EARNINGS EXXON MOBIL 2Q PROFIT HITS MORE THAN $10B Soaring energy prices catapulted Exxon Mobil to a second-quarter profit of more than $10 billion and promise to ignite industrywide growth — and public outrage — all year.

Royal Dutch Shell PLC came close to matching Exxon Mobil Corp.’s 36% quarterly earnings boost yesterday, posting net income of $7.3 billion, an increase of 40% from the year before.

The oil and gas industry’s prolific profits come as motorists in America pay an average of $3-a-gallon at the pump and as Washington lawmakers consider opening to drilling areas of the Gulf of Mexico currently off-limits — both of which have generated political backlash.

— Associated Press

CHRYSLER 2Q PROFIT FALLS AS SALES SLIDE Chrysler’s group chief executive, Tom LaSorda, said yesterday the company plans to cut North American third-quarter production levels by between 65,000 to 75,000 vehicles in an effort to reduce its inventory level without having to further increase incentive spending.

Chrysler, the American arm of DaimlerChrysler AG, posted an operating profit of $65 million in the most recent quarter, down from $695 million in the second quarter of 2005. The unit’s revenue fell to $15.9 billion from $16.7 billion a year ago. Chrysler said it expects to lose as much as $600 million in the third quarter on an operating basis but return to profitability in the final three months of the year as new-model launches take root.

— Dow Jones Newswires

REAL ESTATE SALES OF NEW HOMES DECLINE IN JUNE Sales of new homes fell in June for the first time in four months, and the government also lowered figures for May, providing further evidence the high-flying housing market is losing altitude.

The Commerce Department reported yesterday that new home sales dropped by 3% last month to a seasonally adjusted annual sales pace of 1.131 million units. It was the first decline since an 11.5% drop in February.

— Associated Press