Declares $0.60 per Share Dividend for Q3 2006
NEW YORK, Nov. 1 /PRNewswire-FirstCall/ -- Genco Shipping & Trading
Limited (Nasdaq: GSTL) today reported its financial results for the three
months and nine months ended September 30, 2006.
The following financial review discusses the results for the three and
nine months ended September 30, 2006 and September 30, 2005.
Third Quarter 2006 Highlights
- Declared a $0.60 per share dividend payable on or about November 30,
2006 to all shareholders of record as of November 16, 2006 based on Q3
2006 results;
- Recorded net income of $15.1 million, or $0.60 basic and diluted
earnings per share, excluding the unrealized non-cash loss from our
forward interest rate swap agreements;
- Recorded net income of $12.9 million, or $0.51 basic and diluted
earnings per share, including the unrealized non-cash loss from our
forward interest rate swap agreements;
- Paid a $0.60 per share dividend on August 31, 2006 based on Q2 2006
results;
- Agreed on July 10, 2006 to acquire three drybulk (one Handymax and two
Panamax) vessels from affiliates of Franco Compania Naviera S.A., for an
aggregate purchase price of $81.25 million;
- Entered into agreements on August 14, 2006 to time charter the Genco
Commander and Genco Surprise (two of the three vessels to be delivered)
at $19,750 for eleven to thirteen months and at $25,000 for twelve to
fourteen months respectively; and
- Agreed on September 18, 2006 to extend the time charter for the Genco
Success for an additional eleven to thirteen months at a rate of $24,000
per vessel per day.
Financial Review: 2006 Third Quarter
The Company recorded net income of $12.9 million or $0.51 basic and
diluted earnings per share for the three months ended September 30, 2006.
Comparatively, for the three months ended September 30, 2005 net income was
$12.3 million or $0.55 basic and diluted earnings per share. Included in net
income for the third quarter of 2006 is $2.2 million of non-cash expense from
financial derivatives, related to our two forward interest rate swap
instruments as described below under "Forward Interest Rate Swap Agreements."
Excluding the unrealized non-cash loss on financial derivatives, net income
for the third quarter of 2006 was $15.1 million, or $0.60 basic and diluted
earnings per share. EBITDA was $22.0 million for the three months ended
September 30, 2006 versus $24.7 million for the three months ended September
30, 2005.
Robert Gerald Buchanan, President, commented, "Our accomplishments in the
third quarter underscore Genco's ability to distribute significant dividends
to shareholders while growing the Company. In addition to once again
exceeding our target dividend rate by declaring a $0.60 dividend per share, we
have entered into a transaction that will grow our fleet by 23% on a tonnage
basis. Complementing this success, we have already signed two of the newly
acquired vessels on favorable long-term charters with leading charterers."
Genco Shipping & Trading Limited recorded revenues of $32.6 million for
the three months ended September 30, 2006 versus $31.2 for the three months
ended September 30, 2005, an increase of 4.5% primarily due to the operation
of a larger fleet.
The average daily time charter equivalent, or TCE, rates obtained by the
Company's fleet decreased slightly to $20,387 per day for the three months
ended September 30, 2006 compared to $20,407 for the three months ended
September 30, 2005. The decrease was due mostly to higher charter rates
achieved in the third quarter of 2005 versus the third quarter of 2006 for the
five Handysize vessels on charter with Lauritzen Bulkers A/S, which commenced
their extended time charter contracts at $13,500 per vessel per day during the
third quarter of 2006. The aforementioned decrease was countered by higher
charter rates achieved in the third quarter of 2006 versus the same period
last year for the Genco Leader and Genco Trader, the two vessels operating in
the Baumarine spot pool, which are subject to fluctuations of the spot market.
Total operating expenses increased to $15.9 million for the three months
ended September 30, 2006 from $12.6 million for the three-month period ended
September 30, 2005. Vessel operating expenses grew to $5.8 million for the
three months ended September 30, 2006 compared to $3.8 million for the three-
month period ended September 30, 2005. General and administrative expenses
increased to $2.1 million from $1.2 million during the comparative periods
primarily due to the expansion of our fleet during 2005 and costs associated
with operating as a publicly traded company. Management fees were $0.4 million
for the three months ended September 30, 2006 and $0.3 million for the three
months ended September 30, 2005, respectively, and relate to fees paid to our
independent technical managers.
Daily vessel operating expenses rose to $3,681 per vessel per day during
the third quarter of 2006 from $2,594 for the same quarter last year. We
believe daily vessel operating expenses are best measured for comparative
purposes over a 12-month period and will vary on a quarter to quarter basis.
For the quarter ended September 30, 2006, daily vessel operating expenses for
our fleet were $497 above the $3,184 budgeted by the Company and our technical
managers for the 12-month period of 2006. The additional per day operating
expense for the third quarter does not reflect a change in our operating
structure; rather it reflects timing issues of purchasing spares and stores
that are typically used throughout the calendar year. We expect daily vessel
operating expenses for our fleet for the full year of 2006 to remain within
the $3,184 budgeted by the Company and our technical managers.
Financial Review: Nine Months 2006
Net income was $47.0 million or $1.86 basic and diluted earnings per
share, for the nine months ended September 30, 2006 compared to $39.3 million,
or $2.38 basic and diluted earnings per share for the nine months ended
September 30, 2005. Revenues increased 16.8% to $97.5 million for the nine
months ended September 30, 2006 compared to $83.5 million for the nine months
ended September 30, 2005. EBITDA was $74.1 million for the nine months ended
September 30, 2006 versus $67.7 million for the nine months ended September
30, 2005. TCE rates obtained by the Company decreased 2.5% to $20,462 per day
for the nine months ended September 30, 2006 from $20,981 for the same period
in 2005. Total operating expenses were $45.7 million for the nine months ended
September 30, 2006 compared to $31.6 million for the nine months ended
September 30, 2005, and daily vessel operating expenses per vessel were $3,237
versus $2,406 for the comparative period.
Liquidity and Capital Resources
Cash Flow
Net cash provided by operating activities for the nine months ended
September 30, 2006 and 2005 was $66.3 and $62.7 million, respectively. The
increase was primarily due to higher net income in the nine months ended
September 30, 2006 due the operation of a larger fleet. Net cash from
operating activities for the nine months ended September 30, 2006 was
primarily a result of recorded net income of $47.0 million, and depreciation
and amortization charges of $19.6 million. For the nine months ended September
30, 2005, net cash provided from operating activities was primarily a result
of recorded net income of $39.3 million and depreciation and amortization
charges of $15.8 million.
During the nine months ended September 30, 2005, the Company acquired a
large portion of its fleet. As a result, net cash used in investing activities
declined to $9.3 million from $236.3 million for the nine months ended
September 30, 2006 and 2005, respectively. For the nine months ended
September 30, 2006, the cash used in investing activities related primarily to
the deposit for the purchase of the three vessels to be acquired of $8.1
million and the purchase of fixed assets associated with the Company's office
and vessel equipment. For the nine months ended September 30, 2005, the cash
used for the purchase of vessels was $236 million.
Net cash (used in) provided by financing activities for the nine months
ended September 30, 2006 and 2005 was ($38.4) and $213.4 million,
respectively. For the nine months ended September 30, 2006, net cash used by
financing activities consisted primarily of payment of cash dividends of $45.8
million offset by the $8.1 million of proceeds from the credit facility for
the aforementioned deposit on the vessels to be acquired. For the nine months
ended September 30, 2005, net cash provided by financing activities was $213.4
million and consisted primarily of $231.2 million in proceeds from our
original credit facility used to finance the acquisition of ten additional
vessels, net proceeds from our initial public equity offering of $230.1
million and $109.7 million in borrowings under our new credit facility. In
addition, we retired the $357.0 million outstanding under our original credit
facility.
Capital Expenditures
We make capital expenditures from time to time in connection with vessel
acquisitions. After the acquisition of the three vessels, our fleet will
consist of seven Panamax drybulk carriers, eight Handymax drybulk carriers and
five Handysize drybulk carriers.
In addition to acquisitions that we may undertake in future periods, we
will incur additional capital expenditures due to special surveys and
drydockings for our fleet. We estimate our drydocking costs for our fleet for
the last three months of 2006 and the full year of 2007 to be:
Q4 2006 2007
Estimated Costs (1) $1.1 million $3.8 million
Estimated Offhire Days (2) 40 200
(1) Estimates are based on our budgeted cost of drydocking our vessels in
China. Actual costs will vary based on various factors, including
where the drydockings are actually performed. We expect to fund these
costs with cash from operations.
(2) Assumes 20 days per drydocking per vessel. Actual length will vary
based on the condition of the vessel, yard schedules and other
factors.
The Genco Muse completed its drydocking during the third quarter of 2006
at an estimated cost of $0. 9 million, exceeding its initial budget because
the vessel drydocked in the U.S. due to positioning rather than China.
We expect two vessels to drydock in the fourth quarter of 2006 and
estimate an additional ten vessels will drydock during 2007. We have increased
our budgets put forward at the beginning of 2006 due to higher costs related
to drydocking materials and the drydocking, in 2007, of the three newly
acquired vessels.
Summary Consolidated Financial and Other Data
The following table summarizes Genco Shipping & Trading Limited's selected
consolidated financial and other data for the periods indicated below.
Three Months Ended Nine Months Ended
September September September September
30, 2006 30, 2005 30, 2006 30, 2005
(Dollars in thousands, (Dollars in thousands,
except share data) except share data)
(unaudited) (unaudited)
INCOME STATEMENT DATA:
Revenues $32,642 $31,172 $97,516 $83,521
Operating expenses:
Voyage expenses 1,056 1,134 3,220 3,044
Vessel operating expenses 5,757 3,818 15,022 9,250
General and
administrative expenses 2,055 1,222 6,808 2,415
Management fees 353 326 1,047 1,135
Depreciation and
amortization 6,681 6,116 19,638 15,767
Total operating expenses 15,902 12,616 45,735 31,611
Operating income 16,740 18,556 51,781 51,910
Other (expense) income:
(Expense) income from
derivative instruments (2,195) - 2 -
Interest income 827 329 2,080 595
Interest expense (2,468) (6,545) (6,859) (13,163)
Other (expense) income: (3,836) (6,216) (4,777) (12,568)
Net income $12,904 $12,340 $47,004 $39,342
Earnings per share - basic $ 0.51 $ 0.55 $ 1.86 $ 2.38
Earnings per share -
diluted $ 0.51 $ 0.55 $ 1.86 $ 2.38
Weighted average shares
outstanding - basic 25,288,695 22,575,652 25,270,831 16,558,462
Weighted average shares
outstanding - diluted 25,371,882 22,575,652 25,338,031 16,558,462
September December
30, 2006 31, 2005
BALANCE SHEET DATA: (unaudited)
Cash $65,599 $46,912
Current assets, including cash 70,103 49,705
Total assets 502,377 489,958
Current liabilities, including
current portion of long-term debt 6,709 5,978
Total long-term debt, including
current portion 138,808 130,683
Shareholders' equity 351,427 348,242
Nine Months Nine Months
Ended Ended
September September
30, 2006 30, 2005
(unaudited)
Net cash provided by operating
activities $66,321 $62,730
Net cash used in investing activities (9,251) (236,278)
Net cash (used in) provided by
financing activities (38,383) 213,390
Three Three Nine Nine
Months Months Months Months
Ended Ended Ended Ended
September September September September
30, 2006 30, 2005 30, 2006 30, 2005
FLEET DATA: (unaudited) (unaudited)
Total number of vessels
at end of period 17 16 17 16
Average number of
vessels (1) 17.0 16.0 17.0 14.1
Total ownership days
for fleet (2) 1,564 1,472 4,641 3,845
Total available days
for fleet (3) 1,549 1,472 4,608 3,836
Total operating days
for fleet (4) 1,535 1,460 4,571 3,804
Fleet utilization (5) 99.1% 99.2% 99.2% 99.2%
AVERAGE DAILY RESULTS:
Time charter equivalent (6) $20,387 $20,407 $20,462 $20,981
Daily vessel operating
expenses per vessel (7) 3,681 2,594 3,237 2,406
Three Three Nine Nine
Months Months Months Months
Ended Ended Ended Ended
September September September September
30, 2006 30, 2005 30, 2006 30, 2005
(Dollars in thousands) (Dollars in thousands)
EBITDA Reconciliation: (unaudited) (unaudited)
Net Income $12,904 $12,340 $47,004 $39,342
+ Net interest expense 1,641 6,216 4,779 12,568
+ Depreciation and
amortization 6,681 6,116 19,638 15,767
+ Amortization of
restricted stock
compensation 318 - 1,334 -
+ Amortization of
value of time
charter acquired 466 - 1,383 -
EBITDA(8) 22,010 24,672 74,138 67,677
(1) Average number of vessels is the number of vessels that constituted
our fleet for the relevant period, as measured by the sum of the
number of days each vessel was part of our fleet during the period
divided by the number of calendar days in that period.
(2) We define ownership days as the aggregate number of days in a period
during which each vessel in our fleet has been owned by us. Ownership
days are an indicator of the size of our fleet over a period and
affect both the amount of revenues and the amount of expenses that we
record during a period.
(3) We define available days as the number of our ownership days less the
aggregate number of days that our vessels are off-hire due to
scheduled repairs or repairs under guarantee, vessel upgrades or
special surveys and the aggregate amount of time that we spend
positioning our vessels. Companies in the shipping industry generally
use available days to measure the number of days in a period during
which vessels should be capable of generating revenues.
(4) We define operating days as the number of our available days in a
period less the aggregate number of days that our vessels are off-hire
due to unforeseen circumstances. The shipping industry uses operating
days to measure the aggregate number of days in a period during which
vessels actually generate revenues.
(5) We calculate fleet utilization by dividing the number of our
operating days during a period by the number of our available days
during the period. The shipping industry uses fleet utilization to
measure a company's efficiency in finding suitable employment for its
vessels and minimizing the number of days that its vessels are off-
hire for reasons other than scheduled repairs or repairs under
guarantee, vessel upgrades, special surveys or vessel positioning.
(6) We define TCE rates as our revenues (net of voyage expenses) divided
by the number of our available days during the period, which is
consistent with industry standards. TCE rate is a common shipping
industry performance measure used primarily to compare daily earnings
generated by vessels on time charters with daily earnings generated by
vessels on voyage charters, because charterhire rates for vessels on
voyage charters are generally not expressed in per-day amounts while
charterhire rates for vessels on time charters generally are expressed
in such amounts.
(7) We define daily vessel operating expenses to include crew wages and
related costs, the cost of insurance expenses relating to repairs and
maintenance (excluding drydocking), the costs of spares and consumable
stores, tonnage taxes and other miscellaneous expenses. Daily vessel
operating expenses are calculated by dividing vessel operating
expenses by ownership days for the relevant period.
(8) EBITDA represents net income plus net interest expense, income tax
expense, depreciation and amortization, amortization of restricted
stock compensation, and amortization of the value of time charter
acquired. EBITDA is included because it is used by management and
certain investors as a measure of operating performance. EBITDA is
used by analysts in the shipping industry as a common performance
measure to compare results across peers. Our management uses EBITDA as
a performance measure in consolidating monthly internal financial
statements and it is presented for review at our board meetings.
EBITDA is also used by our lenders in certain loan covenants. For
these reasons, we believe that EBITDA is a useful measure to present
to our investors. EBITDA is not an item recognized by U.S. GAAP and
should not be considered as an alternative to net income, operating
income or any other indicator of a company's operating performance
required by U.S. GAAP. EBITDA is not a source of liquidity or cash
flows as shown in our consolidated statement of cash flows. The
definition of EBITDA used here may not be comparable to that used by
other companies.
Genco Shipping & Trading Limited's Fleet
As of September 30, 2006, Genco Shipping & Trading Limited's fleet
consisted of five Panamax, seven Handymax and five Handysize drybulk carriers,
with a total carrying capacity of approximately 839,000 deadweight tons, or
dwt. On July 10, 2006, we agreed to acquire three drybulk vessels from
affiliates of Franco Compania Naviera S.A. for an aggregate purchase price of
$81.25 million. The acquisition is subject to customary closing conditions;
the Genco Commander is expected to be delivered on or about November 2, 2006,
the Genco Acheron is expected to be delivered on or about November 6, 2006 and
the Genco Surprise is expected to be delivered on or about November 14, 2006.
Assuming the acquisition of the three vessels, Genco Shipping & Trading
Limited will own a fleet of 20 drybulk vessels, consisting of seven Panamax,
eight Handymax and five Handysize vessels, with a combined carrying capacity
of approximately 1,029,000 dwt.
The average age of the Company's fleet as of September 30, 2006 was 9
years. Fifteen of the 17 vessels in our fleet are on long-term time charters
with an average remaining life of 0.7 years as of September 30, 2006.
2006
Vessel Vessel Type Expiration Date(1) Time Charter Rates(2)
1 Genco Beauty Panamax February 2007 $29,000
2 Genco Knight Panamax February 2007 $29,000
3 Genco Leader Panamax Spot(3) N/A
4 Genco Trader Panamax Spot(3) N/A
5 Genco Vigour Panamax December 2006 $29,000
6 Genco Acheron(4) Panamax 55 to 135 days $28,500
from delivery date
7 Genco Surprise(4) Panamax 12 to 14 months from $25,000
delivery date
8 Genco Muse Handymax September 2007 $26,500(5)
9 Genco Marine Handymax March 2007 $18,000(6)
10 Genco Prosperity Handymax March 2007 $23,000
11 Genco Carrier Handymax December 2006 $24,000
12 Genco Wisdom Handymax January 2007 $24,000
13 Genco Success Handymax January 2007 $23,850
January 2008 $24,000(7)
14 Genco Glory Handymax December 2006 $18,250
15 Genco Commander(4)Handymax 11 to 13 months from $19,750
delivery date
16 Genco Explorer Handysize July 2007 $13,500
17 Genco Pioneer Handysize August 2007 $13,500
18 Genco Progress Handysize August 2007 $13,500
19 Genco Reliance Handysize July 2007 $13,500
20 Genco Sugar Handysize July 2007 $13,500
(1) The dates presented on this table represent the earliest dates that
our charters may be terminated. Except with respect to the Genco
Trader and Genco Leader charters, under the terms of the contracts,
charterers are entitled to extend time charters from two to four
months in order to complete the vessel's final voyage plus any time
the vessel has been off-hire.
(2) Time charter rates presented are the gross daily charterhire rates
before the payments of brokerage commissions ranging from 1.25% to 5%
to third parties. In a time charter, the charterer is responsible for
voyage expenses such as bunkers, port expenses, agents' fees and canal
dues.
(3) The Genco Trader and Genco Leader entered into the Baumarine Pool
arrangement in December 2005 and February 2006, respectively.
(4) On July 10, 2006 Genco Shipping & Trading Limited agreed to acquire
three drybulk vessels from affiliates of Franco Compania Naviera S.A.
The acquisition is subject to customary closing conditions and the
vessels are expected to be delivered during November of 2006.
(5) Since this vessel was acquired with an existing time charter at an
above market rate, the Company allocates the purchase price between
the vessel and a deferred asset for the value assigned to the above
market charterhire. This deferred asset is amortized as a reduction to
voyage revenues over the remaining term of the charter, resulting in a
daily rate of approximately $21,500 recognized as revenue. For cash
flow purposes, the Company will continue to receive $26,500 per day
less commissions.
(6) The time charter rate was $26,000 until March 2006 and $18,000
thereafter. For purposes of revenue recognition, the charter contract
is reflected on a straight-line basis in accordance with GAAP.
(7) The Company extended the time charter for an additional eleven to
thirteen months at a rate of $24,000 per day, less a 5% third party
brokerage commission. The time charter would commence February 1, 2007
following the expiration of the vessel's current time charter in
January 2007. The extension is subject to completion of definitive
agreements acceptable to both Genco and Korea Line Corporation.
Q3 2006 Dividend Announcement
The Company's Board of Directors declared a third quarter 2006 dividend of
$0.60 per share payable on or about November 30, 2006 to all shareholders of
record as of November 16, 2006. As previously announced, the Company plans to
declare quarterly dividends to shareholders by each February, May, August and
November, in amounts substantially equal to its available cash from operations
during the previous quarter, less cash expenses for that quarter (principally
vessel operating expenses and debt service) and any reserves the Board of
Directors determines the Company should maintain. These reserves may cover,
among other things: drydocking, repairs, claims, liabilities and other
obligations, interest expense and debt amortization, acquisitions of
additional assets and working capital. The Q3 2006 dividend of $0.60 equates
to an annualized yield of 10% based on the closing price of Genco Shipping &
Trading's common stock as of October 31, 2006 at $24.94.
John C. Wobensmith, Chief Financial Officer, commented, "During the third
quarter, we once again drew upon our significant financial flexibility in
order to grow the Company and enhance our position for taking advantage of
strong long-term industry fundamentals. In entering into the acquisition of
three quality drybulk vessels, we added to our fleet at a compelling price and
employed a diligent approach aimed at consolidating the industry with a focus
on earnings and cash flow accretion and return on capital. Going forward, we
intend to actively seek opportunities to deploy the $388 million liquidity
position to further our industry leadership."
Forward Interest Rate Swap Agreements
The Company, on March 24, 2006, entered into a forward interest rate swap,
with a notional amount of $50 million and has a fixed interest rate on the
notional amount of 5.075% from January 2, 2008 through January 2, 2013. The
change in the value of this swap and the rate differential to be paid or
received for this swap agreement is recognized as a component of other
(expense) income.
The Company, on March 29, 2006, entered into a forward interest rate swap
with a notional amount of $50 million and has a fixed interest rate on the
notional amount of 5.25% from January 2, 2007 through January 2, 2014.
Effective July 2006, the Company has designated $32.6 million of debt against
the 5.25% swap and has utilized hedge accounting whereby the change in value
for the portion of the swap that is effectively hedged is recorded as an
equity component, other comprehensive income instead of a component of other
(expense) income.
After the drawdown of the remaining $73.1 million in the fourth quarter of
2006 for the three vessels to be acquired, we plan to designate $17.4 million
of this debt against the 5.25% swap and an additional $50 million against the
5.075% swap. The Company expects that these designations will qualify for
hedge accounting whereby the change in value of these swaps will be accounted
for as an equity component, other comprehensive income. After these
designations, the Company will have $5.7 million of debt that is not hedged
with corresponding interest rate swaps.
About Genco Shipping & Trading Limited
Genco Shipping & Trading Limited transports iron ore, coal, grain, steel
products and other drybulk cargoes along worldwide shipping routes. Assuming
the acquisition of the three vessels, Genco Shipping & Trading Limited will
own a fleet of 20 drybulk vessels, consisting of seven Panamax, eight Handymax
and five Handysize vessels, with a carrying capacity of approximately
1,029,000 dwt.
Conference Call Announcement
Genco Shipping & Trading Limited announced that it will hold a conference
call on November 2, 2006 at 8:30 a.m. Eastern Time to discuss its 2006 third
quarter financial results. The conference call and a presentation will be
simultaneously webcast and will be available on the Company's website,
www.GencoShipping.com. To access the conference call, dial (800) 946-0713 or
(719) 457-2642 and enter passcode 1461964. A replay of the conference call
can also be accessed until November 16, 2006 by dialing (888) 203-1112 or
(719) 457-0820 and entering the passcode 1461964. The Company intends to place
additional materials related to the earnings announcement, including a slide
presentation, on its website prior to the conference call.
"Safe Harbor" Statement Under the Private Securities Litigation Reform Act of
1995
This press release contains forward-looking statements made pursuant to
the safe harbor provisions of the Private Securities Litigation Reform Act of
1995. These forward looking statements are based on management's current
expectations and observations. Included among the factors that, in our view,
could cause actual results to differ materially from the forward looking
statements contained in this report are the following: (i) changes in demand
or rates in the drybulk shipping industry; (ii) changes in the supply of or
demand for drybulk products, generally or in particular regions; (iii) changes
in the supply of drybulk carriers including newbuilding of vessels or lower
than anticipated scrapping of older vessels; (iv) changes in rules and
regulations applicable to the cargo industry, including, without limitation,
legislation adopted by international organizations or by individual countries
and actions taken by regulatory authorities; (v) increases in costs and
expenses including but not limited to: crew wages, insurance, provisions,
repairs, maintenance and general and administrative expenses; (vi) the
adequacy of our insurance arrangements; (vii) changes in general domestic and
international political conditions; (viii) changes in the condition of the
Company's vessels or applicable maintenance or regulatory standards (which may
affect, among other things, our anticipated drydocking or maintenance and
repair costs) and unanticipated drydock expenditures; (ix) the fulfillment of
the closing conditions under the Company's agreement to acquire the three
drybulk vessels; and other factors listed from time to time in our public
filings with the Securities and Exchange Commission including, without
limitation, our Annual Report on Form 10-K for the year ended December 31,
2005, our Quarterly Reports on Form 10-Q, and our reports on Form 8-K. Our
ability to pay dividends in any period will depend upon factors including the
limitations under our loan agreements, applicable provisions of Marshall
Islands law and the final determination by the Board of Directors each quarter
after its review of our financial performance. The timing and amount of
dividends, if any, could also be affected by factors affecting cash flows,
results of operations, required capital expenditures, or reserves. As a
result, the amount of dividends actually paid may vary.
SOURCE Genco Shipping & Trading Limited
CONTACT:
John C. Wobensmith,
Chief Financial Officer,
Genco Shipping &
Trading Limited,
+1-646-443-8555