Cargoship Maritime, Magellano Marine to Restructure

Cargoship Maritime BV and Magellano Marine CV, Netherlands-based vessel operating companies managed by Seaarland Shipping Management BV (Amsterdam) have appointed Lazard and Venice Shipping & Logistics (VSL) as restructuring advisors. They will assist the companies to complete the restructuring process begun last year when thirteen owners of twenty-two vessels with time charters with Cargoship Maritime BV and two bareboat charters held by Magellano Marine CV were asked to agree to modified terms.

Antonio Zacchello, managing director of Seaarland Shipping Management said, "Towards the end of last year we asked the owners we partner to adjust with us to the new realities of the marketplace. There has been some tough and straight talking but they realised that it was in everyone's interest to position both the company and the chartered vessels to sustain the present poor market and be ready to take advantage of the upturn when it comes. We reached individual agreements with the vessel owners for 2009 -10 and are now optimistic for the future of Cargoship and Magellano. With the help of Lazard and VSL, the backing of our banks and the co-operation of our partners we will put in place a long term financial plan which will ensure that Cargoship and Magellano continue to deliver a high quality service to top class charterers."

Seaarland commercially manages a fleet of twenty-nine vessels, comprising product tankers, aframax and suezmax tankers and bulk carriers. All the time charter vessels in Cargoship and Magellano are trading in the spot and time charter market or in pools and are providing safe and reliable transportation services. Zacchello said, "During the last year we have taken steps to reduce costs and make Seaarland a leaner company. We are now well positioned with a balanced managed fleet, good relations with good charterers and a reduced newbuilding exposure. Permanently restructuring the exposure we have through Cargoship and Magellano is the final step in positioning Seaarland to take advantage of whatever the market brings us."