Occidental Cuts Dividend to a Penny With Debt Woes Mounting

  • Second payout cut in four months follows boardroom upheaval
  • CEO Vicki Hollub retains directorship after shareholders vote
An oil well operated by Occidental Petroleum Corp. in Hobbs, New Mexico, in the Permian basin.

Photographer: Javier Blas/Bloomberg

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Occidental Petroleum Corp. cut its quarterly dividend by 91% to the lowest since at least the 1970s amid the pandemic-driven collapse in energy demand that has strained the oil explorer’s ability to shoulder its debt.

Occidental shareholders will receive a penny per share on July 15, the Houston-based company said in a statementBloomberg Terminal Friday. The move extends a cut announced in March when it trimmed the payout to 11 cents from 79 cents.