Chinese dry bulk shipping company Winland Ocean Shipping Corp. filed for Chapter 11 bankruptcy protection last week with the U.S. Bankruptcy Court in Victoria, Texas.
Under the voluntary petition filed on February 12th, the company, together with five of its subsidiaries, plans to restructure its accrued debt worth around USD 48 million, Bloomberg reports.
The decision comes after two of the company’s three vessels, the Rui Lee and the Winland Dalian, were arrested in Asia late last year. Low charter rates and volatile market conditions have reduced the company’s fleet of eleven vessels to three.
The company posted a net loss of USD 8 million in 2014, having recorded an operating revenue of USD 12.6 million in 2014.
This is considerably lower from USD 85.6 million and net income of about USD 19 million in 2008, when the company was at its prime.
The company was previously known as Winland Online Shipping Holdings Corporation and changed its name to Winland Ocean Shipping Corp. in March 2011.
World Maritime News Staff