First Ship Lease Trust Gains Time

Press Release
Sunday, July 01, 2012

FSL Trust secures 12 months relaxation of two loan covenants, suspends distribution during that period

First Ship Lease Trust ("FSL Trust") is a Singapore business trust that provides lease financing solutions to the international maritime industry. FSL Trust currently owns a diversified portfolio of 25 vessels with an average age of 6.5 years. FSL Trust derives stable long-term cashflow primarily through leasing its vessels on long-term bareboat charter basis to international shipping companies. FSL

The relaxation of covenants would be in effect for 12 months until end-June 2013 (the “Relaxation Period”). In view of the economic weakness in Europe and further deterioration in the shipping market,

FSLTM requested for and was granted a temporary relaxation of two loan covenants from its lenders to address potential breaches over the next 12 months.

The two covenants that the lenders have agreed to relax are the security value-to-loan (“VTL”) ratio and the debt service coverage (“DSC”) ratio.

The relaxation of the covenants cushions the Trust from the economic uncertainties and depressed vessel valuations expected over the next 12 months.”

 

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter April 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Chevron Suffers Loss, Plans Job Cuts

Chevron Corp. reported a first-quarter loss as slumping oil prices continued to drag down revenue. The company said that it is "on target" to lay off a total of 8000 workers by the end of 2016,

China COSCO to be First through the Expanded Panama Canal

China COSCO Shipping has won the draw for its container vessel Andronikos to make the ceremonial first transit through the Expanded Panama Canal during the waterway’s inauguration on Sunday, June 26.

Sellick Equipment to Open New Facility

On April, 20, 2016, at the young age of 97 years, Walter Sellick along with sons Howard Sellick - President, David Sellick - Vice President and grandson Colin Sellick - Systems Manager,

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Standards Naval Architecture Pod Propulsion Port Authority Salvage Ship Electronics Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0809 sec (12 req/sec)