Peabody Energy Corporation (BTU)

[LouisDesyjr]

HQ being rewarded

Yes, that does happen a lot. The argument or reason given is that they are key people and are needed to run the company. The problem is that one of the reasons the company is in such bad shape is that they made bad decisions and ran it into the ground.

While I can not fault them for not seeing the world markets being flooded with oil, driving down prices and making coal less needed, I do fault them for piling on debt to by more properties when prices were 'sky high' and almost certain to go lower over time.

There have been arguments that Chapter 11 should not be allowed and that companies should only be liquidated so the assets end up in the hands of a new set of managers, not with the same old people that ran things into the ground.

Louis J. Desy Jr.