Global Ship Lease Announces Extension of Time Charters with CMA CGM
September 11 2017 - 4:15PM
Global Ship Lease, Inc. (NYSE:GSL), a containership charter owner,
today announced that it has signed time charter extensions with CMA
CGM for two 2,207 TEU containerships, the 2002-built Julie Delmas
and the 2003-built Delmas Keta. The vessels will be chartered for a
period of 12 months (plus or minus 45 days at charterer’s option)
at a fixed rate of $7,800 per vessel per day, commencing
immediately upon expiration of the current time charters on
September 11 and 20, 2017, respectively.
Ian Webber, Chief Executive Officer of Global
Ship Lease, said, “We are delighted to have secured extensions for
these two time charters with the current charterer, CMA CGM, on an
EBITDA positive basis. These agreements are consistent with our
strategy of operating our 18-vessel fleet on fixed-rate contracts
and our track record of maintaining fleet-wide utilization near
100%, thus enabling us to benefit from a predictable and stable
cashflow stream. As of August 31, 2017, our fleet has an average
remaining charter term of 3.1 years, or 3.3 years weighted by TEU
capacity, representing $530 million of contracted revenue.”
Mr. Webber concluded, “Looking forward, we
believe that supportive long-term fundamentals and an improving
supply/demand balance for mid-sized and smaller containerships will
lead to continued market strengthening, further enhancing the
rechartering prospects and economic value of our
fleet.”
About Global Ship Lease
Global Ship Lease is a containership charter
owner. Incorporated in the Marshall Islands, Global Ship Lease
commenced operations in December 2007 with a business of owning and
chartering out containerships under mainly long-term, fixed-rate
charters to top tier container liner companies.
Global Ship Lease owns 18 vessels with a total
capacity of 82,312 TEU and an average age, weighted by TEU
capacity, at August 31, 2017 of 12.7 years. All 18 vessels are
currently fixed on time charters, 15 of which are with CMA CGM. The
average remaining term of the charters at August 31, 2017 is 3.1
years or 3.3 years on a weighted basis, taking into account the
above extensions.
Safe Harbor Statement
This press release contains forward-looking
statements. Forward-looking statements provide the Company's
current expectations or forecasts of future events. Forward-looking
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"anticipate," "believe," "continue," "estimate," "expect,"
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"project," "will" or similar words or phrases, or the negatives of
those words or phrases, may identify forward-looking statements,
but the absence of these words does not necessarily mean that a
statement is not forward-looking. These forward-looking statements
are based on assumptions that may be incorrect, and the Company
cannot assure you that the events or expectations included in these
forward-looking statements will come to pass. Actual results could
differ materially from those expressed or implied by the
forward-looking statements as a result of various factors,
including the factors described in "Risk Factors" in the Company's
Annual Report on Form 20-F and the factors and risks the Company
describes in subsequent reports filed from time to time with the
U.S. Securities and Exchange Commission. Accordingly, you should
not unduly rely on these forward-looking statements, which speak
only as of the date of this press release. The Company undertakes
no obligation to publicly revise any forward-looking statement to
reflect circumstances or events after the date of this press
release or to reflect the occurrence of unanticipated events.
Investor and Media Contact:Bryan DegnanThe IGB
Group646-673-9701OrLeon Berman212-477-8438
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