Knock on effect of BP's $20 Billion cleanup....

wymondham

.... am I right in thinking I heard that BP is an important pension source for many people (beyond their employees etc)?? If so, what is the effect this big dent is likely to make to the UK pensioner??

mardatha

I was just wondering this, as it says on CNN that BP shares were just above junk status. If you currently have a works pension which had shares in BP, does it stop or reduce now?

Thrugelmir

Like relying on property as an investment. It demonstrates that a broad portfolio of investments is the only way of mitigating risk.

As nothing lasts for ever.

amcluesent

By Hussein Obama destroying BP, then VAT will need to go up another 1% to cover the loss of Corporation Tax and we'll all need to work 6 months longer to cover the black hole in pension funds.

headcone

mardatha wrote: »

I was just wondering this, as it says on CNN that BP shares were just above junk status. If you currently have a works pension which had shares in BP, does it stop or reduce now?

Don`t get your knickers in a twist just yet.

Although BP are attracting all of the attention just now,two USA conglomerates will shortly have to start taking their portion of blame.

Haliburton are at fault as well as the drilling company.

BP will be seeking to ameliorate their losses through the legal system soon!!!!

Probably a good time to buy in the next few days.

matbe

headcone wrote: »

Don`t get your knickers in a twist just yet.

Although BP are attracting all of the attention just now,two USA conglomerates will shortly have to start taking their portion of blame.

Haliburton are at fault as well as the drilling company.

BP will be seeking to ameliorate their losses through the legal system soon!!!!

Probably a good time to buy in the next few days.

Ahh good old Haliburton Many fingers many pies.

1984ReturnsForReal_2

headcone wrote: »

Probably a good time to buy in the next few days.

Few weeks maybe..

You wait & see.

Thrugelmir

1984ReturnsForReal wrote: »

Few weeks maybe..

You wait & see.

ADR's responded well to the news. BP was up $1.50 last time I looked. So London markets should respond positively as well.

headcone

1984ReturnsForReal wrote: »

Few weeks maybe..

You wait & see.

I will cos I know;)

headcone

matbe wrote: »

Ahh good old Haliburton Many fingers many pies.

Haliburton were the concrete providers,contracted to provide and follow BP`s drilling plan.

Looks like they didn`t. So no escape from culpability.

michaels

BP self insures - what's the betting that Transocean and Haliburton insure through Lloyds so UK pays either way?!

I dson't think it is yet time to draw a line under this one, 20bn is by no means a final liability figure. Looks like a lot of US citizens have decided not to go anywhere near the gulf (whether the bit they were going to visit is affected or not) so the contingent claims are going to be huge - now any failing business is going to claim it is all BPS fault and try and claim compensation, and I don't think it will be too had to guess the atitude of US courts and jurys when it comes to cases against 'British' Petroleum. And finally ther eis always the scope for the state and federal govt to go for punitive damages especially given the current fiscal situation.

So I fear those BP shares may become worthless.

Suppose the co is 50% UK owned that represents a loss to the UK of 65 bn GBP (50% of valuation of the co before the spill) which is definitely big enough to show up in macro level numbers like cable, govt borrowing etc.