BP considering dividend payment deferral

clock

BP is considering plans to defer payment of its next dividend to shareholders by placing the money in an escrow account until the full scale of the company's liabilities from the Gulf of Mexico disaster can be determined, sources claim.

BP board members are discussing a plan that would see the expected £1.7bn second-quarter payout, due to be announced on July 27, delayed until the crisis can be brought under control, relieving some of the political pressure on the oil giant, formerly Britain's biggest company, the Times reports. Further quarterly payments could also be treated in the same way until the company is on a firmer footing, it says. "We are considering all options on the dividend. But no decision has been made," BP chief executive Tony Hayward said in an interview with The Wall Street Journal published toda...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Investment

Partner Insight: Navigating a new era for investing

Partner Insight: Navigating a new era for investing

Across the developed world, inflation is back and here to stay, says Wellington Management’s John Butler.

Sarka Halas
clock 13 March 2024 • 2 min read
Partner Insight: Should investors go global for more impact?

Partner Insight: Should investors go global for more impact?

Global investing offers scope for broader social impact as well as financial returns.

Sarka Halas
clock 11 March 2024 • 1 min read
Women in Investment Awards winner interview: Omotunde Lawal from Barings

Women in Investment Awards winner interview: Omotunde Lawal from Barings

Supporting the next generation

Katrina Lloyd
clock 07 March 2024 • 1 min read
Trustpilot