2008 Fortune 500: Exxon Mobil’s No. 2

These oil companies are earning billons of dollars whereas almost every third company is going into severe losses.These oil companies are delibrately keeping oil prices high bcoz they know oil is lifeline of every economy.This is absolutely unfair practice.Also oil traders are making profits.Oil trading should be regularised to check the oil prices.All food and essential exports to opec countries should be made expensive as we are paying more for everything.

Do all of you realize that these companies pay billions upon billions of dollards in taxes? Of the $40 billion Exxon made after expenses, they paid $30 billion to the government in taxes. And the government wants to tax them more?

A “windfall profits tax” is a socialist policy meant to redistribute wealth.

Who wants to be part of a socialist nation?

If you’re worried about gas, save yourself $20 a month (or more) and ditch the internet you’re using to post on this board. Get rid of the cell phone, or the land line. That’s another $30 to $100 a month you can save. That should make up for the extra money you’re spending on gas.

Some of the opinions expressed here really cause me a great deal of concern.

I fail to understand when and how “profit” became a dirty word. Profit represents a gain; a step forward; progress. What I find much easier to comprehend is how the people who find profit such an egregious afront to their world view may not be doing so well financially.

You think it’s somehow wrong, or even evil to do well? Good luck with that champ. The gap between the wealthy and the not-so grows more because of the pervasiveness of just such a mindset more than for any other reason.

In the words of Ice Cube; “You better check yourself before you wreck yourself.”

Peoples feelings on this issue are correspondent with Simon’s “Fairness” economic theory of economics, whereby the consumer blames the seller for the price which they are paying. Traditionally, oil contracts worldwide are written in U.S. dollars because of it’s stability. As the U.S. dollar deflates, oil prices rise. This is from inflation or a stimulus of money into the economy. Oil companies have a right to make a profit also or they wouldn’t be in business. Those profits are funding new deep sea drilling in the Gulf to hopefully make us less dependent on the OPEC nations. Don’t forget, those company employees have to fill up at the same price we do. All the way down to the secretary and janitor.

11% profit that is low compared to most companies. I own a business and if I only made 11% profit I would shut it down and look for some thing else, and there would be another 130 people out of a job. I served my country for 11 years in the Navy as an enlisted man and got out in 2000. I was brought up in a small town in the midwest with no possible chance to go to college even with a 3.4 gpa. I joined up and lived within my means and saved like hell for 10 years. When I got out I paid 100% of my college education to aquire an engineering degree and a MBA while working 2 jobs supporting my family of 6. Then I started my own business with my own money.

My point is I am greatful for the US and its capitalism. I say make as much as you can to any company. That is what I was taught in school and in life. If you have a product people want or need you price it to MAXIMIZE your profit. 11% is actually pretty pathetic electric companies in the regulated market get 12% garaunteed. A good company that is in a growth phase like OIL is should be closer to 30% profit margin, my company 2007 profit margin was 26.3%.
Oh my family has a gas guzzling SUV and fullsize truck, because I can afford it. I usually drive my economy car a C5 corvette that gets 28 mpg fill-up to fill-up and gets over 30 on the highway at 75 mph. Go Chevy V8 power (400 hp) and economy!!!

I think they should be number 1. They are just big rip offs. If we keep letting them get away with it they will keep having it there way. I don’t have a solution to this problem but it is out of control. Just my 2 cents.

Thanks

Jason Berkes

For 30 years Petroleum companies have closed refineries and we operate at a 90-95% capacity……….it is just unacceptable that oil companies and Dick Chaney can get away with the excuse of permits and siting regs to expand of our refineries……….they can drill in Alaska if Congress requires all oil and gas to go to the lower 48 states and not Asia………

One other factor is the refineries. The cost of the raw materials (oil) is so high that they are haveing trouble being profitable. They are producing less product (gas) thus driving prices up. They are running at 82% of capacity since they have little incentive (profit) to raise production. It is much more than the big bad oil companies. The pricing is really hurting us and 95% of our driving is just to work and home. The economy will not stabilize until pricing goes down or wages go up. As well as the Fed stopping to kill the value of the dollar.

The general public needs to be educated about oil economics. Like many other industries, big oils are subject to macroeconomic factors and the resulting boom and bust cycle.

Crude price is set by demand & supply mechanism. Demand is very strong, as China, India and Middle East are expanding and have high energy demand. Supply is flat/declining due to dwindling oil reserves, geopolitical risks in the middle east, and worker strikes, while alternative energy sources are still not mature and not available in mass. All of these factors are outside the big oils’ hands.

Yes, right now they’re enjoying record profits. But we have to take the current situation into a longer-term perspective. Remember when oil price dropped in early 90’s, they were down big time. If they can somehow influence crude price, why didn’t they do so during that time?

Also, don’t forget that millions of Americans benefit from the big oils performance. Example: thousands of new job creations in the oil industry, thousands more in the oil service industry, millions of employees in the aforementioned industries prosper. Don’t forget the investing public. 53%of Exxon is owned by institutional shareholders (mutual funds, pension funds, etc.), so millions of average Americans are also enjoying the benefits.

What shall we do? Hopefully we’ll be able to develop more advanced technologies to tap into unconventional oil sources (that currently cannot be extracted due to tech difficulty); and hopefully we’ll be able to develop viable alternative energy sources. In the meanwhile, curb your fuel consumption and invest in energy-related stocks!

Anyhow, here’s a very good commentary that provides a balanced perspective:
http://money.cnn.com/2008/04/29/markets/thebuzz/index.htm

Its as simple as this. Yes, oil companies are making good profits. But dont forget, they are PUBLICLY traded companies, not private. I dont like how CEOs make ridiculous wages either, but they do in every other industry. If you look at retirement funds, almost all off them are heavily invested in big oil. So most of the profits are coming right back at us.
So the only ones that are making off with are money are the filthy rich CEOs, but that is still just a very small percentage. I would be more worried about the rich princes in the middle east and elsewhere.

I think we should all calm down and catch our breath. Then, with our strength back, proceed to beat up on BIG OIL again…

The rising cost of fuel is alarming. Because of all these increases prices are soaring, crime is increasing and the welfare lines are growing. Not every one can afford to buy a hybrid vehicle or trade to a more economical vehicle, meaning some are just stuck. The wages aren’t going up, and prices on things such as groceries aren’t going down. Crime has risen with the high prices; since most gas stations are now prepay people are stealing food and other necessities. (People that normally wouldn’t steal that is)
It’s a sad day when a half a days wages or a full days wages go to pay for gasoline to get you to that job.
I’ve read the comments in here telling to write to your governmental officials. Aren’t those very same officials part of the problem? Don’t all of these politicians have their fingers in the oil cookie jar in some way? If this weren’t the case how did these gas prices get so far out of hand? Our congress is made up of rich men and women who drive vehicles that we as US citizens pay for. They don’t care about the price of the gas because it’s money in their pocket, and after all they aren’t paying for a drop of it. And if they aren’t driving they are being driven once again we as US citizens are paying for their usage out of our tax dollars. And this hasn’t just affected the people that own their own vehicles, it has affected public transportation to include the airlines, and many of these public officials use the airlines several times a week once again at our expense. Maybe if these same public officials would get out from behind their desks and have to work a job in a gas station that might pay them about $6 - $8 an hour and have to pay $3.50+ for a gallon of gas they might just rethink all of this.
And we have done our part, we got rid of the big pickup and bought a small one that is more economical, and we stay home rather than go.

there is a difference between making profits and greed. Exon and the oil complainies are greedy. they do not care about anyone but themselves. no i dont drive an suv, i get 30 mpg. i cant afford to buy a newer car cause all my money has gone to gas. i will not spend money until something is done about this pathetic example of greed. I will just keep saving until this problem is fixed.

One more time:

OIL COMPANIES DO NOT SET PUMP PRICES!!

Seriously, if you can’t afford gasoline for a car, find another mode of transportation. Talk to your community and then confront your city counsel about why there is not enough public transportaion (buses, trams, etc). That’s how you can make a difference. Or better yet, complain to your congressman that you want to open up the Colorado resevior and start drilling there. The US could be totally energy independant. While you’re at it, complain to your congressman that you want the Federal Government to keep their hands out of the the industry’s cookie jar. Local taxes are understandable, but the Federal Government just wants a piece of the #2 ranked revenues. Don’t forget, Congress DID just set ANOTHER tax on them, as well.

By the way, because oil is an international industry, boycotting in the US does nothing, as recently industrialized contries are needing more and more oil every year. The supply of oil is remaining static (because the Federal Government is not willing to drill in the US), but demand is going WAY up.

The oil industry has taken full pages adds to lie to the public claiming average profits of 7 to 8%. It is clear that $40B is more than 10% of $372B. They use the perfomance of smaller oil “type” companies to lower the average. I like to see the average profits of Chevron and Exxon, I bet is near 10%, much higher than most industries. They are bleading the country. Causing not just transportation to go up in cost but food and other basics.

I am sure I am not alone when I say that no thanks to the rising cost of fuel and the strain it has put on our economy that those wonderful so-called “rebate checks” that are supose to “boost” our economy will go directly back into the same “pockets” that has caused us to be where we are today. Is this how the Government thinks it is solving the problem? The excuse that the oil industry has given for the high price of fuel is that it’s very expensive to produce the oil & to maintain their equipment. I would like to know how much “profit” is enough to bring “down” the hard working people that make up this country? And why has the “Government” not done ANYTHING? When independent gas stations charge more than the going rate they are penalized so why are they the only ones? Enough is Enough. And for those that say it’s our fault because of demand..wake-up..once they get a taste of profit there is no turning back ’cause you keep coming back for more and more, what other choice do we have?

One more thing as I hope this phrase will not be taken out of context:

And instead of sitting here typing the comments why are we ALL not absolutely bombarding our elected officials?

By voicing the word ‘bombarding’ - I simply meant bombarding with telephone calls, letters etc …..

Lets take a reality check here in America! WAKE UP PEOPLE! Our government is not ran by the elected officals, for the majority it is the big American companies that dictate what happens with our economy here - As long as they make the billions everything is fine.

For instance, no big oil companies in Mexico and their Diesel price right now is approximately $2.03 per gallon compared with the US $4.30!

Not only is this “Oil issue” mainly effecting the US - it is like a ballon that just keeps being filled with a little more air as time goes by - Look around you everywhere - America’s economy is suffering due to comodities? I think not - Americas economy is suffering due to greed and profit ..

WAKE UP PEOPLE THE BIG COMPANIES OF THE US DON’T CARE AND our elected officails are driven around in the BIG BLACK SUVs that the TAX PAYERS of America are purchasing their gasoline/diesel.

Not only is the Oil ‘excuses’ ruining our country, this also creates a weekness in our ability to stand strong against the very things we were “supposed” to be in Iraq taking care of and making Iraq better.

And istead of sitting here typing the comments why are we ALL not absolutely bombarding our elected officials?

HELLO? Are you paying any attention? America is headed for disasterous economy times and worse if these excuses continue to dictate our economy!

One more thing - Hurricane Katrina??? Remember gasonline in America went from $1.87 (approximately) to $3.50 or more a gallon?

Hello? I don’t think this was the first Hurricane to hit the gulf? They do this because they can and the AMERICAN PEOPLE ALLOW IT!

Enough said.

Exxon makes an 10% profit. $ 40 billion dollars. Our governments take is approx. $ 102 billion dollars plus another 12% cut at the pump. Then we have democrat canidates who teach us to hate big oil. The fact is it is governmental policies against drilling and refineries that are driving prices up. Altenitive fuels are fine but not going to replace oil for at least twenty years. As the ignorant population complains about big oil, it is the government officials who laugh all the way to the bank.

My 40 billion in net profits. I wonder why ExxonMobil isn’t listed as one of the top companies to work for. One reason is they don’t give back to the shareholder (high dividends payouts, stock seems to just hang around at a certain price) and they have one of the highest out of pocket expenses for the employees for health benefits. I see Valero pays 100% of there employees health benefits and their profits are good, but not like ExxonMobil. The money only goes to the upper management. Look at the price of Home Heating oil. A by product of distillation of oil and it’s higher that super unleaded gas which is refined much more. Criminal if you ask me.

Our elected officials will not investigate the petroleum industry because they are the petroleum industry. From G Bush right on down

How can a company make that much of profit at the expense of millions/billions of people who pay exorbitant fuel prices? It is sin to make that much of profit! Think of people who die in cold. What did this company do to reap that much of profit, except allowing the price to skyrocket?

The government should be investigating Exxon’s profits and the gas price situation. There is something seriously wrong here. Remember the old freeze on gas prices? Perhaps we need that type of drastic action again.

it is pointless to get angry with Exxon-Mobil. After reading some of these comments, the reality strikes me that some people should instead be very angry and furious with their parents and their school system. They have obviously failed miserably to teach basic grammar and spelling!

Exxon Mobil had $40.6 billion in profits in 2007, Yeah but the prices are up because of the worlds problems and the refinery’s can’t process enough, what a bunch of crap! Criminals!

The idea that it is the oil companies that are at fault is nuts. If they just quite making profits (the reason we all work) they quite making gas. Then what? No gas no vehicles, no life?

Why can’t my employer raise my wages to compensate for the rise in gas? Because everyone doing business with him would stop doing business with him we live in a society of complainers and whiners they would rather bitch about it than do something about it PARK DON’T DRIVE enough people do this they would rethink the price.

wye can’t XOM pay a 4 or 5 percent div’d ?

How is this fair?

If everyone would just park not go to work or anywhere for 3 days they would be giving it away at the pumps!!!!!

The price of gas will not come down until Washington closes the loopholes that are allowing the speculators and hedge funds to drive up the price.

We the people are at fault because we enjoy the beaches so much that we dont have time to think about the gas until it really rises because i think we should go ahead and drill a hole through the Gulf of Mexico and have oil coming in from there but at the same time preventing the oil spill and the water

Gas is affecting everything, wake up world! Some people can’t afford to drive to work,keep their home,take a vacation, truckers can’t make it, airlines are shutting down, food is going up, WE ARE HEADED FOR A DEPRESSION! SOMETHING NEEDS TO BE DONE!!! COME ON BIG GOVERNMENT, GET INVOLVED..You are involved in everything else, it’s time to correct the problem!

People,

Yes use less oil products and the price will moderate for a little bit. world demand will continueto offset any reductions we make in the long term. Better to buy a vehicle that meets 90% of your needs and slow down, stop idling through drive thoughs, or while waiting for your kids or spouse for an hour while you chat on the cell. A 30mpg rated car gets Zero mpg when it idles and goes nowhere! We will reap what we sow. So it is up to each of us to do our small part.

We must blame ourselves!! the people are always at fault for corruption in our government and corporate titans allowed to wield power and money to achieve any socio-political result they desire! We the People are to blame for our own pain! We must all go to jail and hope and pray to be enslaved by the rich and powerful in this country made only to serve those that can buy their own personal Para-military forces to crush us peons to make us do as they please!
Thou Shalt not seek Justice or Fairness! our nation was built on the greed and power and Shameless Despotism that our constitution is infused with!
Long live the Billionaires! Down with the poor! There is NO limit to which we should blame ourselves for the need to press the screws harder upon ourselves by those in power!! We shall declare Never to overcome! Never to allow ourselves a glimmer of some phantasmal American dream!
Hang your heads in shame people! for we do not deserve human rights!

What amazes me the most is what no one ever discusses. Yes they made 40.6 Billion on an income of 404.5 Billion, but does anyone know that they paid over 102.5 Billion in “Total” Taxes? After expenses (AGI) they made 70.4 Billion and were required to pay 29.8 Billion for income taxes. That puts them in the 42% tax bracket. I find it ironic how you never hear the politicians discuss those figures. The bottom line is the people that run ExxonMobil are smart business people that understand they are in a cyclical business. By the way I worked for them for 15 years before the facility I worked out was sold, and I went with the furniture.

My dad fought in World War II and my mother raised six children and worked full time. Now she cannot afford to drive to see her friends and relatives.
Thank you Gorge Bush for destroying the lives of so many hard working Americans.

WE MUST AS AMERICANS MUST TRY TO CUT BACK ON OIL CUNSUMPTION. WE ARE DRIVING UP THE PRICE IT’S CALLED SUPPLY AND DEMAND THE FIRST AND SOMETIMES THE ONE RULE IN ECONOMICS… WE NEED IT SOO BAD AND THEY KNOW THIS.. THEY UP THE PRICE, WE PAY THE PRICE..THE ONLY WAY TO BREAK THE CYCLE IS TO BOYCOTT!!!!! EVERYBODY FILL UP ON SUNDAY AND USE PUBLIC TRANSPORTATION OR EVEN WALK IF YOU LIVE CLOSE BY YOUR SHOPPING..,JOB OR ETC…

They are stealing from us. Yes, we are dependant on oil. Does this mean we should be taken advantage of? We are dependant on a lot of things namely food and water. Do those compaines jack up the prices of their goods? Yes we know that the oil co do not set the prices, but they work hand in hand with the people that do. In turn padding Opeq’s (who sets the gas price per gallon) pockets as well as their own. So they claim to have only made 11%. Last time I checked even if that number was true, 11% of 40 million is a lot of scratch in my book. Oh and I drive a Hybrid which is not much cheaper due to the higher price of the car for the size and the higher insurance for the more expensive parts that could get damaged in a collision.

Well I work for a group of people who go to places as bad or worse than oil workers, and take hostilities they do not. I assure you our COMPANY does not give us all those matching saving plans. You guys keep living it up with those TOO exspensive crude processing costs; while the rest of America struggles processing through the grocery lines to feed tomorrow’s oil baron cash pipeline.

Don’t like the price of gas? Buy a scooter or use the bus. Or maybe a hybrid car if you can afford it. And at the very least you can install an E-85 conversion kit in your vehicle for a couple hundred http://www.driveflexfuel.com/Auto/index.html

Maybe a Smart Chemist will come up with a new fuel, And you can join the rest of us poor people.

TP… Don’t worry about explaining this to uneducated American Public, they simply won’t get it. So if I were you I would let them drive their gas guzzlers and be ignorant about the whole oil industry. but what gets me why do people so ignorant get to pay so little for their gas compared to $5-$10 a gallon in the rest of the world, they don’t deserve it. i say rise the gas prices more and more and more not to Exxon coz I know better but to supply controlled by OPEC

People use too much gas. The high price keeps supply in check with demand.

There’s no way we could possibly supply the amount of gasoline this country would slurp up if it were still $1.00 a gallon. Everyone would still be wanting to drive their 6 ton SUV from their McMansion to their job 90 miles away.

I guess your company is #2, the way your company is raising gas prices. All your company is concerned with is making a profit at the expense of the American people.

ExxonMobil is a great example of the divide between the upper and lower classes in our society. When oil reaches $120 a barrel, the investing class will cheer while the rest of us nervously eye our budget wondering how we’re going to break even. The working class are the only ones feeling this recession, investors are living large all the while spewing their vile garbage about how ‘green’ they are.

Guys, actually I work for ExxonMobil but independently from it and what I can tell you from Europe is that it’s very funny how you in the States drive SUVs burning 15-30 litres in 100kms and live in 3-4-5 times bigger houses than we do in Europe while continuously complaining on high energy prices. You consume like hell - this is the price you have to pay for it. This is not Etiopia or Moldova driving the price increases…

I work for ExxonMobil, and contrary to the belief of most of the public who huff and puff on why they are getting ripped off while still refusing to give up their 12mpg SUV’s and large trucks, the company works hard and long in some of the most inhospitable places on earth to bring fuel to the world. Places where most of the complainees would not care to visit or live. We are paid well, but not excessively, and the company rewards long service time with good benefits, a pension plan and matching Savings Plan. The oil companies do NOT set the price of oil, so get over it. Be thankful the big oil companies are doing their job, and doing it well.

The recession we ARE in is being caused by nothing more than this. All extra spendable income by middle american’s is going to the big 5 Oil heads…Shameful that American oil company execs are knowingly, willfully and without regret are breaking this country. And as shameful, no one in power, the president and down, is lifting a finger or saying a word about fixing this wreck. Remember this: HHO, research it, learn it, embrace it and most importantly, use it. It’s all over the net.

At least Wal-mart didn’t run up prices to make a profit like Exxon. Exxon can afford to cut the price they sell gas for, look at the $40 million in profits they raked in. That is out of control, no wonder the economy is suffering. You really have to think about going out of town to visit family or relocating your family so all of your income isn’t spent on gas! It’s BS!

Looks like these robber barrons did well last year. With a low life president allowing this to happen look for a banner ‘09 cause they are ripping off America.

Sure, $40 bil in profits is a huge number, but that’s about 11% of their total revenue, putting them 25th if you use that method for ranking. (Which seems more fair to me than either revenue or profit alone). Comparitively, Microsoft’s profit per revenue is 28%, and Coca-Cola’s is 21%. And is it really ExxonMobil’s fault that we are dependent on oil?

Wonder why the economy is slumping so badly? Because the public is spending all their money on buying gas, and funding the oil companies HUGE profits, and they cannot spend their hard earned dollars anywhere else.

Exxon and the other oil companies continue to amaze me they are continuously allowed to “steal” money from the general public with no repercussions. It is similar to the huge monopolies of the Industrial age. The Senate will continue to “pretend” to grille them, just remember who the investors are…the senators.

Have you worked for the company, or bought its products?

Should they be in the top 5?

What do you think of Exxon Mobil, the No. 2 company on the Fortune 500 list this year?