MOL previews to record fiscal year 2011 with the loss consisting of its history more



The shipowning group Japanese Mitsui O.S.K. Lines (MOL) will record in fiscal year 2011, that slid saturday is finished, a net loss record. Today, in occasion of the celebration of the 128° anniversary of the company, the president of the group, Koichi Muto, have anticipated in fact that MOL previews to record fiscal year 2011 with "the loss consisting of its history more, such - he has specified - that precedence will eclipse its loss record of 5,7 billion yen of fiscal year 1993".

According to the preliminary esteem of the group, the liabilities of exercise 2011 will be attested 27,0 billion to yen. To find that at the beginning last year the group previewed of being able to conclude exercise 2011 with an ordinary profit of 120 billion yen. "In order to place this in a perspective - it has evidenced Dumb - in fiscal year 2009, to the climax of the total recession it keeps on the failure of Lehman Brothers, we had still generated an ordinary consolidated profit of 24,2 billion yen".

"This deterioration of the operating performances - the president of the Japanese group has explained - reflects the fact that the industry of the marine transport has faced numerous factors negatives on a scale unprecedented. In spite of the stable ones elevated accumulated profits by MOL and the savings on the costs of our plan coordinated at the level of group in order to reduce the expenses, we are not successful to avoid of falling in red. Certainly - it has specified - the competition of factors which the yen strong, the high prices of the fuel, the impact of the earthquake and the tsunami last year and the slow down of the economy in the developed Countries have weighed on our performance. However, the specific more meaningful factor of the field of the marine transport is constituted by the decrease of the hires, that it reflects the excess of present ships on the market in almost all the categories of ship. This year - it has added - we about preview the same amount of deliveries of new ships of last year. Therefore, the delivery of new ships will continue for some time to influence our operating results negatively".

"Looking to the figures - it has observed Dumb - at the end of the 2010 number total of ships all over the world it was of about 21.500 units. In the 2011 they are delivered about 1.900 new ships and, considering that about 600 ships they are demolished, for last year it turns out an increase clearly of about 1.300 ships. To convert this in transport ability, because of the greater dimension of the ships, would be equivalent to an increase of the ability to transport of about 8% year on year. In the 2011 hires they are gotten worse since the gap between supply and demand has expanded. In particular, the portarinfuse they have seen an increment of ability to 10% while the question has only grown of the 3-4% and the oil tankers have seen an increment of ability to 7% while the increase of the question has been only around the 2-3%".

"With the deliveries of new ships previewed for 2012 - it has continued Dumb - it is previewed to clearly record an increase of about 6% on the base of the ability to transport, a trend of deliveries as the current one and presuming a sure increase of the demolition of ships. Unless the cargo question you do not increase of a percentage equivalent or greater - it has emphasized the president of MOL - in the 2012 conditions of market it could be equally difficult, if it does not get worse, regarding 2011, from the point of view of dynamics of question-offering of ships".

"The orders of new ships - it has found still Dumb - have fallen on the wake of collapse of Lehman Brothers and are stagnated ulteriorly in 2011 because of the anemic hires. Therefore one previews that the number of deliveries of new ships in 2013 would have to diminish regarding 2012. The effective number of deliveries would have to be subject to a relatively meager decrease because the delay of the deliveries of the 2012 will transfer them to 2013. However, we have been able to assist to a change in the sentiment of the market; therefore one hopes in a more favorable relationship between supply and demand of ships in 2013. We can wait for us that this change can have a not negligible impact on the market".