kl10024.htm
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
DC 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 OR 15(d) of the
Securities
Exchange Act of 1934
Date of
Report (Date of earliest event reported): November 3,
2008
GENCO
SHIPPING & TRADING LIMITED
(Exact
Name of Registrant as Specified in Charter)
|
Republic
of the Marshall Islands
|
000-28506
|
98-043-9758
|
|
(State
or Other Jurisdiction
of
incorporation)
|
(Commission
File Number)
|
(I.R.S.
Employer
Identification
No.)
|
|
299
Park Avenue
20th
Floor
(Address
of Principal Executive Offices)
|
|
10171
(Zip
Code)
|
Registrant’s
telephone number, including area code: (646) 443-8550
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General
Instruction A.2. below):
| r |
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
|
| r |
Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|
| r |
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
|
| r |
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
|
On
November 3, 2008, Genco Shipping & Trading Limited (the “Company”) agreed to
cancel certain agreements it entered into on June 16, 2008 with Lambert
Navigation Ltd., Northville Navigation Ltd., Providence Navigation Ltd., and
Prime Bulk Navigation Ltd. to purchase six drybulk vessels for an aggregate
price of approximately $530 million. As part of the agreement, the
selling group will retain the deposits totaling $53 million for the six vessels,
comprised of three Capesize and three Handysize vessels. This
agreement will result in a charge in the fourth quarter of 2008 to the Company’s
income statement of approximately $54 million related to the forfeiture of these
deposits.
In
addition, the terms of the Company's $320 million credit facility entered into
on September 4, 2008 to fund the six vessel acquisition facility provide that it
is to be cancelled upon a cancellation of the acquisition contracts for the six
vessels. The Company is discussing the potential extension of this
facility with its lenders. The facility was underwritten by Nordea
Bank Finland Plc, New York Branch, who serves as Administrative Agent,
Bookrunner, and Collateral Agent; Bayerische Hypo- und Vereinsbank AG, who
serves as Bookrunner; DnB NOR Bank ASA; Sumitomo Mitsui Banking Corporation,
acting through its Brussels Branch; and Deutsche Schiffsbank
Akteingesellschaft. DnB NOR Bank ASA underwrote the Company’s $1.4
billion credit facility and serves under that facility as Administrative Agent
and Collateral Agent. Cancellation of the $320 million credit
facility would result in a non-cash charge in the fourth quarter of 2008 to
interest expense of approximately $2.3 million associated with deferred
financing costs.
A copy of
the Company’s press release concerning the cancellation of the agreements
described above is attached hereto as Exhibit 99.1 and incorporated into this
Item 1.02 by reference except for the second paragraph, which contains quoted
remarks.
Item
9. Financial
Statements and Exhibits
(c) Exhibits
Exhibit No. Description
99.1 Press
Release dated November 4, 2008.
SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, Genco Shipping &
Trading Limited has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
GENCO SHIPPING &
TRADING LIMITED
DATE: November
4, 2008
/s/ John C.
Wobensmith
John C. Wobensmith
Chief Financial
Officer, Secretary and Treasurer
(Principal
Financial and Accounting Officer)
Exhibit No. Description
99.1 Press
Release dated November 4, 2008.