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S H I P P I N G C O M P A N Y P R O F I L E S
Danaos Corp.
www.danaos.com
Danaos Corporation is an international owner of containerships, chartering
its vessels to many of the world's largest liner companies. The Company's
current fleet of 45 containerships aggregating 193,629 TEUs ranks Danaos
among the largest containership charter owners in the world based on total
TEU capacity. Furthermore, Danaos has contracted a fleet of 20 additional
containerships aggregating 169,050 TEU with scheduled deliveries up to
2012.
The Company charters its containerships to a geographically diverse group
of liner companies, including most of the largest ones globally. Such
customers include Maersk, CMA-CGM, Yang Ming, China Shipping,
Hanjin, ZIM, MISC, Hyundai Merchant Marine Co., Wan Hai and United
Arab Shipping Co. The strength of these relationships and the company's
proven track record of performance have enabled the Company to enter
into multi-year charters with its customers.
Danaos' containerships are deployed under multi-year, fixed-rate time
charters that range from one to 18 years for vessels in its current fleet and
its contracted vessels. This provides the company with stable cash flows
and high utilization rates. The average age (weighted by TEU) of the 45
vessels in the Company's containership fleet is approximately 9 years and,
upon delivery of all of its contracted vessels as of the end of the second
quarter of 2012, the average age (weighted by TEU) of the 65 vessels in the
Company's containership fleet (assuming no acquisitions or dispositions)
will be approximately 6 years.
The company's shares trade on the New York Stock Exchange under the
symbol "DAC".
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CEO Message
Dr. John Coustas, Danaos' Chief
Executive Officer, commented: "Since
early 1993, we have been able to grow
our fleet from three multi-purpose
vessels to the current fleet of 45
containerships an annual compound
growth rate, in TEU capacity, of
approximately 32%. In the first six
months of 2010, we took delivery, as
scheduled of four newbuildings, which all commenced their pre-agreed
employment under long term contracts. We have also contracted for 20
additional containerships with a total capacity of 169,050 TEUs, with
scheduled deliveries up to mid-2012. All of our newbuildings are already
time chartered as of their deliveries.
The year 2009 was one of the toughest in the history of container shipping
and the liner business, as demand and supply were severely imbalanced as
the result of the global financial and economic crisis. In 2009, a number of
impacted liner companies successfully restructured their balance sheet.
Consequently, charter owners like Danaos which enjoyed long term fixed
time charters were able to avoid revenue volatility insofar they had little
re-chartering exposure.
The gradual stabilization of the world economy has resolved a large portion
of the uncertainty, and while so far there has been a jobless recovery, cargo
volumes across the globe have started to show strong recovery trends also
on the back of re-stocking. Recently, we are seeing an increase demand for
larger versus smaller vessels which indicated that the major east-west routes
are picking up and that the underlying demand is further firming up. Liner
companies have been able to significantly increase box rates from their low.
We continue to focus on being a high-quality, cost-efficient provider of
containerships and vessel services and on maintaining a high level of service
for our customers. On a positive note, our charterers continue to perform
and we remain current in payments of our scheduled debt service.”