MISC throws in the towel and exits from the field of the line transport



MISC throws in the towel. Having taken note of lasting of the violent impact of world-wide the economic crisis on the operating activity and the economic results of the segment of the line transport, the shipowning group malaysian has announced today the decision to exit from the field, activity section that was already progressively abandoning until from the beginning last year when the company is spillage from the consortium Grand Alliance and has stopped to operate marine connections between Asia and Europe in order to mainly dedicate to the traffics intra-asiati us ( on 15 May 2009).

The company malaysian has explained that "the radical change of operating dynamics of the field of the line transport that has determined an increase of the operating costs and fast changes in the picture of the total exchanges is undermining the validity of the today's operating models. Being the race to the dimension in the middle of this change - he has continued MISC - the main operators are currently experiencing the dimensional limits of the ships to the aim to maximize the economies of scale and to realize a greater efficiency with reference to the costs. This leads to invest in larger ships own when the operators are fighting in order to maintain their profit in a situation of depression of the hires, than does not preview will improve in times breviums because of the continuous delivery of new container vessels".

In the light of this scene - it has specified the president and managing director of MISC, Datuk Nasarudin Md Idris - "with eight different business activity, it is necessary to give priority to the investments and to the opportunities of control of the costs when we assign the resources to the increase of everyone of the business fields. During the last few years our attention has been revolt to the offer of marine solutions and of transport for the energetic field and, therefore, he is completely natural that the majority of our resources is dedicated to the increase of our segments of businesses based on the field of the energy. In forecast of a wait greater question of investments in the industry of the line transport - it has concluded - is for us indefensible the cost necessary to maintain to a role of relief in the liner business".

MISC has remembered that in the segment of the line transport the company has totaled losses for 789 million dollars in the arc of last the three years, figure that has had a considerable impact on the performances total financial institutions of the group.

MISC has announced that the escape from the section of the containerized marine transport will have a repercussion on the occupation, without but to specify how many places of work will be cut.

While the group malaysian has closed the third trimester of this year with a profit before taxes of 256,4 million ringgit (80 million dollars) on revenues for 2,617, 8 million ringgit, with decreases respective of 38.4% and 15.1% regarding the period July-september of 2010. In the first half of fiscal year 2011-12, finished 30th September, the group has totaled a profit before taxes of 457,0 million ringgit on revenues for 5,627, 2 million ringgit, down respective of 48.5% and 11.5% on the first semester of the exercise precedence.