Danaos Corporation Announces New Charters for 10 Vessels; Increases Contracted Backlog by 21.5% to Over $2 Billion
August 16 2021 - 8:04AM
Business Wire
Danaos Corporation (the "Company") (NYSE: DAC) today announced
that it has entered into new charter agreements for 10 of its
vessels, including one 8,500 TEU vessel, three 3,400 TEU vessels
and six 2,200 vessels, for charter periods ranging from 3 to 4
years. The charters will commence as existing charters expire
between January and August of 2022. The new charters increase the
Company’s contracted revenue backlog by approximately $378 million,
or 21.5% compared to the Company’s $1.75 billion backlog as of June
30, 2021 and increase contracted EBITDA by approximately $280
million.
The Company’s CEO, Dr. John Coustas commented:
“We are very pleased to have significantly increased our
contracted backlog by securing multi-year charters for 10 of our
vessels. Not only have we achieved charter coverage for 100% of our
operating days in 2021, we have already contracted 89% of our
operating days for 2022 and 60% for 2023. In the process, we have
further enhanced our earnings and cash flow visibility, which will
in turn result in further strengthening of our balance sheet. We
will continue to work to secure additional charter extensions
during the strong market environment in order to maximize our
profitability and create value for our shareholders.”
About Danaos Corporation
Danaos Corporation is one of the largest independent owners of
modern, large-size containerships. Our fleet of 71 containerships
aggregating 436,589 TEUs, including the additional six 5,466 TEU
containerships we have agreed to acquire which are expected to be
delivered through October 15, 2021, ranks Danaos among the largest
containership charter owners in the world based on total TEU
capacity. Our fleet is chartered to many of the world’s largest
liner companies on fixed-rate charters. Danaos Corporation’s shares
trade on the New York Stock Exchange under the symbol “DAC”.
Forward-Looking
Statements
Matters discussed in this release may constitute forward-looking
statements within the meaning of the safe harbor provisions of
Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. Forward-looking statements reflect
the current views of Danaos Corporation (including subsidiaries
unless indicated or the context requires otherwise, the “Company,”
“we,” “us,” and “our”) with respect to future events and financial
performance and may include statements concerning our operations,
cash flows, financial position, including with respect to vessel
and other asset values, plans, objectives, goals, strategies,
future events, performance or business prospects, changes and
trends in our business and the markets in which we operate, and
underlying assumptions and other statements, which are other than
statements of historical facts. The forward-looking statements in
this release are based upon various assumptions. Although we
believe that these assumptions were reasonable when made, because
these assumptions are inherently subject to significant
uncertainties and contingencies which are difficult or impossible
to predict and are beyond our control, we cannot assure you that we
will achieve or accomplish these expectations, beliefs or
projections. Important factors that, in our view, could cause
actual results to differ materially from those discussed in the
forward-looking statements include the impact of the novel
coronavirus 2019 (“COVID-19”) pandemic and efforts throughout the
world to contain its spread, including effects on global economic
activity, demand for seaborne transportation of containerized
cargo, the ability and willingness of charterers to fulfill their
obligations to us, charter rates for containerships, shipyards
performing scrubber installations, drydocking and repairs, changing
vessel crews and availability of financing, the effects of its debt
refinancing transactions, the Company’s ability to achieve the
expected benefits of its refinancing transactions and comply with
the terms of its credit facilities and other agreements entered
into in connection with the such refinancing, the strength of world
economies and currencies, general market conditions, including
changes in charter hire rates and vessel values, charter
counterparty performance, changes in demand that may affect
attitudes of time charterers to scheduled and unscheduled
drydocking, changes in our operating expenses, including bunker
prices, dry-docking and insurance costs, ability to obtain
financing and comply with covenants in our financing arrangements,
actions taken by regulatory authorities, potential liability from
pending or future litigation, domestic and international political
conditions, potential disruption of shipping routes due to
accidents and political events or acts by terrorists.
Risks and uncertainties are further described in reports filed
by Danaos Corporation with the U.S. Securities and Exchange
Commission.
The forward-looking statements and information contained in this
announcement are made as of the date hereof and the Company
undertakes no obligation to update publicly or revise any
forward-looking statements or information, whether as a result of
new information, future events or otherwise, unless so required by
applicable securities laws.
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Company:
Evangelos Chatzis Chief Financial Officer Danaos
Corporation Athens, Greece Tel.: +30 210 419 6480 E-Mail:
cfo@danaos.com
Iraklis Prokopakis Senior Vice President and Chief
Operating Officer Danaos Corporation Athens, Greece Tel.: +30 210
419 6400 E-Mail: coo@danaos.com
Investor Relations and Financial Media
Rose & Company New York Tel. 212-359-2228 E-Mail:
danaos@rosecoglobal.com
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