MARKET TALK: Spill Agreements Risk BP's Longer Value -Barclays

17th Jun 2010 12:40

7:40 (Dow Jones) Following BP's meeting with the White House, Barclays Capital cuts BP to underweight from equal weight. "The commitments the company has made would appear not just to cut short-term shareholder returns but also to put at risk the group's ability to grow long-term shareholder value," firm writes, noting the $20B escrow account, dividend cancellation and other factors show there is now "no 'business-as-usual case' for BP." Firm's view of total spill costs reduces its 2010-13 BP earnings projections an average of 25%. Shares up 0.9% to $32.13 premarket. ([email protected]) Call us at (212) 416-2181 or email [email protected] Visit the Market Talk blog at www.djnmarkettalk.com. (END) Dow Jones Newswires June 17, 2010 07:40 ET (11:40 GMT)