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  "documentTitle": "Hess Corporation (HES)",
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  "notes": "The slide uses a two-column layout to categorize analyst concerns into 'Capital Allocation / Discipline' and 'Exploration'.",
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      "text": "Analysts want Hess to return cash and halt failed exploration",
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      "text": "Quotes from Citigroup, Deutsche Bank, and Goldman Sachs regarding capital discipline and exploration strategy.",
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      "text": "\"The large variability in capex versus original guidance (just set six months ago) demonstrates some lack of capital discipline within the company.\" — Citigroup (July 25, 2012); \"Our view is that exploration spending should at least come down by 50%.\" — Citigroup (July 20, 2012); \"The key issue for HES in our mind is capital intensity and the inability of management in recent years to live within the limits of its cash flows.\" — Citigroup (July 20, 2012); \"Our valuation includes a ~$6 per share penalty for uneconomic exploration activity.\" — Citigroup (November 2, 2012); \"We then discount that number [Hess value] by 20% to account for Hess's high exploration spending.\" — Deutsche Bank (November 6, 2012); \"To summarize, the key growth assets underperform, expectations are lowered, and a key investor fear – Hess's propensity to outspend cash flow – is stoked by an early upward revision to the 2012 budget.\" — Deutsche Bank (April 25, 2012); \"We believe Hess should consider further reducing its exploration program beyond what has already been announced.\" — Deutsche Bank (November 6, 2012); \"A significant reduction in its global exploration program we also think is needed, as we do not believe Hess has a competitive advantage in all the areas it is currently exploring.\" — Goldman Sachs (June 11, 2012); \"The company's high-risk/high-potential exploration and acreage strategy since 2009 is thus far not yielding favorable results.\" — Goldman Sachs (June 11, 2012)",
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