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UPDATE 2-Superior Energy scraps dividend, cuts executives' pay

Published 2016-03-31, 07:51 a/m
© Reuters.  UPDATE 2-Superior Energy scraps dividend, cuts executives' pay
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* Executives' base salaries cut 15 pct
* Annual director fees also reduced 15 pct

(Adds details on executive and board compensation pay cut)
March 31 (Reuters) - Oilfield services provider Superior
Energy Services Inc SPN.N scrapped its quarterly dividend and
cut the base salaries of its executives as part of efforts to
preserve cash amid a prolonged slump in crude oil prices.
The executives' base salaries have been reduced by 15
percent, effective April 1, the company said in a regulatory
filing on Thursday.
The Houston-based company also approved a 15 percent cut in
the annual director fees.
A near-65 percent plunge in crude oil prices since June 2014
has forced oil and gas producers to slash spending and scale
back drilling, hurting demand for services provided by companies
like Superior Energy.
"This downturn has been severe in extent and duration...,"
Chief Executive David Dunlap said in a statement.
Superior Energy joins a growing list of energy companies
such as ConocoPhilips COP.N , Noble Energy (NYSE:NBL) NBL.N and Cimarex
Energy XEC.N who have slashed or eliminated their dividends.
Superior Energy, which paid a quarterly dividend of 8 cents
per share last month, posted a bigger-than-expected loss in its
fourth quarter in February.
The company said in July it had cut 24 percent of its
workforce since the end of 2014.
Up to Wednesday's close, the company's shares had fallen 41
percent in the past 12 months.

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