Friday, October 10

Follow Up

Before I dive into this story, let me make this point perfectly clear: I am not digging into Chesapeake Energy's misfortunes because I want the Oklahoma City Thunder to fail. As far as I (and I think Raf and Paul would agree with me) am concerned, the Thunder belongs to the people of OKC now, at least as much as any pro team belongs to any city.

I'm not interested in ragging on Oklahoma, or talking about how much more sophisticated Seattle is, or any of that nonsense. I'm putting these stories up solely because McClendon, Bennett, Tom Ward, and David Stern disgust me, and if I can poke some small holes in their swollen egos, then so much the better.

On with the story. Today's WSJ has a, well "scathing" would be putting it too strongly, so how about negative story about Chesapeake Energy, including this stirring quote from writer Ben Casselman:

"But [the land Chesapeake owns] is only valuable if companies have the money to drill it -- and a growing number of analysts are skeptical that Chesapeake and some of its peers will be able to find enough money to drill all the land before the leases expire."

Perhaps the Journal's story had a little bit to do with CHK's stock falling by more than 5 points by mid-day on Friday, a one-day drop of nearly 30%, putting it at $12.35 from a high of $70.

3 comments:

anonymous #12 said...

I'm just hoping this will hurt Aubrey's advertising budget to the point it'll take his ugly mug off the tube. Anyime I see one of his commercials, it's like a punch to the gut, kick in nads, gouge to the eyes...

jason f said...

yeah those commericals make me want to puke.

Allan's View said...

CNBC is reporting that Aubrey was forced to sell all of his shares in Chesapeake to meet margin calls.