Global 500 firms feeling the pinch

• Source: The Global Times
• [01:10 June 01 2009]
• Comments

The total market capitalization of the Global 500 companies has fallen by 42 per cent from $26.83 billion to $15.61 billion, the Financial Times said in its 13th annual ranking of the world’s largest companies.

Ranked by market capitalization – the share price on March 31 multiplied by the number of shares issued, oil companies overtook banks as the most valuable sector, with Exxon Mobil and PetroChina in first and second place respectively.

There is no place for the once top banks like AIG, Merrill Lynch and Lehman Brothers. This year, 15 banks disappeared from the list, leaving the market value of banks more than halved from $4.11 billion in 2008 to $1.93 billion.

However, Chinese banks did not find much negative influence on their rankings. With the highest market value among the banking sector, Industrial and Commercial Bank of China is ranked fourth.

Construction Bank of China and Bank of China jumped to 13 and 21 respectively, while Shanghai Pudong Development Bank overtook 153 companies to 269th place, among the companies with the biggest jump.

Despite the oil-dominated trend, leaders from each sector remain in the top 10 of the list, including Wal-Mart in third place and Microsoft, AT&T and Johnson & Johnson occupying from sixth to eighth place.

Ranked by nations and regions, the United States leads the list with 181 enterprises with a $6.2 trillion market value. China has 47 companies on the list with a close to $1.9 trillion market value.

(Agencies)