MOBIL ASSERTS SSDA STATEMENTS ARE "FAR FROM THE TRUTH"
MOBIL ASSERTS SSDA STATEMENTS ARE "FAR FROM THE TRUTH" FAIRFAX, Va., Sept. 29 /PRNewswire/ -- Mobil Oil Corporation today
refuted as irresponsible recent statements by the Service Station Dealers of America (SSDA) regarding Mobil's opposition to a portion of Senate bill S.2656.
"Unfortunately, it is difficult to find very much in the SSDA comments that has any basis in fact. The bill, S.2656 is not about jobs as the SSDA would have the public believe, but rather, it is special interest legislation for the benefit of a narrow class of people in the petroleum industry at the expense of the public and most owners of service stations," Mobil said. "For example SSDA asserts that Mobil reduced its dealer-operated stations by 43 percent over the past four years. That is so far from the truth that we question the good faith of SSDA. In actuality, the percentage of dealer-operated service stations as compared to the total number of Mobil service stations increased over this period of time. "From January, 1988 through December, 1991, the total number of service stations supplied by Mobil declined as the company withdrew from several markets. But most of those stations were owned by distributors who then found alternative sources of supply and continued to operate. "Mobil has a good relationship with its dealers which it is continually working to improve, for the benefit of the dealer, Mobil and the consumer. To succeed in the highly competitive gasoline retail market, a mutually beneficial relationship is essential. "The SSDA supports a bill (S.2656) which it hopes the Senate will soon address. Mobil opposes a small piece of the bill that would enable states and municipalities to undercut the current federal law which provides the basis for a uniform, national franchise. The section of the bill we oppose would leave every provision of the dealer franchise open to change by a state or locality. The uncertainty this would create would discourage companies from investing in new stations or upgrading existing ones. And that's bad for Mobil, for prospective or existing dealers and for the consumer, as well as for the general economy. "The issues involved in consideration of this legislation are far too important for the debate to be clouded by irresponsible assertions made by SSDA." -0- 9/29/92 /CONTACT: John Lord of Mobil, 703-846-2500/ (MOB) CO: Mobil Oil Corporation ST: Virginia IN: OIL SU:
SM -- NY080 -- 4540 09/29/92 16:42 EDT
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|Date:||Sep 29, 1992|
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