3 Jun 2010

American Samoa shipyard takeover hits snag

1:12 pm on 3 June 2010

The American Samoa Government's planned take-over of the shipyard at Satala at the end of next week has been upset by the bankruptcy protection given to the present operators, MYD Samoa.

The United States bankruptcy Court in Fort Lauderdale Florida has granted MYD Samoa's motion for automatic stay provisions which means the company can continue to maintain its local operations.

A task force appointed by the governor to consider options for development of the shipyard met last week but it's not known how the bankruptcy filing will affect their mandate.

The President of MYD, Bob Wiehe, says the company doesn't have any boats on the slipway but will be doing maintenance work from next week to keep staff busy.