Pirates
Next time you fill up your car, don’t blame the guy that owns the station. He’s still making an average of ten cents on the gallon, as he has for years. Instead, think about Lee R. Raymond.
Raymond is the freshly retired C.E.O of Exxon Mobile, and he walked away from that job with $167.7 million.
Lofty figures have in recent instances prompted headlines to blare the news of Lee R. Raymond’s golden parachute from Exxon Mobil (nyse: XOM - news - people )–reportedly, a $69.7 million compensation package and $98 million pension payout–and juxtapose the figure to gasoline in the U.S. hitting an eye-watering $3 per gallon at some locations.
Raymond’s last reported salary was $38 million in 2004. What does this man do to earn $38 million a year? Is he really that much smarter, hard working, and good looking than I am?
I guess he’s getting credit for Exxon’s all time record-breaking profits.
Exxon Mobil’s first-quarter profit was nearly a billion dollars more than the same quarter a year earlier. Not as much as Wall Street wanted, but still an awful lot of money - especially to people paying $3 a gallon or more to fill their gas tanks. They’re wondering why oil companies don’t feel their pain.
Yes, that says BILLION.
And they’re not the only ones.
Today, Chevron announced that it has made four billion dollars since January of this year. This is a 49% increase over the same period last year.
Conoco- Phillips earned $3.29 billion in the first quarter of this year, an increase of 13% over last year.
The entire oil industry is generating record breaking profits, while you and I fork over larger and larger chunks of our paychecks to pay for their products. The cost of heating oil for my building rose 70% last year alone.
Since George Bush took office, the price of oil has risen from $1.46 to $2.91. That’s a 100 percent increase in five years. This is the fastest rise in gasoline prices in two decades.

In all this time, he has failed to take action- but now even FOX news polls show his popularity in the dumpster, and he is forced to make some kind of gesture.
President George W. Bush, in trouble over soaring gasoline prices, ordered a probe on Tuesday into any price gouging, called for an end to tax breaks for Big Oil and suspended putting oil into the U.S. emergency stockpile.
As a short-term measure, Bush also gave the Environmental Protection Agency authority to suspend federal clean-burning gasoline rules this summer that are forcing consumers to buy expensive new gasoline blends.
Let’s look at his plan more closely:
- Ordered a probe on Tuesday into any price gouging: Just for the record- the Federal Trade Commission has never investigated the oil industry for price gouging. Ever.
- Called for an end to tax breaks for Big Oil: Strangely, he called for an end to tax breaks for big oil, then turned around and urged Congress to extend tax breaks to the industry.
- Suspended putting oil into the U.S. emergency stockpile: Unfortunately, oil shortages are only going to get worse. With global demands increasing and supplies beginning to dwinle,this oil shortage is not going away anytime soon. This tactic is purely political. If he can drop the price by a few cents for a few months by removing one consumer, then maybe the Republicans can hold on to a few seats in the upcoming elections. This is no long term fix, and it’s a terrible band-aid because it depletes our national emergency reserve, which threatens our overall national security.
- Suspend federal clean-burning gasoline rules: This is just blatant opportunism. If anything, using alternative fuel sources should decrease our dependence on oil. Any excuse to roll back environmental laws…
This plan has no mention of improving fuel efficiency standards for cars, but it does include a scheme to give every American a $100 rebate. Because our votes are always for sale- and cheap too! I guess it worked for him before his last election- but that time he paid $300 per person.
Bush also opposes the measures Congress is proposing to deal with the situation:
Sen. Charles Schumer, D-N.Y., is asking the Federal Trade Commission to monitor refiners this summer, while Sen. Ron Wyden, D-Ore., offered a bill that would require energy companies to pay a federal royalty on all oil pumped from the Gulf of Mexico if oil prices exceed $55 a barrel. Some oil now is exempt from royalties, costing the government billions of dollars.
Our entire energy policy is a failure. Though that should be no surprise to anyone, since the whole lousy thing was drafted in a big, secret retreat attended only by Dick Cheney and energy lobbyists.
It’s not as if serious people didn’t see this coming. Europe, for example, spends about half of what the United States does on energy, relative to GDP. But Europe has entirely different policies on everything from mass transit to building codes to gas taxes. Brazil makes more than half of its motor fuels from domestic renewable ethanol. Japan is far ahead of the United States in the development of efficient hybrid cars.
Had we begun adjusting to the need for a post-petroleum economy during the first and second oil shocks, three decades ago when Jimmy Carter was ridiculed for wearing that cardigan, or even 10 years ago when ”Ozone Al” Gore was mocked for taking seriously the threat of global warming, we would not be getting robbed quite so helplessly at the pump by a collusion of Mideast sheiks, oil barons, and their Republican enablers.
Why is the President continuing to protect Big Oil instead of addressing our energy problems in a forward thinking manner? Why does he oppose rolling back tax breaks for the rich corporations?
Maybe it’s the $450 million dollars the oil companies have spent on lobbying in the past six years.
Over the past six years, oil and gas companies have spent nearly $450 million on politicians, political parties and lobbyists in order to protect their interests in Washington. Since 1990, energy companies have made $183 million in political contributions alone, 75 percent of which have gone to Republicans. In addition, over the past six years, nine of the top ten recipients of contributions from oil and gas companies have been Republicans. In just the last election cycle, the oil and gas industry contributed more than $20 million to Republicans, four times more than the amount donated to Democrats.
Or maybe it’s just who he is.
The Bush family is a proud Texas oil family. George H W Bush started the family out in oil:
Bush ventured into the highly speculative Texas oil exploration business after World War II with considerable success. Zapata Corporation was created by him in 1953 as Zapata Oil. He secured a position with Dresser Industries. His son, Neil Mallon Bush, is named after his employer at Dresser, Neil Mallon, who became a close family friend. Dresser Industries, decades later, merged with Halliburton, whose former CEOs include Dick Cheney, George H. W. Bush’s Secretary of Defense and, as of 2005, Vice President of the United States.
The Bush Administration is also loaded with oil barons. Before becoming our government:
George W. Bush ran a number of oil companies, including Arbusto Energy, Spectrum 7, and the Harken Energy Corporation.
Before joining Bush’s cabinet:
Dick Cheney was the CEO of Halliburton.
Condoleeza Rice was on the Board of Directors member for Chevron, and headed their committee on public policy. Chevron was so fond of her they named an oil tanker Condoleezza Rice.
Former Secretary of Commerce Donald Evans: Was first a roughneck oil rigger, then CEO of Tom Brown, Inc.
It’s natural for people to want to look after their own. If my whole family made their living in jelly beans, you can bet I’d be against a jelly bean tax. But I’m not the President of the United States of America.
The President’s job is something larger than to look after his friends and family- it’s to protect everyone in this country. His job is to protect the poor and weak from the rich and powerful.
Not the other way around.
