Struggling Korean Duo Drags Navios Partners to Loss

first_imgzoom Greek owner and operator of container and dry bulk vessels Navios Maritime Partners L.P. saw a net loss of USD 33.86 million due to struggles of two top South Korean container shipping companies. The company’s net income for the three months ended September 2016 was affected by a USD 19.4 million loss on the disposal of the Hyundai Merchant Marine (HMM) shares and a USD 20.5 million loss from the non-cash accelerated amortization of the intangible assets relating to the two vessels chartered out to bankrupt Hanjin Shipping.Following Hanjin Shipping’s filing for receivership in August 2016, Navios Partners had two Capesize vessels chartered to Hanjin at a net rate of USD 29,356 per day until December 2020. In September, both vessels were redelivered to Navios Partners’ commercial management and were rechartered to third parties. Navios is closely monitoring the developments and is proceeding with claims for the lost revenues, the company said.Navios Partners’ profit in the third quarter of 2015 amounted to USD 11.76 million.In addition, the company recorded an 11.8 percent decrease in its revenue for the third quarter of 2016, which went down to USD 50.3 million from USD 57.1 million seen in the same period last year. Navios Partners’ revenue dropped mainly due to decrease in Time Charter Equivalent (TCE) rate.In October 2016, Navios Partners agreed to acquire a 2004 built Capesize vessel for a total cash consideration of USD 15.1 million, paying a deposit of 10 percent in November 2016. The vessel is expected to be delivered in the fourth quarter of 2016, Navios Partners said.Looking at the nine-month results, Navios Partners’ net loss was USD 50.46 million, compared to a net income of USD 33.99 million recorded in the first three quarters of 2015.The company said that net income for the nine months ended September 30, 2016, was negatively affected by the accounting effect of USD 17.2 million impairment loss on the sale of the vessel MSC Cristina, the loss on the disposal of HMM shares and the loss related to two vessels.Additionally, the company’s revenue for the first nine months of this year amounted to USD 140.85 million, against USD 170.36 million seen in the same period last year.“Since the beginning of 2016, we have repaid almost USD 107 million of debt and have net debt to book capitalization of 42.9 percent. In addition, we have no significant debt maturities until 2018. Under our current cost structure and with current spot market rates, we expect to generate about USD 21 million in free cash flow for the remainder of 2016 and about USD 84 million in free cash flow for 2017,” Angeliki Frangou, Chairman and Chief Executive Officer of Navios Partners, said.last_img read more

Nameblind hiring had no significant effect on visible minority candidates report

first_imgThe federal government says hiding the names of job applicants had no significant effect on whether those who identified as visible minorities were called in for an interview over a six-month period.A pilot project launched last April by the Public Service Commission of Canada sought to compare the results of traditional screening methods with name-blind recruitment in order to bolster diversity and inclusion in government ranks.The practice involves removing names and other identifying information such as country of origin from job applications to fight bias against people of diverse ethnic and cultural backgrounds.In a report released this week, the commission says there was no significant difference for candidates from visible minority groups when their personal information was concealed.It also says applicants from all other groups were less likely to be brought in for an interview under that system compared to a traditional method.The commission notes that the results can’t be generalized to the entire public service because the pilot relied on departments that volunteered and used a non-random selection of external hiring processes.The project included 27 external job postings across 17 departments between April and October of last year, resulting in a sample of 2,226 candidates, of which 685 self-identified as visible minorities.The report is “just one of the many ways the PSC is exploring innovative approaches to ensure a diverse and representative workforce while supporting bias-free recruitment within the federal public service,” Patrick Borbey, president of the Public Service Commission of Canada, said in a statement.“We will continue to push boundaries in this area while maintaining the integrity of the federal public service’s non-partisan and merit-based staffing system.”The government said it will conduct audit work beginning in May to look at the success rate of applicants at key stages of the appointment process. It will also examine how name-blind principles could be included in the design of future technology changes to its recruitment systems.The report said audits have the advantage of analysing decisions that have already been made, which eliminates the possibility that people might change their behaviour because they know they are part of a pilot project.The federal government has said there is no evidence of bias in its current hiring practices.A 2012 study by University of Toronto researchers found job applicants with English-sounding names were 35 per cent more likely to receive a call back than those with Indian or Chinese names, which they said suggested an unconscious bias.Many orchestras made the switch to blind auditions, in which musicians play hidden by a screen, in the 1970s and 1980s, which led to a dramatic increase in the number of women hired, studies have shown.last_img read more