Box Ships Inc (Preferred) (TEUCF)

[ivfk]

I believe that the preferred shares have lower priority than bank debt but higher priority then the common shares.

The company should be able to survive the next two years at these low rates but ultimately shipping rates need to get back to at least 10K per day per ship for the company to return to health. Right now rates are around 6K.

What I can't understand is that other Greek container shipping companies of similar size with similar fleets and financials are still trading at much higher valuations and their preferred share are trading close to par. These companies are facing the same head winds but for some reason the market values them much higher. Examples are the common and preferred shares of Diana Containership. (DCIX and DSX-B). Market Value around 34 Million and preferred trading at $15.