SOURCE: Seanergy Maritime Holdings Corp.

March 04, 2010 16:27 ET

Seanergy Maritime Holdings Corp. Reports Financial Results for the Fourth Quarter and the Year Ended December 31, 2009

ATHENS, GREECE--(Marketwire - March 4, 2010) - Seanergy Maritime Holdings Corp. (the "Company") (NASDAQ: SHIP) (NASDAQ: SHIPW) announced today its operating results for the fourth quarter and the year ended December 31, 2009.

Dale Ploughman, the Company's Chief Executive Officer, stated: "Despite the difficult market conditions we are pleased to report strong results for 2009. These results reflect our strong cash flow, the high fleet utilization and our operational efficiency.

"2009 has been a transformational year for Seanergy. We managed to double our controlled fleet from 6 to 11 vessels with the acquisition of BET and we reinforced our capital structure with the conversion of the $28.5 million promissory note, issued in our business combination, into common stock. Recently, we completed an offering of common stock and successfully raised net proceeds of approximately $28 million for vessel acquisitions, expanding our shareholder base and improving the liquidity of our shares.

"We are committed to our goal of using the proceeds of the offering to expand our fleet with the proper acquisitions. We are focusing our resources on identifying vessel(s) with a view to maximizing benefits to the Company, as quickly as possible. We have already identified and inspected a couple of vessels which unfortunately have not met our surveyors' expectations. Our decisions aim is to safeguard the long term interests of our shareholders.

"We remain positive on the long-term outlook of the dry bulk market, as we expect that demand for core bulk commodities will remain strong. However, in the short term, we expect the market to continue to be volatile as there is uncertainty on the size of the orderbook and the global economic recovery is quite fragile."

Christina Anagnostara, the Company's Chief Financial Officer, stated: "We are pleased to report strong results for 2009 with an average daily TCE, or time charter equivalent rate of $ 32,909 for the year. Our net income margin was approximately 37% of TCE and our free cash flow margin was approximately 59% of TCE.

"Our cash reserves as of December 31, 2009 were $63.6 million, reflecting $43.2 million in cash generated from operations. Our strong cash position enables us to meet remaining debt repayments of $22.7 million and anticipated capital expenditures of $3.6 million in 2010. Today, we have $85 million in cash and a healthy balance sheet allowing us to take advantage of market opportunities as they become available.

"During the year, we arranged new employment for our fleet and we now have time charter coverage for 95% of our fleet for 2010 and 51% for 2011 providing us with significant cash flow visibility. Therefore, we believe that we are in a very strong position to take advantage of market opportunities to expand our asset base revenue and profitability."

Fourth Quarter 2009 Financial Results

Net Revenues for the three month period ended December 31, 2009 decreased to $17.3 million from $28.3 million in the same quarter in 2008. This is mainly attributable to the lower market imposed time charter rates earned during the three month period ended December 31, 2009 as compared to the same period in 2008. The Company operated a fleet of 11 vessels on average during the fourth quarter of 2009, earning a TCE rate of $17,331 as compared to an average of 6 vessels and TCE rate of $50,652 during the fourth quarter of 2008.

EBITDA was $5.8 million for the three months ended December 31, 2009 as compared to -$25.6 million in the same quarter in 2008. Please refer to a subsequent section of the press release for a reconciliation of EBITDA to net income.

Operating Income amounted to $0.8 million for the three months ended December 31, 2009, as compared to an Operating Loss of $34 million for the same quarter in 2008. Net Loss was $3.2 million, or -$0.10 per basic and diluted share for the three months ended December 31, 2009, as compared to a Net Loss of $37.3 million, or -$1.67 per basic and diluted share, for the same quarter in 2008, based on weighted average common shares outstanding of 33,255,170and 22,341,857, respectively. The decrease in net loss of $34.1 million is mainly attributable to a vessel impairment loss of $4.5 million and a goodwill impairment loss of $44.8 million in the fourth quarter of 2008. The Company did not incur any such impairment losses in the fourth quarter of 2009.

Year ended December 31, 2009 Financial Results

Net Revenues for 2009 increased to $87.9 million as compared to $34.5 million in 2008, an increase of 155%. This increase is primarily due to the fact that the Company only operated for a portion of 2008 as it commenced its operations on August 2008. In addition, the Company got additional vessels during 2009 when it acquired a controlling interest in BET in August 2009. The Company operated a fleet of 7.9 vessels on average during 2009 as compared to 5.5 in 2008. This increase was partially offset by the lower market imposed time charter rates incurred during 2009. The TCE rate for 2009 amounted to $32,909 as compared to $49,994 in 2008. The decrease in TCE reflects the new time charter contracts at prevailing lower market rates.

EBITDA was $65.1 million for the year ended December 31, 2009, as compared to -$21.3 million for the year ended December 31, 2008. Please refer to a subsequent section of this press release for a reconciliation of EBITDA to net income.

Operating Income amounted to $40.4 million as compared to an Operating Loss of $31.2 million for the year ended December 31, 2008.

Net Income was $30.1 million, or $1.16 per basic share and $1.00 per diluted share, based on weighted average common shares outstanding of 25,882,967 basic and of 30,529,281 diluted for 2009, as compared to a Net Loss of $32 million or -$1.21 per both basic and diluted share, based on weighted average common shares outstanding of 26,452,291 for both basic and diluted shares in 2008. The improvement in Net Income is mainly attributable to the reasons described above with respect to the fourth quarter of 2009

Conference Call Details:

The Company's management team will host a conference call to discuss the financial results tomorrow, Friday, March 5, 2010 at 9:00 A.M. EST.

Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 1(866) 819-7111 (from the US), 0(800) 953-0329 (from the UK) or + (44) (0) 1452 542 301 (from outside the US). Please quote "Seanergy."

A replay of the conference call will be available until March 12, 2010. The United States replay number is 1(866) 247-4222; from the UK 0(800) 953-1533; the standard international replay number is (+44) (0) 1452 550 000 and the access code required for the replay is: 2094507#.

Slides and Audio Webcast

There will also be a simultaneous live webcast over the Internet, through the Seanergy website (www.seanergymaritime.com). Participants desiring to view the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

Fleet Profile as of March 4, 2010

Fleet Profile as of March 4, 2010
                                                                   Time
                                                                  Charter
                       Vessel    Capacity              TC Rate     Expiry
Vessel Name            Class      (DWT)    Year Built    ($)      (latest)
                     ---------- ---------- ---------- ---------- ----------
M/V Bremen Max          Panamax     73,503       1993     15,500 Sept. 2010
                     ---------- ---------- ---------- ---------- ----------
M/V Hamburg Max         Panamax     72,338       1994     15,500 Sept. 2010
                     ---------- ---------- ---------- ---------- ----------
M/V Davakis G.         Supramax     54,051       2008     21,000  Jan. 2011
                     ---------- ---------- ---------- ---------- ----------
M/V Delos Ranger       Supramax     54,051       2008     20,000  Mar. 2011
                     ---------- ---------- ---------- ---------- ----------
M/V African Zebra (1) Handysize     38,623       1985      7,500  Aug. 2011
                     ---------- ---------- ---------- ---------- ----------
M/V African Oryx (1)  Handysize     24,110       1997      7,000  Aug. 2011
                     ---------- ---------- ---------- ---------- ----------
M/V BET Commander      Capesize    149,507       1991     24,000  Dec. 2011
                     ---------- ---------- ---------- ---------- ----------
M/V BET Fighter        Capesize    173,149       1992     25,000 Sept. 2011
                     ---------- ---------- ---------- ---------- ----------
M/V BET Prince         Capesize    163,554       1995     25,000  Jan. 2012
                     ---------- ---------- ---------- ---------- ----------
M/V BET Scouter        Capesize    171,175       1995     26,000  Oct. 2011
                     ---------- ---------- ---------- ---------- ----------
M/V BET Intruder        Panamax     69,235       1993     15,500 Sept. 2011
                     ---------- ---------- ---------- ---------- ----------
Total/Average                    1,043,296     14 yrs
                     ---------- ---------- ---------- ---------- ----------


 (1)Represents gross floor charter rates excluding a 50% adjusted
    profit share distributed equally between owners and charterers
    calculated on the average spot Time Charter Routes quoted on the
    Baltic Supramax Index for a period of 22 to 25 months.



Fleet Data:

                                                      Three       Three
                               Year        Year       Months      Months
                              Ended       Ended       Ended       Ended
                             December    December    December    December
                             31, 2009    31, 2008    31, 2009    31, 2008
                            ----------  ----------  ----------  ----------
Fleet Data:
                            ----------  ----------  ----------  ----------
Average number of vessels
 (1)                               7.9         5.5          11         6.0
                            ----------  ----------  ----------  ----------
Ownership days (2)               2,895         686       1,012         552
                            ----------  ----------  ----------  ----------
Available days (3)               2,638         686         983         552
                            ----------  ----------  ----------  ----------
Operating days (4)               2,614         678         969         552
                            ----------  ----------  ----------  ----------
Fleet utilization (5)             90.3%       98.8%       95.8%        100%
                            ----------  ----------  ----------  ----------
Average Daily Results:
                            ----------  ----------  ----------  ----------
TCE rate (6)                    32,909      49,944      17,331      50,652
                            ----------  ----------  ----------  ----------
Vessel operating expenses
 (7)                             5,603       4,636       6,389       4,458
                            ----------  ----------  ----------  ----------
Management fee (8)                 592         566         628         554
                            ----------  ----------  ----------  ----------
Total vessel operating
 expenses (9)                    6,195       5,202       7,017       5,012
                            ----------  ----------  ----------  ----------

(1) Average number of vessels is the number of vessels that constituted
    the Company's fleet for the relevant period, as measured by the sum
    of the number of days each vessel was a part of the Company's fleet
    during the relevant period divided by the number of calendar days
    in the relevant period.

(2) Ownership days are the total number of days in a period during which
    the vessels in a fleet have been owned. Ownership days are an indicator
    of the size of the Company's fleet over a period and affect both the
    amount of revenues and the amount of expenses that the Company recorded
    during a period.

(3) Available days are the number of ownership days less the aggregate
    number of days that vessels are off-hire due to major repairs, dry
    dockings or special or intermediate surveys. The shipping industry
    uses available days to measure the number of ownership days in a
    period during which vessels should be capable of generating revenues.
    During the year ended December 31, 2009, the Company incurred 257 off
    hire days for vessel scheduled dry docking. During the three months
    ended December 31, 2009, the Company incurred 29 off hire days for
    vessel scheduled dry docking.

(4) Operating days are the number of available days in a period less the
    aggregate number of days that vessels are off-hire due to any reason,
    including unforeseen circumstances. The shipping industry uses
    operating days to measure the aggregate number of days in a period
    during which vessels actually generate revenues.

(5) Fleet utilization is the percentage of time that our vessels were
    generating revenue, and is determined by dividing operating days by
    ownership days for the relevant period.

(6) Time charter equivalent or TCE rates are defined as our net revenues
    less voyage expenses during a period divided by the number of our
    operating days during the period, which is consistent with industry
    standards. Voyage expenses include port charges, bunker (fuel oil and
    diesel oil) expenses, canal charges and commissions.


(In thousands of US Dollars, except operating days and daily time charter
 equivalent rate)

                                                      Three       Three
                               Year        Year       Months      Months
                               Ended      Ended       Ended       Ended
                             December    December    December    December
                             31, 2009    31, 2008    31, 2009    31, 2008
                            ----------  ----------  ----------  ----------
Net revenues from vessels       87,897      34,453      17,289      28,331
Voyage expenses                 (1,872)       (591)       (495)       (371)

Net operating revenues          86,025      33,862      16,794      27,960
                            ==========  ==========  ==========  ==========

Operating days                   2,614         678         969         552

Daily time charter
 equivalent rate                32,909      49,944      17,331      50,652

(7) Average daily vessel operating expenses, which include crew costs,
    provisions, deck and engine stores, lubricating oil, insurance,
    maintenance and repairs, are calculated by dividing vessel operating
    expenses by ownership days for the relevant time periods:



(In thousands of US Dollars, except ownership days and daily vessel
 operating expenses)

                            Year         Year    Three Months  Three Months
                           Ended        Ended        Ended        Ended
                        December 31, December 31, December 31, December 31,
                            2009         2008         2009         2008
                        ------------ ------------ ------------ ------------
Operating expenses            16,222        3,180        6,466        2,461
Ownership days                 2,895          686        1,012          552

Daily vessel operating
 expenses                      5,603        4,636        6,389        4,458


(8) Daily management fees are calculated by dividing total management fees
    by ownership days for the relevant time period.

(9) Total vessel operating expenses or TVOE is a measurement of total
    expenses associated with operating the vessels. TVOE is the sum of
    vessel operating expenses and management fees


  Seanergy Maritime Holdings Corp.       Seanergy Maritime Holdings Corp.
     Net income margin of TCE              Free cash flow margin of TCE
(All amounts expressed in thousands of  (All amounts expressed in thousands
  U.S. Dollars)                          of U.S. Dollars)

                          Year Ended                            Year Ended
                          December 31,                         December 31,
                             2009                                 2009
                          ----------                            ----------
TCE                           32,909    TCE                         32,909
                          ----------                            ----------
  Operating Expenses          (5,603)     Operating Expenses        (5,603)
                          ----------                            ----------
  Mgmt Fees                     (592)     Mgmt Fees                   (592)
                          ----------                            ----------
  General &                               General &
   Administrative            (2,304)       Administrative           (2,304)
                          ----------                            ----------
  Interest & Finance                      Interest & Finance
   Expense                    (2,631)      Expense                  (2,631)
                          ----------                            ---------- 
  Depreciation &                          Maintenance Capital
   Amortization               (9,622)      Expenditures             (2,459)
                          ----------                            ----------
Total Expenses               (20,752)   Total Cash Outflow         (13,589)
                          ----------                            ----------
Net Income Margin             12,157    Free Cash Flow Margin       19,320
                          ----------                            ----------
Margin (%)                        37%   Margin (%)                      59%
                          ==========                            ==========


Recent Developments:

Termination of a memorandum of agreement for intended vessel acquisition

On February 8, 2010, the Company announced its termination of a memorandum of agreement for the intended acquisition of a 2009 Capesize vessel, as described in the Company's prospectus dated January 28, 2010.

Public Offering of 20,833,333 Shares of Common Stock

On January 28, 2010, the Company priced a public offering of 20,833,333 shares of common stock. The Company has granted the representatives of the underwriters a 45-day option to purchase up to an additional 3,125,000 shares of common stock to cover over-allotments. The shares were offered to the public at $1.20 per share. Four of the Company's major shareholders affiliated with the Restis family purchased an additional 4,166,667 shares of common stock directly from the Company at the public offering price. The offering and the concurrent sale of 4,166,667 shares to entities affiliated with the Restis family settled and closed on February 3, 2010. The purpose of the offering was the acquisition of a new vessel.

                    Seanergy Maritime Holdings Corp.
                 Reconciliation of Net Income to EBITDA
           (All amounts expressed in thousands of U.S. Dollars)


                                                          Three     Three
                                      Year      Year     Months    Months
                                      Ended     Ended     Ended     Ended
                                    December  December  December  December
                                    31, 2009  31, 2008  31, 2009  31, 2008
                                    --------- --------  --------  --------
Net income (loss) attributable to
 Seanergy Maritime Holdings            30,052  (31,985)   (3,213)  (37,271)
                                    --------- --------  --------  --------
Interest and finance costs, net
 (including interest income)            7,186      716     2,304     3,243
                                    --------- --------  --------  --------
Depreciation and amortization          27,857    9,929     6,745     8,441
                                    --------- --------  --------  --------
EBITDA                                 65,095  (21,340)    5,836   (25,587)
                                    ========= ========  ========  ========


                      Seanergy Maritime Holdings Corp.
   Reconciliation of Net Cash Provided by Operating Activities to EBITDA
             (All amounts expressed in thousands of U.S. Dollars)


                                                          Three     Three
                                      Year      Year     Months    Months
                                      Ended     Ended     Ended     Ended
                                    December  December  December  December
                                    31, 2009  31, 2008  31, 2009  31, 2008
                                    --------  --------  --------  --------
Net cash flow provided by operating
 activities                           43,208    25,700     6,763    22,224
                                    --------  --------  --------  --------
Changes in operating assets and
 liabilities                           3,046     1,793    (3,721)   (1,559)
                                    --------  --------  --------  --------
Changes in capital expenditures
 (drydocking)                          7,119         -     1,367         -
                                    --------  --------  --------  --------
Amortization and write-off of
 deferred charges                       (696)     (224)     (155)     (183)
                                    --------  --------  --------  --------
Amortization of promissory note
 arrangement fee                           -         -         -        13
                                    --------  --------  --------  --------
Change in fair value of financial
 instruments                            (189)        -       778         -
                                    --------  --------  --------  --------
Fair value of contracts                  125         -        84         -
                                    --------  --------  --------  --------
Interest and finance costs, net
 (includes interest income)            7,186       716     2,304     3,243
                                    --------  --------  --------  --------
Net (income) / loss attributable to
 the noncontrolling interest          (1,517)        -    (1,584)        -
                                    --------  --------  --------  --------
Impairment of goodwill                     -   (44,795)        -   (44,795)
                                    --------  --------  --------  --------
Impairment of vessels                      -    (4,530)        -    (4,530)
                                    --------  --------  --------  --------
Gain from acquisition                  6,813         -         -         -
                                    --------  --------  --------  --------
EBITDA                                65,095   (21,340)    5,836   (25,587)
                                    ========  ========  ========  ========

EBITDA consists of earnings before interest and finance cost, taxes, depreciation and amortization. EBITDA is not a measurement of financial performance under accounting principles generally accepted in the United States of America, and does not represent cash flow from operations. EBITDA is presented solely as a supplemental disclosure because management believes that it is a common measure of operating performance in the shipping industry.

             Seanergy Maritime Holdings Corp. and Subsidiaries
                  Condensed Consolidated Balance Sheets
                       December 31, 2009 and 2008
    (In thousands of US Dollars, except for share and per share data,
                        unless otherwise stated)
                              (Unaudited)




                                                      2009         2008
                                                  -----------  -----------
ASSETS
  Current assets:
  Cash and cash equivalents                            63,607       27,543
  Accounts receivable trade, net                          495            -
  Due from related parties                                265          577
  Inventories                                           1,126          872
  Prepaid insurance expenses                              623          574
  Prepaid expenses and other current assets -
   related parties                                         58          248
  Insurance claims                                      1,260            -
  Other current assets                                     39            -
                                                  -----------  -----------
    Total current assets                               67,473       29,814
                                                  -----------  -----------
Fixed assets:
  Vessels, net                                        444,820      345,622
  Office equipment, net                                    20            9
                                                  -----------  -----------
    Total fixed assets                                444,840      345,631
                                                  -----------  -----------
Other assets
  Goodwill                                             17,275            -
  Deferred charges                                      8,684        2,757
  Other non-current assets                                180            -
                                                  -----------  -----------
TOTAL ASSETS                                          538,452      378,202
                                                  ===========  ===========

LIABILITIES AND EQUITY
Current liabilities:
  Current portion of long-term debt                    33,206       27,750
  Trade accounts and other payables                       990          674
  Due to underwriters                                      19          419
  Accrued expenses                                      1,719          541
  Accrued interest                                      1,508          166
  Accrued charges on convertible promissory note
   due to shareholders                                      -          420
  Financial instruments                                 3,556            -
  Deferred revenue - related party                        894        3,029
  Deferred revenue                                        246            -
                                                  -----------  -----------
    Total current liabilities                          42,138       32,999
                                                  -----------  -----------
  Long-term debt, net of current portion              267,360      184,595
  Financial instruments                                 1,550            -
  Below market acquired time charters                     585            -
  Convertible promissory note due to shareholders           -       29,043
                                                  -----------  -----------
    Total liabilities                                 311,633      246,637
                                                  -----------  -----------

EQUITY
  Seanergy shareholder's equity
  Common stock, $0.0001 par value; 200,000,000 and
   89,000,000 authorized shares as at December 31,
   2009 and 2008, respectively; 33,255,170 and
   22,361,227 shares, issued and outstanding as at
   December 31, 2009 and 2008, respectively                 3            2

  Additional paid-in capital                          213,232      166,361
  Accumulated deficit                                  (4,746)     (34,798)
                                                  -----------  -----------
    Total Seanergy shareholders' equity               208,489      131,565
                                                  -----------  -----------
  Non controlling interest                             18,330            -
                                                  -----------  -----------
    Total equity                                      226,819      131,565
                                                  -----------  -----------
TOTAL LIABILITIES AND EQUITY                          538,452      378,202
                                                  ===========  ===========



            Seanergy Maritime Holdings Corp. and Subsidiaries
              Condensed Consolidated Statements of Operations
 (In thousands of US Dollars, except for share and per share data, unless
                            otherwise stated)
                                (Unaudited)



                              Three months ended          Year ended
                                 December 31,            December 31,
                               2009        2008        2009        2008
                            ----------  ----------  ----------  ----------
Revenues:
Vessel revenue - related
 party                          13,791      29,058      83,903      35,333
Vessel revenue                   4,023           -       6,340           -
Commissions - related party       (100)       (727)     (2,226)       (880)
Commissions -non related
 party                            (425)          -        (120)          -
                            ==========  ==========  ==========  ==========
Vessel revenue , net            17,289      28,331      87,897      34,453
Expenses:
 Direct voyage expenses           (273)         (8)       (753)       (151)
 Vessel operating expenses      (6,466)     (2,461)    (16,222)     (3,180)
   Voyage expenses -
    related party                 (222)       (363)     (1,119)       (440)
   Management fees -
    related party                 (636)       (306)     (1,715)       (388)
 General and administration
  expenses                      (1,949)     (1,035)     (5,928)     (2,161)
   General and
    administration expenses
    - related party               (195)       (380)       (742)       (109)
 Amortization of deferred
  dry-docking costs               (648)          -      (1,045)          -
 Depreciation                   (6,097)     (8,441)    (26,812)     (9,929)
 Goodwill impairment loss            -     (44,795)          -     (44,795)

 Vessels' impairment loss            -      (4,530)          -      (4,530)

 Gain from acquisition               -           -       6,813           -
                            ==========  ==========  ==========  ==========
Operating  income (loss)           803     (33,988)     40,374     (31,230)
                            ==========  ==========  ==========  ==========
Other income (expense),
 net:
 Interest and finance costs     (2,370)     (3,255)     (7,230)     (3,895)
  Interest and finance
   costs - shareholders              -         (92)       (386)       (182)
 Interest income - money
  market funds                      66         104         430       3,361
 Loss on interest rate
  swaps                           (164)          -      (1,575)          -
  Foreign currency exchange
   gains  (losses), net             36         (40)        (44)        (39)
                            ----------  ----------  ----------  ----------
Net Income (Loss)               (1,629)    (37,271)     31,569     (31,985)
                            ==========  ==========  ==========  ==========
Less: Net Income
 Attributable to the
 Noncontrolling interest         1,584           -       1,517           -

Net  Income (Loss)
 Attributable to Seanergy
 Maritime Holdings              (3,213)    (37,271)     30,052     (31,985)
                            ==========  ==========  ==========  ==========
Net  income (loss) per
 common share
Basic                           ( 0.10)      (1.67)       1.16       (1.21)
                            ==========  ==========  ==========  ==========
Diluted                          (0.10)      (1.67)       1.00       (1.21)
                            ==========  ==========  ==========  ==========
Weighted average common
 shares outstanding
Basic                       33,255,170  22,341,857  25,882,967  26,452,291
                            ==========  ==========  ==========  ==========
Diluted                     33,255,170  22,341,857  30,529,281  26,452,291
                            ==========  ==========  ==========  ==========



             Seanergy Maritime Holdings Corp. and Subsidiaries
         Condensed Consolidated Statements of Shareholders' Equity
     (In thousands of US Dollars, except for share and per share data,
                            unless otherwise stated)
                                  (Unaudited)


                                 Common stock
                            ----------------------               Retained
                                                     Additional  earnings/
                               # of                   paid-in  (Accumulated
                              Shares    Par Value     capital     deficit)
                            ----------  ----------  ----------- ----------

Balance, January 1, 2008    28,600,000           3      146,925      1,441
                            ----------  ----------  ----------- ----------
Net (loss) for the year
 ended December 31, 2008             -           -            -    (31,985)
Dividends paid                       -           -            -     (4,254)
Reclassification of common
 stock no longer subject to
 redemption                 (6,370,773)          -       17,144          -
Reversal of underwriter
 fees forfeited to
 redeeming shareholders              -           -        1,433          -
Liquidation and dissolution
 common stock exchange               -          (1)           1          -
Warrants exercised             132,000           -          858          -
                            ----------  ----------  ----------- ----------
Balance, December 31, 2008  22,361,227           2      166,361    (34,798)
                            ----------  ----------  ----------- ----------
Issuance of common stock to
 convert promissory note     6,585,868           1       29,596          -
Issuance of common stock
 due to earn-out             4,308,075           -       17,275          -
Non controlling interest             -           -            -          -
Net income for the year
 ended December 31, 2009             -           -            -     30,052
                            ----------  ----------  ----------- ----------
Balance, December 31, 2009  33,255,170           3      213,232     (4,746)
                            ==========  ==========  =========== ==========



                              Total
                             Seanergy      Non
                           shareholders' controlling   Total
                              equity     interest     equity
                            ----------  ----------- ----------

Balance, January 1, 2008       148,369            -    148,369
                            ----------  ----------- ----------
Net (loss) for the year
 ended December 31, 2008       (31,985)           -    (31,985)
Dividends paid                  (4,254)           -     (4,254)
Reclassification of common
 stock no longer subject to
 redemption                     17,144            -     17,144
Reversal of underwriter
 fees forfeited to
 redeeming shareholders          1,433            -      1,433
Liquidation and dissolution
 common stock exchange               -            -          -
Warrants exercised                 858            -        858
                            ----------  ----------- ----------
Balance, December 31, 2008     131,565            -    131,565
                            ----------  ----------- ----------
Issuance of common stock to
 convert promissory note        29,597            -     29,597
Issuance of common stock
 due to earn-out                17,275            -     17,275
Non controlling interest             -       16,813     16,813
Net income for the year
 ended December 31, 2009        30,052        1,517     31,569
                            ----------  ----------- ----------
Balance, December 31, 2009     208,489       18,330    226,819
                            ==========  =========== ==========





            Seanergy Maritime Holdings Corp. and subsidiaries
              Condensed Consolidated Statements of Cash Flows
 (In thousands of US Dollars, except for share and per share data, unless
                            otherwise stated)
                                (Unaudited)



                                                        2009       2008
                                                      ---------  ---------
Cash flows from operating activities:
Net income (loss)                                        31,569    (31,985)
Adjustments to reconcile net income (loss) to net
 cash provided by operating activities:
  Impairment of goodwill                                      -     44,795
  Impairment of vessels                                       -      4,530
  Depreciation                                           26,812      9,929
  Amortization of deferred finance charges                  696        224
  Amortization of deferred Drydocking costs               1,045          -
  Deferred Drydocking costs                              (7,119)         -
  Change in fair value of financial instruments             189          -
  Amortization of acquired time charters                   (125)         -
  Gain on acquisition                                    (6,813)         -
  Changes in operating assets and liabilities:
  (Increase) decrease in -
    Due from related parties                              1,760       (577)
    Inventories                                           1,222       (872)
    Trade accounts and other receivables                   (263)         -
    Insurance claims                                     (1,159)         -
    Other current assets                                     59          -
    Other non-current assets                               (180)         -
    Prepaid insurance expenses                              719       (495)
    Prepaid expenses and other current assets -
     related parties                                        190       (248)
    Trade accounts and other payables                    (3,299)        86
    Due to underwriters                                    (400)    (3,555)
    Accrued expenses                                       (885)       541
    Accrued charges on convertible note due  to
     shareholders                                           670        132
    Premium amortization on convertible note due to
     shareholders                                          (379)         -
    Accrued interest                                      1,176        166
    Deferred revenue - related party                     (2,523)     3,029
    Deferred revenue                                        246          -
                                                      ---------  ---------
Net cash provided by operating activities                43,208     25,700
                                                      ---------  ---------
Cash flows from investing activities:
Acquisition of business, net of cash acquired            36,374   (375,833)
Funds placed in (used from) trust account from
 offerings                                                    -    232,923
Additions to office furniture and equipment                 (21)        (9)
                                                      ---------  ---------
Net cash provided by (used in) investing activities      36,353   (142,919)
                                                      ---------  ---------
Cash flows from financing activities:
Redemption of common shares                                   -    (63,705)
Proceeds from warrants exercised                              -        858
Proceeds from long term debt and revolving facility           -    219,845
Repayment of long term debt                             (54,878)    (7,500)
Dividends paid                                                -     (4,254)
Restricted cash                                           1,381          -
Noncontrolling interest contribution                     10,000          -
Deferred finance charges                                      -     (2,693)
                                                      ---------  ---------
Net cash provided by (used in) financing activities     (43,497)   142,551
                                                      ---------  ---------
Net increase in cash and cash equivalents                36,064     25,332
Cash and cash equivalents at beginning of period         27,543      2,211
                                                      ---------  ---------
Cash and cash equivalents at end of period               63,607     27,543
                                                      =========  =========

About Seanergy Maritime Holdings Corp.

Seanergy Maritime Holdings Corp., the successor to Seanergy Maritime Corp., is a Marshall Islands corporation with its executive offices in Athens, Greece. The Company is engaged in the transportation of dry bulk cargoes through the ownership and operation of dry bulk carriers.

The Company's initial fleet comprised two Panamax, two Supramax and two Handysize dry bulk carriers that Seanergy purchased and took delivery of in the third and fourth quarters of 2008 from companies associated with members of the Restis family. In August 2009, the Company acquired a controlling interest in Bulk Energy Transport (Holdings) Limited ("BET") which owns five drybulk carriers, four Capesize and one Panamax.

As a result, the Company's current controlled fleet includes 11 drybulk carriers (4 Capesize, 3 Panamax, 2 Supramax and 2 Handysize vessels) with a total carrying capacity of 1,043,296 dwt and an average age of 14 years.

The Company's common stock and warrants trade on the NASDAQ Global Market under the symbols SHIP and SHIP.W, respectively.

Forward-Looking Statements

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. 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 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, which 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, the scope and timing of SEC and other regulatory agency review, 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's filings can be obtained free of charge on the SEC's website at www.sec.gov. 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.

Contact Information

  • For further information please contact:

    Seanergy Maritime Holdings Corp.
    Dale Ploughman
    Chief Executive Officer
    Christina Anagnostara
    Chief Financial Officer
    Tel: +30 210 9638461
    E-mail: ir@seanergymaritime.com

    Investor Relations / Media
    Capital Link, Inc.
    Paul Lampoutis
    230 Park Avenue Suite 1536
    New York, NY 10169
    Tel. (212) 661-7566
    E-mail: seanergy@capitallink.com