Japan’s Kintetsu World Express’ wholly-owned subsidiary, APL Logistics, said its employees are retracting earlier statements they made last week regarding “K” Line’s financial position.
APL Logistics said its employees are retracting earlier statements they made about the Japanese carrier “K” Line possibly filing for bankruptcy.
“On or around 20 to 21 September 2016, a small number of APL Logistics Group employees conveyed opinions to several customers that touch on the potential financial position or viability of “K” Line. These employees have since retracted their statements or are in the process of doing so,” Beat Simon, president of APL Logistics said in a statement.
“The APL Logistics Group states unreservedly that it is not our practice to comment on the financial position of other market participants; neither in a negative nor positive aspect,” he added. “The APL Logistics Group therefore does not endorse the comments made by these employees. Should you wish to be apprised of “K” Line’s financial position, you may refer directly to “K” Line’s website. The APL Logistics Group, will upon your request, continue to accept bookings for “K” Line.”
Simon’s statement came after “K” Line posted its own statement late last week saying that false information about its financial condition had been circulated by an unnamed NVOCC and that it was considering taking legal action because of the rumor.
“K” Line said, it “has become known to us that a certain NVOCC company had circulated false e-mails stating
a potential bankruptcy of “K” Line to their customers. The message contained
in the e-mails is unfounded without basis of any financial analysis and what is stated
therein is false. We have strongly protested to the said company, who has admitted that
the statement was false and promised to send to their customers a message to retract such
statement. We are also considering to take any necessary legal measures that we may have
against the concerned parties.”
“K” Line said its financial condition was sound, and that as of June 30, it had cash and deposits of about $ 2.08 billion, total net assets of about $3.2 billion, an equity ratio of 29.1 percent, and a liquidity
ratio of 154.5 percent. “K” Line added, “moreover, we maintain the credit rating at the same sound and viable
level as other shipping companies. It is evident also from these figures that the messages
sent by the said company to its customers are erroneous.”
Once a division of the Singapore company Neptune Orient Lines and a sister company to the container shipping company APL, APL Logistics was spun off and sold to Japan’s Kintetsu World Express in 2015 for $1.2 billion. NOL and the APL liner business was acquired this year by CMA CGM.
APL Logistics retracts “K” Line comments
