Exxon Mobile Throws In The Towel In The Retail Fuel Business
Due to skyrocketing oil prices and increased competition from large retail grocery store and super stores, profit has become almost nonexistent. This has forced the Irving oil giant Exxon Mobile to pull the plug on the fuel retail business in the U.S. The company announced that 2,200 service station across the country will be put up for sale.
Don’t expect to see the Exxon Mobile branded service stations to just disappear, as close 10,000 stations are independently owed by families or companies outside of Exxon. Exxon aims to sell the stations to companies that distribute Exxon fuel.
Rising fuel prices have also contributed to motorists not buying other products, which has cut into profits even more.
A spokesperson for Exxon reported that reduced margins and significant competitive growth has led to the decision to eliminate the retail fuel stations, however the company is still committed to delivering over 14 billion gallons of fuel to the U.S. market this year.