Vidya Ram, 10.11.07, 11:40 AM ET
LONDON – BP soared on the stock market after the new chief executive Tony Hayward announced the restructuring plan that was promised in September.
Shares in the energy company soared by 11 pence (22 cents), or 1.9%, to £5.91 ($12.02), in morning trading in London after Hayward said the company would simplify its operational structure by dividing the company into two main divisions – one focusing on exploration and production — the upstream part of the business, in the industry jargon — and the other on refining and marketing, known as downstream.
Hayward, who last month hit the headlines after describing the company’s upcoming third-quarter results, due on Oct. 23, as “dreadful” said that poor strategy was to blame for the company’s woeful performance over the past three years. (See: ” BP Ready To Disappoint”)
“It has been poor because we are not consistent and our organization has grown too complex,” said Hayward. “At the root of all this is a need to change our behaviors.”
Part of Hayward’s plan is to cut up to four layers of management within the company.
“The moves follow a six-month review of the group’s operational performance which identified wide-ranging duplication, overlap and excessive organizational complexity,” he added. Job losses are expected, though BP (nyse: BP – news – people ) has not offered precise figures.
Hayward took over as chief executive from John Browne in May, after the latter’s abrupt departure. (See “BP’s Browne Out”) Since then, Hayward has been under pressure to revive the company’s flagging performance. BP has been consistently underperforming the sector, weighed down by a whole host of problems including troubles at its Texas refinery, delays to projects in the Gulf of Mexico, and an oil spill in Alaska. Hayward is hoping that a simplified structure will help it gain ground on rivals such as Royal Dutch Shell (nyse: RDSA – news – people ).
Oriel Securities analyst Brendan Wilders said that there were “no surprises” in the announcement, though he remained optimistic about the company’s prospects beyond the third quarter.
“Figures on October 23rd will not be pretty, but we continue to take the view that the third quarter will mark a low point in BP’s fortunes and remain buyers for the potential for strong recovery over the next year.”
http://www.forbes.com/markets/2007/10/11/bp-tony-hayward-markets-equity-cx_vr_1011markets14.html
This website and sisters royaldutchshellplc.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, and shellnews.net, are owned by John Donovan. There is also a Wikipedia segment.
Royal Dutch Shell conspired directly with Hitler, financed the Nazi Party, was anti-Semitic and sold out its own Dutch Jewish employees to the Nazis. Shell had a close relationship with the Nazis during and after the reign of Sir Henri Deterding, an ardent Nazi, and the founder and decades long leader of the Royal Dutch Shell Group. His burial ceremony, which had all the trappings of a state funeral, was held at his private estate in Mecklenburg, Germany. The spectacle (photographs below) included a funeral procession led by a horse drawn funeral hearse with senior Nazis officials and senior Royal Dutch Shell directors in attendance, Nazi salutes at the graveside, swastika banners on display and wreaths and personal tributes from Adolf Hitler and Reichsmarschall, Hermann Goring. Deterding was an honored associate and supporter of Hitler and a personal friend of Goring.
Deterding was the guest of Hitler during a four day summit meeting at Berchtesgaden. Sir Henri and Hitler both had ambitions on Russian oil fields. Only an honored personal guest would be rewarded with a private four day meeting at Hitler’s mountain top retreat.
IN JULY 2007, MR BILL CAMPBELL (ABOVE, A RETIRED GROUP AUDITOR OF SHELL INTERNATIONAL SENT AN EMAIL TO EVERY UK MP AND MEMBER OF THE HOUSE OF LORDS: 
MORE DETAILS:
A head-cut image of Alfred Donovan (now deceased) appears courtesy of The Wall Street Journal.
