Local & Regional
Fri June 8, 2012
Chesapeake Shareholders to Meet with Board, Execs --- Live Blogging at State Impact
OKLAHOMA CITY (AP) — Shareholders of the nation's second largest natural gas producer are preparing to meet with its board of directors and executives amid concerns that the CEO's personal financial activities may have created a conflict of interest.
Shareholders of Oklahoma City-based Chesapeake Energy Corp. will meet with company officials Friday during Chesapeake's annual shareholder's meeting.
A group of Chesapeake shareholders has expressed concern about CEO Aubrey McClendon's compensation and loans he secured against his stake in company wells. Investors have expressed concern that the transactions could have influenced the company's business decisions and value.
Chesapeake has said the Securities and Exchange Commission has opened an "informal inquiry" into whether the well program created potential conflicts of interest.
A federal judge on Wednesday denied a shareholder request to postpone the company's annual meeting.
Copyright 2012 The Associated Press.