Cosco

Cosco has secured a contract valued at over US$54m to build two 64,000 DWT bulk carriers, which are scheduled for delivery in 4Q14. Order book stands at US$7.2b with progressive deliveries up to 2015. Despite showing sequential orderbook growth, Cosco has yet to demonstrate improvements in execution as margins continue to shrink. Majority of the street are still U/w on Cosco at this pt of time.