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The Pirates' Toll

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March 24, 2010 – Comments (1) | RELATED TICKERS: DRYS , FREE , EGLE

The Pirates' Toll: High Stakes on the High Seas

From The Street, a 21 page (but good) read about James Christodoulou's experience of dealing and negotiating with the pirates of Somalia.

The pirates obviously do have a business model that seems to be working for them.

With all of the tonnage that has to go through those pirate infested waters, will shipping rates skyrocket?

Can all of the insurance you can buy be enough? If a small operator gets snagged it's not. Christodoulou's story is proof of that. But it seems to have created a career for him.

1 Comments – Post Your Own

#1) On April 07, 2010 at 8:52 AM, Counterparty (< 20) wrote:

FREE seems to be doing very nicely, I like their business model a lot. They used the crisis to increase their fleet, decrease their net debt, good utilization rate, good operating income. Coming out of the slump and with the increase in charter prices the stock valuation looks very favorable to generate some good upside.

http://quote.morningstar.com/stock/s.aspx?t=FREE

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