Disposition of the Asset of a Subsidiary Company
Ref. No. COR:MS/EL07026e/py
24 October 2007
Subject: Disposition of the Asset of a Subsidiary Company
To : The President of the Stock Exchange of Thailand
Thoresen Thai Agencies Public Company Limited ("TTA") hereby reports the sale of M.V. Thor Triumph on behalf of Thor Triumph Shipping Co., Ltd., a wholly owned subsidiary company of TTA, as follows:
1. The Parties Involved:
|Seller:||Thor Triumph Shipping Co., Ltd.|
|Buyer in Memorandum of Agreement:||Th. Jacobsen & Co. AS, Norway Ultimate Buyer: Jaco Triumph Shipping Ltd., Marshall Islands (as nominee and subsidiary of Th. Jacobsen & Co. AS, Norway)|
|Relationship between Buyer and Seller:||None|
2. Details of the Asset Disposed:
M.V. Thor Triumph is a general cargo vessel with a rated capacity of 23,245 DWT and was built in 1987.
3. General Characteristics of the Transaction:
M.V. Thor Triumph was sold at a price of USD 12,300,000 (United States Dollars Twelve Million Three Hundred Thousand only), or Baht 418,759,650 (Baht Four Hundred Eighteen Million Seven Hundred Fifty Nine Thousand Six Hundred and Fifty using a USD/THB exchange rate of 34.0455), which is the current market price.
4. The net book value of M.V. Thor Triumph as of 23 October 2007 was approximately Baht 216.37 million. After deducting expenses from selling the vessel, including commissions, the accounting gain from the sale is approximately Baht 196.70 million.
After the sale of M.V. Thor Triumph, the Thoresen fleet will consist of 44 vessels with an average size of 28,256 DWT and an average age of 18.06 years.
|Thoresen Thai Agencies Public Company Limited|
Ref. No. COR:MS/EL07026e/py
5. Benefit from the Transaction:
The sale is in line with TTA's policy of gradually lowering the average age of the fleet and increasing the average vessel size. The Board of Directors of Thor Triumph Shipping Co., Ltd. unanimously resolved to sell the said vessel, and the proceeds from the sale will be applied towards our new build vessel program or younger second-hand vessel acquisitions.
6. Size of the Transaction:
The total amount received from selling M.V. Thor Triumph equals USD 12,300,000 (United States Dollars Twelve Million Three Hundred Thousand only), or Baht 418,759,650 (Baht Four Hundred Eighteen Million Seven Hundred Fifty Nine Thousand Six Hundred and Fifty using a USD/THB exchange rate of 34.0455). The size of the transaction equals 1.65 % of the total assets of TTA and its subsidiaries as of 30 June 2007 (the total assets of TTA and its subsidiaries as of 30 June 2007 amounted to Baht 25,327,855,829).
When this transaction is included with other asset dispositions in the past six months, it is not subject to the Rules, Procedures and Disclosure of Information of the Stock Exchange of Thailand regarding the Connected Transactions or the Acquisition and Disposition of Assets of Listed Companies.
7. Delivery Date:
23 October 2007
Thoresen Thai Agencies Public Company Limited
M.L. Chandchutha Chandratat
Ms. Nuch Kalyawongsa
Director, Group Finance/Accounting