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BP Cancels Dividend Payments for Rest of 2010

1 year ago
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President Obama must have had some convincing words for BP Chairman Carl-Henric Svanberg and CEO Tony Hayward this morning.

Svanberg said today that BP is canceling dividend payments to its investors for the rest of the year. The announcement came only eight days after the company said it would pay out $10.5 billion in dividends this year, including $2.63 billion for the first quarter.

Obama and members of Congress have opposed the plan, saying the company should not pay its investors any money until the full costs of the Gulf oil spill were known.

BP also agreed today to set up a $20 billion fund to pay victims of the oil spill.

BP stock was up 4 percent from last week this afternoon, although its overall value has been slashed by more than 50 percent since the Deepwater Horizon explosion on April 20.
Filed Under: Oil Spill, Surge Desk

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leonmadrid546

It was the first time that Tony Hayward really seemed ashamed, before he had a smirk on his face that was offensive to the people from the Gulf coast, maybe he now knows the damage he/they have done to the world, and the dire consequences that even England is going to endure in the present and the future, in their economy, he should be made an example and be fired from the company.

June 17 2010 at 12:00 AM Report abuse rate up rate down Reply
Sharelle

I personally am not as mad at BP as many people are. It was a major screw up, things need to be changed, and it was not only their screw up but ours, so sit in your glass houses and continue to act like children if you want.....but no company could try harder for us than they are...and regardless of what Obama said, they have no legal obligation. They are trying hard, overlooking the spoiled Americans who jump to conclusions and make things harder for everyone, instead of using good sense and waiting until they are tried to convict them. Making their life miserable with the verbal assaults only makes us look back and makes their job harder, which will certainly not make them more productive. Why can't we just work with them and let them do what they have promised. Grow up and use your brain, like you would want your children to do...because lots of adults are acting like children right now.

Obama is a different story, I am so unhapy with his reaction to this. He has let us all down. He seems to just be waking up and realizing he has an obligation but too little too late, the damage is done already. 2 months to even get where he should been in a week or two tops, is this on the job training or what? If you cannot do it...delegate man...but not 2 months later. Apply for a job at NASA, they are just your speed. Emergencies call for action...he's a nice guy but he has turned down help and refused to delegate to people who CAN make things happen. Did you want to try to do this yourself? Even Bush knew better than that. Shameful.

June 16 2010 at 8:49 PM Report abuse +2 rate up rate down Reply
paladinlvs

64214:12 PM Jun 16, 2010(3) vote this comment up (0) vote this comment down BP HAS had profits, and the owners(who are the investors) are intitled to returns on the past earnings. If there are no earnings going forth deal with that when appropriate.-----------------------------------------------------------------------------------------Excuse me? These owners/investors invested in a risky venture which has caused(and will continue to cause for a long time to come) vast ecological havoc! They have invested in a company who's board of directors attempted THAT which they had neither the technological means to accomplish NOR the patience to execute properly. Therefore, I feel that not only should the BP Corporation and it's executives be held accountable BUT, also that the property of the individual investors should be seized should the Corporate Funds fall short in correcting this grave error in judgement.

June 16 2010 at 8:45 PM Report abuse +1 rate up rate down Reply
1 reply to paladinlvs's comment
mustang

To Paladinlvs: The truth is we are not entitled to damage this earth. R responsibility is to keep it viable for eons to come. The greed that humans embrace is deadly to Earth. British Petroleum (BP) :note; the British don't want BP referred to as British anything, but they are the parent of BP; is the culprit; our Coast Guard and its engineers should have had full disclosure of the process and been there for the entire application from engineering to start-up to the drill. Sad thing is it should NEVER been allowed. Somehow I feel we r heading toward a ONE World Order and these type of happenings are the take-off to allegate the need. That, however, just seems too massive, too strange, too sinister, too controlling, too unreal. Why didn't America just say "NO"...

June 21 2010 at 11:35 AM Report abuse rate up rate down Reply

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