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Old 08-01-2010, 04:21 AM
 
Location: Tower of Heaven
4,023 posts, read 7,375,200 times
Reputation: 1450

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NEW YORK — Exxon Mobil Corp. said Thursday its second quarter income nearly doubled to $7.56 billion as oil prices increased from last year.
It's Exxon's highest quarterly profit since the $7.82 billion earned in the last three months of 2008.
Exxon set a record for quarterly earnings in the U.S. of $14.83 billion in the third quarter of 2008 after oil prices spiked to near $150 per barrel that summer. Oil prices dropped dramatically as the global recession took hold, and Exxon's profits followed, hitting a six-year low in the second quarter of 2009.
The world's largest publicly traded oil company said earnings rose to $1.60 per share in this year's second quarter, from $3.95 billion, or 81 cents per share, in the year-ago period.
Revenue increased 24 percent to $92.5 billion.


Exxon Mobil's 2Q earnings more than double | Business news | Chron.com - Houston Chronicle (http://www.chron.com/disp/story.mpl/ap/business/7130164.html - broken link)
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Old 08-01-2010, 05:31 AM
 
Location: California
10,090 posts, read 42,427,070 times
Reputation: 22175
And their stock still went down! Don't understand it! All the analysts say the stock should be well over $80.
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Old 08-01-2010, 05:35 AM
 
20,948 posts, read 19,057,820 times
Reputation: 10270
Good for them! I love capitalism! Keep up the good work.
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Old 08-01-2010, 12:40 PM
 
Location: #
9,598 posts, read 16,570,037 times
Reputation: 6324
Quote:
Originally Posted by ShelbyGirl1 View Post
And their stock still went down! Don't understand it! All the analysts say the stock should be well over $80.
Nothing trickles down until those on top get theirs first. Who knows if it will ever really trickle down.
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Old 08-01-2010, 02:21 PM
 
Location: Bellevue, WA
404 posts, read 1,031,366 times
Reputation: 146
Yeah, we're paying more for gas. That's just...peachy news.
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Old 08-01-2010, 02:35 PM
 
1,290 posts, read 5,438,742 times
Reputation: 724
Refining and marketing make up a very small portion of the profits, so gas prices don't blow out oil company profits as much as oil prices. That being said, 2Q was a good quarter for R&M because they did have a two or three week blow out when oil price dropped fairly quickly into the $60s before wholesale gas prices caught up. That being said, Exxon Mobile's profits are almost entirely driven by stabilized oil prices in the $70-$80 range. Exxon has little if any control over oil prices. If you combind the supermajor oil companies, they still only control something like 6 or 7% of the world's reserves, with well over 90% being controlled by various state owned companies. THey have the control over supply that can affect demand, the super majors are just along for the ride.
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Old 08-01-2010, 02:58 PM
 
Location: Houston, TX
8,895 posts, read 20,005,041 times
Reputation: 6372
Quote:
Originally Posted by just4ivaylo View Post
Yeah, we're paying more for gas. That's just...peachy news.
Thank your U.S. Govt. for that and not the oil company -- look at the percentage of cost of your fuel that goes toward govt. taxes and they continue to silently increase those.
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Old 08-01-2010, 06:52 PM
 
Location: Mo City, TX
1,728 posts, read 3,443,888 times
Reputation: 2070
Has anyone seen the show on History channel of the XXX days after oil? It's eye opening. We will truly become an agrarian society once more. Fancy cars and planes will be WORTHLESS!
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Old 08-01-2010, 07:00 PM
 
Location: TX
867 posts, read 2,978,127 times
Reputation: 547
Quote:
Originally Posted by lipbalm View Post
Has anyone seen the show on History channel of the XXX days after oil? It's eye opening. We will truly become an agrarian society once more. Fancy cars and planes will be WORTHLESS!
No, we won't become an agrarian society. We'll just smoothly transition to something else. It has happened before. (Whale oil -> Petroleum -> ?)

In a post-oil society, I do agree that air travel is very much in limbo as we currently don't have a very viable alternative to power airplanes. We have algae biofuel mixtures, but that's about it. The rest of the stuff we very much have alternatives, there is just very little or no financial incentive yet to build the infrastructure supporting them.

This will gradually change as gas prices rise and the economic principle of the "substitution effect" takes hold.

$20 Dollars a Gallon is a great book that I'm reading relating to this. The possible demise of air travel (at least for the middle class) is a topic heavily discussed in this book. Airlines have long been shaky investments to begin with, anyway. Though there are some points within the text that I personally disagree with.

http://www.amazon.com/20-Per-Gallon-.../dp/0446549541

http://www.npr.org/templates/story/s...ryId=106695133

Last edited by Alphalogica; 08-01-2010 at 07:13 PM..
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Old 08-01-2010, 08:35 PM
 
Location: C.R. K-T
6,202 posts, read 11,456,246 times
Reputation: 3809
Too bad that the salaries of the XOM executives are in Dallas bank branches and their dollars are being spent in Dallas stores and restaurants. No wonder we don't have a Barney's here while Dallas has 2 Saks stores and a bunch of Nordstroms all over the Metroplex.

So much for being the oft-touted "Energy Capital of the World".
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