BP generates billions in profits every year. If they have to pay a few billion to clean it up they can afford it. The Gulf Ocean is being ruined. I hope they are made to pay for it instead of the tax payers. This spill will have a big economic impact to gulf seafood, sport fishing, tourism, wildlife, marshes, beaches, peoples health, jobs and much more. From LA to FLA and it is looking like it will get in the currents and end up screwing the fishieries along the east coast. Fuck BP. Pay up for the clean up.
Also this spill is massive. It is killing birds, fish, and anything in its path in the ocean. It will make people sick if not more. I surfed off of Santa barbara back in the day. There were oil rigs all over and natural seepage. I have been in the ocean when there is an oily sheen and globs of TAR that get on you. I have had to cut the tar out of my hair, pubes, pits. It is nasty stuff. It gets all over your surf board and on the wax of the board. There was always tar globs washing up on SB beaches and it was all over the beaches on rocks and would get stuck to your feet. It made me sick a few times. I have no doubt humans will be getting sick from this spill.
Lol they are tearing up that lobbied law as we speak. BP had a market cap of 170 billion dollars. How much do you guys think it will cost to "fix" everything at most? Because right now the markets saying it costs around 40 billion dollars.. I dont think thats even close. Probably like 10 billion at most? Short BP to zero? LOL funny. BP will be bottoming out soon if it has not already.
Fitch is a moron, 3 Billion won't cover the copy paper for lawsuits of all the people that will be suing BP. This spill will cost in the hundreds of billions after everything gets added up. BP has open ended liability on so many fronts that it's a nightmare. On a side note, I for one am getting tired of Anderson Cooper pointing out the obvious and whining about anything BP does. Granted BP are a bunch of idiots, but to have queer bait AC 360 nipping at their heals is starting to garner sympathy for them. Put that stooge Rick Sanchez on them instead, at least he is good for laugh.
I think the real risk to BP is some other shoe dropping like another rig or another accident before they get this one taken care of. That would send the value investors into a panic along with the price of the stock. If this remains leaking until the relief well(s) are able to stop it along with some other major sh*t hitting the fan I think we could see BP trading low 20s maybe even intraday sub 20. Just looking at the fun they are having with the big one they are trying to wrap a condom on in the "ocean" of the gulf of Mexico I have a very hard time seeing this going over $6-8 Billion regardless of how many cute animals they can put on TV filled with oil. Even if this did go over and say went as high as 10-12 billion dollars its not like they have to break out the checkbook and cut checks. Well not at least for the settlements. maybe for the lawyers but they are cheap compared to the size of the civil suits. Since oil is for the most part biodegradable and they can stretch the suits out over 5-10 years without even trying the water and beaches and habitat will be all back to the way it was (some of the crap about it could take decades for the oil to go away are so full of sh*t and they either know it or simply simple). Obama doesn't have the first clue what to do besides maybe organizing the communities around the gulf region together to protest or something but what is he really expected to do? Its not like he is going to man a mop or anything. Turn off the TV, figure out the problem and calculate the risks on paper and forget about all the talking heads that are trying to keep this sexy so they can keep the attention of the viewers and especially don't listen to politicians who would rather gather votes than gather up the oil. There is value in this company and when they stop the leak either tomorrow or in August the price will start to move higher in my opinion. Either way I think I will be collecting a fat dividend and when the media moves on to the next crisis / epidemic / war on ___, BP and the gulf will be forgotten about quickly as will the recovery of the stock price in my opinion Best to everyone long or short BP (I am short put options)
Weinstein, you must have cream cheese between your ears. Your post is akin to the Titanic band playing as the ship was sinking. BP will need to pull a Phillip Morris to have a chance. The outrage over a destroyed Gulf is much bigger than your post factors. They tapped into hell and this is much, much bigger than you are suggesting. As their stock price heads lower a killing will be made by those shorting it, as suckers try to pick the bottom. Rennick Rosenberg out
I have to go with Rennick on this one. BP faces humongous fines from the government, based on the amount of the spill. They have already effectively waived the liability cap for civilian damages, which they could never have used anyway since it has an exception for gross negligence, which this clearly was. How much is the entire Gulf coast worth, because that is what they will end up buying, plus the value of tens of thousands of businesses. Class action lawyers will rip them apart like hyenas on a fresh kill. Their efforts to cap the well so far have been laughable, pathetic for a giant international oil company. BP will not be the only casualty. This is rapidly turning into Obama's Iranian hostage crisis. Like Jimmy Careter, it wasn't his fault and he really didn't have any good options, but Amercans expect more from their presidents than detachment and weakness. They expect Bruce Willis sending everyone else home and blowing that SOB up by himself. That's not the way this movie ends.
Let me put it this way. BP can pay all of aig's deby 2x over and still have market cap left . BP is huge. Their size and money power are much larger than this problem.