(1) Represents floor charter rate excluding a 50% profit share distributed equally between the Company and the charterer calculated on the adjusted Time Charter Average of the Baltic Supramax Index ("BSI").
(2) Daily rate based on adjusted Time Charter Average of the Baltic Capesize Index. Seanergy has the option of converting the floating rate into a fixed rate at any time during the charter, after mutual agreement with the charterers.
(3) Charter rate is based on Time Charter Average of the Baltic Handysize Index increased by 100.63% minus operating expenses for the vessel.
(4) Charter rate is based on the adjusted time charter average of the Baltic Handysize Index.
(5) Represents profit sharing arrangement at a floor rate of $7,000 per day and a ceiling of $12,000 per day, with a profit sharing arrangement of 75% for the Company and 25% for the charterer applicable between the $7,000 floor and $12,000 ceiling and, for any amount in excess of the ceiling, profit sharing of 50% for the Company and 50% for the charterer. The calculation of the rate will be based on the adjusted Time Charter Average of the BSI. The two (2) year time charter agreement with a profit sharing arrangement may be terminated by either party with 6 months' notice following November 2012.
(6) Represents profit sharing arrangement at a floor rate of $7,000 per day and a ceiling of $11,000 per day, with a profit sharing arrangement of 75% for the Company and 25% for the charterer applicable between the $7,000 floor and $11,000 ceiling and, for any amount in excess of the ceiling, profit sharing of 50% for the Company and 50% for the charterer. The calculation of the rate will be based on the adjusted Time Charter Average of the BSI. The two (2) year time charter agreement with a profit sharing arrangement may be terminated by either party with 6 months' notice following September 2012.
(7) $7,000 for the first 60 days of employment. A daily rate linked to the adjusted BHSI for the rest of the employment period.
EBITDA Reconciliation:
---------------------------------------------------------------------------- Three Months Three Months Six Months Six Months Ended June Ended June Ended June Ended June 30, 2012 30, 2011 30, 2012 30, 2011----------------------------------------------------------------------------Net income / (loss) (28,354) 648 (34,722) (878)----------------------------------------------------------------------------Plus: Interest and finance costs, net (including interest income) 3,334 3,348 6,701 7,098----------------------------------------------------------------------------Plus: Income taxes 24 28 29 44----------------------------------------------------------------------------Plus: Depreciation and amortization 5,398 9,535 10,941 20,195----------------------------------------------------------------------------EBITDA (19,598) 13,559 (17,051) 26,459----------------------------------------------------------------------------Plus: Loss on sale of vessels 13,222 - 15,555 -----------------------------------------------------------------------------Plus: Impairment loss for vessel 11,785 - 11,785 -----------------------------------------------------------------------------Adjusted EBITDA 5,409 13,559 10,289 26,459-------------------------------------------------------------------------------------------------------------------------------------------------------- Three Months Three Months Six Months Six Months Ended June Ended June Ended June Ended June 30, 2012 30, 2011 30, 2012 30, 2011----------------------------------------------------------------------------Net cash flow provided by operating activities 5,967 4,910 4,342 7,475----------------------------------------------------------------------------Loss on sale of vessels (13,222) - (15,555) -----------------------------------------------------------------------------Impairment of vessels (11,785) - (11,785) -----------------------------------------------------------------------------Changes in operating assets and liabilities (4,410) 4,479 (3,285) 5,430----------------------------------------------------------------------------Fair value of contracts - 75 - 151----------------------------------------------------------------------------Change in fair value of financial instruments 263 (299) 1,768 2,079----------------------------------------------------------------------------Amortization of stock- based compensation (3) (4) (7) (6)----------------------------------------------------------------------------Payments for dry-docking 337 1,523 988 4,862----------------------------------------------------------------------------Amortization and write- off of deferred charges (103) (501) (247) (674)----------------------------------------------------------------------------Interest and finance costs, net (includes interest income) 3,334 3,348 6,701 7,098----------------------------------------------------------------------------Income taxes 24 28 29 44----------------------------------------------------------------------------EBITDA (19,598) 13,559 (17,051) 26,459----------------------------------------------------------------------------Plus: Loss on sale of vessels 13,222 - 15,555 -----------------------------------------------------------------------------Plus: Impairment loss for vessel 11,785 - 11,785 -----------------------------------------------------------------------------Adjusted EBITDA 5,409 13,559 10,289 26,459----------------------------------------------------------------------------
