The latest Fortune report of the top 500 companies in America has just been released. The top ten holds only a few surprises. That behemoth of retailing, Wal-Mart replaced Exxon Mobile as #1 in sales this year and by a sizeable margin, over 408 billion to 284 billion, although Exxon Mobil’s profit is higher than Wal-Mart, over 19 bill to14 bill. I really don’t care for #1 at all: their predatory methods irritate me as they eliminate and strangle small businesses, pressure and bully their suppliers and offer notoriously low pay and benefits to their employees (pardon me, associates), although they are increasing their pay and health benefits under a new C.E.O. who is image-conscious.
One of the shockers on the list---but not really in terms of the cataclysmic economic events of the last year or two---, Ford, #8 in the standings, is a good bit bigger than General Motors, #15, 123 bill to 104 bill! Who would have thunk it? Just a few years ago, Ford was on its heels, way behind the juggernaut called GM.
I’m not surprised that two banks are in the top ten: Bank of America, #5, at 150 bill and J.P.Morgan Chase, #9, at 115 bill. A few years ago, I would have bet that we would end up with ten banks in the world with the then merger-mania, but in today’s environment of financial reform, it’s not so likely.
No surprise that three oil companies, always high profit grinders, are right up there: after Exxon Mobil, #2, come Chevron, #3, at163 bill and Conoco Phillips, #5, at 139 bill. Not exactly shocking that three oil companies are in the top five.
GE, #4 at 156 bill, AT &T , #7, at 123 bill and Hewlitt Packard (HP), #10, at 114 bill round out the top ten, as they have always been major players in their respective fields.
Just nosed out of the top ten is Berkshire Hathaway, #11, created by the Oracle of Omaha, Warren Buffet, and his special baby is thriving.. And to think he still lives in that modest house in Omaha---what a guy! Who says free enterprise is dying?
Sales are better; profits are up. Now if we can just see it reflected in jobs! Maybe if our political parties would put their heads and brains together, we might even see that improve. Why are there always fewer brains than heads?
When Warren Buffet buys a train line, I say it's time to get on the train.
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