Senator Lines (Ceased trading 2009)
Note: This company is no longer trading as a separate enterprise.
Senator Lines Announces that it is to cease trading at the end of February 2009
January - The global economic recession claimed its first major victim in the container shipping sector. German carrier Senator Lines announced on February 4 that it would cease business, effective the end of February.
The Bremen-headquartered line, which since 1997 had been 80% owned by Korean shipping operator Hanjin Shipping, said its shareholders and board had decided on the shutdown "as a result of the financial and economic crisis and − as a consequence thereof − reduced volumes together with overcapacity and extreme unhealthy competition, especially on the east-west routes".
The company continued: "According to the board of Senator Lines, there are no positive signals to be foreseen for 2009 and there are not even any freight rate improvements visible in the long term. All these facts have resulted in this painful decision."
It added: "Senator Lines will definitely recognise every order and deliver all containers to destination. All other obligations will be honoured as well."
The remaining shares in Senator, which was founded in 1987, are held by Bremer Investitionsgesellschaft in Bremen and shipping company F. Laeisz in Hamburg, with 10% each. The line has specialised in serving Far East-Middle East-northern Europe trade lanes. According to Senator's website, it had to date provided a total of 14 liner services involving approximately 1,570 voyages per year.
Senator lines is a shipping company that specialises in slot chartering. They are asset light and mainly charter space from members of the CYKHS (Cosco, Yang Ming, K-Line, Hanjin, Senator) Alliance, however they also operate with other shipping companies such as Hamburg Sud, Hapag Lloyd, CSAV, MSC and MOL. The company is majority owned by Hanjin Shipping, and was formed in 1994 with the merger of DSR Lines and Senator Linie.
Senator specialises in the Asia-Europe trade and has regional services to South America and Canada. The company removed its services to the U.S. after struggling with financial difficulties in 2002. Most of its business is done through sales agents, although it has a small number of sales and regional offices.Its revenues for 2006 were €628.5m.