Royal Dutch Shell announced today that it would cut its dividend for the first time since WWII.
Shell cuts dividend for first time since World War Two
Net profit at Royal Dutch Shell almost halved in the first three months of 2020.
Prompting the oil major to cut its dividend for the first time since World War Two.
Shell made the announcement on Thursday (April 30) as it battles the unprecedented drop in oil demand.
It also suspended the next tranche of its share buyback programme and said it was reducing oil and gas output by nearly a quarter
Shell's shares in London dropped as much as 6.7% in early trading, underperforming rival BP.
For years, Shell has taken pride in having not cut its dividend since the 1940s.
It resisted even during the deep downturns of the 1980s.
It's the first of the five so-called Oil Majors to cut its dividend because of the fallout from the crisis.
The other 4 Oil Majors are Exxon/Mobil, BP, Total, and Chevron.
Time to deal with reality and not live in dividend fantasy land.