Congress questions "Big Oil"

[avatar4321]

http://news.yahoo.com/s/ap/20080401/ap_on_go_co/congress_oil

But they completely ignore their own influence on the high prices. It so pisses me off. Somehow "big oil" is the problem rather than an overstretched government that taxes gasoline, prevents refineries from being built and prevents not only oil exploration, but the use of other technology such as nuclear.

So called big oil makes less than $.09 cents off every gallon. Meanwhile, the state and federal government make nearly a dollar off it. hmmm. who exactly is screwing the people over?

[retiredman]

http://news.yahoo.com/s/ap/20080401/ap_on_go_co/congress_oil

But they completely ignore their own influence on the high prices. It so pisses me off. Somehow "big oil" is the problem rather than an overstretched government that taxes gasoline, prevents refineries from being built and prevents not only oil exploration, but the use of other technology such as nuclear.

So called big oil makes less than $.09 cents off every gallon. Meanwhile, the state and federal government make nearly a dollar off it. hmmm. who exactly is screwing the people over?


where does the nine cents go? where does the dollar go?

[Dilloduck]

where does the nine cents go? where does the dollar go?

some goes to shareholders--you outta buy some if you don't already own some

[JohnDoe]

http://news.yahoo.com/s/ap/20080401/ap_on_go_co/congress_oil

But they completely ignore their own influence on the high prices. It so pisses me off. Somehow "big oil" is the problem rather than an overstretched government that taxes gasoline, prevents refineries from being built and prevents not only oil exploration, but the use of other technology such as nuclear.

So called big oil makes less than $.09 cents off every gallon. Meanwhile, the state and federal government make nearly a dollar off it. hmmm. who exactly is screwing the people over?

9 cents? Please supply a link.

they make 9-11 cents off ONE dollar of sales....go to exxon's financials to see this for yourself.

They make about 22 cents off every dollar invested. Their return on INVESTMENT.

So, you invest a dollar, you make $1.22 off that investment....

22% interest....roi.

jd

[5stringJeff]

That's a great ROI! If I had any spare cash laying around, I'd invest in ExxonMobil.

[mundame]

So called big oil makes less than $.09 cents off every gallon. Meanwhile, the state and federal government make nearly a dollar off it. hmmm. who exactly is screwing the people over?


Good point. That's what the striking truckers are saying, too.

[JohnDoe]

That's a great ROI! If I had any spare cash laying around, I'd invest in ExxonMobil.

YES! It is an EXCELLENT ROI!!!!

[red states rule]

9 cents? Please supply a link.

they make 9-11 cents off ONE dollar of sales....go to exxon's financials to see this for yourself.

They make about 22 cents off every dollar invested. Their return on INVESTMENT.

So, you invest a dollar, you make $1.22 off that investment....

22% interest....roi.

jd

Here you go JD

http://www.investmentu.com/IUEL/2007/20070323.html

[JohnDoe]

Good point. That's what the striking truckers are saying, too.
too bad it's not true about the 9 cents.... he still hasn't provided a link to support the figure...(maybe the gas station owner himself makes the 9 cents on the gallon, but that is not what is being implied...which is the oil industry)

you can easily look up the big gun oil companies and their performance on the internet....their financial statements are reported in what they earn on the ''dollar'' not the ''gallon'' so i don't know where avatar or RSR are getting their figures from....? thus me questioning the figure by them that keeps being thrown out?

on average the oil industry earns 22 cents on every dollar invested-their ROI, or nearly 10 cents on every dollar at retail sales. granted this is their overall return....so all aspects of their businesses are combined, the refinery profit and the oil profit and the gas station profit if they own them....

JD

[red states rule]

too bad it's not true about the 9 cents.... he still hasn't provided a link to support the figure...(maybe the gas station owner himself makes the 9 cents on the gallon, but that is not what is being implied...which is the oil industry)

you can easily look up the big gun oil companies and their performance on the internet....their financial statements are reported in what they earn on the ''dollar'' not the ''gallon'' so i don't know where avatar or RSR are getting their figures from....? thus me questioning the figure by them that keeps being thrown out?

on average the oil industry earns 22 cents on every dollar invested-their ROI, or nearly 10 cents on every dollar at retail sales. granted this is their overall return....so all aspects of their businesses are combined, the refinery profit and the oil profit and the gas station profit if they own them....

JD

JD, go back 2 posts

I provided a link that shows oil companies make a dime profit off a gllaon of tax

While governemnt makes 4 to 7 times that amount

Who is gouging who here?

[Sitarro]

Here you go JD

http://www.investmentu.com/IUEL/2007/20070323.html

Crack, RSR hits it out of the park with this one, great job! Nice to see that you are hopefully feeling better, you sure seem to be your old self.:clap::salute:

[red states rule]

Crack, RSR hits it out of the park with this one, great job! Nice to see that you are hopefully feeling better, you sure seem to be your old self.:clap::salute:

Doing better. I start weekly chemo treatments this Friday - so I will be miserable for the next 6 weeks

Nut I will be done with the chemo treatments :clap::clap: :clap::clap::clap:

[5stringJeff]

too bad it's not true about the 9 cents.... he still hasn't provided a link to support the figure...(maybe the gas station owner himself makes the 9 cents on the gallon, but that is not what is being implied...which is the oil industry)

you can easily look up the big gun oil companies and their performance on the internet....their financial statements are reported in what they earn on the ''dollar'' not the ''gallon'' so i don't know where avatar or RSR are getting their figures from....? thus me questioning the figure by them that keeps being thrown out?

on average the oil industry earns 22 cents on every dollar invested-their ROI, or nearly 10 cents on every dollar at retail sales. granted this is their overall return....so all aspects of their businesses are combined, the refinery profit and the oil profit and the gas station profit if they own them....

JD

Earnings before Taxes (EBT) is a measure of a company's earning potential before taxes are taken into consideration. It is a very good measure of profitability, because it eliminates tax law differences between firms. EBT for the past 5 years averaged 15.6% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=XOM) for ExxonMobil. Compare that with 14.7% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=GE) for GE, 17.0% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=T) for AT&T, 5.5% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=WMT) for Walmart, and 25.6% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=JNJ) for Johnson and Johnson, and you'll see that ExxonMobil's earnings are really not all that out of line for large American businesses.

[Sitarro]

Earnings before Taxes (EBT) is a measure of a company's earning potential before taxes are taken into consideration. It is a very good measure of profitability, because it eliminates tax law differences between firms. EBT for the past 5 years averaged 15.6% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=XOM) for ExxonMobil. Compare that with 14.7% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=GE) for GE, 17.0% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=T) for AT&T, 5.5% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=WMT) for Walmart, and 25.6% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=JNJ) for Johnson and Johnson, and you'll see that ExxonMobil's earnings are really not all that out of line for large American businesses.

Ooops, Jeff steps up to the plate and hits it so hard that he breaks the windshield of a Mercedes in the parking lot behind center field...... the entire ballpark is up doing the wave........ great shot!:clap::clap::clap:
Nice to see a dose of reality thrown up against the hatred of American business. :salute:

[Yurt]

i still fail to see the reasoning behind punishing/taxing any oil company for making a good profit....

[red states rule]

i still fail to see the reasoning behind punishing/taxing any oil company for making a good profit....

It is part of being a liberal Yurt. You have to much common sense, reasoning, and logic to grasp why liberals think that is the way to go

[Dilloduck]

i still fail to see the reasoning behind punishing/taxing any oil company for making a good profit....

Liberals see it as a way to get everyone pissed at Bush. Who else do they attack for making record profits ? No one. Some other of our great elected officials jump on the bandwagon cuz they see it as a real vote getter. The best way to conserve is not to buy ANYTHING. ZIP. I don't see anyone with enough balls to espouse that.

[red states rule]

Liberals see it as a way to get everyone pissed at Bush. Who else do they attack for making record profits ? No one. Some other of our great elected officials jump on the bandwagon cuz they see it as a real vote getter. The best way to conserve is not to buy ANYTHING. ZIP. I don't see anyone with enough balls to espouse that.

Dems have attacked the profits made by Rx companies. They assualt banks and mortage companies for making to much money

The only industry Dems have not attacked is the porn industry

Out of respect for Bill Clinton I guess

[Dilloduck]

Dems have attacked the profits made by Rx companies. They assualt banks and mortage companies for making to much money

The only industry Dems have not attacked is the porn industry

Out of respect for Bill Clinton I guess

Good point--I stand corrected.:bow3:

[red states rule]

Good point--I stand corrected.:bow3:

I have been corrected many times myself my friend

[manu1959]

just out of curiosty.....what is an appropriate % profit.....

[Dilloduck]

just out of curiosty.....what is an appropriate % profit.....

It depends on who is making the profit.

[Yurt]

just out of curiosty.....what is an appropriate % profit.....

for me... if i make 1 billion off one dollar, i'm cool

[Yurt]

Dems have attacked the profits made by Rx companies. They assualt banks and mortage companies for making to much money

The only industry Dems have not attacked is the porn industry

Out of respect for Bill Clinton I guess

:lol:

[red states rule]

Lst year Exxon had a 41% tax rate

They paid $30 billion in taxes last year

But the left says it is not enough

[JohnDoe]

Earnings before Taxes (EBT) is a measure of a company's earning potential before taxes are taken into consideration. It is a very good measure of profitability, because it eliminates tax law differences between firms. EBT for the past 5 years averaged 15.6% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=XOM) for ExxonMobil. Compare that with 14.7% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=GE) for GE, 17.0% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=T) for AT&T, 5.5% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=WMT) for Walmart, and 25.6% (http://quicktake.morningstar.com/StockNet/Profitability10.aspx?Country=USA&Symbol=JNJ) for Johnson and Jhnson, and you'll see that ExxonMobil's earnings are really not all that out of line for large American businesses.
i wouldn't trust your source or their slant jeff....

Try this for FACTS....

Exxon Mobile was the most profitable corporation of its size in America in 2006.

In Revenues/Sales only one company surpassed it, Walmart, by very little.

In Profits.... no one could come close.

Their profit margin was 11.4% of their revenue/sales in 2006 which is the latest full year sales recorded on the Fortune 500 Statistics.

their profits were 34.7% of the stock holder's equity for 2006
their Total return to investors was 39.2% for 2006

NOTE! THE previous 10 year annual average was 14.7%, so they are DOING SOMETHING to make this near tripple!

pretty INCREDIBLE figures, for any business!

http://money.cnn.com/magazines/fortune/fortune500/2007/snapshots/496.html


compare that to the only corp close to them in size, walmart.

http://money.cnn.com/magazines/fortune/fortune500/2007/snapshots/496.html
profits were 3.2 % of revenues

and 18.2% of stockholder equity


there is NO OTHER corporation close in size to fairly compare them with....the next size corp does about 150 BILLION less than walmart and exxon....GM, which is going under....

it's a good read jeff, informative....keep hitting next, to go through the top 20 fortune 500...

jd

[red states rule]

JD, I have posted several time the link that shows oil companies make only a dime profit off the sale of a gallon of gas

Exxon paid $30 BILLION in taxes last year - 41% tax rate

What do you consider to much of a profit margin?

What do you consider a "fair" tax rate for Exxon?

[Yurt]

i wouldn't trust your source or their slant jeff....

Try this for FACTS....

Exxon Mobile was the most profitable corporation of its size in America in 2006.

In Revenues/Sales only one company surpassed it, Walmart, by very little.

In Profits.... no one could come close.

Their profit margin was 11.4% of their revenue/sales in 2006 which is the latest full year sales recorded on the Fortune 500 Statistics.

their profits were 34.7% of the stock holder's equity for 2006
their Total return to investors was 39.2% for 2006

NOTE! THE previous 10 year annual average was 14.7%, so they are DOING SOMETHING to make this near tripple!

pretty INCREDIBLE figures, for any business!

http://money.cnn.com/magazines/fortune/fortune500/2007/snapshots/496.html


compare that to the only corp close to them in size, walmart.

http://money.cnn.com/magazines/fortune/fortune500/2007/snapshots/496.html
profits were 3.2 of revenues

and 18.2% of stockholder equity


there is NO OTHER corporation close in size to fairly compare them with....the next size corp does about 150 BILLION less than walmart and exxon....GM, which is going under....

it's a good read jeff, informative....keep hitting next, to go through the top 20 fortune 500...

jd

so, and that is why you want to punish them? so it was exxon's fault the cost of oil went so high? what is your point?

[JohnDoe]

Ooops, Jeff steps up to the plate and hits it so hard that he breaks the windshield of a Mercedes in the parking lot behind center field...... the entire ballpark is up doing the wave........ great shot!:clap::clap::clap:
Nice to see a dose of reality thrown up against the hatred of American business. :salute:
NOT! too bad you can't interpret the numbers for yourself!
:D
jd

[JohnDoe]

so, and that is why you want to punish them? so it was exxon's fault the cost of oil went so high? what is your point?

who said anything about punishing?

jd

[Dilloduck]

who said anything about punishing?

jd

Hillary

[red states rule]

Hillary

and Obama, Reid, Pelosi, Durbin, Kennedy, and every other elected Dem

[JohnDoe]

JD, I have posted several time the link that shows oil companies make only a dime profit off the sale of a gallon of gas

Exxon paid $30 BILLION in taxes last year - 41% tax rate

What do you consider to much of a profit margin?

What do you consider a "fair" tax rate for Exxon?


rsr, we are talking oil company profits, something that is public knowledge, that can not be manipulated.

you must view the overall business to get the entire picture of what exxon's and other oil company's profits are in total to understand what they make in profit.

and please give me your link again so I can sharp shoot it! :D :laugh2:

jd

[red states rule]

rsr, we are talking oil company profits, something that is public knowledge, that can not be manipulated.

you must view the overall business to get the entire picture of what exxon's and other oil company's profits are in total to understand what they make in profit.

and please give me your link again so I can sharp shoot it! :D :laugh2:

jd

http://www.investmentu.com/IUEL/2007/20070323.html

You go for it girl!!!

[Dilloduck]

rsr, we are talking oil company profits, something that is public knowledge, that can not be manipulated.

you must view the overall business to get the entire picture of what exxon's and other oil company's profits are in total to understand what they make in profit.

and please give me your link again so I can sharp shoot it! :D :laugh2:

jd

Oh quit being silly---you were a business woman and did your best to maximize profits.

[Yurt]

who said anything about punishing?

jd

so you don't support congress trying to increase taxes on "big oil"

when someone says they posted a link in a thread and that thread isn't that long, scroll back and find it

[JohnDoe]

JD, I have posted several time the link that shows oil companies make only a dime profit off the sale of a gallon of gas

Exxon paid $30 BILLION in taxes last year - 41% tax rate

What do you consider to much of a profit margin?

What do you consider a "fair" tax rate for Exxon?


Rsr?

If Exxon mobile did $347 Billion in sales and they paid $30 billion in taxes then they paid 8.6% in taxes not 41%????

Where did you get those figures from, particularly the percentage in taxes?

When I figure my percent in taxes it is on my total income brought in?

jd

[red states rule]

Rsr?

If Exxon mobile did $347 Billion in sales and they paid $30 billion in taxes then they paid 8.6% in taxes not 41%????

Where did you get those figures from, particularly the percentage in taxes?

When I figure my percent in taxes it is on my total income brought in?

jd

http://seekingalpha.com/article/63131-exxon-s-2007-tax-bill-30-billion

[JohnDoe]

http://seekingalpha.com/article/63131-exxon-s-2007-tax-bill-30-billion


this is deceiving....

When you and I calculate what percentage of our total income are we paying in income taxes we have to calculate this on our agi...adjusted gross income or on our total gross income, the total in revenue we pull in...

WHY can't we take out all of our expenses, our mortgages/rent, our electric and fuel bills, our food bill, our bills to pay the maid and our lawnguy and healthcare expenses and then calculate what OUR TAX RATES are? Shoot, I'd be paying 95% in taxes compared to their 41% that they say they are paying!!!!!

We should be comparing apples to apples....

jd

[Yurt]

this is deceiving....

When you and I calculate what percentage of our total income are we paying in income taxes we have to calculate this on our agi...adjusted gross income or on our total gross income, the total in revenue we pull in...

WHY can't we take out all of our expenses, our mortgages/rent, our electric and fuel bills, our food bill, our bills to pay the maid and our lawnguy and healthcare expenses and then calculate what OUR TAX RATES are? Shoot, I'd be paying 95% in taxes compared to their 41% that they say they are paying!!!!!

We should be comparing apples to apples....

jd

corporate tax, ever heard of it?

[red states rule]

this is deceiving....

When you and I calculate what percentage of our total income are we paying in income taxes we have to calculate this on our agi...adjusted gross income or on our total gross income, the total in revenue we pull in...

WHY can't we take out all of our expenses, our mortgages/rent, our electric and fuel bills, our food bill, our bills to pay the maid and our lawnguy and healthcare expenses and then calculate what OUR TAX RATES are? Shoot, I'd be paying 95% in taxes compared to their 41% that they say they are paying!!!!!

We should be comparing apples to apples....

jd


So? I thought liberals demand people pay their fair share

JD, I will never understand why libs openly show contemot for business. No wonder US corporations are leaving the US. If I was a CEO I would do so as well. Why keep working to build the company with Dems wanting more and more of the profits?

Stop to think about the benefits the coprporations provide. Jobs, payroll tax money, property taxes, and the trickle down effect to other companies that do business with the company

There is no incentive to grow and expand the business. No reason to take risk and invest. And the huge amount of lost revenue to the local, state, and federal government

Dems see taxpayers and corporations as a renewable money source

[5stringJeff]

i wouldn't trust your source or their slant jeff....

Morningstar.com is an investing site. The links I sent you have no slants, they are financial ratios calculated from reports that the companies file with the SEC. It's as slantless as reporting can possibly get.


Try this for FACTS....

Exxon Mobile was the most profitable corporation of its size in America in 2006.

In Revenues/Sales only one company surpassed it, Walmart, by very little.

In Profits.... no one could come close.

Their profit margin was 11.4% of their revenue/sales in 2006 which is the latest full year sales recorded on the Fortune 500 Statistics.

Well, first off, ExxonMobil is one of the largest companies of earth (by market capitalization), so of course their revenues will be sky high. But, again, their EBT is not out of line with other large companies. See here (source: Morningstar.com):
Company, 2007 EBT, 2007 Market Cap
ExxonMobil: 17.4%, $473,584M
GE: 15.4%, $379,655M
Microsoft: 39.3%, $271.392
Brazilian Petroleum Corp.: 26.5%, $237,931M
PetroChina: 28.9%, $234,517M
AT&T: 15.3%, $233,703M
Royal Dutch Shell: 14.2%, $218,046M
Proctor & Gamble: 19.2%, $216,902M
Wal-mart: 5.4%, $215,360M
Berkshire Hathaway: 17.1%, $203,739M

So, you see, ExxonMobil's earnings are in line with other large companies.


their profits were 34.7% of the stock holder's equity for 2006
their Total return to investors was 39.2% for 2006

NOTE! THE previous 10 year annual average was 14.7%, so they are DOING SOMETHING to make this near tripple!

pretty INCREDIBLE figures, for any business!

Indeed. Return on Equity (ROE) is a measure of how well the company does with the equity it has been given. With such a high ROE, the management team of ExxonMobil is doing a great job, and should be rewarded. But again, this is not rare. There are 68 companies with a market cap of over $10B that earned at least a 20% ROE.

[red states rule]

Neal Boortz makes some great obervations of the Dems war against the oil companies



HAMMERING THE OIL COMPANIES

First .. the big oil company tax benefits that our politicians remind us of virtually every day are tax breaks enjoyed by corporations across the board. So when the politicians cite those tax breaks as an excuse to tell the oil companies what to do with their profits they're laying the groundwork for a system in which politicians can dictate, to one or extent or another, how virtually all American businesses spend and invest their profits.

So there we were yesterday ... listening to these politicians, many of whom have never been responsible for delivering a profit in their entire lives, telling the oil companies what they should and should not do (translate into what they can and cannot do) with the money that they earn.

Now I blame those oil company executives too. They were submissive candy asses before that congressional inquisition yesterday. These politicians work for the stockholders and employees of these oil companies ... not the other way around. A little bit of spine in some of these highly-paid executives would have been a wonderful thing to watch yesterday. Instead --- they wimped out.

The political hacks made a big deal about the huge profits these oil companies made over the past few years. All of this posturing was a sham .. and the politicians knew it. They also knew that most of the people would watch them deliver their big oil smack down on TV wouldn't know a profit from a profit margin if their next six-pack and their big screen TVs depended on it.

http://boortz.com/nuze/200804/04022008.html#oil