Three Months Ended
September 30, 2006
==============================================
PANAMAX CAPESIZE CHARTER IN TOTAL
========== ========== ========== ==========
Total Ownership days 988 184 55 1,227
Operating days under fixed
rate time charter 893 178 1,071
Operating days under
variable rate time charter 91 91
Operating days under spot
charter 55 55
Utilization 99.6% 96,9% 100% 99,2%
Time charter equivalent per
ship per day – fixed rate
tc $19,784 $30,964 $21,645
Time charter equivalent per
ship per day – variable
rate tc $25,221 $25,221
Time charter equivalent per
ship per day – spot $10,771 $10,771
Charter in costs per ship
per day - spot $(14,489) $(14,489)
Net daily revenue per ship
per day $19,298 $28,708 $(4,283) $19,652
Vessel operating expenses
per ship per day $(3,401) $(3,786) $(3,461)
Management fees
Net Operating Cash Flow per
ship per day before
general and administrative
expenses $15,897 $24,922 $(4,283) $16,191
========== ========== ========== ==========
Three Months Ended
September 30, 2005
==============================================
PANAMAX CAPESIZE CHARTER IN TOTAL
========== ========== ========== ==========
Total Ownership days 619 619
Operating days under fixed
rate time charter 540 540
Operating days under
variable rate time charter 73 73
Operating days under spot
charter
Utilization 99% 99%
Time charter equivalent per
ship per day – fixed rate
tc $23,177 $23,177
Time charter equivalent per
ship per day – variable
rate tc $14,068 $14,068
Time charter equivalent per
ship per day – spot
Charter in costs per ship
per day - spot
Net daily revenue per ship
per day $20,991 $20,991
Vessel operating expenses
per ship per day $(3,774) $(3,774)
Management fees $(766) $(766)
Net Operating Cash Flow per
ship per day before
general and administrative
expenses $16,451 $16,451
========== ==========
Nine Months Ended
September 30, 2006
==============================================
PANAMAX CAPESIZE CHARTER IN TOTAL
========== ========== ========== ==========
Total Ownership days 2,436 546 139 3,121
Operating days under fixed
rate time charter 2,151 526 2,677
Operating days under
variable rate time charter 272 272
Operating days under spot
charter 139 139
Utilization 99.5% 96.3% 100% 98.9%
Time charter equivalent per
ship per day – fixed rate
tc $20,500 $32,314 $22,820
Time charter equivalent per
ship per day – variable
rate tc $19,696 $19,696
Time charter equivalent per
ship per day – spot $20,695 $20,695
Charter in costs per ship
per day - spot $(17,771) $(17,771)
Net daily revenue per ship
per day $19,411 $29,764 $2,128 $20,455
Vessel operating expenses
per ship per day $(3,804) $(3,870) $(3,816)
Management fees
Net Operating Cash Flow per
ship per day before
general and administrative
expenses $15,607 $25,894 $2,128 $16,639
========== ========== ========== ==========
Nine Months Ended
September 30, 2005
==============================================
PANAMAX CAPESIZE CHARTER IN TOTAL
========== ========== ========== ==========
Total Ownership days 973 973
Operating days under fixed
rate time charter 823 823
Operating days under
variable rate time charter 73 73
Operating days under spot
charter
Utilization 92.4% 92.4%
Time charter equivalent per
ship per day – fixed rate
tc $23,945 $23,945
Time charter equivalent per
ship per day – variable
rate tc $14,068 $14,068
Time charter equivalent per
ship per day – spot
Charter in costs per ship
per day - spot
Net daily revenue per ship
per day $20,525 $20,525
Vessel operating expenses
per ship per day $(3,723) $(3,723)
Management fees $(608) $(608)
Net Operating Cash Flow per
ship per day before
general and administrative
expenses $16,194 $16,194
========== ==========
(1) M/V Iron Beauty was acquired with an existing time charter
at an above the market rate. The company deducts the fair
value of the time charter from the purchase price of the
vessel and allocates it to a deferred asset which is amortized
over the remaining period of the time charter as a reduction
to hire revenue. This results in a daily rate of approximately
$ 30,600 as recognized revenue. For cash flow purposes the
company will continue to receive $ 36,500 per day.
Time Charter Coverage
Mr. Molaris commented, "Our strategy is to predominantly employ our vessels
under period time charters, which enables us to generate stable and
predictable cash flows. In this context, we have already secured 95.1% of
our time charter coverage for the fourth quarter of 2006 and 89.3% for
2007. Our period charter coverage for the years 2008, 2009 and 2010 are
75.0%, 69.6% and 62.2%, respectively. As a result, our projected net
revenues under fixed time charters for the fourth quarter of 2006 will be
approximately $34 million and approximately $180 million for the full year
of 2007."
Delivery of Metrobulk Fleet
Quintana Maritime has to date taken delivery of ten vessels -- eight
Kamsarmax and two Panamax vessels -- out of the total of seventeen vessels
it has agreed to acquire from Metrobulk.
Mr. Molaris commented, "With the delivery of ten Metrobulk vessels, our fleet has now expanded to twenty owned and operated vessels. The successful integration of these vessels provides us with a younger fleet and a stronger operational platform to achieve our long-term goals. We have already enhanced our operational capabilities in terms of personnel and crewing to accommodate the delivery of the ten vessels we already received, as well as the remaining seven to be delivered to us. We believe the young age of the acquired fleet will have a positive impact on our fixed cost base and lower our daily operating expenses per vessel as we move into the next year." Pricing of Metrobulk Fleet for 2007 Quintana Maritime has already agreed to daily rates for 2007 for all 16 vessels it has agreed to acquire from Metrobulk that are subject to the master time charter. Seven Kamsarmaxes and two Panamaxes have been priced at an average daily rate of $23,000, five Kamsarmaxes have been priced at an average daily rate of $20,000 and two Kamsarmaxes have been priced at an average daily rate of $25,000. An additional Panamax, Grain Harvester, is on time charter with Bunge through September 2009 at $20,000 per day. All vessels are on long-term time charter to Bunge S.A., a wholly owned subsidiary of Bunge Limited (
Quintana Maritime Limited
Consolidated Balance Sheets
(All amounts expressed in U.S. Dollars)
September 30, December 31,
2006 2005
------------- -------------
Assets
Current assets:
Cash and cash equivalents $ 14,814,725 $ 4,258,809
Inventories 1,312,038 378,488
Due from charterers, net 2,535,067 1,244,123
Other receivables 792,578 479,735
Prepaid expenses and other current assets 976,899 866,562
------------- -------------
Total current assets 20,431,307 7,227,717
Property and equipment:
Vessels, net of accumulated depreciation of
$30,361,202 and $11,309,344 825,569,976 446,474,869
Advances for acquisition of vessels 34,000,000 —
Other fixed assets, net of accumulated
depreciation of $204,030 and $58,739 421,682 384,247
------------- -------------
Total property and equipment: 859,991,658 446,859,116
Deferred financing costs, net of accumulated
amortization of $2,135,859 and $63,194 4,670,682 1,959,041
Deferred time charter premium, net of
accumulated amortization of $2,023,149 and
$439,815 7,476,851 9,060,185
Deferred dry docking costs, net of
accumulated amortization of $682,736 and
$279,865 1,575,722 919,556
------------- -------------
Total assets $ 894,146,220 $ 466,025,615
============= =============
Liabilities and shareholders' equity
Current liabilities:
Accounts payable 2,991,367 1,473,592
Sundry liabilities and accruals 2,407,179 3,412,759
Deferred income 2,815,951 1,715,910
Current portion of long-term loan 45,250,000 —
Total current liabilities 53,464,497 6,602,261
Long-term debt 414,250,000 210,000,000
------------- -------------
Unrealized swap loss 11,891,970 —
------------- -------------
Total liabilities $ 479,606,467 $ 216,602,261
============= =============
Shareholders' equity
Common stock at $0.01 par value – 100,000,000
shares authorized, 49,713,354 and
23,846,742 shares issued and outstanding 497,134 238,468
Additional paid-in capital 440,125,224 254,732,530
Deferred stock-based compensation (5,946,513) (5,187,200)
Accumulated deficit (20,136,092) (360,444)
------------- -------------
Total shareholders' equity 414,539,753 249,423,354
------------- -------------
Total liabilities and shareholders' equity $ 894,146,220 $ 466,025,615
============= =============
QUINTANA MARITIME LIMITED
Consolidated Income Statements
(All amounts expressed in U.S. Dollars)
Three Months Three Months
Ended Ended
September 30, September 30,
2006 2005
------------- -------------
Revenues:
Time charter voyage revenue $ 24,965,412 $ 13,542,694
Revenue from charter operation 1,243,325 —
Commissions (1,175,269) (549,492)
------------- -------------
Net revenue $ 25,033,468 $ 12,993,202
Expenses:
Vessel operating expenses 4,056,716 2,335,960
Voyage expenses 1,447,802 —
General and administrative
expenses (including restricted stock
amortization of $597,873 and $315,130) 2,705,715 1,555,332
Depreciation and amortization 7,411,731 4,030,574
Management Fees — 473,990
------------- -------------
Total expenses $ 15,621,964 $ 8,395,856
------------- -------------
------------- -------------
Operating income $ 9,411,504 $ 4,597,346
Other (expenses) / income:
Interest expense $ (3,385,659) $ (1,281,405)
Interest income 440,951 132,702
Finance costs (1,946,275) (3,266,090)
Unrealized swap loss (11,891,970) —
Foreign exchange losses and other, net (217,284) 21,172
------------- -------------
Total other expenses $ (17,000,237) $ (4,393,621)
------------- -------------
------------- -------------
Net (loss) / income $ (7,588,733) $ 203,725
============= =============
Earnings per common share
Basic (0.20) 0.01
Diluted (0.19) 0.01
Weighted average shares outstanding
Basic 37,569,368 19,517,470
Diluted 38,922,043 19,627,598
------------- -------------
QUINTANA MARITIME LIMITED
Consolidated Income Statements
(All amounts expressed in U.S. Dollars)
Period from
January 13,
Nine Months 2005
Ended (inception) to
September 30, September 30,
2006 2005
------------- -------------
Revenues:
Time charter voyage revenue $ 64,857,444 $ 20,805,604
Revenue from charter operation 4,473,668 —
Commissions (3,014,781) (834,861)
------------- -------------
Net revenue $ 66,316,331 $ 19,970,743
Expenses:
Vessel operating expenses 11,379,790 3,622,100
Voyage expenses 4,068,427 —
General and administrative
expenses (including restricted stock
amortization of $1,626,316 and $315,130) 7,197,379 2,704,246
Depreciation and amortization 19,600,020 5,928,926
Management Fees — 591,190
------------- -------------
Total expenses $ 42,245,616 $ 12,846,462
------------- -------------
------------- -------------
Operating income $ 24,070,715 $ 7,124,281
Other (expenses) / income:
Interest expense $ (8,349,992) $ (2,903,044)
Interest income 570,163 159,970
Finance costs (2,072,665) (3,586,453)
Unrealized swap loss (11,891,970) —
Foreign exchange losses and other, net (372,969) (3,700)
------------- -------------
Total other expenses $ (22,117,433) $ (6,333,227)
------------- -------------
------------- -------------
Net Income $ 1,953,282 $ 791,054
============= =============
Earnings per common share
Basic 0.07 0.07
Diluted 0.07 0.07
Weighted average shares outstanding
Basic 28,153,771 10,971,653
Diluted 28,928,204 11,010,472
------------- -------------
Quintana Maritime Limited
Consolidated Statements of Cash Flows
(All amounts expressed in U.S. Dollars)
Period from
January 13,
Nine Months 2005
Ended (inception) to
September 30, September 30,
2006 2005
------------- -------------
Cash flows from operating activities:
Net income $ 1,953,282 $ 791,054
Adjustments to reconcile net income to net
cash from operating activities:
Depreciation and amortization 19,600,020 5,928,926
Amortization of deferred finance costs 2,072,665 3,586,453
Amortization of time charter fair value 1,583,334 —
Stock based compensation 1,626,316 —
Unrealized swap loss 11,891,970 —
Changes in assets and liabilities:
Increase in inventories (933,550) (265,527)
Increase in due from charterers, net (1,290,944) (83,551)
Increase in other receivables (312,843) (348,827)
Increase in prepaid expenses and other
current (110,337) (1,025,813)
Increase in accounts payable 1,517,775 723,213
(Decrease) / Increase in sundry
liabilities and accruals (1,005,580) 1,068,533
Increase in deferred income 1,100,041 1,104,072
Deferred dry-dock costs incurred (1,059,037) (1,204,328)
-------------- --------------
Net cash from operating activities $ 36,633,112 $ 10,274,205
-------------- --------------
Cash flows from investing activities:
Vessel acquisitions (398,146,965) (330,623,650)
Advances for vessel acquisitions (34,000,000) (13,680,000)
Purchases of property, plant and equipment (182,726) (256,261)
-------------- --------------
Net cash used in investing activities $ (432,329,691) $ (344,559,911)
-------------- --------------
Cash flows from financing activities:
Proceeds from long-term debt 459,500,000 411,621,351
Repayment of debt (210,000,000) (311,071,351)
Payment of financing costs (4,784,306) (5,097,296)
Proceeds from preferred stock issuance 190,937,657 —
Issuance costs of preferred stock offering (7,671,926) —
Proceeds from initial public offering — 182,771,956
Issuance costs of initial public offering — (2,179,655)
Paid-in capital and common stock — 68,664,437
Dividends paid (21,728,930) (1,177,731)
-------------- --------------
Net cash from financing activities $ 406,252,495 $ 343,531,711
-------------- --------------
Net increase in cash and cash equivalents 10,555,916 9,246,005
Cash and cash equivalents at beginning of
the period 4,258,809
-------------- --------------
Cash and cash equivalents at end of the
period $ 14,814,725 $ 9,246,005
============== ==============
Cash paid during the period for interest $ 10,797,448 $ 2,093,044
Non-cash investing and financing
activities:
Conversion of 12% Mandatorily
Convertible Preferred Stock $ 190,937,657 —
-------------- --------------
Quintana Maritime Limited
Reconciliation of Net Income to Adjusted EBITDA
(All amounts expressed in U.S. Dollars)
Three Months Three Months
Ended Sept. Ended Sept.
30, 2006 30, 2005
------------ ------------
Net (Loss) / income $ (7,588,733) $ 203,725
Interest and finance costs, net 4,890,983 4,414,793
Depreciation and amortization 7,411,731 4,030,574
Unrealized loss from swap transaction 11,891,970 —
Amortization of time charter premium 527,778 —
Amortization of deferred stock-based
compensation 597,873 89,115
------------ ------------
Adjusted EBITDA $ 17,731,602 $ 8,738,207
------------ ------------
Quintana Maritime Limited
Reconciliation of Net Income to Adjusted EBITDA
(All amounts expressed in U.S. Dollars)
Period from
January 13,
Nine Months 2005
Ended (inception) to
September 30, September 30,
2006 2005
------------ ------------
Net Income $ 1,953,282 $ 791,054
Interest and finance costs, net 9,852,494 6,329,527
Depreciation and amortization 19,600,020 5,928,926
Unrealized loss from swap transaction 11,891,970 —
Amortization of time charter premium 1,583,334 —
Amortization of deferred stock-based
compensation 1,626,316 89,115
------------ ------------
Adjusted EBITDA $ 46,507,416 $ 13,138,622
------------ ------------
Quintana Maritime Limited
Reconciliation of Net Income to Adjusted Net Income
(All amounts expressed in U.S. Dollars)
Three Months Nine Months
Ended Sept. Ended Sept.
30, 2006 30, 2006
------------ ------------
Net (Loss) / income $ (7,588,733) $ 1,953,282
Unamortized write-off of financing costs 1,832,651 1,832,651
Unrealized loss from swap transaction 11,891,970 11,891,970
------------ ------------
Adjusted Net Income $ 6,135,888 $ 15,677,903
------------ ------------
Quintana Maritime Limited
Reconciliation of Earnings Per Share (Diluted) to Adjusted
Earnings Per Share (Diluted)
(All amounts expressed in U.S. Dollars)
Three Months Nine Months
Ended Sept. Ended Sept.
30, 2006 30, 2006
------------ ------------
Earnings (loss) Per Share (Diluted) $ (0.19) $ 0.07
Unamortized write-off of financing costs 0.05 0.06
Unrealized loss from swap transaction 0.30 0.41
------------ ------------
Adjusted Earnings Per Share (Diluted) $ 0.16 $ 0.54
------------ ------------
Disclosure of Non-GAAP Financial Measures
Adjusted EBITDA represents net income plus interest and finance costs plus
depreciation and amortization and income taxes, if any, plus deferred
stock-based compensation, and amortization of time charter fair value and
unrealized loss on swap transaction, which are non-cash items. Adjusted
EBITDA is included because it is used by certain investors to measure a
company's financial performance. Adjusted EBITDA is a "non-GAAP financial
measure" and should not be considered a substitute for net income, cash
flow from operating activities and other operations or cash flow statement
data prepared in accordance with accounting principles generally accepted
in the United States or as a measure of profitability or liquidity.
Adjusted EBITDA is presented to provide additional information with respect
to the Company's ability to satisfy its obligations including debt service,
capital expenditures, working capital requirements and determination of
dividends. While Adjusted EBITDA is frequently used as a measure of
operating results and the ability to meet debt service requirements, the
definition of Adjusted EBITDA used here may not be comparable to that used
by other companies due to differences in methods of calculation.
Adjusted Net Income represents net income plus unamortized write-off of
financing costs and unrealized loss from swap transaction, which are
non-cash items. Adjusted Earnings per Share (diluted) represents Adjusted
Net Income divided by weighted average shares outstanding (diluted). These
measures are "non-GAAP financial measure" and should not be considered
substitutes for net income or earnings per share (diluted), respectively,
as reported under GAAP. The Company has included an adjusted net income and
adjusted earnings per share calculation in this period in order to allow
comparability between the Company's performance in the reported periods and
its performance in prior periods.
ABOUT QUINTANA MARITIME LIMITED
Quintana Maritime Limited, based in Greece, is an international provider of
dry bulk cargo marine transportation services. As of today, the company
owns and operates a fleet of 20 vessels, which consisting of 8 Kamsarmax
bulker, 10 Panamax size vessels and 2 Capesize vessels with a total
carrying capacity of 1,726,652 dwt and an average age of 4.7 years on a dwt
weighted average. It has also entered into an agreement to take delivery of
7 additional vessels, comprising of 1 Panamax and 6 Kamsarmax bulkers with
expected delivery between November 2006 and May 2007 and with an aggregate
capacity of 570,229 dwt. Once all acquisitions are completed Quintana will
have a fleet of 27 dry bulk vessels which consists of 2 Capesize vessels,
11 Panamax vessels and 14 Kamsarmax vessels with a total capacity of
2,296,881 dwt.
Forward-Looking Statement
This press release contains forward-looking statements (as defined in
Section 27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended) concerning future events
and 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.
Such statements include comments regarding expected revenues and time
charters. 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
dry bulk 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 publicly 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.
APPENDIX
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
days each vessel was a part of our fleet during the period divided by the
number of calendar days in that period.
Ownership days 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.
Operating days 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 planned dry docking repairs or any other, including unforeseen
circumstances. The shipping industry uses operating days to measure the
aggregate number of days in a period during which vessels actually generate
revenues.
Fleet utilization We calculate fleet utilization by dividing the number of
our operating days during a period by the number of our Ownership 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 amount 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.
TCE per ship per day We define TCE (time-charter equivalent) per ship per
day rate as our voyage and time charter revenues less voyage expenses
during a period divided by the number of our operating days during the
period, which is consistent with industry standards. TCE rate is a 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 charter hire rates for vessels on
voyage charters are generally not expressed in per day amounts while
charter hire rates for vessels on time charters generally are expressed in
such amounts.
Net daily revenue We define the daily TCE rate net of commissions but
including idle time.
Vessel operating expenses per ship per day This include crew wages and
related costs, the cost of insurance, expenses relating to repairs and
maintenance, the cost of spares and consumable stores, tonnage taxes and
other miscellaneous expenses. We define as our total operating costs
divided by the ownership day.
Fleet Table as of November 6, 2006
TC Expiration
Age Date (minimum
CURRENT FLEET Type DWT Year Built (in yrs) period)
Iron Anne Kamsarmax 82,000 2006 0.1 December 2010
Iron Vassilis(A) Kamsarmax 82,000 2006 0.3 December 2010
Iron Bill (ex. Iron
Elisabeth)(A) Kamsarmax 82,000 2006 0.4 December 2010
Santa Barbara Kamsarmax 82,266 2006 0.6 December 2010
Ore Hansa Kamsarmax 82,229 2006 0.6 December 2010
Iron Kalypso Kamsarmax 82,204 2006 0.8 December 2010
Iron Fuzeyya(A) Kamsarmax 82,229 2006 0.8 December 2010
Iron Bradyn(A) Kamsarmax 82,769 2005 1.7 December 2010
Grain Harvester Panamax 76,417 2004 2.2 September 2009
Grain Express Panamax 76,466 2004 2.6 December 2010
Kirmar(B) Capesize 165,500 2001 5.1 February 2007(C)
Iron Beauty(B) Capesize 165,500 2001 5.3 April 2010
Coal Pride Panamax 72,600 1999 6.9 February 2007
Iron Man(D) Panamax 72,861 1997 9.4 March 2010
Coal Age(D) Panamax 72,861 1997 9.4 June 2007
Fearless 1(D) Panamax 73,427 1997 9.5 March 2008
Barbara(E) Panamax 73,390 1997 9.8 June 2007
Linda Leah(E) Panamax 73,390 1997 9.8 June 2008
King Coal Panamax 72,873 1997 9.9 March 2008
Coal Glory(D) Panamax 73,670 1995 11.7 June 2008
4.7
Total Current years
Fleet 20 Vessels 1,726,652 avg(F)
Age (in
FLEET TO BE DELIVERED Type DWT Year Built years) Delivery Range
Iron Knight Panamax 76,429 2004 2.4 Nov 06 – Jan 07
Pascha Kamsarmax 82,300 * Nov 06 – Jan 07
Iron Lindrew Kamsarmax 82,300 * Jan 07 – Mar 07
Coal Gypsy Kamsarmax 82,300 * Dec 06
Coal Hunter Kamsarmax 82,300 * Dec 06
Iron Brooke Kamsarmax 82,300 * Mar 07 - May 07
Iron Manolis Kamsarmax 82,300 * May 07
Total Fleet to
be Delivered 7 Vessels 570,229
TOTAL FLEET 27 Vessels 2,296,881
* Under Construction
(A), (B), (D), and (E) indicate sister ships. As of November 6, 2006,
Quintana had four sets of sister ships, including the vessels recently
acquired from Metrobulk. All seventeen ships that are part of the Metrobulk
acquisition are sister ships. Sister ships indicate vessels of the same
class made in the same shipyard. The sister-ship concept further enhances
our operational flexibility and efficiency.
(C) Kirmar's charter may be extended by up to six months, until September
2007, at the current rate of $26,250 per day at the charterer's option.
Charterer has a further option up to March 2008 at a rate of $27,250.
(F) On a dwt weighted average
Contact Information: Company Contact: Paul J. Cornell Chief Financial Officer Tel. 713-751-7525 E-mail: pcornell@quintanamaritime.com Investor Relations / Financial Media: Paul Lampoutis Capital Link, Inc, New York Tel. 212.661.7566 E-mail: plampoutis@capitallink.com