kl01015.htm
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
DC 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 OR 15(d) of the
Securities
Exchange Act of 1934
Date of
Report (Date of earliest event reported): January 9,
2009
GENCO
SHIPPING & TRADING LIMITED
(Exact
Name of Registrant as Specified in Charter)
|
Republic
of the Marshall Islands
|
000-28506
|
98-043-9758
|
|
(State
or Other Jurisdiction
of
incorporation)
|
(Commission
File Number)
|
(I.R.S.
Employer
Identification
No.)
|
|
299
Park Avenue
20th
Floor
(Address
of Principal Executive Offices)
|
|
10171
(Zip
Code)
|
Registrant’s
telephone number, including area code: (646) 443-8550
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General
Instruction A.2. below):
| r |
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
|
| r |
Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|
| r |
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
|
| r |
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
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Item
2.03. Creation Of A Direct Financial Obligation Or
An Obligation Under An Off-Balance Sheet Arrangement Of A
Registrant
Genco
Shipping & Trading Limited (the “Company”) entered into an interest rate
swap transaction on January 9, 2009 with DnB NOR Bank ASA, New York Branch (the
“Counterparty”). The Counterparty has underwritten the Company’s
current $1.4 billion credit facility entered into on July 20, 2007 and is also
acting as Lead Arranger,
Bookrunner, and Administrative Agent. The Company and the
Counterparty are also parties to nine interest rate swap transactions for an
aggregate notional amount of $681,233,000 as described in the Company’s
quarterly report on Form 10-Q filed on November 10, 2008. The Company
entered into the current interest rate swap transaction to mitigate the
Company’s floating rate interest risk on an aggregate of $100,000,000 of the
Company’s debt that is currently or is expected to be
outstanding under its $1.4 billion credit facility. The interest rate
swap has an effective date of January 22, 2009 and a termination date of January
22, 2014. The Company is required to make certain quarterly fixed
rate payments to the Counterparty calculated on a notional amount of
$100,000,000, while the Counterparty is obligated to make certain quarterly
floating rate payments to the Company referencing the same notional
amount. The interest rate swap transaction effectively fixes the
annual interest rate payable on $100,000,000 of the Company’s debt which may
exist to 2.05% plus the applicable margin under the $1.4 billion credit
facility. Notwithstanding the terms of the interest rate swap
transaction, the Company is ultimately obligated for all amounts due and payable
under the credit facility. The Company may enter into additional swap
transactions in the future from time to time.
SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, Genco Shipping &
Trading Limited has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
GENCO SHIPPING &
TRADING LIMITED
DATE: January 12, 2009
/s/ Robert Gerald
Buchanan
Robert Gerald Buchanan
President