First Ship Lease Trust News

Singapore-based First Ship Lease Trust (FSL Trust) has appointed Markus Wenker as chief financial officer, to replace Alan Mitchell, who is retiring.Wenker will take over the role and responsibilities May 4, following a handover process.Wenker was most recently head of ship finance at Hellenic Bank from 2016. Previously, he held a number of roles at HSH Nordbank from 2002 to 2016.FSL Trust's current fleet of 16 vessels comprises containerships and a variety of tankers. Of these, 10 vessels are leased to international shipping companies on long-term bareboat charters.

FSL Trust Management Pte., the trustee-manager of First Ship Lease Trust, has announced the sale of the crude oil tanker FSL Shanghai.FSL Trust Management has executed a Memorandum of Agreement (MoA) to sell the crude oil tanker to an unaffiliated third party and has received the initial 10% deposit in escrow.FSL Shanghai, is a South Korean, 2007-built 115,000 DWT crude oil tanker.Completion of the disposal is scheduled to take place before the end of March 2020. The net proceeds of the disposal will be utilized for partial repayment of the Trust’s outstanding bank debt and the remaining funds will be kept for general corporate purposes.

FSL Trust Management Pte. Ltd., as trustee-manager of First Ship Lease Trust  has announced that wholly-owned subsidiaries of the Trust have executed Memorandum of Agreements to sell LR2 product tankers, FSL Piraeus and FSL Perth (“Disposal”), to an unaffiliated third party and has received an initial 10% deposit in escrow.Roger Woods, Chief Executive Officer of FSLTM, said, “The disposal of the two Product Tankers is part of our ongoing effort to refresh our fleet. Completion of the disposal is scheduled to take place before the end of January 2020, at which time, the net proceeds will be utilized forpartial repayment of the Trust’s outstanding bank debt.

Singapore-listed First Ship Lease Trust (FSL Trust)  announced that a wholly-owned subsidiary of the Trust has executed a Memorandum of Agreement to sell its MR product tanker FSL Hamburg to an unaffiliated third party and has received the initial 10% deposit in escrow.FSL Hamburg is South Korean-built 47,496 DWT product tanker built in 2005 which has recently been deployed under a Pool Agreement.Completion of the Disposal is scheduled to take place before end March 2019, at which time the net proceeds will be utilised for partial repayment of the Trust’s outstanding bank debt and the remainder, estimated around US$6.5 million, will be utilised for the instalment payments due in respect of the Newbuilding Acquisition announced on 13 December 2018.As of 31 December 2018, the FSL Hamburg was

Singapore-based First Ship Lease Trust (FSL Trust) Management has entered into a letter of intent with China’s Cosco Shipping Heavy Industry (Yangzhou) to order two LR2 product tankers, fitted with scrubbers, for around $97.2m.The two 114,000 dwt Tier III LR2 product tankers are expected to be delivered to the Purchasers in November 2020 and January 2021 respectively, said a stock exchange annoucement from the business trust which owns a fleet of vessels across major shipping sub-sectors."The newbuilding acquisition is being undertaken as part of the renewal of FSLT’s aging fleet. The newbuilding acquisition, if completed, is expected to reduce the age profile of FSLT’s fleet significantly and enhance its commercial attractiveness and marketability…

Singapore-based FSL Trust Management (FSLTM), as trustee-manager of First Ship Lease Trust  announced a new pool agreement for the two LR2 vessels, 2006 built and each 109,672 DWT, FSL Piraeus (ex-Torm Margrethe) and FSL Perth (ex-Torm Marie), which have recently returned from their bareboat charters and have now been renamed.The Trust has established a new business relationship with Heidmar as these vessels enter into the Sigma Pool.Heidmar Inc, founded in 1984, is one of the world’s leading commercial tanker operators with a fleet of approximately 80 ships, including VLCC, Suezmax, Aframax / LR2, and Panamax vessels.Roger Woods, Chief Executive Officer of FSL Trust commented: "We are delighted to be working along with a reputable and knowledgeable partner like Heidmar.

First Ship Lease Trust,  Singapore-based business trust which owns a fleet of vessels across major shipping sub-sectors, narrowed its fourth-quarter loss to US$33.87 million, down 19.9 per cent, despite lower revenue posted for the period. FSL Trust Management (FSLTM),, as trusteemanager of First Ship Lease Trust, said that the  revenue for the three months ended Dec 31 was S$19.90 million, 14.2 per cent lower compared to a year ago as contributions from vessel charters fell. The decrease in revenues is attributable to ongoing market volatility and the continued softening of rates across all shipping sectors which has weighed on the Trust’s earnings from its product tankers, crude oil tankers, chemical tankers, and feeder container vessels.

First Ship Lease Trust has sold its containership, FSL Busan, for a cash consideration of USD $6.2million.   The compnay will record a gain on disposal of about USD $0.75 million, in 1Q 2018.​

FSL Trust Management, as trusteemanager of First Ship Lease Trust (FSL Trust), announces that the Trust has sold its chemical tanker, FSL Tokyo, for a cash consideration of US$13.8 million. FSL Tokyo is a 2006, Japanese-built, 20,938 DWT chemical tanker that has been deployed in the spot market. The net proceeds from this Disposal will be applied in full to the outstanding loan facility in 1Q2018. FSL Trust will record a related impairment charge of approximately US$9.0 million in 4Q2017. Roger Woods, Chief Executive Officer of FSLTM commented: "The sale of the vessel was undertaken to further reduce the debt due under the Syndicated Loan facility.

HSH Nordbank AG's  subsidiary Godan GmbH, the controlling unitholder of First Ship Lease Trust (FSL Trust), is looking to divest all its shares in FSL Holdings, the sponsor of the trust, reported Business Times. The report quoted FSL Trust as saying that Godan GMBH is in discussion with shortlisted strategic investors for a potential sale of all of its shares in FSL Holdings. FSL Holdings also owns all shares of the trustee-manager of FSL Trust through FSL Asset Management Pte Ltd. A sale of FSL Holdings would thus result in a change in the beneficial ownership of the sponsor and the trustee-manager of FSL Trust. The sale by Godan would result in the change of the beneficial ownership of the sponsor and the trustee-manager.

Singapore's First Ship Lease (FSL) Trust said that  it has sold containership, FSL Santos for $6.2 million to reduce its debt service requirements for the fourth quarter. FSL Santos is a German-built, 1,221 TEU vessel built in 2003 that has been deployed in the Hanse Containership Pool. The net proceeds from this Disposal will be applied in full to the Trust's outstanding loan facility and the Trust will record a gain on disposal of approximately US$800,000 for 4Q2017. Roger Woods, Chief Executive Officer of FSLTM commented: “We are very pleased to have been able to dispose of one of the Trust’s older vessels. The Disposal of this 14-year old vessel also saves the Trust the expense of a third special survey due in 2QFY2018”.

Citing declining vessel values and "volatile industry conditions," FSL Trust Management Pte. Ltd., as trustee-manager of First Ship Lease Trust, announced the Trust has taken an impairment charge of $24.1 million on eight vessels, and consequently a net loss of $21.8 million in 2QFY17. “Although the tanker and container markets remained under significant pressure in 2QFY17, our fleet continued to generate positive cashflows and the Trust has maintained its strong debt repayment momentum with over $60 million of debt repaid over the last 12 months," said Roger Woods, CEO of FSLTM, in a statement. The Trust reported revenue of $20.9 million for 2QFY17, which is a reported year-on-year decrease of 17.4% compared to $25.3 million reported in 2QFY16.

FSL Trust Management (FSLTM), as trustee-manager of First Ship Lease Trust (FSL Trust), reported a net profit of $3.4 million for the three months ended March 31, 2017, compared to $2.3 million reported in 1QFY16. This positive result was achieved despite challenging industry conditions and a 17.7 percent decline in revenue to $21.9 million for 1QFY17, compared with $26.7 million reported in 1QFY16. The decrease in revenue is primarily due to the dry-docking of two crude oil tankers in 1QFY17, a smaller fleet following the disposal of two panamax containerships in February 2016, and overall lower market rates. Roger Woods was confirmed as Chief Executive Officer of FSLTM.

FSL Trust Management Pte. Ltd. (FSLTM), as trustee-manager of First Ship Lease Trust (FSL Trust), announced that the Trust has agreed to employ the 115,000 DWT Aframax crude oil tanker FSL Hong Kong, post dry docking, in the Teekay Group Revenue Sharing Agreement (RSA). This agreement continues the Trust’s relationship with Teekay, which started back in 2013.

FSL Trust Management Pte. Ltd. (“FSLTM”), as trustee-manager of First Ship Lease Trust (“FSL Trust” or “the Trust”) announced today that the Trust reported a stable and positive performance for the second quarter ended 30 June 2016 (“2QFY16”). 2QFY16 revenue decreased slightly by 8% year-on-year to US$25.3 million, compared to the corresponding period in the previous year (“2QFY15”). The slight decline in revenue is mainly attributable to a reduced fleet following the disposal of two panamax containerships in February this year, as well as softening rates in some tanker markets. However, the decrease in total revenue was partially offset by higher revenue from MR tankers with the addition of FSL Osaka to the fleet, and improved performance of the three chemical tankers deployed in a pool.

FSL Trust Management Pte. Ltd. (FSLTM), as the trustee-manager of First Ship Lease Trust (FSL Trust), announced that FSL Trust has entered into a memorandum of agreement to purchase a 2007, Japanese-built, 45,998-dwt MR product tanker for $21.8 million. The acquisition will be financed through existing cash reserves that totaled $41.8 million at June 30, 2015. The vessel’s delivery is expected between November 1, 2015 and January 31, 2016, bringing FSL Trust’s fleet to 24 vessels: 12 product tankers, three chemical tankers, two crude oil tankers and seven containerships.

FSL Trust Management Pte. Ltd., as trustee-manager of First Ship Lease Trust announced new time charter agreements for FSL Shanghai, FSL Hamburg and FSL Singapore. The Trust has reached an agreement with a leading global commodities trader to charter the three vessels for a fixed period of two years with options to extend the agreements at a higher rate for FSL Hamburg and FSL Singapore for a further six months and FSL Shanghai for a further 12 months. FSL Hamburg and FSL Singapore are MR product tankers built in 2005 and 2006 respectively whilst FSL Shanghai is an Aframax crude oil tanker that was built in 2007. The time charter agreements…

FSL Trust Management Pte. Ltd. (FSLTM), as trustee-manager of First Ship Lease Trust, has entered into a two-year time charter agreement with a prominent US domestic oil company for the FSL Hong Kong, a 115,000 dwt crude oil tanker built in 2007. The new employment is anticipated to generate approximately $16.8 million in revenue over the next 24 months, the company said. This represents an increase of 47% on the time charter rate at which the FSL Shanghai was contracted for one year in June 2014. The increased rate reflects recent improvements in the crude oil tanker charter market.

Singapore-based First Ship Lease Trust (“FSL Trust”) informs in its Q1 2014 financial report that its loss  for the quarter was reduced by nearly 30% to US$4.9 million from US$7.0 million posted the year before. The reduced loss was partly due to the impairment loss on financial assets available-for- sale in the first quarter ended 31 March 2013. “Despite the many challenges faced over the past year, we are now in much stronger stead and have addressed many long-standing issues in order to improve the performance of the Trust,” said Alan Hatton, Chief Executive Officer of FSLTM. He pointed out that amongst other initiatives, The Trust now have an experienced management team on board…

FSL Trust Management Pte. Ltd. (FSLTM), as trustee-manager of First Ship Lease Trust (FSL Trust) has generated a profit of  $1 million for the 2Q of the 2014 financial year. This profit compares to a $7.2 million loss for the 2Q’s corresponding previous year. This turnaround succeeds the restructuring efforts of the senior management team. FSL Trust has seen a performance improvement in the past quarter due to initiatives that were implemented September 2013. The Trust now has…

FSL Trust Management Pte. Ltd. (“FSLTM”), as Trustee- Manager of First Ship Lease Trust (“FSL Trust” ) informs it has appointed Esben Sofren Poulsson as Non-Executive Independent Director of FSLTM, effective from 30 September 2014. The Trust adds that Mr. Poulsson is a well-respected senior figure in the global shipping community with more than 40 years of industry experience. He has been a significant contributor in positioning Singapore as a world class maritime center, acting as an advisor to a number of key trade associations and related bodies in Singapore. He is currently a Council Member and Honorary Secretary of the Singapore Shipping Association and represents Singapore on the Board of the International Chamber of Shipping in London, of which he is a Vice Chairman.

Formerly financially troubled FSL Trust Management (FSL Trust) says in its latest FY 2013 report that it has successfully secured a loan covenant relaxation until 31 December 2014, which they hope will enable them to move forward. FSL Trust Management Pte Ltd, as trustee-manager of First Ship Lease Trust, also announces the Trust’s financial results for the financial year ended 31 December 2013 with a 15.2% decline in revenue to US$90.0 million from US$106.1 million in the previous financial year 2012.

FSL Trust Management Pte. Ltd. (FSLTM), as trustee-manager of First Ship Lease Trust has sold its two dry bulk vessels, MT Stella Fomalhaut and MT FSL Durban. The disposal is expected to save FSL Trust approximately $3 million (approximately S$3.8 million based on the prevailing exchange rate1) in dry dock capital expenditure in the financial period ending March 31, 2014 and reduce its cost of debt service in 1QFY2014 and the financial period ending 30 June 2014 by at least $5 million (approximately S$6.3 million based on the prevailing exchange rate).