In a surprise release from Exxon (NYSE:XOM) just a day ahead of Q4 results, the Company provided the market with Management's plans for restructuring the business. Startup investor Engine No. 1 (0.02% owner) managed to install three board members in 2021, and they appear to be making quick work. Exxon will:
- Restructure into three business lines -- combining international and US upstream into "ExxonMobil Upstream Company", combining chemicals and refining into "ExxonMobil Product Solutions" and creating a new "ExxonMobil Low Carbon Solutions" division.
- Support the three operating units with one technology organization, and other centralized services.
- Relocate headquarters from the Company's ~300 acre campus in the middle of Dallas, to the Company's ~400 acre campus in Houston.
Few details were provided about the new low-carbon division, though presumably it will fold in existing carbon-capture projects within Exxon. What the restructuring means for cost savings targets, and investment plans will likely be the focus of investor questions on tomorrow's conference call. Though management is likely to defer strategic questions to the Company's capital markets day on March 2nd.