"B"..I think it's perhaps YOU who should be doing research. Looks like I'm right about my statement of him selling off his shares rather than using true "available cash"....nice try though.....

Hey Jill! I finally found a good thing about the redesign of NewsOK.com!! It allows paragraph returns now.

B wrote: "What you are seeing is a result of the financial crisis and has nothing to do with the stability of CHK" True but the financial crisis could very well effect the stability of this company and numerous others. Another article in Monday's paper said the company has borrowed the rest of its revolving amount of credit to invest in Treasury securities. Ummmm, isn't borrowing money to invest what led Mr. Clendon to lose $3 billion (more or less), now his company is going to do the same thing? Selling assets to raise cash? If you sell your assets, what is there to back up the loans that others have said Chesapeake is up to the hilt with? They may be the #1 producer of natural gas in the country (a commodity that is selling for half what it was a few months ago), but if they aren't financially sound, can you say Enron? Or any other of the Big names of companies that have been in the news lately?

Brad, WSJ article is inaccurate. CHK has over $1B cash on hand and will have $2-3B cash on hand by year end. CHK will be fine. To all of you naysayers, tune in Tokyo....the entire economy is in bad shape. What you are seeing is a result of the financial crisis and has nothing to do with the stability of CHK....which by the way if you haven't noticed is the #1 producer of nat. gas in the country! Paul, do some research before you make comments that make you look stupid. As you keep making comments, you are revealing your ignorance as to the facts.

Bwahahaha!! The bust is forthcoming, Okies...and nobody learned anything from the last time....bwahahaha!!!!

I READ IN THE WALL STREET JOURNAL YESTERDAY SOMEWHERE, AN ARTICLE ON THIS SAID CHESAPEKE AT THE END OF THE 2ND QUARTER HAD NO CASH. ANYONE ELSE READ THIS? WHATS UP WITH THAT?

Chris...sorry to disappoint you about the dark alley, but I don't swing that way, you'll have to find somebody else. Jill, you yourself have to admit that OKC and Oklahoma in general has done nothing to prepare for another oil bust, and they had nearly 3 decades to do so. I'm not sure if this is a result of laziness, ineptitude or just a major dose of complacency, but it's there, and cannot be denied... For those defending this guy about the reasons he sold the stock, he sold at under 15 bucks a share when it was worth 70 a few months ago? If I "supposedly" had the money Aubrey has, then it seems to me I'd hold onto my shares of stock and use some cash from other sources, rather than take a multi billion dollar hit on selling my stock. That tells me he's "rich" on paper only and has no real cash he can quickly put his hands on to help carry him through times like this....

While I don't agree with Paul's apparent happiness with the prospect of what happened in the 80s happening here again (no matter what magazine said about Oklahoma City being the most recession proof city in the country...notice it is a matter of degree, we are NOT recession proof, just better off when compared to others and that is primarily based on energy prices remaining strong). He is correct, oil will fall (we have already seen the energy sector collapse in recent weeks). Oil was at $145 a barrel a few short months ago, There was talk among the "experts" that oil would hit $200 and even $300 a barrel. Just yesterday I read it is under $90 a barrel. Natural gas has fallen too. The 2nd part of the expected rate increase from the electric company isn't expected to happen now because of it. Even the Oklahoman is saying it "Ed Kelley - On Its Way? When will the financial downturn hit Oklahoma?" Oklahoma has a tendency to be behind the curve in most things (not saying that is a bad thing, it is what it is). As the editorial points out we are not an oasis, our states economy is enter-twined on many levels with the national economy and in turn with the global economy. It's not a matter of "if" but "when" and "how bad". While a rising tide lifts all boats, a lowering tide does what? And if you have a few major ocean-liners that Titanic sized holes in the side of them? Eventually, it will hit Oklahoma and Oklahoma City. To pretend otherwise is foolish. Just take a look at the Oklahoma based businesses whose stock you own. Don't think it is hitting us yet? Ask Mr. McClendon.

From another article posted after this one: "McClendon remains among the nation’s highest-paid executives, earning a compensation package last year valued at $25.5 million." Yes he has lost ($3B or so) but he is far from destitute (yes, I am sure a lot of his $25.5M is tied into stock of the company). Point is, he will survive and making millions and billions more. Think I remember reading how Trump has gone from multi-millionaire to nothing a few times over the years.

by the way, before someone thinks I am being negative on my Devon comment, it isn't...think it is a very impressive looking building and I hope it gets built...but there was an article or two awhile back that told of many a grand plan building plan that was scrapped due to financial problems (not unlike what we are seeing right now). Even the capitol dome fell into that category.

Andrew, the city may not "revolve" around Chesapeake as you say, but do you know that Chesapeake alone (not counting what Aubrey does personally) made somewhere in the neighborhood of $15 million dollars in philanthropic contributions last year? And, as has already been mentioned, 5,000 people are employeed by this company! PS-one does not have to work for Chesapeake to recognize their value to our city.

"It's the beginning of the end for all y'all down in these parts. Remember the 80's? I hope you do because it's coming to a cowtown near y'all once again, and you are no better prepared than the last time.....bwahahaha!!!!" My diagnosis: sick and wrong. Get some professional help, paul. A person who takes pleasure in the prospect of hard economic times for anyone who's a fellow citizen of their country, or even another human being, has a serious problem and needs help.

Chris, you don't want to tangle with a Yukon Miller, home of Garth Brooks.

Anyone around here that is enjoying this or thinks it is funny is an idiot if you have any investment here, including owning a home. One of the reasons our real estate market has stayed in a good range of value compared to rest of the nation is Chesapeake. I'd like to catch Paul from Yukon in a dark alley.. assuming he's not really from Seattle.

Read that Devon has taken a huge hit too, wonder if the new $750M corporate headquarters are still a "go".

I have said for years that Chesapeake was a "shell game" and not much more than another Enron...and it looks like some of my prediction might have been true. Irrespective of whether or not you like Aubrey, it appears that Chesapeake is leveraged up to its eyeballs in debt and now the chickens are coming home to roost. I hope we dont end up with a huge vacant swath of office buildings at the corner of western and 63rd.

Let me guess John, you work there? It doesnt surprise me if you do....and the city doesnt revolve around CHK, hate to break it ta yah.

There are an awful lot of morons on this board. This had nothing to do w/Chesapeake. It had everything to do with the way Aubrey purchased PERSONAL STOCK. He sold his stock. Someone bought the stock. Chesapeake lives on. You idiots who hate Chesapeake and wish for its downfall should be careful. If Chesapeake ever were to fall, the city would fall as well.

Next time, Aubrey, you might consider checking into stop-loss on your margin purchases. I'm only slightly joking.

If the super majors are doing as good as they say they are and as good as everything thinks they are......this would be a keen opportunity to come in and buy this company and its large assest base. Many of these companies would love ths chance to get back into onshore domestic production.

the bitterness on a personal level is not appropriate. It is insightful about how Chesapeake itself may be run and operating. The companies land acquistions in the Nichols Hills area, or purchasing the town of Arcadia should be getting more attention. These are not oil investments- and have impacted the lives of a couple of people I personally know in a most negative way. The rumors of questionalble book keeping and loans swirlcontinue to swirl around Chesapeake- and aubrey. What folks need to do it read the Wall Street Journal a little more- Chesapeake may be a good company to be employed by, but understand they may be acquired just about anytime by a seriouly larger company, and those jobs will go away, just like conoco or phillips.

I'm surprised at the number of people on here who can't read. Aubrey McClendon sold all of his personal stock in Chesapeake to cover margin calls on purchases he had made personally. This transaction has nothing to do with the ongoing profitablility of Chesapeake Energy. I also am surprised at the bitterness some of you have toward a very successful man - jealousy has an ugly face. As a former employee, I can tell you that no one works harder than he does and I'm sure that he will be back on top soon.

julie/OKC ... that is CLASSIC! XD (Aubrey, if you're reading this, we send good mojo your way. Irrespective of what certain 'tards (who obviously have computers and loads of free time) think, you do a lot for this city and you *are* appreciated. Best to ya!)

Ironic how one oil man's stupid philosophy of cutting revenue while increasing expenses ends up costing another oil man his fortune. Who controls Chesapeake now? How much longer will McClendon have a job there? The trickle down economic policies of the ultra right wing are turning in to a trickle up disaster for everyone.

Wow, there are some bitter people on this board. Why all the hate for McClendon? Despite what happened today, he has built a great company that has brought lots of jobs to OKC. His company has done a lot for this community and the communities where they drill. McClendon had confidence in his company. This financial crisis was unfortunate but has nothing to do with the value of Chesapeake.

Robert it has nothing to do with wealth, its the person himself!!

Wow! What economically ignorant bunch of socialists there are here on this site. Do you ever wonder where the boss gets the money to pay your paycheck or who where the tax money comes from to pay for "disability" check?

Even the once Mighty fall. Aubrey McClendon is the epitome of an arrogant oilman. He used his new mega-millions to try and destroy the political careers of two honest Oklahoma legislators: Randy Terrill and Mike Reynolds. Despite the money that Aubrey and his State Chamber cronies funneled to opponents, Terrill and Reynolds both handily prevailed. I'm gonna enjoy watching Aubrey eating at Sonic hereafter. Or, maybe ever working there. Get some hustle there, Aubrey!

I should add that it represents mixed news for Bishop McGuiness. It means that they can rest easier at night knowing that Chesapeake will not have the will or wherewithal to sue them for eminent domain to destroy the school complex for more corporate office space. Of course it will hurt some of the parents who pay tuition. But looking across the street it may be good for my company who is looking to cash in on the real estate crash. We are at the end of a lease and its a wonderful time to look for space to rent. We may just be able to get into the old One Grand Place for pennies on the dollar rent. Oh what fun it is.

What did I say several months ago. Chesapeake built Chesapeakopolis with borrowed funds. It did not spend a single penny of earned money. Its all leveraged to their eyesballs. After buying and destroying a square mile and hundreds of homes and commercial buildings, the whole thing comes to a pounding fall.

They never had the money, Mister, they had plenty of time though. Even if they did have the money, they wouldn't have used it for that. It's better to have 6.5 million dollar crappers out on the panhandle, have artwork on the turnpikes, etc., etc.....

Tumbleweeds a blowin' down Bricktown ...the price of oil overall is going thru the floor, and Paul you are right , so much for diversifying when they had time and money to do it. Oh wait , what about the space port and the MG plant ??? *crickets chirping*. Oklahomas' state motto is " Two steps forward and 3 steps back"

He who bets with margin beyond a few days time always gets it in the end. Been there, done that. CHK could leave OKC after it is all said and done. Meanwhile, THE MAN, Larry Nichols is still able to kick some butt next year when PEAK OIL rises up before next driving season. Overall, this is terrible news for OKC.

Well said, John. Aubrey has done so much for our community. He is a good corporate citizen, and takes great care of his employees. Yes, he is wealthy. But since when is that a reason to hate someone? He made his fortune by working hard, and using his brain. Jerrys (Chandler, OKC); where has that little old brain of yours gotten you?

Amen.

To all you neigh sayers, here is a man who by the age of 40 has founded one of the biggest companies in the country, provided jobs for over 5000 people and is attempting to do something about the energy fiasco that this country faces. I know he's wealthy but he's not the cause of this finanacial mess. He's trying to save his company. I'm giving him kudos for what he's allready done. What have all the rest of you done? How many of you are or have been billionaires? None, I'd venture to guess.

paul from yukon, who's really from Seattle, your boy Shultz who owns Starbucks is not doing much better. Let's see, a loaf of bread or a cup of Starbucks. I think if you continue to follow us dumb okies, you will find that our economy will fare much better than the x-gens in Seattle.

Rate increases in what? You do know that the OCC sets rates for the LDC's right? That being, in these parts, primarily OGE and ONG. What rates are you talking about?

He had the money to smear John Kerry....there is that little thing called Karma.

Yeah Jill...every major indicator is saying what I'm saying and you remain on the opposite side of the coin. He just took a multi billion dollar hit..unless you happen to be a major company (and he isn't) then thats gonna leave a mark....I'll bet you don't believe that some major rate increases are forthcoming in order to recoup some of these losses either, correct??

Paul, your prediction makes me feel a lot better. You're about 0 for 10 right now, so it seems as if things are looking up.

The dud knows a little German. I am impressed.

thats what happens when you get GREEDY. wonder where he is going to spend the night? hopefully the jesus house wont be at capacity.

haha. CHK just exercised it's entire line of credit. Nobody wants to bite off that additional debt. Although there are a few (namely the Majors) who actually have the kind of cash laying around to do a deal like this, you ought to know that MOST midsize oil and gas companies have followed this trend down over the last 2 weeks. Which one would you buy? How about DNB? XTO? APC? KWK? Also consider that if you have cash, now in light of the tight credit markets, you most likely want to protect that cash. I smell opportunity for many, but takeovers for very very few.

And to any and all of you folks who have schadenfreude are sad indeed. Please seek professional help. The internet does not count as "talking to someone". I wish your mother and father had raised you better.

I smell a takeover.

Do the math. He had 4.75 billion in 0708 and now he only has 1/2 a billion. That is alot of money to loose. Who will be doing the landscaping now around all those buildings. Cheaper labor. Go Mexico.

It's the beginning of the end for all y'all down in these parts. Remember the 80's? I hope you do because it's coming to a cowtown near y'all once again, and you are no better prepared than the last time.....bwahahaha!!!!

Think he'll also have to sell his interest in the NBA team? Hard to feel sorry for someone who helped to extend my taxes for his benefit...

I detect sarcasm. No matter what your feelings about someone wealthy loosing money are. This is not good for the city.

Breaks my Heart!!!