Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: TUESDAY, April 2, 1991 TAG: 9104020110
SECTION: BUSINESS PAGE: A5 EDITION: METRO
SOURCE: Associated Press
DATELINE: NEW YORK LENGTH: Medium
But a competing ranking by Forbes magazine, of what it calls the "most powerful" American companies, didn't even mention GM because the automaker didn't make any money in 1990.
The weakened economy was the dominant theme in the rankings. Fortune said half of the 50 largest industrial companies on its list lost money or earned less. Overall, Fortune 500 profits fell 11.7 percent, even though sales rose 6.4 percent.
GM, with more than $126 billion in revenues, retained Fortune's top spot despite a 0.8 percent drop in sales. Ford Motor Co. slipped to No. 3 and Chrysler Corp. tumbled three spots to No. 11.
Fortune bases its list on total sales and rates only industrial companies. The magazine also compiles separate rankings of the companies by profits, assets, stockholder equity and other financial indicators.
Exxon Corp. rose to second place in sales on Fortune's list. Completing the top 10 were International Business Machines Corp., Mobil Corp., General Electric Co., Philip Morris Cos., Texaco Inc., DuPont and Chevron Corp.
Forbes also ranks 500 companies by sales, profits, assets and market value. To distinguish itself from Fortune, it does a composite ranking across all categories to determine the "Super 50."
On the composite list, General Electric Co. replaced GM as Forbes' "most powerful" company, followed by Exxon, IBM, Philip Morris, American Telephone & Telegraph Co., Mobil, Chevron, DuPont, Ford and Amoco Corp.
AT&T was not on Fortune's list because it is not an industrial company. The Forbes list includes service companies, retailers, financial institutions and utilities in addition to manufacturers.
The lists showed how the recession touched major sectors of the economy.
In the Fortune 500, sales sank 96 percent among transportation equipment companies, 79 percent in textiles, 54 percent in building materials, 44 percent in metals, and 27 percent in motor vehicles and parts.
GM lost $1.986 billion to finish 473rd in profits. Ford made $860 million - a 78 percent decline - and Chrysler reported just $68 million in earnings, about as much as No. 486 Loctite Corp., which makes adhesives.
The Persian Gulf crisis and resulting rise in oil prices helped the petroleum refining industry stay healthy, with profits 32.6 percent higher.
Exxon's surge past Ford to second place on the Fortune list came on a 22 percent increase in sales to $106 billion. Mobil rose one spot to fifth, Texaco jumped two places to eighth and Chevron rose to 10th from 11th.
Other profitable areas included pharmaceuticals, with sales up 17.6 percent; soaps and cosmetics, up 16.6 percent; and mining and crude oil production, up 13.4 percent.
Sales of Rorer Group Inc., acquired by Rhone-Poulenc of France, rose 144 percent, making it the biggest gainer in the Fortune 500. The new Rhone-Poulenc Rorer jumped to 156th from 311th.
New York City remained the home of the most Fortune 500 companies, 41, followed by Chicago with 20, Houston with 14, and Dallas, Cleveland and Pittsburgh, tied with 12. But New York and Chicago each lost two last year.
by CNB