Shipping cash flows diverge

摘要

How prepared is shipping for future threats after its bruising 2008-2009? The most commonly cited barometers are net income and net asset value, but what creditors watch far more closely is cash flow.rnNet income (profit) gyrates on asset-value revisions and 'mark-to-market' derivative positions that have no impact on cash flow. A shipowner can bleed cash while boasting a 'paper' profit or suffer a huge accounting loss despite solid cash flows.