GREY:TBTEF - Post by User
Comment by
Oldfart74on Sep 25, 2017 2:24pm
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Post# 26738878
RE:RE:Executives and severance payments
RE:RE:Executives and severance paymentsCardboard1 wrote: "In the case of TBE, a signicant reason for the precarious financial position was that the company continued paying dividends while it was encountering major decreases in revenues due to the collapse in oil prices. The blame for this foolish action falls on the Board not on the executives. Another reason was mistakes in acquisitions and unsatisfactory exploration results - the blame for this lies with executives."
Who provides recommendations, budgets and forecasts to the board? Hedging, dividends, level of debt were all decided at the executive level then submitted for approval by the board. CEO, CFO, COO and likely others are all responsible for this mess.
Cardboard
If you believe that the Board just performs a rubber stamping function, you are very mistaken.