Safe Bulkers, Inc. Announces Collection of $36.3 Million Arbitration Award
Proceeds in Relation to a Cancelled Capesize Vessel
ATHENS, GREECE -- (Marketwired) -- 03/26/14 -- Safe Bulkers, Inc.
(the Company) (NYSE: SB), an international provider of marine drybulk
transportation services, announced today that following an
arbitration award issued in January 2014 in favor of the Company by a
London arbitration tribunal, in relation to the cancelled Capesize
class vessel with Hull number J0131, the Company has now collected
the full amount of advances paid to the shipyard of $31.8 million and
interest of $4.5 million, calculated with a rate of 5% from the
receipt of the relevant installments by the shipyard until the refund
of such installments.
The amount of $31.8 million was already recorded within accounts
receivable on the balance sheet of the Company as of December 31,
2013. The amount of $4.5 million will be recorded in the income
statement of the Company for the first quarter 2014, net of
capitalized expenses related to the vessel's construction and legal
expenses related to the cancellation.
About Safe Bulkers, Inc.
The Company is an international provider of marine drybulk
transportation services, transporting bulk cargoes, particularly
coal, grain and iron ore, along worldwide shipping routes for some of
the world's largest users of marine drybulk transportation services.
The Company's common stock and series B preferred stock is listed on
the NYSE, where it trades under the symbols "SB" and "SB.PR.B",
respectively. The Company's current fleet consists of 31 drybulk
vessels, all built 2003 onwards, and the Company has contracted to
acquire seven additional drybulk newbuild vessels to be delivered at
various times through 2016.
This press release contains forward-looking statements (as defined in
Section 27A of the Securities Exchange Act of 1933, as amended, and
in the Section 21E of the Securities Act of 1934, as amended)
concerning future events, the Company's growth strategy and measures
to implement such strategy, including expected vessel acquisitions
and entering into further time charters. Words such as "expects,"
"intends," "plans," "believes," "anticipates," "hopes," "estimates"
and variations of such words and similar expressions are intended to
identify forward-looking statements. Although the Company believes
that the expectations reflected in such forward-looking statements
are reasonable, no assurance can be given that such expectations will
prove to have been correct. These statements involve known and
unknown risks and are based upon a number of assumptions and
estimates which are inherently subject to significant uncertainties
and contingencies, many of which are beyond the control of the
Company. Actual results may differ materially from those expressed or
implied by such forward-looking statements. Factors that could cause
actual results to differ materially include, but are not limited to,
changes in the demand for drybulk vessels, competitive factors in the
market in which the Company operates, risks associated with
operations outside the United States and other factors listed from
time to time in the Company's filings with the Securities and
Exchange Commission. The Company expressly disclaims any obligations
or undertaking to release any updates or revisions to any
forward-looking statements contained herein to reflect any change in
the Company's expectations with respect thereto or any change in
events, conditions or circumstances on which any statement is based.
For further information please contact:
Dr. Loukas Barmparis
Safe Bulkers, Inc.
Tel.: +30 2 111 888 400
Fax: +30 2 111 878 500
Investor Relations / Media Contact:
Capital Link, Inc.
230 Park Avenue, Suite 1536
New York, N.Y. 10169
Tel.: (212) 661-7566
Fax: (212) 661-7526
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