Replies to post #6832 on The Rising Influence of Rising Affluence

[DewDiligence]

I don't understand what you mean by your comment about hope.

[DewDiligence]

HES—Citi…sees downside risk in the stock should Hess management win the proxy fight.

This is pretty silly insofar as both camps (management and Elliott) want to do mostly the same things. The main difference between the two camps is Elliott’s desire to separate the Bakken business from the rest of HES, which makes little sense (IMO) from an operational or tax standpoint.

Moreover, only 5 of the 14 seats on the BoD are up for election this year; hence, even if Elliott’s nominees were to win election, they wouldn’t have a majority on the BoD for at least another year.

Citi is really stretching, IMO, to assert that HES’ share price in the near term depends greatly on which slate of nominees is elected.