Dividend-News

BP's Dividend: You Don't Know the Worst of It

Published Fri, 18 Jun 2010 19:37:03 GMT on The Motley Fool

Two days ago, under pressure from the White House, BP (NYSE: BP) announced that it was cancelling its first-quarter dividend and suspending dividends until at least 2011. That's disappointing news for shareholders who rely on that income – BP is widely owned by pension funds in the U.K. and the U.S. Unfortunately, the bad news doesn't end there. There is reason to believe that once BP resumes dividend payouts, the dividend amount will be significantly lower than it has been over the last two years. In fact, the market expects that BP's 2011 dividends will total just $1.26 – nearly a two-thirds decline from the $3.36 it paid out last year.... Read more