Tidewater suspends dividend

New Orleans-based offshore service vessel operator Tidewater Inc. announced yesterday that it was suspending its quarterly dividend and common stock repurchase program.  

The moves are part of a broader plan of reducing costs and capital spending in order to preserve liquidity in a tough oilfield services market that has been hit hard by the steep drop in oil prices and cuts in global exploration and production spending.

Tidewater said that suspending the 25 cents per share quarterly dividend would save about $47 million a year. Also, no shares have been repurchased by the company under its share repurchase program this fiscal year and the remaining $100 million authorized under the current program was set to expire on June 30.

It’s expected that Tidewater will discuss the moves in more detail during its fiscal third-quarter earnings call on Feb. 3.

About the author

David Krapf

David Krapf has been editor of WorkBoat, the nation’s leading trade magazine for the inland and coastal waterways industry, since 1999. He is responsible for overseeing the editorial direction of the publication. Krapf has been in the publishing industry since 1987, beginning as a reporter and editor with daily and weekly newspapers in the Houston area. He also was the editor of a transportation industry daily in New Orleans before joining WorkBoat as a contributing editor in 1992. He has been covering the transportation industry since 1989, and has a degree in business administration from the State University of New York at Oswego, and also studied journalism at the University of Houston.

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