Just what is Cheney's financial relationship with Halliburton?

[salin]

I recall that he had a huge sweetheart deal when he left to run; and that he took a bit too long to put his shares in blind trust (iirc, this is where politicos assets are put into a trust managed externally so that the individual investments are not seen to be compromising the ability to govern "impartially" with regards to financial interest.)

Does anyone recall the arrangement? If Haliburton shares increase in value does he benefit? If Haliburton increases its profits (as it has) does he financially benefit?

Please tell me no. Please tell me that while he was off vacationing with "more important things to do" (ala all his deferments during Vietnam) - that his old companies next profiteering adventure (was awarded a cleanup contract in New Orleans) - isn't going to, after he leaves office, line his greedy and heartless pockets.

With all of the sweetheart deals that keep going to Haliburton - there is never any question of financial gain for Cheney - so either he really did give up all of his interests - or the media is lazy as h#ll. Anyone know the answer?

[Maat]

1. I believe he deferred compensation (no taxes paid on it yet) &

his compensation has been in stock options, so he definitely does have a conflict-of-interest since he 'makes out' if the stock price goes up.

[salin]

5. Then isn't it about time that we start talking about this?

Especially in light of the firing of the employee who questioned the Iraq nobid contracts?

Especially in light of the continued HUGE contracts even after case after case of FRAUD on the taxpayers has come to light?

And especially now, when he couldn't be bothered to lift a finger or a voice of concern for DAYS about the tragedy in New Orleans - isn't it time to question the appropriateness of our Vice President Profiteer?

[Justitia]

2. deferred compensation & a shitload of stock. Yes, he benefits. -eom

[aquart]

3. Cushy. Also, I believe

Satan told him he could take it with him.

Satan lies.

[bushisanidiot]

4. He received millions in stock as part of his retirement package

the war profiteering fuckwad

[salin]

6. Why doesn't that fact appear in every news item about the next Haliburton

government contract? It should appear in EVERY SINGLE item.

[OmmmSweetOmmm]

7. Supposedly the stocks and options are in some sort of trust..Trust

is one word I cannot associate with this cyborg. He probably has found a way to be able to get hands on.

[salin]

8. Does he need to? If Haliburton keeps getting richer... even in trust

the value of those stocks and options just keep increasing - so he has to wait until Jan 2009 to access them... It is in his financial interest - to keep ensuring that his company keeps getting fatter and fatter by profiteering off of taxpayers.

[Lasher]

9. Cheney Lies

From a September 26, 2003 story in CBS News:

***

Cheney said Sunday on NBC that since becoming vice president, "I've severed all my ties with the company, gotten rid of all my financial interest. I have no financial interest in Halliburton of any kind and haven't had, now, for over three years."

Democrats pointed out that Cheney receives deferred compensation from Halliburton under an arrangement he made in 1998, and also retains stock options.

***

Lautenberg, D-N.J., asked the Congressional Research Service to weigh in.

Without naming Cheney or Halliburton, the service reported that unexercised stock options and deferred salary "are among those benefits described by the Office of Government Ethics as 'retained ties' or 'linkages' to one's former employer."

http://www.cbsnews.com/stories/2003/09/26/politics/main575356.shtml

[salin]

10. Good Find!

So editorials across the country are asking why Cheney was too busy to be concerned with storm victims, while his financial worth was likely increasing based on that storm ala Haliburton's taxpayer funded contract for storm cleanup. Right? :sarcasm:

[Yupster]

11. He has deferred comp and stock options

Deferred comp is money that he "earned" in past years but "defered" receiving the money so the tax bill would be more spread out. Also, he probably knew that once his side was in office lower taxes would be on their way.

Anyway, that's money he "earned" and he will get it regardless of what Haliburton does or doesn't do, as long as it exist.

The stock options are unexercized. I think not so many people understand how stock options work. The idea of stock options is that let's say a stock is selling at $ 50 a share. A person may get 10,000 shares of stock options for $ 65 a share.

That means that anytime in the next so many years (options have expiration dates) the person has the right to buy 10,000 shares of stock at $ 65 a share. Well since the stock is selling for $ 50 a share, that's a worthless benefit, and in truth, most options do expire worthless. However, if the company does very well, and goes up to $ 80 a share, then the person could exercise his options, buy the 10,000 shares at 65 a share, then turn right around and sell them for $ 80 a share and pocket $ 15 a share making a quick $ 150,000 profit.

The object is to make the managers focus on getting that share price up which is what the investors want.

The difficulty with them is that they are not transferable meaning you can't sell your options to someone else, and they're hard to put a value on. If you have 10,000 shares at $ 65 and the stock is selling at $ 55 and they have four years left before expiration, what value do you put on them? Well, they're currently worthless, and probably will always be worthless, but they may be worth hundreds of thousands of dollars some day.

It's something that accountants struggle with trying to put a realistic value on something that may be worth tons or may be worthless.

[Poiuyt]

12. I heard his deferred compensation can be as much as $1 million a year