Exxon Mobil Corporation Announces Estimated Third Quarter 2009 Results

http://www.businesswire.com/news/home/20091029005658/en

IRVING, Texas--(Business Wire)--
Exxon Mobil Corporation (NYSE:XOM):

Third Quarter Nine Months
2009 2008 % 2009 2008 %
Earnings Excluding Special Items
$ Millions 4,730 13,380 -65 13,370 36,240 -63
$ Per Common Share
Assuming Dilution 1 0.98 2.58 -62 2.74 6.87 -60

Special Items
$ Millions 0 1,450 (140 ) 1,160

Earnings 1
$ Millions 4,730 14,830 -68 13,230 37,400 -65
$ Per Common Share
Assuming Dilution 1 0.98 2.85 -66 2.71 7.09 -62

Capital and Exploration
Expenditures - $ Millions 6,493 6,853 -5 18,829 19,314 -3

1 See Accounting guidance adopted in first quarter 2009

EXXONMOBIL'S CHAIRMAN REX W. TILLERSON COMMENTED:

"Despite ongoing global economic weakness and reduced demand for products, we
continued our robust investment program and delivered strong results.

"Our third quarter earnings, excluding special items, were $4.7 billion. While
continuing to be impacted by lower commodity prices and weak product margins, we
maintained our focus on operational excellence and invested $19 billion through
the first three quarters of the year to develop new energy supplies.

"Oil-equivalent production increased by 3% over the third quarter of 2008 with
contributions from major start-ups of world-class assets including Qatargas 2,
Train 5 and Ras Laffan 3, Train 6 in Qatar.

"We are well-positioned for continued production growth with projects such as
QatarGas, RasGas and Gorgon LNG which will contribute additional long plateau
production for decades and provide ExxonMobil with a strong foundation.

"ExxonMobil`s industry leading financial strength has allowed us to continue to
invest across the economic cycle focusing on world class opportunities.

"Our commitment to a disciplined and long term focused investment strategy sets
ExxonMobil apart from its competitors.

"In addition to funding our capital and operating programs, we distributed $2.0
billion in dividends and purchased $4.0 billion of ExxonMobil common stock to
reduce shares outstanding during the third quarter."

THIRD QUARTER HIGHLIGHTS

* Earnings excluding special items were $4,730 million, a decrease of 65% or
$8,650 million from the third quarter of 2008.
* Earnings per share excluding special items were $0.98, a decrease of 62%.
* Earnings were down 68% from the third quarter of 2008 which included a special
gain of $1,620 million from the sale of a natural gas transportation business in
Germany and a special charge of $170 million related to the Valdez punitive
damages award. Earnings for the third quarter of 2009 did not include any
special items.
* Capital and exploration expenditures were $6.5 billion, down 5% from the third
quarter of 2008, reflecting the impacts of a stronger U.S. dollar.
* Oil-equivalent production increased nearly 3% from the third quarter of 2008.
Excluding the impacts of entitlement volumes, OPEC quota effects and
divestments, production was up about 5%.
* Cash flow from operations and asset sales was approximately $9.0 billion,
including asset sales of $0.2 billion.
* Share purchases of $4.0 billion reduced shares outstanding by 1.2%.
* Two major liquefied natural gas (LNG) facilities in Qatar - Qatargas 2, Train
5 and Ras Laffan 3, Train 6 - commenced production. With annual production
capacity of 7.8 million tons each, both trains join Qatargas 2, Train 4 as the
largest operating LNG production facilities in the world.
* Participants in the Gorgon liquefied natural gas (LNG) project approved a
development plan that will include three LNG processing trains with a capacity
of 5 million tons per year each. The development decision followed execution of
LNG sales and purchase agreements with PetroChina International Company Limited
and Petronet LNG Limited of India for ExxonMobil`s equity share of LNG in the
project.
* Fujian Refining and Petrochemical Company Limited announced the startup of new
chemical units - including an ethylene steam cracker, a polyethylene unit, a
polypropylene unit and aromatics facilities - in its new fully integrated
refining and petrochemical complex in Fujian Province, China.
* ExxonMobil announced an alliance with leading biotech company, Synthetic
Genomics Inc., to research and develop next generation biofuels from
photosynthetic algae. If research and development milestones are met, ExxonMobil
expects to spend more than $600 million under the program.

Third Quarter 2009 vs. Third Quarter 2008

Upstream earnings, excluding special items, were $4,012 million down $5,339
million from the third quarter of 2008. Lower crude oil and natural gas
realizations accounted for the majority of the decline, reducing earnings
approximately $4.9 billion while higher operating costs reduced earnings
approximately $300 million.

On an oil-equivalent basis, production increased nearly 3% from the third
quarter of 2008. Excluding the impacts of entitlement volumes, OPEC quota
effects and divestments, production was up about 5%.

Liquids production totaled 2,335 kbd (thousands of barrels per day), up 45 kbd
from the third quarter of 2008. Excluding the impacts of entitlement volumes,
OPEC quota effects and divestments, liquids production was up over 5%, as
increased production from projects in the United States and Kazakhstan was
partly offset by field decline.

Third quarter natural gas production was 8,129 mcfd (millions of cubic feet per
day), up 309 mcfd from 2008. New production volumes from project additions in
Qatar and the United States were partly offset by maintenance in Europe.

Earnings from U.S. Upstream operations were $709 million, $1,170 million lower
than the third quarter of 2008. Non-U.S. Upstream earnings, excluding special
items, were $3,303 million, down $4,169 million from last year.

Downstream earnings of $325 million were down $2,688 million from the third
quarter of 2008. Lower refining margins drove the decline, reducing earnings
$2.6 billion. Petroleum product sales of 6,301 kbd were 387 kbd lower than last
year's third quarter, mainly reflecting asset sales and lower demand.

The U.S. Downstream recorded a loss of $203 million, down $1,181 million from
the third quarter of 2008. Non-U.S. Downstream earnings of $528 million were
$1,507 million lower than last year.

Chemical earnings of $876 million were $211 million lower than the third quarter
of 2008. Weaker margins drove the decline, reducing earnings $170 million. Third
quarter prime product sales of 6,356 kt (thousands of metric tons) were 296 kt
higher than the prior year primarily due to the absence of last year`s hurricane
impacts.

Corporate and financing expenses excluding special items were $483 million, up
$412 million due mainly to lower interest income.

During the third quarter of 2009, Exxon Mobil Corporation purchased 61 million
shares of its common stock for the treasury at a gross cost of $4.2 billion.
These purchases included $4.0 billion to reduce the number of shares
outstanding, with the balance used to offset shares issued in conjunction with
the company's benefit plans and programs. Shares outstanding were reduced from
4,806 million at the end of the second quarter to 4,747 million at the end of
the third quarter. Share purchases to reduce shares outstanding are currently
anticipated to equal $2.0 billion in the fourth quarter of 2009. 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.

First Nine Months 2009 vs. First Nine Months 2008

Earnings of $13,230 million ($2.71 per share) decreased $24,170 million from
2008. Excluding special items, earnings for the first nine months of 2009 were
$13,370 million, a decrease of $22,870 million from 2008.

FIRST NINE MONTHS HIGHLIGHTS

* Earnings excluding special items were $13,370 million, down 63%.
* Earnings per share excluding special items decreased 60% to $2.74, reflecting
lower earnings and the continued reduction in the number of shares outstanding.
* Earnings were down 65% from 2008. Earnings for 2009 included a special charge
of $140 million for interest related to the Valdez punitive damages award.
Earnings for 2008 included a special gain of $1,620 million from the sale of a
natural gas transportation business in Germany and special charges of $460
million related to the Valdez punitive damages award.
* Oil equivalent production remained essentially flat with the same period in
2008. Excluding the impacts of entitlement volumes, OPEC quota effects and
divestments, production was up 1%.
* Cash flow from operations and asset sales was approximately $21.0 billion,
including $1.1 billion from asset sales.
* The Corporation distributed a total of $22.0 billion to shareholders in the
first nine months of 2009 through dividends and share purchases to reduce shares
outstanding.
* Dividends per share of $1.24 increased 8%.
* Capital and exploration expenditures were $18.8 billion, down 3% versus 2008
due to the stronger U.S. dollar.

Upstream earnings, excluding special items, were $11,327 million, down $16,821
million from 2008. Lower crude oil and natural gas realizations decreased
earnings approximately $15.8 billion while higher operating costs reduced
earnings about $1.0 billion.

On an oil-equivalent basis, production was essentially flat compared to the same
period in 2008. Excluding the impacts of entitlement volumes, OPEC quota effects
and divestments, production was up 1%.

Liquids production of 2,385 kbd remained flat with 2008. Excluding the impacts
of entitlement volumes, OPEC quota effects and divestments, liquids production
was up over 2%, as new volumes from project additions in west Africa and the
United States, and lower maintenance activity, were partly offset by field
decline.

Natural gas production of 8,778 mcfd decreased 64 mcfd from 2008. Higher volumes
from Qatar were more than offset by field decline.

Earnings from U.S. Upstream operations for 2009 were $1,882 million, a decrease
of $3,662 million. Earnings outside the U.S. excluding special items were $9,445
million, down $13,159 million.

Downstream earnings of $1,970 million were $3,767 million lower than 2008.
Weaker margins decreased earnings approximately $2.8 billion. Lower volumes and
refinery optimization due to weaker demand reduced earnings about $500 million
while higher operating costs resulted in a $300 million decline in earnings.
Petroleum product sales of 6,407 kbd decreased from 6,761 kbd in 2008, mainly
reflecting asset sales and lower demand.

U.S. Downstream earnings were $134 million, down $1,535 million. Non-U.S.
Downstream earnings were $1,836 million, $2,232 million lower than last year.

Chemical earnings of $1,593 million decreased $1,209 million from 2008. Weaker
margins reduced earnings by approximately $500 million while lower volumes
reduced earnings about $400 million. Unfavorable foreign exchange effects
decreased earnings by $200 million. Prime product sales of 18,150 kt were down
1,206 kt from 2008.

Corporate and financing expenses excluding special items were $1,520 million, up
$1,073 million mainly due to lower interest income.

Gross share purchases through the first nine months of 2009 were $17.3 billion,
reducing shares outstanding by 4.6%.

Estimates of key financial and operating data follow.

ExxonMobil will discuss financial and operating results and other matters on a
webcast at 10 a.m. Central time on October 29, 2009.To listen to the event live
or in archive, go to our website at exxonmobil.com.

Cautionary statement

Statements in this release 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; and
share purchase levels, could differ materially due to factors including: changes
in long-term oil or gas prices or other market or economic conditions affecting
the oil and gas industry; completion of repair projects as planned; unforeseen
technical difficulties; political events or disturbances; reservoir performance;
the outcome of commercial negotiations; wars and acts of terrorism or sabotage;
changes in technical or operating conditions; and other factors discussed under
the heading "Factors Affecting Future Results" on our website and in Item 1A of
ExxonMobil's 2008 Form 10-K. We assume no duty to update these statements as of
any future date. References to quantities of oil or natural gas may include
amounts that we believe will ultimately be produced, but that are not yet
classified as "proved reserves" under SEC definitions.

Frequently used terms

Consistent with previous practice, this press release includes both earnings
excluding special items and earnings per share excluding special items.Both are
non-GAAP financial measures and are included to help facilitate comparisons of
base business performance across periods.Reconciliation to net income
attributable to ExxonMobil is shown in Attachment II.The release also includes
cash flow from operations and asset sales.Because of the regular nature of our
asset management and divestment program, we believe it is useful for investors
to consider sales proceeds together with cash provided by operating activities
when evaluating cash available for investment in the business and financing
activities. A reconciliation to net cash provided by operating activities is
shown in Attachment II.Further information on ExxonMobil's frequently used
financial and operating measures and other terms is contained under the heading
"Frequently Used Terms" available through the Investors section of our website
at exxonmobil.com.

Accounting guidance adopted in first quarter 2009

Effective January 1, 2009, ExxonMobil adopted the authoritative guidance on
consolidation as it relates to noncontrolling interests. The guidance changed
the accounting and reporting for minority interests, which were recharacterized
as noncontrolling interests and classified as a component of equity.The guidance
required retrospective adoption of the presentation and disclosure requirements
for existing minority interests.All other requirements will be applied
prospectively. The adoption of the accounting guidance did not have a material
impact on the Corporation`s financial statements.

References 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, earnings excluding 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.

Effective January 1, 2009, ExxonMobil adopted the authoritative guidance for
earnings per share as it relates to determining whether instruments granted in
share-based payment transactions are participating securities.The guidance
required that all unvested share-based payment awards that contain
nonforfeitable rights to dividends should be included in the basic Earnings Per
Share (EPS) calculation. Prior-year EPS numbers have been adjusted
retrospectively on a consistent basis with 2009 reporting. This guidance did not
affect the consolidated financial position or results of operations.

Attachment I

EXXON MOBIL CORPORATION
THIRD QUARTER 2009
(millions of dollars, unless noted)
Third Quarter Nine Months
2009 2008 2009 2008
Earnings / Earnings Per Share 1

Total revenues and other income 82,260 137,737 220,745 392,663
Total costs and other deductions 73,056 111,044 196,174 323,065
Income before income taxes 9,204 26,693 24,571 69,598
Income taxes 4,333 11,327 11,052 31,155
Net income including noncontrolling interests 4,871 15,366 13,519 38,443
Net income attributable to noncontrolling interests 141 536 289 1,043
Net income attributable to ExxonMobil (U.S. GAAP) 4,730 14,830 13,230 37,400

Earnings per common share (dollars) 0.98 2.86 2.72 7.13

Earnings per common share
- assuming dilution (dollars) 0.98 2.85 2.71 7.09

Other Financial Data

Dividends on common stock
Total 2,011 2,063 6,031 6,040
Per common share (dollars) 0.42 0.40 1.24 1.15

Millions of common shares outstanding
At September 30 4,747 5,087
Average - assuming dilution 1 4,803 5,178 4,878 5,278

ExxonMobil share of equity at September 30 107,265 125,286
ExxonMobil share of capital employed at September 30 120,351 138,185

Income taxes 4,333 11,327 11,052 31,155
Sales-based taxes 6,805 9,327 18,927 27,297
All other taxes 9,729 11,856 27,442 35,760
Total taxes 20,867 32,510 57,421 94,212

ExxonMobil share of income taxes of
equity companies 515 870 1,616 2,763

1 See Accounting guidance adopted in first quarter 2009

Attachment II

EXXON MOBIL CORPORATION
THIRD QUARTER 2009
(millions of dollars)
Third Quarter Nine Months
2009 2008 2009 2008
Earnings (U.S. GAAP)
Upstream
United States 709 1,879 1,882 5,544
Non-U.S. 3,303 9,092 9,445 24,224
Downstream
United States (203 ) 978 134 1,669
Non-U.S. 528 2,035 1,836 4,068
Chemical
United States 315 257 477 643
Non-U.S. 561 830 1,116 2,159
Corporate and financing (483 ) (241 ) (1,660 ) (907 )
Net income attributable to ExxonMobil 4,730 14,830 13,230 37,400
Special Items
Upstream
United States 0 0 0 0
Non-U.S. 0 1,620 0 1,620
Downstream
United States 0 0 0 0
Non-U.S. 0 0 0 0
Chemical
United States 0 0 0 0
Non-U.S. 0 0 0 0
Corporate and financing 0 (170 ) (140 ) (460 )
Corporate total 0 1,450 (140 ) 1,160
Earnings Excluding Special Items
Upstream
United States 709 1,879 1,882 5,544
Non-U.S. 3,303 7,472 9,445 22,604
Downstream
United States (203 ) 978 134 1,669
Non-U.S. 528 2,035 1,836 4,068
Chemical
United States 315 257 477 643
Non-U.S. 561 830 1,116 2,159
Corporate and financing (483 ) (71 ) (1,520 ) (447 )
Corporate total 4,730 13,380 13,370 36,240
Cash flow from operations and asset sales (billions of dollars)
Net cash provided by operating activities 8.8 14.4 19.9 49.2
(U.S. GAAP)
Sales of subsidiaries, investments and property, plant and equipment 0.2 2.6 1.1 4.2
Cash flow from operations and asset sales 9.0 17.0 21.0 53.4

Attachment III

EXXON MOBIL CORPORATION
THIRD QUARTER 2009

Third Quarter Nine Months
2009 2008 2009 2008
Net production of crude oil
and natural gas liquids,
thousands of barrels daily (kbd)
United States 373 340 383 364
Canada/South America 267 283 272 287
Europe 350 397 381 431
Africa 666 639 694 637
Asia Pacific/Middle East 494 510 474 506
Russia/Caspian 185 121 181 158
Worldwide 2,335 2,290 2,385 2,383

Natural gas production available for sale,
millions of cubic feet daily (mcfd)
United States 1,260 1,163 1,257 1,256
Canada/South America 646 634 643 649
Europe 2,551 2,768 3,452 3,713
Africa 16 33 21 32
Asia Pacific/Middle East 3,510 3,135 3,263 3,086
Russia/Caspian 146 87 142 106
Worldwide 8,129 7,820 8,778 8,842

Oil-equivalent production (koebd) 1 3,690 3,593 3,848 3,857

1 Gas converted to oil-equivalent at 6 million cubic feet = 1 thousand barrels

Attachment IV

EXXON MOBIL CORPORATION
THIRD QUARTER 2009

Third Quarter Nine Months
2009 2008 2009 2008
Refinery throughput (kbd)
United States 1,751 1,592 1,773 1,720
Canada 417 468 414 448
Europe 1,542 1,647 1,540 1,603
Asia Pacific 1,349 1,328 1,321 1,363
Other 293 319 293 316
Worldwide 5,352 5,354 5,341 5,450

Petroleum product sales (kbd)
United States 2,462 2,437 2,525 2,523
Canada 412 452 411 439
Europe 1,607 1,736 1,615 1,721
Asia Pacific 1,292 1,338 1,328 1,356
Other 528 725 528 722
Worldwide 6,301 6,688 6,407 6,761

Gasolines, naphthas 2,593 2,622 2,556 2,641
Heating oils, kerosene, diesel 1,851 2,063 2,009 2,073
Aviation fuels 553 640 541 625
Heavy fuels 596 602 585 639
Specialty products 708 761 716 783
Worldwide 6,301 6,688 6,407 6,761

Chemical prime product sales,
thousands of metric tons (kt)
United States 2,525 2,248 7,087 7,505
Non-U.S. 3,831 3,812 11,063 11,851
Worldwide 6,356 6,060 18,150 19,356

Attachment V

EXXON MOBIL CORPORATION
THIRD QUARTER 2009
(millions of dollars)

Third Quarter Nine Months
2009 2008 2009 2008
Capital and Exploration Expenditures
Upstream
United States 858 1,000 2,602 2,334
Non-U.S. 4,049 4,277 11,576 12,295
Total 4,907 5,277 14,178 14,629
Downstream
United States 396 421 1,156 1,198
Non-U.S. 435 423 1,138 1,377
Total 831 844 2,294 2,575
Chemical
United States 66 123 237 345
Non-U.S. 681 598 2,098 1,739
Total 747 721 2,335 2,084

Other 8 11 22 26

Worldwide 6,493 6,853 18,829 19,314

Exploration expenses charged to income
included above
Consolidated affiliates
United States 60 45 155 144
Non-U.S. 434 353 1,178 924
Equity companies - ExxonMobil share
United States 0 0 0 0
Non-U.S. 7 6 9 13
Worldwide 501 404 1,342 1,081

Attachment VI

EXXON MOBIL CORPORATION
EARNINGS

$ Millions $ Per Common Share 1,2

2005
First Quarter 7,860 1.23
Second Quarter 7,640 1.21
Third Quarter 9,920 1.58
Fourth Quarter 10,710 1.72
Year 36,130 5.74

2006
First Quarter 8,400 1.38
Second Quarter 10,360 1.72
Third Quarter 10,490 1.77
Fourth Quarter 10,250 1.77
Year 39,500 6.64

2007
First Quarter 9,280 1.63
Second Quarter 10,260 1.83
Third Quarter 9,410 1.71
Fourth Quarter 11,660 2.14
Year 40,610 7.31

2008
First Quarter 10,890 2.03
Second Quarter 11,680 2.24
Third Quarter 14,830 2.86
Fourth Quarter 7,820 1.55
Year 45,220 8.70

2009
First Quarter 4,550 0.92
Second Quarter 3,950 0.82
Third Quarter 4,730 0.98

1 Computed using the average number of shares outstanding during each period.
The sum of the four quarters may not add to the full year.
2 See Accounting guidance adopted in first quarter 2009

ExxonMobil
Media Relations, 972-444-1107

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