Sem Group meltdown

[Renaissance]

If you know of an entity besides OPEC who can keep the price of a barrel of oil inflated, let me know.

[moonovrmia]

quote:Originally posted by Floyd

If you know of an entity besides OPEC who can keep the price of a barrel of oil inflated, let me know.

Lets see? Wall Street Speculators, Hedge funds at Goldman Sach, Louis Dreyfuss (who owns TransMontaigne which is a fuel supplier), Merril Lynch and how many billion dollar loses has the latter shown? And I bet its not all subprime mortgages either. And the kick is, the new CFO who is now acting CEO of Semgroup came from Merril Lynch this past March.. I would run.. they will implode and take many unfortunate business's with them is my prediction.. Unless the OPEC markets are controlling the future trades.. they only thing they control is the product being manipulated on the NYMEX, London and Singapore exchanges by speculators. Its all paper trades....

[OUGrad05]

quote:Originally posted by cannon_fodder

quote:Originally posted by inteller

Kivisto needs to go to jail.  If any bloke off the street operated with such negligence they would be in the slammer.  Go find this guy and revoke his passport until we figure out just how much damage this donkey has done.

Again, what do you know that no one else does?

Operating a company negligently, even with reckless disregard is not criminal.  In fact, if he wanted to take all his assets in SemGroup and have them burned... he is free to do so.  In his position as CEO he was free to essentially gamble the assets as he saw fit.

He did, he lost, then he got fired.  Now he will be sued repeatedly.  If there is fraud involved he will be prosecuted.  But if he just ran a business poorly he will face civil suits and nothing more.

Either let me know what crime was committed or stop with the accusations and demands for him to be "locked up."  I'm not sure you realize that running a company poorly is not a crime.  If you know this, let me know what "crime" was committed that you know of that has eluded the rest of the world.

Generally I would agree with you, but keep in mind a portion of this company (a subsidiary) was public, furthermore the SEC forbids companies from engaging in speculation on the futures markets, only "hedging" traditionally its pretty tough to tell the difference, however, from what I've read of this case it seems to be fairly clear.  But then again we could easily be missing a big chunk of the story since we only get what the media prints/braodcasts.

[inteller]

before we go any further let me just say that hedging can be used for good.  Just look at Southwest.  They are where they are today because of properly hedging fuel to keep the price they pay steady.  What Kvisto did was like a mad granny at the casino....instead of quitting while he was a little behind, he just kept pulling the one arm bandit until it was all gone.

On a positive note I have heard that many of the bright employees there already have several offers so it looks like Tulsa stepped up to the plate to keep good people here.


But Kivisto needs to start practicing the ankle grab. (and he better not pull a Ken Lay)

[Breadburner]

Lol...This doesn't even come close to the Penn Square deal.....BOK..Mid-First and F&M...All get to take a bite of a big $hit sandwich.....Arvest is in the clear....

[FOTD]

Your punch drunk sucker punch missed BB......[]

It's dominoes......

[inteller]

quote:Originally posted by Breadburner

Lol...This doesn't even come close to the Penn Square deal.....BOK..Mid-First and F&M...All get to take a bite of a big $hit sandwich.....Arvest is in the clear....

oh F&M gets to take a dive?  Great!  After what they did at 71st/Harvard, I hope they get everything that is coming to them.

[FOTD]

quote:Originally posted by inteller

quote:Originally posted by Breadburner

Lol...This doesn't even come close to the Penn Square deal.....BOK..Mid-First and F&M...All get to take a bite of a big $hit sandwich.....Arvest is in the clear....

oh F&M gets to take a dive?  Great!  After what they did at 71st/Harvard, I hope they get everything that is coming to them.

Their in house piss ant legal team is in dnova their heads......gawd knows how many pardners borrowed on the c*m.

[Conan71]

quote:Originally posted by FOTD

Ch. 6 report with Mike Terry confirms what the devil feared.....worst disaster in State Economy since Penn Square Bank.

Now, that's bad bad bad to hear.

One stark difference was the whole oil industry in Oklahoma took a beating around the Penn Square debacle, along with a bunch of smaller rural and urban S & L's hitting the toilet.

SEM's fee-based operations like transportation, mid-stream services, and storage are still viable, will still make income from customers, will still have to spend money in the state economy, and will still require workers to operate them.  Should SEM not be able to operate them, they will sell and sell quickly as they have some assets which are incredibly important to the nations oil infrastructure.

Sounds like channel 6 is pumping sensational bull****.  Since I'm assuming you lived through that, I can't believe you are buying what Mike Terry was selling.  Please do offer what all was said and sources.

It's like saying the economy is just like the Great Depression.  Sounds great coming out of a politician's mouth to some, but to others, it totally ignores historical fact and perspective.

[FOTD]

Worst financial disaster SINCE Penn Square does not mean on the same scale. But lots of mullah missing does not trickle down.

OK?

[JeffreyRS]

Hi everyone,

I've been watching this topic since the SemGate story broke.  Currently I'm an intern working for SemGroup and we're alledgedly getting laid off today.  The SemMaterials (asphalt division) president was "replaced" today--fired--and he was the person who was responsible for keeping the interns around for so long already.

Interesting fact to know.

[cannon_fodder]

Thanks.  I appreciate insider incite and your disclaimer of "allegedly."  I'm sorry to see you in the position of being laid off, but you're a notch above people that made a career move to be at SemGroup so stick with it!

[Breadburner]

quote:Originally posted by JeffreyRS

Hi everyone,

I've been watching this topic since the SemGate story broke.  Currently I'm an intern working for SemGroup and we're alledgedly getting laid off today.  The SemMaterials (asphalt division) president was "replaced" today--fired--and he was the person who was responsible for keeping the interns around for so long already.

Interesting fact to know.

Wow..I heard the asphalt div was in good shape...

[Conan71]

quote:Originally posted by Breadburner

quote:Originally posted by JeffreyRS

Hi everyone,

I've been watching this topic since the SemGate story broke.  Currently I'm an intern working for SemGroup and we're alledgedly getting laid off today.  The SemMaterials (asphalt division) president was "replaced" today--fired--and he was the person who was responsible for keeping the interns around for so long already.

Interesting fact to know.

Wow..I heard the asphalt div was in good shape...

Ditto.  Starting to wonder if our bills to the asphalt div are going to get paid or not....gulp.

[FOTD]

Wise up. SemGroup is Dnova....nada left after 12/31/08....

SemGate....that's good.