Massive service company writedowns may mark downturn’s bottom, says Morgan Stanley

The world’s three biggest oilfield service companies wrote down the value of their assets to the tune of about $45 billion during the past year as customers engaged in severe spending cutbacks, according to Morgan Stanley.

The combined write offs, half of which stem from what were supposed to be blockbuster M&A deals, almost equal their combined market capitalization, analysts including Connor Lynagh wrote in a note to clients on Wednesday.

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