ACL Buys ConAgra Barge Fleet
ConAgra Inc., the second largest U.S. food manufacturer, said last week it agreed to sell American Commercial Lines LLC (ACL) its large U.S. inland barge fleet and operations. Financial terms of the deal, which ConAgra said was part of ongoing series of strategic divestments, were not announced. But ACL will acquire 930 owned and chartered barges, nine chartered towboats and one dry dock, the companies said in a joint statement. The deal includes Peavey Barge Lines, Brown Water Towing Inc. and Superior Barge Lines, Inc. The transaction is subject to regulatory approval but is expected to be completed in the next 30 days, they said. Greg Heckman, president and CEO, ConAgra Trade Group, said, "Our decision to sell the barge company is a strategic one.
PPG Appoints Sklarsky
PPG Industries said Frank S. Sklarsky will join the company as executive vice president for finance, effective April 15, reporting to Chairman and CEO Charles E. Bunch. Also, effective August 1, Sklarsky will be named PPG executive vice president and chief financial officer. David B. Navikas, currently PPG senior vice president, finance and chief financial officer, will continue in his current role until August 1, and will then continue as senior vice president in a senior leadership role that will be announced later. Most recently, Sklarsky was executive vice president and chief financial officer, Tyco International, Ltd., a global provider of security, fire protection and flow control solutions with revenues that exceeded $17 billion.
ConAgra Inc., the second largest U.S. food manufacturer, has agreed to sell American Commercial Lines LLC (ACL) its large U.S. inland barge fleet and operations. Financial terms of the deal, which ConAgra said was part of ongoing series of strategic divestments, were not announced. ACL will acquire 930 owned and chartered barges, nine chartered towboats and one dry dock, the companies said in a joint statement. The deal includes Peavey Barge Lines, Brown Water Towing Inc. and Superior Barge Lines, Inc. The transaction is subject to regulatory approval but is expected to be completed in the next 30 days, the companies said. Greg Heckman, president and CEO, ConAgra Trade Group, said, "Our decision to sell the barge company is a strategic one.
West Asia Maritime Signs $33.5M Deal with Mitsui
West Asia Maritime Limited (WAM) has signed an MoU of $33.52M deal with Mitsui & Co, Japan for taking a IHIMU, Japan built geared 56,120 DWT Bulk Carrier under Bareboat Charter with purchase option. The new vessel, which is to be delivered in 1st Quarter 2008, is chartered for 12.5 years and will be trading worldwide for the movement of dry bulk cargoes. This is the first time that an Indian shipping company has taken this route to control with an option to acquire ships. Under the proposed deal, WAM would be getting the vessel for a long period with minimal investment and also have purchase option. WAM can now buy the asset at any time during the charter period at a pre-determined price.
West Coast Ports Dispute and US Economy
A face-off between economists on the cost of West Coast port slowdown on U.S. economy. Vital shipping ports on the West Coast are closing amid a labor dispute between shipping companies and longshoremen. Will the shutdown lead to major losses for businesses and the U.S. economy as a whole? A section of economists and trade experts say that a shutdown of 29 West Coast ports closures would have very little effect on the broader U.S. economy as the trade of goods through U.S. ports represents only a fraction of the nation's total economic output.
West Coast Port Slowdown Could Cause Two Month Delays
Congestion at the U.S. West Coast ports could take as much as two months to unwind, according to port and trade group officials, with retailers and other companies bracing for further shipment delays after the apparent resolution of a months-long labor dispute. A tentative labor agreement involving 29 ports was announced late on Friday involving 20,000 dockworkers. Tensions over their lack of a contract since July had led to chronic cargo backups. But port officials and companies warned it will take time to restore a normal flow of traffic. "It's not going to be fast," Jon Slangerup, chief executive officer of the Port of Long Beach, told CNBC television. The port slowdown has rippled through the U.S. economy including the retail, auto and agriculture sectors.
U.S. Grain Prices Soar as Floods Shut Waterways
U.S. grain farmers scrambled to find shelter for their crops and handlers hunted for alternative transportation routes, as widespread floods shut waterways from Illinois to Missouri and spurred a surge in physical prices of corn and soybeans. The sudden jump in prices could complicate a months-long stand-off between farmers who are unwilling to sell their bumper crop at low prices and buyers who have refused to budge on their cash offers amid plentiful supplies. It could also further curb export demand, with U.S. traders struggling to compete with their cheaper Latin American rivals. Cash premiums for soybeans in the U.S. barge market…
Demand for Coastal and Transoceanic ATBs Grows
Along the way, ATBs gain speed, efficiency, safety – and popularity. Operators of articulated tugs and barges, or ATBs, say they like the maneuverability, weather reliability, stability, speed of these units, and the manner in which the tug pushes the barge. As a marine transportation concept, they can also simply be described as versatile. ATBs move petroleum, chemicals, coal, grain, containerized cargo and rail cars for customers on the U.S. coasts, rivers, the Great Lakes and overseas. As a result, demand for articulated units expanded in the last two decades with new technology.