Hellenic Carriers Appoints New Manager for Three Vessels

Hellenic Carriers Limited, an international provider of marine transportation services for dry bulk cargoes, announces that its wholly owned subsidiaries, the vessel owning companies of the operating vessels MV Hellenic Wind, MV Hellenic Horizon and MV Konstantinos D will terminate (at no cost/ without compensation) the existing management agreements entered into with Hellenic Shipmanagement Corp., the current Management Company of the aforementioned vessels.

Accordingly the existing sub-management agreements with Mantinia Shipping Co. S.A., the current Technical Manager of the vessels will also be terminated on the same basis.

Hellenic Carriers Corporation S.A., a related party company ultimately controlled by the controlling shareholders of Hellenic, will be appointed as Manager of the aforementioned vessels and of the vessels currently under construction upon their delivery.

Under the management agreements, HC Corp will provide the relevant wholly-owned subsidiaries with the following services:

• Commercial management services including the negotiation of charter parties;
• Supervising the sale and purchase of vessels in accordance with the ship owning companies’ instructions;
• Implementation, monitoring and audit of the safety management system in connection with the ISM certification;
• Arranging of insurance for all the vessels;
• Attending to the regular operation and performance of the vessels and the handling of claims;
• Attending to all matters with regard to supply of bunkers, lubricants and other kind of materials, stores and provisions;
• Recruiting and employing seamen and arranging for the execution of the contracts of employment;
• Attending to the maintenance, repairs, modifications, supply and classification requirements of the vessels;
• Negotiating and executing contracts for the repairs or conversions/modifications in shipyards worldwide subject to the previous consent of the vessel owning company and generally performing all actions necessary for the accomplishment of the above;
• Accounting services;

In accordance with the management agreement, HC Corp will charge management fees in the amount of US$30,000 per month per vessel as well as 1% brokerage commission on revenue earned and 1% on each Sale & Purchase transaction concluded.

The company’s directors, with the exception of any director involved in the transaction as a related party, having consulted with its nominated advisor consider that the terms of the transaction are fair and reasonable insofar as its shareholders are concerned.

[mappress]

Hellenic Carriers, August 12, 2013