Thread regarding EQT GP Holdings LP layoffs


reposting for new thread..

Is anybody buying the Rice brothers b—s—? Rice is gutting EQT, for a purpose. He ran a little operation with easy access to production reserves, and low operations costs. When Rice Energy expanded he could not manage the costs, and low gas pricing and had to sell to EQT to stay alive in marcellous. EQT wanted to expand and made 2 mistakes! Overpaying by a factor of 15 for marginal gas fields, and not verifying strata structure or reserves. EQT always had good wells but in hard to produce locations, so production operating costs are higher. Rice used the higher production costs coupled with his supposed expertise to flim flam the stockholders. Rice has a 2 year non compete agreement, a ton of money from the sale to EQT, and a year to make good before the shareholders lynch him. Laying off workers and cancelling capex projects decreases expenses and releases operational funds. This is short term savings folks. To be competetive you need capex infrastructure and expansion to get the gas out of the ground and distributed to make money. Couple those issues with low gas prices, industry consolidation, and poor maintenance and expansion and you are doomed to fail. Rice is like Trump, cultivated media bad boy fighting for the good with his extensive industry knowledge and experience. None of it is true. I worked for EQT and Rice and they both are arrogant, ambitious, closed minded, clicqish, and vindictive places to work. Everything you read about EQT applies to Rice energy as well. Both companies have a lot of issues. Here is what will happen. Rice will force a sell off of ETRN and other assets. He and his brothers will reconstitute Rice Energy after decimating EQT. They will have another round of layoffs at the end of the year probably another 200. There will be dustup with the board and shareholders with Rice resigning because of no support. Rice will go on to the new RE company, and EQT will be acquired, probably by Chevron or another big player. Rice is playing for time, and using Trumpian accounting. The numbers do not add up! Firing 196 people will never give you 50 million in operational savings. Canceling upgrades and expansion, and transmission projects will not get the gas out of the ground and money in your pocket. Cancelling gas and well leases, allows rice to snap them up when his non compete contract ends. This will end badly! This is an honest observation and prediction from someone with personal experience with the companies and parties involved, I know the issues,problems, and personalities. This will probably happen, I predicted the Rice takeover, layoffs, hiring of old Rice cronies, and curtailing of projects last year when EQT split.

a day ago by Oracle | 3 reactions (+2/-1)
Post ID: @10YuILmB-2azz

| 2439 views | | 3 replies (last )
Post ID: @OP+111JLC1c

3 replies (most recent on top)

Not interesting...nobody is trying to get gas out of the ground right now...not at these prices...EQT is bloated, slow, and needs a physical trainer, a good diet, and maybe a few weeks at a silent meditation retreat.

Post ID: @4htc+111JLC1c

I agree with most of what you said. However, EQT is responsible for more then half the problems. Hundreds of clueless managers, no nothing board, employees with no experience making decesions, wasted resources, etc. Rice made it worse. His constant " If I was in charge everything would be different" gets old. Rice blew it! He took a decent company and screwed it up, he had to sell. EQT should have let it

Post ID: @2kgo+111JLC1c

True dat! Rice overplayed his hand. He ran a decent 1 project at a time small company. They made money on easy to obtain gas. His ego and desire to be a player, made him take high interest loans to pay for his grand expansion. Warm winters and low pricing forced them to sell. He did not want to sell, he had to sell! He thought EQT would put him in charge. He is not experienced enough with very large companies to run correctly. He cut most of his people loose with out a thought, and is bringing in his loyal sychophants to run EQT. EQT is a totally different animal. The numbers don't add up, and never will, this will end badly!

Post ID: @2nup+111JLC1c

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