High Shipping Costs Are Here to Stay, Says Bloomberg
By Henry Ren (Bloomberg) Stubbornly high shipping expenses for businesses are getting sealed into contracts for the next 12 months, forcing companies to pass the extra costs on to consumers....
COPENHAGEN, Feb 19 (Reuters) – Danish shipping company D/S Norden has renegotiated charter agreements for nine vessels with their Japanese owners in reaction to record low dry bulk freight rates.
The company has made a one-off payment of $51.5 million in return for a reduction in future time-charter payments to $62 million in the next four years, saving it $10.5 million, it said in a statement on Thursday.
“We have similar time-charter contracts where we could renegotiate contracts,” Executive Vice President Martin Badsted told Reuters. (Reporting by Ole Mikkelsen; Editing by David Holmes)
(c) 2015 Thomson Reuters, All Rights Reserved
Join the 67,529 members that receive our newsletter.
Have a news tip? Let us know.