Big Projects,Long Lead Times

Exxon Mobil's(XOM) investment levels have grown from year to year,CEO Rex Tillerson noted,but when resources are ready to be developed,new technologies are often required.In consequence,a very large and complex project may be delayed for 10 years before Exxon invests in it.Exxon's shareholders have been paid ever-growing dividends,and have benefited from over 118 billion dollars U.S. in share repurchases over the past several years.Exxon's income taxes have increased at a faster rate than its profits.It paid an effective tax rate of 44% in 2007.Shareholders will be hurt by new taxes,and ultimately the consumers will have less energy resources because of them.Taxes are part of the economic analysis of whether you can take a risk and invest.Much of the technology lets Exxon manage the risk of the resource and the care of the environment.Exxon is a huge consumer of commodities itself,but it is built to be the most efficient,regardless of the economic conditions that swirl around Exxon,Mr.Tillerson observed.