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2016 February 29   14:11

Pioneer Marine announces Q4 2015 results

Pioneer Marine Inc. and its subsidiaries, a leading shipowner and global drybulk handysize transportation service provider announced its financial and operating results for the fourth quarter ended December 31, 2015 . 

Recent events: 

• On January 7, 2016, Pioneer Marine accepted deliver y of a 38,464 DWT Green Dolphin eco-design handysize vessel, the M.V. Kite Bay. The vessel commenced a one year  charter based on index linked rate. The charterer may extend the charter for up to one additional year.

• During the fourth quarter, Pioneer Marine drew down on a $12 million facility with ABN AMRO Bank, N.V, Deutsche Bank AG and Norddeutche  Landesbank to provide  post-delivery financing of the M.V. Kite Bay with in surance cover provided from China  Export & Credit Insurance Corporation (‘’Sinosure’’).

Financial Highlights: 

• Net loss of $80.6 million, or $2.66 basic and diluted loss per share for the fourth  quarter of 2015 and a net loss of $96.9 million, or $ 3.72 basic and diluted loss per  share for the year ended December 31, 2015, which in cludes a $74.4 million non-cash  impairment loss. Excluding the effect of the impairm ent loss, net loss as adjusted  would have been $22.5 million for the year ended December 31, 2015 or $0.87  adjusted loss per share basic and diluted and $6.2 milli on for the fourth quarter of  2015 or $0.21 adjusted loss per share basic and diluted. 

• Time Charter Equivalent ("TCE") revenue (Net Revenue less Voyage Expenses)  amounted to $6.8 million for the fourth quarter of  2015 and $26.5 million for the year  ended December 31, 2015. 

• During the twelve months of 2015 Pioneer Marine made progress payments to the shipyards of $38.8 million relating to eight vessels under construction. 

• In the fourth quarter Pioneer Marine pre-paid CIT bank  the amortization due for the  next four quarters and an additional amount applied  against balloon. A waiver was  secured on the EBITDA to debt service ratio and minimum asset coverage ratio covenants until 31 March 2017. 

• In the fourth quarter Pioneer Marine put in place a permanent cure mechanism for the  EBITDA to debt service ratio covenant for the ABN-D VB facility on 8 existing vessels.

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