BP appropriately announced Monday that it will bear the full expense of the Deepwater Horizon oil spill cleanup. The cost estimates at this point run past $12.5 billion.
Analysts are wondering if BP will really be on the hook for the full amount, or whether the British government will help with payments to not overburden one of the country’s biggest companies. But BP can handle it: the oil giant’s net profits for 2009 were $20.1 billion. With nearly $30 billion in free cash flow, the cleanup, even if paid in full in 2010, would be a manageable sum. It won’t help profits, but it won’t sink BP, either.
Kudos, then, to BP for bearing responsibility and leading containment efforts. One would hope and expect as much from an oil company that touts alternative fuels.
Update: while my appreciation from a financial effort was nice, there’s still a mess of oil to clean up, and not surprisingly BP is facing heat for the intensity and quality of its actions. Here’s to hoping for some fast successes.

From my post on aiaio:

Suddenly the question shifts from cagey profiteering back to trust. As the questioner remarks, if the patient (client, party-thrower, CPG marketing manager) trusts the adviser, the recommendation of a related business can be more trustworthy, not less.

Posted without further comment except to publicly note my love for the Ethicist.