I have a good friend who owns a pawn shop. He tells me how sad it is to see laid off oilfield workers bringing their possessions in for pawn or sale for a fraction of their real value. These folks are doing this to place food on the table for their family. Now let's apply this to what is happening on the Watson crazy train. Valuable assets being brought to the pawn shop and being sold at fire sale prices. Sadly, the publicly proclaimed Number One Priority is to pay a dividend. Is this insanity or what? By the time the stockholders find out the truth it will be too late. To all the poor folks laid off and pawning and selling to take care of your families, something better will come along if you have faith. Find a company with true family values. To the baffoons that have run the company I once loved into the ground....you are going to run out of things to sell soon, and you will be left with a few (turd) assets that are undevelopable coupled with a group of employees that have seen the real colors of your character and candor of your leadership. Chevron will not come out of this a stronger, better company....no way no how. "Our most valuable resource is our people, Human Energy, We Lead, etc." We know where your real interests lie, and it darn sure isn't with your employees.
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maybe you can comment on your own BU. I can only speak for mine
I did not know GOMBU was the only BU to work on holidays.
GOMBU Where we should invest not sell for penny's on the dollar on this downturn.GOMBU paid for all the Deep Water Projects and all the dead beat leadership sitting in the offices. Now the GOMBU is being run into the ground, ignored, and for sale. With some change we can save this company and our jobs. Cut the leadership salaries and use that money to work over wells so we can pay for these bad decisions that were made by our leadership. GOMBU has a lot of good men and women who work hard every day for this company. We also are at work during holidays and miss many family events while the leadership lives like FAT Hogs! But yet we (GOMBU) have a target on our back for layoffs and sales. The leadership should be runoff for putting this company in the shape that we are in now! Not to mention not keeping our employees informed to what is really going on. The leadership may laugh at this posting, but the day is coming you will have to and explain your actions!
Does anyone not see that JW just doubled down on CVX at the Wall Street blackjack table. Not only are we telling the market that we will pay out our dividend - but we'll also sell $10 billion of the things we own. Remember how we promised Wall Street 3 million barrels a day by 2017? That promise has been unfulfilled, yet JW is not called out on it by the street. Employees also have forgotten this promise that we worked for.
$27 BILLION in debt people.
$27 BILLION in debt.
What's the plan to get back down to $14 Billion?
@seh-- yea I saw what ya did there.
And you are right.
Lol at....sorta like Exxon does in the oil buisness. Have you seen there site? A few posts. They are to busy working.
@seh, please elaborate on the asset sale that "fell through". I'm no longer with Chevron since early 2015 and would like to keep current. Thanks.
Before we run out of assets to sell, we have to sell the ones we have. One deal we thought is in the bag and "on the shelf" has fallen through. Dont believe we have heard about that one in the press.
Jtv hit it spot on. We spend way, way, way too much on on safety, diversity, process, We Lead ( where the eff did that get us?) , The Chevron Way, tenets of op, and the list goes on and on. Focus on the core business - if that is tomatoes, then grow the best damn tomatoes you can, build a business responsive culture focussed on the bottom line (not your PMP-tied bonus), account forvthe reality of both good and bad growing seasons, market the heck out of those tomatoes and maximize profit. Exxon is not dead in the water now, because they focused on making a profit at the lower end of the price point range. They didnt forget what happens inevitably when a producer owns 10% or more of the marketplace (Saudi's). We pretended like that would never happen. Remember JW's statement alluding to his BELIEF that $100 oil was here to stay. That statement sent shivers up my back when it was uttered by our leader, the so-called finance guy. We screwed ourselves and the sob's in charge will walk away with millions. Oh and dont forget the largest MCP debacle in the history of the world: Gorgon.
Lol at buisness acumen then give a lame ass tomato example. Did you get that example at Wharton. Well if I ran a buisness I would have appropriate staffing. I would not have 21 safety people sending emails and talking about processes. I would not have 19 SCM to buy seeds, shovels and fertilizer. I would not have 12 project managers that never planted a tomato plant or 17 FE's to ensure the stakes are of adequate construction. So when the tomato market turned I would sell tomato juice and actually come through on the project....sorta like Exxon does in the oil buisness.
Obviously no business acumen. Now lets turn the tables. You run a business selling tomatoes. Suddenly there are more tomatoes than customers. You are selling at a loss. You have a staff of 100. You have 10 investors that invested in your company. They are demanding a quarterly payment or they are out.
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Do you respond by reducing your costs even if it means reducing your staff?
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Do you try to keep your investors from pulling out and investing in bananas by paying out a dividend on their investment?
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Do you sell assests that have lower returns than others to gain cash reserves?
A company is not created to satisfy employees wishes. Employees that perform well is not the issue. At the end of the day...its whole purpose is to maximise profit within the constaints of the law. Share those profits with its investors.
I suggest you leave being employed and try on your own. You will see very quickly how it all works. Peace
The sad thing is there are thousands of disgruntled workers at ConocoPhillips and other companies sayin the same thing. When an upturn comes everyone will just change teams and the cycle starts over.
Most if not all of us knew how broke this place was and still is and we stayed. I kept thinking, it can't stay this way. When the market turns I would imagine most employees look elsewhere. Chevron will leverage now even with asset sales. They will borrow billions. They are expecting a lower rating which will make it that more expensive.
Very good write up.