News-heavy days at Maersk offices

Maersk Line Limited, a subsidiary of A.P. Møller - Mærsk (OMX: MAERSK A, OMX: MAERSK B) has agreed to pay 31.9 million USD as a settlement in compensation to the government of The United States for overcharging over cargo transportation to Iraq and Afghanistan in various ways. The now settled suit was filed by a former industry insider under the whistleblower provision of the US False Claims Act.

A legal adviser of the government implied in the justice department press release, that Maersk is paying the price of not being a fair and honest contractor. Maersk’s legal adviser admitted to a mistake in a comment to news service Ritzau but denied that the company had knowingly overcharged. This comes at a time when the US military is facing the prospect of heavy cuts and thus cash consciousness should be expected going forward. Maersk spokesman said the company does not expect the relationship with the U.S. military to be materially affected from this admission.

Dansk Supermarked A/S (The Danish Supermarket Ltd), an owner of several chains of stores, which Maersk owns together with F. Salling Gruppen is getting a new CEO in Per Bank, Commercial Director and Executive Board Member of Tesco UK. Mr. Bank’s most recent position in Denmark was as a managing director of the largest retailer in Denmark, Coop Danmark and head of Coop Norden. The current Dansk Supermarked CEO Erling Jensen is retiring at the end of March and Per Bank will take over from April 1st.

Lately there has also been speculation that Maersk might be putting its holding in Danske Bank (OMX: DANSKE) up for sale. The A.P. Møller Mærsk Group and the A.P. Møller and Chastine Mc-Kinney Møller Foundation has a 22.76% ownership share in Danske. Company spokesman told Dow Jones Newswires that the company has no plans to sell the stake but instead considers the holding a long-term investment.

Shipping newspaper Lloyd’s List wrote that boxship charter rates for have fallen even further and the price of renting container ships may soon only just cover operating costs. Maersk Line's shocking rate of just 5300 $ a day for AS Jutlandia for a recent 1-3 month lease was given as an example of just that.

On Wednesday Maersk Oil said it struck oil with its first pre-salt well in Angola. Maersk Oil and its partners declared a deepwater exploration well Azul-1 in Kwanza Basin a discovery well. Initial data indicates potential flow capacity of greater than 3,000 barrels of good quality oil per day. The operator Maersk Oil has a 50% share in the block and partners with Svenska Petroleum Exploration (30%) and Sonangol (20%). Sonangol is the block Concessionaire (i.e. license holder).