NEW YORK, Jan. 25, 2010 (GLOBE NEWSWIRE) -- Eagle Bulk Shipping Inc. (Nasdaq:EGLE) today announced that it has taken delivery of two vessels from its newbuild program, Golden Eagle and Egret Bulker, bringing Eagle Bulk's total on-the-water fleet to 30 vessels. Both vessels have been placed on immediate time charters, bringing Eagle Bulk's 2010 time charter coverage of its operating fleet to approximately 58% of available days, with additional revenue upside from the index and profit-sharing charters.
The Golden Eagle, a 56,000 dwt Supramax dry bulk vessel, has been placed on a one year charter tied to the Baltic Supramax Index ("BSI"), which provides Eagle with the flexibility of earning strong rates in the spot market while retaining the stability of a one year charter.
The Egret Bulker has entered into a three year time charter at a base rate of $17,650 per day and includes profit sharing over $20,000 per day. In aggregate, the Egret Bulker will contribute approximately $19 million in minimum contracted revenue.
Separately, the Company also announced new charter employment for the following vessels in its fleet:
- Jaeger, a 52,248 dwt vessel has been chartered at $26,000 per day for 3 to 5 months duration.
- Crowned Eagle, a 56,000 dwt vessel has been chartered at $25,000 per day for 3 to 5 months duration.
- Osprey I, a 50,206 dwt vessel has been chartered at $18,000 per day for 4 to 6 months duration.
In light of recent chartering activity, Eagle Bulk has also provided the following table reflecting the current employment of its on-the-water fleet:
| Vessel |
Year Built |
Dwt | Time Charter Expiration(1) | Daily Time Charter Hire Rate |
| Bittern (2) | 2009 | 57,809 |
March 2015 March 2015 to Dec 2018/Apr 2019 |
$18,850 $18,000 (with profit share) |
| Canary (3) | 2009 | 57,809 |
March 2015 Mar 2015 to Dec 2018/Apr 2019 |
$18,850 $18,000 (with profit share) |
| Cardinal (4) | 2004 | 55,362 | September 2010 to November 2010 | $16,250 |
| Condor | 2001 | 50,296 | May 2010 to July 2010 | $22,000 |
| Crane (5) | 2010 | 57,809 |
April 2015 April 2015 to Dec 2018/Apr 2019 |
$18,850 $18,000 (with profit share) |
| Crested Eagle (6) | 2009 | 55,989 | January 2011 to April 2011 | $11,500 + Index share |
| Crowned Eagle (7) | 2008 | 55,940 | March 2010 to May 2010 | $25,000 |
| Egret Bulker (8) | 2010 | 57,809 | October 2012 to February 2013 | $17,650 (with profit share) |
| Falcon | 2001 | 51,268 | April 2010 to June 2010 | $39,500 |
| Goldeneye (9) | 2002 | 52,421 | May 2010 to July 2010 | Index |
| Golden Eagle (10) | 2010 | 55,989 | December 2010 to March 2011 | Index |
| Griffon | 1995 | 46,635 | February 2010 to May 2010 | $9,500 |
| Harrier | 2001 | 50,296 | April 2010 to June 2010 | $13,500 |
| Hawk I | 2001 | 50,296 | May 2010 to August 2010 | $13,000 |
| Heron (11) | 2001 | 52,827 | January 2011 to May 2011 | $26,375 |
| Jaeger (12) | 2004 | 52,248 | March 2010 to July 2010 | $26,000 |
| Kestrel I | 2004 | 50,326 | March 2010 to July 2010 | $11,500 |
| Kite (13) | 1997 | 47,195 | November 2010 to January 2011 | $17,000 |
| Kittiwake (14) | 2002 | 53,146 | August 2010 to October 2010 | Index |
| Merlin (15) | 2001 | 50,296 | December 2010 to March 2011 | $25,000 |
| Osprey I (16) | 2002 | 50,206 | March 2010 to May 2010 | $18,000 |
| Peregrine (17) | 2001 | 50,913 |
January 2010 Jan 2010 to Jan 2011/Mar 2011 |
$8,500 $10,500 + Index share |
| Redwing (18) | 2007 | 53,411 | August 2010 to October 2010 | Index |
| Shrike | 2003 | 53,343 | May 2010 to August 2010 | $25,600 |
| Skua (19) | 2003 | 53,350 | September 2010 to November 2010 | Index |
| Sparrow (20) | 2000 | 48,225 | February 2010 to May 2010 | $10,000 |
| Stellar Eagle | 2009 | 55,989 | February 2010 to May 2010 | $12,000 |
| Tern | 2003 | 50,200 | December 2009 to March 2010 | $8,500 |
| Woodstar (21) | 2008 | 53,390 |
January 2014 Jan 2014 to Dec 2018/Apr 2019 |
$18,300 $18,000 (with profit share) |
| Wren (22) | 2008 | 53,349 |
February 2012 Feb 2012 to Dec 2018/Apr 2019 |
$24,750 $18,000 (with profit share) |
| (1) The date range provided represents the earliest and latest date on which the charterer may redeliver the vessel to the Company upon the termination of the charter. The time charter hire rates presented are gross daily charter rates before brokerage commissions, ranging from 1.25% to 6.25%, to third party ship brokers. | ||||
| (2) The BITTERN has entered into a long-term charter. The charter rate until March 2015 is $18,850 per day. Subsequently, the charter until redelivery in December 2018 to April 2019 will be profit share based. The base charter rate will be $18,000 with a 50% profit share for earned rates over $22,000 per day. Revenue recognition for the base rate from commencement of the charter is based on an average daily base rate of $18,479. | ||||
| (3) The CANARY has entered into a long-term charter. The charter rate until March 2015 is $18,850 per day. Subsequently, the charter until redelivery in December 2018 to April 2019 will be profit share based. The base charter rate will be $18,000 with a 50% profit share for earned rates over $22,000 per day. Revenue recognition for the base rate from commencement of the charter is based on an average daily base rate of $18,487. | ||||
| (4) Upon conclusion of the previous charter in September 2009, the CARDINAL commenced a new one year charter at $16,250 per day. | ||||
| (5) The CRANE has entered into a long-term charter. The charter rate until April 2015 is $18,850 per day. Subsequently, the charter until redelivery in December 2018 to April 2019 will be profit share based. The base charter rate will be $18,000 with a 50% profit share for earned rates over $22,000 per day. Revenue recognition for the base rate from commencement of the charter is based on an average daily base rate of $18,489. | ||||
| (6) The charterer of the CRESTED EAGLE has exercised an option to extend the charter period by 11 to 13 months from February 2010 at a base time charter rate of $11,500 plus 50% of the difference between the base rate and the BSI time charter average (provided the BSI TC average is greater than the base rate). The profit share to be calculated each month is based on the trailing BSI TC average for the month. | ||||
| (7) Upon completion of the previous charter in December 2009, the CROWNED EAGLE commenced a charter for three to five months at $25,000 per day. | ||||
| (8) The EGRET BULKER has entered into a three year charter. The charter rate is $17,650 per day with a 50% profit share for earned rates over $20,000 per day. | ||||
| (9) Upon conclusion of the previous time charter, in September 2009, the GOLDENEYE commenced an index based one year charter with a minimum rate of $8,500 per day. The index rate will be an average of the trailing Baltic Supramax Index for each 15 day hire period. For the first 50 days of the charter the index rate is $15,000 per day. | ||||
| (10) The GOLDEN EAGLE commenced an index based one year charter. The index rate will be an average of the trailing Baltic Supramax Index for each 15 day hire period. | ||||
| (11) The charterer of the HERON has an option to extend the charter period by 11 to 13 months at a time charter rate of $27,375 per day. The charterer has a second option for a further 11 to 13 months at a time charter rate of $28,375 per day. | ||||
| (12) Upon completion of the previous charter in January 2010, the JAEGER commenced a charter for three to five months at $26,000 per day. | ||||
| (13) Upon completion of the previous charter in January 2010, the KITE commenced a one year charter at $17,000 per day. | ||||
| (14) Upon conclusion of the previous charter, the KITTIWAKE entered into an index based charter for one year with a minimum rate of $8,500 per day. The index rate will be an average of the trailing Baltic Supramax Index for each 15 day hire period. For the first 45 days of the charter the index rate will be a maximum of $19,000 per day. | ||||
| (15) The daily rate for the MERLIN is $27,000 for the first year, $25,000 for the second year and $23,000 for the third year. Revenue recognition is based on an average daily rate of $25,000. | ||||
| (16) Upon completion of the previous charter in December 2009, the OSPREY I commenced a charter for four to six months at $18,000 per day. | ||||
| (17) The charterer of the PEREGRINE has exercised the option to extend the charter period by 11 to 13 months. The rate for the option period is index based with a minimum daily time charter rate of $10,500 and a profit share which is equal to 50% of the difference between the base rate and the average of the trailing Baltic Supramax Index for each 30 day hire period. | ||||
| (18) Upon conclusion of the previous time charter in August 2009, the REDWING commenced an index based one year charter with a minimum rate of $8,500 per day. The index rate will be an average of the trailing Baltic Supramax Index for each 15 day hire period. For the first 45 days of the charter the index rate will be a maximum of $19,000 per day. | ||||
| (19) Upon conclusion of the previous time charter in August 2009, the SKUA commenced an index based one year charter with a minimum rate of $8,500 per day. The index rate will be an average of the trailing Baltic Supramax Index for each 15 day hire period. For the first 45 days of the charter the index rate will be a maximum of $19,000 per day. | ||||
| (20) In March 2009, the charterer of the SPARROW paid in advance for the duration of the charter an amount equal to the difference between the prevailing daily charter rate of $34,500 and a new rate of $10,000 per day. This amount has been recorded in Deferred Revenue in the Company's financial statements and is being recognized into revenue ratably over the charter period such that the daily charter rate remains effectively $34,500 per day. The cash payment received by the Company has been adjusted by a present value interest rate factor of 3%. | ||||
| (21) The WOODSTAR has entered into a long-term charter. The charter rate until January 2014 is $18,300 per day. Subsequently, the charter until redelivery in December 2018 to April 2019 will be profit share based. The base charter rate will be $18,000 with a 50% profit share for earned rates over $22,000 per day. Revenue recognition for the base rate from commencement of the charter is based on an average daily base rate of $18,152. | ||||
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(22) The WREN has entered into a long-term charter. The charter rate until February 2012 is $24,750 per day. Subsequently, the charter until redelivery in December 2018 to April 2019 will be profit share based. The base charter rate will be $18,000 with a 50% profit share for earned rates over $22,000 per day. Revenue recognition for the base rate from commencement of the charter is based on an average daily base rate of $20,306. |
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About Eagle Bulk Shipping Inc.
Eagle Bulk Shipping, Inc., headquartered in New York City, is a leading global owner of Supramax dry bulk vessels, which are dry bulk vessels that range in size from 50,000 to 60,000 deadweight tons, or dwt, and transport a broad range of major and minor bulk cargoes, including iron ore, coal, grain, cement and fertilizer, along worldwide shipping routes.