Thursday, December 8, 2011

ITF newsletter on the economic crisis

ITF newsletter on the economic crisis

Link to Economic Crisis Newsletter

Company shorts - 08 Dec. 11

Posted:

Four tanker owners (Maersk Tankers, Ocean Tankers, Phoenix Tankers, and Samco Shipholding) have decided to fight a weak tanker market by putting together a pool of 50 Very Large Crude Carriers.

French container line CMA CGM is to cut its annual costs by US$400 million, after posting a third-quarter net loss of $223.8 million. The company's year-on-year revenues have gone up 5.2 per cent to $11.08 billion for the first nine months.

Singapore-based Neptune Orient Lines (NOL) has rejected media reports saying it had placed another bid to buy a 38 per cent stake held by German tourist group Tui in the shipping line Hapag-Lloyd.

DP World has announced a US$850 million investment to expand by four million teu the capacity at Jebel Ali, its transhipment hub in the United Arab Emirates.

Drybulk carrier Paragon Shipping has been notified by the New York Stock Exchange that it could be delisted, should the company fail to raise its share price.

Sources: Lloyd's List; International Freighting Weekly; 6-7 December 2011

MSC-CMA CGM operating alliance

Posted:

Two shipping giants, Mediterranean Shipping Company SA (MSC) and CMA CGM, have revealed a two-year agreement to operate together large ships on major trade lanes. The world's second and third largest boxlines in terms of capacity are planning to improve their efficiency by deploying vessels between 11,000 teu and 14,000 teu on Asia to Europe routes. South American markets and Asia-Southern Africa trades are also part of the deal, which could be extended to other trades. Although a merger is denied, MSC and CMA CGM have a combined fleet of 3.9 million teu and a market share of 21.5 per cent, which would put them ahead of Maersk, with a capacity of 2.6 million teu and a market share of 16 per cent.

Source: Lloyd's List; 6 December 2011

Grim forecast for boxlines

Posted:

Most container lines will be in the red at the end of this year, as 14 carriers surveyed by Paris-based analyst Alphaliner have reported losses between three and 25 per cent in the third quarter. Most of them are expecting worse operating margins and even a liquidity situation for the last quarter, as rates and volumes seem to be declining further towards the end of the year. German carrier Hapag-Lloyd was the only major shipping line to have posted positive third-quarter operating results. 

Source: International Freighting Weekly; 6 December 2011

APM sells, Antwerp extends international cooperation

Posted:

APM Terminals has sold its 25 stake in Xiamen Songyu Container Terminal to Hong Kong-listed Xiamen International Port Co (XIPC) for US$83.5 million. APM had sold a similar stake in the Xiamen Songyu terminal to Xiamen Port Holdings earlier this year. The new 2.6 million teu Xiamen Songyu terminal will be designed to handle megaships with capacities of up to 18,000 teu. Port of Antwerp International (PAI), the development subsidiary of the Belgian port Antwerp, has signed a memorandum of understanding with the authorities of the port of San Pedro in Côte d'Ivoire. PAI is to design a master development plan for the largest cacao port in the world and the logistics zones.

Source: Lloyd's List; 7 December 2011

Suez Canal toll fees up

Posted:

The Suez Canal Authority has decided to increase its fees by three per cent for all vessels, effective from March 2012. Although fees had been unchanged for three years, revenues from Egypt's strategic waterway have grown 10.5 per cent for the first ten months of the year, reaching US$4.3 billion compared to $3.9 billion in the same period a year ago. The average cost for a ship transiting the canal was $242,000 according to a study carried out in 2009. There are indications the new charge system could offer discounts for major operators which use the waterway extensively.

Source: Lloyd's List; 7 December 2011