Stock Exchange Release no. 60
Made public via OMX on 27 August 2009
Nordic Tankers A/S reported a loss after tax of USD 27.9 million for the first
half of 2009, of which USD 25.8 million related to writedowns on the company's
vessels. Full year expectations have been lowered to between USD
-32 million and USD -36 million.
The market value of the company's vessels has fallen, and the company has,
therefore, decided to write down the value of a part of the company's fleet by
USD 25.8 million. The write-down has no effect on liquidity.
The net loss for the first half of 2009 amounted to USD 2.8 million before
reversal of USD 0.7 million relating to transactions made by the former
Supervisory Board and write-downs of USD 25.8 million.
The first six months of the year were strongly affected by the negative
development of the global economy with falling freight rates throughout most of
the period. After a brief improvement at the beginning of the year, the product
tanker market was hit hard by the slowdown in global activity. The financial
results reflect the weak tanker market and the low freight rates, and the
Supervisory Board considers the financial results to be unsatisfactory.
Due to the weak market development and continued uncertainty about the
development of the global economy, full year expectations have been lowered. We
now expect to report a loss after tax for the full year 2009 of between USD 6
and 10 million before the above-mentioned writedowns of USD 25.8 million. After
the first quarter of 2009, the company expected to report a loss of between USD
0 and 5 million before write-downs.
As an element of the strategy ”Rebound 2012”, which was presented at the
company's general meeting on 23 April 2009, the company has set up an operative
office in Copenhagen (Tuborg Boulevard 12, 2900 Hellerup). The Supervisory and
Executive Boards are working actively to implement the other elements of the
strategy, which aim at having Nordic Tankers participate in the consolidation
of the market for product and chemical tankers.
For further information:
CEO Jens Pontoppidan +45 40 10 81 05
Chairman of the Supervisory Board Klaus Kjærulff, tel.: +45 40 10 81 11
