Investment Banker: Best thing for BP shareholders is to “try to spread the cost of this remediation out as long as” possible


Says BP is playing 'Russian Roulette' with the people in the Gulf region

Is BP rejecting skimmers to save money on Gulf oil cleanup?, McClatcy, July 2, 2010:

Article Excerpts

[P]oliticians and residents wonder why so few skimming vessels have been put to work soaking up oil from the Deepwater Horizon catastrophe. Investment banker Fred D. McCallister of Dallas believes he has the answer. ...

“By sinking and dispersing the oil, BP can amortize the cost of the cleanup over the next 15 years or so, as tar balls continue to roll up on the beaches, rather than dealing with the issue now by removing the oil from the water with the proper equipment,” McCallister testified earlier this week before the U.S. Senate Committee on Commerce, Science and Transportation. "BP is able to minimize the financial damage as opposed to a huge expenditure in a period of a few years.” ...

“Looking at it from a businessman’s perspective,” he said, “if I am BP, assuming I don’t have a conscience that would steer me otherwise, the best thing I can do for my shareholders, my pensioners, and everybody else, is to try to spread the cost of this remediation out as long as I can. “I am concerned it is seen by BP as being the most pragmatic financial approach. But they’re playing Russian roulette with the Gulf, the marine life in the Gulf and the people in the Gulf region.”

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