Tennessee Gov. Bill HaslamFalling gasoline prices are putting more money in the pockets of most Americans, but few are benefiting more than Tennessee Gov. Bill Haslam who Forbes magazine says is now the richest politician in America.
As oil prices have fallen in the past year, Forbes estimates that Gov. Haslam's personal wealth more than doubled since August, from $980 million to an estimated $2 billion.
Haslam's father, Jim Haslam II, started Pilot Oil Co. in 1958 and, under the leadership of Bill Haslam's brother, Jimmy, the company, now known as Pilot Flying J, has grown annual revenues to $38 billion. Forbes said Bill Haslam owns 15 percent of his family's privately-held business.
"Cheap unleaded means more people filling up and a greater chance for gas stations and truck stops to profit off fuel, plus ancillary goods and services," Forbes said in a web post today by writer Dan Alexander.
Pilot Flying J's trailing 12-month operating income has grown from $1.1 billion in August to $1.4 billion, according to the company
"In a declining fuel market, these operators do much better," John R. Lawrence, managing director at investment bank Stephens, told Forbes.
Haslam's ties to Pilot Flying J drew scrutiny two years ago when the FBI launched a fraud investigation into claims that the company cheated some trucking companies out of promised rebates.
Last July, the company settled complaints with many of its customers, admitting it had shortchanged trucking firms on gasoline rebates and agreeing to pay $92 million in fines.
Bill Haslam, who was sworn into office Saturday for his second term, wasn't involved in Pilot Oil at the time. Jimmy Haslam, who also owns the Cleveland Browns, said he didn't know about the disputed contracts made by Pilot managers.