Thursday, November 20, 2008
Somali Pirates
AHOY THERE!
Nov 20th 2008
The pirates of Africa's most failed state get ever more ambitious, and dangerous
TO BOARD the SIRIUS STAR, one of the world's largest oil tankers, Somali pirates had to haul themselves up ropes tied to grapnel hooks the height of London's Big Ben, with the 330-metre (1,100 feet) long ship pitching all the while in the tropical swell. Then there was the location, way out in the high seas, fully 450 nautical miles off the coast of Kenya. The feat of vertiginous thuggery will be taken everywhere as proof of what is possible; it was the biggest ever catch by any pirate, anywhere in the world.
As if to underline the point, the tanker's capture on November 15th, with $110m of crude oil bound for America, was followed by several other hijackings by Somali pirates, including a Thai tuna boat, a Turkish chemical tanker, an Iranian freighter loaded with wheat and a Greek bulk carrier. Against this, an Indian warship, the INS TABAR, reported that it had blown a Somali pirate "mother ship" to smithereens in retaliatory fire on November 18th. Warships from several countries now patrol the Somali coast.
Taken together, the attacks increase the threat against merchant shipping to levels not seen since the second world war. Every tanker using the Gulf and every freighter using the Suez Canal is now a potential pirate target, no matter what course they navigate or how big they are.
As a nascent and profitable industry in a failed and starving state, the Somali pirates will not lack for recruits. A share in a ransom translates into an easier life of meat and honey; not just pirate parties but a beautiful bride, a camel, a home, even a car. Conversely, the ransoms mean higher insurance premiums for the rattled shipping industry, delays for customers as more ships choose the longer passage around the Cape of Good Hope, lower revenues for the Suez Canal, and for the oil markets yet another variable to work into already volatile prices. Piracy will be bad news even for Somalia, accelerating the Talibanisation of the south by armed Islamist groups as more secular-minded gunmen abandon their poorly paid defence of Mogadishu for adventures at sea.
As THE ECONOMIST went to press, the SIRIUS STAR had dropped anchor off the Somali pirate port of Haradheere. There it joined a dozen or more other vessels, all anchored at ransom, their crews, about 250 people in all, held at gunpoint. Among them is the MV FAINA, a Ukrainian freighter captured in September with a cargo of tanks almost certainly bound for south Sudan (with Kenyan government help). Ransom demands for the FAINA have dropped from $20m to $8m since it was surrounded by American and Russian warships, but there is still no agreement on its release. The pirates are likely to ask in excess of $30m ransom for the SIRIUS STAR.
See this article with graphics and related items at http://www.economist.com/displaystory.cfm?story_id=12650244&fsrc=nwl
Wednesday, November 19, 2008
Pirates Redux
January 20 cannot come soon enough.
Tuesday, November 18, 2008
Bail---in or out????
I need to correct the last post---There were a couple of inconsistencies in the sources. Apparently the ship was taken in the Gulf of Aden and is now anchored in the Indian Ocean some 450 miles from Mombasa, Kenya. Capt. 'Roid apologizes for the misinformation.
Now that the Somalis have bailed out their ships, how about the bail-out in DC of the BIG 3? I thought this was a capitalistic nation, not a welfare state. If I ran my business with as little forethought and lack of planning as that exhibited by the CEOs of the Detroit mega corporations, I'd deserve to be fired or run into bankruptcy. Now I fully appreciate that we cannot allow the auto industry to go the way of the airlines. There's always places to go and someone to take the risk and fly there. No sane person would buy any major asset from a company in Chapter 11. Cars last years and anyone purchasing one wants to make sure he can keep his investment on the road. But a free ride out of their hole is the last thing we should support as taxpayers or citizens.
I believe that successful people should get the fruits of their hard work. And executives who can't formulate a decent forward-looking business plan should go back to the business correspondence school they came from for a refresher course.
Memo to our representatives----
NO BAILOUT!!! No LOANS to the auto Industry without STRINGS!! WE THE PEOPLE need to see how OUR money will be used to sustain the industry and IMPROVE the performance of its products----MORE MPG, MORE environmentally friendly, NO MORE loans or taxpayer dollars after this ONE time.
After all, if a bunch of Somali pirates can outperform the navies of the allegedly advanced economies, our congress, senate, and captains of capitalism should be able to give us some bang for our buck in a car that gets 50-plus MPG, is safe and fun to drive.
Let's get our people in WaWa DC this message!!!!!
Monday, November 17, 2008
Pirates
America prides itself on its Armed Forces. But perhaps we now have an incident that is definitive proof that WE ARE STRETCHED TOO THIN!!!!!
Right under the Navy's nose, 450 miles off the coast of Mombasa, Kenya, in the Gulf of Aden, the Somali Pirates have struck again. This time an Arabian tanker with 2million barrels of oil worth about $100million. Apparently the freighter strayed off the recommended and well patrolled shipping lanes. "Gotta hand it to those Somalis", said Capt. 'Roid. "They got gigantic brass cajones!!!!!!!" The captain of the Pirate Dogs also wished their compatriots a fair wind and hoped they might dip their beak in any profit the venture realized.
Friday, November 14, 2008
An Open Letter to President-elect Obama
Friday, November 7, 2008
Economics PD3
Now the three of them, joined by my wife and I, watched the President-elect and the stage full of economic heavy hitters do a press conference. We liked the part about the shelter dog the best---the Obama girls really deserve a Sharprador (even if Leny would out-cute them) and wouldn't the Humane Society so benefit from the exposure!!! But the serious issue of the economy did get us thinking......
The auto industry gets a lot of attention. It did in Mr. Obama's remarks before the media. It is probably, after the financial sector, the most needy segment of the manufacturing sector. But a bail-out or loan package MUST be tied to the long-term environmental needs of not only the country but the planet. There were autos that could get 30MPG twenty years ago. This is no longer a goal but an attainable standard. It's our belief that any aid package to the car makers have at the very least a fleet fuel economy standard of 50MPG or more and that this standard be attained within two years!!! Also the car makers should be encouraged to dedicate themselves to improving their core competencies, i.e, building efficient,competitive automobiles, and discouraged from ventures into mortgages and banking. GM Bank and Ditech (mortgages from GMAC) are examples of this phenomenon. If the talent is diluted into so many ancillary ventures, how can the manufacturer be competitive with the foreign companies who keep their eye on the ball. A certain financial acumen is necessary to assist buyers in financing their new (and probably over-priced) vehicle, but a mortgage company and a bank??????????
So by all means, let's put together a stimulus package. And let's support our domestic industries, the few we have left. But let's make sure that this support is aligned with the longer term goals of energy independence and reversing the damage we've done to our planet.
Thursday, November 6, 2008
11/4 Hangover
Congratulations to Auntie Bucksnort!!! Her granddaughter Paloma Luz had a tropical storm named after her---Paloma is bearing down on the Caymans and Cuba as I write this Thursday evening. Way to go Dove Light!!!!!!!!!!! But now the Pirate Dogs want to storm NOAA---their idea is to get the National Weather Service to name hurricanes from the BACK of the alphabet. Some muttering from the Captain about Weetzie being more potent than a Dove..................Gotta let those dogs out more during the day.
Watching MSNBC post-election. I can't believe the stories coming out about Sarah Palin. I may not be a fan of hers, but to state that she doesn't know the countries in North America (U.S., Canada, and Mexico), the ones that make up NAFTA, or that she doesn't know Africa is a continent, not a country, all that seems a little over the top. She obviously doesn't care to share what knowledge she might possess---witness the Katie Couric interview question about what magazines or newspapers she reads---all of them, whatever they put in front of me was the response. I don't think anybody (Keith "Big Head" Olbermann excepted) would laugh too hard if she admitted to Fins and Feathers Alaska or the Anchorage Daily News. Maybe US, People, Time or Newsweek. But everything?? Come on. This woman is a master politician and apparently quite the manipulator. Really says something negative about John McCain's campaign that they pick her to be "a heartbeat away" from the presidency and then throw her under the bus when they lose. Shame on the McCain campaign and aren't we glad we didn't elect such a pathetically poor decision maker as our leader?
Monday, November 3, 2008
Election Day
Barack Obama is uniquely qualified to lead us into the future. His world view, formed by his bi-racial roots, should bring a new, fresh, and much-needed perspective to American foreign policy. And we really need that after the damage to our reputation caused by Guantanamo, torture, and the devolution of the Geneva convention perpetrated by the present regime. The difference between the two candidates is basically simple---McCain is a link with the past, when he was perhaps great. Obama is the future and that's what we need to vote for!!!
But regardless how you vote, the Pirate Dogs love you and whatever the outcome, we wish you peace.