Exxon Posts Record Profits

Off Topic Politics & World Issues
41

Oil prices are not “simple” supply and demand. Its mostly speculation.

And why in the fuck should oil companies be blamed for their high profits?

Lets take an example. I made paper airplanes. I sell them for 10 cents each at a 30% proit margin. So it costs me 7 cents each. Suddenly people start thinking that paper airplanes are becoming scarce and they pay me 12, 15, 20 cents a paper airplane. Lo and behold… it still only costs me 7 cents to make it. So now I have a bigger margin and bigger profits.

Also, aren’t commodities like oil etc. etc. on a futures market where they are sold months in advance of their actual production/delivery. So isn’t it even more speculative than before?

On the topic of price gouging. Look at Southwest. They truly are gouging… Oh you mean they charge more because they can? My bad… I thought that was illegal.

42

It’s just plain strange that this has come up when I’m selling my stereo equipment to buy some stocks. Not anything huge, but at least a start.
Seriously, for those who say that you can’t afford to buy into stocks, bonds or mutual funds, I’d say you can’t afford not to.

43

[quote]Professor X wrote:
FightinIrish26 wrote:
Haha. I had no idea you drove a Hummer. Time to play the lottery…

LOL.[/quote]

Ironically enough, the bar I went to tonite was having some kind of contest where if you named the highest amount of songs (and bands that played them) in the bar, you won an Ipod. 20 out of 20…thank God for classic rock and Q104.3. Must be my lucky day…but I forgot that damn lottery ticket.

For those who just call this free market capitalism, I think you are wrong. Hedo, I understand what you are saying about personal choices, as I feel that way often also. However, I think you are simply too harsh sometimes as far as others go. Some are never going to dig their way out, and some folks are never going to make the right decisions. No one wants to end up poor and destitute, hell, no one wants to end up in the working class living paycheck to paycheck. Some folks just get bad breaks; some choose their way unwittingly. But at the same time, it is the people at the top of the economic ladder that must ensure that the poor are taken care of, have health insurance, etc. They may not be the brightest out there…but they do not deserve to starve because of it. Neither do their families.

And in response to the folks who call it free market capitalism, I agree. It is free market capitalism at is absolute worst. As I said before, high gas prices do not affect the upper classes. This is simple economics. The people with the most money are not going to care if they have to pay an extra $20 to fill their tanks. It is water under the bridge. However, the squeeze is, as always, on the working class (which is far more numerous than the ruleing class). If anyone can prove this wrong, then go for it. But this is something that simply should not be allowed to happen. There is still no reason why the oil companies get record profits, while the rest of us have to tighten our belts in order to be able to drive.

And Hedo, driving is not a luxury anymore. I dont know where you are in Jersey, but I am in the suburbs. It is literally a vicious cycle: you can’t have a good job if you can’t drive, but you can’t afford to drive if you don’t have a good job. You know how insurance is around here. Things are tough…I daresay even tougher than when you were younger, simply because things are so damn expensive up here in NJ.

44

I have no problem with high gas prices due to effects of supply and demand. We’ve known since the 1970s that oil was a limited resource and the fact that we’ve chosen to ignore this reality is our own fault.
I choose to deal with this by driving a fuel efficient car and profiting from oil related stock and option trades.
What I do have a problem with is the fact that we allow the government to give these hugely profitable corporations massive tax breaks and subsidies paid for by us. Wouldn’t these resources be better spent developing an alternative domestic energy industry so we aren’t dangerously dependant on foreign oil from unstable third world nations?
I also have a problem with these oil companies exacerbating the shortage in this country by exporting millions of barrels of domestic oil to foreign countries, particularly in Asia.
The bottom line is we are ultimately responsible for the Government’s policies, either through our blind allegiance or apathy.

45

[quote]Robobrewer wrote:
I have no problem with high gas prices due to effects of supply and demand. We’ve known since the 1970s that oil was a limited resource and the fact that we’ve chosen to ignore this reality is our own fault.
I choose to deal with this by driving a fuel efficient car and profiting from oil related stock and option trades.
What I do have a problem with is the fact that we allow the government to give these hugely profitable corporations massive tax breaks and subsidies paid for by us. Wouldn’t these resources be better spent developing an alternative domestic energy industry so we aren’t dangerously dependant on foreign oil from unstable third world nations?
I also have a problem with these oil companies exacerbating the shortage in this country by exporting millions of barrels of domestic oil to foreign countries, particularly in Asia.
The bottom line is we are ultimately responsible for the Government’s policies, either through our blind allegiance or apathy.[/quote]

This is a good post, man. But I would like to take this opportunity to remind us all that there’s no such thing as giving a tax break or levying a tax in general on a corporation. They just pass the cost of “their tax” to the consumer by raising prices. In a weird, non-intuitive way, by giving a “tax break” to Exxon, it makes it cheaper for us consumers to buy gas.

That is, if Exxon would just pull out of our asses for a little bit and stop laughing so much while depositing their checks at the bank. It kinda stings me a little bit that we are experiencing these price hikes right now and Exxon posts the biggest profit they ever have ever. It’s confusing… I don’t know whether to be glad that at least somebody is still getting rich around here besides Bill Gates or if I should take a sniper rifle and visit a clock tower somewhere in the vicinity of the Exxon corporate offices.

I mean, I have all these bullets… what the hell do I do with them all? :slight_smile:

46

[quote]Professor X wrote:
hedo wrote:
Yes in response. Should I remain silent why you try your arrogant interent bullying bullshit. It must really piss you off when intimidation doesn’t work…too bad for you. Try sticking to the point…you know like a doctor would.

WTF? "interent bullying bullshit? Have you been copying off of Zeb’s paper again? At least come up with something original. I respond as I feel. If that “bullies” you or anyone else, perhaps you should invest in a backbone.

What’s to address? You are crying that the poor can’t afford gas or heat. Ever heard of heating assistance, tons of people take advantage of it in NYC. How about subsidized public transportation. That’s how a lot of people get to work where I live. Are you seriously saying that the government shourd subsidize automobile useage because the poor can’t afford to drive their cars. Do you actually think that someone who owns a car is poor?

Are you actually this unable to see anyone’s point of view that you would fall onto some ridiculous notion of automobile subsidies? I said regulation (or at least the discouragement) of the amount gas companies can baselessly increase the price of gas. This government has gone through endless effort to make sure that credit card companies can continue to gouge the finances of even those who have had bankrupting occurances destroy their way of live…but there is no attention to the poor in this situation as far as the need to for gas, transportation and how that can affect the economy? Who do we really care about?

Your out of touch Prof. Want to help the poor and disadvantaged, provide an opportunity in exchange for their labor or skills.

How does this make me out of touch? Simply because I don’t agree with you? As I said at first, it must be a wonderful world when you can wake up and make yourself believe that everyone who is poor got that way because they just didn’t try hard enough…or at least not as hard as you.

[/quote]

Prof X

If you don’t see yourself as a bigot and a bully then you really don’t read before you post pal. Perhaps you need to reinvent your indentidy.

I’ve called you a bully many times because you rarely have anything to say, just plenty of time to say it.

You try and intimidate everyone and have a hissy fit when it doesn’t work. Only the newbies fall for it in case you haven’t noticed, which I’m sure your ego wouldn’t permit.

You just happen to be one of those people that is so angry, misguided and naive I find myself disagreeing with about everything.

Your attempts to explain poverty in the context as something institutional borders on comical.

Do you have anything to say about Exxon anything to add with a shred of intelligence, or does this thread have to stay focused on you?

47

[quote]Professor X wrote:
Race Fan wrote:
I normally don’t post here but I do feel compelled to answer since I am employed by one of the larger Oil Companies.

There are reasons why fuel costs are up and it is dictated by more than the what some seem to consider gluttony of the oil companies.

It is the law of supply and demand.
There is less refining capacity of crude oil with several gulf coast refineries still not operating after Katrina.

I think most of us understand the concept of supply and demand (by the way, thanks for posting as someone with a background at the company). I also have an uncle who works at Shell. However, this was stated in the article:

"High prices for oil and natural gas propelled Exxon Mobil Corp. and Royal Dutch Shell PLC to their best quarterly results ever on Thursday, with Exxon becoming the first U.S. company ever to ring up quarterly sales of $100 billion.

To put Exxon’s performance into perspective, its third quarter revenue was greater than the annual gross domestic product of some of the largest oil producing nations, including the United Arab Emirates and Kuwait. The world’s largest publicly traded oil company also set a profit record for U.S. companies by posting net income of almost $10 billion, according to Standard & Poor’s equity market analyst Howard Silverblatt. "

How does this match up with the devestation that you wrote about? There are many days around my area where most gas stations don’t even have gas. Usually, if you don’t fill up before thursday, you might as well give up the idea of getting gas until the following Tuesday. With that much damage done to facilities due to the storms, how did they top out on profit? They sure are doing well…while the country does so poorly in regards to the storms.[/quote]

The ExxonMobil refinery in Chalmette (around New Orleans) was hit hard.

Remember, when these guys post profits it is a global profit. Their markets in Asia are booming.

Our refinery manager was transferred to our facility 2 years ago. He changed the way we were organized, the way we communicated, and the way we carried out our business. He has told us time and time again, we do not control prices. That’s for a bunch of guys in NY making moves on the stock market. Supply and demand is the reason for change. How people react is the fuel for the fire.

We have been told if we operate well when margins are bad we will make money. If we operate well margins are good, we make money. We can control margins we just refine oil.

We now have set our local records for onstream production, decreased downtime, and increased utilization. In other words we are operating exceptionally well. Our company as a whole is operating very well also.

48

[quote]Professor X wrote:
ZEB wrote:
Professor X wrote:

We all understand your amazing need to let us in on your massive income…It must be fun to ignore this about society or pretend as if it means nothing.

Once again you take the debate to a personal level. Do you ever get tired of playing the Internet bully?

More of the same…

Do you ever get tired of avoiding the topic only to toss out insults?

More of the same…[/quote]

You are the one who attacked first on this thread.

49

[quote]FightinIrish26 wrote:
and am a poor ass college student.
[/quote]

Now I see why you are so liberal. I thank you for that brief yet enlightening explanation.

As you move along in life your beliefs may very well become more moderate…perhaps.

50

[quote]deanosumo wrote:
…

Stop driving and ride a mountain bike everywhere- that’s what I’m doing these days. Fuck 'em.

[/quote]

Exactly.

If you spend too much on gas it is your own fault. Stop driving a car that is not fuel efficient. Ride a bike or a motorcycle.

The oil comanies are getting their money while they can. It won’t last forever, but you can be sure they will screw us while they can.

If you don’t like it, don’t buy it. Carpool, take the bus. Do something else.

BTW, gas is down to $ 2.26 near me, I better go fill up before the next hurricane hits.

51

“Ironically enough, the bar I went to tonite was having some kind of contest where if you named the highest amount of songs (and bands that played them) in the bar, you won an Ipod. 20 out of 20…thank God for classic rock and Q104.3. Must be my lucky day…but I forgot that damn lottery ticket.”

Fightin,

Seriously man. Going to a bar when I was in college implied discretionary income and time to kill, especially on a Thursday night. It’s all about choices.

52

I wonder if Prof, or any of the poor people he is looking out for ever sent the oil companies thank you notes when oil was 10 bucks a barrel just 10 years ago.

We still have some of the cheapest gas in the civilized world, yet we still need to do more for the poor.

I have been poor. I have no sympathy for them. Poverty is a choice - regardless the price of Regular Unleaded.

53

[quote]hedo wrote:
Prof X

If you don’t see yourself as a bigot and a bully then you really don’t read before you post pal. Perhaps you need to reinvent your indentidy.

I’ve called you a bully many times because you rarely have anything to say, just plenty of time to say it. [/quote]

I don’t have anything to say? The majority of my posts aren’t even in the political forum and I rarely post UNLESS I have something to say. The only one in this thread that has added NOTHING to the discussion is Zeb and you haven’t called him out on it. Strange. Your perception is ass backwards. However, it isn’t like we didn’t know that. A bigot? Prove this.

[quote]
You try and intimidate everyone and have a hissy fit when it doesn’t work. Only the newbies fall for it in case you haven’t noticed, which I’m sure your ego wouldn’t permit. [/quote]

Again, if you or anyone else feels “intimidated” by how I post, then I would imagine they feel the same about Rainjack. His posts are much more harsh than mine have ever been. However, you haven’t called him out for this. Strange. Bigot?

[quote]
Your attempts to explain poverty in the context as something institutional borders on comical.[/quote]

Poverty as a class isn’t institutional?

All of my posts before this one were ONLY about Exxon. Any jab at you was tertiary to the points I made. You ignored my last post completely to only focus in on the VERY LAST sentence. Now you try to pretend as if you didn’t see my point?

You showed pure emotion in your first response to me. It isn’t as if you are hard to figure out.

54

[quote]rainjack wrote:
I wonder if Prof, or any of the poor people he is looking out for ever sent the oil companies thank you notes when oil was 10 bucks a barrel just 10 years ago.[/quote]

Probably not. People in general don’t start crying until it starts raining…not while the sun is out. I personally loved driving in Texas when I was working three jobs and buying gass for 99 cents at “Racetrack” gast station. I doubt a “thank you” note was in order, but those were great times.

[quote]
We still have some of the cheapest gas in the civilized world, yet we still need to do more for the poor. [/quote]

True. In Suriname (small country), the gas was about 6 bucks a gallon. Everyone was riding around on those rebuilt mopeds that were about 10 years old. However, this isn’t Suriname, and driving 10+ miles to work is still a necessity in many places along with the other trappings of our society. I have personally been on my motorcycle more than ever so the gas prices don’t affect me that much at all. I can ride around all week for under 10 bucks.

[quote]
I have been poor. I have no sympathy for them. Poverty is a choice - regardless the price of Regular Unleaded. [/quote]

I have seen “poor” and I wasn’t it. We may have had some “hard times”, but my family was no where near what I consider “poor”. We always had food to eat and clothes to wear. My parents did well. However, I would definitely say that poverty is much less a choice than you make it sound. If that was all there is to it, why would anyone CHOOSE poverty?

55

[quote]Professor X wrote:
Probably not. People in general don’t start crying until it starts raining…not while the sun is out. I personally loved driving in Texas when I was working three jobs and buying gass for 99 cents at “Racetrack” gast station. I doubt a “thank you” note was in order, but those were great times.[/quote]

So why villify big oil now that the cycle is on the downside? I think the general public got fat and spoiled by extraordinarily low prices.

I loved those days as well - MPG’s were for fags. But I am not shaking my fist at evil oil because I actually try to drive under 65 MPH to squeeze an extra 2 mpg out of my hyooooge-assed SUV. BTW - anybody wanna buy a 2003 Suburban for cheap?

I still remember what the oil bust of the 80’s did to much of West Texas. The higher prices have actually started picking things back up ecomonically. Oil companies are drilling like mad men around here because oil is high enough to spur domestic exploration. That means jobs. A bunch of them. That means businesses are starting up, and economies are starting to fire again.

This is a very big thing since this area of the country missed out- in large part- on the boom of the 90’s. I actually don’t mind high oil prices.

England has over 4-buck gas. Canada is has historically been higher than we have. I don’t think you need to hunt down a third world country to find that we have had way cheap for a way long time.

[quote]I have seen “poor” and I wasn’t it. We may have had some “hard times”, but my family was no where near what I consider “poor”. We always had food to eat and clothes to wear. My parents did well. However, I would definitely say that poverty is much less a choice than you make it sound. If that was all there is to it, why would anyone CHOOSE poverty?
[/quote]

I think people choose poverty because they are ignorant and to a large degree lazy. But that has nothing to do with gas prices - other than that if they are too poor to eat, I don’t think the price of a gallon of super unleaded really comes into play.

56

RJ,

Just to dovetail on your post:

Cheap gas is not an entitlement. It is a commodity - granted a very important one - that is governed by supply and demand.

We aren’t entitled to $1.09 gas any more than we are entitled to 99 cent jugs of milk. If there is one huge upside to the surge in energy prices, it is making folks aware of the value of saving.

But tell that to the up and coming Entitlement Generation.

Conservation isn’t the panacea in my mind, but it is a huge part of it. People are now taking seriously the idea of living below their means, which is good practice at any income level.

57

Exxon should make MORE money. Just think, you get to drive 20 or 30 MILES for a lousy $2 or so. They give us this great gift, ask for chump change (no matter how many billions they make), and they are villified.

Capitalism, the first system to do any one any damned good, is under attack. The American people ought to literally run out of town any politician who attacks these men, the foundation of our society.

Do you want the Politburo or Exxon? Make your choice; and your time is running out.

58

The mantra of the left is to scream bloody murder everytime any corporation reports better than expected profits, nothing new here.

Same old same old…“The poor are getting hurt wha boo hoo.” Yet the only ones who are actually helping the economy, thus helping the poor, are those who actually have a company, and employ people. Also those who have money move the economy along by spending it. Hedo employs several people who in turn spend their dollars in the open economy. Rainjack has an accounting business. Others on the thread who agree are also responsible adults contributing to the economy making a better life for themselves and others. What is it you do Prof besides whine about everything that takes place not to your liking?

Those who constantly whine about it simply talk to hear themselves talk (should I say type to hear the keys?) They think that by taking a page out of the Al Sharpton Howard Dean play book they can make a valid point.

Your point is not valid has never been valid and will never be valid in a free market system.

I know you guys won’t ever understand that, as you feel so very oppressed. “The man has us by the short hairs boo hoo.” However, at some point in life success is indeed a choice. You either garner the character and skills to make it happen in your own life, or you take the low road and accuse everyone who has ever achieved more than you of being part of a master plan to hold you down. what a joke!

However, I can have some empathy for those attending college for two reasons: First, I paid my own way through school and it was plenty tough. Secondly, at the age of 20 they are basically still kids. When they do graduate and actually get a real job (not just on weekends) they will soon agree that the government should not be taking half of their income. And trying to cap corporate profits is not the way to a better economy. Many people “get it” when it directly effects them.

Those like the Prof seemed to be doomed to a life of blindness. Spouting left wing slogans and bullying those who are cowed by his willingness to assert his self inflated stature.

Okay Prof come back to me with more of your left wing nonsense I need a good laugh. But save the bullying for the kids in the “how do I gain weight section.” That’s the only place your tactics have ever worked anyway!

59

[quote]ZEB wrote:
FightinIrish26 wrote:
and am a poor ass college student.

Now I see why you are so liberal. I thank you for that brief yet enlightening explanation.

As you move along in life your beliefs may very well become more moderate…perhaps.[/quote]

Not likely. College has very little to do with me being liberal. My family is a staunch democrat house, and a working class background.

I have seen the rich piss on the poor all through my life. My politics are the results of my experiences in the world, not some college text. Don’t insult me like that.

60

[quote]hedo wrote:
“Ironically enough, the bar I went to tonite was having some kind of contest where if you named the highest amount of songs (and bands that played them) in the bar, you won an Ipod. 20 out of 20…thank God for classic rock and Q104.3. Must be my lucky day…but I forgot that damn lottery ticket.”

Fightin,

Seriously man. Going to a bar when I was in college implied discretionary income and time to kill, especially on a Thursday night. It’s all about choices.
[/quote]

Understood. My choice was to go to a bar and spend $6. I know I could have invested that $6 in Exxon, but methinks it wouldn’t have made that much of a difference…