Why did Eastwind Maritime collapse?

There have been no reasons given for the collapse of Eastwind Maritime

From Reuters

NEW YORK/DETROIT, June 24 (Reuters) - Shipping company Eastwind Maritime Inc said on Wednesday it would liquidate along with most of its affiliates, without giving a reason.

The company and more than 50 affiliates filed for Chapter 7 bankruptcy protection in New York.

However, this comment was posted on my blog

Wonder to what extent the demise of Eastwind is due to excessive and aggressive trading by its PROBULK arm!

My guess: very substantial share of the blame goes to Probulk.

June 25, 2009 1:38 PM

Most likely Probulk got caught up in the craziness of the dry bulk market last year, and had too many bad bets they couldn't cover.


Perhaps the fact that Eastwind Maritime, as well as Probulk, were located at
444 Madison Avenue, New York, New York, contributed to their demise.

Livin' a little too high on the hog.

Eastwind Maritime files Chapter 7 Bankruptcy

Chapter 7 bankruptcy is liquidation of the company, not reorganization.

Eastwind had a deal with Chiquita

The corporation listed assets and liabilities in the range of $500 million to $1 billion. Related affiliates include Kura Shipping Ltd and Probulk Inc.

Eastwind Maritime entered a deal with Chiquita Brands International Inc (CQB.N) in May, 2007, in which Chiquita sold 12 refrigerated cargo vessels to Eastwind for $227 million, then leased them back. The vessels transported about 70 percent of Chiquita bananas shipped to core markets in Europe and North America.

click here for Reuters article

This, from the Eastwind Maritime web-site

Eastwind Maritime Inc. Files Chapter 7

Eastwind Maritime Inc., a Marshall Islands domiciled shipping company, today filed a voluntary Chapter 7 petition for liquidation of the company and most of its subsidiaries in the U.S. Bankruptcy Court of the Southern District of New York. An estate administrator is expected to be appointed by the Court shortly.

Press and Media Contact:

Richard M. Lemanski
Tel: +1 (212) 838-1113
E-mail: rlemanski@eastwindgroup.com

Guess I need to start a list of shipping companies which have been liquidated.