The big oil and natural-gas company said Thursday that its 75-year-old CEO will retire at the 2011 annual meeting, and will be succeeded by President Stephen I. Chazen. Mr. Irani will remain executive chairman until the end of 2014. The two executives also will get a “substantially lower” maximum payout under a new long-term compensation plan than they were eligible for in previous plans, according to the company…The CEO-designate isn’t worried about his lower potential pay. During an interview Wednesday, he said that he and Mr. Irani already own a lot of Occidental shares. “You don’t have to worry about either of us eating cat food at home because the comp is going down,” Mr. Chazen said. [WSJ]
Amidst News Of Lower Compensation, Occidental President-cum-CEO Addresses, Allays Our Fears
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- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
they’ll be homeless eating cat food on the sidewalk?
- buy who believes in rewarding performance
Steve Chazen is a no BS kinda guy…like Steve Wynn. Good for him.
Thank goodness big oil is still killing it- for the moment. But really, aren’t reserves and E&P really what matter here? (they do to me…)
Thank goodness big oil is still killing it- for the moment. But really, aren’t reserves and E&P really what matter here? (they do to me…)
Does he mean like that Meow Mix crap? What about high-end stuff like Science Diet?
the comp(any) is going down…doesnt that mean his share’s are worthless and will be eating cat food!?!?!
Fancy feast is good anytime.
Fancy feast is good anytime.
Fancy feast is good anytime.
comp(ensation)
comp(ensation)
Cat Food tastes like it smells. DELICIOUS!
I see what you did here, and I see how they missed it over there….
Oil yes, nat gas no. Oxy pretty much owns the Permian Basin, so they’re very oily and that’s very long life, easy-to-hedge production. They’re pretty much kicking back in L.A. collecting checks. Not a bad life being an Oxy exec.
And I pretty much fucked up that comment
What if I said you would get $300 for eating cat food?
What if I told you you could go home before midnight if you ate cat food?
What if I said you HAD to eat cat food?
Would eat cat food then?
Only pussies eat cat food.
-Capt. Obvious
Big News….Huge Bonobos on Gilt today begining at Noon EST. Stock up before its too late!
I’ll allow it.
Fancy Feast, plebeian.
-Hungry in LA
Catfood at home may be bad, but catfood at the office is the new killing it
-Wachovia Analyst
There’s some sort of weird chemical reaction that happens when you combine cat food, beer, and glue. It makes you feel like extemely sick and tired and you’re able to fall asleep.
What i don’t get about the shales is that all these people (Devon, Chesapeake, Sandridge, etc) are increasing activity and adding supply when demand (and price) is low and will remain low for at least the next three years (excluding temp spikes due to wild weather). I could see a utility be interested here to manage cost risk, but seriously, wtf?
The executives of the companies you mentioned don’t have degrees in astrophysics. ‘Nuff said.
Good point…
Leasehold retention. They all signed 3-yr leases in 2008/9 (rather than typical 5+ year) to keep the payouts lower, and now they’re in a drill-it-or-lose-it situation for lots of their acreage, so they have to drill at any price until they’ve got their land held by production. Also, some execs have as part of their compensation a personal royalty interest in each well the company drills
this i’m aware of, nonetheless, why would someone like Devon do this when to do so they gave up oil leases that were profitable? Maybe good like 5-8 years down the road, but seems like an awful position for the near term.
It is a terrible position to put yourself into, but in their defense in 2008 they were massively profitable and in 2009 the back of the curve made them still economic if you hedged.
That said, Devon’s decision makes zero sense. If you beleive in the “manufacturing model” of shale gas, then it means the business will be about high volume/low margins. Why on earth you would get out of GOM oil to put capital into a market like that is beyond me (dumb luck that they sold their GOM stuff before macondo). The smarter E&Ps have been shifting as much capital as possible to oily shales for a year and the dumber ones are late to the party and making up for it by talking louder
Lease HBP (which in the Haynesville/Marcellus cost $10,000 an acre) + hedges locked in two years ago + low risk blanket formations = drill, even for dry gas (though even the wet gas you’ll find in the SE EFS isn’t worth much anymore)
Chazen and Irani won't have to worry about eating cat food. With the help of a worthless, totally irresponsible and anything but independent board of directors they have managed to loot the assets of Occidental for decades now. Irani and Chazen fired hundreds of veteran employees at Occidental as they enjoyed record profits and embarrassed the company to the extent that the major institutional shareholders forced Irani out as CEO. Now, wait for the fallout as various SEC investigations of their Libyan operation leak out in the coming months.