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
Date
of Report: October 23, 2006
Commission
File Number 1-32591
|
_____________
|
SEASPAN
CORPORATION
(Exact
name of Registrant as specified in its Charter)
|
______________
|
Unit
2, 7th
Floor, Bupa Centre
141
Connaught Road West
Hong
Kong
China
(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-I Rule 101 (b)(1).]
|
Yes
|
______
|
No
|
__X__ |
[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).]
|
Yes
|
______
|
No
|
__X__ |
[Indicate
by check mark whether the registrant by furnishing the information contained
in
this Form is also thereby furnishing the information to the Commission
pursuant
to Rule 12g3-2(b) under the Securities Exchange Act of 1934.]
|
Yes
|
______
|
No
|
__X__ |
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82- .
Item
1 - Information Contained in this Form 6-K Report
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.
|
SEASPAN
CORPORATION
|
||
| |
|
|
| Date: October 23, 2006 | By: | /s/ Kevin M. Kennedy |
|
Kevin M. Kennedy |
||
| Chief Financial Officer | ||
 |
Exhibit
I
|
| Seaspan Corporation | |
| Unit 2, 7th Floor, Bupa Centre | |
| 141 Connaught Road West | |
| Hong Kong, China | |
| c/o 2600 - 200 Granville Street | |
| Vancouver, BC | |
| Canada V6C 1S4 | |
| Tel: 604-482-8777 | |
| Fax: 604-648-9782 | |
| www.seaspancorp.com |
NEWS
RELEASE TRANSMITTED BY CCNMATTHEWS
FOR:
SEASPAN CORPORATION
NYSE
SYMBOL: SSW
October
23, 2006
Seaspan
Reports Results for Third Quarter 2006 and Declares Quarterly
Dividend
HONG
KONG, CHINA--(CCNMatthews - Oct. 23, 2006) - Seaspan Corporation
("Seaspan")
(NYSE:SSW) announced today the financial results for the third quarter
ended
September 30, 2006.
"The
quarter ended September 30, 2006 was another successful one for Seaspan,"
said
Gerry Wang, Chief Executive Officer of Seaspan. "During the quarter,
we took
early delivery of another vessel in our initial contracted fleet
of 23 vessels,
bringing the total number of Seaspan vessels in operation to 17.
In addition, we
continued to execute on our growth strategy by ordering four 5100
TEU vessels
that will be chartered to Mitsui O.S.K Lines, Ltd. of Japan, one
of the largest
global shipping companies. This acquisition further diversifies our
customer
base and we anticipate it will add incremental cash flows for distribution
to
our shareholders once the new ships are delivered and operating.
Our contracted
fleet has now grown to 37 vessels, a 60.9% increase in the number
of vessels
since our initial public offering in August 2005."
Financial
Highlights for the Quarter Ended September 30, 2006
-
Reported net earnings of $8.9 million and earnings per share of $0.25
for the
quarter.
-
Generated $16.0 million of cash available for distribution during
the quarter
ended September 30, 2006.
-
Paid a quarterly dividend of $0.425 per share on August 11, 2006
for Seaspan's
second quarter ended June 30, 2006.
-
Declared a quarterly dividend of $0.425 per share for the quarter
ended
September 30, 2006.
-
Took delivery of one of the company's contracted vessels, bringing
the Seaspan
fleet to a total of 17 vessels in operation as at September 30,
2006.
Results
for the Quarter Ended September 30, 2006
Seaspan
reported revenue of $30.1 million for the quarter ended September
30, 2006, and
net earnings for the quarter were $8.9 million. Total operating expenses
were
$15.1 million for the quarter ended September 30, 2006, and were
comprised of
ship operating costs of $7.5 million, depreciation of $6.7 million
and general
and administrative costs of $0.9 million. Seaspan reported basic
and fully
diluted earnings per share of $0.25 for the quarter.
During
the quarter ended September 30, 2006, Seaspan generated $16.0 million
of cash
available for distribution, a non-GAAP measure. Please read Reconciliation
of
Non-GAAP Financial Measures - Description of Non-GAAP
Financial
Measures - Cash Available for Distribution for a description of cash
available
for distribution and a reconciliation of net earnings to cash available
for
distribution.
Seaspan
declared a quarterly cash dividend of $0.425, representing a total
cash
distribution of $15.3 million. The cash dividend is payable on November
10, 2006
to all shareholders of record on October 27, 2006.
Operational
Highlights for the Quarter Ended September 30, 2006
-
During
the quarter, Seaspan took delivery of one additional vessel in its
initial
contracted fleet of 23 vessels, increasing Seaspan's total operating
fleet from
16 to 17 vessels;
-
On July
11, 2006, Seaspan took delivery of the 4250 TEU Lahore Express, approximately
nine weeks ahead of the contractual delivery date. This ship is the
fifth of
nine vessels chartered to Hapag-Lloyd, USA ("HL USA"), a subsidiary
of TUI
AG.
-
During
the quarter, Seaspan also expanded its fleet beyond the initial contracted
fleet
through new orders to increase the total fleet from 33 to 37
vessels;
-
On
August 8, 2006, Seaspan announced that it has signed a contract to
build four
5100 TEU vessels at Hyundai Heavy Industries Co., Ltd. in South Korea
("HHI").
The four newbuilding vessels will be delivered between April and
December 2009.
The total delivered cost is expected to be approximately $83.4 million
per
vessel. Seaspan also announced that it has simultaneously arranged
12 year
charter agreements for the four 5100 TEU vessels with Mitusi O.S.K.
Lines, Ltd.
("MOL") at a rate of $28,880 per day. The Manager will provide technical
services for the four 5100 TEU vessels at an expected rate of $4,800
per
day.
-
On
September 1, 2006, Seaspan filed a Form F-3 Registration Statement
with the
Securities and Exchange Commission for an amount of $300 million
in common stock
and debt securities.
-
On
September 25, 2006, CP USA, the charterer of nine of Seaspan's vessels,
changed
its name to Hapag-Lloyd USA.
The
following tables summarize vessel utilization and the impact of the
off-hire
time incurred for special surveys and vessel repairs on Seaspan's
revenues for
the first and second quarters:
|
|
First
|
|
Second
|
|
Third
|
|
|
|
|||||
|
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
YTD
|
|
||||
|
|
|
2006
|
|
2006
|
|
2006
|
|
2006
|
|||||
|
|
|
|
|
|
|||||||||
|
Vessel
Utilization:
|
#
of Days
|
#
of Days
|
#
of Days
|
#
of Days
|
|||||||||
|
Ownership
Days
|
1,296
|
1,450
|
1,553
|
4,299
|
|||||||||
|
Less
Off-hire Days:
|
|
||||||||||||
|
Scheduled
5-Year Survey
|
(20
|
) | - | - |
(20
|
) | |||||||
|
Incremental
Due to Rudder
|
|
|
|||||||||||
|
Horn
Repair
|
(17
|
) | - | - |
(17
|
) | |||||||
|
Grounding
|
-
|
(24
|
) |
-
|
(24
|
) | |||||||
|
Other
|
-
|
-
|
(2
|
) |
(2
|
) | |||||||
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|||||||||
|
Operating
Days
|
1,259
|
1,426
|
1,551
|
4,236
|
|||||||||
|
|
|
|
|
||||||||||
|
|
|||||||||||||
|
Vessel
Utilization
|
97.10
|
%
|
98.30
|
%
|
%
99.9
|
%
|
98.50
|
%
|
|||||
|
|
First
|
Second
|
Third
|
||||||||||
|
|
Quarter
|
Quarter
|
Quarter
|
YTD
|
|||||||||
|
|
2006
|
2006
|
2006
|
2006
|
|||||||||
|
Revenue
- Impact of Off-hire:
|
Revenue
|
Revenue
|
Revenue
|
Revenue
|
|||||||||
|
(
in thousands
|
)
|
||||||||||||
|
100%
fleet utilization
|
$
|
25,470
|
$
|
28,267
|
$
|
30,174
|
$
|
83,911
|
|||||
|
Less
off-hire:
|
|||||||||||||
|
Scheduled
5-Year Survey
|
(360
|
) |
-
|
-
|
(360
|
) | |||||||
|
Incremental
Due to Rudder
|
|||||||||||||
|
Horn
Repair
|
(303
|
) |
-
|
-
|
(303
|
) | |||||||
|
Grounding
|
-
|
(438
|
) |
-
|
(438
|
) | |||||||
|
Other
|
- |
-
|
(41
|
) |
(41
|
) | |||||||
|
|
|
|
|
||||||||||
|
Actual
Revenue Earned
|
$
|
24,807
|
$
|
27,829
|
$
|
30,133
|
$
|
82,769
|
Recent
News
-
On
October 10, 2006, Seaspan announced that Barry Pearl was elected
to its board of
directors. Mr. Pearl retired at the end of 2005 as the president
and chief
executive officer of TEPPCO Partners, L.P., one of the largest publicly
traded
pipeline limited partnerships in the United States.
-
On
October 11, 2006, Seaspan announced that it has signed contracts
to acquire four
second hand 4800 TEU vessels from A.P. Moller-Maersk A/S ("APM").
The cost will
be $40.0 million per vessel and they are expected to be delivered
to Seaspan
between November 1 and December 31, 2006. This new acquisition will
increase
Seaspan's total fleet to 41 vessels, which represents a 78.3% increase
from its
fleet at its IPO in August 2005.
Seaspan
also announced that it has arranged simultaneous five-year charter
agreements
for these four vessels with APM at a rate of $23,450 per vessel per
day. After
the initial five-year charter periods, APM will have two consecutive
one year
options to recharter each ship for $22,400 per day and $21,400 per
day,
respectively. They will have a further option to charter each ship
for two final
years at $20,400 per day.
Each
new
vessel is expected to contribute, in the first twelve months following
acquisition, between $5.9 million and $6.3 million in incremental
EBITDA. For
this purpose, EBITDA, a non-GAAP measure, shall mean net earnings
before
interest, undrawn credit facility fees, taxes, depreciation and amortization
of
deferred financing fees.
The
Manager will provide technical services for the four 4800 TEU vessels
at a rate
of $5,750 per day.
-
On
October 16, 2006, Seaspan closed on a new $218.4 million loan facility
with
Sumitomo Mitsui Banking Corporation ("SMBC"). The proceeds of this
loan will be
used to partially finance the construction of the four 5100 TEU vessels
Seaspan
ordered at HHI. On October 19, 2006, Seaspan borrowed $62.8 million
under this
loan facility to refinance the $61.9 million down payment made to
HHI and fund
$0.9 million in fees due to SMBC.
-
On
October 20, 2006, Seaspan took delivery of its 18th contracted vessel,
the Rio
Grande Express, approximately one week ahead of the contractual delivery
date.
This is the sixth of nine vessels chartered to HL USA.
-
Our
board
of directors intends to increase the regular quarterly dividend from
$0.425 per
share to $0.44625 per share, representing a 5% increase, beginning
with the
dividend payable in the first quarter of 2007, subject to any unforeseen
developments.
The
following table summarizes the number of vessels in Seaspan's fleet
as it takes
scheduled delivery:
|
Actual
|
|||||||
|
|
|
Upon
|
Third
|
Fourth
|
First
|
Second
|
Third
|
|
Closing
|
Quarter
|
Quarter
|
Quarter
|
Quarter
|
Quarter
|
||
|
Vessel
Size
|
of
IPO
|
2005
|
2005
|
2006
|
2006
|
2006
|
|
|
9600
TEU
Class
|
-
|
-
|
-
|
-
|
-
|
-
|
|
|
8500
TEU
Class
|
2
|
2
|
2
|
2
|
2
|
2
|
|
|
5100
TEU
Class
|
-
|
-
|
-
|
-
|
-
|
-
|
|
|
4800
TEU
Class
|
-
|
-
|
-
|
-
|
-
|
-
|
|
|
4250
TEU
Class
|
8
|
10
|
11
|
13
|
14
|
15
|
|
|
3500
TEU
Class
|
-
|
-
|
-
|
-
|
-
|
-
|
|
|
2500
TEU
Class
|
-
|
-
|
-
|
-
|
-
|
-
|
|
|
Operating
|
|||||||
|
Vessels
|
10
|
12
|
13
|
15
|
16
|
17
|
|
|
Capacity
|
|||||||
|
(TEU)
(1)
|
50,960
|
59,466
|
63,719
|
72,225
|
76,478
|
80,731
|
|
|
Forecasted
|
||||||||||||
|
Year
|
Year
|
|||||||||||
|
Ending
|
Ending
|
|||||||||||
|
December
|
December
|
|||||||||||
|
Vessel
Size
|
31,
2006
|
31,
2007
|
Thereafter
|
|||||||||
|
9600
TEU
Class
|
-
|
2
|
2
|
|||||||||
|
8500
TEU
Class
|
2
|
2
|
2
|
|||||||||
|
5100
TEU
Class
|
-
|
-
|
4
|
|||||||||
|
4800
TEU
Class
|
4
|
4
|
4
|
|||||||||
|
4250
TEU
Class
|
16
|
19
|
19
|
|||||||||
|
3500
TEU
Class
|
-
|
2
|
2
|
|||||||||
|
2500
TEU
Class
|
-
|
-
|
8
|
|||||||||
|
|
|
|
||||||||||
|
Operating
|
||||||||||||
|
Vessels
|
22
|
29
|
41
|
|||||||||
|
|
|
|||||||||||
|
Capacity
|
||||||||||||
|
(TEU)
(1)
|
104,220
|
143,207
|
183,923
|
|||||||||
About
Seaspan
Seaspan
owns containerships and charters them pursuant to long-term fixed-rate
charters.
Seaspan's fleet of 41 containerships consists of 18 existing containerships
and
23 to be delivered over approximately the next three years.
Seaspan's
common shares are listed on the New York Stock Exchange under the
symbol
"SSW."
Conference
Call and Webcast
Seaspan
will host a conference call and webcast for investors and analysts
to discuss
its results for the quarter on Monday, October 23, 2006, at 2:00
pm PT / 5:00 pm
ET. Participants should call 800-238-9007 (US/Canada) or 719-457-2622
(International) and request the Seaspan call. A telephonic replay
will be
available for anyone unable to participate in the live call. To access
the
replay, call 888-203-1112 or 719-457-0820 and enter replay passcode
1678334. The
recording will be available from October 23, 2006 at 5:00 pm PT /
8:00 p.m. ET
through November 6, 2006 at 9:00 p.m. PT / 12:00 a.m. ET. A live
broadcast of
the earnings conference call will also be available via the Internet
at
www.seaspancorp.com in the Investor Relations section under Events
and
Presentations. The webcast will be archived on the site for one
year.
SEASPAN
CORPORATION
UNAUDITED
BALANCE SHEET
AS
AT
SEPTEMBER 30, 2006
(IN
THOUSANDS OF US DOLLARS)
|
September
30, 2006
|
December
31, 2005
|
|||||||||
|
Assets
|
||||||||||
|
Current
assets:
|
||||||||||
|
Cash
and cash equivalents
|
$
|
9,757
|
$
|
15,718
|
||||||
|
Accounts
receivable
|
429
|
-
|
||||||||
|
Prepaid
expenses
|
3,210
|
2,352
|
||||||||
|
13,396
|
18,070
|
|||||||||
|
Vessels
|
930,091
|
621,163
|
||||||||
|
Deferred
financing fees
|
6,896
|
6,526
|
||||||||
|
Fair
value of financial instruments
|
10,169
|
4,799
|
||||||||
|
----------
|
|
|||||||||
|
$
|
960,552
|
$
|
650,558
|
|||||||
|
Liabilities
and Shareholders' Equity
|
|||||||
|
Current
liabilities:
|
|||||||
|
Accounts
payable and accrued
|
|||||||
|
liabilities
|
$
|
2,477
|
$
|
1,467
|
|||
|
Deferred
revenue
|
1,723
|
2,759
|
|||||
|
4,200
|
4,226
|
||||||
|
Long-term
debt
|
447,347
|
122,893
|
|||||
|
Fair
value of financial instruments
|
15,513
|
-
|
|||||
|
|
|
||||||
|
467,060
|
127,119
|
||||||
|
Common
shares
|
512,589
|
512,589
|
|||||
|
Additional
paid-in capital
|
227
|
-
|
|||||
|
Retained
earnings (deficit)
|
(14,344
|
)
|
6,051
|
||||
|
Accumulated
other comprehensive income
|
(4,980
|
)
|
4,799
|
||||
|
|
|
||||||
|
Total
shareholders' equity
|
493,492
|
523,439
|
|||||
|
|
|
||||||
|
$
|
960,552
|
$
|
650,558
|
SEASPAN
CORPORATION
UNAUDITED
STATEMENT OF OPERATIONS AND RETAINED EARNINGS
FOR
THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2006
(IN
THOUSANDS OF US DOLLARS, EXCEPT PER SHARE AMOUNTS)
|
Three
months ended
September
30, 2006
|
|
|
Nine
months ended
September
30, 2006
|
||||
|
Revenue
|
$
|
30,133
|
$
|
82,769
|
|||
|
Operating
expenses:
|
|||||||
|
Ship
operating
|
7,530
|
20,672
|
|||||
|
Depreciation
|
6,690
|
18,570
|
|||||
|
General
and administrative
|
915
|
3,024
|
|||||
|
15,135
|
42,266
|
||||||
|
Operating
earnings
|
14,998
|
40,503
|
|||||
|
Other
expenses (earnings):
|
|||||||
|
Interest
expense
|
4,770
|
11,461
|
|||||
|
Interest
income
|
(113
|
)
|
(362
|
)
|
|||
|
Undrawn
credit facility fee
|
710
|
2,059
|
|||||
|
Amortization
of deferred
|
|||||||
|
financing
fees
|
489
|
1,467
|
|||||
|
Change
in fair value of
|
|||||||
|
financial
instruments
|
265
|
364
|
|||||
|
6,121
|
14,989
|
||||||
|
Net
earnings
|
$
|
8,877
|
$
|
25,514
|
|||
|
Retained
earnings (deficit),
|
|||||||
|
beginning
of period
|
(7,918
|
)
|
6,051
|
||||
|
Dividends
on common shares
|
(15,303
|
)
|
(45,909
|
)
|
|||
|
Deficit,
end of period
|
$
|
(14,344
|
)
|
$
|
(14,344
|
)
|
|
|
Earnings
per share,
|
|||||||
|
basic
and diluted
|
$
|
0.25
|
$
|
0.71
|
SEASPAN
CORPORATION
UNAUDITED
STATEMENT OF CASH FLOWS
FOR
THE
THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2006
(IN
THOUSANDS OF US DOLLARS)
|
Three
months ended
|
Nine
months ended
|
||||||
|
September
30, 2006
|
September
30, 2006
|
||||||
|
Cash
provided by (used in):
|
|||||||
|
Operating
activities:
|
|||||||
|
Net
earnings
|
$
|
8,877
|
$
|
25,514
|
|||
|
Items
not involving cash:
|
|||||||
|
Depreciation
|
6,690
|
18,570
|
|||||
|
Stock-based
compensation
|
76
|
227
|
|||||
|
Amortization
of deferred
|
|||||||
|
financing
fees
|
489
|
1,467
|
|||||
|
Change
in fair value of
|
|||||||
|
financial
instruments
|
265
|
364
|
|||||
|
Change
in non-cash operating
|
|||||||
|
working
capital
|
(438
|
)
|
(1,313
|
)
|
|||
|
Cash
from operating activities
|
15,959
|
44,829
|
|||||
|
Investing
activities:
|
|||||||
|
Expenditures
for vessels
|
(56,894
|
)
|
(227,574
|
)
|
|||
|
Deposits
on vessels
|
(79,294
|
)
|
(99,850
|
)
|
|||
|
Cash
used in investing activities
|
(136,188
|
)
|
(327,424
|
)
|
|||
|
|
|
||||||
|
Financing
activities:
|
|||||||
|
Draws
on credit facility
|
118,774
|
289,454
|
|||||
|
Draws
on revolving credit facility
|
16,500
|
35,000
|
|||||
|
Financing
fees incurred
|
(257
|
)
|
(1,911
|
)
|
|||
|
Dividends
on common shares
|
(15,303
|
)
|
(45,909
|
)
|
|||
|
|
|
||||||
|
Cash
from financing activities
|
119,714
|
276,634
|
|||||
|
|
|
||||||
|
Decrease
in cash and cash equivalents
|
(515
|
)
|
(5,961
|
)
|
|||
|
Cash
and cash equivalents,
|
|||||||
|
beginning
of period
|
10,272
|
15,718
|
|||||
|
|
|
||||||
|
Cash
and cash equivalents,
|
|||||||
|
end
of period
|
$
|
9,757
|
$
|
9,757
|
SEASPAN
CORPORATION
RECONCILIATION
OF NON-GAAP FINANCIAL MEASURES
FOR
THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2006
(IN
THOUSANDS OF US DOLLARS)
Description
of Non-GAAP Financial Measures - Cash Available for Distribution
Cash
available for distribution represents net earnings adjusted for depreciation,
net interest expense, amortization of deferred financing fees, stock-based
compensation and the change in fair value of financial instruments.
Cash
available for distribution is a non-GAAP quantitative standard used
in the
publicly-traded investment community to assist in evaluating a company's
ability
to make quarterly cash dividends. Cash available for distribution
is not
required by accounting principles generally accepted in the United
States and
should not be considered as an alternative to net earnings or any
other
indicator of Seaspan's performance required by accounting principles
generally
accepted in the United States.
|
Three
months ended
|
Nine
months ended
|
||||||
|
September
30, 2006
|
September
30, 2006
|
||||||
|
Net
earnings
|
$
|
8,877
|
$
|
25,514
|
|||
|
Add:
|
|||||||
|
Depreciation
|
6,690
|
18,570
|
|||||
|
Interest
expense
|
4,770
|
11,461
|
|||||
|
Amortization
of deferred
|
|||||||
|
financing
fees
|
489
|
1,467
|
|||||
|
Stock-based
compensation
|
76
|
227
|
|||||
|
Change
in fair value of
|
|||||||
|
financial
instruments
|
265
|
364
|
|||||
|
Less:
|
|||||||
|
Interest
income
|
(113
|
)
|
(362
|
)
|
|||
|
|
|
||||||
|
Net
cash flows before cash
|
|||||||
|
interest
payments
|
21,054
|
57,241
|
|||||
|
Less:
|
|||||||
|
Cash
interest paid
|
(5,173
|
)
|
(11,488
|
)
|
|||
|
Add:
|
|||||||
|
Cash
interest received
|
113
|
362
|
|||||
|
|
|
||||||
|
Cash
available for distribution
|
$
|
15,994
|
$
|
46,115
|
|||
CAUTIONARY
STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
This
release contains certain forward-looking statements (as such term
is defined in
Section 21E of the Securities Exchange Act of 1934, as amended) concerning
future events and our operations, performance and financial condition,
including, in particular, the likelihood of our success in developing
and
expanding our business. Statements that are predictive in nature,
that depend
upon or refer to future events or conditions, or that include words
such as
"expects," "anticipates," "intends," "plans," "believes," "estimates,"
"projects," "forecasts," "will," "may," "potential," "should," and
similar
expressions are forward-looking statements. These forward-looking
statements
reflect management's current views only as of the date of this presentation
and
are not intended to give any assurance as to future results. As a
result, you
are cautioned not to rely on any forward-looking statements.
Forward-looking
statements appear in a number of places in this release. Although
these
statements are based upon assumptions we believe to be reasonable
based upon
available information, including operating margins, earnings, cash
flow, working
capital and capital expenditures, they are subject to risks and uncertainties.
These risks and uncertainties include, but are not limited to: future
operating
or financial results; our expectations relating to dividend payments
and
forecasts of our ability to make such payments; pending acquisitions,
business
strategy and expected capital spending; operating expenses, availability
of
crew, number of off-hire days, drydocking requirements and insurance
costs;
general market conditions and shipping market trends, including charter
rates
and factors affecting supply and demand; our financial condition
and liquidity,
including our ability to obtain additional financing in the future
to fund
capital expenditures, acquisitions and other general corporate activities;
estimated future capital expenditures needed to preserve our capital
base; our
expectations about the availability of ships to purchase, the time
that it may
take to construct new ships, or the useful lives of our ships; our
continued
ability to enter into long-term, fixed-rate time charters with our
customers;
our ability to leverage to our advantage our Manager's relationships
and
reputation in the containership industry; changes in governmental
rules and
regulations or actions taken by regulatory authorities; changes in
worldwide
container demand; changes in trading patterns; competitive factors
in the
markets in which we operate; potential inability to implement our
growth
strategy; potential for early termination of long-term contracts
and our
potential inability to renew or replace long-term contracts; ability
of our
customers to make charter payments; potential liability from future
litigation;
conditions in the public equity markets; and other factors detailed
from time to
time in our periodic reports. We expressly disclaim any obligation
to update or
revise any of these forward-looking statements, whether because of
future
events, new information, a change in our views or expectations, or
otherwise. We
make no prediction or statement about the performance of our common
and
subordinated shares.
-30-
FOR
FURTHER INFORMATION PLEASE CONTACT:
Seaspan
Corporation
Mr.
Kevin
M. Kennedy
Chief
Financial Officer
(604)
482-8777
(604)
648-9782 (FAX)
Website:
www.seaspancorp.com
INDUSTRY:
Transportation and Logistics-Air Freight, Transportation and Logistics-Maritime,
Transportation and Logistics-Public Transportation, Transportation
and
Logistics-Railroads and Intermodal, Transportation and
Logistics-Trucking
SUBJECT:
ERN
-0-