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Exxon Mobil

ExxonMobil Corporation is consistently ranked number one or two as the world’s largest publicly traded company.  In 2010, ExxonMobil had revenues of $383 billion and employed over 100,000 individuals worldwide. It is currently ranked 4th on the Forbes Global 2000 list of most valuable public corporations. ExxonMobil is headquartered in Irving, Texas.

History

ExxonMobil was founded in 1999 as a result of a merger between Exxon and Mobil, but the company is actually a direct descendant of Standard Oil. Prior to the merger, Exxon was the corporate name of the previous Standard Oil Company of New Jersey (also called Jersey Standard).  

The name Exxon derives from Esso, which was what the Jersey branch of Standard Oil was called prior to the company’s anti-trust dissolution in 1911. Due to branding complaints from other spinoffs of the 1911 breakup, the company was prohibited from marketing under the name Esso. The Exxon name was not used until 1972.

The Mobil side of the corporation was previously known as the Socony-Vacuum Oil Company. Socony was a product of the break-up of Standard Oil in 1911. Its name is a shortened version of Standard Oil Company of New York.

Holdings and Industry Segment

ExxonMobil has oil reserves equivalent to 72 billion barrels. It also owns 37 refineries in 21 countries, making it the largest refiner of crude in the world with a capacity of 6.3 million barrels per day. These features make mobile ExxonMobil the largest of the “supermajors,” though when ranks include state-owned petroleum companies, it sinks to number 14.

All said, ExxonMobil produces 3% of the world’s oil. The Baton Rouge Refinery in Baton Rouge, Louisiana is the second largest oil refinery in the United States with a capacity of over 500,000 barrels of oil per day.

ExxonMobil fits into several of the APIs divisions including upstream, downstream, and global services. The company has major branches in the United States, Australia, New Zealand, and the European Union.

Revenue

As of 2011, ExxonMobil holds the rank of world’s largest publicly held company in terms of revenue. It occupies 8 out of the 10 slots for “Largest Corporate Quarterly Earnings” of all time and 5 of the top 10 slots for “Largest Corporate Annual Earnings.” Only Wal-Mart employs more people.

In 2011, ExxonMobil had a market capitalization of 460.43 billion USD, making it the most valuable publicly traded company in the United States. ExxonMobil’s net profit has ranged from 19 to 40 billion USD over the last six years.

Environment

As the largest of the “supermajors,” ExxonMobil is a primary target for environmental groups. In 1989, the Exxon Valdez ran aground in Prince William Sound in Alaska. It released 240,000 barrels of oil into the sound and polluted 2,100 kilometers of coastline. The corporation was criticized for its slow response to the disaster and was ordered by a jury to pay $5 billion in punitive damages. The amount was lowered to $500 million by the U.S. Supreme Court.

The Exxon Valdez, since renamed the SeaRiver Maritime, has been divested by Exxon into a small, stand-alone company called SeaRiver. SeaRiver is a wholly owned subsidiary of ExxonMobil. The Valdez was single-hulled, which contributed to the size of the disaster. As of 2009, Exxon was still using more single-hull oil tankers than any of the largest 10 oil companies.