Leadership or lack thereof is without a doubt one of the biggest problems in America today. Yesterday, one of the biggest news items in the market was the continued collapse of the Aubrey McClendon's image as business maverick and celebrity CEO to a guy that maybe saw himself above it all.
The nerve of and vision of an old school wildcatter McClendon and Ward started Chesapeake Energy (CHK) with $50,000 in capital and ten employees. They revolutionized horizontal drilling and went after unconventional reservoirs. The stock was the stuff of legends climbing to $65.00 in June 2008 from $2.50 in January 2000. The shares got slammed to $15.64 by February 2009 and have been up and lately (really) down since.
All kinds of news is coming out about dealings with the company that includes a billion dollars in loans, perhaps self dealing with a personal hedge fund on the side and now McClendon is dropping the CEO title. Wall Street loved this guy. I loved this guy.
Charles V. Payne is a regular contributor to the Fox Business and Fox News Networks.
He is also the Chief Executive Officer and Principle Analyst of Wall Street Strategies, Inc. (WSSI)
, founded in 1991 which provides subscription analytical services to both individual and institutional investors.