Truckers are making a stand...

I have to laugh when someone thinks it is the "Oil" Company (Exxon/Mobil, Chevron, or whom ever) is getting rich.

Sorry guys, but the Oil companies are not lining their pockets, the oil growers are though. Yup, the ones we purchase our barrels from.

Also, Nigeria (top five importer of crude oil) has apperently experienced damage at one of their largest oil fields which is also part cause of the increasing price of oil (per barrell).

Fact: Over 50% of the price of gas (at the pump) is taxes. Local, State, and Federal taxes. Then there is transportation costs. <<< Ironic isn't it?

Fact: Exxon/Mobil, Chevron, ConocoPhillips, Shell and the others typically only make about .06 cents a gallon. If a price war is going on, then they are probably losing money on gas.

we all feel that blaming the large oil companies make sense, but the real blame needs to go to the exporters in other countries.

Many many things factor into the price of crude oil to increase. Right now, my opinion would be greed. The countries selling us crude oil are pist because the dollar value is at a low. They said that if the dollar would increase in value by 10%, they would LOWER the price per barrell by $40.00.

Just so you know.

 

you hit the nail on the head kris!!!!! we have been a country that absolutely devours natural resources unlike any other country on the planet. for years it has been this way. now, many other developing countries (china probably at the forefront) are now demanding much higher resources than ever before! this creates demand, and this helps in resulting increases in price.

we need to heal the strength of the dollar, lower our need for oil products, and somehow get the friggin commodities brokers to wake the fuck up!!!

 

well put ron...... goes in the same vein of thought that kris made about the weak dollar and the developing countries..... when our dollar is weak, it requires the sellers to get more of them to have the equated value of before the dollar took a dump. we need to fix our own issues internally, ie housing market, mortgage debacle, farmers, etc, etc, etc.... fix our domestic issues, the economy gets stronger, then the dollar follows suit and has more buying power and becomes more valuable to the exports of the oil we so deperately want!!! shit, the US has been spoiled for many years at the price we pay for gas. i can remember as a kid in europe back in the very early 80's when my parents had to pay over 4 bucks a gallon for gas when we were living in germany!!!

 

I'm with you except for the taxes part, I don't see that being the big part of the cost. I'm buying gas tax-free with municipality status (only pay Federal tax), and it's only about 25-30 cents cheaper than retail. However, feel free to prove me wrong.

And no, you can't have any of my tax-free gas, lol, it's only 86 octane!!!!

 

Last time I checked, we kicked everyone's ass over there. :grin:

You're right, Ron. I'd HATE to be an oil company CEO. The hours are terrible and the pay sucks:
http://abcnews.go.com/GMA/story?id=1841989

 

Yep... the BIG OIL companies are hurting REAL BAD! :erm::dumb::stars::thongue2: $6000/ HOUR!!!! ... YIKES! :mad2: I think I need to see if he needs a pool-boy for his house on Marco Island....

 

yeah, the oil companies def are making money hand over fist. my father worked for standard oil for 25 years and now is absolutely bathing in cash with the stock blowing up for the last few years. not to bad for a dude who barely graduated a nothing state university and then managed a station in the dead area of interstate 5.

 

I did not know it was against the law for ANY business to make profits from their business?

Oh yea, you guys seem to forget that the Oil companies DO NOT only make money (all be it small amounts) from selling fuel, they make money off of the retail end, exploration, innovation to name a few...

If you guys want to moan about CEO's making money off of the consumer, then moan to companies such as Coke, Pepsi, Fiji Water, Arrowhead Water..., Any dairy company because you pay MORE per gallon of water or milk than you do a gallon of gas...

Food for thought.

 

if they were organizied i.e. UNIONIZED they would have more unity! it would help them in their fight. anyway big-up! to them

 

I did not read all the posts but what I do not understand is they are complaining about fuel prices just like everyone else in America so they fill up their rigs and convoy to the Capital and drive around it all day long sucking up even more gas, uhhhh hmmmm how much diesel did they waste doing that????

 

I have to jump in on this thread!

I own a transportation company "FEX Transport Inc." out of Virginia Beach, VA. My company is 100% owner/operator based, so my guys feel the crunch a hell of a lot more. I pay my o/o's on a 90% of gross revenue which is among the highest in the industry. So I'll break it down to you from a carriers perspective:

A load from East Coast -> West Coast pays on average $4500 and West Coast -> East Coast pays $6000 *keep in mind I'm supposed to be on of the top paying companies right now*

Driver earns $4000 + $6000 (Varies from season to season) = $10,000 - 10% = $9000 for a 6100 mile trip which will take at least 12 days with loading and unloading for both loads.

You average truck will receive about 5.5 mpg which is 1109 gal x $4.25/gal (national average) = $4713

Reefer Fuel (We're a refrigerated company): $225

In 12 days he will have accumulated the following bills=
Insurances (Cargo/Liability/Fuel Taxes/Plates/Permits): $432
Truck Payment: $720 (NOT new)
Trailer Payment: $424 (NOT new)
Meals/Cig's/Drinks/etc.: $240
Maintenance (Tires/Oil Changes/Services/etc.) .09c / mile: $549
TOTAL-----> $2365

To be able to pay your bills you must pay yourself at least .31c / mile= $1891.00

RECAP:
$9000 - $4713 - $225 - $2365 - $1891 = -$194

The $194 is going to come out of the owner operators pocket off course. This model is what my guys are currently doing with a company that was voted in 2007 as "One of the top 10 companies for real professionals to work at".

In a month he will work about 24 days making $3394 for the month. Between paying bills/mortgage/car payments/etc they can survive. But what happens when a major repair comes up on the truck like a motor for $20,000.


The people who deliver our products are starving, they're losing their homes, their family, their lives.... They need help!

They give up their lives to deliver our goods, they spend 90% of their lives on the road away from their family's and friends.

 

Diesel has hit $5.09 a gallon by my house

 

+1 on a profit margin basis Oil is actually one of the lower profit margin Businesses around.
Here are a few companies that blow any oil company out of the water when it comes to profit margins..in most cases their margins are 2x that of Exxon Mobil.

Microsoft
Apple
Google
Intel

Why isn't anyone complaining that they are making money hand over fist?
They make higher profits and pay much lower taxes.
I hate high oil prices as much as the next guy, but blaming the the companies is easy but they are not the real problem.

 

im not understanding what youre trying to get to. all the companies above are in no way more important to this country than even exxon/mobil. not only that but what these oil companies have their hands in every day is far more dastardly than all of the above companies combined.

they are making money by building something from nothing for retail, business, etc use. if all those companies went out of business tomorrow, we could still go on. imagine if just exxon went out of business?

if you dont think that the oil companies are profiting ridiculously while the rest of the country is hitting hard times, i ask you to please start reading the news articles on profit margins for big oil.

 

If you're going on pure profit margin, check out Starbucks.
(...and don't tell me that coffee has nothing to do with trucking. :grin: )

I see one thing missing from the trucking company budgets per driver: Tolls.
It's not a major cost, but it is relevant.

 

They must be restricting themselves to 1 stop a day at the "all you can eat buffet".

 

duh dave...you just stick the food down your pants so you can take some with you!

 

My point is that I find it ironic how everyone blames "Big Oil" ( I always found that term funny too..so ominous) for making too much profit when most other industries in this country operate on much higher profit margins. It makes great news headlines to show the #'s but when you are one of the largest companies in the world the numbers are going to be large. Newspapers are produced to sell papers, and printing sales and profit #'s does a great job at selling papers. Businesses are in business to make money, I never understand why in a capatalist society that is bad.
Milks still costs more than gas per gallon...and I would argue it is alot easier to produce a gallon of milk than a gallon of gas..ponder that one.

This was my point...I am not saying it is bad any of these companies makes th profits they do...more power to them...my point is simply that the Oil companies are actually not that profitable when compared to alot of other industries. As I stated earlier prices are moved by alot of factors few of which have anythign to do with the oil companies themselves.

Exxon Mobil: Gross Profit Margin: 43.3% Pre-Tax Profit Margin: 18.6% After Tax 10%


Microsoft: Gross Profit Margin: 81.4% Pre-Tax Profit Margin: 39.3%
Intel:Gross Profit Margin: 62.5% Pre-Tax Profit Margin: 21.5%
Yahoo: Gross Profit Margin: 66.6% Pre-Tax Profit Margin: 16.7%
Google: Gross Profit Margin: 69.3% Pre-Tax Profit Margin: 32.2%

 

10% of $3,600,000,000 = $360,000,000.
Net.

I'd like to have a year like that. :grin:

In truth, it's not fair to compare oil companies to computer companies.
They're two entirely different industries.
The article by Steve D. on TechVat.com is interesting, but not really good for comparisons.

 

I beg to differ with you brotha. I used to manage convenience stores and know exactly what they make.

Again, oil companies offer much more than gasoline and deisel. Again, a standard BIG 5 oil company only makes about $.06 cents per gallon.

Now, Exxon/Mobil (for an example) has over 5,000 corporate RETAIL stores just in the USA. Say the average store makes 100K gallons a month... Do the math.

Then, include all corporate stores overseas which is probably another 10K.. Do the math.

Now, include ALL of the thousands of jobers and licensee's. Do the math.

So, yes at $.06 a gallon, the CEO's appear to make loads of money, but in fact it is the volume affect.. lol

But, it really doesn't matter as most everyone has their minds set to what is and isn't with this subkect matter.