-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, A4kwUmrccnMKEWPBBRdCx/Fyvy2/xu5PYfVFgD1mejc12frOwW4J8Z56c/P7v4Vx LaauvRLFnUy142dc1oeGgg== 0000093397-97-000004.txt : 19970514 0000093397-97-000004.hdr.sgml : 19970514 ACCESSION NUMBER: 0000093397-97-000004 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19970331 FILED AS OF DATE: 19970513 SROS: CSX SROS: NYSE SROS: PSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: AMOCO CORP CENTRAL INDEX KEY: 0000093397 STANDARD INDUSTRIAL CLASSIFICATION: PETROLEUM REFINING [2911] IRS NUMBER: 361812780 STATE OF INCORPORATION: IN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-00170 FILM NUMBER: 97602502 BUSINESS ADDRESS: STREET 1: 200 E RANDOLPH DR STREET 2: MAIL CODE 3107A CITY: CHICAGO STATE: IL ZIP: 60601 BUSINESS PHONE: 3128566111 FORMER COMPANY: FORMER CONFORMED NAME: STANDARD OIL CO /IN/ DATE OF NAME CHANGE: 19850425 10-Q 1 AMOCO CORPORATION 10Q SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 1997 or ( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-170-2 AMOCO CORPORATION (Exact name of registrant as specified in its charter) INDIANA 36-1812780 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 200 EAST RANDOLPH DRIVE, CHICAGO, ILLINOIS 60601 (Address of principal executive offices) (Zip Code) 312-856-6111 (Registrant's telephone number, including area code) NOT APPLICABLE (Former name, former address, and former fiscal year, if changed since last report) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No Number of shares outstanding as of March 31, 1997--494,162,176 PART I-- FINANCIAL INFORMATION Item 1. Financial Statements Consolidated Statement of Income (millions of dollars) Three Months Ended March 31, 1997 1996 Revenues: Sales and other operating revenues......... $ 8,076 $ 7,277 Consumer excise taxes...................... 815 819 Other income............................... 102 118 Total revenues........................... 8,993 8,214 Cost and Expenses: Purchased crude oil, natural gas, petroleum products and merchandise....... 4,458 3,875 Operating expenses......................... 1,220 1,083 Petroleum exploration expenses, including exploratory dry holes.......... 156 120 Selling and administrative expenses........ 532 535 Taxes other than income taxes.............. 1,045 1,027 Depreciation, depletion, amortization, and retirements and abandonments......... 562 538 Interest expense........................... 78 60 Total costs and expenses................. 8,051 7,238 Income before income taxes................... 942 976 Income taxes................................. 268 248 Net income................................... $ 674 $ 728 Weighted average number of shares of common stock outstanding (in thousands)........... 495,287 496,677 Per Share Data (Based on weighted average shares outstanding): Net income................................... $ 1.36 $ 1.47 Cash dividends per share..................... $ .70 $ .65 Consolidated Statement of Financial Position (millions of dollars) March 31, Dec. 31, ASSETS 1997 1996 Current assets: Cash......................................... $ 300 $ 186 Marketable securities -- at cost (all corporate except $141 at December 31, 1996 which represent state and municipal securities).. 1,027 1,135 Accounts and notes receivable (less allowances of $17 at both March 31, 1997, and December 31, 1996)..................... 3,520 3,942 Inventories Crude oil and products..................... 946 795 Materials and supplies..................... 277 274 Prepaid expenses and income taxes............ 742 731 Total current assets....................... 6,812 7,063 Investments and Other Assets: Investments and related advances............. 855 796 Long-term receivables and other assets....... 779 841 1,634 1,637 Properties--at cost, less accumulated depre- ciation, depletion and amortization of $27,537 at March 31, 1997, and $27,111 at December 31, 1996 (The successful efforts method of accounting is followed for costs incurred in oil and gas producing activities) 23,339 23,400 Total assets............................... $ 31,785 $ 32,100 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Current portion of long-term obligations..... $ 326 $ 151 Short-term obligations....................... 1,027 821 Accounts payable............................. 2,588 3,196 Accrued liabilities.......................... 938 908 Taxes payable (including income taxes)....... 921 1,063 Total current liabilities.................. 5,800 6,139 Long-term obligations: Debt......................................... 4,014 4,153 Capitalized leases........................... 83 76 4,097 4,229 Deferred Credits and Other Non-Current Liabilities: Income taxes................................. 3,033 2,850 Other........................................ 2,351 2,345 5,384 5,195 Minority Interest.............................. 128 129 Shareholders' Equity: Common stock (authorized 800,000,000 shares; issued and outstanding at March 31, 1997 --494,162,176; December 31, 1996 --497,275,364 shares)...................... 2,626 2,646 Earnings retained and invested in the business................................... 13,882 13,806 Pension liability adjustment................. (25) (25) Foreign currency translation adjustment...... (107) (19) 16,376 16,408 Total liabilities and shareholders' equity. $ 31,785 $ 32,100 Consolidated Statement of Cash Flows (millions of dollars) Three Months Ended March 31, 1997 1996 Cash Flows from Operating Activities: Net income................................... $ 674 $ 728 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation, depletion, amortization, and retirements and abandonments......... 562 538 Decrease in receivables.................... 431 18 Increase in inventories.................... (154) (24) Decrease in payables and accrued liabilities.............................. (726) (381) Deferred taxes and other items............. 133 (98) Net cash provided by operating activities.. 920 781 Cash Flows from Investing Activities: Capital expenditures......................... (831) (784) Proceeds from dispositions of properties and other assets........................... 265 248 Net investments, advances and business acquisitions............................... (48) (702) Proceeds from sales of investments........... 34 100 Other........................................ 5 (1) Net cash used in investing activities...... (575) (1,139) Cash Flows from Financing Activities: New long-term obligations.................... 130 17 Repayment of long-term obligations........... (56) (269) Cash dividends paid.......................... (345) (312) Issuances of common stock.................... 57 19 Acquisitions of common stock................. (331) - Increase in short-term obligations........... 206 247 Net cash used in financing activities...... (339) (298) Increase (decrease) in Cash and Marketable Securities................................... 6 (656) Cash and Marketable Securities- Beginning of Period.......................... 1,321 1,394 Cash and Marketable Securities-End of Period... 1,327 $ 738 Basis of Financial Statement Preparation The consolidated financial statements contained herein are unaudited and have been prepared from the books and records of Amoco Corporation ("Amoco" or the "Corporation"). In the opinion of management, the consolidated financial statements reflect all adjustments, consisting of only normal recurring adjustments, necessary for a fair statement of the results for the interim periods. The consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all information and notes necessary for a complete presentation of results of operations, financial position and cash flows in conformity with generally accepted accounting principles. Item 2. Management's Discussion and Analysis Results of Operations Net income for the first quarter of 1997 amounted to $674 million, or $1.36 per share. Net income for the first quarter of 1996 amounted to $672 million, or $1.36 per share, excluding gains of $56 million in the first quarter of 1996 on certain Canadian asset dispositions. The slight increase in earnings for the first quarter of 1997 reflected continued strong exploration and production ("E&P") earnings, primarily attributable to higher energy prices. Petroleum products earnings declined as a result of higher refining maintenance costs and lower throughput. Chemical earnings declined reflecting lower margins compared with high prior-year levels. Sales and other operating revenues totaled $8.1 billion for the first quarter of 1997, 11 percent higher than the $7.3 billion reported in the corresponding 1996 period. Natural gas, crude oil and refined products revenues increased 28 percent, 19 percent and 7 percent, respectively, primarily reflecting higher prices. Purchases of crude oil, natural gas, petroleum products and merchandise totaled $4.5 billion for the first three months of 1997, 15 percent higher than 1996's first three months. The increase was primarily attributable to higher crude oil purchase prices. Operating expenses of $1.2 billion increased 13 percent over first-quarter 1996, reflecting higher refining maintenance expenses and an increase in U.S. production costs. Exploration costs of $156 million increased 31 percent over the first-quarter of 1996, mainly due to higher dry hole costs overseas. For the 12 months ended March 31, 1997, return on average shareholders' equity was 17.6 percent compared with 13.8 percent for the 12 months ended March 31, 1996. Return on average capital employed was 13.4 percent for the 12-month period ended March 31, 1997, compared with 11.0 percent for the corresponding prior-year period. Results by Industry Segment As previously announced, Amoco changed the basis upon which operations are grouped for the purpose of business segment reporting to maintain alignment with changes made in its internal structure. Canadian supply and marketing operations for crude oil, sulfur and natural gas liquids are now included in the Petroleum Products segment. Previously, those businesses were reported in the E&P segment. Segment earnings for 1996 have been restated to conform to the new basis. Three Months Ended March 31, (millions of dollars) 1997 1996 Exploration and Production United States.................... $ 365 $ 281 Canada........................... 81 90 Overseas......................... 127 121 Subtotal......................... 573 492 Petroleum Products................. 28 62 Chemicals.......................... 147 240 Corporate and Other Operations*.... (74) (66) Net Income....................... $ 674 $ 728 * Corporate and other operations include net interest and general corporate expenses as well as the results of investments in technology companies, real estate interests and other activities. Operating Statistics Three Months Ended March 31, 1997 1996 Net Production of Natural Gas (million cubic feet per day) United States.................... 2,381 2,584 Canada........................... 771 846 Overseas......................... 1,047 1,079 Total.......................... 4,199 4,509 Net Production of Crude Oil and NGL (thousand barrels per day) United States--crude oil......... 170 183 --NGL............... 116 107 Canada--crude oil................ 50 53 --NGL...................... 10 11 Overseas......................... 308 290 Total.......................... 654 644 Operating Statistics (continued) Three Months Ended March 31, 1997 1996 U.S. Refined Product Sales (thousand barrels per day) Gasoline......................... 585 611 Distillates...................... 329 367 Other products................... 157 148 Total.......................... 1,071 1,126 Input to U.S. Crude Units (thousand barrels per day)......... 877 913 Refinery Utilization Rate.......... 87% 90% Exploration and Production - U. S. U.S. E&P operations earned $365 million in the first three months of 1997 compared with $281 million for the similar 1996 period. The increase primarily resulted from higher energy prices, which more than offset lower production reflecting normal field declines and dispositions. Amoco's first-quarter U.S. natural gas prices averaged approximately $2.50 per thousand cubic feet ("mcf"), over $.70 per mcf above the first quarter of 1996. Amoco's average crude oil prices increased about $3.40 per barrel and averaged almost $20.90 per barrel for the quarter. Altura Energy Ltd. ("Altura") began operations March 1, 1997. Altura, a limited partnership formed by Amoco and Shell Oil Company, combined the two companies' E&P assets in the Permian Basin area of west Texas and southeast New Mexico. Amoco has a 64 percent interest. Exploration and Production - Canada Canadian operations earned $81 million in the first quarter of 1997 compared with restated 1996 first-quarter earnings of $34 million, excluding gains of $56 million on the sale of assets. The gain on asset dispositions included the sale of Amoco's remaining investment in Crestar Energy Inc. The operating earnings improvement resulted primarily from higher energy prices and lower exploration expenses, partially offset by lower production due to property dispositions and natural field declines. Amoco's Canadian natural gas prices averaged $1.80 per mcf for the quarter, about 65 cents higher than 1996's first quarter. Canadian crude oil prices averaged $17.00 per barrel for the first quarter of 1996, 16 percent higher than the prior-year first quarter average. Exploration and Production - Overseas Overseas E&P operations earned $127 million for the first three months of 1997 compared with $121 million earned in the first quarter of 1996. Favorably affecting 1997 earnings were higher crude oil production and prices compared with 1996. Partly offsetting were higher exploration expenses and lower natural gas production. Petroleum Products Petroleum Products activities earned $28 million for the first three months of 1997, compared with restated earnings of $62 million for the comparable 1996 period. The 1996 earnings, previously reported as $18 million, were restated to include Canadian supply and marketing operations for crude oil, sulfur and natural gas liquids. The decline in first-quarter 1997 earnings resulted from higher refining maintenance costs and lower throughput, reflecting planned turnaround at Amoco's largest refineries. First-quarter 1997 earnings from Canadian supply and marketing operations increased compared with the first quarter of 1996. Chemicals Chemical earnings of $147 million for the first quarter of 1997 compared with $240 million for the similar 1996 period. The decline in first-quarter earnings primarily reflected reduced paraxylene and purified terephthalic acid (PTA) margins from high prior-year levels. Favorably affecting earnings were higher olefins margins and increased sales volumes for most product lines. Sales volumes for both PTA and paraxylene increased over 35 percent, in part reflecting Amoco's recent capacity additions. Corporate and Other Operations Corporate and other operations include net interest and general corporate expenses as well as the results of investments in technology companies, real estate interests and other activities. Corporate and other operations incurred net expenses of $74 million for the first three months of 1997, compared with net expenses after tax of $66 million in the corresponding 1996 period. Outlook The Corporation and the oil industry will continue to be affected by the volatility of crude oil and natural gas prices. Also, affecting chemicals and petroleum products activities is the overall industry product supply and demand balance. Amoco's future performance is expected to continue to be impacted by ongoing cost reduction programs; the divestment of marginal properties and underperforming assets; application of new technologies; and new governmental regulations. Amoco's exploration efforts will continue to target those areas that offer the most potential. Amoco will pursue areas that capitalize on its natural gas resources and continue to expand internationally. Amoco's worldwide barrel-oil-equivalent production is expected to increase from 1996 levels by 25 percent over the next five years, with the largest increases expected to occur in the later years. Production in 1997 is expected to increase slightly, with incremental production anticipated from the Gulf of Mexico, and production from Venezuela, Colombia and Bolivia. In the petroleum products sector, Amoco does not anticipate a significant improvement in U.S. industry refining margins in the near term. Amoco will continue to pursue additional cost reduction programs and improved asset utilization. Amoco's marketing strategy will continue to emphasize brand product quality and growth in its position as a convenience retailer. Strategic alliances with such companies as McDonald's Corporation and Femsa in Mexico are expected to be expanded. In the chemical sector, Amoco's overall strategy is to manage its portfolio to optimize the quality of its businesses through acquisitions, divestments and selectively investing in local market growth for existing businesses. While current industry excess PTA capacity is putting downside pressure on margins, long- term worldwide growth is expected to be 8 percent. PTA expansions are scheduled to be completed over the next two years at wholly owned facilities in South Carolina and Belgium, and joint-venture plants in China and Indonesia. PX long-term annual growth is expected to be 6 percent. A PX joint-venture plant in Singapore began commercial production in early 1997. In addition, Amoco announced plans to build a $250 million (Canadian) alpha olefins plant in Alberta, Canada, with initial production capacity of 550 million pounds per year. Liquidity and Capital Resources Cash flows from operating activities for the first three months of 1997 amounted to $920 million compared with $781 million in the prior-year period. Working capital of $1,012 million at March 31, 1997 compared with $924 million at December 31, 1996. The Corporation's current ratio was 1.17 to 1 at March 31, 1997, compared with 1.15 to 1 at year-end 1996. As a matter of policy, Amoco practices asset and liability management techniques that are designed to minimize its investment in non-cash working capital. This does not impair operational flexibility since the Corporation has ready access to both short- and long-term debt markets. Amoco's debt totaled $5.4 billion at March 31, 1997 and $5.1 billion at year-end 1996. Debt as a percentage of debt-plus- equity was 24.5 percent at March 31, 1997, and 23.6 percent at year-end 1996. Amoco Corporation guarantees the public debt obligations of Amoco Company. Amoco Corporation and Amoco Company guarantee the public notes and debentures of Amoco Canada Petroleum Company Ltd. ("Amoco Canada") and Amoco Argentina Oil Company ("Amoco Argentina"). Cash dividends paid in the first quarter of 1997 totaled $345 million. The quarterly dividend was raised to 70 cents per share for the first quarter of 1997, an increase of 5 cents per share, or eight percent, over the previous rate. Through March 1997, 3.2 million shares of Amoco's common stock were repurchased at a cost of $275 million as part of the $2 billion, two-year common stock repurchase program. The Corporation believes its strong financial position will permit the financing of business needs and opportunities as they arise. It is anticipated that ongoing operations will be financed primarily by internally generated funds. Short-term obligations, such as commercial paper borrowings, give the Corporation the flexibility to meet short-term working capital and other temporary requirements. At March 31, 1997, bank lines of credit available to support commercial paper borrowings amounted to $500 million, all of which were supported by commitment fees. The Corporation also may utilize its favorable access to long- term debt markets to finance profitable growth opportunities. A $500 million shelf registration statement for Amoco Company remains on file with the Securities and Exchange Commission ("SEC") to permit ready access to capital markets. In 1995, Amoco Argentina filed a shelf registration with the SEC for $200 million in debt securities, of which $100 million in debt securities were subsequently issued. In early 1997, the $100 million remaining under this registration was issued. Capital and exploration expenditures for the first three months of 1997 totaled $987 million compared with $904 million for the similar 1996 period. Approximately 79 percent of the 1997 expenditures was spent in E&P operations. Amoco previously announced a 1997 capital and exploration spending program of $4.1 billion, compared with 1996 spending of $4.6 billion. The 1997 capital spending program excludes $307 million for pre-funding in April 1997 expenditures relating to the operatorship and 50 percent ownership in a Bolivian oil and gas company, Empresa Petrolera Chaco. The Corporation has provided in its accounts for the reasonably estimable future costs of probable environmental remediation obligations relating to various oil and gas operations, refineries, marketing sites and chemical locations, including multiparty sites at which Amoco and certain of its subsidiaries have been identified as potentially responsible parties by the U.S. Environmental Protection Agency. Such estimated costs will be refined over time as remedial requirements and regulations become better defined. However, any additional environmental costs cannot be reasonably estimated at this time due to uncertainty of timing, the magnitude of contamination, future technology, regulatory changes and other factors. Although future costs could have a significant effect on the results of operations in any one period, they are not expected to be material in relation to Amoco's liquidity or consolidated financial position. In total, the accrued liability represents a reasonable best estimate of Amoco's remediation liability. "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995. Statements in this report that are not historical facts, including statements under the heading of "Outlook" and other statements about industry and company growth, estimates of expenditures and savings, and other trend projections are forward looking statements. The statements are based on current expectations and involve risk and uncertainties. Actual future results or trends may differ materially depending on a variety of factors. These include specific factors identified in the discussion accompanying such forward looking statements, industry product supply and pricing, political stability and economic growth in relevant areas of the world, the Company's successful execution of its internal performance plans, successful partnering, actions of competitors, natural disasters and other changes to business conditions. PART II--OTHER INFORMATION Item 1. Legal Proceedings Reference is made to the description of the challenge by the Internal Revenue Service of certain foreign income taxes as credits against the Corporation's U.S. taxes that otherwise would have been payable for the years 1980 through 1992 in Part I, Item 3 of Amoco's 1996 Form 10-K. Thirteen proceedings instituted by governmental authorities are pending or known to be contemplated against Amoco and certain of its subsidiaries under federal, state or local environmental laws, each of which could result in monetary sanctions in excess of $100,000. No individual proceeding is, nor are the proceedings as a group, expected to have a material adverse effect on Amoco's liquidity, consolidated financial position or results of operations. Amoco estimates that in the aggregate the monetary sanctions reasonably likely to be imposed from these proceedings amount to approximately $7.6 million. Amoco has various other suits and claims pending against it among which are several class actions for substantial monetary damages which in Amoco's opinion are not meritorious. While it is impossible to estimate with certainty the ultimate legal and financial liability in respect to these other suits and claims, Amoco believes that, while the aggregate amount could be significant, it will not be material in relation to its liquidity or its consolidated financial position. Item 2. Changes in Securities Not applicable. Item 3. Defaults upon Senior Securities Not applicable. Item 4. Submission of Matters to a Vote of Security Holders (a) The Annual Meeting of Shareholders was held on April 22, 1997. (b) Not applicable (c) Four persons nominated by the Board of Directors were elected directors. Proxies for the meeting were solicited pursuant to Regulation 14A; there was no solicitation in opposition to management's nominees listed in the proxy statement. Results of the election were as follows: Erroll B. Davis, Jr., shares for 421,919,642, shares withheld 2,435,553; H. Laurance Fuller, shares for 421,718,928, shares withheld 2,636,267; Martha R. Seger, shares for 421,839,169, shares withheld 2,516,026; Theodore M. Solso, shares for 422,036,228, shares withheld 2,318,967; Abstentions for the nominees as a group totaled 2,636,267. With respect to the concurrence in the appointment of Price Waterhouse LLP to serve as independent accountants for Amoco and its subsidiaries for the fiscal year 1997 the results were as follows: shares for 422,292,286, shares against 1,020,881 and abstentions 1,042,028. (d) Not applicable Item 5. Other Information Shown below is summarized financial data of Amoco's wholly owned subsidiary, Amoco Company. Three Months Ended March 31, 1997 1996 (millions of dollars) Total revenues (including excise taxes)... $ 8,074 $ 7,404 Net income................................ $ 556 $ 598 March 31, Dec. 31, 1997 1996 Current assets............................ $ 6,894 $ 6,361 Total assets.............................. $29,809 $29,208 Current liabilities....................... $ 5,100 $ 4,926 Long-term debt - affiliates............... $ 4,645 $ 4,731 - other.................... $ 2,076 $ 2,190 Deferred credits.......................... $ 4,643 $ 4,524 Minority interest......................... $ 131 $ 131 Shareholder's equity...................... $13,131 $12,630 Shown below is summarized financial data of Amoco's wholly owned subsidiary, Amoco Canada. Three Months Ended March 31, 1997 1996 (millions of dollars) Revenues.................................. $ 1,350 $ 1,033 Net income................................ $ 141 $ 93 March 31, Dec. 31, 1997 1996 Current assets............................ $ 1,487 $ 1,615 Total assets.............................. $ 4,300 $ 4,412 Current liabilities....................... $ 836 $ 1,110 Non-current liabilities................... $ 3,398 $ 3,377 Shareholder's equity (deficit)............ $ 66 $ (75) Shown below is summarized financial data of Amoco's indirectly wholly owned subsidiary, Amoco Argentina. Three Months Ended March 31, 1997 1996 (millions of dollars) Revenues.................................. $ 85 $ 75 Net income................................ $ 32 $ 27 March 31, Dec. 31, 1997 1996 Current assets............................ $ 322 $ 251 Total assets.............................. $ 699 $ 613 Current liabilities....................... $ 96 $ 87 Non-current liabilities................... $ 282 $ 237 Shareholder's equity...................... $ 321 $ 289 Item 6. Exhibits and Reports on Form 8-K (a)Exhibits Exhibit Number 12 Statement Setting Forth Computation of Ratio of Earnings to Fixed Charges. 27 Financial Data Schedule. (b) A current report on Form 8-K dated April 14, 1997, was filed to restate segment earnings for the years 1996, 1995 and 1994, and quarterly segment earnings for 1996 and 1995. The Corporation changed the basis upon which operations are grouped for the purpose of business segment reporting to maintain alignment with changes made in its internal structure. Beginning with the first quarter of 1997, Canadian supply and marketing operations for crude oil, sulfur and natural gas liquids are included in the Petroleum Products segment. Previously, those businesses were reported in the E&P segment. Signature Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Amoco Corporation (Registrant) Date: May 13, 1997 Judith G. Boynton Judith G. Boynton Vice President and Controller (Duly Authorized and Chief Accounting Officer) EX-12 2 EXHIBIT 12 EXHIBIT 12 AMOCO CORPORATION ______________________ STATEMENT SETTING FORTH COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (millions of dollars, except ratios) Three Months Ended Year Ended December 31, March 31, 1997 1996 1995 1994 1993 1992 Determination of Income: Consolidated earnings before income taxes and minority interest $ 943 $3,965 $2,404 $2,491 $2,506 $ 998 Fixed charges expensed by consolidated companies............ 105 412 406 316 350 376 Adjustments for certain companies accounted for by the equity method............... (1) 69 25 7 11 28 Adjusted earnings plus fixed charges........ $1,047 $4,446 $2,835 $2,814 $2,867 $1,402 Determination of Fixed Charges: Consolidated interest on indebtedness (including interest capitalized)......... $ 81 $ 317 $ 317 $ 288 $ 299 $ 333 Consolidated rental expense representa- tive of an interest factor............... 26 107 89 23 50 44 Adjustments for certain companies accounted for by the equity method............... 2 8 6 5 8 20 Total fixed charges.... $ 109 $ 432 $ 412 $ 316 $ 357 $ 397 Ratio of earnings to fixed charges.......... 9.6 10.3 6.9 8.9 8.0 3.5 EX-27 3 EXHIBIT 27
5 This schedule contains summary financial information extracted from the Consolidated Statement of Income and the Consolidated Statement of Financial Position and is qualified in its entirety by reference to such financial statements. 0000093397 AMOCO CORPORATION 1,000,000 3-MOS DEC-31-1997 JAN-01-1997 MAR-31-1997 300 1027 3537 17 1223 6812 50876 27537 31785 5803 4011 0 0 2626 13750 31785 8076 8993 5834 5834 1607 0 78 942 268 674 0 0 0 674 1.36 0
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