For those longs thinking of dumping this stock today, don't do it !
Remember BP has set aside $42B to handle the GOM spill, not to mention the case will drag on for years. Seaman manslaughter and manslaughter are difficult to prove and still doesn't mean gross negligence. Stay resolute, BP will emerge a very strong company.Comments?
Seems to me that the hype is all about extortion from stockholders. Shame on the Govt to think that the rest of us are culpable to BP's mistake. Remember: 87% owned by the small time investor !
Maybe I get an oil rig or a refinery as part of my settlement!
Guess the small time investor should have worried more about the criminal way in which bp was being operated.
guess the investor should look past the balance sheet, to the obituaries page where the employees are located.
guess you'll be more interested in environmental health and safety, in the future !
I think always a risk a jury would find BP "grossly negligent--regardless of criminal speculation.
My input, as a lawyer, is gross negligence a possible finding regardless.
I believe criminal requires even more to prove than "gross negligence" in the civil sense.
Plus, after the current officers are fired or go to jail, new management may actually decide to follow the law, instead of buying lobbyists ! Oh, yeah -- stay long !! what could go wrong ??
Bring it on...the more negative sentiment and stigma associated with BP, the cheaper I get to buy more shares. This stock will be back in the sixties within a year or two once this whole thing blows over.
Glad to hear others are also feeling this way. Frankly I am concerned because with US govt involvement the liabilities could go on an on. I do not think that the damage is comparable to other disasters like currently in Japan and in India (Bhopal) by Dow/Union Carbide..who's total settlement was 500M and death toll was in the thousands. Now that WAS manslaughter and nobody got anything. I do think the TNK-BP matter will resolve as it was reported that the Brit govt supported BP on the deal. Everybody needs to remember that 40% investments in BP are from the the US and that 87% are from the little guys and not the big money guys.
The press seems to be serving as an echo chamber for the plaintiffs. I am not trying to minimize the loss of life on the platform, but those families will be compensated in so far as it's possible to compensate for the loss of life. Meanwhile, BP is trading at a much lower multiple than the cigarette stocks MO and RAI. So the market is saying BP is the ultimate pariah/sugar daddy.
Yeah, the first thing I thought about when I saw this news was how, in weeks past, there was chatter about BP maybe getting some of that 20B back. This could be a "subtle" reminder to the company that they should just consider that 20B as gone, period.
I can only imagine the British would go some degree of apeshit if we nailed one of their largest Co's in this way. Lord know's I would, cause I am sitting on a heap O'shares.
The stock is very attractive at these levels and I would add to my position but I'm full to the gills already.
US prosecutors contemplating, mulling manslaughter charges IF found guilty more likely to be found gross negligent, fines would quadruple, partners would not pay their share of losses. It could leave the Co. open for further legal action.
Give me a break, this is pure speculation and accepted as Gospel by the gullible crowd.
Long ago BP stated they could pay the old dividend and have sufficient gearing IF oil prices did not fall below $ 65 a barrel.
The 42 Billion set aside for potential legal claims seems adequate.
The TNK issue can be resolved, either BP sells their 50% share to the partners or BP buys out the russian oligarchs. BP has a new strategy attempting to fortify the upstream part of the business and increase reserves, Collins Stewart is wrong in my opinion.
Corporate BP isn't stupid. Do you think they'd reinstate a handsome .42/share dividend if they thought for a minute they'd be in jepordy of losing the entire company over it? They knew (way before we did) that some slick lawyers would be knocking. And they're lawyers must think these allegations must be unsustainable or they never would have reinstated their dividend. You don't do that just to more shareholders (that would be suicidal!).
Remember: BOP already found to have a "design defect..." Gonna be VERY HARD to prove manslaughter against BP personnel when equipment had unknown design problems! How about charges against the company that designed the BOP!