Devon Energy Center

[Oh GAWD the Smell!]

Thunder you are out of your mind with the above statement. Who said anything about Devon not repaying any debt. Sure they could pay off a low interest loan but the cash on hand might be earning more interest that the debt is accruing.

Not to mention that (shooting from the hip here) all that debt is probably some sort of tax write-off/shelter or something.

I'll shut up about it now...As I really don't know.

[ssandedoc]

From today's Oklahoman:

Mobile Breaking Oklahoma News | NewsOK.com

Fortune smiles on Devon
INVESTING Magazine includes Oklahoma City company on list of 10 sure-bet stocks for next year
Comments Comment on this article4
BY JACK MONEY
Published: December 13, 2008

An Oklahoma City-based company is on the list of 10 individual stocks Fortune Magazine says are sure bets in 2009.

Devon Energy Corp. officials said Friday they are flattered to be included.

"They must know a good thing when they see it,” teased Vincent White, Devon’s senior vice president of investor relations.

White said Fortune’s interest in Devon is based on how the Oklahoma City-based company’s board of directors and managers run the company.

To them, it’s about the long-term, White said. "We’ve been able to benefit from downturns in the market instead of being beat up by low prices.”

What Fortune wrote
Writers for Fortune Magazine wrote they think a rebound in oil prices seems inevitable.

They said it it will take new sources of oil and natural gas equivalent to finds four times the size of reserves of Saudi Arabia just to replace existing production declines.

They said Devon’s a good pick because of its low debt, because it does business almost exclusively in the U.S. and Canada and because its revenues are split between oil and natural gas.

"Obama’s policies are likely to strain natural-gas supplies,” Larry Nichols, Devon’s chief executive, told Fortune.

"So all else being equal, I expect higher prices next year, which is good for us.”

Industry observers agree. "We believe Devon has the most attractive asset portfolio in the oil sector,” Fadel Gheit, an analyst for Oppenheimer, told Fortune magazine.

"Everybody’s earnings are going to fall. These guys are going to fall less.”

Okay, so maybe the tower will not be affected as I thought.

[bluedogok]

Not to mention that (shooting from the hip here) all that debt is probably some sort of tax write-off/shelter or something.

I'll shut up about it now...As I really don't know.

I am sure those are from SEC reports which are a snapshot of a companies balance sheet. All companies carry some debt on a balance sheet, that could be rent, office supplies, etc., effectively any credit account with a balance would show up as a debt on the balance sheet even if you pay it off immediately because it could be between billing/pay cycles.

For a company with the market cap and cash position they have that is like an individual having a $200 balance on a credit card.

[hoya]

1.5 billion?! Why are they not being responsible to zap away that debt? What kind of a company willing to have "in debt" status and not using the money to pay it off? Who is hurting? If these 1.5 billion was loans obtained from banks, then Devon could very well be responsible for the collapse of these banks...by not repaying! Eh? Now I see Devon in a whole different picture....

You obviously don't understand.

Devon isn't hurting anyone by having debt. If I'm a bank, I'd be happy as can be to loan Devon as much money as possible. Devon is solid as a rock, you understand. If I'm a bank, and they DID pay off their debt in one quick move, I'd be upset, because that just might drive me out of business.

Banks make money based upon people owing them debt and making incremental payments. Banks have been reluctant to lend money lately because they don't trust the companies to still be there tomorrow.

Devon would be stupid to pay off debt if they've got a good interest rate. Hell, if you offered me a 1.5 billion dollar loan today at a good rate, I'd jump on it in a heartbeat. Don't know what I'm going to do with it, but I'll think of something.

[bluedogok]

Actually it should probably be termed "liabilities" instead of "debt", that would be a more accurate description of what form that debt is in.

[sgt. pepper]

maybe someone needs to start a new thread called "devon energy" not much in here latley about the tower itself.

[OKC74]

I agree Sgt. Pepper...although I know there are a lot of different things to talk about regarding the Devon project and Devon as a company, this thread does get off track a lot!! LOL...

[Urbanized]

Well, discussion regarding the relative economic well-being of Devon became fair game when people started questioning whether the financial downturn and plummeting energy prices would impact the construction of the tower. Now that those issues have been addressed, hopefully we can all go back to talking about how cool it is going to be.

[Platemaker]

The TIF vote is today!!!

[edcrunk]

Low fuel prices are very temporary. Just as oil was overvalued, it is now undervalued due to reactionary market trends. Luckily this happened around Christmas!

I have posted this before, but Iran will collapse with sustained low energy prices. Get ready, 'cause they're getting ready to get the pot stirring again. Russia's economy is now energy dependent. Venezuela's too. Low prices will not be sustained very long.

prices were overvalued for 8 years... do we really know what will happen or how long this downturn will continue? from what was on TV recently... IRAN is not in a position to decrease supply, since they are so dependent on oil to keep their economy going. they are being affected by the worldwide economic crisis like everyone.

[Kerry]

Don't expect an OPEC cut to do much. Higher fuel prices will only make things worse and with so many of the OPEC countries dependent on oil revenue they only have one other option - sell more oil. $/bbl X # of bbl = $ total revenue.

[ChowRunner]

The 175 million TIF passed at council today....
City of Oklahoma City | News from OKCGOV

[Oil Capital]

Don't know but it is on Skyscraper Page. These sites are privately informed sites... that is, little contribution is made from engineering firms or the companies themselves.

In a nutshell, it doesn't matter why Emporis doesn't list it yet. Your concern should be Pickard Chilton's website. The minute they take Devon's link down, that would be when I'd be concerned.

Go after the source, people, not word of mouth. Word of mouth is what got our country in trouble to begin with.

I wouldn't put too much (or in fact any) focus on its posting on Pickard Chilton's site. They have at least one project on their site that was canceled many years ago.

[dmoor82]

My whole family is from Boston and they are all impresed with what is going on here! They have all been here about 5 years and they cannot believe what is going on here,coming from life long Bostonian's that is a big compliment!The Devon tower is just proof of the transformation of OKC !The NBA,Devon Tower,Maps,Maps/kid's,core2shore and maps 3 to come it is truly a great time to be apart of this and witness a true boomtown!

[Platemaker]

I wouldn't put too much (or in fact any) focus on its posting on Pickard Chilton's site. They have at least one project on their site that was canceled many years ago.

They list them as under construction, concept design, schematc design, etc. As of today, the building movign ahead.

[edcrunk]

it's amusing that people actually believe that devon is not going to build this building.

[Oil Capital]

it's amusing that people actually believe that devon is not going to build this building.

Not sure if you were referring to me.... If so, let me clarify. I do not think for a minute that this building will not be built. I don't see any reason that Devon will not move forward with it. All I was saying was that making one's build/no build judgment on the judgment of the project's appearance on the Pickard Chilton's website is hazardous, to say the least. (On the very same page on which Devon Tower is shown, they also show the AIM corporate headquarters, a project that was canceled years ago.)

[Oil Capital]

They list them as under construction, concept design, schematc design, etc. As of today, the building movign ahead.

I have no doubt the building is moving ahead. But again, Pickard Chilton's site is not the basis on which anyone should be making that judgment. Yes, they say this project's status is in "Schematic Design", but on the very same page, they show the long-dead AIM corporate headquarters, and they give no status. So the mere fact that the project still appears on the architect's website tells us nothing about its future.

[onthestrip]

This thread is hilarious. There has been more idiocy shown on these last 2 pages of this post than on the rest of this whole site. It seems some people have all of a sudden become a board member for Devon and now know all of the details of the company.

My guess is that it will move on as scheduled. This aint Chesapeake, its Devon. They have the resources right now to get it done.

[Steve]

As someone who has the opportunity to speak at least once a month or more with Larry Nichols, and as one of the few people using a real name on this board, I can tell you that onthestrip is correct. Nichols is staying consistent - the project is moving ahead at full speed, and I'm witnessing some very serious work being done behind the scenes. The company has the resources and need and desire to get this building built. Am I saying it's impossible for the naysayers to be correct? No. But I'm seeing nothing to back their claims at this point.

[Oil Capital]

As someone who has the opportunity to speak at least once a month or more with Larry Nichols, and as one of the few people using a real name on this board, I can tell you that onthestrip is correct. Nichols is staying consistent - the project is moving ahead at full speed, and I'm witnessing some very serious work being done behind the scenes. The company has the resources and need and desire to get this building built. Am I saying it's impossible for the naysayers to be correct? No. But I'm seeing nothing to back their claims at this point.

What naysayers? A quick review of the last couple of pages will show the naysayers are few and far between indeed. Mostly a lot of people defending against imagined "naysayers."

[OUGrad05]

prices were overvalued for 8 years... do we really know what will happen or how long this downturn will continue? from what was on TV recently... IRAN is not in a position to decrease supply, since they are so dependent on oil to keep their economy going. they are being affected by the worldwide economic crisis like everyone.

Oil was over valued for 8 years? :rofl:

[OUGrad05]

1.5 billion?! Why are they not being responsible to zap away that debt? What kind of a company willing to have "in debt" status and not using the money to pay it off? Who is hurting? If these 1.5 billion was loans obtained from banks, then Devon could very well be responsible for the collapse of these banks...by not repaying! Eh? Now I see Devon in a whole different picture....

Good lord you have got to be kidding me.

Read up on business/banking/finance before you post this kind of nonsense in the future.

[OKC74]

I was by the site this weekend...didn't really see anything going on as far as "pre work", which I think I read somewhere earlier in this thread that someone saw some "progress" going on. Also...since the tower will be almost right next to The Colcord, won't this all but cover up the Oklahoma Tower when looking north at downtown from the south?

[Steve]

No, you're not going to see site work yet. Probably this summer, however.