It was said Chevron needs to respond In 4 days. Is Friday the deadline?
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Yes, if APC takes any other offer at any price, Chevron gets a billion dollars for basically assessing the value of Anardarko and signing a contract. I'd take that deal any day. Profit margin out the yin-yang.
Go back to your clerical jobs and leave the big boys to handle this.
I hope Mr Wirth doesn’t make a Gorgon-size mistake by matching the ridiculous Oxy offer. Sell your CVX stock before Friday just in case. Buy it back on Monday.
Decision will have to be made by this Friday.
Now let’s see how Mr Wirth responds this. I believe CVX will walk away with 1B bonus. Please educate me, what if CVX counter offer, but ultimately lose to Warren, does CVX still be entitled to the 1B?
@1xyl, Seriously? You don’t know how senior management thinks? Those upper echelon types only think of the bottom line, which is money. Whatever they can do to save a buck and put some of it in their pocket, that’s the way things will go. If Chevron ends up acquiring Anadarko, they will have to pay more. That means they’ll have to find more “synergies” to pay for the premium. In other words, the lay-off casualties are going to be higher than previous thought. If Anadarko’s severance for long term employees is 2 years of pay, Chevron employees will see a high number of layoffs because the older APC employees will be kept onboard to save on severance packages. They will layoff the higher paid employees in their 40’s and keep the ones in their 50’s. But the larger number of layoffs will fall on CVX employees to make up the savings needed to justify the huge purchase price to buyout APC.
I think Anadarko employees are basically solid on the two year max (in their contract). I had not thought that this might lead to preferential layoff of Chevron employees, who can be let go at the one year max rate: that is disconcerting! One can only hope for moral that Chevron bumps up Chevron employees getting the boot, rather than preferentially k--ling their core. Then again, who knows how senior management thinks...I assume mostly focused on the short term stock price.
@1zfb, It’s too early to tell if a 2-year maximum severance package will be handed out to Chevron employees who retire or are laid off. I’m more confident that Anadarko retirees will get that package because it’s in their policy to do so. Chevron’s standard severance is a maximum of 1 year pay. Be careful what you wish for. It’s possible that mostly Chevron employees will be laid off to save money and APC employees are integrated into the new Chevron.
-god: Very true, purchase (merger) will means layoffs in both companies without question. Then again, if you are of an age where retirement is appearing increasingly attractive, then volunteering for a merger exit package might be an excellent end to ones career. Will Chevron match Anadarko’s two year severance package to trim its sails in an amicable fashion on their new ship?
Whoever the successful acquirer of APC becomes, layoffs will take place in both companies. So, if you work for Chevron and are hoping for Chevron to be the buyer, be careful, for your wish come true may mean your lost job.
Again, not a merger, it is a purchase.
APC would have to declare that Oxy is the superior bid first. They are only "reviewing" the bid. Now that Oxy shareholders are taking their displeasure with the deal Oxy made with Buffet, Chevron may not need to counter-offer. I'm hoping APC will continue the merger with Chevron. Let's get this deal done!