Vietnam Shipbuilders Vinashin Restructured & Renamed

Vietnam Shipbuilding Industry Group, the debt-ridden national shipbuilder, is being renamed and restructured as the government works to reform inefficient state-owned enterprises that are weighing down the economy, reports the country's Thanhnien News.

Vinashin, as the company is known, will have its name changed to Shipbuilding Industry Corp., or SBIC, according to a Transport Ministry statement cited by Thanhnien News. SBIC will be state-owned with eight subsidiaries and registered capital of 9.52 trillion dong ($451 million).

The shipbuilder, whose near-bankruptcy spurred sovereign credit downgrades, defaulted on a $600 million internationally syndicated loan in 2010. Vinashin had indicated it plans to cut 14,000 jobs, more than half its workforce.

Source: Thanhnien News