- EQT Corp. (NYSE:EQT) CEO Robert McNally told investors today that the Rice brothers' plan to shake up the company is based on flawed assumptions, and the company instead would take additional cost-cutting steps, forming a board committee to review its operations and searching for a new COO.
- McNally said he would engage with the Rice team, who met with management and the EQT board last week, but that his plan - the recently implemented restructuring that EQT expects will save $50M/year plus additional ways to cut development costs that would save an additional $50M/year - was the right course.
- “We are back on track financially,” McNally said on the call. “We have gone to a manufacturing mode... and believe that the inefficiencies we saw in 2018 are a thing of the past.”
- The Rice brothers disagree, saying “Today’s announcement makes it abundantly clear that EQT plans to continue with the same team that has openly admitted, based on their plan, that they cannot deliver on EQT’s 2017 merger promises.”
- Earlier: EQT Corp. forecasts flat production, lower capex in 2019 (Jan. 22)
- Now read: EQT (EQT) 2019 Guidance Call Presentation - Slideshow
Original article