The Board of Directors of Maritrans Inc.
has appointed Philip J. Doherty to chief executive officer effective April 1, 2003. Stephen A. Van Dyck
, former chief executive officer, will continue to be employed by the company as chairman of Maritrans Inc.
Stephen A. Van Dyck, chairman of the board of directors, commented, "I am proud to have served as the leader of Maritrans and its predecessors for over 28 years. We have achieved a strong reputation with our customers and the confidence of our investors and stakeholders. We have an innovative fleet renewal program and a safety record that has been honored repeatedly by the United States Coast Guard. It is satisfying and exciting to be passing leadership of this respected company to Phil Doherty. For the past five years, Phil has been involved in all aspects of the Company's strategy and operations and brings a great deal of knowledge and skill to his role.
Since 1974, Van Dyck has managed the company and has been an outspoken industry advocate in Washington and around the world. M. Van Dyck will
maintain his senior role with Maritrans' customers and key stakeholders. He will also continue service to the industry as chairman of The West of England Ship Owners Mutual Insurance Association (Luxemburg), chairman of the Chamber of Shipping of America, and member of the Intertanko Executive Committee. He is a member of ABS Americas, the American Petroleum Institute and other industry organizations. Van Dyck is a director of AmeriGas Propane, Inc., and a trustee of the Webb Institute of naval architecture and Connecticut College.
Maritrans has also announced its annual and fourth quarter financial results, declared its quarterly dividend and announced an investor teleconference to discuss the quarter's results.
Net income for the year ended December 31, 2002, was $9.5 million, or $1.10 diluted earnings per share, on revenues of $129.0 million. This compares with net income of $7.7 million, after an extraordinary charge, or $0.72 diluted earnings per share, on revenues of $123.4 million for the year ended December 31, 2001. Before the extraordinary charge, net income was $10.2 million, or $0.96 diluted earnings per share for the previous year. Net income for the quarter ended December 31, 2002 was $2.1 million, or $0.25 diluted earnings per share, on revenues of $34.6 million. This compares with net income of $0.7 million, after an extraordinary charge, or $0.06 diluted earnings per share, on revenues of $31.7 million for the quarter ended December 31, 2001. Before the extraordinary charge, net income was $3.2 million, or $.30 diluted earnings per share in the fourth quarter of 2001.
Maritrans also declared a quarterly dividend of $0.11 per share, payable on March 12, 2003, to shareholders of record on February 26, 2003. During the quarter, the Company purchased 22,000 shares under its authorized share buyback program. The Company has purchased 2,456,700 shares through December 31, 2002 under the program.
On a Time Charter Equivalent (TCE) basis, a commonly used industry measure where direct voyage costs are deducted from revenue, TCE revenue increased from $26.9 million for the quarter ended December 31, 2001 to $29.1 million, or 8 percent, for the quarter ended December 31, 2002. TCE revenue for the year ended December 31, 2002 was $109.2 million, which increased from $101.9 million for the year ended December 31, 2001, or 7 percent. Maritrans enters into various types of charters, some of which involve the customer paying substantially all voyage costs, while other types of charters involve Maritrans paying some or substantially all of the voyage costs. Maritrans monitors the TCE basis because it essentially nets the voyage costs and voyage revenue to yield a measure that is comparable between periods regardless of the types of charters utilized.