Copenhagen-based oil products carrier TORM announced a revised forecast for results before tax for 2010, owing to lowered expectations of freight rate development in the fourth quarter of 2010.
The company now expects that 2010 results will be less lucrative, as the company has increased it estimated loss before tax from 40-60 million dollars to 75-85 million dollars.
“The rates for product tankers continue to be weak, and the signs of recovery we experienced during the summer months of 2010 have not materialized into better rates. However, this does not change our long-term view of the product tanker market, and we remain positive on the future prospects of this segment,” explained TORM CEO Jacob Meldgaard.
The company will release its interim financial statement for the first nine months of 2010 next week.
TORM was founded in 1889 and is now one of the world’s leading carriers of refined oil products as well as a significant player in the dry bulk market. The company runs a fleet of approximately 140 vessels in cooperation with other shipping companies.
The company conducts business worldwide and is headquartered in Copenhagen, Denmark. TORM’s shares are listed on NASDAQ OMX Copenhagen (Copenhagen:TORM) and on NASDAQ in New York (Nasdaq:TRMD).