NOL run into the ground by PAP scholar Generals, now being sold to French. WTF

[yinyang]

What do you think of this article, published last year? I doubt anyone in NOL read it.
http://www.mckinsey.com/insights/corporate_finance/the_hidden_opportunity_in_container_shipping

Interesting piece on what's been afflicting the shipping box business. Over-capacity, and lousy rates for years now.
Doesn't help with more newbuilds coming online.

Also shipping industry's dependent on world trade. And with sick euro countries, liner traffic had to seek intra asia and US routes. Some lines tried to bump up rates, at 1st sight of some green shoots. But had to quickly salvage business with not just rates u-turn, but also hang more attractive rebates.

Back to NOL. Seems like a fire sale, in another name

 

[Papsmearer]

You forgot to add that they will trim all the fats in NOL bloated management. Old captains will be let off. Scholars will be kicked out. Mid tier managers will be impacted the most

CMA CGM already figured out how to turn it around. THey have gone through the NOL books and NOL operations with a fine tooth comb. ANyone paying that kind of money would be doing detailed due diligence. They probably figured out that all the losses suffered by NOL is a result of incompetent management like ex SAF scholar admirals parachuted in to run it. They probably plan on firing all the scholar deadwood, put in their own real shipping managers, sell off some NOL assets, and use the money to restart the business to profitability. Want to bet that within 3 years, they would be returning NOL to profitability. If down the road, the French can run NOL profitably, then what does it say about the PAP?

 

[Papsmearer]

Interesting piece on what's been afflicting the shipping box business. Over-capacity, and lousy rates for years now.
Doesn't help with more newbuilds coming online.

Also shipping industry's dependent on world trade. And with sick euro countries, liner traffic had to seek intra asia and US routes. Some lines tried to bump up rates, at 1st sight of some green shoots. But had to quickly salvage business with not just rates u-turn, but also hang more attractive rebates.

Back to NOL. Seems like a fire sale, in another name

I don't see why NOL cannot be more a regional line model. In SE Asia, they are by far the biggest line and should be able to dominate this market. Lots of products get shipped here from China and vice versa. When the PAP sign all these trade agreements with China and India, and what not, do they not specify that a certain percentage or tonnage must be shipped on NOL? If you want to allow other countries like China and India to flood their citizens into singapore, you must make them give up something too. If they don't agree to NOL having a certain percentage of the business shipped on NOL, then don't sign the trade agreement.

 

[yinyang]

CMA CGM already figured out how to turn it around. THey have gone through the NOL books and NOL operations with a fine tooth comb. ANyone paying that kind of money would be doing detailed due diligence.
...within 3 years, they would be returning NOL to profitability.

Hear trade buzz from shipping box grapevine, that CMA normally retains branding of acquisitions (like ANL). Not just for goodwill, but for business trade realities.

But all 470 vessels under master flagship CMA, with diff subsidiaries masquerading as sales offices. Can't validate if this holds true, but imho this contributes to control and visibility.

 

[Papsmearer]

Hear trade buzz from shipping box grapevine, that CMA normally retains branding of acquisitions (like ANL). Not just for goodwill, but for business trade realities.

But all 470 vessels under master flagship CMA, with diff subsidiaries masquerading as sales offices. Can't validate if this holds true, but imho this contributes to control and visibility.

Makes sense to me. I guess a lot of people are just waiting for the axe to fall on them at NOL now. I wonder if the PAP ever did a cost benefit analysis. I mean, NOL has a major presence in Singapore still. They pay taxes, both property and income, as well as pay for many govt services and employ many singaporeans. If the ships were reflagged, staff laid off, FTs take over and earn salaries that they send home, move out of singapore container facilities to Johor, etc. The govt actually loses much more in potential and actual tax revenues then they would have suffered if they stay in NOL. Net losses for NOL first quarter were USD$11 million. Lets say they lose USD$60 million the whole year, the tax payer portion (given the 60% + ownership of NOL by Temasek) is roughly USD$40 million. If the govt collects a total of USD$50 million from NOL from all sources, then its still positive $10 million in the govt coffers. If they sell it to the French and everything is moved out or closed down or reflagged, they get nothing. I wonder if they consider this aspect.

 

[Papsmearer]

I see now that this thread started almost exactly 1 month ago has over 11,000 views and 8 pages of comments. THIS SALE OF NOL IS A HOT TOPIC!! Yet, there is a deafening lack of analysis, protests, etc from the oppo, especially the WP. I don't know what the hell NOL staff are waiting for? They are about to lose their jobs, many of them. They should be at the gates with signs and placards protesting the sale of this pioneer company. They should be kicking their shop stewards and union reps in the ass to get some action. I can almost guarantee u that CGM CMA is not guaranteeing no lay offs and guaranteed jobs. These workers have nothing to lose, especially if they are middle aged Sinkies. Those sorts are almost unemployable in singapore after being laid off. If this was NOL buying a French shipping line, the French workers would be burning the NOL reps alive.

 

[Papsmearer]

Air France workers tear shirts off 2 managers in violent protest
Air France denounces violence, plans to push ahead regardless with restructuring plans



Union activists protesting nearly 3,000 proposed layoffs at Air France stormed the headquarters during a meeting Monday, zeroing in on two managers who had their shirts torn from their bodies, scaled a fence and fled under police protection.

An Associated Press photographer saw about a hundred activists rush the building after breaking through a gate. Shortly afterward two high-level managers fled, one bare-chested and the other with his shirt and suit jacket shredded.

Road access to Charles de Gaulle airport in Paris was briefly disrupted, and some flights suffered delays.

Although Monday's scuffle was unusually violent, labor relations in France are commonly testy, with unions sometimes even resorting to holding managers hostage — or "boss-napping" — to make a point.

Air France denounced the violence and said it will push ahead anyway with its restructuring plans, after failing to reach an agreement with pilots.

Alexandre de Juniac, the CEO of Air France-KLM, said the company is being squeezed by low-cost airlines in Europe and Gulf carriers for long-haul flights. Monday's meeting was intended to detail the cuts.

Airline executives told reporters Monday the plan involves laying off 2,900 staff, abolishing five routes and 35 weekly long-haul flights, primarily in Asia and the Middle East.

Among those at Monday's protest was Yves Porte, an activist who represents cargo workers.
To file complaint

"The Gulf companies, who have low fuel prices and who receive government subsidies, compete with us. It's impossible, we are not on a level playing field," he said.

Air France said it would file a complaint for aggravated assault.

France's transport secretary, Alain Vidalies, condemned the violence, saying in a tweet it was "unacceptable and must be punished."

Deputy human resources director Xavier Broseta, one of the executives disrobed by protesters, told reporters later that he had received messages of sympathy from colleagues throughout the day, including from union leaders.

"We are fighting every day for an Air France that will have lasting growth," he said later, after donning a new jacket and tie. "Violence and intimidation will have no part of that."
Air France protests - strip

One of two Air France managers whose shirt was stripped off by protesting workers tries to navigate through the angry crowd on Monday outside Air France headquarters at Charles de Gaulle airport near Paris. (Reuters)

http://www.cbc.ca/news/world/air-fr...s-off-2-managers-in-violent-protest-1.3257356

 

[Papsmearer]

French know how to fight for their jobs. Sinkies workers are really balless.

 

[JohnTan]

French know how to fight for their jobs. Sinkies workers are really balless.

The French till today, are synonymous with surrendering. Their WW2 legacy of incompetence and cowardice haunts them till today.

 

[bushtucker]

yes yes yes. buy my shares at $1.30. at long last, we shareholders can have closure over this useless POS sinkie company.

 

[Narong Wongwan]

French know how to fight for their jobs. Sinkies workers are really balless.

Dun call them balless la....
The politically correct term is domesticated.
Ok la now can ask NOL staff who they voted for.
CUNT Union reps will find taxi drivers, dish washer, security jobs for the displaced workers....no worries

 

[Leckmichamarsch]

I don't see why NOL cannot be more a regional line model. In SE Asia, they are by far the biggest line and should be able to dominate this market. Lots of products get shipped here from China and vice versa. When the PAP sign all these trade agreements with China and India, and what not, do they not specify that a certain percentage or tonnage must be shipped on NOL? If you want to allow other countries like China and India to flood their citizens into singapore, you must make them give up something too. If they don't agree to NOL having a certain percentage of the business shipped on NOL, then don't sign the trade agreement.

I once heard that containers from China come here full but empty back to China........... that is the main problem!!

 

[Leckmichamarsch]

Dun call them balless la....
The politically correct term is domesticated.
Ok la now can ask NOL staff who they voted for.
CUNT Union reps will find taxi drivers, dish washer, security jobs for the displaced workers....no worries

sadly they are ballsless as muzzled or betrayed by papigs

 

[Papsmearer]

Dun call them balless la....
The politically correct term is domesticated.
Ok la now can ask NOL staff who they voted for.
CUNT Union reps will find taxi drivers, dish washer, security jobs for the displaced workers....no worries

The NOL Union reps should have at the very outset demanded a seat at the negotiations table. Then they know the extend of the CGA lay offs and retrenchment to their rank and file. They can demand some compensation for the lay offs or threaten some job action if the cuts are too deep. What have they got to lose. About to be fucked anyway. but that is the real world. In sinkieland, Union suck Govt lancheow. So, tiam tiam let their membership get fucked. These NOL balless sheeps should ask themselves why they have been paying union dues all these years? 7000 employees, I wonder how many will be let go. CGA CMA have 22,000 world wide staff you think they need any of these 7,000 people?

 

[Cerebral]

I saw that fat chief on TV explaining why NOL needed to be sold.. He basically said NOL was too small to be a sustainable business. The biggest load of crap i have heard for a long time!

Did he mention they were top 5 or 6 in the world and they drop to where they are now. It was never an issue about size but about foresight and leadership

 

[Papsmearer]

I once heard that containers from China come here full but empty back to China........... that is the main problem!!

Its the same every where. That is why shipping from China to North America or Europe is more expensive then shipping from those places back to china. Because all the containers are empty.

 

[Cerebral]

I once heard that containers from China come here full but empty back to China........... that is the main problem!!

That is the common scenario across all lines.

 

[Papsmearer]

Did he mention they were top 5 or 6 in the world and they drop to where they are now. It was never an issue about size but about foresight and leadership

Good point. Does it surprise you to know that the second largest shipping line in the world after Maersk, is a Swiss company Mediterranean Shipping Company based in Geneva!! Lancheow, a land locked European country, can't even smell the sea can have the second largest shipping company in the world? This is really the swiss standard that Old Fart keeps alluding too. His Swiss standard sinkie style is a fake one. True Swiss standard is you pay your politician and govt officials 1/10 of your salary, and let them set up and allow to thrive the second largest shipping company in the world. Fake Sinkie Swiss standard is you pay your politicians and govt officials millions $ salaries, the highest by far in the world, and they take a 5th rank shipping company like NOl and run it into the ground and have to sell for peanuts.

 

[Papsmearer]

So, I don't understand something. maybe Whore Jinx like to come on this forum and explain it to me. According to the 2013 NOL Unaudited balance Sheet, they have just over $9 billion in total assets (Ships, land, properties, equipment, etc). They have debt of around $3.5 billion. Now CGA CCM want to pay $2.4 billion and take over the $3.5 billion debt from Neptune. So, roughly, they will commit around $6 billion. Which they are planning to borrow from Paribas, and HSBC. Like that, if they liquidate NOL completely, absorb the ships and other absorbable assets into their own company, don't they earn $3billion? The ROI is even greater if they put very little money down and borrow from the banks. I think these French fuckers should be running Stemasick. My analysis is probably too simplistic.

 

[mojito]

Good point. Does it surprise you to know that the second largest shipping line in the world after Maersk, is a Swiss company Mediterranean Shipping Company based in Geneva!! Lancheow, a land locked European country, can't even smell the sea can have the second largest shipping company in the world? This is really the swiss standard that Old Fart keeps alluding too. His Swiss standard sinkie style is a fake one. True Swiss standard is you pay your politician and govt officials 1/10 of your salary, and let them set up and allow to thrive the second largest shipping company in the world. Fake Sinkie Swiss standard is you pay your politicians and govt officials millions $ salaries, the highest by far in the world, and they take a 5th rank shipping company like NOl and run it into the ground and have to sell for peanuts.

No sir. Assets have value, people drain value. If NOL did not bleed salary and other payroll expenses, its assets can be realized at its full value and then some with proper stewardship, something obviously lacking in the middle management of the national shipping line. For far too long our generals have shouldered the blame for gross incompetence of their underlings. No more will they have to suffer fools. I applaud this excellent move.