Miken

You've Got GM, President Obama: Build Natural Gas Vehicles

"The return ExxonMobil gets for the millions it spends on lobbyists and campaign contributions comes back in the billions. The industry as a whole receives up to $113 billion per year in direct federal subsidies, according to experts."

www.exxposeexxon.com/E...


On Mar 31 12:03 PM WayneS wrote:

> PS - Last year the "Big Three" oil companies combined to make $71
> billion. They paid $169 billion in taxes. Where are the subsidies
> Miken is talking about? Also, there are 500 other oil companies
> in the US, also paying taxes.

You've Got GM, President Obama: Build Natural Gas Vehicles

From EOM 10-K filed 2/27/09, they paid $37.5 billion in income tax. Earnings before taxes were $81.8 billion. Income after tax was $45.2 billion.

I would think that they're not anxious to change that business model which is exactly what I said below.

By the way, don't you think it's time to voluntarily give up the government subsidies?

On Mar 31 09:40 AM JerseyMike wrote:

> ExxonMobil paid income taxes of $40 billion in 2007 (check out their
> annual report). On top of this, the government taxes every consumer
> at the pump. Given that the government also taxes every other major
> oil company, ExxonMobil's profits are miniscule compared to what
> the US government collects from the sale of each gallon of gasoline.
> Given the insinuation that money prevents ExxonMobil from moving
> from oil to NG - the logic would apply doubly to the US government.
> I am just tired of successful American businesses being demonized
> because they turn a profit for their shareholders. ExxonMobil could
> move its operations off shore and avoid paying taxes to the US government.
> They have chosen not to do so. They should be commended rather than
> demonized.
>

You've Got GM, President Obama: Build Natural Gas Vehicles

All it would take to build CNG fueled vehicles would be the desire, the technology exists, in fact GM builds CNG vehicles in other parts of the world where governments have thought about it, and acted on it.

This friends, is what the rest of the world calls a national energy policy. These background, unsophisticated third world countries haven't properly debated this issue. Based on U.S. standards, they should have debated the policy another two decades before taking action.

In their haste, they have developed a vision, made strategies, and implemented. What a bunch of fools.

What they have developed that we haven't is an infrastructure. Where would you go to buy NG in the U.S.? I suppose you could pay someone to come to your home and put a tap on your house pipes along with pressure fittings to hook up your car, but I wouldn't bet my company on millions of people doing that. Then you would have to convert your vehicle in your garage to install a 3,000 PSI pressure containment vessel. Oooo, that's scary. This is not a do it yourself project.

The point is that while CNG is a good solution, it requires an agreement in Washington to develop the plan with appropriate thought as to implementation.

In addition, how do you think Exxon Mobile would feel about changing their business model that consistently provides $40 billion in profits year after year, totally independent of demand for gasoline? Think our government is willing to withstand their lobbying effort? They have effectively blocked the implementation of E-85 ethanol even though there are 7 million vehicles that could start using it today (all of which were built by the U.S. based companies).

There isn't a single member of congress that hasn't said that we desperately need an energy policy. Why don't we have one?

Sick and Tired of Financials, Carmakers Blaming Everyone but Themselves

I think the problem is analysts who couldn't hit the water if they fell out of a boat. A management consultant is someone who couldn't make it as an analyst.

Take a company like GM. WHen GM stopped giving guidance, the analysts didn't have a clue. I don't think most of them can read a financial statement, but yet that doesn't stop them from pontificating.