"FYI: Both Mark Twain and Elvis are seriously dead, no exaggeration." It was just a matter of time.
And Diana Containerships is also dead, just a matter of time. And it's funny how time slips away.
"To Quote Mark Twain...... "The reports of my death have been greatly exaggerated.""
FYI: Both Mark Twain and Elvis are seriously dead, no exaggeration.
Not going BK but it will not survive I think as DSX will reabsorb it and quite possibly sell off its assets (which are really liabilities) ~ I stated so when it was in the $7 range and was laughed off this mb ~ Classic dividend trap (oh yea, I'm still in a few myself) ~ Everyone jumps on board to capture the high yield but the pps erodes faster than the dividend payments can accrue; div gets cut and you're to far under water to sell so you hang on and hope ~ I lost a bunch on DSX and never went back into it ~ From the JF message boards I knew containers were going to suffer the same over capacity in the future that dry bulk and oil tanking is/was suffering now (and in the recent past) ~ Cut your losses imho as containers are going to continue down hard at least for the near term imho (and in many industry experts opinions as well) ~ It won't be long before the div is cut to nothing here I believe ~ Stay out of shipping is the best I can say (coming from someone sitting on 6 figure losses in other shipping co.'s) ~ GLTA!
How ignorant can comments on Yahoo comment boards get? Rather ignorant, as this comment attests. Dr. Whatever your name is, look at the DCIX shipping routes.
Beijing's rejection of a global shipping alliance to protect mainland companies navigating a choppy market will probably end up hurting cargo firms' earnings, including its own.
The Commerce Ministry's announcement spiking a deal between the world's top three container carriers - known as the P3 and led by Copenhagen-based AP Moeller-Maersk - may undermine recovery in an industry still feeling the 2008 financial crisis.
Overcapacity and low charter rates are likely to stay, jeopardising earnings, including at China Cosco Holdings and China Shipping Container Lines, the country's two biggest.
"This is less about the regulator trying to instil fair play in container shipping," said Jon Windham, Barclays Asia transport analyst. "It is a move to protect domestic players in China, vis-a-vis international players. The status quo in container shipping is not working."
China's rejection of P3 comes after the United States Federal Maritime Commission approved the alliance in March and the European Commission closed an antitrust probe this month.
The Ministry of Commerce said the P3 vessel-sharing alliance would "restrict competition" on the busiest Asia-Europe container routes.
China's move "is a hollow victory for Asian liners", said Paul Dewberry, an analyst at Bank of America Merrill Lynch. "This commoditised, fragmented and loss-making industry is in need of P3-type development to force consolidation. The resulting abandonment of P3 by its members will ultimately only prolong the current industry slump."
Maersk, Mediterranean Shipping and CMA CGM agreed in June last year to establish an operational pact with the aim of reducing costs on Asia-Europe, transatlantic and transpacific routes. Container lines have been battling industry overcapacity after a boom in ship orders collided with the global financial crisis, triggering the worst slump since containerisation became global in the 1970s.
There's another $2.40 downside potential here, which may be realized given that international trade will come to a halt as a result of radical Islamic attacks on Western financial infrastructure. Greece is not that far from the developing caliphate and would be an easy target for ISIS, al Qaeda, and other US-backed terrorist groups. Watch. Listen. Learn.
Seems to have fizzled, Cut and pasted from Maersk's most recent weekly container report:
"The majority of enquiries quoted this week, remained short in most
segments, with carriers only catering for needs up to the 4th quarter
of the year. Positively, the idle fleet continues its decreasing trend
but charter rates in general remain under high pressure in most
segments. The availability of post panamax tonnage from tramp
owners is limited; however the number of surplus vessels appearing
from liner operators created a high degree of uncertainty, thus
charter rates are not improving. As mentioned last week, one 6,500
TEU vessel was extended by ML for about 80 days at a reasonable
USD 21,500 daily but longer periods are being evaluated at less,
illustrated by one 5,500 TEU Korean controlled vessel concluding 12
months with MSC at USD 13,000 daily. "
"The window for improved panamax rates seems to narrow. A few
vessels of the 5,000 TEU design were fixed for periods varying
between 3 and 12 months at USD 9,500 recently and this number is
likely to be repeated in the coming week. With the numbers of
enquiries for July and August lacking slightly and the fact that a
number of forward extensions were concluded by UASC at USD
8,250, we are faced with fairly vulnerable market conditions. In the
panamax segments relets also continue to appear and at end of last
There are more ways to have strong balance sheet. If this is the only way they can have strong balance sheet that worries me even more as they can come out again and cut another 70% dividend which is what many investors are thinking right now and selling.
Anyways, as I said I'm long for now and I'm hoping management wakes up and they turn around soon.
I have owned 10k shares from a little over $5 and do not have a problem holding for the long term. Actually, if the market does correct, like some say, then I expect to buy a bunch more during that correction. IMHO the company is well managed, probably better than most. What needs to happen is a robust economy around the world then hold on to your hat. That will come in time, now is a good time to accumulate additional shares.
Sentiment: Strong Buy