PIRAEUS, Greece, Dec. 15, 2009 (GLOBE NEWSWIRE) -- FreeSeas Inc. (Nasdaq:FREE) (Nasdaq:FREEW) (Nasdaq:FREEZ) ("FreeSeas" or the "Company"), a transporter of dry-bulk cargoes through the ownership and operation of a fleet of eight Handysize vessels and two Handymax vessels, announced today new charters for five of its vessels.
Mr. Ion Varouxakis, Chief Executive Officer of FreeSeas, stated, "We are very pleased to report that we have taken advantage of the continued daily charter rate increases for our vessels and improvement in the Baltic Handysize Index, reflecting more favorable fundamentals for this segment. Our Company is benefiting from our strategic decision made earlier this year to operate our vessels on the spot market. The combined daily charter rate for these five charters represents an increase of more than $15,000 per day as compared to their prior combined daily charter rates. We believe that the Handysize dry bulk market will show continued strength going forward."
The new charters are detailed below:
* The M/V Free Destiny, a 1982-built, 25,240 dwt Handysize vessel,
has entered into a contract for a time charter trip of
approximately 40-45 days at a daily rate of $14,000.
* The M/V Free Knight, a 1998-built, 24,111 dwt Handysize vessel,
has entered into a contract for a time charter trip of
approximately 60 days at a daily rate of $15,000.
* The M/V Free Impala, a 1997-built, 24,111 dwt Handysize vessel,
has entered into a contract for a time charter trip of
approximately 30-40 days at a daily rate of $13,500.
* The M/V Free Maverick, a 1998-built, 23,994 dwt Handysize
vessel, has entered into a contract for a time charter trip
of approximately 30 days at a daily rate of $14,000.
* The M/V Free Neptune, a 1996-built, 30,838 dwt Handysize vessel,
has entered into a contract for a time charter period of
approximately 45-75 days at a daily rate of $16,000.
Fleet Employment Data
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Vessel
Name Type Built Dwt Employment
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M/V 40-45 day time charter trip at
Free $14,000 per day through
Destiny Handysize 1982 25,240 January 2010
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M/V 55-60 day time charter trip at
Free $7,200 per day through
Envoy Handysize 1984 26,318 January 2010
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M/V Balance of time charter at $10,500
Free per day through January/February
Goddess Handysize 1995 22,051 2010 (plus 50% profit sharing
above $12,500 per day)
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M/V 3-5 month time charter at
Free $11,500 per day
Hero Handysize 1995 24,318 through February/April 2010
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M/V 30-40 day time charter trip at
Free $13,500 per day
Impala Handysize 1997 24,111 through January 2010
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M/V Balance of time charter at $25,216
Free per day through February 2011 and
Jupiter Handymax 2002 47,777 any day in excess at $28,000 per
day through May 2011
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M/V 60 day time charter trip at
Free $15,000 per day
Knight Handysize 1998 24,111 through January 2010
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M/V Balance of time charter at
Free $51,150 per day
Lady Handymax 2003 50,246 through May 2010
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M/V 30 day time charter trip at
Free $14,000 per day
Maverick Handysize 1998 23,994 through January 2010
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M/V 45-75 day time charter period at
Free $16,000 per day
Neptune Handysize 1996 30,838 through January/ February 2010
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* The average net charter rates per vessel realized by the Company
will depend on actual repositioning time and bunkers consumed
between successive chartering employments, as well as potential
operational off-hires. The above table is provided for indicative
purposes only, and should not to be deemed to reflect actual
operating revenues received from employment of the vessels.
About FreeSeas Inc.
FreeSeas Inc. is a Marshall Islands corporation with principal offices in Piraeus, Greece. FreeSeas is engaged in the transportation of dry bulk cargoes through the ownership and operation of dry bulk carriers. Currently, it has a fleet of eight Handysize vessels and two Handymax vessels. FreeSeas' common stock and warrants trade on the NASDAQ Global Market under the symbols FREE, FREEW and FREEZ, respectively. Risks and uncertainties are described in reports filed by FreeSeas Inc. with the U.S. Securities and Exchange Commission, which can be obtained free of charge on the SEC's website at http://www.sec.gov. For more information about FreeSeas Inc., please visit the corporate website, http://www.freeseas.gr.
The FreeSeas Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=5981
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, including expected vessel acquisitions. Words such as ``expects,'' ``intends,'' ``plans,'' ``believes,'' ``anticipates,'' ``hopes,'' ``estimates,'' and variations of such words and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to be 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, changes in the demand for dry bulk vessels; competitive factors in the market in which the Company operates; risks associated with operations outside the United States; and other factors listed from time to time in the Company's filings with the Securities and Exchange Commission. The Company expressly disclaims any obligation 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.