Chesapeake Energy warns of 2Q loss due to hedging activities

Wed. July 09, 2008; Posted: 06:34 AM

7 Stocks You Need To Know For Tomorrow -- Free Newsletter

LONDON, Jul 09, 2008 (Thomson Financial via COMTEX) -- CHK | Quote | Chart | News | PowerRating -- Chesapeake Energy Corp. said Wednesday its hedging activities aimed at better managing rising natural gas and oil prices will result in the company posting an overall net loss in the second quarter.

The company said it already incurred $1.1 billion of unrealized losses associated with mark-to-market changes in the value of outstanding hedge contracts.

"Commodity prices have continued to increase since March 31, 2008, and we anticipate incurring additional substantial unrealized losses in the quarter ended June 30, 2008," the company said in a regulatory filing with the Securities & Exchange Commission.

mark.cotton@thomsonreuters.com mc1/ms1

Copyright Thomson Financial News Limited 2007. All rights reserved. The copying, republication or redistribution of Thomson Financial News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Financial News.

MMMM

For full details on Chesapeake Energy Corp (CHK) click here. Chesapeake Energy Corp (CHK) has Short Term PowerRatings of 6. Details on Chesapeake Energy Corp (CHK) Short Term PowerRatings is available at This Link.

Morning Coffee with TradingMarkets -- Free Newsletter

More News: Market Updates | Stock Alerts | All Trading News | Stock Index

Archives

Feedback

Email Article Link

Close X

RELATED SITES

Please call 1-213-955-5858 ext. 1

All analyst commentary provided on TradingMarkets.com is provided for educational purposes only. The analysts and employees or affiliates of TradingMarkets.com may hold positions in the stocks or industries discussed here. This information is NOT a recommendation or solicitation to buy or sell any securities. Your use of this and all information contained on TradingMarkets.com is governed by the Terms and Conditions of Use. Please click the link to view those terms. Follow this link to read our Editorial Policy.