Global Sails into More Favorable Waters

Global Ocean Carriers Ltd., which had a $600,000 loss after depreciation in the fourth quarter of 1990, expects to benefit from the upturn in dry cargo freight rates over the past several months.

James Fairbairn, chief financial officer for Global, said the company should benefit from higher freight rates as it refixes ships when their charters expire in March and April.

But Fairbairn said there was “a lot of uncertainty” about whether rates would stay high over the summer and said he did not expect they would prevail over the entire year. As measured by the Baltic Freight Index, dry cargo rates have climbed from 1348 on November 30, 1990 to over 1700 in recent weeks.

Global’s results in the fourth quarter 1990 reflected the low rates in effect for most of the period. The company said several of its vessels were refixed during the quarter on voyage or short-term charters at the lowest rates that the company had experienced since being formed in 1988. High bunker fuel costs continued to effect vessels on voyage charters.

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