TXU Buy Out and What happens Next
TXU will (most likely) be bought out by Kohlberg, Kravis, Roberts and Co., Texas Pacific Group, and the private-equity group of Goldman Sachs Group, Inc. The acquisition, tagged at $32 billion (plus another $12 billion in TXU debt), would be the largest-ever by a private-equity firm. Included in the deal would be TXU CEO John C. Wilder who would stay on to manage the company afterwards. While I have major concerns with the recent explosion in holdings and wealth among private-equity firms, I’ll leave that for another day.
A key part of this deal is the recent admission by KKR and its partners that they would cancel eight of the eleven planned coal-fired power plants TXU is lobbying for, if they gain control of the company. Besides this obviously being a good move and a benefit to helping usher in sustainable energy development by limiting fossil fuel proliferation, it was interesting to see that Goldman Sachs Group was involved in the buyout and stating their support for canceling some of the eleven power plants. Goldman was involved with RAN last year in crafting a environmental policy that would guide their investments.
While, if this deal does go through, it would be a giant step in the right direction we’re still talking about building new coal-fired power plants in a state that the highest potential for wind energy in the country. Albeit three is better than eleven it would still pump out an estimated 21 million tons of greenhouse gases into airways that include East Texas, Oklahoma and Tennessee. Maybe this is why the state of Oklahoma is involved in the lawsuit aimed at blocking these plants.
The bottom line is: No New Coal. We don’t need it, our health and environment can’t afford it and future generations won’t have it.
2 Responses to “TXU Buy Out and What happens Next”
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February 27th, 2007 at 8:38 am
Dear Friends,
Congratulations on a major step forward with stopping coal. We need your support in New Mexico to stop a dirty coal plant that is proposed on the Navajo Nation.
Right now, we are working hard to stop a bill that would give an $85 million subsidy to the coal plant. Please help us buy radio ads to defeat the bill. To find out more, please go to:
https://secure.democracyinaction.org/dia/organizations/CVNM/shop/custom.jsp?donate_page_KEY=834
or
http://www.desert-rock-blog.com/
Thanks!
Kristin
May 26th, 2007 at 11:54 pm
Please see:
The US border wall along the lower Rio Grande River is soon to be wiping out our wildlife preserves in South Texas.
Please see:
Gulf Coast Bird Observatory
http://www.gcbo.typepad.com/
Another aspect to the “border fence”
(excerpt)
“Here is a description of this portion of the $49 billion fence: “The Wall will be a double barrier with the first located 100′ back from the Rio. Though in some cases, local conditions will require a setback as far as 1000′. There will be an “alley”, 150 ft. wide, between the two fences. All vegetation will be removed from the riverbank all the way back to a buffer zone inside the second fence, to enable better surveillance - 500+ feet minimum in all locations (from Kos)”
“Also from the Kos article: “The BP agent I spoke to said the only way to make the fence “work” would be to completely remove all vegetation from the river shore, the space between the fences, and a buffer zone on the U.S. side of the innermost fence.”"
Posted by Tim Jones