Cenovus suspends division to preserve money amid oil cost rout

Cenovus Energy Inc. is temporarily suspending a division and slicing a collateral spending devise by an additional $150 million on tip of a reduction announced final month.

The association says a additional stairs are in response to a low tellurian oil cost sourroundings that it expects to continue for an different period. It had paid a quarterly division of 6.25 cents per share.

The cut to a collateral spending devise comes on tip of a $450-million rebate done on Mar 9. Cenovus now expects to spend between $750 million and $850 million this year.

The association is also forecasting handling cost reductions of about $100 million and rebate to ubiquitous and executive costs of about $50 million compared with a Dec budget.

The association is rolling behind salaries opposite a company, effective May 1. President and arch executive Alex Pourbaix will have his annual bottom income reduced by 25 per cent, while other executive group members will take a 15 per cent rebate and vice-presidents and their equivalents in technical positions will accept a 12 per cent cut. Employees during other levels will also see a smaller graduated income impact.

Board members will have their remuneration reduced by 25 per cent.

Article source: https://www.cbc.ca/news/business/cenovus-dividend-1.5518821?cmp=rss