BP Amoco and Atlantic Richfield Co
(ARCO) said they intend to take the next formal step towards closing the combination of the two companies. They accordingly propose to re-start the required 20-day notice, suspended on November 2, 1999, to the US Federal Trade Commission (FTC).
The FTC has to date expressed concerns about the combination - concerns not shared by the companies.
While the companies firmly believe the combination would enlarge, rather than adversely affect, competition, they have offered, but failed to get FTC acceptance for, a range of measures designed to meet the FTC's expressed concerns.
BP Amoco and ARCO's proposed $26.8 billion combination was announced on April 1, 1999, with synergies and cost-savings estimated at $1 billion a year. Currently, BP Amoco neither refines nor markets on the US West Coast.