PRICING SUPPLEMENT NO. 8 Filed under Rule 424(b)(3)
To Prospectus Dated April 20, 1990 and File Number 33-34133-01
Prospectus Supplement Dated February 17, 1994
MOBIL OIL CORPORATION
EMPLOYEE STOCK OWNERSHIP PLAN TRUST
MEDIUM-TERM NOTES
GUARANTEED BY MOBIL CORPORATION
Due More Than Nine Months From the Date of Issue
FACE AMOUNT: $40,000,000 CUSIP: 60708 Q AH4
FORM: Book Entry
ORIGINAL ISSUE INITIAL REDEMPTION INTEREST RATE:
DATE: 09/02/97 DATE: N/A 6.375%
INTEREST ACCRUAL INITIAL REDEMPTION ORIGINAL MATURITY
DATE: 09/02/97 PERCENTAGE: N/A DATE: 08/31/2001
APPLICABILITY OF OPTIONAL REPAYMENT TOTAL AMOUNT
MODIFIED PAYMENT DATES: N/A OF OID: N/A
UPON ACCELERATION: N/A
APPLICABILITY ANNUAL REDEMPTION ORIGINAL
OF ANNUAL INTEREST PERCENTAGE: N/A YIELD TO
PAYMENTS: N/A MATURITY: N/A
INTEREST SPECIFIED INITIAL
PAYMENT CURRENCY: ACCRUAL
DATES: U.S. dollars PERIOD OID: N/A
The last day of
February and August
each year beginning
with 03/02/98
AGENT: SBC WARBURG INC.
AGENT'S DISCOUNT AND
COMMISSIONS: 0.197%
NET PROCEEDS TO ISSUER: 99.803%
The Date of this Pricing Supplement is August 27, 1997
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DESCRIPTION OF THE OFFERED NOTES
General
The following description of the terms of the Notes offered by this
Pricing Supplement (the "Offered Notes") supplements, and to the extent
inconsistent therewith replaces, the description of the general terms and
provisions of the Medium-Term Notes set forth in the accompanying
Prospectus Supplement and of the Debt Securities set forth in the
accompanying Prospectus, to which descriptions reference is hereby made.
Capitalized terms not otherwise defined herein which are defined in the
Prospectus Supplement have the meanings set forth therein.
Interest
The Offered Notes are Fixed Rate Notes. Interest at 6.375% per annum
is payable semiannually on the last day of each February and August
beginning with March 2, 1998.
Payment of Principal and Interest
If any Interest Payment Date, the Original Maturity Date or any date
fixed for redemption at the option of the Issuer falls on a day that is not a
Business Day, any principal or interest that would otherwise be payable on
such date shall be paid on the next succeeding Business Day, and no interest
shall accrue for the intervening period. For these purposes, "Business Day"
shall mean any day, other than a Saturday or a Sunday, that is neither a legal
holiday nor a day on which banking institutions are authorized or required
by law or regulation to close in the City of New York or Chicago.
Redemption at the Option of the Issuer
The Offered Notes are redeemable in whole or in part, at the option
of the Issuer at any time, for an amount equal to the accrued interest to the
date of redemption ( Optional Redemption Date ) plus the greater of (i) 100%
of the principal amount being redeemed or (ii) the sum of the present values
of the remaining scheduled payments of principal and interest thereon
discounted to the Optional Redemption Date on a semiannual basis
(assuming a 360-day year consisting of twelve 30-day months) at the Treasury
Yield plus 10 basis points, minus accrued interest (other than accrued
interest in default) to the Optional Redemption Date.
Treasury Yield means, with respect to any Optional Redemption
Date, the rate per annum equal to the semiannual equivalent yield to
maturity of the Comparable Treasury Issue, assuming a price for the
Comparable Treasury Issue (expressed as a percentage of its principal
amount) equal to the Comparable Treasury Price for such redemption date.
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Comparable Treasury Issue means the United States Treasury
security selected and designated to the Issuer in writing by an Independent
Investment Banker as having a maturity comparable to the remaining term
of the Notes that would be utilized, at the time of selection and in
accordance with customary financial practice, in pricing new issues of
corporate debt securities of comparable maturity to the remaining term of
this Note. Independent Investment Banker means one of the Reference
Treasury Dealers (or, if no such firm is willing and able to select the
Comparable Treasury Issue, an independent investment banking institution
of national standing) appointed by the Indenture Trustee after consultation
with the Issuer.
Comparable Treasury Price means, with respect to any Optional
Redemption Date: (i) the average of the bid and asked prices for the
Comparable Treasury Issue (expressed in each case as a percentage of its
principal amount) on the third business day preceding such Optional
Redemption Date, as set forth in the daily statistical release (or any successor
release) published by the Federal Reserve Bank of New York and designated
Composite 3:30 p.m. Quotations for U.S. Government Securities or (ii) if
such release (or any successor release) is not published or does not contain
such prices on such business day, (A) the average of the Reference Treasury
Dealer Quotations for such Optional Redemption Date, after excluding the
highest and lowest such Reference Treasury Dealer Quotations, or (B) if the
Indenture Trustee obtains fewer than four Reference Treasury Dealer
Quotations, the average of all such Quotations. Reference Treasury Dealer
Quotations means, with respect to each Reference Treasury Dealer and any
Optional Redemption Date, the average, as determined by the Indenture
Trustee, of the bid and asked prices for the Comparable Treasury Issue
(expressed in each case as a percentage of its principal amount) quoted in
writing to the Indenture Trustee by such Reference Treasury Dealer at 5:00
p.m. on the third business day preceding such Optional Redemption Date.
Reference Treasury Dealer means each of Morgan Stanley & Co.
Incorporated, Goldman, Sachs & Company, J.P. Morgan Securities,
Incorporated and another Primary Treasury Dealer (as defined herein) at the
option of the Issuer, provided, however, that if any of the foregoing shall
cease to be a primary U.S. Government securities dealer in New York City (a
Primary Treasury Dealer ), the Issuer shall substitute therefor another
Primary Treasury Dealer.
Holders of Notes to be redeemed will receive notice thereof by first-
class mail at least 30 and not more than 60 days prior to the date fixed for
redemption.
If less than all the Notes are to be redeemed, the Trustee will select
Notes for redemption pro rata or by lot or by such other method as the
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Indenture Trustee shall deem fair and appropriate. If any Note is to be
redeemed in part only, a new Note or Notes in principal amount equal to the
unredeemed principal portion thereof will be issued.
Cost of Commissions
Pursuant to agreements between the Issuer, Mobil Oil Corporation and
Mobil Corporation, the cost of commissions ultimately is to be borne by
Mobil Corporation, and the Issuer effectively will receive net proceeds of
100%.
