UPDATE: Citigroup Downgrades Anadarko Petroleum Following Release of Tronox Opinion

In a report published Friday, Citigroup analyst Robert S. Morris downgraded the rating on

from Buy to Neutral, and lowered the price target from $108.00 to $86.00. In the report, Citigroup noted, “United States Bankruptcy Judge, Allan Gropper, in the U.S. Bankruptcy Court Southern District of New York issued a 166-page opinion, not final judgment, in the lawsuit brought by Plaintiffs in the case of Tronox versus Kerr-McGee Corp. wherein Anadarko is the Defendant. While we are not legal experts, our reading of the opinion indicates that the Judge places the damages awardable to the Plaintiffs in a range of $5.15-14.2 billion, not including attorney's fees and costs. Before making a final determination, the Court has given Anadarko 30 days to file a response after which the Plaintiffs will have 30 days to file a response to the Defendants proof of claims and papers, as well as to settle a proposed judgment.” Anadarko Petroleum closed on Thursday at $83.67.