📅 On This Day
BP's $20 Billion Escrow Seals a Shocking Dividend Suspension
On June 16, 2010, BP formalized a $20 billion escrow account to compensate Deepwater Horizon victims following a meeting with President Obama. The commitment cemented what had already been announced on June 1 — BP's first dividend suspension in decades — making any swift resumption a financial impossibility. Income portfolios around the world felt the tremor, and it wasn't until 2013 that BP reinstated even a fraction of its former payout.
BP's ADS had been a cornerstone high-yield holding before the crisis stripped its dividend away for years.
BP — BP PLC
🇬🇧 GB
Source: The White House Office of the Press Secretary (June 16, 2010); BP p.l.c. Investor Relations
📅 On This Day
BP's $20 Billion Escrow Seals a Shocking Dividend Suspension
On June 16, 2010, BP formalized a $20 billion escrow account to compensate Deepwater Horizon victims following a meeting with President Obama. The commitment cemented what had already been announced on June 1 — BP's first dividend suspension in decades — making any swift resumption a financial impossibility. Income portfolios around the world felt the tremor, and it wasn't until 2013 that BP reinstated even a fraction of its former payout.
BP's ADS had been a cornerstone high-yield holding before the crisis stripped its dividend away for years.
BP — BP PLC ADR
🇬🇧 GB
Source: The White House Office of the Press Secretary (June 16, 2010); BP p.l.c. Investor Relations
🌍 Around the World
Trinidad and Tobago Dividends Reward Patience Over Speed
Trinidad and Tobago levies a 10% withholding tax on dividends paid to non-residents — reduced to 5% for parent companies holding a 50% or greater stake. Marquee names like Republic Bank and Massy Holdings offer yields in the 5–8% range, anchored in energy and financial services. The catch is liquidity: trading volumes on the Trinidad and Tobago Stock Exchange are extremely thin, with wide bid-ask spreads that can make exiting a position a slow and costly affair.
T&T dividends suit long-horizon investors with a specific thesis on Caribbean energy or banking — not those chasing quick exits.
🇹🇹 TT
Source: PwC Trinidad and Tobago withholding tax summary; Trinidad and Tobago Stock Exchange
🔥 Dividend Streak
Shell's Legendary No-Cut Streak Falls to a Pandemic Oil Crash
For roughly 75 consecutive years dating back to 1945, Shell held an extraordinary record: its USD-denominated dividend was never reduced, surviving every post-war crisis the world could throw at it. That changed on April 30, 2020, when Royal Dutch Shell slashed its payout by 66% — from $0.47 to $0.16 — to conserve cash as oil markets collapsed under pandemic pressure. The lesson endures: a no-cut streak and a payment streak are not the same thing, and even the most storied resilience has its limits.
Shell, now trading as SHEL after its 2022 simplification, has rebuilt its dividend — but the historic streak is gone.
SHEL — Shell plc
🇬🇧 GB
Source: Shell Q1 2020 Investor Presentation; London Stock Exchange filings
🔥 Dividend Streak
Shell's Legendary No-Cut Streak Falls to a Pandemic Oil Crash
For roughly 75 consecutive years dating back to 1945, Shell held an extraordinary record: its USD-denominated dividend was never reduced, surviving every post-war crisis the world could throw at it. That changed on April 30, 2020, when Royal Dutch Shell slashed its payout by 66% — from $0.47 to $0.16 — to conserve cash as oil markets collapsed under pandemic pressure. The lesson endures: a no-cut streak and a payment streak are not the same thing, and even the most storied resilience has its limits.
Shell, now trading as SHEL after its 2022 simplification, has rebuilt its dividend — but the historic streak is gone.
SHEL — Shell PLC ADR
🇬🇧 GB
Source: Shell Q1 2020 Investor Presentation; London Stock Exchange filings
💡 Did You Know
The UPREIT Structure Lets Landlords Defer Taxes While REITs Acquire Cheaply
Most major US REITs operate as UPREITs — Umbrella Partnership REITs — giving them a quietly powerful edge in property acquisition. Under Section 721 of the Internal Revenue Code, a private landlord can swap a building for Operating Partnership units in the REIT's underlying partnership, deferring capital gains taxes entirely rather than facing an immediate bill from a cash sale. The landlord collects distributions mirroring the REIT's dividend; the REIT gains property without fighting private equity in cash auctions — a structure that helps fuel the FFO growth behind dividend increases.
OP units can be gradually converted to REIT shares over time, giving landlords flexibility alongside their tax deferral.
Source: IRS Section 721; Nareit UPREIT structure guide