What Did Chesapeake Tell Investors Today?

April 1 had been earmarked on every Chesapeake Energy (NYSE: CHK  ) investor's calendar as the day that co-founder and CEO Aubrey McClendon would be stepping down. That day is finally here, and a replacement is nowhere to be found.

Instead, the company has set up a three-member "Office of Chairman" team to continue running the company while moving forward with the ongoing search. This team consists of the current CFO, COO, and non-executive chairman. The news about the CEO-by-committee setup wasn't the only assurance that the company offered to sate investors.

Capital spending will also be a focal point this year, as the company fully expects to stay within its stated $6 billion plans. This is critical because cash flow from operations simply hasn't been able to keep pace with spending over the last several years. Find out more in the video below with Motley Fool analysts Joel South and Taylor Muckerman.

Need a closer look at the company Aubrey McClendon is leaving behind?
Energy investors would be hard-pressed to find another company trading at a deeper discount than Chesapeake Energy. Its share price depreciated after negative news surfaced concerning the company's management and spiraling debt picture. While the debt issues still persist, giant steps have been taken to help mitigate the problems. To learn more about Chesapeake and its enormous potential, you're invited to check out The Motley Fool's brand-new premium report on the company. Simply click here now to access your copy.


Read/Post Comments (1) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Add your comment.

DocumentId: 2339601, ~/Articles/ArticleHandler.aspx, 7/26/2014 3:19:10 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement