Flag Carrier News

American Roll-on Roll-off Carrier (ARC) announced that its M/V ARC Integrity loaded equipment from the Army’s 1st Combat Aviation Brigade (CAB) at the port of Rotterdam.The ARC Integrity is ARC’s latest addition to the U.S.-flag fleet, having re-flagged to U.S. registry in Bremerhaven, Germany in October 2019. ARC Integrity moved a mix of helicopters, vehicles, containers, and other ground support equipment for 1st CAB, the “Demon” Brigade, which now returns home to Fort Riley, Kansas after a ninth month rotation in support of Operation Atlantic Resolve.The 3rd CAB “Marne Air” out of Fort Stewart-Hunter Army Airfield, Georgia replaces the 1st CAB in Europe.

American Roll-on Roll-off Carrier (ARC) will christen the ARC Resolve, ARC Integrity and the ARC Independence, welcoming three of the most versatile and militarily-useful ships to the U.S.-flag commercial fleet, on Friday in the Port of Baltimore.ARC’s three, new vessels will be enrolled in the Maritime Security Program (MSP), the bedrock Congressional maritime readiness program, and the Voluntary Intermodal Sealift Agreement (VISA).Maritime Administrator Mark H. Buzby will deliver the keynote address at the ship naming ceremony. He will be joined by several other distinguished speakers: Major General Michael C. Wehr, director of Strategic Plans, Policy, and Logistics (J5/J4) at U.S.

The new head of South Korean flag carrier Hyundai Merchant Marine (HMM) Jae-hoon Bae is on a charm-offensive trip to Europe to cement the shipping line's relations with global majors.HMM said Bae, who became HMM's president and chief executive last month, will meet this week with executives at A.P. Moller-Maersk A/S and Mediterranean Shipping Co.First of all, Bae plans to visit the European headquarter of HMM, located in London, to encourage its employees and make sales strategies based on the character of each region after gathering the various opinions from the site.Furthermore, he will lead an effort to reinforce the trust of its valued customers through business meetings.Bae is scheduled to converse with Ki-tack Lim…

The largest U.S.-flagged roll-on roll-off (Ro-Ro) carrier American Roll-on Roll-off Carrier (ARC) said that its M/V Patriot loaded equipment for the Army’s 4th Combat Aviation Brigade (CAB) at the port of Thessaloniki.M/V Patriot moved a mix of helicopters, vehicles, containers and support equipment used to take part in Operation Atlantic Resolve for 4th CAB, which is returning to Fort Carson, Colorado. 4th CAB is being replaced by 1st CAB from Ft. Riley, Kansas, said a press release.Operation Atlantic Resolve has been ongoing in Europe since 2014, it said.“I am very impressed to see what a complicated logistical undertaking it is to bring an army unit like this one here to Greece” said Geoffrey R. Pyatt, U.S.

Largest Containership Built in U.S. Will Serve Hawaii. Matson, a U.S. flag carrier in the Pacific, and Philly Shipyard, Inc. (PSI), the wholly-owned U.S. subsidiary of Philly Shipyard ASA (Oslo: PHLY) christened the largest containership ever built in the United States in a ceremony at the Philly Shipyard on Saturday, June 30. The new vessel is named 'Daniel K. Inouye' in honor of Hawaii's late senior U.S. Senator, who was a longstanding supporter of the U.S. maritime industry and its important role in supporting Hawaii's economy. It is the first of two new ships being built for Honolulu-based Matson by Philly Shipyard at a total cost of approximately $418 million for the pair, and the first of four new vessels that Matson will put into its Hawaii service during the next two years.

South Korea’s leading container carrier Hyundai Merchant Marine Co (HMM) is considering launching a regular liner service via the Arctic Sea, a move that could cut transits between Asia and Europe considerably, reported Pulse. South Korea’s largest ocean carrier is considering a trial operation from as early as 2020. A number of local logistics companies have ventured into the Arctic routes, but did not last due to lack of ships and crew expertise to navigate against the ice-packed waters. The report quoted the local shipping industry saying that with a heavy fleet of vessels, human resources and ample commercial infrastructure is the candidate to become Korea’s first flag carrier running regular shipment via the Arctic sea route.

South Korean Container carrier Hyundai Merchant Marine (HMM), which collaborates with the 2M alliance, has had its rating improved from the default rating D to instead BB, informs the carrier. "Korea Investor Service (a Moody’s Affiliate)  has upgraded Hyundai Merchant Marine’s credit rating from D (Default) to BB (Stable)." says the company statement. HMM has successfully overcome all the challenges through debt for equity swap and changing conditions (adjustment of charter fee / debt adjustment with bondholders etc). Favorable conditions for HMM including reduced HMM’s financial burden, benefits from Korean government supports, a possibility of support from its largest shareholder, and merits as Korea’s main national flag carrier led to raise HMM’s credit rating from D to BB.

Hanjin says asks court for its assets to be frozen; Hyundai Merchant looking to buy Hanjin's "good" assets. South Korea's Hanjin Shipping Co Ltd filed for court receivership on Wednesday after losing the support of its banks, setting the stage for its assets to be frozen as ports from China to Spain denied access to its vessels. Banks led by state-run Korea Development Bank (KDB) withdrew backing for the world's seventh-largest container carrier on Tuesday, saying a funding plan by its parent group was inadequate to tackle debt that stood at 5.6 trillion won ($5 billion) at the end of 2015. Hanjin Shipping, South Korea's biggest shipping firm…

Business Korea reports that rumours are now rife in the container business world that Maersk could swoop on Hyundai Merchant Marine and subsume its activities into their own business. Even though it is still a prediction, if the prediction becomes a reality, it is highly likely that the sell-off of Hyundai Merchant Marine will receive strong backlash with a mounting criticism that the government sold a major national flag carrier for a giveaway price. According to the shipping industry and creditors, a prediction is spreading that Maersk will discuss ways to buy equities in the Korean shipping company with the Korean government and the Korea Development Bank after its normalization.

South Korea’s Hanjin Shipping Co. Ltd will work with lenders to restructure debt after years of weak demand resulted in losses and cash erosion, reports Bloomberg. The board of Hanjin Shipping decided to file for receivership and give creditors authority to manage the company, bowing to calls from the government and its main creditor Korea Development Bank (KDB) which asked Cho to accept heavy restructuring of the company. "Board directors of Hanjin Shipping decided to give up their management control for debt restructuring," said a KDB spokesman. Having been faced with an outstanding debt of USD 406 million due in the first half of this year, the company is now aiming to improve the financial structure and “normalize” its management.

Hanjin's debts at 5.6 trln won at end 2015; company has been squeezed by low shipping margins. South Korea's Hanjin Shipping Co Ltd will ask creditor banks to restructure its debt, the country's largest shipper by assets said, in an attempt to weather a squeeze in margins from a severe industry downturn. Hanjin, whose chairman Cho Yang-ho also controls flag carrier Korean Air Lines Co Ltd, had debt of 5.6 trillion won ($4.9 billion) and a debt-to-equity ratio of nearly 850 percent as at the end of 2015, according to the company. While major global shippers have undertaken merger deals and entered new alliances recently to survive the downturn, Hanjin and Korea's No. 2 shipper Hyundai Merchant Marine Co Ltd , which is also under voluntary debt restructuring, haven't taken that route yet.

Turkey shut its Dardanelles Strait to tankers and its flag carrier cancelled some domestic and international flights in and out of Istanbul due to a storm. The Dardanelles waterway is frequently forced to shut during the winter due to rough weather, usually at least two or three times a month. Five northbound and three southbound tankers waiting to pass through the Dardanelles were expected to be scheduled to do so on Tuesday, shipping agency GAC said. The Bosphorus Strait remained open. Connecting the Black Sea to the Mediterranean, the Dardanelles and Bosphorus straits form one of the world's major energy shipping routes, with about 10,000 vessels carrying 150 million tonnes of oil and petroleum products on the waterways every year.

Oil fell to four-year low of $72 on Thursday; Airlines hope the price will slip below $70 a barrel. Airlines in Asia-Pacific are holding off from hedging their fuel costs as they wait for oil to dip below $70 a barrel in hopes of securing lower prices, industry executives said on Friday. The benchmark Brent crude oil price fell more than $6 to under $72 a barrel on Thursday, its lowest since July 2010, after the Organization of Petroleum Exporting Countries opted against cutting production even though a supply glut is pulling down prices. Airlines "hedge" some of their fuel needs - or buy fuel in advance at future, pre-determined prices - to reduce the impact on earnings of any volatility or increases in prices.

In his speech at the LNG Export & Export & Infrastructure Conference Federal Maritime Commissioner Doyle gives insights on the consequences of the adoption of Liquefied Natural Gas (LNG) as a marine fuel in the United States. I am a Commissioner with the U.S. Federal Maritime Commission. The Federal Maritime Commission is an independent regulatory agency responsible for regulating the nation’s international ocean transportation for the benefit of exporters, importers, and the American consumer. I should emphasize that my thoughts and comments here are mine and mine alone – they do not reflect the position of the Commission, and they should not be construed to represent the positions of any of my fellow Commissioners.

The U.S. Federal Maritime Commission Chairman, Mario Cordero, issued a call to fellow regulators in the European Union and the People’s Republic of China, to join with him in a Global Regulatory Summit on the proposed P3 Global Alliance of the world’s three largest container carriers, Maersk Line, CMA-CGM, and Mediterranean Shipping. The Summit would take place in Washington, D.C., with regulators to discuss their respective regulatory roles in considering the impact of the announced Alliance.

Ivy Marine opts for Baker Lyman's Sub-Chapter M Solution & CORSAIR TVR v.2. Baker, Lyman & Co announced the enrollment of the first RCP Operator into the TSMS Transition Program. Ivy Marine of Daphane, AL, a red-flag carrier, entered the program earlier this month. The enrollment signal's Ivy Marine's futhering effort to exceed their clients' safety contracting protocols as well as the impending USCG Sub-Chapter M rules, according to Ivy Marine President Steve Wilson. The TSMS…

As recovery efforts in the wake of Haiti's devastating earthquake continue, tugs and barges from two Seattle-based companies are in the U.S. Gulf poised to participate in the vast international relief operation. America Cargo Transport Corp. (ACTC), a wholly owned Foss subsidiary, and Foss Maritime Company are preparing to carry approximately 6,000 tons of food aid cargo to the Haitian capital of Port Au Prince for USAID, according to company sources. Initial efforts to deliver humanitarian aid to the stricken island nation have slowed because of severe damage to the port and transportation infrastructure in Port Au Prince. ACTC has routinely carried food aid cargo for USAID and USDA to Port Au Prince before the earthquake and specializes in handling the complex logistics of moving high…

India's Petronet LNG will seek fresh price bids from the four consortia left in the race for a contract to ship liquefied natural gas (LNG) from Qatar to a terminal at west coast Dahej. "Technical bids have been opened and deviations are being sorted out. Once that is over, fresh price bids would be asked from the four," the official, who did not want to be identified, told Reuters. He said the deadline for selecting the shippers is March 31. Of the eight consortia which were pre-qualified after global competitive bidding, only four submitted technical and price bids. * Indian Oil Corp., Exmar of Belgium and Great Eastern Shipping Co. Ltd. * Essar Shipping and Malaysia International Shipping Corp.

Malaysia International Shipping Corp (MSIC) said on Tuesday it had no immediate plan to issue any bonds. Replying to a stock exchange query, the Malaysian flag carrier however said it was considering undertaking an international rating exercise. Traders told Reuters on Monday that MISC was planning to issue yankee bonds worth up to $500 million in the next few weeks. The MISC issue was seen as likely to precede a similar issue by its parent Petronas. The state oil firm owns 62 percent of MISC. Sources had said MISC could be borrowing under Petronas' name to enjoy better rates. But MISC said the report was mere speculation. "MISC is not going for any bond issue in the immediate future," it said. "MISC is considering undertaking an international rating exercise." - (Reuters)

Malaysian International Shipping Corp (MISC), the country's flag carrier, is planning to issue yankee bonds worth up to $500 million in the next few weeks. The yankee bond offering, where the debt is issued in the U.S. market, will be the second from Malaysia this year. Traders said state power firm Tenaga Nasional would issue $800 million in bonds by the middle of next month, with the company expected to go on a roadshow soon. "MISC is looking to raise $350 to $500 million to finance ship acquisitions," said a dealer at a foreign bank. But another source said the shipping line could be tapping a maximum of $400 million. The MISC issue was seen as likely to precede a similar issue by its parent Petronas. The state oil firm owns 62 percent of MISC.

Maritime Information Systems AS (MARIS) has signed a Joint Development Agreement with COSCO/ENS to produce a range of low cost navigation and marine IT products for the world shipping market. The products, based upon proven MARIS technology, will be sold under both MARIS and COSCO/ENS badge names. China Ocean Shipping Company (COSCO) a national flag carrier of the People’s Republic of China, was established in Bejing in 1961 taking international shipping as its main line of business. COSCO has been the world’s fastest growing shipping company over the past decades. COSCO own and operate over 600 vessels of different types including container vessels, conventional vessels, timber carriers, refrigerated ships, passenger vessels, bulk carriers and oil tankers.

Malaysian International Shipping Corp. (MISC), the world's largest liquefied natural gas (LNG) carrier, said it expects profits in fiscal 2002 to be higher than 2001. "Despite the slowdown in the world economy, we are confident we can move ahead," said managing director Mohd Ali Yasin. MISC, part of state oil firm Petronas, earlier announced a net profit of $363 million, or 74.3 cents earnings a share, in the year ended March 2001, slightly above market expectations. Comparative figures were not available due to a change in its financial year-end from December to March. Multex Global Estimates net profit consensus for 2001 was 1.33 billion ringgit or 71.7 cents earnings a share.