and
the nation’s first experience with a
big spike in oil prices to make
Americans demand the kind of
signs that endure today.
Earlier gas signs were large but
simply promised that motorists
would “Save!” by buying a particular
brand, says Michael Karl Witzel, author of “The American Gas Station.”
The Austin, Texas resident recalls
that Lady Bird Johnson even under-
took a beautification campaign in the
1960s to rid roadsides of the gas
signs she saw as unsightly.
Back then, gas companies used
slogans such as Exxon’s “Tiger in
your tank” and giveaways of dinnerware, glassware and silverware
to lure customers. Women were
courted with green stamps that
were redeemable for other merchandise. It all fit a model that
stressed full service over speed and
convenience.
“They didn’t have to advertise on
price before that because oil prices
were stable and they bought gas on a
long-term contract,” says Lisa Margonelli, a fellow with the New America
Foundation, a Washington think tank,
and author of “Oil on the Brain.”
“My grandma’s gas station owner was like the family doctor – he
knew everything about us and
about our car.”
But then the embargo hit, drivers began comparing costs and station owners started displaying
hand-painted signs with prices. As
price drove sales, self-service
pumps and convenience stores got
their start – and the signs became
bigger and more official.
“Now, the stations and convenience stores are all just boxy and
Enquirer file
can be changed from one brand to
another in case of a buyout over- The first gasoline “filling station” in Ohio, and possibly the first in
night, by just changing the signs,” the industry, was set up in a garage at Young and Oak streets in
Columbus in 1921.
Margonelli said.
What you can do
You can stretch your gas mileage by driving wisely:
m Have your car tuned regularly.
An engine tune-up can improve car
fuel economy by an average of 1
mile per gallon.
m Keep your tires properly inflated. Underinflated tires can decrease fuel economy by up to 1
mile per gallon.
m Slow down. The faster you
drive, the more gasoline your car
uses. Driving at 65 mph rather
than 55 mph reduces fuel economy by about 2 miles per gallon.
m Avoid jackrabbit starts. Abrupt
starts require about twice as much
gasoline as gradual starts.
m Pace your driving. Unnecessary
speedups, slowdowns and stops
can decrease fuel economy by up
to 2 miles per gallon.
m Use your air conditioner sparingly. The use of air conditioning
can reduce fuel economy by as
much as 2 miles per gallon.
m Avoid engine idling. Turn your
engine off when you are delayed
for more than a couple of minutes.
m Plan your trips carefully. Avoid
traveling during rush hours if possible to reduce fuel-consumption
patterns such as starting and stopping and numerous idling periods.
m Consider joining a car pool.
— American Petroleum
Institute
ONLINE
Cincinnati.Com, search: gas
m Find cheapest gas in your area at CinciNavigator.
m Use calculators to figure
costs.
m Join the discussion.
m Video: Your questions.
GAS SECRETS REVIEW These findings were published all last week in The Enquirer and online at Cincinnati.Com.
AVG.DAILY DIFFERENCEWITHIN BRANDS
INTERSTATE EFFECT
CHEAPER GAS: OHIO OR KENTUCKY?
4
5
6
Brand Avg. diff.
Prices varied
daily by 11 cents
to 38 cents a gallon within major
brands.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Prices are higher when stations are close
to major highways.
Gas was an
average 11⁄2 cents
a gallon more
at stations near
interstate exits.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
3 to 4 More than
miles 4 miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Motorists pay
more – sometimes much
more – for gas
in Northern
Kentucky than
in Ohio.
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A11.0
Time: 07-26-2008 20:57 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
THE ENQUIRER
REVEALED
SUNDAY, JULY 27, 2008 A11
Q&A
A trip to save doesn’t make sense
By Gregory Korte
gkorte@enquirer.com
Some drivers would rather pay for convenience of a nearby station
How far out of your way would you go to
save a couple of cents on a gallon of gas?
Before answering, consider this:
At $4 a gallon, a typical driver burns 16
cents in gas every mile. A gas station a mile
away – two miles round trip – would have to
save 2 cents a gallon just to break even.
That’s assuming your car gets 25 miles
per gallon in the city (the national average)
and has a 15-gallon gas tank. The greater
the mileage and the bigger the tank, the
more you can afford to shop around.
It rarely makes sense to drive more than
a block or two to save money. That’s why
gas stations without competition nearby can charge a
few cents more.
Even when it makes economic sense, some studies
show that drivers would
rather pay for the convenience of a nearby station. A
Biddle
survey conducted in January for the National Association of Convenience Stores found that:
m Gas prices would have to be 3 cents
less to convince most drivers to bypass a
station on the right and cross heavy traffic
to shop at a cheaper station on the left.
m It would take a 5-cent difference for
most drivers to drive five minutes out of
their way.
m It would take a 10-cent difference to
get most drivers to drive 10 minutes out of
their way.
“Because I purchase a lot of gas, it is not
worth my while to drive extra or cross two
to three lanes for a few cents off,” said
Charles Biddle of Louisville, while filling
up at a station off Interstate 75 as part of his
weekly commute to get treatment for his
son at Cincinnati Children’s Hospital Med-
ical Center.
Of course, most drivers don’t have to go
out of their way to pass by competing gas
stations.
Some roads – Dixie Highway (both in
Ohio and Kentucky), Montgomery Road,
Hamilton Avenue, Alexandria Pike, Reading Road and Colerain Avenue – have more
than a dozen stations each.
In those cases, some planning can save
money. Online tools like The Enquirer’s
CinciNavigator.com can help identify prices at gas stations along your route before
you leave.
During May and June, the station with the highest average price charged 37 cents a
gallon more than the station with the lowest average price. Here’s what the owners say:
From $4.06 … to $3.69
THE HIGHEST STATION
THE LOWEST STATION
Question: Why does Kroger discount its gas10 cents a
gallon if you spend $100 in
the store in a month, but
knocks 20 cents off after you
spend $50 in other cities?
Answer: Kroger acknowledges that its discounts are different in different markets, but
says it must adjust for differing
competition. The example you
cite is offered in the Toledo/
Bowling Green area to compete
with a similar discount offered by
Giant Eagle grocery.
Q: Can gas credit cards
save you money?
A: In some cases, yes. BP, for
example, offers new credit customers 10 percent rebates per
gallon for the first six months –
which equates into nearly 40
cents a gallon. The rebate can be
redeemed for cash, other merchandise or donated to charity.
But customers first must accumulate $25 in rebates to redeem.
Q: I’ve heard that it’s not
good to buy gas immediately
after a supply tanker has
serviced a station. Is this
true?
A:You’re referring to the notion that the delivery of new fuel
stirs up sediment in a station’s
underground tanks, contaminating gas that could harm your engine. The risk is minimal, especially for newer model cars,
which have advanced fuel filters.
A change in federal regulations
forced all stations to upgrade
their underground tanks several
years ago. In addition, all tanks
and gas pumps have filters that
should weed out any sediment or
foreign material.
Q: Is there a better time of
day to buy gas?
A: This is more of an issue
during the summer, because gas
evaporates more quickly when it
is warmer. But a station’s tanks
are underground and cooler, so
evaporation is usually held to a
minimum. It is a much bigger issue in the South, where temperatures are much higher. Still, experts say morning is the best
time to fuel up to ensure you get
what you pay for.
— James Pilcher
Have a question? Email James
Pilcher at jpilcher@enquirer.com
The Enquirer/Amie Dworecki
Alex Othman, owner of the Mobil station at Mineola Pike and Interstate 275, says
he makes more money on a cup of coffee than he does on a gallon of gas.
Jack Hunt of Union, who recently switched to driving his car instead of his truck to
save more than $100 a week in gas, pumps gas at Union Food Mart, a BP station
that had the lowest average gas prices for May and June.
By James Pilcher
By James Pilcher
The Enquirer/Jeff Swinger
Despite the beefs, Store owner uses
he won’t take loss fuel as loss leader
jpilcher@enquirer.com
ERLANGER – Alex Othman looks at
the receipt for 8,000 gallons of gas he recently purchased and sighs.
His Mobil station by the Mineola Pike
exit off Interstate 275 charged the highest
average price among 716 stations surveyed
in May and June – $4.06 per gallon for regular unleaded gas.
The reason: Othman refuses to sell gas at
a loss as some other stations do.
“I actually hope some days that I come in
the morning and the gas is gone and I don’t
have to worry about it,” Othman said. “So
many people complain, and there is so
much headache.”
His station is the only one at the Mineola
Pike exit and one of only two at the two
interstate exits nearest Cincinnati/Northern Kentucky International Airport. The location nets him considerable traffic from
drivers topping off the tanks of rental cars
before returning them at the airport.
Still, Othman says he earns just 1 to 2
percent of his profit on gas, even though
fuel accounts for 75 percent of his store’s
sales.
On this day, he’s selling regular unleaded for $4.29 a gallon. He says that will earn
him about 2 to 3 cents per gallon in gross
profit after credit card fees and the cost of
the fuel – or about $112 a day.
jpilcher@enquirer.com
UNION – Just call Ram Chinthala the anti-Kroger, a guy trying to beat the grocery
store giant at its own game.
Like his much larger counterpart 1½
miles away, Chinthala’s Union Food Mart
sells BP gas well below the regional average. Often, he sells gas for less than he paid
for it.
Chinthala’s station charged an average
$3.69 a gallon for regular unleaded gas in
May and June – lowest among 716 local gas
outlets surveyed that reported prices for at
least 30 days.
“I always lose money on gas, but it’s all
about competition, and I need to get people
in here to make any money,” Chinthala said.
Chinthala and his brother Raghu bought
the station 3½ years ago. Despite losses on
gas, Chinthala says his station is profitable,
with a full-service deli and soft-serve ice
cream machine. His strategy: Lose money
on gas but sell convenience and earn profits
from other items in his store.
“I get a lot of customers just looking for a
loaf of bread or some milk, and who wants to
walk across a big parking lot or wait in line at
a grocery store?” he said.
But on this day, the strategy wasn’t quite
working. The nearby Kroger, Speedway and
United Dairy Farmers all were selling gas
for 10 cents less than he was.
In the old days, stations didn’t have to advertise
By James Pilcher
jpilcher@enquirer.com
Gas is the only major commodity
that shouts daily prices from towering outdoor signs.
But it wasn’t always that way. It
took the 1973 Arab oil embargo and
the nation’s first experience with a
big spike in oil prices to make
Americans demand the kind of
signs that endure today.
Earlier gas signs were large but
simply promised that motorists
would “Save!” by buying a particular
brand, says Michael Karl Witzel, author of “The American Gas Station.”
The Austin, Texas resident recalls
that Lady Bird Johnson even under-
took a beautification campaign in the
1960s to rid roadsides of the gas
signs she saw as unsightly.
Back then, gas companies used
slogans such as Exxon’s “Tiger in
your tank” and giveaways of dinnerware, glassware and silverware
to lure customers. Women were
courted with green stamps that
were redeemable for other merchandise. It all fit a model that
stressed full service over speed and
convenience.
“They didn’t have to advertise on
price before that because oil prices
were stable and they bought gas on a
long-term contract,” says Lisa Margonelli, a fellow with the New America
Foundation, a Washington think tank,
and author of “Oil on the Brain.”
“My grandma’s gas station owner was like the family doctor – he
knew everything about us and
about our car.”
But then the embargo hit, drivers began comparing costs and station owners started displaying
hand-painted signs with prices. As
price drove sales, self-service
pumps and convenience stores got
their start – and the signs became
bigger and more official.
“Now, the stations and convenience stores are all just boxy and
Enquirer file
can be changed from one brand to
another in case of a buyout over- The first gasoline “filling station” in Ohio, and possibly the first in
night, by just changing the signs,” the industry, was set up in a garage at Young and Oak streets in
Columbus in 1921.
Margonelli said.
What you can do
You can stretch your gas mileage by driving wisely:
m Have your car tuned regularly.
An engine tune-up can improve car
fuel economy by an average of 1
mile per gallon.
m Keep your tires properly inflated. Underinflated tires can decrease fuel economy by up to 1
mile per gallon.
m Slow down. The faster you
drive, the more gasoline your car
uses. Driving at 65 mph rather
than 55 mph reduces fuel economy by about 2 miles per gallon.
m Avoid jackrabbit starts. Abrupt
starts require about twice as much
gasoline as gradual starts.
m Pace your driving. Unnecessary
speedups, slowdowns and stops
can decrease fuel economy by up
to 2 miles per gallon.
m Use your air conditioner sparingly. The use of air conditioning
can reduce fuel economy by as
much as 2 miles per gallon.
m Avoid engine idling. Turn your
engine off when you are delayed
for more than a couple of minutes.
m Plan your trips carefully. Avoid
traveling during rush hours if possible to reduce fuel-consumption
patterns such as starting and stopping and numerous idling periods.
m Consider joining a car pool.
— American Petroleum
Institute
ONLINE
Cincinnati.Com, search: gas
m Find cheapest gas in your area at CinciNavigator.
m Use calculators to figure
costs.
m Join the discussion.
m Video: Your questions.
GAS SECRETS REVIEW These findings were published all last week in The Enquirer and online at Cincinnati.Com.
AVG.DAILY DIFFERENCEWITHIN BRANDS
INTERSTATE EFFECT
CHEAPER GAS: OHIO OR KENTUCKY?
4
5
6
Brand Avg. diff.
Prices varied
daily by 11 cents
to 38 cents a gallon within major
brands.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Prices are higher when stations are close
to major highways.
Gas was an
average 11⁄2 cents
a gallon more
at stations near
interstate exits.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
3 to 4 More than
miles 4 miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Motorists pay
more – sometimes much
more – for gas
in Northern
Kentucky than
in Ohio.
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A11.0
Time: 07-26-2008 20:57 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
THE ENQUIRER
REVEALED
SUNDAY, JULY 27, 2008 A11
Q&A
A trip to save doesn’t make sense
By Gregory Korte
gkorte@enquirer.com
Some drivers would rather pay for convenience of a nearby station
How far out of your way would you go to
save a couple of cents on a gallon of gas?
Before answering, consider this:
At $4 a gallon, a typical driver burns 16
cents in gas every mile. A gas station a mile
away – two miles round trip – would have to
save 2 cents a gallon just to break even.
That’s assuming your car gets 25 miles
per gallon in the city (the national average)
and has a 15-gallon gas tank. The greater
the mileage and the bigger the tank, the
more you can afford to shop around.
It rarely makes sense to drive more than
a block or two to save money. That’s why
gas stations without competition nearby can charge a
few cents more.
Even when it makes economic sense, some studies
show that drivers would
rather pay for the convenience of a nearby station. A
Biddle
survey conducted in January for the National Association of Convenience Stores found that:
m Gas prices would have to be 3 cents
less to convince most drivers to bypass a
station on the right and cross heavy traffic
to shop at a cheaper station on the left.
m It would take a 5-cent difference for
most drivers to drive five minutes out of
their way.
m It would take a 10-cent difference to
get most drivers to drive 10 minutes out of
their way.
“Because I purchase a lot of gas, it is not
worth my while to drive extra or cross two
to three lanes for a few cents off,” said
Charles Biddle of Louisville, while filling
up at a station off Interstate 75 as part of his
weekly commute to get treatment for his
son at Cincinnati Children’s Hospital Med-
ical Center.
Of course, most drivers don’t have to go
out of their way to pass by competing gas
stations.
Some roads – Dixie Highway (both in
Ohio and Kentucky), Montgomery Road,
Hamilton Avenue, Alexandria Pike, Reading Road and Colerain Avenue – have more
than a dozen stations each.
In those cases, some planning can save
money. Online tools like The Enquirer’s
CinciNavigator.com can help identify prices at gas stations along your route before
you leave.
During May and June, the station with the highest average price charged 37 cents a
gallon more than the station with the lowest average price. Here’s what the owners say:
From $4.06 … to $3.69
THE HIGHEST STATION
THE LOWEST STATION
Question: Why does Kroger discount its gas10 cents a
gallon if you spend $100 in
the store in a month, but
knocks 20 cents off after you
spend $50 in other cities?
Answer: Kroger acknowledges that its discounts are different in different markets, but
says it must adjust for differing
competition. The example you
cite is offered in the Toledo/
Bowling Green area to compete
with a similar discount offered by
Giant Eagle grocery.
Q: Can gas credit cards
save you money?
A: In some cases, yes. BP, for
example, offers new credit customers 10 percent rebates per
gallon for the first six months –
which equates into nearly 40
cents a gallon. The rebate can be
redeemed for cash, other merchandise or donated to charity.
But customers first must accumulate $25 in rebates to redeem.
Q: I’ve heard that it’s not
good to buy gas immediately
after a supply tanker has
serviced a station. Is this
true?
A:You’re referring to the notion that the delivery of new fuel
stirs up sediment in a station’s
underground tanks, contaminating gas that could harm your engine. The risk is minimal, especially for newer model cars,
which have advanced fuel filters.
A change in federal regulations
forced all stations to upgrade
their underground tanks several
years ago. In addition, all tanks
and gas pumps have filters that
should weed out any sediment or
foreign material.
Q: Is there a better time of
day to buy gas?
A: This is more of an issue
during the summer, because gas
evaporates more quickly when it
is warmer. But a station’s tanks
are underground and cooler, so
evaporation is usually held to a
minimum. It is a much bigger issue in the South, where temperatures are much higher. Still, experts say morning is the best
time to fuel up to ensure you get
what you pay for.
— James Pilcher
Have a question? Email James
Pilcher at jpilcher@enquirer.com
The Enquirer/Amie Dworecki
Alex Othman, owner of the Mobil station at Mineola Pike and Interstate 275, says
he makes more money on a cup of coffee than he does on a gallon of gas.
Jack Hunt of Union, who recently switched to driving his car instead of his truck to
save more than $100 a week in gas, pumps gas at Union Food Mart, a BP station
that had the lowest average gas prices for May and June.
By James Pilcher
By James Pilcher
The Enquirer/Jeff Swinger
Despite the beefs, Store owner uses
he won’t take loss fuel as loss leader
jpilcher@enquirer.com
ERLANGER – Alex Othman looks at
the receipt for 8,000 gallons of gas he recently purchased and sighs.
His Mobil station by the Mineola Pike
exit off Interstate 275 charged the highest
average price among 716 stations surveyed
in May and June – $4.06 per gallon for regular unleaded gas.
The reason: Othman refuses to sell gas at
a loss as some other stations do.
“I actually hope some days that I come in
the morning and the gas is gone and I don’t
have to worry about it,” Othman said. “So
many people complain, and there is so
much headache.”
His station is the only one at the Mineola
Pike exit and one of only two at the two
interstate exits nearest Cincinnati/Northern Kentucky International Airport. The location nets him considerable traffic from
drivers topping off the tanks of rental cars
before returning them at the airport.
Still, Othman says he earns just 1 to 2
percent of his profit on gas, even though
fuel accounts for 75 percent of his store’s
sales.
On this day, he’s selling regular unleaded for $4.29 a gallon. He says that will earn
him about 2 to 3 cents per gallon in gross
profit after credit card fees and the cost of
the fuel – or about $112 a day.
jpilcher@enquirer.com
UNION – Just call Ram Chinthala the anti-Kroger, a guy trying to beat the grocery
store giant at its own game.
Like his much larger counterpart 1½
miles away, Chinthala’s Union Food Mart
sells BP gas well below the regional average. Often, he sells gas for less than he paid
for it.
Chinthala’s station charged an average
$3.69 a gallon for regular unleaded gas in
May and June – lowest among 716 local gas
outlets surveyed that reported prices for at
least 30 days.
“I always lose money on gas, but it’s all
about competition, and I need to get people
in here to make any money,” Chinthala said.
Chinthala and his brother Raghu bought
the station 3½ years ago. Despite losses on
gas, Chinthala says his station is profitable,
with a full-service deli and soft-serve ice
cream machine. His strategy: Lose money
on gas but sell convenience and earn profits
from other items in his store.
“I get a lot of customers just looking for a
loaf of bread or some milk, and who wants to
walk across a big parking lot or wait in line at
a grocery store?” he said.
But on this day, the strategy wasn’t quite
working. The nearby Kroger, Speedway and
United Dairy Farmers all were selling gas
for 10 cents less than he was.
In the old days, stations didn’t have to advertise
By James Pilcher
jpilcher@enquirer.com
Gas is the only major commodity
that shouts daily prices from towering outdoor signs.
But it wasn’t always that way. It
took the 1973 Arab oil embargo and
the nation’s first experience with a
big spike in oil prices to make
Americans demand the kind of
signs that endure today.
Earlier gas signs were large but
simply promised that motorists
would “Save!” by buying a particular
brand, says Michael Karl Witzel, author of “The American Gas Station.”
The Austin, Texas resident recalls
that Lady Bird Johnson even under-
took a beautification campaign in the
1960s to rid roadsides of the gas
signs she saw as unsightly.
Back then, gas companies used
slogans such as Exxon’s “Tiger in
your tank” and giveaways of dinnerware, glassware and silverware
to lure customers. Women were
courted with green stamps that
were redeemable for other merchandise. It all fit a model that
stressed full service over speed and
convenience.
“They didn’t have to advertise on
price before that because oil prices
were stable and they bought gas on a
long-term contract,” says Lisa Margonelli, a fellow with the New America
Foundation, a Washington think tank,
and author of “Oil on the Brain.”
“My grandma’s gas station owner was like the family doctor – he
knew everything about us and
about our car.”
But then the embargo hit, drivers began comparing costs and station owners started displaying
hand-painted signs with prices. As
price drove sales, self-service
pumps and convenience stores got
their start – and the signs became
bigger and more official.
“Now, the stations and convenience stores are all just boxy and
Enquirer file
can be changed from one brand to
another in case of a buyout over- The first gasoline “filling station” in Ohio, and possibly the first in
night, by just changing the signs,” the industry, was set up in a garage at Young and Oak streets in
Columbus in 1921.
Margonelli said.
What you can do
You can stretch your gas mileage by driving wisely:
m Have your car tuned regularly.
An engine tune-up can improve car
fuel economy by an average of 1
mile per gallon.
m Keep your tires properly inflated. Underinflated tires can decrease fuel economy by up to 1
mile per gallon.
m Slow down. The faster you
drive, the more gasoline your car
uses. Driving at 65 mph rather
than 55 mph reduces fuel economy by about 2 miles per gallon.
m Avoid jackrabbit starts. Abrupt
starts require about twice as much
gasoline as gradual starts.
m Pace your driving. Unnecessary
speedups, slowdowns and stops
can decrease fuel economy by up
to 2 miles per gallon.
m Use your air conditioner sparingly. The use of air conditioning
can reduce fuel economy by as
much as 2 miles per gallon.
m Avoid engine idling. Turn your
engine off when you are delayed
for more than a couple of minutes.
m Plan your trips carefully. Avoid
traveling during rush hours if possible to reduce fuel-consumption
patterns such as starting and stopping and numerous idling periods.
m Consider joining a car pool.
— American Petroleum
Institute
ONLINE
Cincinnati.Com, search: gas
m Find cheapest gas in your area at CinciNavigator.
m Use calculators to figure
costs.
m Join the discussion.
m Video: Your questions.
GAS SECRETS REVIEW These findings were published all last week in The Enquirer and online at Cincinnati.Com.
AVG.DAILY DIFFERENCEWITHIN BRANDS
INTERSTATE EFFECT
CHEAPER GAS: OHIO OR KENTUCKY?
4
5
6
Brand Avg. diff.
Prices varied
daily by 11 cents
to 38 cents a gallon within major
brands.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Prices are higher when stations are close
to major highways.
Gas was an
average 11⁄2 cents
a gallon more
at stations near
interstate exits.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
3 to 4 More than
miles 4 miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Motorists pay
more – sometimes much
more – for gas
in Northern
Kentucky than
in Ohio.
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A10.0
Time: 07-26-2008 20:58 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
A10 SUNDAY, JULY 27, 2008
How neighborhoods compare
How much you pay for gas often depends on where you live. On average, motorists
pay more in inner-city neighborhoods and rural areas where fewer gas stations
compete for your business. Motorists fueling up in Indian Hill and Verona paid some
of the highest prices in May and June, while consumers in Union and Avondale paid
some of the lowest.
Average price by ZIP code
May-June 2008
$3.81 - $3.87
$3.88 - $3.93
$3.94 - $4.00
$4.01 - $4.06
No stations
75
Butler Co.
74
Dearborn Co.
Warren Co.
Hamilton Co.
Clermont Co.
275
275
Kenton Co.
Boone Co.
Southwest Ohio
45002
45005
45011
45013
45014
45015
45026
45030
45032
45036
45039
45040
45042
45044
45050
45053
45056
45065
45066
45067
45068
45069
45102
45103
45106
45120
45122
45140
45150
45152
45157
45160
45174
45176
45202
45203
45204
45205
45206
45207
45208
45209
45211
45212
45213
45214
45215
45216
45217
45219
45220
45223
45224
45225
45226
45227
45229
45230
Cleves
Franklin
Hamilton
Hamilton
Fairfield
Hamilton
Hamilton
Harrison
Harveysburg
Lebanon
Maineville
Mason
Middletown
Middletown
Monroe
Okeana
Oxford
South Lebanon
Springboro
Trenton
Waynesville
West Chester
Amelia
Batavia
Bethel
Felicity
Goshen
Loveland
Milford
Morrow
New Richmond
Owensville
Terrace Park
Williamsburg
Downtown
West End
Lower Price Hill
Price Hill
Walnut Hills
Evanston
Hyde Park
Oakley
Westwood
Norwood
Kennedy Heights
Fairmount
Wyoming
Carthage
Saint Bernard
Corryville
Clifton
Northside
College Hill
Camp Washington
East End
Fairfax
Avondale
Mount Washington
Campbell Co.
75
71
ZIP Code Includes*
71
Average Number
Price of stations ZIP Code Includes*
$3.94
$3.87
$3.86
$3.90
$3.88
$3.88
$3.88
$3.94
$3.96
$3.92
$3.89
$3.89
$3.90
$3.88
$3.90
$3.92
$3.89
$3.88
$3.87
$3.88
$3.95
$3.91
$3.89
$3.91
$3.96
$4.03
$3.90
$3.89
$3.88
$3.92
$3.94
$3.91
$3.95
$3.95
$3.94
$3.94
$3.90
$3.92
$3.92
$3.92
$3.93
$3.90
$3.91
$3.89
$3.91
$3.91
$3.90
$3.90
$3.90
$3.93
$4.03
$3.92
$3.91
$3.94
$3.92
$3.92
$3.85
$3.93
5
18
16
13
23
3
1
12
1
13
4
17
8
15
4
1
9
1
7
4
4
19
11
12
3
2
2
19
18
2
2
2
3
3
1
3
2
4
3
2
4
6
10
10
6
3
8
7
4
2
1
5
5
5
4
7
5
8
45231 Mount Healthy
45232 Saint Bernard
45233 Delhi Township
45236 Blue Ash
45237 Bond Hill
45238 Covedale
45239 White Oak
45240 Forest Park
45241 Sharonville
45242 Montgomery
45243 Indian Hill
45244 Mariemont
45245 Newtown
45246 Glendale
45247 Colerain Township
45248 Westwood
45249 Symmes Township
45251 Colerain Township
45255 Anderson Township
Southwest Ohio total
Northern Kentucky
ZIP Code Includes*
41001 Alexandria
41005 Burlington
41007 California
41011 Covington
41015 Latonia
41016 Covington
41017 Fort Mitchell
41018 Erlanger
41042 Florence
41048 Hebron
41051 Independence
41059 Melbourne
41071 Newport
41073 Bellevue
41074 Dayton
41075 Fort Thomas
41076 Newport
41091 Union
41092 Verona
41094 Walton
Northern Kentucky total
Southeastern Indiana
ZIP Code Includes*
47001 Aurora
47018 Dillsboro
47022 Guilford
47025 Lawrenceburg
47032 Moores Hill
47060 West Harrison
Southeastern Indiana total
Regional total
Average Number
Price of stations
$3.90
$3.91
$3.95
$3.92
$3.91
$3.91
$3.92
$3.87
$3.91
$3.92
$4.05
$3.91
$3.90
$3.89
$3.92
$3.91
$3.89
$3.94
$3.91
$3.90
20
1
4
11
5
14
8
9
15
11
2
15
9
10
8
7
7
6
7
561
Average Number
Price of stations
$3.90
$3.95
$3.92
$3.92
$3.90
$3.96
$3.94
$3.93
$3.91
$3.92
$3.92
$3.91
$3.91
$3.90
$3.89
$3.96
$3.89
$3.81
$4.06
$3.92
$3.91
10
2
2
12
6
1
13
12
27
5
4
1
4
3
1
3
11
3
2
8
130
Average Number
Price of stations
$3.96
$3.97
$4.01
$3.95
$3.97
$3.95
$3.96
$3.91
7
2
1
11
1
3
25
716
*ZIP codes often contain multiple neighborhoods, and neighborhoods often cross several ZIP codes.
These representative neighborhoods are listed simply to help readers locate the ZIP code.
Source: Enquirer analysis of data from the Oil Price Information Service. Analysis based on sales of regular,
unleaded gas at 716 stations in SW Ohio, N. Kentucky and SE Indiana.
The Enquirer/Gregory Korte, Randy Mazzola
About this report:
716 stations, 61 days
T
o unlock the secrets of retail
gas prices, The Enquirer analyzed a database of daily gas
prices reported by 716 stations in Greater Cincinnati, Northern Kentucky and Southeastern
Indiana. Data were reported over
61 days in May and June – a time
period that saw a 50-cent climb in
average gas prices.
In all, 31,439 price points were
analyzed.
The data came courtesy of the
Oil Price Information Service, a
Wall, N.J., provider of pricing data. It’s the same source used by
many gasoline retailers to monitor
the competition and set their own
prices.
All prices in this report are for a
gallon of regular unleaded gas.
Not all participating stations reported prices for all days; the typical station reported data for 44 of
the 61 days. In some cases, The
Enquirer omitted stations from
the analysis when the small number of reporting dates would have
skewed their average cost.
Other sources of data included
interstate ramp maps supplied by
the Ohio-Kentucky-Indiana Regional Council of Governments
and ZIP-code areas from the U.S.
Census Bureau.
Data supplied by the Oil Price
Information Service differs from
numbers provided by Gasbuddy.com, which supplies retail gas
prices to many media outlets including The Enquirer’s Web site,
Cincinnati.Com. Gasbuddy data
come from prices reported by motorists, who share prices they see
with others in an online forum. It’s
free (as opposed to the subscription-based OPIS data) and available in real time.
The data used for this report,
on the other hand, are more comprehensive – about 80 percent of
the region’s stations participate.
It’s also more reliable because
prices come directly from creditcard charges for the actual cost
paid.
— Gregory Korte
and James Pilcher
REVEALED
THE ENQUIRER
Gas: Stations in price dogfight
From Page A1
m Speedway has emerged as
the region’s market leader. It routinely uses its competitive power
to set pricing, and other stations
follow.
m Increasing numbers of fueling stations at Kroger, Costco,
Sam’s Club and other large operators are making gas sales more
competitive, with lower-than-average prices.
m Most oil companies are exiting the difficult retail gas business. That’s increased the number of smaller gas station owners
who can influence street pricing
up or down.
The cost of crude oil, refining
expenses, taxes and marketing all
are driving the price of gas. But
most of the profits have long been
pocketed by the oil companies
and refineries that pulled crude
out of the ground, shipped it and
made it into gas.
What’s left of your gas dollar is
open to cutthroat competition.
“Once the product leaves the
refinery gate, it’s every man for
himself,” says James Patneau Jr.,
chairman of the Ohio Petroleum
Marketers and Convenience
Store Association, who runs four
stations and delivers gas to 30 or
so others around Cleveland.
Competition rules
Greater Cincinnati and Northern Kentucky is among the most
competitive regions in the country, noted for relatively small differences between wholesale and
retail gas prices, according to the
Oil Price Information Service, a
Wall, N.J., firm that tracks national oil and gas pricing. The company supplied the daily prices for
regular unleaded gas used in The
Enquirer’s analysis.
Greater Cincinnati also has a
relatively high concentration of
gas stations competing, according
to the U.S. Census Bureau.
Cincinnati’s 92 gas stations per
100,000 households compares to
87 for Indianapolis, 86 for Kansas
City, Mo., and 62 for Sacramento,
Calif. – all cities of similar or
slightly larger size.
Add relative newcomer Kroger
and its strategy of undercutting
street pricing through its loyalty
card program, and competition
has become even more intense.
“This is a penny business –
we’re all just fighting over
pennies,” says Stephen Hightower, president and chief executive
officer of Franklin-based Hightowers Petroleum Co. His company supplies gas to hundreds of
U.S. stations and is trying to buy
more than 100 BP stations.
“Unfortunately, it’s that marquee sign across the street that
determines whether we’ll make a
penny or five or lose two to
three,” he says.
Daily, station managers and
owners decide whether to match
price increases or decreases by
competitors across the street, or
to raise prices on their own – and
maybe make more profit but lose
all-important volume.
The decisions can mean the
difference between eking out a
meager profit and losing money.
Take this typical scenario:
A station owner buys gas at
$3.55 a gallon and sells it for
$3.86, current wholesale and retail averages in Southwest Ohio.
The dealer nets a gross profit of
31 cents a gallon, or $2,480 a
week if he sells 8,000 gallons – a
very busy store. But credit card
companies are charging gas retailers 3 percent or more on total
sales, meaning that $926 or more
is knocked off the owner’s profit
since the vast majority of purchases are made with plastic.
That leaves about $1,500 before
covering costs such as insurance,
payroll, the mortgage and possible drive-off thefts.
Replacing hose nozzles – a station might lose two a month to absent-minded drivers – will cost
$600 each.
Prices may be slightly different
in Kentucky, but the effect is still
the same: Station owners say they
make more profit off a $1.49 cup
of coffee than a full tank of gas.
“The store will not pay for your
overhead,” says Robert Lusby,
who owns a Sunoco station on
Buttermilk Pike just off Interstate
The Enquirer/Jeff Swinger
Ebony Johnson (left), 14, and her mother, Anissa Johnson of Westwood, pump gas into their van Friday at the Western Hills Kroger.
71/75 in Crescent Springs. “You
can’t sell enough Twinkies and
soda to make it – I lost $80,000
last year.”
When asked why he’s still in
the business, Lusby shoots back:
“Want to buy it?”
The cents are adding up for
consumers as well: Americans
spent nearly $100 million more on
gas in June than in May, and $1
billion more on gas in June than
during the same month five years
ago.
For consumers used to a decade of cheap energy in the 1990s,
the price increases are nothing
short of shocking.
“Basically, I am working to buy
gas at this point,” West Chester
school teacher Kim Fowler says.
She just put $80 worth of gas into
her three-ton Toyota Sequoia in
Florence for a trip to Atlanta.
Fowler would love to “even pay
$3 a gallon, even though I used to
cringe at that.”
Leaders and followers
Retailers say they usually follow the leader when it comes to
setting a daily price.
Locally, that leader is Speedway, the Enquirer analysis shows.
With at least 80 stores in the
area, Speedway owns the highest
market share – more than 20
percent of all gas sold in the region, market studies show.
Every week during May and
June, average area prices spiked
on Wednesday, then slowly declined over the next few days before reaching a low on Tuesday.
Wednesday’s spike was preceded
every week by an increase in
Speedway prices on Tuesday.
Speedway prices then routinely
fell slightly below the area average over the rest of the week.
The chain owned by Houstonbased Marathon Oil sold regular,
unleaded gas at an average $3.90
a gallon during May and June,
falling right in the middle of average prices for all stations.
“They are the market leader,
and they compete using that advantage,” says Pat Gilligan, president of Hyde Park-based Gilligan
Oil, which owns 43 stations in
Cincinnati and Columbus.
Marathon Oil’s Linda Casey
says Speedway has “a high-quality fuel supply, and we can offer it
at competitive prices.”
She wouldn’t discuss Speedway’s local market position or
specific pricing strategies, citing a
lawsuit by the Kentucky attorney
general over alleged price gouging after Hurricanes Katrina and
Rita in fall 2005.
Retail price also is influenced
by the price a station pays for gas
in the first place. A smaller fuel
delivery costs more per gallon
than a full delivery from an 8,700-
major impact on the market.
gallon tanker.
In addition, franchisees can get Those guys will always push the
price frontier.
rebates from their parent gas
“You’re going to see Kroger
companies for volume sold –
continue to be a leader in this armuch like incentives that car
manufacturers give their dealers. ea and around the country.”
Company officials wouldn’t disThat might make a station owner
cuss pricing policies.
willing to knock a penny or two
But in a conference call with
off his street price to drive more
analysts last month, Kroger execsales.
utives said that gas sales only
Most consumers are aware
that retail prices usually climb as broke even in January, February
and March.
soon as the price of crude oil
“We price our fuel stations
spikes, even if the gas in a stareally well on the street price.
tion’s underground tanks was
And, so, that drives some of the
bought at a lower price.
(grocery) business, too,” Kroger
“I get a lot of flak for that, and
it makes me mad because people chairman and CEO Dave Dillon
said during the call.
don’t understand,” says Steve
Local distributor Hightower
Harper, whose Florence-based
sells gas to Kroger here and elseHarper Oil Co. runs eight convenience stores and supplies anoth- where. He says big-box stores are
er 25 or so in Northern Kentucky. “some of the most sophisticated
“I’ve got to do that to be able to buyers out there when it comes
to gas, and they know how to get
get the margin to afford the next
the lowest prices.”
load, which will be much more
expensive. It’s not like I’ll make
any profit in the long run – any re- Changing face of retail
Fierce competition in difficult
turns on raising the price go into
times has caused many major oil
the next load at a higher price.”
companies to leave the retail busiThe Kroger effect
ness and concentrate instead on
Stations within a mile of Kromore lucrative exploration, exger gas pumps were about a pen- traction and refining operations.
ny cheaper than those farther
Last fall, the Ameristop conveaway during May and June, the
nience store chain went out of
Enquirer analysis shows.
business. The name survived,
Experts say grocers and other however, and many different ownnontraditional gas sellers are pull- ers now sell Shell gasoline under
ing prices down everywhere,
the Ameristop name. In Northern
even selling below cost to lure
Kentucky, 11 former Ameristops
shoppers inside their stores.
are now Road Ranger stores.
Kroger began selling gas localShell left the retail business a
ly about eight years ago at the
few years ago, and England-based
Mount Orab store. Now, Kroger
BP is selling off its retail outlets.
operates fuel centers at 28 of its
“It’s hard for BP to manage a
77 stores in Greater Cincinnati
station, say at the corner of Broad
and Northern Kentucky.
and Third in Columbus, from
Kroger offers local customers
London,” says Karen Dryer, execwho spend $100 a month inside
utive vice president of the Ohio
the stores the opportunity to pur- Petroleum Marketers Associachase a fill-up at a 10-cent-a-gallon tion.
discount.
Speedway, owned by Marathon
Calvin Taylor of Anderson
Oil, will soon be the region’s last
Township buys his gas at Kroger remaining convenience-store
on Beechmont Road. His main in- chain owned by an oil company.
terest is in consolidating trips and
More owners could mean a
saving money. “I am willing to
greater range in gas pricing localwait in line (at the pump), but I
ly, although not necessarily lower
do it when I buy my groceries,”
prices, since owners already are
he says.
sometimes losing money.
Grocers and big-box stores are
Nobody is willing to guess
slowly changing the retail gas inwhere the high prices might
dustry, says Matt Lewis, econom- lead.
ics professor at Ohio State Uni“I’ve been around this business
versity. Still, he says, the shift is
in one way or another for about
nothing like the rapid makeover
38 years, and I’ve never seen anyof the market in the 1970s, when
thing as serious as what we’re
the Arab oil embargo put an emdealing with now,” says Harper,
phasis on gas prices and led to in- the Northern Kentucky operator.
novations such as self-service
“We’ve got increased price for the
pumps and convenience stores
product, continually depressed
selling gas.
margins, higher credit card fees
“You’re never going to have as and other expenses.
many grocery stores as gas sta“If energy prices don’t start gotions to meet the demand,” says
ing in the other direction, a lot of
Lewis, who specializes in retail
people are going to fall out of this
gas prices. “But they are having a business.”
GAS SECRETS REVIEW The Enquirer’s analysis of daily gas prices in May and June confirmed some old notions and revealed some surprises.
AVERAGE PRICE BY DAY OF THE WEEK
AVERAGE PRICE BY MAJOR BRAND
VALUE OF NEARBY STATIONS
1
2
3
Kroger, Sam’s
Club and Costco
had the cheapest
gas – as much as
10 cents a gallon
less than traditional outlets.
Store (Number surveyed)
Costco (2)
Sam’s Club (3)
Kroger (28)
Meijer (7)
Mobil (93)
Speedway (80)
Regional Average
Sunoco (61)
BP (107)
Marathon (134)
Shell (82)
$3.82
$3.84
$3.88
$3.89
$3.89
$3.90
$3.91
$3.91
$3.92
$3.92
$3.92
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Sunday
Tuesday was
the cheapest day
of the week to
buy gas. Wednesday was the most
expensive.
Monday
Tuesday
Wednesday
Thursday
$3.911
$3.898
$3.890
$3.917
$3.909
Friday
$3.915
Saturday
$3.914
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Gas was one
cent a gallon
less at stations
with a competitor
located within a
mile.
Prices are lower when stations have
nearby rivals.
$3.925
$3.920
$3.915
$3.910
$3.905
$3.900
-0.5
mile
1
mile
1.5
2 2.5 +2.5
miles miles miles miles
DISTANCE FROM NEAREST COMPETITOR
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
100 95 90 80 70 60 50 40 30 20 10 5
Product: ENQUIRER PubDate: 07-27-2008 Zone: Late Edition: 1 Page Name: A11.0
Time: 07-26-2008 20:57 User: bmullins
Color:
Cyan
Black
Yellow
Magenta
GAS PRICE SECRETS
THE ENQUIRER
REVEALED
SUNDAY, JULY 27, 2008 A11
Q&A
A trip to save doesn’t make sense
By Gregory Korte
gkorte@enquirer.com
Some drivers would rather pay for convenience of a nearby station
How far out of your way would you go to
save a couple of cents on a gallon of gas?
Before answering, consider this:
At $4 a gallon, a typical driver burns 16
cents in gas every mile. A gas station a mile
away – two miles round trip – would have to
save 2 cents a gallon just to break even.
That’s assuming your car gets 25 miles
per gallon in the city (the national average)
and has a 15-gallon gas tank. The greater
the mileage and the bigger the tank, the
more you can afford to shop around.
It rarely makes sense to drive more than
a block or two to save money. That’s why
gas stations without competition nearby can charge a
few cents more.
Even when it makes economic sense, some studies
show that drivers would
rather pay for the convenience of a nearby station. A
Biddle
survey conducted in January for the National Association of Convenience Stores found that:
m Gas prices would have to be 3 cents
less to convince most drivers to bypass a
station on the right and cross heavy traffic
to shop at a cheaper station on the left.
m It would take a 5-cent difference for
most drivers to drive five minutes out of
their way.
m It would take a 10-cent difference to
get most drivers to drive 10 minutes out of
their way.
“Because I purchase a lot of gas, it is not
worth my while to drive extra or cross two
to three lanes for a few cents off,” said
Charles Biddle of Louisville, while filling
up at a station off Interstate 75 as part of his
weekly commute to get treatment for his
son at Cincinnati Children’s Hospital Med-
ical Center.
Of course, most drivers don’t have to go
out of their way to pass by competing gas
stations.
Some roads – Dixie Highway (both in
Ohio and Kentucky), Montgomery Road,
Hamilton Avenue, Alexandria Pike, Reading Road and Colerain Avenue – have more
than a dozen stations each.
In those cases, some planning can save
money. Online tools like The Enquirer’s
CinciNavigator.com can help identify prices at gas stations along your route before
you leave.
During May and June, the station with the highest average price charged 37 cents a
gallon more than the station with the lowest average price. Here’s what the owners say:
From $4.06 … to $3.69
THE HIGHEST STATION
THE LOWEST STATION
Question: Why does Kroger discount its gas10 cents a
gallon if you spend $100 in
the store in a month, but
knocks 20 cents off after you
spend $50 in other cities?
Answer: Kroger acknowledges that its discounts are different in different markets, but
says it must adjust for differing
competition. The example you
cite is offered in the Toledo/
Bowling Green area to compete
with a similar discount offered by
Giant Eagle grocery.
Q: Can gas credit cards
save you money?
A: In some cases, yes. BP, for
example, offers new credit customers 10 percent rebates per
gallon for the first six months –
which equates into nearly 40
cents a gallon. The rebate can be
redeemed for cash, other merchandise or donated to charity.
But customers first must accumulate $25 in rebates to redeem.
Q: I’ve heard that it’s not
good to buy gas immediately
after a supply tanker has
serviced a station. Is this
true?
A:You’re referring to the notion that the delivery of new fuel
stirs up sediment in a station’s
underground tanks, contaminating gas that could harm your engine. The risk is minimal, especially for newer model cars,
which have advanced fuel filters.
A change in federal regulations
forced all stations to upgrade
their underground tanks several
years ago. In addition, all tanks
and gas pumps have filters that
should weed out any sediment or
foreign material.
Q: Is there a better time of
day to buy gas?
A: This is more of an issue
during the summer, because gas
evaporates more quickly when it
is warmer. But a station’s tanks
are underground and cooler, so
evaporation is usually held to a
minimum. It is a much bigger issue in the South, where temperatures are much higher. Still, experts say morning is the best
time to fuel up to ensure you get
what you pay for.
— James Pilcher
Have a question? Email James
Pilcher at jpilcher@enquirer.com
The Enquirer/Amie Dworecki
Alex Othman, owner of the Mobil station at Mineola Pike and Interstate 275, says
he makes more money on a cup of coffee than he does on a gallon of gas.
Jack Hunt of Union, who recently switched to driving his car instead of his truck to
save more than $100 a week in gas, pumps gas at Union Food Mart, a BP station
that had the lowest average gas prices for May and June.
By James Pilcher
By James Pilcher
The Enquirer/Jeff Swinger
Despite the beefs, Store owner uses
he won’t take loss fuel as loss leader
jpilcher@enquirer.com
ERLANGER – Alex Othman looks at
the receipt for 8,000 gallons of gas he recently purchased and sighs.
His Mobil station by the Mineola Pike
exit off Interstate 275 charged the highest
average price among 716 stations surveyed
in May and June – $4.06 per gallon for regular unleaded gas.
The reason: Othman refuses to sell gas at
a loss as some other stations do.
“I actually hope some days that I come in
the morning and the gas is gone and I don’t
have to worry about it,” Othman said. “So
many people complain, and there is so
much headache.”
His station is the only one at the Mineola
Pike exit and one of only two at the two
interstate exits nearest Cincinnati/Northern Kentucky International Airport. The location nets him considerable traffic from
drivers topping off the tanks of rental cars
before returning them at the airport.
Still, Othman says he earns just 1 to 2
percent of his profit on gas, even though
fuel accounts for 75 percent of his store’s
sales.
On this day, he’s selling regular unleaded for $4.29 a gallon. He says that will earn
him about 2 to 3 cents per gallon in gross
profit after credit card fees and the cost of
the fuel – or about $112 a day.
jpilcher@enquirer.com
UNION – Just call Ram Chinthala the anti-Kroger, a guy trying to beat the grocery
store giant at its own game.
Like his much larger counterpart 1½
miles away, Chinthala’s Union Food Mart
sells BP gas well below the regional average. Often, he sells gas for less than he paid
for it.
Chinthala’s station charged an average
$3.69 a gallon for regular unleaded gas in
May and June – lowest among 716 local gas
outlets surveyed that reported prices for at
least 30 days.
“I always lose money on gas, but it’s all
about competition, and I need to get people
in here to make any money,” Chinthala said.
Chinthala and his brother Raghu bought
the station 3½ years ago. Despite losses on
gas, Chinthala says his station is profitable,
with a full-service deli and soft-serve ice
cream machine. His strategy: Lose money
on gas but sell convenience and earn profits
from other items in his store.
“I get a lot of customers just looking for a
loaf of bread or some milk, and who wants to
walk across a big parking lot or wait in line at
a grocery store?” he said.
But on this day, the strategy wasn’t quite
working. The nearby Kroger, Speedway and
United Dairy Farmers all were selling gas
for 10 cents less than he was.
In the old days, stations didn’t have to advertise
By James Pilcher
jpilcher@enquirer.com
Gas is the only major commodity
that shouts daily prices from towering outdoor signs.
But it wasn’t always that way. It
took the 1973 Arab oil embargo and
the nation’s first experience with a
big spike in oil prices to make
Americans demand the kind of
signs that endure today.
Earlier gas signs were large but
simply promised that motorists
would “Save!” by buying a particular
brand, says Michael Karl Witzel, author of “The American Gas Station.”
The Austin, Texas resident recalls
that Lady Bird Johnson even under-
took a beautification campaign in the
1960s to rid roadsides of the gas
signs she saw as unsightly.
Back then, gas companies used
slogans such as Exxon’s “Tiger in
your tank” and giveaways of dinnerware, glassware and silverware
to lure customers. Women were
courted with green stamps that
were redeemable for other merchandise. It all fit a model that
stressed full service over speed and
convenience.
“They didn’t have to advertise on
price before that because oil prices
were stable and they bought gas on a
long-term contract,” says Lisa Margonelli, a fellow with the New America
Foundation, a Washington think tank,
and author of “Oil on the Brain.”
“My grandma’s gas station owner was like the family doctor – he
knew everything about us and
about our car.”
But then the embargo hit, drivers began comparing costs and station owners started displaying
hand-painted signs with prices. As
price drove sales, self-service
pumps and convenience stores got
their start – and the signs became
bigger and more official.
“Now, the stations and convenience stores are all just boxy and
Enquirer file
can be changed from one brand to
another in case of a buyout over- The first gasoline “filling station” in Ohio, and possibly the first in
night, by just changing the signs,” the industry, was set up in a garage at Young and Oak streets in
Columbus in 1921.
Margonelli said.
What you can do
You can stretch your gas mileage by driving wisely:
m Have your car tuned regularly.
An engine tune-up can improve car
fuel economy by an average of 1
mile per gallon.
m Keep your tires properly inflated. Underinflated tires can decrease fuel economy by up to 1
mile per gallon.
m Slow down. The faster you
drive, the more gasoline your car
uses. Driving at 65 mph rather
than 55 mph reduces fuel economy by about 2 miles per gallon.
m Avoid jackrabbit starts. Abrupt
starts require about twice as much
gasoline as gradual starts.
m Pace your driving. Unnecessary
speedups, slowdowns and stops
can decrease fuel economy by up
to 2 miles per gallon.
m Use your air conditioner sparingly. The use of air conditioning
can reduce fuel economy by as
much as 2 miles per gallon.
m Avoid engine idling. Turn your
engine off when you are delayed
for more than a couple of minutes.
m Plan your trips carefully. Avoid
traveling during rush hours if possible to reduce fuel-consumption
patterns such as starting and stopping and numerous idling periods.
m Consider joining a car pool.
— American Petroleum
Institute
ONLINE
Cincinnati.Com, search: gas
m Find cheapest gas in your area at CinciNavigator.
m Use calculators to figure
costs.
m Join the discussion.
m Video: Your questions.
GAS SECRETS REVIEW These findings were published all last week in The Enquirer and online at Cincinnati.Com.
AVG.DAILY DIFFERENCEWITHIN BRANDS
INTERSTATE EFFECT
CHEAPER GAS: OHIO OR KENTUCKY?
4
5
6
Brand Avg. diff.
Prices varied
daily by 11 cents
to 38 cents a gallon within major
brands.
BP
Marathon
Shell
Mobil
Sunoco
Kroger
Speedway
Unbranded
Exxon
Meijer
Thorntons
Swifty Food Mart
.38
.29
.25
.25
.24
.21
.20
.15
.12
.11
.11
.11
Avg. Low Avg. High
$3.74
$3.77
$3.80
$3.78
$3.80
$3.75
$3.77
$3.82
$3.84
$3.82
$3.82
$3.80
$4.12
$4.06
$4.05
$4.03
$4.04
$3.96
$3.97
$3.97
$3.96
$3.93
$3.93
$3.91
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Prices are higher when stations are close
to major highways.
Gas was an
average 11⁄2 cents
a gallon more
at stations near
interstate exits.
$3.92
$3.90
$3.88
$3.86
$3.84
Less than 1 to 2 2 to 3
1 mile miles miles
3 to 4 More than
miles 4 miles
DISTANCE FROM INTERSTATE
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June
Motorists pay
more – sometimes much
more – for gas
in Northern
Kentucky than
in Ohio.
$4.3
$4.2
$4.1
$4.0
$3.9
$3.8
$3.7
$3.6
$3.5
$3.4
$3.3
Avg. SW Ohio
Avg. Northern Kentucky
July 10: $4.24
July 10: $4.02
MAY 2008
JUNE 2008
JULY
Source: Enquirer, Oil Price Information Service data,
regular unleaded gas sales at 716 stations in SW
Ohio, N. Kentucky and SE Indiana in May and June