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Farrell Reports $35-Million Turnaround — Sells Four Ships To U.S. Lines Farrell Lines expects to record a modest net profit for 1982, Richard V. Parks, president and chief operating officer said re- cently. This represents a $35-million operating turn-around over the previous year. Mr. Parks also predicted an operating profit for the 58 year old U.S. flag steamship line in 1983, basing his forecast on the sale recently of four 1,700 TEU containerships to United States Lines and a brighter outlook in Farrell's Mediterranean, West African and chartering divisions. The four Farrell containerships sold to U.S. Lines have been de- ployed on the North American/ Australian and New Zealand trade route. The sale to U.S. Lines will result in the suspen- sion of Farrell Line's service to this region. The total package for the four Farrell containerships totals ap- proximately $150 million, in- cluding debt, mortgages, and eq- uity capital. "The sale of these vessels will have a favorable impact on our balance sheet expediting the con- tinuing turn-around of Farrell Lines. It will make Farrell Lines much more viable and stronger," Mr. Parks said. Farrell Lines is suspending its Australian service mainly be- cause of high operating costs on that trade route and declining cargo volume due to a softening of the region's economy. Farrell Lines will honor all current car- go commitments between North America and Australia and New Zealand with the four voyages in progress. The company is optimistic about its Mediterranean and West African trade routes, where it holds a substantial cargo po- sition. It believes it will further expand its market share in that region of the world due to an- ticipated economic growth and Farrell's position as a U.S.-flag carrier. The Line's charter divi- sion is also projected to do well in 1983. Mr. Parks joined Farrell Lines in 1979 and was appointed presi- dent and chief operating officer in 1981. The company subse- quently has reorganized its top management staff, instituting tight financial controls, trimming inefficiencies, emphasizing qual- ity service and innovative ap- proaches to customer needs. The four vessels involved in the sale to U.S. Lines are the Austral Pioneer, Austral Puritan, Austral Envoy, and the Austral Entente. Selesmar Of Italy Increases Capital Through Agreement With INI Selesmar of Florence, Italy has announced the signing of an agreement with INI of Spain, in which INI has acquired 20 per- cent of the share capital of Selesmar. A leading manufactur- er of marine radars and ARPA anti-collision systems, Selesmar had previously been fully con- trolled by S.M.A. With the agree- ment the share capital of Seles- mar has been increased from 2 billion lire to 2.5 billion lire. This is the second increase of capital since Selesmar was formed in August of 1980 and is indicative of the rapid and constant growth experienced by this firm since its inception. Participation on the part of the new Spanish stockholder is considered particularly important because of a technical and com- mercial agreement with the lead- ing Spanish electronics equip- ment manufacturer EISA which is controlled by INI. Selesmar reports its products have gained excellent acceptance through 1982 in the international marine market, and that sales had exceeded anticipated levels for the year. For complete information and literature on Selesmar's radars and ARPA anti-collision systems, Write 35 on Reader Service Card LOOK WHAT YOU GET! 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