This guy was bad for the company in that he did not support international BD. Seems like he wanted to get back at Irani. Yes, for those opposed to this post we can comment about dead people and be OK with it.
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Clearly, Chazen was a d-mbf***, and after making millions many hope he is rotting in He-l. Promoting and annoiting VH as our Dear Leader was weak and stupid. Oxy has paid the price for his mistake, and is only afloat because of the UAE and Buffet.
Perhaps a “really not remarkable CEO” like Vicki, but when Chazen left the stock price was ~ $75 and the dividend was $ 3.00 (4%).
A lot of people would take that over today's numbers.
And, even if “he would have sold Oxy,” it would have been at a premium.
Cash.
Not promises of "value" at an unspecified future date.
He was a good CFO, really not remarkable CEO. He would have sold Oxy.
@muez+1qshsl9c, I don’t know who told you about 10% layoffs under SC, but they were just jerking your chain. That never happened. (It’s a nice story though)
Chazen started the notion of laying off 10% every year. He called it getting rid of the "rot". I was glad to see him go but moving VH into the top spot was/is a failure. There were other choices that were better a fit.
Let's all raise a glass to “Vicki's Vision” as she laid it out:
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Reuters 24 April 2019
Occidental Petroleum Corp on Wednesday started the first takeover battle for a major oil company in years, offering $38 billion for Anadarko Petroleum Corp, a bid that topped a $33 billion offer by Chevron Corp.
"We are very confident. Our proposal is so strong, it's definitely superior, and we now know the value which we can communicate to shareholders," Vicki Hollub, Occidental's chief executive officer, said in an interview. She said the deal would boost cash flow and allow Occidental to raise its dividend over time.
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Didn't exactly play out according to Hoyle.
Almost five years down the road and there is no share price appreciation, the dividend was cut - taken to a (near zero) token and resurrected to 20% of pre-Vicki vision.
OP can slam Steve Chazen for lack of vision.
But, Chazen had financial discipline and did what was in the best interest of the Company – you know, increasing shareholder value
The Vicki apologists can invoke the "you'll see" and "more time to play out" clauses, without saying how much more time.
That way, they may be right . . . eventually.
Or not.
I can’t think of one APC employee who got laid off after the acquisition. I just didn’t happen.
@hnsb+1qshsl9c, I’m pretty sure many people were laid off after Oxy bought Anadarko, weren’t they?
“Not the best times to be out there looking for O&G jobs.” Many APC employees got laid off after Oxy acquired them. I guess it’s ok to think long term as long as it means we lay off “those” employees. Or are you only against M&A when your a$$ is on the line? Who ultimately does the BOD answer to anyway? Sometimes being acquired is thinking long term. (Just not about you).
“Without Vicki's vision, OXY would have a stellar balance sheet and be paying a $4.00 dividend which would command a stock price $30+ higher than where it is now.” You know Oxy needed inventory for unconventionals. Oxy would have been bought by somebody and many people would have been laid off. Vicky is thinking long term. Not the best times to be out there looking for O&G jobs.
What is wrong with being acquired? Stock holders can come out ahead. Employees maybe or maybe not.
So do considerable damage to the company stock or be acquired? That was the choice? Maybe being acquired would have been better.
Sounds like hindsight to me.
With out Vickie OXY would have been gobbled up by either Chevron or Exxon Mobil. Prior to Anadarko they were licking their chops.
So base your salary on what you say you are going to do, not what you did. Interesting concept, but I’m not sure your boss will go (fall) for it. Give it a try in April and let us know how it goes.
And maybe performance reviews should be based on vision instead this “hindsight” nonsense.
Just think of all the electrons that would be saved.
No one can predict the future. That’s a given. Every poster is basing his or her comments on hindsight since that is basically all we have. Stating your opinion based on what has occurred (hindsight) is not a waste of electrons. That’s kinda why this site exists. I guess from now on we should all just shut up about what has occurred in the past and simply start predicting the future, which of course we can’t do. That doesn’t leave much to talk about.
I guess you're a billionaire now since you were able to foresee the future and the impact of the Anadarko acquisition. This allowed you to do you "shorts" and "longs" to take advantage of the sale. You are able to predict the future, right?
If not, your hindsight and other assumptions are a waste of the electrons used to post your comment.
If lacking "big vision as a CEO" means Chazen wouldn't have even considered the Anadarko debacle, then you're spot on.
Without Vicki's vision, OXY would have a stellar balance sheet and be paying a $4.00 dividend which would command a stock price $30+ higher than where it is now.
SC good CFO, lacked big vision as a CEO
OP, found anything good to eat in the garbage lately?
OP, you are a first class tu-d.
The way it is going oil and gas will be moving more to international to stay in business. Four more years of what we have now will ruin the domestic oil and gas business.