Halliburton is spinning off KBR.

[suffragette]

Something that caught my eye in the articles about Halliburton moving its HQ to Dubai is that Halliburton is also in the process of splitting with KBR.

From "Halliburton moving CEO to Dubai" in http://www.iht.com/articles/2007/03/12/business/halliburton.php
Halliburton, which was led by Vice President Dick Cheney from 1995 to 2000, is now in the process of spinning off KBR, its military contracting unit, to focus on its business of drilling wells and maintaining fields for oil companies. The company did not say what implications the Dubai development might have for its military contracts.

After searching a bit, I found this: "KBR discloses terms of Halliburton exchange and splitoff" 03/02/2007
at http://www.dallasnews.com/sharedcontent/APStories/stories/D8NK9UCO1.html

In Friday's SEC filing, Halliburton said it intends to complete the separation of the companies through the exchange offer, which will allow the Houston-based companies to focus their attention and financial resources on their respective and distinct businesses.

Halliburton also said it believes that the exchange offer is a tax-efficient way to divest its interest in KBR. It also presents an opportunity for Halliburton to repurchase outstanding shares of its stock without reducing overall cash and financial flexibility, the filing said.

Hmmm - "spinning off," "separation," "divest its interest."

I am wondering how this fits in with the move to Dubai. Are they separating KBR from Halliburton so they can claim that the defense portions of their work are still being run from the U.S.?

[Demeter]

1. Hallibutron Is Stuffing All Its Liabilities Into KBR and Leaving It Behind

with no money or responsible people to pay for the prosecution and cleanup. It's a brilliant plan. Somehow, I doubt they are going to lug Cheney out to Dubai with them, though.

[suffragette]

5. Liabilities is right

From " KBR's $400 Million Iraq Question"
http://www.thenation.com/doc/20070326/scahill_ordower

There's a $400 million question facing the Pentagon's largest contractor, KBR, the former Halliburton subsidiary responsible for more than 50,000 personnel in Iraq and billions in government contracts: Will the mammoth corporation be forced to repay the government nearly half a billion dollars because it hired private security forces in Iraq, including Blackwater USA, when the Army itself was supposed to be providing it with protection?

It's a scandal that has been brewing for more than two years, kept alive largely through the efforts of Representative Henry Waxman. The California Democrat has been on a warpath against Halliburton and KBR almost since the Bush Administration took power in 2000. But it was actually an incident involving the private military company Blackwater USA that sparked the current controversy, which could result in the hefty KBR repayment to the government.

I think Waxman has them very afraid and,thus, all the separation and skedaddling.

[Warpy]

2. It's the only way they can manage to keep

KBR as the military's primary supplier of camp goods (showers, chow, the rest of the stuff that has been privatized so some maggot can suck profit out of it). There is no way to convince the brass to get all that stuff from Dubai.

That will mean KBR is no longer a direct cash cow. They'll all have to hope the dividends plus their places on the board of directors will keep them fat and the company in line.

I just wonder if Cheney will resign before or after he skedaddles off to Dubai.

[asjr]

3. Who really knows why this is happening, but

the taxpayers will somehow be involved, as well as our children and grandchildren. The members of this administration will end up with cushy jobs for life while we pay the mortgage. The thieves have stolen everything from us and still they want more. I want to climb to the highest mountain in this country with a powerful megaphone and yell NO MORE! We are already paying with the blood of our military and nobody seems to give a damn.

[jimshoes]

4. They still haven't cracked

that Social Security egg yet, but time seems to be running out.

[suffragette]

9. I'll join you on that mountain yelling "No More"

We must stop these thieves somehow.

[lyonn]

6. Halliburton, formerly know as the U.S.A.

has moved their CEO, president, to Dubai. Are they trying to tell we, of the United States of Halliburton, otherwise known as a World Conglomerate of war making machines, corporate unification, etc. that they can not be sued, investigated, or are responsible to anyone?

Just asking as I am not too smart.

[radfringe]

7. talk to CorpGovActivist

he post here about halliburton

[jmowreader]

8. KBR never was a good fit for Halliburton anyway

Halliburton is a very well respected name in oilfield services. They make very fine oil-drilling and oil-pumping gear. They also make concrete pumps and a bunch of other stuff, and it's all good. (Yes, the company's executive suite is full of crooks, but the people who do the work are very competent.)

There is a vast difference between making fifty house-size pumps per year and doing logistics for an entire war.