NOL

NOL: 3Q14 missed. Net loss was US$23.1m (3Q14 profit: $20m), while revenue was flat at US$2.1b, as Liner revenue was pressured by lower freight rates and volume. Liner volume decreased by 2% y/y, weighed by Intra-Asia and Transatlantic trade lanes. Utilization rate maintained above 90%. Bottom line was weighed on the absence of one off disposal gain of NOL building recognized last year. Meanwhile, Bloomberg reported on Oct 17, that CJ Korea express is considering the acquisition of NOL’s logistics business, APL Logisticts. The newswire cites an unknown source putting a US$1.b price tag on APL. On that front, NOL has qualified that there haven’t been any material developments in its business review and there is no certainly of the deal being completed. NOL is trading at 0.9xP/B