David O Reilly

David J. O'Reilly, chairman and chief executive of ChevronTexaco Corp. since the merged company was created in October 2001, spoke with reporters Friday about the company's outlook. Here are excerpts from that discussion, edited for clarity: Question: What are your thoughts on California's Jan. 1 ban on the gasoline additive MTBE for environmental reasons and the required addition of ethanol? Answer: Everyone benefits from backing off of MTBE.

In a combative and sometimes colorful annual meeting, Chevron's chief executive and chairman exchanged barbs with activists over pollution in the Amazon rain forest and the company's human rights record, twice scolding speakers who addressed executives. CEO David O'Reilly told one group that its report on Chevron's policies "deserves the trash can."

David J. O'Reilly, ChevronTexaco Corp.'s chief executive, is known in oil circles as being open to taking risks. That was evident in 2001, when he engineered Chevron Corp.'s $35-billion purchase of Texaco Inc. The fusion of two giants jelled slowly and hobbled the combined company's profitability for the next two years. Then there was ChevronTexaco's disastrous investment in Dynegy Inc., a troubled energy trading firm, which required ChevronTexaco to take a huge write-off in 2002.

Chevron Corp. Vice Chairman Peter Robertson has a message for rival CNOOC Ltd. -- don't take it personally. For the last month, Robertson has been the public face of Chevron as the San Ramon oil giant tries to undercut CNOOC's chances in what has become a caustic and politically charged battle for Unocal Corp. and its worldwide energy assets.

Chevron Corp. Vice Chairman Peter Robertson has a message for rival CNOOC Ltd. -- don't take it personally. For the last month, Robertson has been the public face of Chevron as the San Ramon oil giant tries to undercut CNOOC's chances in what has become a caustic and politically charged battle for Unocal Corp. and its worldwide energy assets.

Chevron Corp. has something to prove. With oil and gas in great demand and prices going up, global energy companies are hot investments again. Exxon Mobil Corp. and BP Amoco, two "super-majors" created by oil's recent merger wave, sell at premium prices for their industry; Royal Dutch/Shell Group, another giant, also has the stock market's support. But investors moderate their enthusiasm for Chevron, which bid to merge with Texaco Inc. last year but was rejected.

ChevronTexaco Corp., the second-largest U.S. oil company, named Vice Chairman Peter Robertson to a newly created office of the chairman on Thursday, putting him in place to succeed Chairman and Chief Executive David O'Reilly. O'Reilly and Robertson, both 57, will jointly oversee operations and strategy, the San Ramon, Calif., company said. "They are anointing a successor," said Timothy Ghriskey, who manages $650 million as chief investment officer at New York-based Solaris Investment Management.

ChevronTexaco Corp. Chief Executive David O'Reilly and other top executives collected sharply lower bonuses for 2002, a year that included a 66% decline in net income and a $23 drop in the oil company's stock price. The San Ramon, Calif.-based company awarded O'Reilly a bonus of $700,000 for the year, down 61% from his bonus of $1.8 million in 2001. That year, however, the CEO also collected a special $3.2-million bonus for completing the merger of Chevron Corp. and Texaco Corp.

In a combative and sometimes colorful annual meeting, Chevron's chief executive and chairman exchanged barbs with activists over pollution in the Amazon rain forest and the company's human rights record, twice scolding speakers who addressed executives. CEO David O'Reilly told one group that its report on Chevron's policies "deserves the trash can."

Chevron Corp. raised Chief Executive David O'Reilly's compensation by 19% last year to $15.74 million after record oil prices lifted annual profit to an all-time high. O'Reilly's salary rose 1.9% to $1.65 million, the San Ramon, Calif., company said in a Securities and Exchange Commission filing. His bonus climbed 2.9% to $3.6 million.

David J. O'Reilly, ChevronTexaco Corp.'s chief executive, is known in oil circles as being open to taking risks. That was evident in 2001, when he engineered Chevron Corp.'s $35-billion purchase of Texaco Inc. The fusion of two giants jelled slowly and hobbled the combined company's profitability for the next two years. Then there was ChevronTexaco's disastrous investment in Dynegy Inc., a troubled energy trading firm, which required ChevronTexaco to take a huge write-off in 2002.

ChevronTexaco Corp., the second-largest U.S. oil company, named Vice Chairman Peter Robertson to a newly created office of the chairman on Thursday, putting him in place to succeed Chairman and Chief Executive David O'Reilly. O'Reilly and Robertson, both 57, will jointly oversee operations and strategy, the San Ramon, Calif., company said. "They are anointing a successor," said Timothy Ghriskey, who manages $650 million as chief investment officer at New York-based Solaris Investment Management.

David J. O'Reilly, chairman and chief executive of ChevronTexaco Corp. since the merged company was created in October 2001, spoke with reporters Friday about the company's outlook. Here are excerpts from that discussion, edited for clarity: Question: What are your thoughts on California's Jan. 1 ban on the gasoline additive MTBE for environmental reasons and the required addition of ethanol? Answer: Everyone benefits from backing off of MTBE.

ChevronTexaco Corp. Chief Executive David O'Reilly and other top executives collected sharply lower bonuses for 2002, a year that included a 66% decline in net income and a $23 drop in the oil company's stock price. The San Ramon, Calif.-based company awarded O'Reilly a bonus of $700,000 for the year, down 61% from his bonus of $1.8 million in 2001. That year, however, the CEO also collected a special $3.2-million bonus for completing the merger of Chevron Corp. and Texaco Corp.

Chevron Corp. has something to prove. With oil and gas in great demand and prices going up, global energy companies are hot investments again. Exxon Mobil Corp. and BP Amoco, two "super-majors" created by oil's recent merger wave, sell at premium prices for their industry; Royal Dutch/Shell Group, another giant, also has the stock market's support. But investors moderate their enthusiasm for Chevron, which bid to merge with Texaco Inc. last year but was rejected.

Chevron Corp. raised Chief Executive David O'Reilly's compensation 24% last year to about $12.4 million after he orchestrated the acquisition of Unocal Corp. O'Reilly's salary rose 2.9% to $1.55 million, the San Ramon, Calif.-based company said in a Securities and Exchange Commission filing. His bonus declined 11% to $3.5 million after the company's shares rose less than those of other major U.S. oil producers. O'Reilly, 59, also received options valued at $3.

John E. Peppercorn, 51, will succeed Robert W. Davis as president of Chevron Chemical Co., a subsidiary of Chevron Corp., effective July 1. Davis, 64, is retiring in June after a 38-year career with Chevron, San Francisco. David J. O'Reilly, 42, presently general manager of Chevron's El Segundo refinery, will succeed Peppercorn as senior vice president at Chevron Chemical.