NYSE-listed Scorpio Bulkers has booked a major write-down on divested newbuild contracts and remaining orders held for sale.
The Emanuele Lauro-led company posted a net loss of USD138.6 million for 2Q15 versus a loss of USD15 million in 2Q14. Excluding one-time items, the adjusted net loss was USD16.6 million.
Losses related to the sale of newbuild contracts for eight Capesizes, one Ultramax and two LR product tankers, plus write-downs on assets held for sale, totalled USD119.6 million in the latest quarter.
Scorpio Bulkers has a remaining orders for 48 bulkers, with USD994.3 million in yard instalments due in 3Q15-3Q16. The company has credit agreements to finance all but four of these newbuilds.
In addition to the 16 vessel contracts it has already sold, Scorpio has four additional newbuild contracts (for three Capesizes and one Kamsarmax) that are held for sale. These vessels have remaining yard payments due of USD148.5 million.
Twelve of the company’s newbuilds have already been delivered (three Capesizes, three Kamsarmaxes and six Ultramaxes) and 11 additional vessels are chartered-in. Average time charter equivalent rates averaged USD6,737/day in 2Q15, down 32% from USD8,867/day in 2Q14.
This post was sourced from IHS Maritime 360: View the original article here.
