TOP
SHIPS INC.
|
||||||||||||||||
UNAUDITED
PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET
|
||||||||||||||||
(Expressed
in thousands of U.S. Dollars - except for share and per share
data)
|
||||||||||||||||
December 31,
2007
|
December 31,
2007
|
|||||||||||||||
Pro
forma
|
||||||||||||||||
ASSETS
|
Note
|
As
reported
|
Adjustments
|
Pro
forma
|
||||||||||||
CASH
AND CASH EQUIVALENTS
|
1
|
$ | 26,012 | $ | 77,589 | $ | 103,601 | |||||||||
OTHER
CURRENT ASSETS
|
29,881 | 29,881 | ||||||||||||||
VESSEL
HELD FOR SALE
|
46,268 | 46,268 | ||||||||||||||
TOTAL
CURRENT ASSETS
|
102,161 | 179,750 | ||||||||||||||
ADVANCES
FOR VESSELS ACQUISITIONS / UNDER CONSTRUCTION
|
66,026 | 66,026 | ||||||||||||||
VESSELS,
NET AND OTHER FIXED ASSETS
|
1
|
559,602 | (225,362 | ) | 334,240 | |||||||||||
TOTAL
FIXED ASSETS
|
625,628 | 400,266 | ||||||||||||||
LONG-TERM
RECEIVABLES
|
22,628 | 22,628 | ||||||||||||||
RESTRICTED
CASH
|
26,500 | 26,500 | ||||||||||||||
Total
assets
|
$ | 776,917 | $ | (147,773 | ) | $ | 629,144 | |||||||||
LIABILITIES AND STOCKHOLDERS'
EQUITY
|
||||||||||||||||
CURRENT
PORTION OF LONG-TERM DEBT
|
1
|
$ | 107,488 | $ | (21,601 | ) | $ | 85,887 | ||||||||
OTHER
CURRENT LIABILITIES
|
1
|
45,802 | (253 | ) | 45,549 | |||||||||||
TOTAL
CURRENT LIABILITIES
|
153,290 | 131,436 | ||||||||||||||
FAIR
VALUE OF BELOW MARKET TIME CHARTER
|
29,199 | 29,199 | ||||||||||||||
FINANCIAL
INSTRUMENTS, NET OF CURRENT PORTION
|
1
|
10,683 | (526 | ) | 10,157 | |||||||||||
LONG-TERM
DEBT, NET OF CURRENT PORTION
|
1
|
331,396 | (136,185 | ) | 195,211 | |||||||||||
DEFERRED
GAIN ON SALE AND LEASEBACK OF VESSELS
|
40,941 | 40,941 | ||||||||||||||
COMMITMENTS
AND CONTINGENCIES
|
||||||||||||||||
STOCKHOLDERS'
EQUITY
|
1
|
211,408 | 10,792 | 222,200 | ||||||||||||
Total
liabilities and stockholders' equity
|
$ | 776,917 | $ | (147,773 | ) | $ | 629,144 |
TOP
SHIPS INC.
|
||||||||||||||||
UNAUDITED
PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
|
||||||||||||||||
(Expressed
in thousands of U.S. Dollars - except for share and per share
data)
|
||||||||||||||||
For
the year ended December 31,
|
||||||||||||||||
2007
|
Pro
forma
|
2007
|
||||||||||||||
Note
|
As
reported
|
Adjustments
|
Proforma
|
|||||||||||||
REVENUES:
|
||||||||||||||||
Revenues
|
2
|
$ | 252,259 | $ | (85,040 | ) | $ | 167,219 | ||||||||
EXPENSES:
|
||||||||||||||||
Voyage
expenses
|
2
|
59,414 | (23,198 | ) | 36,216 | |||||||||||
Charter
hire expense
|
2
|
94,118 | (7,082 | ) | 87,036 | |||||||||||
Amortization
of deferred gain on sale and leaseback of vessels
|
2
|
(15,610 | ) | 1,406 | (14,204 | ) | ||||||||||
Other
vessel operating expenses
|
2
|
67,914 | (13,682 | ) | 54,232 | |||||||||||
Dry-docking
costs
|
2
|
25,094 | (1,631 | ) | 23,463 | |||||||||||
Depreciation
|
2
|
27,408 | (16,104 | ) | 11,304 | |||||||||||
General
and administrative expenses
|
2
|
24,824 | (118 | ) | 24,706 | |||||||||||
Foreign
currency (gains) / losses, net
|
2
|
176 | (51 | ) | 125 | |||||||||||
Gain
on sale of vessel
|
3
|
(1,961 | ) | - | (1,961 | ) | ||||||||||
Operating
loss
|
(29,118 | ) | (24,580 | ) | (53,698 | ) | ||||||||||
OTHER
INCOME (EXPENSES):
|
||||||||||||||||
Interest
and finance costs
|
4
|
(18,318 | ) | 10,414 | (7,904 | ) | ||||||||||
Fair
value change of financial instruments
|
4
|
(4,904 | ) | 1,052 | (3,852 | ) | ||||||||||
Interest
income
|
3,248 | - | 3,248 | |||||||||||||
Other,
net
|
16 | - | 16 | |||||||||||||
Total
other expenses, net
|
(19,958 | ) | 11,466 | (8,492 | ) | |||||||||||
Net
Loss
|
$ | (49,076 | ) | $ | (13,114 | ) | $ | (62,190 | ) | |||||||
Loss
per share, basic and diluted
|
$ | (4.09 | ) | $ | (1.09 | ) | $ | (5.19 | ) | |||||||
Weighted
average common shares outstanding, basic
|
11,986,857 | 11,986,857 | 11,986,857 | |||||||||||||
Weighted
average common shares outstanding, diluted
|
11,986,857 | 11,986,857 | 11,986,857 |
(1)
|
Reflects
the sale of five Suezmax tankers having net book value of $225,362 at
December 31, 2007, for an aggregate price of $237,600, net of brokerage
commissions, resulting in a gain of $12,238 if the transaction had
occurred on December 31, 2007. The net proceeds after the repayment of
loans associated with those vessels of $159,232 and the early termination
of an interest rate swap with a fair value of $779 at December 31, 2007
totalled $77,589. Concurrently with the sale and the debt repayments the
unamortized finance fees of $1,446 were written-off. The net gain from the
sale of vessels and write-off of the unamortized finance fees was recorded
as an increase to retained earnings of $10,792. The accounts affected by
the sale of the five Suezmax tankers are presented
below:
|
Account
|
Debit
|
Credit
|
||||||
Cash
and cash equivalents
|
77,589 | |||||||
Current
portion of long-term debt
|
21,601 | |||||||
Long-term
debt, net of current portion
|
137,631 | |||||||
Current
portion of financial instruments
|
253 | |||||||
Financial
Instruments, net of current portion
|
526 | |||||||
Interest
and finance costs
|
1,446 | |||||||
Vessels,
net
|
225,362 | |||||||
Gain
on sale of vessels
|
12,238 | |||||||
Long-term
debt (financing fees write-off)
|
1,446 |
(2)
|
Reflects
the revenues and expenses generated by the five Suezmax tankers during the
year ended December 31, 2007.
|
(3)
|
We
expect to realize a gain on sale of approximately $21,500 when the vessels
are sold late June 2008 and in the third quarter of 2008. However,
we have not estimated the gain on sale as of January 1, 2007 because the
gain is non-recurring and therefore is not included in the pro forma
financial statements.
|
(4)
|
Reflects
the interest expense associated with the loans of the five vessels of
$9,821, the related amortization of finance fees of $511, other financial
costs of $82 and the change in the fair value of the related interest rate
swap of $1,052 for the year ended December 31,
2007.
|
Dated: July
3, 2008
|
By: /s/ Evangelos J.
Pistiolis
Evangelos J. Pistiolis
Chief
Executive Officer
|