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UNITED STATESSECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (date of earliest event reported): April 28, 2017

Phillips 66(Exact name of registrant as specified in its charter)

Delaware 001-35349 45-3779385(State or other jurisdiction of incorporation) (Commission File Number) (I.R.S. Employer Identification No.)

2331 CityWest Blvd., Houston, Texas 77042(Address of principal executive offices and zip code)

Registrant’s telephone number, including area code: (281) 293-6600

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the followingprovisions:

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) orRule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new orrevised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Item 2.02 Results of Operations and Financial Condition.

On April 28, 2017 , Phillips 66 issued a press release announcing the company's financial and operating results for the quarter ended March 31, 2017 . A copy ofthe press release is furnished as Exhibit 99.1 hereto and incorporated herein by reference. Additional financial and operating information about the quarter isfurnished as Exhibit 99.2 hereto and incorporated herein by reference.

The information in this report and the exhibits hereto shall not be treated as filed for purposes of the Securities Exchange Act of 1934, as amended.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

99.1 — Press release issued by Phillips 66 on April 28, 2017. 99.2 — Supplemental financial and operating information.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersignedhereunto duly authorized.

PHILLIPS 66

By: /s/ Chukwuemeka A. Oyolu

Chukwuemeka A. Oyolu

Vice President and Controller

Dated: April 28, 2017

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EXHIBIT INDEX

Exhibit No. Description

99.1 Press release issued by Phillips 66 on April 28, 2017.

99.2 Supplemental financial and operating information.

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Phillips 66 Reports First-Quarter Earnings of $535 Million (Adjusted Earnings of $294 Million)

Exhibit 99.1

Phillips 66 Reports First -Quarter Earnings of $535 Millionor $1.02 Per Share

Adjusted earnings of $294 million or $0.56 per share

Highlights

• Delivered strong results in Chemicals• Completed major turnarounds in Refining and Chemicals• Returned $611 million to shareholders through dividends and share repurchases• Completed first full quarter of Freeport LPG Export Terminal operations• Construction completed on DAPL/ETCOP joint venture pipelines• Commissioned additional crude storage at the Beaumont Terminal

HOUSTON, April 28, 2017 - Phillips 66 (NYSE: PSX), an energy manufacturing and logistics company, announces first-quarterearnings of $535 million, compared with $163 million in the fourth quarter of 2016. First-quarter earnings included the net benefitof a gain on consolidation of a petroleum coking venture and an impairment taken by an equity affiliate. Excluding these items,adjusted earnings for the first quarter were $294 million, an increase of $211 million from the last quarter.

“We have successfully completed several major turnarounds in Refining and Chemicals,” said Greg Garland, chairman and CEOof Phillips 66. “First-quarter earnings reflect this downtime and also highlight the benefit of a diversified portfolio. Our Chemicalsbusiness had solid results on good demand and improved margins. The Freeport LPG Export Terminal is fully operational, andwe have several Midstream and Chemicals projects nearing completion. Our safety performance did not meet expectations thisquarter. We remain dedicated to operating excellence, executing our Midstream and Chemicals growth strategy, enhancingreturns in Refining, and returning cash to shareholders."

“We demonstrated our commitment to shareholder distributions, returning over $600 million in share repurchases and dividendsduring the quarter. Since our inception in 2012, we have distributed $14 billion to shareholders in the form of dividends, sharerepurchases and exchanges.”

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Midstream

Millions of Dollars Earnings Adjusted Earnings* Q1 2017 Q4 2016 Q1 2017 Q4 2016Transportation $ 78 70 78 68NGL 17 2 17 7DCP Midstream 17 (37) 17 (6)Midstream net income 112 35 112 69Less: Noncontrolling interests** 35 36 35 36Midstream earnings (loss) $ 77 (1) 77 33* Excludes special items. **Included in Transportation and NGL businesses.

Midstream's first -quarter earnings were $77 million , compared with a loss of $1 million in the fourth quarter of 2016 . Midstreamearnings in the fourth quarter of 2016 included a $34 million net charge related to DCP Midstream's restructuring and certain taxadjustments, resulting in adjusted earnings of $33 million .

Transportation net income for the first quarter of 2017 was $78 million , improved $10 million from fourth-quarter adjusted netincome of $68 million. This was primarily due to seasonally lower maintenance costs and higher equity earnings.

NGL first -quarter net income of $17 million was $10 million higher than fourth -quarter adjusted net income of $7 million, mainlydue to higher Freeport LPG Export Terminal earnings, reflecting a full quarter of operations.

The company’s equity investment in DCP Midstream generated net income of $17 million in the first quarter, compared with a $6million adjusted net loss in the prior quarter. DCP benefited from hedging and lower costs, partially offset by reduced volumes.

Chemicals

Millions of Dollars Earnings Adjusted Earnings* Q1 2017 Q4 2016 Q1 2017 Q4 2016Olefins and Polyolefins (O&P) $ 161 115 161 105Specialties, Aromatics and Styrenics (SA&S) 25 26 45 24Other (5) (5) (5) (5)Chemicals $ 181 136 201 124* Excludes special items.

The Chemicals segment reflects Phillips 66's equity investment in Chevron Phillips Chemical Company LLC (CPChem).Chemicals' first -quarter earnings were $181 million , compared with $136 million in the fourth quarter of 2016 . Chemicals'earnings in the first quarter of 2017 included a charge

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of $20 million related to an impairment of a CPChem joint venture, while earnings in the fourth quarter included a net benefit of$12 million for certain tax adjustments.

During the first quarter, CPChem's O&P business contributed $161 million of earnings to the Chemicals segment. The $56million increase from the prior quarter's adjusted earnings was primarily due to improved margins, higher volumes, and loweroperating costs. Global utilization for O&P was 89 percent .

CPChem's SA&S business contributed $45 million of adjusted earnings in the first quarter, an increase of $21 million from theprior quarter due to improved benzene margins and a $10 million gain on the sale of its K-Resin ® SBC business.

Refining

Millions of Dollars Earnings Adjusted Earnings* Q1 2017 Q4 2016 Q1 2017 Q4 2016Refining $ 259 (38) (2) (95)* Excludes special items.

Refining's first-quarter earnings were $259 million, compared with a $38 million loss in the fourth quarter of 2016. Refining'searnings in the first quarter of 2017 included a $261 million gain resulting from the consolidation of the MSLP petroleum cokingventure following the resolution of an ownership dispute. Refining's fourth-quarter 2016 earnings included a $57 million netbenefit, related to certain tax adjustments that were partially offset by railcar lease termination costs.

Refining's adjusted loss was $2 million in the first quarter. The $93 million improvement from the prior quarter was largely drivenby higher realized margins, partially offset by higher costs and lower volumes due to turnaround activity. Although the globalmarket crack spread was comparable to the fourth quarter, realized margins improved to $8.55 per barrel from $6.47 per barrel.This resulted in a capture rate of 70 percent, up from 53 percent in the prior quarter. Realized margins benefited from lower RINcosts and improved clean product differentials, including the absence of negative timing impacts incurred in the fourth quarter.

Phillips 66’s worldwide crude utilization rate was 84 percent and its clean product yield was 85 percent in the first quarter. Pre-tax turnaround costs for the first quarter were $299 million, compared with fourth-quarter costs of $205 million.

Marketing and Specialties

Millions of Dollars Earnings Adjusted Earnings* Q1 2017 Q4 2016 Q1 2017 Q4 2016Marketing and Other $ 124 158 124 114Specialties 17 32 17 26Marketing and Specialties $ 141 190 141 140* Excludes special items.

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Marketing and Specialties (M&S) first -quarter earnings were $141 million , compared with $190 million in the fourth quarter of2016 . M&S's fourth -quarter earnings included a net benefit of $50 million related to certain tax adjustments.

Earnings for Marketing and Other were $124 million in the first quarter, an increase of $10 million from the prior quarter'sadjusted earnings, largely due to higher realized margins. Refined product exports in the first quarter were 144,000 barrels perday (BPD), versus 175,000 BPD in the prior quarter.

Phillips 66’s Specialties businesses generated earnings of $17 million during the first quarter. The $9 million decrease from theprior quarter's adjusted earnings was mainly due to turnaround activity at the Excel Paralubes joint venture.

Corporate and Other

Millions of Dollars Earnings Adjusted Earnings* Q1 2017 Q4 2016 Q1 2017 Q4 2016Corporate and Other $ (123) (124) (123) (119)* Excludes special items.

Corporate and Other’s first -quarter net costs were in line with the prior quarter.

Financial Position, Liquidity and Return of Capital

During the first quarter, cash used in operations was $549 million , including the impact of a seasonal inventory build. Excludingworking capital impacts, operating cash flow was $748 million .

During the quarter, Phillips 66 funded $470 million of capital expenditures and investments, and distributed $326 million individends and $285 million in share repurchases. Phillips 66 ended the quarter with 516 million shares outstanding.

As of March 31, 2017 , cash and cash equivalents were $1.5 billion , and debt was $10.2 billion , including $2.4 billion of debt atPSXP. The company's consolidated debt-to-capital ratio and net-debt-to-capital ratio were 30 percent and 27 percent ,respectively.

Strategic Update

Phillips 66 continues to advance its growth projects in Midstream and Chemicals and invest in return-enhancing projects inRefining.

In Midstream, the Freeport LPG Export Terminal was completed and became fully operational late in the fourth quarter of 2016.The export terminal has a capacity of 150,000 BPD that is being utilized for term and spot cargos. The facility demonstrated itsability to operate at design capacity in the first quarter.

Phillips 66 has a 25 percent interest in joint ventures to develop the 470,000 BPD Dakota Access Pipeline (DAPL) and EnergyTransfer Crude Oil Pipeline (ETCOP). Construction on both pipelines has been completed. Commercial operations are expectedto begin by June 1.

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The company continues to expand its Beaumont Terminal, which now has 9 million barrels of crude and product storagecapacity. An additional 1.2 million barrels of product storage is planned to be in service by mid-2017. The facility is capable ofexporting 400,000 BPD of crude or products, and this capacity is being expanded to 600,000 BPD.

Phillips 66 Partners continues to advance its organic growth program. Progress continues on the Bayou Bridge Pipeline segmentfrom Lake Charles to St. James, Louisiana, with commercial operations expected to begin in the fourth quarter of 2017. Inaddition, the Partnership is developing a new isomerization unit at Phillips 66’s Lake Charles Refinery to increase production ofhigher octane gasoline blend components. Final project approval is expected in the first half of 2018.

DCP Midstream recently simplified its structure, which better positions it for growth and improved capital allocation. Phillips 66expects to receive distributions from DCP in 2017. DCP is expanding the Sand Hills Pipeline capacity to 365,000 BPD, with anexpected in-service date in the fourth quarter of 2017. DCP is also expanding its DJ Basin footprint with construction of the new200 million cubic feet per day Mewbourn 3 gas processing plant, which is expected to be in service in the fourth quarter of 2018.

CPChem continues to progress its U.S. Gulf Coast Petrochemicals Project, which consists of a world-scale ethane cracker andtwo polyethylene derivative units. The polyethylene units are expected to be completed in mid-2017, and the cracker is expectedto be complete in the fourth quarter of 2017. This project will increase CPChem's global ethylene and polyethylene capacity byapproximately one-third.

In Refining, the company is nearing completion of the project to increase heavy crude processing capability at the BillingsRefinery to 100 percent, with start-up expected in June. At both the Bayway and Wood River refineries, the company ismodernizing fluid catalytic cracking units to increase clean product yield. Both projects are expected to be complete in the firsthalf of 2018. Phillips 66 is also implementing yield improvement efforts at several other refineries, including Ponca City, where adiesel recovery project is expected to be complete in the second half of 2017.

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Later today, members of Phillips 66 executive management will host a webcast at noon EDT to discuss the company’s first -quarter performance and provide an update on strategic initiatives. To access the webcast and view related presentationmaterials, go to www.phillips66.com/investors and click on "Events & Presentations." For detailed supplemental information, goto www.phillips66.com/supplemental .

Earnings

Millions of Dollars 2017 2016 Q1 Q4 Q1Midstream $ 77 (1) 65Chemicals 181 136 156Refining 259 (38) 86Marketing and Specialties 141 190 205Corporate and Other (123) (124) (127)Phillips 66 $ 535 163 385

Adjusted Earnings

Millions of Dollars 2017 2016 Q1 Q4 Q1Midstream $ 77 33 40Chemicals 201 124 156Refining (2) (95) 86Marketing and Specialties 141 140 205Corporate and Other (123) (119) (127)Phillips 66 $ 294 83 360

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About Phillips 66

Phillips 66 is a diversified energy manufacturing and logistics company. With a portfolio of Midstream, Chemicals, Refining, andMarketing and Specialties businesses, the company processes, transports, stores and markets fuels and products globally.Phillips 66 Partners, the company's master limited partnership, is an integral asset in the portfolio. Headquartered in Houston,the company has 14,600 employees committed to safety and operating excellence. Phillips 66 had $51 billion of assets as ofMarch 31, 2017 . For more information, visit www.phillips66.com or follow us on Twitter @Phillips66Co .

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CONTACTS

Jeff Dietert (investors) Rosy Zuklic (investors) C.W. Mallon (investors)832-765-2297 832-765-2297 [email protected] [email protected] [email protected]

Dennis Nuss (media)

832-765-1850

[email protected]

CAUTIONARY STATEMENT FOR THE PURPOSES OF THE "SAFE HARBOR" PROVISIONSOF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This news release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E ofthe Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Words and phrases such as “isanticipated,” “is estimated,” “is expected,” “is planned,” “is scheduled,” “is targeted,” “believes,” “intends,” “objectives,” “projects,” “strategies” and similarexpressions are used to identify such forward-looking statements. However, the absence of these words does not mean that a statement is not forward-looking.Forward-looking statements relating to Phillips 66’s operations (including joint venture operations) are based on management’s expectations, estimates andprojections about the company, its interests and the energy industry in general on the date this news release was prepared. These statements are notguarantees of future performance and involve certain risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and resultsmay differ materially from what is expressed or forecast in such forward-looking statements. Factors that could cause actual results or events to differ materiallyfrom those described in the forward-looking statements include fluctuations in NGL, crude oil, and natural gas prices, and petrochemical and refining margins;unexpected changes in costs for constructing, modifying or operating our facilities; unexpected difficulties in manufacturing, refining or transporting our products;lack of, or disruptions in, adequate and reliable transportation for our NGL, crude oil, natural gas, and refined products; potential liability from litigation or forremedial actions, including removal and reclamation obligations under environmental regulations; limited access to capital or significantly higher cost of capitalrelated to illiquidity or uncertainty in the domestic or international financial markets; and other economic, business, competitive and/or regulatory factors affectingPhillips 66’s businesses generally as set forth in our filings with the Securities and Exchange Commission. Phillips 66 is under no obligation (and expresslydisclaims any such obligation) to update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.

UseofNon-GAAPFinancialInformation-- This news release includes the terms adjusted earnings, adjusted earnings per share, and adjusted net income.These are non-GAAP financial measures that are included to help facilitate comparisons of company operating performance across periods and with peercompanies, by excluding items that don't reflect the core operating results of our businesses in the current period.

References in the release to earnings refer to net income attributable to Phillips 66.

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Millions of Dollars Except as Indicated 2017 2016 Q1 Q4 Q1Reconciliation of Earnings to Adjusted Earnings Consolidated Earnings $ 535 163 385Pre-tax adjustments:

Impairments by equity affiliates 33 — 6Pending claims and settlements — — (45)Equity affiliate ownership restructuring — 33 —Railcar lease residual value deficiencies and related costs — 40 —Gain on consolidation of business (423) — —Certain tax impacts* — (32) —

Tax impact of adjustments** 149 (27) 14Other tax impacts — (94) —Adjusted earnings $ 294 83 360 Earnings per share of common stock (dollars) $ 1.02 0.31 0.72Adjusted earnings per share of common stock (dollars)† $ 0.56 0.16 0.67 Midstream Earnings $ 77 (1) 65Pre-tax adjustments:

Pending claims and settlements — — (45)Impairments by equity affiliates — — 6Equity affiliate ownership restructuring — 33 —

Tax impact of adjustments** — (12) 14Other tax impacts — 13 —Adjusted earnings $ 77 33 40 Chemicals Earnings $ 181 136 156Pre-tax adjustments:

Impairments by equity affiliates 33 — —Tax impact of adjustments** (13) — —Other tax impacts — (12) —Adjusted earnings $ 201 124 156 Refining Earnings $ 259 (38) 86Pre-tax adjustments:

Certain tax impacts* — (32) —Gain on consolidation of business (423) — —Railcar lease residual value deficiencies and related costs — 40 —

Tax impact of adjustments** 162 (15) —Other tax impacts — (50) —Adjusted earnings $ (2) (95) 86 Marketing and Specialties Earnings $ 141 190 205Other tax impacts — (50) —Adjusted earnings $ 141 140 205

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Millions of Dollars Except as Indicated 2017 2016 Q1 Q4 Q1Reconciliation of Earnings to Adjusted Earnings (cont.) Corporate and Other Earnings (loss) $ (123) (124) (127)Other tax impacts — 5 —Adjusted earnings (loss) $ (123) (119) (127)*Pre-tax impact only. Tax-only adjusting items included in "other tax impacts."

**We generally tax effect taxable U.S.-based special items using a combined federal and state statutory income tax rate of approximately 38 percent. Taxable special itemsattributable to foreign locations likewise use a local statutory income tax rate. Nontaxable events reflect zero income tax. These events include, but are not limited to, mostgoodwill impairments, transactions legislatively exempt from income tax, transactions related to entities for which we have made an assertion that the undistributed earningsare permanently reinvested, or transactions occurring in jurisdictions with a valuation allowance.

†Weighted-average diluted shares outstanding and income allocated to participating securities, if applicable, in the adjusted earnings per share calculation are the same asthose used in the GAAP diluted earnings per share calculation.

Millions of Dollars Q1 2017Debt-to-Capital Ratio Total Debt $ 10,210Total Equity 23,725Debt-to-Capital Ratio 30%

Total Cash $ 1,513Net-Debt-to-Capital Ratio 27%

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Exhibit 99.2Phillips 66 Earnings Release Supplemental Data

CONSOLIDATED INCOME STATEMENT Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDRevenues and Other Income Sales and other operatingrevenues* 22,894 22,894 17,409 21,849 21,624 23,397 84,279

Equity in earnings of affiliates 365 365 333 435 391 255 1,414Net gain on dispositions 1 1 — 6 3 1 10Other income 452 452 18 17 24 15 74

Total Revenues and OtherIncome 23,712 23,712 17,760 22,307 22,042 23,668 85,777

Costs and Expenses Purchased crude oil andproducts 17,679 17,679 11,930 16,198 15,961 18,379 62,468Operating expenses 1,270 1,270 1,023 994 1,061 1,197 4,275Selling, general andadministrative expenses 384 384 386 421 411 420 1,638

Depreciation and amortization 315 315 280 290 293 305 1,168Impairments 2 2 — 2 2 1 5Taxes other than income taxes* 3,156 3,156 3,461 3,594 3,424 3,209 13,688Accretion on discountedliabilities 5 5 5 5 5 6 21

Interest and debt expense 105 105 86 83 81 88 338Foreign currency transaction gains (1) (1) (7) — (9) 1 (15)

Total Costs and Expenses 22,915 22,915 17,164 21,587 21,229 23,606 83,586Income before income taxes 797 797 596 720 813 62 2,191Provision for income taxes 234 234 198 204 277 (132) 547Net Income 563 563 398 516 536 194 1,644Less: net income attributable tononcontrolling interests 28 28 13 20 25 31 89

Net Income Attributable to Phillips66 535 535 385 496 511 163 1,555* Includes excise taxes on petroleumproducts sales: 3,036 3,036 3,360 3,508 3,357 3,156 13,381

Net Income Attributable to Phillips66 Per Share of Common Stock(dollars)

Basic 1.02 1.02 0.72 0.94 0.97 0.31 2.94 Diluted 1.02 1.02 0.72 0.93 0.96 0.31 2.92 Average Common Shares

Outstanding (in thousands) Basic 521,647 521,647 531,739 528,247 525,991 524,200 527,531 Diluted 524,520 524,520 534,709 531,060 528,798 526,279 530,066

SUMMARY OF INCOME (LOSS) ATTRIBUTABLE TO PHILLIPS 66 BY SEGMENT

Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD Midstream 77 77 65 39 75 (1) 178Chemicals 181 181 156 190 101 136 583Refining 259 259 86 149 177 (38) 374Marketing and Specialties 141 141 205 229 267 190 891Corporate and Other (123) (123) (127) (111) (109) (124) (471)Consolidated 535 535 385 496 511 163 1,555

SUMMARY OF INCOME (LOSS) BEFORE TAXES BY SEGMENT Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD Midstream 153 153 121 84 141 56 402Chemicals 251 251 228 264 176 171 839Refining 390 390 127 207 274 (172) 436Marketing and Specialties 208 208 315 345 400 201 1,261Corporate and Other (205) (205) (195) (180) (178) (194) (747)Consolidated 797 797 596 720 813 62 2,191

EFFECTIVE TAX RATES 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD Midstream 26.8% 26.8% 33.9% 26.2% 27.0% 37.5 % 30.3%Chemicals 27.9% 27.9% 31.6% 28.0% 42.6% 20.5 % 30.5%Refining 33.6% 33.6% 32.3% 28.0% 35.4% 77.9 % 14.2%Marketing and Specialties 32.2% 32.2% 34.9% 33.6% 33.3% 5.5 % 29.3%Corporate and Other 36.6% 36.6% 33.8% 36.7% 37.1% 33.5 % 35.2%Consolidated 29.4% 29.4% 33.2% 28.3% 34.1% (212.9)% 25.0%

SUMMARY OF ADJUSTED NET INCOME (LOSS) ATTRIBUTABLE TO PHILLIPS 66 BY SEGMENT Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDMidstream

Transportation 56 56 72 65 63 44 244NGL 4 4 (11) (17) 3 (5) (30)DCP Midstream 17 17 (21) (9) 9 (6) (27)

Total Midstream 77 77 40 39 75 33 187Chemicals 201 201 156 190 190 124 660Refining

Atlantic Basin/Europe (50) (50) 4 35 5 98 142Gulf Coast 67 67 68 5 (13) (51) 9Central Corridor 62 62 20 55 142 19 236West Coast (81) (81) (6) 57 — (161) (110)

Total Refining (2) (2) 86 152 134 (95) 277

Marketing and Specialties Marketing and Other 124 124 162 199 228 114 703Specialties 17 17 43 30 39 26 138

Total Marketing and Specialties 141 141 205 229 267 140 841Corporate and Other (123) (123) (127) (111) (110) (119) (467)Consolidated 294 294 360 499 556 83 1,498

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SPECIAL ITEMS INCLUDED IN NET INCOME ATTRIBUTABLE TO PHILLIPS 66(AFTER-TAX)

Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDMidstream Pending claims and settlements — — 29 — — — 29Impairments by equity affiliates — — (4) — — — (4)Certain tax impacts — — — — — (13) (13)Equity affiliate ownership restructuring — — — — — (21) (21)Total Midstream — — 25 — — (34) (9) Chemicals Impairments by equity affiliates (20) (20) — — (89) — (89)Certain tax impacts — — — — — 12 12Total Chemicals (20) (20) — — (89) 12 (77) Refining Pending claims and settlements — — — — 43 — 43Certain tax impacts — — — 16 — 82 98Gain on consolidation of business 261 261 — — — — —Recognition of deferred logisticscommitments — — — (19) — — (19)Railcar lease residual value deficienciesand related costs — — — — — (25) (25)Total Refining 261 261 — (3) 43 57 97 Marketing and Specialties Certain tax impacts — — — — — 50 50Total Marketing and Specialties — — — — — 50 50 Corporate and Other Pending claims and settlements — — — — 1 — 1Certain tax impacts — — — — — (5) (5)Total Corporate and Other — — — — 1 (5) (4) Total Phillips 66 241 241 25 (3) (45) 80 57

By Business Lines/Regions Midstream

Transportation — — — — — 2 2NGL — — — — — (5) (5)DCP Midstream — — 25 — — (31) (6)

Total Midstream — — 25 — — (34) (9) Refining

Atlantic Basin/Europe — — — (3) — 65 62

Gulf Coast 261 261 — — 43 — 43Central Corridor — — — — — (2) (2)West Coast — — — — — (6) (6)

Total Refining 261 261 — (3) 43 57 97 Marketing and Specialties

Marketing and Other — — — — — 44 44Specialties — — — — — 6 6

Total Marketing and Specialties — — — — — 50 50

SPECIAL ITEMS INCLUDED IN INCOME BEFORE TAXES(PRETAX)

Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDMidstream Pending claims and settlements — — 45 — — — 45Impairments by equity affiliates — — (6) — — — (6)Equity affiliate ownership restructuring — — — — — (33) (33)Total Midstream — — 39 — — (33) 6 Chemicals Impairments by equity affiliates (33) (33) — — (89) — (89)Total Chemicals (33) (33) — — (89) — (89) Refining Pending claims and settlements — — — — 70 — 70Certain tax impacts — — — — — 32 32Gain on consolidation of business 423 423 — — — — —Recognition of deferred logisticscommitments — — — (30) — — (30)Railcar lease residual value deficienciesand related costs — — — — — (40) (40)Total Refining 423 423 — (30) 70 (8) 32 Marketing and Specialties — — — — — — — Corporate and Other Pending claims and settlements — — — — 2 — 2Total Corporate and Other — — — — 2 — 2 Total Phillips 66 390 390 39 (30) (17) (41) (49)

By Business Lines/Regions Midstream

Transportation — — — — — — —NGL — — — — — — —DCP Midstream — — 39 — — (33) 6

Total Midstream — — 39 — — (33) 6 Refining

Atlantic Basin/Europe — — — (30) — 27 (3)Gulf Coast 423 423 — — 70 (16) 54Central Corridor — — — — — (11) (11)

West Coast — — — — — (8) (8)Total Refining 423 423 — (30) 70 (8) 32 Marketing and Specialties

Marketing and Other — — — — — — —Specialties — — — — — — —

Total Marketing and Specialties — — — — — — —

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CASH FLOW INFORMATION Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDCash Flows From Operating Activities Net income 563 563 398 516 536 194 1,644Depreciation and amortization 315 315 280 290 293 305 1,168Impairments 2 2 — 2 2 1 5Accretion on discounted liabilities 5 5 5 5 5 6 21Deferred taxes 493 493 154 37 276 145 612Undistributed equity earnings (212) (212) (166) (349) (257) (43) (815)Net gain on dispositions (1) (1) — (6) (3) (1) (10)Gain on consolidation of business (423) (423) — — — — —Other 6 6 51 65 (308) 29 (163)Net working capital changes (1,297) (1,297) (464) 595 339 31 501Net Cash Provided by (Used in)

Operating Activities (549) (549) 258 1,155 883 667 2,963 Cash Flows From Investing Activities Capital expenditures and investments (470) (470) (750) (620) (661) (813) (2,844)Proceeds from asset dispositions* 9 9 5 10 144 (3) 156Advances/loans—related parties — — (75) (107) (84) (166) (432)Collection of advances/loans—relatedparties 325 325 — — 107 1 108Restricted cash received fromconsolidation of business 318 318 — — — — —Other (24) (24) (42) (33) (57) (14) (146)Net Cash Provided by (Used in)Investing Activities 158 158 (862) (750) (551) (995) (3,158) Cash Flows From Financing Activities Issuance of debt 712 712 50 100 250 1,690 2,090Repayment of debt (773) (773) (100) (66) (252) (415) (833)Issuance of common stock** 4 4 4 5 5 20 34Repurchase of common stock (285) (285) (391) (242) (179) (230) (1,042)Dividends paid on common stock (326) (326) (296) (329) (329) (328) (1,282)Distributions to noncontrolling interests (24) (24) (11) (17) (17) (30) (75)Net proceeds from issuance of Phillips 66Partners LP common units 40 40 — 669 303 — 972Other** (34) (34) (39) 12 (11) (4) (42)Net Cash Used in Financing Activities (686) (686) (783) 132 (230) 703 (178) Effect of Exchange Rate Changes onCash, Cash Equivalents andRestricted Cash 2 2 36 (28) 3 (1) 10 Net Change in Cash, Cash Equivalentsand Restricted Cash (1,075) (1,075) (1,351) 509 105 374 (363)

Cash, cash equivalents and restricted

cash at beginning of period 2,711 2,711 3,074 1,723 2,232 2,337 3,074Cash, Cash Equivalents and RestrictedCash at End of Period 1,636 1,636 1,723 2,232 2,337 2,711 2,711

* Includes return of investments in equity affiliates and working capital true-ups on dispositions. ** Prior periods recasted to conform to the current year presentation.

CAPITAL PROGRAM Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDConsolidated Capital Expenditures andInvestments

Midstream 182 182 446 284 315 408 1,453Chemicals — — — — — — —Refining 259 259 261 277 289 322 1,149Marketing and Specialties 15 15 15 22 26 35 98Corporate and Other 14 14 28 37 31 48 144Total Consolidated 470 470 750 620 661 813 2,844 Proportional Share of Select EquityAffiliates Capital Expenditures andInvestments*

DCP Midstream (Midstream) 44 44 35 20 21 23 99CPChem (Chemicals) 256 256 247 294 205 241 987WRB Refining (Refining) 42 42 37 43 36 48 164Select Equity Affiliates 342 342 319 357 262 312 1,250

Total Capital Program* Midstream 226 226 481 304 336 431 1,552Chemicals 256 256 247 294 205 241 987Refining 301 301 298 320 325 370 1,313Marketing and Specialties 15 15 15 22 26 35 98Corporate and Other 14 14 28 37 31 48 144Total Capital Program 812 812 1,069 977 923 1,125 4,094 * Includes Phillips 66’s portion of self-funded capital spending by DCP Midstream, LLC (DCP Midstream), Chevron Phillips Chemical Company LLC (CPChem) and WRB Refining LP.

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MIDSTREAM 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDMidstream Net Income (Loss) Attributableto Phillips 66 ($ Millions) Transportation 56 56 72 65 63 46 246NGL 4 4 (11) (17) 3 (10) (35)DCP Midstream 17 17 4 (9) 9 (37) (33)

Midstream Net Income (Loss) Attributableto Phillips 66 77 77 65 39 75 (1) 178

Midstream Income (Loss) before IncomeTaxes ($ Millions) Transportation 107 107 123 116 112 90 441NGL 19 19 (9) (18) 15 7 (5)DCP Midstream 27 27 7 (14) 14 (41) (34)

Midstream Income (Loss) before IncomeTaxes 153 153 121 84 141 56 402

Midstream Adjusted EBITDA ($ Millions)

Transportation and NGL 149 149 144 120 148 115 527DCP Midstream 71 71 44 64 97 69 274

Midstream Adjusted EBITDA 220 220 188 184 245 184 801

Depreciation and Amortization ($ Millions)

Transportation 33 33 30 32 36 33 131NGL 35 35 18 18 20 28 84DCP Midstream — — — — — — —

Total 68 68 48 50 56 61 215

Operating and SG&A Expense ($ Millions)

Transportation 161 161 122 136 145 153 556NGL 57 57 45 45 38 49 177DCP Midstream — — (1) — (1) (1) (3)

Total 218 218 166 181 182 201 730

Transportation Volumes (MB/D)

Pipelines* 3,469 3,469 3,488 3,638 3,495 3,424 3,511Terminals** 2,395 2,395 2,209 2,442 2,417 2,619 2,422

* Pipelines represent the sum of volumes transported through each separately tariffed pipelinesegment,

including our share of equity volumes in Yellowstone and Lake Charles pipelines. ** Terminals include Bayway and Ferndale crude oil rail rack volumes. PSX Other Volumes NGL Fractionated (MB/D)* 175 175 161 174 173 172 170* Excludes DCP Midstream.

100% DCP Midstream Results Net Income Attributable, excludes parentcompany income tax related to DCP'searnings ($ Millions)* 53 53 24 (29) 25 (83) (63) Depreciation and Amortization ($ Millions) 94 94 95 95 94 94 378 Operating and SG&A Expense ($ Millions) 240 240 245 241 204 281 971 Net Interest Expense ($ Millions)* 76 76 79 79 78 86 322* Net of interest income. Capital Expenditures and Investments ($Millions) 87 87 69 41 41 46 197 Selected DCP Operating Statistics Total Throughput (TBtu/D) 5.7 5.7 6.9 6.7 6.4 6.1 7.1NGL Production (MB/D) 341 341 382 416 403 371 393 Weighted Average NGL Price* DCP Midstream ($/BBL) 25.31 25.31 15.34 19.26 18.98 23.19 19.19DCP Midstream ($/gal) 0.60 0.60 0.37 0.46 0.45 0.55 0.46* Based on index prices from the Mont Belvieu and Conway market hubs that are weighted by NGL

component and location mix. MLP Distributions ($ Millions)* GP Distribution from PSXP to Phillips 66 32 32 16 21 26 28 91LP Distribution from PSXP to Phillips 66 37 37 28 30 34 36 128GP Distribution from DCP Midstream, LP to

DCP Midstream*** ** — 31 31 31 31 124LP Distribution from DCP Midstream, LP to

DCP Midstream*** ** — 19 19 19 19 76 * Cash distributions declared attributable to general partner interest, common unit ownership and

incentive distribution rights. These distributions are eliminated in the respective sponsors consolidated

financial statements. ** Pending DCP Midstream release. *** Represents 100 percent of DCP Midstream's distributions from DCP Midstream, LP (formerly

DCP Midstream Partners, LP).

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CHEMICALS

2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD Chemicals Net Income Attributableto Phillips 66 ($ Millions) 181 181 156 190 101 136 583

Chemicals Adjusted EBITDA ($Millions) 374 374 319 363 356 260 1,298 100% CPChem Results Net Income (Loss), excludes parentcompany income tax related toCPChem's earnings ($ Millions)

Olefins and Polyolefins 461 461 422 478 460 290 1,650Specialties, Aromatics and Styrenics 53 53 49 64 (90) 63 86Corporate and Other (11) (11) (12) (13) (15) (9) (49)Total 503 503 459 529 355 344 1,687 Income (Loss) before Income Taxes($ Millions)

Olefins and Polyolefins 470 470 432 493 471 291 1,687Specialties, Aromatics and Styrenics 62 62 56 72 (86) 71 113Corporate and Other (11) (11) (12) (13) (13) (9) (47)Total 521 521 476 552 372 353 1,753

Depreciation and Amortization ($Millions) 73 73 77 77 79 83 316 Net Interest Expense ($ Millions)* (1) (1) — — (1) — (1)* Net of interest income. Investing Cash Flows ($ Millions) Capital Expenditures and Investments 512 512 493 588 411 482 1,974Advances to Equity Companies 6 6 14 23 10 6 53Advance Repayments from EquityCompanies (7) (7) — (6) (26) (31) (63) Externally Marketed Sales Volumes(MM Lbs)*

Olefins and Polyolefins 4,016 4,016 4,002 4,139 4,155 3,715 16,011Specialties, Aromatics and Styrenics 1,206 1,206 1,254 1,212 1,284 1,161 4,911Total 5,222 5,222 5,256 5,351 5,439 4,876 20,922* Represents 100 percent of CPChem's outside sales of produced petrochemical products, aswell as commission sales from equity affiliates. Olefins and Polyolefins CapacityUtilization (%)* 89% 89% 94% 92% 93% 86% 91%

* Revised to exclude polyethylene pipe operations.

Market Indicators* U.S. Industry Prices Ethylene, Average AcquisitionContract (cents/lb) 31.87 31.87 23.95 27.99 33.11 30.11 28.79

HDPE Blow Molding, Domestic Spot(cents/lb) 55.83 55.83 47.42 52.58 54.17 54.67 52.21 U.S. Industry Costs Ethylene, Cash Cost WeightedAverage Feed (cents/lb) 11.80 11.80 9.80 12.04 10.59 14.31 11.69

HDPE Blow Molding, Total Cash Cost(cents/lb) 44.90 44.90 36.50 40.60 45.95 42.96 41.50 Ethylene to High-Density PolyethyleneChain Cash Margin (cents/lb) 31.00 31.00 25.07 27.93 30.74 27.51 27.81

* Source: IHS, Inc.

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REFINING 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDRefining Net Income (Loss) Attributable

to Phillips 66 ($ Millions) Atlantic Basin/Europe (50) (50) 4 32 5 163 204Gulf Coast 328 328 68 5 30 (51) 52Central Corridor 62 62 20 55 142 17 234West Coast (81) (81) (6) 57 — (167) (116)

Refining Net Income (Loss) Attributableto Phillips 66 259 259 86 149 177 (38) 374

Refining Income (Loss) before Income

Taxes ($ Millions) Atlantic Basin/Europe (98) (98) 3 14 4 166 187Gulf Coast 521 521 107 7 51 (95) 70Central Corridor 97 97 32 96 220 19 367West Coast (130) (130) (15) 90 (1) (262) (188)

Refining Income (Loss) before IncomeTaxes 390 390 127 207 274 (172) 436

Refining Adjusted EBITDA ($ Millions) 231 231 376 497 457 100 1,430 Realized Refining Margins ($/BBL)*

Atlantic Basin/Europe 6.29 6.29 5.79 6.15 5.04 8.19 6.26Gulf Coast 8.03 8.03 6.76 5.18 5.47 4.61 5.49Central Corridor 10.54 10.54 7.41 8.65 11.18 7.50 8.70West Coast 9.95 9.95 9.70 10.94 9.07 6.30 9.15Worldwide 8.55 8.55 7.11 7.13 7.23 6.47 6.99

* Based on total processed inputs and includes proportional share of refining margins contributed bycertain equity affiliates. Realized margin excludes special items. Depreciation and Amortization ($Millions)* Atlantic Basin/Europe 49 49 47 54 46 52 199Gulf Coast 65 65 57 58 58 61 234Central Corridor 27 27 26 26 26 28 106West Coast 58 58 56 58 58 58 230

Total 199 199 186 196 188 199 769* Excludes D&A of all equity affiliates. Operating and SG&A Expense ($Millions)* Atlantic Basin/Europe 271 271 236 223 215 207 881Gulf Coast 350 350 286 311 344 344 1,285Central Corridor 144 144 114 119 126 137 496West Coast 324 324 250 202 233 343 1,028

Total 1,089 1,089 886 855 918 1,031 3,690* Excludes Operating and SG&A Expense of all equity affiliates.

Turnaround Expense ($ Millions),included in Operating and SG&A Expense* Atlantic Basin/Europe 83 83 26 10 17 20 73Gulf Coast 72 72 23 26 55 51 155Central Corridor 27 27 10 17 18 15 60West Coast 117 117 56 16 27 119 218

Total 299 299 115 69 117 205 506* Excludes Turnaround Expense of all equity affiliates. Taxes Other than Income Taxes,excluding Excise Taxes ($ Millions) Atlantic Basin/Europe 16 16 17 15 13 13 58Gulf Coast 27 27 23 21 12 17 73Central Corridor 14 14 13 12 7 10 42West Coast 20 20 22 20 21 19 82

Total 77 77 75 68 53 59 255

Foreign Currency Gains (Losses) After-Tax ($ Millions) — — 5 — 5 — 10 Refining—Equity Affiliate Information ($Millions)

Equity in earnings of affiliates (6) (6) (9) 80 68 24 163Less: Share of equity affiliate gross marginincluded in Realized Refining Margin andother equity-affiliate-related costs* 239 239 (146) (229) (145) (165) (685)

Equity-affiliate-related expenses notincluded in Realized Refining Margins 233 233 (155) (149) (77) (141) (522)

Regional Totals Atlantic Basin/Europe (17) (17) (18) (17) (16) (12) (63)Gulf Coast 428 428 14 17 77 15 123Central Corridor (178) (178) (151) (149) (138) (144) (582)

Total 233 233 (155) (149) (77) (141) (522)* Other costs associated with equity affiliates which do not flow through equity earnings.

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REFINING (continued) 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDAtlantic Basin/Europe* Crude Oil Charge Input (MB/D) 366 366 577 594 573 529 568Total Charge Input (MB/D) 446 446 607 626 607 570 602Crude Oil Capacity Utilization (%) 70% 70% 98% 101% 100% 102% 100%Clean Product Yield (%) 88% 88% 83% 84% 85% 89% 85%* Includes our proportionate share of a refinery complex in Karlsruhe, Germany. Gulf Coast Crude Oil Charge Input (MB/D) 668 668 679 738 701 701 704Total Charge Input (MB/D) 743 743 748 807 770 775 775Crude Oil Capacity Utilization (%) 90% 90% 91% 99% 94% 94% 95%Clean Product Yield (%) 80% 80% 79% 80% 81% 82% 80% Central Corridor* Crude Oil Charge Input (MB/D) 470 470 472 500 487 479 485Total Charge Input (MB/D) 488 488 491 514 505 498 502Crude Oil Capacity Utilization (%) 95% 95% 96% 101% 99% 97% 98%Clean Product Yield (%) 90% 90% 88% 89% 86% 89% 88%* Includes our proportionate share of the Borger Refinery and Wood River Refinery. West Coast Crude Oil Charge Input (MB/D) 279 279 323 348 344 257 318Total Charge Input (MB/D) 304 304 351 370 372 287 345Crude Oil Capacity Utilization (%) 78% 78% 90% 97% 96% 71% 88%Clean Product Yield (%) 87% 87% 81% 87% 88% 86% 85% Worldwide — IncludingProportionate Share ofEquity Affiliates

Crude Oil Charge Input (MB/D) 1,783 1,783 2,051 2,180 2,105 1,966 2,075Total Charge Input (MB/D) 1,981 1,981 2,197 2,317 2,254 2,130 2,224Crude Oil Capacity Utilization (%) 84% 84% 94% 100% 97% 93% 96%Clean Product Yield (%) 85% 85% 82% 84% 84% 86% 84% Refined ProductsProduction (MB/D) Atlantic Basin/Europe* Gasoline 213 213 249 256 252 250 252Distillates 163 163 241 250 246 239 244Other 81 81 121 123 113 89 111Total 457 457 611 629 611 578 607* Includes our proportionate share of a refinery complex in Karlsruhe, Germany. Gulf Coast Gasoline 296 296 286 321 309 321 309

Distillates 275 275 277 306 291 293 292Other 178 178 192 190 176 169 182Total 749 749 755 817 776 783 783 Central Corridor* Gasoline 253 253 254 270 250 260 258Distillates 181 181 175 185 183 183 181Other 59 59 65 65 77 59 67Total 493 493 494 520 510 502 506* Includes our proportionate share of the Borger Refinery and Wood River Refinery. West Coast Gasoline 154 154 161 185 189 142 169Distillates 110 110 123 137 137 105 126Other 41 41 66 49 48 38 50Total 305 305 350 371 374 285 345 Worldwide—IncludingProportionate Share ofEquity Affiliates

Gasoline 916 916 950 1,032 1,000 973 988Distillates 729 729 816 878 857 820 843Other 359 359 444 427 414 355 410Total 2,004 2,004 2,210 2,337 2,271 2,148 2,241

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REFINING (continued) 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDMarket Indicators Crude and Crude Differentials ($/BBL) WTI 51.83 51.83 33.27 45.48 44.88 49.18 43.20Brent 53.78 53.78 33.89 45.57 45.85 49.46 43.69LLS 53.51 53.51 35.14 47.34 46.53 50.54 44.88ANS 53.83 53.83 34.46 45.72 44.78 50.14 43.77WTI less Maya 7.10 7.10 7.21 7.70 5.86 6.38 6.79WTI less WCS 13.79 13.79 13.63 12.92 14.22 15.02 13.95 Natural Gas ($/MMBtu) Henry Hub 3.00 3.00 1.98 2.10 2.85 2.99 2.48 Product Margins ($/BBL) Atlantic Basin/Europe East Coast Gasoline less Brent 9.46 9.46 11.54 17.92 13.37 13.44 14.07East Coast Distillate less Brent 12.93 12.93 10.79 12.54 12.59 15.67 12.89Gulf Coast Gulf Coast Gasoline less LLS 9.92 9.92 7.81 11.05 10.17 8.58 9.40Gulf Coast Distillate less LLS 12.26 12.26 7.92 9.07 11.01 13.39 10.35Central Corridor Central Gasoline less WTI 12.77 12.77 10.24 13.67 14.16 9.40 11.87Central Distillate less WTI 14.00 14.00 11.08 11.75 15.38 14.03 13.06West Coast West Coast Gasoline less ANS 17.28 17.28 17.66 20.15 16.08 13.26 16.79West Coast Distillate less ANS 14.84 14.84 11.19 14.70 14.82 17.34 14.51 Worldwide Market Crack Spread($/BBL)* 12.24 12.24 10.64 13.84 12.96 12.10 12.39* Weighted average based on Phillips 66 crude capacity.

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MARKETING AND SPECIALTIES 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDMarketing and Specialties Net IncomeAttributable to Phillips 66 ($ Millions) Marketing and Other 124 124 162 199 228 158 747Specialties 17 17 43 30 39 32 144

Marketing and Specialties Net IncomeAttributable to Phillips 66 141 141 205 229 267 190 891

Marketing and Specialties Incomebefore Income Taxes ($ Millions) Marketing and Other 181 181 246 298 339 161 1,044Specialties 27 27 69 47 61 40 217

Marketing and Specialties Incomebefore Income Taxes 208 208 315 345 400 201 1,261

Marketing and Specialties AdjustedEBITDA ($ Millions) 235 235 340 372 429 227 1,368 Realized Marketing Fuel Margin($/BBL)* U.S. 1.33 1.33 1.83 1.79 1.88 1.10 1.64International 3.70 3.70 3.16 4.16 5.19 3.68 4.05

* On third-party petroleum products sales. Realized Margins not included inMarketing Fuel Margin ($ Millions)* Marketing and Other 133 133 123 147 143 129 542Specialties 72 72 112 92 104 88 396

Total 205 205 235 239 247 217 938* Excludes Gain on Dispositions and Excise TaxIncome. Depreciation and Amortization ($Millions) Marketing and Other 22 22 20 22 24 21 87Specialties 5 5 5 5 5 5 20

Total 27 27 25 27 29 26 107

Operating and SG&A Expense ($Millions) Marketing and Other 245 245 244 271 261 262 1,038Specialties 38 38 35 38 38 41 152

Total 283 283 279 309 299 303 1,190

Marketing PetroleumProducts Sales (MB/D) U.S. Marketing Gasoline 1,105 1,105 1,086 1,171 1,158 1,183 1,150

Distillates 818 818 706 782 780 773 760Other — — — 1 — — —Total 1,923 1,923 1,792 1,954 1,938 1,956 1,910 International Marketing Gasoline 82 82 90 90 89 82 88Distillates 168 168 197 193 189 168 187Other 15 15 15 18 17 17 16Total 265 265 302 301 295 267 291 Worldwide Marketing Gasoline 1,187 1,187 1,176 1,261 1,247 1,265 1,238Distillates 986 986 903 975 969 941 947Other 15 15 15 19 17 17 16Total 2,188 2,188 2,094 2,255 2,233 2,223 2,201

Foreign Currency Gains (Losses) After-Tax ($ Millions) 1 1 (1) 1 — (1) (1)

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CORPORATE AND OTHER 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD Corporate and Other Net Income(Loss) Attributable to Phillips 66 ($Millions) (123) (123) (127) (111) (109) (124) (471)

Detail of Net Income (Loss)Attributable to Phillips 66 ($Millions)

Net interest expense (65) (65) (54) (52) (49) (55) (210)Corporate overhead (39) (39) (42) (40) (39) (40) (161)Technology (15) (15) (14) (14) (15) (15) (58)Other (4) (4) (17) (5) (6) (14) (42)Total (123) (123) (127) (111) (109) (124) (471)

Before-Tax Net Interest Expense ($Millions)

Interest expense (114) (114) (105) (104) (103) (107) (419)Capitalized interest 9 9 19 21 22 19 81Interest revenue 5 5 4 3 7 4 18Premium on early debt retirement — — (1) — — — (1)Total (100) (100) (83) (80) (74) (84) (321)

Foreign Currency Gains (Losses)After-Tax ($ Millions) — — 1 — — 1 2 Phillips 66 Total Company Debt Total Debt ($ Millions) 10,210 10,210 8,835 8,862 8,858 10,138 10,138Debt-to-Capital Ratio (%) 30% 30% 27% 27% 27% 30% 30% Total Equity ($ Millions) 23,725 23,725 23,643 24,066 24,311 23,725 23,725

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NON-GAAP FINANCIAL MEASURES RECONCILIATION Millions of Dollars 2017 2016 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTD 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr YTDReconciliation of Midstream NetIncome to Adjusted EBITDA

Midstream net income 112 112 80 62 103 35 280Plus:

Provision for income taxes 41 41 41 22 38 21 122Interest revenue (1) (1) — — — — —Depreciation and amortization 68 68 48 50 56 61 215

Midstream EBITDA 220 220 169 134 197 117 617 Adjustments (pretax):

EBITDA attributable to Phillips 66noncontrolling interests (44) (44) (18) (28) (35) (43) (124)

Proportional share of selected equityaffiliates income taxes — — 1 1 — — 2

Proportional share of selected equityaffiliates net interest 17 17 32 33 32 32 129

Proportional share of selected equityaffiliates depreciation and amortization 27 27 43 44 51 45 183

Pending claims and settlements — — (45) — — — (45)Impairments by equity affiliates — — 6 — — — 6Equity affiliate ownership restructuring — — — — — 33 33

Midstream Adjusted EBITDA* 220 220 188 184 245 184 801* Proportional share of selected equityaffiliates is net of noncontrolling interests. Midstream Adjusted EBITDA byBusiness Line

Transportation and NGL Transportation and NGL net income 95 95 76 71 94 72 313Plus:

Provision for income taxes 31 31 38 27 33 25 123Interest revenue (1) (1) — — — — —Depreciation and amortization 68 68 48 50 56 61 215

Transportation and NGL EBITDA 193 193 162 148 183 158 651 Adjustments (pretax):

EBITDA attributable to Phillips 66noncontrolling interests (44) (44) (18) (28) (35) (43) (124)

Transportation and NGL AdjustedEBITDA 149 149 144 120 148 115 527

DCP Midstream DCP Midstream net income 17 17 4 (9) 9 (37) (33)Plus:

Provision for income taxes 10 10 3 (5) 5 (4) (1)DCP Midstream EBITDA 27 27 7 (14) 14 (41) (34)

Adjustments (pretax):

Proportional share of selected equityaffiliates income taxes — — 1 1 — — 2



Pending claims and settlements — — (45) — — — (45)Impairments by equity affiliates — — 6 — — — 6Equity affiliate ownership restructuring — — — — — 33 33

DCP Midstream Adjusted EBITDA* 71 71 44 64 97 69 274* Proportional share of selected equityaffiliates is net of noncontrolling interests. Reconciliation of Chemicals NetIncome to Adjusted EBITDA

Chemicals net income 181 181 156 190 101 136 583Plus:

Provision for income taxes 70 70 72 74 75 35 256Chemicals EBITDA 251 251 228 264 176 171 839 Adjustments (pretax):

Proportional share of selected equityaffiliates income taxes 20 20 18 26 20 13 77



Impairments by equity affiliates 33 33 — — 89 — 89Chemicals Adjusted EBITDA 374 374 319 363 356 260 1,298

Reconciliation of Refining Net Incometo Adjusted EBITDA

Refining net income 259 259 86 149 177 (38) 374Plus:

Provision for income taxes 131 131 41 58 97 (134) 62Depreciation and amortization 199 199 186 196 188 199 769

Refining EBITDA 589 589 313 403 462 27 1,205 Adjustments (pretax):

Proportional share of selected equityaffiliates income taxes — — — — — — —

Proportional share of selected equityaffiliates net interest — — — — — — —


Pending claims and settlements — — — — (70) — (70)Certain tax impacts — — — — — (32) (32)Gain on consolidation of business (423) (423) — — — — —Recognition of deferred logisticscommitments — — — 30 — — 30Railcar lease residual value deficienciesand related costs — — — — — 40 40

Refining Adjusted EBITDA 231 231 376 497 457 100 1,430

Reconciliation of Marketing andSpecialties Net Income to Adjusted

EBITDA Marketing and Specialties net income 141 141 205 229 267 190 891Plus:

Provision for income taxes 67 67 110 116 133 11 370Depreciation and amortization 27 27 25 27 29 26 107

Marketing and Specialties EBITDA 235 235 340 372 429 227 1,368 Adjustments (pretax):

None — — — — — — —Marketing and Specialties AdjustedEBITDA 235 235 340 372 429 227 1,368

Reconciliation of Phillips 66 NetIncome to Adjusted EBITDA

Net income 563 563 398 516 536 194 1,644Plus:

Provision for income taxes 234 234 198 204 277 (132) 547Net interest expense 99 99 83 80 74 84 321Depreciation and amortization 315 315 280 290 293 305 1,168

Phillips 66 EBITDA 1,211 1,211 959 1,090 1,180 451 3,680 Adjustments (pretax):

EBITDA attributable to Phillips 66noncontrolling interests (44) (44) (18) (28) (35) (43) (124)Proportional share of selected equityaffiliates income taxes 20 20 19 27 20 13 79



Impairments by equity affiliates 33 33 6 — 89 — 95Pending claims and settlements — — (45) — (70) — (115)Certain tax impacts — — — — — (32) (32)Gain on consolidation of business (423) (423) — — — — —Equity affiliate ownership restructuring — — — — — 33 33Recognition of deferred logisticscommitments — — — 30 — — 30Railcar lease residual value deficienciesand related costs — — — — — 40 40

Phillips 66 Adjusted EBITDA 976 976 1,132 1,333 1,403 680 4,548

Use of Non-GAAP Financial Information—This earnings release supplemental data includes the terms EBITDA and adjusted EBITDA. These are non-GAAP financialmeasures. EBITDA and adjusted EBITDA are included to help facilitate comparisons of operating performance across periods, to help facilitate comparisons with othercompanies in our industry and to help facilitate determination of enterprise value. The GAAP measure most directly comparable to EBITDA and adjusted EBITDA is netincome.

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