Dear Democracy Now! Visitor: We are an independent, ad-free daily news program that serves millions of viewers and listeners each month. Our show is special because we make it our priority to go where the silence is. We put a spotlight on corporate and government abuses of power and lift up the stories of ordinary people working to make change in extraordinary times. We do all of this with just a fraction of the budget and staff of a commercial news show. We do it without ads, corporate sponsorship or government funding. How is this possible? Only with your support. If every visitor to this site in December gave just $10 we could cover our basic operating costs for 2015. Pretty exciting, right? Please do your part today. It takes just a couple of minutes to make sure that Democracy Now! is there for you and everybody else in 2015.

Your Donation: $
Friday, November 16, 2001 FULL SHOW | HEADLINES | PREVIOUS: From the WTO to the G20: From Qatar to Ottawa: The...
2001-11-16

Energy Giant Enron Is Bought Out By Smaller Rival Dynegy in a $9 Billion Deal, Merging Theworld’s Largest Energy Trader and Bush Ally Into An Even Larger Corporation

DONATE →
This is viewer supported news

Enron Corp., a mainstay of Houston’s corporate landscape that helped turn the city into a global energy tradingpowerhouse, will disappear in a turn of events that would have been unthinkable a month ago.

The smaller rival company Dynegy announced Friday that it will buy the beaten-down Enron in a stock deal worth almost$ 8.9 billion.

The purchase will end Enron’s reign as the world’s largest energy trader. A much bigger Dynegy–with annualrevenues exceeding $200 billion and $90 billion in assets–will emerge with Chuck Watson, its current chairman andchief executive, keeping those roles in the combined company.

With Enron’s close ties to the Bush administration, many may be wondering how this could have happened. EnronChairman Ken Lay is a close friend of President Bush. When Vice President Cheney unveiled his energy plan,questions over Lay’s influence over the Federal Energy Regulatory Commission sparked an investigation by the GeneralAccounting Office. According to the Center for Responsive Politics, Lay and other Enron officials spent $2.1 millionlobbying the White House last year alone. 70 Senators and nearly 200 members of the House have received contributionsfrom Enron.

We’re joined right now by Laura Goldberg, a business reporter for the Houston Chronicle.

Guests:

  • Laura Goldberg, business reporter for the Houston Chronicle.
  • Harvey Rosenfield, consumer advocate.

Related link:


Creative Commons License The original content of this program is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 3.0 United States License. Please attribute legal copies of this work to democracynow.org. Some of the work(s) that this program incorporates, however, may be separately licensed. For further information or additional permissions, contact us.