SOURCE: Euroseas

EUROSEAS

May 24, 2011 09:07 ET

Euroseas Ltd. Announces Time Charter Renewals for Two of Its Containerships

ATHENS, GREECE--(Marketwire - May 24, 2011) - Euroseas Ltd. (NASDAQ: ESEA), an owner and operator of drybulk carriers and container vessels and provider of seaborne transportation for dry bulk and containerized cargoes, announced today that two subsidiaries of the Company have entered into time charter agreement for the following vessels:

M/V Ninos, a 1,169 teu, 1990 built feeder containership, has been extended for about 1 year at a gross daily rate of $11,200. The new rate will apply from the 1st of June 2011. The new rate represents an increase of about 65% over the vessel's current rate.

M/V Kuo Hsiung, a 1,169 teu, 1993 built feeder containership, has been extended for about 1 year at a gross daily rate of $11,200. The new rate will apply from the 15th of June 2011. The new rate represents an increase of about 111% over the vessel's current rate.

Following the above mentioned charters, approximately 77% of the Company's total containerfleet days for 2011 and approximately 12% in 2012 are secured under period charters. The Company's drybulk fleet is 100% covered in 2011 via time charter contracts or Forward Freight Agreements (FFAs) and 50% covered in 2012 via time charter contracts.

Aristides Pittas, Chairman and CEO of Euroseas, commented: "We are pleased to announce that we have extended the time charter agreements for M/V Ninos and M/V Kuo Hsiung at rates of approximately 90% higher than their current rates on average. We look forward to continuing capitalizing on a stronger containership market with the remaining of our vessels come up for re-chartering as any rate increases directly benefit our earnings."

As of May 24, 2011, Euroseas Ltd. fleet profile is as follows:

NameTypeDwtTEUYear BuiltEmployment (*)
TCE Rate ($/day)
Dry Bulk Vessels
PANTELISPanamax74,0202000TC 'til Mar-12$17,500
ELENI PPanamax72,1191997TC 'til Jan-13$16,500
IRINIPanamax69,7341988TC 'til Apr-13$14,000

ARISTIDES N.P.

Panamax

69,268

1993
TC 'til May-12$14,950

MONICA P (**)

Handymax

46,667

1998

Bulkhandling Pool
Total Dry Bulk Vessels
5
331,808
Multipurpose Dry Cargo Vessels

TASMAN TRADER

1

22,568

950

1990

TC 'til Mar-12

$9,000
Container Carriers
MAERSK NOUMEAIntermediate34,6772,5562001
TC 'til Jun-11

$16,800

TIGER BRIDGE

Intermediate

31,627

2,228

1990

TC 'til Mar-12

$7,500

AGGELIKI P

Intermediate

30,360

2,008

1998

TC 'til Jul-11

$7,000

DESPINA P

Handy size

33,667

1,932

1990

TC 'til Jan-12

$8,500

JONATHAN P
(ex-OEL INTEGRITY)

Handy size

33,667

1,932

1990

TC 'til Oct -11
$11,750

CAPTAIN COSTAS
(ex-OEL TRANSWORLD)

Handy size

30,007

1,742

1992

TC 'til Aug-11

$10,250

YM PORT KELANG (ex-MASTRO NICOS, ex- YM XINGANG I)

Handy size

23,596

1,599

1993

TC 'til Oct-11

$5,900

MANOLIS P

Handy size

20,346

1,452

1995

TC 'til Jun-11

$7,699

NINOS
(ex-YM QINGDAO I)

Feeder

18,253

1,169

1990

TC 'til Jun-11
Thereafter TC till Jun-12

$6,800 thereafter $11,200

KUO HSIUNG

Feeder

18,154

1,169

1993

TC 'til Jun-11
Thereafter TC till Jun-12

$5,300 thereafter $11,200

Total Container Carriers
10274,35417,787
Fleet Grand Total16628,73018,737

(*) TC denotes time charter. All dates listed are the earliest redelivery dates under each TC.

(**) "Monica P" is employed in the Bulkhandling spot pool that is managed by Klaveness, a major global charterer in the drybulk area. The Company has concluded a Forward Freight Agreement(FFA) option contract on the panamax index for calendar 2011 for a modern panamax. Such a contract serves as an approximate hedge to one of our panamax vessels for 2011 effectively locking in a rate between $16,500 and $23,500.

About Euroseas Ltd.
Euroseas Ltd. was formed on May 5, 2005 under the laws of the Republic of the Marshall Islands to consolidate the ship owning interests of the Pittas family of Athens, Greece, which has been in the shipping business over the past 136 years. Euroseas trades on the NASDAQ Global Market under the ticker ESEA since January 31, 2007.

Euroseas operates in the dry cargo, drybulk and container shipping markets. Euroseas' operations are managed by Eurobulk Ltd., an ISO 9001:2000 certified affiliated ship management company, which is responsible for the day-to-day commercial and technical management and operations of the vessels. Euroseas employs its vessels on spot and period charters and through pool arrangements.

The Company has a fleet of 16 vessels, including 4 Panamax drybulk carriers and 1 Handymax drybulk carrier, 3 Intermediate containership, 5 Handysize containerships, 2 Feeder containerships and a multipurpose dry cargo vessel. Euroseas` 5 drybulk carriers have a total cargo capacity of 331,808 dwt, its 10 containerships have a cargo capacity of 17,787 teu and its multipurpose vessel has a cargo capacity of 22,568 dwt or 950 teu.

Forward-Looking Statement
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and the Company's growth strategy and measures to implement such strategy; including expected vessel acquisitions and entering into further time charters. Words such as "expects," "intends," "plans," "believes," "anticipates," "hopes," "estimates," and variations of such words and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates that are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of the Company. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to changes in the demand for dry bulk vessels and container ships, competitive factors in the market in which the Company operates; risks associated with operations outside the United States; and other factors listed from time to time in the Company's filings with the Securities and Exchange Commission. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.

Visit our website www.euroseas.gr

Contact Information

  • Company Contact
    Tasos Aslidis
    Chief Financial Officer Euroseas Ltd.
    11 Canterbury Lane,
    Watchung, NJ 07069
    Tel. (908) 301-9091
    E-mail: aha@euroseas.gr

    Investor Relations / Financial Media

    Nicolas Bornozis
    President
    Capital Link, Inc.
    230 Park Avenue, Suite 1536
    New York, NY 10169
    Tel. (212) 661-7566
    E-mail: nbornozis@capitallink.com