First Preferred Ship Mortgage
Standard & Poor's lowered its corporate credit rating on Pegasus Shipping (Hellas) Ltd. (Pegasus) to triple-'C'-minus from single-'B'-minus. At the same time, Standard & Poor's lowered its foreign currency senior secured debt rating to triple-'C'-minus from single-'B'-minus. All ratings are placed on CreditWatch with negative implications. The rating actions reflect Pegasus' rapidly diminishing financial flexibility owing to weak market conditions. Pegasus owns one of the world's largest independent Panamax tanker fleets. The Panamax tanker sector is currently experiencing weak market conditions, and the market is expected to remain weak in the short term. Arne Blystad S/A, Pegasus' largest customer, which at the end of last year accounted for about 20 percent of the company's revenues, has not been able to pay the time charter rates contracted for the chartered vessels. A settlement was reached in mid-1999 whereby the charter contracts were terminated, and a large portion of the remaining receivable was forgiven in return for a one-time payment. Pegasus' capital structure is very aggressive, with total debt of $214 million (treating $19 million in preferred shares as debt) at the end of June 1999. Pegasus is currently in negotiations with Chase Manhattan International Ltd. with respect to a Notice of Technical Default for alleged breach of the security cover requirements of loan facilities.
According to a June 24 report from Honoluluadvertiser.com, Hawaii Superferry has asked to abandon its two high-speed catamarans to creditors because of the significant cost of maintaining the vessels as the company moves through bankruptcy. MARAD, which guaranteed construction loans for the catamarans; Austal USA, the Alabama shipbuilder that built the vessels; and the state of Hawaii, which provided harbor improvements, are secured creditors with mortgage rights
In March of 1998, the owners of M/V Golden Prince were locked in a wage dispute with current and former crewmembers. The vessel owners hired a law firm from New Orleans, La., to help resolve this wage dispute. The crew sought wages and penalties from the ship owner due to an alleged breach of contract governing their pay. Ultimately, the crewmembers seized M/V Golden Prince to enforce their claims. The law firm rendered over $136,000
The U.S. Court of Appeals for the Fifth Circuit ruled that, under the useless judgment doctrine, it lacked jurisdiction to consider an appeal. In the instant case, plaintiff ship manager operated a ship for the owner. The ship was subject to a preferred ship mortgage and also subject to various liens held by suppliers of necessaries. When the owner did not pay as promised, plaintiff filed an in rem claim and had the ship arrested. The other claimants also filed their claims
By Sharon Donovan When maritime liens turn up, an unsuspecting vessel owner and the lender can be left in the wake of a deal gone sour. But thanks to a new form of title insurance tailored to the maritime industry, owners, lenders and lawyers who might have green-lighted the transaction with a legal opinion are insulated from the potential risk. First American Transportation Title Insurance Co., a member of The First American Corp
Ain’t love grand? There’s the courtship phase: the wine, the roses, the proposal; the blood tests come back approved by the credit committee . . . finally the borrower and the lender fund the deal and tie the knot forever, walking off into the sunset in vessel finance ecstasy. Or, so the happy ending should go. But for some, there will be a time when the relationship with their vessel’s lender hits the proverbial rocks
SKY Computers, Inc., has entered into a preferred supplier corporate purchase agreement with the Lockheed Martin Corp., extending to all business units of Lockheed Martin, through 2001, with options to continue through 2003. SKY anticipates the agreement will result in increasing revenues exceeding $20 million over the life of the agreement for its board-level products and high-performance computing system products.
Liquidators who had been appointed to dispose of Sea Malta's assets have been prohibited from selling two vessels after an application filed in the First Hall of the Civil Court by a group of 42 former employees of the company, who claimed that their employment had been terminated, was upheld by the Court, according to a report on www.di-ve.com. The former employees claimed that their employment with the company had been terminated
International Registries (IRI) is extending its cost-free registration for all vessels registering under the Marshall Islands flag until December 31, 2000. This special deal includes registration, documentation and mortgage recordation fees - as well as marine inspection, investigation and international participation fees. Vessels registered under the Marshall Islands flag included in this special offer will be lifted from the annual tonnage tax until January 1, 2001
Navios Maritime Acquisition Corporation (NYSE: NNA), an owner and operator of tanker vessels, announced that the company has entered into an agreement to acquire two 75,000 DWT LR1 product tankers scheduled for delivery in Q4 2011 from a South Korean shipyard. The nominal acquisition price of $87m will be financed with: • Issuance of $5.4 million mandatorily convertible preferred stock ("preferred stock")
Newport News Shipbuilding (NNS) division recently dedicated its 11th Habitat for Humanity house in Hampton. NNS has partnered with Habitat for Humanity Peninsula and Greater Williamsburg since 2002 to build homes for families in Hampton Roads.
Aker Solutions awarded contract for offshore engineering services to support Husky Energy at White Rose field. The scope of work includes studies, modifications (EPCI) and campaign maintenance services. The duration is five years with an option to extend the contract for as many as 10 one-year
On a journey that would take more than five weeks, six 32-foot transportable security boats (TPSBs), two pick-up trucks, six boat trailers, and 15 five-ton storage containers traveled more than 5,000 miles across the Pacific Ocean from Everett, Washington to Pohang, South Korea.
Austal announce new strategic partnerships in the Asia-Pacific region to enhance its support to the US Navy & others in the region. Following on from the strategic partnership with Singapore’s Sembawang Shipyard Pte Ltd announced in January 2013
Heavy fuel oil on board the wrecked container ship is expected to leach out over time, but the ship's owners and insurers would prefer to leave it where it is. No decision had been made on leaving Rena on the reef, but draft assessments have been distributed for stakeholder and regional council
Intelsat Global Holdings S.A. announced that it has commenced the distribution of preliminary prospectuses in anticipation of its proposed initial public offering of 21,739,130 common shares and proposed concurrent public offering of 3,000,000 Series A mandatory convertible junior non-voting
BMT JFA Consultants (BMT) supports the Shire of Esperance, Western Australia in its plans to construct a granite seawall & headland. BMT was originally commissioned to help develop the required technical specifications for the production of sufficient quarry rock to construct a granite
World’s most powerful HVDC Light® sets new record voltage level of ±320 kV- more than 50 per cent higher than existing record. The HVDC Light converter station was energized at the Dörpen West substation in northern Germany, for the Dutch-German transmission system operator
Intelsat S.A. (formerly known as Intelsat Global Holdings S.A.) announced the pricing of its initial public offering of 19,323,672 common shares at a price of $18.00 per share and concurrent public offering of 3,000,000 Series A mandatory convertible junior non-voting preferred shares (the
Navios Maritime Holdings & Navios Maritime Acquisition Corp. in J/V sign LOI to buy 10 ships from debtors of HSH Nordbank. The new Joint Venture company, named Navios JV, has executed a binding letter of intent to acquire ten vessels
Tsakos Energy Navigation Limited (TEN), a product, crude and LNG tanker operator, today announced that it plans to offer its Series B Cumulative Redeemable Perpetual Preferred Shares (the Series B Preferred Shares) in a public offering under its effective shelf registration statement.
Caterpillar Global Petroleum to supply diesel generator sets for the drillships to be built in Brazil. The contract has been awarded by Estaleiro Enseada do Paraguaçu (EEP) for six drillships to be built at Estaleiro Enseada do Paraguaçu shipyard in the state of Bahia, Brazil
Xantrex Technology has become a sponsoring partner of the IYRS, a marine trade and technology school offering full-time accredited programs in boat building and restoration, marine systems and composite technology. With campus locations in Newport and Bristol, R.I
Maersk Line sign a multi-year e-commerce shipping network contract with INTTRA as part of a strategic growth strategy for both companies. Maersk Line and its brands Safmarine, Seago Line, and MCC will extend the benefits of the INTTRA e-commerce shipping network to its customers
Aberdeen Harbor Board’s annual results have revealed record vessel activity in 2012 and record levels of cargo passing through the port. Overall vessel tonnage handled by the port increased by 8%, from 25.91 million tons in 2011, to 28.19 million tons in 2012