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Jun 14, 2012

Allen Stanford sentenced to 110 years in prison

HOUSTON (Reuters) – Allen Stanford, the former Texas billionaire convicted of an $7 billion Ponzi scheme, was sentenced to 110 years in prison by a U.S. federal judge on Thursday.

Stanford, who was convicted of 13 felony counts of fraud and conspiracy and obstruction by a Houston jury in March, used fraudulent certificates of deposit issued by his offshore bank in Antigua to bilk thousands of investors out of their savings.

Jun 12, 2012

Chesapeake CEO losing a title, but keeping powers

HOUSTON (Reuters) – Chesapeake Energy Corp’s (CHK.N: Quote, Profile, Research, Stock Buzz) board of directors, despite being taken to task by investors for lax oversight of Chief Executive Aubrey McClendon, has changed the company’s bylaws to allow the executive to keep powers he had as chairman.

McClendon, who co-founded Chesapeake, will lose his title as chairman by June 22 after the board and the company’s biggest shareholders approve an independent chairman to replace him. That action was taken after Reuters reported that McClendon arranged for more than $1 billion in financing using his stake in thousands of company wells as collateral.

Jun 8, 2012

Chesapeake shareholders rebuke board, seek changes

OKLAHOMA CITY, June 8 (Reuters) – Chesapeake Energy Corp
shareholders delivered a sweeping rebuke of the company’s board on Friday,
withholding support for two members up for reelection in the wake of a
governance crisis and poor financial performance at the U.S. oil and gas
company.

The company said the two directors — V. Burns Hargis, the president of
Oklahoma State University, and Richard Davidson, a former chief executive
officer of Union Pacific Corp — had tendered their resignations from
the board after winning the backing of just slightly more than a quarter of the
shareholder votes cast.

Jun 7, 2012

Fireworks expected at Chesapeake annual meeting

By Anna Driver and Matt Daily

(Reuters) – Chesapeake Energy Corp’s (CHK.N: Quote, Profile, Research, Stock Buzz) annual meeting promises to be raucous, with a vote on executive compensation in the spotlight, but the company’s biggest challenge will be convincing investors it is still a good investment despite the turmoil.

At the insistence of the company’s two largest shareholders, activist Carl Icahn and Mason Hawkins’ Southeastern Asset Management, Chesapeake said on Monday that four directors will resign and be replaced by shareholder representatives. Paul Hodgson, senior research associate at governance firm GMI Ratings expects they will include Richard Davidson and Burns Hargis, two Chesapeake directors up for reelection at Friday’s meeting.

Jun 4, 2012

Chesapeake shakes up board under pressure

By Anna Driver and Brian Grow

(Reuters) – Top shareholders of Chesapeake Energy Corp (CHK.N: Quote, Profile, Research) on Monday grabbed more control of the nine-member board of directors after a governance crisis and poor financial performance brought intense pressure to reform the natural gas producer.

Chesapeake said it would replace four directors on the nine-member board. Mason Hawkins’s South-eastern Asset Management will get three seats and billionaire Carl Icahn will get one. The selection of a new independent chairman must be approved by the new board members.

Jun 4, 2012

Chesapeake investors to take over board

June 4 (Reuters) – Top shareholders of Chesapeake Energy
Corp will take control of the board of directors after
the natural gas producer came under intense pressure to reform
following a governance crisis and poor financial performance.

Chesapeake said on Monday it would replace four directors on
the nine-member board, giving Mason Hawkins’s Southeastern Asset
Management three seats and billionaire Carl Icahn one.

May 29, 2012

NY pension fund urges no vote on Chesapeake directors

HOUSTON/NEW YORK (Reuters) – The head of New York’s state pension fund urged shareholders of Chesapeake Energy Corp (CHK.N: Quote, Profile, Research, Stock Buzz) to withhold votes to re-elect two members of the natural gas producer’s board.

Chesapeake’s board is under increasing fire from investors who want to see tougher oversight of Chief Executive Officer Aubrey McClendon. The company, in the midst of governance crisis, is also struggling financially as low natural gas prices take a toll.

May 24, 2012

Chesapeake selling 504,000 DJ acres, production

HOUSTON/NEW YORK May 24 (Reuters) – Chesapeake Energy Corp
has put 504,000 acres in the DJ Basin in Wyoming and
Colorado up for sale, as the U.S. energy company scrambles to
raise cash to close a $9 billion to $10 billion funding
shortfall.

Chesapeake, who earlier this month arranged a pricey $4
billion loan from its investment bankers to tide it over, has
said it will sell as much as $11 billion in assets this year.

May 18, 2012

Under pressure, Chesapeake cuts director pay

By Anna Driver

(Reuters) – Chesapeake Energy Corp (CHK.N: Quote, Profile, Research, Stock Buzz), under growing pressure from shareholders to improve corporate governance, reduced the compensation for its outside directors by 20 percent and eliminated their use of its aircraft for personal travel, the company said on Friday.

Chesapeake and its board have come under fire in recent weeks after Reuters reported, among other things, that Chesapeake CEO Aubrey McClendon had taken out more than $1 billion in previously undisclosed loans using his interest in company wells.

May 15, 2012

Chesapeake shares fall on downgrade, loan

By Anna Driver and Matt Daily

(Reuters) – Chesapeake Energy Corp shares dropped as much as 6.5 percent on Tuesday following a credit rating downgrade and news that the natural gas producer will boost its borrowings to $4 billion from the planned $3 billion as it faces a liquidity crunch.

The company, facing a funding shortfall of $9 billion to $10 billion this year, said on Friday that Goldman Sachs and Jefferies Group would provide it with $3 billion.

    • About Anna

      "I currently cover large U.S. oil and gas companies including Exxon Mobil and ConocoPhillips as part of the equities desk's Raw Materials Team. I am based in Houston, Texas."
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