Omega Signs Contracts for Five New Tankers
The agreed purchase price of the five new buildings is $44.2m per vessel. Predelivery payment terms provide for 10% in early July 2007 and 10% in mid December 2007. No further progress payments will be due until mid 2009. These first two installments will be funded either fully with debt or with a combination of debt and internally generated cash flow and the company does not expect this financing structure to affect its ability to fund its current quarterly dividend policy. With the addition of these five vessels, the Omega fleet will consist of 13 product tankers with a total deadweight capacity of 697,358 tons.