ConocoPhillips Suspends Share Repurchases, Slashes Spending and Production
ConocoPhillips (NYSE: COP) is taking additional actions in response to the downturn in the oil market. The U.S. oil giant will voluntarily curtail production, further reduce capital spending and operating costs, and suspend its share repurchase program. These moves, when combined with earlier spending cuts, will save the company more than $5 billion this year.
The company's latest budget reduction will push its capital plan down to $4.3 billion, which is 35% below its original estimate. It will reduce its activity levels all around the world, though the bulk of the spending cut will impact its North American operations. ConocoPhillips also expects to cut its operating costs by another 10%, bringing them down to $5.3 billion.
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Source Fool.com
