Genco Shipping & Trading Limited Announces Second Quarter 2012 Financial Results

   Genco Shipping & Trading Limited Announces Second Quarter 2012 Financial
                                   Results

PR Newswire

NEW YORK, Aug. 1, 2012

NEW YORK, Aug. 1, 2012 /PRNewswire/ --Genco Shipping & Trading Limited (NYSE:
GNK) ("Genco" or the "Company") today reported its financial results for the
three and six months ended June 30, 2012.

The following financial review discusses the results for the three and six
months ended June 30, 2012 and June 30, 2011.

Second Quarter 2012 and Year-to-Date Highlights

  oRecorded net loss attributable to Genco for the second quarter of $27.7
    million, or $0.65 basic and diluted loss per share;
  oMaintained strong cash position of $255.8 million on a consolidated basis,
    including restricted cash;

       o$251.4 million at Genco Shipping & Trading Limited, including
         restricted cash;
       o$4.4 million at Baltic Trading Limited;

  oEntered into separate agreements to amend the amortization schedule and
    extend existing covenant waivers under each of our three credit facilities
    through and including the quarter ending December 31, 2013; and
  oContinued a short time charter strategy by fixing vessels on spot
    market-related time charters with the option to convert to a fixed rate
    and on short-term charters while the market remains volatile.

Financial Review: 2012 Second Quarter

The Company recorded net loss attributable to Genco for the second quarter of
2012 of $27.7 million, or $0.65 basic and diluted loss per share.
Comparatively, for the three months ended June 30, 2011, net income
attributable to Genco was $10.1 million, or $0.29 basic and diluted earnings
per share.

EBITDA was $26.8 million for the three months ended June 30, 2012 versus $65.8
million for the three months ended June 30, 2011.

Robert Gerald Buchanan, President, commented, "During the second quarter, we
maintained an opportunistic time charter approach in a challenging drybulk
market. By preserving the ability to benefit from a rising freight rate
environment combined with a large and modern fleet, we intend to drive future
performance when market conditions improve while continuing to provide our
leading customers with the highest quality service."

Genco's voyage revenues decreased to $62.1 million for the three months ended
June 30, 2012 versus $98.5 million for the three months ended June 30, 2011.
The decrease was due to lower charter rates achieved by the majority of our
vessels as well as a higher number of days that our vessels were on planned
offhire to complete drydockings during the second quarter of 2012 compared to
the second quarter of 2011. The decrease in charter rates was partially offset
by the increase in the size of our fleet. The average daily time charter
equivalent, or TCE, rates obtained by the Company's fleet decreased to $11,067
per day for the three months ended June 30, 2012 compared to $18,299 per day
for the three months ended June 30, 2011. The decrease in TCE rates resulted
from lower charter rates achieved in the second quarter of 2012 versus the
same period in 2011 for the majority of the vessels in our fleet. Continued
deliveries of newbuilding vessels coupled with lower growth rates of imported
commodities in emerging market economies through the first half of 2012 were
the main contributors of reduced rates, which affected the earnings of our
vessels. The effect of these contributors was partially offset by increased
scrapping of older tonnage.

Total operating expenses increased to $73.4 million for the three months ended
June 30, 2012 from $67.7 million for the three-month period ended June 30,
2011. Vessel operating expenses were $29.5 million for the second quarter of
2012 compared to $25.5 million for the same period in 2011. The increase in
vessel operating expenses was due to the increase in the size of our fleet,
the timing of purchases of spare parts as well as higher maintenance and crew
related expenses, which was partially offset by lower lube consumption for the
second quarter of 2012 versus the same period in 2011. 

Depreciation and amortization expenses slightly increased to $34.5 million for
the second quarter of 2012 from $34.0 million for the second quarter of 2011
as a result of the growth of our fleet. General, administrative and management
fees marginally increased to $8.4 million in the second quarter of 2012 from
$8.3 million in the second quarter of 2011, primarily due to slightly higher
third-party management fees due to the growth of our fleet and higher
office-related expenses. Increases were partially offset by a decrease in
non-cash compensation.

Daily vessel operating expenses, or DVOE, increased to $5,232 per vessel per
day during the second quarter of 2012 as compared to $4,700 per vessel per day
for the second quarter of 2011, mainly due to the timing of purchases of spare
parts as well as higher maintenance and crew related expenses, partially
offset by lower lube consumption. We believe daily vessel operating expenses
are best measured for comparative purposes over a 12‑month period in order to
take into account all of the expenses that each vessel in our fleet will incur
over a full year of operation. Based on estimates provided by our technical
managers and management's expectations, our DVOE budget for the second half of
2012 is $5,200 per vessel per day on a weighted average basis for the 53
vessels in our fleet, excluding vessels owned by Baltic Trading Limited.

John C. Wobensmith, Chief Financial Officer, commented, "Genco ended the
second quarter with a sizeable cash balance of $251.4 million, enhancing the
Company's ability to operate in a soft rate environment. Consistent with our
objective to preserve the Company's financial strength and flexibility, we
entered into agreements in August to amend our three credit facilities under
favorable terms. Specifically, Genco's scheduled amortization payments have
been eliminated for each facility through and including the quarter ending
December 31, 2013. In addition, the existing waivers for both the maximum
leverage ratio covenant and the interest coverage ratio covenant have been
extended for each facility through and including the quarter ending December
31, 2013. We appreciate the continued support of our lending group, a core
differentiator for our Company, as we remain committed to a strong financial
foundation for the benefit of our shareholders."

Financial Review: First Half 2012

The net loss attributable to Genco was $60.8 million or $1.50 basic and
diluted loss per share for the six months ended June 30, 2012, compared to net
income attributable to Genco of $23.5 million or $0.67 basic and diluted
earnings per share for the six months ended June 30, 2011. Voyage revenues
decreased to $121.1 million for the six months ended June 30, 2012 compared to
$199.1 million for the six months ended June 30, 2011. EBITDA was $52.0
million for the six months ended June 30, 2012 versus $133.9 million for the
six months ended June 30, 2011. TCE rates obtained by the Company decreased to
$10,774 per day for the six months ended June 30, 2012 from $18,720 per day
for the six months ended June 30, 2011, mainly due to lower rates achieved for
our vessels during the first six months of 2012 as compared to the prior year
period as well as the operation of a greater number of smaller class vessels.
Total operating expenses were $145.7 million for the six months ended June 30,
2012 compared to $135.4 million for the six months ended June 30, 2011, and
daily vessel operating expenses per vessel were $5,082 versus $4,723 for the
comparative periods, mainly due to the timing of purchases of spare parts as
well as higher maintenance and crew related expenses, partially offset by
lower lube consumption.

Liquidity and Capital Resources

Cash Flow

Net cash provided by operating activities for the six months ended June 30,
2012 and 2011 was $0.6 million and $83.0 million, respectively. The decrease
in cash provided by operating activities was primarily due to a net loss of
$66.9 million for the first six months of 2012 compared to net income of $22.0
million for the same period of 2011, which resulted from lower charter rates
achieved in the first half of 2012 versus the prior year period for the
majority of the vessels in our fleet.

Net cash used in investing activities for the six months ended June 30, 2012
and 2011 was $2.7 million and $68.3 million, respectively. The decrease was
primarily due to fewer funds used for purchases of vessels during the first
half of 2012 compared to the same period in 2011. For the six months ended
June 30, 2012, cash used in investing activities primarily related to the
purchase of fixed assets in the amount of $1.8 million and vessel related
equipment totaling $0.8 million. For the six months ended June 30, 2011, cash
used in investing activities predominantly related to purchases of vessels in
the amount of $67.2 million.

Net cash provided by financing activities was $20.1 million during the six
months ended June 30, 2012 as compared to $0.7 million during the six months
ended June 30, 2011. The increase in cash provided by financing activities was
primarily due to $49.9 million of net proceeds provided by our follow-on
offering in February 2012. Cash used in financing activities for the first six
months of 2012 consisted of a $12.5 million repayment of debt under the 2007
Credit Facility, $10.2 million repayment of debt under the $253 Million Term
Loan Facility, $3.8 million repayment of debt under the $100 Million Term Loan
Facility, $0.2 million of deferred financing costs and the $3.1 million
dividend payment of our subsidiary, Baltic Trading Limited, to its outside
shareholders. Cash provided by financing activities during the first six
months of 2011 mainly consisted of $21.5 million of proceeds from the $253
Million Term Loan Facility related to the Bourbon vessels acquired and $20.0
million of proceeds from the $100 Million Term Loan Facility related to the
Metrostar vessels acquired offset by the following uses of cash: a $25.0
million repayment of debt under the 2007 Credit Facility, $9.8 million
repayment of debt under the $253 Million Term Loan Facility, $1.8 million
repayment of debt under the $100 Million Term Loan Facility, $0.3 million of
deferred financing costs and the $3.9 million dividend payment of our
subsidiary, Baltic Trading Limited, to its outside shareholders.

Capital Expenditures

We make capital expenditures from time to time in connection with vessel
acquisitions. Excluding Baltic Trading Limited's vessels, we own a fleet of 53
drybulk vessels, consisting of nine Capesize, eight Panamax, 17 Supramax, six
Handymax and 13 Handysize vessels, with an aggregate carrying capacity of
approximately 3,810,000 dwt. In addition, our subsidiary Baltic Trading
Limited currently owns a fleet of nine drybulk vessels, consisting of two
Capesize, four Supramax, and three Handysize vessels with an aggregate
carrying capacity of approximately 672,000 dwt.

In addition to acquisitions that we may undertake in future periods, we will
incur additional expenditures due to special surveys and drydockings for our
fleet. We estimate that six of our vessels will complete drydockings in the
third quarter of 2012 and one additional vessel will be drydocked in the
fourth quarter of 2012. We further anticipate that seven of our vessels will
be drydocked in 2013.

We estimate our drydocking costs for our fleet, excluding the vessels owned by
Baltic Trading Limited, through 2013 to be:

                            Q3 2012      Q4 2012      2013
Estimated Costs ^(1)        $3.0 million $0.5 million $5.0 million
Estimated Offhire Days ^(2) 105          20           140

(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. Included in
the total estimated offhire days is the third quarter of 2012 portion of the
Genco Carrier drydock which amounted to five days.

The Genco Knight, Genco Raptor, Genco Cavalier, Genco Success and Genco Beauty
completed their respective drydockings during the second quarter of 2012,
while the Genco Carrier commenced its drydocking on June 19, 2012 and
completed the same during the third quarter, on July 5, 2012. The vessels
were on planned offhire for an aggregate of 105.4 days in connection with
their scheduled drydockings at a cumulative cost of approximately $3.4 million
for the second quarter of 2012.

Credit Facility Amendments

On August 1, 2012, the Company entered into separate agreements to amend
provisions of its 2007 Credit Facility, $253 Million Term Loan Facility and
$100 Million Term Loan Facility. DnB Nor Bank ASA, Deutsche Bank AG Filiale
Deutschlandgeschaft and Credit Agricole CIB, respectively, acted as the lead
arranger of each facility.

Under the terms of the agreements, Genco's scheduled amortization payments
have been eliminated through and including the quarter ending December 31,
2013. As a result, the Company's next scheduled amortization payment under its
three credit facilities will be due in the first quarter of 2014 in the amount
totaling $55.2 million. Additionally, the existing waivers for both the
maximum leverage ratio covenant and the interest coverage ratio covenant have
been extended under all three facilities from March 31, 2013 through and
including the quarter ending December 31, 2013.

As part of these agreements, the Company prepaid an aggregate of $99.9 million
in principal loan amounts reducing the facility amounts for each facility.
Specifically, $57.9 million was allocated to the 2007 Credit Facility, $30.5
million was allocated to the $253 Million Term Loan Facility and $11.5 million
allocated to the $100 Million Term Loan Facility.

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                 Six Months Ended
                   June 30,    June 30,               June 30,               June 30,
                   2012        2011                   2012                   2011
                   (Dollars in thousands,             (Dollars in thousands, except
                   except share and per               share and per share data)
                   share data)
                   (unaudited)                                   (unaudited)
INCOME STATEMENT
DATA:
Revenues:
 Voyage revenues   $ 62,112    $ 98,511               $ 121,137              $ 199,130
 Service revenues  819         819                    1,638                  1,629
   Total revenues  62,931      99,330                 122,775                200,759
Operating
expenses:
 Voyage expenses   995         (74)                   2,405                  894
 Vessel operating  29,516      25,465                 57,351                 50,260
 expenses
 General,
 administrative    8,362       8,298                  17,058                 17,149
 and management
 fees
 Depreciation and  34,491      34,025                 68,916                 67,106
 amortization
   Total operating 73,364      67,714                 145,730                135,409
   expenses
Operating (loss)   (10,433)    31,616                 (22,955)               65,350
income
Other (expense)
income:
 Other income      20          (56)                   4                      (111)
 (expense)
 Interest income   148         163                    303                    335
 Interest expense  (19,884)    (21,540)               (43,614)               (42,861)
   Other expense:  (19,716)    (21,433)               (43,307)               (42,637)
(Loss) Income
before income      (30,149)    10,183                 (66,262)               22,713
taxes:
 Income tax        (343)       (355)                  (615)                  (714)
 expense
Net (loss) income  (30,492)    9,828                  (66,877)               21,999
    Less: Net loss
    attributable
    to             (2,751)     (262)                  (6,037)                (1,517)
    noncontrolling
    interest
Net (loss) income
attributable to    $ (27,741)  $ 10,090               $ (60,840)             $ 23,516
Genco Shipping &
Trading Limited
Net (loss) income  $ (0.65)    $ 0.29                 $ (1.50)               $ 0.67
per share - basic
Net (loss) income
per share -        $ (0.65)    $ 0.29                 $ (1.50)               $ 0.67
diluted ^(1)
Weighted average
common shares      42,878,228  35,150,352             40,484,409             35,146,254
outstanding -
basic
Weighted average
common shares      42,878,228  35,204,649             40,484,409             35,211,636
outstanding -
diluted^(1)
                               June 30,               December
                               2012                   31, 2011
BALANCE SHEET                             (unaudited)
DATA:
Cash (including                $ 255,768              $ 237,718
restricted cash)
Current assets                 274,292                259,365
Total assets                   3,074,139              3,119,277
Current
liabilities
(including current             250,597                221,702
portion of long
term debt)
Total long-term
debt (including                1,670,084              1,694,393
current portion
and note payable)
Shareholders'
equity (including
$201.9 million and             1,352,461              1,361,618
$210.0 million of
non-controlling
 interest at June
 30, 2012 and
 December 31,
 2011,
 respectively)
                               Six Months Ended
                               June 30,               June 30,
                               2012                   2011
                                          (unaudited)
Net cash provided
by operating                   $ 558                  82,965
activities
Net cash used in
investing                      (2,650)                (68,318)
activities
Net cash provided
by financing                   20,142                 706
activities
1) The convertible notes were anti-dilutive for the
quarter and year to date periods ending June 30, 2012
and June 30, 2011.
                   Three Months Ended                 Six Months Ended
                   June 30,    June 30,               June 30,               June 30,
                   2012        2011                   2012                   2011
                   (Dollars in thousands)             (Dollars in thousands)
EBITDA             (unaudited)                                   (unaudited)
Reconciliation:
 Net (Loss) Income
 attributable to   $ (27,741)  $ 10,090               $ (60,840)             $ 23,516
 Genco Shipping &
 Trading Limited
 +  Net interest   19,736      21,377                 43,311                 42,526
    expense
 +  Income tax     343         355                    615                    714
    expense
    Depreciation
 +  and            34,491      34,025                 68,916                 67,106
    amortization
    EBITDA^(1)     $ 26,829    $ 65,847               $ 52,002               $ 133,862
                   Three Months Ended                 Six Months Ended
                   June 30,    June 30,               June 30,               June 30,
                   2012        2011                   2012                   2011
GENCO STANDALONE   (unaudited)                                   (unaudited)
FLEET DATA:
Total number of
vessels at end of  53          51                     53                     51
period
Average number of  53.0        50.6                   53.0                   49.8
vessels^(2)
Total ownership    4,823       4,600                  9,646                  9,012
days for fleet^(3)
Total available    4,713       4,568                  9,391                  8,961
days for fleet^(4)
Total operating    4,696       4,542                  9,339                  8,906
days for fleet^(5)
Fleet              99.6%       99.4%                  99.4%                  99.4%
utilization^(6)
AVERAGE DAILY
RESULTS:
Time charter       $ 11,435    19,325                 $ 11,209               $ 19,917
equivalent^(7)
Daily vessel
operating expenses 5,234       4,714                  5,096                  4,722
per vessel ^(8)
                   Three Months Ended                 Six Months Ended
                   June 30,    June 30,               June 30,               June 30,
                   2012        2011                   2012                   2011
CONSOLIDATED FLEET (unaudited)                                   (unaudited)
DATA:
Total number of
vessels at end of  62          60                     62                     60
period
Average number of  62.0        59.6                   62.0                   58.8
vessels^(2)
Total ownership    5,642       5,419                  11,284                 10,641
days for fleet^(3)
Total available    5,523       5,387                  11,020                 10,590
days for fleet^(4)
Total operating    5,498       5,357                  10,956                 10,531
days for fleet^(5)
Fleet              99.6%       99.4%                  99.4%                  99.4%
utilization^(6)
AVERAGE DAILY
RESULTS:
Time charter       $ 11,067    18,299                 $ 10,774               $ 18,720
equivalent^(7)
Daily vessel
operating expenses 5,232       4,700                  5,082                  4,723
per vessel ^(8)

(1) EBITDA represents net (loss) income attributable to Genco Shipping &
Trading Limited plus net interest expense, taxes and depreciation and
amortization. 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 our
consolidating internal financial statements, and it is presented for review at
our board meetings. The Company believes that EBITDA is useful to investors
as the shipping industry is capital intensive which often results in
significant depreciation and cost of financing. EBITDA presents investors
with a measure in addition to net income to evaluate the Company's performance
prior to these costs. 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. The foregoing definition
of EBITDA differs from the definition of Consolidated EBITDA used in the
financial covenants of our 2007 Credit Facility, our $253 Million Term Loan
Credit Facility, and $100 Million Term Loan Credit Facility. Specifically,
Consolidated EBITDA substitutes gross interest expense (which includes
amortization of deferred financing costs) for net interest expense used in our
definition of EBITDA, includes adjustments for restricted stock amortization
and non-cash charges for deferred financing costs related to the refinancing
of the other credit facilities or any non-cash losses from our investment in
Jinhui and excludes extraordinary gains or losses and gains or losses from
derivative instruments used for hedging purposes or sales of assets other than
inventory sold in the ordinary course of business.
(2) 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.
(3) 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.
(4) 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 between time
charters. 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.
(5) 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.
(6) 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.
(7) We define TCE rates as our net voyage revenue (voyage revenues less
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. Since some
vessels were acquired with an existing time charter at a below-market rate, we
allocated the purchase price between the vessel and an intangible liability
for the value assigned to the below-market charterhire. This intangible
liability is amortized as an increase to voyage revenues over the minimum
remaining term of the charter.
(8) 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.

Genco Shipping & Trading Limited's Fleet

Genco Shipping & Trading Limited transports iron ore, coal, grain, steel
products and other drybulk cargoes along worldwide shipping routes. Excluding
Baltic Trading's vessels, we own a fleet of 53 drybulk vessels, consisting of
nine Capesize, eight Panamax, 17 Supramax, six Handymax and 13 Handysize
vessels, with an aggregate carrying capacity of approximately 3,810,000 dwt.
In addition, our subsidiary Baltic Trading Limited currently owns a fleet of
nine drybulk vessels, consisting of two Capesize, four Supramax, and three
Handysize vessels.

Our current fleet, other than Baltic Trading's vessels, contains ten groups of
sister ships, which are vessels of virtually identical sizes and
specifications. We believe that maintaining a fleet that includes sister ships
reduces costs by creating economies of scale in the maintenance, supply and
crewing of our vessels. As of August 1, 2012, the average age of our fleet was
7.2 years, as compared to the average age for the world fleet of approximately
11 years for the drybulk shipping segments in which we compete.

The following table reflects the current employment of Genco's current fleet,
excluding Baltic Trading's vessels:

                 
                                           Charter        Cash Daily
Vessel           Year  Charterer           Expiration (1)
                                                          Rate (2)
                 Built
Capesize Vessels
Genco Augustus   2007  Cargill             October 2012   100% of BCI
                       International S.A.
Genco Tiberius   2007  Cargill             September 2012 100% of BCI
                       International S.A.
Genco London     2007  Cargill             July 2013      100% of BCI(3)
                       International S.A.
Genco Titus      2007  Swissmarine         September 2012 100% of BCI
                       Services S.A.
Genco            2008  Cargill             Aug. 2012/Oct. $52,750/100% of
Constantine            International S.A.  2013           BCI(4)(5)
Genco Hadrian    2008  Cargill             October 2012   $65,000(4)
                       International S.A.
Genco Commodus   2009  Swissmarine         May 2013       99% of BCI
                       Services S.A.
Genco Maximus    2009  Swissmarine         January 2013   98.5% of BCI
                       Services S.A.
Genco Claudius   2010  Swissmarine         December 2012  98.5% of BCI
                       Services S.A.
Panamax Vessels
Genco Beauty     1999  Global Maritime     May 2013       97% of BPI(6)
                       Investments Ltd.
Genco Knight     1999  Swissmarine         March 2013     98% of BPI
                       Services S.A.
Genco Leader     1999  J. Aron & Company   November 2012  100% of BPI
Genco Vigour     1999  Global Maritime     January 2013   97% of BPI
                       Investments Ltd.
Genco Acheron    1999  Global Maritime     December 2012  97% of BPI
                       Investments Ltd.
Genco Surprise   1998  Global Maritime     August 2012    97% of BPI
                       Investments Ltd.
Genco Raptor     2007  Global Maritime     March 2013     100% of BPI
                       Investments Ltd.
Genco Thunder    2007  Swissmarine         July 2012      97% of BPI(7)
                       Services S.A.
Supramax Vessels
Genco Predator   2005  D'Amico Dry Ltd.    April 2013     103% of BSI(8)
Genco Warrior    2005  Trafigura Beheer    October 2012   102% of BSI
                       B.V.
Genco Hunter     2007  Pacific Basin       August         106% of BSI/105% of
                       Chartering Ltd.     2012/July 2013 BSI(9)
Genco Cavalier   2007  D/S Norden          August 2012    $10,000
Genco Lorraine   2009  Olam International  August 2012    $18,500
                       Ltd.
Genco Loire      2009  Clipper Bulk        July 2013      $9,950(10)
                       Shipping N.V.
Genco Aquitaine  2009  Pioneer Navigation  March 2013     100% of BSI
                       Ltd.
Genco Ardennes   2009  Klaveness           August 2012    $19,000
                       Chartering
Genco Auvergne   2009  Pacific Basin       April 2013     100% of BSI
                       Chartering Ltd.
Genco Bourgogne  2010  Western Bulk        November 2012  $12,250
                       Carriers A/S
Genco Brittany   2010  D'Amico Dry Ltd.    April 2013     100% of BSI(11)
Genco Languedoc  2010  Wan Bong Chartering September 2012 $8,750(12)
                       Co. Ltd.
Genco Normandy   2007  Olam International  September 2012 $8,500(13)
                       Ltd.
Genco Picardy    2005  Trafigura Beheer    December 2012  98% of BSI
                       B.V.
Genco Provence   2004  Hamburg Bulk        December 2012  $12,000
                       Carriers
Genco Pyrenees   2010  Navig8 Inc.         February 2013  100% of BSI
Genco Rhone      2011  AMN Bulk Carriers   March 2013     100% of BSI
                       Inc.
Handymax Vessels
Genco Success    1997  ED & F MAN Shipping April 2013     91.5% of BSI
                       Ltd.
Genco Carrier    1998  Klaveness           June 2013      91% of BSI(14)
                       Chartering
Genco Prosperity 1997  SK Shipping Co.     October 2012   $8,000(15)
                       Ltd.
Genco Wisdom     1997  Klaveness           September 2012 92% of BSI
                       Chartering
Genco Marine     1996  ED & F MAN Shipping April 2013     91% of BSI
                       Ltd.
Genco Muse       2001  Trafigura Beheer    March 2013     93.5% of BSI
                       B.V.
Handysize
Vessels
Genco Explorer   1999  Lauritzen Bulkers   November 2012  Spot(16)
                       A/S
Genco Pioneer    1999  Lauritzen Bulkers   November 2012  Spot(16)
                       A/S
Genco Progress   1999  Lauritzen Bulkers   August 2013    Spot(16)
                       A/S
Genco Reliance   1999  Lauritzen Bulkers   August 2013    Spot(16)
                       A/S
Genco Sugar      1998  Lauritzen Bulkers   August 2013    Spot(16)
                       A/S
Genco Charger    2005  AMN Bulk Carriers   October 2012   100% of BHSI
                       Inc.
Genco Challenger 2003  AMN Bulk Carriers   November 2012  100% of BHSI
                       Inc.
Genco Champion   2006  Pacific Basin       March 2013     100% of BHSI
                       Chartering Ltd.
                       Cargill                            $8,500-$13,500 with
Genco Ocean      2010  International S.A.  June 2013      50% profit
                                                          sharing(17)
                       Cargill                            $8,500-$13,500 with
Genco Bay        2010  International S.A.  January 2013   50% profit
                                                          sharing(17)
                       Cargill                            $8,500-$13,500 with
Genco Avra       2011  International S.A.  March 2014     50% profit
                                                          sharing(17)
Genco Mare       2011  Cargill             May 2015       115% of BHSI
                       International S.A.
                       Cargill                            $8,500-$13,500 with
Genco Spirit     2011  International S.A.  September 2014 50% profit
                                                          sharing(17)

(1) The charter expiration dates presented represent the earliest dates that
our charters may be terminated in the ordinary course. Except for the Genco
Constantine and the Genco Hadrian, under the terms of each contract, the
charterer is entitled to extend the 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. The charterer of the Genco Hadrian has the option to extend the
charter for a period of one year. The charterer of the Genco Constantine has
the option to extend the charter for a period of eight months.
(2) Time charter rates presented are the gross daily charterhire rates before
third-party commissions generally ranging from 1.25% to 6.25%. In a time
charter, the charterer is responsible for voyage expenses such as bunkers,
port expenses, agents' fees and canal dues.
(3) We have agreed to an extension with Cargill International S.A. on a spot
market-related time charter for 11.5 to 14.5 months based on 100% of the
Baltic Capesize Index (BCI), published by the Baltic Exchange, as reflected in
daily reports. Hire is paid every 15 days in arrears less a 5.00% third party
brokerage commission. Genco maintains the option to convert to a fixed rate
based on Capesize FFA values at 100%. The vessel went to drydock for
scheduled repairs on July 28, 2012. The extension will begin when the vessel
is out of drydock on or about August 8, 2012.
(4) These charters include a 50% index-based profit sharing component above
the respective base rates listed in the table. The profit sharing between the
charterer and us for each 15-day period is calculated by taking the average
over that period of the published BCI of the four time charter routes, as
reflected in daily reports. If such average is more than the base rate payable
under the charter, the excess amount is allocable 50% to each of the charterer
and us. A third-party brokerage commission of 3.75% based on the profit
sharing amount due to us is payable out of our share.
(5) We have agreed to an extension with Cargill International S.A. on a spot
market-related time charter for 14 to 16.5 months based on 100% of the BCI, as
reflected in daily reports. Hire is paid every 15 days in arrears less a
5.00% third party brokerage commission. Genco maintains the option to convert
to a fixed rate based on Capesize FFA values at 100%. The extension will
begin on or about August 21, 2012.
(6) We have reached an agreement with Global Maritime Investments Ltd. on a
spot market-related time charter for a minimum of eleven months based on 97%
of the Baltic Panamax Index (BPI), published by the Baltic Exchange, as
reflected in daily reports, except for the initial 50 days in which hire is
based on 97% of the rate for the Baltic Panamax P3A route. Hire is paid every
15 days in arrears less a 5.00% third party brokerage commission. Genco
maintains the option to convert to a fixed rate based on Panamax FFA values at
97%. The vessel delivered to charterers on June 15, 2012 after drydock for
scheduled repairs was completed.
(7) The vessel redelivered to Genco on July 28, 2012 and is currently in
drydock for scheduled repairs.
(8) We have reached an agreement with D'Amico Dry Ltd. on a spot
market-related time charter for 11 to 13.5 months based on 103% of the Baltic
Supramax Index (BSI), published by the Baltic Exchange, as reflected in daily
reports. Hire is paid every 15 days in arrears less a 5.00% third party
brokerage commission. Genco maintains the option to convert to a fixed rate
based on Supramax FFA values at 103%. The vessel delivered to charterers on
May 23, 2012.
(9) We have agreed to an extension with Pacific Basin Chartering Ltd. on a
spot market-related time charter for 11.5 to 14.5 months based on 105% of the
BSI, as reflected in daily reports, except for the initial 45 days in which
hire is $4,000 per day. Hire is paid every 15 days in arrears less a 5.00%
third party brokerage commission. Genco maintains the option to convert to a
fixed rate based on Supramax FFA values at 105%. The extension will begin on
or about August 12, 2012.
(10) We have reached an agreement with Clipper Bulk Shipping N.V. on a time
charter for 11 to 14.5 months at a rate of $9,950 per day less a 5.00% third
party brokerage commission. Hire is paid every 15 days in advance. The
vessel will deliver to charterers on or about August 13, 2012 after
repositioning. The vessel was previously on a time charter with Oldendorff
GMBH & Co. at a rate of $6,250 per day less a 5.00% third party brokerage
commission which began on June 7, 2012 and concluded on July 28, 2012.
(11) We have reached an agreement with D'Amico Dry Ltd. on a spot
market-related time charter for 11 to 13.5 months based on 100% of the average
of the daily rates of the BSI, as reflected in daily reports. Hire is paid
every 15 days in arrears less a 5.00% third party brokerage commission. Genco
maintains the option to convert to a fixed rate based on Supramax FFA values
at 100%. The vessel delivered to charterers on May 9, 2012.
(12) We have reached an agreement with Wan Bong Chartering Co. Ltd. on a time
charter for two laden legs at a rate of $8,750 per day less a 5.00% third
party brokerage commission. Hire is paid every 15 days in advance. The
vessel delivered to charterers on June 7, 2012.
(13) We have agreed to an extension with Olam International Ltd. on a time
charter for 2 to 5 months at a rate of $8,500 per day less a 5.00% third party
brokerage commission. Hire is paid every 15 days in advance. The extension
began on July 13, 2012.
(14) We have reached an agreement with Klaveness Chartering on a spot
market-related time charter for 11 to 13.5 months based on 91% of the average
of the daily rates of the BSI, as reflected in daily reports, except for the
initial 35 days in which hire is based on 91% of the rate for the Baltic
Supramax S2 route. Hire is paid every 15 days in arrears less a 5.00% third
party brokerage commission. Genco maintains the option to convert to a fixed
rate based on Supramax FFA values at 91%. The vessel went to drydock on June
19, 2012 and delivered to charterers on July 6, 2012.
(15) We have reached an agreement with SK Shipping Co. Ltd. on a time charter
for 3.5 to 6 months at a rate of $8,000 per day less a 5.00% third party
brokerage commission. Hire is paid every 15 days in advance. The vessel
delivered to charterers on June 20, 2012.
(16) We have reached an agreement to enter these vessels into the LB/IVS Pool
whereby Lauritzen Bulkers A/S acts as the pool manager. We can withdraw up to
two vessels with three months' notice and the remaining three vessels with 12
months' notice.
(17) The rate for the spot market-related time charter is linked with a floor
of $8,500 and a ceiling of $13,500 daily with a 50% profit sharing arrangement
to apply to any amount above the ceiling. The rate is based on 115% of the
average of the daily rates of the Baltic Handysize Index (BHSI), published by
the Baltic Exchange, as reflected in daily reports. Hire is paid every 15 days
in advance net of a 5.00% third party brokerage commission. These vessels
were acquired with existing time charters with below-market rates. For these
below-market time charters, Genco allocates the purchase price between the
respective vessels and an intangible liability for the value assigned to the
below-market charter-hire. This intangible liability is amortized as an
increase to voyage revenues over the minimum remaining terms of the applicable
charters, at which point the respective liabilities will be amortized to zero
and the vessels will begin earning the ''Cash Daily Rate.'' For cash flow
purposes, Genco will continue to receive the rate presented in the ''Cash
Daily Rate'' column until the charter expires. Specifically, for the Genco
Spirit, Genco Avra, Genco Ocean and Genco Bay, the daily amount of
amortization associated with the below-market rates are approximately $200,
$350, $700 and $750 per day over the actual cash rate earned, respectively.

About Genco Shipping & Trading Limited

Genco Shipping & Trading Limited transports iron ore, coal, grain, steel
products and other drybulk cargoes along worldwide shipping routes. Excluding
Baltic Trading Limited's fleet, we own a fleet of 53 drybulk vessels,
consisting of nine Capesize, eight Panamax, 17 Supramax, six Handymax and 13
Handysize vessels, with an aggregate carrying capacity of approximately
3,810,000 dwt. In addition, our subsidiary Baltic Trading Limited currently
owns a fleet of nine drybulk vessels, consisting of two Capesize, four
Supramax, and three Handysize vessels. References to Genco's vessels and fleet
in this press release exclude vessels owned by Baltic Trading Limited.

Conference Call Announcement

Genco Shipping & Trading Limited announced that it will hold a conference call
on Thursday, August 2, 2012 at 8:30 a.m. Eastern Time, to discuss its 2012
second 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 (888) 452-4030 or
(719) 325-2334 and enter passcode 7066040. A replay of the conference call can
also be accessed for two weeks by dialing (888) 203-1112 or (719) 457-0820 and
entering the passcode 7066040. 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. Such forward-looking statements use words such as "anticipate,"
"budget," "estimate," "expect," "project," "intend," "plan," "believe," and
other words and terms of similar meaning in connection with a discussion of
potential future events, circumstances or future operating or financial
performance. 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) declines in demand
or rates in the drybulk shipping industry; (ii) prolonged weakness in drybulk
shipping rates; (iii) changes in the supply of or demand for drybulk products,
generally or in particular regions; (iv) changes in the supply of drybulk
carriers including newbuilding of vessels or lower than anticipated scrapping
of older vessels; (v) 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; (vi) increases in costs and expenses including but not limited
to: crew wages, insurance, provisions, lube, oil, bunkers, repairs,
maintenance and general, administrative and management fee expenses; (vii)
whether our insurance arrangements are adequate; (viii) changes in general
domestic and international political conditions; (ix) acts of war, terrorism,
or piracy; (x) 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; (xi) the Company's acquisition or disposition of
vessels; (xii) the amount of offhire time needed to complete repairs on
vessels and the timing and amount of any reimbursement by our insurance
carriers for insurance claims, including offhire days; (xiii) the completion
of definitive documentation with respect to charters; (xiv) charterers'
compliance with the terms of their charters in the current market environment;
(xv) the fulfillment of post-closing actions required under our recent credit
facility amendments, including effecting a second priority security interest
in favor of lenders under our 2007 Credit Facility in vessels pledged under
our other two credit facilities; and other factors listed from time to time in
our public filings with the Securities and Exchange Commission including,
without limitation, the Company's Annual Report on Form 10-K for the year
ended December 31, 2011 and its reports on Form 10-Q and Form 8-K.

SOURCE Genco Shipping & Trading Limited

Website: http://www.GencoShipping.com
Contact: John C. Wobensmith, Chief Financial Officer, Genco Shipping & Trading
Limited, +1-646-443-8555
 
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