I'm not thrilled about the massive nondividend distribution cut (technically this is not a dividend). I did not relize the loans had balloon-like payments if the ship values fall below a certain value. It looks like some of you know about how ships are financed; I did not.
What's left of the nondividend distribution now amounts to about 2.6% if your basis was around $4.5, so I'm not too thrilled about the cut but I knew there would be a cut.
I would not doubt that there is manipulation of the shipping prices given the low demand for new and used ships. Please don't buy anymore ships until some demand returns!
The only thing more pathetic would be some of the banks, government owned companies, or maybe Netflix. I'm glad I don't own any of those.
What these folks don't seem to understand is that cutting or eliminating the dividend will hurt the stock badly. A lot of folks are in this thing for the income not for capital appreciation. Cutting the dividend hurts them and calls into question the financial health of the company. If they do cut I hope it's only by two or three cents.