UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
6-K
REPORT
OF FOREIGN PRIVATE ISSUER PURSUANT TO
RULE
13A-16 OR 15D-16 UNDER THE SECURITIES
EXCHANGE
ACT OF 1934
For
the month of December 2009
Commission
File Number: 001-32199
SHIP
FINANCE INTERNATIONAL LIMITED
(Translation
of registrant's name into English)
Par-la-Ville
Place, 14 Par-la-Ville Road, Hamilton, HM 08, Bermuda
(Address
of principal executive offices)
Indicate
by check mark whether the registrant files or will file annual reports under
cover of Form 20-F or Form 40-F.
Form
20-F [ X ] Form 40-F [
]
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted
by Regulation S-T Rule 101(b)(1): ________.
Note: Regulation S-T Rule
101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely
to provide an attached annual report to security holders.
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted
by Regulation S-T Rule 101(b)(7): ________.
Note: Regulation S-T Rule
101(b)(7) only permits the submission in paper of a Form 6-K if submitted to
furnish a report or other document that the registrant foreign private issuer
must furnish and make public under the laws of the jurisdiction in which the
registrant is incorporated, domiciled or legally organized (the registrant's
"home country"), or under the rules of the home country exchange on which the
registrant's securities are traded, as long as the report or other document is
not a press release, is not required to be and has not been distributed to the
registrant's security holders, and, if discussing a material event, has already
been the subject of a Form 6-K submission or other Commission filing on
EDGAR.
INFORMATION
CONTAINED IN THIS FORM 6-K REPORT
Attached
as Exhibit 1 is a copy of the press release of Ship Finance International
Limited (the "Company"), dated November 27, 2009, announcing the Company's
preliminary financial results for the quarter ended September 30,
2009.
This
Report on Form 6-K is hereby incorporated by reference into the Company's
registration statement on Form F-3 (Registration No. 333-150125), filed with the
U.S. Securities and Exchange Commission (the "SEC") on April 7, 2008, and the
Company's amended registration statement on Form F-3/A (Registration No.
333-158162), filed with the SEC on May 6, 2009.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
|
SHIP
FINANCE INTERNATIONAL LIMITED
|
|||
|
(registrant)
|
|||
|
Dated: December
4, 2009
|
By:
|
/s/
Ole B. Hjertaker
|
|
|
Name:
|
Ole
B. Hjertaker
|
||
|
Title:
|
Chief
Executive Officer
|
||
|
Ship
Finance Management AS
|
|||
SK 23153 0001
1053370
Exhibit
1
Ship
Finance International Limited (NYSE: SFL) - Earnings Release
|
Reports
preliminary 3Q 2009 results and quarterly dividend of $0.30 per
share
|
Hamilton,
Bermuda, November 27, 2009. Ship Finance International Limited ("Ship Finance"
or the "Company") today announced its preliminary financial results for the
quarter ended September 30, 2009.
Highlights
|
·
|
Declared
a quarterly dividend of $0.30 per
share.
|
|
·
|
Reported
adjusted net income for the quarter of $36.3 million, or $0.47 per share.
Adjustments include a negative non-cash mark-to-market of derivatives of
$2.3 million.
|
|
·
|
Accrued
profit share in the third quarter was $4.8 million, or $0.06 per share.
Accrued profit share year-to-date is $27.3 million and payable in March
2010.
|
|
·
|
The
charterer of the jack-up drilling rig West Ceres exercised a
purchase option in July 2009. Net cash effect to the Company in the third
quarter was approximately $40 million after repayment of associated bank
debt.
|
|
·
|
The
single-hull VLCC Front
Duchess was sold in September 2009. Net cash effect to the Company
in the third quarter was approximately $2.5 million after repayment of
associated bank debt and a cancellation fee to
Frontline.
|
|
·
|
The
charterer of the single-hull VLCC Front Vanadis exercised
a purchase option in November 2009. Net cash effect to the Company in the
fourth quarter was approximately $1.2 million after repayment of
associated debt.
|
|
·
|
The
first newbuilding Suezmax tanker was delivered from the shipyard in
November 2009. The vessel, MV Glorycrown, has been
chartered out for 5-years with a purchase obligation at the end of the
charter period.
|
Dividend
The
Board of Directors has declared a quarterly dividend of $0.30 per share in cash,
or, at the election of the shareholder, payable in newly issued common shares.
The dividend will be paid on or about January 27, 2010 to shareholders of record
as of December 8, 2009. The ex-dividend date will be December 4,
2009.
Similar
to the previous three quarters, shareholders may make an election to receive the
dividend in newly issued common shares after reviewing a prospectus supplement
relating to the dividend payment which will be filed with the U.S. Securities
and Exchange Commission ("SEC"). The number of common shares to be issued as
dividend will be set based on the volume-weighted average price of the shares on
the New York Stock Exchange during the three trading days prior to the
ex-dividend date, less a 5% discount.
The
Company's largest shareholders, Farahead Investments Inc. ("Farahead") and Hemen
Holding Ltd. ("Hemen"), who collectively own 42.6 % of the shares, have again
informed the Company that they will elect to receive all of their dividends in
the form of newly issued common shares. Farahead and Hemen are indirectly
controlled by trusts established by Mr. John Fredriksen for the benefit of his
immediate family.
Results
for the Quarter ended September 30, 2009
The
Company reported total operating revenues of $80.2 million, or $1.04 per share,
in the third quarter of 2009. This number excludes charter hire classified as
'repayment of investments in finance lease', and also excludes substantial
charter revenues in three 100% owned subsidiaries classified as 'investment in
associate'. Net operating income for the quarter was $46.1 million, or $0.60 per
share, and reported net income was $34.0 million, or $0.44 per
share.
Adjusted
net income in the third quarter was $36.3 million, or $0.47 per share. The
adjustments include a negative non-cash mark-to-market of derivatives of $2.3
million and a minor gain on sale of asset of $0.02 million.
The
profit share accrued in the third quarter was $4.8 million, or $0.06 per share,
compared to $8.0 million, or $0.11 per share in the second quarter of 2009. The
total profit share accrued in the first three quarters is $27.3 million, and
will be payable in March 2010.
Under
US GAAP, the 100% owned ultra-deepwater drilling units West Polaris, West Hercules and West Taurus and the Panamax dry
bulk vessel Golden
Shadow are accounted for as 'investment in associate'. Consequently, only
the aggregate 'net income' from these vessel-owning subsidiaries is recognized
in the consolidated income statement of Ship Finance as 'results in
associate'.
Financing
and Capital Expenditure
As
of September 30, 2009, the Company had $92.9 million of available cash. There
are no refinancing needs in the short term, and the Company is in compliance
with all bank covenants. Most of our charter arrangements and corresponding loan
facilities have been structured with a front-loaded payment structure,
effectively reducing the Company's financial exposure. In addition, several of
our financing arrangements are in subsidiaries with no or limited guarantees
from Ship Finance.
At
quarter end, the Company had gross capital commitments of $234 million. $87
million relates to two Suezmax tankers employed on 5-year bareboat charters. The
first of these vessels was delivered from the shipyard in November 2009, and the
second vessel is expected to be delivered in the first quarter of 2010. $147
million relates to five feeder-size container vessels with estimated delivery
dates ranging from late 2010 to 2012. These vessels are currently charter-free
and the Company is investigating alternatives for these vessels, including
potential conversion into other vessel types. The current payment schedule to
the shipyards is estimated as follows:
| 4Q 2009 | 2010 | 2011 | 2012 | |||||||||||||
|
Suezmax
tankers
|
$47
mill.
|
$40
mill.
|
||||||||||||||
|
Other
newbuildings
|
$7
mill.
|
$63
mill.
|
$42
mill.
|
$35
mill.
|
||||||||||||
Business
Update
As
of September 30, 2009, the gross fixed-rate charter backlog from our operating
fleet of 61 vessels and rigs was approximately $7.2 billion, with an average
remaining charter term of 9.8 years, or 12.9 years if weighted by charter
revenue. Some of our charters include purchase options that, if exercised, would
reduce the fixed charter backlog and average remaining charter
term.
In
November 2009, the first Suezmax tanker was delivered from the shipyard and
thereafter chartered to an affiliate of North China Shipping Holdings Co. Ltd.
("North China"), pursuant to a 5-year bareboat charter agreement. Previously,
the Company had agreed to sell the vessel to North China, but has subsequently
agreed to amend the agreement to a bareboat charter. Ship Finance received $40.5
million net upfront, and will receive bareboat hire of $16,700 net per day for
five years. North China has been granted annual purchase options and will after
five years have an obligation to purchase the vessel for $40.7 million
net.
The
second Suezmax tanker is estimated to be finalized from the yard in the first
quarter of 2010, and will thereafter be delivered to North China based on a
similar hire/purchase agreement. These transactions will increase our contract
backlog by $61 million (excluding upfront payments and purchase obligations),
and thereby strengthen our distribution capacity.
Thirty
of our crude oil tankers and eight of our oil/bulk/ore ("OBO") vessels operate
on long term contracts to subsidiaries of Frontline Ltd.
("Frontline"). In addition to the fixed base charter rate, Ship Finance is also
entitled to receive 20% of the time charter equivalent ("TCE") earnings for
these vessels in excess of a base charter rate. The average vessel earnings have
consistently been above the base charter rates since the charters commenced six
years ago.
The
spot tanker market earnings have been under pressure throughout the third
quarter, and remained at low levels into the fourth quarter. Despite the
challenging environment in the third quarter, a profit share contribution of
$4.8 million was generated. Ship Finance has only limited exposure to the spot
tanker market as the vessels chartered to Frontline have a fixed daily base
rate. We benefit from stronger markets through the profit share arrangement,
which on average has generated incremental cash flows of $20.5 million per
quarter since 2004.
The
Company's four drilling units are all on long-term fixed bareboat contracts to
Seadrill, and generated more than $96.5 million of combined bareboat charter
revenues in the third quarter. Seadrill has sub-chartered all our drilling units
to oil companies on very profitable terms. Due to the fixed-rate charter
structure, Ship Finance is not directly impacted by short-term fluctuations in
the drilling market.
Ship
Finance also owns several offshore support vessels, container vessels, chemical
tankers, and dry bulk vessels. All our vessels, except one 1,700 teu container
vessel, are on long-term fixed contracts that give the Company stability in the
earnings also if the short-term charter market is underperforming.
Corporate
and Other Matters
In
July 2009 a total of 505,000 new options were awarded to employees while all of
the 355,000 previously awarded options to employees were cancelled. The new
options have been issued pursuant to the Company's Share Option Scheme and have
a five-year term with a three-year vesting period. The initial strike price was
$10.64 and the first options will be exercisable in July 2010.
In
October 2009, a total of 65,000 new options were issued to the Board of
Directors. The new options were issued pursuant to the Company's Share Option
Scheme and have a five-year term with a three-year vesting period. The initial
strike price was $13.00, and the first options will be exercisable in October
2010.
In
June 2009, approximately 52% of our shareholders elected to receive the dividend
declared for the first quarter 2009 in newly issued shares, and consequently the
Company issued approximately 1.0 million shares in July 2009. Following this
share issue, the total number of shares outstanding at the end of the third
quarter was 77.3 million.
In
September 2009, approximately 51% of our shareholders elected to receive the
dividend declared for the second quarter 2009 in newly issued shares, and
consequently the Company issued approximately 0.9 million shares in October
2009. Following this share issue, subsequent to third quarter end, the total
number of shares outstanding is currently 78.2 million.
Strategy
and Outlook
The
management is committed to continue the conservative profile of the Company and
the strategy is to charter out the majority of our assets on long-term charters
to reputable operators in the shipping and offshore markets. Our diversified and
extensive charter portfolio with approximately 13 years average remaining
weighted charter coverage gives the Company a robust business platform, and
supports a predictable long-term dividend capacity.
The
Company continues to benefit from a healthy capital structure and low capital
commitments. In light of the significant newbuilding orderbook in the shipping
and offshore industries and the limitations on capital available from the
traditional banking market, we believe our company is very well positioned to
take advantage of opportunities that may arise. The management is continuously
monitoring potential new investment opportunities, and we anticipate that there
will be a number of interesting projects going forward. A continued significant
positive cash flow from operations is therefore expected to further enhance our
ability to take advantage of such investment opportunities when timing is deemed
favorable.
Forward
Looking Statements
This
press release contains forward looking statements. These statements are based
upon various assumptions, many of which are based, in turn, upon further
assumptions, including Ship Finance management's examination of historical
operating trends, data contained in the Company's records and other data
available from third parties. Although Ship Finance believes that these
assumptions were reasonable when made, because assumptions are inherently
subject to significant uncertainties and contingencies which are difficult or
impossible to predict and are beyond its control, Ship Finance cannot give
assurance that it will achieve or accomplish these expectations, beliefs or
intentions.
Important
factors that, in our view, could cause actual results to differ materially from
those discussed in the forward-looking statements include the strength of world
economies, fluctuations in currencies and interest rates, general market
conditions including fluctuations in charter hire rates and vessel values,
changes in demand in the markets in which we operate, changes in demand
resulting from changes in OPEC's petroleum production levels and worldwide oil
consumption and storage, developments regarding the technologies relating to
oil
exploration,
changes in market demand in countries which import commodities and finished
goods and changes in the amount and location of the production of those
commodities and finished goods, increased inspection procedures and more
restrictive import and export controls, changes in our operating expenses,
including bunker prices, drydocking and insurance costs, performance of our
charterers and other counterparties with whom we deal, timely delivery of
vessels under construction within the contracted price, changes in governmental
rules and regulations or actions taken by regulatory authorities, potential
liability from pending or future litigation, general domestic and international
political conditions, potential disruption of shipping routes due to accidents
or political events, and other important factors described from time to time in
the reports filed by the Company with the Securities and Exchange
Commission.
OFFERING
PURSUANT TO A PROSPECTUS SUPPLEMENT
The
offering of the stock dividend will be made only pursuant to a prospectus
supplement to the Company's shelf registration statement on Form F-3, as amended
(Registration No. 333-158162), which is filed with the SEC. This report does not
constitute an offer to sell or the solicitation of an offer to buy shares of the
Company's securities, nor will there be any sale of the securities in any state
or jurisdiction in which such offer, solicitation or sale would be unlawful.
Shareholders are advised to refer to the registration statement filed with the
SEC and the prospectus supplement, which will be filed with the SEC, for
additional information regarding the dividend.
|
November
27, 2009
|
|
|
The
Board of Directors
|
|
|
Ship
Finance International Limited
|
|
|
Hamilton,
Bermuda
|
|
|
Questions
should be directed to:
|
|
|
Ole
B. Hjertaker: Chief Executive Officer, Ship Finance Management
AS
|
|
|
+47
23114011 / +47 90141243
|
|
|
Magnus
T. Valeberg: Vice President, Ship Finance Management AS
|
|
|
+47
23114012 / +47 93440960
|
SHIP
FINANCE INTERNATIONAL LIMITED
THIRD
QUARTER 2009 REPORT (UNAUDITED)
|
INCOME
STATEMENT
|
Three
months ended
|
Nine
months ended
|
Full
year
|
|||||||||||||||||
|
(in
thousands of $
|
Sept
30,
|
Sept
30,
|
Sept
30,
|
Sept
30,
|
2008
|
|||||||||||||||
|
except
per share data)
|
2009
|
2008
|
2009
|
2008
|
(audited)
|
|||||||||||||||
|
Charter
revenues - operating lease
|
17,681 | 18,952 | 54,249 | 55,957 | 75,209 | |||||||||||||||
|
Charter
revenues - finance lease
|
97,635 | 113,415 | 315,474 | 372,005 | 483,480 | |||||||||||||||
|
Revenues
classified as Repayment of investment in finance leases
|
(39,868 | ) | (46,599 | ) | (131,885 | ) | (166,207 | ) | (211,305 | ) | ||||||||||
|
Profit
share income
|
4,768 | 28,530 | 27,270 | 95,311 | 110,962 | |||||||||||||||
|
Total
operating revenues
|
80,216 | 114,298 | 265,108 | 357,066 | 458,346 | |||||||||||||||
|
Gain
/ (loss) on sale of assets
|
19 | - | 19 | 17,377 | 17,377 | |||||||||||||||
|
Vessel
operating expenses
|
(22,404 | ) | (24,952 | ) | (69,489 | ) | (74,942 | ) | (100,447 | ) | ||||||||||
|
Administrative
expenses
|
(4,072 | ) | (1,720 | ) | (9,190 | ) | (7,252 | ) | (9,836 | ) | ||||||||||
|
Depreciation
|
(7,615 | ) | (7,323 | ) | (22,598 | ) | (20,516 | ) | (28,038 | ) | ||||||||||
|
Vessel
impairment adjustments
|
- | - | (26,756 | ) | - | - | ||||||||||||||
|
Total
operating expenses
|
(34,091 | ) | (33,995 | ) | (128,032 | ) | (102,710 | ) | (138,321 | ) | ||||||||||
|
Operating
income
|
46,144 | 80,303 | 137,094 | 271,733 | 337,402 | |||||||||||||||
|
Results
in associate(1)
|
18,250 | 7,091 | 57,629 | 7,552 | 22,799 | |||||||||||||||
|
Interest
income
|
28 | 498 | 176 | 2,407 | 3,478 | |||||||||||||||
|
Interest
expense
|
(27,976 | ) | (29,966 | ) | (89,810 | ) | (93,307 | ) | (127,192 | ) | ||||||||||
|
Other
financial items
|
(172 | ) | (80 | ) | (1,418 | ) | (484 | ) | (349 | ) | ||||||||||
|
Impairment
adjustment to investment
|
- | - | (7,110 | ) | - | - | ||||||||||||||
|
Mark
to Market of Derivatives
|
(2,308 | ) | (10,408 | ) | 11,002 | (9,372 | ) | (54,527 | ) | |||||||||||
|
Gain
on re-purchase of Company Bonds
|
- | - | 22,601 | - | - | |||||||||||||||
|
Taxes
|
- | - | - | - | - | |||||||||||||||
|
Net
income
|
33,966 | 47,438 | 130,165 | 178,529 | 181,611 | |||||||||||||||
|
Basic
earnings per share ($)
|
0.44 | 0.65 | 1.76 | 2.45 | 2.50 | |||||||||||||||
|
Weighted
average number of shares
|
77,237,117 | 72,743,737 | 74,143,867 | 72,743,737 | 72,743,737 | |||||||||||||||
|
Common
shares outstanding
|
77,277,778 | 72,743,737 | 77,277,778 | 72,743,737 | 72,743,737 | |||||||||||||||
|
(1)
|
Three
of our 100% owned subsidiaries, owning four of our units are accounted for
as 'Investment in associate', and only the net income from these
subsidiaries is therefore included in our consolidated Income
Statement.
|
SHIP
FINANCE INTERNATIONAL LIMITED
THIRD
QUARTER 2009 REPORT (UNAUDITED)
|
BALANCE
SHEET
|
Sept
30,
|
Sept
30,
|
Dec
31, 2008
|
|||||||||
|
(in
thousands of $)
|
2009
|
2008
|
(audited)
|
|||||||||
|
ASSETS
|
||||||||||||
|
Short
term
|
||||||||||||
|
Cash
and cash equivalents
|
92,854 | 118,657 | 46,075 | |||||||||
|
Restricted
cash
|
4,914 | 36,340 | 60,103 | |||||||||
|
Amount
due from related parties
|
24,773 | 91,138 | 45,442 | |||||||||
|
Other
current assets
|
156,426 | 187,619 | 179,922 | |||||||||
|
Long
term
|
||||||||||||
|
Newbuildings
|
93,606 | 66,036 | 69,400 | |||||||||
|
Vessels
and equipment, net
|
564,221 | 564,239 | 586,816 | |||||||||
|
Investment
in finance leases
|
1,633,922 | 1,954,295 | 1,916,510 | |||||||||
|
Investment
in associate(1)
|
439,383 | 158,388 | 420,977 | |||||||||
|
Deferred
charges
|
11,208 | 16,293 | 14,696 | |||||||||
|
Other
long-term assets
|
2,348 | 8,473 | 8,545 | |||||||||
|
Total
assets
|
3,023,655 | 3,201,478 | 3,348,486 | |||||||||
|
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
||||||||||||
|
Short
term
|
||||||||||||
|
Short
term and current portion of long term interest bearing
debt
|
269,061 | 180,600 | 385,577 | |||||||||
|
Other
current liabilities
|
33,815 | 58,879 | 101,193 | |||||||||
|
Amount
due to related parties
|
26,573 | 6,394 | 6,472 | |||||||||
|
Long
term
|
||||||||||||
|
Long
term interest bearing debt
|
1,915,922 | 2,245,528 | 2,209,939 | |||||||||
|
Other
long term liabilities
|
102,187 | 34,314 | 127,955 | |||||||||
|
Stockholders'
equity(2)
|
676,097 | 675,763 | 517,350 | |||||||||
|
Total
liabilities and stockholders' equity
|
3,023,655 | 3,201,478 | 3,348,486 | |||||||||
|
(1)
|
Three
of our 100% owned subsidiaries, owning four of our units, are accounted
for as 'Investment in associate'. Stockholder's equity in each subsidiary
is adjusted for current account
balance.
|
|
(2)
|
As
of September 30, 2009, 'Stockholders' equity' excludes $209.9 million of
deferred equity which is being recognized over time. In connection with
the initial and subsequent acquisitions of vessels from Frontline, Ship
Finance has accounted for the difference between the historical cost of
the vessels and the net investment in the lease as a deferred equity
contribution. This deferred equity contribution is shown as a reduction in
the net investment in finance leases in the balance sheet. This results
from the related party nature of both the transfer of the vessel and the
subsequent charter. This deferred equity is amortized to 'Stockholders'
equity' in line with the charter payments received from
Frontline.
|
SHIP
FINANCE INTERNATIONAL LIMITED
THIRD
QUARTER 2009 REPORT (UNAUDITED)
|
STATEMENT
OF CASHFLOWS
|
Three
months ended
|
Nine
months ended
|
Full
year
|
|||||||||||||||||
|
(in
thousands of $
|
Sept
30,
|
Sept
30,
|
Sept
30,
|
Sept
30,
|
2008
|
|||||||||||||||
|
2009
|
2008
|
2009
|
2008
|
(audited)
|
||||||||||||||||
|
OPERATING
ACTIVITIES
|
||||||||||||||||||||
|
Net
income
|
33,966 | 47,438 | 130,165 | 178,529 | 181,611 | |||||||||||||||
|
Adjustments
to reconcile net income to net cash provided by operating
activities:
|
- | - | - | - | - | |||||||||||||||
|
Depreciation
and amortisation
|
8,706 | 7,997 | 24,663 | 22,661 | 31,048 | |||||||||||||||
|
Asset
impairment adjustments
|
- | - | 33,866 | - | - | |||||||||||||||
|
Adjustment
of financial derivatives to market value
|
2,308 | 10,408 | (11,002 | ) | 9,372 | 54,527 | ||||||||||||||
|
Gain
on sale of assets
|
(19 | ) | - | (19 | ) | (17,377 | ) | (17,377 | ) | |||||||||||
|
Result
in associate
|
(18,250 | ) | (7,091 | ) | (57,629 | ) | (7,552 | ) | (22,799 | ) | ||||||||||
|
Stock
based compensation
|
417 | 403 | 967 | 1,124 | 1,457 | |||||||||||||||
|
Gain
on re-purchase of Company Bonds
|
- | - | (22,601 | ) | - | - | ||||||||||||||
|
Other
|
(109 | ) | (1,057 | ) | (412 | ) | (3,131 | ) | (2,956 | ) | ||||||||||
|
Change
in operating assets and liabilities
|
4,157 | (25,974 | ) | 15,026 | (49,134 | ) | (14,125 | ) | ||||||||||||
|
Net
cash provided by operating activities
|
31,176 | 32,124 | 113,023 | 134,492 | 211,386 | |||||||||||||||
|
INVESTING
ACTIVITIES
|
||||||||||||||||||||
|
Repayment
of investments in finance leases
|
39,612 | 46,356 | 131,128 | 165,493 | 210,348 | |||||||||||||||
|
Restricted
cash released/(placed)
|
(4,101 | ) | (1,413 | ) | 55,189 | (9,357 | ) | (33,120 | ) | |||||||||||
|
Proceeds
from sale of vessel/new buildings
|
151,620 | - | 151,620 | 23,005 | 23,005 | |||||||||||||||
|
Received
in respect of terminated contract
|
- | - | - | - | 1,845 | |||||||||||||||
|
Net
investment in newbuildings
|
(4,689 | ) | (17,882 | ) | (23,695 | ) | (18,616 | ) | (22,395 | ) | ||||||||||
|
Purchase
of vessels
|
- | (1 | ) | (0 | ) | (134,101 | ) | (164,200 | ) | |||||||||||
|
Cash
received from /(Investment in) associates
|
18,440 | (146,304 | ) | 49,300 | (146,306 | ) | (442,891 | ) | ||||||||||||
|
Purchase
of short term investment
|
- | - | - | - | - | |||||||||||||||
|
Other
assets / investments
|
(662 | ) | (4,445 | ) | (916 | ) | (6,465 | ) | (6,537 | ) | ||||||||||
|
Net
cash (used in) provided by investing activities
|
200,220 | (123,689 | ) | 362,626 | (126,347 | ) | (433,945 | ) | ||||||||||||
|
FINANCING
ACTIVITIES
|
||||||||||||||||||||
|
Repurchase
of shares
|
- | - | - | - | - | |||||||||||||||
|
Proceeds
from long and short term debt
|
- | 206,973 | 134,500 | 336,473 | 576,973 | |||||||||||||||
|
Expenses
paid in connection with securing finance
|
(323 | ) | (718 | ) | (752 | ) | (2,088 | ) | (1,551 | ) | ||||||||||
|
Repayment
of long and short term debt
|
(188,195 | ) | (42,769 | ) | (370,526 | ) | (180,339 | ) | (251,451 | ) | ||||||||||
|
Re-purchase
of Company bonds
|
- | - | (125,405 | ) | - | - | ||||||||||||||
|
Cash
settlement of derivatives
|
- | 2,507 | (18,285 | ) | 1,149 | (10,655 | ) | |||||||||||||
|
Cash
received from share issue
|
- | - | 16,454 | - | - | |||||||||||||||
|
Cash
dividends paid
|
(11,391 | ) | (42,192 | ) | (64,856 | ) | (122,937 | ) | (122,937 | ) | ||||||||||
|
Net
cash provided by (used in) financing activities
|
(199,909) | 123,801 | (428,870) | 32,258 | 190,379 | |||||||||||||||
|
|
||||||||||||||||||||
| Net (decrease) increase in cash and cash equivalents | 31,487 | 32,236 | 46,779 | 40,403 | (32,180) | |||||||||||||||
|
Cash
and cash equivalents at start of period
|
61,367 | 86,422 | 46,075 | 78,255 | 78,255 | |||||||||||||||
|
Cash
and cash equivalents at end of period
|
92,854 | 118,658 | 92,854 | 118,658 | 46,075 | |||||||||||||||
|
|
||||||||||||||||||||
SUBSIDIARIES
ACCOUNTED FOR AS INVESTMENT IN ASSOCIATES
THIRD
QUARTER 2009 (UNAUDITED)
Please
note that full preliminary accounts for SFL West Polaris Limited, SFL Deepwater
Ltd and Front Shadow Inc. are available from the Company's website: www.shipfinance.org.
Selected
income statement data for the three months ended September 30, 2009
|
(in
thousands of $)
|
SFL
West Polaris Limited
|
SFL
Deepwater Ltd
|
Front
Shadow
Inc
|
Total
|
||||||||||||
|
Charter
revenues - finance lease
|
32,042 | 58,448 | 696 | 91,186 | ||||||||||||
|
Revenues
classified as Repayment of investment in finance leases
|
(17,794 | ) | (36,000 | ) | (421 | ) | (54,215 | ) | ||||||||
|
Total
operating expenses
|
(16 | ) | (14 | ) | (6 | ) | (36 | ) | ||||||||
|
Interest
expense
|
(8,701 | ) | (9,866 | ) | (54 | ) | (18,621 | ) | ||||||||
|
Other
items
|
(64 | ) | - | (0 | ) | (64 | ) | |||||||||
|
Net
income
|
5,467 | 12,568 | 215 | 18,250 | ||||||||||||
|
(1)
|
Net
income from these 100% owned subsidiary appears in the Company's
consolidated income statement as 'Results in
associate'.
|
Selected
balance sheet data as of September 30, 2009
|
(in
thousands of $)
|
SFL
West Polaris Limited
|
SFL
Deepwater Ltd
|
Front
Shadow
Inc
|
Total
|
||||||||||||
|
Cash
and cash equivalents
|
- | - | - | - | ||||||||||||
|
Investment
in finance leases
|
781,685 | 1,584,992 | 23,900 | 2,390,577 | ||||||||||||
|
Other
assets
|
35,332 | 54,179 | 293 | 89,803 | ||||||||||||
|
Total
assets
|
817,017 | 1,639,170 | 24,193 | 2,480,380 | ||||||||||||
|
Short
term and current portion of long term interest bearing
debt
|
72,000 | 153,604 | 2,060 | 227,664 | ||||||||||||
|
Other
current liabilities
|
5,115 | 8,220 | 2,307 | 15,642 | ||||||||||||
|
Long
term interest bearing debt
|
564,521 | 1,138,875 | 14,460 | 1,717,856 | ||||||||||||
|
Other
long term liabilities
|
35,397 | 3,771 | 2,600 | 41,768 | ||||||||||||
|
Stockholders
equity
|
139,984 | 334,700 | 2,766 | 477,450 | ||||||||||||
|
Total
liabilities and stockholders' equity
|
817,017 | 1,639,170 | 24,193 | 2,480,380 | ||||||||||||
|
(1)
|
Stockholder's
equity adjusted for current account balance appears in the Company's
consolidated balance sheet as 'Investment in
associate'.
|