Ship charter rates (profits) fell by as much as 90 % triggering costs of utilized ships to fall by as much as 80 %. In the middle of this crisis, VHSS, the German Shipbroker's Association, presented a proposition to value ships utilizing affordable revenue circulation analysis (to identify a long-lasting possession value, LTAV) rather than market costs from equivalent deals.
Thomas Rehder, the Chairman of VHSS, said this technique was required due to the fact that market value did not show basic values in the present environment. Successively revealing the alternative appraisal approach in September 2009, he needs to encourage market individuals - ship owners, lenders, and appraisers - to embrace the brand-new appraisal approach and bank regulatory authorities and auditing companies to authorize its usage.
Vereinigung Hamburger Schiffsmakler und Schiffsagenten eV (VHSS) Valuing Ships Case Study Solutions
PUBLICATION DATE: June 23, 2010 PRODUCT #: 210058-PDF-ENG
This is just an excerpt. This case is about FINANCE & ACCOUNTING
Related Case Solutions & Analyses:
The Knight Management Center
Krispy Kreme: The Franchisor That Went Stale
Accounting for the Intel Pentium Chip Flaw
Origins of National Income Accounting
Cash Management Practices in Small Companies
Solar Geoengineering
Cengage Learning: Can Apax Partners Salvage This Buyout?
The Quest for Sustainable Public Transit Funding: SEPTA’s 2013 Capital Budget Crisis Sequel
INTELFRA Ltd.: Pricing Telecom Infrastructure in a Monopolistic Market
Water Shortage and Property Investing In Mexico City, Spanish Version
