UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

 

FORM 10-Q

 

x   QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended JuneSeptember 30, 2012

or

 

¨  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from __________to________

 

Commission File Number 1-2256

 

EXXON MOBIL CORPORATION

(Exact name of registrant as specified in its charter)

 

      NEW JERSEY                                                                           13-5409005

(State or other jurisdiction of                                                                                     (I.R.S. Employer

incorporation or organization)              ��                                                                               Identification Number

 

5959 Las Colinas Boulevard, Irving, Texas                                        75039-2298

(Address of principal executive offices)                                                                         (Zip Code)

 

(972) 444-1000

(Registrant's telephone number, including area code)

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes   No ¨ 

 

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).   Yes x  No ¨    

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

x

Accelerated filer

¨

  

Non-accelerated filer

¨

 

Smaller reporting company

¨

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes ¨    No x  

 

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.

 

                                Class                                                     Outstanding as of JuneSeptember 30, 2012

Common stock, without par value                                                   4,615,939,4964,559,342,639

 


 

 

EXXON MOBIL CORPORATION

 

FORM 10-Q

 

FOR THE QUARTERLY PERIOD ENDED JUNESEPTEMBER 30,  2012

 

TABLE OF CONTENTS

 

 

 

 

 

Page

Number

                    PART I.  FINANCIAL INFORMATION

 

 

 

 

Item 1.       Financial Statements

 

 

 

     Condensed Consolidated Statement of Income

Three and sixnine months ended JuneSeptember 30, 2012 and 2011

 

3

 

     Condensed Consolidated Statement of Comprehensive Income

Three and sixnine months ended JuneSeptember 30, 2012 and 2011

 

4

 

     Condensed Consolidated Balance Sheet

As of JuneSeptember 30, 2012 and December 31, 2011

5

 

 

 

 

     Condensed Consolidated Statement of Cash Flows

          SixNine months ended JuneSeptember 30, 2012 and 2011

 

6

 

     Condensed Consolidated Statement of Changes in Equity

          SixNine months ended JuneSeptember 30, 2012 and 2011

 

7

 

     Notes to Condensed Consolidated Financial Statements

 

8

 

Item 2.       Management's Discussion and Analysis of Financial

                     Condition and Results of Operations

 

2116

 

Item 3.       Quantitative and Qualitative Disclosures About Market Risk

 

2621

 

Item 4.       Controls and Procedures

 

2621

 

 

 

 

                  PART II.  OTHER INFORMATION

 

 

 

 

Item 1.       Legal Proceedings

 

2722

 

Item 2.       Unregistered Sales of Equity Securities and Use of Proceeds

 

2823

 

Item 6.       Exhibits

 

2823

 

Signature

 

2924

 

Index to Exhibits

 

3025

 

    


-2-

 


 

 

PART I. FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

   

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

Item 1. Financial Statements

Item 1. Financial Statements

Item 1. Financial Statements

   

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

EXXON MOBIL CORPORATION

EXXON MOBIL CORPORATION

EXXON MOBIL CORPORATION

CONDENSED CONSOLIDATED STATEMENT OF INCOME

CONDENSED CONSOLIDATED STATEMENT OF INCOME

CONDENSED CONSOLIDATED STATEMENT OF INCOME

(millions of dollars)

(millions of dollars)

(millions of dollars)

   

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

   

  

Three Months Ended

  

Six Months Ended

 

 

Three Months Ended

 

Nine Months Ended

   

  

June 30,

  

June 30,

 

 

September 30,

 

September 30,

   

  

  

2012 

  

  

2011 

  

  

2012 

  

  

2011 

 

 

 

2012 

 

 

2011 

 

 

2012 

 

 

2011 

REVENUES AND OTHER INCOME

REVENUES AND OTHER INCOME

  

  

  

  

  

  

  

  

  

  

  

  

REVENUES AND OTHER INCOME

 

 

 

 

 

 

 

 

 

 

 

 

Sales and other operating revenue (1)

Sales and other operating revenue (1)

  

$

112,745 

  

$

121,394 

  

$

231,934 

  

$

230,645 

Sales and other operating revenue (1)

 

$

111,554 

 

$

120,475 

 

$

343,488 

 

$

351,120 

Income from equity affiliates

Income from equity affiliates

  

  

3,651 

  

  

3,720 

  

  

7,861 

  

  

7,547 

Income from equity affiliates

 

 

3,386 

 

 

3,915 

 

 

11,247 

 

 

11,462 

Other income

Other income

  

  

10,967 

  

  

372 

  

  

11,621 

  

  

1,298 

Other income

 

 

766 

 

 

940 

 

 

12,387 

 

 

2,238 

Total revenues and other income

  

  

127,363 

  

  

125,486 

  

  

251,416 

  

  

239,490 

Total revenues and other income

 

 

115,706 

 

 

125,330 

 

 

367,122 

 

 

364,820 

   

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

COSTS AND OTHER DEDUCTIONS

COSTS AND OTHER DEDUCTIONS

  

  

  

  

  

  

  

  

  

  

  

  

COSTS AND OTHER DEDUCTIONS

 

 

 

 

 

 

 

 

 

 

 

 

Crude oil and product purchases

Crude oil and product purchases

  

  

66,344 

  

  

69,447 

  

  

136,169 

  

  

129,944 

Crude oil and product purchases

 

 

65,180 

 

 

69,289 

 

 

201,349 

 

 

199,233 

Production and manufacturing expenses

Production and manufacturing expenses

  

  

9,787 

  

  

10,322 

  

  

19,637 

  

  

19,842 

Production and manufacturing expenses

 

 

9,128 

 

 

10,199 

 

 

28,765 

 

 

30,041 

Selling, general and administrative expenses

Selling, general and administrative expenses

  

  

3,486 

  

  

3,681 

  

  

7,087 

  

  

7,308 

Selling, general and administrative expenses

 

 

3,468 

 

 

3,764 

 

 

10,555 

 

 

11,072 

Depreciation and depletion

Depreciation and depletion

  

  

3,899 

  

  

3,881 

  

  

7,741 

  

  

7,642 

Depreciation and depletion

 

 

4,037 

 

 

3,866 

 

 

11,778 

 

 

11,508 

Exploration expenses, including dry holes

Exploration expenses, including dry holes

  

  

372 

  

  

592 

  

  

894 

  

  

926 

Exploration expenses, including dry holes

 

 

494 

 

 

728 

 

 

1,388 

 

 

1,654 

Interest expense

Interest expense

  

  

50 

  

  

45 

  

  

157 

  

  

74 

Interest expense

 

 

59 

 

 

98 

 

 

216 

 

 

172 

Sales-based taxes (1)

Sales-based taxes (1)

  

  

8,027 

  

  

8,613 

  

  

16,520 

  

  

16,529 

Sales-based taxes (1)

 

 

8,137 

 

 

8,484 

 

 

24,657 

 

 

25,013 

Other taxes and duties

Other taxes and duties

  

  

9,207 

  

  

10,286 

  

  

19,505 

  

  

19,689 

Other taxes and duties

 

 

7,883 

 

 

10,222 

 

 

27,388 

 

 

29,911 

Total costs and other deductions

  

  

101,172 

  

  

106,867 

  

  

207,710 

  

  

201,954 

Total costs and other deductions

 

 

98,386 

 

 

106,650 

 

 

306,096 

 

 

308,604 

   

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

Income before income taxes

  

  

26,191 

  

  

18,619 

  

  

43,706 

  

  

37,536 

Income before income taxes

 

 

17,320 

 

 

18,680 

 

 

61,026 

 

 

56,216 

Income taxes

  

  

8,537 

  

  

7,721 

  

  

16,253 

  

  

15,725 

Income taxes

 

 

7,394 

 

 

8,009 

 

 

23,647 

 

 

23,734 

Net income including noncontrolling interests

Net income including noncontrolling interests

  

  

17,654 

  

  

10,898 

  

  

27,453 

  

  

21,811 

Net income including noncontrolling interests

 

 

9,926 

 

 

10,671 

 

 

37,379 

 

 

32,482 

Net income attributable to noncontrolling interests

  

  

1,744 

  

  

218 

  

  

2,093 

  

  

481 

Net income attributable to noncontrolling interests

 

 

356 

 

 

341 

 

 

2,449 

 

 

822 

Net income attributable to ExxonMobil

Net income attributable to ExxonMobil

  

$

15,910 

  

$

10,680 

  

$

25,360 

  

$

21,330 

Net income attributable to ExxonMobil

 

$

9,570 

 

$

10,330 

 

$

34,930 

 

$

31,660 

   

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

   

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share (dollars)

Earnings per common share (dollars)

  

$

3.41 

  

$

2.19 

  

$

5.41 

  

$

4.33 

Earnings per common share (dollars)

 

$

2.09 

 

$

2.13 

 

$

7.50 

 

$

6.46 

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share - assuming dilution (dollars)

Earnings per common share - assuming dilution (dollars)

  

$

3.41 

  

$

2.18 

  

$

5.41 

  

$

4.32 

Earnings per common share - assuming dilution (dollars)

 

$

2.09 

 

$

2.13 

 

$

7.50 

 

$

6.45 

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

Dividends per common share (dollars)

Dividends per common share (dollars)

  

$

0.57 

  

$

0.47 

  

$

1.04 

  

$

0.91 

Dividends per common share (dollars)

 

$

0.57 

 

$

0.47 

 

$

1.61 

 

$

1.38 

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

(1) Sales-based taxes included in sales and other

(1) Sales-based taxes included in sales and other

  

  

  

  

  

  

  

  

  

  

  

  

(1) Sales-based taxes included in sales and other

 

 

 

 

 

 

 

 

 

 

 

 

operating revenue

  

$

8,027 

  

$

8,613 

  

$

16,520 

  

$

16,529 

operating revenue

 

$

8,137 

 

$

8,484 

 

$

24,657 

 

$

25,013 

 

 

The information in the Notes to Condensed Consolidated Financial Statements

is an integral part of these statements.


-3-

 


 

 

EXXON MOBIL CORPORATION

EXXON MOBIL CORPORATION

  

EXXON MOBIL CORPORATION

 

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

  

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

 

(millions of dollars)

(millions of dollars)

  

(millions of dollars)

 

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

  

  

  

Three Months Ended

  

Six Months Ended

  

 

 

 

Three Months Ended

 

Nine Months Ended

 

  

  

  

June 30,

  

June 30,

  

 

 

 

September 30,

 

September 30,

 

  

  

  

2012 

  

2011 

  

2012 

  

2011 

  

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income including noncontrolling interests

  

$

17,654 

  

$

10,898 

  

$

27,453 

  

$

21,811 

  

Net income including noncontrolling interests

 

$

9,926 

 

$

10,671 

 

$

37,379 

 

$

32,482 

 

Other comprehensive income (net of income taxes)

  

  

  

  

  

  

  

  

  

  

  

  

  

Other comprehensive income (net of income taxes)

 

 

 

 

 

 

 

 

 

 

 

 

 

  

Foreign exchange translation adjustment

  

  

(1,367)

  

  

778 

  

  

(322)

  

  

2,112 

  

 

Foreign exchange translation adjustment

 

 

1,620 

 

 

(3,336)

 

 

1,298 

 

 

(1,224)

 

  

Adjustment for foreign exchange translation (gain)/loss

  

  

  

  

  

  

  

  

  

  

  

  

  

 

Adjustment for foreign exchange translation (gain)/loss

 

 

 

 

 

 

 

 

 

 

 

 

 

  

  

 included in net income

  

  

(4,302)

  

  

  

  

(4,235)

  

  

  

 

 

 included in net income

 

 

(119)

 

 

 

 

(4,354)

 

 

 

  

Postretirement benefits reserves adjustment

  

  

  

  

  

  

  

  

  

  

  

  

  

 

Postretirement benefits reserves adjustment

 

 

 

 

 

 

 

 

 

 

 

 

 

  

(excluding amortization)

  

  

224 

  

  

(160)

  

  

(180)

  

  

(565)

  

 

(excluding amortization)

 

 

(224)

 

 

272 

 

 

(404)

 

 

(293)

 

  

Amortization and settlement of postretirement benefits reserves

  

  

  

  

  

  

  

  

  

  

  

  

  

 

Amortization and settlement of postretirement benefits reserves

 

 

 

 

 

 

 

 

 

 

 

 

 

  

  

adjustment included in net periodic benefit costs

  

  

1,236 

  

  

321 

  

  

1,629 

  

  

631 

  

 

 

adjustment included in net periodic benefit costs

 

 

454 

 

 

298 

 

 

2,083 

 

 

929 

 

  

Change in fair value of cash flow hedges

  

  

  

  

  

  

  

  

10 

  

 

Change in fair value of cash flow hedges

 

 

 

 

14 

 

 

 

 

24 

 

  

Realized (gain)/loss from settled cash flow hedges

  

  

  

  

  

  

  

  

  

  

  

  

  

 

Realized (gain)/loss from settled cash flow hedges

 

 

 

 

 

 

 

 

 

 

 

 

 

  

  

included in net income

  

  

  

  

(14)

  

  

  

  

(33)

  

 

 

included in net income

 

 

 

 

(17)

 

 

 

 

(50)

 

  

  

Total other comprehensive income

  

  

(4,209)

  

  

932 

  

  

(3,108)

  

  

2,155 

  

 

 

Total other comprehensive income

 

 

1,731 

 

 

(2,769)

 

 

(1,377)

 

 

(614)

 

Comprehensive income including noncontrolling interests

  

  

13,445 

  

  

11,830 

  

  

24,345 

  

  

23,966 

  

Comprehensive income including noncontrolling interests

 

 

11,657 

 

 

7,902 

 

 

36,002 

 

 

31,868 

 

  

Comprehensive income attributable to

  

  

  

  

  

  

  

  

  

  

  

  

  

 

Comprehensive income attributable to

 

 

 

 

 

 

 

 

 

 

 

 

 

  

  

noncontrolling interests

  

  

196 

  

  

293 

  

  

521 

  

  

612 

  

 

 

noncontrolling interests

 

 

541 

 

 

101 

 

 

1,062 

 

 

713 

 

Comprehensive income attributable to ExxonMobil

  

$

13,249 

  

$

11,537 

  

$

23,824 

  

$

23,354 

  

Comprehensive income attributable to ExxonMobil

 

$

11,116 

 

$

7,801 

 

$

34,940 

 

$

31,155 

 

 

 

The information in the Notes to Condensed Consolidated Financial Statements

is an integral part of these statements.


-4-

 


 

 

EXXON MOBIL CORPORATION

EXXON MOBIL CORPORATION

  

EXXON MOBIL CORPORATION

 

CONDENSED CONSOLIDATED BALANCE SHEET

CONDENSED CONSOLIDATED BALANCE SHEET

  

CONDENSED CONSOLIDATED BALANCE SHEET

 

(millions of dollars)

(millions of dollars)

  

(millions of dollars)

 

  

   

  

  

  

  

 

 

 

 

 

 

  

   

  

June 30,

  

Dec. 31,

  

 

 

 

Sept. 30,

 

Dec. 31,

 

  

   

  

2012 

  

2011 

  

 

 

 

2012 

 

2011 

 

ASSETS

ASSETS

  

  

  

  

ASSETS

 

 

 

 

Current assets

Current assets

  

  

  

  

Current assets

 

 

 

 

 

Cash and cash equivalents

  

$

17,802 

  

$

12,664 

  

Cash and cash equivalents

 

$

13,055 

 

$

12,664 

 

Cash and cash equivalents – restricted

  

215 

  

404 

  

Cash and cash equivalents – restricted

 

206 

 

404 

 

Notes and accounts receivable – net

  

33,741 

  

38,642 

  

Notes and accounts receivable – net

 

36,635 

 

38,642 

 

Inventories

  

  

  

  

Inventories

 

 

 

 

  

Crude oil, products and merchandise

  

11,729 

  

11,665 

  

 

Crude oil, products and merchandise

 

13,010 

 

11,665 

 

  

Materials and supplies

  

3,429 

  

3,359 

  

 

Materials and supplies

 

3,565 

 

3,359 

 

Other current assets

  

  

5,881 

  

  

6,229 

  

Other current assets

 

 

5,667 

 

 

6,229 

 

  

Total current assets

  

72,797 

  

72,963 

  

 

Total current assets

 

72,138 

 

72,963 

 

Investments, advances and long-term receivables

Investments, advances and long-term receivables

  

33,921 

  

34,333 

  

Investments, advances and long-term receivables

 

35,105 

 

34,333 

 

Property, plant and equipment – net

Property, plant and equipment – net

  

214,940 

  

214,664 

  

Property, plant and equipment – net

 

220,330 

 

214,664 

 

Other assets, including intangibles – net

Other assets, including intangibles – net

  

  

7,987 

  

  

9,092 

  

Other assets, including intangibles – net

 

 

7,618 

 

 

9,092 

 

  

Total assets

  

$

329,645 

 ��

$

331,052 

  

 

Total assets

 

$

335,191 

 

$

331,052 

 

  

   

  

  

  

  

 

 

 

 

 

 

LIABILITIES

LIABILITIES

  

  

  

  

LIABILITIES

 

 

 

 

 

Current liabilities

Current liabilities

  

  

  

  

Current liabilities

 

 

 

 

Notes and loans payable

  

$

6,704 

  

$

7,711 

  

Notes and loans payable

 

$

3,496 

 

$

7,711 

 

Accounts payable and accrued liabilities

  

51,322 

  

57,067 

  

Accounts payable and accrued liabilities

 

53,516 

 

57,067 

 

Income taxes payable

  

  

12,110 

  

  

12,727 

  

Income taxes payable

 

 

13,049 

 

 

12,727 

 

  

Total current liabilities

  

70,136 

  

77,505 

  

 

Total current liabilities

 

70,061 

 

77,505 

 

Long-term debt

Long-term debt

  

8,877 

  

9,322 

  

Long-term debt

 

8,928 

 

9,322 

 

Postretirement benefits reserves

Postretirement benefits reserves

  

22,117 

  

24,994 

  

Postretirement benefits reserves

 

21,652 

 

24,994 

 

Deferred income tax liabilities

Deferred income tax liabilities

  

36,851 

  

36,618 

  

Deferred income tax liabilities

 

37,642 

 

36,618 

 

Other long-term obligations

Other long-term obligations

  

  

23,679 

  

  

21,869 

  

Other long-term obligations

 

 

24,553 

 

 

21,869 

 

  

Total liabilities

  

  

161,660 

  

  

170,308 

  

 

Total liabilities

 

 

162,836 

 

 

170,308 

 

  

   

  

  

  

  

 

 

 

 

 

 

Commitments and contingencies (Note 2)

Commitments and contingencies (Note 2)

  

  

  

  

Commitments and contingencies (Note 2)

 

 

 

 

  

  

  

  

 

 

 

 

EQUITY

EQUITY

  

  

  

  

EQUITY

 

 

 

 

 

Common stock, without par value:

Common stock, without par value:

  

  

  

  

Common stock, without par value:

 

 

 

 

Authorized:   9,000 million shares

  

  

  

  

Authorized:   9,000 million shares

 

 

 

 

Issued:         8,019 million shares

  

9,221 

  

9,512 

  

Issued:         8,019 million shares

 

9,645 

 

9,512 

 

Earnings reinvested

Earnings reinvested

  

351,421 

  

330,939 

  

Earnings reinvested

 

358,369 

 

330,939 

 

Accumulated other comprehensive income

Accumulated other comprehensive income

  

(10,659)

  

(9,123)

  

Accumulated other comprehensive income

 

(9,113)

 

(9,123)

 

Common stock held in treasury:

Common stock held in treasury:

  

  

  

  

Common stock held in treasury:

 

 

 

 

  

3,403 million shares at June 30, 2012

  

(187,172)

  

  

3,460 million shares at September 30, 2012

 

(192,188)

 

 

 

  

3,285 million shares at December 31, 2011

  

  

  

  

  

(176,932)

  

3,285 million shares at December 31, 2011

 

 

 

 

 

(176,932)

 

ExxonMobil share of equity  

  

162,811 

  

154,396 

  

 

ExxonMobil share of equity

 

166,713 

 

 

154,396 

 

Noncontrolling interests

Noncontrolling interests

  

  

5,174 

  

  

6,348 

  

Noncontrolling interests

 

 

5,642 

 

 

6,348 

 

Total equity

  

  

167,985 

  

  

160,744 

  

 

Total equity

 

 

172,355 

 

 

160,744 

 

Total liabilities and equity

  

$

329,645 

  

$

331,052 

  

 

Total liabilities and equity

 

$

335,191 

 

$

331,052 

 

 

The number of shares of common stock issued and outstanding at JuneSeptember 30, 2012 and December 31, 2011 were 4,615,939,4964,559,342,639 and 4,733,948,268, respectively.

 

The information in the Notes to Condensed Consolidated Financial Statements

is an integral part of these statements.


-5-

 


 

 

EXXON MOBIL CORPORATION

EXXON MOBIL CORPORATION

  

EXXON MOBIL CORPORATION

 

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

  

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

 

(millions of dollars)

(millions of dollars)

  

(millions of dollars)

 

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

  

  

  

Six Months Ended

  

 

 

 

Nine Months Ended

 

  

  

  

June 30,

  

 

 

 

September 30,

 

  

  

  

2012 

  

2011 

  

 

 

 

2012 

 

2011 

 

CASH FLOWS FROM OPERATING ACTIVITIES

CASH FLOWS FROM OPERATING ACTIVITIES

  

  

  

  

  

  

CASH FLOWS FROM OPERATING ACTIVITIES

 

 

 

 

 

 

Net income including noncontrolling interests

  

$

27,453 

  

$

21,811 

  

Net income including noncontrolling interests

 

$

37,379 

 

$

32,482 

 

Depreciation and depletion

  

  

7,741 

  

  

7,642 

  

Depreciation and depletion

 

 

11,778 

 

 

11,508 

 

Changes in operational working capital, excluding cash and debt

  

  

3,408 

  

  

1,078 

  

Changes in operational working capital, excluding cash and debt

 

 

3,119 

 

 

2,154 

 

Net (gain) on asset sales

  

  

(11,109)

  

  

(600)

  

Net (gain) on asset sales

 

 

(11,693)

 

 

(1,269)

 

All other items – net

  

  

2,011 

  

  

(186)

  

All other items – net

 

 

2,363 

 

 

(281)

 

  

Net cash provided by operating activities

  

  

29,504 

  

  

29,745 

  

 

Net cash provided by operating activities

 

 

42,946 

 

 

44,594 

 

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

CASH FLOWS FROM INVESTING ACTIVITIES

CASH FLOWS FROM INVESTING ACTIVITIES

  

  

  

  

  

  

  

CASH FLOWS FROM INVESTING ACTIVITIES

 

 

 

 

 

 

Additions to property, plant and equipment

 

 

(24,214)

 

 

(22,341)

 

Additions to property, plant and equipment

  

  

(16,188)

  

  

(14,863)

  

Proceeds associated with sales of subsidiaries, property, plant and

 

 

 

 

 

 

Proceeds associated with sales of subsidiaries, property, plant and

  

  

  

  

  

  

  

 

equipment, and sales and returns of investments

 

 

6,850 

 

 

4,246 

 

  

equipment, and sales and returns of investments

  

  

6,243 

  

  

2,838 

  

Additional investments and advances

 

 

(768)

 

 

(3,122)

 

Additional investments and advances

  

  

(397)

  

  

(2,949)

  

Additions to marketable securities

 

 

 

 

(1,754)

 

Additions to marketable securities

  

  

  

  

(1,754)

  

Sales of marketable securities

 

 

 

 

1,674 

 

Other investing activities – net

  

  

1,235 

  

  

871 

  

Other investing activities – net

 

 

1,533 

 

 

1,144 

 

  

Net cash used in investing activities

  

  

(9,107)

  

  

(15,857)

  

 

Net cash used in investing activities

 

 

(16,599)

 

 

(20,153)

 

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

CASH FLOWS FROM FINANCING ACTIVITIES

CASH FLOWS FROM FINANCING ACTIVITIES

  

  

  

  

  

  

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

 

 

 

 

Additions to long-term debt

  

  

389 

  

  

249 

  

Additions to long-term debt

 

 

597 

 

 

457 

 

Reductions in long-term debt

  

  

(11)

  

  

(43)

  

Reductions in long-term debt

 

 

(15)

 

 

(236)

 

Additions/(reductions) in short-term debt – net

  

  

(214)

  

  

1,182 

  

Additions/(reductions) in short-term debt – net

 

 

(3,506)

 

 

1,414 

 

Cash dividends to ExxonMobil shareholders

  

  

(4,878)

  

  

(4,496)

  

Cash dividends to ExxonMobil shareholders

 

 

(7,500)

 

 

(6,773)

 

Cash dividends to noncontrolling interests

  

  

(137)

  

  

(152)

  

Cash dividends to noncontrolling interests

 

 

(287)

 

 

(264)

 

Changes in noncontrolling interests

  

  

198 

  

  

(12)

  

Changes in noncontrolling interests

 

 

198 

 

 

(12)

 

Tax benefits related to stock-based awards

  

  

  

  

171 

  

Tax benefits related to stock-based awards

 

 

 

 

220 

 

Common stock acquired

  

  

(10,716)

  

  

(11,165)

  

Common stock acquired

 

 

(15,814)

 

 

(16,633)

 

Common stock sold

  

  

86 

  

  

452 

  

Common stock sold

 

 

184 

 

 

616 

 

  

Net cash used in financing activities

  

  

(15,283)

  

  

(13,814)

  

 

Net cash used in financing activities

 

 

(26,143)

 

 

(21,211)

 

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

Effects of exchange rate changes on cash

Effects of exchange rate changes on cash

  

  

24 

  

  

388 

  

Effects of exchange rate changes on cash

 

 

187 

 

 

(33)

 

Increase/(decrease) in cash and cash equivalents

Increase/(decrease) in cash and cash equivalents

  

  

5,138 

  

  

462 

  

Increase/(decrease) in cash and cash equivalents

 

 

391 

 

 

3,197 

 

Cash and cash equivalents at beginning of period

Cash and cash equivalents at beginning of period

  

  

12,664 

  

  

7,825 

  

Cash and cash equivalents at beginning of period

 

 

12,664 

 

 

7,825 

 

Cash and cash equivalents at end of period

Cash and cash equivalents at end of period

  

$

17,802 

  

$

8,287 

  

Cash and cash equivalents at end of period

 

$

13,055 

 

$

11,022 

 

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

SUPPLEMENTAL DISCLOSURES

SUPPLEMENTAL DISCLOSURES

  

  

  

  

  

  

  

SUPPLEMENTAL DISCLOSURES

 

 

 

 

 

 

Income taxes paid

  

$

12,327 

  

$

13,547 

  

Income taxes paid

 

$

17,895 

 

$

20,349 

 

Cash interest paid

  

$

290 

  

$

262 

  

Cash interest paid

 

$

387 

 

$

390 

 

 

 

The information in the Notes to Condensed Consolidated Financial Statements

is an integral part of these statements.


-6-

 


 

 

EXXON MOBIL CORPORATION

EXXON MOBIL CORPORATION

EXXON MOBIL CORPORATION

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

(millions of dollars)

(millions of dollars)

(millions of dollars)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  

  

ExxonMobil Share of Equity

  

  

  

  

 

 

ExxonMobil Share of Equity

 

 

 

 

  

  

  

  

  

  

  

Accumulated

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

  

  

  

  

  

  

  

  

Other

  

Common

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

Other

 

Common

 

 

 

 

 

 

 

 

  

  

  

  

  

  

  

  

Compre-

  

Stock

  

ExxonMobil

  

Non-

  

  

 

 

 

 

 

 

 

 

Compre-

 

Stock

 

ExxonMobil

 

Non-

 

 

  

  

Common

  

Earnings

  

hensive

  

Held in

  

Share of

  

Controlling

  

Total

 

 

Common

 

Earnings

 

hensive

 

Held in

 

Share of

 

controlling

 

Total

  

  

Stock

  

Reinvested

  

Income

  

Treasury

  

Equity

  

Interests

  

Equity

 

 

Stock

 

Reinvested

 

Income

 

Treasury

 

Equity

 

Interests

 

Equity

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance as of December 31, 2010

Balance as of December 31, 2010

  

$

9,371 

  

$

298,899 

  

$

(4,823)

  

$

(156,608)

  

$

146,839 

  

$

5,840 

  

$

152,679 

Balance as of December 31, 2010

 

$

9,371 

 

$

298,899 

 

$

(4,823)

 

$

(156,608)

 

$

146,839 

 

$

5,840 

 

$

152,679 

Amortization of stock-based awards

Amortization of stock-based awards

  

383 

  

  

  

  

383 

  

  

383 

Amortization of stock-based awards

 

572 

 

 

 

 

572 

 

 

572 

Tax benefits related to stock-based awards

Tax benefits related to stock-based awards

133 

  

  

  

  

133 

  

  

133 

Tax benefits related to stock-based awards

159 

 

 

 

 

159 

 

 

159 

Other

Other

  

(535)

  

  

  

  

(535)

  

(4)

  

(539)

Other

 

(596)

 

 

 

 

(596)

 

(4)

 

(600)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income for the period

Net income for the period

  

  

21,330 

  

  

  

21,330 

  

481 

  

21,811 

Net income for the period

 

 

31,660 

 

 

 

31,660 

 

822 

 

32,482 

Dividends – common shares

Dividends – common shares

  

  

(4,496)

  

  

  

(4,496)

  

(152)

  

(4,648)

Dividends – common shares

 

 

(6,773)

 

 

 

(6,773)

 

(264)

 

(7,037)

��

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive income

Other comprehensive income

  

  

  

2,024 

  

  

2,024 

  

131 

  

2,155 

Other comprehensive income

 

 

 

(505)

 

 

(505)

 

(109)

 

(614)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Acquisitions, at cost

Acquisitions, at cost

  

  

  

  

(11,165)

  

(11,165)

  

(12)

  

(11,177)

Acquisitions, at cost

 

 

 

 

(16,633)

 

(16,633)

 

(12)

 

(16,645)

Dispositions

Dispositions

  

  

  

  

  

  

  

  

1,038 

  

  

1,038 

  

  

  

  

1,038 

Dispositions

 

 

 

 

 

 

 

 

1,216 

 

 

1,216 

 

 

 

 

1,216 

Balance as of June 30, 2011

  

$

9,352 

  

$

315,733 

  

$

(2,799)

  

$

(166,735)

  

$

155,551 

  

$

6,284 

  

$

161,835 

Balance as of September 30, 2011

Balance as of September 30, 2011

 

$

9,506 

 

$

323,786 

 

$

(5,328)

 

$

(172,025)

 

$

155,939 

 

$

6,273 

 

$

162,212 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance as of December 31, 2011

Balance as of December 31, 2011

  

$

9,512 

  

$

330,939 

  

$

(9,123)

  

$

(176,932)

  

$

154,396 

  

$

6,348 

  

$

160,744 

Balance as of December 31, 2011

 

$

9,512 

 

$

330,939 

 

$

(9,123)

 

$

(176,932)

 

$

154,396 

 

$

6,348 

 

$

160,744 

Amortization of stock-based awards

Amortization of stock-based awards

  

439 

  

  

  

  

439 

  

  

439 

Amortization of stock-based awards

 

618 

 

 

 

 

618 

 

 

618 

Tax benefits related to stock-based awards

Tax benefits related to stock-based awards

  

23 

  

  

  

  

23 

  

  

23 

Tax benefits related to stock-based awards

 

252 

 

 

 

 

252 

 

 

252 

Other

Other

  

(753)

  

  

  

  

(753)

  

(1,450)

  

(2,203)

Other

 

(737)

 

 

 

 

(737)

 

(1,450)

 

(2,187)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income for the period

Net income for the period

  

  

25,360 

  

  

  

25,360 

  

2,093 

  

27,453 

Net income for the period

 

 

34,930 

 

 

 

34,930 

 

2,449 

 

37,379 

Dividends – common shares

Dividends – common shares

  

  

(4,878)

  

  

  

(4,878)

  

(214)

  

(5,092)

Dividends – common shares

 

 

(7,500)

 

 

 

(7,500)

 

(287)

 

(7,787)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive income

Other comprehensive income

  

  

  

(1,536)

  

  

(1,536)

  

(1,572)

  

(3,108)

Other comprehensive income

 

 

 

10 

 

 

10 

 

(1,387)

 

(1,377)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Acquisitions, at cost

Acquisitions, at cost

  

  

  

  

(10,716)

  

(10,716)

  

(31)

  

(10,747)

Acquisitions, at cost

 

 

 

 

(15,814)

 

(15,814)

 

(31)

 

(15,845)

Dispositions

Dispositions

  

  

  

  

  

  

  

  

476 

  

  

476 

  

  

  

  

476 

Dispositions

 

 

 

 

 

 

 

 

558 

 

 

558 

 

 

 

 

558 

Balance as of June 30, 2012

  

$

9,221 

  

$

351,421 

  

$

(10,659)

  

$

(187,172)

  

$

162,811 

  

$

5,174 

  

$

167,985 

Balance as of September 30, 2012

Balance as of September 30, 2012

 

$

9,645 

 

$

358,369 

 

$

(9,113)

 

$

(192,188)

 

$

166,713 

 

$

5,642 

 

$

172,355 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  

  

Six Months Ended June 30, 2012

  

  

  

Six Months Ended June 30, 2011

 

 

Nine Months Ended September 30, 2012

 

 

 

 

Nine Months Ended September 30, 2011

  

  

  

  

  

Held in

  

  

  

  

  

  

  

  

Held in

  

  

 

 

 

 

 

Held in

 

 

 

 

 

 

 

 

Held in

 

 

Common Stock Share Activity

Common Stock Share Activity

  

Issued

  

Treasury

  

Outstanding

  

  

  

Issued

  

Treasury

  

Outstanding

Common Stock Share Activity

 

Issued

 

Treasury

 

Outstanding

 

 

 

 

Issued

 

Treasury

 

Outstanding

  

(millions of shares)

  

  

  

(millions of shares)

 

(millions of shares)

 

 

 

 

(millions of shares)

Balance as of December 31

Balance as of December 31

  

8,019 

  

(3,285)

  

4,734 

 ��

  

  

  

8,019 

  

(3,040)

  

4,979 

Balance as of December 31

 

8,019 

 

(3,285)

 

4,734 

 

 

 

8,019 

 

(3,040)

 

4,979 

Acquisitions

  

  

(127)

  

(127)

  

  

  

  

(136)

  

(136)

Acquisitions

 

 

(185)

 

(185)

 

 

 

 

(209)

 

(209)

Dispositions

  

  

  

  

  

  

  

  

  

  

  

  

19 

  

  

19 

Dispositions

 

 

 

 

10 

 

 

10 

 

 

 

 

 

 

23 

 

 

23 

Balance as of June 30

  

  

8,019 

  

  

(3,403)

  

  

4,616 

  

  

  

  

8,019 

  

  

(3,157)

  

  

4,862 

Balance as of September 30

Balance as of September 30

 

 

8,019 

 

 

(3,460)

 

 

4,559 

 

 

 

 

8,019 

 

 

(3,226)

 

 

4,793 

 

 

The information in the Notes to Condensed Consolidated Financial Statements

is an integral part of these statements.


-7-

 


 

 

EXXON MOBIL CORPORATION

 

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

 

1.     Basis of Financial Statement Preparation

 

These unaudited condensed consolidated financial statements should be read in the context of the consolidated financial statements and notes thereto filed with the Securities and Exchange Commission in the Corporation's 2011 Annual Report on Form 10-K.  In the opinion of the Corporation, the information furnished herein reflects all known accruals and adjustments necessary for a fair statement of the results for the periods reported herein.  All such adjustments are of a normal recurring nature.  The Corporation's exploration and production activities are accounted for under the "successful efforts" method.

 

2.     Litigation and Other Contingencies

 

Litigation

 

A variety of claims have been made against ExxonMobil and certain of its consolidated subsidiaries in a number of pending lawsuits. Management has regular litigation reviews, including updates from corporate and outside counsel, to assess the need for accounting recognition or disclosure of these contingencies. The Corporation accrues an undiscounted liability for those contingencies where the incurrence of a loss is probable and the amount can be reasonably estimated. If a range of amounts can be reasonably estimated and no amount within the range is a better estimate than any other amount, then the minimum of the range is accrued. The Corporation does not record liabilities when the likelihood that the liability has been incurred is probable but the amount cannot be reasonably estimated or when the liability is believed to be only reasonably possible or remote. For contingencies where an unfavorable outcome is reasonably possible and which are significant, the Corporation discloses the nature of the contingency and, where feasible, an estimate of the possible loss. For purposes of our contingency disclosures, “significant” includes material matters as well as other matters which management believes should be disclosed. ExxonMobil will continue to defend itself vigorously in these matters. Based on a consideration of all relevant facts and circumstances, the Corporation does not believe the ultimate outcome of any currently pending lawsuit against ExxonMobil will have a materiallymaterial adverse effect upon the Corporation's operations, financial condition, or financial statements taken as a whole.

 

On June 30, 2011, a state district court jury in Baltimore County, Maryland returned a verdict against Exxon Mobil Corporation in Allison, et al v. Exxon Mobil Corporation, a case involving an accidental 26,000 gallon gasoline leak at a suburban Baltimore service station. The verdict included approximately $497 million in compensatory damages and approximately $1.0 billion in punitive damages in a finding that ExxonMobil fraudulently misled the plaintiff-residents about the events leading up to the leak, the leak's discovery, and the nature and extent of any groundwater contamination. ExxonMobil believes the verdict is not justified by the evidence and that the amount of the compensatory award is grossly excessive and the imposition of punitive damages is improper and unconstitutional. The trial court denied a post-trial motion that ExxonMobil filed to overturn the punitive damages verdict and entered a Final Judgmentfinal judgment in the amount of $1,488 million. ExxonMobil has appealed the verdict and judgment. The appeal is pending before the Maryland Court of Appeals. In an earlier trial involving the same leak and different plaintiffs, the jury awarded compensatory damages but rejected the plaintiffs' punitive damages claims. Those plaintiffs did not appeal the jury's denial of punitive damages. On February 9, 2012, the Maryland Court of Special Appeals reversed in part and affirmed in part the trial court's decision on compensatory damages in that case. The Maryland Court of Appeals granted writs of certiorari to both parties in response to their separate petitions seeking reversals of portions of the Court of Special Appeals' decision. The appeals in both of these cases have beenwere consolidated before the Maryland Court of Appeals.Appeals and arguments were held on November 5, 2012.  The ultimate outcome of all of this litigation is not expected to have a material adverse effect upon the Corporation's operations, financial condition, or financial statements taken as a whole.

 

Other Contingencies

 

The Corporation and certain of its consolidated subsidiaries were contingently liable at JuneSeptember 30, 2012, for guarantees relating to notes, loans and performance under contracts. These guarantees are not reasonably likely to have a material effect on the Corporation’s financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.


-8-

 


 

 

 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

As of June 30, 2012

  

  

  

  

  

  

  

Equity

  

Other

  

  

  

  

  

  

  

  

  

  

Company

  

Third Party

  

  

  

  

  

  

  

  

  

  

Obligations (1) 

  

Obligations

  

Total

  

  

  

  

  

  

  

(millions of dollars)

  

  

  

Guarantees

  

  

  

  

  

  

  

  

  

  

  

  

  

Debt-related

  

$

1,990 

  

$

64 

  

$

2,054 

  

  

  

  

Other

  

  

3,774 

  

  

3,977 

  

  

7,751 

  

  

  

  

  

Total

  

$

5,764 

  

$

4,041 

  

$

9,805 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

(1) ExxonMobil share

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of September 30, 2012

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity

 

Other

 

 

 

 

 

 

 

 

 

 

Company

 

Third Party

 

 

 

 

 

 

 

 

 

 

Obligations (1) 

 

Obligations

 

Total

 

 

 

 

 

 

 

(millions of dollars)

 

 

 

Guarantees

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt-related

 

$

2,224 

 

$

56 

 

$

2,280 

 

 

 

 

Other

 

 

3,243 

 

 

4,211 

 

 

7,454 

 

 

 

 

 

Total

 

$

5,467 

 

$

4,267 

 

$

9,734 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) ExxonMobil share

 

 

 

 

 

 

 

 

 

 

 

 

Additionally, the Corporation and its affiliates have numerous long-term sales and purchase commitments in their various business activities, all of which are expected to be fulfilled with no adverse consequences material to the Corporation’s operations or financial condition. The Corporation's outstanding unconditional purchase obligations at JuneSeptember 30, 2012, were similar to those at the prior year-end period. Unconditional purchase obligations as defined by accounting standards are those long-term commitments that are noncancelable or cancelable only under certain conditions, and that third parties have used to secure financing for the facilities that will provide the contracted goods or services.

 

The operations and earnings of the Corporation and its affiliates throughout the world have been, and may in the future be, affected from time to time in varying degree by political developments and laws and regulations, such as forced divestiture of assets; restrictions on production, imports and exports; price controls; tax increases and retroactive tax claims; expropriation of property; cancellation of contract rights and environmental regulations.  Both the likelihood of such occurrences and their overall effect upon the Corporation vary greatly from country to country and are not predictable.

 

In accordance with a nationalization decree issued by Venezuela’s president in February 2007, by May 1, 2007 a subsidiary of the Venezuelan National Oil Company (PdVSA) assumed the operatorship of the Cerro Negro Heavy Oil Project. This Project had been operated and owned by ExxonMobil affiliates holding a 41.67 percent ownership interest in the Project.  The decree also required conversion of the Cerro Negro Project into a “mixed enterprise” and an increase in PdVSA’s or one of its affiliate’s ownership interest in the Project, with the stipulation that if ExxonMobil refused to accept the terms for the formation of the mixed enterprise within a specified period of time, the government would “directly assume the activities” carried out by the joint venture.  ExxonMobil refused to accede to the terms proffered by the government, and on June 27, 2007, the government expropriated ExxonMobil’s 41.67 percent interest in the Cerro Negro Project.  ExxonMobil’s remaining net book investment in Cerro Negro producing assets is about $750 million.

 

On September 6, 2007, affiliates of ExxonMobil filed a Request for Arbitration with the International Centre for Settlement of Investment Disputes (ICSID) invoking ICSID jurisdiction under Venezuela’s Investment Law and the Netherlands-Venezuela Bilateral Investment Treaty. The ICSID Tribunal issued a decision on June 10, 2010, finding that it had jurisdiction to proceed on the basis of the Netherlands-Venezuela Bilateral Investment Treaty. The ICSID arbitration proceeding is continuing and a hearing on the merits was held in February 2012.  At this time, the net impact of these matters on the Corporation’s consolidated financial results cannot be reasonably estimated. Regardless, the Corporation does not expect the resolution to have a material effect upon the Corporation’s operations or financial condition.

 

An affiliate of ExxonMobil is one of the Contractors under a Production Sharing Contract (PSC) with the Nigerian National Petroleum Corporation (NNPC) covering the Erha block located in the offshore waters of Nigeria. ExxonMobil's affiliate is the operator of the block and owns a 56.25 percent interest under the PSC. The Contractors are in dispute with NNPC regarding NNPC's lifting of crude oil in excess of its entitlement under the terms of the PSC. In accordance with the terms of the PSC, the Contractors initiated arbitration in Abuja, Nigeria, under the Nigerian Arbitration and Conciliation Act. On October 24, 2011, a three-member arbitral Tribunal issued an award upholding the Contractors' position in all material respects and awarding damages to the Contractors jointly in an amount of approximately $1.8 billion plus $234 million in accrued interest. The Contractors petitioned a Nigerian federal court for enforcement of the award, and NNPC petitioned the same court to have the award set aside. On May 22, 2012, the court set aside the award.  The Contractors have appealed that judgment. At this time, the net impact of this matter on the Corporation's consolidated financial results cannot be reasonably estimated. However, regardless of the outcome of enforcement proceedings, the Corporation does not expect the proceedings to have a material effect upon the Corporation's operations or financial condition.


-9-

 


 

 

3.     Other Comprehensive Income Information

 

  

  

  

  

  

ExxonMobil Share of Accumulated

  

  

  

  

  

Other Comprehensive Income

  

  

  

  

  

Cumulative

  

Post-

  

Unrealized

  

  

  

  

  

  

  

  

Foreign

  

retirement

  

Change in

  

  

  

  

  

  

  

  

Exchange

  

Benefits

  

Fair Value

  

  

  

  

  

  

  

  

Translation

  

Reserves

  

on Cash

  

  

  

  

  

  

  

  

Adjustment

  

Adjustment

  

Flow Hedges

  

Total

  

  

  

  

(millions of dollars)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Balance as of December 31, 2010

  

$

 5,011 

  

$

 (9,889) 

  

$

 55 

  

$

 (4,823) 

  

Current period change excluding amounts reclassified

  

  

  

  

  

  

  

  

  

  

  

  

  

  

from accumulated other comprehensive income

  

  

 1,939 

  

  

 (492) 

  

  

 10 

  

  

 1,457 

  

Amounts reclassified from accumulated other

  

  

  

  

  

  

  

  

  

  

  

  

  

  

comprehensive income

  

  

 - 

  

  

 600 

  

  

 (33) 

  

  

 567 

  

Total change in accumulated other comprehensive

  

  

  

  

  

  

  

  

  

  

  

  

  

  

income

  

  

 1,939 

  

  

 108 

  

  

 (23) 

  

  

 2,024 

  

Balance as of June 30, 2011

  

$

 6,950 

  

$

 (9,781) 

  

$

 32 

  

$

 (2,799) 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Balance as of December 31, 2011

  

$

 4,168 

  

$

 (13,291) 

  

$

 - 

  

$

 (9,123) 

  

Current period change excluding amounts reclassified

  

  

  

  

  

  

  

  

  

  

  

  

  

  

from accumulated other comprehensive income

  

  

 (266) 

  

  

 (152) 

  

  

 - 

  

  

 (418) 

  

Amounts reclassified from accumulated other

  

  

  

  

  

  

  

  

  

  

  

  

  

  

comprehensive income

  

  

 (2,484) 

  

  

 1,366 

  

  

 - 

  

  

 (1,118) 

  

Total change in accumulated other comprehensive

  

  

  

  

  

  

  

  

  

  

  

  

  

  

income

  

  

 (2,750) 

  

  

 1,214 

  

  

 - 

  

  

 (1,536) 

  

Balance as of June 30, 2012

  

$

 1,418 

  

$

 (12,077) 

  

$

 - 

  

$

 (10,659) 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ExxonMobil Share of Accumulated

 

 

 

 

 

Other Comprehensive Income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cumulative

 

Post-

 

Unrealized

 

 

 

 

 

 

 

 

Foreign

 

retirement

 

Change in

 

 

 

 

 

 

 

 

Exchange

 

Benefits

 

Fair Value

 

 

 

 

 

 

 

 

Translation

 

Reserves

 

on Cash

 

 

 

 

 

 

 

 

Adjustment

 

Adjustment

 

Flow Hedges

 

Total

 

 

 

 

(millions of dollars)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance as of December 31, 2010

 

$

 5,011 

 

$

 (9,889) 

 

$

 55 

 

$

 (4,823) 

 

Current period change excluding amounts reclassified

 

 

 

 

 

 

 

 

 

 

 

 

 

 

from accumulated other comprehensive income

 

 

 (1,110) 

 

 

 (252) 

 

 

 24 

 

 

 (1,338) 

 

Amounts reclassified from accumulated other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

comprehensive income

 

 

 - 

 

 

 883 

 

 

 (50) 

 

 

 833 

 

Total change in accumulated other comprehensive

 

 

 

 

 

 

 

 

 

 

 

 

 

 

income

 

 

 (1,110) 

 

 

 631 

 

 

 (26) 

 

 

 (505) 

 

Balance as of September 30, 2011

 

$

 3,901 

 

$

 (9,258) 

 

$

 29 

 

$

 (5,328) 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance as of December 31, 2011

 

$

 4,168 

 

$

 (13,291) 

 

$

 - 

 

$

 (9,123) 

 

Current period change excluding amounts reclassified

 

 

 

 

 

 

 

 

 

 

 

 

 

 

from accumulated other comprehensive income

 

 

 1,159 

 

 

 (351) 

 

 

 - 

 

 

 808 

 

Amounts reclassified from accumulated other

 

 

 

 

 

 

 

 

 

 

 

 

 

 

comprehensive income

 

 

 (2,603) 

 

 

 1,805 

 

 

 - 

 

 

 (798) 

 

Total change in accumulated other comprehensive

 

 

 

 

 

 

 

 

 

 

 

 

 

 

income

 

 

 (1,444) 

 

 

 1,454 

 

 

 - 

 

 

 10 

 

Balance as of September 30, 2012

 

$

 2,724 

 

$

 (11,837) 

 

$

 - 

 

$

 (9,113) 

 

 

  

  

  

  

  

Three Months Ended

  

Six Months Ended

  

  

  

  

  

June 30,

  

June 30,

  

  

  

  

  

2012 

  

2011 

  

2012 

  

2011 

  

  

  

  

  

(millions of dollars)

  

Income Tax (Expense)/Credit For

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Components of Other Comprehensive Income

  

  

  

  

  

  

  

  

  

  

  

  

  

Foreign exchange translation adjustment

  

$

 23 

  

$

 (51) 

  

$

 (37) 

  

$

 (87) 

  

Postretirement benefits reserves adjustment

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Postretirement benefits reserves adjustment

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

(excluding amortization)

  

  

 (71) 

  

  

 60 

  

  

 90 

  

  

 237 

  

  

Amortization and settlement of postretirement benefits reserves

  

  

  

  

  

  

  

  

  

  

  

  

  

  

adjustment included in net periodic benefit costs

  

  

 (743) 

  

  

 (146) 

  

  

 (932) 

  

  

 (301) 

  

Unrealized change in fair value on cash flow hedges

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Change in fair value of cash flow hedges

  

  

 - 

  

  

 (3) 

  

  

 - 

  

  

 (5) 

  

  

Realized (gain)/loss from settled cash flow hedges

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

included in net income

  

  

 - 

  

  

 8 

  

  

 - 

  

  

 20 

  

Total

  

$

 (791) 

  

$

 (132) 

  

$

 (879) 

  

$

 (136) 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

 

(millions of dollars)

 

Income Tax (Expense)/Credit For

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Components of Other Comprehensive Income

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign exchange translation adjustment

 

$

 (55) 

 

$

 121 

 

$

 (92) 

 

$

 34 

 

Postretirement benefits reserves adjustment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Postretirement benefits reserves adjustment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(excluding amortization)

 

 

 100 

 

 

 (111) 

 

 

 190 

 

 

 126 

 

 

Amortization and settlement of postretirement benefits reserves

 

 

 

 

 

 

 

 

 

 

 

 

 

 

adjustment included in net periodic benefit costs

 

 

 (200) 

 

 

 (132) 

 

 

 (1,132) 

 

 

 (433) 

 

Unrealized change in fair value on cash flow hedges

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Change in fair value of cash flow hedges

 

 

 - 

 

 

 (9) 

 

 

 - 

 

 

 (14) 

 

  

Realized (gain)/loss from settled cash flow hedges

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

included in net income

 

 

 - 

 

 

 11 

 

 

 - 

 

 

 31 

 

Total

 

$

 (155) 

 

$

 (120) 

 

$

 (1,034) 

 

$

 (256) 


-10-

 


 

 

4.     Earnings Per Share

 

  

  

  

   

  

Three Months Ended

  

Six Months Ended

  

  

  

   

  

June 30,

  

June 30,

  

  

  

   

  

2012 

  

2011 

  

2012 

  

2011 

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Earnings per common share

  

  

  

  

  

  

  

  

  

  

  

  

  

Net income attributable to ExxonMobil (millions of dollars)

  

$

15,910 

  

$

10,680 

  

$

25,360 

  

$

21,330 

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Weighted average number of common shares

  

  

  

  

  

  

  

  

  

  

  

  

  

  

outstanding (millions of shares)

  

  

4,656 

  

  

4,906 

  

  

4,686 

  

  

4,934 

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Earnings per common share (dollars)

  

$

3.41 

  

$

2.19 

  

$

5.41 

  

$

4.33 

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Earnings per common share - assuming dilution

  

  

  

  

  

  

  

  

  

  

  

  

  

Net income attributable to ExxonMobil (millions of dollars)

  

$

15,910 

  

$

10,680 

  

$

25,360 

  

$

21,330 

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Weighted average number of common shares

  

  

  

  

  

  

  

  

  

  

  

  

  

  

outstanding (millions of shares)

  

  

4,656 

  

  

4,906 

  

  

4,686 

  

  

4,934 

  

  

  

    Effect of employee stock-based awards

  

  

  

  

  

  

  

  

  

Weighted average number of common shares

  

  

  

  

  

  

  

  

  

  

  

  

  

  

outstanding - assuming dilution

  

  

4,657 

  

  

4,912 

  

  

4,687 

  

  

4,941 

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Earnings per common share

  

  

  

  

  

  

  

  

  

  

  

  

  

  

- assuming dilution (dollars)

  

$

3.41 

  

$

2.18 

  

$

5.41 

  

$

4.32 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income attributable to ExxonMobil (millions of dollars)

 

$

9,570 

 

$

10,330 

 

$

34,930 

 

$

31,660 

 

  

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares

 

 

 

 

 

 

 

 

 

 

 

 

 

 

outstanding (millions of shares)

 

 

4,597 

 

 

4,839 

 

 

4,657 

 

 

4,902 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share (dollars)

 

$

2.09 

 

$

2.13 

 

$

7.50 

 

$

6.46 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share - assuming dilution

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income attributable to ExxonMobil (millions of dollars)

 

$

9,570 

 

$

10,330 

 

$

34,930 

 

$

31,660 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares

 

 

 

 

 

 

 

 

 

 

 

 

 

 

outstanding (millions of shares)

 

 

4,597 

 

 

4,839 

 

 

4,657 

 

 

4,902 

 

 

 

    Effect of employee stock-based awards

 

 

 - 

 

 

 

 

 - 

 

 

 

Weighted average number of common shares

 

 

 

 

 

 

 

 

 

 

 

 

 

 

outstanding - assuming dilution

 

 

4,597 

 

 

4,843 

 

 

4,657 

 

 

4,908 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share

 

 

 

 

 

 

 

 

 

 

 

 

 

 

- assuming dilution (dollars)

 

$

2.09 

 

$

2.13 

 

$

7.50 

 

$

6.45 


-11-

 


 

 

5.     Pension and Other Postretirement Benefits

 

  

  

  

  

   

  

Three Months Ended

  

Six Months Ended

  

  

  

  

   

  

June 30,

  

June 30,

  

  

  

  

   

  

2012 

  

2011 

  

2012 

  

2011 

  

  

  

  

   

  

(millions of dollars)

  

Pension Benefits - U.S.

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Components of net benefit cost

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Service cost

  

$

 160 

  

$

 124 

  

$

 316 

  

$

 249 

  

  

  

Interest cost

  

  

 205 

  

  

 198 

  

  

 410 

  

  

 396 

  

  

  

Expected return on plan assets

  

  

 (204) 

  

  

 (193) 

  

  

 (394) 

  

  

 (385) 

  

  

  

Amortization of actuarial loss/(gain) and prior 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

service cost

  

  

 144 

  

  

 124 

  

  

 290 

  

  

 247 

  

  

  

Net pension enhancement and

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

curtailment/settlement cost

  

  

 123 

  

  

 101 

  

  

 246 

  

  

 202 

  

  

  

Net benefit cost

  

$

 428 

  

$

 354 

  

$

 868 

  

$

 709 

  

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Pension Benefits - Non-U.S.

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Components of net benefit cost

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Service cost

  

$

 166 

  

$

 146 

  

$

 334 

  

$

 285 

  

  

  

Interest cost

  

  

 282 

  

  

 323 

  

  

 580 

  

  

 639 

  

  

  

Expected return on plan assets

  

  

 (273) 

  

  

 (296) 

  

  

 (562) 

  

  

 (586) 

  

  

  

Amortization of actuarial loss/(gain) and prior 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

service cost

  

  

 237 

  

  

 193 

  

  

 491 

  

  

 377 

  

  

  

Net pension enhancement and

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

curtailment/settlement cost (1)

  

  

 1,423 

  

  

 - 

  

  

 1,429 

  

  

 - 

  

  

  

Net benefit cost

  

$

 1,835 

  

$

 366 

  

$

 2,272 

  

$

 715 

  

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

Other Postretirement Benefits

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Components of net benefit cost

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Service cost

  

$

 36 

  

$

 38 

  

$

 69 

  

$

 64 

  

  

  

Interest cost

  

  

 101 

  

  

 101 

  

  

 204 

  

  

 204 

  

  

  

Expected return on plan assets

  

  

 (10) 

  

  

 (12) 

  

  

 (21) 

  

  

 (22) 

  

  

  

Amortization of actuarial loss/(gain) and prior 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

service cost

  

  

 55 

  

  

 49 

  

  

 108 

  

  

 106 

  

  

  

Net benefit cost

  

$

 182 

  

$

 176 

  

$

 360 

  

$

 352 

 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

 

 

(millions of dollars)

 

Pension Benefits - U.S.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Components of net benefit cost

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service cost

 

$

 173 

 

$

 148 

 

$

 489 

 

$

 397 

 

 

 

Interest cost

 

 

 205 

 

 

 198 

 

 

 615 

 

 

 594 

 

 

 

Expected return on plan assets

 

 

 (196) 

 

 

 (192) 

 

 

 (590) 

 

 

 (577) 

 

 

 

Amortization of actuarial loss/(gain) and prior

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

service cost

 

 

 146 

 

 

 123 

 

 

 436 

 

 

 370 

 

 

 

Net pension enhancement and

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

curtailment/settlement cost

 

 

 123 

 

 

 64 

 

 

 369 

 

 

 266 

 

 

 

Net benefit cost

 

$

 451 

 

$

 341 

 

$

 1,319 

 

$

 1,050 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pension Benefits - Non-U.S.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Components of net benefit cost

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service cost

 

$

 156 

 

$

 147 

 

$

 490 

 

$

 432 

 

 

 

Interest cost

 

 

 279 

 

 

 317 

 

 

 859 

 

 

 956 

 

 

 

Expected return on plan assets

 

 

 (269) 

 

 

 (293) 

 

 

 (831) 

 

 

 (879) 

 

 

 

Amortization of actuarial loss/(gain) and prior

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

service cost

 

 

 228 

 

 

 189 

 

 

 719 

 

 

 566 

 

 

 

Net pension enhancement and

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

curtailment/settlement cost (1)

 

 

 109 

 

 

 7 

 

 

 1,538 

 

 

 7 

 

 

 

Net benefit cost

 

$

 503 

 

$

 367 

 

$

 2,775 

 

$

 1,082 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Postretirement Benefits

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Components of net benefit cost

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Service cost

 

$

 31 

 

$

 30 

 

$

 100 

 

$

 94 

 

 

 

Interest cost

 

 

 89 

 

 

 96 

 

 

 293 

 

 

 300 

 

 

 

Expected return on plan assets

 

 

 (9) 

 

 

 (10) 

 

 

 (30) 

 

 

 (32) 

 

 

 

Amortization of actuarial loss/(gain) and prior

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

service cost

 

 

 48 

 

 

 47 

 

 

 156 

 

 

 153 

 

 

 

Net benefit cost

 

$

 159 

 

$

 163 

 

$

 519 

 

$

 515 

 

(1)   Non-U.S. net pension enhancement and curtailment/settlement cost for the three months and sixnine months ended JuneSeptember 30, 2012, includes $1,420 million (on a consolidated‑company, before‑tax basis) of accumulated other comprehensive income for the postretirement benefit reserves adjustment that was recycled into earnings and included in the Japan restructuring gain reported in “Other income” (See Note 10)9).


-12-

 


 

 

6.     Financial Instruments

 

The fair value of financial instruments is determined by reference to observable market data and other valuation techniques as appropriate.  The only category of financial instruments where the difference between fair value and recorded book value is notable is long-term debt.  The estimated fair value of total long-term debt, including capitalized lease obligations, was $9.4$9.5 billion at JuneSeptember 30, 2012, and $9.8 billion at December 31, 2011, as compared to recorded book values of $8.9 billion at JuneSeptember 30, 2012, and $9.3 billion at December 31, 2011.  The fair value of long-term debt by hierarchy level at JuneSeptember 30, 2012, is shown below:

 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

As of June 30, 2012

  

  

  

  

  

  

Level 1

  

Level 2

  

Level 3

  

Total

  

  

  

  

  

  

(millions of dollars)

  

  

  

  

Long-term debt fair value

  

  

$ 6,555

  

  

$ 2,472

  

  

$ 378

  

  

$ 9,405

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As of September 30, 2012

 

 

 

 

 

 

Level 1

 

Level 2

 

Level 3

 

Total

 

 

 

 

 

 

(millions of dollars)

 

 

 

 

Long-term debt fair value

 

 

$ 6,594

 

 

$ 2,609

 

 

$ 322

 

 

$ 9,525

 

 

 

The fair value hierarchy for long-term debt is primarily Level 1 and represents quoted prices in active markets. Level 2 includes debt whose fair value is based upon a publicly available index.  The Level 3 amount is primarily capitalized leases whose value is typically determined through the use of present value and specific contract terms.


-13-

 


 

 

7.     Disclosures about Segments and Related Information

 

  

  

  

   

  

Three Months Ended

  

Six Months Ended

  

  

  

   

  

June 30,

  

June 30,

  

  

  

   

  

2012 

  

2011 

  

2012 

  

2011 

  

  

  

   

  

(millions of dollars)

  

EARNINGS AFTER INCOME TAX

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Upstream

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

$

678 

  

$

1,449 

  

$

1,688 

  

$

2,728 

  

  

  

Non-U.S.

  

  

7,680 

  

  

7,092 

  

  

14,472 

  

  

14,488 

  

  

Downstream

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

  

834 

  

  

734 

  

  

1,437 

  

  

1,428 

  

  

  

Non-U.S. (1)

  

  

5,812 

  

  

622 

  

  

6,795 

  

  

1,027 

  

  

Chemical

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

  

494 

  

  

625 

  

  

927 

  

  

1,294 

  

  

  

Non-U.S. (1)

  

  

955 

  

  

696 

  

  

1,223 

  

  

1,543 

  

  

All other

  

  

(543)

  

  

(538)

  

  

(1,182)

  

  

(1,178)

  

  

Corporate total

  

$

15,910 

  

$

10,680 

  

$

25,360 

  

$

21,330 

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

(1)

2012 periods include gain associated with the Japan restructuring (See Note 10) of $5.3 billion in the non-U.S.

  

  

Downstream and $0.6 billion in the non-U.S. Chemical segments.

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

SALES AND OTHER OPERATING REVENUE (2)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Upstream

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

$

2,607 

  

$

3,629 

  

$

5,574 

  

$

6,915 

  

  

  

Non-U.S.

  

  

7,059 

  

  

8,705 

  

  

14,955 

  

  

17,583 

  

  

Downstream

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

  

30,461 

  

  

32,038 

  

  

61,370 

  

  

59,575 

  

  

  

Non-U.S.

  

  

62,809 

  

  

65,960 

  

  

129,827 

  

  

125,151 

  

  

Chemical

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

  

3,747 

  

  

4,129 

  

  

7,674 

  

  

7,776 

  

  

  

Non-U.S.

  

  

6,055 

  

  

6,926 

  

  

12,523 

  

  

13,634 

  

  

All other

  

  

  

  

  

  

11 

  

  

11 

  

  

Corporate total

  

$

112,745 

  

$

121,394 

  

$

231,934 

  

$

230,645 

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

(2)

Includes sales-based taxes

  

  

  

  

  

  

  

  

  

  

  

  

  

   

  

  

  

  

  

  

  

  

  

  

  

  

  

INTERSEGMENT REVENUE

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Upstream

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

$

2,111 

  

$

2,598 

  

$

4,603 

  

$

4,957 

  

  

  

Non-U.S.

  

  

11,896 

  

  

12,873 

  

  

24,066 

  

  

25,178 

  

  

Downstream

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

  

5,282 

  

  

5,115 

  

  

10,792 

  

  

9,645 

  

  

  

Non-U.S.

  

  

14,737 

  

  

19,632 

  

  

31,906 

  

  

36,133 

  

  

Chemical

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

  

3,000 

  

  

3,502 

  

  

6,128 

  

  

6,318 

  

  

  

Non-U.S.

  

  

2,580 

  

  

2,685 

  

  

5,273 

  

  

5,135 

  

  

All other

  

  

67 

  

  

62 

  

  

137 

  

  

126 

 

 

 

 

 

Three Months Ended

 

Nine Months Ended

 

 

 

 

 

September 30,

 

September 30,

 

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

 

(millions of dollars)

 

EARNINGS AFTER INCOME TAX

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Upstream

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

633 

 

$

1,184 

 

$

2,321 

 

$

3,912 

 

 

 

Non-U.S.

 

 

5,340 

 

 

7,210 

 

 

19,812 

 

 

21,698 

 

 

Downstream

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

 

1,441 

 

 

810 

 

 

2,878 

 

 

2,238 

 

 

 

Non-U.S. (1)

 

 

1,749 

 

 

769 

 

 

8,544 

 

 

1,796 

 

 

Chemical

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

 

565 

 

 

538 

 

 

1,492 

 

 

1,832 

 

 

 

Non-U.S. (1)

 

 

225 

 

 

465 

 

 

1,448 

 

 

2,008 

 

 

All other

 

 

(383)

 

 

(646)

 

 

(1,565)

 

 

(1,824)

 

 

Corporate total

 

$

9,570 

 

$

10,330 

 

$

34,930 

 

$

31,660 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)

Nine months ended September 30, 2012, includes the gain associated with the Japan restructuring (See Note 9)

 

 

of $5.3 billion in the non-U.S. Downstream and $0.6 billion in the non-U.S. Chemical segments.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

SALES AND OTHER OPERATING REVENUE (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Upstream

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

2,830 

 

$

3,686 

 

$

8,404 

 

$

10,601 

 

 

 

Non-U.S.

 

 

7,208 

 

 

7,101 

 

 

22,163 

 

 

24,684 

 

 

Downstream

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

 

31,621 

 

 

31,329 

 

 

92,991 

 

 

90,904 

 

 

 

Non-U.S.

 

 

60,763 

 

 

67,591 

 

 

190,590 

 

 

192,742 

 

 

Chemical

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

 

3,493 

 

 

4,053 

 

 

11,167 

 

 

11,829 

 

 

 

Non-U.S.

 

 

5,634 

 

 

6,711 

 

 

18,157 

 

 

20,345 

 

 

All other

 

 

 

 

 

 

16 

 

 

15 

 

 

Corporate total

 

$

111,554 

 

$

120,475 

 

$

343,488 

 

$

351,120 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(2)

Includes sales-based taxes

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

INTERSEGMENT REVENUE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Upstream

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

1,935 

 

$

2,232 

 

$

6,538 

 

$

7,189 

 

 

 

Non-U.S.

 

 

11,105 

 

 

12,527 

 

 

35,171 

 

 

37,705 

 

 

Downstream

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

 

5,422 

 

 

4,426 

 

 

16,214 

 

 

14,071 

 

 

 

Non-U.S.

 

 

15,309 

 

 

17,854 

 

 

47,215 

 

 

53,987 

 

 

Chemical

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

 

3,301 

 

 

2,884 

 

 

9,429 

 

 

9,202 

 

 

 

Non-U.S.

 

 

2,292 

 

 

2,960 

 

 

7,565 

 

 

8,095 

 

 

All other

 

 

75 

 

 

66 

 

 

212 

 

 

192 

 

 

8.     Accounting for Suspended Exploratory Well Costs

 

For the category of exploratory well costs at year-end 2011 that were suspended more than one year, a total of $95 million was expensed in the first sixnine months of 2012.

 


-14-

 


 

 

9.    Condensed Consolidating Financial Information Related to Guaranteed Securities Issued by Subsidiaries

Exxon Mobil Corporation has fully and unconditionally guaranteed the deferred interest debentures due September 1, 2012 ($2,808 million) of SeaRiver Maritime Financial Holdings, Inc., a 100-percent-owned subsidiary of Exxon Mobil Corporation. 

The following condensed consolidating financial information is provided for Exxon Mobil Corporation, as guarantor, and for SeaRiver Maritime Financial Holdings, Inc., as issuer, as an alternative to providing separate financial statements for the issuer.  The accounts of Exxon Mobil Corporation and SeaRiver Maritime Financial Holdings, Inc. are presented utilizing the equity method of accounting for investments in subsidiaries.

  

  

  

  

SeaRiver

  

  

  

  

  

  

  

  

Exxon Mobil

  

Maritime

  

  

  

Consolidating

  

  

  

  

Corporation

  

Financial

  

  

  

and

  

  

  

  

Parent

  

Holdings,

  

All Other

  

Eliminating

  

  

  

  

Guarantor

  

Inc.

  

Subsidiaries

  

Adjustments

  

Consolidated

  

  

  

  

(millions of dollars)

  

Condensed consolidated statement of comprehensive income for three months ended June 30, 2012

  

Revenues and other income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Sales and other operating revenue,

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

including sales-based taxes

  

$

 4,241 

  

$

 - 

  

$

 108,504 

  

$

 - 

  

$

 112,745 

  

  

Income from equity affiliates

  

  

 16,024 

  

  

 11 

  

  

 3,620 

  

  

 (16,004) 

  

  

 3,651 

  

  

Other income

  

  

 128 

  

  

 - 

  

  

 10,839 

  

  

 - 

  

  

 10,967 

  

  

Intercompany revenue

  

  

 13,722 

  

  

 - 

  

  

 99,535 

  

  

 (113,257) 

  

  

 - 

  

  

  

  

Total revenues and other income

  

  

 34,115 

  

  

 11 

  

  

 222,498 

  

  

 (129,261) 

  

  

 127,363 

  

Costs and other deductions

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Crude oil and product purchases

  

  

 14,648 

  

  

 - 

  

  

 162,006 

  

  

 (110,310) 

  

  

 66,344 

  

  

Production and manufacturing

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 1,845 

  

  

 - 

  

  

 9,425 

  

  

 (1,483) 

  

  

 9,787 

  

  

Selling, general and administrative

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 783 

  

  

 - 

  

  

 2,868 

  

  

 (165) 

  

  

 3,486 

  

  

Depreciation and depletion

  

  

 410 

  

  

 - 

  

  

 3,489 

  

  

 - 

  

  

 3,899 

  

  

Exploration expenses, including dry

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

holes

  

  

 70 

  

  

 - 

  

  

 302 

  

  

 - 

  

  

 372 

  

  

Interest expense

  

  

 130 

  

  

 73 

  

  

 1,159 

  

  

 (1,312) 

  

  

 50 

  

  

Sales-based taxes

  

  

 - 

  

  

 - 

  

  

 8,027 

  

  

 - 

  

  

 8,027 

  

  

Other taxes and duties

  

  

 11 

  

  

 - 

  

  

 9,196 

  

  

 - 

  

  

 9,207 

  

  

  

  

Total costs and other deductions

  

  

 17,897 

  

  

 73 

  

  

 196,472 

  

  

 (113,270) 

  

  

 101,172 

  

Income before income taxes

  

  

 16,218 

  

  

 (62) 

  

  

 26,026 

  

  

 (15,991) 

  

  

 26,191 

  

  

Income taxes

  

  

 308 

  

  

 (27) 

  

  

 8,256 

  

  

 - 

  

  

 8,537 

  

Net income including noncontrolling

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

interests

  

  

 15,910 

  

  

 (35) 

  

  

 17,770 

  

  

 (15,991) 

  

  

 17,654 

  

  

Net income attributable to

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

noncontrolling interests

  

  

 - 

  

  

 - 

  

  

 1,744 

  

  

 - 

  

  

 1,744 

  

Net income attributable to ExxonMobil

  

$

 15,910 

  

$

 (35) 

  

$

 16,026 

  

$

 (15,991) 

  

$

 15,910 

  

Comprehensive income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

attributable to ExxonMobil

  

$

 13,249 

  

$

 (35) 

  

$

 13,153 

  

$

 (13,118) 

  

$

 13,249 


-15-


  

  

  

  

  

  

  

  

  

SeaRiver

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Exxon Mobil

  

Maritime

  

  

  

  

Consolidating

  

  

  

  

  

  

  

  

  

Corporation

  

Financial

  

  

  

  

and

  

  

  

  

  

  

  

  

  

Parent

  

Holdings,

  

All Other

  

Eliminating

  

  

  

  

  

  

  

  

  

Guarantor

  

Inc.

  

Subsidiaries

  

Adjustments

  

Consolidated

  

  

  

  

  

  

(millions of dollars)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Condensed consolidated statement of comprehensive income for three months ended June 30, 2011

  

Revenues and other income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Sales and other operating revenue,

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

including sales-based taxes

  

$

 4,811 

  

$

 - 

  

$

 116,583 

  

$

 - 

  

$

 121,394 

  

  

Income from equity affiliates

  

  

 9,169 

  

  

 (9) 

  

  

 3,697 

  

  

 (9,137) 

  

  

 3,720 

  

  

Other income

  

  

 26 

  

  

 - 

  

  

 346 

  

  

 - 

  

  

 372 

  

  

Intercompany revenue

  

  

 14,473 

  

  

 1 

  

  

 116,608 

  

  

 (131,082) 

  

  

 - 

  

  

  

  

Total revenues and other income

  

  

 28,479 

  

  

 (8) 

  

  

 237,234 

  

  

 (140,219) 

  

  

 125,486 

  

Costs and other deductions

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Crude oil and product purchases

  

  

 13,577 

  

  

 - 

  

  

 184,103 

  

  

 (128,233) 

  

  

 69,447 

  

  

Production and manufacturing

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 2,003 

  

  

 - 

  

  

 9,745 

  

  

 (1,426) 

  

  

 10,322 

  

  

Selling, general and administrative

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 707 

  

  

 - 

  

  

 3,154 

  

  

 (180) 

  

  

 3,681 

  

  

Depreciation and depletion

  

  

 425 

  

  

 - 

  

  

 3,456 

  

  

 - 

  

  

 3,881 

  

  

Exploration expenses, including dry

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

holes

  

  

 47 

  

  

 - 

  

  

 545 

  

  

 - 

  

  

 592 

  

  

Interest expense

  

  

 87 

  

  

 69 

  

  

 1,151 

  

  

 (1,262) 

  

  

 45 

  

  

Sales-based taxes

  

  

 - 

  

  

 - 

  

  

 8,613 

  

  

 - 

  

  

 8,613 

  

  

Other taxes and duties

  

  

 11 

  

  

 - 

  

  

 10,275 

  

  

 - 

  

  

 10,286 

  

  

  

  

Total costs and other deductions

  

  

 16,857 

  

  

 69 

  

  

 221,042 

  

  

 (131,101) 

  

  

 106,867 

  

Income before income taxes

  

  

 11,622 

  

  

 (77) 

  

  

 16,192 

  

  

 (9,118) 

  

  

 18,619 

  

  

Income taxes

  

  

 942 

  

  

 (26) 

  

  

 6,805 

  

  

 - 

  

  

 7,721 

  

Net income including noncontrolling

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

interests

  

  

 10,680 

  

  

 (51) 

  

  

 9,387 

  

  

 (9,118) 

  

  

 10,898 

  

  

Net income attributable to

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

noncontrolling interests

  

  

 - 

  

  

 - 

  

  

 218 

  

  

 - 

  

  

 218 

  

Net income attributable to ExxonMobil

  

$

 10,680 

  

$

 (51) 

  

$

 9,169 

  

$

 (9,118) 

  

$

 10,680 

  

Comprehensive income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

attributable to ExxonMobil

  

$

 11,537 

  

$

 (51) 

  

$

 9,843 

  

$

 (9,792) 

  

$

 11,537 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Condensed consolidated statement of comprehensive income for six months ended June 30, 2012

  

Revenues and other income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Sales and other operating revenue,

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

including sales-based taxes

  

$

 8,720 

  

$

 - 

  

$

 223,214 

  

$

 - 

  

$

 231,934 

  

  

Income from equity affiliates

  

  

 25,420 

  

  

 16 

  

  

 7,791 

  

  

 (25,366) 

  

  

 7,861 

  

  

Other income

  

  

 252 

  

  

 - 

  

  

 11,369 

  

  

 - 

  

  

 11,621 

  

  

Intercompany revenue

  

  

 28,129 

  

  

 1 

  

  

 216,035 

  

  

 (244,165) 

  

  

 - 

  

  

  

  

Total revenues and other income

  

  

 62,521 

  

  

 17 

  

  

 458,409 

  

  

 (269,531) 

  

  

 251,416 

  

Costs and other deductions

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Crude oil and product purchases

  

  

 30,032 

  

  

 - 

  

  

 344,341 

  

  

 (238,204) 

  

  

 136,169 

  

  

Production and manufacturing

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 3,826 

  

  

 - 

  

  

 18,744 

  

  

 (2,933) 

  

  

 19,637 

  

  

Selling, general and administrative

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 1,584 

  

  

 - 

  

  

 5,831 

  

  

 (328) 

  

  

 7,087 

  

  

Depreciation and depletion

  

  

 814 

  

  

 - 

  

  

 6,927 

  

  

 - 

  

  

 7,741 

  

  

Exploration expenses, including dry

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

holes

  

  

 187 

  

  

 - 

  

  

 707 

  

  

 - 

  

  

 894 

  

  

Interest expense

  

  

 279 

  

  

 146 

  

  

 2,465 

  

  

 (2,733) 

  

  

 157 

  

  

Sales-based taxes

  

  

 - 

  

  

 - 

  

  

 16,520 

  

  

 - 

  

  

 16,520 

  

  

Other taxes and duties

  

  

 21 

  

  

 - 

  

  

 19,484 

  

  

 - 

  

  

 19,505 

  

  

  

  

Total costs and other deductions

  

  

 36,743 

  

  

 146 

  

  

 415,019 

  

  

 (244,198) 

  

  

 207,710 

  

Income before income taxes

  

  

 25,778 

  

  

 (129) 

  

  

 43,390 

  

  

 (25,333) 

  

  

 43,706 

  

  

Income taxes

  

  

 418 

  

  

 (54) 

  

  

 15,889 

  

  

 - 

  

  

 16,253 

  

Net income including noncontrolling

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

interests

  

  

 25,360 

  

  

 (75) 

  

  

 27,501 

  

  

 (25,333) 

  

  

 27,453 

  

  

Net income attributable to

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

noncontrolling interests

  

  

 - 

  

  

 - 

  

  

 2,093 

  

  

 - 

  

  

 2,093 

  

Net income attributable to ExxonMobil

  

$

 25,360 

  

$

 (75) 

  

$

 25,408 

  

$

 (25,333) 

  

$

 25,360 

  

Comprehensive income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

attributable to ExxonMobil

  

$

 23,824 

  

$

 (75) 

  

$

 23,576 

  

$

 (23,501) 

  

$

 23,824 


-16-


  

  

  

  

  

  

SeaRiver

  

  

  

  

  

  

  

  

  

  

  

  

Exxon Mobil

  

Maritime

  

  

  

Consolidating

  

  

  

  

  

  

  

Corporation

  

Financial

  

  

  

and

  

  

  

  

  

  

  

Parent

  

Holdings,

  

All Other

  

Eliminating

  

  

  

  

  

  

  

Guarantor

  

Inc.

  

Subsidiaries

  

Adjustments

  

Consolidated

  

  

  

  

  

  

(millions of dollars)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Condensed consolidated statement of comprehensive income for six months ended June 30, 2011

  

Revenues and other income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Sales and other operating revenue,

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

including sales-based taxes

  

$

 9,058 

  

$

 - 

  

$

 221,587 

  

$

 - 

  

$

 230,645 

  

  

Income from equity affiliates

  

  

 20,323 

  

  

 (13) 

  

  

 7,492 

  

  

 (20,255) 

  

  

 7,547 

  

  

Other income

  

  

 56 

  

  

 - 

  

  

 1,242 

  

  

 - 

  

  

 1,298 

  

  

Intercompany revenue

  

  

 26,701 

  

  

 2 

  

  

 224,389 

  

  

 (251,092) 

  

  

 - 

  

  

  

  

Total revenues and other income

  

  

 56,138 

  

  

 (11) 

  

  

 454,710 

  

  

 (271,347) 

  

  

 239,490 

  

Costs and other deductions

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Crude oil and product purchases

  

  

 27,683 

  

  

 - 

  

  

 347,874 

  

  

 (245,613) 

  

  

 129,944 

  

  

Production and manufacturing

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 3,880 

  

  

 - 

  

  

 18,734 

  

  

 (2,772) 

  

  

 19,842 

  

  

Selling, general and administrative

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

expenses

  

  

 1,437 

  

  

 - 

  

  

 6,223 

  

  

 (352) 

  

  

 7,308 

  

  

Depreciation and depletion

  

  

 811 

  

  

 - 

  

  

 6,831 

  

  

 - 

  

  

 7,642 

  

  

Exploration expenses, including dry

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

holes

  

  

 111 

  

  

 - 

  

  

 815 

  

  

 - 

  

  

 926 

  

  

Interest expense

  

  

 141 

  

  

 137 

  

  

 2,190 

  

  

 (2,394) 

  

  

 74 

  

  

Sales-based taxes

  

  

 - 

  

  

 - 

  

  

 16,529 

  

  

 - 

  

  

 16,529 

  

  

Other taxes and duties

  

  

 20 

  

  

 - 

  

  

 19,669 

  

  

 - 

  

  

 19,689 

  

  

  

  

Total costs and other deductions

  

  

 34,083 

  

  

 137 

  

  

 418,865 

  

  

 (251,131) 

  

  

 201,954 

  

Income before income taxes

  

  

 22,055 

  

  

 (148) 

  

  

 35,845 

  

  

 (20,216) 

  

  

 37,536 

  

  

Income taxes

  

  

 725 

  

  

 (51) 

  

  

 15,051 

  

  

 - 

  

  

 15,725 

  

Net income including noncontrolling

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

interests

  

  

 21,330 

  

  

 (97) 

  

  

 20,794 

  

  

 (20,216) 

  

  

 21,811 

  

  

Net income attributable to

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

noncontrolling interests

  

  

 - 

  

  

 - 

  

  

 481 

  

  

 - 

  

  

 481 

  

Net income attributable to ExxonMobil

  

$

 21,330 

  

$

 (97) 

  

$

 20,313 

  

$

 (20,216) 

  

$

 21,330 

  

Comprehensive income

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

attributable to ExxonMobil

  

$

 23,354 

  

$

 (97) 

  

$

 22,096 

  

$

 (21,999) 

  

$

 23,354 


-17-


  

  

  

  

  

  

SeaRiver

  

  

  

  

  

  

  

  

  

  

  

  

Exxon Mobil

  

Maritime

  

  

  

  

Consolidating

  

  

  

  

  

  

Corporation

  

Financial

  

  

  

  

and

  

  

  

  

  

  

Parent

  

Holdings,

  

All Other

  

Eliminating

  

  

  

  

  

  

Guarantor

  

Inc.

  

Subsidiaries

  

Adjustments

  

Consolidated

  

  

  

(millions of dollars)

Condensed consolidated balance sheet as of June 30, 2012

Cash and cash equivalents

  

$

 3,251 

  

$

 - 

  

$

 14,551 

  

$

 - 

  

$

 17,802 

Cash and cash equivalents - restricted

  

  

 62 

  

  

 - 

  

  

 153 

  

  

 - 

  

  

 215 

Notes and accounts receivable - net

  

  

 3,157 

  

  

 26 

  

  

 31,714 

  

  

 (1,156) 

  

  

 33,741 

Inventories

  

  

 1,690 

  

  

 - 

  

  

 13,468 

  

  

 - 

  

  

 15,158 

Other current assets

  

  

 777 

  

  

 - 

  

  

 5,104 

  

  

 - 

  

  

 5,881 

  

Total current assets

  

  

 8,937 

  

  

 26 

  

  

 64,990 

  

  

 (1,156) 

  

  

 72,797 

Property, plant and equipment - net

  

  

 20,477 

  

  

 - 

  

  

 194,463 

  

  

 - 

  

  

 214,940 

Investments and other assets

  

  

 282,484 

  

  

 408 

  

  

 502,481 

  

  

 (743,465) 

  

  

 41,908 

Intercompany receivables

  

  

 17,050 

  

  

 2,859 

  

  

 593,250 

  

  

 (613,159) 

  

  

 - 

  

Total assets

  

$

 328,948 

  

$

 3,293 

  

$

 1,355,184 

  

$

 (1,357,780) 

  

$

 329,645 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Notes and loans payable

  

$

 1,485 

  

$

 2,808 

  

$

 2,411 

  

$

 - 

  

$

 6,704 

Accounts payable and accrued liabilities

  

  

 3,405 

  

  

 27 

  

  

 47,890 

  

  

 - 

  

  

 51,322 

Income taxes payable

  

  

 - 

  

  

 - 

  

  

 13,266 

  

  

 (1,156) 

  

  

 12,110 

  

Total current liabilities

  

  

 4,890 

  

  

 2,835 

  

  

 63,567 

  

  

 (1,156) 

  

  

 70,136 

Long-term debt

  

  

 354 

  

  

 - 

  

  

 8,523 

  

  

 - 

  

  

 8,877 

Postretirement benefits reserves

  

  

 11,879 

  

  

 - 

  

  

 10,238 

  

  

 - 

  

  

 22,117 

Deferred income tax liabilities

  

  

 1,778 

  

  

 - 

  

  

 35,073 

  

  

 - 

  

  

 36,851 

Other long-term obligations

  

  

 5,344 

  

  

 - 

  

  

 18,335 

  

  

 - 

  

  

 23,679 

Intercompany payables

  

  

 141,892 

  

  

 381 

  

  

 470,886 

  

  

 (613,159) 

  

  

 - 

  

Total liabilities

  

  

 166,137 

  

  

 3,216 

  

  

 606,622 

  

  

 (614,315) 

  

  

 161,660 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Earnings reinvested

  

  

 351,421 

  

  

 (1,107) 

  

  

 166,047 

  

  

 (164,940) 

  

  

 351,421 

Other ExxonMobil equity

  

  

 (188,610) 

  

  

 1,184 

  

  

 577,341 

  

  

 (578,525) 

  

  

 (188,610) 

  

ExxonMobil share of equity

  

  

 162,811 

  

  

 77 

  

  

 743,388 

  

  

 (743,465) 

  

  

 162,811 

Noncontrolling interests

  

  

 - 

  

  

 - 

  

  

 5,174 

  

  

 - 

  

  

 5,174 

  

Total equity

  

  

 162,811 

  

  

 77 

  

  

 748,562 

  

  

 (743,465) 

  

  

 167,985 

  

Total liabilities and equity

  

$

 328,948 

  

$

 3,293 

  

$

 1,355,184 

  

$

 (1,357,780) 

  

$

 329,645 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Condensed consolidated balance sheet as of December 31, 2011

Cash and cash equivalents

  

$

 1,354 

  

$

 - 

  

$

 11,310 

  

$

 - 

  

$

 12,664 

Cash and cash equivalents - restricted

  

  

 239 

  

  

 - 

  

  

 165 

  

  

 - 

  

  

 404 

Notes and accounts receivable - net

  

  

 2,719 

  

  

 - 

  

  

 36,569 

  

  

 (646) 

  

  

 38,642 

Inventories

  

  

 1,634 

  

  

 - 

  

  

 13,390 

  

  

 - 

  

  

 15,024 

Other current assets

  

  

 353 

  

  

 - 

  

  

 5,876 

  

  

 - 

  

  

 6,229 

  

Total current assets

  

  

 6,299 

  

  

 - 

  

  

 67,310 

  

  

 (646) 

  

  

 72,963 

Property, plant and equipment - net

  

  

 19,687 

  

  

 - 

  

  

 194,977 

  

  

 - 

  

  

 214,664 

Investments and other assets

  

  

 260,410 

  

  

 393 

  

  

 485,157 

  

  

 (702,535) 

  

  

 43,425 

Intercompany receivables

  

  

 17,325 

  

  

 2,726 

  

  

 543,844 

  

  

 (563,895) 

  

  

 - 

  

Total assets

  

$

 303,721 

  

$

 3,119 

  

$

 1,291,288 

  

$

 (1,267,076) 

  

$

 331,052 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Notes and loans payable

  

$

 1,851 

  

$

 2,662 

  

$

 3,198 

  

$

 - 

  

$

 7,711 

Accounts payable and accrued liabilities

  

  

 3,117 

  

  

 57 

  

  

 53,893 

  

  

 - 

  

  

 57,067 

Income taxes payable

  

  

 - 

  

  

 2 

  

  

 13,371 

  

  

 (646) 

  

  

 12,727 

  

Total current liabilities

  

  

 4,968 

  

  

 2,721 

  

  

 70,462 

  

  

 (646) 

  

  

 77,505 

Long-term debt

  

  

 293 

  

  

 - 

  

  

 9,029 

  

  

 - 

  

  

 9,322 

Postretirement benefits reserves

  

  

 12,344 

  

  

 - 

  

  

 12,650 

  

  

 - 

  

  

 24,994 

Deferred income tax liabilities

  

  

 1,450 

  

  

 - 

  

  

 35,168 

  

  

 - 

  

  

 36,618 

Other long-term obligations

  

  

 5,215 

  

  

 - 

  

  

 16,654 

  

  

 - 

  

  

 21,869 

Intercompany payables

  

  

 125,055 

  

  

 386 

  

  

 438,454 

  

  

 (563,895) 

  

  

 - 

  

Total liabilities

  

  

 149,325 

  

  

 3,107 

  

  

 582,417 

  

  

 (564,541) 

  

  

 170,308 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Earnings reinvested

  

  

 330,939 

  

  

 (1,032) 

  

  

 141,467 

  

  

 (140,435) 

  

  

 330,939 

Other ExxonMobil equity

  

  

 (176,543) 

  

  

 1,044 

  

  

 561,056 

  

  

 (562,100) 

  

  

 (176,543) 

  

ExxonMobil share of equity

  

  

 154,396 

  

  

 12 

  

  

 702,523 

  

  

 (702,535) 

  

  

 154,396 

Noncontrolling interests

  

  

 - 

  

  

 - 

  

  

 6,348 

  

  

 - 

  

  

 6,348 

  

Total equity

  

  

 154,396 

  

  

 12 

  

  

 708,871 

  

  

 (702,535) 

  

  

 160,744 

  

Total liabilities and equity

  

$

 303,721 

  

$

 3,119 

  

$

 1,291,288 

  

$

 (1,267,076) 

  

$

 331,052 


-18-


  

  

  

  

  

  

  

SeaRiver

  

  

  

  

  

  

  

  

  

  

  

  

  

Exxon Mobil

  

Maritime

  

  

  

  

Consolidating

  

  

  

  

  

  

  

Corporation

  

Financial

  

  

  

  

and

  

  

  

  

  

  

  

Parent

  

Holdings,

  

All Other

  

Eliminating

  

  

  

  

  

  

  

Guarantor

  

Inc.

  

Subsidiaries

  

Adjustments

  

Consolidated

  

  

  

  

(millions of dollars)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Condensed consolidated statement of cash flows for six months ended June 30, 2012

Cash provided by/(used in) operating activities

  

$

 1,866 

  

$

 (3) 

  

$

 28,468 

  

$

 (827) 

  

$

 29,504 

Cash flows from investing activities

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Additions to property, plant and equipment

  

  

 (1,790) 

  

  

 - 

  

  

 (14,398) 

  

  

 - 

  

  

 (16,188) 

  

Proceeds associated with sales of long-term assets

  

  

 475 

  

  

 - 

  

  

 5,768 

  

  

 - 

  

  

 6,243 

  

Net intercompany investing

  

  

 17,045 

  

  

 (133) 

  

  

 (17,238) 

  

  

 326 

  

  

 - 

  

All other investing, net

  

  

 177 

  

  

 - 

  

  

 661 

  

  

 - 

  

  

 838 

  

Net cash provided by/(used in)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

investing activities

  

  

 15,907 

  

  

 (133) 

  

  

 (25,207) 

  

  

 326 

  

  

 (9,107) 

Cash flows from financing activities

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Additions to long-term debt

  

  

 - 

  

  

 - 

  

  

 389 

  

  

 - 

  

  

 389 

  

Reductions in long-term debt

  

  

 - 

  

  

 - 

  

  

 (11) 

  

  

 - 

  

  

 (11) 

  

Additions/(reductions) in short-term debt - net

  

  

 (368) 

  

  

 - 

  

  

 154 

  

  

 - 

  

  

 (214) 

  

Cash dividends

  

  

 (4,878) 

  

  

 - 

  

  

 (827) 

  

  

 827 

  

  

 (4,878) 

  

Net ExxonMobil shares sold/(acquired)

  

  

 (10,630) 

  

  

 - 

  

  

 - 

  

  

 - 

  

  

 (10,630) 

  

Net intercompany financing activity

  

  

 - 

  

  

 (4) 

  

  

 190 

  

  

 (186) 

  

  

 - 

  

All other financing, net

  

  

 - 

  

  

 140 

  

  

 61 

  

  

 (140) 

  

  

 61 

  

Net cash provided by/(used in)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

financing activities

  

  

 (15,876) 

  

  

 136 

  

  

 (44) 

  

  

 501 

  

  

 (15,283) 

Effects of exchange rate changes on cash

  

  

 - 

  

  

 - 

  

  

 24 

  

  

 - 

  

  

 24 

Increase/(decrease) in cash and cash

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

equivalents

  

$

 1,897 

  

$

  

$

 3,241 

  

$

  

$

 5,138 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Condensed consolidated statement of cash flows for six months ended June 30, 2011

Cash provided by/(used in) operating activities

  

$

 3,739 

  

$

 2 

  

$

 26,577 

  

$

 (573) 

  

$

 29,745 

Cash flows from investing activities

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Additions to property, plant and equipment

  

  

 (1,337) 

  

  

 - 

  

  

 (13,526) 

  

  

 - 

  

  

 (14,863) 

  

Proceeds associated with sales of long-term assets

  

  

 163 

  

  

 - 

  

  

 2,675 

  

  

 - 

  

  

 2,838 

  

Net intercompany investing

  

  

 13,258 

  

  

 (177) 

  

  

 (13,484) 

  

  

 403 

  

  

 - 

  

All other investing, net

  

  

 (1,323) 

  

  

 - 

  

  

 (2,509) 

  

  

 - 

  

  

 (3,832) 

  

Net cash provided by/(used in)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

investing activities

  

  

 10,761 

  

  

 (177) 

  

  

 (26,844) 

  

  

 403 

  

  

 (15,857) 

Cash flows from financing activities

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

Additions to long-term debt

  

  

 - 

  

  

 - 

  

  

 249 

  

  

 - 

  

  

 249 

  

Reductions in long-term debt

  

  

 - 

  

  

 - 

  

  

 (43) 

  

  

 - 

  

  

 (43) 

  

Additions/(reductions) in short-term debt - net

  

  

 873 

  

  

 - 

  

  

 309 

  

  

 - 

  

  

 1,182 

  

Cash dividends

  

  

 (4,496) 

  

  

 - 

  

  

 (572) 

  

  

 572 

  

  

 (4,496) 

  

Net ExxonMobil shares sold/(acquired)

  

  

 (10,713) 

  

  

 - 

  

  

 - 

  

  

 - 

  

  

 (10,713) 

  

Net intercompany financing activity

  

  

 - 

  

  

 - 

  

  

 227 

  

  

 (227) 

  

  

 - 

  

All other financing, net

  

  

 171 

  

  

 175 

  

  

 (164) 

  

  

 (175) 

  

  

 7 

  

Net cash provided by/(used in)

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

financing activities

  

  

 (14,165) 

  

  

 175 

  

  

 6 

  

  

 170 

  

  

 (13,814) 

Effects of exchange rate changes on cash

  

  

 - 

  

  

 - 

  

  

 388 

  

  

 - 

  

  

 388 

Increase/(decrease) in cash and cash

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

equivalents

  

$

 335 

  

$

  

$

 127 

  

$

  

$

 462 


-19-


 

10.9.     Japan Restructuring

 

On June 1, 2012, the Corporation completed the restructuring of its Downstream and Chemical holdings in Japan. Under the restructuring, TonenGeneral Sekiyu K. K. (TG), a consolidated subsidiary owned 50 percent by the Corporation, purchased for $3.9 billion the Corporation’s shares of a wholly-owned affiliate in Japan, EMG Marketing Godo Kaisha (previously known as ExxonMobil Yugen Kaisha), which resulted in TG acquiring approximately 200 million of its shares currently owned by the Corporation along with other assets. As a result of the restructuring, the Corporation’s effective ownership of TG was reduced to approximately 22 percent and a net gain of $6.5 billion was recognized.  The gain is included in “Other income” partially offset by amounts included in “Income tax expense” and “Net income attributable to noncontrolling interests”.interests.”

The gain includes $1.9 billion of the Corporation’s share of other comprehensive income recycled into earnings (see note 3 below).  The gain also includes remeasurement of TG’s shares that the Corporation continues to own to $0.7 billion, based on TG’s share price on the Tokyo Stock Exchange.  The Corporation will accountaccounts for its remaining investment using the equity method.

Summarized balance sheet for the Japan entities subject to the restructuring follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(millions of dollars)

Assets

 

 

 

 

 

Current assets (1)

$

6,391 

 

Net property, plant and equipment

 

 

4,700 

 

 

 

Other assets

 

 

989 

 

 

Total assets

$

12,080 

 

 

 

 

 

 

 

 

Liabilities

 

 

 

 

 

 

Current liabilities (2)

$

7,398 

 

 

 

Long-term debt

 

 

22 

 

 

 

Postretirement benefits reserves

 

 

2,066 

 

 

 

Other long-term obligations

 

 

826 

 

 

Total liabilities

$

10,312 

 

 

 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

ExxonMobil share of equity (3)

$

(256)

 

 

 

Noncontrolling interests

 

 

2,024 

 

 

Total equity

 

$

1,768 

 

 

Total liabilities and equity

$

12,080 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)     The aggregate replacement cost of inventories exceeded the LIFO carrying values by $2.4 billion at June 1, 2012.

(2)     On June 1, 2012, Japan’s unused credit lines for short-term financing were $1.0 billion.

(3)     The accumulated other comprehensive income associated with the Japan restructuring was recycled into earnings. At June 1, 2012,  ExxonMobil’s share of accumulated other comprehensive income was a benefit of $1.9 billion, including $2.5 billion related to cumulative translation adjustments offset by $0.6 billion related to postretirement benefitbenefits reserves adjustments.       


-2015-

 


 

 

EXXON MOBIL CORPORATION

 

Item 2.       Management's Discussion and Analysis of Financial Condition and Results of Operations

 

FUNCTIONAL EARNINGS SUMMARY

FUNCTIONAL EARNINGS SUMMARY

FUNCTIONAL EARNINGS SUMMARY

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

  

  

Second Quarter

  

First Six Months

 

 

Third Quarter

 

First Nine Months

Earnings (U.S. GAAP)

Earnings (U.S. GAAP)

  

2012 

  

2011 

  

2012 

  

2011 

Earnings (U.S. GAAP)

 

2012 

 

2011 

 

2012 

 

2011 

  

  

(millions of dollars)

 

 

(millions of dollars)

Upstream

Upstream

  

  

  

  

  

  

  

  

  

  

  

  

Upstream

 

 

 

 

 

 

 

 

 

 

 

 

United States

  

$

678 

  

$

1,449 

  

$

1,688 

  

$

2,728 

United States

 

$

633 

 

$

1,184 

 

$

2,321 

 

$

3,912 

Non-U.S.

  

7,680 

  

7,092 

  

14,472 

  

14,488 

Non-U.S.

 

5,340 

 

7,210 

 

19,812 

 

21,698 

Downstream

Downstream

  

  

  

  

  

  

  

  

Downstream

 

 

 

 

 

 

 

 

United States

  

834 

  

734 

  

1,437 

  

1,428 

United States

 

1,441 

 

810 

 

2,878 

 

2,238 

Non-U.S.

  

5,812 

  

622 

  

6,795 

  

1,027 

Non-U.S.

 

1,749 

 

769 

 

8,544 

 

1,796 

Chemical

Chemical

  

  

  

  

  

  

  

  

Chemical

 

 

 

 

 

 

 

 

United States

  

494 

  

625 

  

927 

  

1,294 

United States

 

565 

 

538 

 

1,492 

 

1,832 

Non-U.S.

  

955 

  

696 

  

1,223 

  

1,543 

Non-U.S.

 

225 

 

465 

 

1,448 

 

2,008 

Corporate and financing

Corporate and financing

  

  

(543)

  

  

(538)

  

  

(1,182)

  

  

(1,178)

Corporate and financing

 

 

(383)

 

 

(646)

 

 

(1,565)

 

 

(1,824)

Net Income attributable to ExxonMobil (U.S. GAAP)

Net Income attributable to ExxonMobil (U.S. GAAP)

  

$

15,910 

  

$

10,680 

  

$

25,360 

  

$

21,330 

Net Income attributable to ExxonMobil (U.S. GAAP)

 

$

9,570 

 

$

10,330 

 

$

34,930 

 

$

31,660 

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

Earnings per common share (dollars)

Earnings per common share (dollars)

  

$

3.41 

  

$

2.19 

  

$

5.41 

  

$

4.33 

Earnings per common share (dollars)

 

$

2.09 

 

$

2.13 

 

$

7.50 

 

$

6.46 

Earnings per common share - assuming

Earnings per common share - assuming

  

  

  

  

  

  

  

  

Earnings per common share - assuming

 

 

 

 

 

 

 

 

dilution (dollars)

  

$

3.41 

  

$

2.18 

  

$

5.41 

  

$

4.32 

dilution (dollars)

 

$

2.09 

 

$

2.13 

 

$

7.50 

 

$

6.45 

 

References in this discussion to total corporate earnings mean net income attributable to ExxonMobil (U.S. GAAP) from the income statement.  Unless otherwise indicated, references to earnings, special items, Upstream, Downstream, Chemical and Corporate and Financing segment earnings, and earnings per share are ExxonMobil's share after excluding amounts attributable to noncontrolling interests.

 

 

REVIEW OF SECONDTHIRD QUARTER 2012 RESULTS

 

ExxonMobil results for the secondthird quarter of 2012 reflect our ongoing commitment to develop andhelp deliver the energy needed to help meet global demand and underpin economic recovery and growth.  Despite global economic uncertainty, we continue to invest throughout the business cycle taking a long-term view of resource development.growth while maintaining our strong focus on safety and environmental performance.

 

SecondThird quarter earnings of $15.9 billion included a net gain of $7.5 billion associated with divestments and tax-related items.  Excluding these items, second quarter2012 earnings were $8.4 billion.$9.6 billion, down 7 percent from the third quarter of 2011.

 

In the second quarter, capitalCapital and exploration expenditures were $9.3 billion.$9.2 billion in the third quarter of 2012.

 

The Corporation distributed $7.7$7.6 billion to shareholders in the secondthird quarter through dividends and share purchases to reduce shares outstanding.

 

_______________________________________________________________________

 

Earnings of $34,930 million in the first sixnine months of 2012 of $25,360 million increased $4,030$3,270 million from 2011.

 

Earnings per share – assuming dilution for the first six months of 2012 increased 2516 percent to $5.41.$7.50. 


-2116-

 


 

 

 

  

  

  

  

Second Quarter

  

First Six Months

  

  

  

  

2012 

  

2011 

  

2012 

  

2011 

  

  

  

  

(millions of dollars)

Upstream earnings

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

$

678 

  

$

1,449 

  

$

1,688 

  

$

2,728 

  

Non-U.S.

  

  

7,680 

  

  

7,092 

  

  

14,472 

  

  

14,488 

  

  

Total

  

$

8,358 

  

$

8,541 

  

$

16,160 

  

$

17,216 

 

 

 

 

Third Quarter

 

First Nine Months

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

(millions of dollars)

Upstream earnings

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

633 

 

$

1,184 

 

$

2,321 

 

$

3,912 

 

Non-U.S.

 

 

5,340 

 

 

7,210 

 

 

19,812 

 

 

21,698 

 

 

Total

 

$

5,973 

 

$

8,394 

 

$

22,133 

 

$

25,610 

 

Upstream earnings were $5,973 million in the secondthird quarter of 2012, were $8,358 million, down $183$2,421 million from the secondthird quarter of 2011.  Production volume and mix effects reduced earnings by $700 million.  Lower liquids and U.S. natural gas realizations decreased earnings by $870 million, while lower sales volumes reduced earnings by $330$130 million.  All other items, including gains onthe absence of prior year asset sales mainly in Angola, increased($1.0 billion), unfavorable tax items and foreign exchange impacts, decreased earnings by $1.0a total of $1.6 billion.

 

On an oil-equivalent basis, production decreased 5.67.5 percent from the secondthird quarter of 2011.  Excluding the impacts of entitlement volumes, OPEC quota effects and divestments, production was essentially flat.decreased 2.9 percent.

 

Liquids production totaled 2,2082,116 kbd (thousands of barrels per day), down 143133 kbd from the secondthird quarter of 2011.  Excluding the impacts of entitlement volumes, OPEC quota effects and divestments, liquids production was down about 13.1 percent, as field decline was mostlypartially offset by lower downtime andproject ramp-up ofin Angola and Nigeria projects.Nigeria.

 

SecondThird quarter natural gas production was 11,66111,061 mcfd (millions of cubic feet per day), down 6061,136 mcfd from 2011.  Excluding the impacts of entitlement volumes and divestments, natural gas production was up about 1down 2.7 percent, as higher demand and lower downtime more than offsetdue primarily to field decline.

 

Earnings from U.S. Upstream operations were $678$633 million, $771$551 million lower than the secondthird quarter of 2011.  Non-U.S. Upstream earnings were $7,680$5,340 million, up $588down $1,870 million from the prior year.

                _______________________________________________________________________

 

Upstream earnings infor the first sixnine months of 2012 were $16,160$22,133 million, down $1,056$3,477 million from the first half of 2011.  Higher liquids realizations, partially offsetProduction volume and mix effects decreased earnings by lower$1.9 billion.  Liquids and natural gas realizations increaseddecreased earnings by $80 million.  Lower sales volumes decreased earnings by $1,140 million.  Net gains on asset sales, mainly in Angola, were offset byAll other items, including higher operating expenses and unfavorable tax effects.effects, reduced earnings by $1.5 billion.

 

On an oil-equivalent basis, production in the first six months of 2012 was down 5.56.2 percent compared to the same period in 2011.  Excluding the impacts of entitlement volumes, OPEC quota effects and divestments, production was down about 11.6 percent.

 

Liquids productionin the first six months of 2012 of 2,2112,179 kbd decreased 164153 kbd compared with 2011.  Excluding the impacts of entitlement volumes, OPEC quota effects and divestments, liquids production was down about 11.8 percent, as field decline was mostlypartly offset by project ramp-up in Angola and lower downtime.Nigeria.

 

Natural gas production in the first six months of 2012 of 12,84912,249 mcfd decreased 541739 mcfd from 2011.  Excluding the impacts of entitlement volumes and divestments, natural gas production was down about 11.3 percent, withas field decline partlywas partially offset by higher demand and lower downtime.

 

Earnings in the first six months of 2012 from U.S. Upstream operations for 2012 were $1,688$2,321 million, down $1,040$1,591 million from 2011.  Earnings outside the U.S. were $14,472$19,812 million, essentially flat with the prior year.down $1,886 million.

 

 

  

  

  

  

Second Quarter

  

First Six Months

  

  

  

  

2012 

  

2011 

  

2012 

  

2011 

  

  

  

  

(millions of dollars)

Downstream earnings

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

$

834 

  

$

734 

  

$

1,437 

  

$

1,428 

  

Non-U.S.

  

  

5,812 

  

  

622 

  

  

6,795 

  

  

1,027 

  

  

Total

  

$

6,646 

  

$

1,356 

  

$

8,232 

  

$

2,455 

 

 

 

 

Third Quarter

 

First Nine Months

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

(millions of dollars)

Downstream earnings

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

1,441 

 

$

810 

 

$

2,878 

 

$

2,238 

 

Non-U.S.

 

 

1,749 

 

 

769 

 

 

8,544 

 

 

1,796 

 

 

Total

 

$

3,190 

 

$

1,579 

 

$

11,422 

 

$

4,034 


-2217-

 


 

 

 

Second quarter 2012 Downstream earnings were $3,190 million in the third quarter of $6,6462012, up $1,611 million were up $5.3 billion from the secondthird quarter of 2011.  The gain associated with the Japan restructuring contributed $5.3 billion.  ImprovedDownstream margins, andmainly refining, increased earnings by $850 million, while volume and mix effects increased earnings by $670 million.were essentially flat.  All other items, including unfavorablehigher gains on asset sales of $360 million, favorable foreign exchange effects, higherand lower operating expenses, and one-time tax items, decreasedincreased earnings $670by $780 million.  Petroleum product sales of 6,1716,105 kbd were 160453 kbd lower than last year's second quarter.third quarter due mainly to divestments and the Japan restructuring.

 

Earnings from the U.S. Downstream were $834$1,441 million, up $100$631 million from the secondthird quarter of 2011.  Non-U.S. Downstream earnings of $5,812$1,749 million were $5,190$980 million higher than last year.

                _____________________________________________________________________________________________________________________________________________

 

Downstream earnings of $11,422 million in the first sixnine months of 2012 of $8,232 million increased $5,777$7,388 million from 2011.  The gain associated with the Japan restructuring contributed $5.3 billion.  Higher refining margins increased earnings by $610 million,$1.4 billion, while volume and mix effects increased earnings by $220$140 million.  All other items including higher operating expenses, one-time tax items, and unfavorable foreign exchange effects, partially offset by other asset management gains, decreasedincreased earnings by $360 million.$5.8 billion due primarily to a $5.3 billion gain associated with the Japan restructuring and other divestment gains.  Petroleum product sales of 6,2436,197 kbd decreased 56189 kbd from 2011.2011 due mainly to divestments and the Japan restructuring.

  

U.S. Downstream earnings in the first six months of 2012 were $1,437$2,878 million, consistent withup $640 million from 2011.  Non-U.S. Downstream earnings were $6,795$8,544 million, an increase of $5,768$6,748 million from last year.

 

 

  

  

  

  

Second Quarter

  

First Six Months

  

  

  

  

2012 

  

2011 

  

2012 

  

2011 

  

  

  

  

(millions of dollars)

Chemical earnings

  

  

  

  

  

  

  

  

  

  

  

  

  

United States

  

$

494 

  

$

625 

  

$

927 

  

$

1,294 

  

Non-U.S.

  

  

955 

  

  

696 

  

  

1,223 

  

  

1,543 

  

  

Total

  

$

1,449 

  

$

1,321 

  

$

2,150 

  

$

2,837 

 

 

 

 

Third Quarter

 

First Nine Months

 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

 

 

(millions of dollars)

Chemical earnings

 

 

 

 

 

 

 

 

 

 

 

 

 

United States

 

$

565 

 

$

538 

 

$

1,492 

 

$

1,832 

 

Non-U.S.

 

 

225 

 

 

465 

 

 

1,448 

 

 

2,008 

 

 

Total

 

$

790 

 

$

1,003 

 

$

2,940 

 

$

3,840 

 

Second quarter 2012 Chemical earnings of $1,449$790 million in the third quarter of 2012 were $128$213 million higherlower than the secondthird quarter of 2011.  The gain associated with the Japan restructuring increased earnings by $630 million, while weakerLower margins decreased earnings by $150 million.  Volume and mix effects lowered earnings by $100 million.  All other items, mainly unfavorable foreign exchange effects, decreased earnings by $250$60 million.  SecondThird quarter prime product sales of 5,9725,947 kt (thousands of metric tons) were 209285 kt lower than last year's second quarter.third quarter due mainly to the Japan restructuring.

                ____________________________________________________________________________________________________________________________________________

 

Chemical earningsin of $2,940 million for the first sixnine months of 2012 of $2,150 million were $687$900 million lower than 2011.  TheMargins decreased earnings by $920 million.  Volume and mix effects lowered earnings by $60 million.  All other items increased earnings by $80 million, as a $630 million gain associated with the Japan restructuring increased earningswas mostly offset by $630 million, while weaker margins decreased earnings by $750 million.  Lower volumes decreased earnings by $70 million.  All other items, including unfavorable foreign exchange effects and higher operating expenses, and tax items, decreased earnings by $500 million.expenses.  Prime product sales of 12,30918,256 kt were down 194479 kt from 2011.

 

 

  

  

Second Quarter

  

First Six Months

  

  

2012 

  

2011 

  

2012 

  

2011 

  

  

(millions of dollars)

  

  

  

  

  

  

  

  

  

  

  

  

  

Corporate and financing earnings

  

$

(543)

  

$

(538)

  

$

(1,182)

  

$

(1,178)

 

 

Third Quarter

 

First Nine Months

 

 

2012 

 

2011 

 

2012 

 

2011 

 

 

(millions of dollars)

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate and financing earnings

 

$

(383)

 

$

(646)

 

$

(1,565)

 

$

(1,824)

 

Corporate and financing expenses of $543were $383 million infor the secondthird quarter of 2012, were flat withdown $263 million from the secondthird quarter of 2011, as the benefit from the Japan restructuring was offset by one-timedue mainly to favorable tax items.

                _______________________________________________________________________

 

Corporate and financing expenses were $1,182$1,565 million for the first sixnine months of 2012, flat with the first half ofdown $259 million from 2011 as the benefit fromdue primarily to the Japan restructuring was offset by one-time tax items.restructuring.


-2318-

 


 

 

 

LIQUIDITY AND CAPITAL RESOURCES

LIQUIDITY AND CAPITAL RESOURCES

LIQUIDITY AND CAPITAL RESOURCES

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

  

  

  

Second Quarter

  

First Six Months

 

 

 

Third Quarter

 

First Nine Months

  

  

  

2012 

  

2011 

  

2012 

  

2011 

 

 

 

2012 

 

2011 

 

2012 

 

2011 

  

  

  

(millions of dollars)

 

 

 

(millions of dollars)

Net cash provided by/(used in)

Net cash provided by/(used in)

  

  

  

  

  

  

  

  

  

  

  

  

Net cash provided by/(used in)

 

 

 

 

 

 

 

 

 

 

 

 

Operating activities

  

  

  

  

  

  

  

$

29,504 

  

$

29,745 

Operating activities

 

 

 

 

 

 

 

$

42,946 

 

$

44,594 

Investing activities

  

  

  

  

  

  

  

(9,107)

  

(15,857)

Investing activities

 

 

 

 

 

 

 

(16,599)

 

(20,153)

Financing activities

  

  

  

  

  

  

  

(15,283)

  

(13,814)

Financing activities

 

 

 

 

 

 

 

(26,143)

 

(21,211)

Effect of exchange rate changes

Effect of exchange rate changes

  

  

  

  

  

  

  

  

24 

  

  

388 

Effect of exchange rate changes

 

 

 

 

 

 

 

 

187 

 

 

(33)

Increase/(decrease) in cash and cash equivalents

Increase/(decrease) in cash and cash equivalents

  

  

  

  

  

  

  

$

5,138 

  

$

462 

Increase/(decrease) in cash and cash equivalents

 

 

 

 

 

 

 

$

391 

 

$

3,197 

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents (at end of period)

Cash and cash equivalents (at end of period)

  

  

  

  

  

  

  

$

17,802 

  

$

8,287 

Cash and cash equivalents (at end of period)

 

 

 

 

 

 

 

$

13,055 

 

$

11,022 

Cash and cash equivalents – restricted (at end of period)

Cash and cash equivalents – restricted (at end of period)

  

  

  

  

  

  

  

  

215 

  

  

246 

Cash and cash equivalents – restricted (at end of period)

 

 

 

 

 

 

 

 

206 

 

 

233 

Total cash and cash equivalents (at end of period)

Total cash and cash equivalents (at end of period)

  

  

  

  

  

  

  

$

18,017 

  

$

8,533 

Total cash and cash equivalents (at end of period)

 

 

 

 

 

 

 

$

13,261 

 

$

11,255 

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

Cash flow from operations and asset sales

Cash flow from operations and asset sales

  

  

  

  

  

  

  

  

  

  

Cash flow from operations and asset sales

 

 

 

 

 

 

 

 

 

 

Net cash provided by operating activities (U.S. GAAP)

  

$

10,217 

  

$

12,889 

  

$

29,504 

  

$

29,745 

Net cash provided by operating activities (U.S. GAAP)

 

$

13,442 

 

$

14,849 

 

$

42,946 

 

$

44,594 

Proceeds associated with sales of subsidiaries, property,

  

  

  

  

  

  

  

  

  

Proceeds associated with sales of subsidiaries, property,

 

 

 

 

 

 

 

 

 

  

plant & equipment, and sales and returns of investments

  

  

3,730 

  

  

1,497 

  

  

6,243 

  

  

2,838 

 

plant & equipment, and sales and returns of investments

 

 

607 

 

 

1,408 

 

 

6,850 

 

 

4,246 

Cash flow from operations and asset sales

  

$

13,947 

  

$

14,386 

  

$

35,747 

  

$

32,583 

Cash flow from operations and asset sales

 

$

14,049 

 

$

16,257 

 

$

49,796 

 

$

48,840 

 

Because of the ongoing nature of our asset management and divestment program, we believe it is useful for investors to consider asset sales proceeds together with cash provided by operating activities when evaluating cash available for investment in the business and financing activities.

  

Total cash and cash equivalents of $18.0$13.3 billion at the end of the secondthird quarter of 2012 compared to $8.5$11.3 billion at the end of the secondthird quarter of 2011.

 

Cash provided by operating activities totaled $29.5$42.9 billion for the first sixnine months of 2012, $0.2$1.6 billion lower than 2011. The major source of funds was net income including noncontrolling interests of $27.5$37.4 billion, an increase of $5.6$4.9 billion from the prior year period.  The adjustment for the noncash provision of $7.7$11.8 billion for depreciation and depletion was essentially flat with 2011.  Changes in operational working capital added to cash flows in both periods.  These items were partially offset by the net gain on asset sales of $11.1$11.7 billion in 2012 and $0.6$1.3 billion in 2011.  For additional details, see the Condensed Consolidated Statement of Cash Flows on page 6.

 

Investing activities for the first sixnine months of 2012 used net cash of $9.1$16.6 billion, a decrease of $6.8$3.6 billion compared to the prior year.  Spending for additions to property, plant and equipment increased $1.3$1.9 billion to $16.2$24.2 billion.  Proceeds from asset sales of $6.2$6.9 billion, increased $3.4$2.6 billion reflecting the impact of the Japan restructuring.  Additional investment and advances decreased by $2.6$2.4 billion to $0.4$0.8 billion.

 

Cash flow from operations and asset sales in the secondthird quarter of 2012 of $13.9$14.0 billion, including asset sales of $3.7$0.6 billion, decreased $0.4$2.2 billion from the comparable 2011 period.  Cash flow from operations and asset sales in the first sixnine months of 2012 of $35.7$49.8 billion, including asset sales of $6.2$6.9 billion, increased $3.2$1.0 billion from the comparable 2011 period.

 

Net cash used in financing activities of $15.3$26.1 billion in the first sixnine months of 2012 was $1.5$4.9 billion higher than 2011, mostly reflecting the maturing of the deferred interest debentures in 2012 and the absence of 2011 net short-term debt issuance.

 

During the secondthird quarter of 2012, Exxon Mobil Corporation purchased 6058 million shares of its common stock for the treasury at a gross cost of $5.0$5.1 billion.  These purchases wereincluded $5 billion to reduce the number of shares outstanding.outstanding with the balance used to acquire shares in conjunction with the company’s benefit plans and programs.  Shares outstanding decreased from 4,676 million at the end of the first quarter to 4,616 million at the end of the second quarter to 4,559 million at the end of the third quarter 2012.  Purchases may be made in both the open market and through negotiated transactions, and may be increased, decreased or discontinued at any time without prior notice.


-2419-

 


 

 

 

The Corporation distributed to shareholders a total of $7.7$7.6 billion in the secondthird quarter of 2012 through dividends and share purchases to reduce shares outstanding.

 

Total debt of $15.6$12.4 billion compared to $17.0 billion at year-end 2011.  The decrease is due to the maturing of the deferred interest debentures and the impact of divestments.   The Corporation's debt to total capital ratio was 8.56.7 percent at the end of the secondthird quarter of 2012 compared to 9.6 percent at year-end 2011. 

 

Although the Corporation issues long-term debt from time to time and maintains a revolving commercial paper program, internally generated funds are expected to cover the majority of its net near-term financial requirements

 

The Corporation, as part of its ongoing asset management program, continues to evaluate its mix of assets for potential upgrade.  Because of the ongoing nature of this program, dispositions will continue to be made from time to time which will result in either gains or losses.  Additionally, the Corporation continues to evaluate opportunities to enhance its business portfolio through acquisitions of assets or companies, and enters into such transactions from time to time.  Key criteria for evaluating acquisitions include potential for future growth and attractive current valuations.  Acquisitions may be made with cash, shares of the Corporation’s common stock, or both. 

 

Litigation and other contingencies are discussed in Note 2 to the unaudited condensed consolidated financial statements.

 

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

TAXES

TAXES

  

  

  

  

  

  

  

  

  

  

TAXES

 

 

 

 

 

 

 

 

 

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

  

  

  

Second Quarter

  

First Six Months

  

 

 

 

Third Quarter

 

First Nine Months

 

  

  

  

2012 

  

2011 

  

2012 

  

2011 

  

 

 

 

2012 

 

2011 

 

2012 

 

2011 

 

  

  

  

(millions of dollars)

  

 

 

 

(millions of dollars)

 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income taxes

Income taxes

  

$

8,537 

  

$

7,721 

  

$

16,253 

  

$

15,725 

  

Income taxes

 

$

7,394 

 

$

8,009 

 

$

23,647 

 

$

23,734 

 

Effective income tax rate

  

36 

%

  

45 

%

  

41 

%

  

46 

%

Effective income tax rate

 

47 

%

 

47 

%

 

43 

%

 

46 

%

Sales-based taxes

Sales-based taxes

  

8,027 

  

8,613 

  

16,520 

  

16,529 

  

Sales-based taxes

 

8,137 

 

8,484 

 

24,657 

 

25,013 

 

All other taxes and duties

All other taxes and duties

  

  

10,036 

  

  

11,175 

  

  

21,239 

  

  

21,491 

  

All other taxes and duties

 

 

8,652 

 

 

11,084 

 

 

29,891 

 

 

32,575 

 

  

Total

  

$

26,600 

  

$

27,509 

  

$

54,012 

  

$

53,745 

  

 

Total

 

$

24,183 

 

$

27,577 

 

$

78,195 

 

$

81,322 

 

 

Income, sales-based and all other taxes and duties totaled $26.6$24.2 billion for the secondthird quarter of 2012, a decrease of $0.9$3.4 billion from 2011.  Income tax expense increaseddecreased by $0.8$0.6 billion to $8.5$7.4 billion with the impact of higher earnings mostly offset byreflecting the lower effective tax rate.level of earnings.  The effective income tax rate was 3647 percent compared to 45 percentin both periods.  in the prior year period, due to a lower effective tax rate on divestments.  Sales-based taxes and all other taxes and duties decreased by $1.7$2.8 billion to $18.1$16.8 billion reflecting lower prices and the Japan restructuring.

                                ________________________________________________________________________

 

Income, sales-based and all other taxes and duties totaled $54.0$78.2 billion for the first sixnine months of 2012, an increasea decrease of $0.3$3.1 billion from 2011.  Income tax expense increaseddecreased by $0.5$0.1 billion to $16.3$23.6 billion with the impact of higher earnings mostly offset by the lower effective tax rate.  The effective income tax rate was 4143 percent compared to 46 percent in the prior year due to a lower effective tax rate on divestments.  Sales-based and all other taxes decreased by $0.3 billion.$3.0 billion reflecting the Japan restructuring.

 

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

CAPITAL AND EXPLORATION EXPENDITURES

CAPITAL AND EXPLORATION EXPENDITURES

  

CAPITAL AND EXPLORATION EXPENDITURES

 

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

  

  

Second Quarter

  

First Six Months

  

 

 

Third Quarter

 

First Nine Months

 

  

  

2012 

  

2011 

  

2012 

  

2011 

  

 

 

2012 

 

2011 

 

2012 

 

2011 

 

  

  

(millions of dollars)

  

 

 

(millions of dollars)

 

  

  

  

  

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Upstream (including exploration expenses)

Upstream (including exploration expenses)

  

$

8,393 

  

$

9,436 

  

$

16,472 

  

$

16,336 

  

Upstream (including exploration expenses)

 

$

8,248 

 

$

7,752 

 

$

24,720 

 

$

24,088 

 

Downstream

Downstream

  

569 

  

484 

  

1,008 

  

934 

  

Downstream

 

583 

 

541 

 

1,591 

 

1,475 

 

Chemical

Chemical

  

368 

  

352 

  

681 

  

801 

  

Chemical

 

350 

 

321 

 

1,031 

 

1,122 

 

Other

Other

  

  

  

  

34 

  

  

12 

  

  

56 

  

Other

 

 

 

 

 

 

14 

 

 

62 

 

Total

  

$

9,339 

  

$

10,306 

  

$

18,173 

  

$

18,127 

  

Total

 

$

9,183 

 

$

8,620 

 

$

27,356 

 

$

26,747 

 

 

Capital and exploration expenditures in the secondthird quarter of 2012 were $9.3$9.2 billion, down 9up 7 percent from the secondthird quarter of 2011.

                                ________________________________________________________________________

 

Capital and exploration expenditures were a record $18.2$27.4 billion for the first sixnine months of 2012, up 2 percent, as ExxonMobil progresses planscontinues pursuing opportunities to investfind and produce new supplies of oil and natural gas to meet global demand for energy.  The Corporation anticipates an investment profile of about $37 billion per year over the next five years to help meet the global demand for energy.years.  Actual spending could vary depending on the progress of individual projects.projects and property acquisitions.


-2520-

 


 

 

FORWARD-LOOKING STATEMENTS

 

Statements relating to future plans, projections, events or conditions are forward-looking statements.  Actual results, including project plans, costs, timing, and capacities; capital and exploration expenditures; resource recoveries; and share purchase levels, could differ materially due to factors including: changes in oil or gas prices or other market or economic conditions affecting the oil and gas industry, including the scope and duration of economic recessions; the outcome of exploration and development efforts; changes in law or government regulation, including tax and environmental requirements; the outcome of commercial negotiations; changes in technical or operating conditions; and other factors discussed under the heading "Factors Affecting Future Results" in the “Investors” section of our website and in Item 1A of ExxonMobil's 2011 Form 10-K.  We assume no duty to update these statements as of any future date.

 

 

Item 3.  Quantitative and Qualitative Disclosures About Market Risk

 

Information about market risks for the sixnine months ended JuneSeptember 30, 2012, does not differ materially from that discussed under Item 7A of the registrant's Annual Report on Form 10-K for 2011.

 

 

Item 4.  Controls and Procedures

 

As indicated in the certifications in Exhibit 31 of this report, the Corporation’s chief executive officer, principal financial officer and principal accounting officer have evaluated the Corporation’s disclosure controls and procedures as of JuneSeptember 30, 2012.  Based on that evaluation, these officers have concluded that the Corporation’s disclosure controls and procedures are effective in ensuring that information required to be disclosed by the Corporation in the reports that it files or submits under the Securities Exchange Act of 1934, as amended, is accumulated and communicated to them in a manner that allows for timely decisions regarding required disclosures and are effective in ensuring that such information is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms.  There were no changes during the Corporation’s last fiscal quarter that materially affected, or are reasonably likely to materially affect, the Corporation’s internal control over financial reporting.


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PART II.  OTHER INFORMATION

 

Item 1.  Legal Proceedings

 

Chalmette Refining, LLC, ownerRegarding a matter previously reported in the Corporation’s 2010 Form 10-K involving the issuance of a notice of violation (NOV) and likely enforcement action by the Chalmette Refinery (operated by ExxonMobil Oil Corporation), is in discussions with the LouisianaPennsylvania Department of Environmental Quality (LDEQ) to resolve self-reported deviations arising from refinery operations andProtection relating to certain Clean Air Act Title V permit conditions, limits,the discharge of fluids at the Marquardt Well Site of XTO Energy Inc. (XTO) in Penn Township, Pennsylvania, on July 19, 2012, the United States Department of Justice (DOJ) and other requirements.  The matter involves deviations reported to the United States Environmental Protection Agency in semi-annual reports covering the time period from 2006 through 2011.  It is anticipated that LDEQ will assess an administrative penalty in this matter in excess of $100,000.

The New Mexico Environment Department (NMED) has issued(EPA) proposed a notice of violationsettlement with XTO for alleged violations of the New Mexico Air QualityFederal Water Pollution Control Act and air permits for compressor engines atarising from the XTO Energy Inc. Valencia Canyon Compressor Station in Rio Arriba County, New Mexico.  The NMEDsame event. As part of the possible settlement, EPA/DOJ is also seeking civil penalties in excess of $100,000 to resolve thesethe alleged air permitting violations.  XTO Energy Inc. plans to meet with the NMED in an effort to resolve this matter.violations of federal law. 

 

Refer to the relevant portions of Note 2 of this Quarterly Report on Form 10-Q for further information on legal proceedings.


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Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

Issuer Purchase of Equity Securities for Quarter Ended June 30, 2012

Issuer Purchase of Equity Securities for Quarter Ended September 30, 2012

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

  

  

  

  

  

  

  

Total Number of

  

Maximum Number

 

 

 

 

 

 

 

Total Number of

 

Maximum Number

  

  

  

  

  

  

  

Shares Purchased

  

Of Shares that May

 

 

 

 

 

 

 

Shares Purchased

 

Of Shares that May

  

  

  

Total Number

  

Average

  

as Part of Publicly

  

Yet Be Purchased

 

 

 

Total Number

 

Average

 

as Part of Publicly

 

Yet Be Purchased

  

  

  

Of Shares

  

Price Paid

  

Announced Plans

  

Under the Plans or

 

 

 

Of Shares

 

Price Paid

 

Announced Plans

 

Under the Plans or

Period

  

  

  

Purchased

  

per Share

  

or Programs

  

Programs

 

 

 

Purchased

 

per Share

 

or Programs

 

Programs

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

April, 2012

  

18,687,988 

  

$85.03

  

18,687,988 

  

  

July, 2012

July, 2012

 

19,393,880 

 

$85.30

 

19,393,880 

 

 

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

May, 2012

  

21,049,962 

  

$82.90

  

21,049,962 

  

  

August, 2012

August, 2012

 

21,837,573 

 

$87.79

 

21,837,573 

 

 

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

June, 2012

  

20,582,440 

  

$81.53

  

20,582,440 

  

  

September, 2012

September, 2012

 

16,843,181 

 

$90.63

 

16,843,181 

 

 

  

  

  

  

  

  

  

  

  

  

 

 

 

 

 

 

 

 

 

 

Total

Total

  

60,320,390 

  

$83.09

  

60,320,390 

  

(See Note 1)

Total

 

58,074,634 

 

$87.78

 

58,074,634 

 

(See Note 1)

 

Note 1 - On August 1, 2000, the Corporation announced its intention to resume purchases of shares of its common stock for the treasury both to offset shares issued in conjunction with company benefit plans and programs and to gradually reduce the number of shares outstanding.  The announcement did not specify an amount or expiration date.  The Corporation has continued to purchase shares since this announcement and to report purchased volumes in its quarterly earnings releases.  In its most recent earnings release dated July 26,November 1, 2012, the Corporation stated that thirdfourth quarter 2012 share purchases to reduce shares outstanding are anticipated to equal $5 billion.  Purchases may be made in both the open market and through negotiated transactions, and purchases may be increased, decreased or discontinued at any time without prior notice.

 

 

Item 6.  Exhibits

 

Exhibit

 

Description

 

 

 

10(iii)(f.2)

Standing resolution for non-employee director restricted grants dated, September 26, 2007.

31.1

 

Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Chief Executive Officer.

31.2

 

Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Principal Financial Officer.

31.3

 

Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Principal Accounting Officer.

32.1

 

Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Chief Executive Officer.

32.2

 

Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Principal Financial Officer.

32.3

 

Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Principal Accounting Officer.

101

 

Interactive Data Files.


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EXXON MOBIL CORPORATION

 

SIGNATURE

 

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

                                                                                               

 

 

 

EXXON MOBIL CORPORATION

 

Date: August 2,November 6, 2012 

By:

/s/  Patrick T. Mulva

 

 

Name:

Patrick T. Mulva

 

 

Title:

Vice President, Controller and

 

 

 

Principal Accounting Officer

 

 

 

 


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INDEX TO EXHIBITS

 

 

Exhibit

 

Description

 

 

 

10(iii)(f.2)

Standing resolution for non-employee director restricted grants dated September 26, 2007.

31.1

 

Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Chief Executive Officer.

31.2

 

Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Principal Financial Officer.

31.3

 

Certification (pursuant to Securities Exchange Act Rule 13a-14(a)) by Principal Accounting Officer.

32.1

 

Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Chief Executive Officer.

32.2

 

Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Principal Financial Officer.

32.3

 

Section 1350 Certification (pursuant to Sarbanes-Oxley Section 906) by Principal Accounting Officer.

101

 

Interactive Data Files.

 


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