Post by ferryfast admin on Mar 14, 2012 10:52:51 GMT -5
Harbor development
Published 04:52 p.m., Monday, March 5, 2012
www.ctpost.com/news/article/Harbor-development-3383346.php#ixzz1p6g67UFU
Losing Derecktor, the bankrupt yacht builder, from the Bridgeport Shipyard at 837 Seaview Ave. is a blow to Bridgeport and to its vision for a rejuvenated harbor.
But Bridgeport Mayor Bill Finch and his administration should stick to their plan to cultivate water-dependent industry in the confines of the shipyard, which is owned by the Bridgeport Port Authority.
Derecktor, which has operations in New York and Florida, gambled on going after mega-yacht construction business. In 2010, the company launched the 281-foot, nearly 3,000-ton Cakewalk, the largest yacht built in the U.S. since the 1930s. But the yacht alone was not enough to keep the Bridgeport operation solvent.
Nevertheless, shipbuilding with more modest and utilitarian goals continues to be a good fit for the location of Bridgeport Shipyard.
_______________________________
Derecktor's financial problems hit New York
Rob Varnon
CT Post
www.ctpost.com/news/article/Derecktor-s-financial-problems-hit-New-York-3372261.php#ixzz1oupSpdTt
Published 10:24 p.m., Wednesday, February 29, 2012
Derecktor, the yacht builder that has gone bankrupt twice in Connecticut, and now also in New York as its shipyard there seeks Chapter 11 protection, is finished in Bridgeport, according to a city official.
Evicted from its facility, a $1.77 million lien on its equipment, and on Monday the Mamaroneck, N.Y.-based company's shipyard joined Derecktor Connecticut in bankruptcy, leaving Bridgeport's top development official with no doubt about the yacht-maker's future here.
"They're done," Donald Eversley, Bridgeport's director of planning and development, said Wednesday in an interview.
He said bankruptcies in two states, a turbulent history marked at times by adversarial dealings with ports and customers, combined with a bad bet on the direction of business, means the company won't be returning to the Bridgeport Shipyard at 837 Seaview Ave., even if it manages to recapitalize the operation with private equity.
Derecktor had a Rhode Island operation in the 1980s but left there after filing for bankruptcy in 1992. Other units have also been involved in bankruptcies and civil lawsuits with customers.
The company opened in Bridgeport in 2001 and nine years later launched the massive yacht Cakewalk, which had a price tag in excess of $200 million. But more mega-yacht business failed to materialize and the company temporarily closed its Connecticut operation in September 2011 and then filed for Chapter 11 bankruptcy protection just four months after it exited its last one.
Eversley said going after the mega-yacht business was a huge gamble that didn't pay off.
He said the city is hearing from maritime businesses and boat operators who are interested in seeing the Bridgeport Shipyard up and running again, but that business is geared toward commercial vessels, like tugs, ferries and fishing boats.
"The Bridgeport Shipyard, owned by the Bridgeport Port Authority, did not fail," he said.
The Port Authority evicted Derecktor from the site in January and remains a creditor in the bankruptcy procedure. Eversley said Derecktor has paid back rent to collect some things, but it and some of its former customers are also paying storage fees on equipment at the site.
He said the most recent action in New York complicates Derecktor's business.
This week, Robert E. Derecktor Inc., Derecktor's Mamaroneck boat yard, filed a Chapter 11 bankruptcy petition in U.S. Bankruptcy Court Southern District of New York. The company claimed assets of $50,000 or less and liabilities of between $1 million and $10 million.
In both bankruptcy cases, Derecktor said a downturn in the economy was the main cause of its troubles, though the latest filings also indicate two lawsuits contributed to its financial dilemma.
The first suit involves New York Water Taxi, for whom Derecktor built six vessels and later was sued over alleged defects. The settlement required Derecktor to service the taxis for free, and Derecktor says it can't afford to do that in this economy. The second suit is still pending and involves the $68 million construction of two high-speed ferries for Alaska.
Alaska sued Derecktor and a German engine maker over problems with the engines.
According to the affidavit of E. Paul Derecktor, president of R.E. Derecktor Inc.'s parent company Derecktor Holdings, the company is also still paying off a $2.7 million loan taken out by Derecktor's Bridgeport operation from the Connecticut Development Authority.
A spokesman for Derecktor said the latest Chapter 11 filing does not affect the company's Florida yard but could not say if there was any movement on its plans for its Connecticut operation. In January, the company maintained it could restart in Bridgeport with financial assistance and in the New York case, it said it continues to try to raise money from private-equity firms but is also considering a liquidation of the Connecticut business.
Marie O'Brien, president of the CDA, said her organization has a lien on Derecktor's Connecticut equipment, which was appraised at a higher value than the $1.77 million outstanding debt the yacht maker owes.
While Derecktor has been locked out from the Bridgeport property, the Seaview facility is being used.
Hornblower Cruises and Events confirmed Wednesday it has a boat at the yard and is doing occasional maintenance work there. Hornblower operates the Statue of Liberty Cruise business.
Tegan Firth, a spokeswoman, for Hornblower, said the company is in discussions with the City of Bridgeport about using the site, but no arrangement has been made for a permanent operation.
rvarnon@ctpost.com; or get updates at twitter.com/financialmines.
____________________
Bridgeport Port Authority
www.portofbridgeport.com/
Published 04:52 p.m., Monday, March 5, 2012
www.ctpost.com/news/article/Harbor-development-3383346.php#ixzz1p6g67UFU
Losing Derecktor, the bankrupt yacht builder, from the Bridgeport Shipyard at 837 Seaview Ave. is a blow to Bridgeport and to its vision for a rejuvenated harbor.
But Bridgeport Mayor Bill Finch and his administration should stick to their plan to cultivate water-dependent industry in the confines of the shipyard, which is owned by the Bridgeport Port Authority.
Derecktor, which has operations in New York and Florida, gambled on going after mega-yacht construction business. In 2010, the company launched the 281-foot, nearly 3,000-ton Cakewalk, the largest yacht built in the U.S. since the 1930s. But the yacht alone was not enough to keep the Bridgeport operation solvent.
Nevertheless, shipbuilding with more modest and utilitarian goals continues to be a good fit for the location of Bridgeport Shipyard.
_______________________________
Derecktor's financial problems hit New York
Rob Varnon
CT Post
www.ctpost.com/news/article/Derecktor-s-financial-problems-hit-New-York-3372261.php#ixzz1oupSpdTt
Published 10:24 p.m., Wednesday, February 29, 2012
Derecktor, the yacht builder that has gone bankrupt twice in Connecticut, and now also in New York as its shipyard there seeks Chapter 11 protection, is finished in Bridgeport, according to a city official.
Evicted from its facility, a $1.77 million lien on its equipment, and on Monday the Mamaroneck, N.Y.-based company's shipyard joined Derecktor Connecticut in bankruptcy, leaving Bridgeport's top development official with no doubt about the yacht-maker's future here.
"They're done," Donald Eversley, Bridgeport's director of planning and development, said Wednesday in an interview.
He said bankruptcies in two states, a turbulent history marked at times by adversarial dealings with ports and customers, combined with a bad bet on the direction of business, means the company won't be returning to the Bridgeport Shipyard at 837 Seaview Ave., even if it manages to recapitalize the operation with private equity.
Derecktor had a Rhode Island operation in the 1980s but left there after filing for bankruptcy in 1992. Other units have also been involved in bankruptcies and civil lawsuits with customers.
The company opened in Bridgeport in 2001 and nine years later launched the massive yacht Cakewalk, which had a price tag in excess of $200 million. But more mega-yacht business failed to materialize and the company temporarily closed its Connecticut operation in September 2011 and then filed for Chapter 11 bankruptcy protection just four months after it exited its last one.
Eversley said going after the mega-yacht business was a huge gamble that didn't pay off.
He said the city is hearing from maritime businesses and boat operators who are interested in seeing the Bridgeport Shipyard up and running again, but that business is geared toward commercial vessels, like tugs, ferries and fishing boats.
"The Bridgeport Shipyard, owned by the Bridgeport Port Authority, did not fail," he said.
The Port Authority evicted Derecktor from the site in January and remains a creditor in the bankruptcy procedure. Eversley said Derecktor has paid back rent to collect some things, but it and some of its former customers are also paying storage fees on equipment at the site.
He said the most recent action in New York complicates Derecktor's business.
This week, Robert E. Derecktor Inc., Derecktor's Mamaroneck boat yard, filed a Chapter 11 bankruptcy petition in U.S. Bankruptcy Court Southern District of New York. The company claimed assets of $50,000 or less and liabilities of between $1 million and $10 million.
In both bankruptcy cases, Derecktor said a downturn in the economy was the main cause of its troubles, though the latest filings also indicate two lawsuits contributed to its financial dilemma.
The first suit involves New York Water Taxi, for whom Derecktor built six vessels and later was sued over alleged defects. The settlement required Derecktor to service the taxis for free, and Derecktor says it can't afford to do that in this economy. The second suit is still pending and involves the $68 million construction of two high-speed ferries for Alaska.
Alaska sued Derecktor and a German engine maker over problems with the engines.
According to the affidavit of E. Paul Derecktor, president of R.E. Derecktor Inc.'s parent company Derecktor Holdings, the company is also still paying off a $2.7 million loan taken out by Derecktor's Bridgeport operation from the Connecticut Development Authority.
A spokesman for Derecktor said the latest Chapter 11 filing does not affect the company's Florida yard but could not say if there was any movement on its plans for its Connecticut operation. In January, the company maintained it could restart in Bridgeport with financial assistance and in the New York case, it said it continues to try to raise money from private-equity firms but is also considering a liquidation of the Connecticut business.
Marie O'Brien, president of the CDA, said her organization has a lien on Derecktor's Connecticut equipment, which was appraised at a higher value than the $1.77 million outstanding debt the yacht maker owes.
While Derecktor has been locked out from the Bridgeport property, the Seaview facility is being used.
Hornblower Cruises and Events confirmed Wednesday it has a boat at the yard and is doing occasional maintenance work there. Hornblower operates the Statue of Liberty Cruise business.
Tegan Firth, a spokeswoman, for Hornblower, said the company is in discussions with the City of Bridgeport about using the site, but no arrangement has been made for a permanent operation.
rvarnon@ctpost.com; or get updates at twitter.com/financialmines.
____________________
Bridgeport Port Authority
www.portofbridgeport.com/