LyondellBasell, this one could hurt!!!

[Marilyn]

I spoke with one of the guys that I work with, Shane, this afternoon. He was out looking for a home to rent today. We were his landlords, until this past summer when we sold the home he is living in to a gentleman in the oil business. The new owner planned to continue to rent the home to Shane and his family. However, he notified Shane yesterday, that due to the price of oil dropping so suddenly, he is having financial troubles and must move out of his home in town and move into the rent house. When Shane paid his rent yesterday, he was given a 30 day eviction notice. I feel so bad. If we hadn't sold the property, this wouldn't be happening. Although, selling when we did was a really good thing for us.

It looks like none of us will be spared some hardship as a result of these times.

[Marilyn]

Well, it happened......
http://biz.yahoo.com/ap/090106/lyond...ankruptcy.html

I've been working feverishly trying to minimize our loss potential ever since first starting this thread. My e-mails and phones fell silent about 3 p.m. when the news hit.

I really do not know at this time what this means. It was like a crash had occurred, but there was no noise. Those of us in the frey of things were just stunned. We were racing against the clock and the time ran out.

[Tiramisu]

Three of my neighbors, two girlfriends, and a lady who bought one of my pups work at Lyondell. I hate that this is happening. Were they being too greedy?

[Marilyn]

Originally Posted by Tiramisu

Three of my neighbors, two girlfriends, and a lady who bought one of my pups work at Lyondell. I hate that this is happening. Were they being too greedy?

Yes/No. They based their business decisions on how things were looking in 2007 and into the future. 2008 was a record breaking year until September. Basell went into heavy debt buying Lyondell in 2007. Their projections for being able to cover the debt were based on past and projected performance. The world changed in Sept. '08 and when consumers stopped buying things and cars, the demand for chemicals and plastics plummeted and so did the industries' profits. The bills came due and the income just wasn't there. The creditors needed to work with Lyondell in restructuring their loans or they had to file bankruptcy. The latter happened.

LyondellBasell is not the only company in this industry in trouble. Ineos is having trouble covering their debt. Dow lost the Kuwait deal and committed to buy Rohm & Hass this summer when stock was high. Now they are trying to renegotiate the purchase and may sue Kuwait to recover billions lost on that deal. Dow is the largest chemical company in the world. LyondellBasell was number 3. When giants like these have problems, there will be ripples into other industries as well.

Also, it seems to begin a domino effect once one falls, others follow.

The news is so fresh, we don't know what to expect, yet. There will be some reductions in force. We just have to wait and see how the restructuring works, and whether or not we get paid.

I don't know what tomorrow will hold, whether we will be shipping to them or not. I'm figuring, not, but will have to wait and see. I've been in this industry since 1979, and have never seen a time anything like this. I was hopeful until today. Now, I really don't know. I've never seen so many units just not running. The entire Invista, Lyondell, DuPont plant site in our area is down, no steam or anything. Most of the company employees/non-contract people are still there, but for how long?

Houston could be the next Detroit at this rate. Very, very sad!!

[2tiredmom]

I know it's really scary. When it affects a big company like that it is a trickle down
effect. My husband works in Ag-Fertilzer business and they are taking a hit too.
So that will affect the farmers and then turn around and hit us again at the grocery stores. I along with others I'm sure are praying it will stop soon. We've had it good for to long. It's amazing what greed can do to people.
Your in my thoughts and prayers. I'm sure if God had an e-mail address his inbox would be overflowing a gazillion times over.

[Marilyn]

I'm really in a frump over this. It's so hard to shake off. Last night we went to our Wednesday night service at church, and it was so nice. We're having a Ladie's Day on Jan. 24th and I'm the coordinator and master of ceremonies, so we were busy working on that after services. We had a really nice Bible study and devotional. I felt so much better getting my mind on more important things. Afterward we went to IHOP with the preacher and his wife, his wife is like my best friend, any way, when we were paying to leave, she asked me about Lyondell and how things were going. She meant very well, but she brought me back down to thinking of my concerns over this issue. This morning, for some reason, I just have a feeling of dispair. I know I'm not supposed to. My life priorities are higher than work and money. It's just a forboding kind of feeling. Usually I'm much more positive. Gotta get out of this mood, and soon!!!!

Also, there's a funeral I should probably attend today, but I'm just not sure I'm up to it right now. Gotta rise above all this and get on with life!!!

[gja1000]

Marilyn, I do think it is a sense of foreboding that you are feeling. Not necessarily for yourself, but for many many others, our country, etc. I know you feel you should "rise above" it, but I think it is your profound concern for others, humankind if you will, that has you in such a funk. I heard someone on some media say something like, "in times like these, we remember to appreciate the little things, rather than the material things". It reminded me of something you said recently about trying to appreciate things like faith, family, fun, etc, rather than worrying about the declining 401K (I know that probably not exactly what you said, but something like it)

I don't think you are wrong to feel the way you are feeling, I just think your kindness and compassion is overwhelming you.