Source Pravda.Ru

Frontline Falls 9% On Golden Stream Unit Debt Worries

Frontline shares fell as much as nine percent yesterday after the world's largest oil tanker group said that a subsidiary has not repaid a $48 million loan due March 30th.

The shares lost as much 6.5 kroner to 66. Golden Stream, a unit of Frontline's Golden Ocean subsidiary, has not repaid its debt to Griffin Shipping, which may claim default. If there is a default, other Golden Ocean loans may become repayable immediately, according to a filing with the Securities and Exchange Commission.

Frontline is working to “renegotiate payment terms and to reschedule payment of the outstanding amount,” the company said in the filing. “Golden Ocean would be forced to sell assets to pay any shortfall due to Griffin” if this fails.

Frontline's first quarter profit dropped by ninety two percent as lower oil production slashed demand for its ships, pushing down the rates it could charge customers. Tanker rates slid further to a fifteen year low in April. Analysts expect the company to post a second quarter loss.

©

&to=http://www.frontline.com/' target=_blank>FRONTLINE

Comments
The horror story called Brazil: Murder and destruction
Russia close to recognising Donetsk and Luhansk republics after Donbass elections
Five years after Maidan revolution, Ukraine remains one of Europe's most corrupt states
Why Trump tries to re-industrialize America
USA plays to pretend a mighty dragon that can no longer breathe fire
US interferes in election of Interpol president, Kremlin believes
US interferes in election of Interpol president, Kremlin believes
Five years after Maidan revolution, Ukraine remains one of Europe's most corrupt states
Brexit: The UK's misunderstanding of Democracy
Kuril Islands dispute between Russia and Japan: The impossible is impossible
Argentina hides the truth about the death of San Juan submarine
Japan ratifies agreement to supply weapons and ammo to warring states
Russia to ban capture of killer whales and belugas in 2019
Russia to raise sunken floating dock
Why Trump tries to re-industrialize America
Kuril Islands dispute between Russia and Japan: The impossible is impossible
Putin dislikes the idea of US army bases coming to Kuril Islands
Argentina hides the truth about the death of San Juan submarine
USA plays to pretend a mighty dragon that can no longer breathe fire
Russians lose faith in their future, get ready for worse
Russians lose faith in their future, get ready for worse