U.S. Shipping names new CEO
Edison, N.J.-based Jones Act tanker company U.S. Shipping Partners L.P. said its board of directors has elected Ronald L. O’Kelley as president and chief executive officer.
O’Kelley has served as director of the partnership since it went public in November 2004.
Paul Gridley will relinquish his role as CEO, but remain as chairman.
“At this critical juncture, we have determined that U.S. Shipping is best led by an executive having this skill set,” Gridley said. O’Kelley’s “experience in varied industries provides a broad business perspective that will be a valuable addition to our management team in this new phase of our development. “
U.S. shipping announced earlier this year it has hired the investment banks Greenhill & Co. LLC and Jefferies & Co. to help it review strategic alternatives, and that it was negotiating with lenders to amend certain financial covenants under its senior credit facility. It said it would not pay a second quarter distribution.
In the past year its stock price has plunged from a high of $20.17 to close at $2.23 last Friday.
U.S. Shipping L.P. reported a 2008 first quarter net loss of $5.8 million compared to profit of nearly the same amount in the first quarter of 2007. Combined with a downward adjustment in the fair market value of derivatives in the first quarter of $8.7 million, made for a comprehensive loss of $14.5 million.
O’Kelley is chairman and CEO of Atlantic Coast Venture Investments Inc., a private investment company. He served as executive vice president, chief financial officer and treasurer of State Street Corp. from 1995 to 2002 and has been CFO of Douglas Aircraft Co. and Rolls Royce, and had senior financial positions at Citicorp and Texas Instruments.
The company has a fleet of 11 vessels and is building a new series of nine product carriers at the General Dynamics NASSCO shipyard in San Diego.
U.S. Shipping names new CEO
