Halliburton will move HQ to Dubai

Jim Krane | Dubai | March 11

AP - Oil services giant Halliburton Co. will soon shift its corporate headquarters from Houston to the Mideast financial powerhouse of Dubai, chief executive Dave Lesar announced Sunday.

"Halliburton is opening its corporate headquarters in Dubai while maintaining a corporate office in Houston," spokeswoman Cathy Mann said in an e-mail to The Associated Press. "The chairman, president and CEO will office from and be based in Dubai to run the company from the UAE."

Lesar, speaking at an energy conference in nearby Bahrain, said he will relocate to Dubai from Texas to oversee Halliburton's intensified focus on business in the Mideast and energy-hungry Asia, home to some of the world's most important oil and gas markets.

Lesar's announcement appears to signal one of the highest-profile moves by a U.S. corporate leader to Dubai, an Arab boomtown where free-market capitalism has been paired with some of the world's most liberal tax, investment and residency laws.

Waxman plans hearing on Halliburton move. ~ Think Progress

UPDATE March 12:
Leahy's comment: “This is an insult to the U.S. soldiers and taxpayers. At the same time they’ll be avoiding U.S. taxes, I’m sure they won’t stop insisting on taking their profits in cold, hard, U.S. cash.”

Tina March 12, 2007 - 9:15am

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( categories: AgonistWire | USA: Domestic Issues )

What a surprise.

"some of the world's most liberal tax, investment and residency laws."

I'm surprised the AP editor let that stand; it should read "some of the world's most lassaiz-faire laws". Why did they let the L-word slip through?

_{"Damn right it's loaded, it makes a lousy club."}

Rick March 11, 2007 - 1:38pm

"Hail Burton", come on down.

"Hail Burton", come on down. Get close to where the action is. Catch a breeze and Gul(f)p the oil.

adrena March 11, 2007 - 3:59pm

But why Dubai? It's closer to action

March 12, 2007

By GREGORY KATZ

LONDON — Texas is the can-do state. But there's no denying that Dubai has become the can-do sheikdom and a potent rival to Houston's supremacy as the center of the oil business.

The move of Halliburton's corporate base from Houston to Dubai is a stark example of the industry's shift in power from North America. The company is moving closer to the oil fields of the Middle East and Africa and its big national oil firms that control financing, exploration and production.

"The business is changing," said Amy Myers Jaffe, a fellow for energy studies at the James A. Baker III Institute for Public Policy at Rice University. "Will Houston remain the center of the energy business? I don't know."

Dubai's leaders decided decades ago to invest their limited oil revenues into building roads, airports and research parks to transform the city-state into a regional business hub. The strategy has been a runaway success, leading hundreds of international companies to relocate.

Dubai has become the jumping-off point into more troubled parts of the Middle East, offering executives a safe haven with excellent restaurants, golf courses, marinas and the like — while keeping them close to the action.
More at link

adrena March 12, 2007 - 1:51am

I'm thinking

that they are placing themselves close to the new oil rush in Africa. With Africom coming into existence they will also be close by to support our troops as they rid Africa of terrorists. Too bad they won't start with leaders first. Like Mugabe. Mugabe makes me understand when African go nuts and machete their leaders.

Tina March 12, 2007 - 9:50am

Corporations who do not HQ

Corporations who do not HQ here should not be given government contracts. Period. Most especially when those contracts are related to national security.

I'd be outraged, but that burned out long ago.

ww March 11, 2007 - 2:32pm

Plus

You can put money on the fact that MSM "news" shall dutifully place it on page 60, one time and one time only.

Lasthorseman March 11, 2007 - 2:53pm

Geez I don't know,

when I just now put "Halliburton Dubai" into Google News, I got 236 returns

http://news.google.com/news?hl=en&ned=us&ie=UTF-8&q=halliburton+dubai&btnG=Search

including a link to 307 more at top in the first return:

Halliburton: Dubai at center of firm's future
Gainesville Sun, FL - 2 hours ago
DUBAI, United Arab Emirates - Oil services giant Halliburton Co. will soon shift its corporate headquarters from Houston to the Mideast financial powerhouse ...
Halliburton moves HQ from Houston to Dubai Today's Zaman
Halliburton boss moving to Dubai Sydney Morning Herald
Halliburton Moving CEO From Houston to Dubai Wilmington Morning Star
all 303 news articles »
http://news.google.com/news?hl=en&ned=us&ie=UTF-8&ncl=1114362203

the story has even made "MyFoxNews" on Fox TV channel sites in NC and Bismarck, ND

Halliburton to Move Headquarters to Middle East Hub of Dubai

MyFox WGHP, NC - 19 minutes ago
Oil services giant Halliburton Co. (HAL) will soon shift its corporate headquarters from Houston to the Mideast financial powerhouse of Dubai, ...
Outsourcing Halliburton
Reiten Television KXMB Bismarck, ND - 18 hours ago
SAN FRANCISCO (MarketWatch)—Halliburton Co. will move its corporate headquarters from Houston to Dubai, according to reports Sunday citing the oil services
http://www.kxmb.com/getARticle.asp?ArticleId=103442

and I would really be surprised if Lou Dobbs over at CNN didn't have much to say on the topic. I think you may be underestimating the appeal of the "doing business with Arabs" topic. Seems like Henry Waxman (see story in comment by candy below) is not as sanguine about the prospects for only short term interest in the story.

jeffrey March 12, 2007 - 9:57am

Dubai is a "sexy" subject

for the News Lite crowd. It's wealthy, new, shiny, ostentacious and appeals to the same mouth-breathers who don't miss an episode of "Lifestyles of the Rich & Famous" ad the countless imitators slogging up the tube. It's like Las Vegas on steroids and that shit sells; when they opened their indoor ski area, there was footage on every MSM news program in the country.

There will be a lot more news, both real and sham, out of there in the future.

Doug Richardson March 12, 2007 - 5:58pm

If you thought

multinational corporations such as this one were loyal to the American people, you thought wrong.

I did inhale.

Don March 11, 2007 - 2:57pm

I've heard this quote goes back to Cicero in ancient Rome:

"if you want loyalty, buy a dog".

Naturally there are problems with comparison to the behaviour of animals. Corporations don't rise to the level of animal logic; given the opportunity of unlimited fodder, most animals will stop eating before they kill themselves.

I'd put internal corporate logic somewhere between "malignant tumor" and "virus"; virii may also reproduce to the point of killing their host and themselves, but they have a better survival strategy than a tumor - flight to new hosts.

Escher Sketch March 11, 2007 - 4:09pm

Speaking of dogs...

Do you think they'll take Cheney with them?

"Hawkeye" and my dog have something in common: they would both sell me into bondage for half a can of week-oild Alpo.

Doug Richardson March 11, 2007 - 4:54pm

Given that this announcement was made

about two months after "their party" lost Congress (and thus their noose around oversight) and when Cheney's in jeopardy, their timing is predictable: get out and get to safety before the investigations really kick in in earnest and the truly ugly stuff comes out.

Try doing an Enron on them then.

Escher Sketch March 11, 2007 - 6:06pm

Security

Are there any security/defence issues that could arise from this? Similiar to the issue of the company based in the United Arab Emirates that was wanting to take over operation of several American ports last year?

Leaftree March 11, 2007 - 6:57pm

Yes...

Halliburton would be more of a security issue than the Gulf ports deal because they are a larger company with more extensive government contracts.

BlueSunbelt.Com Netroots for the Sunbelt states robwire.com My personal blog

rob March 12, 2007 - 11:57am

Waxman plans hearing on Halliburton move.

Time’s Karen Tumulty comments on Halliburton’s plan to move its headquarters from Houston to Dubai: “Is this about tax breaks? Getting beyond the reach of congressional subpoenas? And what about all that sensitive information that Halliburton has had access to? At a minimum, reincorporating in Dubai would mean that Halliburton will be paying less taxes to the U.S. Treasury, even as it collects billions from government contracts.” She also reports, “Henry Waxman is already planning to hold a hearing on this, an aide tells me.”

embedded links at Think Progress

Tina March 11, 2007 - 7:31pm

"And what about all that sensitive information

that Halliburton has had access to?"

Yes, indeed. And what about it?

Escher Sketch March 11, 2007 - 8:17pm

Leahy hits a bullseye

Leahy On Halliburton Move: ‘This Is An Insult To The U.S. Soldiers And Taxpayers’

“This is an insult to the U.S. soldiers and taxpayers. At the same time they’ll be avoiding U.S. taxes, I’m sure they won’t stop insisting on taking their profits in cold, hard, U.S. cash.”

watch it: http://thinkprogress.org/2007/03/12/leahy-halliburton/

Tina March 12, 2007 - 11:00am

Move Makes Democrats Suspicious

snip

Move Makes Democrats Suspicious

Outrage over that possibility had Halliburton scrambling Sunday to explain it had no plans to incorporate abroad. Still, Democrats are suspicious.

"For one of the largest contractors with the United States government to move its headquarters overseas? [It] just doesn't look good, doesn't sound good, doesn't smell good," said Sen. Chuck Schumer, D-N.Y.

The move may raise serious national security questions too, as happened last year with the canceled port security contract with another U.A.E.-based company, Dubai Ports World. Congressional outrage scuttled that deal; Halliburton will now have some explaining to do to avoid similar scrutiny.

"Obviously a company that has its headquarters overseas should be given a little more scrutiny than an American company," Schumer said. "No question about it."

snip

Tina March 12, 2007 - 11:10am

OK, so they're "suspicious"

Now what? What are they going to do about it?

Zip. Zero. Nada.

I aplogize for the sour, pessimistic tone, but I don't see anyone out there capable of putting a stop to it.

Doug Richardson March 12, 2007 - 6:02pm

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