Business
Algoma Central Corporation Announces Favourable Outcome in Shipyard Arbitration
ALC-T ST. CATHARINES, ON, April 30, 2013 /CNW/ - Algoma Central Corporation (Algoma...
About this update from Algoma Central Corporation
[{"type":"text","content":"\n\n\n\n\n\nALC-T\n\n\nST. CATHARINES, ON, April 30, 2013 /CNW/ - Algoma Central Corporation (Algoma) announced today that the London, UK\n Arbitration Tribunal hearing a shipbuilding contract dispute involving\n Algoma Tankers International Inc., a wholly owned subsidiary of Algoma\n Central Corporation, has found in favour of Algoma.\n\n\n\"We are extremely pleased that the Tribunal agreed with the merits of\n our claim\", said Greg Wight, President and CEO of the Corporation. \"We\n will now proceed to make a formal demand for reimbursement of our\n instalment payments as provided for under the terms of the contracts.\"\n\n\n\"A lot of effort went into achieving this result,\" added Duncan Jackman,\n Chairman of the Board of Directors of Algoma. \"I would like to extend\n my thanks to everyone involved in this for their diligence and hard\n work.\"\n\n\nIn 2007 the Corporation, through its wholly owned subsidiary, entered\n into contracts to build three 16,500 - deadweight ton product tankers\n in China. Each contract contained provisions that permitted\n cancellation under certain conditions. These conditions were met in\n 2010 and Algoma accordingly issued notices of rescission to the\n shipyard seeking to cancel the contracts, and demanding reimbursement\n of the instalments that had been advanced. The matter was taken to\n arbitration by the shipyard and hearings were conducted before the\n Tribunal in London in September, 2012.\n\n\nAbout Algoma Central Corporation\nAlgoma Central Corporation owns and operates the largest Canadian flag\n fleet of dry and liquid bulk carriers operating on the Great Lakes -\n St. Lawrence Waterway, including 19 self-unloading dry-bulk carriers,\n seven gearless dry bulk carriers and seven product tankers. Algoma also\n has interests in ocean dry-bulk and product tanker vessels operating in\n international markets. Algoma owns a diversified ship repair and steel\n fabricating facility active in the Great Lakes and St. Lawrence regions\n of Canada. In addition, Algoma owns and manages commercial real estate\n properties in Sault Ste. Marie, St. Catharines and Waterloo, Ontario.\n\n\nA recently published economic impact study, commissioned by Marine\n Delivers, demonstrates the significant role that the Great Lakes /\n Seaway system plays in supporting the Canadian and U.S. economies. \n...