BP will not pay shareholder dividends this year: Chairman

WASHINGTON: BP's embattled chairman Carl-Henric Svanberg said on Wednesday the company would halt shareholder dividends for the rest of the year, as it battles to save its reputation after a massive Gulf oil spill.

"The BP board decided we will not pay any further dividends this year," said Svanberg after a meeting with President Barack Obama in the White House.

The move will cost investors, and save the company, around 7.5 billion dollars this year, based on previous dividend rates.

After meeting President Barack Obama, Svanberg acknowledged that "words are not enough. We understand we will and we should be judged by our actions."