Nabors Reincorporation - Move to Bermuda

Putting Profits Over Patriotism  some American corporations are helping to fight the war on terrorism by storming the beaches — of bermuda

Nabors Industries Ltd Company News complete financial news for Nabors

Press Release Pension Funds Blast Offshore Reincorporations; Nabors Is a Focus of Efforts Against Reincorporations

Press Release Nabors Industries Comments on Pension Fund Statements

Press Release Nabors Stockholders Overwhelmingly Approve
Reorganization in Bermuda

Press Release  Nabors shareholders vote in favor of Bermuda move

Press Release Nabors Industries Completes Reincorporation as a Bermuda Company

Headline News Nabors Industries, Inc. (NBR), today announced that the Company's reincorporation in Bermuda has been completed and trading of the new Bermuda company,

Houston firms riding tax-free wave  Tourists aren’t the only ones longing for the tropical shores of Bermuda and the Cayman Islands. Seeing an opportunity to slash the taxes they pay on foreign-earned revenue, global Houston companies including Nabors Industries Inc. are seeking to reincorporate  from a U.S. legal home to a foreign one.

Houston Business Journal A class-action lawsuit has been filed against Nabors Industries Inc. to block the Houston-based company's proposed change of incorporation from Delaware to Bermuda.

Houston Business Journal   A coalition of labor unions and institutional investors is actively opposing the management of Nabors Industries Inc. on the company's plan to reincorporate in Bermuda. And these investors are raising new issues about the growing trend of U.S. companies moving their legal addresses offshore

httpOfficers May Gain More Than Investor The parade of companies that in recent months have proposed incorporating in Bermuda to reduce their American taxes usually provide the same rationale. They are doing it, they say, to increase their profits and, in turn, to
benefit their shareholders. But left unsaid is another fact: the biggest beneficiaries could actually be the chief executives of these companies. At a minimum, these executives could pocket millions in additional pay. In some cases, they could well take home extra pay equal to half the company's tax savings or more. In effect, the government's loss in taxes is the chief executives' gain, in the form of higher pay, bonuses and profits on the sale of stock options.

AFL-CIO  A reincorporation to Bermuda can be accomplished by a paper transaction involving little more than setting up  a mail drop there and paying nominal fees. Some companies don't bother to even open an office in their 'new' home.

CNET News   A coalition of institutional investors announced today that they plan to examine closely and, if necessary, vote against, the proposal by Nabors Industries (Amex: NBR) to reincorporate from Delaware to Bermuda. Nabors is the largest land-drilling contractor in the world, with approximately 17,980 employees.

HAMPTON ROADS - Opinion   In a nutshell, it's this: A number of canny American corporations -- some of them among the most solid, best-known names in American business -- are changing their office addresses to Bermuda and Barbados. They are doing this to dramatically limit the taxes they pay on earnings posted both in the United States and abroad.

Eugene M. Isenberg, CEO of Nabors Industries, the world's largest operator of land-based oil rigs. Isenberg's pay package will increase by tens of millions of dollars a year if he can convince shareholders next month to approve the Bermuda Boogaloo, Johnston reported.

This is important to Mr. Isenberg, one must assume, because he earned a paltry $126 million over the past two years as Nabors' CEO, through direct compensation and profits from the sale of stock options.

Alexander's Gas & Oil Connections  New offshore manoeuvre sidesteps US corporate tax

CNET News Some U.S. lawmakers have argued that U.S. companies are putting profits before patriotism when they use
offshore tax havens to reduce their taxes and they have introduced legislation intended to discourage the practice.

"We follow the law all the time. If they want to change the law, God bless them," Isenberg said of such initiatives.

Putting profits over patriotism.. Robert S. McIntyre. The Taxonomist: Putting profits over patriotism.
In a recent article in The New York Times, David Cay  Johnston details how some sleazy American companies are reincorporating in Bermuda and other countries in order to avoid taxes. Insurance  companies led the way a few years ago; and when Congress failed to take action, other  patriotically challenged corporations followed suit.

The ploy entails little more than some creative  paperwork.  These freshly minted offshore companies don't  do anything at all in their new "home" countries. Why would setting up a mail drop on a sunny island  allow an American company to avoid taxes?

Tax revenues vanish as firms move from US to Bermuda
Mr. Grassley and Senate Finance Committee chairman Max Baucus (D) of Montana have introduced two bills aimed at cracking down on such tax shelters: one on the expatriation issue, the other on disclosure rules. Similar House legislation has been introduced by Richard Neal (D) of Massachusetts.

Washington Post. Legislation intended to curb tax shelters, halt corporate relocations to tax havens like Bermuda and fix a tax dispute with the European Union was unveiled Thursday by the c hairman of the House tax committee.

Employee Benefits and Managed Health Care News

MSNBC News  Why CEOs love company tax dodges
Corporate chiefs see big pay boost from offshore moves
 
  Tax Treaties With Small Nations Turn Into a New Shield for Profits   Some large companies, encouraged by top law and accounting firms, are adopting a new strategy to cut taxes legally on profits they make in this country.

Editorial: Fleeing taxation  This loophole in U.S. tax law costs the government tens of billions of dollars per year, according to IRS Commissioner Charles Rossotti, who backs a bill before Congress to end the practice. That legislation is overdue, and because the corporate race to leave the good old U.S.A. behind is heating up, passage cannot come too soon.

Some insurance companies are making so much money disappear into the Bermuda triangle of tax havens that their U.S. operations are reporting losses and collecting tax refunds.Yesterday, New York Times reporter David Cay Johnston pointed out that top corporate executives stand to benefit the most when companies incorporate abroad.

One, Eugene Isenberg, head of Texas-based Nabors Industries, could get a raise of tens of millions per year if company shareholders approve a planned move offshore. That increase will add to the $126 million the CEO made over the past two years.
 

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