Diana Containerships, MSC Enter Time Charter Deal

Diana Containerships Inc. announced that, through a separate wholly-owned subsidiary, it entered into a time charter contract with MSC-Mediterranean Shipping Co. S.A., Geneva, for one of its Post-Panamax container vessels, the m/v Puelo, a 6,541 TEU container vessel built in 2006.

The gross charter rate is $6,500 per day, for a period of 12 months. The charterer has the option to further employ the vessel for a 12 month period, at a gross charter rate of $8,600 per day starting 12 months after delivery of the vessel to the charterer. After that period the charterer has the option to employ the vessel for a further 12 month period, at a gross charter rate of $20,000 starting 24 months after delivery of the vessel to the charterer. The charterer has the option to employ the vessel for plus or minus 30 days on final declaration.  All gross charter rates include a 3.75 percent commission paid to third parties. Options must be declared by the charterer not later than nine months for the first option and 20 months for the second option after the delivery of the vessel to the charterer. The charter is expected to commence on May 18, 2016.

Diana Containerships said the employment is anticipated to generate approximately $2.15 million of gross revenue for the minimum scheduled period of the charter.