The crisis engulfing BP plumbed new depths last night as President Obama bullied the company into depositing £13.5billion into a fund to settle compensation claims for the calamitous Gulf of Mexico oil spill.
After a face-to-face showdown with the President at the White House, BP chairman Carl-Henric Svanberg revealed the payment meant the oil giant would be forced to suspend dividends to its shareholders until at least next year.
The news sent BP shares plunging to a 14-year low of £3.37, and is a major blow for Britain's pension funds, which rely on BP's dividend income to provide £1 in every £6 they receive each year.
Thursday, June 17, 2010
And that fund money will be paid to Obama's union thugs.