Getty Oil facts for kids
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Formerly
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Pacific Western Oil Corporation (1928–1956) |
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| Private | |
| Industry | Oil and gas |
| Founded | 1928 |
| Founder | J. Paul Getty |
| Defunct | 2012 |
| Headquarters | Getty Building, |
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Number of locations
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1,115 (2011) |
| Products | Gasoline oil and service mart |
| Total assets | US$ 50-100 billion (2011) |
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Number of employees
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597 (2012) |
| Subsidiaries | Gasway Inc., Getty Terminals Corp., PT Petro Corp. |
Getty Oil Company was an American company that sold oil and gasoline. It started as a big oil company founded by J. Paul Getty.
Contents
The Story of Getty Oil
How Getty Oil Started
J. Paul Getty officially started Getty Oil in 1942. Before that, he worked in oil fields in Oklahoma with his father, George Getty. When his father passed away, J. Paul inherited $500,000.
Finding Oil in New Places
In 1949, J. Paul Getty made an important deal. He got the rights to explore for oil for 30 years in a special area. This area was a "neutral zone" between Saudi Arabia and Kuwait. This deal helped the company grow a lot.
Changes After J. Paul Getty
J. Paul Getty died in 1976. His son, Gordon Getty, and his family inherited a large part of the company. They owned about 40% of Getty Oil.
Selling the Company
In 1984, Gordon Getty decided to sell Getty Oil. The company had a huge amount of oil reserves. First, he agreed to sell it to a company called Pennzoil. But then, he made another deal to sell it to Texaco instead.
This led to a big legal case. Pennzoil sued Texaco because they felt Texaco broke their agreement. In 1985, Pennzoil won a huge amount of money from Texaco. This was one of the biggest court decisions in U.S. history at the time. Texaco later had to file for bankruptcy. Eventually, they settled the case for $3 billion.
What Happened Next
After the big sale, Getty Oil's oil reserves were sold off. However, some parts of the company, like the gasoline stations, continued to operate. The Getty gas stations in the Northeast were sold as part of the deal. The company then became known as Getty Petroleum Marketing Inc.
Later Sales and Closure
In 2000, Getty Petroleum Marketing was sold to a company called Lukoil. Later, in 2011, Lukoil sold it to Cambridge Securities LLC. On December 5, 2011, Getty Petroleum filed for bankruptcy. This meant the company needed legal protection while it sorted out its money problems. The company officially closed in 2012.
Getty Oil and ESPN
Did you know that Getty Oil once owned a big part of ESPN? ESPN is a famous sports TV channel. When Texaco bought Getty Oil, they then sold ESPN to ABC in 1984.
