If 40% or higher across the company are not gone by the end of 2017 there will be another round next year. From past experiences I can play I dare you to our management and know I will win. So I guess they will choose 10% cut every year until 2021 and call it shrink to grow sustainable plan. Of course you grow a little bit because compensations money out will decrease by 10%. Oh wait executive compensation will make it break even so we will also sale 10% of assets every year until 2021 to cover for executive pay (increase) and dividend. Sounds like a great economic growth plan.
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-1mgm....COP traded as an "independent" E&P company on May 1, 2012 w/ essentially the same ELT & BOD in-place. The following is a summary of stock price comparison for the premier shale independents (Pioneer, EOG & Concho) on May 1, 2012 (05.01.12) & July 20, 2017 (07.20.17). Also included are the premier US integrated major E&P companies (Chevron & ExxonMobil). COP has noticeably under-performed in the same oil price environment suggesting the problem is w/ management.
Pioneer(PXD): $126.13/s (05.01.12) INCREASED to $163.28/s (07.20.17)
EOG: $55.62/s (05.01.12) INCREASED to $93.66/s (07.20.17)
Concho(CXO): $107.10/s (05.01.12) INCREASED to $126.47/s (07.20.17)
COP: $56.51/s (05.01.12) DECREASED to $43.21/s (07.20.17)
Chevron(CVX): $108.27/s (05.01.12) Decreased to $104.63/s (07.20.17)
ExxonMobil(XOM): $87.04/s (05.01.12 Decreased to $80.86/s (07.20.17)
Dividend:
Chevron(CVX): $3.24/s (05.01.12) INCREASED to $4.32/s (07.20.17)
ExxonMobil(XOM): $2.24/s (05.01.12) INCREASED to $3.08 (07.20.17)
ConocoPhillips(COP): $2.64/s (05.01.12) DECREASED to $1.06/s (07.20.17)
I guess if you want to mislead people and are b-t hurt you don't mention that the price of oil was $75/bbl in 2012 and has been selling from $33 to $47 per barrel since 2015.
COP traded as an "independent" on May 1, 2012 w/ essentially the same ELT and BoD in-place. Share price was $58/s w/ an annual dividend of $2.64/s. Today, July 20, 2017, share price has DECREASED to $44/s and the annual dividend SLASHED to $1.06/s. The workforce has DECREASED from 16,300 to a current 13,300. Since that time, there have been layoffs in: April 2014, October 2014, October 2015 and September 2016. If history is any guide, there will be layoffs in 2017 and beyond.
Potential investors and current shareholders, as well as current employees and prospective employees, need to hear where COP is heading. Only news items are about asset sales, layoffs and what we are going to do. Again, if post-May 1, 2012 history is any guide, the future of COP, w/ current ELT and BoD in-place, is sketchy for the current shareholders and employees.
Management is under a lot of stress.
I hope they can do the right thing and line as many of their pockets with shareholder silver as feasible. Good luck boss and keep on striving to be the psychopath you always wanted to be.
You may be right but investors will not tolerate any BS workforce reduction tactics. Stock price will tank and Ryan will sh*t a brick. Your dare is taken.
We already knew these layoffs were coming and have been told that there will be restructuring layoffs this year and centralization layoffs when we withdraw from Bartlesville and move out of the old Conoco campus into EC4
Tactic preserves executive compensation and useless Surmont managers
Sadly this 200% true.