Horizon to lease five new container vessels
Apr 12, 2006 10:21 AM, from staff and wire reports
Horizon Lines LLC has closed the long-term charters and related agreements with Ship Finance International Ltd and its subsidiaries to lease five newly built, United States-flag container vessels. The subsidiaries of Ship Finance will acquire the vessels from third parties for about $280 million.
The five sister vessels are being built at the Hyundai Mipo shipyard in Korea and are scheduled to be delivered during the first five months of 2007. The vessels have a capacity of 2,824 TEUs and are capable of a service speed of 23 knots.
Horizon will operate the vessels in its expanded TP1 service from the US West Coast to Guam and Asia. The term of each bareboat charter will be 12 years with a three-year renewal option on the part of Horizon. The firm will have the option to buy the vessels after five, eight, 12, and 15 years.
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