just spoke to a few friends of mine in the commodity contract shipping business in the south pacific/australia region.
most of them allow 90 days for payment for shipping services rendered
- and tomorrow's the day that a significant number of accounts on the "shippee" side are due. according to them, something like half of their clients have already said they won't have the cash to pay up on product that has already been shipped, and are thinking that bankruptcy is their only option.
guess they're sitting on inventory they bought 90 days ago - often on revolving credit lines - and can't recoup their costs thanks to a huge dip in both demand and prices.
they're actually calling tomorrow "black friday".
so heads up.
-Friend of the Research Edge Network