-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, HcCov+S8yXnrbf/dp1axx+sfJM4xAiKPeXyPb+1Vn88NYND8pdrsSI+cTQZfdSua r3Xt6GW4thxvFoM5/G+2Gw== 0000278041-06-000018.txt : 20060627 0000278041-06-000018.hdr.sgml : 20060627 20060627164316 ACCESSION NUMBER: 0000278041-06-000018 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060626 ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060627 DATE AS OF CHANGE: 20060627 FILER: COMPANY DATA: COMPANY CONFORMED NAME: INTERNATIONAL SHIPHOLDING CORP CENTRAL INDEX KEY: 0000278041 STANDARD INDUSTRIAL CLASSIFICATION: DEEP SEA FOREIGN TRANSPORTATION OF FREIGHT [4412] IRS NUMBER: 362989662 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-10852 FILM NUMBER: 06927436 BUSINESS ADDRESS: STREET 1: 650 POYDRAS ST STE 1700 CITY: NEW ORLEANS STATE: LA ZIP: 70130 BUSINESS PHONE: 5045295470 8-K 1 f8kcgrailwaymovejune2006fina.htm FORM 8-K Third Quarter 10-Q Verbage


UNITED STATES

 SECURITIES AND EXCHANGE COMMISSION


WASHINGTON, D.C.  20549


FORM 8-K


CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934


Date of Report (Date of Earliest Event Reported):

June 26, 2006



INTERNATIONAL SHIPHOLDING CORPORATION

(Exact name of registrant as specified in its charter)


Delaware

2-63322

36-2989662

(State or other jurisdiction

of incorporation)

(Commission

File Number)

(IRS Employer

Identification No.)



650 Poydras Street, New Orleans, Louisiana

70130

(Address of principal executive offices)

(Zip Code)


Registrant’s telephone number, including area code: (504) 529-5461



Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:


 [ ]  Written communications pursuant to Rule 425 under the Securities Act

 [ ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act

 [ ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act

 [ ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act

 





ITEM 8.01.

OTHER EVENTS


On June 26, 2006, International Shipholding Corporation issued the press release attached hereto as Exhibit 99.1 and incorporated herein by reference.


As described in that release, we intend to relocate the U.S. terminal operations of our rail-ferry service and our corporate headquarters from New Orleans, Louisiana, to Mobile, Alabama by early 2007.  We have received commitments from the State of Alabama, City of Mobile, and Mobile County to provide economic incentives to assist us in mitigating the cost of relocation.  


Our net investment in the terminal assets located in New Orleans associated with the rail-ferry service is approximately $8.9 million.  We also have a 50% ownership interest in Rail Terminal Logistics, Inc. (RTI), a transloading and storage facility located near the terminal with a book value of approximately $1.9 million.  


We are reviewing our options for future utilization of the assets located at the rail-ferry terminal site in New Orleans.  Because the economic incentives from state and local governments in Alabama are not intended to cover the New Orleans investment, it is possible that this review could lead us to the conclusion that we will not be able to recover some or all of our investment in the terminal.  If that conclusion is made, an impairment of some or all of the carrying value may be required.


On the basis of an independent appraisal of the property and related assets held by RTI, we have concluded it is likely that we can recover our $1.9 million investment in that entity.  


Because of the economic incentives being provided by state and local governments in Alabama, it is possible that the relocation of the corporate headquarters could result in no net effect on our operating results.  However, it is also possible that our relocation costs could exceed the incentives.  Therefore, our results of operations during the periods associated with the relocation, from third quarter of 2006 until the first quarter of 2007, could be impacted.  


Determinations of the fair value of the assets at the rail-ferry terminal site and our investment in RTI, as well as our estimated costs to relocate our corporate headquarters are based on current estimates. Actual amounts and actual results could vary from estimates, and such variances could be material.



ITEM 9.01.        FINANCIAL STATEMENTS AND EXHIBITS.


(d)

Exhibit


 

Exhibit Number

Document

 

99.1

Press Release dated June 26, 2006





2





SIGNATURES


Pursuant to the requirements of the Securities and Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.


INTERNATIONAL SHIPHOLDING CORPORATION


 

/s/ Manuel G. Estrada

 

Manuel G. Estrada

Vice President and Chief Financial Officer



Date

June 27, 2006





3



EX-99.1 2 f8kexhibit991.htm EXHIBIT 99.1 DRAFT RELEASE:

INTERNATIONAL

SHIPHOLDING

CORPORATION            




FOR IMMEDIATE RELEASE:



INTERNATIONAL SHIPHOLDING TO RELOCATE TO MOBILE


Closure of MR-GO is Catalyst



NEW ORLEANS, LA -- June 26, 2006 – (NYSE: ISH) –The board and officers of International Shipholding Corporation today announced plans to relocate its corporate headquarters, and CG Railway operations from  New Orleans to Mobile, Alabama due to the closure of the Mississippi River-Gulf Outlet (MR-GO) and its uncertain future. The announcement was made by International Shipholding Corporation Chairman Erik F. Johnsen. The company anticipates completing the move by early 2007.


“Our company unfortunately, is another victim of Hurricane Katrina,” said Johnsen. “With the       post-Katrina closure of the MR-GO to deep-draft shipping, and after extensive research, we could find no other site in Louisiana for our specialized rail-ferry service.”


International Shipholding will be moving its headquarters at Poydras Center along with its CG Railway service to a facility in Mobile. However, its barge repair operation, LASH (Lighter Aboard SHip) Barge Repair Yard in Lafitte, Louisiana will remain along with all of its 50 employees.  Additionally, the company expects to retain its terminal lease, while exploring alternative uses for the site.


“I want to emphasize that our decision to relocate is based upon the unique post-Katrina circumstances facing our company,” Johnsen continued.  “It should not be seen as an indication of our views on the future economic health of the greater New Orleans area.  In fact, we are optimistic that the City of New Orleans will enjoy a vibrant rebirth, which is already evidenced by the return of the Port of New Orleans to its pre-Katrina levels.”


International Shipholding Corporation was founded as Central Gulf Steamship Corporation by the Johnsen family in 1947.  It went public in 1979 and is a registered member of the New York Stock Exchange.


“Our roots are in New Orleans and it pains us to leave.  However, we will have a continued presence in Louisiana,” said Johnsen.  


###


About International Shipholding Corporation

International Shipholding Corporation, through its subsidiaries, is engaged in various types of waterborne freight transportation including LASH (Lighter Aboard SHip) carriage, pure car/truck carrier services, roll-on/roll-off, breakbulk and bulk carrier services, domestic coastwise services, and rail-ferry transportation services.  International Shipholding Corporation is a leader in water transportation, providing unique solutions to the needs of a diversified customer base with emphasis on medium to long-term contracts and charters.  

-more-




Int’l Shipholding…6/26/06…Page Two

Its principal subsidiaries are Central Gulf Lines, Inc., Waterman Steamship Corporation, LCI Shipholdings, Inc., (including LASH Transatlantic service doing business as Forest Lines), LMS Shipmanagement, Inc., and CG Railway, Inc.  These subsidiaries, together with other subsidiaries and companies in which the company has invested, operate a fleet of ocean-going vessels, LASH barges and related shoreside handling facilities.  As of December 31, 2005, International Shipholding Corporation’s fleet includes 40 vessels and 850 barges.  Information on shipping and sailing schedules are available at the CG Railway, Inc., Forest Lines, and Waterman Steamship Corporation websites at (www.intship.com).


International Shipholding Corporation currently has offices in New York and New Orleans and maintains a network of marketing agents in major cities worldwide.  The company’s common stock is traded on the New York Stock Exchange (NYSE: ISH).




*************NOTE***************


All media inquires should be directed to:


Ann Wills

Sr. Public Relations Account Executive

Keating Magee Momentum Marketing

504.299.7168 (office)

504.494.3810 (cell)





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