UNITED
STATES OF AMERICA
BEFORE FEDERAL TRADE COMMISSION
In the Matter of
Chevron Corporation, a
corporation, and
Texaco Inc., a corporation.
File No. 011 0011
AGREEMENT CONTAINING
CONSENT ORDERS
The Â鶹´«Ã½ Trade Commission ("Commission"), having
initiated an investigation of the proposed merger of Respondent Chevron Corporation
("Chevron") and Respondent Texaco Inc. ("Texaco"), and it now
appearing that Chevron and Texaco, sometimes referred to as "Proposed
Respondents," are willing to enter into this Agreement Containing Consent Orders
("Consent Agreement") to divest certain assets and providing for other relief:
IT IS HEREBY AGREED by and between Proposed
Respondents, by their duly authorized officers and attorneys, and counsel for the
Commission that:
- 1. Proposed Respondent Chevron is a corporation organized,
existing and doing business under and by virtue of the laws of the state of Delaware, with
its office and principal place of business located at 575 Market Street, San Francisco, CA
94105.
-
- 2. Proposed Respondent Texaco is a corporation organized,
existing and doing business under and by virtue of the laws of the state of Delaware, with
its office and principal place of business located at 2000 Westchester Ave., White Plains,
NY 10650.
-
- 3. Proposed Respondents admit all the jurisdictional facts set
forth in the draft of Complaint here attached.
-
- 4. Proposed Respondents waive:
-
- a. any further procedural steps;
-
- b. the requirement that the Commission's Decision and Order
and Order to Hold Separate and Maintain Assets, attached hereto and made a part hereof,
contain a statement of findings of fact and conclusions of law;
-
- c. all rights to seek judicial review or otherwise to
challenge or contest the validity of the Decision and Order or the Order to Hold Separate
and Maintain Assets entered pursuant to this Consent Agreement; and
-
- d. any claim under the Equal Access to Justice Act.
-
- 5. Proposed Respondents shall submit an initial report within
thirty (30) days after they execute this Consent Agreement and every thirty (30) days
thereafter until the Decision and Order becomes final, pursuant to Section 2.33 of the
Commission's Rules, 16 C.F.R. § 2.33, signed and verified by the Proposed Respondents
setting forth in detail the manner in which the Proposed Respondents have prepared to
comply, are complying, and will comply with the Decision and Order and Order to Hold
Separate and Maintain Assets. Such reports will not become part of the public record
unless and until the Consent Agreement, Decision and Order, and Order to Hold Separate and
Maintain Assets are accepted by the Commission for public comment.
-
- 6. Because there may be interim competitive harm, the
Commission may issue its Complaint and Order to Hold Separate and Maintain Assets in this
matter at any time after it accepts the Consent Agreement for public comment.
-
- 7. This Consent Agreement shall not become part of the public
record of the proceeding unless and until it is accepted by the Commission. If this
Consent Agreement is accepted by the Commission, it, together with the draft of Complaint
contemplated hereby, will be placed on the public record for a period of thirty (30) days
and information in respect thereto publicly released. The Commission thereafter may either
withdraw its acceptance of this Consent Agreement and so notify Proposed Respondents, in
which event it will take such action as it may consider appropriate, or issue or amend its
Complaint (as the circumstances may require) and issue its Decision and Order, in
disposition of the proceeding.
-
- 8. This Consent Agreement is for settlement purposes only and
does not constitute an admission by Proposed Respondents that the law has been violated as
alleged in the draft of Complaint here attached, or that the facts as alleged in the draft
Complaint, other than jurisdictional facts, are true.
-
- 9. This Consent Agreement contemplates that, if it is accepted
by the Commission, the Commission may (1) issue and serve its Complaint corresponding in
form and substance with the draft of Complaint here attached, (2) issue and serve its
Order to Hold Separate and Maintain Assets, and (3) make information public with respect
thereto. If such acceptance is not subsequently withdrawn by the Commission pursuant to
the provisions of § 2.34 of the Commission's Rules, 16 C.F.R. § 2.34, the Commission
may, without further notice to Proposed Respondents, issue the attached Decision and
Order, in disposition of this proceeding. When final, the Decision and Order and the Order
to Hold Separate and Maintain Assets shall have the same force and effect and may be
altered, modified or set aside in the same manner and within the same time provided by
statute for other orders. The Decision and Order and Order to Hold Separate and Maintain
Assets shall become final upon service. Delivery of the Complaint, Decision and Order, and
Order to Hold Separate and Maintain Assets to Proposed Respondents by any means specified
in Commission Rule 4.4(a), 16 C.F.R. § 4.4(a), shall constitute service. The Proposed
Respondents waive any right they may have to any other manner of service. Proposed
Respondents also waive any right they may otherwise have to service of any Appendices
incorporated by reference into the Decision and Order, and agree that they are bound to
comply with and will comply with the Decision and Order to the same extent as if they had
been served with copies of the Appendices, where Proposed Respondents are already in
possession of copies of such Appendices. The Complaint may be used in construing the terms
of the Decision and Order and Order to Hold Separate and Maintain Assets, and no
agreement, understanding, representation, or interpretation not contained in the Consent
Agreement, Decision and Order, or Order to Hold Separate and Maintain Assets may be used
to vary or contradict the terms of the Decision and Order or the Order to Hold Separate
and Maintain Assets.
-
- 10. By signing this Consent Agreement, Proposed Respondents
represent and warrant that they can comply with the provisions of the attached Decision
and Order and Order to Hold Separate and Maintain Assets, and that all subsidiaries,
affiliates, and successors necessary to effectuate the full relief contemplated by this
Consent Agreement, the Decision and Order, and the Order to Hold Separate and Maintain
Assets are parties to the Consent Agreement.
-
- 11. Proposed Respondents have read the proposed Complaint,
Decision and Order, and Order to Hold Separate and Maintain Assets contemplated hereby.
Proposed Respondents understand that once the Decision and Order has been issued, they
will be required to file one or more compliance reports showing that they have fully
complied with the orders. Proposed Respondents agree to comply with the proposed Decision
and Order from the date they sign this Consent Agreement. Proposed Respondents understand
that they may be liable for civil penalties in the amount provided by law for each
violation of the Decision and Order and Order to Hold Separate and Maintain Assets after
they have become final.
Signed this ____ day of August, 2001.
CHEVRON CORPORATION
By: ______________________________
David J. O'Reilly
Chairman and Chief Executive Officer
______________________________
Terry Calvani
Counsel for Chevron Corporation
TEXACO INC.
______________________________
Glenn F. Tilton
Chairman and Chief Executive Officer
______________________________
Marc G. Schildkraut
Counsel for Texaco Inc.
FEDERAL TRADE COMMISSION
By: ______________________________
Dennis F. Johnson
Attorney
Bureau of Competition
Approved:
______________________________
Phillip L. Broyles
Assistant Director
Mergers III
Bureau of Competition
______________________________
Michael E. Antalics
Deputy Director
Bureau of Competition
______________________________
M. Sean Royall
Deputy Director
Bureau of Competition |