Cash-strapped Trada Maritime Risks Default

Posted by George Backwell
Thursday, June 05, 2014
File image

Indonesian shipping company PT Trada Maritime Tbk is at risk of defaulting on its debt of around $31 million to the International Finance Corp (IFC), the private sector lending arm of the World Bank.

Trada Maritime received a letter dated May 28 from the IFC requiring it to pay a principal amount of $30.57 million as well as interest and other costs of $774,360 within three working days, the company said in a stock exchange filing on Thursday.

Trada Maritime also owes $15 million to Bank of Tokyo-Mitsubishi UFJ Ltd. The company had discussed ways to pay off its debt to its creditors and they will have another meeting on June 17, it said.

The potential for default underscores the plight of the Indonesian shipping sector, which has been struggling with a heavy debt burden, oversupply and lackluster rates.

Last month, the chief of unlisted PT Pelayaran Nasional Indonesia was replaced after the state-owned shipping company suffered a loss in 2013, local media reported.

Oil and gas shipping firm PT Berlian Laju Tanker, which narrowly escaped bankruptcy last year, said in January it had cut its fleet size by 44 percent and will transfer a stake in its subsidiary to one of its creditors.

(By Fransiska Nangoy;

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter May 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

First German-Latvian Maritime Forum in Riga

On 19 May, Ziemelblazma Culture Palace in Riga, the Latvian capital was the venue for a meeting between numerous representatives of the Ports of Liepaja, Riga, Ventspils, Lübeck, Kiel and Hamburg.

Shipping Corp Seafarers on Hunger Strike

Around 200 seafarers with Shipping Corporation of India (SCI), the country's largest shipping company, are on a hunger strike (industrial action) since Saturday over wages and arrears.

Elektrans Shipping Appoints Deepak Arora as MD

Elektrans Group announced the promotion of Capt. Deepak Arora to Managing Director of Elektrans Shipping Pvt. Ltd.    Capt Arora has been with the Elektrans

Legal

Singapore Shipping Profits Up

Singapore Shipping Corporation(SSC)'s  net profit increased 7.8 per cent to US$9.6 million for the financial year ended March 31, 2016, compared to the previous year.

Seized Hanjin Shipping Vessel Resumes Operation in South Africa

Hanjin Paradip resume  its sailing from South Africa as talks continue with owner over unpaid charter fees. The ship had been detained in Richards Bay, South Africa

Korean Shipbuilder Could Be Liquidated

South Korea's STX Offshore & Shipbuilding Co. has filed for receivership, following massive losses that have mounted up over the past two years, says a report in the WSJ.

Tanker Trends

A Year is a Long Time in Tankers

The latest Gibson Market Report focused on the age profile of the VLCC fleet and the prospects for trading life beyond 15 years of age.    Analysis of the Suezmax fleet shows a similar picture,

Strike In France: Implications for Tanker Demand

After the oil industry suffered from a severe drought in Venezuela, forest fires in Canada and rebel attacks on oil installations in Nigeria, it is now facing

Floating Storage Flattens Fortunes of $50 Crude

The prices of WTI and Brent crude briefly rose above $50/bbl during intraday trading on Thursday, the highest level seen since the end of July 2015, giving traders a brief moment of optimism,

Finance

Harding Sold to Palfinger

The PALFINGER Group has signed today the acquisition of 100 per cent of the shares in Herkules Harding Holding AS and thus, the globally operating Harding Group.

Singapore Shipping Profits Up

Singapore Shipping Corporation(SSC)'s  net profit increased 7.8 per cent to US$9.6 million for the financial year ended March 31, 2016, compared to the previous year.

Shipping Corp Seafarers on Hunger Strike

Around 200 seafarers with Shipping Corporation of India (SCI), the country's largest shipping company, are on a hunger strike (industrial action) since Saturday over wages and arrears.

 
 
Maritime Contracts Maritime Security Naval Architecture Navigation Port Authority Ship Electronics Ship Repair Ship Simulators 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: 0.0943 sec (11 req/sec)