2012-01-31 "ExxonMobil Makes $41 Billion, But Pays Estimated 17.6% Tax Rate, Lower Than Most Taxpayers (But Not Romney)" by Rebecca Leber
ExxonMobil had the largest profits of the Big Five oil companies in 2011, raking in $41.1 billion for the year [http://www.exxonmobil.com/Corporate/Files/news_release_earnings_4q11.pdf]. This 35 percent jump from last year is driven in large part by record-high oil prices. Today, the oil giant announced its fourth quarter profits of $9.4 billion, a 2 percent increase since 2010. Here are a few other facts about ExxonMobil:
• Exxon’s $41.1 billion in 2011 profit translates into nearly $5 million in profit every hour, or more than $1,300 every second. The annual profit comes near the record revenues of $46.23 billion in 2008.
• Stock buybacks for Q4 were $5.4 billion, and $ 21.60 billion for the year, equivalent to 53 percent of total 2011 profit. This enriches executives, the board of directors, and largest shareholders.
• Exxon pays a lower tax rate than the average American [http://thinkprogress.org/romm/2012/01/31/415337/economy/2011/05/11/165367/exxon-pays-less-taxes/]. Between 2008-2010, Exxon Mobil registered an average 17.6 percent federal effective corporate tax rate, while the average American paid a higher rate of 20.4 percent. [In 2010, Mitt Romney paid an effective tax rate of 13.9%.]
• The company paid no taxes to the U.S. federal government in 2009 [http://thinkprogress.org/romm/2012/01/31/415337/politics/2010/04/06/90299/exxon-tax/], despite 45.2 billion record profits. It paid $15 billion in taxes, but none in federal income tax.
• The oil giant uses offshore subsidiaries in the Caribbean to avoid paying taxes in the United States [http://wonkroom.thinkprogress.org/2010/04/06/exxon-zero-taxes/].
• Exxon is sitting on $11 billion cash on hand as of September 30 [http://ir.exxonmobil.com/phoenix.zhtml?c=115024&p=irol-sec&seccat01.1_rs=21&seccat01.1_rc=10].
• Exxon spent nearly $13 million on lobbying expenditures in 2011 [http://www.opensecrets.org/lobby/clientsum.php?id=D000000129]. The company gave nearly another $900,000 in federal campaign contributions [http://www.opensecrets.org/orgs/totals.php?id=D000000129&cycle=2012]. 92 percent of contributions went to Republicans.
• Exxon CEO Rex Tillerson made $29 million in 2010 (according to the latest records): He made $2.2 million in salary, a $3.4 million bonus, and stock awards valued at $15.5 million.
• Exxon is drawing out a legal battle for damages on a spill from 22 years ago. Exxon hasn’t paid $92 million in cleanup for the devastating Valdez Alaskan oil spill [http://motherjones.com/blue-marble/2011/10/will-exxon-have-pay-ongoing-valdez-damage]. In its Sept. 30 court filing, Exxon argued the damages it agreed to pay only covers “restoration” and not additional “clean-up.”
• Far from a job creator, ExxonMobil — together with Chevron, Shell, and BP — reduced their U.S. workforce by 11,200 employees between 2005 and 2010 [http://democrats.naturalresources.house.gov/content/files/2011-09-08_RPT_OilProfitsPinkSlips.pdf].