-- Revenue from operations for the quarter amounted to $186.2 million as compared to $189.2 million in the fourth quarter of 2008. -- Net profit for the quarter was $81.8 million or $1.00 per weighted average diluted share compared to a loss of $332.1 million or $7.56 per weighted average diluted share in the fourth quarter of 2008. -- The fourth quarter 2009 results include a non-cash unrealized interest-rate swap gain of $8.1 million compared to a non-cash unrealized interest-rate swap loss of $40.2 million in the corresponding period in 2008. The changes in the fair values of interest rate swaps are recorded in income as they do not meet the criteria for hedge accounting. In addition, the fourth quarter 2009 results include a non cash loss on disposal of an ownership interest in one of our joint ventures amounting to $3.7 million. Net income, excluding the above items, for the fourth quarter of 2009 would have amounted to $77.4 million or $0.95 per weighted average diluted share compared to an adjusted net income for the fourth quarter of 2008 of $72.3 million or $1.64 per weighted average diluted share (A reconciliation of adjusted Net income to Net Income is included in a subsequent section of this release). -- Adjusted EBITDA for the fourth quarter of 2009 was $62.0 million compared to $54.9 million for the fourth quarter of 2008 (A reconciliation of adjusted EBITDA to Net Income is included in a subsequent section of this release). -- An average of 47 and 47.1 vessels were operated during the fourth quarters of 2009 and 2008, respectively, earning a blended average time charter equivalent rate of $22,686 and $23,207 per day, respectively.Year ended December 31, 2009 Highlights:
-- Revenue from operations for the year ended December 31, 2009 amounted to $756.6 million from $696.1 million in the year ended December 31, 2008. -- Net profit for year ended December 31, 2009 was $339.8 million or $4.85 per weighted average diluted share compared to a loss of $55.9 million or $1.53 per weighted average diluted share in the respective period of 2008. -- The twelve months 2009 results include a non-cash unrealized interest- rate swap gain of $27.2 million compared to an unrealized interest rate swap loss of $25.8 million in the corresponding period in 2008. -- Net income for 2009 includes also a non-cash item of $0.1 million relating to the resulting gain from the sale of the vessel Swift and $3.7 million relating to the loss on disposal of our ownership interest in one of our joint ventures. Net income, excluding the above items, would have amounted to $316.2 million or $4.52 per weighted average diluted share for the year ended December 31, 2009 compared to an adjusted net income of $334.1 million or $9.01 per weighted average diluted share for the respective period in 2008 (A reconciliation of adjusted Net income to Net Income is included in a subsequent section of this release). -- Adjusted EBITDA for the year ended December 31, 2009 was $231.7 million compared to $308.0 million for the respective period of 2008 (A reconciliation of adjusted EBITDA to Net Income is included in a subsequent section of this release).Fourth Quarter 2009 Corporate Developments
-- On October 27, 2009, in order to simplify and consolidate our newbuildings, we reached agreements with one of our joint venture partners for the exchange/transfer of our ownership interests in three consolidated joint venture companies under which we agreed to exchange our 50% ownership interest in Lillie ShipCo LLC for a consideration of $1.2 million and the transfer by the joint venture partner to us of its 50% ownership interest in Hope ShipCo LLC. In addition, the joint venture partner sold its 28.6% ownership interest in Christine ShipCo LLC to us for a consideration of $2.8 million. Following the completion of the transaction, we became 100% owner of Hope ShipCo LLC and increased our interest in Christine ShipCo LLC to 71.4%. Both companies continue being consolidated in our financial statements, while Lillie ShipCo was deconsolidated as of the date we ceased to have a financial interest in it. The above transaction resulted in a total loss of $10.9 million, out of which $3.7 million is related to the disposal of Lille ShipCo LLC and is separately reflected in our consolidated statements of operations, while the remaining $7.2 million is related to Hope ShipCo LLC and Christine ShipCo LLC and is reflected in our consolidated equity as of December 31, 2009, since the Company increased its controlling interest in those two consolidated companies. -- On October 27, 2009, Hope ShipCo LLC and Christine ShipCo LLC loan agreements were amended to reflect the changes in the ownership of the companies discussed above.Recent Developments
-- On February 11, 2010, Hope ShipCo LLC entered into a loan agreement for the pre and post delivery financing of Hope. The drawdown of the loan will be in various installments following the vessel construction progress through November 2010. The loan is repayable in twenty quarterly installments and a balloon payment through January 2016. The first installment will be due three months after the vessel delivery.Vessels new fixtures On November 5, 2009, the M/V Elinakos, a Panamax vessel of 73,751 dwt built in 1997, was fixed under a new time charter for a period of 4-6 months at a daily rate of $25,000. On November 6, 2009, the M/V Renuar, a Panamax vessel of 70,155 dwt built in 1993, was fixed under a new time charter for a period of 12-14 months at a daily rate of $22,500. On January 8, 2010, the M/V Princess I, a Handymax vessel of 38,858 dwt built in 1994, was fixed under a new time charter for a period of 3-4 months at a daily rate of $21,500. Time Charter Coverage We have secured under time charter employment 56% of our operating days for the year ending December 31, 2010. Management Commentary: Lefteris Papatrifon, Chief Financial Officer of Excel, stated, "We are pleased to report yet another profitable quarter with increased cash flow generation. Our balanced fleet deployment strategy has allowed us to take advantage of the continuously improving dry bulk market conditions and has resulted in increased EBITDA generation throughout the year. We believe that the performance of the dry bulk market throughout 2009 has verified our cautiously optimistic outlook that we have been communicating to the market since the first quarter of last year. We continue to believe that the dry bulk fundamentals remain intact, resulting in balanced market conditions for the short to medium term. Therefore, although we believe that our market will continue being volatile, we remain optimistic about the dry bulk market prospects and expect 2010 to be another financially strong year for our Company. During 2009, we have reduced our debt by approximately $217 million and our net debt to capitalization stood at 40% compared to 53% at the end of 2008. We will continue implementing our strategy of utilizing excess cash flows for further deleveraging while, at the same time, we will be looking forward to taking advantage of attractive growth opportunities that might be presented to us." Fourth Quarter 2009 Results: The Company reported net profit for the quarter of $81.8 million or $1.00 per weighted average diluted share compared to a loss of $332.1 million or $7.56 per weighted average diluted share in the fourth quarter of 2008. The fourth quarter 2009 results include a non-cash unrealized interest-rate swap gain of $8.1 million compared to a non-cash unrealized interest-rate swap loss of $40.2 million in the corresponding period in 2008. In addition, the fourth quarter 2009 results include a non cash loss on disposal of an ownership interest in one of our joint ventures amounting to $3.7 million. Net income, excluding the above items, for the fourth quarter of 2009 would have amounted to $77.4 million or $0.95 per weighted average diluted share compared to an adjusted net income for the fourth quarter of 2008 of $72.3 million or $1.64 per weighted average diluted share (A reconciliation of adjusted Net income to Net Income is included in a subsequent section of this release). Included in the above adjusted net income are also the amortization of favorable and unfavorable time charters that were fair valued upon acquiring Quintana Maritime Limited ("Quintana") on April 15, 2008 amounting to a net income of $73.4 million ($0.9 per weighted average diluted share) and $68.7 million ($1.6 per weighted average diluted share) for the fourth quarters of 2009 and 2008, respectively, and the amortization of stock based compensation expense of $5.5 million ($0.07 per weighted average diluted share) and $1.9 million ($0.04 per weighted average diluted share), for the quarters ended December 31, 2009 and 2008, respectively. In addition, effective January 1, 2009, we changed the method of accounting for dry-docking and special survey costs from the deferral method to the expense as incurred method and adopted FASB Accounting Standard Codification™ ("ASC") Topic 470-20 that changed the method of accounting for our Convertible Notes. Please refer to a subsequent section of this Press Release for a further discussion on these accounting changes. Such changes were effected retrospectively to all periods presented and their effect in the quarter ended December 31, 2009 was an increase in net income of approximately $1.2 million or $0.01 per weighted average diluted share in relation to the change in dry-dock and special survey policy and a decrease in net income of $1.5 million or $0.02 per weighted average diluted share in relation to the change in the accounting for the convertible notes. Revenues for the fourth quarter of 2009 amounted to $186.2 million as compared to $189.2 million for the same period in 2008, a decrease of approximately 1.6%. Included in revenues for the fourth quarter of 2009 and 2008 are $83.5 million and $78.8 million, respectively of non-cash revenues relating to the amortization of unfavorable time charters that were fair valued upon acquiring Quintana. An average of 47 and 47.1 vessels were operated during the fourth quarters of 2009 and 2008, respectively, earning a blended average time charter equivalent rate of $22,686 and $23,207 per day, respectively. Please refer to a subsequent section of this Press Release for a calculation of the TCE. Adjusted EBITDA for the fourth quarter of 2009 was $62.0 million compared to $54.9 million for the fourth quarter of 2008, an increase of approximately 12.9%. Please refer to a subsequent section of this Press Release for a reconciliation of adjusted EBITDA to Net Income. Year ended December 31, 2009: The Company reported net profit for year ended December 31, 2009 of $339.8 million or $4.85 per weighted average diluted share compared to a loss of $55.9 million or $1.53 per weighted average diluted share in the respective period of 2008. The twelve months 2009 results include a non-cash unrealized interest-rate swap gain of $27.2 million compared to a non-cash unrealized interest-rate swap loss of $25.8 million in the corresponding period in 2008. Net income for 2009 also includes a non-cash item of $0.1 million relating to the resulting gain from the sale of vessel Swift and $3.7 million relating to the loss on disposal of our ownership interest in one of our joint ventures. Net income, excluding the above items, would have amounted to $316.2 million or $4.52 per weighted average diluted share for the year ended December 31, 2009 compared to an adjusted net income of $334.1 million or $9.01 per weighted average diluted share for the respective period in 2008 (A reconciliation of adjusted Net income to Net Income is included in a subsequent section of this release). Included in the above adjusted net income are also the amortization of favorable and unfavorable time charters discussed above and amounting to a net income of $324.4 million ($4.6 per weighted average diluted share) and $205.5 million ($5.6 per weighted average diluted share) for the year ended December 31, 2009 and 2008, respectively and the amortization of stock based compensation expense of $19.8 million ($0.3 per weighted average diluted share) and $8.6 million ($0.2 per weighted average diluted share), respectively. The effect of the accounting changes discussed above in the year ended December 31, 2009 was a decrease in net income of approximately $1.2 million or $0.02 per weighted average diluted share due to the change in dry-dock and special survey policy and $5.9 million or $0.08 per weighted average diluted share due to the change in the accounting for the convertible notes. Revenues for the year amounted to $756.6 million as compared to $696.1 million for the same period in 2008, an increase of approximately 8.7%. Included in revenues for the year ended December 31, 2009 and 2008 are $364.4 million and $234.0 million, respectively of non-cash revenues relating to the amortization of unfavorable time charters that were fair valued upon acquiring Quintana. An average of 47.2 vessels were operated during the year ended December 31, 2009, earning a blended average time charter equivalent (TCE) rate of $21,932 per day compared to $31,291 per day for the year ended December 31, 2008 earned by an average of 38.6 vessels. Please refer to a subsequent section of this Press Release for a calculation of the TCE. Adjusted EBITDA for the year was $231.7 million compared to $308.0 million for the respective period of 2008, a decrease of approximately 24.8%. Please refer to a subsequent section of this Press Release for a reconciliation of adjusted EBITDA to Net Income. Conference Call Details: Tomorrow February 25, 2010 at 09:30 A.M. EST, the company's management will host a conference call to discuss the results. Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 1 866 819 7111 (US Toll Free Dial In), 0800 953 0329 (UK Toll Free Dial In) or +44 (0)1452 542 301 (Standard International Dial In). Please quote "Excel Maritime" to the operator. A telephonic replay of the conference call will be available until March 4, 2010 by dialing 1 866 247 4222 (US Toll Free Dial In), 0800 953 1533 (UK Toll Free Dial In) or +44 (0)1452 550 000 (Standard International Dial In). Access Code: 1838801# Slides and audio webcast: There will also be a live, and then archived, webcast of the conference call, available through Excel Maritime Carriers' website (www.excelmaritime.com). Participants for the live webcast should register on the website approximately 10 minutes prior to the start of the webcast. - Financial Statements and Other Financial Data Follow -
EXCEL MARITIME CARRIERS LTD AND SUBSIDIARIES UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE THREE- MONTH PERIODS ENDED DECEMBER 31, 2008 AND 2009 (In thousands of U.S. Dollars, except for share and per share data) Three-Month period ended December 31, 2008 (as adjusted) 2009 ------------ ------------ REVENUES: Voyage revenues $ 110,145 $ 102,634 Time Charter fair value amortization 78,816 83,497 Revenue from managing related party vessels 192 106 ------------ ------------ Revenue from operations 189,153 186,237 ------------ ------------ EXPENSES: Voyage expenses 10,950 4,971 Charter hire expense 8,274 8,276 Charter hire amortization 10,066 10,068 Commissions to a related party 659 658 Vessel operating expenses 21,976 20,316 Depreciation expense 30,317 31,075 Dry-docking and special survey cost 3,982 1,622 General and administrative expenses 7,762 12,178 ------------ ------------ 93,986 89,164 ------------ ------------ Vessel impairment loss (2,232) - Loss on disposal of JV ownership interest - (3,705) Write down of goodwill (335,404) - Loss from vessel's purchase cancellation (15,632) - Income (loss) from operations (258,101) 93,368 ------------ ------------ OTHER INCOME (EXPENSES): Interest and finance costs (20,083) (12,004) Interest income 400 286 Interest rate swap gain (loss) (42,659) 107 Foreign exchange gain (loss) 154 (91) Other, net (659) 225 ------------ ------------ Total other income (expenses), net (62,847) (11,477) ------------ ------------ Net income (loss) before taxes and income from investment in affiliate (320,948) 81,891 ------------ ------------ US Source Income taxes (189) (145) ------------ ------------ Net income (loss) before income from investment in affiliate (321,137) 81,746 ------------ ------------ Income from Investment in affiliate (34) - Loss in value of investment in affiliate (10,963) - ------------ ------------ Net income (loss) (332,134) 81,746 ------------ ------------ Plus: Loss assumed by the non controlling interests 41 30 ------------ ------------ ------------ ------------ Net income (loss) attributable to Excel Maritime Carriers Ltd. $ (332,093) $ 81,776 ============ ============ Earnings (losses) per common share, basic $ (7.56) $ 1.05 ============ ============ Weighted average number of shares, basic 43,985,293 77,895,466 ============ ============ Earnings (losses) per common share, diluted $ (7.56) $ 1.00 ============ ============ Weighted average number of shares, diluted 43,985,293 81,546,216 ============ ============ EXCEL MARITIME CARRIERS LTD AND SUBSIDIARIES UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE YEAR ENDED DECEMBER 31, 2008 AND 2009 (In thousands of U.S. Dollars, except for share and per share data) Year ended December 31, 2008 2009 (as adjusted) (unaudited) ------------ ------------ REVENUES: Voyage revenues $ 461,203 $ 391,746 Time Charter fair value amortization 233,967 364,368 Revenue from managing related party vessels 890 488 ------------ ------------ Revenue from operations 696,060 756,602 ------------ ------------ EXPENSES: Voyage expenses 28,145 19,317 Charter hire expense 23,385 32,832 Charter hire amortization 28,447 39,952 Commissions to a related party 3,620 2,260 Vessel operating expenses 69,684 83,197 Depreciation expense 98,753 123,411 Dry-docking and special survey cost 13,511 11,379 General and administrative expenses 32,925 42,995 ------------ ------------ 298,470 355,343 ------------ ------------ Gain on sale of vessel - 61 Loss on disposal of JV ownership interest - (3,705) Vessel impairment loss (2,232) - Write down of goodwill (335,404) - Loss from vessel's purchase cancellation (15,632) - Income from operations 44,322 397,615 ------------ ------------ OTHER INCOME (EXPENSES): Interest and finance costs (61,942) (57,096) Interest income 7,053 809 Interest rate swap loss (35,884) (1,126) Foreign exchange gain (loss) 71 (322) Other, net 1,585 408 ------------ ------------ Total other income (expenses), net (89,117) (57,327) ------------ ------------ Net income (loss) before taxes and income from investment in affiliate (44,795) 340,288 ------------ ------------ US Source Income taxes (783) (660) ------------ ------------ Net income (loss) before income from investment in affiliate (45,578) 339,628 ------------ ------------ Income from Investment in affiliate 487 - Loss in value of investment in affiliate (10,963) - ------------ ------------ Net income (loss) (56,054) 339,628 ------------ ------------ Plus: Loss assumed by the non controlling interests 140 154 ------------ ------------ Net income (loss) attributable to Excel Maritime Carriers Ltd. $ (55,914) $ 339,782 ============ ============ Earnings (losses) per common share, basic $ (1.53) $ 5.03 ============ ============ Weighted average number of shares, basic 37,003,101 67,565,178 ============ ============ Earnings (losses) per common share, diluted $ (1.53) $ 4.85 ============ ============ Weighted average number of shares, diluted 37,003,101 69,999,760 ============ ============ EXCEL MARITIME CARRIERS LTD AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS AT DECEMBER 31, 2008 AND 2009 (In thousands of U.S. Dollars) December 31, 2008 2009 (as adjusted) (unaudited) ------------ ------------ ASSETS CURRENT ASSETS: Cash and cash equivalents $ 109,792 $ 100,098 Restricted cash 53 34,426 Accounts receivable 10,247 6,016 Other current assets 6,958 7,560 ------------ ------------ Total current assets 127,050 148,100 ------------ ------------ FIXED ASSETS: Vessels, net 2,786,717 2,660,163 Advances for vessels under construction 106,898 71,184 Office furniture and equipment, net 1,722 1,450 ------------ ------------ Total fixed assets, net 2,895,337 2,732,797 ------------ ------------ OTHER NON CURRENT ASSETS: Time charters acquired, net 264,263 224,311 Restricted cash 24,947 24,974 Investment in affiliate 5,212 - ------------ ------------ Total assets $ 3,316,809 $ 3,130,182 ============ ============ LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Current portion of long-term debt, net of deferred financing fees $ 220,410 $ 134,681 Accounts payable 6,440 5,349 Other current liabilities 47,934 47,801 Current portion of financial instruments 40,119 29,343 ------------ ------------ Total current liabilities 314,903 217,174 ------------ ------------ Long-term debt, net of current portion and net of deferred financing fees 1,256,707 1,121,765 Time charters acquired, net 650,781 280,413 Financial instruments 41,020 24,558 ------------ ------------ Total liabilities 2,263,411 1,643,910 ------------ ------------ Commitments and contingencies - - ------------ ------------ STOCKHOLDERS' EQUITY: Preferred stock - - Common stock 461 799 Additional paid-in capital 944,207 1,046,606 Other Comprehensive Loss (74) (85) Retained earnings 94,063 433,845 Less: Treasury stock (189) (189) ------------ ------------ Excel Maritime Carriers Ltd. Stockholders' equity 1,038,468 1,480,976 ------------ ------------ Non-controlling interests 14,930 5,296 ------------ ------------ Total Stockholders' Equity 1,053,398 1,486,272 ------------ ------------ Total liabilities and stockholders' equity $ 3,316,809 $ 3,130,182 ============ ============ EXCEL MARITIME CARRIERS LTD AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2008 AND 2009 (In thousands of U.S. Dollars) Year ended December 31, 2008 2009 (as adjusted) (unaudited) ------------ ------------ Cash Flows from Operating Activities: Net income (loss) $ (56,054) $ 339,628 Adjustments to reconcile net income (loss) to net cash provided by operating activities 301,283 (194,786) Changes in operating assets and liabilities: Operating assets (2,259) 3,629 Operating liabilities 20,929 (1,219) ------------ ------------ Net Cash provided by Operating Activities $ 263,899 $ 147,252 ------------ ------------ Cash Flows from Investing Activities: Acquisition of Quintana, net of cash acquired (692,420) - Joint ventures ownership transfer - (1,591) Advances for vessels under construction (84,866) (9,379) Additions to vessel cost (342) (113) Additions to office furniture and equipment (401) (146) Payment for vessel's purchase cancellation (7,250) - Proceeds received from Oceanaut's liquidation - 5,212 Proceeds from sale of vessel - 3,735 ------------ ------------ Net cash used in Investing Activities $ (785,279) $ (2,282) ------------ ------------ Cash Flows from Financing Activities: Increase in restricted cash (10,000) (34,400) Proceeds from long-term debt 1,405,642 5,067 Repayment of long-term debt (944,945) (216,851) Payment of financing costs (15,290) (1,938) Issuance of common stock, net of issuance costs (131) 90,130 Capital contributions from non-controlling interest owners 738 3,328 Dividends paid (48,514) - ------------ ------------ Net cash provided by (used in) Financing Activities $ 387,500 $ (154,664) ------------ ------------ Net decrease in cash and cash equivalents (133,880) (9,694) Cash and cash equivalents at beginning of period 243,672 109,792 ------------ ------------ Cash and cash equivalents at end of the period $ 109,792 $ 100,098 ============ ============ SUPPLEMENTAL CASH FLOW INFORMATION: Cash paid during the period for: Interest payments $ 35,595 $ 56,159 U.S. Source income taxes 861 740 Non-cash financing activities Class A common stock issued as part of the consideration paid for the acquisition of Quintana $ 682,333 $ - Class A common stock issued as part of vessel purchase cancellation 8,382 - Adjusted EBITDA Reconciliation (all amounts in thousands of U.S. Dollars) Three-month period ended Year ended December 31, December 31, 2008 2009 2008 2009 Net income (loss) (332,093) 81,776 (55,914) 339,782 Interest and finance costs, net (1) 22,164 19,675 64,952 84,651 Depreciation 30,317 31,075 98,753 123,411 Dry-dock and special survey cost 3,982 1,622 13,511 11,379 Vessel impairment loss 2,232 - 2,232 - Write down of goodwill 335,404 - 335,404 - Loss from vessel's purchase cancellation 8,382 - 8,382 - Loss on disposal of JV ownership interest - 3,705 - 3,705 Loss in value of investment 10,963 - 10,963 - Unrealized swap (gain) loss 40,178 (8,064) 25,821 (27,238) Amortization of T/C fair values (2) (68,750) (73,429) (205,520) (324,416) Stock based compensation 1,922 5,528 8,596 19,847 Gain on sale of vessel - - - (61) Taxes 189 145 783 660 -------- -------- -------- -------- Adjusted EBITDA 54,890 62,033 307,963 231,720 ======== ======== ======== ======== (1) Includes swap interest paid and received (2) Analysis: Three-month period ended Year ended December 31, December 31, 2008 2009 2008 2009 Non-cash amortization of unfavorable time charters in revenue (78,816) (71,883) (233,967) (301,280) Non-cash accelerated amortization of M/V Sandra, Coal Pride and Grain Harvester time charter fair value due to charter termination - (11,614) - (63,088) Non-cash amortization of favorable time charters in charter hire expense 10,066 10,068 28,447 39,952 ---------- ---------- ---------- ---------- (68,750) (73,429) (205,520) (324,416) ========== ========== ========== ========== Reconciliation of Net Income (loss) to Adjusted Net Income (all amounts in thousands of U.S. Dollars) Three-month period ended Year ended December 31, December 31, 2008 2009 2008 2009 Net income (loss) (332,093) 81,776 (55,914) 339,782 Unrealized swap loss (gain) 40,178 (8,064) 25,821 (27,238) Goodwill impairment charge 335,404 - 335,404 - Vessel impairment loss 2,232 - 2,232 - Loss in value of investment 10,963 - 10,963 - Loss from vessel purchase cancellation 15,632 - 15,632 - Loss on disposal of JV ownership interest - 3,705 - 3,705 Gain on sale of vessel - - - (61) -------- -------- -------- -------- Adjusted Net income 72,316 77,417 334,138 316,188 ======== ======== ======== ======== Reconciliation of Earnings (losses) per Share (Diluted) to Adjusted Earnings per Share (Diluted) (all amounts in U.S. Dollars) Three-month period ended Year ended December 31, December 31, 2008 2009 2008 2009 Earnings (losses) per Share (Diluted) $ (7.56) $ 1.00 $ (1.53) $ 4.85 Unrealized swap loss (gain) 0.91 (0.1) 0.7 (0.4) Goodwill impairment charge 7.63 - 9.06 - Vessel impairment loss 0.05 - 0.06 - Loss in value of investment 0.25 - 0.30 - Loss from vessel purchase cancellation 0.36 - 0.42 - Loss on disposal of JV ownership interest - 0.05 - 0.07 Gain on sale of vessel - - - - (*) ------- ------- ------- ------- Adjusted Earnings per Share (Diluted) $ 1.64 $ 0.95 $ 9.01 $ 4.52 ======= ======= ======= ======= (*) Effect insignificant
Vessel Employment (In U.S. Dollars per day, unless otherwise stated) CAPESIZE FLEET PANAMAX FLEET HANDYSIZE FLEET TOTAL FLEET Three-month period ended December 31, 2008 2009 2008 2009 2008 2009 2008 2009 ------ ------ ------ ------ ------ ------ ------ ------ Total calendar days 374 460 3,220 3,220 736 644 4,330 4,324 Available days under period charter 374 460 2,484 2,225 98 92 2,956 2,777 Available days under spot/short duration charter - - 653 969 637 530 1,290 1,499 Utilization 100.0% 100.0% 97.4% 99.2% 99.9% 96.6% 98.1% 98.9% Time charter equivalent per ship per day-period 52,023 38,128 26,571 21,480 25,479 10,208 29,754 23,866 Time charter equivalent per ship per day-spot - - 7,703 22,203 8,724 17,416 8,207 20,510 Time charter equivalent per ship per day-weighted average 52,023 38,128 22,642 21,700 10,959 16,351 23,207 22,686 Net daily revenue per ship per day 52,023 38,128 22,061 21,518 10,937 15,798 22,757 22,434 Vessel operating expenses per ship per day (5,423) (5,230) (5,067) (4,604) (4,937) (4,804) (5,075) (4,698) Net Operating cash flows per ship per day before G&A expenses 46,600 32,898 16,994 16,914 6,000 10,994 17,682 17,736 ------ ------ ------ ------ ------ ------ ------ ------ Vessel Employment (In U.S. Dollars per day, unless otherwise stated) CAPESIZE FLEET PANAMAX FLEET HANDYSIZE FLEET TOTAL FLEET Year ended December 31, 2008 2009 2008 2009 2008 2009 2008 2009 ------ ------ ------ ------ ------ ------ ------ ------ Total calendar days 1,046 1,825 10,160 12,775 2,928 2,629 14,134 17,229 Available days under period charter 1,016 1,804 8,457 9,099 614 460 10,087 11,363 Available days under spot/short duration charter 30 - 1,451 3,464 2,156 2,051 3,637 5,515 Utilization 100.0% 98.8% 97.5% 98.3% 94.6% 95.5% 97.1% 98.0% Time charter equivalent per ship per day-period 50,863 40,373 26,627 22,936 33,736 14,067 29,501 25,344 Time charter equivalent per ship per day-spot 118,107 - 38,798 16,301 33,412 12,538 36,254 14,901 Time charter equivalent per ship per day-weighted average 52,777 40,373 28,410 21,107 33,484 12,818 31,291 21,932 Net daily revenue per ship per day 52,777 39,898 27,706 20,757 31,676 12,243 30,384 21,485 Vessel operating expenses per ship per day (5,013) (5,280) (4,932) (4,731) (4,888) (4,994) (4,930) (4,829) Net Operating cash flows per ship per day before G&A expenses 47,764 34,618 22,774 16,026 26,788 7,249 25,454 16,656 ------ ------ ------ ------ ------ ------ ------ ------Glossary of Terms Average number of vessels: This is the number of vessels that constituted our fleet for the relevant period, as measured by the sum of the number of calendar days each vessel was a part of our fleet during the period divided by the number of calendar days in that period. Total calendar days: We define these as the total days we owned the vessels in our fleet for the relevant period including off hire days associated with major repairs, dry dockings or special or intermediate surveys. Calendar days are an indicator of the size of the fleet over a period and affect both the amount of revenues and the amount of expenses that are recorded during a period. Available days: These are the calendar days less the aggregate number of off-hire days associated with major repairs, dry docks or special or intermediate surveys and the aggregate amount of time spent positioning vessels and any unforeseen off-hire. The shipping industry uses available days to measure the number of days in a period during which vessels should be capable of generating revenue. Available days under spot / short duration charter: This is defined as available days under spot charters and / or time charters of duration of less than six months. Fleet utilization: This is the percentage of time that our vessels were available for revenue generating days, and is determined by dividing available days by calendar days for the relevant period. Time charter equivalent per ship per day ("TCE"): This is a measure of the average daily revenue performance of a vessel on a per voyage basis. Our method of calculating TCE is consistent with industry standards and is determined by dividing revenue generated from voyage charters net of voyage expenses by available days for the relevant time period. Voyage expenses primarily consist of port, canal and fuel costs that are unique to a particular voyage, which would otherwise be paid by the charterer under a time charter contract, as well as commissions. Time charter equivalent revenue and TCE rate are not measures of financial performance under U.S. GAAP and may not be comparable to similarly titled measures of other companies. However, TCE is a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance despite changes in the mix of charter types (i.e., spot voyage charters, time charters and bareboat charters) under which the vessels may be employed between the periods.
Time Charter Equivalent Calculation (all amounts in thousands of U.S. Dollars, except for Daily Time Charter Equivalent and available days) For the three-month period ended December For the year ended 31, December 31, ------------------------ ------------------------ 2008 2009 2008 2009 ----------- ----------- ----------- ----------- Voyage revenues 110,145 102,634 461,203 391,746 Voyage expenses (11,609) (5,629) (31,765) (21,577) ----------- ----------- ----------- ----------- Time Charter Equivalent 98,536 97,005 429,438 370,169 =========== =========== =========== =========== Total available days 4,246 4,276 13,724 16,878 Daily Time charter equivalent 23,207 22,686 31,291 21,932Net daily revenue: We define this as the daily TCE rate including idle time. Daily vessel operating expenses: This includes crew costs, provisions, deck and engine stores, lubricating oil, insurance, maintenance and repairs and is calculated by dividing vessel operating expenses by total calendar days for the relevant time period. Daily general and administrative expense: This is calculated by dividing general and administrative expense by total calendar days for the relevant time period.
Expected Amortization Schedule for Fair Valued Time Charters for Next Year (in USD millions) 1Q'10 2Q'10 3Q'10 4Q'10 Total Amortization of unfavorable time charters (1) 67.9 66.8 55.7 54.4 244.8 Amortization of favorable time charters(2) (9.9) (10.0) (10.1) (10.2) (40.2) (1) Adjustment to Revenue from operations i.e. increases revenues (2) Adjustment to Charter hire expenses i.e. increases charter hire expenseFleet List as of February 18, 2010:
Average Charter Charter Vessel Name Dwt Year Built Type Daily rate Expiration Iron Miner 177,931 2007 Period $ 42,105 Feb 2012 $ 49,000 Kirmar 164,218 2001 Period (net) May 2013 Iron Beauty 164,218 2001 Period $ 36,500 May 2010 Lowlands Beilun 170,162 1999 Period $ 36,000 May 2010 Sandra (1) 180,274 2008 Period $ 32,000 Sep 2010 Total Capesize 856,803 Iron Manolis 82,269 2007 Period $ 22,000 Dec 2010 Iron Brooke 82,594 2007 Period $ 21,000 Dec 2010 Iron Lindrew 82,598 2007 Period $ 21,000 Dec 2010 Coal Hunter 82,298 2006 Period $ 22,000 Dec 2010 Pascha 82,574 2006 Period $ 21,000 Dec 2010 Coal Gypsy 82,221 2006 Period $ 22,000 Dec 2010 Iron Anne 82,220 2006 Period $ 22,000 Dec 2010 Iron Vassilis 82,257 2006 Period $ 22,000 Dec 2010 Iron Bill 82,187 2006 Period $ 22,000 Dec 2010 Santa Barbara 82,266 2006 Period $ 22,000 Dec 2010 Ore Hansa 82,209 2006 Period $ 22,000 Dec 2010 Iron Kalypso 82,224 2006 Period $ 22,000 Dec 2010 Iron Fuzeyya 82,209 2006 Period $ 22,000 Dec 2010 Iron Bradyn 82,769 2005 Period $ 22,000 Dec 2010 Total Kamsarmax 1,152,895 Grain Harvester 76,417 2004 Spot Grain Express 76,466 2004 Period $ 22,000 Dec 2010 Iron Knight 76,429 2004 Period $ 22,000 Dec 2010 Coal Pride 72,493 1999 Spot Isminaki 74,577 1998 Period $ 24,000 Mar 2010 Angela Star 73,798 1998 Spot $ 29,000 May 2010 Elinakos 73,751 1997 Spot $ 25,000 Apr 2010 Happy Day 71,694 1997 Spot Iron Man (A) 72,861 1997 Period $ 18,500 May 2010 Coal Age (A) 72,824 1997 Period $ 21,250 Oct 2010 Fearless I (A) 73,427 1997 Period $ 22,250 Mar 2010 Barbara (A) 73,307 1997 Period $ 23,000 Jul 2010 Linda Leah (A) 73,317 1997 Spot King Coal (A) 72,873 1997 Period $ 56,000 Jun 2011 Coal Glory (A) 73,670 1995 Spot Powerful 70,083 1994 Spot First Endeavour 69,111 1994 Spot Rodon 73,656 1993 Spot Birthday 71,504 1993 Period $ 16,500 Jul 2010 Renuar 70,155 1993 Period $ 22,500 Dec 2010 Fortezza 69,634 1993 Spot Total Panamax 1,532,047 July M 55,567 2005 Period $ 25,000 May 2010 Mairouli 53,206 2005 Spot Total Supramax 108,773 Emerald 45,588 1998 Spot Princess I 38,858 1994 Period $ 21,500 Apr 2010 Marybelle 42,552 1987 Spot Attractive 41,524 1985 Spot Lady 41,090 1985 Spot Total Handymax 209,612 Total Fleet 3,860,130 Average age 9.7 Yrs ---------- --------- ---------- ---------- ---------- Fleet to be Estimated delivered Type Dwt delivery (B) -------- ------- ------------- Christine (D) Capesize 180,000 April 2010 Hope (E) Capesize 181,000 November 2010 Total fleet to be delivered 361,000 Fleet to be Estimated delivered (c) Type Dwt delivery (B) -------- ------- ------------- Fritz (F) Capesize 180,000 May 2010 Benthe (F) Capesize 180,000 June 2010 Gayle Frances (F) Capesize 180,000 July 2010 Iron Lena (F) Capesize 180,000 August 2010(1) A second charter on the vessel has been fixed commencing upon completion of her current charter and through February 2016 at a daily base rate of $25,000, with 50% profit sharing based on the monthly AV4 BCI charter rate as published by the Baltic Exchange. (A) These vessels were sold in 2007 and leased back on a bareboat charter through July 2015. (B) The delivery dates shown in this column are estimates based on the delivery dates set forth in the relevant shipbuilding contracts or resale agreements. (C) No refund guarantee has been received for these newbuildings and Excel does not believe that the respective new building contracts will materialize. There can be no assurance that the vessels will be delivered timely or at all. (D) Excel holds 71.4% interest in the joint venture that will own the vessel. (E) Excel holds 100% interest in the company that will own the vessel. (F) Excel holds a 50% interest in the joint ventures that will own these vessels. For further details on the fleet and their employment please refer to our website at www.excelmaritime.com
Contact Information: Contacts: Investor Relations / Financial Media: Nicolas Bornozis President Capital Link, Inc. 230 Park Avenue - Suite 1536 New York, NY 10160, USA Tel: (212) 661-7566 Fax: (212) 661-7526 E-Mail: excelmaritime@capitallink.com www.capitallink.com Company: Lefteris Papatrifon Chief Financial Officer Excel Maritime Carriers Ltd. 17th Km National Road Athens-Lamia & Finikos Street 145 64 Nea Kifisia Athens, Greece Tel: 011-30-210-62-09-520 Fax: 011-30-210-62-09-528 E-Mail: ir@excelmaritime.com www.excelmaritime.com