It will likely have to unwind its U.S. refining and marketing joint-ventures with Royal Dutch/Shell Group and Saudi Arabia's national oil company to satisfy antitrust concerns. Texaco has begun negotiations with both companies about the ventures.
"The integration teams continue to make good progress toward the goal of completing the merger in the mid-year time frame and positioning the new company, ChevronTexaco, as one of the world's largest and most competitive energy companies," Chairman and Chief Executive Officer Peter Bijur said in a statement.
If the Chevron deal is completed, the combination will be the world's fourth-largest publicly traded oil company, the latest in a string of oil companies created through consolidation. Others include Exxon Mobil Corp. and BP Amoco Plc.
In part by cutting its combined work force by 57,000 by 7 percent, or 4,000 employees, ChevronTexaco expects to slash costs by some $1.2 billion.
Capital and exploratory expenditures were $4.2 billion for the year 2000, compared with $3.9 billion for 1999.
Total upstream expenditures increased by 12 percent, the company said. BACK TO TOP
Exxon Mobil's Profits Surge
Fourth quarter net income at Exxon Mobil more than doubled, helped by surging oil prices, as the company easily surpassed Wall Street's expectations.
For the three months ended Dec. 31, Exxon Mobil earned $5.22 billion, or $1.49 a share, compared with $2.28 billion, or 65 cents per share, the company said today.
Excluding items in both periods, Exxon Mobil earned $5.12 billion, or $1.46 per share, nearly double the $2.71 billion figure, or 77 cents per share, of a year earlier.
Those figures include one-time gains and the effects of Exxon's $85 billion acquisition of Mobil, which was completed in December 1999. The company took a $215 million charge for merger-related expenses but also a gain of $315 million from asset sales, which regulators required as a condition of approving the giant merger.
Revenue was $64.13 billion, up from $54.58 billion a year earlier.
Analysts surveyed by First Call/Thomson Financial were expecting $1.31 per share.
The company said the improved profits were due mainly to exploration and production operations outside the United States, especially in the North Sea, the Gulf of Mexico, Venezuela and Equatorial Guinea in Africa.
But refining profits — which often suffer from higher crude oil prices — also improved as a glut of gasoline and other refined products diminished, the company said.
"These results reflect historically high crude oil and natural gas prices, higher refining margins and further improvements in operating efficiencies, including those from merger synergies," said chairman Lee R. Raymond.
For the full year, Irving, Texas-based Exxon Mobil earned $17.72 billion, or $5.04 per share, on revenue of $232.7 billion. Last year, the oil giant earned $7.91 billion, or $2.25 per share, on revenue of $185.53 billion.
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Materials Cost and Strong Dollar Hurt DuPont
High costs for oil and other raw materials dragged down DuPont's fourth-quarter earnings, though the chemical maker still managed to beat Wall Street's expectations.
DuPont earned $261 million, or 25 cents per share, compared with a loss of $1.42 billion, or $1.36 per share, in the year-ago period, the company said today.