British Petroleum Net Income Down 10.1%
CLEVELAND _ British Petroleum PLC on Thursday said its third-quarter net income was down 10.1 percent, largely because of a sharp decline in its chemicals segment.
BP reported net income of $195 million for the third quarter ended Sept. 30, compared with $217 million in the third quarter of 1990. That amounted to 43 cents per American Depositary Receipt compared with 49 cents for the third quarter of 1990. The British company's U.S. operations are based in Cleveland.
Net income is reported on a replacement cost basis, meaning after taxes and interest expense, but before taking into account unusual items and without figuring inventory gains and losses.
One American Depositary Receipt represents 12 ordinary shares of BP stock traded in London. Exchange rates were based on a quarterly average of $1.77 per pound. Third-quarter revenue totaled $13.4 billion, down 8.9 percent from $14.6 billion. For the first nine months of 1991, BP reported net income of $1.7 billion, down 32.5 percent from $1.29 billion in the year-earlier period. Revenue totaled $42.1 billion, down 5 percent from billion.
McDonnell Douglas to Split Douglas Aircraft LONG BEACH, Calif. _ McDonnell Douglas said it will split its Douglas Aircraft Co. into separate commercial and military segments, a needed reorganization if Douglas takes on a commercial aircraft partner. The move, expected by year's end, will separate the firm's Air Force C-17 cargo jet program from work on its commercial jetliners, the MD-11 and MD-80 programs. The reorganization is intended to improve employee performance and productivity in the commercial and military businesses, said David Swain, executive vice president for Douglas' government business. He also said a reorganization was necessary if Douglas is to take on a partner in its commercial business, since the company "never considered" allowing a partner to share in the C-17 program.
McDonnell chairman John McDonnell has been seeking an equity partner, either for the entire Douglas commercial business in Long Beach or for its next-generation MD-12 aircraft. McDonnell has held talks recently with aerospace firms in Taiwan and South Korea, as well as with some European and American firms. …