MARKET TALK: Oil & Litigation, Or Will It Be Litigation & Oil?

12:23 (Dow Jones) BP's plans to sell about $30B in assets in order to become a slimmed down version of its former self should help restore is battered reputation. "The sales could be the best response possible to the spill's legacy -- as could the company's debt reduction and increased cashflow," FT's Alphaville says. "Well, great -- BP is turning into a well-functioning litigation-offset machine. That comes at the expense, though, of knowing how it's actually going to function in the future as a successful -- and safe -- oil company." BP off 2.5% at $37.67. (steven.russolillo@dowjones.com) (http://ftalphaville.ft.com/blog/2010/07/27/298596/beware-possibilities/) Call us at (212) 416-2181 or email john.shipman@dowjones.com Visit the Market Talk blog at www.djnmarkettalk.com. (END) Dow Jones Newswires July 27, 2010 12:23 ET (16:23 GMT)