Hess Corporation HES
The three reasons
- 1
Hess intrinsic value is over $126/share — 94-153% upside to the current price
- 2
Board has zero independent directors with oil & gas operating experience and 13-year average tenure
- 3
Management destroyed 20%+ of market cap through failed exploration and Bakken cost overruns
Primary demands
- Elect 5 highly qualified independent Shareholder Nominees to the board (Chase, Golub, Kurz, McManus, Smith)
- Refocus portfolio via tax-free spin-off of Bakken/Eagle Ford/Utica into Hess Resource Co.
- Divest downstream assets and monetize midstream (Tioga gas plant, Bakken rail terminal)
- Streamline Hess International by focusing conventional portfolio on core areas
- Improve operational focus to halt cost overruns in Bakken
- Instill capital discipline: cut exploration budget and return cash to shareholders
KPIs cited
Pattern membership
Where this document fits across the library's 12 rhetorical / structural patterns.
Notable slides (8)
Notes
Classic Elliott proxy-fight deck. Strong SCQA structure: Situation (Hess underperforms on any timeframe), Complication (unfocused portfolio + weak governance + failed execution), Question (what to do), Answer (spin-off Bakken + elect 5 new directors). Notable rhetorical devices: (1) CEO quote-contradiction used repeatedly — e.g., John Hess 'you can't judge us on one-year basis' paired with 17-year underperformance table; 'we want to live within our cash flow' quotes from 2006-2012 vs. actual FCF shortfalls; 2003 exploration focus areas vs. 2012 reality showing drift into Kurdistan/Paris Basin. (2) Co-opts Hess's own green branding for the deck (HESS logo on every slide). (3) Uses shareholder nominees' own quotes from prior careers to contrast with Hess management. (4) Sum-of-parts waterfall on page 9 is the money slide: $49.85 today → $126.24 pro forma. (5) Website www.ReassessHess.com as campaign hub. Appendix continues with full bios and supporting detail. Deck sets up the 2013 proxy contest at Hess's 2013 Annual Meeting — filed Jan 29, 2013 per disclaimer.