why would BP purposely take upon the blame is still unclear, my guess the oil belong to BP after it has been pumped out of ocean. Transocean (RIG) is the actual company have done drilling and had caused this accident. Anyway, if BP deserves going Bankrupt, so does RIG.
I watched a 60 minutes program. According the interviews, the RIG team brought up safety concerns and wanted the halt the drilling until the issues are resolved. However, BP management kept pushing schedule - ahead of of safety considerations.
Rig team isn't an impartial observer here ,of course they want to blame someone else , they were there , they could have resisted BP , whats more they are U.S. operating under U.S. regulations
What is reasonably certain is that BP's rights to Gulf Oil reserves that they have discovered are alone worth many billions. Just consider the economic value of that oil spewing at high pressure from that one well alone, and it will be obvious that this is a major find. For BP right now the problem is going to be cash flow. They will have to borrow or sell off some assets. That will have a negative effect on valuation of course, as will the uncertainty of potential, future obligations. But how much? In my opinion it's way to soon to be digging BP's grave. Sure, BP will be lambasted by every politician between now and the November election, but that will be mere ranting and raving for public consumption. BP's generous campaign contributions, probably laundered through a "special" entity such as "Vietnam Vets for Truth, Swamp Preservation, and the American Way" will still be welcome. To BP it will be as though they paid an insurance premium retroactively. This environmental disaster is going to be a goldmine for Gulfcoast and Washington politicians.
This is the perfect timing for the obama administration. It comes at a time when his popularity is waning, the economic recovery has stagnated and now the masses can play dress-up with Obama while he plays big bad wolf against big oil.
Dear piezone , I don't believe cashflow is a seriouse issue for BP at mo , they have reserves /loan facilities of 17 billion i believe .
Don't you work for JPM or something? Are they not involved in 'corporate exploit-ism' day in day out? Did someone use the word hypocrite?
LOL, I would love to see them leave, surely you are kidding that they would leave the US market voluntarily.
Sooner or later the lawsuits will come in. Where do you think the money will come in to pay for bill. if it sells its us assets will the parent company be off the hook for the bill. 22 billion in cash is easily spent in legal fees. Ask Enron. Not to mention that Sooner or later the U.S. will start to charge them for each bird that is cleaned of. The economy will boom as the gov't charges BP for cleaning up the mess. Remember these are the same people who run NASA at $100 for a Hammer. If an international company trades on our exchanges its parent company is liable for the bill. YOU ACT AS THOUGH THERE ARE TWO STOCKS AND THEY ARE DIFFERENT IN EACH COMPANY. BP is BP no matter where it operates. There is no getting away. You may say oh screw the shrimp farmers. But just remember thay represent a billion dollar plus economy. Back to the stock market. - When earnings are effected stock prices go down. What do you think a BP boycott will eventually do for the earnings. When the shorts are coming in heavy BP will be effected negatively. when the locals start the lawsuits there isn't a judge who will rule in favor of BP. Legal fees mean earnings expenses. ucbccomedy.com take a look at the spoof.