Dockwise Ltd
oslo : DOCK

November 04, 2011 12:57 ET

Dockwise lending syndicate grants waiver request

BREDA, THE NETHERLANDS--(Marketwire - Nov 4, 2011) -



Breda, the Netherlands, November 4(th), 2011. Dockwise Ltd. today announces that its lending syndicate has agreed the waiver request filed on 10(th) October for contingency purposes.

Dockwise has at all times remained within covenants agreed with the lender syndicate. Today's agreement by the syndicate grants Dockwise a temporary relaxation of the leverage ratio (net debt over EBITDA), which will provide additional headroom in the event of extraordinary market circumstances. The period of relaxation is March 2012 until September 2013

The new covenant ratio's are as follows:

+-------------------------------------------------------------------------- ----+ | BANK COVENANT RATIOS | +--------------+--+------+-----+-----+-----+-----+------+-----+-----+------ --+-+ | | |Q4'11 |Q1'12|Q2'12|Q3'13|Q4'13|Q1'13 |Q2'13|Q3'13| Q4'13 | | | | | | | | | | | | | Till | | | | | | | | | | | | |maturity| | +--------------+--+------+-----+-----+-----+-----+------+-----+-----+------ --+-+ |Cash flow |>=|1.0 |1.0 |1.0 |1.0 |1.0 |1.0 |1.0 |1.0 |1.0 | | |cover | | | | | | | | | | | | |Unchanged | | | | | | | | | | | | +--------------+--+------+-----+-----+-----+-----+------+-----+-----+------ --+-+ |Interest cover|>=|2.25 |2.25 |2.25 |2.25 |2.25 |2.25 |2.25 |2.25 |2.25 | | |Unchanged | | | | | | | | | | | | +--------------+--+------+-----+-----+-----+-----+------+-----+-----+------ --+-+ |Leverage new |<=|3.75 |4.25 |4.25 |4.25 |4.25 |3.75 |3.5 |3.25 |3.0 | | |(previous | |(3.75)|(3.5)|(3.5)|(3.5)|(3.5)|(3.25)|(3.0)|(3.0)|(3.0) | | |ratio) | | | | | | | | | | | | +--------------+--+------+-----+-----+-----+-----+------+-----+-----+------ --+-+


Interest expenses for Dockwise are based on LIBOR (95-100% hedged until July 2012, thereafter 50% hedged until July 2014) plus, on average, a 2.4% margin. This results in the current interest rate of 7.3%.

Following the waiver the estimated interest rate- depending on the covenant position- will be between 8 and 9.5% for the first half of 2012, between 6.75 and 8.5% for the second half of 2012 and between 7 and 8% for 2013. In addition lenders will receive a waiver fee of near USD 3.5 million in Q4 2011.

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.







This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that: (i) the releases contained herein are protected by copyright and other applicable laws; and (ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Dockwise Ltd via Thomson Reuters ONE

[HUG#1561153]

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