SUNOCO LOGISTICS PARTNERS L.P. REPORTS RECORD FOURTH QUARTER

PHILADELPHIA, January 28, 2009 – Sunoco Logistics Partners L.P. (NYSE: SXL) (the
“Partnership”) today announced record quarterly net income for the fourth quarter ended December 31, 2008
of $75.3 million, or $1.62 per limited partner unit on a diluted basis, a 110 percent increase in net income over
the $35.8 million, or $0.94 per limited partner unit on a diluted basis, for the fourth quarter ended December
31, 2007. Operating income for the fourth quarter ended December 31, 2008 increased by $38.6 million, or 87
percent, from the prior year’s fourth quarter. The improvement was driven by significantly higher lease
acquisition results, increased fees across all segments, increased volumes within the Western Pipeline system,
additional tankage placed into service at the Nederland terminal and results from the MagTex refined products
pipeline system which was acquired in November 2008. Decreased interest expense contributed further to the
$39.5 million increase in net income.
For the twelve months ended December 31, 2008, net income increased to $214.5 million compared to
$120.9 million for the twelve months ended December 31, 2007. Operating income for the twelve months
ended December 31, 2008 increased $89.4 million, or 57 percent, when compared to the prior year period. The
increase was the result of higher fees across all segments, significantly improved lease acquisition margins
increased volumes within certain segments of the Western Pipeline system and the addition of assets through
both organic projects and acquisitions. Decreased interest expense contributed further to the $93.6 million
increase in net income.
“2008 has proven to be an excellent year for us and the record fourth quarter confirms that in a volatile
market environment, Sunoco Logistics’ mix of assets and geographic diversity allows us to take advantage of
market place opportunities to increase cash flow,” said Deborah M. Fretz, President and Chief Executive
Officer. “Over the year we focused on maximizing our asset base with higher fees for rental and services,
continuing our organic growth throughout our system with new tankage particularly at our Nederland
Terminal and strengthening our Lease Acquisition business by identifying new opportunities to support
growth. Additionally, in November we closed on our largest acquisition to date, the MagTex refined products
pipeline and terminal system in Texas. Volume on the system and financial results are in line with our
expectations. We are moving ahead to implement organic growth opportunities for MagTex that will enhance
cash flow.”
“We enter 2009 with a strong balance sheet and excellent distribution coverage,” Ms. Fretz continued.
“The unprecedented volatility in the oil markets during the last six months provided our Lease Acquisition
group opportunities to enhance our base cash flow which they executed well. We have developed a Lease
business that performs well in any market. However, we do not believe that all of this cash flow is sustainable
and therefore our coverage ratio will be higher than historical levels. Our Debt/EBITDA ratio of 2.6x is
among the lowest in the sector and we intend to continue to conservatively manage our balance sheet going
forward.” “I have confidence in the ratability of cash flows from our base business and the oil markets which are
now in a contango structure are providing us new opportunities in 2009.”
Segmented Fourth Quarter Results
Eastern Pipeline System
Operating income for the Eastern Pipeline system increased $1.3 million to $15.5 million for the fourth
quarter ended December 31, 2008 compared to the prior year’s fourth quarter. Sales and other operating
revenue increased by $4.7 million to $36.2 million due primarily to results from the acquisition of the MagTex
refined product pipeline and higher fees across the Partnership’s refined product and crude oil pipelines.
Other income decreased $1.5 million compared to the prior year’s fourth quarter due primarily to decreased
refined product volumes experienced by the Partnership’s joint venture interests. Operating expenses
increased by $1.9 million to $15.1 million due primarily to increased operating costs associated with the
MagTex refined product pipeline and lower crude oil and refined product prices which resulted in reduced
operating gains. Final insurance settlement in connection with third party contractor damage to a refined
product pipeline reduced expenses for the fourth quarter of 2008 by $1.7 million.
Terminal Facilities
Operating income for the Terminal Facilities segment increased by $3.3 million to $15.6 million for
the fourth quarter ended December 31, 2008 compared to the prior year’s fourth quarter. Sales and other
operating revenue increased by $5.6 million to $43.1 million due primarily to increased terminal fees,
additional tankage at the Nederland terminal, results from the acquisition of the MagTex refined products
terminals and increased refined product additive revenues. These increases were partially offset by decreased
throughput within the refinery terminals. Cost of products sold and operating expenses increased by $1.4
million to $18.7 million for the fourth quarter of 2008 due primarily to increased refined product additive costs
and additional operating costs associated with the acquisition of the MagTex refined products terminals.
Western Pipeline System
Operating income for the Western Pipeline system increased 188 percent from $18.1 million in the
fourth quarter of 2007, to $52.0 million for the fourth quarter of 2008 compared to the prior year’s fourth
quarter due to significantly improved lease acquisitions results and increased pipeline volumes and fees.
Extreme market volatility contributed to significantly higher than expected lease acquisition performance in
the fourth quarter. Additionally, hurricane disruptions, refinery production issues and a shift in the crude oil
market structure resulted in increased inventory levels at year end. The timing of this inventory increase
resulted in the deferral of approximately $12 million of costs that would have otherwise reduced fourth quarter
profitability and which will negatively impact earnings at such time as this inventory is sold in the future.
Lower crude oil prices were a key driver of the overall decrease in total revenue, cost of products sold
and operating expenses from the prior year’s quarter. The average price of West Texas Intermediate crude oil
at Cushing, Oklahoma decreased to $58.75 per barrel for the fourth quarter of 2008 from $90.63 per barrel for
the fourth quarter of 2007.

Segmented Twelve Month Results
Eastern Pipeline System
Operating income for the Eastern Pipeline system increased $8.8 million to $58.2 million for the
twelve months ended December 31, 2008 compared to the prior year period. Sales and other operating revenue
increased by $8.4 million to $125.8 million due primarily to higher fees across the Partnership’s refined
product and crude oil pipelines, increased volumes on the crude oil pipelines as well as additional refined
products volumes driven by the acquisition of the MagTex refined products pipeline. Other income decreased
$5.4 million compared to the prior year period primarily resulting from decreased refined product volumes
experienced during 2008 by the Partnership’s joint venture interests. Despite higher utility and operating costs
associated with the MagTex refined products pipeline acquisition, operating expenses decreased by $6.2
million to $46.1 million as increased operating gains, driven by higher crude oil and refined product prices,
offset operating expenses. Environmental charges were also lower compared to the prior year.
Terminal Facilities
Operating income for the Terminal Facilities segment increased by $5.8 million to $58.5 million for
the twelve months ended December 31, 2008 compared to the prior year period, despite a $5.7 million noncash
impairment charge in 2008 related to the Partnership’s decision to discontinue efforts to expand LPG
storage capacity at its Inkster, Michigan facility. Sales and other operating revenue increased by $20.8 million
to $162.4 million due primarily to the increased terminal fees, additional tankage at the Nederland terminal,
increased product additive revenues and the impact of the refined products terminals acquired during 2007 and
2008. These increases were partially offset by decreased volumes in the Partnership’s refinery terminals.
Other income increased $0.8 million from the twelve months of 2007 as a result of an insurance recovery
recorded during the second quarter associated with hurricane damage sustained in 2005. Cost of products sold
and operating expenses increased by $6.8 million to $64.3 million for the period ended December 31, 2008
due primarily to increased product additive cost, damages incurred at the Partnership’s Nederland terminal
from the hurricanes experienced during the third quarter of 2008 and the impact of the refined products
terminals acquired during 2007 and 2008. These higher costs were partially offset by product overages which
were favorably impacted by the increased price of crude oil during 2008. Selling, general and administrative
expenses increased by $2.3 million to $18.4 million for the twelve months ended December 31, 2008 due
primarily to increased employee and environmental costs.
Western Pipeline System
Operating income for the Western Pipeline system increased $74.9 million to $128.9 million for the
twelve months ended December 31, 2008 compared to the prior year period due primarily to significantly
higher lease acquisition results, the full year impact of a bi-directional pipeline connection to the Partnership’s
Nederland terminal established in 2007, increased volumes on certain pipeline segments and increased
pipeline fees. Extreme market volatility and the inventory timing noted above contributed to the improved
lease acquisition results in 2008.
Higher crude oil prices were a key driver of the overall increase in total revenue, cost of products sold
and operating expenses from the prior year period. The average price of West Texas Intermediate crude oil at
Cushing, Oklahoma increased to $99.65 per barrel for the twelve months of 2008 from $72.40 per barrel for
the twelve months of 2007.

Other Analysis
Financing Costs
Net interest expense decreased $4.2 million for the twelve months ended December 31, 2008,
compared to the prior year period due to lower interest rates. As of December 31, 2008, the Partnership had
total debt outstanding of $747.6 million, which consisted of $424.2 million of Senior Notes and $323.4 million
of borrowings under the Partnership’s credit facilities as compared to $515.1 million of total debt outstanding
at December 31, 2007. As of December 31, 2008, the Partnership had available borrowing capacity of $171.6
million under its credit facilities and a Debt to EBITDA ratio of 2.6x as of year end 2008 which includes debt
financing for the MagTex refined products pipeline system in November 2008.
Capital Expenditures
Maintenance capital expenditures for the twelve months ended December 31, 2008 were $25.7 million.
The Partnership expects that maintenance capital spending for 2009 will increase to approximately $30.0
million resulting from an expanded asset base.
Expansion capital expenditures for the full year 2008 were $305.6 million compared to $94.7 million
for the full year 2007. Expansion capital for 2008 includes $187.5 million related to the acquisition of the
MagTex refined products pipeline system and construction of tankage and pipelines asset’s in connection with
the Partnership’s agreement to connect the Nederland terminal to a Port Arthur, Texas refinery. Expansion
capital also includes construction of five additional crude oil storage tanks at the Nederland terminal.
Expansion capital for 2007 included the $13.4 million acquisition of a 50 percent interest in a Syracuse, New
York refined products terminal.
Non-GAAP Financial Measures
Management of the Partnership believes EBITDA information enhances an investor's understanding of
a business’ ability to generate cash for payment of distributions and other purposes. EBITDA does not
represent and should not be considered an alternative to net income as determined under United States GAAP
and may not be comparable to other similarly titled measures of other businesses. Reconciliations of this
measure to the comparable GAAP measure are provided in the table accompanying this release.