Caltex to wind back ties with supermarket giant Woolworths

The pair announced today that 39 Caltex petrol stations would end their alliance with Woolworths and would no longer offer discounts linked to the supermarket.

Another 92 petrol stations operated under the 633 site Caltex-Woolworths fuel network will be rebranded Star Mart or Star Shop but will still offer the supermarket's discounts.

About another 12 Caltex operated Star Mart or Star Shop petrol stations will begin to offer Woolworths discounts in 2015.

Currently, 131 petrol stations within the network are operated by Caltex and the remainder by Woolworths.

Under the planned changes, Woolworths will no longer recognise sales from Caltex-operated sites in its financial accounts.

Woolworths said the new arrangements would not have a major impact on its profit.

"We are maintaining our strong relationship with Caltex, which remains the exclusive petrol and diesel supplier for all Woolworths Petrol sites across Australia," Woolworths petrol general manager Michael James said.

"The new arrangements enable us to focus our efforts on our operated sites and to deliver further improvements to our convenience offer."