Lauritzen profit close to 100m dollar
J. Lauritzen enjoyed a good start to the year. Lauritzens share of results totaled 99,6 million dollar for the first six months of the year, compared to 1.5 million for the first half-year in 2009
The result for the period was better than expected primarily due to improved earnings from Lauritzen Bulkers' handysize bulk carrier operations and non-recurring income from counterparty settlements.
Main events during the first six months:
JL took delivery of four handysize bulk carriers and two MR product tankers.
Seven long-term time-chartered bulk carriers (one handysize, five handymax and one capesize) were also added to the fleet.
An order for two handysize bulk carrier newbuildings for delivery in 2012 was placed with Jiangmen Nanyang Ship Engineering in China together with Dansk Rederi A/S, a close partner of Lauritzen Bulkers.
A loan agreement backed by Nippon Export and Investment Insurance (NEXI), one of two Japanese export credit agencies was signed. The agreement was the first of its kind with a company located in an OECD country for which NEXI provides its cover without the cooperation of Japan Bank for International Cooperation.
An unsecured bond issue was successfully completed for listing on the Oslo Børs (the Oslo Stock Exchange).
Demand for seaborne transportation is expected to remain fairly strong in the second half of 2010. However, market conditions are expected to be affected by a significant delivery schedule of new tonnage, in particular of bulk carriers and product tankers.
JL's share of the result for the full year 2010 is expected to be USD 120-125m subject to possible gains and/or losses from sale of vessels.
Source: Lauritzen / maritimedanmark.dk
