Debt Financing

Western Bulk has the following interest-bearing debt obligations:

Bond Loan

Western Bulk has issued a NOK 300 million unsecured bond loan. The loan matures in full in April 2019. Western Bulk owns NOK 29 million of its outstanding bonds. The interest rate exposure inherent from the bond loan is currently unhedged, while the currency exposure inherent in the bond's principal amount has a downside protection in form of a currency option that kicks in if the NOK appreciates against the USD to an exchange rate level of 7.68 or lower. The bond is listed on Nordic ABM. Details are as follows:

ISIN:

NO0010675572

Outstanding amount (mill):

300

Ticker:

WBULK01 PRO

Face value:

1 000 000

Borrower/issuer:

Western Bulk Chartering AS

Security:

Unsecured

Maturity:

19.04.2013 - 19.04.2019

Call option:

Yes

Currency:

NOK

Put option:

No

Current interest rate %:

7,60

Trustee:

Norsk Tillitsmann

Reference rate:

3M NIBOR

Account Manager:

Nordea Bank Norge ASA

Margin %:

6.75

Bond Issue Manager:

Pareto Securities AS

For more information, go to Nordic ABM.

Bank Credit Facility

Western Bulk has a USD 6 million bank credit facility. The credit facility is secured with a pledge over the Group's account receivables and bank accounts.

 

Western Bulk

Email and IT-related Fraud Alert

There is an increasing risk of attempted fraud and other security threats via email. In particular, Western Bulk has noticed an increase of fraudulent requests to change bank account details of suppliers/creditors, in an attempt to redirect payments to criminals and not to the intended recipient. We encourage everyone to be vigilant and learn to detect fraudulent email instructions - seemingly legitimate emails may contain fraudulent information, this is not just a cybersecurity matter.

As a result, Western Bulk will treat any notice of bank account changes as suspicious. Urgent pressure to effect payment as soon as possible without verification of the changes will also be treated as suspicious.

Please note that Western Bulk would not inform of changes to bank account details by email notice alone. In the unlikely event that we need to change a beneficiary name or our other bank account details, we would personally contact our supplier or customer in order to personally verify any change in details.

Similarly, we ask that all our suppliers and creditors:

1. first notify us in writing and
2. personally verify any change in bank details or change in beneficiary in any payment advice to Western Bulk.

In summary, notices of bank account changes will require voice confirmation from your Western Bulk contact, either by telephone or face to face, before payment can be authorised so please make sure to notify any changes in good time.