Eastwind goes bankrupt

NEW YORK-based Eastwind Maritime has filed for Chapter 7 bankruptcy protection, opting for liquidation versus restructuring.

The filing, dated yesterday, was made public this morning. The filing estimated that there are 200-999 creditors, estimated assets of $500M to $1Bn, and estimated liabilities of $500M to $1Bn. Almost 60 affiliated debtors were listed.

“In the judgment of the board of directors, it is in the best interests of the company, its creditors and other interested parties that the company file a petition under the provisions of Chapter 7,” the Eastwind board conceded.

Over recent weeks, Eastwind has been hit by vessel arrests as well as claims by bunker suppliers.

Yesterday, Nordea confirmed that it exercised a pledge over shares in certain former Eastwind companies, which were sold to the Draften Shipping, part of Monaco’s Samama. Draften retained Zodiac Maritime Agencies for vessel management.

Vessels involved in Nordea’s sale to Draften are: Safmarine Asia, Safmarine Europe, Eurus Singapore, Eurus Stockholm, Eurus Lima, Eurus Lisbon, Eurus London, Eurus Oslo, Eurus Ottawa, Eurus Paris, Eastwind Rhine, Eastwind Rhone and EW Kenya.

The liquidation of Eastwind will have global repercussions across multiple sectors. Before its collapse, Eastwind operated about 60 reefers, 18 bulkers and 17 product tankers; it also managed 18 container ships.

In addition, Chiquita agreed to sell 12 reefers in 2007 to a venture made up of Eastwind and NYKLauritzenCool.

(Source: Fairplay Daily News)