Halliburton says will exit Iran when work complete

[TwitchKitty]

I doubted that this would get much press so I posted it here. I posted it for its business value, not political. But I do believe that a well informed voting population is essential to a strong democracy.

Please respect the rules of this forum if you post to this thread.

http://www.signonsandiego.com/news/business/20050128-1205-energy-halliburton-iran..html

HOUSTON – U.S. oilfield services company Halliburton Co. will pull out of Iran after its current contracts there are wound down, its chief executive said Friday, citing a poor business climate in the Islamic Republic.

* Halliburton reports smaller loss for fourth quarter

"The business environment currently in Iran is not conducive to our overall strategy and objectives. As a result, we have decided to exit Iran and wind down our operations there while fulfilling our existing contracts and commitments," CEO Dave Lesar said on a conference call with investors.

The Houston-based company, formerly headed by Vice President Dick Cheney, has also been criticized for its work for the Pentagon in Iraq, where it is the largest private contractor with revenues totaling more than $10 billion.

The company is under investigation by the U.S. Justice Department for possible overcharges for fuel and food services connected to its Iraq contracts.

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Halliburton said in July it had received a subpoena seeking information about operations in Iran of its Cayman Islands-based Halliburton Products & Services Ltd. unit.

Hallibuton has argued that using a Cayman Islands subsidiary exempts it from a trade embargo against Iran imposed by Washington, which accuses Tehran of seeking nuclear arms and funding terror networks.

Halliburton generated about $80 million in revenues in Iran in 2003.

An offshore subsidiary of Halliburton earlier this month won a contract to develop Iran's huge South Pars gas field, which sits on the world's biggest reservoir of gas.

That report stoked criticism of the company in the United States, as well as among Iran's conservative newspapers.

Lesar said the pullback from Iran was temporary, and if U.S. laws or the business climate changed, Halliburton would return to the Islamic Republic.

"If the U.S. sanctions are lifted in the future, or more of our major customers go there we will return to this market," he said.

Halliburton provided no details on when its current contracts in Iran would be completed or on the value of the work.

Lesar also said several of its competitors were active in Iraq, but have not been demonized like Halliburton.

"It is inexplicable why these activities have not drawn equal attention, but once again it points out the political nature of the attacks on Halliburton," he said.

© Copyright 2005 Union-Tribune Publishing Co.

[TwitchKitty]

Some more references:

Immelt: GE Follows Halliburton, Ends New Business In Iran

General Electric (nyse: GE - news - people ) said Wednesday it will stop accepting new orders for business in Iran. The announcement comes just days after Halliburton (nyse: HAL - news - people ) said it will wind down its operations there.

http://news.bbc.co.uk/2/hi/business/4217703.stm

http://www.cbsnews.com/stories/2004/01/22/60minutes/main595214.shtml

[H2O2]

Just my humble inoffensive and non-partisan perspective:

Wow, what a heart wrenching tale of despair. I guess they'll have to funnel more of their wartime profiteering booty into a public relations campaign throughout the rest of the Middle East. A lesson for us all to take to heart...