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Oil transporters take a beating as low rates, lower fuel consumption and a tanker glut continue...

Oil transporters take a beating as low rates, lower fuel consumption and a tanker glut continue to dissuade investors. Tanker rates are averaging less than $5K/day, a far cry from the $25K-$30K that Overseas Shipholding (OSG -5.8%) and Frontline (FRO -3.8%) need to break even, Jefferies says: "These companies are losing money and unable to cover cash costs."
Comments (2)
  • FRO bankruptcy?
    23 Jul 2012, 03:26 PM Reply Like
  • Just a world of hurt. The restructure I think will allow the company to survive for a while. Got some cash and have limited the bleeding.
    They have to suffer until times are good again. It will take a long time to get back the former glory!
    23 Jul 2012, 05:04 PM Reply Like
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