We are committed to maintaining a progressive and sustainable dividend
policy through our focus on increasing sustainable free cash flows.
Since resuming dividend payments in 2011, we have steadily increased the
dividend. From the quarterly dividend of 7 cents per share paid in 2011 it
has increased by 36% to 9.5 cents per share paid in the fourth quarter of
2013. Going forward, the board will review the dividend level with the first
and third quarter results each year.
The total dividend paid in cash to BP shareholders in 2013 was $5.4 billion
with shareholders also having the option to receive a scrip dividend (2012
$5.3 billion cash). The dividend is determined in US dollars, the economic
currency of BP.
During 2013 we started to buy back shares as part of an $8-billion share
repurchase programme, fulfilling a commitment to offset any dilution to
earnings per share from the Rosneft transaction. The total cash paid for
share buybacks in 2013 was $5.5 billion (2012 nil). Details of share
repurchases to satisfy the requirements of certain employee share-based
payment plans are set out on page 278.