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Chesapeake (CHK) announces an agreement with its two largest shareholders, Southeastern Asset...

Chesapeake (CHK) announces an agreement with its two largest shareholders, Southeastern Asset Management and Carl Icahn, to reconstitute its Board of Directors by replacing four directors with three new directors selected by Southeastern and one by Icahn. Aubrey McClendon remains CEO. CHK +2.7% premarket.
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Comments (15)
  • rjj1960
    , contributor
    Comments (1373) | Send Message
    Big Deal, Icahn now showing his age. Aubrey, the main problem for the company remains at CEO, what a joke.
    4 Jun 2012, 08:53 AM Reply Like
  • abudigt
    , contributor
    Comments (27) | Send Message
    A journey of a thousand miles begins with a single step.
    4 Jun 2012, 09:05 AM Reply Like
  • kwm3
    , contributor
    Comments (2443) | Send Message
    It's tougher to replace a CEO when he's also the founder. The board becomes embedded with close friends who keep him there. And public companies are run for them, rarely the shareholders--why do you think you see ridiculous/outsized compensation packages? Aubrey's compensation this year should be halved, since his actions halved the company's value.
    4 Jun 2012, 09:19 AM Reply Like
  • mrouse
    , contributor
    Comments (4) | Send Message
    It sounds like a good step in the right direction.
    I'm down over 50% on the stock.
    I'm happy for any thing that helps.
    4 Jun 2012, 08:58 AM Reply Like
  • Assetmgrsc
    , contributor
    Comments (23) | Send Message
    I agree, this is an important first step in a long journey of recovery. How successful the journey is depends upon the new directors influence on company direction. The next six months will tell the tale.
    4 Jun 2012, 09:03 AM Reply Like
  • bushwacker1
    , contributor
    Comments (15) | Send Message
    This is the prelude to Aubrey's departure. Give it time.
    4 Jun 2012, 09:05 AM Reply Like
  • gem-exp
    , contributor
    Comments (11) | Send Message
    Aubrey McLendon made Chk. His overwhelming success in discovering and developing shale Gas wound up temporarily hurting the co. in creating an over supply.


    The reserves they own are massive beyond non geologic people persons comprehension.
    Just the Haynesville shale has over 250 trillion cubic feet of producible gas.


    He has taken this company on a path,very early, to move to have 60% oil which is kicking in now. They just made a 5000 bbl per day well. He has acquired massive oil reserves in the utica and eagle ford shales as well in normal fields.


    Oil and gas will provide the bulk of energy, plastics, medicines, fabrics, lubricants and fertilizers for the planet for the next hundred or more years. McLendon has positioned Chk to profit massively as we incorporate CNG and LNG into our energy grid. Oil will have big impact on the bottom line. Other companies realize this and are and will continue to partner with chk. I will sell only if they remove McLendon. G Merrill geologist
    4 Jun 2012, 09:36 AM Reply Like
  • cccrazie
    , contributor
    Comments (39) | Send Message
    This is a huge step. It may be a good think that Aubrey is still there. The guy is a snake oil salesman and at a time where CHK needs to sell assets, that may be a good thing. No matter how much I have disagreed with some of his moves, I still can't help but caught up in his schtick when he talks about CHK and NG. He just needs a tight leash (or a cattle prod) to keep him in line.
    4 Jun 2012, 09:44 AM Reply Like
    , contributor
    Comments (57) | Send Message
    Talked with a geoligist this weekend who has worked for CHK as well as SD. He believes the assets CHK is putting up for sale are fully worth what Aubrey says they are worth and that eventually CHK will be able to sell these assets at a fair market price, sooner rather than later. He thinks within the next 90-120 days.


    I agree the compensation packages for Sr. Mgt & the board need significant modifications---but I think Ichan and Southwestern mgt will take care of this problem quickly.


    Finally, I'm curious if these great energy companies that we have are not going to do the same thing to the price of oil that they have done to the price of NG in this country. All of the discoverys they have made and are making can make us 100% energy independent within 10 years and even sooner by about 5 years, if the country finishes the deal for the Keystone XL pipeline. For now--I'm staying with Aubery---I think eventually he will make us alot of $.
    4 Jun 2012, 01:18 PM Reply Like
  • wrynot
    , contributor
    Comments (323) | Send Message
    "Reuters 13:05: In bold stroke, new board votes unaminously to ask market to double current market price for natural gas" ;-D ...OK, I'm kidding...but unless the board can do that, or Icahn wants to fund these guys until the price for their product turns around, the clock is ticking.
    4 Jun 2012, 01:31 PM Reply Like
  • westelk
    , contributor
    Comments (380) | Send Message
    A start, not an end, to correcting some of the issues in corporate governance. Since I have yet to see which of the directors are falling on the knife, how do you know AM has lost control of the board? If he hasn't, very little will change. If he has, AM is probably history.


    The pressing issues of the cash shortfalls for 2012 and 2013 are still on the table. It appears oil is now following NG into the bottom which might mean AM's desperation to switch to oil might not save the company.
    4 Jun 2012, 01:35 PM Reply Like
  • Phil in OKC
    , contributor
    Comments (142) | Send Message
    Does anyone know the names of the directors who got the ax?
    4 Jun 2012, 02:41 PM Reply Like
  • Harry Johnson
    , contributor
    Comments (483) | Send Message
    A bandaid on a severed artery
    4 Jun 2012, 02:47 PM Reply Like
  • babybull
    , contributor
    Comments (13) | Send Message
    Who were the four replaced ??
    4 Jun 2012, 03:34 PM Reply Like
  • abudigt
    , contributor
    Comments (27) | Send Message
    Chesapeake just put additional package sale of 337,481 net acres UTICA SHALE / POINT PLEASANT FORMATION. sale expect to close August 2012.
    4 Jun 2012, 03:46 PM Reply Like
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