The largest bankruptcy ever to take place in container shipping now appears inevitable after the board of Hanjin Shipping voted unanimously to file for court receivership in South Korea today.

Well, I hope everyone's long term spares are up to date. This is forecast to cause turmoil in the container industry. I expect it's tough to fly a crankshaft overseas.

https://gcaptain.com/alliance-partners- ... ain.com%29

If you are at following the shipping news, the industry is in a tailspin. 15 year old ships going to the breakers, stacked rigs, OSVs ..somewhere I read Bourbon has half its rig ships laid up, the mega containerships not being all what they were expected. Major shipyards in trouble. HMM in straits. Seaman stranded in ports with no supplies. It appears to be worse then the downturn in the '80s when I first started out as a pup.
I am sure this is devastating to many Mariners and their families.

http://splash247.com/hanjin-fallout-dom ... headlines/

Being on the sidelines, its almost frightening how fast the daggers came out for Hanjin, and now how the competition is just ripping shippers a new one. I had a inkling that I may like being in business when I was younger, but always knew it was too cut throat for me - brutal and mean. There is certainly not much in way of humanity where shipping is concerned. Yes I believe this is shaping up to be a bloodbath year for ships and those that tend to them.

Jut read an article from back in May discussing the Hanjin problem, and how Seaspan has 10 ships under charter to Hanjin, or roughly 10% of their TEU capacity. In addition, Seaspan has another 13 ships coming out of charter this year, could be a bumpy ride for the Vancouver base company headed by Gerry Wang, especially if Hyundai Merchant Marine, a partner of sort of Hanjin, is taken down as well. The high, and fast flying "what me, worry" Seaspan might have to change its tune a bit. Seaspan has steadfastly held a no re-negotiation of charter agreements in the past.

By contrast, Danaos, the Greek shipowner, with 8 ships under charter (and of smaller capacity) to Hanjin, who were to come out of charter in the near future, has said they were exposed to Hanjin by as much as 560 million, yikes. Danaos has been flexible with charterers in the past, including HMM, and Zim, so it is interesting to see these "captains of industry" wrestle it out.

http://www.canadiansailings.ca/?p=11379

Here is a BBC report on the bankruptcy which also brings into focus the plight of the seafarers crewing the ships
http://www.bbc.com/news/business-37241727

14 billion worth of goods sitting on the ships.
38 million owned by Samsung

Meanwhile, concern is mounting for Hanjin workers both at sea and at offices around the world. It has been a week since the line folded – and since then around 70 ships have remained rooted in international waters to avoid being arrested by creditors.

“Our ships can become ghost ships,” Kim Ho Kyung, a manager at Hanjin Shipping’s labour union told Bloomberg today. “Food and water are running down in those ships floating in international waters.”

Splash 24/7

It seems it is only beginning. How many companies will topple because their goods are stuck. No flat screen for Christmas is the least of problems.

The Hamburg shipping community has reacted with shock and sadness that one of the city’s erstwhile maritime champions Hermann Ebel has become the latest victim of the container downturn. Ebel, who via his firm Hansa Treuhand, was a pioneer of the KG system, has now sought court protection for a number of his ships.

In a statement on the Hansa Treuhand site, the company said it would look to halve its fleet of around 50 ships, admitting that any turnaround in shipping was several years away. The German owner has sought creditor protection for 15 container ships at a court in Hamburg. German media is reporting around one quarter of the company’s 130 staff in Hamburg will be made redundant.

Splash247

and the Viktoria Wulff, a 10 year old panamax boxship owned by Erste RHW Schiffahrts has been sent for scrapping. Before this ship, the youngest was 13 years.

Hanjin is returning 60 chartered ships to cut costs with estimates it may face penalties of about $1.7 billion.

About 30 percent of Hanjin’s container ships have completed unloading, according to Hanjin’s website, while 34 are still stranded at sea and 35 will return to South Korea.

What a mess

It already had an impact on my work. Supplier never received an order which delayed things.
It's going to get messier I think.

What a mess, sadly many more folk caught up in the knock on effect will probably be dragged under too.
Who is next?
Like a pack of cards collapsing methinks.
Not good out there at the moment.

Seaspan was putting a good face on it a couple of weeks ago. I wonder if they are still doing so?

The future of Hanjin Shipping has been cast further adrift with South Korea’s main news agency Yonhap reporting yesterday that the court overseeing its receivership reckons the line’s rehabilitation plan is “realistically impossible” if key debts, such as backlogged charter fees exceed KRW1trn ($896m). Estimates put Hanjin’s charter costs at $2m a day at the moment. Its total debts are in excess of $5bn and mounting fast since court receivership was announced on August 31.

Shares in Hanjin plunged more than 20% to a record low after the report.

Hanjin has started returning chartered in ships to tonnage providers. The likes of Danaos, Seaspan and Navios are set to take a combined hit of around $1.2bn from the demise of Hanjin.

Hanjin’s early mooted rehabilitation plans saw it look to exit the main east-west trades and become an intra-Asia player. It has until December 19 to submit its plans.

TAGSHANJIN SHIPPINGSOUTH KOREA

A lot of issues falling out with the line failure.
Who would think that empty container storage is one of them! Of the fact a ship can't sail after discharging because they won't load the empty containers and without them her airdraft is too great. From GCaptain:

https://gcaptain.com/full-hanjin-ship-w ... -to-leave/

Hanjin gets some more bridge funding to resolve cargo crisis

http://www.news957.com/business/2016/09 ... go-crisis/