Liability is the key issue for BP (BP.LN) says Credit Suisse, although the brokerage concedes that getting close to "zero oil" is an important psychological step. Says there are four main liability questions that remain unanswered.
Liability is the key issue for BP (BP.LN) says Credit Suisse, although the brokerage concedes that getting close to "zero oil" is an important psychological step. Says there are four main liability questions that remain unanswered. First, the amount of compensatory claims; secondly whether gross negligence will be proven; thirdly, if gross negligence is proven, whether punitive damages apply; and lastly, how liability will be shared amongst partners. 
Says its 515p target price offers 20%-26% potential upside. In its "optimist" case, says there is potential upside to 604p. In the "pessimist" case, BP's share price embeds gross negligence, 100% of costs and a total liability of $61Bln, pretax. Has outperform rating. BP is -3% at 395p.

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