First Ship Lease Trust

[felixleong]

a ship with no captain is bound to sink

[safetyfirst]

Omg, FSL has started trading and people are still willing to pay 9 cents for this company, they have got to be kidding

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You can still sell FSL for 17 cents today.. Sell now before it gets too late, it is so overvalued even at 17 cents.. even with its IPO price around USD 0.98.

This trust lives for the bankers, not for shareholders.

if you really want to speculate on this counter, why not wait till it has done a rights issue, or do a private placement first, then buy into it again.

After 13 months, people who refused to sell for 17 cents have lost almost half their capital. Today you can still sell for 9 cents...

It is surprising to me that people still have hopes for it. In the next 5 to 10 years, this trust can pay out almost nothing because it will be busy paring down its debt. And once it has cleared its debt, its ships will probably be left with lifespans of another 10 years, hopefully earning just enough to pay you back your 9 cents today.

Even a posb savings account will do better with lower risk

[Stockerman]

This piece of sinking Sh** (ship) is not even worth a pittance...
Probably a few cents of intrinsic worth...

every tom, dick and harry have jumped off the ship...

For those pessimists that are so confident that FSL is worth less than 5 cents, you are more than welcome to short the counter.

FSL made some silly mistakes earlier and paying the price now. I'll give them awhile to set the ship straight again.

[Dividend Warrior]

FSL Trust Management Pte. Ltd. (FSLTM), as trustee-manager of First Ship Lease Trust (FSL Trust) announces that the lessee of its two dry bulk carriers, OMNI Ships Pte. Ltd. (OMNI Ships), has defaulted on its lease payments. Today, FSLTM issued a notice to OMNI Ships for the redelivery of its two dry bulk carriers, namely Stella Fomalhaut and Stella Eltanin.

During the first quarter of 2013, FSLTM concluded restructuring discussions with OMNI Ships, which included a reduction in bareboat charter rates for the two dry bulk carriers. Despite the restructured terms, OMNI Ships failed to pay FSL Trust the charter hires due.

Stella Fomalhaut and Stella Eltanin are currently employed under short-term sub-time charter contracts and FSLTM has agreed with the sub-time charterers to continue the contracts directly with FSL Trust. FSLTM is actively looking for suitable employment for the vessels after their current contracts expire.

[safetyfirst]

Interestingly, you can still sell your stock for 9.9 cents today, there will always be people who are willing to make a bet that a turnaround can come about

[Nick]

It must be noted that Eclectic Investment Company became a SSH of FSLT earlier this month.

http://fsltrust.listedcompany.com/newsro...DFD9.1.pdf

[a74henry]

This Eclectic Investment Company bought it at $0.08 recently.

Total FSL shares owned by Eclectic Investment Company stood at 33.3m (5.1% of FSL) valued at about $3.3m (based on market price $0.101). Recently, a new CEO has been appointed is a plus.

A hated stock. Most investors has given up hope on FSL which incurs losses, no dividend and operational issues. The only way out for FSL is to manage/operate its own vessels (build up its shipping talent), sell its vessels or lease its vessels out to more financially sound shippers. Also, have a strong finance team to advise the BD team.

Singapore is a maritime hub. Getting talents to turn FSL around to profitability should be a breeze.

A shakeout in the China Shipyard industry and higher ship construction costs should spell good news for existing ship owners in the long term. The negatives are the newer ships are more fuel efficient as they are larger in size. The plus point is FSL ships are not very large and should focus on being a ship that serves the ASEAN region. Let us await the CEO's announcement of his strategies for FSL.

[safetyfirst]

perhaps buddies are putting too much emphasis on its balance sheet. I understand that it is trading way below its NAV, however, i think its debts are real (with an interest rate of at least 5%) but its assets are not worth as much as shown on the balance sheet.

If i am the bank that has loaned $$ to this trust, i would have difficulties sleeping at night. Shareholders far worse...

[GreedandFear]

perhaps buddies are putting too much emphasis on its balance sheet. I understand that it is trading way below its NAV, however, i think its debts are real (with an interest rate of at least 5%) but its assets are not worth as much as shown on the balance sheet.

If i am the bank that has loaned $$ to this trust, i would have difficulties sleeping at night. Shareholders far worse...

My understanding of the shipping REITs is that (unlike their real estate counterparts) the NAV is not based on an updated valuation but simply at the carrying cost of the ships. Hence a "discount to NAV" can be deceiving.

[safetyfirst]

This counter has been suspended for quite a while. Anyone knows what has happened?