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Exxon Mobil's (XOM) CEO Rex Tillerson Hosts Annual Shareholder Meeting (Transcr... Page 18 of 25
Rex Tillerson
Well, the kind of dollars that would show up in our lobbying report is an allocation of - in terms of me my direct time. Any time I
go to Washington and engage with any policymaker to whether they would be elected legislators in the Congress, the
executive branch and whatever form we log that time and that goes into the report. So, the conversations that I've had really
over the last several years have been with a variety of congressional leaders, leaders of both parties, chairs of the relevant
committees, I've had conversations with state department, energy department, the interior department, around policy choices
to deal with the issue.
And my view has remained unchanged. I always preface it by saying if policymakers come to the conclusion that they have no
other ways that they feel they can deal with influencing the behavior, the choices that people make around their energy
consumption and you are considering various schemes by which to do that, and the most profitable ones are various forms of
cap and trade policies, our valuation of those alternatives suggests that a carbon tax is the most efficient way to implement
policy design to influence behavior.
So, our engagement, we talk about why we feel that way to pros and cons of trading systems which we have a long term test
and experiment that is going on in Europe now for quite a long time. It's not produced a very good result because Europe
carbon emissions are going up while in the United States carbon emissions are going down in the absence of any policy.
And I think it's important that we not take that lightly. So, our conversations have been prefaced first by you need to
understand what that means for economic performance for the US economy or economies anywhere in the world when you
impose any added cost to the system, first you need to ask yourself what does that mean for the economy and who bears the
largest burden in that. And our view continues to be that when you impose a cost like that in whatever form on the economy,
those less able to bear it end up bearing it, the poor, the lower middle class. So, we don't really believe to that point that we
have to do that. But if you don't want to go there then we sit down and talk about our view that this is the most efficient
straightforward fairest way to try and influence behavior.
So, those conversations continue because - I know you are well aware, there is a lot of conversations goes on in Washington
about what should, what kind of policy choices should be undertaken. And we remain as actively engaged in those as ever.
Other comments on proxy, Robert?
Unidentified Company Speaker
1 would like to speak to the lobbying issue as well. And I read with interest this March article kind of a lead article in
BusinessWeek, the Petro States of America and in effect it is saying that this company and the industry have the control of
what happens in the United States Congress in terms of legislation. That's why they titled the Petro States of America. And as
the small sections, big oil swale the Washington, makes the US a petro state in all but me. When I look at that, and then look
at other data, I see that according to the centers, the majority of Republicans don't believe that there is climate change, 90% of
this company's political contributions are going to Republicans. So, on the one hand in this place we hear you saying there is
climate change, the burning of fossil fuels are a human factor contributing to it, and yet we are going to support those very
entities that are undermining the reality.
When 1 look at the power of lobbying and you see what is going on, you see that the new campaign that the company has that
was in Wall Street Journal, USA Today, you have all seen it. And I would give anybody $1 on the floor here if you know what
this campaign is really saying I could give you a dollar because I have all the property, I can't get much more. Now what has
this campaign said Exxon Mobil says there is climate change. There is global warming, the burning up fossil fuels are
contributing to it and we got to do something because the world is at the door everybody in the United States would know that
we got to do something. This is doing nothing.
This company, the Board of Directors and management have to do something to change. I read in our disciplines I read what
you said there is 10 million acres this is what you said 10 million acres are under North American production which is business
as usual, I had a Baptist among Sunday here in Arlington and the father is in the second biggest solar company in the United
States based here. And if the costs are going down so fast and I thought what if we had 10 million acres in solar. I think they
are trying that we got to make choices when we are facing this kind of a crisis. And so 1 urge you to use your suasion in
advertising to let the people know it can't be business as usual. Thank you.
Rex Tillerson
App. 777
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