Iranian Ship Linked to Houthi Attacks Heads Home Amid Tensions
(Bloomberg) — An Iranian ship that’s been linked to Houthi attacks in the Red Sea is returning home, removing a prominent asset in the area as the Islamic Republic braces...
Shares were up 3.4% at $1.83 in recent premarket trading and had plunged in March after the company disclosed it likely wouldn’t be in compliance with its debt covenants this year, raising substantial doubt about its ability to continue as a going concern. The stock is down 60% this year.
Under the pact unveiled Monday, the struggling container shipping and intermodal transportation company’s charter hire expense will be cut by $3 million a year retroactive to January of this year though January 2015 when the charter expires. The expected savings were included in prior cost savings projections for this year.
“We greatly appreciate the willingness of CSX to provide meaningful financial assistance as we work to refinance our debt and position Horizon Lines for long-term success,” Chief Financial Officer Michael T. Avara said.
Horizon Lines Inc. (HRZ) last week said a federal court agreed to reduce the company’s fine related to a conspiracy to fix rates and surcharges for marine freight transportation over a six-year period, meaning the company was no longer at risk of a May 21 default.
The company said the court agreed to cut its fine from $45 million to $15 million, which allowed the company to avoid a default under its convertible note indenture.
-By Tess Stynes, Dow Jones Newswires
Join the gCaptain Club for curated content, insider opinions, and vibrant community discussions.
Join the 105,943 members that receive our newsletter.
Have a news tip? Let us know.
Access exclusive insights, engage in vibrant discussions, and gain perspectives from our CEO.
Sign UpMaritime and offshore news trusted by our 105,943 members delivered daily straight to your inbox.
Essential news coupled with the finest maritime content sourced from across the globe.
Sign Up