Nordic Tankers expects lower result in 2008
In connection with the preparation of the financial statements for 2008 and the new Supervisory Board's review of transactions made by the former Supervisory Board, Nordic Tankers has found it necessary to make a downward adjustment.
Nordic Tankers now expected a profit after tax for 2008 of USD 4-5 million, down from the USD 20 million announced in a stock exchange release of 10 December 2008.
The downward adjustment is caused by different factors. First, an extraordinary write-down of the value of the company's chemical tankers of USD 8.5 million because of the deteriorating market conditions resulting from the global financial crisis.
Furthermore, it has been necessary to charge a loss of USD 2.9 million on a holding in the listed property company Tower Group, which the former Supervisory Board acquired in July, to the income statement.
Moreover provisions of USD 2.0 million have been made to cover any losses on other transactions made by the former Supervisory Board. Finally, a somewhat smaller profit than previously announced from the sale of NORDIC LISBETH, heavier taxes and a weaker-than-expected operating profit for the fourth quarter contribute to weaker annual results.
Nordic Tankers will present the financial statements for 2008 in the afternoon of 26 March 2009.
Source: Nordic Tankers
