Wal-Mart 'largest US firm' again

Wal-Mart is the largest private sector employer in the US

Wal-Mart has overtaken ExxonMobil as the largest company in the US in terms of annual sales, according to business magazine Fortune.

The retailer recorded sales of $351.1bn (£176.5bn) last year, moving it once more ahead of the oil giant whose sales came in at $347.3bn in 2006.

But ExxonMobil remains by far the more profitable business, with income of $39.5bn compared to Wal-Mart's $11.3bn.

Wal-Mart has more than 3,900 outlets across the US.

'Economic calm'

It also has significant operations abroad, most notably in Europe - where it owns Asda - Latin America and China.

The Fortune 500 List of the largest US firms is based on revenues, rather than profits or stock market value.

ExxonMobil supplanted Wal-Mart in 2005, the retailer having topped the rankings in each of the previous three years.

Despite making massive losses last year, GM remains the third largest US business by sales, wracking up revenues of $207.3bn in 2006.

The other firms to feature in the top 10 are Chevron, ConocoPhillips, General Electric, Ford, Citigroup, Bank of America and insurer AIG.

Fortune said profits at the largest US businesses were higher now than at any time in the past 50 years.

"These happy numbers are largely due to a sort of harmonious convergence, a perfect economic calm," it noted.