Halliburton Moving Headquarters To Dubai

[citykid09]

Big Loss For Houston! Halliburton Moving HQ to Dubai

Will this set Houston Back like Enron?

http://www.chron.com/disp/story.mpl/chronicle/4620201.html

[Guest danax]

I wonder if this will mean the sale of their property on the bayou?

In 2006, Halliburton

[ricco67]

While I don't think it will have that big of an impact, I think it's a mistake.

While they be helping out themselves in travel expenses and their regional issues in that area, the problem is that they will be in a more exposed area.

They will regret the move once they take a hit, the politics change, isn't cost effective, or they're no longer needed and will move back.

[Trae]

This isn't even close to Enron.

[RedScare]

No loss whatsoever. All of the rank and file employees are staying here....except that houstonfella has one less Fortune 500 HQ to brag about.

[DJ V Lawrence]

This isn't even close to Enron.

I agree. Halliburton, a company that's notorious in American business simply by reputation from the war, is leaving Houston. In contract, Enron, a company that's notorious for scandal in American business, collapsed and took hundreds/maybe thousands of families under with it.

[citykid09]

No loss whatsoever. All of the rank and file employees are staying here....except that houstonfella has one less Fortune 500 HQ to brag about.

Houston just got Direct Energy, isn't that Fortune 500?

[nmainguy]

Big Loss For Houston!

Not especially. We'll loose a corrupt corporation's HQ and keep the gravy here.

I'll be happy to give David Lesar a lift to the airport or federal penn...which ever comes first.

[houstonfella]

Not especially. We'll loose a corrupt corporation's HQ and keep the gravy here.

I'll be happy to give David Lesar a lift to the airport or federal penn...which ever comes first.

I agree with you on this one. Yeah, we lost a Fortune 500 company, but did we? Nah. Stay tuned. Check your next fill up your car bill. Houston can't be too far away from securing another energy giant. >

[bach]

Whoa, it's never good to lose a Fortune 500 company. They help bolster Houston's rep, among other things.

With respect to the number of jobs, Halliburton's HQ occupies only 2 floors of space in 5 Houston Center downtown. Not high-density floors. Shoot, another one bites the dust.

[Houston19514]

I'm not sure this is as big as either you guys or the Chronicle are making it. The news release refers several times to "a corporate headquarters, as if they will have more than one..." Unless they intend to convert their corporate charter to one based in the UAE, I suspect it will still show up as Houston-based company on the Fortune 500.

[houstonmacbro]

I agree with you on this one. Yeah, we lost a Fortune 500 company, but did we? Nah. Stay tuned. Check your next fill up your car bill. Houston can't be too far away from securing another energy giant. >

We did just get Direct Energy.

Whoa, it's never good to lose a Fortune 500 company. They help bolster Houston's rep, among other things.

With respect to the number of jobs, Halliburton's HQ occupies only 2 floors of space in 5 Houston Center downtown. Not high-density floors. Shoot, another one bites the dust.

Is the 'main' headquarters actually out on the Beltway 8 North .. .close to the airport? At least that's what I always thought...?

[Heights2Bastrop]

While I don

[Houston19514]

Again, I don't think there is any cause for alarm here. Despite how the print media is reporting it (and I can only imagine the butchering job the broadcast media is doing to this story).

Halliburton's own press release is slightly less than crystal clear, but it does not say that the headquarters is being relocated. It says that they will establish a headquarters office in Dubai. The HBJ has a slightly more intelligent article on-line today, at least acknowledging that Halliburton "will continue to maintain a headquarters here and also will keep its legal status as a U.S. corporation." (The HBJ demonstrates their own hilarious brand of incompetence, however, by seeming to think that David Lesar, Chief Executive Officer and David Lesar, Chairman and President, are two different people.)

It appears, so far, that Halliburton is relocating exactly one person from Houston to Dubai. Pretty close to a non-story.

[Houston19514]

While I don’t dispute those who say Halliburton is “corrupt”, I think it is just a bit na

[TheNiche]

Where do you guys get your information? I have been working at fairly high levels in and with Fortune 500 companies for 20+ years and have seen exactly zero evidence of rampant corruption or desire to break, bend, or manipulate the law, or to conduct any operations in an unethical manner. From what I have seen, the vast majority (and I mean 99%+) of business people, yes, even the evil "big business" people, are ethical, law-abiding people just like you and me (presuming you are ethical and law-abiding).

Agreed. In fact, small business are far more likely to be engaged in corrupt or unethical practices. The big reason for it is that there is very little transparency in a privately-held off-the-radar firm. Information is more easily controlled, there is no need for periodic auditing, and many such businesses can deal in cash, which is easy to hide when tax season rolls around. Hiring practices are also questionable because there is often not a statistically-significant sample of employees from which to draw conclusions. ...not to mention nepotism.

[The Great Hizzy!]

It appears, so far, that Halliburton is relocating exactly one person from Houston to Dubai. Pretty close to a non-story.

I've seen a handful of versions of the story, and this is how it reads to me as well. At the very least, it appears that a U.S. Headquarters will remain in Houston.

[KimberlySayWhat]

Now news is breaking that the company is relocating to Dallas. It's hitting the news wires as we speak.

[ricco67]

Agreed. In fact, small business are far more likely to be engaged in corrupt or unethical practices. The big reason for it is that there is very little transparency in a privately-held off-the-radar firm. Information is more easily controlled, there is no need for periodic auditing, and many such businesses can deal in cash, which is easy to hide when tax season rolls around. Hiring practices are also questionable because there is often not a statistically-significant sample of employees from which to draw conclusions. ...not to mention nepotism.

There are quite a few people here, that I suspect are conspiracy lovers and are willing to think the worst of corporations.

I'm fairly ambivalent about most corporations unless they are proven to be predatory or have unethical (but not TOTALLY illegal) practices.

Like any corporation, you're going to have those that want to succeed at any cost and very few of (I believe) the upper management take an active role of such a deal. However, as a manager or such capacity in a major corporation, there should be proper oversight in your respective line of responsibility whether you're a lower level manager or the CEO.

now that I got that out of the way and getting back on topic, I don't know all the details of the Haliburton deal, but I don't foresee them just abandoning their offices here. If just a large contingent of the upper level sales, contractors, managers and CEO's move there, then they will just have to be more careful. Dubai is a relatively safe oasis in that region, but they are still a major target for the idiot insurgents.

[Heights2Bastrop]

I stand by my comments.

[Vertigo58]

I stand by my comments.

Oil corporations have to be numero uno as lightening rods for harsh criticism too. Summer coming up and so do gas prices. This is now de riguer in the business. Blackmailmania.

[TJones]

No loss whatsoever. All of the rank and file employees are staying here....except that houstonfella has one less Fortune 500 HQ to brag about.

You beat me to it. Only moving the HQ for the Tax emeption it looks like, although Haliburton's story is that "They are hoping to gain easier access to the oil rich countries." RRRRiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiggggghhhhhhhhttttt

tt !

[Pumapayam]

It is not like they are moving from one state to another.

This is Dubai, I doubt people want to leave the comfort of their Houston homes, even is there is a Dubailand there.

[Houston19514]

You beat me to it. Only moving the HQ for the Tax emeption it looks like, although Haliburton's story is that "They are hoping to gain easier access to the oil rich countries." RRRRiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiggggghhhhhhhhttttt

tt !

What tax exemption would that be?

Another reminder folks, since there seem to be several of you who do not understand or just want to run with a conspiracy story. They are not moving the corporate charter. They will still be a United States corporation. Their Chief Operating Officer is staying here. So far, the only person moving to Dubai is the CEO. I imagine he'll need some support staff, but that's probably about all, the way it sounds. Seems like a slightly odd move to me, but appearances can be important in global business and I guess they think having the CEO based in Dubai will help their business in the Middle East.

[Houston1stWordOnTheMoon]

Where do you guys get your information? I have been working at fairly high levels in and with Fortune 500 companies for 20+ years and have seen exactly zero evidence of rampant corruption or desire to break, bend, or manipulate the law, or to conduct any operations in an unethical manner. From what I have seen, the vast majority (and I mean 99%+) of business people, yes, even the evil "big business" people, are ethical, law-abiding people just like you and me (presuming you are ethical and law-abiding).

Agreed!

[Trae]

Once they get thrown in jail for a year for brushing past a woman on the bus in Dubai, they will want to move back (happened to a Filipino man in Dubai).

[MidtownCoog]

LOL at the conecpt of the CEO on a bus.

[TJones]

What tax exemption would that be?

Another reminder folks, since there seem to be several of you who do not understand or just want to run with a conspiracy story. They are not moving the corporate charter. They will still be a United States corporation. Their Chief Operating Officer is staying here. So far, the only person moving to Dubai is the CEO. I imagine he'll need some support staff, but that's probably about all, the way it sounds. Seems like a slightly odd move to me, but appearances can be important in global business and I guess they think having the CEO based in Dubai will help their business in the Middle East.

Ok, need I remind you that if you are a citizen or a corporate entity of Dubai, then you pay no Taxes in Dubai per their King, if you Headquarter and are DBA in Dubai, I will venture to say it won't be long before you move your corporate charter there also, after all, nobody saw them moving to Dubai at the spur of the moment, so it is not inconcievable that they will move the charter. Since haliburton is in the Global 500, it won't effect their ranking. Not going with the conspiracy theory at all, and I DO understand how Fortune 500 companies work, since I actually work for one. I am NOT a " I Hate Haliburton" sign carrier, loiterring outside the offices on Beltway 8. I just have my notions as to the what, where, when, why , and how. If I am wrong, so be it.

Quick Edit: I need to clarify "tax-free" . It is "tax-free" to those outside companies wanting to "invest" in Dubai.

I am sure that Haliburton will no doubt Headquarter in the Dubai International Finance Centre.

http://www.wisegeek.com/is-dubai-really-tax-free.htm

[Houston19514]

Ok, need I remind you that if you are a citizen or a corporate entity of Dubai, then you pay no Taxes in Dubai per their King, if you Headquarter and are DBA in Dubai, I will venture to say it won't be long before you move your corporate charter there also, after all, nobody saw them moving to Dubai at the spur of the moment, so it is not inconcievable that they will move the charter. Since haliburton is in the Global 500, it won't effect their ranking. Not going with the conspiracy theory at all, and I DO understand how Fortune 500 companies work, since I actually work for one. I am NOT a " I Hate Haliburton" sign carrier, loiterring outside the offices on Beltway 8. I just have my notions as to the what, where, when, why , and how. If I am wrong, so be it.

You are assuming something (the relocation of the corporate charter) not in evidence. No, I suppose it is not inconceivable that they would move their charter, but they have said they are not doing so. If that were the plan, why would they not make the charter change simultaneously with the CEO move? What possible motive would there be for delaying that part of the "plan?"

Besides which, that would not not be likely to save them all that much money ,if any. Just because their income may not (or now, with your edited post, may) be taxed in Dubai, does not mean it won't be taxed somewhere, including the United States. Most countries tax income from goods delivered or services rendered within their tax jurisdiction. Most of Halliburton's services would presumable still be rendered in the oil fields, or in Houston and its other locations around the world. IF they moved their charter, the US would still tax them on their US based income. And all other countries where they have installations or perform services will tax them on the services rendered and goods delivered in their countries. The only possible savings are the piece of income allocated to whatever work they actually perform in Dubai (and that was probably protected by tax treaties anyway). All in all, it seems unlikely this is a tax-motivated move.

[TJones]

You are assuming something (the relocation of the corporate charter) not in evidence. No, I suppose it is not inconceivable that they would move their charter, but they have said they are not doing so. If that were the plan, why would they not make the charter change simultaneously with the CEO move? What possible motive would there be for delaying that part of the "plan?"

Besides which, that would not not be likely to save them all that much money ,if any. Just because their income may not (or now, with your edited post, may) be taxed in Dubai, does not mean it won't be taxed somewhere, including the United States. Most countries tax income from goods delivered or services rendered within their tax jurisdiction. Most of Halliburton's services would presumable still be rendered in the oil fields, or in Houston and its other locations around the world. IF they moved their charter, the US would still tax them on their US based income. And all other countries where they have installations or perform services will tax them on the services rendered and goods delivered in their countries. The only possible savings are the piece of income allocated to whatever work they actually perform in Dubai (and that was probably protected by tax treaties anyway). All in all, it seems unlikely this is a tax-motivated move.

If you could stop being so literal for a second and reread the initial post of mine, you could see where it says, "LOOKS LIKE", never said it was an actual fact, but since you want to make mountains out of molehills, let's speculate further. Within a year Haliburton will shutdown some Houston offices. liqidating some jobs due to outsourcing and combine into one building, either on the Beltway by the airport or over on the southwest side of Beltway 8 near Bissonet. Downsizing, and paying handsomely to those willing to move to Dubai, where there new charter will be now.

Another reason you don't change your company charter over night is so you don't scare your stockholders half to death and make your stocks plunge at the opening bell.

Not saving alot on the taxes huh ? How much did Haliburton take in last year ? Let's just say for arguments sake they save 15% off total revenue, how many billions is that ?

Do you work for Haliburton or something ?