GMR third quarter profit falls 54%

GMR Announces Third Quarter Results

Oct. 31
PRNewswire-FirstCall

General Maritime Corporation today reported its financial results for the three and nine months ended September 30, 2007.

Financial Review: 2007 Third Quarter

The Company had net income of $10.9 million, or $0.36 basic and $0.35 diluted earnings per share, for the three months ended September 30, 2007 compared to net income of $24.0 million, or $0.78 basic and $0.76 diluted earnings per share, for the three months ended September 30, 2006. The decrease in net income was principally the result of lower voyage revenues attributable to a generally lower rate environment in the third quarter of 2007. The impact of lower rates on the Company was mitigated by the Company's increased time charter coverage at rates above current spot rates. Results for the 2007 period also reflected higher interest expense due to increased borrowings to fund our $15.00 special dividend in March 2007 and increased off-hire days due to longer then anticipated drydockings and one accelerated drydocking in the third quarter of 2007.

Peter C. Georgiopoulos, Chairman, Chief Executive Officer and President, commented, "During the third quarter of 2007, we continued to benefit from the strategic decision we made over a year ago to place a significant portion of our fleet on accretive time charters. The considerable success we have had in this important area is testimony to our strong reputation in the industry and unrelenting focus on effectively managing the Company's assets through the shipping cycles. Complementing our solid results for the third quarter, we declared a third quarter dividend of $0.50 per share, our third consecutive dividend under the Company's fixed annual dividend of $2.00 per share. Including this quarterly dividend and the $15 special dividend we paid on March 23, 2007, General Maritime has distributed dividends of $24.78 per share to shareholders since 2005. With 70% time charter coverage for our fleet on the water, we have contracted revenues of $191.8 million for 2008, which positions the Company well for our $2.00 fixed dividend target while maintaining upside potential to benefit from any rate increases in the future."

Included in net income of $10.9 million are a $3.4 million unrealized non- cash gain associated with the change in fair value of our freight derivative as well as a $1.3 million gain associated with monthly cash settlements of our freight derivative, both of which are included in Other (income) expense.

Net voyage revenue, which is gross voyage revenues minus voyage expenses unique to a specific voyage (including port, canal and fuel costs), decreased 12.2% to $49.1 million for the three months ended September 30, 2007 compared to $55.9 million for the three months ended September 30, 2006. EBITDA for the three months ended September 30, 2007 was $31.0 million compared to $34.0 million for the three months ended September 30, 2006 (please see below for a reconciliation of EBITDA to net income). Net cash provided by operating activities was $18.5 million for the three months ended September 30, 2007 compared to $15.6 million for the prior year period.

The average daily time charter equivalent, or TCE, rates obtained by the Company's fleet decreased by 15.9% to $30,176 per day for the three months ended September 30, 2007 from $35,886 for the prior year period. The Company's average rates for vessels on spot charters decreased by 51.9% to $18,246 for the three months ended September 30, 2007 compared to $37,994 for the prior year period.

Total vessel operating expenses, which are direct vessel expenses and general and administrative expenses, increased 7.1% to $22.6 million for the three months ended September 30, 2007 from $21.0 million for the three months ended September 30, 2006. Direct vessel operating expenses increased 15.5% to $12.7 million from $11.0 million, while general and administrative expenses remained flat at $9.9 for the same periods. The average size of General Maritime's fleet increased 7.8% to 19.4 vessels in the third quarter of 2007 from 18 vessels in the prior year period. On a daily basis, direct vessel operating expenses increased 7.2% to $7,125 during the quarter ended September 30, 2007 compared to $6,645 for the prior year period. This increase can be attributed to cost associated with bringing the technical management of two of our Aframax vessels in-house and the write off of certain expenses reflecting insurance claim deductibles as well as increased premiums reflecting the increased value of our fleet.

Financial Review: Nine Months 2007

Net income was $39.4 million or $1.29 basic and $1.25 diluted earnings per share, for the nine months ended September 30, 2007 compared to $134.4 million, or $4.24 basic and $4.13 diluted earnings per share, for the nine months ended September 30, 2006. Net voyage revenues decreased 16.0% to $161.9 million for the nine months ended September 30, 2007 compared to $192.9 million for the nine months ended September 30, 2006. EBITDA was $91.6 million for the nine months ended September 30, 2007 compared to $165.0 million for the nine months ended September 30, 2006. Net cash provided by operating activities was $79.6 million for the nine months ended September 30, 2007 compared to $135.4 million for the prior year period. TCE rates obtained by the Company's fleet decreased 4.4% to $33,002 per day for the nine months ended September 30, 2007 from $34,508 for the prior year period. Total vessel operating expenses remained relatively flat at $70.3 million for the nine months ended September 30, 2007 compared to $70.7 million for the prior year period, and daily direct vessel operating expenses rose 9.3% to $6,777 for the nine month period ending September 30, 2007 from $6,203 from the prior year period.

GMR Q2 Profit Drops 55%

General Maritime 2nd-Quarter Profit Drops 55 Percent
By Todd Zeranski
July 31 (Bloomberg)

General Maritime Corp., the second- largest U.S. oil-tanker owner, said second-quarter profit fell 55 percent as the company's fleet declined in number and spent fewer days at sea.

Net income dropped to 37 cents a share, or $11.8 million, from $26.1 million, or 81 cents, a year earlier, New York-based based General Maritime said today in a statement. Revenue fell 18 percent to $62.7 from $76 million.

The size of the company's fleet declined by 5.5 percent, to 19 vessels. The total number of voyage days fell 4.6 percent, to 1,648. The number of days contracted on the spot market dropped 70 percent to 436.

General Maritime's fleet earned, on average, $33,739 per day, up 14 percent from $29,506 a day in the year-earlier period. The average spot market rate for its Suezmax tankers, where rates vary by voyage, was little changed at $32,957 a day.

The average spot rate for its Aframax tankers was $10,731, down 45 percent from $19,390.

General Maritime's earnings excluding a loss of 6 cents a share related to derivatives was 43 cents. On that basis, the company was expected to earn 40 cents, the average estimate of 10 analysts surveyed by Bloomberg. In last year's quarter, General Maritime's earnings were boosted by an $11.2 million gain from the sale of vessels.

JPMorgan Estimate

Jonathan Chappell, a JPMorgan Chase & Co. analyst, earlier this month lowered his per-share earnings estimate by 10 cents, to 38 cents a share.

``We believe the benefits of GMR's nearly 70 percent time- charter coverage in 2007 are already reflected in the stock's valuation,'' Chappell, who has a ``neutral'' rating on the shares, wrote in a report.

Shipping rates were 25 percent lower than last year's second quarter, according to the Baltic Dirty Tanker Index, a measure of rates for various-sized vessels on routes around the world. Suezmax tankers can transport as much as 1 million barrels of oil. Aframax tankers can hold 600,000 barrels.

Shares of General Maritime rose 37 cents, or 1.4 percent, to $26 in composite trading on the New York Stock Exchange.

General Maritime (GMR) releases Q2 results

NEW YORK, July 31 /PRNewswire-FirstCall/ -- General Maritime
Corporation (NYSE: GMR) today reported its financial results for the three
and six months ended June 30, 2007.

Financial Review: 2007 Second Quarter

The Company had net income of $11.8 million, or $0.38 basic and $0.37
diluted earnings per share, for the three months ended June 30, 2007
compared to net income of $26.1 million, or $0.83 basic and $0.81 diluted
earnings per share, for the three months ended June 30, 2006. The decrease
in net income was principally attributable to the absence of a gain on sale
of vessels of $11.2 million as realized in the prior year period as well as
the result of lower voyage revenues attributable to a 6.0% decrease in
fleet size from the prior year period.

Peter C. Georgiopoulos, Chairman, Chief Executive Officer and
President, commented, "During the second quarter and first six months of
2007, General Maritime met strategic objectives related to further
increasing its time charter coverage, continuing to distribute sizeable
quarterly dividends and entering into value creating transactions.
Specifically, we increased our time charter coverage to 68%, representing
$450 million in contracted revenue through 2011. We also declared a
cumulative $1.00 per share dividend for the first six months of 2007 and
have now declared regular quarterly dividends of $9.28 per share since
initiating our dividend policy in January 2005. Complementing this
significant success, we also paid a $15 per share special dividend during
the first six months of 2007, continuing our long tradition of entering
into transactions that unlock significant value for our shareholders."

Included in net income of $11.8 million are a $1.5 million unrealized
non- cash loss associated with the change in fair value of our freight
derivative as well as a $0.3 million loss associated with monthly cash
settlements of our freight derivative, both of which are included in Other
expense.

Net voyage revenue, which is gross voyage revenues minus voyage
expenses unique to a specific voyage (including port, canal and fuel
costs), increased 9.1% to $55.6 million for the three months ended June 30,
2007 compared to $51.0 million for the three months ended June 30, 2006.
EBITDA for the three months ended June 30, 2007 was $31.4 million compared
to $36.0 million for the three months ended June 30, 2006 (please see below
for a reconciliation of EBITDA to net income). Net cash provided by
operating activities was $37.7 million for the three months ended June 30,
2007 compared to $38.3 million for the prior year period.

The average daily time charter equivalent, or TCE, rates obtained by
the Company's fleet increased by 14.3% to $33,739 per day for the three
months ended June 30, 2007 from $29,506 for the prior year period. The
Company's average daily rates for vessels on spot charters increased by
0.3% to $32,957 for the three months ended June 30, 2007 compared to
$32,867 for the prior year period.

Total vessel operating expenses, which are direct vessel operating
expenses and general and administrative expenses, decreased 3.3% to $22.2
million for the three months ended June 30, 2007 from $23.0 million for the
three months ended June 30, 2006. During the same periods, the average size
of General Maritime's fleet decreased 5.5% to 19.0 vessels from 20.1
vessels in the prior year period. Daily direct vessel operating expenses
rose 2.2% to $6,237 during the quarter ended June 30, 2007 from $6,101
during the prior year period.

Financial Review: First Half 2007

Net income was $28.4 million or $0.92 basic and $0.90 diluted earnings
per share, for the six months ended June 30, 2007 compared to $110.4
million, or $3.44 basic and $3.36 diluted earnings per share, for the six
months ended June 30, 2006. Net voyage revenues decreased 17.6% to $112.9
million for the six months ended June 30, 2007 compared to $137.0 million
for the six months ended June 30, 2006. EBITDA was $60.5 million for the
six months ended June 30, 2007 compared to $131.0 million for the six
months ended June 30, 2006. Net cash provided by operating activities was
$61.1 million for the six months ended June 30, 2007 compared to $119.8
million for the prior year period. TCE rates obtained by the Company's
fleet increased 1.3% to $34,403 per day for the six months ended June 30,
2007 from $33,976 for the prior year period. Total vessel operating
expenses decreased 4.0% to $47.7 million for the six months ended June 30,
2007 from $49.7 million for the prior year period, and daily direct vessel
operating expenses rose 9.4% to $6,596 for the six month period ending June
30, 2007 from $6,029 from the prior year period.


General Maritime Corporation's Fleet

As of July 31, 2007, General Maritime Corporation's fleet on the water
was comprised of 19 wholly owned tankers, consisting of 10 Aframax and 9
Suezmax tankers, with a total carrying capacity of approximately 2.4
million deadweight tons, or dwt. The average age of the Company's fleet as
of June 30, 2007 by dwt, was 9.0 years compared to 8.5 years as of June 30,
2006. The average age of the Company's Aframax tankers was 11.8 years and
the average age of the Company's Suezmax tankers was 6.9 years.

Currently, 5 of General Maritime Corporation's Aframax tankers and 1 of
its Suezmax tankers are operating on the spot market. 68% of the Company's
fleet, consisting of 5 Aframax tankers and 8 Suezmax tanker are under time
charter contracts.

During the second quarter we agreed to enter into two three year time
charter contracts at a gross rate of $39,000 with Eiger shipping, a
subsidiary of Lukoil, for the remaining two Suezmax newbuilding vessels
which are expected to be delivered in August of 2007 and February of 2008.
The table below outlines which vessels are on time charter at what rate and
when the contracts are expected to expire.

Banc of America Dowgrades Overseas (OSG)

Oil Tanker Stocks Fall on Analyst Downgrade and Expected Rate Slump
Wednesday July 25, 12:08 pm
NEW YORK (AP)

Stocks of companies that own and operate crude oil tankers mostly fell Wednesday, after a Banc of America Securities analyst downgraded Overseas Shipholding Group Inc. and said the third quarter may be challenging for the sector.

Analyst Daniel L. Barcelo downgraded Overseas Shipholding to "Neutral" from "Buy" as the stock approached his fair value estimate. He maintained the stock as his top pick in the sector, but said he no longer sees any near-term catalysts to drive up the stock.

Across the sector, Barcelo said the tanker companies should post "solid" second-quarter earnings, although they may struggle in the near-term as tanker charter rates slip.

"Looking ahead, the third quarter may prove difficult as rates have collapsed between 25 to 50 percent since peaking in early May due to relatively high inventory levels, limited OPEC production and refinery turnarounds," the analyst said. "Thus we expect third-quarter rates will drop about 25 percent from second-quarter levels, on average, for all three major types of crude vessels."

The analyst expects tanker rates to even out throughout the rest of the year, and then to turn around in 2008 and 2009.

In midday trading, shares of Overseas Shipholding fell 32 cents to $84.

Frontline Ltd. fell 63 cents to $47.71, while Teekay Corp. rose 7 cents to $55.89.

Ship Finance International Ltd. fell 58 cents, or 1.9 percent, to $29.25. The stock has traded between $18.41 and $31.78 in the last 12 months.

General Maritime Corp. fell 3 cents to $27.45, and Aries Maritime Transport Ltd. rose 4 cents to $9.97.

Knightsbridge Tankers Ltd. rose 40 cents to $29.32.