First Ship Lease Trust

[Dividend Warrior]

Not Vested in any shipping trust

Wise decision.

Trading halt........

[CY09]

The trading halt is related to its loans covenant relaxation which has expired on 30 Jun 2013. I think the likely news is that it has secured an extension of 1 more year with no dividends for shareholders.

The news should be out soon

[cif5000]

The trading halt is related to its loans covenant relaxation which has expired on 30 Jun 2013. I think the likely news is that it has secured an extension of 1 more year with no dividends for shareholders.

The news should be out soon

http://fsltrust.listedcompany.com/newsro...8C31.1.pdf

[CY09]

Thanks Cif, then I wonder what is the news for this trading halt

<not vested>

[Dividend Warrior]

Thanks Cif, then I wonder what is the news for this trading halt

<not vested>

Have the 2 tankers from Geden been redelivered already?

[cif5000]

Maybe the banks felt cheated. Almost immediately after granting an extension, FSLT announced that their customer defaulted.

[mobo]

An extremely evasive piece of announcement following FSL's suspension:
http://info.sgx.com/webcoranncatth.nsf/V...E0005AD8B/$file/Announcement_Clarification_on_Extension_on_Covenants_Relaxation.pdf?openelement

There is hardly any clarity on what in the world is going on in the latest announcement. Memo to FSL managers who are now on notice of resignation: You do not do a press release titled "CLARIFICATION ON EXTENSION ON COVENANTS RELAXATION" when you have just requested for a suspension.

Basically the gist of the message is somebody went ahead to agree with the previous loan extension and make payment without obtaining a board resolution.

Now they are stuck in a limbo as the extension covenants are technically not in force since they were never legally agreed by FSL, i.e. they are in breach of covenants and in default.

It is bad enough to make poor business decisions, but seriously this level of admin cock up? And this is from a company that prides itself of having a proprietary risk management modelling developed by an ex-banker Chief Risk Officer?

[Dividend Warrior]

An extremely evasive piece of announcement following FSL's suspension:
http://info.sgx.com/webcoranncatth.nsf/V...E0005AD8B/$file/Announcement_Clarification_on_Extension_on_Covenants_Relaxation.pdf?openelement

There is hardly any clarity on what in the world is going on in the latest announcement. Memo to FSL managers who are now on notice of resignation: You do not do a press release titled "CLARIFICATION ON EXTENSION ON COVENANTS RELAXATION" when you have just requested for a suspension.

Basically the gist of the message is somebody went ahead to agree with the previous loan extension and make payment without obtaining a board resolution.

Now they are stuck in a limbo as the extension covenants are technically not in force since they were never legally agreed by FSL, i.e. they are in breach of covenants and in default.

It is bad enough to make poor business decisions, but seriously this level of admin cock up? And this is from a company that prides itself of having a proprietary risk management modelling developed by an ex-banker Chief Risk Officer?

The management is a mess......

[opmi]

lesson here: Dont buy business trusts/REITs run by financial types (e.g. ex-investment bankers). Get those from operators.

Businessman like Rickmers would rather lose money than to lose their reputation.

[safetyfirst]

die la... if you still carry hopes in this debt laden company, you are doing your networth a disservice.

When bankers have fears in getting back their loans, pathetic shareholders should really pay attention.

When the cash flow in the form of interest payments to banks exceed that of dividends to shareholders, isnt that a big RED FLAG?

Months ago, you could still exit this company easily, after all these resignation, who will still buy into this company?