Chiquita controls directly about 80% more
licenses than Dole. It is time that Kistinger speaks
clearly how he want that the EU tariff quota will have to
A license distribution system
based on a method of 'first in, first served' wil be
equal to a ships' race and Dole will be the
I prefer a transition period of 6 year with a quota
of 2.5 million ton based on the actual system and a
second quota o 0.95 million ton based on an auctioning
If Ecuador and the US agree on this compromise,
which is now worked out by the EU Commission, the
modification of the EU banana regime can go very fast.
The combined book value of ships and containers
as of 12/31/98 is $678.8mm. No break out for the two
categories. If we assumed that 70%-75% of the book value is
ships that would be $475mm-$500mm. This is
significantly greater than the real value you quoted.
The Great White Fleet Ltd, Antwerp has 16 reefers
built between 1990 and 1994, with total capacity under
deck of 9.972.890 cbft. Following my expert the
secondhand value of a modern self sustained reefer vessel
with an economical life of 25 years, built 1992 with a
contract price of abt $47.5 per cbft was at the end of
1998 $29 per cbft.
I estimate that the real value
of the Chiquita ships should be around $290
Is this figure close to the bookvalue?
We would need a tidal wave to turn all of Central
America in to one big Panama Canal to alleviate the over
supply situation.Now I know why Kistinger did not
buy.The day he does I am back in with both feet.
What would one more "Mitch" style hurricane do to
CQB. Perhaps if it hit Costa Rica?
I truly hope
it doesn't (for the sake of the people who would be
affected) but what would that do to CQB given the financial
results thus far this year.
how many containers they own. I think they may
own a fair amount since they use a non-standard size
(43') and may have limited resale value. Do you know
how many they own?
On a ship with 300
containers, a investment of $13-$18mm in containers would be
needed to service a route. This is probably 50%-70% cost
of the vessel. Based on the number of bankruptcies
that have been experience in the shipping industry, I
would not want to be benchmarked vs. their accounting
you make an excellent arguement for not
depreciating vessels over a 25+ year time period. Technology
changes, transportation needs change, customer preferences
change. This all leads to not being too aggressive on
depreciable life estimates. Just because the ship floats
25-30 years from now, doesn't mean it meets the needs
of this industry. Depreciable life under GAAP is not
determined by how long before it sinks, but rather what is a
reasonable economic life for the asset. Reasonable and
conservative estimates are a better reflection of real