Savanna Energy Services Corp eliminates dividend, cuts staff, trims salaries
Financial Post - CALGARY
Faced with a drop in oilfield activity levels, heavily indebted Savanna Energy Services is eliminating its dividend, laying off 200 people, rolling back salaries and closing field offices to survive the oil price collapse.
“We are structuring the company to prepare us to operate in a low commodity price environment as efficiently as possible,” Dwayne LaMontagne, interim president and CEO of the Calgary-based drilling company, said in an email Friday.
Mr. LaMontagne, who took over Feb 4 as interim CEO after the abrupt departure of Savanna’s previous CEO, confirmed that “just over” 200 salaried employees, 38% of those who don’t work on rigs, had been laid off and the company’s remaining employees had taken an average 7% pay cut.
He added that the company is looking at selling real estate
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Submitted Mar 27, 2015 By: