On What Basis can the Proposing Government(s) and the Organization Establish "… A Well-Founded Confidence that the Company Concerned Will Remain Viable for The Foreseeable Future …"?
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Statutory Documents - IMO Publications and Documents - Circulars - Maritime Safety Committee - MSC.1/Circular.1414 – Guidance to Prospective GMDSS Satellite Service Providers – (25 May 2012) - Annex – Guidance to Prospective GMDSS Satellite Service Providers - On What Basis can the Proposing Government(s) and the Organization Establish "… A Well-Founded Confidence that the Company Concerned Will Remain Viable for The Foreseeable Future …"?

On What Basis can the Proposing Government(s) and the Organization Establish "… A Well-Founded Confidence that the Company Concerned Will Remain Viable for The Foreseeable Future …"?

  10 The evaluation of a potential applicant company in relation to the requirement that "there is a well-founded confidence that the company concerned will remain viable for the foreseeable future and will remain in a position to deliver the required services over an extended period" poses particular difficulties. Financial regulations and laws in many countries prevent companies from making the kind of forward-looking statements that could assist the Committee in this regard, and any publicly owned company is entirely subject to the vagaries of the stock markets. Therefore, it is recommended that the proposing government(s) should be the only entity(ies) that should make a statement to the Committee in relation to this requirement, and such a statement might probably only be phrased in terms of the requirement itself. For instance, it could be stated that the provider has been providing services for […] years, is a going concern, and that there is no reason to believe that the provider would not be able to continue to do so.


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