American Shipping Company ASA : Fourth quarter 2016 results

Lysaker, 6 February 2017, American Shipping Company ASA ("AMSC or the "Company") announces results for fourth quarter ending 31 December 2016.

HIGHLIGHTS
             

• Stable Q4 bareboat revenue of USD 22.1 million and backlog of secured bareboat revenue of USD 314 million with average weighted tenor of 3.6 years
• Normalized EBITDA for Q4 of USD 24.3 million, including profit share of USD 1.8 million attributed to AMSC
• Recognized a gain of USD 2.2 million related to the Company's investment in Philly Tankers AS ("Philly Tankers"), related to the delivery and sale of the first vessel by Philly Tankers to Kinder Morgan
• Adjusted net profit for Q4 of USD 5.8 million
• Declared Q4 dividend of USD 0.124 per share, in line with previous guidance for full year 2016 dividends

AMSC CEO, Pål Magnussen comments, "The Jones Act tanker market remained oversupplied in the fourth quarter, although we are beginning to see a trend of charterers replacing articulated tub barges (ATBs) with tankers.  This dynamic currently leads to high utilization of our assets. As a bareboat provider with assets contracted on long-term charters, we enjoy stable, predictable cash flows during periods of market weakness.  At the same time, we are well positioned to benefit from a market recovery through the profit sharing component of our charter agreements on the back of higher oil prices and expected rise in U.S. shale oil production".

The full report is attached, along with the Q4 presentation.

Company contacts:

Pål Magnussen, Chief Executive Officer
[phone]

Morten Bakke, Chief Financial Officer
[phone]

Leigh Jaros, Business Controller / Finance Manager
[phone]

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

AMSC Q4 presentation
AMSC Q4 report

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Source: American Shipping Company ASA via Globenewswire