Ferry Accident Blamed For Minoan's Plummeting Stock Price

Wednesday, September 27, 2000
Shares of ferry operator Minoan Lines fell around 11 percent in late session trade on the Athens stock exchange on Wednesday, near the bourse's 12 percent limit down, after one of its ferries sank late on Tuesday, killing 48 passengers.

Traded volume was 979,939 shares. The shares were trading at 2,995 drachmas ($7.78), up slightly from its day low of 2,935 drachmas, representing a fall of more than 11 percent.

But brokers said the share price loss was likely to be temporary.

"Today's drop in the stock price is logical after such an incident. The slide may continue tomorrow but in the medium term things will change," said an analyst.

At least 59 people died when the ferry Express Samina of Minoan Flying Dolphins, a 31.6 percent subsidiary of Minoan Lines, sunk off the Aegean holiday island of Paros after striking a rocky islet.

"The incident will hurt the company's image but insurance will cover damages," the analyst continued.

"It is a good stock. Bargain hunters are expected to step in and buy the share," said another analyst.

Another analyst offered that the plunge in Minoan's stock is likely to be short-lived but legal matters concerning the issue may affect the company.

"Like other companies in its sector, Minoan Lines has been hit hard by rising fuel prices but up till now its fundamentals are good," he said. "The extent of the damages may grow when findings on the legal investigation are released."

Maritime Reporter September 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Energy

MARAD Seeks Comments on Proposed Policy for Deepwater Export Applications

The Maritime Administration (MARAD) is seeking comments on the agency’s proposed policy to accept, evaluate and process license applications for the construction

Oil Drillers Group to Fight U.S. Export Ban

More than a dozen U.S. oil producers have joined to lobby the federal government to reverse the 40-year-old ban on U.S. crude exports, a move that supporters hope

Clean Marine Wins New Contract

Clean Marine has been selected by Hyundai Mipo Dockyard in South Korea to supply exhaust gas cleaning systems (EGCS) for two new MR tankers. IMO’s convention

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Naval Architecture Pipelines Pod Propulsion Salvage Ship Electronics Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1062 sec (9 req/sec)