Chevron and Texaco have a long history, dating back to 1901 when Texaco was founded in Beaumont, Texas.
Texaco was a major player in the oil industry, known for its iconic logo and wide range of products.
In 1987, Texaco merged with Chevron, creating a massive oil company.
The merger made Chevron the second-largest oil company in the world at the time.
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History of Texaco
Texaco was founded in Beaumont, Texas as the Texas Fuel Company in 1901. It later established an operation in Antwerp, Belgium, under the name Continental Petroleum Company in 1905.
In 1928, Texaco became the first U.S. oil company to sell its gasoline nationwide under one single brand name in all 48 states. This marked a significant milestone in the company's history.
Texaco purchased Indian Oil Company in 1931, expanding its refining and marketing base in the Midwest and gaining the rights to Indian's Havoline motor oil. Havoline became a popular Texaco product.
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In 1936, Texaco formed a joint venture with Socony-Vacuum, now Mobil, to develop the Barco oil concession in Colombia. The company also illegally supplied the fascist Gen. Franco faction in the Spanish Civil War with 3,500,000 barrels of oil.
Texaco introduced Fire Chief gasoline nationwide in 1932, a "super-octane" motor fuel touted as meeting or exceeding government standards for gasoline for fire engines and other emergency vehicles. It was promoted through a radio program hosted by Ed Wynn.
In 1938, Texaco introduced Sky Chief gasoline, a premium fuel developed from the ground up as a high-octane gasoline. This marked a significant improvement in the company's fuel offerings.
Texaco commissioned industrial designer Walter Dorwin Teague to develop a modern service station design in 1937. This led to a more streamlined and efficient service station experience for customers.
Texaco became one of the first oil companies to introduce a "Registered Rest Room" program in 1939. The program ensured that restroom facilities at all Texaco stations maintained a standard level of cleanliness.
Chevron and Texaco Merger
Chevron Corporation acquired Texaco in a $24.3 billion stock swap that created the world's fourth-largest oil company.
The combined company was called ChevronTexaco Corporation and had $46.2 billion in revenue based on 1999 figures.
Texaco's stock had been lackluster since talks with Chevron broke off, putting pressure on Texaco's CEO Peter Bijur to improve shareholder returns.
Fadel Gheit, an oil analyst, said the union between Chevron and Texaco was a more compatible match than some of the industry's other recent deals.
Texaco's CEO Peter Bijur reportedly wanted to run the combined company, but Chevron's CEO Kenneth Derr rejected this demand.
After Derr retired, David O'Reilly took over as Chevron's CEO, paving the way for reopened talks with Texaco.
The combined ChevronTexaco Corporation will remain based in San Francisco, with O'Reilly as chairman and CEO.
Bijur will be the vice-chairman of the new company.
In 2001, the U.S. Federal Trade Commission approved Chevron's acquisition of Texaco, with the condition that Texaco must sell its holdings in the Equilon and Motiva joint ventures.
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Royal Dutch/Shell Group was seen as the likely buyer of these joint ventures.
Chevron and Texaco held special shareholder meetings on October 9, 2001, to vote on the deal.
The merged company will move its headquarters to San Ramon, California, next year.
Chevron regained non-exclusive rights to the Texaco brand name in the U.S. in July 2004.
Texaco introduced the Techron additive into its fuels in the U.S. and parts of Latin America in 2005.
Delek Benelux took over marketing activities for Chevron in Benelux, including 869 filling stations, mostly under the Texaco brand, in 2007.
Chevron sold its Conoco stations in Mississippi to the Texaco brand name in 2007.
Texaco exited the Canadian market in 2008 with the dissolution of Texaco Canada Petroleum Incorporated.
Chevron Corporation Timeline
In 1999, Chevron Corporation formed the joint venture Equilon with Shell Oil Company.
Chevron merged with Texaco in 2002, gaining control of the Equilon and Motiva joint ventures.
Texaco began converting its stations to the Shell brand in 2003.
Chevron regained non-exclusive rights to the Texaco brand name in the US in 2004.
Texaco introduced the Techron additive into its fuels in the US and parts of Latin America in 2005.
Delek Benelux took over marketing activities for Chevron in Benelux in 2007, including 869 filling stations under the Texaco brand.
Chevron sold its Conoco stations in Mississippi to the Texaco brand name in 2007.
Texaco Canada Petroleum Incorporated was dissolved in 2008, marking Texaco's exit from the Canadian market.
Chevron and Texaco ended retail operations in the Mid-Atlantic US in 2010, removing their brand from 1,100 stations.
Frequently Asked Questions
Did Chevron buy out Texaco?
Yes, Chevron acquired Texaco in a $36 billion deal completed in October 2001. The merger led to significant changes in the company's operations and branding.
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