To buy or not to buy, page-25

Collateral damage in an oil price war.

http://www.usatoday.com/story/money/business/2014/11/04/oil-prices-swoon/18457295/

Kicking myself for not selling at 29c but no point selling now IMHO.  I think AOK is better placed than most oil companies because of its low debt and big margins.  All the news articles talk about break even prices which are of course important.  But the elephant in the room will be lending covenants.  If pricing drops, reserves drop, and reserve based lending facilities may get called in.  This will potentially impact companies who seem to have a low break even but high debt.

Any company with high debt and low margins is now stuffed IMHO.