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Avondale Industries Announces Title XI Financing Completed Avondale Industries, Inc. an- nounced that it completed its $17.8 million financing of its plant mod- ernization effort by issuing mort- gage bonds guaranteed under the Title XI program of the Merchant Marine Act of 1936. The bonds bear interest at the rate of 8.16 percent and are repayable in equal semi- annual principal payments of $593,000 over a 15-year period. The modernization project will allow the company to improve its steel fabri- cation facilities and enhance its com- petitive position in the Navy and commercial shipbuilding market. The modernization project will be completed by the third quarter of 1995. Avondale also completed the refinancing of $4,268,000 of exist- ing Title XI bonds and the reduction of the interest rate from 9.30 per- cent to 7.86 percent. These bonds are repayable in equal semi-annual principal payments and mature in the year 2000. Avondale Industries, Inc., head- quartered in metro New Orleans, is one of the nation's leading marine fabricators. In addition to its ship- building operations, the company specializes in boat construction and is a major repair contractor for com- "You won't find a boat towed metal detector that can cover as much area as the PULSE 12." •Jack Fisher, President J.W. FisbersMfg., Inc. "With the PULSE 12, you get a 16ft.x 24ft. detection area, and the ability to tow three search coils. Extremely sensitive, the PULSE 12 detects all metals. It comes complete with a control box, one search coil, a 150 foot cable, and a tow fish. The system is powered by two 12V batteries." BOtf'1 uSE12 Call for a ffee catalog or to order our demomtration vide; J. W. Fishers Mfg., Inc. 65 Anthony Street. Berkely, MA 02779 USA (800)822-4744 Tel. (508)822-7330 FAX: (508)880-8949 or 822-1931 Pulse 8x Sea Otter iftS $1,145 DHC-1 $3,195 SSS-100K $26,995 $17,995 Proton 3 $7,895 Circle 231 on Reader Service Card Circle 326 on Reader Service Card mercial and Navy ships. It is also involved in the modular construc- tion of facilities and components for a variety of land-based industries. For more information on Avondale Circle 98 on Reader Service Card DOT Announces New Shipbuilding Activity $2.75 Billion In Title XI Pending Maritime Administrator Albert J. Herberger announced the issu- ance of more than $160 million in Title XI shipbuilding loan guaran- tees. The guarantees will support the construction of four double-hull product tankers, two tractor tugs and one undersea warfare surface support ship. MarAd also termi- nated the application filed by Lockwood/Saracen Investments, Ltd., which sought Title XI guaran- tees to construct a series of multi- purpose container vessels, due to a lack of economic soundness. Since the enactment of the Na- tional Shipbuilding Initiative 14 months ago, MarAd has extended nearly $600 million in Title XI loan guarantees for export and domestic vessels and to support shipyard modernization activities. In Octo- ber 1994, MarAd issued a Title XI loan guaranty to support the pur- chase of the first U.S.-built large commercial vessel sold to a foreign purchaser in more than 35 years. There is more than $2.75 billion in Title XI applications that are pending before MarAd in various stages of review. President Clinton's FY 96 budget request seeks $52 million in new appropria- tions for Title XI which will support approximately $ 1 billion in new ship- building activity. The tankers will be constructed for American Heavy Lift Shipping Company of New Orleans, La., by Avondale Industries and will be de- livered between June 1996 and March 1997. The vessels will be constructed utilizing existing stern sections and propulsion systems and newly-constructed double-hull forebodies. These will be the first U.S.-flag tankers constructed for the domestic trades in more than ten years and they will comply fully with all domestic and international environmental requirements. The total amount of the guarantees will be $139 million. The tractor tugs have been or- dered by Bay Transportation Cor- poration of Tampa, Fla., and will be built by Nashville Bridge Co. of Nashville, Tenn. Delivery of these vessels will occur in the next six months and the total amount of the guaranty will be $10.1 million. The undersea warfare surface support ship has been purchased by Edison Chouest of Galliano, La. The vessel, which was delivered in June 1994, is currently in service under contract to the Military Sealift Com- mand. The vessel was constructed by North American Shipyard in Larose, La., and the total amount of the guaranty will be $11.7 million. 66 Maritime Reporter/Engineering News
