BP chief Tony Hayward sold shares weeks before oil spill

[ploto]

The chief executive of BP sold £1.4 million of his shares in the fuel giant weeks before the Gulf of Mexico oil spill caused its value to collapse.

Tony Hayward cashed in about a third of his holding in the company one month before a well on the Deepwater Horizon rig burst, causing an environmental disaster.

Mr Hayward, whose pay package is £4 million a year, then paid off the mortgage on his family’s mansion in Kent, which is estimated to be valued at more than £1.2 million.

There is no suggestion that he acted improperly or had prior knowledge that the company was to face the biggest setback in its history.

His decision, however, means he avoided losing more than £423,000 when BP’s share price plunged after the oil spill began six weeks ago.

Since he disposed of 223,288 shares on March 17, the company’s share price has fallen by 30 per cent. About £40 billion has been wiped off its total value. The fall has caused pain not just for BP shareholders, but also for millions of company pension funds and small investors who have money held in tracker funds...

http://www.telegraph.co.uk/finance/n...oil-spill.html

[Cane]

Jolly good chap. Jolly good.

[Wild Cobra]

Hmmm...

Unless things have changed, the major shareholders have to file an intent some time before the sale. This sale itself is over a month before the spill. I think you lib s are just pulling threads, and looking for what makes something unravel. I would normally just laugh at your stupidity, but the problem is, too many people believe unfounded allegations that are most likely just coincidental.

[Wild Cobra]

One more thing. I didn't see a sale at reputable stock sites under "insider transactions." An omission, or is the story false?

[MaNuMaNiAc]

is this supposed to imply the dude knew the rig was going to explode? give me a ing break...

god knows I hate agreeing with WC, but he's right on this one.

[DMX7]

The chief executive of BP sold £1.4 million of his shares in the fuel giant weeks before the Gulf of Mexico oil spill caused its value to collapse.

Tony Hayward cashed in about a third of his holding in the company one month before a well on the Deepwater Horizon rig burst, causing an environmental disaster.

Mr Hayward, whose pay package is £4 million a year, then paid off the mortgage on his family’s mansion in Kent, which is estimated to be valued at more than £1.2 million.

There is no suggestion that he acted improperly or had prior knowledge that the company was to face the biggest setback in its history.

His decision, however, means he avoided losing more than £423,000 when BP’s share price plunged after the oil spill began six weeks ago.

Since he disposed of 223,288 shares on March 17, the company’s share price has fallen by 30 per cent. About £40 billion has been wiped off its total value. The fall has caused pain not just for BP shareholders, but also for millions of company pension funds and small investors who have money held in tracker funds...

http://www.telegraph.co.uk/finance/n...oil-spill.html

[Wild Cobra]

There is no suggestion that he acted improperly or had prior knowledge that the company was to face the biggest setback in its history.

So would you agree it is a non-story, unless someone wants to suggest there is wrong doing?

Either it's a waste of all our time, or it's to suggest wrong doing.

[George Gervin's Afro]

Hmmm...

I would normally just laugh at your stupidity, but the problem is, too many people believe unfounded allegations that are most likely just coincidental.

We know, we know...there alot of those around here.

[boutons_deux]

Goldman sold $500M of BP stock a few weeks before the blowout. Lucky guys.

Goldman is so evil they probably paid someone, $100K is bottom-of-the-sofa for Goldman, for inside info on how badly the rig was being run, if not actually paying for it to be sabotaged.

[RandomGuy]

Hmmm...

Unless things have changed, the major shareholders have to file an intent some time before the sale. This sale itself is over a month before the spill. I think you lib s are just pulling threads, and looking for what makes something unravel. I would normally just laugh at your stupidity, but the problem is, too many people believe unfounded allegations that are most likely just coincidental.

There is no suggestion that he acted improperly or had prior knowledge that the company was to face the biggest setback in its history.

That is a strawman logical fallacy by the way.

No one said it was anything but a coincidence.

Dude got waaay lucky.

Personally I wish I had money in my IRA to throw at BP stock, it is likely waaaay undersold. Despite the hulabaloo over the dividends, the company will likely not miss any dividend payments, and that means you can buy those dividends waaaay cheap.

I have a "practice" portfolio that holds BP stocks, and although the value of those shares are waaay down, the dividend reinvestments that will take place this year will earn some very fat returns when the stock finally get into a bit more of a rational price.

[Wild Cobra]

Personally I wish I had money in my IRA to throw at BP stock, it is likely waaaay undersold.

Maybe. I have a feeling it might drop just a little farther, and there is no way to know for sure. Botton fishing can be tricky, but I would wait a little longer if it were me.

Despite the hulabaloo over the dividends, the company will likely not miss any dividend payments, and that means you can buy those dividends waaaay cheap.

I wonder how many companies will change the way they distribute Capital gains and Dividends for 2011? The taxes on those monies earned take a huge increase when the Bush tax Cuts expire.

I have a "practice" portfolio that holds BP stocks, and although the value of those shares are waaay down, the dividend reinvestments that will take place this year will earn some very fat returns when the stock finally get into a bit more of a rational price.

Agree that it is probable. Always nice to buy stock at lower than actual value.

[RandomGuy]

Maybe. I have a feeling it might drop just a little farther, and there is no way to know for sure. Botton fishing can be tricky, but I would wait a little longer if it were me.

Trying for the exact bottom is impossible, barring luck.

Better to buy in over a period of time, because finding the ultimate bottom can never be known for certain until after the fact.

Beware of trying to "time the market".

[MaNuMaNiAc]

@ the idea that the OP posted the article just to inform about the fortuitous coincidence...

[Nbadan]

...it's a hoax!

here's the proof

http://www.cnn.com/video/?/video/us/....resolution.bp