China COSCO Gets Subsidy to Scrap, Upgrade Its Fleet

Image Courtesy: COSCO Holdings

Hong-Kong listed shipping and logistics company China COSCO Holdings Co (CCHC) received on July 18 a subsidy amounting to CNY 189 million (USD 28.3 million) from China COSCO Corporation, the indirect controlling shareholder of the company, for the decommissioning and upgrading of its vessels.

The company said the subsidy will be recognized as a non-operating income and will be included in the profit and loss for this year.

China COSCO Holdings reported in April a major rise in its net loss from CNY 1 billion (USD 154.1 million) seen in the quarter ended March 31, 2015, to CNY 4.5 billion (USD 690 million) in the corresponding period this year.

The loss was mainly attributed to a weak demand in the container shipping market as the company’s container shipping business recorded a loss of approximately CNY 1.4 billion. The loss was also assigned to the disposal of 100 percent equity interests in China COSCO Bulk Shipping Co., and 100 percent equity interests in Florens Container Holdings Limited, as well as to an imbalance of supply and demand in the dry bulk shipping market and low levels of freight rates, which affected the company’s profit.

Share this article

Follow World Maritime News

In Depth>

Events>

<< May 2017 >>
MTWTFSS
1 2 3 4 5 6 7
8 9 10 11 12 13 14
15 16 17 18 19 20 21
22 23 24 25 26 27 28
29 30 31 1 2 3 4

3RD ANNUAL WRECK REMOVAL CONTRACTS AND OPERATIONS SEMINAR

A comprehensive guide to legal and operational aspects of wreck removal incidents…

read more >

BARI-SHIP2017

At Bari-Ship you will meet not only the owners and leaders of these companies, but also the entire spectrum of managerial, operational and production staff…

read more >

Nor-Shipping 2017

Nor-Shipping is the leading maritime event week. Their top-quality exhibition, high-level conferences and prime networking opportunities…

read more >

2ND ANNUAL PORTS AND TERMINALS INSURANCE SEMINAR

DETAILED GUIDANCE ON HOW THE INSURANCE MARKET IS CHANGING, HOW RISKS ARE ASSESSED AND WHAT…

read more >