International Shipholding Corporation (NYSE:ISH) today announced financial results for the quarter ended September 30, 2013.
Third Quarter 2013 Highlights
- Reported adjusted net income of $1.4 million for the three months ended September 30, 2013 excluding non-recurring charges of $3.6 million
- Completed a refinancing of its U.S. Flag fleet debt facilities, with a $45 million term loan and increasing its line of credit from $30 million up to $50 million. The new Facility also adds an accordion feature for up to an additional $50 million Facility
- Declared a third quarter dividend of $0.25 per share of common stock payable on December 3, 2013 to shareholders of record as of November 15, 2013
- Paid a $2.375 per share and $2.25 per share dividend on its Series A and Series B Preferred Stock, respectively, on October 30, 2013
The Company reported a net loss of $2.2 million for the three months ended September 30, 2013, which included a $2.0 million reduction from the impact of sequestration on the U.S. Maritime Security Program and $1.6 million charge from the refinancing of various U.S. Flag vessel collateralized loans into one senior $95 million debt facility. The charge of $1.6 million is related to transaction fees and the unwinding of an interest rate swap. Excluding these two items, the Company’s adjusted net income was $1.4 million for the three months ended September 30, 2013. For the comparable three months ended September 30, 2012, the Company reported net income of $1.8 million.Mr. Niels M. Johnsen, Chairman and Chief Executive Officer, stated: “During the third quarter, we continued to execute our strategy of operating a diversified fleet on medium to long-term contracts in niche markets while taking steps to strengthen our balance sheet. Our recent refinancing has bolstered our financial flexibility and enhanced our ability to capitalize on further growth opportunities. Additionally, we recently continued our commitment to maintaining our Company’s leadership position in the Jones Act dry bulk market by exercising the buy-out option on a Jones Act integrated tug/barge unit which we had previously operated under a sale and leaseback arrangement. “Given our stable cash flows and strong contract coverage, our Board of Directors has declared a common stock dividend of $0.25 per share for the third quarter. We remain committed to returning value to our shareholders, and we continue to explore accretive acquisition opportunities as they arise in the current environment.”