In the current low-rate and relatively low-volatility environment, margin creation and arbitrage is challenging for commercial operators like charterers. In addition, we are starting to recognize a more tangible and direct consequence of the prolonged dire market on our business: a lag in vessel maintenance and upkeep of the vessels we charter in. Every time a vessel or a piece of machinery is not working to its potential – or not working at all – our ability to manage risk and protect margins is impacted.
