Posted on 06/10/2010 3:26:07 AM PDT by Scanian
BP is gushing money faster than its out-of-control well is spewing oil - its stock value dropped an astounding $17 billion yesterday as it faced the prospect of going under water.
When BP's Gulf of Mexico drilling rig exploded in a fireball on April 20, its stock sold for $60.48 a share. It closed yesterday at $29.20.
That's a mind-numbing $100 billion loss to shareholders in only six weeks.
Investors stampeded away from the stock yesterday, with more than five times the usual number of shares trading.
When the smoke cleared, BP was down 16 percent, or $5.48, its lowest level in 15 years.
Wall Street analysts said they're beginning to fear what once was unthinkable -- that one of the biggest, most powerful and profitable companies on the planet could actually go bust.
Houston oil trader Matt Simmons told Fortune magazine that BP might file for bankruptcy in a month -- even before it finishes its three-month task of drilling two relief wells in a last attempt to stop the spill.
Between its own funds and insurance payouts, it would likely have the money to complete the job, but with not much left over.
(Excerpt) Read more at nypost.com ...
And I've no doubt that BP is busy preparing their own suits against those two companies. But at the end of the day BP is responsible for the work their subcontractors do and liable for the mistakes they make.
Bugger the fact that it belongs to a key ally and attacking it will cause real hardship and suffering to its citizens who have much of their pensions and investment tied up with BP one way or another.
And the hardship and suffering of the people in Louisiana and the rest of the gulf states who have seen their livelihoods wiped out by BP's negligence? Should we not feel sympathy for them?
Another moronic catfish offering. Where have you been hiding?
http://www.freerepublic.com/focus/f-news/2530862/posts
BP is part of the Progressive Fascist political machine. It will not be allowed to fail.
Sorry this hurts your nationalist pride but BP owes this problem since the construction done here was done to BP's construction specifications.
In the end, BP will go into chapter 11. The potential liability here is endless. One thing I don’t understand is why BP USA doesn’t appear to be a separate corporate entity. Maybe I’m missing something.
Ummm,, didn't Halliburton move their HQ to DUBAI!
At least a half dozen AMERICAN states have BP stock in their pensions. NJ alone had $51billion dollars invested in BP.
Teachers, firefighters, state workers, etc. have their funds invested in BP.
If BP declares bankruptcy due to Obama/Holder’s threats then the US taxpayer will be harmed doubly. From the economic disaster from the spill and the loss of billions in pension funds.
The suffering and hardship of Americans who live along the Gulf coast trumps that of British pensioners.
That’s how I see it.
Says who? The deepwater horizon rig isn’t the only Transocean owned rig which has had a poor safety regime. 4 people on 4 different rigs were killed in accidents in 2009 and was issued with an improvement notice by the UK HSE for the substandard state of its blowout preventer back in 2006, four years before this disaster. They are responsible for the problem which directly led to the incident.
As for Halliburton, they were responsible for fixing the pipes in place. Doing a poor job of that is said to be a more important factor in causing blowouts than malfunctioning equipment, and they are accused of causing a major blowout in a rig off the coast of Australia last year due to sloppy work.
Sounds like there is a lot of buck passing going on here by two companies with demonstrably dodgy safety records. How convenient that the company at the top of the food chain in this instance happens to be a company that isn’t American and can be safely attacked without domestic consequence...
And all the AMERICANS who have pension funds in BP?
And I could say the same thing with regards to British soldiers, their families and taxpayer’s money invested in Afghanistan trumping those of the Americans.
At least 1 in 6 people in Britain, and probably more, would be directly affected by the collapse of BP which BO seems hell-bent on causing. Cameron has already said we need to make ‘savage’ public spending cuts to balance the budget. What could be more attractive target for Chancellor Osbourne’s axe than funds for a war in support of an American Government which is directly attacking Britain’s economic interests?
Halliburton is a UAE company and Transocean is Swiss.
They have their HQ’s registered there for tax reasons, but they are American originated and still mostly owned and run by Americans...
Plus the increased taxes to cover the depleted pension funds.
obama will blame the coming Depression II on the BP spill alone.
After the left kills BP, wonder who they will go after next?
That is what I've heard from industry people as well. My own offshore experience was that the "Company Man", in this case the BP Rep, has the final word on all procedures.
Not only the bankrupt part, don’t forget the criminal and civil actions pending. I’m sure they’ll take some action to protect themselves from going to jail which may cause further problems.
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