The Company incurred acquisition related expenses of $3.6m, which are included in the general and administrative expenses.
Earnings per share in 1Q2013 was -$0.59, compared with -$0.61 in 4Q2012 and -$0.18 in 1Q2012. Please see above for the non-recurring items in in each quarter. Bunker costs of $1.2 million for planned offhire vessels are debited the accounts for 1Q2013.
The Company's operating cash flow(1) was -$4.9m for 1Q2013, compared with -$1.1m for 4Q2012 and $11.4m in 1Q2012.
As a consequence of the 100% acquisition of Scandic and Orion Tankers, our income statement and balance sheets are different from previous quarters. Therefore, the accounts for 1Q2013 presented are fully consolidated with those of Scandic and Orion. The costs of managing the Orion pool increase our G&A costs by $840,000 for 1Q2013 accountingwise. In the past these items were booked as a reduction to net voyage revenue. Except for this, there is no significant difference to the income statement presentation. For the balance sheet, there are several new line items representing the assets and liabilities of Scandic and Orion.
We continue to concentrate on keeping our vessel operating costs low, while always maintaining our strong commitment to safe operations. We pay special attention to the cost synergies of operating a homogenous fleet that consists only of double hull Suezmax tankers. As we expand our fleet, we do not anticipate that our administrative costs will rise correspondingly.
In a weak tanker market other tanker companies may have challenges in keeping up technical standards as they cannot afford to spend the required funds for operations and maintenance.
As a matter of policy, the Company has always kept a strong balance sheet with low net debt and a focus on limiting the Company's financial risk. This policy will continue.
The Company is well placed to take advantage of strong shipping markets, which due to our spot strategy will be reflected in increased dividends.
The establishment of the Orion Tanker Pool has resulted in a closer relationship with customers and a stronger position in the market place. We do business with some of the largest oil companies in the world on a regular basis. They demand the highest quality both at sea and onshore.
Prices for newbuildings and second hand tankers continue to be low by historical standards. NAT is in a good position to buy additional vessels or order new vessels at advantageous prices when the time is right. Such acquisitions would increase the dividend capacity of the Company. It is a prerequisite for any expansion of the fleet that our dividend and earnings capacity per share increases. During the quarter the Company agreed to acquire a 2013 Korean built Suezmax tanker. The vessel is of a particularly high specification.
Our primary objective is to enhance total return(2) for our shareholders, including maximizing our quarterly dividend.
As of March 31, 2013, the Company has a net debt of about $8.2 million per vessel. The Company has in place a new non-amortizing credit facility of $430m, of which $250m has been drawn at this time. We are in full compliance with all provisions of this credit facility. Cash on hand is $23 million. The credit facility, which matures in November of 2017, is not subject to reduction by the lenders and there is no obligation to repay principal during the term of the facility. The Company pays interest only on drawn amounts and a commitment fee for undrawn amounts. This means that our cash break-even rate of about $12,000 per day per vessel is significantly lower than the rate of highly-leveraged companies. The tightened terms of commercial bank financing and higher margins on shipping loans are challenging for shipping companies that are highly leveraged. By having little net debt, NAT is better positioned to navigate the financial seas, and we believe this is in the best interests of our shareholders.
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