Occidental Petroleum 2008 Annual Report Download - page 82

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(a) Oil sales represented approximately 87 percent, 85 percent and 83 percent of the oil and gas segment net sales for the years ended December 31, 2008, 2007 and
2006, respectively.
(b) Total product sales for the chemical segment were as follows:
Basic Chemicals Vinyls Performance Chemicals
Year ended December 31, 2008 58% 39% 3%
Year ended December 31, 2007 52% 45% 3%
Year ended December 31, 2006 48% 48% 4%
(c) Total sales for the midstream and marketing segment were as follows:
Gas Plants Cogeneration Marketing and Other
Year ended December 31, 2008 60% 30% 10%
Year ended December 31, 2007 53% 26% 21%
Year ended December 31, 2006 65% 18% 17%
(d) The 2008 amount includes a fourth quarter pre-tax charge of $599 million for asset impairments, including undeveloped acreage in Argentina and Yemen and
domestic producing properties (included in depreciation, depletion and amortization expense), and a fourth quarter pre-tax charge of $58 million for rig contract
terminations. The 2007 amount includes an after-tax gain of $412 million from the sale of Occidental’s interest in a Russian joint venture, an after-tax gain of $112
million from certain litigation settlements, a pre-tax gain of $103 million from the sale of exploration properties, a pre-tax gain of $35 million from the sale of
miscellaneous domestic oil and gas interests and a $74 million pre-tax loss from the exploration impairments.
(e) The 2008 amount includes a fourth quarter pre-tax charge of $90 million for plant closure and impairments.
(f) Includes unallocated net interest expense, administration expense, environmental remediation and other pre-tax items noted in footnote (g) below.
(g) Includes the following significant items affecting earnings for the years ended December 31:
Benefit (Charge) (In millions) 2008 2007 2006
CORPORATE
Pre-tax operating profit (loss)
Gain on sale of Lyondell shares $— $ 326 $ 90
Debt purchase expense — (167) (31)
Facility closure — (47) —
Severance charge — (25) —
Litigation settlements — — 108
$— $ 87 $167
Income taxes
Deferred tax write-off due to compensation program changes * $— $— $(40)
Tax effect of pre-tax adjustments ** 238 (2) (41)
$238 $(2)$(81)
Discontinued operations, net * $18 $ 322 $(11)
*Amounts shown after-tax.
** Amounts represent the tax effect of all pre-tax adjustments listed, as well as those in Footnotes (d) and (e).
(h) Includes capital expenditures, capitalized interest and capitalized CO2, and excludes purchases of assets, net.
GEOGRAPHIC AREAS
In millions
Net sales (a) Property, plant and equipment, net
For the years ended December 31, 2008 2007 2006 2008 2007 2006
United States $15,258 $12,300 $11,569 $22,164 $17,838 $16,552
Foreign
Qatar 3,298 2,145 1,639 2,896 2,964 2,552
Colombia 1,721 1,271 995 661 402 304
Oman 1,207 741 633 1,625 1,215 815
Yemen 1,016 861 877 386 494 495
Libya 748 625 549 979 222 244
Argentina 504 461 527 2,766 3,031 2,993
Other Foreign 465 380 386 789 112 183
Total Foreign 8,959 6,484 5,606 10,102 8,440 7,586
Total $24,217 $18,784 $17,175 $32,266 $26,278 $24,138
(a) Sales are shown by individual country based on the location of the entity making the sale.
68
NOTE 17 COSTS AND RESULTS OF OIL AND GAS PRODUCING ACTIVITIES