Main | Thursday, June 10, 2010

Bankruptcy For BP?

BP's stock price is plummeting and some are beginning to wonder if the company will be forced into bankruptcy.
Shares in BP plunged again today in London after yet another sell-off in New York Wednesday, wiping out more than $82 billion in value from the London-based oil and natural gas firm. BP, No. 5 in sales worldwide on Forbes list of biggest companies, has seen its fortunes collapse in the wake of the spill that is now in its 52nd day. Its shares have fallen more than 50 percent since the April 20 spill and there has been chatter about a possible bankruptcy filing by BP amid U.S. political pressure on the company to halt dividend payments and pay even more compensation for the Gulf of Mexico oil spill. That might be extended to include unemployment benefits for thousands of U.S. workers affected by the spill.
One oil industry analyst predicts that BP will declare Chapter 11 within 30 days.

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