Genco Shipping & Trading Limited Q1 2021 Earnings Presentation May 6th, 2021 Forward Looking Statements "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995 This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements use words such as "anticipate," "budget," "estimate," "expect," "project," "intend," "plan," "believe," and other words and terms of simil ...

PART I — FINANCIAL INFORMATION [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements%20(unaudited)) This section presents Genco Shipping & Trading Limited's unaudited condensed consolidated financial statements for Q1 2021 and 2020, along with detailed explanatory notes [Condensed Consolidated Balance Sheets](index=5&type=section&id=a)%20Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2021, total assets and liabilities decreased, while total equity slightly increased, primarily due to changes in cash, vessels, and long-term debt Condensed Consolidated Balance Sheet Highlights (in thousands USD) | Account | March 31, 2021 | December 31, 2020 | | :--- | :--- | :--- | | **Total Assets** | **$1,180,343** | **$1,232,809** | | Cash and cash equivalents | $123,191 | $143,872 | | Vessels, net | $924,468 | $919,114 | | **Total Liabilities** | **$433,526** | **$487,815** | | Current portion of long-term debt | $65,277 | $80,642 | | Long-term debt, net | $327,064 | $358,933 | | **Total Equity** | **$746,817** | **$744,994** | [Condensed Consolidated Statements of Operations](index=6&type=section&id=b)%20Condensed%20Consolidated%20Statements%20of%20Operations) The company reported a net income of $2.0 million in Q1 2021, a significant turnaround from a $120.4 million net loss in Q1 2020, primarily due to the absence of a vessel impairment charge Q1 Statement of Operations Summary (in thousands USD, except per share data) | Metric | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Voyage Revenues | $87,591 | $98,336 | | Total Operating Expenses | $81,282 | $211,751 | | Impairment of vessel assets | $0 | $112,814 | | Operating Income (Loss) | $6,309 | ($113,415) | | **Net Income (Loss)** | **$1,985** | **($120,350)** | | **Net Earnings (Loss) per Share-diluted** | **$0.05** | **($2.87)** | [Condensed Consolidated Statements of Comprehensive Income (Loss)](index=7&type=section&id=c)%20Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) The company reported a comprehensive income of $2.1 million in Q1 2021, a significant improvement from a $120.4 million comprehensive loss in Q1 2020 Comprehensive Income (Loss) (in thousands USD) | Metric | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Net Income (Loss) | $1,985 | ($120,350) | | Other comprehensive income | $161 | $0 | | **Comprehensive Income (Loss)** | **$2,146** | **($120,350)** | [Condensed Consolidated Statements of Equity](index=8&type=section&id=d)%20Condensed%20Consolidated%20Statements%20of%20Equity) Total equity increased to $746.8 million in Q1 2021, driven by net income and other comprehensive income, partially offset by cash dividends - Key changes in equity for Q1 2021 included a **net income of $1.985 million** and the declaration of **cash dividends amounting to $845 thousand ($0.02 per share)**[17](index=17&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=e)%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) In Q1 2021, net cash provided by operating activities significantly improved to $13.5 million, while investing activities provided $20.0 million and financing activities used $49.1 million, resulting in a net cash decrease Q1 Cash Flow Summary (in thousands USD) | Cash Flow Activity | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Net cash provided by (used in) operating activities | $13,494 | ($4,038) | | Net cash provided by investing activities | $19,950 | $5,577 | | Net cash used in financing activities | ($49,098) | ($14,280) | | **Net decrease in cash, cash equivalents and restricted cash** | **($15,654)** | **($12,741)** | [Notes to Condensed Consolidated Financial Statements](index=10&type=section&id=f)%20Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes provide context to the financial statements, detailing the company's business, accounting policies, fleet composition, credit facilities, risk management, and subsequent events - As of March 31, 2021, the company's fleet consisted of **41 drybulk vessels**, including **17 Capesize, 9 Ultramax, and 15 Supramax carriers**[24](index=24&type=chunk) - In Q1 2020, the company recorded a **significant vessel impairment charge of $112.8 million**, primarily on ten Handysize and four Supramax vessels, with **no impairment recorded in Q1 2021**[38](index=38&type=chunk)[39](index=39&type=chunk)[40](index=40&type=chunk) - As part of a vessel exchange agreement, the company **acquired two Ultramax vessels** and **disposed of five Handysize vessels** during Q1 2021[54](index=54&type=chunk) - Total debt principal outstanding as of March 31, 2021, was **$401.0 million**, down from **$449.2 million** at year-end 2020, consisting of the $495 Million and $133 Million Credit Facilities[64](index=64&type=chunk) - The company utilizes **three interest rate cap agreements** with a **total notional amount of $200 million** to hedge against interest rate risk on its floating rate debt[78](index=78&type=chunk)[79](index=79&type=chunk)[80](index=80&type=chunk) - Subsequent to quarter end, on May 4, 2021, the company **declared a quarterly dividend of $0.05 per share** and entered into an agreement to **purchase a 2016-built Ultramax vessel for $20.2 million**[111](index=111&type=chunk)[113](index=113&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's Q1 2021 financial performance, highlighting a return to profitability, strong liquidity, and a new value strategy focused on debt reduction, dividends, and fleet renewal - In April 2021, the company announced a **new value strategy** focused on **reducing debt, lowering cash flow breakeven levels, and paying a sizeable quarterly dividend**, with the first anticipated payment in Q1 2022 for Q4 2021 results[122](index=122&type=chunk) - The company has installed **scrubbers on all 17 of its Capesize vessels** to comply with IMO 2020 sulfur emission regulations, with the final installation completed in January 2020[135](index=135&type=chunk) Fleet Average Daily Results Comparison | Metric | Q1 2021 | Q1 2020 | % Change | | :--- | :--- | :--- | :--- | | Time Charter Equivalent (TCE) | $12,197 | $9,755 | 25.0% | | Daily vessel operating expenses | $4,887 | $4,413 | 10.7% | - The company's liquidity is considered **sufficient for the next twelve months**, with **$123.2 million in unrestricted cash and cash equivalents** as of March 31, 2021, against a minimum requirement of approximately $30 million[188](index=188&type=chunk) [Results of Operations](index=47&type=section&id=Results%20of%20Operations) Q1 2021 saw a 10.9% decrease in voyage revenues but a sharp 61.6% reduction in total operating expenses, primarily due to the absence of a vessel impairment charge, resulting in an operating income turnaround - Voyage revenues **decreased by $10.7 million (10.9%)** in Q1 2021 compared to Q1 2020, mainly due to operating fewer vessels and lower rates for Capesize vessels[162](index=162&type=chunk) - The average Time Charter Equivalent (TCE) rate for the fleet **increased by 25% to $12,197 per day** in Q1 2021, with minor bulk vessel TCE increasing by 72.9% and major bulk vessel TCE decreasing by 18.4%[164](index=164&type=chunk) - Vessel operating expenses **decreased by $2.8 million**, but average daily vessel operating expenses **increased by 10.7% to $4,887 per day**, primarily due to COVID-19 related expenditures and higher crew costs[170](index=170&type=chunk)[171](index=171&type=chunk) - Depreciation and amortization **decreased by $4.1 million** due to vessel sales and impairments that occurred during 2020[181](index=181&type=chunk) [Liquidity and Capital Resources](index=54&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with $123.2 million in unrestricted cash, supported by operating cash flow and credit facilities, and has adopted a new dividend policy while focusing capital expenditures on fleet compliance - Net cash provided by operating activities **increased to $13.5 million** in Q1 2021 from a **$4.0 million use of cash** in Q1 2020, driven by higher rates for minor bulk vessels and lower drydocking expenses[213](index=213&type=chunk) - The Board adopted a **new quarterly dividend policy**, effective for Q4 2021 results, based on operating cash flow less debt repayments, drydocking capital expenditures, and a discretionary reserve[195](index=195&type=chunk)[196](index=196&type=chunk) Estimated Future Capital Expenditures (in millions USD) | Year | Estimated Drydocking Cost | Estimated BWTS Cost | | :--- | :--- | :--- | | Remainder of 2021 | $7.4 | $3.2 | | 2022 | $7.5 | $4.0 | - The company has completed the installation of **scrubbers on all 17 of its Capesize vessels** as of January 17, 2020[232](index=232&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=49&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is primarily exposed to interest rate risk on its floating-rate debt, mitigated by interest rate cap agreements, while currency risk is considered immaterial - As of March 31, 2021, the company held **three interest rate cap agreements** with a **total notional amount of $200.0 million** to manage interest rate risk on its variable debt[246](index=246&type=chunk) - A **1% increase in LIBOR** would result in an estimated **$1.1 million increase in interest expense** for the three months ended March 31, 2021[249](index=249&type=chunk) - Currency and exchange rate risk is deemed **immaterial** as the vast majority of revenues and operating costs are denominated in U.S. Dollars[253](index=253&type=chunk) [Controls and Procedures](index=50&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of March 31, 2021, with no material changes to internal control over financial reporting during the quarter - The Chief Executive Officer and Chief Financial Officer concluded that the company's **disclosure controls and procedures are effective** as of March 31, 2021[254](index=254&type=chunk) - **No material changes** to the company's internal control over financial reporting occurred during the first quarter of 2021[255](index=255&type=chunk) PART II —OTHER INFORMATION [Risk Factors](index=51&type=section&id=Item%201A.%20Risk%20Factors) This section updates previously disclosed risk factors, specifically highlighting increased risks and costs related to crew rotations involving Indian crew members due to the COVID-19 outbreak - The company highlights a specific new risk related to the **severe COVID-19 outbreak in India**, leading to **increased costs and difficulties for crew rotations** involving Indian crew members[257](index=257&type=chunk) [Exhibits](index=51&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the quarterly report, including CEO and CFO certifications and interactive data files for financial statements - The exhibits filed with this report include **CEO and CFO certifications** pursuant to SEC rules and Section 1350, as well as **Inline XBRL data for the financial statements**[258](index=258&type=chunk)[260](index=260&type=chunk)

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ⌧ Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 2020 or ◻ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission file number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of the Marshall Islands ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ⌧ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of the Marshall Islands 98-0439758 (State or other jurisdiction of incorporation or organization) For the quarterly period ended September 30, 2020 OR ◻ TRANSITION REPORT PURSUANT TO SECTION 1 ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ⌧ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 OR (646) 443-8550 ◻ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of t ...

Environmental Regulations - Ships operating within Emission Control Areas (ECAs) must use fuel with sulfur content not exceeding 0.1% m/m since January 1, 2015[73]. - Tier III Nitrogen Oxide (NOx) standards apply to ships built on or after January 1, 2016, in North American and U.S. Caribbean Sea ECAs[74]. - By 2025, all new ships built will be 30% more energy efficient than those built in 2014 due to mandatory energy efficiency measures[76]. - The Ballast Water Management Convention requires compliance with D-2 standards by September 8, 2024, involving costs of $0.5 million to $0.9 million per treatment system[89]. - The International Convention on Civil Liability for Oil Pollution Damage requires ships over 2,000 tons to maintain insurance covering pollution liability[90]. - The Anti-fouling Convention prohibits the use of organotin compounds in vessel coatings, with compliance required for vessels over 400 gross tons engaged in international voyages[94]. - Noncompliance with the ISM Code may lead to increased liability and denial of access to U.S. and European Union ports[95]. - The IMO's roadmap aims to reduce greenhouse gas emissions from ships through data collection and regulatory measures[75]. - Compliance with revised emission standards may entail significant capital expenditures and operational cost increases[77]. - The International Maritime Organization (IMO) aims to reduce greenhouse gas emissions from ships by at least 40% by 2030 compared to 2008 levels, with a target of 70% by 2050[116]. - The U.S. Clean Water Act imposes strict liability for unauthorized discharges, complementing the remedies available under OPA and CERCLA[106]. - The Vessel Incidental Discharge Act (VIDA) requires compliance with ballast water treatment regulations, which may incur substantial costs for the company[109]. - The European Union mandates that ships over 5,000 gross tonnage monitor and report carbon dioxide emissions annually, potentially increasing operational expenses[110]. Financial Performance - Total revenues for 2019 were $389.5 million, an increase of 5.3% from $367.5 million in 2018[440]. - Voyage expenses rose significantly to $173.0 million in 2019, up 50.6% from $114.9 million in 2018[440]. - The net loss for 2019 was $56.0 million, compared to a net loss of $32.9 million in 2018, reflecting a 70.5% increase in losses[440]. - Total current assets decreased to $223.2 million in 2019, down 17.4% from $270.5 million in 2018[437]. - Total liabilities decreased to $550.5 million in 2019, down 4.1% from $574.2 million in 2018[437]. - The company reported a retained deficit of $743.3 million as of December 31, 2019, compared to $687.3 million in 2018[437]. - Total equity decreased to $978.4 million in 2019, down 7.1% from $1,053.3 million in 2018[437]. - Net cash provided by operating activities for 2019 was $59,526,000, a decrease from $65,907,000 in 2018[448]. - The company incurred a net cash used in investing activities of $22,849,000 in 2019, compared to $195,375,000 in 2018[449]. - The company reported a significant impairment of vessel assets amounting to $27,393,000 in 2019, compared to $56,586,000 in 2018[448]. Debt and Interest Rate Risk - The company is exposed to interest rate risk, with a 1% increase in LIBOR resulting in an increase of $5.3 million in interest expense for the year ended December 31, 2019[420]. - The company has significant amounts of floating rate debt outstanding, with various credit facilities linked to LIBOR rates[424]. - The company has no derivative financial instruments as of December 31, 2019, to manage interest rate fluctuations[422]. Operational Aspects - The company operates in a market that exhibits seasonal variations, with revenues typically stronger in the quarters ended December 31 and March 31[129]. - The company incurs costs related to compliance with the Maritime Labor Convention 2006, ensuring all vessels are certified[120]. - The company is subject to vessel security regulations, which may have a significant financial impact due to compliance costs[124]. - The company’s vessels must be certified "in class" by classification societies, which is a condition for insurance coverage[126]. - The company may face substantial losses due to piracy, necessitating additional security measures[125]. - As of December 31, 2019, the company's fleet consisted of 55 vessels, a decrease from 59 vessels in 2018 and 60 vessels in 2017[454]. - The company has identified that it operates in one reportable segment, focusing on the ocean transportation of dry bulk cargoes worldwide through the ownership and operation of dry bulk carrier vessels[460]. Revenue Recognition - Revenue is generated from time charter agreements, spot market voyage charters, pool agreements, and spot market-related time charters[461]. - The company recorded time charter revenues over the term of the charter as service is provided, with revenues recognized on a straight-line basis[464]. - The revenue earned from spot market voyage charters is subject to fluctuations of the spot market, with revenue recognized ratably over the total transit time of each voyage[468]. - The company did not have any vessels in vessel pools as of December 31, 2019, and recognizes revenue from pool arrangements based on its portion of net distributions reported by the relevant pool[469]. Taxation - Genco Shipping A/S recorded income tax of $241 and $79 for the years ended December 31, 2019 and 2018, respectively, at a corporate tax rate of 22%[514]. - The Company believes it qualified for the Section 883 exemption for the years ended December 31, 2019 and 2018, but did not qualify in 2017 due to ownership issues[507]. - The Company established Genco Shipping Pte. Ltd. in Singapore, which received tax exemption status for qualifying shipping operations for an initial period of 10 years starting August 15, 2018[512]. Shareholder Returns - The company declared cash dividends of $0.50 per share in 2019, totaling $20.9 million[445]. - Cash dividends paid in 2019 totaled $20,877,000, reflecting a strategic decision to return capital to shareholders[449]. Asset Management - The company purchased vessels and ballast water treatment systems for $13,960,000 in 2019, a significant investment in fleet expansion[448]. - The net proceeds from the sale of vessels in 2019 were $26,963,000, indicating active asset management[448]. - The Company classified certain vessel assets as held for sale, including the Genco Thunder, expected to be sold in Q1 2020[480]. - The Company made a reclassification of $10,303 to vessels held for sale due to the approval to sell the Genco Thunder[537].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of the Marshal ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of the Marshall Isl ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-33393 GENCO SHIPPING & TRADING LIMITED (Exact name of registrant as specified in its charter) Republic of the Marshall Is ...

Environmental Regulations - As of January 1, 2015, ships operating within Emission Control Areas (ECAs) are not permitted to use fuel with sulfur content exceeding 0.1%[72] - The Tier III Nitrogen Oxide (NOx) standards will apply to ships operating in North American and U.S. Caribbean Sea ECAs for vessels constructed on or after January 1, 2016[73] - By 2025, all new ships built will be 30% more energy efficient than those built in 2014 due to mandatory energy efficiency measures[76] - The Ballast Water Management Convention requires ships to manage ballast water to prevent the introduction of invasive species, with compliance costs estimated between $0.5 million to $0.8 million per system[88] - The company is subject to the EU regulations requiring ships over 5,000 gross tonnage to monitor and report carbon dioxide emissions annually[109] - Compliance with the EPA and USCG regulations may require substantial costs for installing ballast water treatment equipment on vessels[107] - Compliance with updated ballast water management systems is expected to involve substantial costs, affecting revenues and profitability[150] - The company is subject to various environmental regulations that could require significant expenditures and impact cash flows and net income[143] Liability and Insurance - The International Convention on Civil Liability for Oil Pollution Damage requires ships over 2,000 tons to maintain insurance covering pollution liability for a single incident[89] - The Bunker Convention imposes strict liability on ship owners for pollution damage caused by discharges of bunker fuel, requiring insurance for ships over 1,000 gross tons[90] - The company maintains pollution liability coverage insurance of $1 billion per incident for each of its vessels[103] - Under OPA, the liability cap for non-tank vessels is set at the greater of $1,100 per gross ton or $939,800, subject to periodic inflation adjustments[101] - CERCLA limits liability for vessels carrying hazardous substances to the greater of $300 per gross ton or $5 million, and for other vessels to the greater of $300 per gross ton or $500,000[97] - The U.S. Clean Water Act imposes strict liability for unauthorized discharges, complementing the remedies available under OPA and CERCLA[105] - The U.S. Coast Guard's financial responsibility regulations require vessel owners to maintain evidence of financial responsibility sufficient to meet maximum liability amounts[100] Financial Performance and Market Conditions - The company experienced declining revenues and negative cash flow in recent years due to a prolonged downturn in the drybulk charter market[128] - The Baltic Dry Index (BDI) showed improvement in 2018 but has since declined, indicating ongoing volatility in freight and charter rates[131] - The drybulk sector typically sees stronger demand in fall and winter months, potentially leading to weaker revenues in the quarters ending June 30 and September 30[123] - The supply of drybulk carriers continues to increase, which may lead to further reductions in freight rates and profitability if demand does not keep pace[137] - The company anticipates that future demand for drybulk carriers will depend on economic growth, particularly in China and India[135] - The company may incur impairment charges due to prolonged declines in freight and charter rates, which could adversely affect its financial condition and ability to continue as a going concern[138] - Economic slowdowns in the Asia Pacific region, particularly in China, India, or Japan, could materially impact the company's business and financial results[140] - Increased trade barriers, especially with China, could adversely affect global economic conditions and the amount of cargo transported on drybulk vessels[141] Operational Risks - The company faces significant operational risks related to delays in cargo delivery, which could result in customer claims and adversely affect financial performance[184] - The company must maintain compliance with collateral maintenance covenants under its credit facilities, which are tested quarterly[132] - The company faces risks related to potential breaches of covenants in its credit facilities if earnings and cash flows decline for an extended period[132] - The company is subject to various security measures under MTSA, SOLAS Convention, and ISPS Code, which could have significant financial impacts[120] - Acts of piracy in regions such as the Gulf of Aden and the South China Sea continue to pose risks that could adversely affect the company's operations[158] - The company may face significant increases in insurance premiums and crew costs due to piracy incidents, which could adversely affect its financial condition[159] - Changes in inspection procedures could impose additional financial and legal obligations, adversely affecting the company's business and results of operations[153] - The company operates 30 vessels on spot market voyage charters, making it vulnerable to fluctuations in fuel prices, which could affect profitability[173] - Seasonal fluctuations in demand may result in quarter-to-quarter volatility in operating results, with potential weaker revenues during certain fiscal quarters[176] Financial Structure and Capital Management - The company refinanced its credit facilities into a $460 million facility and completed a $116 million capital raise in June 2018[129] - The company has a credit facility of $460 million and a $108 million facility, with dividend payments limited to 50% of consolidated net income if certain conditions are met[200] - The company may need to raise additional capital in the future, which could dilute existing shareholders' interests and may not be available on favorable terms[243] - Future issuances of common stock could dilute shareholders' interests, reducing their percentage of ownership and voting power[244] - The creditworthiness of charterers poses a risk, potentially affecting capital acquisition and increasing financing costs[208] Corporate Governance and Compliance - Noncompliance with the ISM Code may lead to increased liability and denial of access to ports, with all vessels currently ISM Code certified[93] - Management's inability to provide effective internal control reports could lead to decreased investor confidence and stock value[209] - As of December 31, 2014, internal controls over financial reporting were deemed ineffective, impacting future reporting requirements[210] - The company may face challenges in enforcing U.S. judgments due to its incorporation in the Republic of the Marshall Islands, complicating legal recourse for U.S. shareholders[251] - Violations of anti-corruption laws could result in civil and criminal penalties, impacting the company's financial results[167] Shareholder and Market Dynamics - As of March 5, 2019, significant shareholders include Centerbridge Partners, L.P. with approximately 25.2%, Apollo Global Management with approximately 13.0%, and Strategic Value Partners, LLC with approximately 24.4% of common stock[237] - The market price of the company's common stock could decline due to large sales by significant shareholders or the perception of such sales[240] - Anti-takeover provisions in the company's articles of incorporation may discourage or delay potential mergers or acquisitions, affecting shareholder interests[246] Tax and Regulatory Considerations - The establishment of Genco Shipping Pte. Ltd. in Singapore allows for a tax exemption on qualifying shipping operations for an initial period of 10 years[226] - Genco Shipping A/S, incorporated in Denmark, is subject to a corporate tax rate of 22%[227] - If Genco does not qualify for the Section 883 exemption, U.S. source shipping income could be subject to a 4% tax[221] - The company may be treated as a "passive foreign investment company," which could have adverse tax consequences for U.S. shareholders[228] - Legislative changes in tax laws could materially affect the company's effective tax rate and cash tax position, with potential significant expenses to preserve its tax position[236] Financial Condition and Assets - Total current assets increased to $270.5 million as of December 31, 2018, compared to $217.2 million in 2017, reflecting a growth of approximately 24.5%[464] - Total assets reached $1.63 billion as of December 31, 2018, up from $1.52 billion in 2017, indicating an increase of about 7.1%[464] - The company reported a retained deficit of $687.3 million as of December 31, 2018, compared to $653.7 million in 2017, representing an increase in the deficit of approximately 5.1%[464] - Long-term debt, net of deferred financing costs, was $468.8 million as of December 31, 2018, down from $490.9 million in 2017, a decrease of about 4.5%[464] - Cash and cash equivalents increased to $197.5 million as of December 31, 2018, compared to $174.5 million in 2017, reflecting a growth of approximately 13.2%[464] - The company did not have any derivative financial instruments as of December 31, 2018[452] - The company incurred certain operating expenses in currencies other than the U.S. Dollar, but the foreign exchange risk associated with these expenses is considered immaterial[453] - A total loss of $2.7 million was recorded as impairment of investment in the Consolidated Statement of Operations for the year ended December 31, 2016[454]