BROSTRÖMS SELLS THREE OLDER VESSELS
BROSTRÖMS SELLS THREE OLDER VESSELS As a part of the fleet modernization program taking place within Broströms, three older vessels have been sold and delivered. Broströms' French subsidiary Van Ommeren Tankers SA has sold the two product tankers PORT BRIAC (20,000 dwt, built 1980) and PORT RACINE (6,700 dwt, built 1982). Another subsidiary, Nordic Tank Shipping AB, has sold the pusher vessel ROSSCAN POWER (built 1976). The vessel has previously been chartered out on bareboat to the Russian oil company Rosnefteimpex. During the third quarter last year Broströms terminated the charter due to unpaid charter hire amounts. Broströms has called upon arbitration in order to recover its claim including close-down expenses related to the project. Provisions for all unpaid charter hire have gradually been made in the Broström accounts. As a result of the above mentioned sales the average age of the Broström fleet has been further reduced and the average age of the product and chemical tanker fleet within Broströms is now about 8 years, whereas the world fleet average age in this segment is 16 years. The sale of the three vessels implies a total capital loss of about SEK 4 million and a positive cash flow of SEK 15 million. Göteborg, 15 February 1999 BROSTRÖM VAN OMMEREN SHIPPING AB (publ) For further information: Lennart Simonsson, Managing Director, tel +46 31 61 61 00 Broström Van Ommeren Shipping is one of the leading logistics providers for the oil and chemical industries, with a focus on industrial tanker shipping and marine services. The Group has 1,200 employees and net sales of approximately SEK 2.2 billion. General information about Broströms can be found on the Internet: www.brostroms.se ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2004/01/09/20040109BIT00050/wkr0001.doc http://www.waymaker.net/bitonline/2004/01/09/20040109BIT00050/wkr0002.pdf