We do not undertake any duty to update forward looking statements. For reconciliations of the non-GAAP financial measures to which we will refer during this call to the most directly comparable measures calculated and presented in accordance with GAAP you should refer to the earnings release that we issued this morning. And this is also available on our website at www.globalshiplease.com.I would like to start by reviewing the second quarter highlights and then discuss our charter portfolio, including the two vessels that we’ve recently signed to new charters. After some comments on the industry overall, I’ll turn the call over to Susan for comments on our financials. But finally, after brief concluding remarks we’ll open the call out for questions. Slide 3, shows the company’s second quarter highlights. During the quarter, our entire fleet of 17 vessels which continued to be secured on the fixed rate charters mostly long term operated as planned enabling the company to once again achieve sizeable stable cash flows and the high utilization in what has been a challenging economic environment. With only one dry-docking in the quarter, our utilization was 98.6%. We generated revenue of $39.2 million and EBITDA of 26.8 million. After 2012, in which we have a total of 7 dry-dockings, our dry-docking schedule is relatively light with only 2 dockings in both 2013 and 2014 and none in 2015. This has significant implications on that cash flow as each dry-docking costs on average around $1.3 million and there is some $300,000 of lost revenue from off-hire. The reduced number of dry-dockings will have a positive impact on our cash flow and utilization rates in coming years. We’ll come back to the implications of this later. In addition to our financial performance, we continue to pay down our debts further deleveraging the balance sheet. We repaid $12.1 million of outstanding borrowings under our credit facility in the second quarter and have repaid a total of $139.3 million since the fourth quarter of 2009.
On Slide 4, you can see our financial results on a historical basis. We began our operations in 2008, at a time in which the financial crisis and ensuing global recession created tremendous headwinds for the shipping industry. In fact with the exception of March 2010 and early 2011, the container shipping industry has been in a cyclical down turn for most of the global ship leases life. Despite these challenges our business model of operating vessels on long term fixed rate contracts has provided us with consistent and predictable results. Aside from the quarters in which our fleet was expanding and our EBITDA and operating income before impairment charges have been steady. The only significant fluctuations we typically experienced on a quarter-to-quarter basis are due to off-hire days from mandatory dry-dockings. But as I stated previously after 2012, we expect the impact from dry-dockings to be much reduced over the next 3 years.On Slide 5, we show our fleet overview in charter profile. As you will see, we’ve got very attractive charter coverage for the fleet. The average remaining contract term for our 17 ships is 7.9 years on a weighted basis taking into account the new charters are on the two ships at the top of the page and this represents the total contracted revenue stream of about $1.1 billion. In addition, our fleet is relatively young with an average age of 8.3 years on weighted basis out of the total economic life of 30 years. Of note, and as we announced in July we have recently signed new charter agreements with CMA CGM for our two 4100 TEU vessels whose contracts expire on September 20 and 21 respectively. These new charters offer a period of approximately 8 months from those dates in September at a rate of $9962 per vessel per day. Read the rest of this transcript for free on seekingalpha.com