Halliburton: Who, Where, How Much?
3600 Lincoln Plaza 500 North akard Street Dallas Texas 75201-3391 USA Tel: (214) 978-2600 Fax: (214) 978-2611 For all other office locations (including UK) see: www.halliburton.com/ofc_loc/location_search.jsp?usa=0&rgn=EU&cnt=United%20Kingdom
Company Structure/ Ownership
Halliburton PLC is a publicly owned company.
See 'investor relations': www.halliburton.com
22 Wellington Management Company, Capital Research and Management Company, Morgan Stanley, Barclays Bank Plc, FMR Corporation (Fidelity Management & Research Corp), State Street Corporation, Putnam Investment Management, Lord Abbett & Co, Maverick Capital Ltd., Taunus Corporation.
Over 100,000 worldwide.
Despite an almost constant stream of lucrative contracts, Halliburton still ran at a loss of $998 million during 2002.23
Board of Directors
- David J. Lesar Chairman of the board, president and chief executive officer. Lesar has previously served as executive vice president and chief financial officer, 1995-1997. Lesar is also on the board of directors at Lyondell Chemical Company and the Mirant Corporation and is a member of the National Petroleum Council.
- Lawrence S. Eagleburger Eagleburger became a member of the board in 1998 and is also a member of the Audit, the Compensation, the Management Oversight, and the Nominating and Corporate Governance Committees. Described as a career diplomat, Eagleburger joined the US Foreign Service in 1957 and held a series of embassy, State Department, national security, and Defense Department posts. When, in 1969, Henry Kissinger became Nixon's national security adviser, Eagleburger served as his executive assistant. After working as a political adviser to NATO in Belgium, and as Deputy Assistant Secretary in the Department of Defense, Eagleburger rejoined Kissinger at the State Department, again as his executive assistant in 1973. He then went on to serve as US ambassador (1977-81) to Yugoslavia. He was a State Department assistant secretary (1981-82) and under-secretary (1982-84) before serving as deputy secretary of state (1989-92) and secretary of state (1992-93) under President George Bush, becoming the first foreign service officer to hold the latter post.25 Before assuming his role as deputy secretary of state in 1989, Eagleburger was president of Kissinger Associates, Inc.(who analyse political risk and international economic trends to help clients make business decisions about operations in a foreign countries). Between 1985 and 1990, BNL (one of the largest banks in Italy with assets over $100 billion and 98 percent-owned by the Italian Government), as a client of Kissinger Associates, conspired to provide the Government of Iraq with over $4 billion in unreported loans.26 The loans were used to feed Iraqi people and to build weapons of mass destruction. In addition, the BNL loans were crucial to the Reagan and Bush administration's efforts to assist Saddam Hussein. While at the State Department, Eagleburger was fully aware of the link between BNL and the Commodity Credit Corporation (CCC) program for Iraq and the importance of the BNL scandal. A State Department memo dated October 13, 1989, states: 'The unfolding BNL scandal is directly involved with the Iraqi CCC program and cannot be separated from it.'27To date, several former BNL employees have pleaded guilty to the conspiracy and of signing false financial statements. Eagleburger's role in promoting United States-Iraq relations spans both his commissions at the State Department. During the early 1980's, Eagleburger wrote letters promoting the use of the CCC and Eximbank as tools to provide United States financial assistance to Iraq. Starting in 1989, then deputy secretary of state Eagleburger played a key role in winning approval of the $1 billion CCC program for Iraq just months prior to the Iraqi invasion of Kuwait. Eagleburger still serves as president of Kissinger Associates, Inc. and as senior foreign policy advisor with Baker, Donelson, Bearman & Caldwell (a Washington D.C. law firm). He is also chairman emiritus of the Academy of Diplomacy and a director of the Atlantic Institute (since 1987), Conoco Phillips, Stimsonite, Universal Corporation, Corning Corporation, and COMSAT. He is also on the advisory board of OILspace, a strategy board member of Appian Group, and has been a member of the Council on Foreign Relations (1988, 2001), and a member of the Trilateral Commission (see Influence).28
- Robert L. Crandall Crandall joined the board in 1986 and is also chairman emeritus of AMR Corporation/ American Airlines Inc. (engaged primarily in the air transportation business). He is also a director of Celestica, Inc., the American Express Company, Clear Channel Communications, Inc. and Anixter International Inc.29
- Kenneth T. Derr Derr joined the board in 2001. He is a retired chairman of the board at the Chevron Corporation - an international oil company (see Influence) and served as chairman and chief executive officer between 1989 and 1999. Derr is also a director of AT&T Corporation, Citigroup Inc., and the Potlatch Corporation. With regards to Iraqi oil, Derr has frequently been quoted from a speech he made on November 5th, 1988, while chairman of the board and chief executive officer with Chevron/ Texaco Corporation: 'Iraq possesses huge reserves of oil and gas - reserves I'd love Chevron to have access to...'30 Derr's name has also been linked to the Calpine Corporation.31
- Charles J. DiBona DiBona joined the board in 1997 and is a member of the Health, Safety and Environment, the Compensation and the Management Oversight Committees. He is chairman of the Board of Trustees of the Logistics Management Institute, a non-profit organisation dedicated to 'improving management of the nation's [the US] public sector through research, analysis, education, and counsel ’32 He is also a member of the Federal City Council in Washington, D.C. DiBona served nineteen years as president and four years as executive vice president of the American Petroleum Institute (API – see Influence). He is currently an honorary director.33 DiBona was elected to the board of directors of Mitchell Energy & Development Corporation in August 2001.34 In November 2002, DiBona was also added to the Advisory Board of Time Industrial, Inc.35
- William R. Howell Howell joined the board in 1991 and is chairman of the Management Oversight Committee and a member of the Audit and the Compensation Committees. He is chairman emeritus of J.C. Penney Company, Inc. (a major retailer) and has also served as Chairman of the Board (1983-1996) and Chief Executive Officer (1983-1995) of J. C. Penney. Howell is also a director of ExxonMobil Corporation, Pfizer Inc., Bankers Trust Company, Bankers Trust New York Corporation, The Williams Companies, Inc., and American Electric Power Company, Inc. Howell's name has also been linked to VISEON, Inc.36
- Ray L. Hunt Hunt joined the board in 1998. He is Chairman of the Compensation Committee and a member of the Audit and the Management Oversight Committees. Hunt serves as a member of the board of directors of PepsiCo, Inc., King Ranch, Inc., Electronic Data Systems Corporation, the Federal Reserve Bank of Dallas, and Security Capital Group Incorporated.37 He is also chairman of the board, president, and CEO of Hunt Consolidated, Inc.; chairman of the board and CEO of Hunt Oil Company; and chairman of the board, CEO and president of RRH Corporation. He has been chairman and CEO of Hunt Private Equity Group since its inception in 1990. In October 2001, Hunt was appointed by president George Bush to the President's Foreign Intelligence Board.38 Hunt currently serves as a member of the board of trustees of the Center for Strategic and International Studies in Washington, D.C. (see Influence); the board of trustees for the George Bush Presidential Library Foundation; the board of advisors for the Maguire Energy Institute at SMU Cox School of Business; the board of directors of the Texas Research League; the executive committee of the Southwestern Medical Foundation in Dallas; and the board of trustees of Southern Methodist University.39 Hunt has served as chairman of the National Petroleum Council in Washington, D.C. (see Influence) from June 1991 to July 1994. In 1980-81 he served as president of the Domestic Petroleum Council.40 He is currently a member of the board of directors of the American Petroleum Institute (see Influence). He also has served as president of the Dallas Petroleum Club.41
- Aylwin B. Lewis Lewis joined the board in 2001. He is also president and 'chief multibranding & operating officer' of YUM! Brands Inc., Louisville, Kentucky. Prior to this, Lewis was chief operating officer at Pizza Hut. He has also held various executive positions at KFC.
- J. Landis Martin Martin joined the board in 1998. He is a member of the Health, Safety and Environment, the Nominating and Corporate Governance and the Management Oversight Committees. Martin has been president and chief executive officer of NL Industries, Inc. (manufacturer and marketer of titanium dioxide pigments) since 1987 and a director since 1986. Martin has also served as chairman of the board of Titanium Metals Corporation (TIMET) (an integrated producer of titanium metals);42 and chairman of the board, president, and chief executive officer of the Tremont Corporation (TRE) - a holding company for both TIMET and NL Industries.43 Martin is a member of the International Titanium Association and was the organisation's President in 1999. Martin is chairman of the board and chief executive officer of the Baroid Corporation; non-executive chairman of the board of Crown Castle International Corporation (a company which designs, builds and operates cellular and broadcast-transmission towers and other communications infrastructure)44; and is also on the board of directors of AIMCO, a Denver-based apartment management company; and the Special Metals Corporation.
- Jay A. Precourt Joined the board in 1998. He is a member of the Compensation, the Health, Safety and Environment and the Management Oversight Committees. On February 10, 2003, Precourt was appointed to the board of directors of the Apache Corporation - a large independent oil and gas exploration and production company with existing core operations in the United States, Canada, Egypt, Western Australia and China. He had previously served on Apache's board from July 1992 to August 1995.45 Precourt has been chairman of the board and CEO of Scissor Tail Energy, LLC (a natural gas pipeline company) since 2000 and chairman of the board of Hermes Consolidated, Inc., Denver, Co, since 1999. Both Scissor Tail and Hermes gather, transport, and process crude oil, natural gas and natural gas liquids. He was vice chairman and CEO of the Tejas Gas Corporation from 1986 to 1999 and its president from 1996 to 1998. He was also chairman of the board of Coral Energy LP from 1996 to 1999. Both Tejas and Coral primarily focus on the transportation, processing, and marketing of natural gas. Precourt was re-elected as a director of the Timken Company in April 2002, and is currently chairman of its audit committee.46 He is also chairman of the board and director of Founders Funds, Inc., 'a Colorado-based asset management firm specialising in growth-oriented mutual funds,' and is a member of TIPRO (Texas Independent Producers and Royalty Owners Association).
- Debra L. Reed Reed has served on the board since 2001. She joined Southern California Gas Company (SoCalGas) in February 1978 as an energy systems engineer and, in 1988, became the first female officer appointed at the company. From 1984 to 1994, Reed held policy leadership positions with SoCalGas, including vice president of human resources, vice president of administrative services, manager of environmental engineering and manager of personnel relations. From 1995 to 2000, she served as senior vice president. Reed acted as president and chief financial officer for Sempra Energy Utilities, the umbrella for Sempra Energy's regulated business units, including SoCalGas and San Diego Gas & Electric (SDG&E). Sempra Energy is a San Diego-based Fortune 500 energy services holding company whose subsidiaries provide electricity, natural gas and value-added products and services.47 Reed became president of SDG&E in July 2000. In January 2002, she also became president of SoCalGas as part of the integration of Sempra Energy Utilities. Previously, Reed served as president of Energy Distribution Services at SoCalGas, overseeing the company's operations for residential, small-commercial and industrial customers.
C. J. Silas Silas joined the board in 1993 and is chairman of the Audit Committee and member of the Compensation and the Management Oversight Committees. He is retired chairman of the board and chief executive officer of Phillips Petroleum Company (1985-1994). Silas is also a member of the Council on Foreign Relations, the Trilateral Commission (see Influence),48 and the Atlantic Council of the United States.49 He has been on the board of directors of the Reader's Digest Association Inc. Since 1992, alongside Dick Cheney's wife Lynne -cosy.50
Auditors KPMG LLP (see Corporate Corruption)
Halliburton's subsidiaries include:51 Baroid, Bentonite, Bredero-Price, Coaters Ltd, CNOOC-Otis Well Comp Serv Ltd, Devonport Management Ltd, European Marine Contractors, Falcon AFB Contract Management Logistics Including Goddard SFC JOC, Granherne Pty Limited, Halliburton Australia, Halliburton Canada Inc, Halliburton Energy Services, Halliburton Far East Pte Ltd, Halliburton KBR Production Services, Halliburton Worldwide Ltd, Hellenic Shipyards Kellogg, Brown & Root (KBR), Landmark Graphics Geographix Inc, Marine Ltd, Metro Fast Track II, Monopumps, Mono Pumps Australia, Numar Corporation, Paragon Engineering Services Inc, Promzona 40, UPTOK Usinskstroi PT, Halliburton Indonesia Seaforth Maritime Ltd, Security DBS Security International, Servicios Halliburton de Venezuela SA, Sperry-Sun, Wellstream North Sea Wellstream Inc
Under Cheney's tenure, the number of Halliburton subsidiaries based in offshore tax havens increased from 9 to 44. Meanwhile, Halliburton went from paying $302 million in company taxes in 1998 to getting an $85 million tax refund in 1999.52
Halliburton's alliances include: GeoMechanics International, Inc 'GMI has worked with its oil and gas industry clients to successfully solve the most difficult drilling, well-planning, and production challenges the industry faces; including deep-water drilling in the Gulf of Mexico and West Africa,' stated GMI's President and co-founder, Colleen Barton.53 Together they hope to open up the few remaining places where nature has so far been allowed to remain undisturbed or, as Halliburton's president of Energy Services, Jody Powers, reworded: 'More of today's exploration and development projects are drilled in increasingly challenging formations.'54
Rapoca Energy Company Kellogg, Brown & Root joined with Rapoca to secure a contract allowing them to design and provide construction management for a 51-mile stretch of highway in Virginia, USA.55
22Yahoo! Finance http://biz.yahoo.com/hd/h/hal.html viewed: 16.07.03 23Halliburton 2002 Annual Report: www.halliburton.com/ir/ar/2002/highlights.html viewed: 22.07.03 24www.halliburton.com/about/board_of_dir.jsp viewed: 25.06.03 25'Eagleburger, Lawrence Sidney' Columbia Encyclopedia, 6th ed., 2003, www.encyclopedia.com/html/E/Eagleburg.asp viewed: 30.06.03 26'Kissinger Associates, Scowcroft, Eagleburger, Stoga, Iraq, and BNL,' Henry Gonzalez, 28.04.92, Congressional Record, www.fas.org/spp/starwars/congress/1992/h920428g.htm viewed: 30.06.03 27 Ibid 28'Lawrence Eagleburger,' Disinfopedia, 17.04.03, www.disinfopedia.org/wiki.phtml?title=Lawrence_S._Eagleburger viewed: 30.06.03 29'Board of Directors,' Halliburton, 2003, www.halliburton.com/about/board_of_dir.jsp viewed: 21.07.03 30'Oil,' The Jewish Agency for Israel, www.jafi.org.il/education/actual/iraq/6.html viewed: 02.07.03 31Annual Meeting of Stockholders Report, 19.03.02, www.halliburton.com/79149ACL.pdf viewed: 02.07.03 32'About LMI' LMI, www.lmi.org/about_lmi.htm , viewed: 21.07.03 33 'Halliburton board member, Microsoft Canada CEO, and technology visionary all join Time Industrial Inc.'s advisory board,' Mosaic, 05.11.02 www.mosaicvp.com/Home/newsclip/2002November/HALLIBURTON%20BOARD%20MEMBER.htm viewed: 02.07.03 34'People in the industry,' Pipe line and gas industry, August 2001, 84(8), www.pipe-line.com/archive/archive_01-08/01-08_people.html viewed: 02.07.03 35 'Contractor Management Group Names Advisors,' E-Chemmerce, 05.11.02, www.e-chemmerce.com/c2/1102/s/1102s4.html viewed: 02.07.03 36'Annual Meeting of Stockholders Report,' 19.03.02. www.halliburton.com/79149ACL.pdf viewed: 02.07.03 37Ray L Hunt – CSIS trustee, 2001-2003. www.csis.org/html/4hunt.htm viewed: 02.07.03 38Ray L Hunt – Chairman, January 2003. www.huntoil.com/hunt.asp viewed: 02.07.03 39Ibid 40Ibid. 41Ray L Hunt – CSIS trustee, 2001-2003 www.csis.org/html/4hunt.htm viewed: 02.07.03 42NL Industries Inc., www.nl-ind.com/ viewed: 02.07.03 43Tremont business information www.business.com/directory/industrial_goods_and_services/materials/metals/titanium_and_titanium_alloys/tremont/ viewed: 02.07.03 44'Crown Castle has new chairman,' 24.05.02, American City Business Journals Inc, http://pittsburgh.bizjournals.com/pittsburgh/stories/2002/05/20/daily42.html 02.07.03 45Apache Corporation – Director Biography, Jay A Precourt: www.corporate-ir.net/ireye/ir_site.zhtml?ticker=APA&script=121&layout=0&item_id=93785 viewed: 02.07.03 46 'Ward J. Timken Jr. Joins Timken Board,' 04.17.02, Steel News: www.steelnews.com/people/april02/people_april04.htm viewed: 02.07.03 47Company Organisation & Officers – Sempra Energy Utilities: www.socalgas.com/about/profile/organization/# viewed: 02.07.03 48Public Information Research - Namebase www.namebase.org/xsig/C-J-Silas.html viewed: 02.07.03 49The Atlantic Council of the United States – Board of Directors www.acus.org/board/Default.htm viewed: 02.07.03 50Reader's Digest – Board of Directors www.rd.com/corporate/bod_silas.html viewed: 02.07.03 51'Who Owns Whom: North & South America, 2002/ 2003', O. W. Roskill, London. 52'Cheney, Halliburton and the spoils of war', Lee Drutman & Charlie Cray, 04.04.03, Citizen Works www.corpwatch.org/issues/PID.jsp?articleid=6288 viewed: 17.07.03 53'Halliburton and Geomechanic's International announce Strategic Partnership,' Halliburton Press Release, 15.06.00. www.halliburton.com/news/archive/2000/hesnws_061500.jsp viewed: 22.07.03 54Ibid. 55'KBR-led joint venture team signs local subcontractors for coalfields expressway in Virginia,' Halliburton Press Release, 08.01.03 www.halliburton.com/news/archive/2003/kbrnws_010803.jsp viewed: 22.07.03