Ετικέτα: Genco Shipping & Trading Limited

Genco Shipping & Trading Limited Shareholders Overwhelmingly Re-Elect All Genco Director Nominees at 2026 Annual Meeting

Genco Shipping & Trading Limited (NYSE:GNK) (“Genco” or the “Company”), the largest U.S. headquartered drybulk shipowner focused on the global transportation of commodities, today announced that, based on preliminary results, Genco shareholders have overwhelmingly voted to re-elect all six of Genco’s director nominees — Paramita Das, Kathleen C. Haines, Basil G. Mavroleon, Karin Y. Orsel, Arthur L. Regan and John C. Wobensmith.
Based on the preliminary results provided by Genco’s proxy solicitor, on average nearly 90% of shares other than those held by Diana Shipping Inc. (“Diana”) were voted FOR each of the Company’s directors. Genco shareholders also supported the Board’s other recommendations — including approval of Genco’s equity incentive plan and ratification of its shareholder rights agreement — and voted against Diana’s proposals.
Genco issued the following statement:
“We thank our shareholders for their resounding support. We believe the results of today’s meeting reflect their confidence in our Board of Directors and the strong returns we are delivering through our Comprehensive Value Strategy.
This is an exciting and important time for Genco. The actions we have taken to grow our premium earning assets, reduce debt, lower breakeven levels and increase our earnings and dividend capacity are paying off. 
In that light — and in furtherance of its fiduciary duties — our Board is carefully reviewing the revised non-binding proposal received from Diana on June 17, 2026, in consultation with its financial and legal advisors.
Our Board is committed to maximizing shareholder value and will continue taking actions that it believes are in the best interests of all Genco shareholders.”
The results announced today are preliminary until final results are tabulated and certified by the independent Inspector of Elections. Genco will report final voting results on a Form 8-K filed with the Securities and Exchange Commission.
Jefferies LLC is acting as financial advisor to Genco and Herbert Smith Freehills Kramer (US) LLP and Sidley Austin LLP are serving as legal counsel to Genco. Morgan Stanley & Co. LLC is acting as special advisor to the Board of Directors.

Genco Shipping & Trading Board of Directors to Review Revised, Unsolicited Tender Offer from Diana Shipping

Genco Shipping & Trading Limited (NYSE:GNK) (“Genco” or the “Company”), the largest U.S. headquartered drybulk shipowner focused on the global transportation of commodities, today confirmed that Diana Shipping, Inc. (NYSE: DSX) has announced a revised tender offer to acquire all outstanding common shares of Genco not already owned by Diana at a price of $24.80 per share in cash.
Genco’s Board of Directors, in consultation with its financial and legal advisors, will carefully review and evaluate the revised tender offer to determine the course of action that it believes is in the best interests of the Company and all shareholders, consistent with the Board’s fiduciary duties.
As previously disclosed, the Genco Board has reviewed and unanimously rejected prior proposals from Diana, including proposals at $20.60 and $23.50 per share and a prior tender offer at the same $23.50 per-share price.
The revised tender offer is under consideration by Genco’s Board. Genco will issue its formal recommendations to shareholders regarding Diana’s revised tender offer by filing with the U.S. Securities and Exchange Commission an amended recommendation statement on Schedule 14D-9.
With respect to Diana’s tender offer, Genco shareholders do not need to take any action at this time. Genco’s Board recommends that shareholders vote the WHITE proxy card “FOR” Genco’s nominees, “WITHHOLD” on Diana’s nominees and “AGAINST” their shareholder proposals.
Jefferies LLC is acting as financial advisor to Genco and Herbert Smith Freehills Kramer (US) LLP and Sidley Austin LLP are serving as legal counsel to Genco. Morgan Stanley & Co. LLC is acting as special advisor to the Board of Directors.

Star Bulk to acquire 16 vessels from Diana Shipping Inc. Conditional upon the success of its offer to acquire Genco Shipping & Trading Ltd

Star Bulk Carriers Corp. announced it has entered into a conditional Sale and Purchase Agreement (the “SPA”) to acquire sixteen vessels from Diana Shipping Inc., subject to Diana successfully acquiring all issued and outstanding shares of Genco Shipping & Trading Ltd., not already owned by Diana.
The aggregate purchase price for the sixteen-vessel acquisition is $470.5 million in cash (“Purchase Price”). The SPA is subject to (i) an agreement being entered between Diana and Genco and successfully being consummated and (ii) customary conditions to S&P transactions.
The sixteen vessels that SBLK has agreed to acquire include one Newcastlemax, six Capesize vessels, seven Ultramax vessels and two Supramax vessels, with a total carrying capacity of 1.8 million dwt and an average age of 11.4 years. Assuming the successful consummation of this transaction, Star Bulk will have 157 ships on a fully delivered basis with a total carrying capacity of 15.9 million dwt and average age of 12.0 years.
The Company intends to fund the Purchase Price with a combination of existing cash resources, reserved from previous vessel sales, as well as new debt financing. The Company has received a number of offers from leading financing institutions in order to procure new senior secured debt facilities in relation to this transaction and is in the process of evaluating them. As of December 31, 2025, Star Bulk had a total cash balance of $501.9 mln while the Company currently has 27 unlevered ships with an aggregate market value of $628.0 mln and maintains access to its revolving credit facilities with total undrawn and available amount of $110.0 mln.
We believe this transaction represents a disciplined and value-enhancing capital allocation consistent with Star Bulk’s long-term shareholder strategy. The sixteen vessels will generate immediate incremental TCE revenue, EBITDA and operating cash flow to support dividend growth and deleveraging.
Mr. Petros Pappas CEO commented: “As a leading public company in the dry bulk space, we firmly believe consolidation in our sector creates value for all shareholders. We are pleased to support Diana on its proposed acquisition of Genco. We believe this en-bloc transaction allows Star Bulk to further increase its scale, earnings power and shareholder dividends, while preserving balance sheet strength and low leverage.”

Genco Shipping & Trading Responds to Diana Shipping Inc.’s Intent to Nominate Directors to Replace Entire Genco Board

Genco Shipping & Trading Limited (NYSE:GNK) (“Genco” or the “Company”), the largest U.S. headquartered drybulk shipowner focused on the global transportation of commodities, today responded to Diana Shipping Inc. (“Diana”), which disclosed its intent to nominate six director candidates to stand for election to the Genco Board of Directors at the Company’s 2026 Annual Meeting of Shareholders (the “2026 Annual Meeting”).
Genco issued the following statement:
Our Board is dedicated to upholding the highest standards for corporate governance to further its fiduciary duties.
In that light, the Board takes its composition seriously and has a rigorous process to review and consider director candidates that it applies to every candidate. That process has resulted in a Board with six highly qualified individuals, five of whom are independent and all of whom possess valuable skills and experience in shipping and other areas relevant to advancing Genco’s strategy and creating shareholder value.
Our Board and leadership team are executing a comprehensive value strategy that is delivering strong operating and financial results and positioning Genco to create significant shareholder value throughout the cycles. Moreover, Genco has also earned top quartile rankings in an industry-wide corporate governance research report for many years.
Today, Diana has disclosed its intention to nominate six director candidates to replace our entire Board in furtherance of an indicative, unsolicited proposal to acquire all outstanding shares of Genco that it did not already own for $20.60 per share.
As previously disclosed, our Board thoroughly reviewed the proposal with the assistance of external advisors and determined the proposal significantly undervalued Genco, was not in the best interest of our shareholders and had considerable execution risks. Our Board therefore determined that further engagement on the proposal was not warranted.
However, as part of its review, our Board determined that an acquisition of Diana by Genco would create value for both Diana and Genco shareholders. As we announced, our Board therefore authorized our management team to engage with Diana on an alternative structure in which Genco would acquire Diana using cash and Genco’s superior equity currency as consideration. Instead of working constructively toward a path forward that would create significant value for its shareholders, Diana refused to engage, has doubled down on its previously rejected indicative proposal and disclosed its intention to nominate directors to replace our entire Board.
Notwithstanding that Diana’s apparent sole objective is to acquire Genco at a significant discount to its NAV and without an appropriate premium in exchange for control of Genco, our Board will remain true to its high standards for governance and its fiduciary duties. As such, the Nominating and Corporate Governance Committee of our Board will review the proposed nominees in accordance with the Company’s standard process and guidelines.
Our Board and leadership are committed to optimizing the value Genco creates for shareholders and taking actions that are in the best interest of Genco shareholders.
The Board will make its formal recommendation with respect to Diana’s nominees in the Company’s proxy statement, which will be filed with the Securities and Exchange Commission (the “SEC”) and mailed to shareholders eligible to vote at the 2026 Annual Meeting of Shareholders, which has not yet been scheduled.
Genco Shareholders are not required to take any action at this time.
Jefferies LLC is acting as financial advisor to Genco, and Herbert Smith Freehills Kramer (US) LLP is serving as legal counsel to Genco.

Diana Shipping Inc. Announces Proposal to Acquire Remaining Shares of Genco Shipping & Trading Limited

Diana Shipping Inc. (NYSE: DSX) (“Diana” or the “Company”) announced that it has submitted a letter to the Board of Directors of Genco Shipping & Trading Limited (NYSE: GNK) (“Genco”) setting forth a proposal to acquire all of the outstanding shares of Genco not already owned by Diana for $20.60 per share in cash. The Company currently owns approximately 14.8% of Genco’s outstanding shares.
The proposed price represents:

a 15% premium to the closing price of Genco’s shares on November 21, 2025;
a 21% premium to the closing price of Genco’s shares on July 17, 2025, the date of the initial disclosure of Diana’s ownership stake in Genco; and
a 23% premium to the volume-weighted average price of Genco’s shares for each of the 30-day and 90-day periods ending November 21, 2025.

In addition, Diana’s offer is in-line with the 10-year high price for Genco’s shares. Diana’s proposal would allow Genco shareholders to receive immediate value in cash at a premium to the historical trading price for Genco’s shares without being subject to market or industry risk.
Diana’s Chief Executive Officer, Semiramis Paliou, said “Our proposal represents a compelling opportunity for Genco’s shareholders to realize immediate cash value for their shares at a premium to historical trading of the company. As the largest shareholder of Diana, I am confident that the addition of Genco’s fleet combined with Diana’s operating platform will increase the scale and flexibility of our fleet and enhance our operating leverage towards the dry bulk market at what we consider to be an opportune time of the cycle. We intend to finance the transaction through a new acquisition facility and will plan to selectively divest assets following a potential transaction in order to optimize our fleet and balance sheet.”
“We highly value the talent and contributions of Genco employees. We expect the combined company to select the best talent, drawing employees from both organizations” continued Ms. Paliou.
The proposal was unanimously approved by the Board of Directors of Diana and the Company is prepared to engage with the Genco Board of Directors and Genco management expeditiously in order to complete a transaction that would benefit both Genco and Diana shareholders.
The proposal set forth in the Company’s letter is a non-binding expression of interest only. There is no guarantee that an agreement will be reached among the parties or on what terms, or that any transaction between the Company and Genco will materialize on the terms set forth in the Company’s letter, if at all. A complete copy of the letter sent by the Company to the Board of Directors of Genco has been filed with the United States Securities and Exchange Commission as an amendment to the Company’s Schedule 13D filing in respect of Genco.

Genco Shipping & Trading Completes Ultramax Acquisition and Divestiture Portion of Fleet Renewal Plan, Declares a Regular Quarterly Cash Dividend of $0.02 per Share

Genco Shipping & Trading Limited, the largest U.S. headquartered drybulk shipowner focused on the transportation of major and minor bulk commodities globally, reported its financial results for the three months and twelve months ended December 31, 2020.
The following financial review discusses the results for the three and twelve months ended December 31, 2020 and December 31, 2019.
Fourth Quarter 2020 and Year-to-Date Highlights
We recorded a net loss of $65.9 million for the fourth quarter of 2020Basic and diluted loss per share of $1.57Adjusted net income of $9.3 million or basic and diluted earnings per share of $0.22, excluding $74.2 million in non-cash vessel impairment charges and a $1.0 million loss on sale of vesselsVoyage revenues totaled $95.5 million and net revenue1 (voyage revenues minus voyage expenses and charter hire expenses) totaled $57.3 million during Q4 2020Our average daily fleet-wide time charter equivalent, or TCE1, for Q4 2020 was $13,167For FY 2020, our fleet-wide TCE was $10,221, which outperformed the relevant benchmark sub-indices as adjusted for our owned fleet profile by approximately $800 per vessel per day on a scrubber adjusted basis2Recorded adjusted EBITDA of $29.7 million during Q4 20201Genco announced a regular quarterly cash dividend of $0.02 per share for the fourth quarter of 2020Payable on or about March 17, 2021 to all shareholders of record as of March 10, 2021We have now declared cumulative dividends totaling $0.755 per share over the last six quartersMaintained a strong financial position with $179.7 million of cash, including $35.8 million of restricted cash, as of December 31, 2020Acquired three modern, fuel-efficient Ultramaxes in exchange for six non-core, older Handysize vessels (“Vessel Swap”)In addition to the Vessel Swap, we have completed several vessel sales in Q4 2020 and Q1 2021 to date as part of our fleet renewal programDuring the fourth quarter of 2020 we delivered four vessels (the Genco Bay, Baltic Jaguar, Genco Loire and Genco Normandy) to their new owners.In the first quarter to date, we have delivered three additional vessels to their respective buyers:The Baltic Panther, a 2009-built Supramax, delivered to buyers on January 4, 2021The Baltic Hare, a 2009-built Handysize, delivered to buyers on January 15, 2021The Baltic Cougar, a 2009-built Supramax, delivered to buyers on February 24, 2021We have also agreed to sell our final two 2009-built 53,000 dwt Supramax vessels: the Baltic Leopard and the Genco LorraineWe expect to deliver these vessels to their respective buyers in 1H 2021These sales will complete the divestiture portion of our fleet renewal programWe signed The Neptune Declaration on Seafarer Wellbeing and Crew Change to address the unprecedented crew change crisis caused by COVID-19In 2020, Genco completed over 100 crew rotations involving approximately 2,000 seafarersJohn C. Wobensmith, Chief Executive Officer, commented, “During a highly challenging operating environment in 2020, our strong in-house commercial platform continued to build on its track record of benchmark outperformance through active management while we took important steps to execute our strategic plan to effectively position Genco for the long-term. Importantly, we outperformed our internal benchmarks by approximately $800 per day resulting in incremental earnings of approximately $15 million for the full year and posted our highest quarterly TCE in two years during the fourth quarter. Notably, on the minor bulk fleet, this marks the third consecutive year of benchmark outperformance. As part of the significant progress we have made renewing our fleet, we completed the cash neutral acquisition of three modern, fuel-efficient Ultramax vessels during the fourth quarter, in exchange for six older, non-core Handysize vessels. With Genco maintaining the lowest leverage profile among our peer group and a solid cash position, we returned cash to shareholders, paying quarterly dividends even during the year’s earlier market lows. We have now declared our sixth consecutive quarterly dividend totaling $0.755 per share since initiating our dividend policy. Going forward, we view the drybulk market favorably given the record low orderbook as a percentage of the fleet, an anticipated rebound in global output as well as growth in drybulk trade volumes in both major and minor bulk commodities which fits our barbell strategy towards fleet composition well. Additionally, amid the ongoing COVID-19 pandemic, Genco continues to prioritize the health and safety of both our crew members and onshore team, and we thank global seafarers for their sacrifices and commitment to professionalism during a very challenging period.”
1 We believe the non-GAAP measure presented provides investors with a means of better evaluating and understanding the Company’s operating performance. Please see Summary Consolidated Financial and Other Data below for a further reconciliation.
2 TCE relative performance is benchmarked against the weighted average of the relevant sub-indices of the Baltic Dry Index as published by the Baltic Exchange (BPI, BSI 58 and BHSI) as well as the Platts Scrubber Fitted Capesize Index net of 5% for commissions, adjusted for our owned-fleet composition as well as the characteristics of our vessels. We benchmark our fully scrubber-fitted Capesize fleet of 17 vessels against the Platts Scrubber Fitted Capesize Index as we view this as a more relevant benchmark as compared to the Baltic Capesize Index which represents a non-scrubber fitted vessel.
Genco’s active commercial operating platform and fleet deployment strategy
Overall, our fleet deployment strategy remains weighted towards short-term fixtures, which provide us with optionality on our sizeable fleet. Our barbell approach towards fleet composition enables Genco to gain exposure to both the major and minor bulk commodities with a fleet whose cargoes carried align with global commodity trade flows. This approach continues to serve us well given the upside experienced in major bulk rates together with the continued improvement recently and relative stability of minor bulk rates. Our strong commercial platform complements our fleet composition and provides incremental value by outperforming the relevant benchmark sub-indices as adjusted for our owned fleet profile.
Our fourth quarter of 2020 TCE results by class are listed below.
Capesize: $17,460Ultramax and Supramax: $11,352Handysize: $8,822
Fleet average: $13,167During 2020, our active commercial platform outperformed our internal benchmarks by approximately $800 per day on a fleet-wide basis. Regarding our Capesize vessels, the firm drybulk market during Q3 2020 carried into Q4 2020, which saw Capesize rates reaching highs for the year in October. With our active commercial trading strategy geared towards spot market employment and prior positioning of our fleet to the Atlantic basin, we were able to capture this firm market. This is reflected in our strong Q4 2020 TCE results which led to Genco’s highest quarterly fleet-wide TCE in two years. During Q4 2020, the Pacific Capesize market traded at a premium relative to the broader market leading to an improved earnings environment for our Capesizes in the region. We utilized this strong Pacific market to continue trading in the region mostly through December with less ballasting to the Atlantic. At the start of 2021, we have ballasted select Capesize vessels to the Atlantic basin and intend to ballast further tonnage during the quarter to redistribute our fleet positions to improve earnings over the remainder of the year.
Regarding our minor bulk fleet, 2020 marked the third consecutive year of benchmark outperformance led by active management of our fleet. Minor bulk rates in the second half of the year were led by the strong grain trade, particularly shipments from the U.S., coupled with augmented trade flows of commodities closely tied to global economic activity. For the minor bulk fleet in Q1 2021 to date, we have repositioned select vessels to key regions and we expect to have the majority of our minor bulk fleet open to be fixed from mid-March to mid-April to take advantage of the meaningful rate improvement we have seen in recent months.
Based on current fixtures to date, we estimate the following to be our TCE to date for the first quarter of 2021 on a load-to-discharge basis. Actual rates for the first quarter will vary based upon future fixtures.
Capesize: $13,021 for 82% of the owned available Q1 2021 daysUltramax and Supramax: $11,102 for 72% of the owned available Q1 2021 daysHandysize: $7,681 for 95% of the owned available Q1 2021 daysFleet average: $11,655 for 77% of the owned available Q1 2021 days
Fleet Update
In December 2020, the Company announced that it had entered into an agreement to acquire three modern, fuel-efficient Ultramax vessels in exchange for six older Handysize vessels. The transaction is structured as an asset swap without monetary consideration or additional capital required. We have taken delivery of all three Ultramax vessels, namely the Genco Magic, the Genco Vigilant and the Genco Freedom. We have also delivered the six Handysize vessels, consisting of the Genco Ocean, Baltic Cove, Genco Spirit, Baltic Fox, Genco Mare and Genco Avra.
The execution of this transaction accomplished a number of key objectives for Genco including the following:
Continue to build scale in the core Ultramax sector and complement our in-house commercial platform while divesting non-core assets;Reduce the average age of Genco’s fleet;Avoid drydocking and ballast water treatment system costs in 2021 of approximately $3.6 million relating to three of the Handysize vessels included in the transaction;Preserve exposure to the upside of the Capesize sector
With the conclusion of the transactions, Genco has now fully exited the Handysize sector while creating a more focused fleet consisting of Capesize, Ultramax and Supramax vessels.
Separate from the Vessel Swap, we have continued to divest our older, less fuel-efficient tonnage as part of our efforts to modernize our fleet and create a more focused asset base while reducing our carbon footprint. Specifically, we delivered four vessels (the Genco Bay, Baltic Jaguar, Genco Loire and Genco Normandy) to their new owners during the fourth quarter of 2020. In Q1 2021 to date, we have delivered three additional vessels to their respective buyers (the Baltic Panther, Baltic Hare and Baltic Cougar).
We have also agreed to sell our final two 53,000 dwt Supramax vessels, the Baltic Leopard and the Genco Lorraine for aggregate gross proceeds of $16.0 million. We expect to deliver these vessels to their new owners in the first half of 2021. Completion of these sales will conclude the vessel divestiture portion of our fleet renewal program. As a result of the Vessel Swap and the agreements to sell four vessels, the Company recorded a $7.0 million non-cash impairment charge for the fourth quarter and a $1.0 million loss on sale of vessels which delivered during the fourth quarter. Also, during the fourth quarter, the Company recorded a $67.2 million non-cash impairment charge related to nine Supramax vessels in its fleet, as the estimated future undiscounted cash flows for each of these vessels did not exceed their net book values. These vessels are not a part of our fleet renewal program and we do not intend to sell these vessels currently.
As of December 31, 2020, $35.5 million of restricted cash is recorded on our balance sheet relating to the sale of four vessels which were sold in previous quarters, as well as an additional four vessels sold during the fourth quarter of 2020. Under the terms of our $495 million credit facility, the Company can either repay this amount, which represents the debt associated with these vessels, or utilize the 360-day reinvestment period to redeploy this capital towards the acquisition of a replacement vessel instead of repaying the loan, if the applicable terms and conditions under the facility are met.
Regular Quarterly Cash Dividend Policy
For the fourth quarter of 2020, Genco declared a regular quarterly cash dividend of $0.02 per share. Management and the Board of Directors determined to pay a dividend in light of the Company’s strong balance sheet, its emphasis on returning cash to shareholders and the receipt of net proceeds from the sale of non-core assets. This dividend is payable on or about March 17, 2021, to all shareholders of record as of March 10, 2021.
Dividends going forward remain subject to the determination of our Board of Directors each quarter after its review of our financial performance and will depend upon various factors, including limitations under our credit agreements and applicable provisions of Marshall Islands law.
Financial Review: 2020 Fourth Quarter
The Company recorded a net loss for the fourth quarter of 2020 of $65.9 million, or $1.57 basic and diluted net loss per share. Comparatively, for the three months ended December 31, 2019, the Company recorded net income of $0.9 million, or $0.02 basic and diluted net earnings per share. Net income for the three months ended December 31, 2020, includes non-cash vessel impairment charges of $74.2 million as well as a loss on sale of vessels of $1.0 million. Net income for the three months ended December 31, 2019, includes non-cash vessel impairment charges of $1.3 million as well as a $0.8 million loss on sale of vessels.
The Company’s revenues decreased to $95.5 million for the three months ended December 31, 2020, as compared to $108.7 million recorded for the three months ended December 31, 2019, primarily due to the operation of fewer vessels in our fleet. The average daily time charter equivalent, or TCE, rates obtained by the Company’s fleet was $13,167 per day for the three months ended December 31, 2020 as compared to $12,619 per day for the three months ended December 31, 2019. During the fourth quarter of 2020, record steel production in China together with strong levels of iron ore imports drove Capesize spot earnings to the year’s peak in October while minor bulk earnings continued to recover led by a resurgence of U.S. grain shipments to China as well as increased trade of commodities linked to levels of global economic activity.
Voyage expenses were $33.4 million for the three months ended December 31, 2020 compared to $45.3 million during the prior year period primarily attributable to changes in bunker prices, as well as the operation of fewer vessels in our fleet. Vessel operating expenses decreased to $21.1 million for the three months ended December 31, 2020 from $23.9 million for the three months ended December 31, 2019, primarily due to fewer owned vessels. General and administrative expenses decreased to $4.9 million for the fourth quarter of 2020 compared to $6.3 million for the fourth quarter of 2019, primarily due to lower office rent and administrative expenses, as well as lower travel expenses and legal fees. Depreciation and amortization expenses decreased to $15.5 million for the three months ended December 31, 2020 from $18.3 million for the three months ended December 31, 2019, primarily due to a decrease in depreciation for certain vessels in our fleet that were impaired during 2020, as well as a decrease in depreciation for eight of the vessels sold during 2020.
Daily vessel operating expenses, or DVOE, amounted to $4,726 per vessel per day for the fourth quarter of 2020 compared to $4,640 per vessel per day for the fourth quarter of 2019. This increase is primarily attributable to higher crew related expenses, partially offset by lower drydocking, spare parts and stores related expenditures in the fourth quarter of 2020 as compared to the prior year period. We believe daily vessel operating expenses are best measured for comparative purposes over a 12-month period in order to take into account all of the expenses that each vessel in our fleet will incur over a full year of operation. Based on estimates provided by our technical managers, our DVOE budget for 2021 is $5,000 per vessel per day on a fleet-wide basis reflecting the larger weighting of our fleet towards Capesize vessels following the sales of smaller Supramax and Handysize vessels as well as an anticipated increase in COVID-19 related expenses. The potential impacts of COVID-19 are beyond our control and are difficult to predict due to uncertainties surrounding the pandemic.
Apostolos Zafolias, Chief Financial Officer, commented, “Amid the global pandemic, we have maintained our financial strength and flexibility, while returning capital to shareholders, underscoring our industry leadership. During the fourth quarter, we continued to improve our industry leading balance sheet through operating cash flow generation and opportunistic vessel sales of non-core assets. We also continued executing our fleet renewal through an exchange transaction which allowed us to purchase three modern Ultramaxes. During the quarter, we increased our cash position to $180 million, including $35.8 million of restricted cash, as of December 31, 2020. We also declared our sixth consecutive quarterly dividend.”
Financial Review: Twelve Months 2020
The Company recorded a net loss of $225.6 million or $5.38 basic and diluted net loss per share for the twelve months ended December 31, 2020. This compares to a net loss of $56.0 million or $1.34 basic and diluted net loss per share for the twelve months ended December 31, 2019. Net loss for the twelve months ended December 31, 2020 includes $208.9 million in non-cash vessel impairment charges and a $1.9 million loss on sale of vessels. Net loss for the twelve months ended December 31, 2019, includes non-cash vessel impairment charges of $27.4 million, a $0.2 million non-cash impairment of the operating lease right-of-use asset, as well as a loss on sale of vessels totaling $0.2 million. Revenues decreased to $355.6 million for the twelve months ended December 31, 2020 compared to $389.5 million for the twelve months ended December 31, 2019, primarily due to the operation of fewer vessels. Voyage expenses decreased to $157.0 million for the twelve months ended December 31, 2020 from $173.0 million for the same period in 2019. TCE rates obtained by the Company decreased to $10,221 per day for the twelve months ended December 31, 2020 from $10,182 per day for the twelve months ended December 31, 2019. Total operating expenses for the twelve months ended December 31, 2020 and 2019 were $558.9 million and $417.9 million, respectively. Total operating expenses include $208.9 million in non-cash vessel impairment charges, as well as a loss on sale of vessels of $1.9 million for the twelve months ending December 31, 2020. For the twelve months ended December 31, 2019, total operating expenses include $27.4 million in non-cash vessel impairment charges as well as a loss on the sale of vessels of $0.2 million. General and administrative expenses for the twelve months ended December 31, 2020 decreased to $21.3 million as compared to the $24.5 million in the same period of 2019, due to a decrease in office rent and administrative expenses, as well as lower travel expenses and legal and professional fees. DVOE was $4,612 for the year to date period in 2020 versus $4,576 in 2019. The increase in DVOE was predominantly due to higher crew related expenses, partially offset by lower drydocking related expenses. EBITDA for the twelve months ended December 31, 2020 amounted to $(139.0) million compared to $44.7 million during the prior period. During the twelve months of 2020 and 2019, EBITDA included non-cash impairment charges, an operating lease right-of-use asset non-cash impairment and gains and losses on sale of vessels as mentioned above. Excluding these items, our adjusted EBITDA would have amounted to $71.8 million and $72.5 million, for the respective periods.
Liquidity and Capital Resources
Cash Flow
Net cash provided by operating activities for the years ended December 31, 2020 and 2019 was $36.9 million and $59.5 million, respectively. This decrease in cash provided by operating activities was primarily due to changes in working capital, offset by a decrease in drydocking related expenditures.
Net cash provided by investing activities during the year ended December 31, 2020 was $37.4 million as compared to $22.8 million net cash used in investing activities during the year ended December 31, 2019. This fluctuation was primarily due to an increase in net proceeds from the sale of vessels in 2020 as compared to 2019, as well as a decrease in scrubber and ballast water treatment system related expenditures.
Net cash used in financing activities during the years ended December 31, 2020 and 2019 was $56.9 million and $77.2 million, respectively. The decrease was primarily due to the $24.0 million drawdown on the $133 Million Credit Facility during 2020 and an $11.0 million decrease in the payment of dividends during 2020 as compared to 2019. These decreases were partially offset by a $10.3 million decrease in drawdowns under the $495 Million Credit Facility, as well as a $2.8 million and a $1.9 million increase in repayments under the $133 Million Credit Facility and $495 Million Credit Facility, respectively, during 2020 as compared to 2019.
Capital Expenditures
We make capital expenditures from time to time in connection with vessel acquisitions. As of February 24, 2021, Genco Shipping & Trading Limited’s fleet consists of 17 Capesize, nine Ultramax and 15 Supramax vessels with an aggregate capacity of approximately 4,421,000 dwt and an average age of 10.2 years.

Genco Shipping & Trading Limited Announces Second Quarter Financial Results

Genco Shipping & Trading Limited, the largest U.S. headquartered drybulk shipowner focused on the transportation of major and minor bulk commodities globally, reported its financial results for the three months and six months ended June 30, 2019.
The following financial review discusses the results for the three and six months ended June 30, 2019 and June 30, 2018.
Second Quarter 2019 and Year-to-Date Highlights 
Commenced the installation of exhaust gas cleaning systems (“scrubbers”) as part of our comprehensive IMO 2020 strategy– Four of our Capesize vessels have had scrubbers successfully installed to date, and we anticipate our remaining Capesize vessels to be scrubber-equipped by the end of 2019In August 2019, we agreed to sell the Genco Challenger, a 2003-built Handysize vessel for a gross price of $5.3 millionRecorded a net loss of $34.5 million for the second quarter of 2019– Basic and diluted loss per share of $0.83– Adjusted net loss of $20.4 million or basic and diluted loss per share of $0.49, excluding $13.9 million in non-cash vessel impairment charges, as well as a $0.2 million non-cash impairment of the operating lease right-of-use assetNet revenue (voyage revenues minus voyage expenses and charter hire expenses) totaled $36.9 million and $84.9 million during the second quarter of 2019 and the first six months of 2019, respectivelyOur average daily fleet-wide time charter equivalent, or TCE, for Q2 2019 was $7,412Through the first six months of 2019, our fleet-wide TCE was $8,341, which outperformed the relevant Baltic Exchange benchmark sub-indices as adjusted for our owned fleet profile by approximately $700 per vessel per day1– Run rate of over 400 fixtures annualized on a fleet-wide basisThird quarter 2019 TCE to date is $11,640 for 64% of our fleet-wide available daysRecorded adjusted EBITDA of $5.0 million during Q2 20192John C. Wobensmith, Chief Executive Officer, commented, “During the first half of 2019, we continued to outperform our benchmarks, advance our comprehensive IMO 2020 strategy, and further strengthen our fleet profile and earnings power. With our sizeable and modern fleet of major and minor drybulk vessels, we remain well positioned to capitalize on the overall marked improvement in freight rates that began at the end of the second quarter and which has been largely driven by increased demand for Capesize vessels and low net fleet growth. Highlighting our strong upside to the Capesize sector, strategic positioning on select minor bulk vessels and our fleet’s significant operating leverage, we have booked a TCE of $11,640 thus far for the third quarter, over 55% higher than in the second quarter.”
Mr. Wobensmith continued, “As we approach the implementation of IMO 2020 in the months ahead, we continue to execute our comprehensive portfolio approach to compliance aimed at improving our environmental footprint, maximizing shareholder returns and reducing fuel costs in an evolving marine fuel environment. As 2019 represents our heaviest operational year to date with the installation of scrubbers in addition to ballast water treatment systems, we remain on target towards accomplishing our goal of full regulatory compliance. We are advocating for the full and effective enforcement of these upcoming environmental regulations as the global maritime industry takes an important step towards significantly reducing sulfur emissions.”
Overall, our fleet deployment strategy remains weighted towards short-term fixtures, which provides optionality for the Company. We believe that our active commercial strategy, together with our efficient cost structure, provides ongoing potential for increased margins. Furthermore, our approach to fleet composition in which we own both major bulk and minor bulk vessels provides us with direct exposure to global drybulk commodity trade flows. Moreover, our ownership of Capesize vessels provides us with upside potential associated with the iron ore trade, while our minor bulk vessels provide a relatively steady earnings potential.
The drybulk freight rate environment during most of the second quarter remained under pressure despite improving relative to the first quarter of the year. On our Capesize vessels, we maintained a short-term charter strategy in anticipation of a recovery in freight rates without locking in longer term coverage at softer levels. As contracts expire, vessels can then be fixed in what has been a strong third quarter drybulk market to date. On our minor bulk fleet, we strategically positioned select vessels to key regions in anticipation of a stronger third quarter market while rebalancing our positional exposure given our upcoming drydockings. On a fleet-wide basis, we utilized the second quarter to drydock several of our vessels while also commencing our scrubber installation program, the latter of which has led us to primarily trade our Capesize vessels in the Pacific instead of our usual approach of maintaining exposure to both the Atlantic and Pacific basins.
Our opportunistic charter strategy has enabled us to directly benefit from the substantial improvement in the drybulk market that commenced towards the end of June. With still a significant portion of our Q3 available days still uncovered, particularly on our Capesize fleet as previous fixtures conclude, we anticipate upcoming fixtures to be done at levels reflective of current stronger market conditions. Genco’s approach to fleet composition has proved beneficial, as spot earnings on the Capesize vessels have exhibited substantial upside in Q3 to date. The rally in this larger vessel class has filtered down to the smaller sectors as well, leading to an overall uplift in the earnings environment. We currently have the following TCE fixed for the third quarter of 2019:
Capesize: $17,152 for 65% of the available Q3 2019 daysPanamax: $13,408 for 40% of the available Q3 2019 daysUltramax and Supramax: $10,694 for 65% of the available Q3 2019 daysHandysize: $7,768 for 65% of the available Q3 2019 daysFleet average: $11,640 for 64% of the available Q3 2019 days1 TCE relative performance is benchmarked against the weighted average of the relevant sub-indices of the Baltic Dry Index as published by the Baltic Exchange (BCI 5TC, BPI, BSI 58 and BHSI) net of 5% for commissions, adjusted for our owned fleet composition as well as the characteristics of our vessels.2 We believe the non-GAAP measure presented provides investors with a means of better evaluating and understanding the Company’s operating performance. Please see Summary Consolidated Financial and Other Data below for a further reconciliation. 
Financial Review: 2019 Second Quarter 
The Company recorded a net loss for the second quarter of 2019 of $34.5 million, or $0.83 basic and diluted net loss per share. Comparatively, for the three months ended June 30, 2018, the Company recorded a net loss of $1.1 million, or $0.03 basic and diluted net loss per share.
The Company’s revenues decreased to $83.6 million for the three months ended June 30, 2019, as compared to the $86.2 million recorded for the three months ended June 30, 2018. The decrease in revenues was primarily due to lower rates achieved by the majority of the vessels in our fleet as compared to the second quarter of 2018 partially offset by the increased employment of vessels on spot market voyage charters.
The average daily time charter equivalent, or TCE, rates obtained by the Company’s fleet was $7,412 per day for the three months ended June 30, 2019 as compared to $10,964 per day for the three months ended June 30, 2018. In the second quarter of 2019, the drybulk market remained under pressure as iron ore volumes in both Brazil and Australia were limited due to the Vale dam breach and effects of Tropical Cyclone Veronica, respectively. Subsequently, during the third quarter, the freight rate environment has improved significantly as iron ore volumes have started to recover at a time of easing net fleet growth and lower fleet-wide productivity due to the global drybulk fleet’s preparation ahead of IMO 2020.
Total operating expenses were $110.9 million for the three months ended June 30, 2019 compared to $75.3 million for the three months ended June 30, 2018. During the second quarter of this year, $13.9 million in non-cash impairment charges were recorded in relation to the anticipated sale of the Genco Challenger and the revaluation of two other Handysize vessels to their respective fair values. During the three months ended June 30, 2018, a $0.2 million non-cash impairment charge was recorded in relation to the anticipated sale of the Genco Surprise. Voyage expenses rose to $41.8 million for the three months ended June 30, 2019 versus $26.0 million during the prior year period primarily due to the increased employment of vessels on spot market voyage charters as part of our commercial strategy, in which we incur significantly higher voyage expenses as compared to time charters, spot market-related time charters and pool arrangements. Vessel operating expenses increased to $24.4 million for the three months ended June 30, 2019, from $23.7 million for the three months ended June 30, 2018 primarily due to higher drydocking related expenses, partially offset by a decrease due to fewer owned vessels. General and administrative expenses decreased to $5.8 million for the second quarter of 2019 compared to $6.5 million for the second quarter of 2018, due to lower legal and professional fees, partially offset by an increase in compensation related expenses. Depreciation and amortization expenses increased to $18.3 million for the three months ended June 30, 2019 from $16.5 million for the three months ended June 30, 2018, primarily due to depreciation expense for the six vessels delivered during the third quarter of 2018, partially offset by a decrease in depreciation expense for the eight vessels that were sold during the second half of 2018 and the first quarter of 2019.
Daily vessel operating expenses, or DVOE, amounted to $4,615 per vessel per day for the second quarter of 2019 compared to $4,344 per vessel per day for the second quarter of 2018. The increase in DVOE was predominantly due to higher drydocking related expenses. We believe daily vessel operating expenses are best measured for comparative purposes over a 12 month period in order to take into account all of the expenses that each vessel in our fleet will incur over a full year of operation. Based on estimates provided by our technical managers and management’s views, our DVOE budget for 2019 is $4,525 per vessel per day on a weighted average basis for the entire year for our fleet.
Apostolos Zafolias, Chief Financial Officer, commented, “Year-to-date, we have continued to actively manage our fleet, decreasing its average age and augmenting fleet-wide fuel efficiency, all top priorities for Genco and key components of our fleet modernization efforts. Specifically, after completing the sale of our last 1990s built vessel in the first quarter, we agreed to sell a 2003-built Handysize vessel at an attractive price. We have also funded scrubber related expenses to date from cash on hand, maintaining full flexibility under our credit facility for the remainder of our scrubber program.” 
Full Report