LONDON-- Eni SpA, the Italian oil and gas company, said it would
reduce spending, slash its dividend and sell EUR8 billion ($8.5
billion) of assets over the next four years as it grapples with the
recent plunge in oil prices.
The four-year plan for the years 2015-2018 projects a 17% fall
in capital expenditure compared with a previous plan.
Eni said it would pay a dividend on this year's earnings of
EUR0.80 a share, a 29% reduction from last year. There was no
mention of paying the dividend in shares as several rivals
including Royal Dutch Shell PLC have recently decided to do.
"The progression of the (dividend) distribution policy will be
in line with our growth," Chief Executive Claudio Descalzi said
while presenting the company's new four-year plan.
Eni has traditionally had one of the highest dividend payouts in
the industry.
The company is forecasting Brent crude oil, the global
benchmark, to average $55 a barrel this year, rising to $70 in
2016, $80 in 2017 and $90 in 2018.
Write to Eric Sylvers at eric.sylvers@wsj.com
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