Shell

From the UK Telegraph....

Shell will also cut its budget for exploration and production in the next half by 10pc from $28bn per year, though it will still be higher than most other oil majors at the reduced level. BP last week said it would keep its capital spending at about $20bn. Mr Voser said he could see no sign that demand for oil was improving, causing the biggest glut of supply for the last 20 years.

He also expressed concern about Shell's "very uncertain" future in Nigeria after attacks by rebel fighters that have more than halved its output in the African country since 2005. Despite the downbeat news, Shell's shares slipped just 3p to close at £15.94, as its profits on a current cost of supplies basis, a key measure for Shell, were better than expected at $2.3bn. Revenue fell 51pc to £63.9bn for the quarter to the end of June, tracking the depressed price of oil at around $60 per barrel.

Simon Henry, finance director of Shell, said that in the likely event of deflation the company would consider freezing its dividend, which was increased by 5pc to 42 cents for the second quarter. Analysts said that the safety of the dividend is likely to depend on how successfully Shell's savings can bring down costs, while demand for oil is still low.

"We expect the company to ultimately cut several thousand of its 102,000 employees, and believe additional cost gains from the restructuring could be in excess of $2bn," said Gordon Gray, an analyst at Collins Stewart.

Me again... the amount of companies with substantially lowered revenues is high. Don't believe this was a good earnings season... it wasn't.