for 2011 were $29.1 billion, including $1.7 billion for the company’s share of equity-affiliate expenditures.  (BAR CHART) In 2010 and 2009, expenditures were $21.8 billion and $22.2 billion, respectively, including the company’s share of affiliates’ expenditures of $1.4 billion and $1.6 billion, respectively. 

     Of the $29.1 billion of expenditures in 2011, 89 percent, or $25.9 billion, was related to upstream activities. Approximately 87 percent and 80 percent were expended for upstream operations in 2010 and 2009. International upstream accounted for about 68 percent of the worldwide upstream investment in 2011, about 82 percent in 2010 and about 80 percent in 2009. These amounts exclude the acquisition of Atlas Energy, Inc. in 2011.

     The company estimates that in 2012 capital and exploratory expenditures will be $32.7 billion, including $3.0 billion of spending by affiliates. Approximately 87 percent of the total, or $28.5 billion, is budgeted for exploration and production activities. Approximately $22.3 billion, or 78 percent, of this amount is for projects outside the United States. Spending in 2012 is primarily focused on major development projects in Angola, Australia, Brazil, Canada, China, Kazakhstan, Nigeria, Russia, the United Kingdom and the U.S. Gulf of Mexico. Also included is funding for enhancing recovery and mitigating natural field declines for currently-producing assets, and for focused exploration and appraisal activities.

     Worldwide downstream spending in 2012 is estimated at $3.6 billion, with about $2.1 billion for projects in the United States. Major capital outlays include projects under construction at refineries in the United States and South Korea, expansion of additives production capacity in Singapore, and chemicals projects in the United States and Saudi Arabia.

     Investments in technology, power generation and other corporate businesses in 2012 are budgeted at $600 million.

     Noncontrolling interests The company had noncontrolling interests of $799 million and $730 million at December 31, 2011 and 2010, respectively. Distributions to noncontrolling interests totaled $71 million and $72 million in 2011 and 2010, respectively.

     Pension Obligations Information related to pension plan contributions is included on page FS-54 in Note 21 to the Consolidated Financial Statements under the heading “Cash Contributions and Benefit Payments.” Refer also to the discussion of pension accounting in “Critical Accounting Estimates and Assumptions,” beginning on page FS-16.

Financial Ratios

      Current Ratio – current assets divided by current liabilities, which indicates the company’s ability to repay its short-term liabilities with short-term assets. The current ratio in all periods was adversely affected by the fact that Chevron’s inventories are valued on a last-in, first-out basis. At year-end 2011, the book value of inventory was lower than replacement costs, based on average acquisition costs during the year, by approximately $9.0 billion.

      Interest Coverage Ratio – income before income tax expense, plus interest and debt expense and amortization of capitalized interest, less net