Putin’s Words

That, my friends, is power.

Speaking at an industry conference this week, Putin, Russia’s former president and now prime minister, spoke five sentences critical of one of his country’s big steel companies, Mechel, and its billionaire chief executive, Igor Zyuzin.

In a sign of Putin’s enduring power in Russia and around the world, that criticism came with a price: about $1.2 billion per sentence in lost shareholder value.

Such is the power of Putin’s words - even after “stepping down” to prime minister in May - that shares in Mechel, a coal mining and steel company, plunged almost 38 percent on the New York Stock Exchange after Putin complained that the company was charging more to its domestic customers than to its foreign ones. The comments wiped out, at least for a day, about $6 billion in stockholder value.

But consider that such power is the result of tyranny and the threat of more tyranny.