German ferry operator Scandlines said Tuesday that the company has decided to cancel contracts for two newbuild ferries with insolvent German shipyard, P+S Werften GmbH.
The two new vessels were originally ordered in 2010 to service the Gedser – Rostock route starting this past summer but “severe technical problems” during the building process had delayed delivery of the vessels. P+S Werften filed for insolvency with the local court of Stralsund, Germany in August after talks with creditors, customers and suppliers broke down.
In a statement issued Tuesday, Scandlines says that the contracts have been cancelled on the basis of “the yard’s failure to construct the vessels in line with the contractual specifications.”
“We are now looking at other options to ensure that we can sail with new vessels between Gedser and Rostock at the earliest possible time”, explains SÃ¸ren Poulsgaard-Jensen, CEO Scandlines.
“Today it is too early to speculate on the exact outcome of this process. But our objective to ensure high capacities with a unique on-board experience while at the same time operating more efficiently and environmentally friendly remains the same.”, Poulsgaard-Jensen added.
Scandlines says that all payments made to P+S Werften are covered by bank guarantees but the company has made substantial investments in manpower, marketing, and the introduction of an extra vessel during the summer months in 2012.
In September, the Danish shipping and logistics company DFDS also cancelled two newbuilds with P+S Werften that were ordered in November 2010.