BP after the spill: Bankrupt, bought, or business as usual?By Nin-Hai Tseng, reporter
June 7, 2010: 6:27 AM ET
FORTUNE -- Despite some progress over the weekend to slow the flow of oil gushing into the Gulf of Mexico, BP is still struggling to find a meaningful bright spot since the Deepwater Horizon drilling rig exploded more than a month ago. The London-based oil and gas producer recently announced it won't be until possibly August before crews can permanently stop what has become the biggest oil spill in U.S. history.
The event has all the makings of a corporate nightmare: BP (BP) shares have plummeted. Lawsuits have already emerged. The U.S. government has launched criminal and civil investigations into the Gulf Coast oil spill. Its credit ratings have been cut. And the reputation that BP built as being an eco-friendly oil company has been severely tarnished, if not destroyed.
Now, analysts and oil industry insiders are wondering just what the future holds for the company. Can BP afford to exist as a standalone company? Could it go bankrupt? Will BP have to cut dividends? Or will it survive intact, bruised a bit but otherwise just fine?
Fortune lists four of the most talked about outcomes and weighs their likelihood.
Faced with mounting expenses, it's certainly possible that BP may cut payments to shareholders.