Box Ships Inc (TEUFF)

[ivfk]

This is not quite correct, TA!

Below are the list of Secured Bank Debts for each of the 8 Ships that were leveraged. The Box Emma was free and clear at the End of 2015.

As off today, my estimate is that they have approx 21M in current liquid assets and no more that $15.4 Million in outstanding debt and two ships left. I believe that their strategy is to get rid off Panamax ships and replace them with newer Post-Panamax ships once the market recovers. This is potentially a strategy to adapt to the widening of the Panama canal.

Here is the detail of my calculations with a baseline from the 2015 year end filing with the news of the 2016 filings applied:

(a) ABN AMRO Bank N.V. (Secured Debt for Box Voyager, Box Trader and Maule)
Original Secured Bank Debt: $100,000,000
Outstanding as off EoY 2015: $65,350,000
Settled in 2016 in return for 3 Ships out of 9
Debt left: 0

(b) Unicredit Bank AG (Secured Debt for Box Queen)
Original Secured Bank Debt: $30,000,000
Outstanding as off EoY 2015: $$16,500,000
Settled in 2016 in return for 1 Ship out of 9
Debt left 0

(c) Credit Suisse AG (Secured Debt for Kingfish and Marlin)
Original Secured Bank Debt: $44,000,000
Outstanding as off EoY 2015: $$31,650,000
Income received for the sale of 2 Ships for scrap: 13,000,000
Debt left: Not sure if entire note was settled. If not there is still a potential bank note of $18,650,000 outstanding

(d) ABN AMRO Bank N.V. (Secured Debt for Box Hong Kong Box China)
Original Secured Bank Debt: $25,000,000
Outstanding as off EoY 2015: $9,750,000
Income from sale of 2 Scrapped Ships: 13,000,000
Profit after paying off Note: $3,250,000

(e) Box Emma was free and clear without bank loan as off EOY 2015
Profit after Sale of Box Emma was $6,500,000


Current Assets as off EoY 2015: $21,000,000
Cash from Sale of Box Emma: $6,500,000
Cash from Toxic Notes: $850,000 Cash
TOTAL CURRENT ASSETS ESTIMATE as off today: $28,350,000
Long Terms Asset Value of 2 Ships at Scrap Value: $13,000,000
Debt Remaining (worst case): $15,400,000
Debt Remaining (best case): 0