The question on many BP (NYSE:BP) shareholders and investors minds when the company will reinstate the dividend.
Incoming CEO Robert Dudley stated near the end of July that the company wasn't going to be quick to jump back into the same "dividend philosophy" they held in the past.
He seems to really be saying that until they get a better picture of overall liabilities, there aren't going to reinstate the dividend. That picture is getting clearer, as Citigroup Inc. (NYSE:C) analyst Mark C. Fletcher said in a meeting he attended where Robert Dudley spoke to analysts, he reportedly said overall claims toward the $20 billion fund are probably going to be less than that amount, and he doesn't see overall claims exceeding $32 billion, or at least they'll be close to that number if they do go beyond it.
A growing number of analysts believe BP will either reinstate dividends in the fourth quarter, or at latest, the first quarter of 2011.
Sanford C. Bernstein & Co. analysts said in a note to clients, “BP’s cashflow position should be just strong enough to support restoration of dividends by the first quarter of 2011, under an $80 a barrel oil price scenario based on estimates. This assumes divestments are completed and the spill costs do not climb much above BP’s $32.2 billion estimate.”
Bernstein added this is based on the assumption BP will be able to successfully sell up to $30 billion in assets over the next 18 months, as they've said their goal is.
Showing posts with label Robert Dudley. Show all posts
Showing posts with label Robert Dudley. Show all posts
Monday, September 13, 2010
Friday, July 30, 2010
BP's (NYSE:BP) Bob Dudley Says Time to Slash Cleanup Efforts
While it has been helpful to those who have lost work in the area because of the BP (NYSE:BP) oil spill, there simply isn't much oil left to removed from the Gulf of Mexico, and incoming CEO Bob Dudley said it's time to cut back on the cleanup efforts, while stressing the ongoing commitment of BP to make things right.
The reality of skimming boats, as far as that part of the oil cleanup, is historically, at best, it cleans about 2 percent of the oil spilled in an ocean. Most of the time it's less than that, so even when oil was spewing into the region, that was the case. Now that it's under control with the new containment cap, evaporation and oil-consuming microbes are rapidly removing the oil from the Gulf, and make the former size of the cleanup effort no longer no longer appropriate.
Dudley did reiterate the commitment of BP to cleaning up the effects of the spill, and will continue doing that till the job is completed.
Concerning the overall effects of the oil spill, Dudley said the politically correct statement that "Anyone who thinks this wasn't a catastrophe must be far away from it," not really addressing the realities of the oil rapidly subsiding in the region.
The emotional hype generated by mainstream media outlets to attract eyeballs has left the residue of unbelief concerning any positive news out of the Gulf oil spill.
There is also the want and need to extract as much money out of BP as possible while the public anger remains fixated on them. Even slowing down the cleanup operations has caused much fear and consternation among some politicians and residents, who simply don't listen to the facts and are still overheating on their emotions.
The fact is the reported damage from the oil leak have been overblown, and most of the coastlines of the Gulf haven't been touched by oil, or at most, very little.
So the amount of work to clean the Gulf has to be cut back based on that reality, and not the idea that there is some type of unmanageable amount of hidden oil lurking in the Gulf that crews must be ready to rescue us all from.
The reality of skimming boats, as far as that part of the oil cleanup, is historically, at best, it cleans about 2 percent of the oil spilled in an ocean. Most of the time it's less than that, so even when oil was spewing into the region, that was the case. Now that it's under control with the new containment cap, evaporation and oil-consuming microbes are rapidly removing the oil from the Gulf, and make the former size of the cleanup effort no longer no longer appropriate.
Dudley did reiterate the commitment of BP to cleaning up the effects of the spill, and will continue doing that till the job is completed.
Concerning the overall effects of the oil spill, Dudley said the politically correct statement that "Anyone who thinks this wasn't a catastrophe must be far away from it," not really addressing the realities of the oil rapidly subsiding in the region.
The emotional hype generated by mainstream media outlets to attract eyeballs has left the residue of unbelief concerning any positive news out of the Gulf oil spill.
There is also the want and need to extract as much money out of BP as possible while the public anger remains fixated on them. Even slowing down the cleanup operations has caused much fear and consternation among some politicians and residents, who simply don't listen to the facts and are still overheating on their emotions.
The fact is the reported damage from the oil leak have been overblown, and most of the coastlines of the Gulf haven't been touched by oil, or at most, very little.
So the amount of work to clean the Gulf has to be cut back based on that reality, and not the idea that there is some type of unmanageable amount of hidden oil lurking in the Gulf that crews must be ready to rescue us all from.
Rebranding BP (NYSE:BP) as Amoco
Some BP (NYSE:BP) gas station owners have thrown around the idea of rebranding BP as Amoco in the U.S. market, the company bought out by BP in the latter part of the 20th century.
The thinking by a growing group of owners is Amoco was once thought of as the American Oil Co., and that could work hand in hand with the installation of American Robert Dudley as CEO, who replaced Tony Hayward.
Since BP's largest market is the U.S., that does make some sense, but the branding BP has been going on for years, and it would come with a lot of risk to change it back to Amoco, a brand a lot of people have forgotten, or don't know even existed.
Some people have protested the Gulf oil spill by boycotting BP, and that has hurt station owners anywhere from 10 percent to 40 percent in less sales.
BP has addressed the problem by reducing credit card fees used at the stations, providing more national advertising, and giving cash to distributors.
At this time the idea of rebranding hasn't reached the proportions where it would have a chance of becoming a reality, but it could gain some steam if things remain as they are.
In October BP has its annual convention, where at that time we'll see if this becomes something revolutionary in the company at a grassroots level, or things return more to normal after the oil leak is permanently plugged, and people don't have the company in front of their face on the TV or Internet being reminded of the oil spill and its consequences.
The thinking by a growing group of owners is Amoco was once thought of as the American Oil Co., and that could work hand in hand with the installation of American Robert Dudley as CEO, who replaced Tony Hayward.
Since BP's largest market is the U.S., that does make some sense, but the branding BP has been going on for years, and it would come with a lot of risk to change it back to Amoco, a brand a lot of people have forgotten, or don't know even existed.
Some people have protested the Gulf oil spill by boycotting BP, and that has hurt station owners anywhere from 10 percent to 40 percent in less sales.
BP has addressed the problem by reducing credit card fees used at the stations, providing more national advertising, and giving cash to distributors.
At this time the idea of rebranding hasn't reached the proportions where it would have a chance of becoming a reality, but it could gain some steam if things remain as they are.
In October BP has its annual convention, where at that time we'll see if this becomes something revolutionary in the company at a grassroots level, or things return more to normal after the oil leak is permanently plugged, and people don't have the company in front of their face on the TV or Internet being reminded of the oil spill and its consequences.
Thursday, July 29, 2010
Incoming BP (NYSE:BP) CEO Bob Dudley Says Company Will "Make this Right"
In an interview Wednesday, incoming BP (NYSE:BP) CEO Bob Dudley said he has been getting the impression from people that once the oil well is successfully capped, the company will pick up and leave the region.
He said that's far from the truth, and he and BP will "make this right in America."
"The only way you can build a reputation is not just by words, but by action," Dudley said. "I picked up that people think that, well, once we cap this well, we're somehow going to pack up and disappear. That is certainly not the case. We've got a lot of cleanup to do. We've got claims facilities. We've got 35 of those around the Gulf coast."
Dudley, who will take over as CEO from Tony Hayward on October 1, said the top priority of BP is to focus on and take care of the crisis surrounding the consequences of the Macondo oil well.
He said that's far from the truth, and he and BP will "make this right in America."
"The only way you can build a reputation is not just by words, but by action," Dudley said. "I picked up that people think that, well, once we cap this well, we're somehow going to pack up and disappear. That is certainly not the case. We've got a lot of cleanup to do. We've got claims facilities. We've got 35 of those around the Gulf coast."
Dudley, who will take over as CEO from Tony Hayward on October 1, said the top priority of BP is to focus on and take care of the crisis surrounding the consequences of the Macondo oil well.
Tuesday, July 27, 2010
BP (NYSE:BP) Going to Send Hayward to Siberia?
Speculation continues to swirl over the fate of BP (NYSE:BP) CEO Tony Hayward, as there are unlimited expectations an announcement will come soon from the board of directors of the company, probably at the earnings report on Tuesday.
Spokesman for BP have continued to say the board supports Hayward, so it'll be interesting to see if this media-created story becomes a reality because of the negative scrutiny it maintains on the company.
Unnamed sources have been cited by a number of news organizations saying Hayward could be assigned to TNK-BP in Russia. I wonder if it's anywhere near Siberia?
There have been several names thrown about, but the media darling at this time is Robert Dudley, who is currently running the Gulf cleanup operations. At least he's the favorite of the American press.
The board of directors of BP held a meeting Monday, evidently to make a decision on Hayward. That's odd in the sense of everything they've said about Hayward, and possibly the timing, which most feel would be better if left until after the oil spill is permanently plugged.
In the short term, this is really an irrelevant distraction generated by the mainstream media, who are attempting to extend the story to draw eyeballs.
Who really cares at this time who's running BP, as it does absolutely nothing to change the circumstances and actions needed to be taken to solver the problem. Changing CEOs at this time won't matter in that regard, other than giving the news cycle a temporary boost.
Spokesman for BP have continued to say the board supports Hayward, so it'll be interesting to see if this media-created story becomes a reality because of the negative scrutiny it maintains on the company.
Unnamed sources have been cited by a number of news organizations saying Hayward could be assigned to TNK-BP in Russia. I wonder if it's anywhere near Siberia?
There have been several names thrown about, but the media darling at this time is Robert Dudley, who is currently running the Gulf cleanup operations. At least he's the favorite of the American press.
The board of directors of BP held a meeting Monday, evidently to make a decision on Hayward. That's odd in the sense of everything they've said about Hayward, and possibly the timing, which most feel would be better if left until after the oil spill is permanently plugged.
In the short term, this is really an irrelevant distraction generated by the mainstream media, who are attempting to extend the story to draw eyeballs.
Who really cares at this time who's running BP, as it does absolutely nothing to change the circumstances and actions needed to be taken to solver the problem. Changing CEOs at this time won't matter in that regard, other than giving the news cycle a temporary boost.
Monday, July 26, 2010
Pressure Mounting to Replace BP's (NYSE:BP) Hayward
The media pressure has ramped up on BP (NYSE:BP) Tony Hayward to have him replaced, as speculation is there will be an announcement tomorrow during the quarterly report of the company.
Interestingly, this is largely a media concoction, as the Board of Directors of BP, through their spokespeople, have reaffirmed their support for Hayward throughout the ordeal.
The company has again denied there's been any decision made about the removal of Hayward as CEO of BP, and said they're meeting Monday night to discuss things, and whatever decisions made at that time will be "announced as appropriate."
This doesn't imply they're going to get rid of Hayward, but speaks to ending the speculation, as it's distracting at this time in regard to larger and more important issues.
One way or the other, it would be difficult for them to not announce something about Hayward during the quarterly report, even if it is to reaffirm he's staying on in his position at this time.
If and when Hayward is removed, the leading candidate at this time is Managing Director Robert Dudley, who would become the first American the lead the company in its history.
This would make sense because the bulk of BP's business is in North America.
Interestingly, this is largely a media concoction, as the Board of Directors of BP, through their spokespeople, have reaffirmed their support for Hayward throughout the ordeal.
The company has again denied there's been any decision made about the removal of Hayward as CEO of BP, and said they're meeting Monday night to discuss things, and whatever decisions made at that time will be "announced as appropriate."
This doesn't imply they're going to get rid of Hayward, but speaks to ending the speculation, as it's distracting at this time in regard to larger and more important issues.
One way or the other, it would be difficult for them to not announce something about Hayward during the quarterly report, even if it is to reaffirm he's staying on in his position at this time.
If and when Hayward is removed, the leading candidate at this time is Managing Director Robert Dudley, who would become the first American the lead the company in its history.
This would make sense because the bulk of BP's business is in North America.
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