Top 22 container lines lose US$11 billion Jan-Sept

SIXTEEN of the top 22 container shipping lines that have posted third quarter results have collectively suffered an operating loss of US$9 billion during the nine month period ending September 30, compared to an operating profit of $5.3 billion a year earlier.
The remaining carriers MSC, CMA CGM, OOIL, Hamburg Sud, UASC and PIL are estimated to have suffered an operating loss of $2 billion from their liner operations, bringing the aggregate estimated operating loss of the main container shipping lines to $11 billion, reports Paris-based Alphaliner.
It said that the total shipping revenue of the 16 carriers who posted financial results for first nine months of 2009 fell 40 per cent year on year to $56 billion on the back of drastic declines in shipping volumes and freight rates during the period under review.
However, most carriers surveyed expect volumes and rates to recover as they enter 2010.
"The unprecedented level of losses suffered by the liner carriers has led to an increasing number of calls for fresh cash injections. Over $12 billion have been raised in the last 12 months alone by shipping lines as they sought to rebuild their severely battered balance sheets," the report added.