US-based terminal operator Outer Harbor Terminal (OHC) LLC, based at the Port of Oakland, recently filed for bankruptcy protection weeks after ending its lease with joint-venture partner Ports America, according to Reuters.
This news follows a recent decision made by Ports America to terminate its lease at the Port of Oakland in a bid to focus on expansion and investment opportunities at the Port of Long Beach and other West Coast ports.
As part of a petition filed at a bankruptcy court in Delaware, US, OHT listed assets and liabilities of between US$100 million to $500 million.
In the Wall Street Journal, an unnamed spokeswoman for OHT said that the company: “…felt this decision was in the best interest to protect creditors and to continue with an orderly wind down.
“The action also enables OHT to keep ensuring our customers receive the quality service they are used to without disruption.”
Ports America recently opted into a new agreement to take on intermodal responsibilities from CSX Intermodal Terminals at the Port of Baltimore in a bid to take advantage of the volume increase from the expanded Panama Canal