Posted on 07/27/2006 11:06:05 PM PDT by Anita1
Surging oil prices helped drive quarterly profits for US energy giant ExxonMobil to 10.36 billion dollars, the latest in a string of mammoth profit reports that have drawn fire for the industry. The second-quarter profit was up 36 percent from a year ago and approached the company's all-time record profit of 10.71 billion dollars that was believed to be one of the biggest for any company... The soaring profits of ExxonMobil and other oil groups have generated fierce criticism about the industry profiting from consumer misery, prompting some US lawmakers to call for a "windfall" profits tax. The oil industry has countered by saying its profit margins are lower than many other sectors, and that much of the earnings are reinvested in new production.
(Excerpt) Read more at breitbart.com ...
ConocoPhillips, the number three US oil and gas firm, on Wednesday said its second-quarter net profit jumped 65 percent from a year ago to 5.2 billion dollars, buoyed by record petroleum prices.
Chevron, the second-largest US oil group, was to report its profit on Friday.
Globally, Anglo-Dutch energy group Royal Dutch Shell reported a net profit of 6.314 billion dollars. Britain's BP said earlier this week profits rose 22 percent to 6.118 billion dollars.
"BP used to stand for British Petroleum, now it just stands for Bloated Profits," US Representative Ed Markey said after the BP release, while arguing that the US administration is doing little to help consumers cope with soaring energy costs.
On Thursday, Markey added, "While American families get tipped upside down and have their savings shaken out of their pockets at the gas pump, the Bush-Cheney team devises even more ways to line Big Oil's pockets."
Meanwhile, Kimberly DuBord, analyst at the research firm Briefing.com, said ExxonMobil and other energy firms remain a good investment amid the strong prices for petroleum.
"The three largest oil and gas producers in the world generated profits of nearly 23 billion dollars in the second quarter," she said.
"Exxon reported another blowout quarter, earning a whopping 10.3 billion in just one quarter. Revenues rose 12 percent to 99 billion dollars -- marking the first time in history that a US company exceeded one billion dollars per day ... The profit growth of the supermajors is tremendous and the interim results continue to exceed expectations."
Is this an outrage - or what?!!
How dare they.. in business for profit? that's a crime! gimme gas without profit for you! yeah.. go drill and refine it and don't even think about making a living out of it...
.seemingly so since the amount is so huge....but if you look at the profit margins.......
Pharmacueticals, beverages and I forgot the other make tons more money on the margin then oil....so just because the amount is BIG....there are other industries that gouge us even worse...and NO, I'm not an oil lobbyist nor own any of their stock......LOL
I don't mind business! I have nothing against it - but - these companies are always saying that they are using it for research - let me see where they are using it to invest?
Please see below and you decide!
Lee R. Raymond - EXXONMOBIL Corp. 2005 Compensation
Estimated Annual Retirement Benefit: $8,187,200*
Exxon Mobil CEO Lee R. Raymond’s retirement in January 2006 coincided with record profits for Exxon Mobil. On retirement, Raymond was entitled to receive an estimated annual retirement benefit of over $8 million. He choose instead to take a lump sum payment of $98 million. Raymond will also get an administrative assistant, company-provided life insurance, a car, driver, and airplane use for two years.
Like many CEOs, Raymond’s pension is calculated based on his highest average salary and bonus over a three-year period. Between 2002 and 2005, Raymond’s annual bonus more than doubled from $2.1 million to $4.9 million. According to Exxon Mobil, long-term returns on capital, growth in earnings per share and operating results are key considerations in determining the CEO’s salary and bonus...
Exxon Mobil executives who receive bonuses also get an additional pension benefit from a “non-qualified additional payments plan.” As a result, Raymond’s pension will be calculated on $11.8 million in compensation, including his bonus and long-term incentive plan payouts. In contrast, his salary only averaged $3.5 million between 2002 and 2005.
Meanwhile, the pensions of the rest of Exxon Mobil's employees remain on tenuous footing.
According to BusinessWeek, Exxon Mobil's employee pension plans have one of the biggest funding deficits of all U.S. corporations.
According to the company’s annual report for 2005, Exxon Mobil’s pension for its U.S. workers is underfunded by $1.2 billion.
A little hard to figure...It was on the news that Exxon spent about 7 billion buying stock back from investors...But this article says they're selling stock...
Hmmmm . . . Maybe they should just sell out to the Rooskies or ChiComs. Those guys don't believe in profits. Or the Japs, they don't either. The buyers would be endless.
Then return the bucks to shareholders who could invest in some good stocks that pay more than a pidly 7%.
Anyone in the U.S. who hates profits can use their bucks to buy ChiCom/Exxon.
yitbos
Like El Rushbo said today, instead of criticizing profits, what is Congress doing to enable "Big Oil" to invest their profits into new oil finds and R&D to lower costs and perhaps replace fossil fuels altogether someday?
I'm sure Maria Cantwell won't stand for this.
Read post #4 -
What are these companies re-investing in with all their profit? Their CEO's maybe? Next time you fill up your car - you'd better not complain - instead you'd better cheerfully be paying this CEO's retirement pension of a lump sum of $98 million!
I'm not against profits - companies are in business to make them and they create jobs - but - there is - like in tort reform - some things that need to be reviewed as to their usefulness.
Another year like this one and maybe, just maybe, they'll be able to afford the huge leasing amounts and intangibles they're going to have to put out upfront for the next level of production they're going to have to explore before they can bring more domestic petroleum online and into US refineries.
Or maybe not. If these Top 3 can't, no one else in the world can.
Next time I fill up the Sable, or the F-250, or the Altima, or the boat, I promise not to complain. (or the lawn mower tractor)
Here's another for you:
Big Thanks to Big Pharma
July 27, 2006
IRVINE, CA--In response to today's announcement of a major advancement in Bird Flu vaccines, Dr. Yaron Brook, executive director of the Ayn Rand Institute said, "Individuals worldwide can feel safer--all thanks to GlaxoSmithKline, one of the hated pharmaceutical companies. Critics condemn companies like GSK for their profit-seeking--ignoring the fact that Big Pharma only makes profits by saving and improving our lives. We at the Ayn Rand Institute would like to give our heartfelt thanks to GlaxoSmithKline and the other heroes of the pharmaceutical industry." -----------------------------------------------
Well, the European markets are open, gotta check my foreign portfolio.
yitbos
:)
Oh totally. I'm so outraged I'm gonna go take a shower.
Er.... that is, if the risk pays off.
I knew that statement would bring out a rise out of some people - read the reason I said that!! :)
Good night!
"British Gas announced the price rises at the same time as it registered record half-year losses of £143 million."
BG Group PLC - NYSE: BRG 65.96 ^0.48 0.73%
We're talking "natural gas" here.
(Go Israel, Go! Slap 'Em Down Hezbullies.)
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.