Western Bulk Chartering AS - Third Quarter 2016 Results

The Group had a significant improvement in performance from Q2-16 to Q3-16, with both increased Net TC and operated fleet.

The Net TC result improved from the very weak level of USD -5.4 million in Q2-16 to USD 0.9 million in Q3-16. At the same time the operated fleet increased from 109 vessels in Q2-16 to 126 vessels on average for Q3-16 and was steadily increasing throughout the quarter, with 138 vessels operated on average in September.

The Group continues to increase its market presence, and has during Q3-16 seen another 3 persons joining the US Gulf business unit in Miami. In addition, an office in Morocco has been opened to support new business in the West Africa area. Both of these markets have great potential for the Group looking forward.

Further strengthening of the equity and cash position of the Group
To strengthen the book equity and cash positon of the Group, Western Bulk Chartering AS will raise USD 15 million in additional equity from existing shareholders in a private placement. The transaction is backed with a subscription and guarantee agreement from the two largest shareholders; Kistefos AS and Ojada AS, which are guaranteeing USD 13.8 million and USD 1.2 million respectively. In connection with the equity transaction, the Group has requested the bond holders to approve certain amendments in the bond loan agreement. The request has already been pre-accepted by a majority of the bond holders, ahead of the bond holder meeting to be held on or about 15 December 2016 to approve the requested changes.

"I am pleased to see the positive development in our margins and the operated fleet. After an extremely challenging first half of the year, the business is moving in the rigth direction with good support from our business partners, shareholders and dedicated staff" says Jens Ismar, Chief Executive Officer of Western Bulk Chartering.


Please read more in the attached quarterly report.

Western Bulk Chartering AS Q3 2016 report

For more information, please contact:
Jens Ismar, Chief Executive Officer
Tel: +47 9009 0897
E-mail: jens.ismar@westernbulk.com

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.