Wednesday, June 14,
According to a story in yesterday's Oregonian, the Cammell Laird investment in Cascade General, along with financing from two institutional investors, will give the Portland firm the cash it needs to purchase the Port of Portland's Swan Island Repair Yard. Cascade General has been the sole repair contractor at the Swan Island facility since 1995. It has been trying to buy the yard for the past two years. Now it reportedly has the $30.8 million needed to purchase the facility, which includes the largest floating dry dock in the Americas.
The Oregonian story says Cascade General officials declined to disclose the size of the investment by Cammell Laird. The link is expected to give Cascade General the ability to bid for larger, more sophisticated jobs.
Debt financing will come from Transamerica Equipment Financial Services, headquartered in San Francisco, and Heller Financial in Chicago.
Port commissioners were expected to approve
the sale of the Swan Island facility at a regularly scheduled
meeting today. The deal is expected to close by July 3.
Royal Caribbean plans
for shoreside control of ships' computers
MTN will provide a C-Band satellite communications
network, allowing for shore-to-ship and ship-to-shore telephony,
fax, data, and Internet transmission to 17 vessels and six new-builds.
MTN will manage, support, and consult on this extensive global
satellite network as well as supply and integrate NX Networks
voice-over IP multi-plexers and Cisco routers. These systems
will act as a platform for the roll-out of RCI's wireless remote
management project, based upon Computer Associates' Unicenter
TNG software. This project will allow support staff to take control
of the ship's computer desktops and servers from land via satellite
link, as well as tap GPS (Global Positioning System) information
for all of its global operations. This will enable RCI to bring
technical support to remote sites upon demand.
Oslo IPO for
P& O bulker subsidiary
ABC has a net asset value of approximately $190 million and it is expected that the market capitalization on listing will reflect this. P&O intends to sell between 60% and 69% of its interest in ABC. No new shares are to be issued as part of the offering, which is not being made to persons in the U.S., Canada, Australia or Japan .
A reorganization of ABC was undertaken on May 26,2000 and its business transferred to a newly incorporated holding company. The vessels were valued by three independent shipbrokers at an average of approximately $430 million. ABC has net debt and other net liabilities of approximately $240 million with net assets of approximately $190 million. ABC will remain a British company following the listing. It is expected that it will operate under the U.K. tonnage tax.
P& O says the market for capesize tonnage has improved significantly from the low levels experienced in late 1998 and first half 1999. This turnaround is attributable to a recovery in steel production, particularly in Asia, and a contraction of the capesize fleet during 1998. Average revenues have increased from a low point of approximately $5,500 per ship per day in 1999 to the current level of approximately $16,500 per ship per day. ABC made a proforma loss in 1999 but is now trading profitably. The supply/demand outlook over the next two years is positive, says P&O.