Sea Containers to Quit Ferry Business

Monday, March 27, 2006
Sea Containers Ltd. said it would withdraw from the ferry business, and it now expects to take $500 million in charges for the fourth quarter, sending its shares down 9 percent. The company, which runs the SeaStreak commuter service linking New Jersey with New York City, said the charges would reduce its net worth by $475 million, making it unable to comply with certain bank borrowing agreements. The passenger transport and marine container leasing company said in a statement that its board had decided to exit the ferry business, resulting in a noncash impairment charge of $415 million on a pretax basis for the fourth quarter. The company had previously estimated that it would take a fourth-quarter charge of $112 million. Sea Containers will also take a noncash pretax charge of $85 million for losses incurred during the sale of containers, impairment charges and a goodwill write-down. The company said it was holding talks with lenders on obtaining waivers or amendments to loan agreements and would restate its earnings for all four quarters of 2005 and delay filing its annual reports with the U.S. Securities and Exchange Commission until April to allow time to finalize bank negotiations and outstanding accounting issues. (Source: Reuters)
Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Offshore

BV Upgrades RAM Software

To help offshore operators and contractors get more out of their assets and develop projects more cost-effectively, Bureau Veritas has supercharged its reliability,

Intelligent Fender System Completes Offshore Trial

Strainstall, part of James Fisher and Sons plc, announced the completion of the world’s first Intelligent Fender System (IFS) trial with energy companies SSE and RWE at Suffolk-based wind farm,

Maritime Tension Dominates Southeast Asia Summit

Southeast Asian leaders edged closer to open criticism of China's land reclamation in the disputed South China Sea at a regional summit on Monday, as the Philippines

 
 
Maritime Security Maritime Standards Naval Architecture Navigation Pod Propulsion Port Authority Salvage Ship Repair Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | 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: 0.1205 sec (8 req/sec)