Description: Some of the world’s largest oil companies are reporting pretty ugly earnings. Profits at Exxon Mobil (XOM), the biggest U.S. oil company, are down 27 percent off its worst fourth-quarter earnings in four years. Royal Dutch Shell (RDS.B), Europe’s biggest oil major, saw its profits tumble 48 percent.

Source: Businessweek.com

Date: Jan 31, 2014

Link: http://www.businessweek.com/articles/2014-01-31/big-oil-earnings-reports-reveal-big-production-problems#r=most%20popular

Questions for Discussions:

• What are the problems facing Big oil?
• What are the solutions?
• How should investors deal with this phenomenon?