Exxon Mobil Corporation · NYSE:XOM
Exxon Mobil — Investor Day (March 2008)
97 slides from Exxon Mobil's investor day presentation, Mar 11, 2008
Slide 1: Analyst Meeting New York - March 5, 2008
Analyst Meeting New York - March 5, 2008 Exhibit 99.2 Analyst Meeting New York - March 5, 2008
Slide 2: Cautionary Statement
Cautionary Statement Forward-Looking Statements. Outlooks, projections, estimates, targets, and business plans in this presentation or the subsequent discussion period are forward-looking statements. Actual future results, including demand growth and mix; ExxonMobil’s own production growth and mix;
Slide 3: Corporate Overview
Corporate Overview Analyst Meeting March 5, 2008
Slide 4: 2007 Record Results
• Industry-leading safety performance • Record financial performance – Net Income $40.6 B – ROCE % – Cash flow from Operations and Asset Sales $56 B • Total Distributions to $36 B Shareholders * • Capex $21 B • Reserves Replacement ** % • Total Shareholder Return % 2007 – Record Results * Includes d
Slide 5: Proven Long-Term Approach
Disciplined Investment Operational Excellence Industry Leading Returns Superior Cash Flow Growth in Shareholder Value Proven Long-Term Approach
Slide 6: Energy Demand
Energy Demand • Economic progress driving global energy demand higher • Oil and natural gas are indispensable • Requirements to meet rising demand: – Massive investments – Technology innovations – Integrated solutions – Timely execution Oil Gas Coal Nuclear Renewables 1.5% 1.7% 0.9% 2.0% 1.2% 1.3% A
Slide 7: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 8: Record Results
Record Results Portfolio Quality • Superior results in all business segments • Commitment to operations excellence • Capitalizing on competitive advantages Normalized Earnings $B Chemical Downstream Upstream Net Income '03 '04 '05 '06 '07
Slide 9: Superior ROCE
Superior ROCE Portfolio Quality * Competitor data estimated using a consistent basis with ExxonMobil, and based on public information • Consistently outperform competition • Results from implementation of business model – Capital discipline – Operational excellence – Asset management RDS BP CVX Retu
Slide 10: Superior ROCE by Business Segment
Superior ROCE Portfolio Quality * Competitor data estimated using a consistent basis with ExxonMobil, and based on public information • Industry-leading returns in all business segments • Consistent execution of business model • Disciplined investment across the business cycles • Strength of integra
Slide 11: Investing in Our Future – People
Investing in Our Future – People Global Integration • Long-term commitment to recruitment, development, and training • Global approach • Common development systems and processes • Outstanding employee capabilities • Unmatched opportunities
Slide 12: Functional Organization
Functional Organization Global Integration • Industry-leading approach • Long-term investment in enabling systems and procedures • Consistent global execution of business processes • Facilitates rapid deployment of new technology and best practices • Continuing to develop and mature • Delivering dif
Slide 13: Common Processes and Systems
Plan Select Define Execute Operate Common Processes and Systems Global Integration ExxonMobil Capital Project System Operations Integrity Management System GEMS Global Energy Management System GRS Global Reliability System Controls Integrity Management System Plan Select Define Execute Operate
Slide 14: Safety
Safety Leadership Discipline and Consistency Lost Time Incident Rate Incidents per 200k hours 0.2 0.3 U. S. Petroleum Industry Employee Benchmark* * 2007 Industry data not available U. S. Petroleum Industry Contractor Benchmark* Nobody Gets Hurt Employee Contractor 0.0 0.1 0.4 0.5 '01 '02 '03 '04 '0
Slide 15: Energy Security & Environmental Leadership
• Safely and reliably meeting energy demand • Reducing environmental impact – Preventing spills and releases – Protecting biodiversity • Reducing GHG emissions from energy production – Energy efficiency and cogeneration – Flare reduction • Improving consumer use of energy Discipline and Consistency
Slide 16: Investing in Solutions Beyond 2030
Saline Aquifers Depleted Oil & Gas Reservoirs Coal Beds Pipelines Saline Aquifers Depleted Oil & Gas Reservoirs Coal Beds Pipelines • World energy demand growing • Identifying breakthrough technologies – Efficient and cost-effective – Global and large scale deployment • Strategic research initiative
Slide 17: Technology Leadership
Technology Leadership • Delivering long-term competitive advantage • Unwavering commitment to research • Disciplined, focused investment – more than $3.5 billion since • Research priorities determined by business requirements • Value capture maximized through rapid, global deployment Value Maximizat
Slide 18: Unique Integration Capabilities
• Unique integration capabilities • Advantaged technology • Project and operations management • Global systems and processes • Centralized common support activities • Maximizing resource value Integration Value Maximization
Slide 19: Superior Cash Flow
Superior Cash Flow Value Maximization '03 '04 '05 '06 '07 Cash Flow from Operating Activities * $B * Excludes asset sales, 2007 competitor data estimated based on publicly available data XOM RDS BP CVX • Record $52 billion in 2007 • Average $44 billion per year from 2003 to 2007 • Capturing the upsi
Slide 20: Investing for the Future
Investing for the Future Value Maximization Capex by Business Line $B Chemical/ Other Downstream Upstream '03 '04 '05 '06 '07 U.S. Geographic Capex Distribution Europe Africa Asia Pacific / Middle East Russia / Caspian Canada / South America $89 Billion Invested from 2003 to 2007
Slide 21: Investing for the Future
Investing for the Future Capex by Business Line $B Value Maximization Chemical/ Other Downstream Upstream Estimate Avg '02-'06 '07 '08 Estimate $B Estimate Range '09-'12 Average
Slide 22: Reliable and Growing Dividends
Reliable and Growing Dividends • Distributed $36 billion over past five years • Paid dividends each year for more than 100 years • Annual per share increases since 1983 • Dividends per share increased 40% from 2003 vs. CPI of 13% Value Maximization Dividends per Share $/share 0.00 0.20 0.40 0.60 0.8
Slide 23: Cumulative Share Purchases
Cumulative Share Purchases • Distributed $82 billion during last five years and $28 billion in • Reduced shares outstanding by 20% since beginning of 2003 • Flexible and efficient distribution tool to manage capital structure $B Purchases to Reduce Shares Outstanding* Value Maximization XOM RDS BP C
Slide 24: Increasing Ownership
Increasing Ownership Indexed Growth per Share Since 2003* • Increasing ownership per share • Strong per share growth in key business metrics • Contributes to increased earnings per share *2007 metric per average share vs. 2003 metric per average share Production Proved Reserves Refinery Throughput C
Slide 25: Increasing Value per Share
0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 '03 '04 '05 '06 '07 Increasing Value per Share Earnings per Share $/share • Annualized growth of 23% • Captured upside • Growth driven by – Higher commodity prices and refining margins – Strong business performance – Share purchases contributed $1.50 to 2007 EPS*
Slide 26: Total Shareholder Distributions
• Cumulative distributions of $118 billion 2003 to 2007 • Annual distributions tripled • Market capitalization more than doubled % Market Capitalization at YE 2002 Long-Term Perspective Total Shareholder Distributions Market Capitalization ($B) Cumulative Total Distributions Since 2003 '03 '04 '05 '
Slide 27: Growth in Shareholder Value
Growth in Shareholder Value Long-Term Perspective Shareholder Returns Disciplined Investment Operational Excellence Industry Leading Returns Superior Cash Flow Growth in Shareholder Value ExxonMobil Competitor Average* S&P 500 * Shell, BP and Chevron Growing Competitive Advantage $K Value of $1,000
Slide 28: Upstream Overview
Upstream Overview Analyst Meeting March 5, 2008
Slide 29: Upstream Highlights
Highlights Upstream • Earnings $26.5 B • ROCE 41.7 % • Production volumes 4.2 MOEBD • Resource adds 2.0 BOEB • Proved reserves adds 1.6 BOEB • Capex $15.7 B
Slide 30: Upstream Strategies
Upstream Strategies • Focus on operations integrity – best-in-class performance • Identify and pursue all attractive exploration opportunities • Invest in projects that deliver superior returns • Maximize profitability of existing oil and gas production • Capitalize on growing natural gas and power
Slide 31: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 32: Size, Diversity and Superior Quality
Size, Diversity and Superior Quality Upstream: Portfolio Quality Resource Base Americas Europe Russia/Caspian Africa BOEB Asia Pacific / Middle East YE '07 Resource Type LNG Tight Gas Conventional Deepwater Arctic Heavy Oil / Oil Sands Acid / Sour Gas BOEB
Slide 33: Adding to the Resource Base
Adding to the Resource Base Upstream: Portfolio Quality Annual Resource Additions BOEB Discovered Undeveloped By-The-Bit 2007 Highlights • 2 BOEB resource additions, key adds include: – Piceance Basin, U.S. – West Africa – Asia Pacific • Completed 55 wildcat and 12 appraisal wells – 55% wildcat succ
Slide 34: Opportunity Capture Spans the Globe
Opportunity Capture Spans the Globe Upstream: Portfolio Quality 2000 - • Over 60 worldwide opportunity captures since 2000 • Diverse, global portfolio
Slide 35: Key Wells
Key Wells Upstream: Portfolio Quality 2009+ Brazil Santos U.S. LaBarge Canada Orphan Madagascar Majunga Qatar B2 Australia NW Shelf U.S. Gulf of Mexico Angola Blocks 15, 31, 32 Nigeria B214 / JV Indonesia Cepu Libya CA20/44 Indonesia Makassar New Zealand GSB UK Mid North Sea High Germany LSB Colombi
Slide 36: Reserves Base – Size and Diversity
Conventional LNG Acid/Sour Gas HO/Oil Sands Arctic Deepwater Asia Pacific/ Middle East Americas Europe Africa Russia/Caspian Oil Gas Reserves Base – Size and Diversity Upstream: Portfolio Quality Product Region Resource Type BOEB Proved Reserves* (YE 2007) Conventional LNG Acid/Sour Gas HO/Oil Sands
Slide 37: Diverse Inventory of Undeveloped Opportunities
Diverse Inventory of Undeveloped Opportunities Upstream: Portfolio Quality Arctic Deepwater Acid / Sour Gas Tight Gas Heavy Oil / Oil Sands Conventional 50 BOEB LNG
Slide 38: Strong Project Inventory
Project Stage Geography Resource Type Strong Project Inventory Upstream: Portfolio Quality # of Projects (YE 2007) Planning/ Selecting Defining Executing Operating Russia/ Caspian Asia Pacific Americas Europe Africa Middle East Deepwater Conventional Acid / Sour Gas Arctic LNG HO/Oil Sands Tight Gas
Slide 39: 2007 Major Project Start-Ups
2007 Start-Ups 2007 Major Project Start-Ups Upstream: Portfolio Quality Tengiz Phase 1 RasGas Train 5 2007 Start-Ups KOEBD, Net Statfjord Late Life Rosa Marimba Waddenzee Ormen Lange
Slide 40: 2008 Major Project Start-Ups
2007 Start-Ups 2008 Start-Ups 2008 Major Project Start-Ups Upstream: Portfolio Quality Starling KOEBD, Net East Area NGL II 2007 Start-Ups 2008 Start-Ups Adriatic Terminal South Hook Terminal Saxi/Batuque Mondo ACG Phase 3 Volve LNG Terminal Qatargas II Train 4 RasGas Train 6 Thunder Horse Jerneh B
Slide 41: 2009/2010 Major Project Start-Ups
2007 Start-Ups 2008 Start-Ups 2009-10 Start-Ups 2009/2010 Major Project Start-Ups Upstream: Portfolio Quality 2007 Start-Ups 2008 Start-Ups 2009-10 Start-Ups KOEBD, Net Al Khaleej Gas Phase 2 Tyrihans Piceance Tight Gas Phase 1 LNG Terminal 2009 / 2010 2007 - Qatargas II Train 5 RasGas Train 7 Golde
Slide 42: 2011+ Major Project Start-Ups
2011+ Major Project Start-Ups Upstream: Portfolio Quality Tempa Rossa Alaska Gas / Point Thomson Mackenzie Gas Project Kearl Phase 1 Kearl (Future Phases) Piceance (Future Phases) Kashagan Phase 1 Kashagan (Future Phases) Tengiz Expansion Sakhalin-1 Future Phases Natuna PNG Pazflor CLOV Bonga N Bong
Slide 43: Strong Foundation for Long-Term Capacity
0.0 0.8 1.6 '07 '08 '09 '10 '11 '12 '13 '14 '15 Strong Foundation for Long-Term Capacity Upstream: Portfolio Quality Other Flowstreams T Long-Plateau Flowstreams T RasGas • Over 1.5 MOEBD capacity to be added by 2015 • 75% of new capacity from long-plateau flowstreams 2007- 2015 Major Project Start-
Slide 44: Kearl – Oil Sands
Mining Slurry Preparation Oil Sands Hydro Transport / Conditioning Diluted Bitumen Froth Treatment Extraction Tailings Storage Phase 1 Phase 3 Phase 2 Kearl – Oil Sands Upstream: Portfolio Quality • Very high quality oil sands resource • Phased development of > 4 BBO; ~300 KBD for at least 30 years
Slide 45: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 46: Integrating Technology for Success
Fast Drill Process Reduced Drilling Costs Identification of New Opportunities New Plays Concept CFZ ™ Separation Sour Gas Commercialization Efficient Bitumen Separation High-Temp. Paraffinic Froth Treatment Feed Gas Integrating Technology for Success Upstream: Global Integration Technology Applicati
Slide 47: Integrated Global LNG Portfolio
Australia PNG Nigeria RasGas 1-4 QatarGas 1-3 RasGas 5 RasGas 6 Qatargas II 4 Qatargas II 5 RasGas 7 Arun Integrated Global LNG Portfolio Upstream: Global Integration Existing Market LNG Production Future LNG Terminal ExxonMobil LNG Flow in 2010+ Nigeria Gorgon-Jansz Arun Qatar Scarborough PNG Austr
Slide 48: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 49: Project Execution Excellence
Sakhalin - 2** Operate Execute Define Select Plan Project Execution Excellence Upstream: Discipline and Consistency Average 03-07 Actual vs. Funded, % EM Project Execution Performance Months Cost Schedule XOM Competitors Ras Gas Train 5* > 4.0 MTA Trains Deepwater West Africa Sakhalin - Cycle Time v
Slide 50: Production Reliability
Production Reliability Upstream: Discipline and Consistency Uptime Performance XOM Operated Operated by Others Readiness Checks Planning Scoping Execution Follow-Up XOM-Interest Facilities, %
Slide 51: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 52: Maximizing Base Recovery
Recovery Factor 13% 17% 25% 30+% Uplift Uplift Maximizing Base Recovery Upstream: Value Maximization Australia - Gippsland Work Program Base Uplift Base Base Uplift Canada - Cold Lake Production Growth Nigeria - East Area Projects Abu Dhabi - Upper Zakum Capacity Expansion Current Future
Slide 53: Superior Cost Management
Superior Cost Management Upstream: Value Maximization Indexed Cash Costs per OEB* FAS 69 basis indexed to 2003; competitor data estimated using a consistent basis with ExxonMobil, and based on public information Cash costs equal production costs excluding taxes plus exploration expenses; total costs
Slide 54: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 55: Upstream: Long-Term Perspective – Sakhalin-1 Example
Upstream: Long-Term Perspective Sakhalin-1 Example PSA Signed Extended Reach Drilling at Yastreb Start-Up Full Field Start-Up Future Arctic Bridge over Chayvo Bay Modular Construction 3D Seismic Analysis Chayvo Orlan Towed from Alaska Wave Analysis Ice Breaking Tanker Trials Ice Load & Seismic Studi
Slide 56: Breakthrough Technology
Breakthrough Technology Upstream: Long-Term Perspective Advanced Hydrocarbon Detection (R ³ M SM ) Economic Recovery from Thin Bitumen Reservoirs Next-Generation Seismic Imaging Commercial Successes Identified Opportunities Evaluation In Situ Shale Oil Recovery Rapid Reservoir Performance Prediction
Slide 57: National Content Development
National Content National Content Development Upstream: Long-Term Perspective Supplier Development Supplier Development Workforce Development Workforce Development Strategic Community Investments Strategic Community Investments
Slide 58: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 59: Industry-Leading Reserves
Industry-Leading Reserves Upstream: Growing Competitive Advantage Years Remaining 14.2 12.8 10.6 11.7 BOEB Proved Reserves* (YE 2007) * ExxonMobil reserves include year-end price/cost revisions and Canadian oil sands operations Competitor data estimated using a consistent basis with ExxonMobil, and
Slide 60: Delivering Profitable Capacity Growth
Liquids Gas Upstream: Growing Competitive Advantage Delivering Profitable Capacity Growth Americas 1.5 Europe 1.5 Africa MOEBD, Net Liquids Gas Total 0.5 Russia / Caspian Asia Pacific / Middle East 1.5
Slide 61: Upstream per Share Metrics
** Key Upstream per Share Metrics Upstream: Growing Competitive Advantage Indexed Growth Per Share Since 2003* Competitor data estimated using a consistent basis with ExxonMobil, and based on public information 2007 Reserves data estimated for BP and CVX; 2006 reserves data used for RDS because 2007
Slide 62: Industry-leading Earnings per Barrel
Industry-leading Earnings per Barrel Upstream: Growing Competitive Advantage * Competitor data estimated using a consistent basis with ExxonMobil, and based on public information $/OEB 2003-2007 Earnings per Barrel* XOM CVX RDS BP
Slide 63: Industry-Leading Returns
Industry-Leading Returns Upstream: Growing Competitive Advantage Average Capital Employed* $B XOM RDS BP '03 '07 '03 '07 '03 '07 '03 '07 CVX Reported Net Income* $B '03 '07 '03 '07 '03 '07 '03 '07 *Competitor data estimated using a consistent basis with ExxonMobil, and based on public information Re
Slide 64: Downstream Overview
Downstream Overview Analyst Meeting March 5, 2008
Slide 65: a = & Ps
a 3 = & Ps
Slide 66: Business Strategies
Business Strategies • Maintain best-in-class operations, in all respects • Provide quality, valued products and services to customers • Lead industry in efficiency and effectiveness • Capitalize on integration with other ExxonMobil businesses • Selectively invest for resilient, advantaged returns •
Slide 67: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 68: Business Overview – Downstream
Business Overview – Downstream: Portfolio Quality / Global Integration • Largest global refiner • Largest global supplier & marketer of petroleum products • Largest manufacturer & marketer of basestocks and synthetic lubes AMERICAS Sales Ref Capacity 2.6 MBD 3.6 MBD 52% 41% Refineries Retail Sites 5
Slide 69: Refining Structural Advantages
AP Average Refinery Size KBD XOM BP RDS Industry Source: Equity share capacity calculated on consistent basis using public information Refining Structural Advantages Downstream: Portfolio Quality / Global Integration % Integration with Chemicals or Lubes XOM RDS BP Industry Capacity and Geographic M
Slide 70: Self-Help: Refining Margin Enhancement
Self-Help: Refining Margin Enhancement Downstream: Value Maximization Capacity Growth KBD Adding the equivalent of an average sized refinery every 3 yrs '95 '01 '07 Conversion Distillation Advantaged Raw Materials Indexed, % Processing challenged crudes at twice the industry average '03 '04 '05 '06
Slide 71: Self-Help: Refining Operating Efficiency
Self-Help: Refining Operating Efficiency Downstream: Discipline and Consistency * 2007 Estimated – Solomon survey only prepared in even years Widening our efficiency advantage versus industry Energy Index Indexed Source: Solomon Industry XOM * '02 '04 '06 '07 * Unit Cash Cost Industry Indexed XOM *
Slide 72: Fuels Marketing Structural Advantages
Downstream: Portfolio Quality / Global Integration Fuels Marketing Structural Advantages Aviation & Marine Sales 11% • Largest supplier and marketer of petroleum products • Leveraging integration with refining • Broad spectrum of customer channels • Product placement for highest value • Global syste
Slide 73: Fuels Marketing Self-Help
Fuels Marketing Self-Help Downstream: Value Maximization / Discipline and Consistency Portfolio highgrading and improved efficiency delivering increased profitability Fuel Retail Site Productivity (Fuels Volume and Nonfuels Margin per Site) Indexed Nonfuel -10 '03 '05 '07 Operating Efficiencies Inde
Slide 74: Lubes Marketing Structural Advantages
Downstream: Portfolio Quality / Global Integration Lubes Marketing Structural Advantages • Largest manufacturer and marketer of lube basestocks • Leveraging integration with refining • Leader in marketing synthetic lubes • Strong OEM relationships • Technically advanced products Market Share % Bases
Slide 75: Lubes and Specialties Self-Help
Lubes and Specialties Self-Help Downstream: Value Maximization / Discipline and Consistency Key Growth Markets Simplification, targeted growth & technology leadership providing long-term competitive advantage Source: Based on industry sources and public information. Operating Efficiencies Blend Plan
Slide 76: Downstream Self-Help
Downstream Self-Help Downstream: Value Maximization / Discipline and Consistency • Delivering >$1B AT Self-Help per year – Advantaged raw materials – Capacity growth – Molecule management – Higher value products – Operating efficiency $B After-Tax Margin Enhancements Opex Efficiencies '03 - '06 Avg
Slide 77: Divestment Impacts Versus '03 Base
Divestment Impacts Versus '03 Base Downstream: Portfolio Quality Downstream High-grading • Active portfolio high-grading • Key to maintaining flat capital employed profile • Improved capital efficiency • Positive impact on ROCE
Slide 78: Fujian World Class Integrated Complex
Fujian World Class Integrated Complex Downstream and Chemical: Long-Term Perspective • Fujian venture formed in mid-2007 – World-scale, integrated refining and chemical complex – Fuels marketing JV including approximately 750 retail sites • Plant expansion start-up expected in 2009; Base refinery an
Slide 79: Industry-Leading Returns
Industry-Leading Returns Downstream: Growing Competitive Advantage Average Capital Employed* $B XOM RDS BP '03 '07 '03 '07 '03 '07 Reported Net Income* $B '03 '07 '03 '07 '03 '07 *Competitor data estimated using a consistent basis with ExxonMobil, and based on public information Return on Average Ca
Slide 80: Downstream ROCE Performance
Downstream ROCE Performance ROCE at trendline margins* % Actual * At average turnaround level Improving ROCE by 1% per year at trendline margins Average +1% per year ROCE
Slide 81: Chemical Overview
Chemical Overview Analyst Meeting March 5, 2008
Slide 82: Chemical Highlights
Highlights Chemical • Record financial performance – Earnings $4.6 B – ROCE 34.0 % • Operational excellence continues – Safety, reliability, energy efficiency • Strategic initiatives delivering results – Over $500M AT “self-help” per year • Investing in advantaged growth – Capex of $1.8B
Slide 83: Business Strategies
Business Strategies Long-term strategy built on ExxonMobil’s core competencies • Unique portfolio of global businesses • Integration across ExxonMobil operations • Relentless focus on operational excellence • Disciplined investment in advantaged projects • Technology leadership Chemical
Slide 84: Growing Competitive Advantage
Growing Competitive Advantage Company Strengths Portfolio Quality Global Integration Discipline and Consistency Value Maximization Long-Term Perspective Growing Competitive Advantage
Slide 85: High-Performing Business Portfolio
High-Performing Business Portfolio Chemical: Portfolio Quality ExxonMobil Chemical Earnings $B Aromatics Olefins Polyethylene Polypropylene Specialty Businesses Commodity Businesses Rank* *Based on worldwide market position Butyl Fluids Oxo Synthetics Films Adhesion Specialty Elastomers Additives '9
Slide 86: Value Through Integration Advantage
Value Through Integration Advantage Chemical: Global Integration Petrochemical Plant Gas Processing Refinery Areas of Synergy • Advantaged feed access • Molecule optimization • Energy integration • Shared site services • Global processes / systems Natural Gas Cumulative integration benefits > $850M
Slide 87: Operational Excellence
Operational Excellence Chemical: Discipline and Consistency #, Indexed Energy Efficiency Per Unit of Production, Indexed Workforce Steamcracking Other Operations '03 '07 '03 '07 '03 '07 '07 $, Indexed Operating Costs Reliability Losses %, Indexed '03 '07 '03 '07
Slide 88: Advantaged Feedstocks
Advantaged Feedstocks Chemical: Value Maximization Advantaged Steamcracking Feeds Focus Areas • Feedstock flexibility • Cracker technology • Middle East ethane MT, Indexed '03 '07
Slide 89: Premium Product Growth
Premium Product Growth Chemical: Value Maximization Focus Areas • Solution to customer needs • Technology investment • Faster growth • Commodity differentiation • Asia demand growth Premium Products MT, Indexed '03 '07
Slide 90: Delivering >$500M AT Self-Help
• Delivering >$500M AT Self-Help per year – Integration and synergy – Operational excellence – Advantaged feeds – Premium products • Improving ROCE at constant margins Self-Help Program Chemical: Value Maximization $M After-Tax '03-'06 Avg '07
Slide 91: Major Growth Projects
Major Growth Projects Chemical: Long-Term Perspective Fujian Singapore Qatar Saudi Arabia Fujian Fujian Singapore Singapore Qatar Qatar Saudi Arabia Saudi Arabia Sources of Advantage • Existing asset base • Integration and scale • Advantaged feedstocks • Premium product focus MT Announced Existing X
Slide 92: Singapore Expansion Project
Singapore Expansion Project Chemical: Long-Term Perspective Singapore Steam Cracker #2 Polyethylene Polypropylene Aromatics Specialty Elastomers Oxo Alcohols Key Advantages • Refinery integration • Synergy with cracker #1 • Energy efficiency • Feed flexibility • Premium products
Slide 93: Chemical: Delivering Superior Returns
Chemical: Growing Competitive Advantage Delivering Superior Returns XOM RDS CVX Dow Average Capital Employed* $B '03 '07 '03 '07 '03 '07 '03 '07 '03 '07 '03 '07 '03 '07 '03 '07 Reported Net Income* $B -1 *Competitor data estimated using a consistent basis with ExxonMobil, and based on public informa
Slide 94: Summary
Summary Analyst Meeting March 5, 2008
Slide 95: Growing Competitive Advantage
Growing Competitive Advantage • Industry-leading portfolio of businesses and assets • Unmatched integration capabilities • Global functional organization leveraging high quality people • Disciplined and consistent approach across the business • Commitment to technology leadership • Relentless focus
Slide 96: Delivering Superior Performance 2003 to 2007
Delivering Superior Performance 2003 to 2007 • Industry-leading safety performance • Record earnings, superior ROCE in all businesses • Distributions to shareholders of $118 billion • Total shareholder returns of 24% per year • Invested $3.5 billion in research and development • Structural improveme
Slide 97: Proven Long-Term Approach
Disciplined Investment Operational Excellence Industry Leading Returns Superior Cash Flow Growth in Shareholder Value Proven Long-Term Approach