5 Nov 2012

Dividends halted by port company

8:29 am on 5 November 2012

Port Lyttelton has told investors it will not pay any dividends until it finalises its redevelopment plans, and insurance and funding matters.

First quarter profit for the port fell 15% to $3.5 million, due to quake related costs.

The port is picking a lower full year profit of between $13 - $15 million, due to the company moving outside its indemnity period for cruise revenue and falling coal volumes from Solid Energy.

About $52 million has been incurred in business interruption and material losses, and insurers have paid $35.7 million.

Another $10 million dollar lodged in August is being negotiated.

The port says insurers have agreed a number of key harbour structures have been so extensively damaged they will need to be replaced.