General Maritime amends loan to allow for dividend payments

By Sara Rosenberg

New York, March 29 - General Maritime Corp. amended its $825 million credit facility to allow for the payment of dividends, according to a company news release.

Under the company's dividend policy, quarterly dividends to shareholders are planned in April, July, October and February based on EBITDA after net interest expense and a fleet maintenance and renewal reserve.

"We are pleased our bank syndicate has agreed to an amendment allowing us to reward our shareholders with the opportunity to receive significant cash distributions. In our press release of Feb. 23, 2005, we estimated that if this policy had been adopted as of Jan. 1, 2004, the company would have been able to pay $9.36 per share with respect to 2004 results," said Peter C. Georgiopoulos, chairman, chief executive officer and president, in the release.

"General Maritime's unique dividend policy is aimed at unlocking significant shareholder value through the distribution of cash while retaining the ongoing growth and renewal of our fleet. With an untapped $600 million revolver and a 33% net debt to capital ratio as of Dec. 31, 2004, General Maritime remains well positioned to continue to consolidate the mid-sized tanker industry."

General Maritime is a New York-based provider of international seaborne crude oil transportation services.

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