Federal Trade Commission

1.) Federal Trade Commission (FTC) has accepted a proposed settlement of charges. Witch Exxon Corporation's acquisition of the Mobil Corporation will more likely violate federal antitrust laws. The FTC has alleged that the acquisition will defiantly hurt competition in the markets for improving and marketing of gasoline in the United States and to allow Exxon/Mobil to also raise gasoline prices for consumers. The proposed settlement will help prevent the merger in most of the companies' from over lapping the U.S. marketing businesses. It will require the biggest retail divestiture in the Commission history. Sales or assignment run about approximately 2,431. Both Exxon and Mobil gas stations in the Northeast and Mid-Atlantic is about 1,740, California is about 360, Texas is around 319 and Guam is about 12. Also in addition, the Exxon refinery in California; terminals; has a pipeline and other assets would be sold. The Commission has noted that while there is relief ordered in this case is extensive, it would still represent only a part of a fraction of Exxon/Mobil's worldwide assets.

2.) The FTC's review was one of the most thorough and exhaustive ever undertaken, lasting some 11 months. Exxon and Mobil worked closely with the FTC to provide appropriate information on a timely basis to facilitate regulatory review of the merger. In the U.S., Exxon's and Mobil's exploration; production; natural gas; chemical; Gulf Coast, Midwest and Rocky Mountains refining businesses; and the vast majority of service stations are not affected by the consent order. While the FTC ruling predominately affects aspects of the U.S. downstream, the merged company will retain a significant presence in these business segments in the U.S. By most measures of capacity and sales, the merged company will be a strong competitor in these areas.(mobcordel19.2010.)