Occidental Petroleum 2008 Annual Report Download - page 49

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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM ON CONSOLIDATED FINANCIAL STATEMENTS
To the Board of Directors and Stockholders
Occidental Petroleum Corporation:
We have audited the accompanying consolidated balance sheets of Occidental Petroleum Corporation and subsidiaries as of
December 31, 2008 and 2007, and the related consolidated statements of income, stockholders’ equity, comprehensive income and cash
flows for each of the years in the three-year period ended December 31, 2008. In connection with our audits of the consolidated financial
statements, we also have audited the accompanying financial statement schedule. These consolidated financial statements and financial
statement schedule are the responsibility of the Company’s management. Our responsibility is to express an opinion on these consolidated
financial statements and financial statement schedule based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those
standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of
Occidental Petroleum Corporation and subsidiaries as of December 31, 2008 and 2007, and the results of their operations and their cash
flows for each of the years in the three-year period ended December 31, 2008, in conformity with U.S. generally accepted accounting
principles. Also in our opinion, the related financial statement schedule, when considered in relation to the basic consolidated financial
statements taken as a whole, presents fairly, in all material respects, the information set forth therein.
As explained in Note 3 to the consolidated financial statements, effective January 1, 2008, the Company changed its method of
measuring fair value for financial assets and liabilities; as explained in Note 10 to the consolidated financial statements, effective January 1,
2007, the Company changed its method of accounting for uncertain tax positions; and, as explained in Note 13 to the consolidated financial
statements, effective December 31, 2006, the Company changed its method of accounting for defined benefit pension and other
postretirement plans.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States),
Occidental Petroleum Corporation and subsidiaries' internal control over financial reporting as of December 31, 2008, based on criteria
established in Internal Control - Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission
(COSO), and our report dated February 24, 2009 expressed an unqualified opinion on the effectiveness of the Company’s internal control
over financial reporting.
/s/ KPMG LLP
Los Angeles, California
February 24, 2009
35
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM ON INTERNAL CONTROL OVER FINANCIAL