Chesapeake remains one of the most over-levered stocks in its peer group, Large-Scale Asset Sales Appear To Be The Only Effective Solution To The Leverage Challenge.
8 replies (most recent on top)
Didn't we owe $15 Billion when AKM was forced out by Uncle Carl? Only 10 is a huge improvement over 5 1/2 years....
No answer except bankruptcy. Do not want it, but can anyone suggest another option? CHK is supposedly a $4 billion company. About 10 years ago we were a $40 billion company. Cannot pull $13 billion out of thin air. "Call BDO", like the commercial on television.
Should be. If Chesapeake could negotiate from a position of strength.
However when you have to divest to pay your bills the position of strength is in the purchasers court.
~Spankey
I thought the debt was so high because of the Barnett, wait no it’s the Marcellus southern, no wait it was the oilfield service group, or was it the midstream group. All these assets and more have been sold but there hasn’t been much gained in the way of debt reduction. Don’t get me wrong there has been some but the amount of divestitures that have taken place we should be out of debt.
Quote: “That’s a good question, if they sell everything what is left?”
Nothing!
And damn sure isn’t any severance for sure! But then, the severance will be gone long before that point. Who knows, it may be the next layoff when it’s announced that all’s anyone gets when being laid off is a pat on the a--.
It’s ok, it’s for the good of the company.
~Spankey
Debt. Selling everything wouldn’t cover the debt in today’s pricing environment. And yet we have senior management more worried about more sinnsdelaney and unfreezing sessions? WTH?
That’s a good question if they sell everything what is left?
Sell, sell it all. Once that’s done there’ll still be debt owed.
~Spankey