Happy Birthday, Exxon!

"Like people, corporations have birthdays, demonstrating growth and development." So begins this summer's issue of Exxon's house publication, written to commemorate the 100th anniversary of the world's largest company.

In this slick corporate history, Exxon represents its first century as one of patriotism at home and cordiality abroad. The facts tell a different story.

Consider Exxon's vision of itself during World War II. "As it had in World War I, the company shared with the government the knowledge gained from its experience in coordinating widely separate producing, refining, and transportation operations to insure maximum supplies in minimum time," boasts Exxon. "Again, oil was pivotal for the Allied victory as the supplies of Germany and Japan were crippled by bombing and blockade."

Exxon's brand of history doesn't reveal that the company aided the Nazis. From 1936 to 1939 Exxon and the General Motors corporation responded to the requests of Nazi officials for desperately needed synthetic tetraethyl fuel. In 1942 the Justice Department indicted Exxon (then called Standard Oil of New Jersey) for making agreements - after the war broke out in Europe, but before the U.S. became involved - with the German firm LG. Farben for continuing patent sharing and division of world markets in the event of war between the two countries. This arrangement impeded the ability of the U.S. to manufacture synthetic rubber, urgently needed after the U.S. entered the war in December 1941.

Rather than face criminal prosecution, Exxon and its indicted executives entered no-contest pleas, and were fined minor sums. Days later, on March 26, 1942, the Senate Special Committee Investigating the National Defense Program held a hearing. A reporter asked Harry Truman, who was chairman of the Senate committee at that time, whether he thought Exxon's agreement with LG. Farben constituted treason. He replied: "Why, yes, what else is it?"

Exxon's dealings with other governments reveal additional blemishes on the company's glossy record. The company has doled out more bribes, in dollar value, than any corporation in the world. From 1963 to 1972 an Italian affiliate secretly contributed $27 million to Italian political parties; all but $6 million was covered by a "Special Budget" and fake invoices. In addition to money contributed with the "approval of higher levels of management," Vincenzo Cazzaniga, while chief of Esso Italiana, took $29 million out of the subsidiary via concealed kickbacks and 40 secret bank accounts. Cazzaniga paid $19 million to $22 million to Italian political parties, raising Exxon's total to between $46 and $49 million. In other documents filed with the Securities and Exchange Commission (S.E.C.), Exxon has disclosed questionable or unusual payments in Canada, Thailand, Indonesia, Australia, and Japan.

Exxon's relations with consumers don't improve the company's profile much.

Last year, for example, the Canadian government issued a 1750 page report revealing that major oil companies had overcharged Canadian consumers by $10 billion due to monopolistic practices from 1958 to 1973 (see MM, April 1981). Taking advantage of a law which allows the government to search and seize oil company documents, the report found that Imperial Oil (70% owned by Exxon) led the oil industry in fixing prices and restraining competition.

And as for its employees, well, Exxon's record falls somewhat shy of ideal. Just ask Tony and Carol Ortolani. They left their home in Wilkes-Barre, Pennsylvania in early May for Parachute, Colorado - site of Exxon's $5 billion Colony Oil Shale project. With the promise of a job, Carol and Tony borrowed $1,500 to make the trip and left their kids with relatives until they could get settled.

When Tony Ortolani arrived in Parachute, he refused to believe the bad news a stranger gave him: Exxon had pulled out of the project, and Tony was out of a job. "I've got a letter of reference," Tony insisted to a Washington Post reporter. "This can't happen in one day."

His wife couldn't accept it either. "You mean we don't get a new house, Tony. There's nothing to go back for. Tony, how are we going to get our kids?"

The Ortolanis were not the only two people thrown out of work by Exxon's change of plans. Exxon fired a total of 2,100 other people when it pulled out of the project.

"Exxon doesn't care what happens to the workers," says Jerry Archuleta, spokesperson for the Oil, Chemical and Atomic Workers Union. "They don't give a damn."

Carl Mayer is currently writing a book for the Public Interest Research Group on the history of corporate mining on U.S. public lands.