ATHENS, GREECE–(Marketwire – December 12, 2008) – OceanFreight Inc. (NASDAQ: OCNF), a global provider of seaborne transportation services, today made several announcements as follows:

Suspension of Dividend:

The Company’s Board of Directors has decided to suspend future cash dividend payments in order to preserve capital and potentially capitalize on market opportunities as they may arise.

Anthony Kandylidis, OceanFreight’s President and Chief Executive Officer, commented: “Current global shipping, economic and financial market conditions dictate that we take all prudent steps available to retain our capital at the present time. The Board of Directors and management believe it is in the best interest of shareholders to suspend regular cash dividends in order to allow the Company to improve its capital structure during this downturn. In addition, this move will potentially allow us to deploy our cash reserves that would have been devoted to dividends for opportunities as they may arise in the current marketplace and to service our debt.”

Update on the time charter employment of the M/V Augusta:

The M/V Augusta, a 1996 built 69,953 dwt Panamax dry bulk carrier commenced a three year time charter as of November 18, 2008. Given the significant decline in the drybulk market, prior to the commencement of the charter, the Company agreed to renegotiate the daily charter rate from $42,100 per day, as had been originally agreed under the prevailing market conditions at that time, to $16,000 per day and to amend the period of the time charter from a minimum of 34 months and a maximum of 37 months to a minimum of 35.5 months and a maximum of 40 months.

Anthony Kandylidis, OceanFreight’s President and Chief Executive Officer, commented: “We agreed to renegotiate this time charter given that the time charter had not yet commenced and that current market conditions are significantly different from those prevailing when the charter was originally agreed to. At the same time, we achieved a 3-year rate that is better than the current environment and this enables us to maintain 85% and 50% coverage of our fleet operating days in 2009 and 2010 under time charter employment.”

Appointment of New Director:

Mr. Harry Kerames has resigned from our Board of Directors for personal reasons effective November 25th, 2008. The Board of Directors has today appointed Mr. Panagiotis A. Korakas to the Board of Directors as an independent director. Panagiotis A. Korakas was born 1950 in Athens, Greece. Mr. Korakas has had an extensive career in the construction and construction materials industry, both as an executive and an entrepreneur. For almost ten years, Mr. Korakas was the General Manager of Korakas & Partners, a commercial construction entity, while during the last 15 years he is running a business enterprise specializing in advanced composite metal construction.

Prof. John Liveris, Chairman of OceanFreight commented: “We wish Harry Kerames all the best and thank him for his valuable service. I welcome Panagiotis Korakas to the Board of Directors of OceanFreight Inc. With this appointment the Company continues to satisfy NASDAQ corporate governance standards requiring a board comprised of a majority of independent directors.”

About OceanFreight Inc.

OceanFreight Inc. was incorporated in 2006 to acquire high quality secondhand vessels and deploy them on medium and long term charters. The Company began operations with the delivery of its first vessel in June 2007 and currently owns and operates a fleet of thirteen vessels, consisting of one Capesize drybulk carrier, eight Panamax drybulk carriers, one Suezmax tanker and three Aframax tankers with a total carrying capacity of 1,170,633 dwt.

OceanFreight’s Inc. common stock is listed on the NASDAQ Global Market where it trades under the symbol “OCNF.”

No related posts.

Citi analyst says, “The decision to lower our rating is based on the trust’s current valuation. The units have appreciated by nearly 39.5% since mid December through March 11, 2008 (e.g. which compares favorably to the (14.0) % total return generated by the S&P 500 Index over the same time period), surpassing our 12-month target price of $17.00 per unit. Although we are forecasting the partnership to grow cash flows by approximately 50% from 2007 to 2008 (i.e. due primarily to higher commodity prices), we feel this potential is already factored into its current valuation.”

The Permian Basin Royalty Trust (the Trust) is an express trust. The principal assets consists of a 75% net overriding royalty interest carved out by Southland Royalty Company (Southland) from its fee mineral interest in the Waddell Ranch properties in Crane County, Texas (Waddell Ranch properties), and a 95% net overriding royalty interest carved out by Southland from its major producing royalty properties in Texas (Texas Royalty properties).

No related posts.

NEW YORK, March 17 (newratings.com) – Analysts at Peters & Co maintain their “sector underperform” rating on Pengrowth Energy Trust (PGF.UN) and (PGH.NYS) NYSE. The 12-month target price has been raised to $17.

In a research note published on March 14, the analysts mention that the company’s 4Q production was ahead of the estimates. Pengrowth Energy Trust is expected to sustain its current distribution level and utilize its excess flows going forward to fund the internal development programme, Peters & Co adds. The company’s cash flow payout ratio and capital efficiencies are improving, the analysts say.

No related posts.