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. Last Updated: 07/27/2016

Getty Marketing Rejects New United Refining Bid

NEW YORK — Getty Petroleum Marketing Inc. on Friday rejected a sweetened takeover bid from United Refining Co. Inc. and said it remained committed to Russian oil giant LUKoil, which has agreed to acquire Getty for about $71 million.

Late Thursday, a New York state court judge temporarily blocked LUKoil's offer.

State Supreme Court Judge Barry Cozier issued a stay on the bid at the request of United, which raised its own bid for Getty to nearly $90 million earlier in the day.

Cozier scheduled a hearing for 3 p.m. Friday on United's request for an order preventing the scheduled completion of the LUKoil offer.

LUKoil's bid of $5 per Getty share was to expire at midnight.

Getty called the judge's action "frivolous and totally without merit" and said it would seek dismissal of the United complaint.

Getty said its directors had considered United's latest offer — $6 per share plus the payment of the $5 million break-up fee included in the LUKoil-Getty agreement — and had found it lacking.

The board reaffirmed its support for the LUKoil deal.

Getty has 1,300 service stations in 12 Northeastern and Mid-Atlantic states, including nearly 400 convenience stores.

Its shares were up 1/16 at $5-3/16 in morning trade on the New York Stock Exchange.

United owns a mid-sized oil refinery in Warren, Pennsylvania, and runs 354 convenience stores and service stations in northwest New York and western Pennsylvania.