Scandlines Ferry Deal Could Drop In November
The Danish and German governments plan to sell the joint-owned Scandlines ferry line and companies from Sweden, Denmark and Germany had expressed an interest in buying the firm. "We are currently studying the possibilities (for a sale) and we expect to make a decision in mid-November," Danish Transport Ministry spokesman Michael Birch said. The state railways of Denmark and Germany each own a 50 percent stake in Scandlines AG. The Danish-German ferry company was originally expected to go public only in a few years' time, but this would not be the case if Scandlines succeeded in finding a buyer, Birch said. He added that companies in Denmark, Germany, Sweden and further afield had expressed an interest in buying the firm.
Moody's Declares Negativity at Stena AB
Moody's Investors Service today confirmed the Ba3 rating for senior notes of Stena AB ("Stena") and changed the outlook for its ratings to negative from stable. The Ba3 rating reflects the company's increased exposure to the European ferry industry and higher financial risk as a result of the acquisition of a 100 percent ownership in Stena Line AB. At the same time, Moody's confirmed Stena's Ba2 senior implied rating, and also Stena International BV's senior secured bank loan rating of Ba1. The negative outlook for the ratings reflects Moody's concerns that Stena may not be able to substantially improve the performance of its ferry operations near term. With that, Moody's concludes the review of Stena's ratings for possible downgrade it initiated on November 1, 2000.
