Inconsistentcy=Uncertainty=Loss of $$ (Natty trading -2.4% overnight)
Make up your mind already!!
The market response to our SEC fillings on Nov. 26, 2008 was obviously very negative," Aubrey McClendon, Chesapeake's co-founder and chief executive officer, said in a statement. "We underestimated how the market would assess the purpose, implication, timing and magnitude of our filings.
"Our intent was to create broad financial flexibility for an uncertain economic and commodity market environment over the next few quarters."
Chesapeake had planned to use proceeds from the offering for general corporate purposes, including funding exploration, development and other capital expenditures.
On Friday, shares of Chesapeake fell to a level not reached in more than five years amid continuing concern about the company's financial health. The stock dropped to $9.84, its lowest trade since August 2003, before closing at $11.32.
Shares of Chesapeake had reached as high as $74 over the summer.
Chesapeake's drilling and leasing activities have steadily declined in recent months, from about 158 operated rigs in August to its current level of approximately 130 operated rigs. The company said it scaled back its drilling in anticipation of a worsening U.S. economy, lower natural gas and oil prices and limited capital markets.
The company said it plans to further reduce its operated rig count to between 110 and 115 rigs early in the 2009 first quarter.
You boiler room shorts are trying real hard to place doubt in the minds of the longs. You must have gotten out your heavy hitters and are using level III boiler room staff who have enough knowledge to try and use a companies own statements as a negative.