Wednesday, June 16, 2010

Bp suspends Dividend for the wrest of the year and sets up escrow account. Progress?

The Gulf of Mexico is still a mess, the oil is still gushing out but we are making some progress on dry land at least. President Obama held meetings today at the White house with the top heads of the Bp oil company. I am happy to report that significant progress was made and the public should feel a little better about this entire crisis. Bowing to tremendous pressure I believe Bp did the right thing and suspended its dividend to its share holders for the rest of this year. Bp is going to also set up a 20 billion dollar compensation fund which will be overseen by Kenneth Feinberg the same man who oversaw the 9/11 victims fund. In addition to that Bp is also going to set aside 100 million dollars for oil workers who have been out of work due to President Obama moratorium on drilling in the Gulf. To date Bp has already spent over a billion dollars between the clean up and compensating workers in the Gulf States that have been affected by the oil spill. Mr. Feinberg also received an endorsement from one on my favorite Senators from New York Charles E. Shumer. Senator Shumer said that Mr. Feinberg did an amazing job with the 9/11 victims fund and thinks the people in the Gulf will feel the same way. How do feel about today’s events and Bp suspending its dividend?

Ny Times - Bp agrees to create fund to pay for spill -


  1. I will feel better once I see that this money is going to be used for what it is set aside for. Anytime I see a large chunk of money set aside like this I immediately start to worry about corruption.

  2. Gangster I agree but this Mr. Feinberg has a good track record. Its would be sad though if that were to happen after this tragedy.