shipping newsletter week48[1]

8/13/2019 Shipping Newsletter Week48[1]

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Monday, December 5, 2011 (Week 48)

IN THE NEWS Latest Company News 13th Annual Investor Forum - Greece A New Beginning Select Dividend Paying Shipping Stocks Weekly China Update

CAPITAL MARKETS DATA Currencies, Commodities & Indices Shipping Equities - Weekly Review Weekly Trading Statistics, by Knight Capital

Shipping Bonds - Weekly Review, by Knight Capital

SHIPPING MARKETS Dry Bulk Market - Weekly Highlights, by Intermodal Shipbrokers Weekly Tanker Market Opinion, by Poten & Partners Weekly Freight Rate & Asset Trends, by Intermodal Shipbrokers Container Market - Weekly Highlights, by Braemar Seascope S&P Secondhand, Newbuilding & Demolition Markets, by Golden Destiny Forward Freight Agreements - FFAs, by SSY Futures

TERMS OF USE & DISCLAIMER

CONTENT CONTRIBUTORS

Capital Link ShippingWeekly Markets Report


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New York - 230 Park Avenue, Suite 1536, New York, NY, 10169 Tel.: +1 212 661 7566 Fax: +1 212 661 7526

London - Longcroft House,2-8 Victoria Avenue, London, EC2M 4NS, U.K Tel. +44(0) 203 206 1320 Fax. +44(0) 203 206 1321Athens - 40, Agiou Konstantinou Str, Suite A 5, 151-24 Athens, Greece Tel. +30 210 6109 800 Fax +30 210 6109 801

Capital Link - New York - London - Athenswww.capitallink.com

www.capitallinkforum.co

www.CapitalLinkShipping.comA web based resource that provides information on the major shipping and stock mark

Investor Relations & Financial Advisory

indices, as well as on all shipping stocks. It also features an earnings and conference ca

calendar, industry reports from major industry participants and interviews with CEOs, analys

and other market participants.

www.CapitalLinkWebinars.comSector Forums & Webinars: Regularly, we organize panel discussions among CEOs, analyst

bankers and shipping industry participants on the developments in the various shipping secto

(containers, dry bulk, tankers) and on other topics of interest (such as Raising Equity

Shipping Today, Scrapping, etc).

Capital Link Investor Shipping ForumsIn New York, Athens and London bringing together investors, bankers, financial advisors, liste

companies CEOs, analysts, and shipping industry participants.

www.MaritimeIndices.comCapital Link Maritime Indices: Capital Link developed and maintains a series of stock mark

maritime indices which track the performance of U.S. listed shipping stocks (CL maritime Inde

CL Dry Bulk Index, CL Tanker Index, CL Container Index, CL LNG/LPG Index, CL Mixed Fle

Index, CL Shipping MLP Index Bloomberg page: CPLI. The Indices are also distribute

through the Reuters Newswires and are available on Factset.

Capital Link Shipping Weekly Markets ReportWeekly distribution to an extensive audience in the US & European shipping, financial an

investment communities with updates on the shipping markets, the stock market and liste

company news.

Operating more like a boutique investment bank rather than a traditional Investor Relations firm

our objective is to assist our clients enhance long term shareholder value and achieve prope

valuation through their positioning in the investment community. We assist them to determin

their objectives, establish the proper investor outreach strategies, generate a recurrin

information flow, identify the proper investor and analyst target groups and gather investor an

analyst feedback and related market intelligence information while keeping track of their pe

group. Also, to enhance their profile in the financial and trade media.

Capital Link is a New York-based Advisory, Investor Relations and Financial Communications firm. Capitalizing on o

in-depth knowledge of the shipping industry and capital markets, Capital Link has made a strategic commitment to th

shipping industry becoming the largest provider of Investor Relations and Financial Communications services t

international shipping companies listed on the US and European Exchanges. Capital Link's headquarters are in New Yor

with a presence in London and Athens.

In our effort to enhance the information flow to the investment community and contribute to improving investor knowledge

shipping, Capital Link has undertaken a series of initiatives beyond the traditional scope of its investor relations activity, such as

...Linking Shipping and Investors Across the Globe

Capital Link Shipping


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Monday, December 5, 2011 (WCapital Link ShippingWeekly Markets Report

Page 3

IN THE NE

Latest Company NewsTuesday, Nov 29, 2011

Transocean Announces Pricing of Share Offering

Transocean Ltd. (NYSE: RIG) announced that it has priced itspreviously-announced public offering of 26,000,000 of its sharesat a public offering price of U.S. $40.50 per share, or 37.32 Swissfrancs per share at an exchange rate of 0.9215 Swiss francs perU.S. $1.00. Transocean granted the underwriters a 30-day optionto purchase up to an additional 3,900,000 shares at the publicoffering price (less the underwriting discount) solely to cover over-allotments, if any. Net proceeds to Transocean from the sale ofthe 26,000,000 shares, after underwriting discounts, estimatedoffering expenses and the Swiss Federal Issuance Stamp Tax(Emissionsabgabe), will be approximately U.S. $1,008 million.Transocean intends to use the net proceeds from this offeringto partially renance its acquisition of Aker Drilling ASA, whichwas initially nanced through the use of available cash and theassumption of Akers outstanding debt.

Wednesday, Nov 30, 2011

Global Ship Lease Obtains Loan-to-Value Waiver

Global Ship Lease, Inc. (NYSE:GSL) announced that it hadtoday entered into an agreement with its lenders to waive untilNovember 30, 2012 the requirement under its credit facility toconduct loan-to-value tests. The credit facility requires that loan-to-value, which is the ratio of outstanding borrowings under the creditfacility to the aggregate charter-free market value of the securedvessels, cannot exceed 75%. Due to the current downturn in thecontainership market and consequent impact on vessel values, theCompany previously anticipated that loan-to-value would exceed75% at the scheduled test date of November 30, 2011. Accordingly,the Company engaged its lenders to waive the loan-to-value

requirement.

Scorpio Tankers Inc. Announces Public Offering of 7,000,000Shares of Its Common Stock

Scorpio Tankers Inc. (NYSE: STNG) announced that it intendsto offer and sell 7,000,000 shares of its common stock in anunderwritten public offering. The purpose of the offering is to enablethe Company to fund the acquisition of two 52,000 dwt newbuildingtankers that it is currently negotiating to have constructed atHyundai Mipo Dockyard Co. Ltd. of South Korea. The proceeds ofthe offering are expected to be used to partially repay outstandingindebtedness under the Companys 2010 Revolving Credit Facilitywith Nordea Bank Finland plc (the 2010 Revolving Credit Facility)and for general corporate purposes. The Company intends to

re-draw all or a portion of the amount available under the 2010Revolving Credit Facility to fund the acquisitions described above.Morgan Stanley & Co. LLC is acting as the sole bookrunningmanager in the offering.

Tsakos Energy Navigation to Host Investor and Analyst Day inNew York City on December 9, 2011

Tsakos Energy Navigation Limited (NYSE: TNP) announced tha

the Company will host an Investor and Analyst Day on FridayDecember 9, 2011 at 1:00 pm ET in New York City to discuss theCompanys recent developments and prospects, as well as thetanker shipping market outlook. The event, which is for investorsand analysts, will feature a presentation by the CompanysPresident and Chief Executive Ofcer, Nikolas P. Tsakos, followedby a question and answer session. Pre-registration is required toattend the event. Please contact Capital Link at 212-661-7566 oby email at [email protected].

Transocean Announces Pricing of Senior Notes

Transocean Ltd. (NYSE: RIG) announced that its wholly-ownedsubsidiary, Transocean Inc., priced a public offering of $1.0 billionof 5.050% Senior Notes due 2016, issued at a price of 99.906%

of the principal amount, $1.2 billion of 6.375% Senior Notes due2021, issued at a price of 99.946% of the principal amount, and$300 million of 7.350% Senior Notes due 2041, issued at a priceof 99.996% of the principal amount (together, the Senior Notes)Transocean Ltd. will fully and unconditionally guarantee the SenioNotes. The offering is expected to close on December 5, 2011subject to the satisfaction of customary closing conditions.

Thursday, Dec 1, 2011

Scorpio Tankers Inc. Prices Public Offering of Its CommonStock

Scorpio Tankers Inc. (NYSE: STNG) announced that it has pricedits public offering of 7,000,000 shares of its common stock, pavalue $0.01 per share, at $5.50 per share. An aggregate of 700,000shares was allocated, at the direction of the Company, to a membeof the Lolli-Ghetti family, of which Scorpio Tankers Inc.s Chairmanand Chief Executive Ofcer is a member, subject to a customaryunderwriters lockup agreement. The offering is expected to closeon December 6, 2011. The Company has granted the underwritersa 30-day option to purchase an additional 1,050,000 shares of itscommon stock, which was exercised in full.

Navios Maritime Partners L.P. to Present at the Wells FargoPipeline, MLP and E&P, Services and Utility Conference

Navios Maritime Partners L.P. (NYSE: NMM) announced thamembers of its management team will be presenting at the WellsFargo Pipeline, MLP and E&P, Services and Utility Conference inNew York City on Tuesday, December 6, 2011 at 1:40pm local time

A link to the live (and then archived) webcast of Navios Partnersspeech along with a PDF of the presentation will be available on theNavios Partners website, www.navios-mlp.com, under the InvestoRelations section.
mailto:[email protected]:[email protected]:[email protected]


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IN THE NE

Latest Company NewsSafe Bulkers, Inc. Announces a Two-Year Time Charter Witha Forward Delivery Date in August of 2013 for a KamsarmaxClass Vessel

Safe Bulkers, Inc. (the Company) (NYSE: SB) announced thatit has entered into a new period time charter for the PedhoulasTrader, a 82,300 dwt Kamsarmax class vessel, for a duration of23 to 25 months, with a forward delivery date in August of 2013,at a gross daily charter rate linked to the Baltic Panamax Index(BPI) plus a premium of 6.5%. Dr. Loukas Barmparis, Presidentof the Company, said: This new two-year time charter increasesour charter coverage for 2013 and onwards and strengthens ourrelationships with our charterers. At the same time we maintainexposure in the spot market which could prove benecial in case ofspot charter market appreciation after 2013.

Friday, Dec 2, 2011

TBS International Reaches Agreement With Banks to ExtendForbearance

TBS International plc (NASDAQ: TBSI) previously announced inSeptember 2011 that, with the agreement of the requisite lendersunder its various nancing facilities, it would not make certainprincipal payments due on its nancing facilities for the periodthrough December 15, 2011. Today the Company is announcingthat it has reached agreements in principle with its lenders torestructure the Companys debt. To permit documentation of theagreements in principle, the lenders have agreed to an extension othe forbearance period through February 15, 2012. The agreementsin principle, subject to nal documentation and approvals, providefor the continued operation of the Companys business undecurrent management, continued timely payment in full of all tradecreditors, satisfaction of the claims of certain lenders, restructuringof the terms of debt held by the Companys key lenders and no

residual value for the existing common and preferred stock.


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European Sovereign Debt - Developments & Outlook Greeces Economic Adjustment Program: The Restructuring of State-Owned

Enterprises Privatization Program The Legal Aspects of the Upcoming Privatization Program Hellenic Exchanges & the Greek Stock Market Investment Opportunities for Foreign Investors in the Greek Stock Market Restructuring as an Investment Opportunity Telecommunications Banking Sector Gaming & Sports Betting

MORNINGSESSIONS: GREECE- A NEWBEGINNING

13th Annual

AFTERNOONSESSIONS: 5THANNUALGLOBALSHIPPINGMARKETS

ROUNDTABLE The Global Energy & Tanker Shipping Markets

The Global Commodities & Dry Bulk Shipping Markets The Global Container Shipping Markets

Analyst Panel

Introductory Remarks byMs. AriannaHuffington

President & Editor-in-Chief, The Hufngton

Post Media Group

Mr. Jay CollinsVice Chairman of Global

Banking, Citi

Keynote Speech by

Prof. EvangelosVenizelos

Deputy Prime Minister &Minister of Finance of the

Hellenic Republic

KEYNOTE SPEAKER:

REGISTER NOW

SPONSORSHIP INQUIRY

LEADSPONSORS GLOBALGOLDSPONSORS

CORPORATESPONSORS

MEDIAPARTNERS

REQUEST 1X1 MEETING

MEDIA INQUIRY

VIEW AGENDA

SUPPORTINGSPONSOR SUPPORTINGORGANIZATIONS

For more information, call (212)661-7566 or email Eleni Bej at

[email protected].

(Via webcast)

GRANDSPONSO

UNDER THE AUSPICES OF THE MINISTRY OF FINANCE OF THE HELLENIC REPUBLIC

INCOOPERATIONWITH:
http://forums.capitallink.com/greece/2011/signup.htmlmailto:[email protected]://forums.capitallink.com/greece/2011/signup.htmlmailto:[email protected]://forums.capitallink.com/greece/2011/agenda.pdfmailto:[email protected]:[email protected]:[email protected]://forums.capitallink.com/greece/2011/agenda.pdfhttp://forums.capitallink.com/greece/2011/signup.htmlmailto:[email protected]:[email protected]://forums.capitallink.com/greece/2011/signup.html


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ABOUT THE SHIPPING MAN

When restless New York City hedge

fund manager Robert Fairchild

watches the Baltic Dry Cargo Index

plunge 97%, registering an all-time

high and a 25-year low within the

span of just six months, he decides to

buy a ship.

Immediately fantasizing about naming

a vessel after his wife, carrying a

string of worry beads and being able

to introduce himself as a shipowner

at his upcoming college reunion,Fairchild immediately embarks on

an odyssey into the most exclusive,

glamorous and high stakes business

in the world.

From pirates off the coast of Somalia,

to Wall Street investment bankers

to Greek and Norwegian shipping

magnates, the education of Robert

Fairchild is an expensive one. In the

end, he loses his hedge fund, but hegains a life - as a Shipping Man.

Part fast paced nancial thriller, part

ship nance text book, The Shipping

Man is 310 pages of required reading

for anyone with an interest in capital

formation for shipping.

Available at


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IN THE NE

Weekly China UpdateMajor Economic Indicators

The Peoples Bank of China (PBOC) announced a 50bp cut in therequired reserve ratio (RRR) for all banks on Nov. 30, effective 5

December 2011. Between January 2010 and June 2011, the RRRwas raised 12 times, an aggregate 600bp increase that produced arecord-high RRR of 21.5%. Chinas large banks will see their ratioreduced to 21% while the ratio for other banks will fall to 19%. Aftera series of RRR and interest rate hikes in 2011, economic indicatorsare now showing signs of softening. The PBOC is growing concernedabout economic downside risk given that Novembers PMI is likelyto remain below 50 due to the slowdown in manufacturing. AnRRR cut just before Novembers CPI is published implies prices inChina are nally under control. With exports and prices now falling,economic growth will take priority over ination. Chinas CentralEconomic Working Conference will convene in early December.One issue will surely be how to maintain stable, healthy growthby fostering domestic demand and economic restructuring. Chinasrst ofcial step towards easing credit will probably be to alleviate

market risk premium, which would lead to a re-rating of certainstocks and sectors that suffered heavily from credit tightening anddefault risk. These would include banking, property, materials andconstruction-related sectors.

Formerly rising foreign reserves have begun to decline, going fromover US$150.0b in each of the rst two quarters of the year to onlyUS$4.2b in 3Q11. Hot money from 1H11 is now withdrawing andcredit in the domestic market is still tight. With ination nally undercontrol, RRR was bound to be cut.

Steel

Weak Chinese demand has pulled down the price of Iron Ore by 11%to $130.80 a ton, lowest since November 8. The industrial activity ofChina which has been affected by the ongoing uncertainties in theglobal economy and it was visible on the Chinese Manufacturingdata. According to data from the China Iron and Steel Association,the average daily output of crude steel stood at 1.66 million tons(mt) over November 11-20, unchanged from the previous 10 days,reported The Business Standard The overall consumption of ironore is likely to remain low as the buying activities from Chinesemills are to remain under pressure until December-end due to poordemand from construction sectors. Chinas manufacturing sectorrecorded the weakest performance since the global recessioneased in 2009, indicating the Europes crisis weighs on the worldssecond-largest economy.

The iron ore inventories at 25 major Chinese sea ports stood at100.87 million metric tons (tonnes) on November 28, down 990,000tonnes, or 0.97 per cent, from the proceeding week, according to

the Xinhua-China Iron Ore Price Index (Xinhua-China IOP Index).The index, compiled through thorough research and analysis of25 selected major sea ports, shows that the price index for ironore imports of 63.5 per cent purity grade reached 145 points onNovember 28, down 8 point from a week earlier, while that for ironore imports of 58 per cent purity grade declined 7 point to 117points.

Oil & Gas

As 2012 is the second year of the 12th Five-Year Plan, theacceleration of the construction of major national pipeline projects

will boost the demand for steel pipes. The oil and gas pipe sectowas hard hit by the suspension of global oil and gas projects in2010. In 2011, the demand for steel pipes picked up steadily asthe construction of a number of major national oil and gas pipelineprojects in the PRC resumed. Earnings of steel pipe manufacturershave also shown signs of bottoming out. The Chinese governmenplans to expand its total length of oil and gas pipelines at a CAGRof 14% in the coming ve years, translating into 5mn tonnes of steepipes demand each year. Being the second year of the 12th Five-Year Plan, major projects blueprinted such as the Third and FourthWest to East Gas Pipeline and domestic section of Sino-MyanmaPipe Network will commence construction in 2012. Meanwhileregional pipeline network will also be expanded signicantly tomeet the energy needs of economic development and to increasethe penetration of natural gas consumption.

Coal

Thermal coal prices at major ports around Bohai Sea edgeddown further in the week ending November 30, marking its thirdconsecutive week of declines. The latest Bohai-Rim Steam-CoaPrice Index, or BSPI, indicates that the average price of thermacoal with caloric value of 5500 Kcal/kg dropped to CNY 847 petonne, down CNY 3 per tonne from a week earlier. At Qinhuangdaoport, the price of 4500 kilocalories per kilogram thermal coal cameto CNY 635-645, decreasing CNY 5 per tonne as compared to theprevious week.

The continuous fall in thermal coal price was mainly attributed tothe high levels of inventory at power plants and main ports despiteof the favorable factors that may somewhat stimulate the marke

demand, such as increasing coal consumption in winter seasonThe thermal coal market was hurt again by rumors that the NationaDevelopment and Reform Commission would put a cap on spocoal prices. It was reported that the NDRC ordered, in a statementreleased recently that benchmark spot prices with a heating valueof 5,500 kilocalories per kilogram to be capped at CNY 800 petonne.

NDRC recently announced temporary price control on thermacoal along with tariff hikes for electricity. The specic price contromeasures include limiting the increase of 2012 key contract coaprice to no more than 5%, capping the spot thermal coal priceat Rmb800/ton for 5,500kcal/kg-grade coal at major ports in theBohai Bay since 1 January 2012 and cutting the local governmensurcharges on coal producers. The price gap is supposed to be no

big shock for coal producers while the nod for hike in 2012 contraccoal price may help narrow spot-contract spread.


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IN THE NE

Weekly China UpdateShipping Indices

Shanghai Containerized Freight Index closed at 868.31 for the week ended December 2, losing 1.22% week-on-week. China CoastalBulk Freight Index fell 1.04% to 1154.35 for the same period.


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CAPITAL MARKETS DA

Currencies, Commodities & Indices

KEY CURRENCY RATES

Rate Current Price Price Last Week % Change YTD %Chg 52 Week High 52 Wk Low

3-Month LIBOR 0.5283 0.5181 1.97% 74.48% 0.5393 0.2844

10-Yr US Treas. Yield 2.0418 1.9635 3.99% -38.80% 3.3190 2.3833

USD/EUR 0.7462 0.7552 -1.19% -0.35% 0.7766 0.6694

USD/GBP 0.6411 0.6478 -1.03% -0.74% 0.6545 0.5972

USD/JPY 77.8800 77.6700 0.27% -4.71% 85.5300 75.3800

USD/CNY 6.3431 6.3840 -0.64% -3.91% 6.6800 6.3190

PRECIOUS METALS

Current Price Price Last Week % Change YTD %Chg 52 Week High 52 Wk LowGold 1,750.45 1,714.95 2.07% 23.78% $1,921.15 $1,308.25

Silver 33.38 32.16 3.79% 8.77% $49.79 $26.07

Platinum 1,556.50 1,560.50 -0.26% -12.04% $1,916.75 $1,432.50

Copper 358.50 328.40 9.17% -19.17% $457.70 $302.00

Palladium 643.95 572.20 12.54% -19.16% $851.00 $541.70

KEY AGRICULTURAL &CONSUMER COMMODITIES

Current Price Price Last Week % Change YTD %Chg 52 Week High 52 Wk Low

Corn 595.25 590.00 0.89% -4.07% $789.00 $526.00

Soybeans 1,135.75 1,106.50 2.64% -17.64% $1,474.25 $1,102.75

Wheat 625.50 589.00 6.20% -22.35% $994.75 $586.00

Cocoa 2,228.00 2,381.00 -6.43% -26.59% $3,620.00 $2,211.00

Coffee 229.55 232.55 -1.29% -4.55% $313.15 $194.50

Cotton 91.84 90.87 1.07% -35.41% $134.62 $87.00

Sugar #11 23.45 22.90 2.40% -26.99% $30.60 $20.36

KEY FUTURES

Commodities Current Price Price Last Week % Change YTD %Chg 52 Week High 52 Wk Low

Gas Oil 946.25 929.75 1.77% 19.44% $1,056.75 $785.50

WTI Crude 101.02 96.77 4.39% 10.25% $115.22 $75.36

Natural Gas 3.59 3.54 1.41% -22.46% $4.98 $3.29

Heating Oil 299.25 292.73 2.23% 16.95% $341.99 $253.95

Gasoline RBOB 262.95 244.89 7.37% 8.17% $303.63 $235.00

Week ending Friday, December 2, 2011


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CAPITAL MARKETS DA

Currencies, Commodities & Indices

MAJOR INDICES

Index Symbol Close Last Week % ChangeYTD %

Change3-Jan-11

Dow Jones INDU 12,019.42 11,231.78 7.01% 2.99% 11,444.61

Dow Jones Transp. TRAN 4,946.67 4,533.44 9.12% -4.41% 4,693.59

NASDAQ CCMP 2,626.93 2,441.51 7.59% -2.40% 2,532.41

NASDAQ Transp. CTRN 2,170.87 2,032.07 6.83% -16.52% 2,151.96

S&P 500 SPX 1,244.28 1,158.67 7.39% -2.17% 1,199.38

Russell 2000 Index RTY 735.02 666.16 10.34% -7.96% 714.63

Amex Oil Index XOI 1,224.77 1,114.30 9.91% -0.08% 1,148.91

FTSE 100 Index UKX 5,552.29 5,164.65 7.51% -7.68% 5,246.99

CAPITAL LINK MARITIME INDICES

Index Symbol 2-December-11 25-November-11 % Change 3-Jan-11 YTD % Change

Capital Link Maritime Index CLMI 2,120.65 1,945.50 9.00% 2,031.89 4.37%

Tanker Index CLTI 1,948.92 1,862.61 4.63% 2,355.67 -17.27%

Drybulk Index CLDBI 639.36 587.31 8.86% 894.91 -28.56%

Container Index CLCI 862.64 871.00 -0.96% 2,182.51 -60.48%

LNG/LPG Index CLLG 3,733.80 3,389.29 10.16% 3,004.87 24.26%

Mixed Fleet Index CLMFI 1,109.56 1,042.56 6.43% 1,943.64 -42.91%

MLP Index CLMLP 2,718.48 2,567.67 5.87% 2,963.32 -8.26%

BALTIC INDICES

Index Symbol 2-December-11 25-November-11 % Change 4-Jan-11 YTD % Change

Baltic Dry Index BDIY 1,866 1,807 3.27% 1,693 10.22%

Baltic Capesize Index BCIY 3,409 3,049 11.81% 2,285 49.19%

Baltic Panamax Index BPIY 1,701 1,794 -5.18% 1,798 -5.39%

Baltic Supramax Index BSI 1,335 1,380 -3.26% 1,421 -6.05%

Baltic Handysize Index BHSI 623 639 -2.50% 807 -22.80%

Baltic Dirty Tanker Index BDTI 776 782 -0.77% 842 -7.84%

Baltic Clean Tanker Index BCTI 726 705 2.98% 635 14.33%


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CAPITAL MARKETS DA

Shipping Equities: The Week in Review

MARITIME INDEX DAILY COMPARISON CHARTS (YTD)*

*SOURCE:BLOOMBERG

CAPITAL LINK TANKER INDEX DAILY COMPARISON CHARTS (YTD)*

*SOURCE:BLOOMBERG

CAPITAL LINK DRY BULK INDEX DAILY COMPARISON CHARTS (YTD)*

*SOURCE:BLOOMBERG

0.70

0.80

0.90

1.00

1.10CapitalLinkMaritimeIndex

S&P 500

Russell2000

0.50

0.70

0.90

1.10

1.30

1.50

1.70

1.90 CapitalLinkTankerIndexBalticCleanTankerIndexBalticDirtyTanker

Index

0.350.500.650.800.951.101.251.401.55

CapitalLinkDrybulkIndex

Baltic DryIndex

SHIPPING EQUITIES OUTPERFORMED THE BROADER MARKET

LNG/LPG STOCKS THE BEST PERFORMERS

During last week, shipping equities outperformed the broader market, with the Capital Link Maritime Index (CLMI), a composite index ofall US listed shipping stocks increased 9.00% compared to the S&P 500 climbing 7.39%, and the Dow Jones Industrial Average (DJII)gaining 7.01%. Year-to-date, the CLMI has increased 4.37% versus a gain of 2.99% for the DJII and a loss of 2.17% for the S&P 500. Thebroader markets showed strong gains as the ECB increased access to US dollar funding for European banks.

LNG/LPG stocks performed the best during last week, with the Capital Link LNG/LPG Index gained 10.16%, compared to the gains of8.86% for Capital Link Dry Bulk Index, 6.43% for Capital Link Mixed Fleet Index, 5.87 for Capital Link MLP Index, 4.63% for Capital LinkTanker Index, and a loss of 0.96 % for Capital Link Container Index. Year-to-date, the best performing sector has been LNG/LPG stockswith the Capital Link LNG/LPG Index gaining 24.26%, followed by Capital Link MLP Index losing 8.26% and Capital Link Tanker Indexsliding 17.27%. The top three largest weekly trading gainers are Navios Maritime Holdings (NM), Excel Maritime (EXM), and Global ShipLease (GSL), with stock prices increasing 21.50%, 18.79% and 18.38%, respectively.

During last week, dry bulk stocks outperformed the physical shipping market, as the Baltic Dry Index (BDI) increased 3.27% compared toa gain of 8.86% for the Capital Link Dry Bulk Index. Year-to-date, the BDI has gained 10.22% compared to a loss of 28.56% for the CapitaLink Dry Bulk Index. Capesize rates ended up higher last week, with strong chartering activity in both the Atlantic and Pacic, while the

rates of the smaller vessels remained weak by overcapacity.

Tanker stocks outperformed the physical tanker shipping market during last week as well, with the Baltic Dirty Tanker Index (BDTI) losing0.77% and the Baltic Clean Tanker Index (BCTI) increasing 2.98% compared to a gain of 4.63% for the Capital Link Tanker Index. Yearto-date, the BDTI has slipped 7.84% and the BCTI has gained 14.33%, while the Capital Link Tanker Index has lost 17.27%. Brent CrudeOil gained 1.14% for the week, and 17.49% year-to-date. VLCC rates continue to benet from a seasonal upswing in demand, and theSuezmax market becomes rmer after the Thanksgiving holiday.

The Trading Statistics supplied by Knight Capital provide details of the trading performance of each shipping stock and analyze themarkets trading momentum and trends for the week and year-to-date.

The objective of the Capital Link Maritime Indices is toenable investors, as well as all shipping market participants,to better track the performance of listed shipping stocksindividually, by sector or as an industry. Performance canbe compared to other individual shipping stocks, to their

sector, to the broader market, as well as to the physicalunderlying shipping markets or other commodities. TheIndices currently focus only on companies listed on USExchanges providing a homogeneous universe. They arecalculated daily and are based on the market capitalizationweighting of the stocks in each index. In terms of historicaldata, the indices go back to January 1, 2005, therebyproviding investors with signicant historical performance.

There are seven indices in total; the Capital Link MaritimeIndex comprised of all 50 listed shipping stocks, and sixSector Indices, the CL Dry Bulk Index, the CL TankerIndex, the CL Container Index, the CL LNG / LPG Index,the CL Mixed Fleet Index and the CL Maritime MLP Index.

The Index values are updated daily after the market closeand can be accessed at www.CapitalLinkShipping.comorat or www.MaritimeIndices.com. They can also be foundthrough the Bloomberg page CPLI and Reuters.
http://www.capitallinkshipping.com/http://www.maritimeindices.com/http://www.maritimeindices.com/http://www.capitallinkshipping.com/


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Page 13

CAPITAL MARKETS DA

Shipping Equities

Dry Bulk TickerFridayClose

Prev. WeekClose

%Change

YTD%Chg

52 WeekHigh

52 WeekLow

1 Month AverageVolume

Baltic Trading Ltd BALT $5.05 $4.39 15.03% -51.63% $11.79 $3.64 106,077

Diana Shipping Inc DSX $7.60 $7.25 4.83% -34.93% $12.95 $6.59 430,959DryShips Inc DRYS $2.42 $2.15 12.56% -51.66% $6.21 $1.75 5,158,809Eagle Bulk Shipping Inc EGLE $1.18 $1.12 5.36% -76.35% $5.39 $1.04 594,743Excel Maritime Carriers EXM $1.97 $1.65 19.39% -65.56% $6.17 $1.63 528,088FreeSeas Inc FREE $0.61 $0.78 -21.79% -83.73% $4.08 $0.56 8,679Genco Shipping GNK $7.60 $6.93 9.67% -47.69% $15.65 $4.15 613,495Globus Maritime GLBS $3.75 $3.95 -5.06% -61.46% $13.59 $3.26 22,548Navios Maritime Hldgs NM $3.90 $3.21 21.50% -28.18% $5.99 $2.88 484,207Navios Maritime Ptns NMM $15.42 $13.50 14.22% -21.92% $21.56 $11.06 307,423Paragon Shipping Inc PRGN $0.75 $0.75 0.47% -78.13% $3.66 $0.66 260,127Safe Bulkers Inc SB $6.10 $5.97 2.18% -31.31% $9.78 $5.28 94,350Seanergy Maritime Hldg SHIP $2.75 $2.90 -5.04% -80.90% $16.35 $2.61 4,770Star Bulk Carriers Corp SBLK $1.11 $1.22 -9.02% -59.04% $3.09 $1.00 210,480TBS International PLC TBSI $0.28 $0.40 -30.00% -90.38% $4.39 $0.21 62,477

Tankers TickerFridayClose

PriceLastWeek

%Change

YTD%Chg

52 WeekHigh

52 WeekLow


Aegean Marine Petrol ANW $4.49 $4.25 5.65% -56.95% $12.92 $3.19 282,500Capital Product Ptns CPLP $5.90 $5.72 3.15% -38.61% $11.39 $4.85 268,157DHT Holdings Inc DHT $0.80 $0.91 -12.09% -83.40% $5.19 $0.74 685,031Frontline Ltd FRO $3.04 $2.76 10.14% -88.29% $27.76 $2.52 3,112,585Navios Maritime Acq. NNA $2.75 $2.64 4.17% -32.10% $4.55 $2.50 43,458Nordic American Tanker NAT $11.95 $12.00 -0.42% -54.55% $26.80 $11.58 505,578Omega Navigation Ent. ONAVQ.PK $0.20 $0.29 -32.07% -85.30% $1.54 $0.13 42,889Overseas Shipholding OSG $9.98 $9.79 1.94% -72.17% $38.32 $9.79 876,120Scorpio Tankers Inc STNG $5.30 $5.60 -5.36% -48.74% $12.18 $4.69 205,024Teekay Corp TOO $27.75 $26.55 4.52% -0.22% $31.50 $22.01 159,791

Teekay Offshore Ptns TK $27.46 $26.44 3.86% -17.21% $37.93 $20.67 337,561Teekay Tankers Ltd TNK $3.80 $3.65 4.11% -69.87% $12.99 $3.48 550,561Torm A/S TRMD $0.62 $0.55 12.73% -91.35% $7.70 $0.54 44,696Tsakos Energy Nav. TNP $5.13 $4.94 3.85% -49.06% $11.18 $4.84 135,494

Containers TickerFridayClose

Price LastWeek

%Change

YTD%Chg

52 WeekHigh

52 WeekLow


Box Ships Inc TEU $10.05 $10.24 -1.86% -8.64% $12.00 $6.44 118,455Costamare Inc CMRE $11.70 $11.54 1.39% -18.69% $18.48 $10.93 69,996Danaos Corp DAC $3.35 $3.33 0.60% -14.32% $7.87 $2.65 33,196Diana Containerships DCIX $4.80 $4.91 -2.24% -68.52% $15.50 $4.58 70,736Global Ship Lease Inc GSL $2.19 $1.85 18.38% -56.63% $7.75 $1.62 67,627Seaspan Corp SSW $10.50 $10.61 -1.04% -19.48% $21.33 $10.21 336,289

LNG/LPG TickerFridayClose

Price LastWeek

%Change

YTD%Chg

52 WeekHigh

52 WeekLow


Golar LNG Ltd GLNG $43.66 $38.77 12.61% 185.91% $44.26 $13.77 563,285Golar LNG Partners LP GMLP $29.39 $28.50 3.12% 18.27% $29.74 $22.41 67,615StealthGas Inc GASS $3.96 $3.72 6.45% -51.35% $8.80 $3.40 28,696Teekay LNG Partners TGP $33.20 $30.92 7.37% -12.79% $41.50 $28.61 387,552


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Page 14

CAPITAL MARKETS DA

Shipping Equities

London ListedCompanies (GBp)

TickerFridayClose

Price LastWeek

%Change

YTD%Chg

52 WeekHigh

52 WeekLow

1 MonthAverage Volum

Hellenic Carriers Ltd HCL 41.50 44.00 -5.68% -46.45% 81.00 39.50 8,052.Goldenport Holdings GPRT 72.00 72.25 -0.35% -38.20% 122.25 69.00 11,582.9

Milan Listed Company (Euro) TickerFridayClose

Price LastWeek

%Change

YTD%Chg

52 WeekHigh

52 WeekLow

1 MonthAverage

dAmico International Shipping DIS 0.45 0.40 12.50% -54.54% 1.03 0.40 N/A

Blank Check Companies TickerFridayClose

Price LastWeek

%Change

YTD %Chg52 Week

High52 Week

Low1 MonAverag

Nautilus Marine AcquisitionCorp NMAR 9.53 9.50 0.32% 0.00% 9.58 9.40 N/A

Nautilus Marine AcquisitionCorp Warrants NMARW 0.30 0.41 -26.83% -25.00% 0.53 0.30 N/A

Mixed Fleet TickerFridayClose

Price LastWeek

%Change

YTD%Chg

52 WeekHigh

52 WeekLow

1 Month AveragVolume

Euroseas Ltd ESEA $2.71 $2.85 -4.91% -29.24% $5.28 $2.53 25,177Knightsbridge Tankers VLCCF $15.60 $14.65 6.48% -31.25% $25.80 $14.65 138,180

NewLead Holdings Ltd NEWL $0.65 $0.72 -9.72% -74.00% $3.88 $0.53 975

Ship Finance Intl SFL $10.42 $10.00 4.20% -52.31% $23.07 $9.20 652,020TOP Ships Inc TOPS $2.60 $2.45 6.12% -75.70% $11.60 $1.00 10,732
http://www.capitallinkshipping.com/http://www.shlegal.com/


15/35
http://www.shlegal.com/


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Page 16

CAPITAL MARKETS DA

Weekly Trading Statistics

Custom Statistics Prepared Weekly for Capital Link Shipping

BROAD MARKET

Percent Change of Major Indexes for the Week Ending Friday, December 2, 2011

Name Symbol Close Net Gain Percent Gain

Russell 2000 Index RUT 734.91 68.75 10.32%

Dow Jones Transportation Index TRAN 4946.83 413.39 9.12%

Russell 3000 Index RUA 736.27 52.42 7.67%

Nasdaq Composite Index COMPX 2626.93 185.42 7.59%

Russell 1000 Index RUI 687.44 47.63 7.44%

S&P 500 Index SPX 1244.28 85.61 7.39%

Nasdaq-100 Index NDX 2302.04 151.16 7.03%Dow Jones Industrial Average Index INDU 12019.35 787.57 7.01%

Nasdasq Transportation Index TRANX 2170.87 138.80 6.83%

Russell 2000 Index RUT 734.91 68.75 10.32%

Index Data: INDU (Dow Jones Industrial AverageIndex. The INDU closed today at 12,019.35 for aweekly gain of 787.57 pts (+7.0120%). The high of theweek was 12,146.68 while the low was 11,232.47(close = 86.07% of high/low range). The INDU closed7.03% from its 52 week high (12,928.45) and 15.99%from its 52 week low (10,362.26).

INDU Important Moving Averages

50 Day: 11,596.98

100 Day: 11,586.09

200 Day: 11,946.18

SHIPPING INDUSTRY DATA (50 Companies)Moving Averages

45.45% closed > 10D Moving Average. 27.27% closed > 50D Moving Average. 27.27% closed > 100D Moving Average. 6.82% closed > 200D Moving Average

Top Upside Momentum (Issues with the greatest100 day upside momentum*)

Top Downside Momentum (Issues with the greatest100 day downward momentum*)

Symbol CloseWeekly %

Change50-Day %

Change

TOPS 2.6 6.12% 68.83%

GLNG 43.66 12.61% 36.52%

ALEX 44.4 33.90% 19.48%

TOO 27.75 4.52% 10.56%

TK 27.44 3.78% 16.92%

*Momentum: (100D % change) + 1.5*(50D % change) +2.0*(10D % change) for each stock then sort group indescending order and report the top 10.

Symbol CloseWeekly %

Change50-Day %

Change

TBSI 0.28 -30.00% -67.44%

FRO 3.03 9.78% -43.68%

TRMD 0.62 12.73% -55.40%

DHT 0.8 -12.09% -62.09%

OSG 9.98 1.94% -33.38%

FREE 0.61 -21.79% -27.38%

NEWL 0.65 -9.72% -13.33%

TNK 3.8 4.11% -24.45%

SFL 10.42 4.20% -18.47%

EGLE 1.18 5.36% -30.99%

*Momentum: (100D % change) + 1.5*(50D % change) +2.0*(10D % change) for each stock - sort names that have anegative value in ascending order - report the top 10.


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Page 17

CAPITAL MARKETS DA

Weekly Trading StatisticsTop Consecutive Higher Closes Top Consecutive Lower Closes

Symbol Close Up Streak

ALEX 44.4 5

GSL 2.19 3TOPS 2.6 3

NMM 15.42 2

Symbol Close Down Streak

CPLP 5.9 -2

DCIX 4.8 -2ESEA 2.71 -2

OSG 9.98 -2

SHIP 2.75 -2

STNG 5.3 -2

TEU 10.05 -4

Top Largest Weekly Trading Gains Top Largest Weekly Trading Losses

SymbolClose OneWeek Ago

FridayClose

NetChange

%Change

ALEX 33.16 44.4 11.24 33.90%

NM 3.21 3.9 0.69 21.50%EXM 1.65 1.96 0.31 18.79%

GSL 1.85 2.19 0.34 18.38%

BALT 4.39 5.05 0.66 15.03%

NMM 13.5 15.42 1.92 14.22%

TRMD 0.55 0.62 0.07 12.73%

GLNG 38.77 43.66 4.89 12.61%

DRYS 2.15 2.42 0.27 12.56%

FRO 2.76 3.03 0.27 9.78%

SymbolClose OneWeek Ago

FridayClose

NetChange

%Change

TBSI 0.4 0.28 -0.12 -30.00%

FREE 0.78 0.61 -0.17 -21.79%DHT 0.91 0.8 -0.11 -12.09%

NEWL 0.72 0.65 -0.07 -9.72%

SBLK 1.22 1.11 -0.11 -9.02%

STNG 5.6 5.3 -0.30 -5.36%

SHIP 2.9 2.75 -0.15 -5.17%

GLBS 3.95 3.75 -0.20 -5.06%

ESEA 2.78 2.71 -0.07 -2.52%

TEU 10.24 10.05 -0.19 -1.86%

Top Largest Monthly Trading Gains (A month hasbeen standardized to 20 trading days)

Top Largest Monthly Trading*Losses (A month hasbeen standardized to 20 trading days)

SymbolPrior

CloseFridayClose

NetChange

% Change

TEU 8.63 10.05 1.42 16.45%

ALEX 41.68 44.4 2.72 6.53%

GLNG 41.27 43.66 2.39 5.79%

TOO 26.24 27.75 1.51 5.75%

TK 25.95 27.44 1.49 5.74%

GMLP 28.11 29.39 1.28 4.55%

NM 3.82 3.9 0.08 2.09%

TGP 32.94 33.2 0.26 0.79%

SymbolPrior

CloseFriday Close

NetChange

%Change

TBSI 0.73 0.28 -0.45 -61.64%

TRMD 1.15 0.62 -0.53 -46.09%

DHT 1.47 0.8 -0.67 -45.58%

FRO 4.93 3.03 -1.90 -38.54%

SFL 14.38 10.42 -3.96 -27.54%

FREE 0.8 0.61 -0.19 -23.75%

EXM 2.55 1.96 -0.59 -23.14%

OSG 12.77 9.98 -2.79 -21.85%

TNK 4.84 3.8 -1.04 -21.49%

EGLE 1.48 1.18 -0.30 -20.27%

Stocks Nearest to 52-Week Highs Stocks Nearest To 52-Week Lows

Symbol 52W High % Away

GMLP 29.74 -1.18%GLNG 44.26 -1.36%

TOO 29.89 -7.17%

TEU 11.45 -12.26%

TGP 39.41 -15.76%

ALEX 54.36 -18.32%

NMM 20.00 -22.90%

TK 36.75 -25.33%

NM 5.82 -32.98%

SB 9.18 -33.54%

Symbol 52W Low % Away

OSG 9.79 1.94%SSW 10.06 4.42%

NAT 11.34 5.29%

TNP 4.84 5.79%

VLCCF 14.62 6.67%

DCIX 4.44 8.11%

DHT 0.74 8.11%

FREE 0.56 8.93%

ESEA 2.47 9.88%

CMRE 10.59 10.04%


18/35


Page 18

CAPITAL MARKETS DA

Weekly Trading StatisticsTop Stocks with Highest Weekly Volume Run Rate* > 1

Symbol Close Net % Change Run Rate

STNG 5.3 -5.36% 5.7370

ALEX 44.4 33.90% 2.8201

SFL 10.42 4.20% 2.6332

NNA 2.81 6.44% 2.2596

TBSI 0.28 -30.00% 2.2425

TEU 10.05 -1.86% 1.6517

SSW 10.5 -1.04% 1.4710

GSL 2.19 18.38% 1.3183

*The Volume Run Rate is calculated by dividing the current week's volume by the average volume overthe last 20 weeks. For example, a run rate of 2.0 means the stock traded twice its average volume.

Top Year-To-Date Gainers Top Year-To-Date DeclinersSymbol YTD Gain %

GLNG 200.28%

GMLP 18.27%

ALEX 14.11%

TOO 7.18%

Symbol YTD Decline %

TRMD -91.13%

TBSI -90.34%

FRO -87.90%

FREE -83.69%

DHT -81.18%

SHIP -80.07%

PRGN -77.81%

EGLE -76.31%

TOPS -76.15%

NEWL -71.98%

The following are the 44 members of this group: Symbol

Name: ALEX -Alexander & Baldwin Inc;ANW - Aegean Marine Petroleum Network Inc; BALT - Baltic Trading Ltd; CPLP - Capital Product Partners LP;CMRE- Costamere, Inc.; DAC - Danaos Corp; DCIX Diana Containerships; DHT - DHT Maritime Inc; DRYS -DryShips Inc; DSX - Diana Shipping Inc; EGLE - Eagle Bulk Shipping Inc; ESEA - Euroseas Ltd; EXM - ExcelMaritime Carriers Ltd; FREEFreeSeas; FRO - Frontline Ltd; GASS - StealthGas Inc; GLBSGlobus MaritimeLimited ; GLNG- Golar LNG Ltd; GMLPGolar LNG Partners; GNK- Genco Shipping & Trading Ltd; GSL- GlobalShip Lease Inc; NAT - Nordic American Tanker Shipping; NEWL - NewLead Holdings Ltd; NM - Navios MaritimeHoldings Inc; NMM - Navios Maritime Partners LP; NNA - Navios Maritime Acquisition Corp; OSG - OverseasShipholding Group Inc; PRGN- Paragon Shipping Inc; SB- Safe Bulkers Inc; SBLK- Star Bulk Carriers Corp; SFL-Ship Finance International Ltd; SHIP - Seanergy Maritime Holdings Corp; SSW - Seaspan Corp; STNG - ScorpioTankers Inc; TBSI- TBS International Ltd; TEUBox Ships Inc; TGP- Teekay LNG Partners LP; TK- Teekay Corp;TNK- Teekay Tankers Ltd; TNP- Tsakos Energy Navigation Ltd; TOO- Teekay Offshore Partners LP; TOPS- TOPShips Inc; TRMD- D/S Torm A/S; VLCCF- Knightsbridge Tankers Ltd

NotesThese symbols were ignored in some analysis (i.e. 200 day moving average) due to the lack of historical data: GMLP

and TEU.DISCLAIMERThis communication has been prepared by Knight Equity Markets, L.P. The information set forthabove has been compiled from third party sources believed by Knight to be reliable, but Knight does not represent orwarrant its accuracy, completeness or timeliness of the information and Knight, and its affiliates, are not responsiblefor losses or damages arising out of errors or omissions, delays in the receipt of this information, or any actions takenin reliance thereon. The information provided herein is not intended to provide a sufficient or partial basis on which tomake an investment decision. The communication is for your general information only and is not an offer orsolicitation to buy or sell any security or product.Knight and its affiliates most likely make a market in the securities mentioned in this document. Historical price(s) orvalue(s) are as of the date and, if applicable, time indicated. Knight does not accept any responsibility to update anyinformation contained in this communication. Knight and/or its affiliates, officers, directors and employees, includingpersons involved in the preparation or issuance of this material, may, from time to time, have long or short positionsin, or buy or sell (on a principal basis or otherwise) the securities mentioned in this communication which may beinconsistent with the views expressed herein. Questions regarding the information presented herein or a request for acopy of this document should be referred to your Knight representative. Copyright 2011 Knight Equity Markets, L.P.Member NASD/SIPC. All rights reserved.


19/35


Page 19

CAPITAL MARKETS DA

Month to date high yield deal volume is $0.000 billion in 0 deals. The year to date high yield deal volume is $252.152 billion in 539 dealsYesterday, the S&P/LSTA Leveraged Loan 100 gained 6 basis points, to close at 90.53. The current default rate by number of issuers is0.62% for November, versus 0.92% for October. Data from Lipper FMI reported an outow from HY funds of $1 billion for the week ended

Nov. 30th.

Marine Subsea bondholders gave the Company consent to amend their 9% bonds due in 2019 for a restructuring. Holders will receive$59 million in cash and the principal amount on the bonds will be reduced by $75 million, originally $246 million were issued.

This week Moodys cut Ship Finance Internationals rating from B1 to Ba3 and the Company is on negative watch. The is primarily dueto the deteriorated liquidity position of Ship Finances counterparty Frontline.

Shipping Bonds Contributed by


20/35


Page 20

CAPITAL MARKETS DA

Shipping Bonds Contributed by


21/35

September 2010 Knight Capital Group, Inc. All rights reserved.

Knight Equity Markets, L.P. and Knight Capital Markets LLC are off-exchange liquidity providers and members of FINRA and SIPC.

To learn about Knight Capi tal Group, Inc. (NYSE Euronext: KCG) go to kni ght.com.

Knight Corporate Access is an unbiased service for issuers to

connect with institutional investors. Through a combination of

strategic investor introductions, thought leadership initiatives

and market insight, Knight can help strengthen and diversify a

companys investor base.

Knight is the leading source of off-exchange liquidity in U.S.

equities and has a greater share volume than any U.S. exchange.

For additional information,please contact:

Sandy Reddin

phone 212-455-9255

email [email protected]

www.knight.com


22/35


Page 22

SHIPPING MARKE

Dry Bulk Market - Weekly Highlights

Contributed by

Intermodal

Intermodal Shipbrokers Co.17th km Ethniki Odos Athens-Lamia & 3 Agrambelis Street,145 64 N. Kisia,Athens - Greece

Phone: +30 210 6293300Website: www.intermodal.gr

Thanks to a once again rming Capesize market, the Baltic Indexwas able to witness an overall week-on-week closing on Fridaywith a 3.3% gain. This rise in Capesize rates seems to have mainlybeen on sentiment rather than on actual market fundamentals, asnot only was there an overall drop in reported activity for a secondweek in a row, but we also witnessed an overall drop in demandof both iron ore and coal. The rest of the size segments on theother hand witnessed a considerable drop as the tonnage listswhich have gathered in both basins were greatly outnumberingthe few inquiries circulating in the market. Panamaxes witnessedthe largest drops, despite an increase in activity seen mid-week.Things were similar in the Supras, with the drop in rates closelyfollowing that of the Panamaxes, although position lists looked tobe improved as we enter in the new week and if demand holds at these levels we could see an improvement in freight levels within thenext couple of days. Fairly quiet conditions for Handies in both basins causing a considerable drop in rates as demand started to driftsideways while tonnage lists increased considerably.

Baltic Indices / Dry Bulk Spot Rates

Week 4802/12/11 Week 4725/11/11

%PointDiff

2011 2010

AvgIndex

AvgIndexIndex $/day Index $/day

BDI 1,866 1,807 3.3% 59 1,528 2,758

BCI 3,409 $29,359 3,049 $25,851 11.8% 360 2,153 3,480

BPI 1,701 $13,586 1,794 $14,332 -5.2% -93 1,750 3,115

BSI 1,335 $13,956 1,380 $14,431 -3.3% -45 1,387 2,148

BHSI 623 - 639 $9,073 -2.5% -16 726 1,124

Things werent looking much rosier on the demand side as reports of falling prices emerged for most of the major dry bulk commodities.With reports coming out of a slowing in Chinese demand for steel, iron ore prices declined by more than 10 per cent in the past weekaccording to data published by the Steel Index. At the same time the Coal market continued on its downward slide, with both Indonesianand Chinese coal prices dropping considerably on lack of demand while at the same time many commodity traders seem to be holdingback interest in anticipation of even lower prices to come.

0

20

40

60

80

100

120

140

160

500

1,000

1,500

2,000

2,500

3,000

3,500

no.Fixtures

Index

Baltic Dry

pThe Baltic Dry Index closed on Friday the 2nd of December at1,866points with a weekly gain of 59points or 3.3%over previousweeks closing. (Last Fridays the 25th of November closing valuewas recorded at 1,807points).

0

5

10

15

20

25

1,000

2,000

3,000

4,000

5,000

no.Fixtures

Index

Capesize

CAPESIZE MARKET -p The Baltic Cape Index closed onFriday the 2nd of December at 3,409 points with a weekly gainof 360 points. For this week we monitor a 11.8% change on aweek-on-week comparison, as Last Fridays the 25th of Novembeclosing value was 3,049points). It is worth noting that the annuaaverage of 2011 for the Cape Index is currently calculated at 2,153points, while the average for the year 2010 was 3,480points.


23/35


Page 23

SHIPPING MARKE


WeekNo. of

FixturesHighestFixture

LowestFixture

this week 4 $25,000 $19,900

last week 6 $28,000 $17,000

Week Period Charter Trip Charter

this week $0 $21,438

last week $17,900 $23,070

For Week 48 we have recorded a total of 4 timecharter xturesin the Capesize sector, 0 for period charter averaging $0 per day,while 4 trip charters were reported this week with a daily averageof $21,438 per day.

This weeks xture that received the lowest daily hire was the M/VCAPE SPENCER, 169092 dwt, built 2010, dely Fukuyama 30Nov, redely Singapore-Japan, $19900, Noble, for a 2 laden legs1st Newcastle/Lazaro Cardenas 2900$ improved from last week,and the xture with the highest daily hire was the M/V ANANGELVISION, 171810 dwt, built 2007, dely retro Shanghai 24 Nov ,redely N.China, $25000, E.On, for a trip via Richards Bay -3000$reduced from last week.

The BCI is showing a 11.8%increaseon a weekly comparison, a17.3%increaseon a 1 month basis, a 14.6%increaseon a 3 monthbasis, a 75.8%increaseon a 6 month basis and a 14.3%increaseon a 12 month basis.

0

10

20

30

40

50

60

70

80

90

100

1,000

2,000

3,000

4,000

no.Fixtures

Index

Panamax

PANAMAX MARKET - q The Baltic Panamax Index closedon Friday the 2nd of December with a loss at 1,701points havinglost -93points on a weekly comparison. It is worth noting that last

Fridays the 25th of November saw the Panamax index close at1,794points. The week-on-week change for the Panamax indexis calculated to be -5.2%, while the yearly average for the BalticPanamax Index for this running year is calculated at 1,750pointswhile the average for 2010 was 3,115points.

WeekNo. of

FixturesHighestFixture

LowestFixture

this week 45 $26,500 $2,000

last week 40 $35,000 $9,000


this week $10,357 $13,493

last week $12,842 $16,240

For Week 48 we have recorded a total of 45 timecharter xturesin the Panamax sector, 7 for period charter averaging $10,357per day, while 38 trip charters were reported this week with a dailyaverage of $13,493 per day.The daily earnings differential for the Panamaxes, that we calculatefrom all this weeks reported xtures, i.e. the difference between thelowest and highest reported xture for this week was reduced, andthis weeks xture that received the lowest daily hire was the M/VGENCO SURPRISE, 72495 dwt, built 1998, dely Singapore 28

Nov/3 Dec , redely Turkey, $2000, Efe, for a trip via Richards Bay-7000$ reduced from last week, and the xture with the highesdaily hire was the M/V DARYA MOTI, 80545 dwt, built 2010, delyGhent spot , redely China, $26500, Medmar, for a trip via Finland-8500$ reduced from last week.

The BPI is showing a-5.2%losson a weekly comparison, a -10.0%losson a 1 month basis, a 4.4% increaseon a 3 month basis, a-5.0% losson a 6 month basis and a -28.6% losson a 12 monthbasis.

0

5

10

15

20

25

30

35

40

45

50

500

1,000

1,500

2,000

2,500

noFixtures

Index

Supramax

SUPRAMAX & HANDYMAX MARKET - q The BalticSupramax Index closed on Friday the 2nd of December at 1,335points down with a weekly loss of -45points or -3.3%. The BalticSupramax index on a weekly comparison is with a downward trendas last Fridays the 25th of November closing value was 1,380points. The annual average of the BSI is recorded at 1,387pointswhile the average for 2010 was 2,148points.


24/35


Page 24

SHIPPING MARKE


Week No. of FixturesHighestFixture

LowestFixture

this week 27 $34,500 $5,000

last week 16 $34,500 $6,000Week Period Charter Trip Charter

this week $11,275 $13,359

last week $10,750 $13,500

For Week 48 we have recorded a total of 27 timecharter xtures inthe Supramax & Handymax sector, 4 for period charter averaging$11,275 per day, while 23 trip charters were reported this week witha daily average of $13,359 per day.The minimum vs maximum daily rate differential as analyzed fromour xtures database was overall improved and from the reportedxtures we see that this weeks xture that received the lowestdaily hire was the M/V MARYLAKI, 58470 dwt, built 2010, delyXingang spot , redely India, $5000, Siva, for a trip via Indonesia-1000$ reduced from last week, and the xture with the highestdaily hire was the M/V CHRISTINA L, 50380 dwt, built 2003, delyMobile early Dec , redely China intention pet coke, $34500, ChartNot Rep, for a trip 0$ improved from last week.

The BSI is showing a-3.3%losson a weekly comparison, a -10.2%losson a 1 month basis, a -3.2%losson a 3 month basis, a -7.0%losson a 6 month basis and a -16.2%losson a 12 month basis.

0

2

4

6

8

10

12

14

16

18

500

750

1,000

1,250

no.F

ixtures

Ind

ex

Handysize

HANDYSIZE MARKET -qThe Baltic Handysize Index closedon Friday the 2nd of December with a downward trend at 623points with a weekly loss of -16points and a percentage change

of-2.5%

.It is noted that last Fridays the 25th of November closingvalue was 639points and the average for 2011 is calculated at 726points while the average for 2010 was 1,124points.

Week No. of FixturesHighestFixture

LowestFixture

this week 4 $15,000 $6,500

last week 6 $15,000 $4,000


this week $0 $9,625last week $7,900 $7,620

For Week 48 we have recorded a total of 4 timecharter xtures inthe Handysize sector, 0 for period charter averaging $0 per day

while 8 trip charters were reported this week with a daily averageof $9,625 per day.

The minimum vs maximum daily rate differential as analyzed fromour xtures database was overall reduced and this weeks xturethat received the lowest daily hire was the M/V AMYNTOR28326 dwt, built 2009, dely Taichung prompt, redely SingaporeJapan, $6500, Chart Not Rep, for a trip via New Zealand int logs2500$ improved from last week and the xture with the highesdaily hire was the M/V B HANDY, 31440 dwt, built 2011, delyretro Port Said 26 Nov, redely US Gulf, $10000, WBC, for a trip viaBlack Sea -5000$ reduced from last week.

The BHI is showing a -2.5%change on a weekly comparison, a-17.4%losson a 1 month basis, a -7.0%losson a 3 month basisa -18.6%losson a 6 month basis and a -23.7%losson a 12 monthbasis.

All Baltic Dry Indices, 1 day, 1week , 1 month, 3 months, 6 months and 12 months % changes based on

last Fridays closing gures.

INDEX 1 DAY 1 WEEK 1 MONTH 3 MONTHS 6 MONTHS 1 YEAR

BDI 0.2% 3.3% 0.4% 7.2% 25.3% -13.9%

BCI 0.7% 11.8% 17.3% 14.6% 75.8% 14.3%

BPI -0.5% -5.2% -10.0% 4.4% -5.0% -28.6%

BSI -0.9% -3.3% -10.2% -3.2% -7.0% -16.2%

BHI -0.2% -2.5% -17.4% -7.0% -18.6% -23.7%


25/35


Page 25

SHIPPING MARKE

Tanker Market - Weekly Highlights

Contributed by

Charles R. Weber Company, Inc.

Charles R. Weber Company, Inc.Greenwich Ofce Park One,Greenwich CT 06831

Phone: 203 629-2300Website: www.crweber.com

USG crude imports to fall?

Last month, plans were announced to reverse the direction of theSeaway pipeline in order to offer gulf reners easier access to

WTI crude. The pipeline presently transports crude from Freeport,Texas, to Cushing, Oklahoma where NYMEX-traded WTI crudeis settled. A buildup of inventories at Cushing tank farms and theinability to easily move crude from there this year depressed WTIprices and signicantly widened the gap between WTI and Brentcontracts.

According to Seaways operators, reversed service couldcommence by 2Q12 with an initial capacity of 150,000 b/d withsubsequent upgrades boosting capacity up to 400,000 b/d by early2013. For gulf-area reneries, access to the pipelines Freeportterminus (via existing area pipeline networks) bodes well for therecent surge export demand for rened products. For the tankersector, the implications are mixed.

For the MR sector, further gulf product exports will augment demand,offsetting eet growth and allowing for a further progression into therecovery stage.

For crude tankers, however, any decline in demand for crudeshipments to one of the worlds busiest hubs could further harmthe already undermined recovery. Indeed, this seems to be theconsensus among industry participants but on the issue of whichcrude tanker sector would likely take the biggest hit, opinion isdivided.

Data: C R Weber; Graphic: John M. Kulukundis

This year, loading points in the Caribbean overtook those in WestAfrica to collectively account for the largest share of crude spotmarket deliveries to the US gulf accounting for 28% of the total.In part, this was due to a decline in demand for more expensiveBrent-linked West African crude grades, and pricing discounts fromMiddle East producers for crude delivered to points in the West

(activity on the Middle East-US gulf route has risen 40% from 2010to-date).

Given prevailing pricing structures and economies of scale, theMiddle East-US gulf route is unlikely to see a decrease in dutyIndeed, the 40% y/y gain which has been realized comes despiterising US production and despite the rise in deliveries from the

Caribbean. The prospective shuttering of 770,000 b/d reningcapacity will likely see West African producers seek new buyersfrom their crude in Asia rather than increase West African crude tothe US. Accordingly, this leaves the Caribbean originating routesas the most vulnerable to the boost in WTI crude supplies reachingthe US gulf by the Seaway reversal.

Spot Rates Trade Cargo WS TCE

VLCC $/day

TD1 AG>USG 280,000 MT 38.0 -$1,100

TD2 AG>SPORE 260,000 MT 58.0 $19,600

TD3 AG>JPN 260,000 MT 58.0 $21,400

TD4 WAFR>USG 260,000 MT 60.0 $19,700TD15 WAFR>CHINA 260,000 MT 60.0 $19,400

SUEZMAX

TD5 WAFR>USAC 130,000 MT 82.5 $18,600

TD6 B.SEA>MED 135,000 MT 80.0 $13,600

AFRAMAX

TD7 N.SEA>UKC 80,000 MT 95.0 $10,700

TD9 CBS>USG 70,000 MT 100.0 $3,700

TD19 TRK>MED 80,000 MT 85.0 $2,000

PANAMAX

TD10 CBS>USAC 50,000 MT 125.0 $6,600

TD12 CONT>TA 55,000 MT 117.5 $6,400

CPP

TC2 CONT>TA 37,000 MT 155.0 $7,300

TC3 CBS>USAC 38,000 MT 155.0 $8,700

TC4 SPOR>JPN 30,000 MT 157.5 $3,800

TC LR2 AG>JPN 75,000 MT 105.0 $10,900

TC5 LR1 AG>JPN 55,000 MT 125.0 $8,800


26/35


Page 26

SHIPPING MARKE

Time Charter Rates

$/day (theoretical)1 Year 3 Years 5 Years

VLCC $16,500 $25,000 $31,000 Suezmax $17,000 $21,000 $22,750

Aframax $13,000 $17,000 $18,500

Panamax $13,500 $15,000 $17,000

MR $14,000 $14,500 $16,000

VLCC

Following the slower pace of activity observed in the VLCC marketlast week owing in equal parts to the short work week in theUS and a pause before a more aggressive progression into theDecember program the market rebounded this week. For theirpart, Middle East rates rose last week into the high ws60s onbenchmark routes to the Far East, before the market quiet saw acorrection to the high ws50s early this week. Ultimately, the marketreached equilibrium at the ws60 level on those routes, where it hasnow remained through to weeks end. Whilst rates have little risk ofdownside through the remainder of December, hopes that a freshrally is eminent are dissipating, with at least 20 excess units nowprojected for December. This view is apparently shared by FFAtraders, with the December TD3 contract trading at ws60.

There were 22 Middle East xtures reported this week; 21 fordischarge in the East and one in the West. South Korea led theEastbound discharge prole with 5 xtures reported. Reportsindicate that South Korean reners are keen to increase Fuel Oilproduction in anticipation of strong demand and to prevent theregional run on supplies which was experienced this past January.Last December, some 15 VLCCs loaded cargoes bound for South

Korea. An estimated 17 VLCCs will likely load December cargoesfor delivery in South Korea this year, including 10 already covered.Rates to the East declined 8.6 points, w/w, to an average of ws58.7.TCEs in this direction shed $11,100/day, w/w, to average $21,600/day this week. Westbound rates lost 4.13 points, w/w, to averagews38 with corresponding TCEs losing $3,900/day at an averageof -$400/day. Triangulated Westbound trade earnings declined$10,000/day, w/w, to average $21,600/day.

To-date, some 78 December Middle East cargoes have beencovered, leaving a further 50 as likely remaining. Against this, over70 units are projected to be available by end-December. Althoughevident of the level of overcapacity which remains in the sector,rate downside remains unlikely. During the coming week, industryholiday parties in the US and UK will likely see limited activity, which

sets expectations for a busier week thereafter as charterers rushto cover the requirements ahead of the holidays. Rising bunkerprices and expectations for a robust January program will alsocontribute to bullish sentiments by owners. Accordingly, rates tothe East will likely hold near the ws60 and Westbound rates aroundthe ws38 level.

In the Atlantic basin, a rapid rally in rates for Suezmaxes generatedfresh interest in the VLCC co-load alternative, allowing someupward pressure to materialize for the larger class for which fewunits were available for early dates. Concrete movements in rates,however, have yet to be observed with ex-West Africa rates in both

directions holding at ws60 (though untested). Although promptedates may well command a premium, ballast units will likely prohibiany gains for further forward dates, with rates thus likely to remainunchanged. Tighter positions in the Caribbean have allowed

Caribbean-Singapore rates to hold at $4.15m; with little changeto the supply dynamics, rates on this route are unlikely to changeduring the week ahead.

Suezmax

The Atlantic Suezmax market commenced this week at ws80 onthe TD5 benchmark route with a negative bias, before a mid-weekreplacement xture at ws87.5 raised hopes that this level wouldprove repeatable. However, with fresh inquiry trailing off towardsend-week, the market corrected to the low/mid ws80swhere iconcluded. Continued quiet could see a further decline towards thehigh ws70s at the start of the upcoming week.

Aframax

A buildup of tonnage in the Caribbean Aframax market saw asignicant correction in rates this week. The TD9 benchmarkcommenced at ws120 and concluded at ws100. Owners are nowquite keen to stabilize rates and will likely resist further lossesHowever, with supply still outweighing demand, a measure opatience by charterers during the week ahead may see the markebreak below the ws100 level by a couple of points.

Panamax

The Caribbean Panamax market lacked a clear direction for muchof the week, with rates trading in the mid-high ws120s on the TD10Dbenchmark. As of the end of the week, however, this remainssufcient tonnage relative to demand including some prompunits. Failing an uptick in activity, rates may decline towards thews120 level during the week ahead.

CPP

The Caribbean MR market was largely at this week with limitedinquiry and rates holding around the ws160 level on the TC3benchmark. Assessments at the close of the week declined tows155; however, resistance by owners and steady inquiry saw thislevel prove unsustainable. During the week ahead, rates shouldremain around the ws160 level.

USG exports were supported by the continued arbitrage opportunityon the trans-Atlantic USG-TA route. However, with the Caribbeanand European markets offering similar returns, owners had noincentive to chose one market over the other. Accordingly, the

premium charters have frequently found themselves paying foowners to move cargoes into a weaker European market continuedto diminish, with USG-TA rates easing 5-points to conclude atws110.

The European MR market gained 7.5 points this week to concludeat ws155 on the TC2 benchmark route. Though sentiment remainsbullish, further upward pressure might incentivize owners with unitscoming free on the US/Canada Atlantic coast to ballast across theAtlantic rather than towards the Caribbean/USG area, ultimatelycapping gains.


27/35


Page 27

SHIPPING MARKE

Weekly Tanker Market Opinion

Contributed by

Poten & Partners, Inc.

805 Third AvenueNew York, NY 10022

Phone: (212) 230-2000Website: www.poten.com

The Brazilian Kickoff

On Wednesday, November 30th the Council on Foreign Relationsheld the Rio de Janeiro Investment Conference in New York Cityto discuss prospects for Brazilian growth and the role of foreigninvestment in Brazils rapidly growing economy. Much of thediscussion centered on challenges and opportunities in the Brazilianenergy sector, which will be pivotal in the countrys economicprospects. Development of the enormous crude oil discoveries inBrazils pre-salt basins could help to bring the countrys output toup to a projected 8 million barrels per day (mbd) by 2020. Thisproduction level would easily put Brazil in the top ve of producingcountries, with export capacity expected to be around 4.5 mbdover the same time. The technological challenges of developingthese reserves have led some to express skepticism about theachievability of Brazils ambitious targets. However, there is nodenying the massive potential for incremental growth in Braziliancrude oil supply, which is bound to further amplify the importance ofAtlantic Basin trades in global tanker demand.

Brazil had long been a net importer of crude oil. Signicantincreases in production over the past decade as a result of state-directed exploration efforts and foreign investment have changedthis position. Crude oil production has risen at an average annualrate of about 80 kbd since 2001 and currently stands at about 2.20mbd. Brazil became self-sufcient from a net balance perspectivein 2006 and has been able to further expand crude oil exportcapacity over the past ve years. This has led to a correspondingrise in tanker spot xture activity, as illustrated in the graph below.

Dirty Fixtures Loading Brazil - 2001 - 2011 YTD

0

10

20

30

40

50

60

70

80

90

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

No.Fixtures

1000

1200

1400

1600

1800

2000

2200

2400

CrudeOilProduction(kbd)

VLCC Suezmax Aframax Crude Oil Production

Source: Poten & Partners, BP Statistical Review of World Energy (2011)

Growth in tanker demand to move Brazilian crude oil volumes has

been largest for Suezmax vessels, which have carried approximatelytwo-thirds of reported spot volumes out of the country 2011 year todate. About 80% of these Suezmax volumes are being sent to USGulf reners. However long haul trade on VLCCs to Asian demandcenters has also grown as Brazils export capacity increases. Tradeto India and the Far East has accounted for 15 of the 16 BrazilianVLCC spot xtures reported this year.

Indian reners have been sourcing heavy crude oil from Brazil, andChina is likely to ramp up imports of Brazilian oil as more barrelsbecome available. This increasing frequency of long haul trade out

of Brazil could somewhat offset erosion of VLCC demand resultingfrom decreased US import requirements. Additionally, as crude obarrels are sent to Asian reners, these same producers of renedpetroleum are increasingly sending diesel back to Brazil to bridgethe countrys domestic supply gaps.

While Brazils growing pains have been relatively mild comparedto other countries faced with such a sudden resource bounty, ithas not been immune from the tendency of domestic downstreaminfrastructure to lag requirements. The staggering economic growthseen in Brazil has signicantly raised the nations demand fortransportation fuels, particularly diesel and ethanol. Additionallybecause the country was long dependent on crude oil importsmuch of Brazils existing rening capacity is designed to processcrude oil slates of lighter quality than what it now produces. This hasnecessitated the continued import of light crude oil from producersin West Africa, and to a lesser extent, the Arabian Gulf.

Reported Spot Fixture Volumes into Brazil by Load Zone -

Past 12 Months

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

Arabian Gulf &

Red Sea

Caribbean EC South

America

Far East &

Southeast Asia

UK Continent &

Med

S ou th A si a W es t A fr ic a U ni te d S ta te s

ReportedSpotVolumes(mMT)

Crude Oil Refined ProductSource: Poten & Partners

Brazil currently imports about 20% of its total crude oil requirementsamounting to about 400 kbd. The volume of foreign crude oicoming into Brazil is expected to decrease over time as lighterpre-salt reserves are developed and new rening projects ableto process heavier oil come onstream. Brazils planned reneryexpansions are expected to add nearly 1 mbd of new capacityby 2017. However, until this balance is struck it is likely that thecountry will have to continue importing both product and light crudeoil even as it sends its domestically produced barrels abroadThe complexity of Brazils petroleum trade ows and the offtakeopportunities it presents west of Suez is likely to be a boon fotanker owners, even more so if reners in China and India becomehungrier for Brazilian crude.


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Page 28

SHIPPING MARKE

Weekly Freight Rate & Asset Trends

Contributed by

Intermodal

Intermodal Shipbrokers Co.17th km Ethniki Odos Athens-Lamia & 3 Agrambelis Street,145 64 N. Kisia,Athens - Greece

Phone: +30 210 6293300Website: www.intermodal.gr

FREIGHT RATES

ASSET VALUES

Tanker Spot Rates

Vessel Routes

Week 48 Week 47

%

2011 2010

WSpoints

$/dayWS

points$/day $/day $/day

VLCC

265k AG-JAPAN 59 24,450 60 26,637 -2% 17,788 41,620

280k AG-USG 38 1,608 40 5,524 -5% 2,509 20,959

260k WAF-USG 65 35,520 60 29,529 8% 25,140 45,311

Suezmax 130k MED-MED 80 19,042 75 15,637 7% 24,358 36,316

130k WAF-USAC 83 15,018 83 16,634 0% 12,748 26,222

130k AG-CHINA 85 15,634 80 13,650 6% 14,615 26,910

Aframax

80k AG-EAST 115 12,726 110 11,707 5% 12,632 15,716

80k MED-MED 83 5,647 83 6,114 0% 11,926 19,835

80k UKC-UKC 95 12,556 95 11,958 0% 17,204 24,225

70k CARIBS-USG 115 10,064 123 13,046 -6% 7,885 17,047

Clean

75k AG-JAPAN 103 4,843 98 3,341 5% 10,826 14,544

55k AG-JAPAN 127 6,383 125 6,324 1% 7,989 10,784

37K UKC-USAC 155 7,940 150 7,507 3% 10,357 10,531

30K MED-MED 175 21,090 170 19,698 3% 17,342 19,933

Dirty

55K UKC-USG 120 8,436 123 9,568 -2% 11,047 16,419

55K MED-USG 120 7,066 123 8,305 -2% 9,448 14,358

50k CARIBS-USAC 128 8,020 130 9,297 -2% 10,755 14,117

Tanker Time Charter Rates

$/dayWeek

48

Week

47% Diff 2011 2010

VLCC300k 1yr TC 19,500 19,500 0.0% 0 25,693 38,288

300k 3yr TC 26,250 26,500 -0.9% -250 32,158 38,671

Suezmax150k 1yr TC 17,250 17,500 -1.4% -250 20,120 28,712

150k 3yr TC 21,000 21,500 -2.3% -500 24,122 27,642

Aframax105k 1yr TC 14,250 14,250 0.0% 0 15,865 19,014

105k 3yr TC 16,750 17,000 -1.5% -250 18,513 20,282

Panamax70k 1yr TC 13,500 13,500 0.0% 0 15,141 16,865

70k 3yr TC 14,750 14,750 0.0% 0 16,414 17,700

MR45k 1yr TC 14,000 13,250 5.7% 750 13,917 13,423

45k 3yr TC 14,750 14,750 0.0% 0 14,763 14,388

Handysize36k 1yr TC 12,250 12,250 0.0% 0 12,479 11,808

36k 3yr TC 13,500 13,500 0.0% 0 13,429 12,008

Secondhand Indicative Market Values ($ Million) - Tankers

Vessel 5yrs old Dec-11 Nov-11 % 2011 2010 2009

VLCC 300KT DH 58.0 61.3 -5.3% 79.2 87.2 84.3

Suezmax 150KT DH 47.0 47.0 0.0% 55.0 62.6 59.2

Aframax 105KT DH 36.0 36.3 -0.7% 39.4 44.7 43.2

Panamax 70KT DH 32.0 32.3 -0.8% 35.5 38.8 37.5

MR 45KT DH 26.4 27.9 -5.4% 28.6 26.5 29.2

Secondhand Indicative Market Values ($ Million) - Bulk Carriers

Vessel 5yrs old Dec-11 Nov-11 % 2011 2010 2009

Capesize 170k 37.0 40.0 -7.5% 44.1 57.4 49.0

Panamax 73K 26.5 27.5 -3.6% 31.7 39.0 30.3

Supramax 52k 23.0 24.0 -4.2% 25.8 30.2 26.1

Handysize 29K 21.0 22.8 -7.7% 23.6 26.2 21.1

New Building Indicative Market Prices (million$)

VesselWeek

48

Week

47% 2011 2010 2009

Bulkers

Capesize 170k 49.0 48.0 2.1% 52 58 67

Panamax 75k 28.5 28.5 0.0% 32 35 36

Supramax 57k 27.0 27.0 0.0% 29 31 34

Handysize 30k 22.0 22.3 -1.1% 24 25 27

Tankers

VLCC 300k 99.0 99.0 0.0% 100 103 121

Suezmax 150k 60.5 60.5 0.0% 62 66 70

Aframax 110k 52.3 52.3 0.0% 53 55 59

LR1 70k 43.5 43.5 0.0% 43 46 52

MR 47k 35.0 35.0 0.0% 35 36 40

Gas

LPG M3 80k 72.5 72.5 0.0% 71 72 81

LPG M3 52k 62.5 62.5 0.0% 62 65 73

LPG M3 23k 46.0 46.0 0.0% 45 46 49

Dry Bulker Time Charter Rates

$/dayWeek

48

Week

47% Diff 2011 2010

Capesize 170K 6mnt TC 25,750 25,250 2% 500 17,695 36,483

170K 1yr TC 21,000 20,750 1% 250 16,743 33,167

170K 3yr TC 18,000 18,000 0% 0 17,518 29,153

Panamax 70K 6mnt TC 17,250 17,625 -2% -375 17,320 28,879

70K 1yr TC 13,250 13,500 -2% -250 15,043 24,759

70K 3yr TC 13,375 13,625 -2% -250 14,619 19,735

Supramax 52K 6mnt TC 14,500 14,750 -2% -250 15,770 24,569

52K 1yr TC 13,250 13,250 0% 0 14,458 21,047

52K 3yr TC 13,500 13,500 0% 0 14,143 17,502

Handymax 45k 6mnt TC 11,500 12,000 -4% -500 13,617 21,372

45k 1yr TC 10,750 11,000 -2% -250 12,632 18,530

45k 3yr TC 11,750 11,750 0% 0 12,514 15,568

Handysize 30K 6mnt TC 10,000 10,250 -2% -250 11,901 16,908

30K 1yr TC 10,500 10,500 0% 0 11,919 15,862

30K 3yr TC 11,750 11,750 0% 0 12,093 14,143


29/35


Page 29

SHIPPING MARKE

Contributed by

Braemar Seascope

35 Cosway StreetLondon NW1 5BTUnited Kingdom

Phone: +44 (0) 20 7535 2650Website: www.braemarseascope.com

Container Market - Weekly HighlightsC H A R T E R I N G

VESSEL(TEU/HMG) INDEX + / -

510/285 TEU(GL) 15.5 K 3.89 0.00

700/440 TEU (GL) 17.5 K 4.65 0.10

750/415 TEU(G) 16 K 5.09 0.05

1000/650 TEU(G) 17.5 K 5.50 0.00

1100/715 TEU(G) 19 K 6.61 0.00

1350/925 TEU(G) 20 K 5.11 0.00

1600/1150 TEU(GL) 18 K 6.18 0.00

1700/1125 TEU(G) 19.5 K 5.67 0.00

1740/1300 TEU(G) 20.5 K 6.01 0.00

2000/1600 TEU(G) 21 K 2.29 0.00

2500/1900 TEU(G) 22 K 4.14 0.002800/2000 TEU(GL) 22 K 3.83 0.00

3500/2500 TEU(GL) 23 K 2.51 0.00

4250/2800 TEU(GL) 24 K 1.71 0.00

INDEXTOTAL 63.19 0.15

This week has seen a muted amount of enquiry, with activity againpredominately consisting of extensions of existing tonnage, leavingour BOXi largely unchanged, although market sentiment hascontinued its downward trajectory.

Liner losses of late have led to a string of announcementsconcerning restructuring, intended divestments, partnerships and

market exits. Likewise the current charter market is far away fromthe levels needed to support the owning community and the longpredicted consolidation in the German market is starting to gathermomentum.

The larger sizes can take some comfort that rates are holding, andthe growing need to garner economies of scale may indeed meanthat a number of large vessels are chartered in and out over thenext few months.

Elsewhere the amount of idle tonnage continues to grow, and the

sparse amount of fresh enquiry inevitably suggests the rates of themid-sizes and feeder sizes have further to fall.

The Box Index (BOXi)

30

50

70

90

110

130

150

170

Jan10

A

pr10

Jul10

Oct10

Jan11

A

pr11

Jul11

Oct11

Jan12

63.19

R E P R E S E N T A T I V E F I X T U R E S

NAME DWT TEU 14T BLT SPD CONS GR CHARTERER DELY DATE PERIOD RATE$

HANJINHAIPHONG 63,520 4,545 3,361 97 24 164 GL TS LINES NE AsiaDec11

40 days 7,250(s)

ANKE 42,300 3,108 2,500 02 22 105 G CSCL NE AsiaDec11

2-6 mos 7,000

CALANDRA 39,500 2,747 2,220 10 22 94 G GWF USGDec11

12 mos 12,000

ANTJEWULFF 39,300 2,732 2,200 02 21 87 GL MCC NE Asia Dec11 2-5 mos 8,200

NORDWELLE 34,800 2,572 1,860 05 20 74 GL KMTC SE AsiaDec11

1 mos 8,100

KLAUSJ 26,262 1,900 1,360 97 20 59.5 G COSCON MedDec11

80-120days

8,400

SANALESSIO 28,200 1,819 1,255 08 22 86 G SEACON NE AsiaDec11

1-3 mos 8,300


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Page 30

SHIPPING MARKE

Container Market - Weekly Highlights

CAPEFORBY 20,250 1,440 1,050 06 19.5 52 GL SINOKOR NE Asia Dec11 3-6 mos 7,500

DEVONSTRAIT 13,760 1,118 712 08 19 39 G MARGUISA MedDec11

30 days 6,250

SAFMARINESALOUM 13,760 1,118 700 06 19.6 42 G SAFMARINE MedDec11

3 mos 6,200

ANNIKA 12,400 1,049 671 08 18 31 GL OOCL NE AsiaNov11

2-6 mos 5,900

R E P R E S E N T A T I V E F I X T U R E S

NAME DWT TEU 14T BLT SPD CONS GR CHARTERER DELY DATE PERIOD RATE$

The leading specialist ininternational transport finance

www.dvbbank.com

Frankfurt/Main Hamburg London Cardiff Rotterdam BergenOslo Piraeus Zurich Singapore Tokyo New York Curaao


31/35


Page 31

SHIPPING MARKE

Contributed by

Golden Destiny S.A.

Golden Destiny S.A.57 Akti Miaouli, Piraeus, 18536,Greece

Phone: +30 210 4295000Website: www.goldendestiny.gr

Week Ending: 2nd December 2011(Given in good faith but without guarantee)

S&P Secondhand, Newbuilding & Demolition Markets

Key: (*) Incl. Crude Oil, Clean & Dirty Products, Chemical, Asphalt & Veg.

Oil,

(**) incl. LPG, LNG, (***) incl. Multi-purpose and Tweendeckers,

(*****) incl. Bulk-Ore, Ore-Oil and Bulk-Oil carriers,

(*****) incl. Ro-Ro Cargo, Ro-Ro Passenger,

(******) incl. Oil & Drilling Rigs, Tugs, Livestock, Trawlers, Cable/Exploration/

Navy/Support Vessels,

The week closed with 35 transactions reported worldwide in the

secondhand and demolition market, up by 52% from previous week

and up by 6 % from a similar week in 2010, when 33 transactions

had been reported and secondhand ship purchasing activity was

15% lower than the ordering business. Currently, the highestactivity has been recorded in the secondhand market, by 53 %

while it is interesting to note that this week the reported dwt that

went for scrap is 7.7% higher than the ordered capacity.

SECONDHAND MARKET

For one more week the buying momentum was towards modern

units, especially in the bulkcarrier and tanker sector. Tankers hold

the lion share both in number of units changing hands but also in

terms on the invested capital.

Overall, 26 vessels reported to have changed hands this week

at a total invested capital in the region of US$ 334.6 mil, with 8

transactions reported at undisclosed price terms. In terms of the

reported number of transactions, the S&P activity has increased

by 100% from last weeks activity, and down by 3% comparable

with previous years weekly S&P activity when 29 vessels induced

buyers interest with tankers grasping 44.8% of the total volume of

S&P activity. In terms of invested capital, the tanker sector appears

as the most overweight segment by attracting about 72.7% of the

total amount of money invested and bulk carriers to follow with

12.3%.

NEWBUILDING MARKET

Vessel Type Units in DWT Invested Capital P&C %w-o-w

Bulkcarriers 5 2 24.000 0 5 N/A

Tankers 0 0 0 0 N/A

Gas Tankers 1 6.000 0 1 N/A

Liners 4 20.800 0 4 N/A

Containers 0 0 0 0 N/A

Reefers 0 0 0 0 N/A

Passenger / Cruise 0 0 0 0 N/A

Ro - Ro 0 0 0 0 N/A

Car Carrier 0 0 0 0 N/A

Combined 0 0 0 0 N/A

Special Projects 7 25.000 51.000.000 6 -67%

TOTAL 17 275.800 51.000.000 16 -19%

WEEKLY NEWBUILDING ACTIVITY

Key:/ * The total invested capital does not include deals reported with

undisclosed contract price

** Deals reported as private and condential (not revealed

contract price)

On the newbuilding market, the activity remains at low levels

presenting a total 19% decrease comparing to last week. Overall

the week closed with 17 fresh orders reported worldwide at a tota

deadweight of region 275,800 tons, while the total invested capitacannot be calculated since from the recorded orders, the contrac

price of just one has been revealed. Bulkcarriers are holding 29.4%

of the units and 81% of the total dwt ordered and the offshore

sector which was again active holds 41% of the reported orders

Comparing to the activity of similar week of 2010, the activity is

down by 56%, when 39 vessels had been reported worldwide at a

total deadweight of 2,789,400 tons. In 2010 bulkcarrier orders were

holding a 64% and tankers a 25.6% of the total ordering activity.

DEMOLITION MARKET

The demolition activity remained at low levels again this week with

9 vessels reported to have been headed to the scrap yards of tota

deadweight of as low as 297,012 tons. In terms of the reportednumber of transactions, the demolition activity has been marked

with a 10% week-on-week decrease and regarding the tota

deadweight sent for scrap there has been a 21 % decrease. In

terms of scrap rates, the highest scrap rate has been achieved

this week in the tanker sector again by Pakistan for a tanker o

135,915 dwt FRONT BETA with 23,563/ldt at $505/ldt. While

Bangladesh still remains close and the future of this market wil

most likely be decided from the next year, India attracted 44% while

China and Pakistan followed. At a similar week in 2010, demolition

activity was at even lower levels, in terms of the reported numbe

of transactions, with 4 vessels had been reported for scrap of tota

deadweight 65,716 tons.


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Page 32

SHIPPING MARKE

S&P Secondhand, Newbuilding & Demolition MarketsGREEK PRESENCE

Investments both in the secondhand and the newbuilding market

were made by Greek investors this week however at low levels.

In the secondhand market both tanker vessels, one 70,000 & one4,285 dwt were acquired at auction sales. The sale of the small

tanker MT Marim is rumoured to be part of the other two similar

vessel MT PRODROMI & MT ANEFANI reported last week enbloc

at auction. In the newbuilding front, Kyma Shipmanagement, a

Greek American investor, is reported to have ordered a Dolphin

64 type bulkcarier at Jinhai of China for delivery in 2013, which has

been constructed at an undisclosed price.

NEWBUILDING MARKET ORDERS

BULKCARRIERS 64,000 DWT 1 unit ordered by an KymaShipmanagement(GR)atJinhai HI(PRC) Price undisclosed. Dely

2013 (Option for one more. Dolphin 64 type). 40,000 DWT4 unitsordered by MTM Shipmanagement

shipping newsletter week48[1]

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