10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

xQUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2014

OR

oTRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from           to          

Commission file number 000-51442

GENCO SHIPPING & TRADING LIMITED

(Exact name of registrant as specified in its charter)

Republic of the Marshall Islands	98-043-9758
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

299 Park Avenue, 12th Floor, New York, New York 10171

(Address of principal executive offices) (Zip Code)

(646) 443-8550

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer o	Accelerated filer x
Non-accelerated filer o	Smaller reporting company o
(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes x No o

The number of shares outstanding of each of the issuer’s classes of common stock, as of August 15, 2014: Common stock, $0.01 per share — 61,410,362 shares.

Genco Shipping & Trading Limited

			Page
PART I — FINANCIAL INFORMATION
Item 1.	Financial Statements (unaudited)
	a)	Condensed Consolidated Balance Sheets as of June 30, 2014 and December 31, 2013	1
	b)	Condensed Consolidated Statements of Operations for the Three and Six Months ended June 30, 2014 and 2013	2
	c)	Condensed Consolidated Statements of Comprehensive Loss for the Three and Six Months ended June 30, 2014 and 2013	3
	d)	Condensed Consolidated Statements of Equity for the Six Months ended June 30, 2014 and 2013	4
	e)	Condensed Consolidated Statements of Cash Flows for the Six Months ended June 30, 2014 and 2013	5
	f)	Notes to Condensed Consolidated Financial Statements	6
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		30
Item 3.	Quantitative and Qualitative Disclosures About Market Risk		55
Item 4.	Controls and Procedures		56
PART II —OTHER INFORMATION
Item 1.	Legal Proceedings		57
Item 1A.	Risk Factors		57
Item 6.	Exhibits		58

ii

Website Information

We intend to use our website, www.GencoShipping.com, as a means of disclosing material non-public information and for complying with our disclosure obligations under Regulation FD. Such disclosures will be included in our website’s Investor section. Accordingly, investors should monitor the Investor portion of our website, in addition to following our press releases, SEC filings, public conference calls, and webcasts. To subscribe to our e-mail alert service, please submit your e-mail address at the Investor Relations Home page of the Investor section of our website. The information contained in, or that may be accessed through, our website is not incorporated by reference into or a part of this document or any other report or document we file with or furnish to the SEC, and any references to our website are intended to be inactive textual references only.

iii

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

Genco Shipping & Trading Limited

(Debtor-in-Possession)

Condensed Consolidated Balance Sheets as of June 30, 2014 and December 31, 2013

(U.S. Dollars in thousands, except for share and per share data)

(Unaudited)

	June 30, 2014			December 31, 2013
Assets
Current assets:
Cash and cash equivalents	$	57,720		$	122,722
Restricted cash	9,975			9,850
Due from charterers, net of a reserve of $639 and $632, respectively	12,000			14,241
Prepaid expenses and other current assets	23,312			19,065
Total current assets	103,007			165,878
Noncurrent assets:
Vessels, net of accumulated depreciation of $799,020 and $730,662, respectively	2,607,784			2,673,795
Deposits on vessels	28,634			1,013
Deferred drydock, net of accumulated amortization of $10,665 and $11,107, respectively	16,775			11,069
Deferred financing costs, net of accumulated amortization of $26,570 and $22,279, respectively	18,002			22,011
Fixed assets, net of accumulated depreciation and amortization of $3,873 and $3,438, respectively	4,052			5,104
Other noncurrent assets	514			514
Restricted cash	300			300
Investments	49,618			77,570
Total noncurrent assets	2,725,679			2,791,376
Total assets	$	2,828,686		$	2,957,254
Liabilities and Equity
Current liabilities not subject to compromise:
Accounts payable and accrued expenses	$	39,527		$	27,359
Current portion of long-term debt	4,250			1,316,439
Current interest payable	—			13,199
Convertible senior note payable	—			115,881
Deferred revenue	1,151			1,597
Time charters acquired	17			—
Current portion of lease obligations	—			176
Fair value of derivative instruments	—			6,975
Total current liabilities not subject to compromise:	44,945			1,481,626
Noncurrent liabilities not subject to compromise:
Long-term lease obligations	2,658			3,114
Time charters acquired	—			84
Long-term debt	161,500			163,625
Total noncurrent liabilities not subject to compromise	164,158			166,823
Total liabilities subject to compromise	1,443,575			—
Total liabilities	1,652,678			1,648,449
Commitments and contingencies
Equity:
Genco Shipping & Trading Limited shareholders’ equity:
Common stock, par value $0.01; 100,000,000 shares authorized; issued and outstanding 44,449,407 shares at June 30, 2014 and December 31, 2013	445			445
Additional paid-in capital	847,547			846,658
Accumulated other comprehensive income	28,076			53,722
Retained (deficit) earnings	(32,986		)	66,644
Total Genco Shipping & Trading Limited shareholders’ equity	843,082			967,469
Noncontrolling interest	332,926			341,336
Total equity	1,176,008			1,308,805
Total liabilities and equity	$	2,828,686		$	2,957,254

See accompanying notes to condensed consolidated financial statements.

1

Genco Shipping & Trading Limited

(Debtor-in-Possession)

Condensed Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2014 and 2013

(U.S. Dollars in Thousands, Except for Earnings Per Share and Share Data)

(Unaudited)

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Revenues:
Voyage revenues	$	51,545		$	44,941		$	114,725		$	84,617
Service revenues	819			819			1,629			1,629
Total revenues	52,364			45,760			116,354			86,246
Operating expenses:
Voyage expenses	1,983			2,867			3,940			4,139
Vessel operating expenses	30,545			26,766			61,768			53,885
General, administrative, and management fees	9,850			8,480			25,226			16,672
Depreciation and amortization	36,538			34,722			72,739			69,100
Total operating expenses	78,916			72,835			163,673			143,796
Operating loss	(26,552		)	(27,075		)	(47,319		)	(57,550		)
Other (expense) income:
Other expense	(50		)	(33		)	(107		)	(13		)
Interest income	25			16			45			34
Interest expense	(18,510		)	(21,554		)	(39,532		)	(42,843		)
Other expense	(18,535		)	(21,571		)	(39,594		)	(42,822		)
Loss before reorganization items, net	(45,087		)	(48,646		)	(86,913		)	(100,372		)
Reorganization items, net	(20,106		)	—			(20,106		)	—
Loss before income taxes	(65,193		)	(48,646		)	(107,019		)	(100,372		)
Income tax expense	(364		)	(294		)	(777		)	(518		)
Net loss	(65,557		)	(48,940		)	(107,796		)	(100,890		)
Less: Net loss attributable to noncontrolling interest	(5,033		)	(3,571		)	(8,166		)	(7,358		)
Net loss attributable to Genco Shipping & Trading Limited	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)
Net loss per share-basic	$	(1.39	)	$	(1.05	)	$	(2.29	)	$	(2.17	)
Net loss per share-diluted	$	(1.39	)	$	(1.05	)	$	(2.29	)	$	(2.17	)
Weighted average common shares outstanding-basic	43,568,942			43,196,895			43,568,942			43,179,300
Weighted average common shares outstanding-diluted	43,568,942			43,196,895			43,568,942			43,179,300
Dividends declared per share	$	—		$	—		$	—		$	—

See accompanying notes to condensed consolidated financial statements.

2

Genco Shipping & Trading Limited

(Debtor-in-Possession)

Condensed Consolidated Statements of Comprehensive Loss

For the Three and Six Months Ended June 30, 2014 and 2013

(U.S. Dollars in Thousands)

(Unaudited)

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Net loss	$	(65,557	)	$	(48,940	)	$	(107,796	)	$	(100,890	)
Change in unrealized gain on investments	(13,737		)	(3,276		)	(27,952		)	6,327
Unrealized gain on cash flow hedges, net	1,078			2,386			2,306			4,687
Other comprehensive (loss) income	(12,659		)	(890		)	(25,646		)	11,014
Comprehensive loss	(78,216		)	(49,830		)	(133,442		)	(89,876		)
Less: Comprehensive loss attributable to noncontrolling interest	(5,033		)	(3,571		)	(8,166		)	(7,358		)
Comprehensive loss attributable to Genco Shipping & Trading Limited	$	(73,183	)	$	(46,259	)	$	(125,276	)	$	(82,518	)

See accompanying notes to condensed consolidated financial statements.

3

Genco Shipping & Trading Limited

(Debtor-in-Possession)

Condensed Consolidated Statements of Equity

For the Six Months Ended June 30, 2014 and 2013

(U.S. Dollars in Thousands)

(Unaudited)

	Common Stock		Additional Paid-in Capital			Accumulated Other Comprehensive (Loss) Income			Retained Earnings			Genco Shipping & Trading Limited Shareholders’ Equity			Noncontrolling Interest			Total Equity
Balance — January 1, 2014	$	445	$	846,658		$	53,722		$	66,644		$	967,469		$	341,336		$	1,308,805
Net loss									(99,630		)	(99,630		)	(8,166		)	(107,796		)
Change in unrealized gain on investments						(27,952		)				(27,952		)	—			(27,952		)
Unrealized gain on cash flow hedges, net						2,306						2,306			—			2,306
Nonvested stock amortization			820									820			1,871			2,691
Cash dividends paid by Baltic Trading Limited			(5		)							(5		)	(2,041		)	(2,046		)
Vesting of restricted shares issued by Baltic Trading Limited			74									74			(74		)	—
Balance — June 30, 2014	$	445	$	847,547		$	28,076		$	(32,986	)	$	843,082		$	332,926		$	1,176,008

	Common Stock		Additional Paid-in Capital			Accumulated Other Comprehensive (Loss) Income			Retained Earnings			Genco Shipping & Trading Limited Shareholders’ Equity			Noncontrolling Interest			Total Equity
Balance — January 1, 2013	$	443	$	863,303		$	(11,841	)	$	214,391		$	1,066,296		$	194,911		$	1,261,207
Net loss									(93,532		)	(93,532		)	(7,358		)	(100,890		)
Change in unrealized gain on investments						6,327						6,327			—			6,327
Unrealized gain on cash flow hedges, net						4,687						4,687			—			4,687
Issuance of 200,634 shares of nonvested stock, less forfeitures of 9,750 shares	2		(2		)							—			—			—
Nonvested stock amortization			1,565									1,565			815			2,380
Issuance of common stock of Baltic Trading Limited			(8,992		)							(8,992		)	30,551			21,559
Cash dividends paid by Baltic Trading Limited									(4		)	(4		)	(343		)	(347		)
Vesting of restricted shares issued by Baltic Trading Limited			(26		)							(26		)	26			—
Balance — June 30, 2013	$	445	$	855,848		$	(827	)	$	120,855		$	976,321		$	218,602		$	1,194,923

See accompanying notes to condensed consolidated financial statements.

4

Genco Shipping & Trading Limited

(Debtor-in-Possession)

Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2014 and 2013

(U.S. Dollars in Thousands)

(Unaudited)

	For the Six Months Ended June 30,
	2014			2013
Cash flows from operating activities:
Net loss	$	(107,796	)	$	(100,890	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	72,739			69,100
Amortization of deferred financing costs	4,291			3,691
Amortization of time charters acquired	(67		)	(233		)
Amortization of discount on Convertible Senior Notes	1,592			2,388
Interest expense related to the de-designation of the interest rate swap	953			—
Unrealized loss on derivative instruments	—			5
Amortization of nonvested stock compensation expense	2,691			2,380
Change in assets and liabilities:
Decrease in due from charterers	2,241			768
Increase in prepaid expenses and other current assets	(4,227		)	(2,901		)
Increase in accounts payable and accrued expenses	14,064			1,686
(Decrease) increase in deferred revenue	(446		)	13
Increase in lease obligations	197			125
Deferred drydock costs incurred	(9,288		)	(1,402		)
Net cash used in operating activities	(23,056		)	(25,270		)
Cash flows from investing activities:
Purchase of vessels, including deposits	(29,790		)	(54		)
Purchase of other fixed assets	(391		)	(195		)
Changes in deposits of restricted cash	(125		)	—
Net cash used in investing activities	(30,306		)	(249		)
Cash flows from financing activities:
Repayments on the $100 Million Term Loan Facility	(1,923		)	—
Repayments on the $253 Million Term Loan Facility	(5,075		)	—
Proceeds on the 2010 Baltic Trading Credit Facility	—			1,000
Repayments on the Baltic Trading $22 Million Term Loan Facility	(750		)	—
Repayments on the Baltic Trading $44 Million Term Loan Facility	(1,375		)	—
Payment of dividend by subsidiary	(2,046		)	(347		)
Proceeds from issuance of common stock by subsidiary	—			21,838
Payment of common stock issuance costs by subsidiary	(111		)	(17		)
Payment of deferred financing costs	(360		)	—
Net cash (used in) provided by financing activities	(11,640		)	22,474
Net decrease in cash and cash equivalents	(65,002		)	(3,045		)
Cash and cash equivalents at beginning of period	122,722			72,600
Cash and cash equivalents at end of period	$	57,720		$	69,555

See accompanying notes to condensed consolidated financial statements.

5

Genco Shipping & Trading Limited

(Debtor-in-Possession)

(U.S. Dollars in Thousands, Except Per Share and Share Data)

Notes to Condensed Consolidated Financial Statements (unaudited)

1 - GENERAL INFORMATION

The accompanying condensed consolidated financial statements include the accounts of Genco Shipping & Trading Limited (“GS&T”), its wholly-owned subsidiaries, and its subsidiary, Baltic Trading Limited (collectively, the “Company”). The Company is engaged in the ocean transportation of drybulk cargoes worldwide through the ownership and operation of drybulk carrier vessels. GS&T is incorporated under the laws of the Marshall Islands and as of June 30, 2014, is the sole owner of all of the outstanding shares of the following subsidiaries: Genco Ship Management LLC; Genco Investments LLC; Genco RE Investments LLC; and the ship-owning subsidiaries as set forth below.  As of June 30, 2014, Genco Ship Management LLC is the sole owner of all of the outstanding shares of Genco Management (USA) Limited.

Bankruptcy Filing

On April 21, 2014 (the “Petition Date”), GS&T and its subsidiaries other than Baltic Trading Limited and its subsidiaries (collectively, the “Debtors”) filed voluntary petitions for relief (the “Chapter 11 Cases”) under Chapter 11 of the United States Bankruptcy Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”). The Debtors continued to operate their businesses in the ordinary course as “debtors-in-possession” under the jurisdiction of the Bankruptcy Court in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court. Through the Chapter 11 Cases, the Debtors seek to implement a Prepackaged Plan of Reorganization of the Debtors Pursuant to Chapter 11 of the Bankruptcy Code for which the Company solicited votes from certain classes of its creditors prior to commencement of the Chapter 11 Cases in accordance with the Restructuring Support Agreement that the Debtors entered into with certain of its creditors on April 3, 2014.

The filing of the Chapter 11 Cases constituted an event of default with respect to each of the following agreements or instruments:

·the Credit Agreement, dated as of July 20, 2007 (as amended to date), by and among the Company as borrower, the banks and other financial institutions named therein as lenders, Wilmington Trust, N.A., as successor administrative and collateral agent, and the other parties thereto, relating to approximately $1,055,912 of principal plus accrued and unpaid interest, fees, costs, and other expenses (the “2007 Credit Facility”);

·the Loan Agreement, dated as of August 20, 2010 (as amended to date), by and among the Company as borrower, Genco Aquitane Limited and the other subsidiaries of the Company named therein as guarantors, the banks and financial institutions named therein as lenders, BNP Paribas, Credit Agricole Corporate and Investment Bank, DVB Bank SE, Deutsche Bank AG Filiale Deutschlandgeschaft, Skandinaviska Enskilda Banken AB (publ) as mandated lead arrangers, BNP Paribas, Credit Agricole Corporate and Investment Bank, DVB Bank SE, Deutsche Bank AG, Skandinaviska Enskilda Banken AB (publ) as swap providers, and Deutsche Bank Luxembourg S.A. as agent for the lenders and the assignee, relating to approximately $175,718 of principal and accrued and unpaid interest, fees, costs, and other expenses (the “$253 Million Term Loan Facility”);

·the Loan Agreement, dated as of August 12, 2010 (as amended to date), by and among the Company as borrower, Genco Ocean Limited and the other subsidiaries of the Company named therein as guarantors, the banks and financial institutions named therein as lenders, and Credit Agricole Corporate and Investment Bank as agent and security trustee, relating to approximately $73,561 of principal plus accrued and unpaid interest, fees, costs, and other expenses (the “$100 Million Term Loan Facility”);

·the Indenture and First Supplemental Indenture relating to $125,000 of principal plus accrued and unpaid interest outstanding of the Company’s 5.00% Convertible Senior Notes (the “2010 Notes”) due August 15, 2015 (the “Indenture”);

·the outstanding interest rate swap with DnB NOR Bank, relating to a liability position of $5,622 as of June 30, 2014.

As a result of the filing of the Chapter 11 Cases, all indebtedness outstanding under the 2007 Credit Facility and the Indenture was accelerated and became due and payable, and indebtedness under the other agreements and instruments described above can be accelerated and become due and payable upon notice to the Company, subject to an automatic stay of any action to collect, assert, or recover a claim against the Company or the other Debtors and the application of the applicable provisions of the Bankruptcy Code.

6

On July 2, 2014, the Bankruptcy Court entered an order (the “Confirmation Order”), confirming the First Amended Prepackaged Plan of Reorganization of the Debtors Pursuant to Chapter 11 of the Bankruptcy Code (the “Plan”).  Capitalized terms used but not defined below shall have the meanings given to them in the Plan.  On July 9, 2014 (the “Effective Date”), the Debtors completed their financial restructuring and emerged from Chapter 11 through a series of transactions contemplated by the Plan, and the Plan became effective pursuant to its terms.

Key components of the Plan included:

·The conversion of 100% of the Claims under the 2007 Credit Facility into 81.1% of the New Genco Common Stock (subject to dilution by the warrants issued under the Plan). On the Effective Date, the 2007 Credit Facility was terminated, and the liens and mortgages thereunder were released.  Refer to Note 9 — Debt for further information.

·The conversion of 100% of the Claims under the 2010 Notes into 8.4% of the New Genco Common Stock (subject to dilution by the warrants issued under the Plan). On the Effective Date, the 2010 Notes and the Indenture were fully satisfied and discharged.   Refer to Note 10 — Convertible Senior Notes for further information.

·A fully backstopped Rights Offering for approximately 8.7% of the New Genco Common Stock, in which holders of 2007 Credit Facility Claims were entitled to subscribe for up to 80% of the New Genco Common Stock offered, and holders of the 2010 Notes Claims were entitled to subscribe for up to 20% of the New Genco Common Stock being offered under the Rights Offering. Each Right entitled its holder to purchase one share of New Genco Common Stock at a subscription price of $18.62537, for an aggregate subscription price of $100,000.

·The amendment and restatement of the $253 Million Term Loan Facility and the $100 Million Term Loan Facility as of the Effective Date, with extended maturities, a financial covenant holiday and certain other amendments, as discussed further in Note 9 - Debt.

·The cancellation of the old common stock of Genco as of the Effective Date, with the holders thereof receiving warrants to acquire shares of New Genco Common Stock. Each New Genco Equity Warrant is exercisable for one share of New Genco Common Stock, and holders received an aggregate of 3,938,298 New Genco Equity Warrants for the old common stock of Genco. The New Genco Equity Warrants in the aggregate are exercisable for approximately 6% of New Genco Common Stock (subject to dilution).

·Reinstatement, non-impairment or payment in full in the ordinary course of business during the pendency of the Chapter 11 Cases of all Allowed General Unsecured Claims, including Allowed Claims of trade vendors, suppliers, customers and charterers, per the approval by the Bankruptcy Court.

·The non-impairment of all other General Unsecured Claims under section 1124 of the Bankruptcy Code.

·A Management Incentive Program, which provides for the distribution of New Genco MIP Primary Equity in the form of shares representing 1.8% of the New Genco Common Stock and three tiers of New Genco MIP Warrants with staggered strike prices based on increasing equity values to the participating officers, directors, and other management of Reorganized Genco. These awards were made on August 7, 2014.

Registration Rights Agreement

On the Effective Date, Reorganized Genco and the Registration Rights Parties entered into the Registration Rights Agreement. The Registration Rights Agreement provided the Registration Rights Parties who receive 10% or more of New Genco Common Stock under the Plan with demand and piggyback registration rights. All other Registration Rights Parties have piggyback registration rights only.

New Genco Equity Warrant Agreement

On the Effective Date, pursuant to the Plan, the New Genco Equity Warrants were issued pursuant to the terms of the New Genco Equity Warrant Agreement. Each New Genco Equity Warrant has a 7-year term (commencing on the day following the Effective Date) and are exercisable for one share of New Genco Common Stock. The New Genco Equity Warrants are exercisable on a cashless basis at an exercise price of $20.99 per share. The New Genco Equity Warrant Agreement contains customary anti-dilution adjustments in the event of any stock split, reverse stock split, stock dividend, reclassification, dividend or other distributions (including, but not limited to, cash dividends), or business combination transaction.

7

The New Genco Equity Warrants were distributed to holders of the old common stock of the Company, which was cancelled as of the Effective Date. Shares of old common stock of the Company issued to directors, officers and employees of Genco under compensatory plans that were unvested as of the Effective Date were deemed vested automatically on the Effective Date, so that all New Genco Equity Warrants received in exchange therefor were deemed vested.

Accounting Guidance

The Company was required to apply Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 852, Reorganizations, effective on April 21, 2014, which is applicable to companies in Chapter 11, which generally does not change the manner in which financial statements are prepared. However, it does require that the financial statements for periods subsequent to the filing of the Chapter 11 Cases distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Revenues, expenses, realized gains and losses, and provisions for losses that can be directly associated with the reorganization and restructuring of the business must be reported separately as Reorganization items in the consolidated statements of operations beginning in the quarter ending June 30, 2014. The balance sheet must distinguish pre-petition Liabilities subject to compromise from both those pre-petition liabilities that are not subject to compromise and from post-petition liabilities. The Company has evaluated creditors’ claims for other claims that may also have priority over unsecured creditors. Liabilities that may be affected by a plan of reorganization must be reported at the amounts expected to be approved by the Bankruptcy Court, even if they may be settled for lesser amounts as a result of the plan or reorganization.  In addition, cash used by reorganization items in the consolidated statements of cash flows are disclosed in Note 4 — Cash Flow Information.

In connection with the emergence from the Chapter 11 Cases, the Company believes it qualifies for fresh-start accounting.   Upon adoption of fresh-start accounting, the Company’s  assets and liabilities will be recorded at their value as of the fresh-start reporting date.  The fair values of the Company’s assets and liabilities as of that date may differ materially from the recorded values of its assets and liabilities as reflected in its historical consolidated financial statements.  In addition, the Company’s adoptions of fresh-start accounting may materially affect its results of operations following the fresh-start reporting dates, as the Company will have a new basis in its assets and liabilities.  Consequently, the Company’s historical financial statements may not be reliable indicators of its financial condition and results of operations for any period after it adopts fresh-start accounting.  See Note 25 — Subsequent Events for a further discussion of fresh-start accounting.

Other General Information

Below is the list of GS&T’s wholly owned ship-owning subsidiaries as of June 30, 2014:

Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Genco Reliance Limited	Genco Reliance	29,952	12/6/04	1999
Genco Vigour Limited	Genco Vigour	73,941	12/15/04	1999
Genco Explorer Limited	Genco Explorer	29,952	12/17/04	1999
Genco Carrier Limited	Genco Carrier	47,180	12/28/04	1998
Genco Sugar Limited	Genco Sugar	29,952	12/30/04	1998
Genco Pioneer Limited	Genco Pioneer	29,952	1/4/05	1999
Genco Progress Limited	Genco Progress	29,952	1/12/05	1999
Genco Wisdom Limited	Genco Wisdom	47,180	1/13/05	1997
Genco Success Limited	Genco Success	47,186	1/31/05	1997
Genco Beauty Limited	Genco Beauty	73,941	2/7/05	1999
Genco Knight Limited	Genco Knight	73,941	2/16/05	1999
Genco Leader Limited	Genco Leader	73,941	2/16/05	1999
Genco Marine Limited	Genco Marine	45,222	3/29/05	1996
Genco Prosperity Limited	Genco Prosperity	47,180	4/4/05	1997
Genco Muse Limited	Genco Muse	48,913	10/14/05	2001
Genco Acheron Limited	Genco Acheron	72,495	11/7/06	1999
Genco Surprise Limited	Genco Surprise	72,495	11/17/06	1998
Genco Augustus Limited	Genco Augustus	180,151	8/17/07	2007
Genco Tiberius Limited	Genco Tiberius	175,874	8/28/07	2007
Genco London Limited	Genco London	177,833	9/28/07	2007
Genco Titus Limited	Genco Titus	177,729	11/15/07	2007
Genco Challenger Limited	Genco Challenger	28,428	12/14/07	2003
Genco Charger Limited	Genco Charger	28,398	12/14/07	2005
Genco Warrior Limited	Genco Warrior	55,435	12/17/07	2005
Genco Predator Limited	Genco Predator	55,407	12/20/07	2005

8

Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Genco Hunter Limited	Genco Hunter	58,729	12/20/07	2007
Genco Champion Limited	Genco Champion	28,445	1/2/08	2006
Genco Constantine Limited	Genco Constantine	180,183	2/21/08	2008
Genco Raptor LLC	Genco Raptor	76,499	6/23/08	2007
Genco Cavalier LLC	Genco Cavalier	53,617	7/17/08	2007
Genco Thunder LLC	Genco Thunder	76,588	9/25/08	2007
Genco Hadrian Limited	Genco Hadrian	169,694	12/29/08	2008
Genco Commodus Limited	Genco Commodus	169,025	7/22/09	2009
Genco Maximus Limited	Genco Maximus	169,025	9/18/09	2009
Genco Claudius Limited	Genco Claudius	169,025	12/30/09	2010
Genco Bay Limited	Genco Bay	34,296	8/24/10	2010
Genco Ocean Limited	Genco Ocean	34,409	7/26/10	2010
Genco Avra Limited	Genco Avra	34,391	5/12/11	2011
Genco Mare Limited	Genco Mare	34,428	7/20/11	2011
Genco Spirit Limited	Genco Spirit	34,432	11/10/11	2011
Genco Aquitaine Limited	Genco Aquitaine	57,981	8/18/10	2009
Genco Ardennes Limited	Genco Ardennes	57,981	8/31/10	2009
Genco Auvergne Limited	Genco Auvergne	57,981	8/16/10	2009
Genco Bourgogne Limited	Genco Bourgogne	57,981	8/24/10	2010
Genco Brittany Limited	Genco Brittany	57,981	9/23/10	2010
Genco Languedoc Limited	Genco Languedoc	57,981	9/29/10	2010
Genco Loire Limited	Genco Loire	53,416	8/4/10	2009
Genco Lorraine Limited	Genco Lorraine	53,416	7/29/10	2009
Genco Normandy Limited	Genco Normandy	53,596	8/10/10	2007
Genco Picardy Limited	Genco Picardy	55,257	8/16/10	2005
Genco Provence Limited	Genco Provence	55,317	8/23/10	2004
Genco Pyrenees Limited	Genco Pyrenees	57,981	8/10/10	2010
Genco Rhone Limited	Genco Rhone	58,018	3/29/11	2011

Baltic Trading Limited (“Baltic Trading”) was a wholly-owned indirect subsidiary of GS&T until Baltic Trading completed its initial public offering, or IPO, on March 15, 2010.  As of June 30, 2014 and December 31, 2013, Genco Investments LLC owned 6,356,471 shares of Baltic Trading’s Class B Stock, which represented an 11.04% and 11.05% ownership interest in Baltic Trading, respectively, and 65.06% and 65.08% of the aggregate voting power of Baltic Trading’s outstanding shares of voting stock, respectively.  Additionally, pursuant to the subscription agreement between Genco Investments LLC and Baltic Trading, for so long as GS&T directly or indirectly holds at least 10% of the aggregate number of outstanding shares of Baltic Trading’s common stock and Class B stock, Genco Investments LLC will be entitled to receive an additional number of shares of Baltic Trading’s Class B stock equal to 2% of the number of common shares issued in the future, other than shares issued under Baltic Trading’s Equity Incentive Plans.

Below is the list of Baltic Trading’s wholly owned ship-owning subsidiaries as of June 30, 2014:

Baltic Trading’s Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Baltic Leopard Limited	Baltic Leopard	53,447	4/8/10	2009
Baltic Panther Limited	Baltic Panther	53,351	4/29/10	2009
Baltic Cougar Limited	Baltic Cougar	53,432	5/28/10	2009
Baltic Jaguar Limited	Baltic Jaguar	53,474	5/14/10	2009
Baltic Bear Limited	Baltic Bear	177,717	5/14/10	2010
Baltic Wolf Limited	Baltic Wolf	177,752	10/14/10	2010
Baltic Wind Limited	Baltic Wind	34,409	8/4/10	2009
Baltic Cove Limited	Baltic Cove	34,403	8/23/10	2010
Baltic Breeze Limited	Baltic Breeze	34,386	10/12/10	2010
Baltic Fox Limited	Baltic Fox	31,883	9/6/13	2010
Baltic Hare Limited	Baltic Hare	31,887	9/5/13	2009
Baltic Lion Limited	Baltic Lion	179,185	12/27/13	2012
Baltic Tiger Limited	Baltic Tiger	179,185	11/26/13	2011
Baltic Hornet Limited	Baltic Hornet	64,000	Q3 2014 (1)	2014 (1)
Baltic Wasp Limited	Baltic Wasp	64,000	Q4 2014 (1)	2014 (1)
Baltic Scorpion Limited	Baltic Scorpion	64,000	Q2 2015 (1)	2015 (1)
Baltic Mantis Limited	Baltic Mantis	64,000	Q3 2015 (1)	2015 (1)

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(1)Built dates and dates for vessels being delivered in the future are estimates based on the guidance received from the sellers and the respective shipyards.

The Company provides technical services for drybulk vessels purchased by Maritime Equity Partners LLC (“MEP”).  Peter C. Georgiopoulos, Chairman of the Board of Directors of GS&T, controls and has a minority interest in MEP.  These services include oversight of crew management, insurance, drydocking, ship operations and financial statement preparation, but do not include chartering services.  The services are provided for a fee of $750 per ship per day plus reimbursement of out-of-pocket costs and were provided for an initial term of one year.  MEP has the right to cancel provision of services on 60 days’ notice with payment of a one-year termination fee upon a change in control of the Company.  The Company may terminate provision of the services at any time on 60 days’ notice.

2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of consolidation

The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which include the accounts of GS&T, its wholly-owned subsidiaries and Baltic Trading, a subsidiary in which the Company owns a majority of the voting interests and exercises control.  All intercompany accounts and transactions have been eliminated in consolidation.

Basis of presentation

The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and the rules and regulations of the Securities and Exchange Commission (the “SEC”).  In the opinion of management of the Company, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and operating results have been included in the statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted.  These condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2013 (the “2013 10-K”).  The results of operations for the three and six month periods ended June 30, 2014 and 2013 are not necessarily indicative of the operating results for the full year.

Vessels, net

Vessels, net is stated at cost less accumulated depreciation. Included in vessel costs are acquisition costs directly attributable to the acquisition of a vessel and expenditures made to prepare the vessel for its initial voyage. The Company also capitalizes interest costs for a vessel under construction as a cost which is directly attributable to the acquisition of a vessel. Vessels are depreciated on a straight-line basis over their estimated useful lives, determined to be 25 years from the date of initial delivery from the shipyard. Depreciation expense for vessels for the three months ended June 30, 2014 and 2013 was $34,557 and $33,102, respectively.  Depreciation expense for vessels for the six months ended June 30, 2014 and 2013 was $68,717 and $65,841, respectively.

Depreciation expense is calculated based on cost less the estimated residual scrap value. The costs of significant replacements, renewals and betterments are capitalized and depreciated over the shorter of the vessel’s remaining estimated useful life or the estimated life of the renewal or betterment. Undepreciated cost of any asset component being replaced that was acquired after the initial vessel purchase is written off as a component of vessel operating expense. Expenditures for routine maintenance and repairs are expensed as incurred. Scrap value is estimated by the Company by taking the estimated scrap value of $245 per lightweight ton (“lwt”) times the weight of the ship in lwt’s.

Deferred revenue

Deferred revenue primarily relates to cash received from charterers prior to it being earned. These amounts are recognized as income when earned. Additionally, deferred revenue includes estimated customer claims mainly due to time charter performance issues. As of June 30, 2014 and December 31, 2013, the Company had an accrual of $459 and $536, respectively, related to these estimated customer claims.

Voyage expense recognition

In time charters, spot market-related time charters and pool agreements, operating costs including crews, maintenance and insurance are typically paid by the owner of the vessel and specified voyage costs such as fuel and port charges are paid by the charterer. There are certain other non-specified voyage expenses, such as commissions, which are typically borne by the Company. At

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the inception of a time charter, the Company records the difference between the cost of bunker fuel delivered by the terminating charterer and the bunker fuel sold to the new charterer as a gain or loss within voyage expenses. These differences in bunkers resulted in net (gains) losses of ($184) and $21 during the three months ended June 30, 2014 and 2013, respectively, and ($249) and ($343) during the six months ended June 30, 2014 and 2013, respectively.  Additionally, voyage expenses include the cost of bunkers consumed during short-term time charters pursuant to the terms of the time charter agreement.

Noncontrolling interest

Net loss attributable to noncontrolling interest during the three and six months ended June 30, 2014 and 2013 reflects the noncontrolling interest’s share of the net loss of Baltic Trading, a subsidiary of the Company, which owns and employs drybulk vessels in the spot market, in vessel pools or on spot market-related time charters.  The spot market represents immediate chartering of a vessel, usually for single voyages.  At June 30, 2014, the noncontrolling interest held an 88.96% economic interest in Baltic Trading while only holding 34.94% of the voting power.  At  December 31, 2013, the noncontrolling interest held an 88.95% economic interest in Baltic Trading while only holding 34.92% of the voting power.

Income taxes

Pursuant to certain agreements, GS&T technically and commercially manages vessels for Baltic Trading, as well as provides technical management of vessels for MEP in exchange for specified fees for these services provided.  These services are performed by Genco Management (USA) Limited (“Genco (USA)”), which has elected to be taxed as a corporation for United States federal income tax purposes.  As such, Genco (USA) is subject to United States federal income tax on its worldwide net income, including the net income derived from providing these services.  Genco (USA) has entered into a cost-sharing agreement with the Company and Genco Ship Management LLC, collectively Manco, pursuant to which Genco (USA) agrees to reimburse Manco for the costs incurred by Genco (USA) for the use of Manco’s personnel and services in connection with the provision of the services for both Baltic Trading and MEP’s vessels.

Total revenue earned for these services during the three months ended June 30, 2014 and 2013 was $1,841 and $1,515, respectively, of which $1,022 and $696, respectively, eliminated upon consolidation.  After allocation of certain expenses, there was taxable income of $764 associated with these activities for the three months ended June 30, 2014.  This resulted in estimated tax expense of $339 for the three months ended June 30, 2014.  After allocation of certain expenses, there was taxable income of $625 associated with these activities for the three months ended June 30, 2013.  This resulted in income tax expense of $281 for the three months ended June 30, 2013.

Total revenue earned for these services during the six months ended June 30, 2014 and 2013 was $3,696 and $3,005, respectively, of which $2,067 and $1,376, respectively, were eliminated upon consolidation.  After allocation of certain expenses, there was taxable income of $1,650 associated with these activities for the six months ended June 30, 2014. This resulted in estimated income tax expense of $740 for the six months ended June 30, 2014. After allocation of certain expenses, there was taxable income of $1,217 associated with these activities for the six months ended June 30, 2013. This resulted in income tax expense of $505 for the six months ended June 30, 2013.

Baltic Trading is subject to income tax on its United States source income.  During the three months ended June 30, 2014 and 2013, Baltic Trading had United States operations which resulted in United States source income of $1,245 and $639, respectively.  Baltic Trading’s estimated United States income tax expense for the three months ended June 30, 2014 and 2013 was $25 and $13, respectively.

During the six months ended June 30, 2014 and 2013, Baltic Trading had United States operations which resulted in United

States source income of $1,813 and $639, respectively. Baltic Trading’s United States income tax expense for the six months ended

June 30, 2014 and 2013 was $37 and $13, respectively.

3 - SEGMENT INFORMATION

The Company determines its operating segments based on the information utilized by the chief operating decision maker to assess performance.  Based on this information, the Company has two reportable operating segments, GS&T and Baltic Trading.  Both GS&T and Baltic Trading are engaged in the ocean transportation of drybulk cargoes worldwide through the ownership and operation of drybulk carrier vessels.  GS&T seeks to deploy its vessels on time charters, spot market-related time charters or in vessel pools trading in the spot market and Baltic Trading seeks to deploy its vessel charters in the spot market, which represents immediate chartering of a vessel, usually for single voyages, or employing vessels on spot market-related time charters or in vessel pools.  Segment results are evaluated based on net (loss) income.  The accounting policies applied to the reportable segments are the same as those used in the preparation of the Company’s condensed consolidated financial statements.

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The following table presents a reconciliation of total voyage revenue from external (third party) customers for the Company’s two operating segments to total consolidated voyage revenue from external customers for the Company for the three and six months ended June 30, 2014 and 2013.

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
Voyage revenue from external customers
GS&T	$	40,842	$	38,562	$	90,931	$	72,252
Baltic Trading	10,703		6,379		23,794		12,365
Total operating segments	51,545		44,941		114,725		84,617
Eliminating revenue	—		—		—		—
Total consolidated voyage revenue from external customers	$	51,545	$	44,941	$	114,725	$	84,617

The following table presents a reconciliation of total intersegment revenue, which eliminates upon consolidation, for the Company’s two operating segments for the three and six months ended June 30, 2014 and 2013. The intersegment revenue noted in the following table represents revenue earned by GS&T pursuant to the management agreement entered into with Baltic Trading, which includes commercial service fees, technical service fees and sale and purchase fees, if any.

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Intersegment revenue
GS&T	$	1,022		$	696		$	2,067		$	1,376
Baltic Trading	—			—			—			—
Total operating segments	1,022			696			2,067			1,376
Eliminating revenue	(1,022		)	(696		)	(2,067		)	(1,376		)
Total consolidated intersegment revenue	$	—		$	—		$	—		$	—

The following table presents a reconciliation of total net loss for the Company’s two operating segments to total consolidated net loss for the three and six months ended June 30, 2014 and 2013. The eliminating net loss noted in the following table consists of the elimination of intercompany transactions between GS&T and Baltic Trading, as well as dividends due to GS&T from Baltic Trading for its Class B shares of Baltic Trading.

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Net loss
GS&T	$	(59,874	)	$	(44,297	)	$	(98,444	)	$	(91,145	)
Baltic Trading	(5,674		)	(4,625		)	(9,207		)	(9,708		)
Total operating segments	(65,548		)	(48,922		)	(107,651		)	(100,853		)
Eliminating net loss	9			18			145			37
Total consolidated net loss	$	(65,557	)	$	(48,940	)	$	(107,796	)	$	(100,890	)

The following table presents a reconciliation of total assets for the Company’s two operating segments to total consolidated assets as of June 30, 2014 and December 31, 2013. The eliminating assets noted in the following table consist of the elimination of intercompany transactions resulting from the capitalization of fees paid to GS&T by Baltic Trading as vessel assets, including related accumulated depreciation, as well as the outstanding receivable balance due to GS&T from Baltic Trading as of June 30, 2014 and December 31, 2013.

	June 30, 2014			December 31, 2013
Total assets
GS&T	$	2,286,604		$	2,404,811
Baltic Trading	546,861			557,367
Total operating segments	2,833,465			2,962,178
Eliminating assets	(4,779		)	(4,924		)
Total consolidated assets	$	2,828,686		$	2,957,254

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4 - CASH FLOW INFORMATION

As of June 30, 2014 and December 31, 2013, the Company had one and four interest rate swaps, respectively, which are described and discussed in Note 11 — Interest Rate Swap Agreements. At June 30, 2014, the fair value of the swap is in a liability position of $5,622, all of which was classified within Liabilities subject to compromise.  At December 31, 2013, the four swaps were in a liability position of $6,975, all of which was classified within current liabilities.

For the six months ended June 30, 2014, the Company had non-cash investing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Accounts payable and accrued expenses consisting of $250 for the purchase of vessels, including deposits and $43 for the purchase of other fixed assets.  For the six months ended June 30, 2014, the Company had non-cash investing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Prepaid expenses and other current assets consisting of $20 associated with the purchase of other fixed assets.  Additionally, for the six months ended June 30, 2014, the Company had non-cash financing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Liabilities subject to compromise consisting of $13,199 associated with deferred financing fees.

Of the $20,106 of Reorganization items, net for the six months ended June 30, 2014 (refer to Note 20), $1,204 was paid through June 30, 2014 and $18,902 is included in accounts payable and accrued expenses.

For the six months ended June 30, 2013, the Company had non-cash investing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Accounts payable and accrued expenses consisting of $14 for the purchase of other fixed assets.  For the six months ended June 30, 2013, the Company had non-cash financing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Accounts payable and accrued expenses consisting of $262 for the payment of common stock issuance costs by its subsidiary.  For the six months ended June 30, 2013, the Company had non-cash financing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in current Interest payable consisting of $13,199 associated with deferred financing fees.

During the six months ended June 30, 2014, the Company made a reclassification of $984 from fixed assets to vessel assets for items that should be capitalized and depreciated over the remaining life of the respective vessels.

During the six months ended June 30, 2014 and 2013, cash paid for interest, net of amounts capitalized, and including bond coupon interest paid, was $38,238 and $37,772, respectively.

During the six months ended June 30, 2014 and 2013, cash paid for estimated income taxes was $1,495 and $493, respectively.

On April 9, 2014, Baltic Trading made grants of nonvested common stock in the amount of 36,345 shares to directors of Baltic Trading.  The aggregate fair value of such nonvested stock was $225.

On May 16, 2013, the Company made grants of nonvested common stock under the Genco Shipping & Trading Limited 2012 Equity Incentive Plan in the amount of 200,634 shares in the aggregate to directors of the Company.  As of June 30, 2014, these shares did not vest since an annual stockholders meeting had not been held during 2014.  The aggregate fair value of such nonvested stock was $315.  On May 16, 2013, Baltic Trading made grants of nonvested common stock in the amount of 59,680 shares to directors of Baltic Trading.  These shares vested on April 9, 2014.  The aggregate fair value of such nonvested stock was $225.

5 - VESSEL ACQUISITIONS

On July 2, 2013, Baltic Trading entered into agreements to purchase two Handysize drybulk vessels from subsidiaries of Clipper Group for an aggregate purchase price of $41,000. The Baltic Hare, a 2009-built Handysize vessel, was delivered on September 5, 2013 and the Baltic Fox, a 2010-built Handysize vessel, was delivered on September 6, 2013. Baltic Trading financed the vessel acquisitions with proceeds from its May 28, 2013 common stock offering and borrowings under its $22 Million Term Loan Facility entered into on August 30, 2013.

On October 31, 2013, Baltic Trading entered into agreements to purchase two Capesize drybulk vessels from affiliates of SK Shipping Co. Ltd. for an aggregate purchase price of $103,000. The Baltic Lion, a 2012-built Capesize vessel, was delivered on December 27, 2013, and the Baltic Tiger, a 2011-built Capesize vessel, was delivered on November 26, 2013. Baltic Trading financed the vessel acquisitions with cash on hand and borrowings under its $44 Million Term Loan Facility entered into on December 3, 2013.

On November 13, 2013, Baltic Trading entered into agreements to purchase up to four 64,000 dwt Ultramax newbuilding drybulk vessels from Yangfan Group Co., Ltd. for a purchase price of $28,000 per vessel, or up to $112,000 in the aggregate.  Baltic

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Trading agreed to purchase two such vessels, to be renamed the Baltic Hornet and Baltic Wasp, and obtained an option to purchase up to two additional such vessels for the same purchase price, which Baltic Trading exercised on January 8, 2014. These vessels are to be renamed the Baltic Mantis and the Baltic Scorpion. The purchases are subject to completion of customary additional documentation and closing conditions. The Baltic Hornet and Baltic Wasp are expected to be delivered to Baltic Trading during the third and fourth quarters of 2014, respectively. The Baltic Scorpion and the Baltic Mantis are expected to be delivered to Baltic Trading during the second and third quarters of 2015, respectively. As of June 30, 2014 and December 31, 2013, deposits on vessels were $28,634 and $1,013, respectively.  Baltic Trading intends to use a combination of cash on hand, future cash flow from operations as well as debt or equity financing to fully finance the acquisition of these four Ultramax newbuilding drybulk vessels.

Refer to Note 1 — General Information for a listing of the vessel delivery dates for the vessels in the Company’s fleet and the estimated delivery dates for vessels that Baltic Trading has entered into agreements to purchase.

Below market time charters, including those acquired during previous periods, were amortized as an increase to voyage revenue in the amount of $18 and $100 for the three months ended June 30, 2014 and 2013, respectively, and $67 and $233 for the six months ended June 30, 2014 and 2013, respectively.

Capitalized interest expense associated with the newbuilding contracts entered into by Baltic Trading for the three months ended June 30, 2014 and 2013 was $177 and $0, respectively, and $276 and $0 for the six months ended June 30, 2014 and 2013, respectively.

6 - INVESTMENTS

The Company holds an investment in the capital stock of Jinhui Shipping and Transportation Limited (“Jinhui”) and Korea Line Corporation (“KLC”).  Jinhui is a drybulk shipping owner and operator focused on the Supramax segment of drybulk shipping.  KLC is a marine transportation service company which operates a fleet of carriers which includes carriers for iron ore, liquefied natural gas and tankers for oil and petroleum products.  These investments are designated as Available For Sale (“AFS”) and are reported at fair value, with unrealized gains and losses recorded in equity as a component of accumulated other comprehensive income (loss) (“AOCI”).  At June 30, 2014 and December 31, 2013, the Company held 16,335,100 shares of Jinhui capital stock which is recorded at its fair value of $49,540 and $77,488, respectively, based on the last closing price during each respective quarter on June 30, 2014 and December 30, 2013, respectively.  At June 30, 2014 and December 31, 2013, the Company held 3,355 shares of KLC stock which is recorded at its fair value of $78 and $82, respectively, based on the last closing price during each respective quarter on June 30, 2014 and December 30, 2013.

The Company reviews the investment in Jinhui and KLC for impairment on a quarterly basis.  There were no impairment charges recognized for the three and six months ended June 30, 2014 and 2013.

The unrealized gain (losses) on the Jinhui capital stock and KLC stock are a component of AOCI since these investments are designated as AFS securities.

Refer to Note 12 — Accumulated Other Comprehensive Income (Loss) for a breakdown of the components of AOCI.

7 — NET LOSS PER COMMON SHARE

The computation of basic net loss per share is based on the weighted-average number of common shares outstanding during the year. The computation of diluted net loss per share assumes the vesting of nonvested stock awards (refer to Note 22 — Nonvested Stock Awards), for which the assumed proceeds upon vesting are deemed to be the amount of compensation cost attributable to future services and are not yet recognized using the treasury stock method, to the extent dilutive.  Of the 880,465 nonvested shares outstanding at June 30, 2014 (refer to Note 22 — Nonvested Stock Awards), all are anti-dilutive.  The Company’s diluted net loss per share will also reflect the assumed conversion under the Company’s convertible debt if the impact is dilutive under the “if converted” method. The impact of the shares convertible under the Company’s convertible notes is excluded from the computation of diluted earnings per share when interest expense per common share obtainable upon conversion is greater than basic earnings per share.

The components of the denominator for the calculation of basic net loss per share and diluted net loss per share are as follows:

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	For the Three Months EndedJune 30,		For the Six Months EndedJune 30,
	2014	2013	2014	2013
Common shares outstanding, basic:
Weighted-average common shares outstanding, basic	43,568,942	43,196,895	43,568,942	43,179,300
Common shares outstanding, diluted:
Weighted-average common shares outstanding, basic	43,568,942	43,196,895	43,568,942	43,179,300
Dilutive effect of convertible notes	—	—	—	—
Dilutive effect of restricted stock awards	—	—	—	—
Weighted-average common shares outstanding, diluted	43,568,942	43,196,895	43,568,942	43,179,300

The following table sets forth a reconciliation of the net loss attributable to GS&T and the net loss attributable to GS&T for diluted net loss per share under the “if-converted” method:

	For the Three Months EndedJune 30,						For the Six Months EndedJune 30,
	2014			2013			2014			2013
Net loss attributable to GS&T	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)
Interest expense related to convertible notes, if dilutive	—			—			—			—
Net loss attributable to GS&T for the computation of diluted net loss per share	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)

8 - RELATED PARTY TRANSACTIONS

The following represent related party transactions reflected in these condensed consolidated financial statements:

The Company makes available employees performing internal audit services to General Maritime Corporation (“GMC”), where the Company’s Chairman, Peter C. Georgiopoulos, also serves as Chairman of the Board.  For the six months ended June 30, 2014 and 2013, the Company invoiced $72 and $75, respectively, to GMC, which includes time associated with such internal audit services and other expenditures.  Additionally, during the six months ended June 30, 2014 and 2013, the Company incurred travel and other office related expenditures totaling $49 and $54, respectively, reimbursable to GMC or its service provider.  At June 30, 2014, the amount due to the Company from GMC was $16.  At December 31, 2013, the amount due to GMC from the Company was $16.

During the six months ended June 30, 2014 and 2013, the Company incurred legal services (primarily in connection with vessel acquisitions) aggregating $3 and $7, respectively, from Constantine Georgiopoulos, the father of Peter C. Georgiopoulos, Chairman of the Board.  At June 30, 2014 and December 31, 2013, the amount due to Constantine Georgiopoulos was $0 and $25, respectively.

GS&T and Baltic Trading have entered into agreements with Aegean Marine Petroleum Network, Inc. (“Aegean”) to purchase lubricating oils for certain vessels in their fleets.  Peter C. Georgiopoulos, Chairman of the Board of the Company, is Chairman of the Board of Aegean.  During the six months ended June 30, 2014 and 2013, Aegean supplied lubricating oils to the Company’s vessels aggregating $1,087 and $746, respectively.  At June 30, 2014 and December 31, 2013, $237 and $263 remained outstanding, respectively.

During the six months ended June 30, 2014 and 2013, the Company invoiced MEP for technical services provided and expenses paid on MEP’s behalf aggregating $1,671 and $1,708, respectively.  Peter C. Georgiopoulos, Chairman of the Board, controls and has a minority interest in MEP.  At June 30, 2014 and December 31, 2013, $10 and $7, respectively, was due to the Company from MEP.  Total service revenue earned by the Company for technical service provided to MEP for the six months ended June 30, 2014 and 2013 was $1,629 and $1,629, respectively.

9 - DEBT

Long-term debt consists of the following:

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	June 30, 2014									December 31, 2013
	Balance prior to Financial Statement Classification			Amounts Classified as Subject to Compromise			Total Debt			Total Debt
2007 Credit Facility	$	1,055,912		$	(1,055,912	)	$	—		$	1,055,912
$100 Million Term Loan Facility	73,561			(73,561		)	—			75,484
$253 Million Term Loan Facility	175,718			(175,718		)	—			180,793
2010 Baltic Trading Credit Facility	102,250			—			102,250			102,250
Baltic Trading $22 Million Term Loan Facility	20,875			—			20,875			21,625
Baltic Trading $44 Million Term Loan Facility	42,625			—			42,625			44,000
Less: Current portion	(4,250		)	—			(4,250		)	(1,316,439		)
Long-term debt	$	1,466,691		$	(1,305,191	)	$	161,500		$	163,625

2007 Credit Facility

On July 20, 2007, the Company entered into the 2007 Credit Facility with DnB NOR Bank ASA. The maximum amount that may be borrowed under the 2007 Credit Facility at June 30, 2014 is $1,055,912.  As of June 30, 2014, the Company had utilized its maximum borrowing capacity under the 2007 Credit Facility.

In 2009, the Company obtained a waiver of the collateral maintenance covenant under this facility until the Company can represent that it is in compliance with all of its financial covenants and is otherwise able to pay a dividend and purchase or redeem shares of common stock under the terms of the facility in effect before the waiver.  The Company’s cash dividends and share repurchases were suspended until the collateral maintenance financial covenant could be satisfied.

The maximum leverage ratio covenant and minimum permitted consolidated interest ratio covenants were waived for the periods ending on and including December 31, 2013 pursuant to the August 1, 2012 agreements to amend or waive certain provisions of the agreements for the 2007 Credit Facility, $100 Million Term Loan Facility and the $253 Million Term Loan Facility (as defined below) (the “August 2012 Agreements”).

The gross interest-bearing debt to total capital covenant ended during the period ending on and including December 31, 2013 pursuant to the August 2012 Agreements.  This covenant limited the ratio of the Company’s interest-bearing indebtedness to the sum of its interest-bearing indebtedness and its consolidated net worth in accordance with U.S. GAAP to 62.5% on the last day of any fiscal quarter during the waiver period.

Additionally, pursuant to the August 2012 Agreements, the total applicable margin over LIBOR payable on the principal amount of debt outstanding increased from 2.0% to 3.0% per annum.  The minimum cash balance required was also increased from $500 to $750 per vessel mortgaged under this facility pursuant to the August 2012 Agreements.

Pursuant to the amendment to the 2007 Credit Facility which was entered into on December 21, 2011, the Company was subject to a facility fee of 2.0% per annum on the average daily outstanding principal amount of the loans outstanding, payable quarterly in arrears, which was subject to a reduction to 1.0% if the Company consummated an equity offering resulting in an aggregate amount of $50,000 of gross proceeds.  On February 28, 2012, the Company completed an equity offering of 7,500,000 shares which resulted in gross proceeds of $53,250.  As such, effective February 28, 2012, the facility fee was reduced to 1.0%.

As of June 30, 2014, the Company was not in compliance with certain of the financial covenants under its 2007 Credit Facility, as amended.  As a result of the commencement of the Chapter 11 Cases, the debt outstanding under this facility of $1,055,912 has been classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.

At June 30, 2014, there were no letters of credit issued under the 2007 Credit Facility.

To allow discussions with our creditors concerning our restructuring to continue into April 2014 without the need to file for immediate bankruptcy relief, on March 31, 2014, we entered into agreements with certain of the lenders under our 2007 Credit Facility, our $100 Million Term Loan Facility, and our $253 Million Term Loan Facility (our “Credit Facilities”) to obtain waivers or forbearances with respect to certain potential or actual events of default as of March 31, 2014 as follows (the “Relief Agreements”):

·not making the scheduled amortization payment on March 31, 2014 under our 2007 Credit Facility;

·not meeting the consolidated interest ratio covenant for the period ended March 31, 2014;

·not meeting the maximum leverage ratio covenant for the period ending March 31, 2014;

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·not meeting the collateral maintenance test under the 2007 Credit Facility;

·not meeting the minimum cash balance covenant under the 2007 Credit Facility;

·not furnishing audited financial statements to the lenders within 90 days after year end for the year ended December 31, 2013;

·a cross-default with respect to our outstanding interest rate swap with respect to the foregoing;

·cross-defaults among our credit facilities with respect to the foregoing; and

·any related defaults or events of default resulting from the failure to give notice with respect to any of the foregoing.

The Relief Agreement for our 2007 Credit Facility provided that the agent and consenting lenders would forbear to exercise their rights and remedies through 11:59 p.m. on April 1, 2014 with respect to the foregoing potential or actual events of default, subject to earlier termination if a subsequent event of default occurs under our credit agreements other than those described above or if we breach the terms of the Relief Agreement. The Relief Agreements for our other two Credit Facilities provided that the agent and lenders waived through 11:59 p.m. on April 1, 2014 the foregoing potential or actual events of default, subject to earlier termination if a subsequent event of default occurs under our credit agreements or if we breach the terms of the Relief Agreements. Notwithstanding such waivers and forbearances, the fact that we did not make the scheduled amortization payment on March 31, 2014 constituted an event of default under our currently outstanding interest rate swap. In addition, under the indenture and supplemental indenture (the “Indenture”) governing our 5.0% Convertible Senior Notes issued on July 27, 2010 (the “2010 Notes”), our failure to make such payment would constitute an event of default under the Indenture if we fail to cure such default within 30 days after notice from the trustee under the Indenture.

On April 1, 2014, we entered into new agreements with the other parties to the Relief Agreements that extended the expiration of the forbearances and waivers under the Relief Agreements from 11:59 p.m. on April 1, 2014 to 11:59 p.m. on April 21, 2014. Also, the forbearances and waivers would have terminated if a definitive agreement for our restructuring was not effective by 11:59 p.m. on April 4, 2014. We avoided this termination through our entry into the Support Agreement. Such new agreements are otherwise on substantially the same terms and conditions as the Relief Agreements.

As of July 9, 2014, the Effective Date, the 2007 Credit Facility was terminated and the liens and mortgages related thereto were released as part of the Plan.  Refer to the “Bankruptcy Filing” section of Note 1 — General Information for further information regarding the Chapter 11 Cases.

$100 Million Term Loan Facility

On August 12, 2010, the Company entered into the $100 Million Term Loan Facility. As of June 30, 2014, the Company had utilized its maximum borrowing capacity of $100,000. The Company has used the $100 Million Term Loan Facility to fund or refund the Company a portion of the purchase price of the acquisition of five vessels from companies within the Metrostar group of companies.  As of June 30, 2014, there was no availability under the $100 Million Term Loan Facility.

Pursuant to the amendments to the $100 Million Term Loan Facility that were entered into on December 21, 2011 and the August 2012 Agreements, the maximum leverage ratio covenant and the minimum permitted consolidated interest ratio covenant were waived for the periods ending on and including December 31, 2013.

As of June 30, 2014, the Company was not in compliance with certain of the financial covenants under the $100 Million Term Loan Facility, as amended.  As such, the debt outstanding under this facility of $73,561 has been classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.

See above in this note under the heading “2007 Credit Facilities” for a description of the agreement the Company entered into to obtain waivers with respect to certain events of default relating to the $100 Million Term Loan Facility. See the “Bankruptcy Filing” section under Note 1 — General Information for the Company’s restructuring plans, including the filing of its Chapter 11 Cases and the Company’s subsequent emergence from Chapter 11.

On the Effective Date, Genco entered into the Amended and Restated $100 Million Term Loan Facility and the Amended and Restated $253 Million Term Loan Facility.  The Amended and Restated Credit Facilities included, among other things:

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·A paydown as of the Effective Date with respect to payments which became due under the prepetition credit facilities between the Petition Date and the Effective Date and were not paid during the pendency of the Chapter 11 Cases ($1,923 for the $100 Million Term Loan Facility and $5,075 for the $253 Million Term Loan Facility).

·Extension of the maturity dates to August 31, 2019 from August 17, 2017 for the $100 Million Term Loan Facility and August 15, 2015 for the $253 Million Term Loan Facility.

·Relief from compliance with financial covenants governing the Company’s maximum leverage ratio, minimum consolidated interest coverage ratio and consolidated net worth through and including the quarter ending March 31, 2015 (with quarterly testing commencing June 30, 2015).

·A fleetwide minimum liquidity covenant requiring maintenance of cash of $750 per vessel for all vessels owned by Genco (excluding those owned by Baltic Trading).

·An increase in the interest rate to LIBOR plus 3.50% per year from 3.00% previously for the $100 Million Term Loan Facility and the $253 Million Term Loan Facility.

The obligations under the Amended and Restated $100 Million Term Loan Facility are secured by a first priority security interest in the vessels and other collateral securing the $100 Million Term Loan Facility.  The Amended and Restated $100 Million Term Loan Facility requires quarterly repayment installments in accordance with the original terms of the $100 Million Term Loan Facility.

$253 Million Term Loan Facility

On August 20, 2010, the Company entered into the $253 Million Term Loan Facility.  As of June 30, 2014, the Company had utilized its maximum borrowing capacity of $253,000 to fund or refund to the Company a portion of the purchase price of the 13 vessels purchased from Bourbon SA during the third quarter of 2010 and first quarter of 2011.  As of June 30, 2014, there was no availability under the $253 Million Term Loan Facility.

Pursuant to the amendment to the $253 Million Term Loan Facility that was entered into on December 21, 2011 and the August 2012 Agreements, the maximum leverage ratio covenant and the minimum permitted consolidated interest ratio covenant were waived for the periods ending on and including December 31, 2013.

As of June 30, 2014 and December 31, 2013, the Company has deposited $9,875 and $9,750, respectively, that has been reflected as restricted cash.  Restricted cash will be released only if the underlying collateral is sold or disposed of.

As of June 30, 2014, the Company was not in compliance with certain of the financial covenants under the $253 Million Term Loan Facility, as amended.  As a result of the commencement of the Chapter 11 Cases, the debt outstanding under this facility of $175,718 has been classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.

See above in this note under the heading “2007 Credit Facility” for a description of the agreement the Company entered into to obtain waivers with respect to certain events of default relating to the $253 Million Term Loan Facility.  See the “Bankruptcy Filing” section under Note 1 — General Information for the Company’s restructuring plans, including the filing of its Chapter 11 Cases and the Company’s subsequent emergence from Chapter 11.

Refer to the “$100 Million Term Loan Facility” section above for a description of the Amended and Restated $253 Million Term Loan Facility that was entered into by the Company on the Effective Date.  The obligations under the Amended and Restated $253 Million Term Loan Facility are secured by a first priority security interest in the vessels and other collateral securing the $253 Million Term Loan Facility.  The Amended and Restated $253 Million Term Loan Facility requires quarterly repayment installments in accordance with the original terms of the $253 Million Term Loan Facility.

2010 Baltic Trading Credit Facility

On April 16, 2010, Baltic Trading entered into a $100,000 senior secured revolving credit facility with Nordea Bank Finland plc, acting through its New York branch (as amended, the “2010 Baltic Trading Credit Facility”).  An amendment to the 2010 Baltic Trading Credit Facility was entered into by Baltic Trading effective November 30, 2010.  Among other things, this amendment increased the commitment amount of the 2010 Baltic Trading Credit Facility from $100,000 to $150,000.  An additional amendment to the 2010 Baltic Trading Credit Facility was entered into by Baltic Trading effective August 29, 2013 (the “August 2013 Amendment”).  Among other things, the August 2013 Amendment implements the following modifications to the 2010 Baltic Trading Credit Facility:

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·The requirement that certain additional vessels acquired by Baltic Trading be mortgaged as collateral under the 2010 Baltic Trading Credit Facility was eliminated.

·Restrictions on the incurrence of indebtedness by Baltic Trading and its subsidiaries were amended to apply only to those subsidiaries acting as guarantors under the 2010 Baltic Trading Credit Facility.

·The total commitment under this facility was reduced to $110,000 and will be further reduced in three consecutive semi-annual reductions of $5,000 commencing on May 30, 2015.

·Borrowings bear interest at an applicable margin over LIBOR of 3.00% per annum if the ratio of the maximum facility amount of the aggregate appraised value of vessels mortgaged under the facility is 55% or less, measured quarterly; otherwise, the applicable margin is 3.35% per annum.

·Financial covenants corresponding to the liquidity and leverage under the Baltic Trading $22 Million Term Loan Facility (as defined below) have been incorporated into the 2010 Baltic Trading Credit Facility.

As of June 30, 2014, $7,750 remained available under the 2010 Baltic Trading Credit Facility as the total commitment was reduced to $110,000 on August 29, 2013.  The total available working capital borrowings of $25,000 are subject to the total remaining availability under the 2010 Baltic Trading Credit Facility, therefore, only $7,750 is available for working capital purposes as of June 30, 2014.

As of June 30, 2014, the Company believes Baltic Trading is in compliance with all of the financial covenants under the 2010 Baltic Trading Credit Facility.

Baltic Trading $22 Million Term Loan Facility

On August 30, 2013, Baltic Hare Limited and Baltic Fox Limited, wholly-owned subsidiaries of Baltic Trading, entered into a secured loan agreement with DVB Bank SE for a term loan facility of up to $22,000 (the “Baltic Trading $22 Million Term Loan Facility”).  Amounts borrowed and repaid under the Baltic Trading $22 Million Term Loan Facility may not be reborrowed.  This facility has a maturity date of the sixth anniversary of the drawdown date for borrowings for the second vessel to be purchased, or September 4, 2019.  Borrowings under the Baltic Trading $22 Million Term Loan Facility bear interest at the three-month LIBOR rate plus an applicable margin of 3.35% per annum. A commitment fee of 1.00% per annum is payable on the unused daily portion of the credit facility, which began accruing on August 30, 2013 and ended on September 4, 2013, the date which the entire $22,000 was borrowed.  Borrowings are to be repaid in 23 quarterly installments of $375 each commencing three months after the last vessel delivery date, or December 4, 2013, and a final payment of $13,375 due on the maturity date.

Borrowings under the Baltic Trading $22 Million Term Loan Facility are secured by liens on Baltic Trading’s vessels purchased with borrowings under the facility, namely the Baltic Fox and the Baltic Hare, and other related assets.  Under a Guarantee and Indemnity entered into concurrently with the Baltic Trading $22 Million Term Loan Facility, Baltic Trading agreed to guarantee the obligations of its subsidiaries under the Baltic Trading $22 Million Term Loan Facility.

On September 4, 2013, Baltic Hare Limited and Baltic Fox Limited made drawdowns of $10,730 and $11,270 for the Baltic Hare and the Baltic Fox, respectively.  As of June 30, 2014, Baltic Trading has utilized its maximum borrowing capacity of $22,000 and there was no further availability.  At June 30, 2014 and December 31, 2013, the total outstanding debt balance was $20,875 and $21,625, respectively, as required repayments began on December 4, 2013.

As of June 30, 2014 the Company believes Baltic Trading is in compliance with all of the financial covenants under the Baltic Trading $22 Million Term Loan Facility.

Baltic Trading $44 Million Term Loan Facility

On December 3, 2013, Baltic Tiger Limited and Baltic Lion Limited, wholly-owned subsidiaries of Baltic Trading, entered into a secured loan agreement with DVB Bank SE for a term loan facility of up to $44,000 (the “Baltic Trading $44 Million Term Loan Facility”). Amounts borrowed and repaid under the Baltic Trading $44 Million Term Loan Facility may not be reborrowed.  The Baltic Trading $44 Million Term Loan Facility has a maturity date of the sixth anniversary of the drawdown date for borrowings for the second vessel to be purchased, or December 23, 2019.  Borrowings under the Baltic Trading $44 Million Term Loan Facility bear interest at the three-month LIBOR rate plus an applicable margin of 3.35% per annum. A commitment fee of 0.75% per annum is payable on the unused daily portion of the credit facility, which began accruing on December 3, 2013 and ended on December 23, 2013, the date which the entire $44,000 was borrowed.  Borrowings are to be repaid in 23 quarterly installments of $688 each commencing three months after the last drawdown date, or March 24, 2014, and a final payment of $28,188 due on the maturity date.

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Borrowings under the Baltic Trading $44 Million Term Loan Facility are to be secured by liens on Baltic Trading’s vessels to be financed or refinanced with borrowings under the facility, namely the Baltic Tiger and the Baltic Lion, and other related assets. Upon the prepayment of $18,000 plus any additional amounts necessary to maintain compliance with the collateral maintenance covenant, Baltic Trading may have the lien on the Baltic Tiger released. Under a Guarantee and Indemnity entered into concurrently with the Baltic Trading $44 Million Term Loan Facility, Baltic Trading agreed to guarantee the obligations of its subsidiaries under the Baltic Trading $44 Million Term Loan Facility.

On December 23, 2013, Baltic Tiger Limited and Baltic Lion Limited made drawdowns of $21,400 and $22,600 for the Baltic Tiger and Baltic Lion, respectively.  As of June 30, 2014, Baltic Trading has utilized its maximum borrowing capacity of $44,000 and there was no further availability.  At June 30, 2014 and December 31, 2013, the total outstanding debt balance was $42,625 and $44,000, respectively, as required repayments began on March 24, 2014.

As of June 30, 2014, the Company believes Baltic Trading is in compliance with all of the financial covenants under the Baltic Trading $44 Million Term Loan Facility.

Change of Control

If the Company’s ownership in Baltic Trading were to decrease to less than 10% of the aggregate number of shares of common stock and Class B Stock of Baltic Trading, the outstanding Baltic Trading Class B Stock held by the Company would automatically convert into common stock, and the voting power held by the Company in Baltic Trading would likewise decrease to less than 30%. This would result in a change of control as defined under the Baltic Trading 2010 Credit Facility, the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility, and would therefore constitute an event of default. Additionally, a change of control constituting an event of default under Baltic Trading’s credit facilities would also occur if any party other than the Company or certain other permitted holders beneficially owns more than 30% of the Company’s outstanding voting or economic equity interests, which may occur if a party were deemed to control Genco. Refer to Note 1 — General Information for discussion of the Company’s current economic status.

Interest payable

As required under the August 2012 Agreements, lenders under the 2007 Credit Facility will receive a fee equal to 1.25% of the principal amount outstanding following such prepayment, or $13,199, on the earlier date of the maturity date of this facility or the date on which all obligations under this facility have been paid in full.  The $13,199 has been recorded in the Condensed Consolidated Balance Sheets at June 30, 2014 as Liabilities subject to compromise, consistent with the classification of the principal amount of the 2007 Credit Facility.  Refer to Note 1 — General Information for further information regarding the Chapter 11 Cases.

Interest rates

The following tables sets forth the effective interest rate associated with the interest expense for the Company’s debt facilities noted above, including the rate differential between the pay fixed, receive variable rate on the interest rate swap agreements that were in effect (refer to Note 11 — Interest Rate Swap Agreements), combined, the cost associated with unused commitment fees as well as the 1.0% facility fee for the 2007 Credit Facility as noted above. Additionally, it includes the range of interest rates on the debt, excluding the impact of swaps and unused commitment fees:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
Effective Interest Rate	4.31	%	4.72	%	4.33	%	4.73	%
Range of Interest Rates (excluding impact of swaps and unused commitment fees)	3.15% to 5.15	%	3.19% to 4.31	%	3.15% to 5.15	%	3.19% to 4.38	%

10 — CONVERTIBLE SENIOR NOTES

The Company issued $125,000 of the 2010 Notes on July 27, 2010.  The Indenture for the 2010 Notes includes customary agreements and covenants by the Company, including with respect to events of default.  As noted in Note 1 — General Information, the filing of the Chapter 11 Cases by the Company on April 21, 2014 constituted an event of default with respect to the 2010 Notes.  On this date, the Company ceased recording interest expense related to the 2010 Notes.  During the three and six months ended June 30 2014, interest expense of $2,266, including the amortization of the discount of the liability component and the bond coupon interest expense, was not recorded which would have been incurred had the indebtedness not been reclassified as a Liability subject to compromise.  On the Effective Date, when the Company emerged from Chapter 11, the 2010 Notes and the Indenture were fully satisfied and discharged.

The following tables provide additional information about the Company’s 2010 Notes:

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	June 30, 2014		December 31, 2013
Carrying amount of the equity component (additional paid-in capital)	$	24,375	$	24,375
Principal amount of the 2010 Notes	125,000		125,000
Unamortized discount of the liability component	7,527		9,119
Net carrying amount of the liability component	117,473		115,881

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Effective interest rate on liability component	10.0		%	10.0		%	10.0		%	10.0		%
Cash interest expense recognized	$	345		$	1,571		$	1,886		$	3,112
Non-cash interest expense recognized	293			1,209			1,592			2,388
Non-cash deferred financing amortization costs included in interest expense	39			179			216			356

Refer to Note 1 — General Information for additional information regarding defaults relating to the 2010 Notes. In accordance with applicable accounting guidance, the liability related to the 2010 Notes was classified as Liabilities subject to compromise in the condensed Consolidated Balance Sheets as of June 30, 2014.

11 - INTEREST RATE SWAP AGREEMENTS

As of December 31, 2013, the Company had four interest swap agreements outstanding with DNB Bank ASA to manage interest costs and the risk associated with variable interest rates related to the Company’s 2007 Credit Facility.  The total notional principal amount of the swaps at December 31, 2013 was $306,233 and the swaps had specified rates and durations.   Three of the swaps that were outstanding at December 31, 2013 expired during the six months ended June 30, 2014, prior to the Petition Date.

As of March 31, 2014, the Company was in default under covenants of its 2007 Credit Facility due to the default on the scheduled debt amortization payment due on March 31, 2014. Refer to Note 1 — General Information for additional information regarding defaults relating to the swap.   The default under the 2007 Credit Facility requires the Company to elect interest periods of only one-month, therefore the Company no longer qualified for hedge accounting under the original designation and hedge accounting was terminated effective March 31, 2014.  Additionally, the filing of the Chapter 11 Cases by the Company on the Petition Date constituted an event of default with respect to the outstanding interest rate swap with DNB Bank ASA.  As a result, DNB Bank ASA terminated all transactions under the remaining swap agreement effective April 30, 2014 and filed a secured claim with the Bankruptcy Court of $5,622. As such, in accordance with applicable accounting guidance, the liability related to the interest rate swap outstanding as of June 30, 2014 was classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014 and is no longer considered a derivative.

The following table summarizes the interest rate swaps designated as cash flow hedges that were in place as of June 30, 2014 and December 31, 2013:

					June 30, 2014		December 31, 2013
Interest Rate Swap Detail					Notional		Notional
Trade	Fixed		Start Date	End date	Amount		Amount
Date	Rate		of Swap	of Swap	Outstanding		Outstanding
9/6/05	4.485	%	9/14/05	7/29/15	$	—	$	106,233
3/29/06	5.25	%	1/2/07	1/1/14	—		50,000
1/9/09	2.05	%	1/22/09	1/22/14	—		100,000
2/11/09	2.45	%	2/23/09	2/23/14	—		50,000
					$	—	$	306,233

The following table summarizes the derivative asset and liability balances at June 30, 2014 and December 31, 2013:

	Asset Derivatives					Liability Derivatives
	Balance	Fair Value				Balance	Fair Value
	Sheet Location	June 30, 2014		December 31, 2013		Sheet Location	June 30, 2014		December 31, 2013
Derivatives designated as hedging instruments
Interest rate contracts	Fair value of derivative instruments (Current Assets)	$	—	$	—	Fair value of derivative instruments (Current Liabilities)	$	—	$	6,975
Interest rate contracts	Fair value of derivative instruments (Noncurrent Assets)	—		—		Fair value of derivative instruments (Noncurrent Liabilities)	—		—
Total derivatives designated as hedging instruments		—		—			—		6,975
Total Derivatives		$	—	$	—		$	—	$	6,975

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The differentials to be paid or received for these swap agreements are recognized as an adjustment to interest expense as incurred.  The Company utilized cash flow hedge accounting for these swaps through March 31, 2014, whereby the effective portion of the change in the value of the swaps is reflected as a component of AOCI.  The ineffective portion is recognized as other expense, which is a component of other (expense) income.  On March 31, 2014, the cash flow hedge accounting on the remaining swap agreement was discontinued.  Once cash flow hedge accounting was discontinued, the changes in the fair value of the interest rate swaps are recorded in the Condensed Consolidated Statement of Operations in interest expense and the remaining amounts included in AOCI are amortized to interest expense over the original term of the hedging relationship.

The following tables present the impact of derivative instruments and their location within the Condensed Consolidated Statement of Operations:

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2014

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)		Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2014		Portion)	2014			Portion)	2014
Interest rate contracts	$	—	Interest Expense	$	(1,078	)	Other Income (Expense)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2013

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2013			Portion)	2013			Portion)	2013
Interest rate contracts	$	(91	)	Interest Expense	$	(2,477	)	Other Income (Expense)	$	(2	)

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2014 and 2013

Derivatives not designated as Hedging	Location of Gain (Loss) Recognized in Income	Amount of Gain (Loss) Recognized in Income on Derivative
Instruments	on Derivative	2014			2013
Interest rate contracts	Interest Expense	$	(225	)	$	—

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The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2014

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2014			Portion)	2014			Portion)	2014
Interest rate contracts	$	(179	)	Interest Expense	$	(2,485	)	Other Income (Expense)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2013

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2013			Portion)	2013			Portion)	2013
Interest rate contracts	$	(229	)	Interest Expense	$	(4,916	)	Other Income (Expense)	$	(5	)

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2014 and 2013

Derivatives not designated as Hedging	Location of Gain (Loss) Recognized in Income	Amount of Gain (Loss) Recognized in Income on Derivative
Instruments	on Derivative	2014			2013
Interest rate contracts	Interest Expense	$	(225	)	$	—

The Company is required to provide collateral in the form of vessel assets to support the interest rate swap agreements, excluding vessel assets of Baltic Trading.  At June 30, 2014, the Company’s 35 vessels mortgaged under the 2007 Credit Facility served as collateral in the aggregate amount of $100,000.

12 - ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The components of AOCI included in the accompanying condensed consolidated balance sheets consist of net unrealized gain (loss) on cash flow hedges and net unrealized gains (losses) from investments in Jinhui stock and KLC stock as of June 30, 2014 and December 31, 2013.

Changes in AOCI by Component

For the Three-Month Period Ended June 30, 2014

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — April 1, 2014	$	(5,748	)	$	46,483		$	40,735
OCI before reclassifications	—			(13,737		)	(13,737		)
Amounts reclassified from AOCI	1,078			—			1,078
Net current-period OCI	1,078			(13,737		)	(12,659		)
AOCI — June 30, 2014	$	(4,670	)	$	32,746		$	28,076

Changes in AOCI by Component

For the Three-Month Period Ended June 30, 2013

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — April 1, 2013	$	(13,756	)	$	13,819		$	63
OCI before reclassifications	4,863			(3,276		)	1,587
Amounts reclassified from AOCI	(2,477		)	—			(2,477		)
Net current-period OCI	2,386			(3,276		)	(890		)
AOCI — June 30, 2013	$	(11,370	)	$	10,543		$	(827	)

Changes in AOCI by Component

For the Six-Month Period Ended June 30, 2014

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — January 1, 2014	$	(6,976	)	$	60,698		$	53,722
OCI before reclassifications	(179		)	(27,952		)	(28,131		)
Amounts reclassified from AOCI	2,485			—			2,485
Net current-period OCI	2,306			(27,952		)	(25,646		)
AOCI — June 30, 2014	$	(4,670	)	$	32,746		$	28,076

Changes in AOCI by Component

For the Six-Month Period Ended June 30, 2013

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments		Total
AOCI — January 1, 2013	$	(16,057	)	$	4,216	$	(11,841	)
OCI before reclassifications	9,603			6,327		15,930
Amounts reclassified from AOCI	(4,916		)	—		(4,916		)
Net current-period OCI	4,687			6,327		11,014
AOCI — June 30, 2013	$	(11,370	)	$	10,543	$	(827	)

Reclassifications Out of AOCI

For the Three-Month Period Ended June 30, 2014 and 2013

	Amount Reclassified from AOCI
	Three Months Ended June 30,				Affected Line Item in the Statement Where
Details about AOCI Components	2014		2013		Net Loss is Presented
Gains and losses on cash flow hedges
Interest rate contracts	$	1,078	$	2,477	Interest expense
Total reclassifications for the period	$	1,078	$	2,477

Reclassifications Out of AOCI

For the Six-Month Period Ended June 30, 2014 and 2013

	Amount Reclassified from AOCI
	Six Months Ended June 30,				Affected Line Item in the Statement Where
Details about AOCI Components	2014		2013		Net Loss is Presented
Gains and losses on cash flow hedges
Interest rate contracts	$	2,485	$	4,916	Interest expense
Total reclassifications for the period	$	2,485	$	4,916

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13 - FAIR VALUE OF FINANCIAL INSTRUMENTS

The fair values and carrying values of the Company’s financial instruments at June 30, 2014 and December 31, 2013 which are required to be disclosed at fair value, but not recorded at fair value, are noted below.

	June 30, 2014				December 31, 2013
	Carrying Value		Fair Value		Carrying Value		Fair Value
Cash and cash equivalents	$	57,720	$	57,720	$	122,722	$	122,722
Restricted cash	10,275		10,275		10,150		10,150
Floating rate debt	1,470,941		See Below		1,480,064		See Below
2010 Notes	117,473		122,500		115,881		63,438

The fair value of the floating rate debt under the $100 Million Term Loan Facility and $253 Million Term Loan Facility are based on management’s estimate utilizing rates the Company believes it would be able to obtain for these credit facilities.  However, a portion of the floating rate debt of the 2007 Credit Facility was traded in a private transaction for an amount that is not determinable by the Company, which Management believes was lower than the debt’s current carrying value.  The fair value of the 2010 Baltic Trading Credit Facility is based on rates Baltic Trading has recently obtained pursuant to the amendment to the existing 2010 Baltic Trading Credit Facility on August 29, 2013.  The fair value of the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility is based on rates that Baltic Trading recently obtained upon the effective dates of these facilities on August 30, 2013 and December 3, 2013, respectively.  Additionally, the Company considers its creditworthiness in determining the fair value of floating rate debt under the credit facilities.  The carrying value approximates the fair market value for these floating rate loans, except for the 2007 Credit Facility.  The fair value of the convertible senior notes payable represents the market value based on recent transactions of the 2010 Notes at June 30, 2014 and December 31, 2013 without bifurcating the value of the conversion option.  The fair value of the interest rate swaps is the estimated amount the Company would receive to terminate the swap agreements at the reporting date, taking into account current interest rates and the creditworthiness of both the swap counterparty and the Company.  The carrying amounts of the Company’s other financial instruments at June 30, 2014 and December 31, 2013 (principally Due from charterers and Accounts payable and accrued expenses), approximate fair values because of the relatively short maturity of these instruments.

ASC Subtopic 820-10, “Fair Value Measurements & Disclosures” (“ASC 820-10”), applies to all assets and liabilities that are being measured and reported on a fair value basis.  This guidance enables the reader of the financial statements to assess the inputs used to develop those measurements by establishing a hierarchy for ranking the quality and reliability of the information used to determine fair values. The fair value framework requires the categorization of assets and liabilities into three levels based upon the assumption (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows:

·Level 1—Valuations based on quoted prices in active markets for identical instruments that the Company is able to access. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these instruments does not entail a significant degree of judgment.

·Level 2—Valuations based on quoted prices in active markets for instruments that are similar, or quoted prices in markets that are not active for identical or similar instruments, and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets.

·Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement.

As of June 30, 2014 and December 31, 2013, the fair values of the Company’s financial assets and liabilities are categorized as follows:

	June 30, 2014
	Total		Quoted Market Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)
Investments	$	49,618	$	49,618	$	—
Derivative instruments — liability position (Refer to Note 11)	5,622		—		5,622

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	December 31, 2013
	Total		Quoted Market Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)
Investments	$	77,570	$	77,570	$	—
Derivative instruments — liability position	6,975		—		6,975

The Company holds an investment in the capital stock of Jinhui, which is classified as a long-term investment.  The stock of Jinhui is publicly traded on the Oslo Stock Exchange and is considered a Level 1 item.  The Company also holds an investment in the stock of KLC, which is classified as a long-term investment.  The stock of KLC is publicly traded on the Korea Stock Exchange and is considered a Level 1 item.  The Company’s only interest rate derivative instrument is a pay-fixed, receive-variable interest rate swaps based on LIBOR.  The Company has elected to use the income approach to value this derivative, using observable Level 2 market inputs at measurement date and standard valuation techniques to convert future amounts to a single present amount assuming that participants are motivated, but not compelled to transact.  Level 2 inputs for the valuations are limited to quoted prices for similar assets or liabilities in active markets (specifically futures contracts on LIBOR for the first two years) and inputs other than quoted prices that are observable for the asset or liability (specifically LIBOR cash and swap rates and credit risk at commonly quoted intervals).  Mid-market pricing is used as a practical expedient for fair value measurements.  Refer to Note 11 — Interest Rate Swap Agreements for further information regarding the Company’s interest rate swap agreements.  ASC 820-10 states that the fair value measurement of an asset or liability must reflect the nonperformance risk of the entity and the counterparty. Therefore, the impact of the counterparty’s creditworthiness when in an asset position and the Company’s creditworthiness when in a liability position have also been factored into the fair value measurement of the derivative instruments.  This credit valuation adjustment did not have a material impact on the fair value measurement of the derivative instruments.   Refer to Note 1 — General Information for additional information regarding defaults relating to the swap.  Cash and cash equivalents and restricted cash are considered Level 1 items as they represent liquid assets with short-term maturities. Floating rate debt is considered to be a Level 2 item as the Company considers the estimate of rates it could obtain for similar debt or based upon transaction amongst third parties. The 2010 Notes were publicly traded in the over-the-counter market; however, they were not considered to be actively traded. As such, the 2010 Notes are considered to be a Level 2 item.  The Company did not have any Level 3 financial assets or liabilities during the six months ended June 30, 2014 and 2013.

14 - PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS

Prepaid expenses and other current assets consist of the following:

	June 30, 2014		December 31, 2013
Lubricant inventory, fuel oil and diesel oil inventory and other stores	$	12,635	$	11,342
Prepaid items	5,439		5,000
Insurance receivable	2,171		1,096
Other	3,067		1,627
Total prepaid expenses and other current assets	$	23,312	$	19,065

Other noncurrent assets in the amount of $514 at June 30, 2014 and December 31, 2013 represent the security deposit related to the operating lease entered into effective April 4, 2011. Refer to Note 21 — Commitments and Contingencies for further information related to the lease agreement.

15 — DEFERRED FINANCING COSTS

Deferred financing costs include fees, commissions and legal expenses associated with securing loan facilities and other debt offerings and amending existing loan facilities. Total net deferred financing costs consist of the following as of June 30, 2014 and December 31, 2013:

	June 30, 2014		December 31, 2013
2007 Credit Facility	$	29,568	$	29,568
$ 100 Million Term Loan Facility	1,857		1,783
$253 Million Term Loan Facility	4,884		4,708
2010 Notes	3,637		3,637
2010 Baltic Trading Credit Facility	3,339		3,339
Baltic Trading $22 Million Term Loan Facility	529		518
Baltic Trading $44 Million Term Loan Facility	758		737
Total deferred financing costs	44,572		44,290
Less: accumulated amortization	26,570		22,279
Total	$	18,002	$	22,011

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Amortization expense for deferred financing costs for the three months ended June 30, 2014 and 2013 was $2,071 and $1,856, respectively, and $4,291 and $3,691, respectively.  This amortization expense is recorded as a component of interest expense in the Condensed Consolidated Statements of Operations.

16 - FIXED ASSETS

Fixed assets consist of the following:

	June 30, 2014		December 31, 2013
Fixed assets, at cost:
Vessel equipment	$	3,666	$	4,323
Leasehold improvements	2,679		2,679
Furniture and fixtures	786		786
Computer equipment	794		754
Total costs	7,925		8,542
Less: accumulated depreciation and amortization	3,873		3,438
Total	$	4,052	$	5,104

Depreciation and amortization expense for fixed assets for the three months ended June 30, 2014 and 2013 was $220 and $226, respectively, and $439 and $454 for the six months ended June 30, 2014 and 2013, respectively.  Refer to Note 4 — Cash Flow Information for information regarding the reclassification from fixed assets to vessels assets during the six months ended June 30, 2014.

17 — ACCOUNTS PAYABLE AND ACCRUED EXPENSES

Accounts payable and accrued expenses consist of the following:

	June 30, 2014		December 31, 2013
Accounts payable	$	12,777	$	5,643
Accrued general and administrative expenses	14,122		8,960
Accrued vessel operating expenses	12,628		12,756
Total	$	39,527	$	27,359

18 — LIABILITIES SUBJECT TO COMPROMISE

As a result of the filing of the Chapter 11 Cases on April 21, 2014, the payment of pre-petition indebtedness is subject to compromise or other treatment under a plan of reorganization. Generally, actions to enforce or otherwise effect payment of pre-bankruptcy filing liabilities are stayed.  Although payment of pre-petition claims generally is not permitted, the Bankruptcy Court granted the Company authority to pay certain pre-petition claims in designated categories and subject to certain terms and conditions. This relief generally was designed to preserve the value of the Company’s businesses and assets.  Among other things, the Bankruptcy Court authorized the Company to pay certain pre-petition claims relating to employee wages and benefits, customers, vendors, and suppliers in the ordinary course of business.

The Company has been paying and intends to continue to pay undisputed post-petition claims in the ordinary course of business.  With respect to pre-petition claims, the Company has notified all known claimants of the deadline to file a proof of claim with the Bankruptcy Court. The Company’s Liabilities subject to compromise represent the Company’s current estimate of claims expected to be allowed by the Bankruptcy Court. As of June 30, 2014, the Company cannot reasonably estimate the value of the claims that will ultimately be allowed by the Bankruptcy Court since the Company’s evaluation, investigation and reconciliation of the filed claims has not been completed.

Pre-petition liabilities that are subject to compromise are required to be reported at the amounts expected to be allowed, even if they may be settled for lesser amounts.  The amounts currently classified as “Liabilities subject to compromise” may be subject to future adjustments depending on Bankruptcy Court actions, further developments with respect to disputed claims, determinations of

26

the secured status of certain claims, the values of any collateral securing such claims, or other events. Management expects that certain amounts currently classified as “Liabilities subject to compromise” may in fact be paid in the ordinary course as they come due. Any resulting changes in classification will be reflected in subsequent financial statements.

As of June 30, 2014, Liabilities subject to compromise consist of the following:

	June 30, 2014
2007 Credit Facility	$	1,055,912
$ 100 Million Term Loan Facility	73,561
$ 253 Million Term Loan Facility	175,718
Interest payable	13,199
Terminated interest rate swap liability	5,622
Convertible senior note payable	117,473
Bond coupon interest payable	1,105
Lease obligation for prior office space	828
Pre-petition accounts payable	157
Total	$	1,443,575

19 - REVENUE FROM TIME CHARTERS

Total voyage revenue earned on time charters, including revenue earned in vessel pools and spot market-related time charters, as well as the sale of bunkers consumed during short-term time charters, for the three months ended June 30, 2014 and 2013 was $51,545 and $44,941, respectively, and for the six months ended June 30, 2014 and 2013 was $114,725 and $84,617, respectively.  There was no profit sharing revenue earned during the three and six months ended June 30, 2014 and 2013.  Future minimum time charter revenue, based on vessels committed to noncancelable time charter contracts as of August 9, 2014, is expected to be $7,132 for the remainder of 2014, assuming off-hire due to any scheduled drydocking and that no additional off-hire time is incurred.  For drydockings, the Company assumes twenty days of offhire.  Future minimum revenue excludes revenue earned for the vessels currently in pool arrangements and vessels that are currently on or will be on spot market-related time charters, as spot rates cannot be estimated, as well as profit sharing revenue.

20 — REORGANIZATION ITEMS, NET

Reorganization items, net represent amounts incurred and recovered subsequent to the bankruptcy filing as a direct result

of the filing of the Chapter 11 Cases and are comprised of the following for the three and six months ended June 30, 2014:

	For the Three and Six Months Ended June 30, 2014
Professional fees incurred	$	19,855
Trustee fees incurred	251
Total	$	20,106

During the three and six months ended June 30, 2014, there were no items netted with the reorganization items.

21 - COMMITMENTS AND CONTINGENCIES

In September 2005, the Company entered into a 15-year lease for office space in New York, New York for which there was a free rental period from September 1, 2005 to July 31, 2006.  On January 6, 2012, the Company ceased the use of this space. The Debtors rejected this lease agreement During the three months ended June 30, 2014 and 2013, net rent expense of ($28) and $22, respectively, and ($28) and $131 during the six months ended June 30, 2014 and 2013, respectively, was recorded representing the adjustment of the present value of the Company’s estimating remaining rent expense for the duration of the lease after taking into account estimated future sublease income based on the sublease agreement entered into effective November 1, 2013. The current and long-term lease obligations related to this lease agreement as of December 31, 2013 of $176 and $744, respectively, are recorded in the condensed consolidated balance sheet in Current portion of lease obligations and Long-term lease obligation, respectively.  As a result of the Chapter 11 Cases, the current and long-term lease obligations as of June 30, 2014 related to this lease agreement in the amount of $162 and $666, respectively, have been recorded as Liabilities subject to compromise.  Pursuant to the Plan that was approved by the Bankruptcy Court, the Debtors rejected this lease agreement on the Effective Date.

Prior to the rejection of this lease agreement, future minimum rental payments on the above lease for the next five years and thereafter would be as follows: $259 for the remainder of 2014, $518 for 2015, $529 for 2016, $550 annually for 2017 and 2018 and a total of $1,421 for the remaining term of the lease.  The rental payments would be offset by the contract sublease income, as follows:

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$170 for 2014; $340 annually for 2015 through 2016, $347 for 2017, $380 for 2018 and a total of $983 for the remaining term of the sublease.

Effective April 4, 2011, the Company entered into a seven-year sub-sublease agreement for additional office space in New York, New York.  The term of the sub-sublease commenced June 1, 2011, with a free base rental period until October 31, 2011. Following the expiration of the free base rental period, the monthly base rental payments are $82 per month until May 31, 2015 and thereafter will be $90 per month until the end of the seven-year term.  Pursuant to the sub-sublease agreement, the sublessor was obligated to contribute $472 toward the cost of the Company’s alterations to the sub-subleased office space.  The Company has also entered into a direct lease with the over-landlord of such office space that will commence immediately upon the expiration of such sub-sublease agreement, for a term covering the period from May 1, 2018 to September 30, 2025; the direct lease provides for a free base rental period from May 1, 2018 to September 30, 2018.  Following the expiration of the free base rental period, the monthly base rental payments will be $186 per month from October 1, 2018 to April 30, 2023 and $204 per month from May 1, 2023 to September 30, 2025.  For accounting purposes, the sub-sublease agreement and direct lease agreement with the landlord constitutes one lease agreement.  As a result of the straight-line rent calculation generated by the free rent period and the tenant work credit, the monthly straight-line rental expense for the term of the entire lease from June 1, 2011 to September 30, 2025 will be $130.  The Company had a long-term lease obligation at June 30, 2014 and December 31, 2013 of $2,658 and $2,370, respectively.  Rent expense pertaining to this lease for the three months ended June 30, 2014 and 2013 was $390 during both periods.  Rent expense pertaining to this lease for the six months ended June 30, 2014 and 2013 was $779 during both periods.

Future minimum rental payments on the above lease for the next five years and thereafter are as follows: $491 for the remainder of 2014, $1,037 for 2015, $1,076 annually for 2016 and 2017, $916 for 2018 and a total of $15,590 for the remaining term of the lease.

22 - NONVESTED STOCK AWARDS

The table below summarizes the Company’s nonvested stock awards for the six months ended June 30, 2014 under the Genco Shipping & Trading Limited 2005 and 2012 Equity Incentive Plans (the “GS&T Plans”):

	Number of Shares	Weighted Average Grant Date Price
Outstanding at January 1, 2014	880,465	$	7.77
Granted	—	—
Vested	—	—
Forfeited	—	—
Outstanding at June 30, 2014	880,465	$	7.77

The total fair value of shares that vested under the GS&T Plans during the six months ended June 30, 2014 and 2013 was $0 and $110, respectively.  The total fair value is calculated as the number of shares vested during the period multiplied by the fair value on the vesting date.

For the three and six months ended June 30, 2014 and 2013, the Company recognized nonvested stock amortization expense for the GS&T Plans, which is included in general, administrative and management fees, as follows:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
General, administrative, and management fees	$	393	$	796	$	820	$	1,565

The fair value of nonvested stock at the grant date is equal to the closing stock price on that date.  The Company is amortizing these grants over the applicable vesting periods, net of anticipated forfeitures.  As of June 30, 2014, unrecognized compensation cost of $1,583 related to nonvested stock will be recognized over a weighted-average period of 1.69 years.

On March 13, 2014, Baltic Trading’s Board of Directors approved an amendment to the Baltic Trading Limited 2010 Equity Incentive Plan (the “Baltic Trading Plan”) that increased the aggregate number of shares of common stock available for awards from 2,000,000 to 6,000,000 shares.  Additionally, on April 9, 2014, at Baltic Trading’s 2014 Annual Meeting of Shareholders, Baltic Trading’s shareholders approved the amendment to the Baltic Trading Plan.

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The following table presents a summary of Baltic Trading’s nonvested stock awards for the six months ended June 30, 2014 under the Baltic Trading Plan:

	Number of Baltic Trading Common Shares		Weighted Average Grant Date Price
Outstanding at January 1, 2014	1,381,429		$	6.03
Granted	36,345		6.19
Vested	(176,180	)	10.53
Forfeited	—		—
Outstanding at June 30, 2014	1,241,594		$	5.39

The total fair value of shares that vested under the Baltic Trading Plan during the six months ended June 30, 2014 and 2013 was $1,143 and $643, respectively.  The total fair value is calculated as the number of shares vested during the period multiplied by the fair value on the vesting date.

For the three and six months ended June 30, 2014 and 2013, the Company recognized nonvested stock amortization expense for the Baltic Trading Plan, which is included in general, administrative and management fees, as follows:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
General, administrative, and management fees	$	908	$	351	$	1,871	$	815

The Company is amortizing Baltic Trading’s grants over the applicable vesting periods, net of anticipated forfeitures.  As of June 30, 2014, unrecognized compensation cost of $4,288 related to nonvested stock will be recognized over a weighted-average period of 3.01 years.

23 - SHARE REPURCHASE PROGRAM

Since the inception of its share repurchase program through June 30, 2014, the Company has repurchased and retired 278,300 shares of its common stock for $11,500.  Currently, the terms of the 2007 Credit Facility require the Company to suspend all share repurchases until the Company can represent that it is in a position to again satisfy the collateral maintenance covenant.  No share repurchases were made during the three and six months ended June 30, 2014 and 2013.

24 - LEGAL PROCEEDINGS

Refer to Note 1 — General Information for information concerning the Chapter 11 Cases.

On March 28, 2014, the Genco Auvergne was arrested due to a disputed claim with the charterer of one of the Company’s other vessels, namely the Genco Ardennes. In order for the Company to release the Genco Auvergne from its arrest, the Company entered into a cash collateralized $900 bank guarantee with Skandinaviska Enskilda Banken AB (the “SEB Bank Guarantee”) on April 3, 2014. The vessel has since been released from its arrest and the bank guarantee will remain in an escrow account until the arbitration related to this case is completed. The SEB Bank Guarantee resulted in additional indebtedness by the Company. As the Company is currently in default under the covenants of its 2007 Credit Facility due to the default on a scheduled debt amortization payment due on March 31, 2014, on April 3, 2014 the Company received a consent from the lenders under the 2007 Credit Facility to incur this additional indebtedness. Also, under the $253 Million Term Loan Facility for which the Genco Auvergne is collateralized, the Company may not incur additional indebtedness related to its collateralized vessels under this facility. The Company also received a consent from the lenders under the $253 Million Term Loan Facility on April 3, 2014 in order to enter the SEB Bank Guarantee.  The $900 to collateralize the bank guarantee has been recorded as Prepaid expenses and other current assets in the Condensed Consolidated Balance Sheets as of June 30, 2014.

From time to time, the Company may be subject to legal proceedings and claims in the ordinary course of its business, principally personal injury and property casualty claims. Such claims, even if lacking merit, could result in the expenditure of significant financial and managerial resources.  The Company is not aware of any legal proceedings or claims that it believes will have, individually or in the aggregate, a material effect on the Company, its financial condition, results of operations or cash flows besides those noted above.

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25 - SUBSEQUENT EVENTS

Under ASC 852, Reorganizations, fresh-start accounting is required upon emergence from Chapter 11 if (i) the value of the assets of the emerging entity immediately before the date of confirmation is less than the total of all post-petition liabilities and allowed claims; and (ii) holders of existing voting shares immediately before confirmation receive less than 50% of the voting shares of the emerging entity.

The value of the assets of the Company immediately before the date of confirmation were approximately $1,390, which is expected to be less than the total of all post-petition liabilities and allowed claims.  For purposes of this determination, the Company utilized the estimated total of all post-petition liabilities and allowed claims at June 30, 2014 of $1,538.  Although there may be a substantial increase in allowed claims by the Effective Date, it is not expected that any such increase would result in a different determination.  Additionally, the holders of the existing voting shares immediately before the Effective Date held less than 50% of the voting shares of the emerging entity.

Accordingly, the Company will adopt fresh-start accounting as of the Effective Date. Adopting fresh-start accounting results in a new reporting entity with no beginning retained earnings or deficit. The cancellation of all existing shares outstanding on the Effective Date and issuance of new shares of the reorganized entity caused a related change of control of the Company under ASC 852.  Fresh-start accounting also requires that the reporting entity allocate the reorganization value to its assets and liabilities in relation to their fair values upon emergence from Chapter 11.

On July 29, 2014, Baltic Trading declared a dividend of $0.01 per share to be paid on or about August 21, 2014 to shareholders of record as of August 14, 2014.  The aggregate amount of the dividend is expected to be approximately $576, of which approximately $512 will be paid to minority shareholders, which Baltic Trading anticipates will be funded from cash on hand at the time payment is to be made.

ITEM 2.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

This report contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements use words such as “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” and other words and terms of similar meaning in connection with a discussion of potential future events, circumstances or future operating or financial performance.  These forward-looking statements are based on management’s current expectations and observations. Included among the factors that, in our view, could cause actual results to differ materially from the forward looking statements contained in this report are the following: (i) declines in demand or rates in the drybulk shipping industry; (ii) prolonged weakness in drybulk shipping rates; (iii) changes in the supply of or demand for drybulk products, generally or in particular regions; (iv) changes in the supply of drybulk carriers including newbuilding of vessels or lower than anticipated scrapping of older vessels; (v) changes in rules and regulations applicable to the cargo industry, including, without limitation, legislation adopted by international organizations or by individual countries and actions taken by regulatory authorities; (vi) increases in costs and expenses including but not limited to: crew wages, insurance, provisions, repairs, maintenance and general, administrative and management fee expenses; (vii) whether our insurance arrangements are adequate; (viii) changes in general domestic and international political conditions; (ix) acts of war, terrorism, or piracy; (x) changes in the condition of the our vessels or applicable maintenance or regulatory standards (which may affect, among other things, our anticipated drydocking or maintenance and repair costs) and unanticipated drydock expenditures; (xi) our acquisition or disposition of vessels; (xii) the amount of offhire time needed to complete repairs on vessels and the timing and amount of any reimbursement by our insurance carriers for insurance claims, including offhire days; (xiii) the completion of definitive documentation with respect to time charters; (xiv) charterers’ compliance with the terms of their charters in the current market environment; (xv) the Company’s ability to obtain modifications or alternatives to its financing arrangements on acceptable terms; (xvi) the fulfillment of the closing conditions under, or the execution of additional documentation for, Baltic Trading’s agreements to acquire vessels; (xvii) obtaining, completion of definitive documentation for, and funding of financing for the vessel acquisitions on acceptable terms;(xviii) the extent to which our operating results continue to be affected by weakness in market conditions and charter rates;  (xix) our ability to maintain contracts that are critical to our operation, to obtain and maintain acceptable terms with our vendors, customers and service providers and to retain key executives, managers and employees; (xx) the timing and realization of the recoveries of assets and the payments of claims and the amount of expenses required to recognize such recoveries and reconcile such claims; (xxi) our ability to obtain sufficient and acceptable post-restructuring financing; and other factors listed from time to time in our filings with the Securities and Exchange Commission, including, without limitation, our Annual Report on Form 10-K for the year ended December 31, 2013 and subsequent reports on Form 8-K and Form 10-Q.

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The following management’s discussion and analysis should be read in conjunction with our historical consolidated financial statements and the related notes included in this Form 10-Q.

General

We are a Marshall Islands company that transports iron ore, coal, grain, steel products and other drybulk cargoes along worldwide shipping routes through the ownership and operation of drybulk carrier vessels.  Excluding vessels of Baltic Trading Limited (“Baltic Trading”), our fleet currently consists of nine Capesize, eight Panamax, 17 Supramax, six Handymax and 13 Handysize drybulk carriers, with an aggregate carrying capacity of approximately 3,810,000 dwt, and the average age of our fleet is currently approximately 9.3 years, as compared to the average age for the world fleet of approximately 9 years for the drybulk shipping segments in which we compete.  We seek to deploy our vessels on time charters, spot market-related time charters or in vessel pools trading in the spot market, to reputable charterers, including Cargill International S.A., Pacific Basin Chartering Ltd., Swissmarine Services S.A. and Clipper Logger Pool, in which Clipper Group acts as the pool manager.  The majority of the vessels in our current fleet are presently engaged under time charter and spot market-related time charter contracts that expire (assuming the option periods in the time charters are not exercised) between August 2014 and November 2015.

In addition, Baltic Trading’s fleet currently consists of four Capesize, four Supramax and five Handysize drybulk carriers with an aggregate carrying capacity of approximately 1,095,000 dwt.  After the expected delivery of four Ultramax newbuilding vessels that Baltic Trading has agreed to acquire, Baltic Trading will own a fleet of 17 drybulk vessels, consisting of four Capesize, four Ultramax, four Supramax and five Handysize drybulk carriers with a total carrying capacity of approximately 1,350,000 dwt.

See pages 37-41 for a table of all vessels that have been or are expected to be delivered to us, including Baltic Trading’s vessels.

Baltic Trading, formerly our wholly-owned subsidiary, completed its initial public offering, or IPO, on March 15, 2010. On May 28, 2013, Baltic Trading closed an equity offering of 6,419,217 shares of common stock at an offering price of $3.60 per share. Baltic Trading received net proceeds of approximately $21.6 million after deducting underwriters’ fees and expenses. Additionally, on September 25, 2013, Baltic Trading closed an equity offering of 13,800,000 shares of common stock at an offering price of $4.60 per share. Baltic Trading received net proceeds of approximately $59.5 million after deducting underwriters’ fees and expenses. Lastly, on November 18, 2013, Baltic Trading closed an equity offering of 12,650,000 shares of common stock at an offering price of $4.60 per share. Baltic Trading received net proceeds of approximately $55.1 million after deducting underwriters’ fees and expenses. As a result of Baltic Trading’s equity offerings completed on May 28, 2013, September 25, 2013 and November 18, 2013, we were issued 128,383, 276,000 and 253,000 shares, respectively, of Class B stock, which represents 2% of the number of common shares issued. As of June 30, 2014, our wholly-owned subsidiary Genco Investments LLC owned 6,356,471 shares of Baltic Trading’s Class B Stock, which represents an 11.04% ownership interest in Baltic Trading at June 30, 2014 and 65.06% of the aggregate voting power of Baltic Trading’s outstanding shares of voting stock. Baltic Trading is consolidated as we control a majority of the voting interest in Baltic Trading. Management’s discussion and analysis of our results of operations and financial condition includes the results of Baltic Trading.

We entered into a long-term management agreement (the “Management Agreement”) with Baltic Trading pursuant to which we apply our expertise and experience in the drybulk industry to provide Baltic Trading with commercial, technical, administrative and strategic services.  The Management Agreement is for an initial term of approximately 15 years and will automatically renew for additional five-year periods unless terminated in accordance with its terms.  Baltic Trading will pay us for the services we provide it as well as reimburse us for our costs and expenses incurred in providing certain of these services.  Management fee income we earn from the Management Agreement net of any allocated shared expenses, such as salary, office expenses and other general and administrative fees, will be taxable to us.  Upon consolidation with Baltic Trading, any management fee income earned is eliminated for financial reporting purposes.  Baltic Trading has the right to terminate the Management Agreement upon the occurrence of certain events, including a Manager Change of Control (as defined in the Management Agreement), without making a termination payment. Some of these have occurred as a result of the transactions contemplated by the Plan, including the consummation of any transaction that results in (i) any “person” (as such term is used in Section 13(d)(3) of the Securities Exchange Act of 1934), other than Peter Georgiopoulos or any of his affiliates, becoming the beneficial owner of 25% of the Company’s voting securities or (ii) the Company’s stock ceasing to be traded on the New York Stock Exchange or any other internationally recognized stock exchange. Therefore, Baltic Trading may have the right to terminate the Management Agreement, although Baltic Trading may be prevented or delayed from doing so because of the effect of applicable bankruptcy law, including the automatic stay provisions of the United States Bankruptcy Code and the provisions of the Prepack Plan and the Confirmation Order.

On July 2, 2013, Baltic Trading entered into agreements to purchase two Handysize drybulk vessels from subsidiaries of Clipper Group for an aggregate purchase price of $41.0 million. The Baltic Hare, a 2009-built handysize vessel, was delivered on September 5, 2013 and the Baltic Fox, a 2010-built Handysize vessel, was delivered on September 6, 2013. Baltic Trading funded a portion of the purchase price of the vessels using proceeds from its registered follow-on common stock offering completed on May 28, 2013. For the remainder of the purchase price, Baltic Trading drew down $22.0 million under its secured loan agreement with DVB

31

Bank SE (the “Baltic Trading $22 Million Term Loan Facility”). Refer to Note 9 — Debt in our condensed consolidated financial statements for further information regarding this credit facility.

On October 31, 2013, Baltic Trading entered into agreements to purchase two Capesize drybulk vessels from affiliates of SK Shipping Co. Ltd. for an aggregate purchase price of $103.0 million. The Baltic Lion, a 2012-built Capesize drybulk vessel, was delivered on December 27, 2013, and the Baltic Tiger, a 2011-built Capesize vessel, was delivered on November 26, 2013. Baltic Trading funded a portion of the purchase price of the vessels using proceeds from its common stock offering completed on September 25, 2013. For the remainder of the purchase price, Baltic Trading drew down $44.0 million under its secured loan agreement with DVB Bank SE (the “Baltic Trading $44 Million Term Loan Facility”). Refer to Note 9 — Debt in our condensed consolidated financial statements for further information regarding this credit facility.

On November 13, 2013, Baltic Trading entered into agreements to purchase up to four 64,000 dwt Ultramax newbuilding drybulk carriers from Yangfan Group Co., Ltd. for a purchase of $28.0 million per vessel, or up to $112.0 million in the aggregate. Baltic Trading has agreed to purchase two such vessels, to be renamed the Baltic Hornet and Baltic Wasp, and obtained an option to purchase up to two additional such vessels for the same purchase price, which Baltic Trading exercised on January 8, 2014. These vessels are to be renamed the Baltic Mantis and the Baltic Scorpion. The purchases are subject to completion of customary additional documentation and closing conditions. The Baltic Hornet and Baltic Wasp are expected to be delivered to Baltic Trading during the third and fourth quarters of 2014, respectively. The Baltic Scorpion and the Baltic Mantis are expected to be delivered to us during the second and third quarters of 2015, respectively. Baltic Trading intends to use a combination of cash on hand and future cash flow from operations as well as debt or equity financing to fully finance the acquisition of these four Ultramax newbuilding drybulk vessels.

Our management team and our other employees are responsible for the commercial and strategic management of our fleet. Commercial management includes the negotiation of charters for vessels, managing the mix of various types of charters, such as time charters, voyage charters and spot market-related time charters, and monitoring the performance of our vessels under their charters. Strategic management includes locating, purchasing, financing and selling vessels. We currently contract with three independent technical managers to provide technical management of our fleet at a lower cost than we believe would be possible in-house. Technical management involves the day-to-day management of vessels, including performing routine maintenance, attending to vessel operations and arranging for crews and supplies. Members of our New York City-based management team oversee the activities of our independent technical managers.

We hold an investment in the capital stock of Jinhui Shipping and Transportation Limited (“Jinhui”) and Korea Line Corporation (“KLC”). Jinhui is a drybulk shipping owner and operator focused on the Supramax segment of drybulk shipping. KLC is a marine transportation service company which operates a fleet of carriers which includes carriers for iron ore, liquefied natural gas and tankers for oil and petroleum products.

We provide technical services for drybulk vessels purchased by Maritime Equity Partners LLC (“MEP”) under an agency agreement between us and MEP.  These services include oversight of crew management, insurance, drydocking, ship operations and financial statement preparation, but do not include chartering services.  The services are provided for a fee of $750 per ship per day plus reimbursement of out-of-pocket costs and will be provided for an initial term of one year.  MEP has the right to cancel provision of services on 60 days’ notice with payment of a one-year termination fee upon a change of our control.  We may terminate provision of the services at any time on 60 days’ notice.  Peter C. Georgiopoulos, our Chairman of the Board of Directors, controls and has a minority interest in MEP.  This arrangement was approved by an independent committee of our Board of Directors.

Factors Affecting Our Results of Operations

We believe that the following table reflects important measures for analyzing trends in our results of operations.  The table reflects our ownership days, available days, operating days, fleet utilization, TCE rates and daily vessel operating expenses for the three and six months ended June 30, 2014 and 2013 on a consolidated basis, which includes the operations of Baltic Trading.

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	For the Three Months Ended  June 30,				Increase
	2014		2013		(Decrease)		% Change
Fleet Data:
Ownership days (1)
Capesize	1,183.0		1,001.0		182.0		18.2	%
Panamax	728.0		728.0		—		—
Supramax	1,911.0		1,911.0		—		—
Handymax	546.0		546.0		—		—
Handysize	1,638.0		1,456.0		182.0		12.5	%
Total	6,006.0		5,642.0		364.0		6.5	%
Available days (2)
Capesize	1,183.0		1,001.0		182.0		18.2	%
Panamax	699.0		728.0		(29.0	)	(4.0	)%
Supramax	1,816.1		1,884.5		(68.4	)	(3.6	)%
Handymax	539.9		531.5		8.4		1.6	%
Handysize	1,625.7		1,445.4		180.3		12.5	%
Total	5,863.7		5,590.4		273.3		4.9	%
Operating days (3)
Capesize	1,182.0		1,001.0		181.0		18.1	%
Panamax	697.1		724.0		(26.9	)	(3.7	)%
Supramax	1,776.7		1,873.3		(96.6	)	(5.2	)%
Handymax	523.2		525.0		(1.8	)	(0.3	)%
Handysize	1,534.1		1,440.9		93.2		6.5	%
Total	5,713.1		5,564.2		148.9		2.7	%
Fleet utilization (4)
Capesize	99.9	%	100.0	%	(0.1	)%	(0.1	)%
Panamax	99.7	%	99.4	%	0.3	%	0.3	%
Supramax	97.8	%	99.4	%	(1.6	)%	(1.6	)%
Handymax	96.9	%	98.8	%	(1.9	)%	(1.9	)%
Handysize	94.4	%	99.7	%	(5.3	)%	(5.3	)%
Fleet average	97.4	%	99.5	%	(2.1	)%	(2.1	)%

	For the Three Months Ended June 30,				Increase
	2014		2013		(Decrease)			% Change
	(U.S. dollars)
Average Daily Results:
Time Charter Equivalent (5)
Capesize	$	11,414	$	6,064	$	5,350		88.2	%
Panamax	5,977		7,017		(1,040		)	(14.8	)%
Supramax	8,244		8,452		(208		)	(2.5	)%
Handymax	8,629		6,677		1,952			29.2	%
Handysize	7,535		7,900		(365		)	(4.6	)%
Fleet average	8,452		7,526		926			12.3	%
Daily vessel operating expenses (6)
Capesize	$	5,301	$	5,200	$	101		1.9	%
Panamax	5,528		4,735		793			16.7	%
Supramax	5,208		4,684		524			11.2	%
Handymax	5,161		4,729		432			9.1	%
Handysize	4,567		4,520		47			1.0	%
Fleet average	5,086		4,744		342			7.2	%

33

	For the Six Months Ended June 30,				Increase
	2014		2013		(Decrease)		% Change
Fleet Data:
Ownership days (1)
Capesize	2,353.0		1,991.0		362.0		18.2	%
Panamax	1,448.0		1,448.0		—		—
Supramax	3,801.0		3,801.0		—		—
Handymax	1,086.0		1,086.0		—		—
Handysize	3,258.0		2,896.0		362.0		12.5	%
Total	11,946.0		11,222.0		724.0		6.5	%
Available days (2)
Capesize	2,353.0		1,974.6		378.4		19.2	%
Panamax	1,378.4		1,448.0		(69.6	)	(4.8	)%
Supramax	3,612.4		3,746.9		(134.5	)	(3.6	)%
Handymax	1,039.2		1,066.2		(27.0	)	(2.5	)%
Handysize	3,173.9		2,869.9		304.0		10.6	%
Total	11,556.9		11,105.6		451.3		4.1	%
Operating days (3)
Capesize	2,351.4		1,973.1		378.3		19.2	%
Panamax	1,375.5		1,429.5		(54.0	)	(3.8	)%
Supramax	3,560.5		3,729.7		(169.2	)	(4.5	)%
Handymax	1,015.8		1,053.9		(38.1	)	(3.6	)%
Handysize	3,066.8		2,854.4		212.4		7.4	%
Total	11,370.0		11,040.6		329.4		3.0	%
Fleet utilization (4)
Capesize	99.9	%	99.9	%	—		—
Panamax	99.8	%	98.7	%	1.1	%	1.1	%
Supramax	98.6	%	99.5	%	(0.9	)%	(0.9	)%
Handymax	97.8	%	98.8	%	(1.0	)%	(1.0	)%
Handysize	96.6	%	99.5	%	(2.9	)%	(2.9	)%
Fleet average	98.4	%	99.4	%	(1.0	)%	(1.0	)%

	For the Six Months Ended June 30,				Increase
	2014		2013		(Decrease)			% Change
	(U.S. dollars)
Average Daily Results:
Time Charter Equivalent (5)
Capesize	$	13,578	$	5,932	$	7,646		128.9	%
Panamax	7,822		6,821		1,001			14.7	%
Supramax	8,891		8,080		811			10.0	%
Handymax	8,714		6,790		1,924			28.3	%
Handysize	8,470		7,448		1,022			13.7	%
Fleet average	9,586		7,247		2,339			32.3	%
Daily vessel operating expenses (6)
Capesize	$	5,378	$	5,436	$	(58	)	(1.1	)%
Panamax	5,469		4,976		493			9.9	%
Supramax	5,286		4,704		582			12.4	%
Handymax	5,025		4,637		388			8.4	%
Handysize	4,803		4,469		334			7.5	%
Fleet average	5,171		4,802		369			7.7	%

Definitions

In order to understand our discussion of our results of operations, it is important to understand the meaning of the following terms used in our analysis and the factors that influence our results of operations.

(1) Ownership days.  We define ownership days as the aggregate number of days in a period during which each vessel in our fleet has been owned by us. Ownership days are an indicator of the size of our fleet over a period and affect both the amount of revenues and the amount of expenses that we record during a period.

(2) Available days.  We define available days as the number of our ownership days in a period less the aggregate number of days that our vessels are off-hire due to scheduled repairs or repairs under guarantee, vessel upgrades or special surveys and the aggregate amount of time that we spend positioning our vessels between time charters. Companies in the shipping industry generally use available days to measure the number of days in a period during which vessels should be capable of generating revenues.

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(3) Operating days.  We define operating days as the number of our available days in a period less the aggregate number of days that our vessels are off-hire due to unforeseen circumstances. The shipping industry uses operating days to measure the aggregate number of days in a period during which vessels actually generate revenues.

(4) Fleet utilization.  We calculate fleet utilization by dividing the number of our operating days during a period by the number of our available days during the period. The shipping industry uses fleet utilization to measure a company’s efficiency in finding suitable employment for its vessels and minimizing the number of days that its vessels are off-hire for reasons other than scheduled repairs or repairs under guarantee, vessel upgrades, special surveys or vessel positioning.

(5) TCE rates.  We define TCE rates as net voyage revenue (voyage revenues less voyage expenses) divided by the number of our available days during the period, which is consistent with industry standards. TCE rate is a common shipping industry performance measure used primarily to compare daily earnings generated by vessels on time charters with daily earnings generated by vessels on voyage charters, because charterhire rates for vessels on voyage charters are generally not expressed in per-day amounts while charterhire rates for vessels on time charters generally are expressed in such amounts.

	For the Three Months EndedJune 30,				For the Six Months EndedJune 30,
	2014		2013		2014		2013
Voyage revenues (in thousands)	$	51,545	$	44,941	$	114,725	$	84,617
Voyage expenses (in thousands)	1,983		2,867		3,940		4,139
	$	49,562	$	42,074	$	110,785	$	80,478
Total available days	5,863.7		5,590.4		11,556.9		11,105.6
Total TCE rate	$	8,452	$	7,526	$	9,586	$	7,247

(6) Daily vessel operating expenses.  We define daily vessel operating expenses as vessel operating expenses divided by ownership days for the period.  Vessel operating expenses include crew wages and related costs, the cost of insurance, expenses relating to repairs and maintenance (excluding drydocking), the costs of spares and consumable stores, tonnage taxes and other miscellaneous expenses.

Operating Data

	For the Three Months Ended June 30,
	2014			2013			Change			% Change
	(U.S. dollars in thousands, except for per share amounts)
Revenue:
Voyage revenues	$	51,545		$	44,941		$	6,604		14.7	%
Service revenues	819			819			—			—
Total revenues	52,364			45,760			6,604			14.4	%
Operating Expenses:
Voyage expenses	1,983			2,867			(884		)	(30.8	)%
Vessel operating expenses	30,545			26,766			3,779			14.1	%
General, administrative and management fees	9,850			8,480			1,370			16.2	%
Depreciation and amortization	36,538			34,722			1,816			5.2	%
Total operating expenses	78,916			72,835			6,081			8.3	%
Operating loss	(26,552		)	(27,075		)	523			(1.9	)%
Other expense	(18,535		)	(21,571		)	3,036			(14.1	)%
Loss before reorganization items, net	(45,087		)	(48,646		)	3,559			(7.3	)%
Reorganization items, net	(20,106		)	—			(20,106		)	100.0	%
Loss before income taxes	(65,193		)	(48,646		)	(16,547		)	34.0	%
Income tax expense	(364		)	(294		)	(70		)	23.8	%
Net loss	(65,557		)	(48,940		)	(16,617		)	34.0	%
Less: Net loss attributable to noncontrolling interest	(5,033		)	(3,571		)	(1,462		)	40.9	%
Net loss attributable to Genco Shipping & Trading Limited	$	(60,524	)	$	(45,369	)	$	(15,155	)	33.4	%
Net loss per share - basic	$	(1.39	)	$	(1.05	)	$	(0.34	)	32.4	%
Net loss per share - diluted	$	(1.39	)	$	(1.05	)	$	(0.34	)	32.4	%
Dividends declared and paid per share	$	—		$	—		$	—		—
Weighted average common shares outstanding - basic	43,568,942			43,196,895			372,047			0.9	%
Weighted average common shares outstanding - diluted	43,568,942			43,196,895			372,047			0.9	%
EBITDA (1)	$	(5,137	)	$	11,185		$	(16,322	)	(145.9	)%

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	For the Six Months Ended June 30,
	2014			2013			Change			% Change
	(U.S. dollars in thousands, except for per share amounts)
Revenue:
Voyage revenues	$	114,725		$	84,617		$	30,108		35.6	%
Service revenues	1,629			1,629			—			—
Total revenues	116,354			86,246			30,108			34.9	%
Operating Expenses:
Voyage expenses	3,940			4,139			(199		)	(4.8	)%
Vessel operating expenses	61,768			53,885			7,883			14.6	%
General, administrative and management fees	25,226			16,672			8,554			51.3	%
Depreciation and amortization	72,739			69,100			3,639			5.3	%
Total operating expenses	163,673			143,796			19,877			13.8	%
Operating loss	(47,319		)	(57,550		)	10,231			(17.8	)%
Other expense	(39,594		)	(42,822		)	3,228			(7.5	)%
Loss before reorganization items, net	(86,913		)	(100,372		)	13,459			(13.4	)%
Reorganization items, net	(20,106		)	—			(20,106		)	100.0	%
Loss before income taxes	(107,019		)	(100,372		)	(6,647		)	6.6	%
Income tax expense	(777		)	(518		)	(259		)	50.0	%
Net loss	(107,796		)	(100,890		)	(6,906		)	6.8	%
Less: Net loss attributable to noncontrolling interest	(8,166		)	(7,358		)	(808		)	11.0	%
Net loss attributable to Genco Shipping & Trading Limited	$	(99,630	)	$	(93,532	)	$	(6,098	)	6.5	%
Net loss per share - basic	$	(2.29	)	$	(2.17	)	$	(0.12	)	5.5	%
Net loss per share - diluted	$	(2.29	)	$	(2.17	)	$	(0.12	)	5.5	%
Dividends declared and paid per share	$	—		$	—		$	—		—
Weighted average common shares outstanding - basic	43,568,942			43,179,300			389,642			0.9	%
Weighted average common shares outstanding - diluted	43,568,942			43,179,300			389,642			0.9	%
EBITDA (1)	$	13,373		$	18,895		$	(5,522	)	(29.2	)%

(1)EBITDA represents net (loss) income attributable to Genco Shipping & Trading Limited plus net interest expense, taxes and depreciation and amortization.  EBITDA is included because it is used by management and certain investors as a measure of operating performance. EBITDA is used by analysts in the shipping industry as a common performance measure to compare results across peers.  Our management uses EBITDA as a performance measure in our consolidated internal financial statements, and it is presented for review at our board meetings.  We believe that EBITDA is useful to investors as the shipping industry is capital intensive which often results in significant depreciation and cost of financing.  EBITDA presents investors with a measure in addition to net income to evaluate our performance prior to these costs.  EBITDA is not an item recognized by U.S. GAAP and should not be considered as an alternative to net income, operating income or any other indicator of a company’s operating performance required by U.S. GAAP.  EBITDA is not a measure of liquidity or cash flows as shown in our consolidated statements of cash flows.  The definition of EBITDA used here may not be comparable to that used by other companies.  The foregoing definition of EBITDA differs from the definition of Consolidated EBITDA used in the financial covenants of our 2007 Credit Facility, our $253 Million Term Loan Credit Facility, and our $100 Million Term Loan Credit Facility.  Specifically, Consolidated EBITDA substitutes gross interest expense (which includes amortization of deferred financing costs) for net interest expense used in our definition of EBITDA, includes adjustments for restricted stock amortization and non-cash charges for deferred financing costs related to the refinancing of other credit facilities or any non-cash losses from

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our investment in Jinhui, and excludes extraordinary gains or losses and gains or losses from derivative instruments used for hedging purposes or sales of assets other than inventory sold in the ordinary course of business.  The following table demonstrates our calculation of EBITDA and provides a reconciliation of EBITDA to net (loss) income attributable to Genco Shipping & Trading Limited for each of the periods presented above:

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Net loss attributable to Genco Shipping & Trading Limited	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)
Net interest expense	18,485			21,538			39,487			42,809
Income tax expense	364			294			777			518
Depreciation and amortization	36,538			34,722			72,739			69,100
EBITDA (1)	$	(5,137	)	$	11,185		$	13,373		$	18,895

Results of Operations

The following tables set forth information about the vessels in our fleet, including Baltic Trading’s vessels, as of August 15, 2014:

Genco Shipping & Trading Limited

Vessel	YearBuilt	Charterer	Charter Expiration (1)	Cash DailyRate (2)
Capesize Vessels
Genco Augustus	2007	Cargill International S.A.	April 2015	104% of BCI
Genco Tiberius	2007	Cargill International S.A.	December 2014	102% of BCI
Genco London	2007	Cargill International S.A.	September 2014	100% of BCI
Genco Titus	2007	Swissmarine Services S.A.	Oct. 2014/Mar. 2015	100%/104.5% of BCI(3)
Genco Constantine	2008	Cargill International S.A.	February 2015	102% of BCI
Genco Hadrian	2008	Swissmarine Services S.A.	October 2014	98.5% of BCI
Genco Commodus	2009	Swissmarine Services S.A.	March 2015	100% of BCI
Genco Maximus	2009	Swissmarine Services S.A.	February 2015	100% of BCI
Genco Claudius	2010	Swissmarine Services S.A.	Oct. 2014/Sept. 2015	99% of BCI(4)
Panamax Vessels
Genco Beauty	1999	Navig8 Inc.	February 2015	94.5% of BPI(5)
Genco Knight	1999	Swissmarine Services S.A.	March 2015	99% of BPI
Genco Leader	1999	TTMI Sarl	November 2014	100% of BPI
Genco Vigour	1999	Swissmarine Services S.A.	February 2015	98% of BPI
Genco Acheron	1999	Swissmarine Services S.A.	December 2014	100% of BPI
Genco Surprise	1998	Swissmarine Services S.A.	May 2015	100% of BPI
Genco Raptor	2007	Global Maritime Investments Ltd.	September 2014	100% of BPI
Genco Thunder	2007	Swissmarine Services S.A.	February 2015	100% of BPI
Supramax Vessels
Genco Predator	2005	D’Amico Dry Ltd.	October 2014	101% of BSI
Genco Warrior	2005	Pacific Basin Chartering Ltd.	September 2014	101% of BSI
Genco Hunter	2007	Pacific Basin Chartering Ltd.	September 2014	107% of BSI
Genco Cavalier	2007	Dalian Suntime International Co., Ltd.	August 2014	$10,000
Genco Lorraine	2009	Pioneer Navigation Ltd.	September 2014	$7,500
Genco Loire	2009	Caltrek Freight and Trading Ltd.	November 2014	91.5% of BSI(6)
Genco Aquitaine	2009	Bulkhandling Handymax A/S	March 2015	Spot Pool(7)
Genco Ardennes	2009	Bulkhandling Handymax A/S	March 2015	Spot Pool(8)
Genco Auvergne	2009	Pioneer Navigation Ltd.	September 2014	100% of BSI
Genco Bourgogne	2010	Thoresen Shipping Singapore Pte. Ltd.	October 2014	$10,250
Genco Brittany	2010	D’Amico Dry Ltd.	October 2014	100% of BSI
Genco Languedoc	2010	D’Amico Dry Ltd.	January 2015	100% of BSI
Genco Normandy	2007	Oldendorff GMBH & Co.	September 2014	$6,500(9)

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Vessel	YearBuilt	Charterer	Charter Expiration (1)	Cash DailyRate (2)
Genco Picardy	2005	Pioneer Navigation Ltd.	December 2014	101% of BSI
Genco Provence	2004	Pacific Glory Shipping Pte. Ltd.	September 2014	$6,500(10)
Genco Pyrenees	2010	Bulk Marine	August 2014	$9,000(11)
Genco Rhone	2011	Pioneer Navigation Ltd.	November 2015	100% of BSI
Handymax Vessels
Genco Success	1997	Transbulk Shipping Corporation Ltd	September 2014	$6,250(12)
Genco Carrier	1998	China Pacific Maritime Inc.	September 2014	$4,250(13)
Genco Prosperity	1997	Western Bulk Pte. Ltd.	August 2014	$5,875(14)
Genco Wisdom	1997	ED & F MAN Shipping Ltd.	December 2014	90% of BSI
Genco Marine	1996	Asia Maritime Pacific Chartering Ltd.	September 2014	$8,250(15)
Genco Muse	2001	Asia Maritime Pacific Chartering Ltd.	September 2014	$10,750
Handysize Vessels
Genco Sugar	1998	Clipper Logger Pool	February 2015	Spot Pool(16)
Genco Pioneer	1999	Clipper Logger Pool	February 2015	Spot Pool(16)
Genco Progress	1999	Clipper Logger Pool	February 2015	Spot Pool(16)
Genco Explorer	1999	Clipper Logger Pool	February 2015	Spot Pool(16)
Genco Reliance	1999	Lauritzen Bulkers A/S	September 2014	Spot Pool(17)
Genco Charger	2005	Pacific Basin Chartering Ltd.	February 2015	100% of BHSI
Genco Challenger	2003	Pacific Basin Chartering Ltd.	February 2015	100% of BHSI
Genco Champion	2006	Pacific Basin Chartering Ltd.	August 2015	100% of BHSI
Genco Ocean	2010	Pioneer Navigation Ltd.	March 2015	107% of BHSI
Genco Bay	2010	Pacific Basin Chartering Ltd.	December 2014	107% of BHSI
Genco Avra	2011	Pioneer Navigation Ltd.	September 2015	107% of BHSI
Genco Mare	2011	Cargill International S.A.	May 2015	115% of BHSI
Genco Spirit	2011	Cargill International S.A.	September 2014	$8,500-$13,500 with 50% profit sharing(18)

(1) The charter expiration dates presented represent the earliest dates that our charters may be terminated in the ordinary course.  Under the terms of each contract, the charterer is entitled to extend the time charter from two to four months in order to complete the vessel’s final voyage plus any time the vessel has been off-hire.

(2) Time charter rates presented are the gross daily charterhire rates before third-party brokerage commission generally ranging from 1.25% to 6.25%. In a time charter, the charterer is responsible for voyage expenses such as bunkers, port expenses, agents’ fees and canal dues.

(3) We have agreed to an extension with Swissmarine Services S.A. on a spot market-related time charter for 4.5 to 7.5 months based on 104.5% of the Baltic Capesize Index (BCI), published by the Baltic Exchange, as reflected in daily reports.  Hire is paid every 15 days in arrears less a 5.00% third-party brokerage commission.  Genco maintains the option to convert to a fixed rate based on Capesize FFA values at 104.5%.  The vessel is estimated to enter drydocking for scheduled repairs between October 15, 2014 and December 15, 2014.  The extension will begin once the drydocking is completed.

(4) We have agreed to an extension with Swissmarine Services S.A. on a spot market-related time charter based on 99% of the BCI, as reflected in daily reports.  Hire is paid every 15 days in arrears less a 5.00% third-party brokerage commission.  The minimum and maximum expiration dates of the time charter are September 15, 2015 and November 15, 2015, respectively.  Genco maintains the option to convert to a fixed rate based on Capesize FFA values at 99%.  The extension is expected to begin on or about October 1, 2014.

(5) We have reached an agreement with Navig8 Inc. on a spot market-related time charter for 6.5 to 9.5 months based on 94.5% of the Baltic Panamax Index, published by the Baltic Exchange, as reflected in daily reports.  Hire is paid every 15 days in arrears less a 5.00% third-party brokerage commission.  Genco maintains the option to convert to a fixed rate based on Panamax FFA values at 94.5%.  The vessel delivered to charterers on August 12, 2014 after the completion of drydocking for scheduled repairs.

(6) We have reached an agreement with Caltrek Freight and Trading Ltd. on a spot market-related time charter for 4.5 to 6.5 months based on 91.5% of the Baltic Supramax Index (BSI), published by the Baltic Exchange, as reflected in daily reports, except for the initial 30 days in which the hire rate will be $4,000 per day.  Hire is paid every 15 days in arrears less a 5.00% third-party brokerage commission.  Genco maintains the option to convert to a fixed rate based on Supramax FFA values at 91.5%.  The vessel delivered to charterers on July 13, 2014.  The vessel redelivered to Genco on June 14, 2014.  The vessel redelivered without charterers tendering 30-day redelivery notice.

(7) We have reached an agreement to enter this vessel into the Bulkhandling Handymax A/S Pool, a vessel pool trading in the spot market of which Torvald Klaveness acts as the pool manager.  The vessel will remain in the pool for a minimum period of four months at which point Genco can withdraw the vessel with three months’ notice.  The vessel is expected to enter the pool on or about August 16, 2014 after the completion of drydocking for scheduled repairs.

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(8) We have reached an agreement to enter this vessel into the Bulkhandling Handymax A/S Pool, a vessel pool trading in the spot market of which Torvald Klaveness acts as the pool manager.  The vessel will remain in the pool for a minimum period of four months at which point Genco can withdraw the vessel with three months’ notice.  The vessel is expected to enter the pool on or about August 30, 2014 after the completion of drydocking for scheduled repairs.

(9) We have agreed to an extension with Oldendorff GMBH & Co. on a time charter for two to three laden legs at a rate of $6,500 per day.  Hire is paid every 15 days in advance less a 5.00% third-party brokerage commission.  The extension began on June 7, 2014.

(10)  We have reached an agreement with Pacific Glory Shipping Pte. Ltd. on a time charter for approximately 65 days at a rate of $6,500 per day.  If the time charter exceeds 65 days, the vessel will earn a hire rate of $11,000 per day thereafter.  Hire is paid every 15 days in advance less a 5.00% third-party brokerage commission.  The vessel delivered to charterers on June 19, 2014 after repositioning.  The vessel redelivered to Genco from the previous charterer on May 22, 2014 and was in drydock for scheduled repairs until June 10, 2014.

(11) We have reached an agreement with Bulk Marine on a time charter for approximately 30 days at a rate of $9,000 per day.  Hire is paid every 15 days in advance less a 5.00% third-party brokerage commission.  The vessel delivered to charterers on July 18, 2014 after repositioning. The vessel redelivered to Genco from the previous charterer on July 10, 2014.

(12) We have reached an agreement with Transbulk Shipping Corporation Ltd. on a time charter for approximately 65 days at a rate of $6,250 per day.  If the time charter exceeds 65 days, the vessel will earn a hire rate of $9,750 per day thereafter.  Hire is paid every 15 days in advance less a 5.00% third-party brokerage commission.  The vessel delivered to charterers on July 22, 2014.

(13) We have reached an agreement with China Pacific Maritime Inc. on a time charter for approximately 70 days at a rate of $4,250 per day.  If the time charter exceeds 70 days, the vessel will earn a hire rate of $9,300 per day thereafter. Hire is paid every 15 days in advance less a 5.00% third-party brokerage commission.  The vessel delivered to charterers on July 16, 2014.

(14) We have reached an agreement with Western Bulk Pte. Ltd. on a time charter for approximately 20 days at a rate of $5,875 per day.  Hire is paid every 15 days in advance less a 5.00% third-party brokerage commission.  The vessel delivered to charterers on August 2, 2014.

(15) We have agreed to an extension with Asia Maritime Pacific Chartering Ltd. on a time charter for 2 to 3.5 months at a rate of $8,250 per day. Hire is paid every 15 days in advance less a 5.00% third-party brokerage commission.  The extension began on July 7, 2014.

(16) We have reached an agreement to enter these vessels into the Clipper Logger Pool, a vessel pool trading in the spot market of which Clipper Group acts as the pool manager.  We can withdraw the vessels with a minimum notice of six months.

(17) This vessel is currently in the LB/IVS Pool whereby Lauritzen Bulkers A/S acts as the pool manager.

(18) The rate for the spot market-related time charter is linked with a floor of $8,500 and a ceiling of $13,500 daily with a 50% profit sharing arrangement to apply to any amount above the ceiling. The rate is based on 115% of the average of the daily rates of the Baltic Handysize Index (BHSI), published by the Baltic Exchange, as reflected in daily reports. Hire is paid every 15 days in advance net of a 5.00% third-party brokerage commission.  This vessel was acquired with an existing time charter with a below-market rate. For the below-market time charter, Genco allocates the purchase price between the vessel and an intangible liability for the value assigned to the below-market charter-hire. This intangible liability is amortized as an increase to voyage revenues over the minimum remaining terms of the applicable charter, at which point the liability will be amortized to zero and the vessel will begin earning the ‘‘Cash Daily Rate.’’ For cash flow purposes, Genco will continue to receive the rate presented in the ‘‘Cash Daily Rate’’ column until the charter expires.  Specifically, for the Genco Spirit, the daily amount of amortization associated with the below-market rate is approximately $200 per day over the actual cash rate earned.

Baltic Trading Limited

Vessel	YearBuilt	Charterer	Charter Expiration(1)	Cash Daily Rate	ExpectedDelivery(2)
Capesize Vessels
Baltic Bear	2010	Swissmarine Services S.A.	February 2015	101.5% of BCI (3)
Baltic Wolf	2010	Cargill International S.A.	September 2014	100% of BCI (4)
Baltic Tiger	2011	Swissmarine Services S.A	October 2014	102.75% of BCI (5)
Baltic Lion	2012	Cargill International S.A.	November 2014	102.75% of BCI (6)
Ultramax Vessels
Baltic Hornet	2014	TBD	TBD	TBD	Q3 2014
Baltic Wasp	2014	TBD	TBD	TBD	Q4 2014

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Baltic Scorpion	2015	TBD	TBD	TBD	Q2 2015
Baltic Mantis	2015	TBD	TBD	TBD	Q3 2015
Supramax Vessels
Baltic Leopard	2009	Bulkhandling Handymax A/S	November 2014	Spot Pool (7)
Baltic Panther	2009	Bulkhandling Handymax A/S	November 2014	Spot Pool (8)
Baltic Jaguar	2009	Bulkhandling Handymax A/S	January 2015	Spot Pool (9)
Baltic Cougar	2009	Bulkhandling Handymax A/S	November 2014	Spot Pool (8)
Handysize Vessels
Baltic Wind	2009	Agriculture & Energy Carriers Ltd.	September 2014	110% of BHSI (10)
Baltic Cove	2010	Trammo Bulk Carriers	January 2015	106% of BHSI (11)
Baltic Breeze	2010	Cargill International S.A.	August 2014	115% of BHSI (12)
Baltic Fox	2010	Clipper Logger Pool	September 2015	Spot Pool (13)
Baltic Hare	2009	Clipper Logger Pool	September 2015	Spot Pool (13)

(1)The charter expiration dates presented represent the earliest dates that our charters may be terminated in the ordinary course.  Under the terms of each contract, the charterer is entitled to extend the time charters from two to four months in order to complete the vessel’s final voyage plus any time the vessel has been off-hire.

(2)The dates for the vessels being delivered in the future are estimates based on guidance received from the sellers.

(3)We have agreed to an extension with Swissmarine Services S.A. on a spot market-related time charter based on 101.5% of the average of the daily rates of the Baltic Capesize Index (BCI), published by the Baltic Exchange, as reflected in daily reports.  Hire is paid in arrears net of a 6.25% brokerage commission, which includes the 1.25% commission payable to GS&T.  The minimum and maximum expiration dates of the time charter are February 1, 2015 and April 15, 2015, respectively.

(4)We have reached an agreement with Cargill International S.A. on a spot market-related time charter based on 100% of the average of the daily rates of the BCI, as reflected in daily reports.  Hire is paid every 15 days in arrears net of a 5.00% brokerage commission, which includes the 1.25% commission payable to GS&T.  The duration of the spot market-related time charter is 21.5 to 26.5 months.

(5)We have reached an agreement with Swissmarine Services S.A. on a spot market-related time charter for 10.5 to 13.5 months based on 102.75% of the average of the daily rates of the BCI, as reflected in daily reports.  Hire is paid every 15 days in arrears net of a 6.25% brokerage commission, which includes the 1.25% commission payable to GS&T.  The vessel delivered to charterers on November 29, 2013.

(6)We have reached an agreement with Cargill International S.A. on a spot market-related time charter for 10.5 to 13.5 months based on 102.75% of the average of the daily rates of the BCI, as reflected in daily reports.  Hire is paid every 15 days in arrears net of a 6.25% brokerage commission, which includes the 1.25% commission payable to GS&T.  The vessel delivered to charterers on December 29, 2013.

(7)We have reached an agreement to enter this vessel into the Bulkhandling Handymax A/S Pool, a vessel pool trading in the spot market of which Torvald Klaveness acts as the pool manager. The vessel will remain in the pool for a minimum period of three months at which point Baltic Trading can withdraw the vessel with three months’ notice.  The vessel entered the pool on May 28, 2014 after the completion of drydocking for scheduled repairs.

(8)We have reached an agreement to enter these vessels into the Bulkhandling Handymax A/S Pool, a vessel pool trading in the spot market of which Torvald Klaveness acts as the pool manager. Baltic Trading can withdraw a vessel with three months’ notice.

(9)We have reached an agreement to enter this vessel into the Bulkhandling Handymax A/S Pool, a vessel pool trading in the spot market of which Torvald Klaveness acts as the pool manager.  The vessel will remain in the pool for a minimum of four months at which point Baltic Trading can withdraw the vessel with three months’ notice.  The vessel entered the pool on June 20, 2014.  However, for the initial 25 days, the vessel will earn a hire rate of $5,000 per day.

(10)We have agreed to an extension with Agriculture & Energy Carriers Ltd. on a spot-market related time charter for 2 to 4.5 months based on 110% of the average of the daily rates of the Baltic Handysize Index (BHSI), published by the Baltic Exchange, as reflected in daily reports.  Hire is paid every 15 days in arrears net of a 6.25% brokerage commission, which includes the 1.25% commission payable to GS&T.  The extension began on May 26, 2014.

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(11)We have reached an agreement with Trammo Bulk Carriers on a spot market-related time charter for 10.5 months to a maximum expiration date of April 1, 2015 based on 106% of the average of the daily rates of the BHSI, as reflected in daily reports.  Hire is paid every 15 days in arrears net of a 6.25% brokerage commission, which includes the 1.25% commission payable to GS&T. The vessel delivered to charterers on February 15, 2014.

(12)The rate for the spot market-related time charter is based on 115% of the average of the daily rates of the BHSI, as reflected in daily reports.  Hire is paid every 15 days in advance net of a 6.25% brokerage commission, which includes the 1.25% commission payable to GS&T.

(13)We have reached an agreement to enter these vessels into the Clipper Logger Pool, a vessel pool trading in the spot market of which Clipper Group acts as the pool manager.  The vessels will remain in the pool for a minimum period of two years.

Three months ended June 30, 2014 compared to the three months ended June 30, 2013

VOYAGE REVENUES-

For the three months ended June 30, 2014, voyage revenues increased 14.7% to $51.5 million as compared to $44.9 million for the three months ended June 30, 2013.  The increase in voyage revenues was primarily due to higher spot market rates achieved by our Capesize vessels.  Included in the increase in voyage revenues was an increase in revenues earned by Baltic Trading’s vessels of $4.3 million due to higher spot market rates achieved by its Capesize vessels, as well as the increase in the size of its fleet.

The average Time Charter Equivalent (“TCE”) rate of our fleet increased 12.3% to $8,452 a day for the three months ended June 30, 2014 from $7,526 a day for the three months ended June 30, 2013.  The increase in TCE rates resulted from higher spot market rates achieved by our Capesize vessels during the second quarter of 2014 as compared to the same period last year, as well as the operation of the two additional Capesize vessels delivered to Baltic Trading during the fourth quarter of 2013, namely the Baltic Lion and Baltic Tiger.  During the second quarter of 2014, excess vessel supply continued to weigh on the drybulk market, particularly during periods of weaker demand.  Lower Brazilian iron ore fixtures than the second half of 2013, a destocking period for coking coal in China, fewer soybean exports out of Argentina and the Indonesian mineral ore ban all contributed towards a softer freight rate environment.

For the three months ended June 30, 2014 and 2013, we had 6,006.0 and 5,642.0 ownership days, respectively.  The increase in ownership days is a result of the delivery of four Baltic Trading vessels during the second half of 2013.  Fleet utilization decreased to 97.4% during the three months ended June 30, 2014 as compared to 99.5% during the same period during 2013 primarily due to additional offhire of 91 days for the Genco Reliance during the three months ended June 30, 2014.  The Genco Reliance was having repairs completed on its rudder after there was damage to the vessel due to a failure of its steering gear.  Total estimated offhire for this claim is approximately 104 days and began on March 18, 2014.  We expect to receive reimbursement from our insurance carrier under our Loss of Hire policy.

SERVICE REVENUES-

Service revenues consist of revenues earned from providing technical services to MEP pursuant to the agency agreement between us and MEP.  These services include oversight of crew management, insurance, drydocking, ship operations and financial statement preparation, but do not include chartering services.  The services are provided for a fee of $750 per ship per day.  During the three months ended June 30, 2014 and 2013, total service revenue was $0.8 million during both periods.

VOYAGE EXPENSES-

In time charters, spot market-related time charters and pool agreements, operating costs including crews, maintenance and insurance are typically paid by the owner of the vessel and specified voyage costs such as fuel and port charges are paid by the charterer. There are certain other non-specified voyage expenses such as commissions which are typically borne by us. Voyage expenses include port and canal charges, fuel (bunker) expenses and brokerage commissions payable to unaffiliated third parties. Port and canal charges and bunker expenses primarily increase in periods during which vessels are employed on voyage charters because these expenses are for the account of the vessel owner. At the inception of a time charter, we record the difference between the cost of bunker fuel delivered by the terminating charterer and the bunker fuel sold to the new charterer as a gain or loss within voyage expenses and the cost of bunkers consumed during short-term time charters pursuant to the terms of the time charter agreement.

Voyage expenses decreased by $0.9 million from $2.9 million during the three months ended June 30, 2013 as compared to $2.0 million during the three months ended June 30, 2014.  The decrease in voyage expenses was primarily due to a decrease in bunker consumption during the second quarter of 2014 as there were additional ballast legs of time charters during which we consumed bunkers during the second quarter of 2013.  The cost of bunkers consumed during short-term time charters also decreased during the second quarter of 2014 as compared to the same period during 2013.  These decreases were partially offset by a $0.2

41

million increase in voyage expenses for Baltic Trading vessels which was due to an increase in third-party broker commissions as a result of the increase in voyage revenue earned during second quarter of 2014 as compared to the second quarter of 2013, as well as an increase in bunkers consumed during drydockings.

VESSEL OPERATING EXPENSES-

Vessel operating expenses increased by $3.8 million to $30.5 million for the three months ended June 30, 2014 as compared to $26.8 million for the three months ended June 30, 2013.  This increase was primarily due to the operation of a larger fleet as a result of the delivery of four Baltic Trading vessels during the second half of 2013, as well as higher maintenance related expenses incurred during drydocking for the three months ended June 30, 2014 as compared to the three months ended June 30, 2013.

Daily vessel operating expenses increased to $5,086 per vessel per day for the three months ended June 30, 2014 from $4,744 per day for the three months ended June 30, 2013.  The increase in daily vessel operating expenses was due to higher maintenance related expenses incurred during drydocking and higher crew costs.  We believe daily vessel operating expenses are best measured for comparative purposes over a 12-month period in order to take into account all of the expenses that each vessel in our fleet will incur over a full year of operation.  Our actual daily vessel operating expenses per vessel for the three months ended June 30, 2014 were $204 below the weighted-average budgeted rate of $5,290 per vessel per day.

Our vessel operating expenses, which generally represent fixed costs for each vessel, will increase if our fleet expands. Other factors beyond our control, some of which may affect the shipping industry in general, including, for instance, developments relating to market prices for crewing, lubes, and insurance, may also cause these expenses to increase.

GENERAL, ADMINISTRATIVE AND MANAGEMENT FEES-

For the three months ended June 30, 2014 and 2013, general, administrative and management fees were $9.9 million and $8.5 million, respectively.  The increase was primarily due to our pre-petition expenses related to our Chapter 11 Cases incurred during the three months ended June 30, 2014.  We incur management fees to third-party technical management companies for the day-to-day management of our vessels, including performing routine maintenance, attending to vessel operations and arranging for crews and supplies.  Management fees increased marginally due to the delivery of four Baltic Trading vessels during the second half of 2014.

DEPRECIATION AND AMORTIZATION-

Depreciation and amortization expense increased by $1.8 million during the three months ended June 30, 2014 as compared to the three months ended June 30, 2013 primarily due to the operation of a larger fleet, including the four Baltic Trading vessels delivered during the second half of 2013, as well as an increase in the amortization of deferred drydocking costs.

OTHER (EXPENSE) INCOME-

NET INTEREST EXPENSE-

For the three months ended June 30, 2014 and 2013, net interest expense was $18.5 million and $21.5 million, respectively.  Net interest expense during the three months ended June 30, 2014 and 2013 consisted of interest expense under our 2007 Credit Facility, $100 Million Term Loan Facility, $253 Million Term Loan Facility, and Baltic Trading’s $150 million senior secured revolving credit facility (the “2010 Baltic Trading Credit Facility”), as well as interest expense related to our 5.0% Convertible Senior Notes (the “2010 Notes”) recorded up until the Petition Date.  Additionally, interest income, unused commitment fees associated with the aforementioned credit facilities as well as the amortization of deferred financing costs related to the aforementioned credit facilities are included in net interest expense during the three months ended June 30, 2014 and 2013.  Net interest expense during the three months ended June 30, 2014 also includes interest expense under the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility, which were entered into on August 30, 2013 and December 3, 2013, respectively.

The decrease in net interest expense for the second quarter of 2014 as compared to the second quarter of 2013 was primarily due to a decrease in interest expense associated with the interest rate swap agreements as three interest rate swap agreements expired during the first quarter of 2014, as well as a decrease in interest expense related to the 2010 Notes as we ceased accreting the liability related to the 2010 Notes and accruing for the related coupon payment on the Petition Date of April 21, 2014.  Refer to Note 10 — Convertible Senior Notes and Note 11 — Interest Rate Swap Agreements in our condensed consolidated financial statements.  These decreases were partially offset by the interest expense and the amortization of deferred financing costs recorded during the second quarter of 2014 associated with the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility, which were entered into by Baltic Trading effective August 30, 2013 and December 3, 2013, respectively.  Refer to Note 9 — Debt in our condensed consolidated financial statements and the 2013 10-K for more information regarding the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility.

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REORGANIZATION ITEMS, NET-

For the three months ended June 30, 2014, reorganization items were $20.1 million.  These reorganization items include trustee fees and professional fees incurred after the Petition Date in relation to the Chapter 11 Cases.  There were no reorganization items during the three months ended June 30, 2013 as the Petition Date was April 21, 2014.

INCOME TAX EXPENSE-

For the three months ended June 30, 2014, income tax expense was $0.4 million as compared to $0.3 million during the three months ended June 30, 2013.  This income tax expense consists primarily of federal, state and local income taxes on net income earned by Genco Management (USA) Limited (“Genco (USA)”), one of our wholly-owned subsidiaries.  Pursuant to certain agreements, we technically and commercially manage vessels for Baltic Trading, as well as provide technical management of vessels for MEP in exchange for specified fees for these services provided.  These services are provided by Genco (USA), which has elected to be taxed as a corporation for United States federal income tax purposes.  As such, Genco (USA) is subject to United States federal income tax on its worldwide net income, including the net income derived from providing these services.  Refer to the “Income taxes” section of Note 2 — Summary of Significant Accounting Policies included in our condensed consolidated financial statements.  Income tax expense increased during the three months ended June 30, 2014 as compared to the same period during the prior year primarily due to higher commercial service revenue due to Genco (USA) from Baltic Trading pursuant to the Management Agreement as a result of higher charter rates achieved by Baltic Trading’s fleet, as well as an increase in commercial service revenue and technical management fees earned for the four vessels delivered to Baltic Trading during the second half of 2013.

NET LOSS ATTRIBUTABLE TO NONCONTROLLING INTEREST-

For the three months ended June 30, 2014 and 2013, net loss attributable to noncontrolling interest was $5.0 million and $3.6 million, respectively.  These amounts represent the net loss attributable to the noncontrolling interest of Baltic Trading.

Six months ended June 30, 2014 compared to the six months ended June 30, 2013

VOYAGE REVENUES-

For the six months ended June 30, 2014, voyage revenues increased 35.6% to $114.7 million versus $84.6 million for the six months ended June 30, 2013.  Revenues increased by approximately $30.1 million primarily due to higher charter rates achieved by the majority of our vessels.  Included in the increase in voyage revenues was an increase in revenues earned by Baltic Trading’s vessels of $11.4 million due to higher spot market rates achieved by a majority of it vessels, as well as the increase in the size of its fleet.

The average TCE rate of our fleet increased 32.3% to $9,586 a day for the six months ended June 30, 2014 from $7,247 a day for the six months ended June 30, 2013.  The increase in the TCE rate was due to higher charter rates achieved the majority of our vessels as well as the operation of the two additional Capesize vessels delivered to Baltic Trading during the fourth quarter of 2013, namely the Baltic Lion and Baltic Tiger.

For the six months ended June 30, 2014 and 2013, we had 11,946.0 and 11,211.0 ownership days, respectively.  The increase in ownership days is a result of the delivery of four Baltic Trading vessels during the second half of 2013.  Fleet utilization decreased marginally to 98.4% during the six months ended June 30, 2014 as compared to 99.4% during the same period during 2013.

SERVICE REVENUES-

Service revenues consist of revenues earned from providing technical services to MEP pursuant to the agency agreement between us and MEP.  These services include oversight of crew management, insurance, drydocking, ship operations and financial statement preparation, but do not include chartering services.  The services are provided for a fee of $750 per ship per day.  During the six months ended June 30, 2014 and 2013, total service revenue was $1.6 million during both periods.

VOYAGE EXPENSES-

For the six months ended June 30, 2014 and 2013, voyage expenses decreased marginally to $3.9 million from $4.1 million, respectively.

VESSEL OPERATING EXPENSES-

Vessel operating expenses increased by $7.9 million to $61.8 million for the six months ended June 30, 2014 as compared to $53.9 million for the six months ended June 30, 2013. This increase was primarily due to the operation of a larger fleet as a result of

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the delivery of four Baltic Trading vessels during the second half of 2013, as well as higher maintenance related expenses incurred during drydocking for the six months ended June 30, 2014 as compared to the six months ended June 30, 2013.

Daily vessel operating expenses increased to $5,171 per vessel per day for the six months ended June 30, 2014 from $4,802 per day for the six months ended June 30, 2013.  The increase in daily vessel operating expenses was due to higher maintenance related expenses incurred during drydocking and higher crew costs.   We believe daily vessel operating expenses are best measured for comparative purposes over a 12-month period in order to take into account all of the expenses that each vessel in our fleet will incur over a full year of operation.  Our actual daily vessel operating expenses per vessel for the six months ended June 30, 2014 were $119 below the weighted-average budgeted rate of approximately $5,290 per vessel per day, which includes Baltic Trading’s vessels.

GENERAL, ADMINISTRATIVE AND MANAGEMENT FEES-

For the six months ended June 30, 2014 and 2013, general, administrative and management fees increased to $25.2 million during the six months ended June 30, 2014 as compared to $16.7 million during the six months ended June 30, 2013. The increase was primarily due to our pre-petition expenses related to our Chapter 11 Cases incurred during the six months ended June 30, 2014.  We incur management fees to third-party technical management companies for the day-to-day management of our vessels, including performing routine maintenance, attending to vessel operations and arranging for crews and supplies.  Management fees increased marginally due to the delivery of four Baltic Trading vessels during the second half of 2014.

DEPRECIATION AND AMORTIZATION-

Depreciation and amortization expense increased by $3.6 million during the six months ended June 30, 2014 as compared to the six months ended June 30, 2013 primarily due to the operation of a larger fleet, including the four Baltic Trading vessels delivered during the second half of 2013, as well as an increase in the amortization of deferred drydocking costs.

OTHER (EXPENSE) INCOME-

NET INTEREST EXPENSE-

For the six months ended June 30, 2014 and 2013, net interest expense was $39.5 million and $42.8 million, respectively.  Net interest expense during the six months ended June 30, 2014 and 2013 consisted of interest expense under our 2007 Credit Facility, $100 Million Term Loan Facility, $253 Million Term Loan Facility, and the 2010 Baltic Trading Credit Facility, as well as interest expense related to our 2010 Notes recorded up until the Petition Date.  Additionally, interest income, unused commitment fees associated with the aforementioned credit facilities as well as the amortization of deferred financing costs related to the aforementioned credit facilities are included in net interest expense during the six months ended June 30, 2014 and 2013.  Net interest expense during the six months ended June 30, 2014 also includes interest expense under the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility, which were entered into on August 30, 2013 and December 3, 2013, respectively.

The decrease in net interest expense for the six months ended June 30, 2014 as compared to the same period during 2013 was primarily due to a decrease in interest expense associated with the interest rate swap agreements as three interest rate swap agreements expired during the first quarter of 2014, as well as a decrease in interest expense related to the 2010 Notes as we ceased accreting the liability related to the 2010 Notes and accruing for the related coupon payment on the Petition Date of April 21, 2014.  Refer to Note 10 — Convertible Senior Notes and Note 11 — Interest Rate Swap Agreements in our condensed consolidated financial statements.  These decreases were partially offset by the interest expense and the amortization of deferred financing costs recorded during the six months ended June 30, 2014 associated with the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility, which were entered into by Baltic Trading effective August 30, 2013 and December 3, 2013, respectively.  Refer to Note 9 — Debt in our condensed consolidated financial statements and the 2013 10-K for more information regarding the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility.

INCOME TAX EXPENSE-

For the six months ended June 30, 2014, income tax expense was $0.8 million as compared to $0.5 million during the six months ended June 30, 2013.  This income tax expense consists primarily of federal, state and local income taxes on net income earned by Genco Management (USA) Limited (“Genco (USA)”), one of our wholly-owned subsidiaries.  Pursuant to certain agreements, we technically and commercially manage vessels for Baltic Trading, as well as provide technical management of vessels for MEP in exchange for specified fees for these services provided.  These services are provided by Genco (USA), which has elected to be taxed as a corporation for United States federal income tax purposes.  As such, Genco (USA) is subject to United States federal income tax on its worldwide net income, including the net income derived from providing these services.  Refer to the “Income taxes” section of Note 2 — Summary of Significant Accounting Policies included in our condensed consolidated financial statements for further information.  Income tax expense increased during the six months ended June 30, 2014 as compared to the same period during

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the prior year primarily due to higher commercial service revenue due to Genco (USA) from Baltic Trading pursuant to the Management Agreement as a result of higher charter rates achieved by Baltic Trading’s fleet, as well as an increase in commercial service revenue and technical management fees earned for the four vessels delivered to Baltic Trading during the second half of 2013.

REORGANIZATION ITEMS, NET-

For the six months ended June 30, 2014, reorganization items were $20.1 million.  These reorganization items include trustee fees and professional fees incurred after the Petition Date in relation to the Chapter 11 Cases.  There were no reorganization items during the six months ended June 30, 2013 as the Petition Date was April 21, 2014.

NET LOSS ATTRIBUTABLE TO NONCONTROLLING INTEREST-

For the six months ended June 30, 2014 and 2013, net loss attributable to noncontrolling interest was $8.2 million and $7.4 million, respectively.  These amounts represent the net loss attributable to the noncontrolling interest of Baltic Trading.

LIQUIDITY AND CAPITAL RESOURCES

Our principal sources of funds are operating cash flows, equity financings, issuance of long-term debt securities, and long-term bank borrowings. Our principal use of funds is capital expenditures to establish and grow our fleet, maintain the quality of our vessels, comply with international shipping standards and environmental laws and regulations, fund working capital requirements and repayments on outstanding loan facilities. Historically, we had also used funds to pay dividends and to repurchase our common stock from time to time. We have not declared or paid any dividends since the third quarter of 2008 and currently do not plan to resume the payment of dividends. Moreover, pursuant to restrictions under our debt instruments, we are prohibited from paying dividends. Future dividends, if any, will depend on, among other things, our cash flows, cash requirements, financial condition, results of operations, required capital expenditures or reserves, contractual restrictions, provisions of applicable law and other factors that our board of directors may deem relevant. See below for descriptions of our historical dividends.

Our historical practice has been to acquire vessels or newbuilding contracts using a combination of issuances of equity securities, bank debt secured by mortgages on our vessels and shares of the common stock of our shipowning subsidiaries, and long-term debt securities.

Our current liquidity needs arise primarily from drydocking for our vessels, and working capital requirements as may be needed to support our business and payments required under our indebtedness. We expect that our primary sources of liquidity will be cash flow from operations, cash on hand, and the proceeds of the $100 million rights offering that was consummated in connection with the Chapter 11 cases. We expect that, our liquidity needs will continue to arise primarily from capital expenditures for our vessels, working capital requirements as may be needed to support our business and payments required under our indebtedness..

As of June 30, 2014, we had approximately $40.7 million of cash and cash equivalents on hand (including restricted cash), excluding cash held by Baltic Trading and its subsidiaries. Notwithstanding the impact of the Chapter 11 Cases on our liquidity, including the stay of payments on our obligations, our current and future liquidity will greatly depend upon our operating results. Our ability to continue to meet our liquidity needs is subject to and will be affected by cash utilized in operations, including our ongoing reorganization activities, the economic or business environment in which we operate, weakness in shipping industry conditions, the financial condition of our customers, vendors and service providers, our ability to comply with the financial and other covenants of any post-restructuring indebtedness, our ability to reorganize our capital structure under bankruptcy court supervision in the Chapter 11 Case, and other factors. Furthermore, as a result of the challenging market conditions we continue to face, we anticipate continued net cash used in operating activities after reorganization and capital expenditures. Additionally, the Chapter 11 Case and related matters could negatively impact our financial condition.

We believe that amounts available to us under the Cash Collateral Order plus cash generated from operations will be sufficient to fund anticipated cash requirements in the short term for minimum operating and capital expenditures and for working capital purposes. However, there can be no assurance that cash on hand and other available funds will be sufficient to meet our restructuring or ongoing cash needs. For example, any further decline in charter rates would negatively impact our anticipated revenues, results of operations and cash flows. If we cannot meet our liquidity needs using cash on hand and cash from operations, or if the bankruptcy court or stakeholders in the Chapter 11 Case do not approve the Plan as contemplated by the Restructuring Support Agreement, we may have to take other actions such as vessel sales, the sale of all or a portion of our business, pursuing additional external liquidity generating events, seeking additional financing to the extent available or reducing or delaying capital expenditures. We could also be forced to consider other alternatives to maximize potential recovery for our various creditor constituencies, including a possible sale of the Company or certain of our material assets pursuant to Section 363 of the Bankruptcy Code.

Under the collateral maintenance covenants of our $253 Million Term Loan Facility, our $100 Million Term Loan Facility, the 2010 Baltic Trading Credit Facility, the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term

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Loan Facility, the aggregate valuations of our vessels pledged under each facility must at least be a certain percentage of loans outstanding (or, in the case of the 2010 Baltic Trading Credit Facility, the total amount we may borrow), which percentages currently are 135%, 130%, 140%, 130% and 125%, respectively.

On May 28, 2013, Baltic Trading closed on an equity offering of 6,419,217 shares of Baltic Trading common stock at an offering price of $3.60 per share. Baltic Trading received net proceeds of $21.6 million after deducting underwriters’ fees and expenses. On September 25, 2013, Baltic Trading closed on an equity offering of 13,800,000 shares of Baltic Trading common stock at an offering price of $4.60 per share. Baltic Trading received net proceeds of $59.5 million after deducting underwriters’ fees and expenses. On November 18, 2013, we closed an equity offering of 12,650,000 shares of common stock at an offering price of $4.60 per share. We received net proceeds of $55.1 million after deducting underwriters’ fees and expenses. Our wholly-owned subsidiary Genco Investments LLC was issued 128,383, 276,000 and 253,000 shares of Baltic Trading’s Class B Stock on May 28, 2013, September 25, 2013 and November 18, 2013, respectively, which represented 2% of the number of common shares issued pursuant to the Subscription Agreement between Genco Investments LLC and Baltic Trading. As of June 30, 2014, Genco Investments LLC owns 6,356,471 shares of Baltic Trading’s Class B Stock, which represents an 11.04% ownership interest in Baltic Trading and 65.06% of the aggregate voting power of Baltic Trading’s outstanding shares of voting stock.

On April 16, 2010, Baltic Trading entered into the 2010 Baltic Trading Credit Facility with Nordea Bank Finland plc, acting through its New York branch. The 2010 Baltic Trading Credit Facility was subsequently amended effective November 30, 2010 which increased the borrowing capacity from $100 million to $150 million. The amended 2010 Baltic Trading Credit Facility matures on November 30, 2016. There was an additional amendment entered into effective August 29, 2013 which reduced the borrowing capacity to $110 million and allowed Baltic Trading to incur additional indebtedness under new credit facilities. Refer to Note 9 — Debt of our condensed consolidated financial statements for a description of this amendment. To remain in compliance with a net worth covenant in the 2010 Baltic Trading Credit Facility, Baltic Trading would need to maintain a net worth of $300.9 million after the payment of any dividends.

On July 2, 2013, Baltic Trading entered into agreements to purchase two Handysize drybulk vessels from subsidiaries of Clipper Group for an aggregate purchase price of $41.0 million. The Baltic Hare, a 2009-built Handysize vessel, was delivered on September 5, 2013 and the Baltic Fox, a 2010-built Handysize vessel, was delivered on September 6, 2013. Baltic Trading funded a portion of the purchase price of the vessels using proceeds from its registered follow-on common stock offering completed on May 28, 2013. For the remainder of the purchase price, Baltic Trading drew down $22.0 million on the Baltic Trading $22 Million Term Loan Facility on September 4, 2013. The Baltic Trading $22 Million Term Loan Facility is to be repaid in 23 quarterly repayment installments of approximately $0.4 million each, the first of which is payable three months after the last drawdown date, or December 4, 2013, and a balloon payment of approximately $13.4 million payable on September 4, 2019. Interest on borrowings is payable at the three-month LIBOR rate plus a margin of 3.35%. Refer to Note 9 — Debt in our condensed consolidated financial statements for further information regarding this credit facility.

On October 31, 2013, Baltic Trading entered into agreements to purchase two Capesize drybulk vessels from affiliates of SK Shipping Co. Ltd. for an aggregate purchase price of $103.0 million. The Baltic Lion, a 2012-built Capesize vessel, was delivered on December 27, 2013 and the Baltic Tiger, a 2011-built Capesize vessel, was delivered on November 26, 2013. Baltic Trading funded a portion of the purchase price of the vessels using proceeds from its registered follow-on common stock offering completed on September 25, 2013. For the remainder of the purchase price, Baltic Trading drew down $44.0 million on the Baltic Trading $44 Million Term Loan Facility on December 23, 2013. The Baltic Trading $44 Million Term Loan Facility is to be repaid in 23 quarterly repayment installments of approximately $0.7 million each, the first of which is payable three months after the last drawdown date, or March 24, 2014, and a balloon payment of approximately $28.2 million payable on December 23, 2019. Interest on borrowings is payable at the three-month LIBOR rate plus a margin of 3.35%. Refer to Note 9 — Debt in our condensed consolidated financial statements for further information regarding this credit facility.

On November 13, 2013, Baltic Trading entered into agreements to purchase up to four 64,000 dwt Ultramax newbuilding drybulk vessels from Yangfan Group Co., Ltd. for a purchase price of $28.0 million per vessel, or up to $112.0 million in the aggregate. Baltic Trading agreed to purchase two such vessels, to be renamed the Baltic Hornet and Baltic Wasp, and obtained an option to purchase up to two additional such vessels for the same price, which Baltic Trading exercised on January 8, 2014. These vessels are to be renamed the Baltic Mantis and the Baltic Scorpion. The purchases are subject to completion of customary additional documentation and closing conditions. The Baltic Hornet and Baltic Wasp are expected to be delivered to Baltic Trading during the third and fourth quarters of 2014, respectively. The Baltic Scorpion and the Baltic Mantis are expected to be delivered to Baltic Trading during the second and third quarters of 2015, respectively. Baltic Trading intends to use a combination of cash on hand and future cash flow from operations as well as debt or equity financing to fully finance the acquisition of these four Ultramax newbuilding drybulk vessels.

Dividend Policy

Historically, our dividend policy, which commenced in November 2005, has been to declare quarterly distributions to shareholders by each February, May, August and November, substantially equal to our available cash from operations during the previous quarter, less cash expenses for that quarter (principally vessel operating expenses and debt service) and any reserves our

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Board of Directors determines we should maintain.  These reserves covered, among other things, drydocking, repairs, claims, liabilities and other obligations, interest expense and debt amortization, acquisitions of additional assets and working capital.  In the future, we may incur other expenses or liabilities that would reduce or eliminate the cash available for distribution as dividends.  Under the current terms of the 2007 Credit Facility, we were required to suspend the payment of cash dividends until we can represent that we are in a position to satisfy the collateral maintenance covenant.  Refer to the 2013 10-K for further information regarding the current terms of the 2007 Credit Facility.  As such, a dividend has not been declared during 2009, 2010, 2011, 2012, 2013 or the six months ended March 31, 2014.

As a result of the 2009 Amendment to the 2007 Credit Facility, we suspended the payment of cash dividends effective for the fourth quarter of 2008, and payment of cash dividends will remain suspended until we can meet the collateral maintenance covenant contained in the 2007 Credit Facility.  In addition, under the terms of the August 2012 Agreements, we were prohibited from paying dividends through December 31, 2013, and we were n default under the terms of the 2007 Credit Facility as we did not pay the debt amortization payment of $48.2 million that was due on March 31, 2014 and we were in Chapter 11 as of June 30, 2014.  Under the terms of the $253 Million Term Loan Facility and the $100 Million Term Loan Facility as amended in connection with the Prepack Plan, we are prohibited from paying dividends through March 31, 2015.

The declaration and payment of any dividend is subject to the discretion of our board of directors and our compliance with the collateral maintenance covenant, which is currently waived.  The timing and amount of dividend payments will depend on our earnings, financial condition, cash requirements and availability, fleet renewal and expansion, restrictions in our loan agreements, the provisions of Marshall Islands law affecting the payment of distributions to shareholders and other factors.  Our board of directors may review and amend our dividend policy from time to time in light of our plans for future growth and other factors.

We believe that, under current law, our dividend payments from earnings and profits would constitute “qualified dividend income.”  For 2012, the maximum Federal income tax rate on qualified dividends paid to non-corporate shareholders was 15%.  For taxable years beginning after December 31, 2012, the maximum Federal income tax rate on qualified dividends paid to non-corporate shareholders is 20%, and all or a portion of dividend income received by shareholders whose modified adjusted gross income exceeds certain thresholds ($250,000 for married taxpayers filing jointly and $200,000 for single taxpayers) may be subject to a 3.8% surtax. Distributions in excess of our earnings and profits will be treated first as a non-taxable return of capital to the extent of a U.S. shareholder’s tax basis in its common stock on a dollar-for-dollar basis and, thereafter, as capital gain.

Cash Flow

Net cash used in operating activities for the six months ended June 30, 2014 and 2013 was $23.1 million and $25.3 million, respectively. The decrease in cash used by operating activities was partially due to a net loss of $107.8 million for the six months ended June 30, 2014 compared to a net loss of $100.9 million for the six months ended June 30, 2013, which resulted from reorganization expenses incurred related to our Chapter 11 Cases partially offset by the expansion of our fleet, as well higher charter rates achieved in the first half of 2014 versus the same period in 2013 by the majority of the vessels in our fleet. As a result of the increase in the size of our fleet, depreciation increased by $3.6 million for the six months ended June 30, 2014 compared to the prior year period.  Additionally, there was a $12.4 million increase in accounts payable and accrued expenses related to restructuring expenses incurred related to our Chapter 11 Cases, as well as the timing of drydocking related expenses, in addition to a $7.9 million increase in deferred drydocking costs incurred during the first half of 2014 as a total of 15 vessels completed drydockings during the first half of 2014, including six of Baltic Trading’s vessels.

Net cash used in investing activities for the six months ended June 30, 2014 and 2013 was $30.3 million and $0.2 million, respectively.  Net cash used in investing activities for the six months ended June 30, 2014 consisted primarily of $29.8 million of vessel asset purchases, including deposits. This consisted primarily of deposits made by Baltic Trading for its four newbuilding Ultramax vessels that it has agreed to acquire.  Additionally, during the six months ended June 30, 2014, there was $0.4 million purchases of fixed assets, as well as additional deposits of restricted cash of $0.1 million. For the six months ended June 30, 2013, cash used in investing activities consisted primarily of the purchase of fixed assets in the amount of $0.2 million.

Net cash used in financing activities was $11.6 million during the six months ended June 30, 2014 as compared to $22.5 million net cash provided by financing activities during the six months ended June 30, 2013. Net cash used in financing activities during the six months ended June 30, 2014 was primarily a result of a $5.1 million repayment of debt under the $253 Million Term Loan Facility, a $1.9 million repayment of debt under the $100 Million Term Loan Facility, a $1.4 million repayment of debt under the Baltic Trading $44 Million Term Loan Facility, a $0.8 million repayment of debt under the Baltic Trading $22 Million Term Loan Facility, $0.1 million for payment of common stock issuance costs by Baltic Trading and $0.4 million for payments of deferred financing costs.  Net cash provided by financing activities during the six months ended June 30, 2013 was primarily a result of $21.8 million of proceeds from common stock issued by Baltic Trading as well as $1.0 million of proceeds from the 2010 Baltic Trading Credit Facility.  Cash dividends paid by our subsidiary, Baltic Trading, to its outside shareholders were $2.0 million during the six months ended June 30, 2014 as compared to $0.3 million during the six months ended June 30, 2013.

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Credit Facilities

Refer to the 2013 10-K for a summary and description of our outstanding credit facilities, including the underlying financial and non-financial covenants.  On August 29, 2013, Baltic Trading entered into an amendment to the 2010 Baltic Trading Credit Facility. Additionally, on August 30, 2013, wholly-owned subsidiaries of Baltic Trading entered into the Baltic Trading $22 Million Term Loan Facility to fund a portion of the purchase of the Baltic Fox and Baltic Hare. Lastly, on December 3, 2013, wholly-owned subsidiaries of Baltic Trading entered into the Baltic Trading $44 Million Term Loan Facility to fund or refund a portion of the purchase of the Baltic Tiger and Baltic Lion.  Refer to Note 9 —Debt in our condensed consolidated financial statements for further information regarding the terms and fees associated with these agreements.

We did not make the scheduled semi-annual interest payment of approximately $3.1 million due on February 18, 2014 under our 2010 Notes. However, a failure to pay interest on such payment date did not constitute an event of default (as defined in the indenture and the supplemental indenture governing the 2010 Notes, or the Indenture) unless such failure were to continue for a grace period of 30 days. Despite such grace period, the failure to make the interest payment on such payment date could have constituted a default under the $100 Million Term Loan Facility. Accordingly, on February 18, 2014, we entered into a Limited Waiver of Default (the “Waiver Agreement”) with the lenders party to the Loan Agreement for the $100 Million Term Loan Facility. Under the terms of the Waiver Agreement, such lenders agreed to waive, subject to certain conditions, an Event of Default under the $100 Million Term Loan Facility resulting from the Company’s failure to make the scheduled semi-annual interest payment under the 2010 Notes. The Company made the scheduled semi-annual interest payment under the 2010 Notes on March 20, 2014, before the expiration of the waiver under the Waiver Agreement.

To allow discussions with our creditors concerning our restructuring to continue into April 2014 without the need to file for immediate bankruptcy relief, on March 31, 2014, we entered into the Relief Agreements to obtain waivers or forbearances with respect to certain potential or actual events of default as of March 31, 2014 as follows:

·      not making the scheduled amortization payment on March 31, 2014 under our 2007 Credit Facility;

·not meeting the consolidated interest ratio covenant for the period ended March 31, 2014;

·not meeting the maximum leverage ratio covenant for the period ending March 31, 2014;

·not meeting the collateral maintenance test under the 2007 Credit Facility;

·not meeting the minimum cash balance covenant under the 2007 Credit Facility;

·not furnishing audited financial statements to the lenders within 90 days after year end for the year ended December 31, 2013;

·a cross-default with respect to our outstanding interest rate swap with respect to the foregoing;

·cross-defaults among our credit facilities with respect to the foregoing; and

·any related defaults or events of default resulting from the failure to give notice with respect to any of the foregoing.

The Relief Agreements provided that the agent and consenting lenders would waive or forbear through 11:59 p.m. on April 1, 2014 to exercise their rights and remedies with respect to the foregoing potential or actual events of default, subject to earlier termination if a subsequent event of default occurs under our credit agreements other than those described above or if we breach the terms of the Relief Agreements. Under new agreements we entered into with the other parties to the Relief Agreements on April 1, 2014, the foregoing deadline was extended to 11:59 p.m. on April 21, 2014, on which date we filed the Chapter 11 Cases.

As a result of the filing of the Chapter 11 Cases, all indebtedness outstanding under the 2007 Credit Facility and the Indenture was accelerated and became due and payable, and indebtedness under the other agreements and instruments described above can be accelerated and become due and payable upon notice to the Company, subject to an automatic stay of any action to collect, assert, or recover a claim against the Company or the other Debtors and the application of the applicable provisions of the Bankruptcy Code.

On July 2, 2014, the Bankruptcy Court entered the Confirmation Order, confirming the Plan.  On July 9, 2014 (the “Effective Date”), we completed our financial restructuring and emerged from Chapter 11 through a series of transactions contemplated by the Plan, and the Plan became effective pursuant to its terms

Key components of the Plan regarding the credit facilities and 2010 Notes includd:

·The conversion of 100% of the Claims under the 2007 Credit Facility into 81.1% of the New Genco Common Stock (subject to dilution by the warrants issued under the Plan). On the Effective Date, the 2007 Credit Facility was terminated, and the liens and mortgages thereunder were released.  Refer to Note 9 — Debt in our condensed consolidated balance sheet for further information.

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·The conversion of 100% of the Claims under the 2010 Notes into 8.4% of the New Genco Common Stock (subject to dilution by the warrants issued under the Plan). On the Effective Date, the 2010 Notes and the Indenture were fully satisfied and discharged.   Refer to Note 10 — Convertible Senior Notes in our condensed consolidated financial statements for further information.

·The amendment and restatement of the $253 Million Term Loan Facility and the $100 Million Term Loan Facility as of the Effective Date, with extended maturities, a financial covenant holiday and certain other amendments, as discussed further in Note 9 — Debt in our condensed consolidated financial statements.

Beginning as of March 31, 2013, we believed that it would be probable that we would not be in compliance with certain covenants at measurement dates within the next twelve months under our 2007 Credit Facility, $100 Million Term Loan Facility and the $253 Million Term Loan Facility. As noted above, events of default occurred under these facilities on March 31, 2014 and we were in Chapter 11 as of June 30, 2014. As such, the debt outstanding under these three facilities has been classified as a current liability beginning March 31, 2013 and was classified as Liabilities subject to compromise as of June 30, 2014. The total debt outstanding under these facilities as of June 30, 2014 was $1,305.2 million.

As of June 30, 2014, we believe we were in compliance with all of the financial covenants under the 2010 Baltic Trading Credit Facility, as amended; the Baltic Trading $22 Million Term Loan Facility; and the Baltic Trading $44 Million Term Loan Facility.

Convertible Notes Payable

Refer to Note 10 — Convertible Senior Notes of our condensed consolidated financial statements for a summary of the convertible notes payable.  On the Effective Date when the Company emerged from Chapter 11, the 2010 Notes and the Indenture were fully satisfied and discharged.

Interest Rate Swap Agreements, Forward Freight Agreements and Currency Swap Agreements

At December 31, 2013, we had four interest rate swap agreements with DnB NOR Bank to manage interest costs and the risk associated with changing interest rates. The total notional principal amount of the swaps was $306.2 million and the swaps had specified rates and durations.  Notwithstanding the forbearances under the Relief Agreements, the fact that we did not make the scheduled amortization payment under our 2007 Credit Facility on March 31, 2014 constituted an event of default under our currently outstanding interest rate swap.

As of March 31, 2014, we were in default under covenants of our 2007 Credit Facility due to the default on the scheduled debt amortization payment due on March 31, 2014. The default under the 2007 Credit Facility required us to elect interest periods of only one month; therefore, we no longer qualified for hedge accounting under the original designation and hedge accounting was terminated effective March 31, 2014.  Additionally, the filing of the Chapter 11 Cases on the Petition Date constituted an event of default with respect to the outstanding interest rate swap with DNB Bank ASA.  As a result, DNB Bank ASA terminated all transactions under the remaining swap agreement effective April 30, 2014 and issued a secured claim with the Bankruptcy Court of $5,622. As such, in accordance with applicable accounting guidance, the liability related to the interest rate swap outstanding as of June 30, 2014 was classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.  The interest rate swap was settled on the Effective Date upon our emergence from bankruptcy.

Refer to the table in Note 11 — Interest Rate Swap Agreements of our condensed consolidated financial statements for further information.

We have considered the creditworthiness of both ourselves and the counterparty in determining the fair value of the interest rate derivatives, and such consideration resulted in an immaterial adjustment to the fair value of derivatives on the balance sheet. Valuations prior to any adjustments for credit risk are validated by comparison with counterparty valuations.  Amounts are not and should not be identical due to the different modeling assumptions.  Any material differences are investigated.

As part of our business strategy, we may enter into arrangements commonly known as forward freight agreements, or FFAs, to hedge and manage market risks relating to the deployment of our existing fleet of vessels.  These arrangements may include future contracts, or commitments to perform in the future a shipping service between ship owners, charterers and traders.  Generally, these arrangements would bind us and each counterparty in the arrangement to buy or sell a specified tonnage freighting commitment “forward” at an agreed time and price and for a particular route.  Although FFAs can be entered into for a variety of purposes, including for hedging, as an option, for trading or for arbitrage, if we decided to enter into FFAs, our objective would be to hedge and manage market risks as part of our commercial management. It is not currently our intention to enter into FFAs to generate a stream of income independent of the revenues we derive from the operation of our fleet of vessels.  If we determine to enter into FFAs, we may reduce our exposure to any declines in our results from operations due to weak market conditions or downturns, but may also limit our

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ability to benefit economically during periods of strong demand in the market.  We have not entered into any FFAs as of June 30, 2014 and December 31, 2013.

Contractual Obligations

The following table sets forth our contractual obligations and their maturity dates as of June 30, 2014.  The table incorporates the employment agreement entered into in September 2007 with our Chief Financial Officer, John Wobensmith.  The table reflects Baltic Trading’s agreements to acquire four newbuilding Ultramax drybulk vessels from Yangfan Group Co., Ltd. for an aggregate purchase price of $112.0 million.  Baltic Trading plans to finance these vessel acquisitions with a combination of cash on hand, future cash flow from operations, as well as debt or equity financing as discussed above under “Liquidity and Capital Resources.”  The interest and borrowing fees and credit agreement payments below reflect the 2010 Baltic Trading Credit Facility, the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility.  The following table also incorporates the future lease payments associated with the lease for our current space and excludes the lease from our former space as we have filed a motion to reject the lease for our former space in the bankruptcy proceedings which was accepted on the Effective Date upon our emergence from Chapter 11.  Refer to Note 21 — Commitments and Contingencies in our condensed consolidated financial statements for further information regarding the terms of our two lease agreements.

	Total		Less than One Year (1)		One to Three Years		Three to Five Years		More than Five Years
	(U.S. dollars in thousands)
Credit Agreements and 2010 Notes (2)	$	165,750	$	2,125	$	110,750	$	8,500	$	44,375
Interest and borrowing fees (2)	18,473		2,877		10,603		3,605		1,388
Remainder of purchase price of vessels (3)	84,000		44,800		39,200		—		—
Executive employment agreement	115		115		—		—		—
Office leases	20,186		491		2,113		1,992		15,590
Totals	$	288,524	$	50,408	$	162,666	$	14,097	$	61,353

(1)Represents the six-month period ending December 31, 2014.

(2)Does not include principal payments, interest, borrowing fees, or other amounts payable under the 2007 Credit Facility, under which there is approximately $1,055.9 million of principal outstanding as of June 30, 2014; the $100 Million Term Loan Facility, under which there is approximately $73.6 million of principal outstanding as of June 30, 2014, the $253 Million Term Loan Facility, under which there is approximately $175.7 million of principal outstanding as of June 30, 2014; the 2010 Notes, under which there is $125 million of principal outstanding as of June 30, 2014 which is due upon the maturity of the 2010 Notes on August 15, 2015; or the outstanding interest rate swap with DnB NOR Bank, relating to a liability position of approximately $5.6 million as of June 30, 2014.  The Company’s payment obligations with respect to the foregoing are subject to the automatic stay in the Chapter 11 Cases. These amounts have been recorded as Liabilities subject to compromise in the condensed consolidated balance sheet.  Pursuant to the Prepack Plan, it is contemplated that the 2007 Credit Facility will be converted into equity of the reorganized Company and that the $253 Million Facility and the $100 Million Facility will be amended to provide for extended maturity dates through August 2019 and other modifications.  In addition, it is contemplated under the Plan that claims in respect of the 2010 Notes will be converted into equity of the reorganized Company and that the outstanding interest rate swap will be paid in full in cash.  As of June 30, 2014, the Plan was subject to confirmation in the Chapter 11 Cases and the Company could not determine the timing and amounts of its payment obligations with respect to the foregoing.  As of the Effective Date on July 9, 2014, the Plan was approved by the Bankruptcy Court.  Refer to Note 1 — General Information and Note 9 — Debt in our condensed consolidated financial statements for further information.

(3)The timing of this obligation is based on the estimated delivery dates for the Baltic Hornet, Baltic Wasp, Baltic Scorpion and Baltic Mantis.

Interest expense has been estimated using 0.1875% plus the applicable bank margin of 3.00% for the 2010 Baltic Trading Credit Facility.  For the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility, interest expense has been estimated using 0.25% plus the applicable margin of 3.35%.

Capital Expenditures

We make capital expenditures from time to time in connection with our vessel acquisitions.  Excluding Baltic Trading’s vessels, our fleet currently consists of nine Capesize drybulk carriers, eight Panamax drybulk carriers, 17 Supramax drybulk carriers, six Handymax drybulk carriers and 13 Handysize drybulk carriers.  Baltic Trading’s fleet currently consists of four Capesize drybulk carriers, four Supramax drybulk carriers and five Handysize drybulk carriers.  After the expected delivery of the four Ultramax vessels that Baltic Trading has agreed to acquire, Baltic Trading’s fleet will consists of four Capesize drybulk carriers, four Ultramax drybulk carriers, four Supramax drybulk carriers and five Handysize drybulk carriers. Baltic Trading intends to use a combination of cash on

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hand, future cash flow from operations as well as debt or equity financing to fully finance the acquisition of these four Ultramax newbuilding drybulk vessels.

As previously announced, we have initiated a fuel efficiency upgrade program for certain of our vessels.  We believe this program will generate considerable fuel savings going forward and increase the future earnings potential for these vessels. The cost of the upgrades, which will be performed under the planned drydocking schedule, is expected to be approximately $0.3 million for a Supramax vessel and $0.5 million for a Capesize vessels and is included in GS&T and Baltic Trading’s estimated drydocking costs below. We expect these upgrades to be installed on three of GS&T’s Supramax vessels and one of GS&T’s Capesize vessels  during the remainder of 2014.  The upgrades have been successfully installed on five of Baltic Trading’s vessels, the Baltic Cougar, the Baltic Panther, the Baltic Leopard, the Baltic Jaguar and the Baltic Wind, which completed their planned drydockings during the first half of 2014.

Genco Shipping & Trading Limited

In addition to acquisitions that we may undertake in future periods, we will incur additional expenditures due to special surveys and drydockings for our fleet. We estimate our drydocking costs, including capitalized costs incurred during drydocking related to vessel assets and vessel equipment, and scheduled off-hire days for our fleet, excluding Baltic Trading’s vessels, through 2015 to be:

Year	Estimated Drydocking Cost		Estimated Off-hire Days
	(U.S. dollars in millions)
2014 (July 1- December 31, 2014)	$	7.8	180
2015	$	11.7	320

The costs reflected are estimates based on drydocking our vessels in China. Actual costs will vary based on various factors, including where the drydockings are actually performed.  We expect to fund these costs with cash from operations.  These costs do not include drydock expense items that are reflected in vessel operating expenses.

We estimate that each drydock will result in 20 days of off-hire.  Actual length will vary based on the condition of the vessel, yard schedules and other factors.

During the six months ended June 30, 2014 and 2013, we incurred a total of $5.9 million and $1.4 million of drydocking costs, respectively.

Nine of our vessels completed their drydockings during the six months ended June 30, 2014, including the Genco Acheron and Genco Loire, which entered the drydocking yard during the fourth quarter of 2013.  Additionally, the Genco Reliance was in drydocking during the six months ended June 30, 2014, but did not complete its drydocking until July 3, 2014.  We estimate that nine of our vessels will be drydocked during the remainder of 2014 and an additional 16 of our vessels will be drydocked during 2015.

Baltic Trading Limited

In addition to acquisitions that Baltic Trading may undertake in future periods, Baltic Trading will incur additional capital expenditures due to special surveys and drydockings for its fleet. We estimate our drydocking costs, including capitalized costs incurred during drydocking related to vessel assets and vessel equipment, and scheduled off-hire days for Baltic Trading’s fleet through 2015 to be:

Year	Estimated Drydocking Cost		Estimated Off-hire Days
	(U.S. dollars in millions)
2014 (July 1- December 31, 2014)	$	—	—
2015	$	3.6	100

The costs reflected are estimates based on drydocking our vessels in China. Actual costs will vary based on various factors, including where the drydockings are actually performed.  We expect to fund these costs with cash from operations.  These costs do not include drydock expense items that are reflected in vessel operating expenses.

We estimate that each drydock will result in 20 days of off-hire.  Actual length will vary based on the condition of the vessel, yard schedules and other factors.

Baltic Trading incurred drydocking costs of $3.4 million and $0 during the six months ended June 30, 2014 and 2013.

Six of Baltic Trading’s vessels were drydocked during the six months ended June 30, 2014.  We estimated that none of our vessels will be drydocked during the remainder of 2014 and five of our vessels will be drydocked during 2015.

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Off-Balance Sheet Arrangements

We do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.

Inflation

Inflation has only a moderate effect on our expenses given current economic conditions. In the event that significant global inflationary pressures appear, these pressures would increase our operating, voyage, general and administrative, and financing costs.

CRITICAL ACCOUNTING POLICIES

There have been no changes or updates to the critical accounting policies as disclosed in the 2013 10-K.

Vessels and Depreciation

We record the value of our vessels at their cost (which includes acquisition costs directly attributable to the vessel and expenditures made to prepare the vessel for its initial voyage) less accumulated depreciation.  We depreciate our drybulk vessels on a straight-line basis over their estimated useful lives, estimated to be 25 years from the date of initial delivery from the shipyard.  Depreciation is based on cost less the estimated residual scrap value of $245/lwt.  We estimate residual scrap value based on the 15-year average scrap value of steel.  An increase in the residual value of the vessels would decrease the annual depreciation charge over the remaining useful life of the vessel.  Similarly, an increase in the useful life of a drybulk vessel would also decrease the annual depreciation charge.  Comparatively, a decrease in the useful life of a drybulk vessel or in its residual value would have the effect of increasing the annual depreciation charge.  However, when regulations place limitations over the ability of a vessel to trade on a worldwide basis, we will adjust the vessel’s useful life to end at the date such regulations preclude such vessel’s further commercial use.

The carrying value of each of our vessels does not represent the fair market value of such vessel or the amount we could obtain if we were to sell any of our vessels, which could be more or less.  Under U.S. GAAP, we would not record a loss if the fair market value of a vessel (excluding its charter) is below our carrying value unless and until we determine to sell that vessel or the vessel is impaired as discussed in the 2013 10-K.  Excluding the three Bourbon vessels we resold immediately upon delivery to MEP at our cost, we have sold three of our vessels since our inception and realized a profit in each instance.  However, we did determine to cancel an acquisition of six drybulk newbuildings in November 2008, incurring a $53.8 million loss from the forfeiture of our deposit and related interest.

Pursuant to our bank credit facilities, we regularly submit to the lenders valuations of our vessels on an individual charter free basis in order to evidence our compliance with the collateral maintenance covenants under our bank credit facilities.  Such a valuation is not necessarily the same as the amount any vessel may bring upon sale, which may be more or less, and should not be relied upon as such.  We were in compliance with the collateral maintenance covenants under the 2010 Baltic Trading Credit Facility, the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility at June 30, 2014.  As a result of the Chapter 11 Cases, as of June 30, 2014, we were in default under the 2007 Credit Facility, $100 Million Term Loan Facility and the $253 Million Term Loan Facility.  As such, we did not obtain valuations of the vessels collateralized under these credit facilities.  We obtained valuations for all of the vessels in our fleet, included Baltic Trading, as of July 9, 2014, the Effective Date which represented our emergence from bankruptcy.  These valuations may be utilized if we adopt fresh-start accounting during the third quarter of 2014.  For purposes of comparing the carrying value of our vessels with the vessel valuations, we utilized the July 9, 2014 valuations.  In the chart below, we list each of our vessels that represent the collateral for the aforementioned credit facilities, the year it was built, the year we acquired it, and its carrying value at June 30, 2014 and December 31, 2013.

At June 30, 2014, the vessel valuations of all of our vessels as of the Effective Date of July 9, 2014, with the exception of the Baltic Fox, Baltic Hare, Baltic Lion and Baltic Tiger, were lower than their carrying values at June 30, 2014.  At December 31, 2013, the vessel valuations of all of our vessels for covenant compliance purposes under our bank credit facilities as of the most recent compliance testing date, with the exception of the Baltic Fox, Baltic Hare and Baltic Lion, were lower than their carrying values at December 31, 2013.  For the Genco Ocean, Genco Bay, Genco Avra, Genco Mare and Genco Spirit, the last compliance testing date prior to December 31, 2013 was August 17, 2013 in accordance with the terms of the $100 Million Term Loan Facility; for all other vessels, the compliance testing date used at December 31, 2013 was December 31, 2013, in accordance with the terms of the applicable credit facility.

The amount by which the carrying value at June 30, 2014 of all of the vessels in our fleet, with the exception of the Baltic Fox, Baltic Hare, Baltic Lion and Baltic Tiger, exceeded the valuation of such vessels as of July 9, 2014, on an individual vessel basis,

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from $1.6 million to $57.4 million per vessel, and $1,075.3 million on an aggregate fleet basis.  The amount by which the carrying value at December 31, 2013 of all of the vessels in our fleet, with the exception of the Baltic Fox, Baltic Hare and Baltic Lion, exceeded the valuation of such vessels for covenant compliance purposes ranged, on an individual vessel basis, from $0.3 million to $64.3 million per vessel, and $1,171.3 million on an aggregate fleet basis.  The average amount by which the carrying value of our vessels exceeded the valuation of such vessels as of July 9, 2014 was $17.3 million at June 30, 2014 and the average amount by which the carrying value of our vessels exceeded the valuation of such vessels for covenant compliance purposes was $18.6 million as of December 31, 2013.  However, neither such valuation nor the carrying value in the table below reflects the value of long-term time charters related to some of our vessels.

			Carrying Value (U.S. dollars in thousands) as of
Vessels	Year Built	Year Acquired	June 30, 2014		December 31, 2013
2007 Credit Facility
Genco Reliance	1999	2004	$	13,594	$	14,135
Genco Vigour	1999	2004	18,639		19,393
Genco Explorer	1999	2004	13,461		13,981
Genco Carrier	1998	2004	13,409		14,087
Genco Sugar	1998	2004	12,418		13,016
Genco Pioneer	1999	2005	13,239		13,849
Genco Progress	1999	2005	13,468		14,035
Genco Wisdom	1997	2005	12,571		13,238
Genco Success	1997	2005	12,458		13,139
Genco Beauty	1999	2005	18,728		19,514
Genco Knight	1999	2005	18,419		19,205
Genco Leader	1999	2005	18,378		19,183
Genco Marine	1996	2005	11,825		12,382
Genco Prosperity	1997	2005	12,637		13,318
Genco Muse	2001	2005	18,679		19,371
Genco Acheron	1999	2006	18,219		18,981
Genco Surprise	1998	2006	17,175		17,974
Genco Augustus	2007	2007	95,455		98,002
Genco Tiberius	2007	2007	95,649		98,193
Genco London	2007	2007	97,220		99,694
Genco Titus	2007	2007	97,792		100,199
Genco Challenger	2003	2007	29,170		30,169
Genco Charger	2005	2007	32,572		33,537
Genco Warrior	2005	2007	47,525		48,971
Genco Predator	2005	2007	48,829		50,309
Genco Hunter	2007	2007	53,262		54,614
Genco Champion	2006	2008	34,102		35,080
Genco Constantine	2008	2008	102,543		105,126
Genco Raptor	2007	2008	69,694		71,552
Genco Cavalier	2007	2008	57,006		58,506
Genco Thunder	2007	2008	69,953		71,782
Genco Hadrian	2008	2008	101,087		103,504
Genco Commodus	2009	2009	103,566		105,973
Genco Maximus	2009	2009	103,602		105,990
Genco Claudius	2010	2009	105,294		107,688
TOTAL			$	1,601,638	$	1,647,690
$100 Million Term Loan Facility
Genco Bay	2010	2010	29,389		30,024
Genco Ocean	2010	2010	29,473		30,100
Genco Avra	2011	2011	30,566		31,194
Genco Mare	2011	2011	30,486		31,107
Genco Spirit	2011	2011	31,106		31,732
TOTAL			$	151,020	$	154,157
$253 Million Term Loan Facility
Genco Aquitaine	2009	2010	31,119		31,601

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			Carrying Value (U.S. dollars in thousands) as of
Vessels	Year Built	Year Acquired	June 30, 2014		December 31, 2013
Genco Ardennes	2009	2010	31,261		31,752
Genco Auvergne	2009	2010	31,114		31,745
Genco Bourgogne	2010	2010	31,073		31,734
Genco Brittany	2010	2010	31,141		31,799
Genco Languedoc	2010	2010	31,303		31,966
Genco Loire	2009	2010	28,250		28,870
Genco Lorraine	2009	2010	27,947		28,565
Genco Normandy	2007	2010	25,690		26,311
Genco Picardy	2005	2010	24,988		25,705
Genco Provence	2004	2010	24,574		25,299
Genco Pyrenees	2010	2010	31,095		31,742
Genco Rhone	2011	2011	32,685		33,347
TOTAL			$	382,240	$	390,436
2010 Baltic Trading Credit Facility
Baltic Leopard	2009	2009	29,866		30,312
Baltic Panther	2009	2010	29,941		30,389
Baltic Cougar	2009	2010	30,085		30,540
Baltic Jaguar	2009	2010	30,016		30,459
Baltic Bear	2010	2010	62,417		63,754
Baltic Wolf	2010	2010	62,254		63,561
Baltic Wind	2009	2010	28,624		29,081
Baltic Cove	2010	2010	28,818		29,437
Baltic Breeze	2010	2010	29,383		30,002
TOTAL			$	331,404	$	337,535
Baltic Trading $22 Million Term Loan Facility
Baltic Fox	2010	2013	20,570		21,017
Baltic Hare	2009	2013	19,526		19,955
TOTAL			$	40,096	$	40,972
Baltic Trading $44 Million Term Loan Facility
Baltic Lion	2009	2013	51,747		52,589
Baltic Tiger	2010	2013	49,639		50,416
TOTAL			$	101,386	$	103,005
Consolidated Total			$	2,607,784	$	2,673,795

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ITEM 3.       QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Interest rate risk

We are exposed to the impact of interest rate changes.  Our objective is to manage the impact of interest rate changes on our earnings and cash flow in relation to our borrowings.  We held four interest rate swap agreements with DnB NOR Bank at December 31, 2013 to manage future interest costs and the risk associated with changing interest rates.  The total notional principal amount of the swaps was $306.2 million and the swaps have specified rates and durations.   Three swaps expired during the three months ended March 31, 2014. Refer to the table in Note 11 — Interest Rate Swap Agreements of our condensed consolidated financial statements which summarizes the interest rate swaps in place as of December 31, 2013.

As of March 31, 2014, we were in default under covenants of its 2007 Credit Facility due to the default on the scheduled debt amortization payment due on March 31, 2014. The default under the 2007 Credit Facility required us to elect interest periods of only one-month, therefore we no longer qualified for hedge accounting under the original designation and hedge accounting was terminated effective March 31, 2014.  Additionally, the filing of the Chapter 11 Cases on the Petition Date constituted an event of default with respect to the outstanding interest rate swap with DNB Bank ASA.  As a result, DNB Bank ASA terminated all transactions under the remaining swap agreement effective April 30, 2014 and issued a secured claim with the Bankruptcy Court of $5,622. As such, in accordance with applicable accounting guidance, the liability related to the interest rate swap outstanding as of June 30, 2014 was classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.  The interest rate swap was settled on the Effective Date upon our emergence from bankruptcy.    Refer to Note 11 — Interest Rate Swap Agreements for additional information.

The swap agreements outstanding as of December 31, 2013 synthetically converted variable rate debt to fixed rate debt at the fixed interest rate of the swap plus the applicable margin of 3.00%.

The total liability associated with the swaps at June 30, 2014 is $5.6 million and $7.0 million at December 31, 2013, and is presented as Liabilities subject to compromise and Fair value of derivative instruments, respectively, on the Condensed Consolidated Balance Sheets.  As of June 30, 2014 and December 31, 2013, we have accumulated other comprehensive income (loss) (“AOCI”) of ($4.7) million and ($7.0) million, respectively.  The remaining interest rate swap outstanding as of June 30, 2014 was not hedged as cash flow hedge accounting was discontinued beginning on March 31, 2013  as a result of the default under the 2007 Credit Facility (see above).  Once cash flow hedge accounting was discontinued, the changes in the fair value of the interest rate swaps were recorded in the Condensed Consolidated Statement of Operations in interest expense and the remaining amounts included in AOCI are amortized to interest expense over the original term of the hedging relationship.  Hedge ineffectiveness associated with the interest rate swaps resulted in a minimal amount of other income (expense) during the three and six months ended June 30, 2013 and there was no hedge ineffectiveness during the three and six months ended June 30, 2014.

We are subject to market risks relating to changes in LIBOR rates because we have significant amounts of floating rate debt outstanding. We are subject to a facility fee of 1.0% per annum on the average daily outstanding principal amount of the outstanding loan under the 2007 Credit Facility. Additionally, during the six months ended June 30, 2014 and 2013, we paid LIBOR plus 3.00% on the outstanding debt under the 2007 Credit Facility, $100 Million Term Loan Facility, $253 Million Term Loan Facility and the 2010 Baltic Trading Credit Facility. During the six months ended June 30, 2014, we also paid three-month LIBOR plus 3.35% on the outstanding debt under the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility. A 1% increase in LIBOR would result in an increase of $6.7 million in interest expense for the six months ended June 30, 2014, considering the increase would be only on the unhedged portion of the debt.  For any unpaid loan payments due under the $100 Million Term Facility and the $253 Million Term Loan Facility during the bankruptcy period, the Company incurred an additional 2.00% default interest only on the unpaid loan amounts due during the bankruptcy period.

Derivative financial instruments

As of December 31, 2013, we held four interest rate swap agreements with DnB NOR Bank to manage interest costs and the risk associated with changing interest rates.  The total notional principal amount of the swaps was $306.2 million and the swaps had specified rates and durations.  Three swaps expired during the three months ended March 31, 2014. Refer to the table in Note 11 — Interest Rate Swap Agreements of our condensed consolidated financial statements, which summarizes the interest rate swaps in place as of December 31, 2013.

The differential to be paid or received for these swap agreements is recognized as an adjustment to interest expense as incurred.  The interest rate differential pertaining to the interest rate swaps for the three months ended June 30, 2014 and 2013 was $0.4 million and $2.5 million, respectively.   The interest rate differential pertaining to the interest rate swaps for the six months ended June 30, 2014 and 2013 was $1.8 million and $4.9 million, respectively.  The Company was utilizing cash flow hedge accounting for the swaps whereby the effective portion of the change in value of the swaps is reflected as a component of AOCI until March 31, 2014.  The ineffective portion was recognized as other (expense) income, which is a component of other (expense) income.  If for any

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period of time we did not designate the swaps for hedge accounting, the change in the value of the swap agreements prior to designation would be recognized as other (expense) income.

As of March 31, 2014, we were in default under covenants of its 2007 Credit Facility due to the default on the scheduled debt amortization payment due on March 31, 2014. The default under the 2007 Credit Facility required us to elect interest periods of only one-month, therefore we no longer qualified for hedge accounting under the original designation and hedge accounting was terminated effective March 31, 2014.  Additionally, the filing of the Chapter 11 Cases on the Petition Date constituted an event of default with respect to the outstanding interest rate swap with DNB Bank ASA.  As a result, DNB Bank ASA terminated all transactions under the remaining swap agreement effective April 30, 2014 and issued a secured claim with the Bankruptcy Court of $5,622. As such, in accordance with applicable accounting guidance, the liability related to the interest rate swap outstanding as of June 30, 2014 was classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.  The interest rate swap was settled on the Effective Date upon our emergence from bankruptcy.    Refer to Note 11 — Interest Rate Swap Agreements for additional information.

Amounts receivable or payable arising at the settlement of hedged interest rate swaps are deferred and amortized as an adjustment to interest expense over the period of interest rate exposure provided the designated liability continues to exist.  Amounts receivable or payable arising at the settlement of unhedged interest rate swaps are reflected as other (expense) income and is listed as a component of other (expense) income.  Due to the Chapter 11 Cases, the liability related to the outstanding swap agreement was classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheet.

Refer to “Interest rate risk” section above for further information regarding the interest rate swap agreements.

Currency and exchange rates risk

The international shipping industry’s functional currency is the U.S. Dollar.  Virtually all of our revenues and most of our operating costs are in U.S. Dollars.  We incur certain operating expenses in currencies other than the U.S. dollar, and the foreign exchange risk associated with these operating expenses is immaterial.

As part of our business strategy, we may enter into short-term forward currency contracts to protect ourselves from the risk arising from the fluctuation in the exchange rate associated with the cost basis of the Jinhui shares.

Investments

At June 30, 2014, we hold investments in Jinhui with a carrying amount of $49.5 million and investments in KLC with a carrying amount of $0.1 million, both of which are classified as available for sale (“AFS”) under Accounting Standards Codification 320-10, “Investments — Debt and Equity Securities” (“ASC 320-10”).  These investments are classified as noncurrent assets based on our intent to hold the investment at each reporting date.  The investments that are classified as AFS are subject to risk of changes in market value, which if determined to be impaired (other than temporarily impaired), could result in realized impairment losses.  We review the carrying value of such investments on a quarterly basis to determine if any valuation adjustments are appropriate under ASC 320-10.  We will continue to evaluate our investment in Jinhui and KLC on a quarterly basis to determine the likelihood of any significant adverse effects on the fair value and amount of any impairment.  For the three and six months ended June 30, 2014 and 2013, we have not deemed our investments to be impaired.  In the event we determine that the Jinhui or KLC investment are subject to any impairment, the amount of the impairment would be reclassified from AOCI and recorded as a loss in the Condensed Consolidated Statement of Operations for the amount of the impairment.

ITEM 4.       CONTROLS AND PROCEDURES

EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES

Under the supervision and with the participation of our management, including our President and Chief Financial Officer, we have evaluated the effectiveness of the design and operation of our disclosure controls and procedures as defined in Rule 13a-15(e) and 15d-15(e) of the Exchange Act as of the end of the period covered by this report. Based upon that evaluation, our President and Chief Financial Officer have concluded that our disclosure controls and procedures are effective.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

There have been no changes in our internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act) during our most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II:OTHER INFORMATION

ITEM 1.LEGAL PROCEEDINGS

We commenced the Chapter 11 Cases to implement our restructuring. Pursuant to the Bankruptcy Code, the filing of a bankruptcy petition automatically stays certain actions against us, including actions to collect pre-petition indebtedness or to exercise control over the property of our bankruptcy estates. The Plan provided for the treatment of allowed claims against our bankruptcy estates, including pre-petition liabilities. The treatment of such liabilities under the Plan is expected to result in a material adjustment to our financial statements.

On March 28, 2014, the Genco Auvergne was arrested due to a disputed claim with the charterer of one of our other vessels, namely the Genco Ardennes. In order for us to release the Genco Auvergne from its arrest, we entered into a cash collateralized $0.9 million bank guarantee with Skandinaviska Enskilda Banken AB (the “SEB Bank Guarantee”) on April 3, 2014. The vessel has since been released from its arrest and the bank guarantee will remain in an escrow account until the arbitration related to this case is completed. The SEB Bank Guarantee resulted in additional indebtedness. As we are currently in default under the covenants of its 2007 Credit Facility due to the default on a scheduled debt amortization payment due on March 31, 2014, on April 3, 2014 we received a consent from the lenders under the 2007 Credit Facility to incur this additional indebtedness. Also, under the $253 Million Term Loan Facility for which the Genco Auvergne is collateralized, we may not incur additional indebtedness related to its collateralized vessels under this facility. We also received a consent from the lenders under the $253 Million Term Loan Facility on April 3, 2014 in order to enter the SEB Bank Guarantee.

We have not been involved in any other legal proceedings which we believe are likely to have, or have had a significant effect on our business, financial position, results of operations or cash flows, nor are we aware of any proceedings that are pending or threatened which we believe are likely to have a significant effect on our business, financial position, results of operations or liquidity. From time to time, we may be subject to legal proceedings and claims in the ordinary course of business, principally personal injury and property casualty claims. We expect that these claims would be covered by insurance, subject to customary deductibles. Those claims, even if lacking merit, could result in the expenditure of significant financial and managerial resources.

ITEM 1A.      RISK FACTORS

In addition to the other information set forth in this report, you should carefully consider the factors discussed in Part I, “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2013 (the “Form 10-K”), which could materially affect our business, financial condition or future results. The Form 10-K included a risk factor with the following heading:

We may have to pay U.S. tax on U.S. source income, which would reduce our net income and cash flows.

Below is updated information for such risk factor:

During 2014, our stock traded on the NYSE from January 1 until April 21.  Our stock began trading on the OTCBB on July 30, 2014.  We believe that the OTCBB should be treated as established securities markets for purposes of Section 883.  However, we can provide no assurance that the OTCBB will so qualify or that our stock will continue to trade on the OTCBB.  Moreover, the IRS in its discretion may determine that an otherwise qualifying market is not an established securities market for this purpose because such market lacks certain attributes, e.g., adequate listing, financial disclosure, or trading requirements.  Furthermore, it is not clear how the rules under Section 883 will apply to a corporation, such as us, that is trading in two different markets in the same taxable year and not trading for a portion thereof.

In addition, based on the ownership of our stock prior to our July 9, 2014 emergence from bankruptcy (as reflected on the holdings of investors reported on Schedules 13D and 13G), we believe that 5% shareholders will not own 50% or more of our stock for more than half the days in 2014.  However, 5% shareholders may own 50% or more of our stock following our July 9, 2014 emergence from bankruptcy.  If 5% shareholders were to own 50% or more of our stock for more than half the days of any taxable year, we may not be eligible to claim exemption from tax under Section 883.  We can provide no assurance that the ownership of our stock by 5% shareholders will not preclude us from qualifying as publicly traded corporation under Section 883 in 2014 or in future years.

As a result of the uncertainty regarding the qualification of the OTCBB as an established securities market, our continued trading on the OTCBB and the amount of stock owned by 5% shareholders, there can be no assurance that our shipping income will qualify for exemption from U.S. federal income tax pursuant to Section 883 in 2014 or in future years.

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ITEM 6.  EXHIBITS

Exhibit	Document
3.1	Second Amended and Restated Articles of Incorporation of Genco Shipping & Trading Limited.(1)
3.2	Amended and Restated By-Laws of Genco Shipping & Trading Limited, dated as of July 9, 2014.(1)
4.1	Second Amendment to Shareholders Rights Agreement by and between Genco Shipping & Trading Limited and Computershare Inc., as Rights Agent, dated as of April 14, 2014.(2)
10.1	Forbearance Agreement (Second) dated as of April 1, 2014 by and among Wilmington Trust, National Association, Genco Shipping & Trading Limited, the other Credit Parties named therein, and the Lenders named therein.*
10.2	Waiver Agreement dated as of April 1, 2014 by and among Deutsche Bank Luxembourg S.A., as Agent, Genco Shipping & Trading Limited, and the Collateral Owners and Guarantors named therein.*
10.3	Waiver Agreement dated as of April 1, 2014 by and among Crédit Agricole Corporate and Investment Bank, as Agent, Genco Shipping & Trading Limited, and the Collateral Owners named therein.*
10.4	Restructuring Support Agreement by and among Genco Shipping & Trading Limited, certain of its subsidiaries named therein, certain lenders under its 2007 Facility, its $253 Million Facility, and its $100 Million Facility, and certain holders of the 2010 Notes.(3)
10.5	Equity Commitment Agreement among the Company and the Commitment Parties party thereto, dated as of April 14, 2014.(2)
10.6	First Amendment to the Restructuring Support Agreement among the Company, certain of its subsidiaries named therein and the Amending Creditors party thereto, dated as of May 27, 2014.(4)
10.7	First Amendment to Equity Commitment Agreement among the Company, certain of its subsidiaries named therein and the Amending Creditors party thereto, dated as of May 27, 2014.(4)
10.8	Letter Agreement dated June 23, 2014 between Genco Shipping & Trading Limited and John C. Wobensmith.(5)
31.1	Certification of President pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as
	amended.*
31.2	Certification of Chief Financial Officer pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended.*
32.1	Certification of President pursuant to 18 U.S.C. Section 1350.*
32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350.*
101	The following materials from Genco Shipping & Trading Limited’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2014, formatted in XBRL (eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets as of June 30, 2014 and December 31, 2013 (Unaudited), (ii) Condensed Consolidated Statements of Operations for the Three and Six Months ended June 30, 2014 and 2013 (Unaudited), (iii) Condensed Consolidated Statements of Comprehensive Loss for the Three and Six Months ended June 30, 2014 and 2013 (Unaudited), (iv) Condensed Consolidated Statements of Equity for the Six Months Ended June 30, 2014 and 2013 (Unaudited), (v) Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2014 and 2013 (Unaudited), and (vi) Notes to Condensed Consolidated Financial Statements (Unaudited).**

(*)	Filed with this report.
(**)	Pursuant to Rule 406T of Regulation S-T, the Interactive Data Files in Exhibit 101 hereto are not deemed filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are not deemed filed for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.
(1)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and

58

	Exchange Commission on July 15, 2014.
(2)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on April 16, 2014.
(3)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on April 4, 2014.
(4)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on June 2, 2014.
(5)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on June 27, 2014.

(Remainder of page left intentionally blank)

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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.

	GENCO SHIPPING & TRADING LIMITED
DATE: August 15, 2014	By:	/s/ Robert Gerald Buchanan
	Robert Gerald Buchanan
	President
	(Principal Executive Officer)
DATE: August 15, 2014	By:	/s/ John C. Wobensmith
	John C. Wobensmith
	Chief Financial Officer & Secretary
	(Principal Financial and Accounting Officer)

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Exhibit Index

Exhibit	Document
3.1	Second Amended and Restated Articles of Incorporation of Genco Shipping & Trading Limited.(1)
3.2	Amended and Restated By-Laws of Genco Shipping & Trading Limited, dated as of July 9, 2014.(1)
4.1	Second Amendment to Shareholders Rights Agreement by and between Genco Shipping & Trading Limited and Computershare Inc., as Rights Agent, dated as of April 14, 2014.(2)
10.1	Forbearance Agreement (Second) dated as of April 1, 2014 by and among Wilmington Trust, National Association, Genco Shipping & Trading Limited, the other Credit Parties named therein, and the Lenders named therein.*
10.2	Waiver Agreement dated as of April 1, 2014 by and among Deutsche Bank Luxembourg S.A., as Agent, Genco Shipping & Trading Limited, and the Collateral Owners and Guarantors named therein.*
10.3	Waiver Agreement dated as of April 1, 2014 by and among Crédit Agricole Corporate and Investment Bank, as Agent, Genco Shipping & Trading Limited, and the Collateral Owners named therein.*
10.4	Restructuring Support Agreement by and among Genco Shipping & Trading Limited, certain of its subsidiaries named therein, certain lenders under its 2007 Facility, its $253 Million Facility, and its $100 Million Facility, and certain holders of the 2010 Notes.(3)
10.5	Equity Commitment Agreement among the Company and the Commitment Parties party thereto, dated as of April 14, 2014.(2)
10.6	First Amendment to the Restructuring Support Agreement among the Company, certain of its subsidiaries named therein and the Amending Creditors party thereto, dated as of May 27, 2014.(4)
10.7	First Amendment to Equity Commitment Agreement among the Company, certain of its subsidiaries named therein and the Amending Creditors party thereto, dated as of May 27, 2014.(4)
10.8	Letter Agreement dated June 23, 2014 between Genco Shipping & Trading Limited and John C. Wobensmith.(5)
31.1	Certification of President pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as
	amended.*
31.2	Certification of Chief Financial Officer pursuant to Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended.*
32.1	Certification of President pursuant to 18 U.S.C. Section 1350.*
32.2	Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350.*
101	The following materials from Genco Shipping & Trading Limited’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2014, formatted in XBRL (eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets as of June 30, 2014 and December 31, 2013 (Unaudited), (ii) Condensed Consolidated Statements of Operations for the Three and Six Months ended June 30, 2014 and 2013 (Unaudited), (iii) Condensed Consolidated Statements of Comprehensive Loss for the Three and Six Months ended June 30, 2014 and 2013 (Unaudited), (iv) Condensed Consolidated Statements of Equity for the Six Months Ended June 30, 2014 and 2013 (Unaudited), (v) Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2014 and 2013 (Unaudited), and (vi) Notes to Condensed Consolidated Financial Statements (Unaudited).**

(*)	Filed with this report.
(**)	Pursuant to Rule 406T of Regulation S-T, the Interactive Data Files in Exhibit 101 hereto are not deemed filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are not deemed filed for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.
(1)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and

61

	Exchange Commission on July 15, 2014.
(2)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on April 16, 2014.
(3)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on April 4, 2014.
(4)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on June 2, 2014.
(5)	Incorporated by reference to Genco Shipping & Trading Limited’s Report on Form 8-K, filed with the Securities and Exchange Commission on June 27, 2014.

(Remainder of page left intentionally blank)

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EX-10.1

Exhibit 10.1

EXECUTION VERSION

FORBEARANCE AGREEMENT (SECOND)

This Forbearance Agreement (Second) (this “Agreement”) dated as of April 1, 2014  by and among Wilmington Trust, National Association (as successor Administrative Agent and successor Collateral Agent, in such capacities, individually and collectively, the “Agent”) under the Credit Agreement (as defined below), Genco Shipping & Trading Limited (the “Borrower”), the other Credit Parties (as defined in the Credit Agreement, and together with the Borrower, “Genco”), and the Lenders executing this Agreement on the signature pages hereto.

Reference is made to the Credit Agreement dated as of July 20, 2007 among the Borrower, various Lenders party thereto, and the Agent (as successor to DNB Nor Bank ASA, New York Branch (n/k/a DNB Bank ASA, New York Branch, as original administrative agent and original collateral agent) (as amended, modified and supplemented from time to time, the “Credit Agreement”). Capitalized terms used but not otherwise defined herein shall have the respective meanings ascribed thereto in the Credit Agreement.

Genco has requested that the Lenders party hereto (collectively, the “Lender Group”), which constitute the Required Lenders, and the Agent forbear from exercising any of their respective rights and remedies, including, without limitation, accelerating any Obligations or terminating any Commitments, whether under the Credit Agreement or any other Credit Document (including, without limitation, under any control agreement or similar agreement or documents relating to any deposit or securities account of any Credit Party (each, a “Control Agreement”) or in respect of any deposit or securities account) , for the period of time set forth herein and subject to the terms and conditions hereof, solely with respect to the following existing, expected or anticipated Events of Default (collectively, the “Specified Defaults”):  (i) the failure of the Borrower to make the scheduled repayment and commitment reduction on March 31, 2014 in accordance with Section 3.04(iii) of the Credit Agreement, (ii) the failure of the Borrower to meet the Consolidated Interest Coverage Ratio specified for the Test Period ending March 31, 2014, as required under Section 11.07 of the Credit Agreement, (iii) the failure of the Borrower to meet the Leverage Ratio specified for the Test Period ending March 31, 2014, as required under Section 11.08 of the Credit Agreement, (iv) the failure of the Borrower to meet the minimum Aggregate Appraised Value required under Section 11.09 of the Credit Agreement, (v) the failure of the Borrower to meet the minimum amount of cash and Cash Equivalents and undrawn credit facilities held by the Borrower as of March 31, 2014, as required under Section 11.10 of the Credit Agreement, (vi) the cross-default with existing Interest Rate Protection Agreements or Other Hedging Agreements under Section 12.04(ii) of the Credit Agreement resulting from the Specified Defaults set forth in clauses (i) through (v) above and the cross-default relating to defaults under the Other Credit Agreements (as defined in clauses (i) and (ii) of such definition), (vii) the cross-default with the Other Credit Agreements (as defined in clauses (i) and (ii) of such definition) under Section 12.04(ii) of the Credit Agreement resulting from the Specified Defaults set forth in clauses (i) through (v) above, (viii) the failure of the Borrower to deliver its annual audited financial statements (and the report of the accounting firm required to be delivered together with such financial statements) within 90 days after the close of the fiscal year ending on December 31, 2013, in accordance with Section 10.01(b) of the Credit Agreement and (ix) any related Default or Event of Default which would result from the failure to give notice with respect to any of the foregoing.

The Lender Group is willing to, and hereby directs the Agent to, for the period of time set forth herein and subject to the terms and conditions hereof, so forbear solely with respect to the Specified Defaults.

In consideration of the foregoing and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Borrower, the Agent and the Lender Group hereby agree as follows:

Section 1  Acknowledgments and Agreements; Limited Forbearance in Respect of Specified Defaults.

1.01.  Acknowledgement of Default.  To induce the Agent and the Lenders to execute this Agreement, Genco hereby acknowledges, stipulates, represents, warrants and agrees as follows:

1.01.1.  Each Specified Default constitutes an Event of Default that has occurred or is expected to occur.  Except for the Specified Defaults, no other Default or Event of Default has occurred and is continuing as of the date hereof, or to the best of its knowledge are expected to occur prior to the end of the Forbearance Period (as defined below).  Except as expressly set forth in this Agreement, the agreements of the Agent and the Lender Group hereunder to forbear in the exercise of their respective rights and remedies under the Credit Documents in respect of the Specified Defaults during the Forbearance Period (as defined below) do not in any manner whatsoever limit any right of any of the Agent and the Lenders to insist upon strict compliance with this Agreement or any Credit Document during the Forbearance Period.

1.01.2.  Nothing has occurred that constitutes or otherwise can be construed or interpreted as a waiver of, or otherwise to limit in any respect, any rights or remedies any of the Lenders or the Agent have or may have arising as the result of any Event of Default (including any Specified Default) that has occurred or that may occur under the Credit Agreement, the other Credit Documents or applicable law.  The Agent’s and the Lender Group’s actions in entering into this Agreement are without prejudice to the rights of any of the Agent and the Lenders to pursue any and all remedies under the Credit Documents pursuant to applicable law or in equity available to it in its sole discretion upon the termination (whether upon expiration thereof, upon acceleration or otherwise) of this Agreement.

1.01.3.  The aggregate outstanding principal amount of the Loans as of March 31, 2014 is equal to $1,055,911,525.00.  The foregoing amounts do not include interest, fees (including the 1.25% facility fee payable pursuant to the Amendment and Supplement No. 6 to the Credit Agreement), expenses and other amounts that are chargeable or otherwise reimbursable under the Credit Documents.  No Credit Party has any defense or right of offset with respect to the Loans or any portion thereof.

1.01.4.    All of the assets pledged, assigned, conveyed, mortgaged, hypothecated or transferred to the Agent pursuant to the Collateral Documents are (and shall continue to be) subject to valid and enforceable liens and security interests of the Agent, as collateral security for all of the Obligations, subject to no Liens other than Permitted Liens.

1.01.5.  The obligations of Genco under this Agreement of any nature whatsoever, whether now existing or hereafter arising, are hereby deemed to be “Obligations” for all purposes of the Credit Documents.

1.01.6.  Overdue amounts under the Credit Documents shall accrue interest at the default rate provided in Section 1.07(b) of the Credit Agreement and be paid in kind.  The

2

Lender Group agrees and acknowledges that such  interest at the default rate shall be paid in kind notwithstanding anything to the contrary set forth in the Credit Agreement.

1.01.7     Neither the Agent nor any Lender has at any time directed or participated in any aspect of the management of Genco or the conduct of the business of Genco, and Genco has made all of its business decisions independently of the Agent and each Lender. Notwithstanding any other provision of this Agreement or any other contract or instrument between or among Genco, on the one hand, and the Agent or the Lenders, or any of them, on the other hand: (i) the relationship between any of the Agent and the Lenders, on the one hand, and Genco, on the other hand, shall be limited to the relationship of a lender to a borrower in a commercial loan transaction; and (ii) neither the Agent nor any Lender is or shall be construed as a partner, joint venturer, alter-ego, manager, controlling person or other business associate or participant of any kind of Genco (or any other Person), and neither the Agent nor any Lender intends to assume any such status at any time.

1.01.8     The Lender Group’s entry into, and covenants to perform in accordance with, this Agreement hereby constitutes “new value” and “reasonably equivalent value,” as those terms are used in Section 547 and 548 of Title 11 of the United States Code (the “Bankruptcy Code”), received by Genco as of the closing of this Agreement in contemporaneous exchange for Genco’s entry into, and covenants to perform in accordance with, this Agreement.

1.01.9     All time-related defenses, such as statutes of limitations, doctrines of estoppel, doctrines of laches or any other rules of law or equity of similar nature, are hereby tolled with respect to all rights, claims and causes of action of any kind whatsoever that the Agent or any Lender may have against any Credit Party under or in connection with the Loan Documents as of the time of the closing of this Agreement through and including the date which is thirty (30) days after the termination of the Forbearance Period.

1.02.  Limited Forbearance.  Subject (i) to the satisfaction of the conditions precedent set forth in Section 3 below and (ii) to the continuing effectiveness and enforceability of the Credit Documents in accordance with their terms, the Lender Group agrees to forbear and directs the Agent to forbear (and in connection therewith, directs the Agent to enter into this Agreement and to take such actions as are reasonably incidental hereto), and the Agent agrees to forbear (and in connection therewith, agrees to enter into this Agreement and to take such actions as are reasonably incidental hereto), in the exercise of their respective rights and remedies under the Credit Documents (including, without limitation, each Control Agreement and with respect to any deposit or securities account, and including accelerating any of the Obligations and terminating any Commitments) in respect of the Specified Defaults for the period (the “Forbearance Period”) commencing on the Effective Date and ending on the earlier to occur of (a) 11:59 p.m. (New York time) on April 21, 2014 or (b) a Termination Event (as defined in Section 1.04 below), provided that (i) except with respect to the Specified Defaults, each Credit Party shall comply with all limitations, restrictions, covenants and prohibitions that would otherwise be effective or applicable to it under the Credit Documents and (ii) nothing herein shall be construed as a waiver by the Agent or any Lender of the Specified Defaults.

1.03.  Termination of Forbearance Period.  Upon the termination of the Forbearance Period, the agreement of the Agent and the Lender Group to forbear as provided in this

3

Agreement shall automatically and without further action terminate and be of no force and effect; it being expressly agreed that the effect of such termination will be to permit the Agent and the Lenders to exercise, or cause the exercise of, any rights and remedies available to any of them, immediately, without any further notice, passage of time or forbearance of any kind.

1.04.  Termination Events.  For purposes of this Agreement, “Termination Event” means the occurrence of any of the following:

1.04.1.    An “Event of Default” under the Credit Agreement other than the Specified Defaults.

1.04.2.    The breach by any person other than the Agent or the Lender Group of any provision of this Agreement or any other document entered into in connection with this Agreement.

1.04.3     If, on or before 11:59 p.m. (New York time) on April [_], 2014, the Administrative Agent has not received evidence satisfactory to the Administrative Agent and the Lender Group that the following parties have become “Supporting Creditors” party to the restructuring support agreement to which the Lender Group became a party on or about April 1, 2014 (such agreement, the “RSA”):

(a)the holders of claims equal to at least 60% of the aggregate principal amount outstanding under the Convertible Notes (as such term is defined in the RSA);

(b)the holders of claims equal to at least 100% of the aggregate principal amount outstanding under the $253 Million Facility (as such term is defined in the RSA); and

(c)the holders of claims equal to at least 100% of the aggregate principal amount outstanding under the $100 Million Facility (as such term is defined in the RSA).

Section 2.  Representations and Warranties.  Genco represents and warrants to the Agent and the Lenders that (a) the representations and warranties set forth in (i) Section 9.01 through 9.04 of the Credit Agreement and (ii) any other representations made by Genco in connection with any amendment, waiver or forbearance agreement with respect to each Other Credit Agreement (as defined in clauses (i) and (ii) of such definition), in each case, are true and complete in all material respects on the date hereof as if made on and as of the date hereof (or, if any such representation or warranty is expressly stated to have been made as of a specific date, such representation or warranty shall be true and correct in all material respects as of such specific date); and (b) no Default or Event of Default has occurred and is continuing (other than the Specified Defaults).

Section 3.  Conditions Precedent.  The obligation of the Lender Group to enter into this Agreement shall be subject to the satisfaction or waiver by the Lender Group of each of the following conditions precedent:

3.01.  Expenses.  Payment, in cash, of all costs and expenses of the Agent and the Lender Group, including all fees and disbursements of their respective legal and financial advisors.

4

3.02.  No Default.  No Default or Event of Default other than the Specified Defaults shall have occurred and be continuing.

3.03.  Representations and Warranties.  As of the Effective Date, the representations and warranties contained in (i) Section 9.01 through 9.04 of the Credit Agreement and (ii) any other representations made by Genco in connection with any amendment, waiver or forbearance agreement with respect to each Other Credit Agreement (as defined in clauses (i) and (ii) of such definition), shall, in each case, be true and correct in all material respects on and as of the Effective Date to the same extent as though made on and as of that date, except to the extent such representations and warranties specifically relate to an earlier date, in which case such representations and warranties shall have been true and correct in all material respects on and as of such earlier date.

Section 4.  Effectiveness of Agreement.  This Agreement shall become effective, as of the date hereof (the “Effective Date”) , upon receipt by the Agent of counterparts of this Agreement executed by each of the parties indicated on the signature pages hereof.

Section 5.  Release.  Each Credit Party (on behalf of itself and its Subsidiaries and Affiliates) and their successors-in-title, legal representatives and assignees and, to the extent the same is claimed by right of, through or under any Credit Party for their past, present and future employees, agents, representatives, officers, directors, shareholders, and trustees (each, a “Releasing Party” and collectively, the “Releasing Parties”), does hereby remise, release and discharge, and shall be deemed to have forever remised, released and discharged, the Agent and the Lenders, and the Agent’s and each Lender’s respective successors-in-title, legal representatives and assignees, past, present and future officers, directors, shareholders, trustees, agents, employees, consultants, experts, advisors, attorneys and other professionals and all other persons and entities to whom any of the foregoing would be liable if such persons or entities were found to be liable to any Releasing Party, or any of them (collectively hereinafter the “Lender Parties”), from any and all manner of action and actions, cause and causes of action, claims, charges, demands, counterclaims, suits, debts, dues, sums of money, accounts, reckonings, bonds, bills, specialties, covenants, contracts, controversies, damages, judgments, expenses, executions, liens, claims of liens, claims of costs, penalties, attorneys’ fees, or any other compensation, recovery or relief on account of any liability, obligation, demand or cause of action of whatever nature, whether in law, equity or otherwise (including without limitation those arising under sections 541-550 of the Bankruptcy Code and interest or other carrying costs, penalties, legal, accounting and other professional fees and expenses, and incidental, consequential and punitive damages payable to third parties), whether known or unknown, fixed or contingent, joint and/or several, secured or unsecured, due or not due, primary or secondary, liquidated or unliquidated, contractual or tortious, direct, indirect, or derivative, asserted or unasserted, foreseen or unforeseen, suspected or unsuspected, now existing, heretofore existing or which may heretofore accrue against any of the Lender Parties, whether held in a personal or representative capacity, and which are based on any act, fact, event or omission or other matter, cause or thing occurring at or from any time prior to and including the date hereof in any way, directly or indirectly arising out of, connected with or relating to this Credit Agreement or any other Credit Document and the transactions contemplated thereby, and all other agreements, certificates, instruments and other documents and statements (whether written or oral) related to any of the foregoing (each, a “Claim” and collectively, the “Claims”).  Notwithstanding the foregoing, the foregoing waiver of Claims shall not be effective to the extent any Claim arises from the gross negligence, bad faith or willful misconduct of a Lender Party.

Section 6.  Confirmation of Collateral Documents.  Each of the Credit Parties hereby confirms and ratifies all of its obligations under the Credit Documents to which it is a party.  By its execution on the respective signature lines provided below, each of the Credit Parties hereby confirms and ratifies all of its obligations and the Liens granted by it under the Collateral Documents to which it is a party.

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Section 7.  Miscellaneous.  Except as herein expressly provided, the Credit Agreement and each of the other Credit Documents shall remain unchanged and in full force and effect.  This Agreement shall constitute a “Credit Document” under the Credit Agreement.  The forbearance set forth in Section 1 above shall be limited as written and nothing herein shall be deemed to constitute a waiver of or forbearance with respect to any other term, provision or condition of the Credit Agreement or any other Credit Document in any other instance than as set forth herein or prejudice any right or remedy that Administrative Agent, Collateral Agent or any Lender may have or may in the future have under the Credit Agreement or any other Credit Document.  This Agreement may be executed in any number of counterparts, all of which taken together shall constitute one and the same amendatory instrument and any of the parties hereto may execute this Agreement by signing any such counterpart.  Delivery of an executed counterpart of a signature page to this Agreement by electronic transmission shall be effective as delivery of a manually executed counterpart of this Agreement.  This Agreement shall be governed by, and construed in accordance with, the law of the State of New York, without giving effect to any choice of law principals that would require or permit the application of the law of another jurisdiction.

[Signature Pages Follow]

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EXECUTION VERSION

IN WITNESS WHEREOF, the parties hereto have caused this Forbearance Agreement to be duly executed and delivered as of the day and year first above written.

GENCO SHIPPING & TRADING LIMITED
By:	/s/ John C. Wobensmith
	Name: John C. Wobensmith
	Title: Chief Financial Officer
GENCO ACHERON LIMITED
GENCO BEAUTY LIMITED
GENCO KNIGHT LIMITED
GENCO LEADER LIMITED
GENCO MUSE LIMITED
GENCO VIGOUR LIMITED
GENCO CARRIER LIMITED
GENCO PROSPERITY LIMITED
GENCO SUCCESS LIMITED
GENCO WISDOM LIMITED
GENCO MARINE LIMITED
GENCO EXPLORER LIMITED
GENCO PIONEER LIMITED
GENCO PROGRESS LIMITED
GENCO RELIANCE LIMITED
GENCO SURPRISE LIMITED
GENCO SUGAR LIMITED
GENCO AUGUSTUS LIMITED
GENCO TIBERIUS LIMITED
GENCO LONDON LIMITED
GENCO TITUS LIMITED
GENCO CONSTANTINE LIMITED
GENCO HADRIAN LIMITED
GENCO COMMODUS LIMITED
GENCO MAXIMUS LIMITED
GENCO CLAUDIUS LIMITED
GENCO CHALLENGER LIMITED
GENCO CHAMPION LIMITED
GENCO CHARGER LIMITED
GENCO HUNTER LIMITED
GENCO PREDATOR LIMITED
GENCO WARRIOR LIMITED
GENCO BAY LIMITED
GENCO OCEAN LIMITED
GENCO AVRA LIMITED
GENCO MARE LIMITED
GENCO SPIRIT LIMITED
GENCO LORRAINE LIMITED
GENCO PYRENEES LIMITED
GENCO LOIRE LIMITED
GENCO BOURGOGNE LIMITED

GENCO PICARDY LIMITED
GENCO AQUITAINE LIMITED
GENCO NORMANDY LIMITED
GENCO AUVERGNE LIMITED
GENCO PROVENCE LIMITED
GENCO ARDENNES LIMITED
GENCO BRITTANY LIMITED
GENCO LANGUEDOC LIMITED
GENCO RHONE LIMITED
GENCO INVESTMENTS LLC
By:	/s/ John C. Wobensmith
	Name:  John C. Wobensmith
	Title: Chief Financial Officer
GENCO RAPTOR LLC
GENCO CAVALIER LLC
GENCO THUNDER LLC
By:	/s/ John C. Wobensmith
	Name:  John C. Wobensmith
	Title: Manager

2

WILMINGTON TRUST, NATIONAL ASSOCIATION, as Agent
	By:	/s/ Joshua G. James
		Name:  Joshua G. James
		Title: Assistant Vice President

3

LENDERS:
	APOLLO SPECIAL OPPORTUNITIES MANAGED ACCOUNT, LP., as Lender
	BY: APOLLO SOMA ADVISORS, L.P., its general partner
	BY: APOLLO SOMA CAPITAL MANAGEMENT, LLC, its general partner
	By:	/s/ Joseph D. Glatt
	Name: Joseph D. Glatt
	Title: Vice President
	AES (LUX) S.A R.L., as Lender
	BY: APOLLO EUROPEAN STRATEGIC MANAGEMENT, L.P., its investment manager
	BY: APOLLO EUROPEAN STRATEGIC MANAGEMENT GP, LLC, its general partner
	By:	/s/ Joseph D. Glatt
	Name: Joseph D. Glatt
	Title: Vice President
	AEC (LUX) S.A R.L., as Lender
	BY: APOLLO EUROPEAN CREDIT MANAGEMENT, L.P., its investment manager
	BY: APOLLO EUROPEAN CREDIT MANAGEMENT GP, LLC, its general partner
	By:	/s/ Joseph D. Glatt
	Name: Joseph D. Glatt
	Title: Vice President

APOLLO CENTRE STREET PARTNERSHIP, L.P., as Lender
BY: APOLLO CENTRE STREET MANAGEMENT, LLC, its investment manager
By:	/s/ Joseph D. Glatt
Name: Joseph D. Glatt
Title: Vice President
ANS U.S. HOLDINGS LTD, as Lender
BY: APOLLO SK STRATEGIC ADVISORS, LLC, its sole director
By:	/s/ Joseph D. Glatt
Name: Joseph D. Glatt
Title: Vice President
APOLLO CREDIT OPPORTUNITY FUND III LP, as Lender
BY: APOLLO CREDIT OPPORTUNITY ADVISORS III LP, its general partner
BY: APOLLO CREDIT OPPORTUNITY ADVISORS III GP LLC, its general partner
By:	/s/ Joseph D. Glatt
Name: Joseph D. Glatt
Title: Vice President

APOLLO FRANKLIN PARTNERSHIP, LP., as Lender
BY: APOLLO FRANKLIN ADVISORS (APO DC), L.P., its general partner
BY: APOLLO FRANKLIN ADVISORS (APO DC-GP), LLC, its general partner
By:	/s/ Joseph D. Glatt
Name: Joseph D. Glatt
Title: Vice President
APOLLO ZEUS STRATEGIC INVESTMENTS, LP., as Lender
BY: APOLLO ZEUS STRATEGIC MANAGEMENT, LLC, its investment manager
By:	/s/ Joseph D. Glatt
Name: Joseph D. Glatt
Title: Vice President

LENDERS:
CCP Credit Acquisition Holdings, L.L.C.,
Centerbridge Special Credit Partners II, L.P.
CCP II Acquisition Holdings, LLC, as Lenders
By:	/s/ Bao Truong
Name: Bao Truong
Title: Senior Managing Director

LENDERS:
MIDTOWN ACQUISITIONS L.P.
as Lender
BY: MIDTOWN ACQUISITIONS GP, LLC,
its General Partner
By:	/s/ Avram Z. Friedman
Name: Avram Z. Friedman
Title: Manager

LENDERS:
PANNING MASTER FUND LP, as Lender
BY: PANNING CAPITAL MANAGEMENT, LP, its Investment Manager
By:	/s/ William M. Kelly
Name William M. Kelly
Title: Chief Operating Officer

LENDERS:
SOLUS ALTERNATIVE ASSET
MANAGEMENT LP, on behalf of certain funds
and managed accounts, as Lender
By:	/s/ Christopher A. Pucillo by SJD w/permission
Name Christopher A. Pucillo
Title: Chief Investment Officer

EX-10.2

Exhibit 10.2

[On the letterhead of Deutsche Bank Luxembourg S.A.]

To:Genco Shipping & Trading Limited

Copy:Genco Lorraine Limited

Genco Pyrenees Limited

Genco Loire Limited

Genco Bourgogne Limited

Genco Picardy Limited

Genco Aquitaine Limited

Genco Normandy Limited

Genco Auvergne Limited

Genco Provence Limited

Genco Ardennes Limited

Genco Brittany Limited

Genco Languedoc Limited

Genco Rhone Limited

1 April 2014

Dear Sirs

US$253,000,000 secured loan agreement dated 20 August 2010 (as amended by a side letter dated 24 August 2010, as further amended by a waiver letter dated 20 December 2011, as amended and restated on 1 August 2012 and as further amended, supplemented or restated from time to time, the “Loan Agreement”) made between (1) Genco Shipping & Trading Limited as borrower, (2) the Lenders (as defined therein), (3) Deutsche Bank AG Filiale Deutschlandgeschäft, BNP Paribas, Credit Agricole Corporate and Investment Bank, DVB Bank SE and Skandinaviska Enskilda Banken AB (publ) as mandated lead arrangers, (4) yourselves as agent for the Lenders, (5) BNP Paribas, Credit Agricole Corporate and Investment Bank, Deutsche Bank AG, DVB Bank SE and Skandinaviska Enskilda Banken AB (publ) as swap providers (the “Swap Providers”) and (vi) Deutsche Bank AG Filiale Deutschlandgeschäft as security agent for the Lenders and the Swap Providers and as bookrunner.

1Definitions

1.1In this letter:

“Enforcement Action” means:

(a)in relation to any Liabilities (with the exception of Liabilities arising as a result of the termination of existing interest protection agreements and other hedging agreements  entered into in connection with the DnB Credit Agreement):

(i)the acceleration of any Liability or the making of any declaration that any Liabilities are due and payable or payable on demand;

(ii)any demand against any Group Member under any security, guarantee or surety provided of that Group Member;

(iii)the exercise of any right of set-off, account combination or payment netting against any Group Member in respect of any Liabilities other than ordinary netting under any swap or derivative contract; and

(iv)the premature termination or close-out of any swap or derivative transaction under any swap or derivative contract entered into with any Group Member;

(b)the taking of any steps to enforce or require the enforcement of any Encumbrance granted by any Group Member (including any arrest of any vessel for a claim in excess of $5,000,000 or any other enforcement of any mortgage over any vessel or any other asset of any Group Members the crystallisation of any floating charge or redirecting the earnings of any vessel or the other assets of any Group Member), except for any enforcement of assignment of insurances in relation to a total loss or other significant insured event; or

(c)the petitioning or applying for any Insolvency Proceeding;

“Group” means the Borrower and each of its Subsidiaries other than Baltic Trading Limited and its Subsidiaries, and a “Group Member” means any of them;

“Insolvency Proceedings” means any bankruptcy, liquidation, reconstruction, winding up, dissolution, administration or reorganisation of any Group member, or any of such Group Member’s assets or a composition, compromise, assignment or arrangement with any creditor of any Group Member or any suspension of payments or moratorium of any indebtedness of any such Group Member, or any other insolvency proceedings or any analogous procedure or step in any jurisdiction (including the appointment of any liquidator, receiver, administrator, trustee or similar officer), including but not limited to, any chapter 11 cases in the United States of America;

“Liability” means any and all Financial Indebtedness of any Group Member in excess of $5,000,000; and

“Termination Event” shall have the meaning given to it in paragraph 4.1 below.

1.2All other terms and expressions used in this letter shall have the same meaning given to them in the Loan Agreement.

1.3This letter is designated as a Finance Document.

2Request

We refer to the Loan Agreement and to your letter to us dated 1 April 2014 requesting a temporary waiver (the “Waivers”) of:

(a)the Consolidated Interest Coverage Ratio in clause 12.2.2 (Consolidated Interest Coverage Ratio) of the Loan Agreement and the Leverage Ratio in clause 12.2.3 (Maximum Leverage Ratio) of the Loan Agreement (the

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“Financial Covenants”) for the fiscal quarter ending 31 March 2014 through and including 11:59pm (New York time) 21 April 2014 (the “Waiver Period”);

(b)the event of default that will arise pursuant to clause 13.1.4 (cross default) of the Loan Agreement resulting from (i) the failure to pay the required payment due in respect of the scheduled commitment reduction under the DnB Credit Agreement on 31 March 2014, (ii) the failure by the Borrower to comply with the financial covenants set out in the DnB Credit Agreement during the Waiver Period and (iii) the breach of the cross-default provisions in existing interest protection agreements and other hedging agreements  as a result of the defaults set out above under the DnB Credit Agreement (the “Cross Defaults”) for the Waiver Period; and

(c)the events of default arising under:

(i)clause 13.1.5(a) of the Loan Agreement; and

(ii)clause 13.1.6 of the Loan Agreement, solely:

(x)to the extent that permits any Security Party to vote or authorise to commence proceedings under Chapter 11 of the Bankruptcy Code of the United States of America (the “Chapter 11 Proceedings”), which are undertaken for the purpose of implementing the proposed restructuring of the Borrower’s existing bank facilities and other indebtedness pursuant to a restructuring support agreement to be entered into by, among others, the lenders under the Loan Agreement, the lenders under the Metrostar Credit Agreement and the lenders under the DnB Credit Agreement (the “RSA”); and

(y)to the extent that the current discussions and actions between the Group Members and their creditor groups for the purpose of implementing the Chapter 11 Proceedings and the RSA, including entering into this letter, the Collateral Letters and the RSA, fall within clause 13.1.6 of the Loan Agreement,

(iii)clause 12.1.1 of the Loan Agreement in respect of the financial statements of the Security Parties for the financial year ending on 31 December 2013,

(together, the “Specific Defaults”).

3Waiver and Conditions

We hereby agree to waive (i) your compliance with the Financial Covenants, (ii) the Cross Defaults and (iii) the Specific Defaults, in each case during the Waiver Period, subject to the following conditions being satisfied:

(a)the Waivers shall apply only in relation to the Waiver Period;

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(b)prior to 17.00 hours (New York Time) on 1 April 2014, you provide us with evidence to our satisfaction that (i) the required lenders under the Metrostar Credit Agreement have consented to waivers under the Metrostar Credit Agreement on substantially similar terms to this letter (the “Metrostar Waiver Letter”) and (ii) the majority lenders under the DnB Credit Agreement have provided a forbearance under the DnB Credit Agreement in form, content and effect similar to this letter including that the majority lenders thereunder have agreed, amongst other things, that during the Waiver Period, they shall not exercise their rights resulting from the failure for the Borrower to pay the required payment due in respect of the scheduled commitment reduction under the DnB Credit Agreement on 31 March 2014 (the “DnB Forbearance Letter” and together with the Metrostar Waiver Letter, the “Collateral Letters”), such evidence being in the form of executed copies of the Collateral Letters and an email from the respective agent of the Metrostar Credit Agreement and the DnB Credit Agreement or their legal counsels that the waivers under the Collateral Letters have taken effect.

4Termination of Waivers

4.1The Waivers shall cease to apply automatically and with immediate effect if any event specified in 4.1(a) to (h) below occurs (each a “Termination Event”), unless such Termination Events are expressly waived by the Agent, acting on the instructions of the Majority Lenders:

(a)an Event of Default has occurred (other than the Events of Default waived pursuant to this letter);

(b)you are in breach of any of your obligations under this letter;

(c)the Waiver Period has expired;

(d)a Collateral Letter is terminated, repudiated or rescinded or ceases to have effect or is amended or varied in any way that would have a material adverse effect on any of the Finance Parties;

(e)any creditor takes Enforcement Action against any Group Member and such Enforcement Action triggers an event of default (however described in any other agreement relating to Financial Indebtedness), which is not waived or forborne;

(f)if any five (5) vessels owned by the Group are arrested during the Waiver Period and not released within three (3) Business Days of such arrest;

(g)any Group Member petitions or applies for any Insolvency Proceedings; or

(h)any Group Member fails to pay any indebtedness (with the exception of Liabilities arising as a result of the termination of existing interest protection agreements and other hedging agreements entered into in connection with the DnB Credit Agreement) owed to any of its creditors as and when they fall due and the same constitute an event of default (however described in any

4

agreement relating to Financial Indebtedness), which is not waived or forborne.

4.2After the termination of this letter, each of the Finance Parties shall be released from all of its obligations under this letter and may take any Enforcement Action after such termination in accordance with the terms of the Finance Documents.

5Reservation of Rights

Nothing in this letter shall prevent the Finance Parties from taking any Enforcement Action after the Waiver Period in respect of any Event of Default which has occurred or may occur during the Waiver Period or which occurs or continues after the termination of this letter, regardless of whether such Event of Default occurred prior to or during the Waiver Period.  Accordingly, this letter shall not constitute any waiver by the Finance Parties of any breach or default by any Group Member and the Finance Parties reserve all rights in relation thereto, except as otherwise expressly set out in this letter and subject only to the terms of this letter.

6Undertakings

6.1During the Waiver Period, you shall, on a reasonable best efforts basis, promptly provide us with any information that is provided to the creditors under the DnB Credit Agreement and the Metrostar Credit Agreement if such information has an effect on the economic interests of any of the Finance Parties.

6.2You shall promptly notify us if a Collateral Letter is capable of being terminated, is terminated or ceases to have effect, or a party to a Collateral Letter takes steps to amend, terminate, repudiate or rescind a Collateral Letter or if any waivers or amendments are made, proposed or requested to a Collateral Letter or if you or any Group Member breaches any of the terms contained in a Collateral Letter.

6.3You shall promptly notify us if:

(i)a Termination Event occurs or is reasonably likely to occur; or

(ii)any Enforcement Action is commenced against a Group Member.

6.4During the Waiver Period, you shall not enter into any waiver, modification or amendment to any of the DnB Credit Agreement and the Metrostar Credit Agreement which grants more favourable provisions or treatment to the lenders thereunder unless each of the Finance Parties receives the benefit of such more favourable provisions at the same time and on the same terms.

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7Continuing Security

You confirm that any Encumbrance created and/or any guarantee granted by the Security Parties in favour of any of the Finance Parties remains in full force and effect and is not in any way affected by this letter.

8Counterparts and applicable law

8.1This letter may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were on a single copy of this letter.

8.2This letter and any non-contractual obligations arising out of or in connection with it shall be governed by and construed in accordance with English law.

8.3For the exclusive benefit of the Finance Parties, the parties to this letter irrevocably agree that the courts of England are to have exclusive jurisdiction to settle any dispute (a) arising from or in connection with this letter or (b) relating to any non-contractual obligations arising from or in connection with this letter and that any proceedings may be brought in those courts.

Please confirm your agreement to the terms of this letter by signing and returning a duplicate of this letter to us.

Yours faithfully

/s/ G. Meyer

Name: G. Meyer

/s/ T. Schroeter

Name: T. Schroeter

For and on behalf of

Deutsche Bank Luxembourg S.A.

(as Agent acting on the instructions of the Majority Lenders)

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[On Duplicate]

Confirmed and agreed on 1 April 2014

for an on behalf of

/s/ John C. Wobensmith

Genco Shipping & Trading Limited

(as Borrower)

/s/ John C. Wobensmith

Genco Lorraine Limited

Genco Pyrenees Limited

Genco Loire Limited

Genco Bourgogne Limited

Genco Picardy Limited

Genco Aquitaine Limited

Genco Normandy Limited

Genco Auvergne Limited

Genco Provence Limited

Genco Ardennes Limited

Genco Brittany Limited

Genco Languedoc Limited

Genco Rhone Limited

(as Collateral Owners and Guarantors)

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EX-10.3

Exhibit 10.3

To:Genco Shipping & Trading Limited

Copy:Genco Bay Limited

Genco Ocean Limited

Genco Avra Limited

Genco Mare Limited

Genco Spirit Limited

(the “Company Parties”)

1 April 2014

Dear Sirs

US$100,000,000 secured loan agreement dated 12 August 2010 (as amended by the first amendment dated 21 December 2011, as further amended by the second amendment dated 1 August 2012, and as further amended, supplemented or restated from time to time, the “Loan Agreement”) made between (1) Genco Shipping & Trading Limited, as borrower, (2) the Company Parties, as guarantors, (3) the Lenders (as defined therein) and (4) Crédit Agricole Corporate and Investment Bank, as Agent and Security Trustee.

1.Definitions

1.1In this letter:

“Enforcement Action” means:

(a)in relation to any Liabilities (with the exception of Liabilities arising as a result of the termination of existing interest protection agreements and other hedging agreements entered into in connection with the DnB Credit Facility):

(i)the acceleration of any Liability or the making of any declaration that any Liabilities are due and payable or payable on demand;

(ii)any demand against any Group Member under any security, guarantee or surety provided of that Group Member;

(iii)the exercise of any right of set-off, account combination or payment netting against any Group Member in respect of any Liabilities other than ordinary netting under any swap or derivative contract; and

(iv)the premature termination or close-out of any swap or derivative transaction under any swap or derivative contract entered into with any Group Member;

(b)the taking of any steps to enforce or require the enforcement of any encumbrance granted by any Group Member (including any arrest of any vessel for a claim in excess of $5,000,000 or any other enforcement of any mortgage over any vessel or any other asset of any Group Members the crystallisation of any floating charge or redirecting the earnings of any vessel or the other assets of any Group Member), except for any enforcement of assignment of insurances in relation to a total loss or other significant insured event; or

(c)the petitioning or applying for any Insolvency Proceeding;

“Group” means the Borrower and each of its Subsidiaries other than Baltic Trading Limited and its Subsidiaries, and a “Group Member” means any of them;

“Insolvency Proceedings” means any bankruptcy, liquidation, reconstruction, winding up, dissolution, administration or reorganisation of any Group member, or any of such Group Member’s assets or a composition, compromise, assignment or arrangement with any creditor of any Group Member or any suspension of payments or moratorium of any indebtedness of any such Group Member, or any other insolvency proceedings or any analogous procedure or step in any jurisdiction (including the appointment of any liquidator, receiver, administrator, trustee or similar officer), including but not limited to, any chapter 11 cases in the United States of America;

“Liability” means any and all Financial Indebtedness of any Group Member in excess of $5,000,000; and

“Termination Event” shall have the meaning given to it in paragraph 4.1 below.

1.2All other terms and expressions used in this letter shall have the same meaning given to them in the Loan Agreement.

1.3This letter is designated as a Finance Document.

2.Request

We refer to the Loan Agreement and to your letter to us dated 24 March 2014 requesting a temporary waiver (the “Waivers”) of:

(a)the Consolidated Interest Coverage Ratio in clause 12.2(e) (Minimum Consolidated Interest Coverage Ratio) of the Loan Agreement and the Leverage Ratio in clause 12.2(d) (Maximum Leverage Ratio) of the Loan Agreement (the “Financial Covenants”) for the fiscal quarter ending 31 March 2014 through and including 11:59 pm (New York Time) 21 April 2014 (the “Waiver Period”);

(b)the event of default that will arise pursuant to clauses 19.1(e)(i) and 19.1(e)(ii) (cross default) of the Loan Agreement resulting from (i) the failure to pay the required payment due in respect of the scheduled commitment reduction under the DnB Credit Facility on 31 March 2014, (ii) the failure by the Borrower to comply with the financial covenants set out in the DnB Credit Facility during the Waiver Period and (iii) the breach of the cross-default provisions in existing interest protection agreements and other hedging agreements as a result of the defaults set out above under the DnB Credit Facility (the “Cross Defaults”) for the Waiver Period; and

(c)the events of default arising under:

(i)clause 19.1(f)(i) of the Loan Agreement; and

(ii)clause 19.1(f) of the Loan Agreement, solely:

(x)to the extent that permits any Obligor to vote or authorise to commence proceedings under Chapter 11 of the Bankruptcy Code of the United States of America (the “Chapter 11 Proceedings”), which are undertaken for the purpose of implementing the proposed restructuring of the Borrower’s existing bank facilities and other indebtedness pursuant to a restructuring support agreement to be entered into by, among others, the lenders under the Loan Agreement, the lenders

under the Metrostar Credit Agreement and the lenders under the DnB Credit Facility (the “RSA”); and

(y)to the extent that the current discussions and actions between the Group Members and their creditor groups for the purpose of implementing the Chapter 11 Proceedings and the RSA, including entering into this letter, the Collateral Letters and the RSA, fall within clause 19.1(f) of the Loan Agreement,

(iii)clause 12.1(a)(ii) of the Loan Agreement in respect of the financial statements of the Security Parties for the financial year ending on 31 December 2013,

(together, the “Specific Defaults”).

3.Waiver and Conditions

We hereby agree to waive (i) your compliance with the Financial Covenants, (ii) the Cross Defaults and (iii) the Specific Defaults, in each case during the Waiver Period, subject to the following conditions being satisfied:

(a)the Waivers shall apply only in relation to the Waiver Period;

(b)prior to 23.59 hours (New York Time) on 1 April 2014, you provide us with evidence to our satisfaction that (i) the required lenders under the DB Credit Facility have consented to waivers under the DB Credit Facility on substantially similar terms to this letter (the “DB Waiver Letter”) and (ii) the majority lenders under the DnB Credit Facility have provided a forbearance under the DnB Credit Facility in form, content and effect similar to this letter including that the majority lenders thereunder have agreed, amongst other things, that during the Waiver Period they shall not exercise their rights resulting from the failure for the Borrower to pay the required payment due in respect of the scheduled commitment reduction under the DnB Credit Facility on 31 March 2014 (the “DnB Forbearance Letter” and together with the DB Waiver Letter, the “Collateral Letters”), such evidence being in the form of executed copies of the Collateral Letters and an email from the respective agent of the DB Credit Facility and the DnB Credit Facility or their legal counsels that the waivers under the Collateral Letters have taken effect.

4.Termination of Waivers

4.1The Waivers shall cease to apply automatically and with immediate effect if any event specified in 4.1(a) to (h) below occurs (each a “Termination Event”), unless such Termination Events are expressly waived by the Agent, acting on the instructions of the Majority Lenders:

(a)an Event of Default has occurred (other than the Events of Default waived pursuant to this letter);

(b)you are in breach of any of your obligations under this letter;

(c)the Waiver Period has expired;

(d)a Collateral Letter is terminated, repudiated or rescinded or ceases to have effect or is amended or varied in any way that would have a material adverse effect on any of the Creditor Parties;

(e)any creditor takes Enforcement Action against any Group Member and such Enforcement Action triggers an event of default (however described in any

other agreement relating to Financial Indebtedness), which is not waived or forborne;

(f)if any five (5) vessels owned by the Group are arrested during the Waiver Period and not released within three (3) Business Days of such arrest;

(g)any Group Member petitions or applies for any Insolvency Proceedings; or

(h)any Group Member fails to pay any indebtedness (with the exception of Liabilities arising as a result of the termination of existing interest protection agreements and other hedging agreements entered into in connection with the DnB Credit Facility) owed to any of its creditors as and when they fall due and the same constitute an event of default (however described any agreement relating to Financial Indebtedness), which is not waived or forborne.

4.2After the termination of this letter, each of the Creditor Parties shall be released from all of its obligations under this letter and may take any Enforcement Action after such termination in accordance with the terms of the Finance Documents.

5.Reservation of Rights

Nothing in this letter shall prevent the Creditor Parties from taking any Enforcement Action after the Waiver Period in respect of any Event of Default which has occurred or may occur during the Waiver Period or which occurs or continues after the termination of this letter, regardless of whether such Event of Default occurred prior to or during the Waiver Period.  Accordingly, this letter shall not constitute any waiver by the Creditor Parties of any breach or default by any Group Member and the Creditor Parties reserve all rights in relation thereto, except as otherwise expressly set out in this letter and subject only to the terms of this letter.

6.Undertakings

6.1During the Waiver Period, you shall, on a reasonable best efforts basis, promptly provide us with any information that is provided to the creditors under the DnB Credit Facility and the DB Credit Facility if such information has an effect on the economic interests of any of the Creditor Parties.

6.2You shall promptly notify us if a Collateral Letter is capable of being terminated, is terminated or ceases to have effect, or a party to a Collateral Letter takes steps to amend, terminate, repudiate or rescind a Collateral Letter or if any waivers or amendments are made, proposed or requested to a Collateral Letter or if you or any Group Member breaches any of the terms contained in a Collateral Letter.

6.3You shall promptly notify us if:

(i)a Termination Event occurs or is reasonably likely to occur; or

(ii)any Enforcement Action is commenced against a Group Member.

6.4During the Waiver Period, you shall not enter into any waiver, modification or amendment to any of the DnB Credit Facility and the DB Credit Facility which grants more favourable provisions or treatment to the lenders thereunder unless each of the Creditor Parties receives the benefit of such more favourable provisions at the same time and on the same terms.

7.Continuing Security

You confirm that any encumbrance created and/or any guarantee granted by the Obligors in favour of any of the Creditor Parties remains in full force and effect and is not in any way affected by this letter.

8.Counterparts and applicable law

8.1This letter may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were on a single copy of this letter.

8.2This letter and any non-contractual obligations arising out of or in connection with it shall be governed by and construed in accordance with English law.

8.3For the exclusive benefit of the Creditor Parties, the parties to this letter irrevocably agree that the courts of England are to have exclusive jurisdiction to settle any dispute (a) arising from or in connection with this letter or (b) relating to any non-contractual obligations arising from or in connection with this letter and that any proceedings may be brought in those courts.

Please confirm your agreement to the terms of this letter by signing and returning a duplicate of this letter to us.

Yours faithfully

For and on behalf of

Crédit Agricole Corporate and Investment Bank
(as Agent acting on the instructions of the Majority Lenders)

/s/ Jerome Duval

Jerome Duval

Managing Director

/s/ Michael Choina

Michael Choina

Director

Confirmed and agreed on 1 April 2014

for an on behalf of

/s/ John C. Wobensmith

Genco Shipping & Trading Limited

(as Borrower)

/s/ John C. Wobensmith

Genco Bay Limited

Genco Ocean Limited

Genco Avra Limited

Genco Mare Limited

Genco Spirit Limited

(as Guarantors)

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Robert Gerald Buchanan, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q for the quarter ended June 30, 2014 of Genco Shipping & Trading Limited;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

	/s/ Robert Gerald Buchanan
	Name: Robert Gerald Buchanan
Date:  August 15, 2014	Title: President

EX-31.2

Exhibit 31.2

CERTIFICATION

I, John C. Wobensmith, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q for the quarter ended June 30, 2014 of Genco Shipping & Trading Limited;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

	/s/ John C. Wobensmith
	Name: John C. Wobensmith
Date:  August 15, 2014	Title: Chief Financial Officer & Secretary

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with Genco Shipping & Trading Limited’s (the “Company”) quarterly report on Form 10-Q for the quarter ended June 30, 2014, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned President of the Company, hereby certifies pursuant to 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 15, 2014	/s/ Robert Gerald Buchanan
	Name: Robert Gerald Buchanan
	Title: President

The foregoing certification is being furnished solely pursuant to 18 U.S.C. § 1350 and is not being filed as part of the Report or as a separate disclosure document.  A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with Genco Shipping & Trading Limited’s (the “Company”) quarterly report on Form 10-Q for the quarter ended June 30, 2014, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned Chief Financial Officer of the Company, hereby certifies pursuant to 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 15, 2014	/s/ John C. Wobensmith
	Name: John C. Wobensmith
	Title: Chief Financial Officer & Secretary

The foregoing certification is being furnished solely pursuant to 18 U.S.C. § 1350 and is not being filed as part of the Report or as a separate disclosure document.  A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

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DEBT (Tables)

6 Months Ended

Jun. 30, 2014

DEBT

Schedule of long-term debt

	June 30, 2014									December 31, 2013
	Balance prior to Financial Statement Classification			Amounts Classified as Subject to Compromise			Total Debt			Total Debt
2007 Credit Facility	$	1,055,912		$	(1,055,912	)	$	—		$	1,055,912
$100 Million Term Loan Facility	73,561			(73,561		)	—			75,484
$253 Million Term Loan Facility	175,718			(175,718		)	—			180,793
2010 Baltic Trading Credit Facility	102,250			—			102,250			102,250
Baltic Trading $22 Million Term Loan Facility	20,875			—			20,875			21,625
Baltic Trading $44 Million Term Loan Facility	42,625			—			42,625			44,000
Less: Current portion	(4,250		)	—			(4,250		)	(1,316,439		)
Long-term debt	$	1,466,691		$	(1,305,191	)	$	161,500		$	163,625

Schedule of effective interest rate and the range of interest rates on the debt

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
Effective Interest Rate	4.31	%	4.72	%	4.33	%	4.73	%
Range of Interest Rates (excluding impact of swaps and unused commitment fees)	3.15% to 5.15	%	3.19% to 4.31	%	3.15% to 5.15	%	3.19% to 4.38	%

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Vessels, net
Estimated useful life			25 years
Depreciation expense	$ 34,557	$ 33,102	$ 68,717	$ 65,841
Estimated scrap value (in dollars per lightweight ton)			245
Deferred revenue
Accrual related to estimated customer claims	$ 459		$ 459		$ 536

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LIABILITIES SUBJECT TO COMPROMISE (Tables)

6 Months Ended

Jun. 30, 2014

LIABILITIES SUBJECT TO COMPROMISE

Schedule of liabilities subject to compromise

	June 30, 2014
2007 Credit Facility	$	1,055,912
$ 100 Million Term Loan Facility	73,561
$ 253 Million Term Loan Facility	175,718
Interest payable	13,199
Terminated interest rate swap liability	5,622
Convertible senior note payable	117,473
Bond coupon interest payable	1,105
Lease obligation for prior office space	828
Pre-petition accounts payable	157
Total	$	1,443,575

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INTEREST RATE SWAP AGREEMENTS (Details 3) (Interest rate contracts, USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Impact of derivative instruments and their location within Condensed Consolidated Statement of Operations
Number of vessels mortgaged	35		35
Aggregate amount of collateral	$ 100,000		$ 100,000
Derivatives in cash flow hedging relationships
Impact of derivative instruments and their location within Condensed Consolidated Statement of Operations
Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)		(91)	(179)	(229)
Interest Expense | Derivatives in cash flow hedging relationships
Impact of derivative instruments and their location within Condensed Consolidated Statement of Operations
Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)	(1,078)	(2,477)	(2,485)	(4,916)
Interest Expense | Derivatives not designated as Hedging
Impact of derivative instruments and their location within Condensed Consolidated Statement of Operations
Amount of Gain (Loss) Recognized in Income on Derivative	(225)		(225)
Other Expense | Derivatives in cash flow hedging relationships
Impact of derivative instruments and their location within Condensed Consolidated Statement of Operations
Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)		$ (2)		$ (5)

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Voyage expense recognition
Net (gains) losses on purchase and sale of bunker fuel	$ (184)	$ 21	$ (249)	$ (343)

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ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
ACCOUNTS PAYABLE AND ACCRUED EXPENSES
Accounts payable	$ 12,777	$ 5,643
Accrued general and administrative expenses	14,122	8,960
Accrued vessel operating expenses	12,628	12,756
Total	$ 39,527	$ 27,359

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FIXED ASSETS (Tables)

6 Months Ended

Jun. 30, 2014

FIXED ASSETS

Schedule of fixed assets

	June 30, 2014		December 31, 2013
Fixed assets, at cost:
Vessel equipment	$	3,666	$	4,323
Leasehold improvements	2,679		2,679
Furniture and fixtures	786		786
Computer equipment	794		754
Total costs	7,925		8,542
Less: accumulated depreciation and amortization	3,873		3,438
Total	$	4,052	$	5,104

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LEGAL PROCEEDINGS

6 Months Ended

Jun. 30, 2014

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS

24 - LEGAL PROCEEDINGS

Refer to Note 1 — General Information for information concerning the Chapter 11 Cases.

On March 28, 2014, the Genco Auvergne was arrested due to a disputed claim with the charterer of one of the Company’s other vessels, namely the Genco Ardennes. In order for the Company to release the Genco Auvergne from its arrest, the Company entered into a cash collateralized $900 bank guarantee with Skandinaviska Enskilda Banken AB (the “SEB Bank Guarantee”) on April 3, 2014. The vessel has since been released from its arrest and the bank guarantee will remain in an escrow account until the arbitration related to this case is completed. The SEB Bank Guarantee resulted in additional indebtedness by the Company. As the Company is currently in default under the covenants of its 2007 Credit Facility due to the default on a scheduled debt amortization payment due on March 31, 2014, on April 3, 2014 the Company received a consent from the lenders under the 2007 Credit Facility to incur this additional indebtedness. Also, under the $253 Million Term Loan Facility for which the Genco Auvergne is collateralized, the Company may not incur additional indebtedness related to its collateralized vessels under this facility. The Company also received a consent from the lenders under the $253 Million Term Loan Facility on April 3, 2014 in order to enter the SEB Bank Guarantee.  The $900 to collateralize the bank guarantee has been recorded as Prepaid expenses and other current assets in the Condensed Consolidated Balance Sheets as of June 30, 2014.

From time to time, the Company may be subject to legal proceedings and claims in the ordinary course of its business, principally personal injury and property casualty claims. Such claims, even if lacking merit, could result in the expenditure of significant financial and managerial resources.  The Company is not aware of any legal proceedings or claims that it believes will have, individually or in the aggregate, a material effect on the Company, its financial condition, results of operations or cash flows besides those noted above.

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LIABILITIES SUBJECT TO COMPROMISE (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2014 5.00% convertible senior notes	Jun. 30, 2014 Chapter 11	Jun. 30, 2014 Chapter 11 5.00% convertible senior notes	Jun. 30, 2014 2007 Credit Facility	Jun. 30, 2014 2007 Credit Facility Chapter 11	Jun. 30, 2014 $100 Million Term Loan Facility	Mar. 31, 2014 $100 Million Term Loan Facility	Dec. 31, 2013 $100 Million Term Loan Facility	Aug. 12, 2010 $100 Million Term Loan Facility	Jun. 30, 2014 $100 Million Term Loan Facility Chapter 11	Jun. 30, 2014 $253 Million Term Loan Facility	Mar. 31, 2014 $253 Million Term Loan Facility	Dec. 31, 2013 $253 Million Term Loan Facility	Aug. 20, 2010 $253 Million Term Loan Facility	Jun. 30, 2014 $253 Million Term Loan Facility Chapter 11
Liabilities subject to compromise
Debt		$ 117,473		$ 117,473		$ 1,055,912					$ 73,561					$ 175,718
Interest payable			13,199
Terminated interest rate swap liability			5,622
Bond coupon interest payable			1,105
Lease obligation for prior office space			828
Pre-petition accounts payable			157
Total	1,443,575		1,443,575
Maximum borrowing capacity					$ 1,055,912		$ 100,000	$ 100,000	$ 100,000	$ 100,000	$ 100,000	$ 253,000	$ 253,000	$ 253,000	$ 253,000	$ 253,000

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014 $100 Million Term Loan Facility	Mar. 31, 2014 $100 Million Term Loan Facility	Dec. 31, 2013 $100 Million Term Loan Facility	Aug. 12, 2010 $100 Million Term Loan Facility	Jun. 30, 2014 $253 Million Term Loan Facility	Mar. 31, 2014 $253 Million Term Loan Facility	Dec. 31, 2013 $253 Million Term Loan Facility	Aug. 20, 2010 $253 Million Term Loan Facility	Jun. 30, 2014 Baltic Trading $22Million Term Loan Facility	Dec. 31, 2013 Baltic Trading $22Million Term Loan Facility	Jun. 30, 2014 Baltic Trading $44 Million Term Loan Facility	Dec. 31, 2013 Baltic Trading $44 Million Term Loan Facility	Jun. 30, 2014 Carrying Value	Dec. 31, 2013 Carrying Value	Jun. 30, 2014 Fair value	Dec. 31, 2013 Fair value
Fair value of financial instruments
Cash and cash equivalents													$ 57,720	$ 122,722	$ 57,720	$ 122,722
Restricted cash					9,875		9,750						10,275	10,150	10,275	10,150
Floating rate debt													1,470,941	1,480,064
2010 Notes													117,473	115,881	122,500	63,438
Face amount of term loan facility	$ 100,000	$ 100,000	$ 100,000	$ 100,000	$ 253,000	$ 253,000	$ 253,000	$ 253,000	$ 22,000	$ 22,000	$ 44,000	$ 44,000

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 4) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Income Taxes
Total revenue earned	$ 819	$ 819	$ 1,629	$ 1,629
Taxable income	(65,193)	(48,646)	(107,019)	(100,372)
Income tax expense	364	294	777	518
Vessel Management Services
Income Taxes
Total revenue earned	1,841	1,515	3,696	3,005
Taxable income	764	625	1,650	1,217
Income tax expense	339	281	740	505
Baltic Trading | United States
Income Taxes
Taxable income	1,245	639	1,813	639
Income tax expense	25	13	37	13
Intersegment Elimination
Income Taxes
Total revenue earned	$ (1,022)	$ (696)	$ (2,067)	$ (1,376)

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DEFERRED FINANCING COSTS (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended			3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013	Jun. 30, 2014 2010 Notes	Jun. 30, 2013 2010 Notes	Jun. 30, 2014 2010 Notes	Jun. 30, 2013 2010 Notes	Dec. 31, 2013 2010 Notes	Jun. 30, 2014 2007 Credit Facility	Dec. 31, 2013 2007 Credit Facility	Jun. 30, 2014 $100 Million Term Loan Facility	Mar. 31, 2014 $100 Million Term Loan Facility	Dec. 31, 2013 $100 Million Term Loan Facility	Aug. 12, 2010 $100 Million Term Loan Facility	Jun. 30, 2014 $253 Million Term Loan Facility	Mar. 31, 2014 $253 Million Term Loan Facility	Dec. 31, 2013 $253 Million Term Loan Facility	Aug. 20, 2010 $253 Million Term Loan Facility	Jun. 30, 2014 2010 Baltic Trading Credit Facility	Dec. 31, 2013 2010 Baltic Trading Credit Facility	Aug. 29, 2013 2010 Baltic Trading Credit Facility	Nov. 30, 2010 2010 Baltic Trading Credit Facility	Apr. 16, 2010 2010 Baltic Trading Credit Facility	Jun. 30, 2014 Baltic Trading $22 Million Term Loan Facility	Dec. 31, 2013 Baltic Trading $22 Million Term Loan Facility	Jun. 30, 2014 Baltic Trading $44 Million Term Loan Facility	Dec. 31, 2013 Baltic Trading $44 Million Term Loan Facility
Other assets, net
Maximum borrowing capacity											$ 1,055,912		$ 100,000	$ 100,000	$ 100,000	$ 100,000	$ 253,000	$ 253,000	$ 253,000	$ 253,000			$ 110,000	$ 150,000	$ 100,000	$ 22,000	$ 22,000	$ 44,000	$ 44,000
Total deferred financing costs	44,572		44,572		44,290	3,637		3,637		3,637	29,568	29,568	1,857		1,783		4,884		4,708		3,339	3,339				529	518	758	737
Less: accumulated amortization	26,570		26,570		22,279
Total	18,002		18,002		22,011
Amortization of deferred financing costs	$ 2,071	$ 1,856	$ 4,291	$ 3,691		$ 39	$ 179	$ 216	$ 356

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LEGAL PROCEEDINGS (Details) (USD $) In Thousands, unless otherwise specified	Apr. 03, 2014	Jun. 30, 2014 $253 Million Term Loan Facility	Mar. 31, 2014 $253 Million Term Loan Facility	Dec. 31, 2013 $253 Million Term Loan Facility	Aug. 20, 2010 $253 Million Term Loan Facility
Line of Credit Facility
Cash collateralized bank guarantee	$ 900
Face amount of term loan facility		$ 253,000	$ 253,000	$ 253,000	$ 253,000

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REORGANIZATION ITEMS, NET (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2014
Reorganization items, net
Total	$ 20,106	$ 20,106
Chapter 11
Reorganization items, net
Professional fees incurred	19,855	19,855
Trustee fees incurred	251	251
Total	$ 20,106	$ 20,106

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SUBSEQUENT EVENTS (Details) (USD $) In Thousands, except Per Share data, unless otherwise specified				0 Months Ended
	Jun. 30, 2014	Jul. 02, 2014 Subsequent Event	Jul. 08, 2014 Subsequent Event Maximum	Jul. 29, 2014 Subsequent Event Baltic Trading Limited	Jul. 29, 2014 Subsequent Event Baltic Trading Limited Minority Shareholders
Subsequent Event
Assets before date of confirmation		$ 1,390
Estimated post-petition liabilities and allowed claims	1,538
Shares held by existing voting shareholders as a percentage of voting shares of the emerging entity			50.00%
Dividends declared per share (in dollars per share)				$ 0.01
Aggregate amount of the dividend				$ 576	$ 512

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FIXED ASSETS (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
FIXED ASSETS
Total cost	$ 7,925		$ 7,925		$ 8,542
Less: accumulated depreciation and amortization	3,873		3,873		3,438
Total	4,052		4,052		5,104
Depreciation and amortization	36,538	34,722	72,739	69,100
Vessel equipment
FIXED ASSETS
Total cost	3,666		3,666		4,323
Leasehold improvements
FIXED ASSETS
Total cost	2,679		2,679		2,679
Furniture and fixtures
FIXED ASSETS
Total cost	786		786		786
Computer equipment
FIXED ASSETS
Total cost	794		794		754
Property, plant, and equipment excluding vessels
FIXED ASSETS
Depreciation and amortization	$ 220	$ 226	$ 439	$ 454

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Changes in AOCI by Component
Balance at the beginning of the period	$ 40,735	$ 63	$ 53,722	$ (11,841)
OCI before reclassifications	(13,737)	1,587	(28,131)	15,930
Amounts reclassified from AOCI	1,078	(2,477)	2,485	(4,916)
Other comprehensive (loss) income	(12,659)	(890)	(25,646)	11,014
Balance at the end of the period	28,076	(827)	28,076	(827)
Net Unrealized Gain (Loss) on Cash Flow Hedges
Changes in AOCI by Component
Balance at the beginning of the period	(5,748)	(13,756)	(6,976)	(16,057)
OCI before reclassifications		4,863	(179)	9,603
Amounts reclassified from AOCI	1,078	(2,477)	2,485	(4,916)
Other comprehensive (loss) income	1,078	2,386	2,306	4,687
Balance at the end of the period	(4,670)	(11,370)	(4,670)	(11,370)
Net Unrealized Gain on Investments
Changes in AOCI by Component
Balance at the beginning of the period	46,483	13,819	60,698	4,216
OCI before reclassifications	(13,737)	(3,276)	(27,952)	6,327
Other comprehensive (loss) income	(13,737)	(3,276)	(27,952)	6,327
Balance at the end of the period	$ 32,746	$ 10,543	$ 32,746	$ 10,543

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FIXED ASSETS

6 Months Ended

Jun. 30, 2014

FIXED ASSETS

FIXED ASSETS

16 - FIXED ASSETS

Fixed assets consist of the following:

	June 30, 2014		December 31, 2013
Fixed assets, at cost:
Vessel equipment	$	3,666	$	4,323
Leasehold improvements	2,679		2,679
Furniture and fixtures	786		786
Computer equipment	794		754
Total costs	7,925		8,542
Less: accumulated depreciation and amortization	3,873		3,438
Total	$	4,052	$	5,104

Depreciation and amortization expense for fixed assets for the three months ended June 30, 2014 and 2013 was $220 and $226, respectively, and $439 and $454 for the six months ended June 30, 2014 and 2013, respectively.  Refer to Note 4 — Cash Flow Information for information regarding the reclassification from fixed assets to vessels assets during the six months ended June 30, 2014.

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NONVESTED STOCK AWARDS (Tables)

6 Months Ended

Jun. 30, 2014

2005 and 2012 GS&T Plans

Nonvested Stock Awards

Summary of nonvested stock awards

	Number of Shares	Weighted Average Grant Date Price
Outstanding at January 1, 2014	880,465	$	7.77
Granted	—	—
Vested	—	—
Forfeited	—	—
Outstanding at June 30, 2014	880,465	$	7.77

Schedule of nonvested stock amortization expense

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
General, administrative, and management fees	$	393	$	796	$	820	$	1,565

Baltic Trading Plan

Nonvested Stock Awards

Summary of nonvested stock awards

	Number of Baltic Trading Common Shares		Weighted Average Grant Date Price
Outstanding at January 1, 2014	1,381,429		$	6.03
Granted	36,345		6.19
Vested	(176,180	)	10.53
Forfeited	—		—
Outstanding at June 30, 2014	1,241,594		$	5.39

Schedule of nonvested stock amortization expense

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
General, administrative, and management fees	$	908	$	351	$	1,871	$	815

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables)

6 Months Ended

Jun. 30, 2014

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

Schedule of components of AOCI included in the accompanying condensed consolidated balance sheets

Changes in AOCI by Component

Forthe Three-Month Period Ended June 30, 2014

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — April 1, 2014	$	(5,748	)	$	46,483		$	40,735
OCI before reclassifications	—			(13,737		)	(13,737		)
Amounts reclassified from AOCI	1,078			—			1,078
Net current-period OCI	1,078			(13,737		)	(12,659		)
AOCI — June 30, 2014	$	(4,670	)	$	32,746		$	28,076

Changes in AOCI by Component

For the Three-Month Period Ended June 30, 2013

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — April 1, 2013	$	(13,756	)	$	13,819		$	63
OCI before reclassifications	4,863			(3,276		)	1,587
Amounts reclassified from AOCI	(2,477		)	—			(2,477		)
Net current-period OCI	2,386			(3,276		)	(890		)
AOCI — June 30, 2013	$	(11,370	)	$	10,543		$	(827	)

Changes in AOCI by Component

Forthe Six-Month Period Ended June 30, 2014

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — January 1, 2014	$	(6,976	)	$	60,698		$	53,722
OCI before reclassifications	(179		)	(27,952		)	(28,131		)
Amounts reclassified from AOCI	2,485			—			2,485
Net current-period OCI	2,306			(27,952		)	(25,646		)
AOCI — June 30, 2014	$	(4,670	)	$	32,746		$	28,076

Changes in AOCI by Component

For the Six-Month Period Ended June 30, 2013

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments		Total
AOCI — January 1, 2013	$	(16,057	)	$	4,216	$	(11,841	)
OCI before reclassifications	9,603			6,327		15,930
Amounts reclassified from AOCI	(4,916		)	—		(4,916		)
Net current-period OCI	4,687			6,327		11,014
AOCI — June 30, 2013	$	(11,37

Reclassifications Out of AOCI

Reclassifications Out of AOCI

For the Three-Month Period Ended June 30, 2014 and 2013

	Amount Reclassified from AOCI
	Three Months Ended June 30,				Affected Line Item in the Statement Where
Details about AOCI Components	2014		2013		Net Loss is Presented
Gains and losses on cash flow hedges
Interest rate contracts	$	1,078	$	2,477	Interest expense
Total reclassifications for the period	$	1,078	$	2,477

Reclassifications Out of AOCI

For the Six-Month Period Ended June 30, 2014 and 2013

	Amount Reclassified from AOCI
	Six Months Ended June 30,				Affected Line Item in the Statement Where
Details about AOCI Components	2014		2013		Net Loss is Presented
Gains and losses on cash flow hedges
Interest rate contracts	$	2,485	$	4,916	Interest expense
Total reclassifications for the period	$	2,485	$	4,916

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PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS
Lubricant inventory, fuel oil and diesel oil inventory and other stores	$ 12,635	$ 11,342
Prepaid items	5,439	5,000
Insurance receivable	2,171	1,096
Other	3,067	1,627
Total prepaid expenses and other current assets	23,312	19,065
Security deposit related to operating lease included in other noncurrent assets	$ 514	$ 514

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SEGMENT INFORMATION (Tables)

6 Months Ended

Jun. 30, 2014

SEGMENT INFORMATION

Reconciliation of Segment total voyage revenue to total consolidated voyage revenue from external customers

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
Voyage revenue from external customers
GS&T	$	40,842	$	38,562	$	90,931	$	72,252
Baltic Trading	10,703		6,379		23,794		12,365
Total operating segments	51,545		44,941		114,725		84,617
Eliminating revenue	—		—		—		—
Total consolidated voyage revenue from external customers	$	51,545	$	44,941	$	114,725	$	84,617

Reconciliation of total intersegment revenue

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Intersegment revenue
GS&T	$	1,022		$	696		$	2,067		$	1,376
Baltic Trading	—			—			—			—
Total operating segments	1,022			696			2,067			1,376
Eliminating revenue	(1,022		)	(696		)	(2,067		)	(1,376		)
Total consolidated intersegment revenue	$	—		$	—		$	—		$	—

Reconciliation of Segment total net loss to total consolidated net loss

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Net loss
GS&T	$	(59,874	)	$	(44,297	)	$	(98,444	)	$	(91,145	)
Baltic Trading	(5,674		)	(4,625		)	(9,207		)	(9,708		)
Total operating segments	(65,548		)	(48,922		)	(107,651		)	(100,853		)
Eliminating net loss	9			18			145			37
Total consolidated net loss	$	(65,557	)	$	(48,940	)	$	(107,796	)	$	(100,890	)

Reconciliation of Segment total assets to total consolidated assets

	June 30, 2014			December 31, 2013
Total assets
GS&T	$	2,286,604		$	2,404,811
Baltic Trading	546,861			557,367
Total operating segments	2,833,465			2,962,178
Eliminating assets	(4,779		)	(4,924		)
Total consolidated assets	$	2,828,686		$	2,957,254

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GENERAL INFORMATION (Details 2)	Jun. 30, 2014 item
Genco Reliance Limited | Genco Reliance
Vessels
Capacity of vessels	29,952
Genco Vigour Limited | Genco Vigour
Vessels
Capacity of vessels	73,941
Genco Explorer Limited | Genco Explorer
Vessels
Capacity of vessels	29,952
Genco Carrier Limited | Genco Carrier
Vessels
Capacity of vessels	47,180
Genco Sugar Limited | Genco Sugar
Vessels
Capacity of vessels	29,952
Genco Pioneer Limited | Genco Pioneer
Vessels
Capacity of vessels	29,952
Genco Progress Limited | Genco Progress
Vessels
Capacity of vessels	29,952
Genco Wisdom Limited | Genco Wisdom
Vessels
Capacity of vessels	47,180
Genco Success Limited | Genco Success
Vessels
Capacity of vessels	47,186
Genco Beauty Limited | Genco Beauty
Vessels
Capacity of vessels	73,941
Genco Knight Limited | Genco Knight
Vessels
Capacity of vessels	73,941
Genco Leader Limited | Genco Leader
Vessels
Capacity of vessels	73,941
Genco Marine Limited | Genco Marine
Vessels
Capacity of vessels	45,222
Genco Prosperity Limited | Genco Prosperity
Vessels
Capacity of vessels	47,180
Genco Muse Limited | Genco Muse
Vessels
Capacity of vessels	48,913
Genco Acheron Limited | Genco Acheron
Vessels
Capacity of vessels	72,495
Genco Surprise Limited | Genco Surprise
Vessels
Capacity of vessels	72,495
Genco Augustus Limited | Genco Augustus
Vessels
Capacity of vessels	180,151
Genco Tiberius Limited | Genco Tiberius
Vessels
Capacity of vessels	175,874
Genco London Limited | Genco London
Vessels
Capacity of vessels	177,833
Genco Titus Limited | Genco Titus
Vessels
Capacity of vessels	177,729
Genco Challenger Limited | Genco Challenger
Vessels
Capacity of vessels	28,428
Genco Charger Limited | Genco Charger
Vessels
Capacity of vessels	28,398
Genco Warrior Limited | Genco Warrior
Vessels
Capacity of vessels	55,435
Genco Predator Limited | Genco Predator
Vessels
Capacity of vessels	55,407
Genco Hunter Limited | Genco Hunter
Vessels
Capacity of vessels	58,729
Genco Champion Limited | Genco Champion
Vessels
Capacity of vessels	28,445
Genco Constantine Limited | Genco Constantine
Vessels
Capacity of vessels	180,183
Genco Raptor LLC | Genco Raptor
Vessels
Capacity of vessels	76,499
Genco Cavalier LLC | Genco Cavalier
Vessels
Capacity of vessels	53,617
Genco Thunder LLC | Genco Thunder
Vessels
Capacity of vessels	76,588
Genco Hadrian Limited | Genco Hadrian
Vessels
Capacity of vessels	169,694
Genco Commodus Limited | Genco Commodus
Vessels
Capacity of vessels	169,025
Genco Maximus Limited | Genco Maximus
Vessels
Capacity of vessels	169,025
Genco Claudius Limited | Genco Claudius
Vessels
Capacity of vessels	169,025
Genco Bay Limited | Genco Bay
Vessels
Capacity of vessels	34,296
Genco Ocean Limited | Genco Ocean
Vessels
Capacity of vessels	34,409
Genco Avra Limited | Genco Avra
Vessels
Capacity of vessels	34,391
Genco Mare Limited | Genco Mare
Vessels
Capacity of vessels	34,428
Genco Spirit Limited | Genco Spirit
Vessels
Capacity of vessels	34,432
Genco Aquitaine Limited | Genco Aquitaine
Vessels
Capacity of vessels	57,981
Genco Ardennes Limited | Genco Ardennes
Vessels
Capacity of vessels	57,981
Genco Auvergne Limited | Genco Auvergne
Vessels
Capacity of vessels	57,981
Genco Bourgogne Limited | Genco Bourgogne
Vessels
Capacity of vessels	57,981
Genco Brittany Limited | Genco Brittany
Vessels
Capacity of vessels	57,981
Genco Languedoc Limited | Genco Languedoc
Vessels
Capacity of vessels	57,981
Genco Loire Limited | Genco Loire
Vessels
Capacity of vessels	53,416
Genco Lorraine Limited | Genco Lorraine
Vessels
Capacity of vessels	53,416
Genco Normandy Limited | Genco Normandy
Vessels
Capacity of vessels	53,596
Genco Picardy Limited | Genco Picardy
Vessels
Capacity of vessels	55,257
Genco Provence Limited | Genco Provence
Vessels
Capacity of vessels	55,317
Genco Pyrenees Limited | Genco Pyrenees
Vessels
Capacity of vessels	57,981
Genco Rhone Limited | Genco Rhone
Vessels
Capacity of vessels	58,018
Baltic Leopard Limited | Baltic Leopard
Vessels
Capacity of vessels	53,447
Baltic Panther Limited | Baltic Panther
Vessels
Capacity of vessels	53,351
Baltic Cougar Limited | Baltic Cougar
Vessels
Capacity of vessels	53,432
Baltic Jaguar Limited | Baltic Jaguar
Vessels
Capacity of vessels	53,474
Baltic Bear Limited | Baltic Bear
Vessels
Capacity of vessels	177,717
Baltic Wolf Limited | Baltic Wolf
Vessels
Capacity of vessels	177,752
Baltic Wind Limited | Baltic Wind
Vessels
Capacity of vessels	34,409
Baltic Cove Limited | Baltic Cove
Vessels
Capacity of vessels	34,403
Baltic Breeze Limited | Baltic Breeze
Vessels
Capacity of vessels	34,386
Baltic Fox Limited | Baltic Fox
Vessels
Capacity of vessels	31,883
Baltic Hare Limited | Baltic Hare
Vessels
Capacity of vessels	31,887
Baltic Lion Limited | Baltic Lion
Vessels
Capacity of vessels	179,185
Baltic Tiger Limited | Baltic Tiger
Vessels
Capacity of vessels	179,185
Baltic Hornet Limited | Baltic Hornet
Vessels
Capacity of vessels	64,000
Baltic Wasp Limited | Baltic Wasp
Vessels
Capacity of vessels	64,000
Baltic Scorpion Limited | Baltic Scorpion
Vessels
Capacity of vessels	64,000
Baltic Mantis Limited | Baltic Mantis
Vessels
Capacity of vessels	64,000

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CONVERTIBLE SENIOR NOTES (Details) (USD $) In Thousands, unless otherwise specified	0 Months Ended	3 Months Ended		6 Months Ended
	Jul. 27, 2010	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Convertible senior notes
Net carrying amount of the liability component						$ 115,881
Non-cash interest expense recognized				1,592	2,388
Non-cash deferred financing amortization costs included in interest expense		2,071	1,856	4,291	3,691
2010 Notes
Convertible senior notes
Proceeds from convertible debt	125,000
Interest expense		2,266		2,266
Carrying amount of the equity component (additional paid-in capital)		24,375		24,375		24,375
Principal amount of the 2010 Notes		125,000		125,000		125,000
Unamortized discount of the liability component		7,527		7,527		9,119
Net carrying amount of the liability component						115,881
Debt outstanding classified as liabilities subject to compromise		117,473		117,473
Effective interest rate on liability component (as a percent)		10.00%	10.00%	10.00%	10.00%
Cash interest expense recognized		345	1,571	1,886	3,112
Non-cash interest expense recognized		293	1,209	1,592	2,388
Non-cash deferred financing amortization costs included in interest expense		$ 39	$ 179	$ 216	$ 356

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CASH FLOW INFORMATION (Details 3) (Directors, USD $) In Thousands, except Share data, unless otherwise specified	0 Months Ended
	Apr. 09, 2014	May 16, 2013
2012 GS&T Plan
Nonvested Stock Awards
Nonvested common stock granted (in shares)		200,634
Fair value of nonvested stock		$ 315
Baltic Trading Limited
Nonvested Stock Awards
Nonvested common stock granted (in shares)	36,345	59,680
Fair value of nonvested stock	$ 225	$ 225

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ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables)

6 Months Ended

Jun. 30, 2014

ACCOUNTS PAYABLE AND ACCRUED EXPENSES

Schedule of accounts payable and accrued expenses

	June 30, 2014		December 31, 2013
Accounts payable	$	12,777	$	5,643
Accrued general and administrative expenses	14,122		8,960
Accrued vessel operating expenses	12,628		12,756
Total	$	39,527	$	27,359

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Condensed Consolidated Statements of Cash Flows (Parenthetical) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Jun. 30, 2013
$100 Million Term Loan Facility
Maximum borrowing capacity	$ 100,000	$ 100,000
$253 Million Term Loan Facility
Maximum borrowing capacity	253,000	253,000
Baltic Trading $22 Million Term Loan Facility
Maximum borrowing capacity	22,000	22,000
Baltic Trading $44 Million Term Loan Facility
Maximum borrowing capacity	$ 44,000	$ 44,000

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VESSEL ACQUISITIONS (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended			3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013	Jun. 30, 2014 Baltic Trading Limited	Jun. 30, 2013 Baltic Trading Limited	Jun. 30, 2014 Baltic Trading Limited	Jun. 30, 2013 Baltic Trading Limited	Dec. 03, 2013 Agreement to Purchase Capesize Drybulk Vessels Purchase agreement with SK Shipping Co LTD Baltic Trading Limited	Oct. 31, 2013 Agreement to Purchase Capesize Drybulk Vessels Purchase agreement with SK Shipping Co LTD Baltic Trading Limited item	Aug. 30, 2013 Handysize Vessel purchase Subsidiaries of Clipper Group Baltic Trading Limited	Jul. 02, 2013 Handysize Vessel purchase Subsidiaries of Clipper Group Baltic Trading Limited item	Nov. 13, 2013 Yangfan Group Co., LTD Agreement to Purchase Ultramax Drybulk Vessels Baltic Trading Limited item	Nov. 13, 2013 Yangfan Group Co., LTD Agreement to Purchase Ultramax Drybulk Vessels Baltic Trading Limited Maximum item
VESSEL ACQUISITIONS AND DISPOSITIONS
Number of vessels purchased											2		2	2
Aggregate purchase price											$ 103,000		$ 41,000	$ 112,000
Total purchase price per vessel														28,000
Number of vessels purchased under option to be acquired per purchase agreement														2
Number of vessels committed to be acquired under purchase agreement															4
Capacity of vessels														64,000
Face amount of term loan facility										44,000		22,000
Deposits on vessels	28,634		28,634		1,013
Amortization of time charters acquired	18	100	67	233
Capitalized interest associated with newbuilding contracts						$ 177	$ 0	$ 276	$ 0

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 30, 2014

FAIR VALUE OF FINANCIAL INSTRUMENTS

Schedule of fair values of the Company's financial instruments

	June 30, 2014				December 31, 2013
	Carrying Value		Fair Value		Carrying Value		Fair Value
Cash and cash equivalents	$	57,720	$	57,720	$	122,722	$	122,722
Restricted cash	10,275		10,275		10,150		10,150
Floating rate debt	1,470,941		See Below		1,480,064		See Below
2010 Notes	117,473		122,500		115,881		63,438

Schedule of fair values of the Company's financial assets and liabilities

	June 30, 2014
	Total		Quoted Market Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)
Investments	$	49,618	$	49,618	$	—
Derivative instruments — liability position (Refer to Note 11)	5,622		—		5,622

	December 31, 2013
	Total		Quoted Market Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)
Investments	$	77,570	$	77,570	$	—
Derivative instruments — liability position	6,975		—		6,975

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REORGANIZATION ITEMS, NET

6 Months Ended

Jun. 30, 2014

REORGANIZATION ITEMS, NET

REORGANIZATION ITEMS, NET

20 — REORGANIZATION ITEMS, NET

Reorganization items, net represent amounts incurred and recovered subsequent to the bankruptcy filing as a direct result

of the filing of the Chapter 11 Cases and are comprised of the following for the three and six months ended June 30, 2014:

	For the Three and Six Months Ended June 30, 2014
Professional fees incurred	$	19,855
Trustee fees incurred	251
Total	$	20,106

During the three and six months ended June 30, 2014, there were no items netted with the reorganization items.

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REVENUE FROM TIME CHARTERS

6 Months Ended

Jun. 30, 2014

REVENUE FROM TIME CHARTERS

REVENUE FROM TIME CHARTERS

19 - REVENUE FROM TIME CHARTERS

Total voyage revenue earned on time charters, including revenue earned in vessel pools and spot market-related time charters, as well as the sale of bunkers consumed during short-term time charters, for the three months ended June 30, 2014 and 2013 was $51,545 and $44,941, respectively, and for the six months ended June 30, 2014 and 2013 was $114,725 and $84,617, respectively.  There was no profit sharing revenue earned during the three and six months ended June 30, 2014 and 2013.  Future minimum time charter revenue, based on vessels committed to noncancelable time charter contracts as of August 9, 2014, is expected to be $7,132 for the remainder of 2014, assuming off-hire due to any scheduled drydocking and that no additional off-hire time is incurred.  For drydockings, the Company assumes twenty days of offhire.  Future minimum revenue excludes revenue earned for the vessels currently in pool arrangements and vessels that are currently on or will be on spot market-related time charters, as spot rates cannot be estimated, as well as profit sharing revenue.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 3) (Baltic Trading Limited)	Jun. 30, 2014	Dec. 31, 2013
Baltic Trading Limited
Noncontrolling interest
Economic interest held by noncontrolling interest (as a percent)	88.96%	88.95%
Voting power (as a percent)	34.94%	34.92%

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PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS (Tables)

6 Months Ended

Jun. 30, 2014

PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS

Schedule of prepaid expenses and other current assets

	June 30, 2014		December 31, 2013
Lubricant inventory, fuel oil and diesel oil inventory and other stores	$	12,635	$	11,342
Prepaid items	5,439		5,000
Insurance receivable	2,171		1,096
Other	3,067		1,627
Total prepaid expenses and other current assets	$	23,312	$	19,065

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COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2014

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

21 - COMMITMENTS AND CONTINGENCIES

In September 2005, the Company entered into a 15-year lease for office space in New York, New York for which there was a free rental period from September 1, 2005 to July 31, 2006.  On January 6, 2012, the Company ceased the use of this space. The Debtors rejected this lease agreement During the three months ended June 30, 2014 and 2013, net rent expense of ($28) and $22, respectively, and ($28) and $131 during the six months ended June 30, 2014 and 2013, respectively, was recorded representing the adjustment of the present value of the Company’s estimating remaining rent expense for the duration of the lease after taking into account estimated future sublease income based on the sublease agreement entered into effective November 1, 2013. The current and long-term lease obligations related to this lease agreement as of December 31, 2013 of $176 and $744, respectively, are recorded in the condensed consolidated balance sheet in Current portion of lease obligations and Long-term lease obligation, respectively.  As a result of the Chapter 11 Cases, the current and long-term lease obligations as of June 30, 2014 related to this lease agreement in the amount of $162 and $666, respectively, have been recorded as Liabilities subject to compromise.  Pursuant to the Plan that was approved by the Bankruptcy Court, the Debtors rejected this lease agreement on the Effective Date.

Prior to the rejection of this lease agreement, future minimum rental payments on the above lease for the next five years and thereafter would be as follows: $259 for the remainder of 2014, $518 for 2015, $529 for 2016, $550 annually for 2017 and 2018 and a total of $1,421 for the remaining term of the lease.  The rental payments would be offset by the contract sublease income, as follows: $170 for 2014; $340 annually for 2015 through 2016, $347 for 2017, $380 for 2018 and a total of $983 for the remaining term of the sublease.

Effective April 4, 2011, the Company entered into a seven-year sub-sublease agreement for additional office space in New York, New York.  The term of the sub-sublease commenced June 1, 2011, with a free base rental period until October 31, 2011. Following the expiration of the free base rental period, the monthly base rental payments are $82 per month until May 31, 2015 and thereafter will be $90 per month until the end of the seven-year term.  Pursuant to the sub-sublease agreement, the sublessor was obligated to contribute $472 toward the cost of the Company’s alterations to the sub-subleased office space.  The Company has also entered into a direct lease with the over-landlord of such office space that will commence immediately upon the expiration of such sub-sublease agreement, for a term covering the period from May 1, 2018 to September 30, 2025; the direct lease provides for a free base rental period from May 1, 2018 to September 30, 2018.  Following the expiration of the free base rental period, the monthly base rental payments will be $186 per month from October 1, 2018 to April 30, 2023 and $204 per month from May 1, 2023 to September 30, 2025.  For accounting purposes, the sub-sublease agreement and direct lease agreement with the landlord constitutes one lease agreement.  As a result of the straight-line rent calculation generated by the free rent period and the tenant work credit, the monthly straight-line rental expense for the term of the entire lease from June 1, 2011 to September 30, 2025 will be $130.  The Company had a long-term lease obligation at June 30, 2014 and December 31, 2013 of $2,658 and $2,370, respectively.  Rent expense pertaining to this lease for the three months ended June 30, 2014 and 2013 was $390 during both periods.  Rent expense pertaining to this lease for the six months ended June 30, 2014 and 2013 was $779 during both periods.

Future minimum rental payments on the above lease for the next five years and thereafter are as follows: $491 for the remainder of 2014, $1,037 for 2015, $1,076 annually for 2016 and 2017, $916 for 2018 and a total of $15,590 for the remaining term of the lease.

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NONVESTED STOCK AWARDS

6 Months Ended

Jun. 30, 2014

NONVESTED STOCK AWARDS

NONVESTED STOCK AWARDS

22 - NONVESTED STOCK AWARDS

The table below summarizes the Company’s nonvested stock awards for the six months ended June 30, 2014 under the Genco Shipping & Trading Limited 2005 and 2012 Equity Incentive Plans (the “GS&T Plans”):

	Number of Shares	Weighted Average Grant Date Price
Outstanding at January 1, 2014	880,465	$	7.77
Granted	—	—
Vested	—	—
Forfeited	—	—
Outstanding at June 30, 2014	880,465	$	7.77

The total fair value of shares that vested under the GS&T Plans during the six months ended June 30, 2014 and 2013 was $0 and $110, respectively.  The total fair value is calculated as the number of shares vested during the period multiplied by the fair value on the vesting date.

For the three and six months ended June 30, 2014 and 2013, the Company recognized nonvested stock amortization expense for the GS&T Plans, which is included in general, administrative and management fees, as follows:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
General, administrative, and management fees	$	393	$	796	$	820	$	1,565

The fair value of nonvested stock at the grant date is equal to the closing stock price on that date.  The Company is amortizing these grants over the applicable vesting periods, net of anticipated forfeitures.  As of June 30, 2014, unrecognized compensation cost of $1,583 related to nonvested stock will be recognized over a weighted-average period of 1.69 years.

On March 13, 2014, Baltic Trading’s Board of Directors approved an amendment to the Baltic Trading Limited 2010 Equity Incentive Plan (the “Baltic Trading Plan”) that increased the aggregate number of shares of common stock available for awards from 2,000,000 to 6,000,000 shares.  Additionally, on April 9, 2014, at Baltic Trading’s 2014 Annual Meeting of Shareholders, Baltic Trading’s shareholders approved the amendment to the Baltic Trading Plan.

The following table presents a summary of Baltic Trading’s nonvested stock awards for the six months ended June 30, 2014 under the Baltic Trading Plan:

	Number of Baltic Trading Common Shares		Weighted Average Grant Date Price
Outstanding at January 1, 2014	1,381,429		$	6.03
Granted	36,345		6.19
Vested	(176,180	)	10.53
Forfeited	—		—
Outstanding at June 30, 2014	1,241,594		$	5.39

The total fair value of shares that vested under the Baltic Trading Plan during the six months ended June 30, 2014 and 2013 was $1,143 and $643, respectively.  The total fair value is calculated as the number of shares vested during the period multiplied by the fair value on the vesting date.

For the three and six months ended June 30, 2014 and 2013, the Company recognized nonvested stock amortization expense for the Baltic Trading Plan, which is included in general, administrative and management fees, as follows:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
General, administrative, and management fees	$	908	$	351	$	1,871	$	815

The Company is amortizing Baltic Trading’s grants over the applicable vesting periods, net of anticipated forfeitures.  As of June 30, 2014, unrecognized compensation cost of $4,288 related to nonvested stock will be recognized over a weighted-average period of 3.01 years.

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Condensed Consolidated Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
Cash flows from operating activities:
Net loss	$ (107,796)	$ (100,890)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	72,739	69,100
Amortization of deferred financing costs	4,291	3,691
Amortization of time charters acquired	(67)	(233)
Amortization of discount on Convertible Senior Notes	1,592	2,388
Interest expense related to the de-designation of the interest rate swap	953
Unrealized loss on derivative instruments		5
Amortization of nonvested stock compensation expense	2,691	2,380
Change in assets and liabilities:
Decrease in due from charterers	2,241	768
Increase in prepaid expenses and other current assets	(4,227)	(2,901)
Increase in accounts payable and accrued expenses	14,064	1,686
(Decrease) increase in deferred revenue	(446)	13
Increase in lease obligations	197	125
Deferred drydock costs incurred	(9,288)	(1,402)
Net cash used in operating activities	(23,056)	(25,270)
Cash flows from investing activities:
Purchase of vessels, including deposits	(29,790)	(54)
Purchase of other fixed assets	(391)	(195)
Changes in deposits of restricted cash	(125)
Net cash used in investing activities	(30,306)	(249)
Cash flows from financing activities:
Payment of dividend by subsidiary	(2,046)	(347)
Proceeds from issuance of common stock by subsidiary		21,838
Payment of common stock issuance costs by subsidiary	(111)	(17)
Payment of deferred financing costs	(360)
Net cash (used in) provided by financing activities	(11,640)	22,474
Net decrease in cash and cash equivalents	(65,002)	(3,045)
Cash and cash equivalents at beginning of period	122,722	72,600
Cash and cash equivalents at end of period	57,720	69,555
$100 Million Term Loan Facility
Cash flows from financing activities:
Repayments on Term Loan Facility	(1,923)
$253 Million Term Loan Facility
Cash flows from financing activities:
Repayments on Term Loan Facility	(5,075)
2010 Baltic Trading Credit Facility
Cash flows from financing activities:
Proceeds from Term Loan Facility		1,000
Baltic Trading $22 Million Term Loan Facility
Cash flows from financing activities:
Repayments on Term Loan Facility	(750)
Baltic Trading $44 Million Term Loan Facility
Cash flows from financing activities:
Repayments on Term Loan Facility	$ (1,375)

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SHARE REPURCHASE PROGRAM

6 Months Ended

Jun. 30, 2014

SHARE REPURCHASE PROGRAM

SHARE REPURCHASE PROGRAM

23 - SHARE REPURCHASE PROGRAM

Since the inception of its share repurchase program through June 30, 2014, the Company has repurchased and retired 278,300 shares of its common stock for $11,500.  Currently, the terms of the 2007 Credit Facility require the Company to suspend all share repurchases until the Company can represent that it is in a position to again satisfy the collateral maintenance covenant.  No share repurchases were made during the three and six months ended June 30, 2014 and 2013.

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NONVESTED STOCK AWARDS (Details) (USD $) In Thousands, except Share data, unless otherwise specified	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Mar. 13, 2014	Mar. 12, 2014
Number of Shares
Balance at the end of the period (in shares)	880,465
2005 and 2012 GS&T Plans
Number of Shares
Balance at the beginning of the period (in shares)	880,465
Balance at the end of the period (in shares)	880,465
Weighted Average Grant Date Price
Balance at the beginning of the period (in dollars per share)	$ 7.77
Balance at the end of the period (in dollars per share)	$ 7.77
Additional disclosures
Total fair value of shares vested	$ 0	$ 110
Unrecognized compensation cost related to nonvested stock awards [Abstract]
Unrecognized compensation cost	1,583
Weighted-average period for recognition of unrecognized compensation cost	1 year 8 months 8 days
Baltic Trading Plan | Baltic Trading Limited
Number of Shares
Balance at the beginning of the period (in shares)	1,381,429
Granted (in shares)	36,345
Vested (in shares)	(176,180)
Balance at the end of the period (in shares)	1,241,594
Weighted Average Grant Date Price
Balance at the beginning of the period (in dollars per share)	$ 6.03
Granted (in dollars per share)	$ 6.19
Vested (in dollars per share)	$ 10.53
Balance at the end of the period (in dollars per share)	$ 5.39
Additional disclosures
Total fair value of shares vested	1,143	643
Unrecognized compensation cost related to nonvested stock awards [Abstract]
Unrecognized compensation cost	$ 4,288
Weighted-average period for recognition of unrecognized compensation cost	3 years 4 days
Aggregate number of shares of common stock available for awards			6,000,000	2,000,000

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CONVERTIBLE SENIOR NOTES (Tables)

6 Months Ended

Jun. 30, 2014

CONVERTIBLE SENIOR NOTES

Schedule of carrying amounts of the liability and equity components of the convertible notes

	June 30, 2014		December 31, 2013
Carrying amount of the equity component (additional paid-in capital)	$	24,375	$	24,375
Principal amount of the 2010 Notes	125,000		125,000
Unamortized discount of the liability component	7,527		9,119
Net carrying amount of the liability component	117,473		115,881

Schedule of effective interest rate, cash and non-cash interest expense and deferred financing cost amortization

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Effective interest rate on liability component	10.0		%	10.0		%	10.0		%	10.0		%
Cash interest expense recognized	$	345		$	1,571		$	1,886		$	3,112
Non-cash interest expense recognized	293			1,209			1,592			2,388
Non-cash deferred financing amortization costs included in interest expense	39			179			216			356

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GENERAL INFORMATION (Details 3) (USD $)	6 Months Ended
	Jun. 30, 2014	Dec. 31, 2013
MEP
General information
Technical services fee per ship per day	$ 750
Initial term of provision of technical service	1 year
Notice period for cancellation of provision of technical services	60 days
Period for termination fee upon change of control	1 year
Notice period for cancellation of provision of technical services by company	60 days
Genco Investment LLC | Baltic Trading Limited
General information
Ownership interest held (as a percent)	11.04%	11.05%
Aggregate voting power held (as a percent)	65.06%	65.08%
Genco Investment LLC | Baltic Trading Limited | Minimum
General information
Ownership interest held (as a percent)	10.00%
Genco Investment LLC | Baltic Trading Limited | Class B stock
General information
Number of shares owned by Genco Investment LLC (in shares)	6,356,471	6,356,471
Percentage of additional shares to be received by Genco Investment LLC (as a percent)	2.00%

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details 2) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Reclassifications Out of AOCI
Interest expense	$ 18,510	$ 21,554	$ 39,532	$ 42,843
Net loss attributable to Genco Shipping & Trading Limited	60,524	45,369	99,630	93,532
Amount Reclassified from Accumulated Other Comprehensive Income
Reclassifications Out of AOCI
Net loss attributable to Genco Shipping & Trading Limited	1,078	2,477	2,485	4,916
Gains and losses on cash flow hedges | Interest rate contracts | Amount Reclassified from Accumulated Other Comprehensive Income
Reclassifications Out of AOCI
Interest expense	$ 1,078	$ 2,477	$ 2,485	$ 4,916

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Condensed Consolidated Balance Sheets (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Current assets:
Cash and cash equivalents	$ 57,720	$ 122,722
Restricted cash	9,975	9,850
Due from charterers, net of a reserve of $639 and $632, respectively	12,000	14,241
Prepaid expenses and other current assets	23,312	19,065
Total current assets	103,007	165,878
Noncurrent assets:
Vessels, net of accumulated depreciation of $799,020 and $730,662, respectively	2,607,784	2,673,795
Deposits on vessels	28,634	1,013
Deferred drydock, net of accumulated amortization of $10,665 and $11,107, respectively	16,775	11,069
Deferred financing costs, net of accumulated amortization of $26,570 and $22,279, respectively	18,002	22,011
Fixed assets, net of accumulated depreciation and amortization of $3,873 and $3,438, respectively	4,052	5,104
Other noncurrent assets	514	514
Restricted cash	300	300
Investments	49,618	77,570
Total noncurrent assets	2,725,679	2,791,376
Total assets	2,828,686	2,957,254
Current liabilities not subject to compromise:
Accounts payable and accrued expenses	39,527	27,359
Current portion of long-term debt	4,250	1,316,439
Current interest payable		13,199
Convertible senior note payable		115,881
Deferred revenue	1,151	1,597
Time charters acquired	17
Current portion of lease obligations		176
Fair value of derivative instruments		6,975
Total current liabilities not subject to compromise:	44,945	1,481,626
Noncurrent liabilities not subject to compromise:
Long-term lease obligations	2,658	3,114
Time charters acquired		84
Long-term debt	161,500	163,625
Total noncurrent liabilities not subject to compromise	164,158	166,823
Total liabilities subject to compromise	1,443,575
Total liabilities	1,652,678	1,648,449
Commitments and contingencies
Genco Shipping & Trading Limited shareholders' equity:
Common stock, par value $0.01; 100,000,000 shares authorized; issued and outstanding 44,449,407 shares at June 30, 2014 and December 31, 2013	445	445
Additional paid-in capital	847,547	846,658
Accumulated other comprehensive income	28,076	53,722
Retained (deficit) earnings	(32,986)	66,644
Total Genco Shipping & Trading Limited shareholders' equity	843,082	967,469
Noncontrolling interest	332,926	341,336
Total equity	1,176,008	1,308,805
Total liabilities and equity	$ 2,828,686	$ 2,957,254

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DEFERRED FINANCING COSTS (Tables)

6 Months Ended

Jun. 30, 2014

DEFERRED FINANCING COSTS

Schedule of deferred financing costs

	June 30, 2014		December 31, 2013
2007 Credit Facility	$	29,568	$	29,568
$ 100 Million Term Loan Facility	1,857		1,783
$253 Million Term Loan Facility	4,884		4,708
2010 Notes	3,637		3,637
2010 Baltic Trading Credit Facility	3,339		3,339
Baltic Trading $22 Million Term Loan Facility	529		518
Baltic Trading $44 Million Term Loan Facility	758		737
Total deferred financing costs	44,572		44,290
Less: accumulated amortization	26,570		22,279
Total	$	18,002	$	22,011

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Condensed Consolidated Statements of Equity (USD $) In Thousands, unless otherwise specified	Total	Genco Shipping & Trading Limited Shareholders' Equity	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive (Loss) Income	Retained Earnings	Noncontrolling Interest
Balance at Dec. 31, 2012	$ 1,261,207	$ 1,066,296	$ 443	$ 863,303	$ (11,841)	$ 214,391	$ 194,911
Increase (Decrease) in Shareholders' Equity
Net loss	(100,890)	(93,532)				(93,532)	(7,358)
Change in unrealized gain on investments	6,327	6,327			6,327
Unrealized gain on cash flow hedges, net	4,687	4,687			4,687
Issuance of 200,634 shares of nonvested stock, less forfeitures of 9,750 shares			2	(2)
Nonvested stock amortization	2,380	1,565		1,565			815
Issuance of common stock of Baltic Trading Limited	21,559	(8,992)		(8,992)			30,551
Cash dividends paid by Baltic Trading Limited	(347)	(4)				(4)	(343)
Vesting of restricted shares issued by Baltic Trading Limited		(26)		(26)			26
Balance at Jun. 30, 2013	1,194,923	976,321	445	855,848	(827)	120,855	218,602
Balance at Dec. 31, 2013	1,308,805	967,469	445	846,658	53,722	66,644	341,336
Increase (Decrease) in Shareholders' Equity
Net loss	(107,796)	(99,630)				(99,630)	(8,166)
Change in unrealized gain on investments	(27,952)	(27,952)			(27,952)
Unrealized gain on cash flow hedges, net	2,306	2,306			2,306
Nonvested stock amortization	2,691	820		820			1,871
Cash dividends paid by Baltic Trading Limited	(2,046)	(5)		(5)			(2,041)
Vesting of restricted shares issued by Baltic Trading Limited		74		74			(74)
Balance at Jun. 30, 2014	$ 1,176,008	$ 843,082	$ 445	$ 847,547	$ 28,076	$ (32,986)	$ 332,926

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CASH FLOW INFORMATION (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014 item	Dec. 31, 2013 item
CASH FLOW INFORMATION
Number of interest rate swaps	1	4
Fair value of interest rate swaps in a liability position (Liabilities subject to compromise)	$ 5,622
Fair value of interest rate swaps in a liability position (Current Liabilities)		$ 6,975

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

6 Months Ended

Jun. 30, 2014

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of consolidation

Principles of consolidation

The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which include the accounts of GS&T, its wholly-owned subsidiaries and Baltic Trading, a subsidiary in which the Company owns a majority of the voting interests and exercises control.  All intercompany accounts and transactions have been eliminated in consolidation.

Basis of presentation

Basis of presentation

The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and the rules and regulations of the Securities and Exchange Commission (the “SEC”).  In the opinion of management of the Company, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and operating results have been included in the statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted.  These condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2013 (the “2013 10-K”).  The results of operations for the three and six month periods ended June 30, 2014 and 2013 are not necessarily indicative of the operating results for the full year.

Vessels, net

Vessels, net

Vessels, net is stated at cost less accumulated depreciation. Included in vessel costs are acquisition costs directly attributable to the acquisition of a vessel and expenditures made to prepare the vessel for its initial voyage. The Company also capitalizes interest costs for a vessel under construction as a cost which is directly attributable to the acquisition of a vessel. Vessels are depreciated on a straight-line basis over their estimated useful lives, determined to be 25 years from the date of initial delivery from the shipyard. Depreciation expense for vessels for the three months ended June 30, 2014 and 2013 was $34,557 and $33,102, respectively.  Depreciation expense for vessels for the six months ended June 30, 2014 and 2013 was $68,717 and $65,841, respectively.

Depreciation expense is calculated based on cost less the estimated residual scrap value. The costs of significant replacements, renewals and betterments are capitalized and depreciated over the shorter of the vessel’s remaining estimated useful life or the estimated life of the renewal or betterment. Undepreciated cost of any asset component being replaced that was acquired after the initial vessel purchase is written off as a component of vessel operating expense. Expenditures for routine maintenance and repairs are expensed as incurred. Scrap value is estimated by the Company by taking the estimated scrap value of $245 per lightweight ton (“lwt”) times the weight of the ship in lwt’s.

Deferred revenue

Deferred revenue

Deferred revenue primarily relates to cash received from charterers prior to it being earned. These amounts are recognized as income when earned. Additionally, deferred revenue includes estimated customer claims mainly due to time charter performance issues. As of June 30, 2014 and December 31, 2013, the Company had an accrual of $459 and $536, respectively, related to these estimated customer claims.

Voyage expense recognition

Voyage expense recognition

In time charters, spot market-related time charters and pool agreements, operating costs including crews, maintenance and insurance are typically paid by the owner of the vessel and specified voyage costs such as fuel and port charges are paid by the charterer. There are certain other non-specified voyage expenses, such as commissions, which are typically borne by the Company. At the inception of a time charter, the Company records the difference between the cost of bunker fuel delivered by the terminating charterer and the bunker fuel sold to the new charterer as a gain or loss within voyage expenses. These differences in bunkers resulted in net (gains) losses of ($184) and $21 during the three months ended June 30, 2014 and 2013, respectively, and ($249) and ($343) during the six months ended June 30, 2014 and 2013, respectively.  Additionally, voyage expenses include the cost of bunkers consumed during short-term time charters pursuant to the terms of the time charter agreement.

Noncontrolling interest

Noncontrolling interest

Net loss attributable to noncontrolling interest during the three and six months ended June 30, 2014 and 2013 reflects the noncontrolling interest’s share of the net loss of Baltic Trading, a subsidiary of the Company, which owns and employs drybulk vessels in the spot market, in vessel pools or on spot market-related time charters.  The spot market represents immediate chartering of a vessel, usually for single voyages.  At June 30, 2014, the noncontrolling interest held an 88.96% economic interest in Baltic Trading while only holding 34.94% of the voting power.  At  December 31, 2013, the noncontrolling interest held an 88.95% economic interest in Baltic Trading while only holding 34.92% of the voting power.

Income taxes

Income taxes

Pursuant to certain agreements, GS&T technically and commercially manages vessels for Baltic Trading, as well as provides technical management of vessels for MEP in exchange for specified fees for these services provided.  These services are performed by Genco Management (USA) Limited (“Genco (USA)”), which has elected to be taxed as a corporation for United States federal income tax purposes.  As such, Genco (USA) is subject to United States federal income tax on its worldwide net income, including the net income derived from providing these services.  Genco (USA) has entered into a cost-sharing agreement with the Company and Genco Ship Management LLC, collectively Manco, pursuant to which Genco (USA) agrees to reimburse Manco for the costs incurred by Genco (USA) for the use of Manco’s personnel and services in connection with the provision of the services for both Baltic Trading and MEP’s vessels.

Total revenue earned for these services during the three months ended June 30, 2014 and 2013 was $1,841 and $1,515, respectively, of which $1,022 and $696, respectively, eliminated upon consolidation.  After allocation of certain expenses, there was taxable income of $764 associated with these activities for the three months ended June 30, 2014.  This resulted in estimated tax expense of $339 for the three months ended June 30, 2014.  After allocation of certain expenses, there was taxable income of $625 associated with these activities for the three months ended June 30, 2013.  This resulted in income tax expense of $281 for the three months ended June 30, 2013.

Total revenue earned for these services during the six months ended June 30, 2014 and 2013 was $3,696 and $3,005, respectively, of which $2,067 and $1,376, respectively, were eliminated upon consolidation.  After allocation of certain expenses, there was taxable income of $1,650 associated with these activities for the six months ended June 30, 2014. This resulted in estimated income tax expense of $740 for the six months ended June 30, 2014. After allocation of certain expenses, there was taxable income of $1,217 associated with these activities for the six months ended June 30, 2013. This resulted in income tax expense of $505 for the six months ended June 30, 2013.

Baltic Trading is subject to income tax on its United States source income.  During the three months ended June 30, 2014 and 2013, Baltic Trading had United States operations which resulted in United States source income of $1,245 and $639, respectively.  Baltic Trading’s estimated United States income tax expense for the three months ended June 30, 2014 and 2013 was $25 and $13, respectively.

During the six months ended June 30, 2014 and 2013, Baltic Trading had United States operations which resulted in United

States source income of $1,813 and $639, respectively. Baltic Trading’s United States income tax expense for the six months ended

June 30, 2014 and 2013 was $37 and $13, respectively.

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RELATED PARTY TRANSACTIONS (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended					6 Months Ended			6 Months Ended			6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014 General Maritime Corporation	Jun. 30, 2013 General Maritime Corporation	Dec. 31, 2013 General Maritime Corporation	Jun. 30, 2014 Constantine Georgiopoulos	Jun. 30, 2013 Constantine Georgiopoulos	Dec. 31, 2013 Constantine Georgiopoulos	Jun. 30, 2014 Aegean Marine Petroleum Network Inc.	Jun. 30, 2013 Aegean Marine Petroleum Network Inc.	Dec. 31, 2013 Aegean Marine Petroleum Network Inc.	Jun. 30, 2014 MEP	Jun. 30, 2013 MEP	Dec. 31, 2013 MEP
Related Party Transaction
Amount invoiced for services performed and expenses paid					$ 72	$ 75								$ 1,671	$ 1,708
Expenses incurred from transactions with related party					49	54		3	7		1,087	746
Amount due to the related party							16	0		25	237		263
Amount due to the entity from a related party					16									10		7
Service revenues	$ 819	$ 819	$ 1,629	$ 1,629										$ 1,629	$ 1,629

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FAIR VALUE OF FINANCIAL INSTRUMENTS

6 Months Ended

Jun. 30, 2014

FAIR VALUE OF FINANCIAL INSTRUMENTS

FAIR VALUE OF FINANCIAL INSTRUMENTS

13 - FAIR VALUE OF FINANCIAL INSTRUMENTS

The fair values and carrying values of the Company’s financial instruments at June 30, 2014 and December 31, 2013 which are required to be disclosed at fair value, but not recorded at fair value, are noted below.

	June 30, 2014				December 31, 2013
	Carrying Value		Fair Value		Carrying Value		Fair Value
Cash and cash equivalents	$	57,720	$	57,720	$	122,722	$	122,722
Restricted cash	10,275		10,275		10,150		10,150
Floating rate debt	1,470,941		See Below		1,480,064		See Below
2010 Notes	117,473		122,500		115,881		63,438

The fair value of the floating rate debt under the $100 Million Term Loan Facility and $253 Million Term Loan Facility are based on management’s estimate utilizing rates the Company believes it would be able to obtain for these credit facilities.  However, a portion of the floating rate debt of the 2007 Credit Facility was traded in a private transaction for an amount that is not determinable by the Company, which Management believes was lower than the debt’s current carrying value.  The fair value of the 2010 Baltic Trading Credit Facility is based on rates Baltic Trading has recently obtained pursuant to the amendment to the existing 2010 Baltic Trading Credit Facility on August 29, 2013.  The fair value of the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility is based on rates that Baltic Trading recently obtained upon the effective dates of these facilities on August 30, 2013 and December 3, 2013, respectively.  Additionally, the Company considers its creditworthiness in determining the fair value of floating rate debt under the credit facilities.  The carrying value approximates the fair market value for these floating rate loans, except for the 2007 Credit Facility.  The fair value of the convertible senior notes payable represents the market value based on recent transactions of the 2010 Notes at June 30, 2014 and December 31, 2013 without bifurcating the value of the conversion option.  The fair value of the interest rate swaps is the estimated amount the Company would receive to terminate the swap agreements at the reporting date, taking into account current interest rates and the creditworthiness of both the swap counterparty and the Company.  The carrying amounts of the Company’s other financial instruments at June 30, 2014 and December 31, 2013 (principally Due from charterers and Accounts payable and accrued expenses), approximate fair values because of the relatively short maturity of these instruments.

ASC Subtopic 820-10, “Fair Value Measurements & Disclosures” (“ASC 820-10”), applies to all assets and liabilities that are being measured and reported on a fair value basis.  This guidance enables the reader of the financial statements to assess the inputs used to develop those measurements by establishing a hierarchy for ranking the quality and reliability of the information used to determine fair values. The fair value framework requires the categorization of assets and liabilities into three levels based upon the assumption (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. The three levels are defined as follows:

· Level 1—Valuations based on quoted prices in active markets for identical instruments that the Company is able to access. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these instruments does not entail a significant degree of judgment.

· Level 2—Valuations based on quoted prices in active markets for instruments that are similar, or quoted prices in markets that are not active for identical or similar instruments, and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets.

· Level 3—Valuations based on inputs that are unobservable and significant to the overall fair value measurement.

As of June 30, 2014 and December 31, 2013, the fair values of the Company’s financial assets and liabilities are categorized as follows:

	June 30, 2014
	Total		Quoted Market Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)
Investments	$	49,618	$	49,618	$	—
Derivative instruments — liability position (Refer to Note 11)	5,622		—		5,622

	December 31, 2013
	Total		Quoted Market Prices in Active Markets (Level 1)		Significant Other Observable Inputs (Level 2)
Investments	$	77,570	$	77,570	$	—
Derivative instruments — liability position	6,975		—		6,975

The Company holds an investment in the capital stock of Jinhui, which is classified as a long-term investment.  The stock of Jinhui is publicly traded on the Oslo Stock Exchange and is considered a Level 1 item.  The Company also holds an investment in the stock of KLC, which is classified as a long-term investment.  The stock of KLC is publicly traded on the Korea Stock Exchange and is considered a Level 1 item.  The Company’s only interest rate derivative instrument is a pay-fixed, receive-variable interest rate swaps based on LIBOR.  The Company has elected to use the income approach to value this derivative, using observable Level 2 market inputs at measurement date and standard valuation techniques to convert future amounts to a single present amount assuming that participants are motivated, but not compelled to transact.  Level 2 inputs for the valuations are limited to quoted prices for similar assets or liabilities in active markets (specifically futures contracts on LIBOR for the first two years) and inputs other than quoted prices that are observable for the asset or liability (specifically LIBOR cash and swap rates and credit risk at commonly quoted intervals).  Mid-market pricing is used as a practical expedient for fair value measurements.  Refer to Note 11 — Interest Rate Swap Agreements for further information regarding the Company’s interest rate swap agreements.  ASC 820-10 states that the fair value measurement of an asset or liability must reflect the nonperformance risk of the entity and the counterparty. Therefore, the impact of the counterparty’s creditworthiness when in an asset position and the Company’s creditworthiness when in a liability position have also been factored into the fair value measurement of the derivative instruments.  This credit valuation adjustment did not have a material impact on the fair value measurement of the derivative instruments.   Refer to Note 1 — General Information for additional information regarding defaults relating to the swap.  Cash and cash equivalents and restricted cash are considered Level 1 items as they represent liquid assets with short-term maturities. Floating rate debt is considered to be a Level 2 item as the Company considers the estimate of rates it could obtain for similar debt or based upon transaction amongst third parties. The 2010 Notes were publicly traded in the over-the-counter market; however, they were not considered to be actively traded. As such, the 2010 Notes are considered to be a Level 2 item.  The Company did not have any Level 3 financial assets or liabilities during the six months ended June 30, 2014 and 2013.

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GENERAL INFORMATION (Tables)

6 Months Ended

Jun. 30, 2014

GS&T and wholly-owned subsidiaries excluding Baltic Trading Limited

General information

Schedule of wholly owned ship-owning subsidiaries

Below is the list of GS&T’s wholly owned ship-owning subsidiaries as of June 30, 2014:

Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Genco Reliance Limited	Genco Reliance	29,952	12/6/04	1999
Genco Vigour Limited	Genco Vigour	73,941	12/15/04	1999
Genco Explorer Limited	Genco Explorer	29,952	12/17/04	1999
Genco Carrier Limited	Genco Carrier	47,180	12/28/04	1998
Genco Sugar Limited	Genco Sugar	29,952	12/30/04	1998
Genco Pioneer Limited	Genco Pioneer	29,952	1/4/05	1999
Genco Progress Limited	Genco Progress	29,952	1/12/05	1999
Genco Wisdom Limited	Genco Wisdom	47,180	1/13/05	1997
Genco Success Limited	Genco Success	47,186	1/31/05	1997
Genco Beauty Limited	Genco Beauty	73,941	2/7/05	1999
Genco Knight Limited	Genco Knight	73,941	2/16/05	1999
Genco Leader Limited	Genco Leader	73,941	2/16/05	1999
Genco Marine Limited	Genco Marine	45,222	3/29/05	1996
Genco Prosperity Limited	Genco Prosperity	47,180	4/4/05	1997
Genco Muse Limited	Genco Muse	48,913	10/14/05	2001
Genco Acheron Limited	Genco Acheron	72,495	11/7/06	1999
Genco Surprise Limited	Genco Surprise	72,495	11/17/06	1998
Genco Augustus Limited	Genco Augustus	180,151	8/17/07	2007
Genco Tiberius Limited	Genco Tiberius	175,874	8/28/07	2007
Genco London Limited	Genco London	177,833	9/28/07	2007
Genco Titus Limited	Genco Titus	177,729	11/15/07	2007
Genco Challenger Limited	Genco Challenger	28,428	12/14/07	2003
Genco Charger Limited	Genco Charger	28,398	12/14/07	2005
Genco Warrior Limited	Genco Warrior	55,435	12/17/07	2005
Genco Predator Limited	Genco Predator	55,407	12/20/07	2005

Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Genco Hunter Limited	Genco Hunter	58,729	12/20/07	2007
Genco Champion Limited	Genco Champion	28,445	1/2/08	2006
Genco Constantine Limited	Genco Constantine	180,183	2/21/08	2008
Genco Raptor LLC	Genco Raptor	76,499	6/23/08	2007
Genco Cavalier LLC	Genco Cavalier	53,617	7/17/08	2007
Genco Thunder LLC	Genco Thunder	76,588	9/25/08	2007
Genco Hadrian Limited	Genco Hadrian	169,694	12/29/08	2008
Genco Commodus Limited	Genco Commodus	169,025	7/22/09	2009
Genco Maximus Limited	Genco Maximus	169,025	9/18/09	2009
Genco Claudius Limited	Genco Claudius	169,025	12/30/09	2010
Genco Bay Limited	Genco Bay	34,296	8/24/10	2010
Genco Ocean Limited	Genco Ocean	34,409	7/26/10	2010
Genco Avra Limited	Genco Avra	34,391	5/12/11	2011
Genco Mare Limited	Genco Mare	34,428	7/20/11	2011
Genco Spirit Limited	Genco Spirit	34,432	11/10/11	2011
Genco Aquitaine Limited	Genco Aquitaine	57,981	8/18/10	2009
Genco Ardennes Limited	Genco Ardennes	57,981	8/31/10	2009
Genco Auvergne Limited	Genco Auvergne	57,981	8/16/10	2009
Genco Bourgogne Limited	Genco Bourgogne	57,981	8/24/10	2010
Genco Brittany Limited	Genco Brittany	57,981	9/23/10	2010
Genco Languedoc Limited	Genco Languedoc	57,981	9/29/10	2010
Genco Loire Limited	Genco Loire	53,416	8/4/10	2009
Genco Lorraine Limited	Genco Lorraine	53,416	7/29/10	2009
Genco Normandy Limited	Genco Normandy	53,596	8/10/10	2007
Genco Picardy Limited	Genco Picardy	55,257	8/16/10	2005
Genco Provence Limited	Genco Provence	55,317	8/23/10	2004
Genco Pyrenees Limited	Genco Pyrenees	57,981	8/10/10	2010
Genco Rhone Limited	Genco Rhone	58,018	3/29/11	2011

Baltic Trading Limited

General information

Schedule of wholly owned ship-owning subsidiaries

Below is the list of Baltic Trading’s wholly owned ship-owning subsidiaries as of June 30, 2014:

Baltic Trading’s Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Baltic Leopard Limited	Baltic Leopard	53,447	4/8/10	2009
Baltic Panther Limited	Baltic Panther	53,351	4/29/10	2009
Baltic Cougar Limited	Baltic Cougar	53,432	5/28/10	2009
Baltic Jaguar Limited	Baltic Jaguar	53,474	5/14/10	2009
Baltic Bear Limited	Baltic Bear	177,717	5/14/10	2010
Baltic Wolf Limited	Baltic Wolf	177,752	10/14/10	2010
Baltic Wind Limited	Baltic Wind	34,409	8/4/10	2009
Baltic Cove Limited	Baltic Cove	34,403	8/23/10	2010
Baltic Breeze Limited	Baltic Breeze	34,386	10/12/10	2010
Baltic Fox Limited	Baltic Fox	31,883	9/6/13	2010
Baltic Hare Limited	Baltic Hare	31,887	9/5/13	2009
Baltic Lion Limited	Baltic Lion	179,185	12/27/13	2012
Baltic Tiger Limited	Baltic Tiger	179,185	11/26/13	2011
Baltic Hornet Limited	Baltic Hornet	64,000	Q3 2014 (1)	2014 (1)
Baltic Wasp Limited	Baltic Wasp	64,000	Q4 2014 (1)	2014 (1)
Baltic Scorpion Limited	Baltic Scorpion	64,000	Q2 2015 (1)	2015 (1)
Baltic Mantis Limited	Baltic Mantis	64,000	Q3 2015 (1)	2015 (1)

(1) Built dates and dates for vessels being delivered in the future are estimates based on the guidance received from the sellers and the respective shipyards.

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DEFERRED FINANCING COSTS

6 Months Ended

Jun. 30, 2014

DEFERRED FINANCING COSTS

DEFERRED FINANCING COSTS

15 — DEFERRED FINANCING COSTS

Deferred financing costs include fees, commissions and legal expenses associated with securing loan facilities and other debt offerings and amending existing loan facilities. Total net deferred financing costs consist of the following as of June 30, 2014 and December 31, 2013:

	June 30, 2014		December 31, 2013
2007 Credit Facility	$	29,568	$	29,568
$ 100 Million Term Loan Facility	1,857		1,783
$253 Million Term Loan Facility	4,884		4,708
2010 Notes	3,637		3,637
2010 Baltic Trading Credit Facility	3,339		3,339
Baltic Trading $22 Million Term Loan Facility	529		518
Baltic Trading $44 Million Term Loan Facility	758		737
Total deferred financing costs	44,572		44,290
Less: accumulated amortization	26,570		22,279
Total	$	18,002	$	22,011

Amortization expense for deferred financing costs for the three months ended June 30, 2014 and 2013 was $2,071 and $1,856, respectively, and $4,291 and $3,691, respectively.  This amortization expense is recorded as a component of interest expense in the Condensed Consolidated Statements of Operations.

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INTEREST RATE SWAP AGREEMENTS (Details) (USD $) In Thousands, unless otherwise specified							0 Months Ended	6 Months Ended
	Jun. 30, 2014 item	Dec. 31, 2013 item	Dec. 31, 2013 Interest Rate Swap, 4.485%	Dec. 31, 2013 Interest Rate Swap, 5.25%	Dec. 31, 2013 Interest Rate Swap, 2.05%	Dec. 31, 2013 Interest Rate Swap, 2.45%	Apr. 30, 2014 Chapter 11 DNB Bank ASA	Jun. 30, 2014 2007 Credit Facility
INTEREST RATE SWAP AGREEMENTS
Number of interest rate swap agreements outstanding	1	4
Number of expired interest rate swap agreements	3
Interest rate swaps designated as cash flow hedges
Term of interest periods when Company is in default under covenants of 2007 Credit Facility								1 month
Secured claim issued with the Bankruptcy Court							$ 5,622
Fixed rate (as a percent)			4.485%	5.25%	2.05%	2.45%
Notional amount outstanding		$ 306,233	$ 106,233	$ 50,000	$ 100,000	$ 50,000

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Condensed Consolidated Statements of Equity (Parenthetical)	6 Months Ended
	Jun. 30, 2013
Condensed Consolidated Statements of Equity
Issuance of shares of nonvested stock	200,634
Forfeiture of shares of nonvested stock	9,750

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Condensed Consolidated Balance Sheets (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Noncurrent assets:
Due from charterers, reserve	$ 639	$ 632
Vessels, accumulated depreciation	799,020	730,662
Deferred drydock, accumulated amortization	10,665	11,107
Deferred financing costs, accumulated amortization	26,570	22,279
Fixed assets, accumulated depreciation and amortization	$ 3,873	$ 3,438
Genco Shipping & Trading Limited shareholders' equity:
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	100,000,000	100,000,000
Common stock, shares issued (in shares)	44,449,407	44,449,407
Common stock, shares outstanding (in shares)	44,449,407	44,449,407

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RELATED PARTY TRANSACTIONS

6 Months Ended

Jun. 30, 2014

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS

8 - RELATED PARTY TRANSACTIONS

The following represent related party transactions reflected in these condensed consolidated financial statements:

The Company makes available employees performing internal audit services to General Maritime Corporation (“GMC”), where the Company’s Chairman, Peter C. Georgiopoulos, also serves as Chairman of the Board.  For the six months ended June 30, 2014 and 2013, the Company invoiced $72 and $75, respectively, to GMC, which includes time associated with such internal audit services and other expenditures.  Additionally, during the six months ended June 30, 2014 and 2013, the Company incurred travel and other office related expenditures totaling $49 and $54, respectively, reimbursable to GMC or its service provider.  At June 30, 2014, the amount due to the Company from GMC was $16.  At December 31, 2013, the amount due to GMC from the Company was $16.

During the six months ended June 30, 2014 and 2013, the Company incurred legal services (primarily in connection with vessel acquisitions) aggregating $3 and $7, respectively, from Constantine Georgiopoulos, the father of Peter C. Georgiopoulos, Chairman of the Board.  At June 30, 2014 and December 31, 2013, the amount due to Constantine Georgiopoulos was $0 and $25, respectively.

GS&T and Baltic Trading have entered into agreements with Aegean Marine Petroleum Network, Inc. (“Aegean”) to purchase lubricating oils for certain vessels in their fleets.  Peter C. Georgiopoulos, Chairman of the Board of the Company, is Chairman of the Board of Aegean.  During the six months ended June 30, 2014 and 2013, Aegean supplied lubricating oils to the Company’s vessels aggregating $1,087 and $746, respectively.  At June 30, 2014 and December 31, 2013, $237 and $263 remained outstanding, respectively.

During the six months ended June 30, 2014 and 2013, the Company invoiced MEP for technical services provided and expenses paid on MEP’s behalf aggregating $1,671 and $1,708, respectively.  Peter C. Georgiopoulos, Chairman of the Board, controls and has a minority interest in MEP.  At June 30, 2014 and December 31, 2013, $10 and $7, respectively, was due to the Company from MEP.  Total service revenue earned by the Company for technical service provided to MEP for the six months ended June 30, 2014 and 2013 was $1,629 and $1,629, respectively.

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Document and Entity Information	6 Months Ended
	Jun. 30, 2014	Aug. 15, 2014
Document and Entity Information
Entity Registrant Name	GENCO SHIPPING & TRADING LTD
Entity Central Index Key	0001326200
Document Type	10-Q
Document Period End Date	Jun. 30, 2014
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		61,410,362
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q2

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DEBT

6 Months Ended

Jun. 30, 2014

DEBT

DEBT

9 - DEBT

Long-term debt consists of the following:

	June 30, 2014									December 31, 2013
	Balance prior to Financial Statement Classification			Amounts Classified as Subject to Compromise			Total Debt			Total Debt
2007 Credit Facility	$	1,055,912		$	(1,055,912	)	$	—		$	1,055,912
$100 Million Term Loan Facility	73,561			(73,561		)	—			75,484
$253 Million Term Loan Facility	175,718			(175,718		)	—			180,793
2010 Baltic Trading Credit Facility	102,250			—			102,250			102,250
Baltic Trading $22 Million Term Loan Facility	20,875			—			20,875			21,625
Baltic Trading $44 Million Term Loan Facility	42,625			—			42,625			44,000
Less: Current portion	(4,250		)	—			(4,250		)	(1,316,439		)
Long-term debt	$	1,466,691		$	(1,305,191	)	$	161,500		$	163,625

2007 Credit Facility

On July 20, 2007, the Company entered into the 2007 Credit Facility with DnB NOR Bank ASA. The maximum amount that may be borrowed under the 2007 Credit Facility at June 30, 2014 is $1,055,912.  As of June 30, 2014, the Company had utilized its maximum borrowing capacity under the 2007 Credit Facility.

In 2009, the Company obtained a waiver of the collateral maintenance covenant under this facility until the Company can represent that it is in compliance with all of its financial covenants and is otherwise able to pay a dividend and purchase or redeem shares of common stock under the terms of the facility in effect before the waiver.  The Company’s cash dividends and share repurchases were suspended until the collateral maintenance financial covenant could be satisfied.

The maximum leverage ratio covenant and minimum permitted consolidated interest ratio covenants were waived for the periods ending on and including December 31, 2013 pursuant to the August 1, 2012 agreements to amend or waive certain provisions of the agreements for the 2007 Credit Facility, $100 Million Term Loan Facility and the $253 Million Term Loan Facility (as defined below) (the “August 2012 Agreements”).

The gross interest-bearing debt to total capital covenant ended during the period ending on and including December 31, 2013 pursuant to the August 2012 Agreements.  This covenant limited the ratio of the Company’s interest-bearing indebtedness to the sum of its interest-bearing indebtedness and its consolidated net worth in accordance with U.S. GAAP to 62.5% on the last day of any fiscal quarter during the waiver period.

Additionally, pursuant to the August 2012 Agreements, the total applicable margin over LIBOR payable on the principal amount of debt outstanding increased from 2.0% to 3.0% per annum.  The minimum cash balance required was also increased from $500 to $750 per vessel mortgaged under this facility pursuant to the August 2012 Agreements.

Pursuant to the amendment to the 2007 Credit Facility which was entered into on December 21, 2011, the Company was subject to a facility fee of 2.0% per annum on the average daily outstanding principal amount of the loans outstanding, payable quarterly in arrears, which was subject to a reduction to 1.0% if the Company consummated an equity offering resulting in an aggregate amount of $50,000 of gross proceeds.  On February 28, 2012, the Company completed an equity offering of 7,500,000 shares which resulted in gross proceeds of $53,250.  As such, effective February 28, 2012, the facility fee was reduced to 1.0%.

As of June 30, 2014, the Company was not in compliance with certain of the financial covenants under its 2007 Credit Facility, as amended.  As a result of the commencement of the Chapter 11 Cases, the debt outstanding under this facility of $1,055,912 has been classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.

At June 30, 2014, there were no letters of credit issued under the 2007 Credit Facility.

To allow discussions with our creditors concerning our restructuring to continue into April 2014 without the need to file for immediate bankruptcy relief, on March 31, 2014, we entered into agreements with certain of the lenders under our 2007 Credit Facility, our $100 Million Term Loan Facility, and our $253 Million Term Loan Facility (our “Credit Facilities”) to obtain waivers or forbearances with respect to certain potential or actual events of default as of March 31, 2014 as follows (the “Relief Agreements”):

· not making the scheduled amortization payment on March 31, 2014 under our 2007 Credit Facility;

· not meeting the consolidated interest ratio covenant for the period ended March 31, 2014;

· not meeting the maximum leverage ratio covenant for the period ending March 31, 2014;

· not meeting the collateral maintenance test under the 2007 Credit Facility;

· not meeting the minimum cash balance covenant under the 2007 Credit Facility;

· not furnishing audited financial statements to the lenders within 90 days after year end for the year ended December 31, 2013;

· a cross-default with respect to our outstanding interest rate swap with respect to the foregoing;

· cross-defaults among our credit facilities with respect to the foregoing; and

· any related defaults or events of default resulting from the failure to give notice with respect to any of the foregoing.

The Relief Agreement for our 2007 Credit Facility provided that the agent and consenting lenders would forbear to exercise their rights and remedies through 11:59 p.m. on April 1, 2014 with respect to the foregoing potential or actual events of default, subject to earlier termination if a subsequent event of default occurs under our credit agreements other than those described above or if we breach the terms of the Relief Agreement. The Relief Agreements for our other two Credit Facilities provided that the agent and lenders waived through 11:59 p.m. on April 1, 2014 the foregoing potential or actual events of default, subject to earlier termination if a subsequent event of default occurs under our credit agreements or if we breach the terms of the Relief Agreements. Notwithstanding such waivers and forbearances, the fact that we did not make the scheduled amortization payment on March 31, 2014 constituted an event of default under our currently outstanding interest rate swap. In addition, under the indenture and supplemental indenture (the “Indenture”) governing our 5.0% Convertible Senior Notes issued on July 27, 2010 (the “2010 Notes”), our failure to make such payment would constitute an event of default under the Indenture if we fail to cure such default within 30 days after notice from the trustee under the Indenture.

On April 1, 2014, we entered into new agreements with the other parties to the Relief Agreements that extended the expiration of the forbearances and waivers under the Relief Agreements from 11:59 p.m. on April 1, 2014 to 11:59 p.m. on April 21, 2014. Also, the forbearances and waivers would have terminated if a definitive agreement for our restructuring was not effective by 11:59 p.m. on April 4, 2014. We avoided this termination through our entry into the Support Agreement. Such new agreements are otherwise on substantially the same terms and conditions as the Relief Agreements.

As of July 9, 2014, the Effective Date, the 2007 Credit Facility was terminated and the liens and mortgages related thereto were released as part of the Plan.  Refer to the “Bankruptcy Filing” section of Note 1 — General Information for further information regarding the Chapter 11 Cases.

$100 Million Term Loan Facility

On August 12, 2010, the Company entered into the $100 Million Term Loan Facility. As of June 30, 2014, the Company had utilized its maximum borrowing capacity of $100,000. The Company has used the $100 Million Term Loan Facility to fund or refund the Company a portion of the purchase price of the acquisition of five vessels from companies within the Metrostar group of companies.  As of June 30, 2014, there was no availability under the $100 Million Term Loan Facility.

Pursuant to the amendments to the $100 Million Term Loan Facility that were entered into on December 21, 2011 and the August 2012 Agreements, the maximum leverage ratio covenant and the minimum permitted consolidated interest ratio covenant were waived for the periods ending on and including December 31, 2013.

As of June 30, 2014, the Company was not in compliance with certain of the financial covenants under the $100 Million Term Loan Facility, as amended.  As such, the debt outstanding under this facility of $73,561 has been classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.

See above in this note under the heading “2007 Credit Facilities” for a description of the agreement the Company entered into to obtain waivers with respect to certain events of default relating to the $100 Million Term Loan Facility. See the “Bankruptcy Filing” section under Note 1 — General Information for the Company’s restructuring plans, including the filing of its Chapter 11 Cases and the Company’s subsequent emergence from Chapter 11.

On the Effective Date, Genco entered into the Amended and Restated $100 Million Term Loan Facility and the Amended and Restated $253 Million Term Loan Facility.  The Amended and Restated Credit Facilities included, among other things:

· A paydown as of the Effective Date with respect to payments which became due under the prepetition credit facilities between the Petition Date and the Effective Date and were not paid during the pendency of the Chapter 11 Cases ($1,923 for the $100 Million Term Loan Facility and $5,075 for the $253 Million Term Loan Facility).

· Extension of the maturity dates to August 31, 2019 from August 17, 2017 for the $100 Million Term Loan Facility and August 15, 2015 for the $253 Million Term Loan Facility.

· Relief from compliance with financial covenants governing the Company’s maximum leverage ratio, minimum consolidated interest coverage ratio and consolidated net worth through and including the quarter ending March 31, 2015 (with quarterly testing commencing June 30, 2015).

· A fleetwide minimum liquidity covenant requiring maintenance of cash of $750 per vessel for all vessels owned by Genco (excluding those owned by Baltic Trading).

· An increase in the interest rate to LIBOR plus 3.50% per year from 3.00% previously for the $100 Million Term Loan Facility and the $253 Million Term Loan Facility.

The obligations under the Amended and Restated $100 Million Term Loan Facility are secured by a first priority security interest in the vessels and other collateral securing the $100 Million Term Loan Facility.  The Amended and Restated $100 Million Term Loan Facility requires quarterly repayment installments in accordance with the original terms of the $100 Million Term Loan Facility.

$253 Million Term Loan Facility

On August 20, 2010, the Company entered into the $253 Million Term Loan Facility.  As of June 30, 2014, the Company had utilized its maximum borrowing capacity of $253,000 to fund or refund to the Company a portion of the purchase price of the 13 vessels purchased from Bourbon SA during the third quarter of 2010 and first quarter of 2011.  As of June 30, 2014, there was no availability under the $253 Million Term Loan Facility.

Pursuant to the amendment to the $253 Million Term Loan Facility that was entered into on December 21, 2011 and the August 2012 Agreements, the maximum leverage ratio covenant and the minimum permitted consolidated interest ratio covenant were waived for the periods ending on and including December 31, 2013.

As of June 30, 2014 and December 31, 2013, the Company has deposited $9,875 and $9,750, respectively, that has been reflected as restricted cash.  Restricted cash will be released only if the underlying collateral is sold or disposed of.

As of June 30, 2014, the Company was not in compliance with certain of the financial covenants under the $253 Million Term Loan Facility, as amended.  As a result of the commencement of the Chapter 11 Cases, the debt outstanding under this facility of $175,718 has been classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014.

See above in this note under the heading “2007 Credit Facility” for a description of the agreement the Company entered into to obtain waivers with respect to certain events of default relating to the $253 Million Term Loan Facility.  See the “Bankruptcy Filing” section under Note 1 — General Information for the Company’s restructuring plans, including the filing of its Chapter 11 Cases and the Company’s subsequent emergence from Chapter 11.

Refer to the “$100 Million Term Loan Facility” section above for a description of the Amended and Restated $253 Million Term Loan Facility that was entered into by the Company on the Effective Date.  The obligations under the Amended and Restated $253 Million Term Loan Facility are secured by a first priority security interest in the vessels and other collateral securing the $253 Million Term Loan Facility.  The Amended and Restated $253 Million Term Loan Facility requires quarterly repayment installments in accordance with the original terms of the $253 Million Term Loan Facility.

2010 Baltic Trading Credit Facility

On April 16, 2010, Baltic Trading entered into a $100,000 senior secured revolving credit facility with Nordea Bank Finland plc, acting through its New York branch (as amended, the “2010 Baltic Trading Credit Facility”).  An amendment to the 2010 Baltic Trading Credit Facility was entered into by Baltic Trading effective November 30, 2010.  Among other things, this amendment increased the commitment amount of the 2010 Baltic Trading Credit Facility from $100,000 to $150,000.  An additional amendment to the 2010 Baltic Trading Credit Facility was entered into by Baltic Trading effective August 29, 2013 (the “August 2013 Amendment”).  Among other things, the August 2013 Amendment implements the following modifications to the 2010 Baltic Trading Credit Facility:

· The requirement that certain additional vessels acquired by Baltic Trading be mortgaged as collateral under the 2010 Baltic Trading Credit Facility was eliminated.

· Restrictions on the incurrence of indebtedness by Baltic Trading and its subsidiaries were amended to apply only to those subsidiaries acting as guarantors under the 2010 Baltic Trading Credit Facility.

· The total commitment under this facility was reduced to $110,000 and will be further reduced in three consecutive semi-annual reductions of $5,000 commencing on May 30, 2015.

· Borrowings bear interest at an applicable margin over LIBOR of 3.00% per annum if the ratio of the maximum facility amount of the aggregate appraised value of vessels mortgaged under the facility is 55% or less, measured quarterly; otherwise, the applicable margin is 3.35% per annum.

· Financial covenants corresponding to the liquidity and leverage under the Baltic Trading $22 Million Term Loan Facility (as defined below) have been incorporated into the 2010 Baltic Trading Credit Facility.

As of June 30, 2014, $7,750 remained available under the 2010 Baltic Trading Credit Facility as the total commitment was reduced to $110,000 on August 29, 2013.  The total available working capital borrowings of $25,000 are subject to the total remaining availability under the 2010 Baltic Trading Credit Facility, therefore, only $7,750 is available for working capital purposes as of June 30, 2014.

As of June 30, 2014, the Company believes Baltic Trading is in compliance with all of the financial covenants under the 2010 Baltic Trading Credit Facility.

Baltic Trading $22 Million Term Loan Facility

On August 30, 2013, Baltic Hare Limited and Baltic Fox Limited, wholly-owned subsidiaries of Baltic Trading, entered into a secured loan agreement with DVB Bank SE for a term loan facility of up to $22,000 (the “Baltic Trading $22 Million Term Loan Facility”).  Amounts borrowed and repaid under the Baltic Trading $22 Million Term Loan Facility may not be reborrowed.  This facility has a maturity date of the sixth anniversary of the drawdown date for borrowings for the second vessel to be purchased, or September 4, 2019.  Borrowings under the Baltic Trading $22 Million Term Loan Facility bear interest at the three-month LIBOR rate plus an applicable margin of 3.35% per annum. A commitment fee of 1.00% per annum is payable on the unused daily portion of the credit facility, which began accruing on August 30, 2013 and ended on September 4, 2013, the date which the entire $22,000 was borrowed.  Borrowings are to be repaid in 23 quarterly installments of $375 each commencing three months after the last vessel delivery date, or December 4, 2013, and a final payment of $13,375 due on the maturity date.

Borrowings under the Baltic Trading $22 Million Term Loan Facility are secured by liens on Baltic Trading’s vessels purchased with borrowings under the facility, namely the Baltic Fox and the Baltic Hare, and other related assets.  Under a Guarantee and Indemnity entered into concurrently with the Baltic Trading $22 Million Term Loan Facility, Baltic Trading agreed to guarantee the obligations of its subsidiaries under the Baltic Trading $22 Million Term Loan Facility.

On September 4, 2013, Baltic Hare Limited and Baltic Fox Limited made drawdowns of $10,730 and $11,270 for the Baltic Hare and the Baltic Fox, respectively.  As of June 30, 2014, Baltic Trading has utilized its maximum borrowing capacity of $22,000 and there was no further availability.  At June 30, 2014 and December 31, 2013, the total outstanding debt balance was $20,875 and $21,625, respectively, as required repayments began on December 4, 2013.

As of June 30, 2014 the Company believes Baltic Trading is in compliance with all of the financial covenants under the Baltic Trading $22 Million Term Loan Facility.

Baltic Trading $44 Million Term Loan Facility

On December 3, 2013, Baltic Tiger Limited and Baltic Lion Limited, wholly-owned subsidiaries of Baltic Trading, entered into a secured loan agreement with DVB Bank SE for a term loan facility of up to $44,000 (the “Baltic Trading $44 Million Term Loan Facility”). Amounts borrowed and repaid under the Baltic Trading $44 Million Term Loan Facility may not be reborrowed.  The Baltic Trading $44 Million Term Loan Facility has a maturity date of the sixth anniversary of the drawdown date for borrowings for the second vessel to be purchased, or December 23, 2019.  Borrowings under the Baltic Trading $44 Million Term Loan Facility bear interest at the three-month LIBOR rate plus an applicable margin of 3.35% per annum. A commitment fee of 0.75% per annum is payable on the unused daily portion of the credit facility, which began accruing on December 3, 2013 and ended on December 23, 2013, the date which the entire $44,000 was borrowed.  Borrowings are to be repaid in 23 quarterly installments of $688 each commencing three months after the last drawdown date, or March 24, 2014, and a final payment of $28,188 due on the maturity date.

Borrowings under the Baltic Trading $44 Million Term Loan Facility are to be secured by liens on Baltic Trading’s vessels to be financed or refinanced with borrowings under the facility, namely the Baltic Tiger and the Baltic Lion, and other related assets. Upon the prepayment of $18,000 plus any additional amounts necessary to maintain compliance with the collateral maintenance covenant, Baltic Trading may have the lien on the Baltic Tiger released. Under a Guarantee and Indemnity entered into concurrently with the Baltic Trading $44 Million Term Loan Facility, Baltic Trading agreed to guarantee the obligations of its subsidiaries under the Baltic Trading $44 Million Term Loan Facility.

On December 23, 2013, Baltic Tiger Limited and Baltic Lion Limited made drawdowns of $21,400 and $22,600 for the Baltic Tiger and Baltic Lion, respectively.  As of June 30, 2014, Baltic Trading has utilized its maximum borrowing capacity of $44,000 and there was no further availability.  At June 30, 2014 and December 31, 2013, the total outstanding debt balance was $42,625 and $44,000, respectively, as required repayments began on March 24, 2014.

As of June 30, 2014, the Company believes Baltic Trading is in compliance with all of the financial covenants under the Baltic Trading $44 Million Term Loan Facility.

Change of Control

If the Company’s ownership in Baltic Trading were to decrease to less than 10% of the aggregate number of shares of common stock and Class B Stock of Baltic Trading, the outstanding Baltic Trading Class B Stock held by the Company would automatically convert into common stock, and the voting power held by the Company in Baltic Trading would likewise decrease to less than 30%. This would result in a change of control as defined under the Baltic Trading 2010 Credit Facility, the Baltic Trading $22 Million Term Loan Facility and the Baltic Trading $44 Million Term Loan Facility, and would therefore constitute an event of default. Additionally, a change of control constituting an event of default under Baltic Trading’s credit facilities would also occur if any party other than the Company or certain other permitted holders beneficially owns more than 30% of the Company’s outstanding voting or economic equity interests, which may occur if a party were deemed to control Genco. Refer to Note 1 — General Information for discussion of the Company’s current economic status.

Interest payable

As required under the August 2012 Agreements, lenders under the 2007 Credit Facility will receive a fee equal to 1.25% of the principal amount outstanding following such prepayment, or $13,199, on the earlier date of the maturity date of this facility or the date on which all obligations under this facility have been paid in full.  The $13,199 has been recorded in the Condensed Consolidated Balance Sheets at June 30, 2014 as Liabilities subject to compromise, consistent with the classification of the principal amount of the 2007 Credit Facility.  Refer to Note 1 — General Information for further information regarding the Chapter 11 Cases.

Interest rates

The following tables sets forth the effective interest rate associated with the interest expense for the Company’s debt facilities noted above, including the rate differential between the pay fixed, receive variable rate on the interest rate swap agreements that were in effect (refer to Note 11 — Interest Rate Swap Agreements), combined, the cost associated with unused commitment fees as well as the 1.0% facility fee for the 2007 Credit Facility as noted above. Additionally, it includes the range of interest rates on the debt, excluding the impact of swaps and unused commitment fees:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
Effective Interest Rate	4.31	%	4.72	%	4.33	%	4.73	%
Range of Interest Rates (excluding impact of swaps and unused commitment fees)	3.15% to 5.15	%	3.19% to 4.31	%	3.15% to 5.15	%	3.19% to 4.38	%

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REVENUE FROM TIME CHARTERS (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
REVENUE FROM TIME CHARTERS
Voyage revenues	$ 51,545	$ 44,941	$ 114,725	$ 84,617
Profit sharing revenue	0	0	0	0
Future minimum time charter revenue
Remainder of 2014	$ 7,132		$ 7,132
Offhire period			20 days

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Condensed Consolidated Statements of Operations (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Revenues:
Voyage revenues	$ 51,545	$ 44,941	$ 114,725	$ 84,617
Service revenues	819	819	1,629	1,629
Total revenues	52,364	45,760	116,354	86,246
Operating expenses:
Voyage expenses	1,983	2,867	3,940	4,139
Vessel operating expenses	30,545	26,766	61,768	53,885
General, administrative, and management fees	9,850	8,480	25,226	16,672
Depreciation and amortization	36,538	34,722	72,739	69,100
Total operating expenses	78,916	72,835	163,673	143,796
Operating loss	(26,552)	(27,075)	(47,319)	(57,550)
Other (expense) income:
Other expense	(50)	(33)	(107)	(13)
Interest income	25	16	45	34
Interest expense	(18,510)	(21,554)	(39,532)	(42,843)
Other expense	(18,535)	(21,571)	(39,594)	(42,822)
Loss before reorganization items, net	(45,087)	(48,646)	(86,913)	(100,372)
Reorganization items, net	(20,106)		(20,106)
Loss before income taxes	(65,193)	(48,646)	(107,019)	(100,372)
Income tax expense	(364)	(294)	(777)	(518)
Net loss	(65,557)	(48,940)	(107,796)	(100,890)
Less: Net loss attributable to noncontrolling interest	(5,033)	(3,571)	(8,166)	(7,358)
Net loss attributable to Genco Shipping & Trading Limited	$ (60,524)	$ (45,369)	$ (99,630)	$ (93,532)
Net loss per share-basic (in dollars per share)	$ (1.39)	$ (1.05)	$ (2.29)	$ (2.17)
Net loss per share-diluted (in dollars per share)	$ (1.39)	$ (1.05)	$ (2.29)	$ (2.17)
Weighted average common shares outstanding-basic (in shares)	43,568,942	43,196,895	43,568,942	43,179,300
Weighted average common shares outstanding-diluted (in shares)	43,568,942	43,196,895	43,568,942	43,179,300

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SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2014

SEGMENT INFORMATION

SEGMENT INFORMATION

3 - SEGMENT INFORMATION

The Company determines its operating segments based on the information utilized by the chief operating decision maker to assess performance.  Based on this information, the Company has two reportable operating segments, GS&T and Baltic Trading.  Both GS&T and Baltic Trading are engaged in the ocean transportation of drybulk cargoes worldwide through the ownership and operation of drybulk carrier vessels.  GS&T seeks to deploy its vessels on time charters, spot market-related time charters or in vessel pools trading in the spot market and Baltic Trading seeks to deploy its vessel charters in the spot market, which represents immediate chartering of a vessel, usually for single voyages, or employing vessels on spot market-related time charters or in vessel pools.  Segment results are evaluated based on net (loss) income.  The accounting policies applied to the reportable segments are the same as those used in the preparation of the Company’s condensed consolidated financial statements.

The following table presents a reconciliation of total voyage revenue from external (third party) customers for the Company’s two operating segments to total consolidated voyage revenue from external customers for the Company for the three and six months ended June 30, 2014 and 2013.

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2014		2013		2014		2013
Voyage revenue from external customers
GS&T	$	40,842	$	38,562	$	90,931	$	72,252
Baltic Trading	10,703		6,379		23,794		12,365
Total operating segments	51,545		44,941		114,725		84,617
Eliminating revenue	—		—		—		—
Total consolidated voyage revenue from external customers	$	51,545	$	44,941	$	114,725	$	84,617

The following table presents a reconciliation of total intersegment revenue, which eliminates upon consolidation, for the Company’s two operating segments for the three and six months ended June 30, 2014 and 2013. The intersegment revenue noted in the following table represents revenue earned by GS&T pursuant to the management agreement entered into with Baltic Trading, which includes commercial service fees, technical service fees and sale and purchase fees, if any.

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Intersegment revenue
GS&T	$	1,022		$	696		$	2,067		$	1,376
Baltic Trading	—			—			—			—
Total operating segments	1,022			696			2,067			1,376
Eliminating revenue	(1,022		)	(696		)	(2,067		)	(1,376		)
Total consolidated intersegment revenue	$	—		$	—		$	—		$	—

The following table presents a reconciliation of total net loss for the Company’s two operating segments to total consolidated net loss for the three and six months ended June 30, 2014 and 2013. The eliminating net loss noted in the following table consists of the elimination of intercompany transactions between GS&T and Baltic Trading, as well as dividends due to GS&T from Baltic Trading for its Class B shares of Baltic Trading.

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Net loss
GS&T	$	(59,874	)	$	(44,297	)	$	(98,444	)	$	(91,145	)
Baltic Trading	(5,674		)	(4,625		)	(9,207		)	(9,708		)
Total operating segments	(65,548		)	(48,922		)	(107,651		)	(100,853		)
Eliminating net loss	9			18			145			37
Total consolidated net loss	$	(65,557	)	$	(48,940	)	$	(107,796	)	$	(100,890	)

The following table presents a reconciliation of total assets for the Company’s two operating segments to total consolidated assets as of June 30, 2014 and December 31, 2013. The eliminating assets noted in the following table consist of the elimination of intercompany transactions resulting from the capitalization of fees paid to GS&T by Baltic Trading as vessel assets, including related accumulated depreciation, as well as the outstanding receivable balance due to GS&T from Baltic Trading as of June 30, 2014 and December 31, 2013.

	June 30, 2014			December 31, 2013
Total assets
GS&T	$	2,286,604		$	2,404,811
Baltic Trading	546,861			557,367
Total operating segments	2,833,465			2,962,178
Eliminating assets	(4,779		)	(4,924		)
Total consolidated assets	$	2,828,686		$	2,957,254

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

6 Months Ended

Jun. 30, 2014

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Principles of consolidation

The accompanying condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), which include the accounts of GS&T, its wholly-owned subsidiaries and Baltic Trading, a subsidiary in which the Company owns a majority of the voting interests and exercises control.  All intercompany accounts and transactions have been eliminated in consolidation.

Basis of presentation

The accompanying condensed consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and the rules and regulations of the Securities and Exchange Commission (the “SEC”).  In the opinion of management of the Company, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and operating results have been included in the statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted.  These condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended December 31, 2013 (the “2013 10-K”).  The results of operations for the three and six month periods ended June 30, 2014 and 2013 are not necessarily indicative of the operating results for the full year.

Vessels, net

Vessels, net is stated at cost less accumulated depreciation. Included in vessel costs are acquisition costs directly attributable to the acquisition of a vessel and expenditures made to prepare the vessel for its initial voyage. The Company also capitalizes interest costs for a vessel under construction as a cost which is directly attributable to the acquisition of a vessel. Vessels are depreciated on a straight-line basis over their estimated useful lives, determined to be 25 years from the date of initial delivery from the shipyard. Depreciation expense for vessels for the three months ended June 30, 2014 and 2013 was $34,557 and $33,102, respectively.  Depreciation expense for vessels for the six months ended June 30, 2014 and 2013 was $68,717 and $65,841, respectively.

Depreciation expense is calculated based on cost less the estimated residual scrap value. The costs of significant replacements, renewals and betterments are capitalized and depreciated over the shorter of the vessel’s remaining estimated useful life or the estimated life of the renewal or betterment. Undepreciated cost of any asset component being replaced that was acquired after the initial vessel purchase is written off as a component of vessel operating expense. Expenditures for routine maintenance and repairs are expensed as incurred. Scrap value is estimated by the Company by taking the estimated scrap value of $245 per lightweight ton (“lwt”) times the weight of the ship in lwt’s.

Deferred revenue

Deferred revenue primarily relates to cash received from charterers prior to it being earned. These amounts are recognized as income when earned. Additionally, deferred revenue includes estimated customer claims mainly due to time charter performance issues. As of June 30, 2014 and December 31, 2013, the Company had an accrual of $459 and $536, respectively, related to these estimated customer claims.

Voyage expense recognition

In time charters, spot market-related time charters and pool agreements, operating costs including crews, maintenance and insurance are typically paid by the owner of the vessel and specified voyage costs such as fuel and port charges are paid by the charterer. There are certain other non-specified voyage expenses, such as commissions, which are typically borne by the Company. At the inception of a time charter, the Company records the difference between the cost of bunker fuel delivered by the terminating charterer and the bunker fuel sold to the new charterer as a gain or loss within voyage expenses. These differences in bunkers resulted in net (gains) losses of ($184) and $21 during the three months ended June 30, 2014 and 2013, respectively, and ($249) and ($343) during the six months ended June 30, 2014 and 2013, respectively.  Additionally, voyage expenses include the cost of bunkers consumed during short-term time charters pursuant to the terms of the time charter agreement.

Noncontrolling interest

Net loss attributable to noncontrolling interest during the three and six months ended June 30, 2014 and 2013 reflects the noncontrolling interest’s share of the net loss of Baltic Trading, a subsidiary of the Company, which owns and employs drybulk vessels in the spot market, in vessel pools or on spot market-related time charters.  The spot market represents immediate chartering of a vessel, usually for single voyages.  At June 30, 2014, the noncontrolling interest held an 88.96% economic interest in Baltic Trading while only holding 34.94% of the voting power.  At  December 31, 2013, the noncontrolling interest held an 88.95% economic interest in Baltic Trading while only holding 34.92% of the voting power.

Income taxes

Pursuant to certain agreements, GS&T technically and commercially manages vessels for Baltic Trading, as well as provides technical management of vessels for MEP in exchange for specified fees for these services provided.  These services are performed by Genco Management (USA) Limited (“Genco (USA)”), which has elected to be taxed as a corporation for United States federal income tax purposes.  As such, Genco (USA) is subject to United States federal income tax on its worldwide net income, including the net income derived from providing these services.  Genco (USA) has entered into a cost-sharing agreement with the Company and Genco Ship Management LLC, collectively Manco, pursuant to which Genco (USA) agrees to reimburse Manco for the costs incurred by Genco (USA) for the use of Manco’s personnel and services in connection with the provision of the services for both Baltic Trading and MEP’s vessels.

Total revenue earned for these services during the three months ended June 30, 2014 and 2013 was $1,841 and $1,515, respectively, of which $1,022 and $696, respectively, eliminated upon consolidation.  After allocation of certain expenses, there was taxable income of $764 associated with these activities for the three months ended June 30, 2014.  This resulted in estimated tax expense of $339 for the three months ended June 30, 2014.  After allocation of certain expenses, there was taxable income of $625 associated with these activities for the three months ended June 30, 2013.  This resulted in income tax expense of $281 for the three months ended June 30, 2013.

Total revenue earned for these services during the six months ended June 30, 2014 and 2013 was $3,696 and $3,005, respectively, of which $2,067 and $1,376, respectively, were eliminated upon consolidation.  After allocation of certain expenses, there was taxable income of $1,650 associated with these activities for the six months ended June 30, 2014. This resulted in estimated income tax expense of $740 for the six months ended June 30, 2014. After allocation of certain expenses, there was taxable income of $1,217 associated with these activities for the six months ended June 30, 2013. This resulted in income tax expense of $505 for the six months ended June 30, 2013.

Baltic Trading is subject to income tax on its United States source income.  During the three months ended June 30, 2014 and 2013, Baltic Trading had United States operations which resulted in United States source income of $1,245 and $639, respectively.  Baltic Trading’s estimated United States income tax expense for the three months ended June 30, 2014 and 2013 was $25 and $13, respectively.

During the six months ended June 30, 2014 and 2013, Baltic Trading had United States operations which resulted in United

States source income of $1,813 and $639, respectively. Baltic Trading’s United States income tax expense for the six months ended

June 30, 2014 and 2013 was $37 and $13, respectively.

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PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS

6 Months Ended

Jun. 30, 2014

PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS

PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS

14 - PREPAID EXPENSES AND OTHER CURRENT AND NONCURRENT ASSETS

Prepaid expenses and other current assets consist of the following:

	June 30, 2014		December 31, 2013
Lubricant inventory, fuel oil and diesel oil inventory and other stores	$	12,635	$	11,342
Prepaid items	5,439		5,000
Insurance receivable	2,171		1,096
Other	3,067		1,627
Total prepaid expenses and other current assets	$	23,312	$	19,065

Other noncurrent assets in the amount of $514 at June 30, 2014 and December 31, 2013 represent the security deposit related to the operating lease entered into effective April 4, 2011. Refer to Note 21 — Commitments and Contingencies for further information related to the lease agreement.

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CONVERTIBLE SENIOR NOTES

6 Months Ended

Jun. 30, 2014

CONVERTIBLE SENIOR NOTES

CONVERTIBLE SENIOR NOTES

10 — CONVERTIBLE SENIOR NOTES

The Company issued $125,000 of the 2010 Notes on July 27, 2010.  The Indenture for the 2010 Notes includes customary agreements and covenants by the Company, including with respect to events of default.  As noted in Note 1 — General Information, the filing of the Chapter 11 Cases by the Company on April 21, 2014 constituted an event of default with respect to the 2010 Notes.  On this date, the Company ceased recording interest expense related to the 2010 Notes.  During the three and six months ended June 30 2014, interest expense of $2,266, including the amortization of the discount of the liability component and the bond coupon interest expense, was not recorded which would have been incurred had the indebtedness not been reclassified as a Liability subject to compromise.  On the Effective Date, when the Company emerged from Chapter 11, the 2010 Notes and the Indenture were fully satisfied and discharged.

The following tables provide additional information about the Company’s 2010 Notes:

	June 30, 2014		December 31, 2013
Carrying amount of the equity component (additional paid-in capital)	$	24,375	$	24,375
Principal amount of the 2010 Notes	125,000		125,000
Unamortized discount of the liability component	7,527		9,119
Net carrying amount of the liability component	117,473		115,881

	For the Three Months Ended June 30,						For the Six Months Ended June 30,
	2014			2013			2014			2013
Effective interest rate on liability component	10.0		%	10.0		%	10.0		%	10.0		%
Cash interest expense recognized	$	345		$	1,571		$	1,886		$	3,112
Non-cash interest expense recognized	293			1,209			1,592			2,388
Non-cash deferred financing amortization costs included in interest expense	39			179			216			356

Refer to Note 1 — General Information for additional information regarding defaults relating to the 2010 Notes. In accordance with applicable accounting guidance, the liability related to the 2010 Notes was classified as Liabilities subject to compromise in the condensed Consolidated Balance Sheets as of June 30, 2014.

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NONVESTED STOCK AWARDS (Details 2) (General, administrative and management fees, USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
2005 and 2012 GS&T Plans
NONVESTED STOCK AWARDS
Recognized nonvested stock amortization expense	$ 393	$ 796	$ 820	$ 1,565
Baltic Trading Plan
NONVESTED STOCK AWARDS
Recognized nonvested stock amortization expense	$ 908	$ 351	$ 1,871	$ 815

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INVESTMENTS

6 Months Ended

Jun. 30, 2014

INVESTMENTS

INVESTMENTS

6 - INVESTMENTS

The Company holds an investment in the capital stock of Jinhui Shipping and Transportation Limited (“Jinhui”) and Korea Line Corporation (“KLC”).  Jinhui is a drybulk shipping owner and operator focused on the Supramax segment of drybulk shipping.  KLC is a marine transportation service company which operates a fleet of carriers which includes carriers for iron ore, liquefied natural gas and tankers for oil and petroleum products.  These investments are designated as Available For Sale (“AFS”) and are reported at fair value, with unrealized gains and losses recorded in equity as a component of accumulated other comprehensive income (loss) (“AOCI”).  At June 30, 2014 and December 31, 2013, the Company held 16,335,100 shares of Jinhui capital stock which is recorded at its fair value of $49,540 and $77,488, respectively, based on the last closing price during each respective quarter on June 30, 2014 and December 30, 2013, respectively.  At June 30, 2014 and December 31, 2013, the Company held 3,355 shares of KLC stock which is recorded at its fair value of $78 and $82, respectively, based on the last closing price during each respective quarter on June 30, 2014 and December 30, 2013.

The Company reviews the investment in Jinhui and KLC for impairment on a quarterly basis.  There were no impairment charges recognized for the three and six months ended June 30, 2014 and 2013.

The unrealized gain (losses) on the Jinhui capital stock and KLC stock are a component of AOCI since these investments are designated as AFS securities.

Refer to Note 12 — Accumulated Other Comprehensive Income (Loss) for a breakdown of the components of AOCI.

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CASH FLOW INFORMATION (Details 2) (USD $) In Thousands, unless otherwise specified	1 Months Ended	3 Months Ended	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2014	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Non-cash investing and financing activities
Reorganization items, net		$ 20,106	$ 20,106
Cash paid for Reorganization items	1,204
Cash paid for interest			38,238	37,772
Cash paid for estimated income taxes			1,495	493
Fixed assets	4,052	4,052	4,052		5,104
Reclassification
Non-cash investing and financing activities
Fixed assets	(984)	(984)	(984)
Vessel assets	984	984	984
Current Interest Payable
Non-cash investing and financing activities
Non-cash financing activities deferred financing costs				13,199
Liabilities subject to compromise
Non-cash investing and financing activities
Non-cash financing activities deferred financing costs			13,199
Accounts payable and accrued expenses
Non-cash investing and financing activities
Non-cash investing activities purchase of vessels, including deposits			250
Non-cash investing activities purchase of other fixed assets			43	14
Non-cash financing activities common stock issuance costs				262
Reorganization items, net	18,902
Prepaid expenses and other current assets
Non-cash investing and financing activities
Purchase of fixed assets			$ 20

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CASH FLOW INFORMATION

6 Months Ended

Jun. 30, 2014

CASH FLOW INFORMATION

CASH FLOW INFORMATION

4 - CASH FLOW INFORMATION

As of June 30, 2014 and December 31, 2013, the Company had one and four interest rate swaps, respectively, which are described and discussed in Note 11 — Interest Rate Swap Agreements. At June 30, 2014, the fair value of the swap is in a liability position of $5,622, all of which was classified within Liabilities subject to compromise.  At December 31, 2013, the four swaps were in a liability position of $6,975, all of which was classified within current liabilities.

For the six months ended June 30, 2014, the Company had non-cash investing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Accounts payable and accrued expenses consisting of $250 for the purchase of vessels, including deposits and $43 for the purchase of other fixed assets.  For the six months ended June 30, 2014, the Company had non-cash investing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Prepaid expenses and other current assets consisting of $20 associated with the purchase of other fixed assets.  Additionally, for the six months ended June 30, 2014, the Company had non-cash financing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Liabilities subject to compromise consisting of $13,199 associated with deferred financing fees.

Of the $20,106 of Reorganization items, net for the six months ended June 30, 2014 (refer to Note 20), $1,204 was paid through June 30, 2014 and $18,902 is included in accounts payable and accrued expenses.

For the six months ended June 30, 2013, the Company had non-cash investing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Accounts payable and accrued expenses consisting of $14 for the purchase of other fixed assets.  For the six months ended June 30, 2013, the Company had non-cash financing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in Accounts payable and accrued expenses consisting of $262 for the payment of common stock issuance costs by its subsidiary.  For the six months ended June 30, 2013, the Company had non-cash financing activities not included in the Condensed Consolidated Statement of Cash Flows for items included in current Interest payable consisting of $13,199 associated with deferred financing fees.

During the six months ended June 30, 2014, the Company made a reclassification of $984 from fixed assets to vessel assets for items that should be capitalized and depreciated over the remaining life of the respective vessels.

During the six months ended June 30, 2014 and 2013, cash paid for interest, net of amounts capitalized, and including bond coupon interest paid, was $38,238 and $37,772, respectively.

During the six months ended June 30, 2014 and 2013, cash paid for estimated income taxes was $1,495 and $493, respectively.

On April 9, 2014, Baltic Trading made grants of nonvested common stock in the amount of 36,345 shares to directors of Baltic Trading.  The aggregate fair value of such nonvested stock was $225.

On May 16, 2013, the Company made grants of nonvested common stock under the Genco Shipping & Trading Limited 2012 Equity Incentive Plan in the amount of 200,634 shares in the aggregate to directors of the Company.  As of June 30, 2014, these shares did not vest since an annual stockholders meeting had not been held during 2014.  The aggregate fair value of such nonvested stock was $315.  On May 16, 2013, Baltic Trading made grants of nonvested common stock in the amount of 59,680 shares to directors of Baltic Trading.  These shares vested on April 9, 2014.  The aggregate fair value of such nonvested stock was $225.

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VESSEL ACQUISITIONS

6 Months Ended

Jun. 30, 2014

VESSEL ACQUISITIONS

VESSEL ACQUISITIONS

5 - VESSEL ACQUISITIONS

On July 2, 2013, Baltic Trading entered into agreements to purchase two Handysize drybulk vessels from subsidiaries of Clipper Group for an aggregate purchase price of $41,000. The Baltic Hare, a 2009-built Handysize vessel, was delivered on September 5, 2013 and the Baltic Fox, a 2010-built Handysize vessel, was delivered on September 6, 2013. Baltic Trading financed the vessel acquisitions with proceeds from its May 28, 2013 common stock offering and borrowings under its $22 Million Term Loan Facility entered into on August 30, 2013.

On October 31, 2013, Baltic Trading entered into agreements to purchase two Capesize drybulk vessels from affiliates of SK Shipping Co. Ltd. for an aggregate purchase price of $103,000. The Baltic Lion, a 2012-built Capesize vessel, was delivered on December 27, 2013, and the Baltic Tiger, a 2011-built Capesize vessel, was delivered on November 26, 2013. Baltic Trading financed the vessel acquisitions with cash on hand and borrowings under its $44 Million Term Loan Facility entered into on December 3, 2013.

On November 13, 2013, Baltic Trading entered into agreements to purchase up to four 64,000 dwt Ultramax newbuilding drybulk vessels from Yangfan Group Co., Ltd. for a purchase price of $28,000 per vessel, or up to $112,000 in the aggregate.  Baltic Trading agreed to purchase two such vessels, to be renamed the Baltic Hornet and Baltic Wasp, and obtained an option to purchase up to two additional such vessels for the same purchase price, which Baltic Trading exercised on January 8, 2014. These vessels are to be renamed the Baltic Mantis and the Baltic Scorpion. The purchases are subject to completion of customary additional documentation and closing conditions. The Baltic Hornet and Baltic Wasp are expected to be delivered to Baltic Trading during the third and fourth quarters of 2014, respectively. The Baltic Scorpion and the Baltic Mantis are expected to be delivered to Baltic Trading during the second and third quarters of 2015, respectively. As of June 30, 2014 and December 31, 2013, deposits on vessels were $28,634 and $1,013, respectively.  Baltic Trading intends to use a combination of cash on hand, future cash flow from operations as well as debt or equity financing to fully finance the acquisition of these four Ultramax newbuilding drybulk vessels.

Refer to Note 1 — General Information for a listing of the vessel delivery dates for the vessels in the Company’s fleet and the estimated delivery dates for vessels that Baltic Trading has entered into agreements to purchase.

Below market time charters, including those acquired during previous periods, were amortized as an increase to voyage revenue in the amount of $18 and $100 for the three months ended June 30, 2014 and 2013, respectively, and $67 and $233 for the six months ended June 30, 2014 and 2013, respectively.

Capitalized interest expense associated with the newbuilding contracts entered into by Baltic Trading for the three months ended June 30, 2014 and 2013 was $177 and $0, respectively, and $276 and $0 for the six months ended June 30, 2014 and 2013, respectively.

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NET LOSS PER COMMON SHARE

6 Months Ended

Jun. 30, 2014

NET LOSS PER COMMON SHARE

NET LOSS PER COMMON SHARE

7 — NET LOSS PER COMMON SHARE

The computation of basic net loss per share is based on the weighted-average number of common shares outstanding during the year. The computation of diluted net loss per share assumes the vesting of nonvested stock awards (refer to Note 22 — Nonvested Stock Awards), for which the assumed proceeds upon vesting are deemed to be the amount of compensation cost attributable to future services and are not yet recognized using the treasury stock method, to the extent dilutive.  Of the 880,465 nonvested shares outstanding at June 30, 2014 (refer to Note 22 — Nonvested Stock Awards), all are anti-dilutive.  The Company’s diluted net loss per share will also reflect the assumed conversion under the Company’s convertible debt if the impact is dilutive under the “if converted” method. The impact of the shares convertible under the Company’s convertible notes is excluded from the computation of diluted earnings per share when interest expense per common share obtainable upon conversion is greater than basic earnings per share.

The components of the denominator for the calculation of basic net loss per share and diluted net loss per share are as follows:

	For the Three Months EndedJune 30,		For the Six Months EndedJune 30,
	2014	2013	2014	2013
Common shares outstanding, basic:
Weighted-average common shares outstanding, basic	43,568,942	43,196,895	43,568,942	43,179,300
Common shares outstanding, diluted:
Weighted-average common shares outstanding, basic	43,568,942	43,196,895	43,568,942	43,179,300
Dilutive effect of convertible notes	—	—	—	—
Dilutive effect of restricted stock awards	—	—	—	—
Weighted-average common shares outstanding, diluted	43,568,942	43,196,895	43,568,942	43,179,300

The following table sets forth a reconciliation of the net loss attributable to GS&T and the net loss attributable to GS&T for diluted net loss per share under the “if-converted” method:

	For the Three Months EndedJune 30,						For the Six Months EndedJune 30,
	2014			2013			2014			2013
Net loss attributable to GS&T	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)
Interest expense related to convertible notes, if dilutive	—			—			—			—
Net loss attributable to GS&T for the computation of diluted net loss per share	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)

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NET LOSS PER COMMON SHARE (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
NET LOSS PER COMMON SHARE
Nonvested shares outstanding	880,465		880,465
Anti-dilutive shares (in shares)			880,465
Common shares outstanding, basic:
Weighted-average common shares outstanding, basic (in shares)	43,568,942	43,196,895	43,568,942	43,179,300
Common shares outstanding, diluted:
Weighted-average common shares outstanding, basic (in shares)	43,568,942	43,196,895	43,568,942	43,179,300
Weighted-average common shares outstanding, diluted (in shares)	43,568,942	43,196,895	43,568,942	43,179,300
Reconciliation of the net loss attributable to GS&T and the net loss attributable to GS&T for diluted net loss per share
Net loss attributable to GS&T	$ (60,524)	$ (45,369)	$ (99,630)	$ (93,532)
Net loss attributable to GS&T for the computation of diluted net loss per share	$ (60,524)	$ (45,369)	$ (99,630)	$ (93,532)

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SHARE REPURCHASE PROGRAM (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
SHARE REPURCHASE PROGRAM
Shares of common stock repurchased and retired			278,300
Value of common stock repurchased and retired			$ 11,500
Common stock repurchased (in shares)	0	0	0	0

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DEBT (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended						6 Months Ended			0 Months Ended		3 Months Ended		0 Months Ended	6 Months Ended	0 Months Ended								0 Months Ended						0 Months Ended	1 Months Ended						6 Months Ended			0 Months Ended		6 Months Ended			0 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014 item	Jun. 30, 2013	Dec. 31, 2013	Jun. 30, 2014 Minimum	Jun. 30, 2014 Maximum	Aug. 01, 2012 August 2012 Credit Facility Agreements	Jun. 30, 2014 5.00% convertible senior notes	Jun. 30, 2014 Chapter 11	Jun. 30, 2014 Chapter 11 5.00% convertible senior notes	Feb. 28, 2012 2007 Credit Facility	Dec. 21, 2011 2007 Credit Facility	Jun. 30, 2014 2007 Credit Facility	Dec. 31, 2013 2007 Credit Facility	Aug. 01, 2012 2007 Credit Facility August 2012 Credit Facility Agreements	Jun. 30, 2014 2007 Credit Facility August 2012 Credit Facility Agreements	Feb. 28, 2012 2007 Credit Facility December 2011 Credit Facility Agreements	Jun. 30, 2014 2007 Credit Facility Chapter 11	Jun. 30, 2014 2007 Credit Facility Chapter 11 August 2012 Credit Facility Agreements	Jun. 30, 2014 $100 Million Term Loan Facility	Mar. 31, 2014 $100 Million Term Loan Facility	Dec. 31, 2013 $100 Million Term Loan Facility	Aug. 12, 2010 $100 Million Term Loan Facility item	Jun. 30, 2014 $100 Million Term Loan Facility Chapter 11	Jul. 09, 2014 $100 Million Term Loan Facility Chapter 11 Subsequent Event	Jun. 30, 2014 $253 Million Term Loan Facility	Mar. 31, 2014 $253 Million Term Loan Facility	Dec. 31, 2013 $253 Million Term Loan Facility	Aug. 20, 2010 $253 Million Term Loan Facility item	Jun. 30, 2014 $253 Million Term Loan Facility Chapter 11	Jul. 09, 2014 $253 Million Term Loan Facility Chapter 11 Subsequent Event	Aug. 31, 2013 2010 Baltic Trading Credit Facility item	Jun. 30, 2014 2010 Baltic Trading Credit Facility	Dec. 31, 2013 2010 Baltic Trading Credit Facility	Aug. 29, 2013 2010 Baltic Trading Credit Facility	Nov. 30, 2010 2010 Baltic Trading Credit Facility	Apr. 16, 2010 2010 Baltic Trading Credit Facility	Jun. 30, 2014 Baltic Trading $22 Million Term Loan Facility item	Dec. 31, 2013 Baltic Trading $22 Million Term Loan Facility	Aug. 30, 2013 Baltic Trading $22 Million Term Loan Facility	Sep. 04, 2013 Baltic Trading $22 Million Term Loan Facility Baltic Hare	Sep. 04, 2013 Baltic Trading $22 Million Term Loan Facility Baltic Fox	Jun. 30, 2014 Baltic Trading $44 Million Term Loan Facility item	Dec. 31, 2013 Baltic Trading $44 Million Term Loan Facility	Dec. 03, 2013 Baltic Trading $44 Million Term Loan Facility	Dec. 23, 2013 Baltic Trading $44 Million Term Loan Facility Baltic Tiger	Dec. 23, 2013 Baltic Trading $44 Million Term Loan Facility Baltic Lion
Line of Credit Facility
Long-term debt, gross (Balance prior to Financial Statement Classification)														$ 1,055,912							$ 73,561						$ 175,718							$ 102,250					$ 20,875					$ 42,625
Current portion (Balance prior to Financial Statement Classification)	(4,250)		(4,250)
Long-term debt (Balance prior to Financial Statement Classification)	1,466,691		1,466,691
Long-term debt, gross (Amounts Classified as Subject to Compromise)														(1,055,912)							(73,561)						(175,718)
Long-term debt (Amounts Classified as Subject to Compromise)	(1,305,191)		(1,305,191)
Long-term debt, gross															1,055,912								75,484						180,793					102,250	102,250				20,875	21,625				42,625	44,000
Current portion	(4,250)		(4,250)		(1,316,439)
Long-term debt	161,500		161,500		163,625
Maximum borrowing capacity														1,055,912							100,000	100,000	100,000	100,000	100,000		253,000	253,000	253,000	253,000	253,000					110,000	150,000	100,000	22,000	22,000	22,000			44,000	44,000	44,000
Debt outstanding classified as liabilities subject to compromise									117,473		117,473								1,055,912						73,561						175,718
Number of days after year end audited financial statements are to be furnished to lenders			90 days
Number of credit facilities			2
Interest rate on convertible notes (as a percent)									5.00%
Number of days after notice from trustee to cure default									30 days
Ratio of interest-bearing indebtedness to the sum of interest-bearing indebtedness and consolidated net worth (as a percent)								62.50%
Applicable margin over reference rate for interest payable, before increase (as a percent)																2.00%										3.00%						3.00%
Applicable margin over reference rate for interest payable (as a percent)																3.00%										3.50%						3.50%							3.35%					3.35%
Minimum cash balance required per vessel mortgaged, before increase																500
Unpaid amount of facility																										1,923						5,075
Minimum cash balance required per vessel mortgaged																750										750						750
Facility fee (as a percent)													2.00%	1.00%
Reduction in facility fee if equity offering results in desired gross proceeds (as a percent)													1.00%					1.00%
Proceeds to be received on issuance of common stock													50,000
Issuance of common stock (in shares)												7,500,000
Gross proceeds from issuance of common stock												53,250
Amount of letters of credit issued														0
Number of vessels acquired																								5						13
Final payment amount																																							13,375					28,188
Amount of prepayments to have liens released																																												18,000
Reference rate for interest payable																LIBOR										LIBOR						LIBOR	LIBOR						Three-month LIBOR					Three-month LIBOR
Commitment fee on unused daily average unutilized commitment (as a percent)																																							1.00%					0.75%
Available working capital borrowings																																		7,750				25,000
Drawdowns during the period																																										10,730	11,270				21,400	22,600
Restricted cash																											9,875		9,750
Remaining borrowing capacity																					0						0							7,750					0					0
Number of consecutive semi-annual reductions in total commitment																																	3
Amount of semi-annual reductions in maximum borrowing capacity through the maturity date																																	5,000
Applicable margin over reference rate for condition one (as a percent)																																	3.00%
Ratio of maximum facility amount to aggregate appraised value of vessels mortgaged (as a percent)																																	55.00%
Applicable margin over reference rate for condition two (as a percent)																																	3.35%
Number of quarterly installments																																							23					23
Amount of periodic payment																																							375					688
Period after latest vessel delivery date for first periodic repayment																																							3 months					3 months
Amendment fee (as a percent)																	1.25%
Interest rates on debt
Effective Interest Rate (as a percent)	4.31%	4.72%	4.33%	4.73%
Range of Interest Rates, minimum (excluding impact of swaps and unused commitment fees) (as a percent)	3.15%	3.19%	3.15%	3.19%
Range of Interest Rates, maximum (excluding impact of swaps and unused commitment fees) (as a percent)	5.15%	4.31%	5.15%	4.38%
Change of Control
Percentage of ownership interest held by Parent (as a percent)							10.00%
Aggregate voting power held (as a percent)							30.00%
Ownership interest held (as a percent)						30.00%
Interest payable
Interest payable classified as liabilities subject to compromise										$ 13,199										$ 13,199

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INVESTMENTS (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Schedule of Investments
Fair value of investment in capital stock	$ 49,618		$ 49,618		$ 77,570
Jinhui Shipping and Transportation Limited
Schedule of Investments
Investment in the capital stock (in shares)	16,335,100		16,335,100		16,335,100
Fair value of investment in capital stock	49,540		49,540		77,488
Impairment of investment	0	0	0	0
Korea Line Corporation
Schedule of Investments
Investment in the capital stock (in shares)	3,355		3,355		3,355
Fair value of investment in capital stock	78		78		82
Impairment of investment	$ 0	$ 0	$ 0	$ 0

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SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2014

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

25 - SUBSEQUENT EVENTS

Under ASC 852, Reorganizations, fresh-start accounting is required upon emergence from Chapter 11 if (i) the value of the assets of the emerging entity immediately before the date of confirmation is less than the total of all post-petition liabilities and allowed claims; and (ii) holders of existing voting shares immediately before confirmation receive less than 50% of the voting shares of the emerging entity.

The value of the assets of the Company immediately before the date of confirmation were approximately $1,390, which is expected to be less than the total of all post-petition liabilities and allowed claims.  For purposes of this determination, the Company utilized the estimated total of all post-petition liabilities and allowed claims at June 30, 2014 of $1,538.  Although there may be a substantial increase in allowed claims by the Effective Date, it is not expected that any such increase would result in a different determination.  Additionally, the holders of the existing voting shares immediately before the Effective Date held less than 50% of the voting shares of the emerging entity.

Accordingly, the Company will adopt fresh-start accounting as of the Effective Date. Adopting fresh-start accounting results in a new reporting entity with no beginning retained earnings or deficit. The cancellation of all existing shares outstanding on the Effective Date and issuance of new shares of the reorganized entity caused a related change of control of the Company under ASC 852.  Fresh-start accounting also requires that the reporting entity allocate the reorganization value to its assets and liabilities in relation to their fair values upon emergence from Chapter 11.

On July 29, 2014, Baltic Trading declared a dividend of $0.01 per share to be paid on or about August 21, 2014 to shareholders of record as of August 14, 2014.  The aggregate amount of the dividend is expected to be approximately $576, of which approximately $512 will be paid to minority shareholders, which Baltic Trading anticipates will be funded from cash on hand at the time payment is to be made.

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GENERAL INFORMATION (Details) (USD $) In Thousands, except Share data, unless otherwise specified																				0 Months Ended
	Jun. 30, 2014 5.00% convertible senior notes	Dec. 31, 2013 5.00% convertible senior notes	Jun. 30, 2014 2007 Credit Facility	Dec. 31, 2013 2007 Credit Facility	Jun. 30, 2014 $253 Million Term Loan Facility	Mar. 31, 2014 $253 Million Term Loan Facility	Dec. 31, 2013 $253 Million Term Loan Facility	Aug. 20, 2010 $253 Million Term Loan Facility	Jun. 30, 2014 $100 Million Term Loan Facility	Mar. 31, 2014 $100 Million Term Loan Facility	Dec. 31, 2013 $100 Million Term Loan Facility	Aug. 12, 2010 $100 Million Term Loan Facility	Jun. 30, 2014 Chapter 11 $253 Million Term Loan Facility	Jun. 30, 2014 Chapter 11 $100 Million Term Loan Facility	Apr. 21, 2014 GS&T and wholly-owned subsidiaries excluding Baltic Trading Limited Chapter 11 Interest rate swap	Apr. 21, 2014 GS&T and wholly-owned subsidiaries excluding Baltic Trading Limited Chapter 11 5.00% convertible senior notes	Apr. 21, 2014 GS&T and wholly-owned subsidiaries excluding Baltic Trading Limited Chapter 11 2007 Credit Facility	Apr. 21, 2014 GS&T and wholly-owned subsidiaries excluding Baltic Trading Limited Chapter 11 $253 Million Term Loan Facility	Apr. 21, 2014 GS&T and wholly-owned subsidiaries excluding Baltic Trading Limited Chapter 11 $100 Million Term Loan Facility	Jul. 09, 2014 Subsequent Event Chapter 11 New Genco Equity Warrants	Jul. 09, 2014 Subsequent Event Chapter 11 Common Stock	Jul. 09, 2014 Subsequent Event Chapter 11 Common Stock New Genco Equity Warrants	Jul. 09, 2014 Subsequent Event Chapter 11 Common Stock Backstopped rights offering	Jul. 09, 2014 Subsequent Event Chapter 11 5.00% convertible senior notes	Jul. 09, 2014 Subsequent Event Chapter 11 5.00% convertible senior notes Common Stock	Jul. 09, 2014 Subsequent Event Chapter 11 5.00% convertible senior notes Common Stock Backstopped rights offering	Jul. 09, 2014 Subsequent Event Chapter 11 2007 Credit Facility	Jul. 09, 2014 Subsequent Event Chapter 11 2007 Credit Facility Common Stock	Jul. 09, 2014 Subsequent Event Chapter 11 2007 Credit Facility Common Stock Backstopped rights offering
Chapter 11 Cases
Outstanding amount of credit facility				$ 1,055,912			$ 180,793				$ 75,484						$ 1,055,912	$ 175,718	$ 73,561
Maximum borrowing capacity			1,055,912		253,000	253,000	253,000	253,000	100,000	100,000	100,000	100,000	253,000	100,000
Principal amount of the 2010 Notes	125,000	125,000														125,000
Interest rate on convertible notes (as a percent)	5.00%															5.00%
Outstanding amount of derivatives															5,622
Bankruptcy claims settled by conversion into shares of entity (as a percent)																								100.00%			100.00%
New stock issued for bankruptcy claims settlement (as a percent)																									8.40%			81.10%
Percentage of new stock offered under offering																							8.70%
Maximum percentage of subscription of new stock under offering																										20.00%			80.00%
Number of shares of new stock in which each warrant or right can be converted																						1	1
Subscription price (in dollars per share)																				$ 20.99			$ 18.62537
Aggregate subscription price																							$ 100,000
Number of warrants issued for old common stock of Genco																				3,938,298
Warrants exercisable as percentage of new stock																						6.00%
New Genco MIP Primary Equity shares distribution as percentage of new stock																					1.80%
Minimum percentage of new stock providing demand and piggyback registration rights under the registration rights agreement																					10.00%
Term of warrants																				7 years

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ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

6 Months Ended

Jun. 30, 2014

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

12 - ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)

The components of AOCI included in the accompanying condensed consolidated balance sheets consist of net unrealized gain (loss) on cash flow hedges and net unrealized gains (losses) from investments in Jinhui stock and KLC stock as of June 30, 2014 and December 31, 2013.

Changes in AOCI by Component

Forthe Three-Month Period Ended June 30, 2014

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — April 1, 2014	$	(5,748	)	$	46,483		$	40,735
OCI before reclassifications	—			(13,737		)	(13,737		)
Amounts reclassified from AOCI	1,078			—			1,078
Net current-period OCI	1,078			(13,737		)	(12,659		)
AOCI — June 30, 2014	$	(4,670	)	$	32,746		$	28,076

Changes in AOCI by Component

For the Three-Month Period Ended June 30, 2013

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — April 1, 2013	$	(13,756	)	$	13,819		$	63
OCI before reclassifications	4,863			(3,276		)	1,587
Amounts reclassified from AOCI	(2,477		)	—			(2,477		)
Net current-period OCI	2,386			(3,276		)	(890		)
AOCI — June 30, 2013	$	(11,370	)	$	10,543		$	(827	)

Changes in AOCI by Component

Forthe Six-Month Period Ended June 30, 2014

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments			Total
AOCI — January 1, 2014	$	(6,976	)	$	60,698		$	53,722
OCI before reclassifications	(179		)	(27,952		)	(28,131		)
Amounts reclassified from AOCI	2,485			—			2,485
Net current-period OCI	2,306			(27,952		)	(25,646		)
AOCI — June 30, 2014	$	(4,670	)	$	32,746		$	28,076

Changes in AOCI by Component

For the Six-Month Period Ended June 30, 2013

	Net Unrealized Gain (Loss) on Cash Flow Hedges			Net Unrealized Gain on Investments		Total
AOCI — January 1, 2013	$	(16,057	)	$	4,216	$	(11,841	)
OCI before reclassifications	9,603			6,327		15,930
Amounts reclassified from AOCI	(4,916		)	—		(4,916		)
Net current-period OCI	4,687			6,327		11,014
AOCI — June 30, 2013	$	(11,370	)	$	10,543	$	(827	)

Reclassifications Out of AOCI

For the Three-Month Period Ended June 30, 2014 and 2013

	Amount Reclassified from AOCI
	Three Months Ended June 30,				Affected Line Item in the Statement Where
Details about AOCI Components	2014		2013		Net Loss is Presented
Gains and losses on cash flow hedges
Interest rate contracts	$	1,078	$	2,477	Interest expense
Total reclassifications for the period	$	1,078	$	2,477

Reclassifications Out of AOCI

For the Six-Month Period Ended June 30, 2014 and 2013

	Amount Reclassified from AOCI
	Six Months Ended June 30,				Affected Line Item in the Statement Where
Details about AOCI Components	2014		2013		Net Loss is Presented
Gains and losses on cash flow hedges
Interest rate contracts	$	2,485	$	4,916	Interest expense
Total reclassifications for the period	$	2,485	$	4,916

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ACCOUNTS PAYABLE AND ACCRUED EXPENSES

6 Months Ended

Jun. 30, 2014

ACCOUNTS PAYABLE AND ACCRUED EXPENSES

ACCOUNTS PAYABLE AND ACCRUED EXPENSES

17 — ACCOUNTS PAYABLE AND ACCRUED EXPENSES

Accounts payable and accrued expenses consist of the following:

	June 30, 2014		December 31, 2013
Accounts payable	$	12,777	$	5,643
Accrued general and administrative expenses	14,122		8,960
Accrued vessel operating expenses	12,628		12,756
Total	$	39,527	$	27,359

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REORGANIZATION ITEMS, NET (Tables)

6 Months Ended

Jun. 30, 2014

REORGANIZATION ITEMS, NET

Schedule of reorganization items, net represent amounts incurred and recovered subsequent to the bankruptcy filing as a direct result of the filing of the Chapter 11 Cases

	For the Three and Six Months Ended June 30, 2014
Professional fees incurred	$	19,855
Trustee fees incurred	251
Total	$	20,106

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INTEREST RATE SWAP AGREEMENTS (Tables)

6 Months Ended

Jun. 30, 2014

INTEREST RATE SWAP AGREEMENTS

Schedule of interest rate swaps designated as cash flow hedges

					June 30, 2014		December 31, 2013
Interest Rate Swap Detail					Notional		Notional
Trade	Fixed		Start Date	End date	Amount		Amount
Date	Rate		of Swap	of Swap	Outstanding		Outstanding
9/6/05	4.485	%	9/14/05	7/29/15	$	—	$	106,233
3/29/06	5.25	%	1/2/07	1/1/14	—		50,000
1/9/09	2.05	%	1/22/09	1/22/14	—		100,000
2/11/09	2.45	%	2/23/09	2/23/14	—		50,000
					$	—	$

Schedule of derivative asset and liability balances

	Asset Derivatives					Liability Derivatives
	Balance	Fair Value				Balance	Fair Value
	Sheet Location	June 30, 2014		December 31, 2013		Sheet Location	June 30, 2014		December 31, 2013
Derivatives designated as hedging instruments
Interest rate contracts	Fair value of derivative instruments (Current Assets)	$	—	$	—	Fair value of derivative instruments (Current Liabilities)	$	—	$	6,975
Interest rate contracts	Fair value of derivative instruments (Noncurrent Assets)	—		—		Fair value of derivative instruments (Noncurrent Liabilities)	—		—
Total derivatives designated as hedging instruments		—		—			—		6,975
Total Derivatives		$	—	$	—		$	—	$	6,975

Schedule of the impact of derivative instruments and their location within the Condensed Consolidated Statement of Operations

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2014

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)		Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2014		Portion)	2014			Portion)	2014
Interest rate contracts	$	—	Interest Expense	$	(1,078	)	Other Income (Expense)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2013

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2013			Portion)	2013			Portion)	2013
Interest rate contracts	$	(91	)	Interest Expense	$	(2,477	)	Other Income (Expense)	$	(2	)

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2014 and 2013

Derivatives not designated as Hedging	Location of Gain (Loss) Recognized in Income	Amount of Gain (Loss) Recognized in Income on Derivative
Instruments	on Derivative	2014			2013
Interest rate contracts	Interest Expense	$	(225	)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2014

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2014			Portion)	2014			Portion)	2014
Interest rate contracts	$	(179	)	Interest Expense	$	(2,485	)	Other Income (Expense)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2013

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2013			Portion)	2013			Portion)	2013
Interest rate contracts	$	(229	)	Interest Expense	$	(4,916	)	Other Income (Expense)	$	(5	)

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2014 and 2013

Derivatives not designated as Hedging	Location of Gain (Loss) Recognized in Income	Amount of Gain (Loss) Recognized in Income on Derivative
Instruments	on Derivative	2014			2013
Interest rate contracts	Interest Expense	$	(225	)	$	—

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Condensed Consolidated Statements of Comprehensive Loss (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Condensed Consolidated Statements of Comprehensive Loss
Net loss	$ (65,557)	$ (48,940)	$ (107,796)	$ (100,890)
Change in unrealized gain on investments	(13,737)	(3,276)	(27,952)	6,327
Unrealized gain on cash flow hedges, net	1,078	2,386	2,306	4,687
Other comprehensive (loss) income	(12,659)	(890)	(25,646)	11,014
Comprehensive loss	(78,216)	(49,830)	(133,442)	(89,876)
Less: Comprehensive loss attributable to noncontrolling interest	(5,033)	(3,571)	(8,166)	(7,358)
Comprehensive loss attributable to Genco Shipping & Trading Limited	$ (73,183)	$ (46,259)	$ (125,276)	$ (82,518)

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GENERAL INFORMATION

6 Months Ended

Jun. 30, 2014

GENERAL INFORMATION

GENERAL INFORMATION

1 - GENERAL INFORMATION

The accompanying condensed consolidated financial statements include the accounts of Genco Shipping & Trading Limited (“GS&T”), its wholly-owned subsidiaries, and its subsidiary, Baltic Trading Limited (collectively, the “Company”). The Company is engaged in the ocean transportation of drybulk cargoes worldwide through the ownership and operation of drybulk carrier vessels. GS&T is incorporated under the laws of the Marshall Islands and as of June 30, 2014, is the sole owner of all of the outstanding shares of the following subsidiaries: Genco Ship Management LLC; Genco Investments LLC; Genco RE Investments LLC; and the ship-owning subsidiaries as set forth below.  As of June 30, 2014, Genco Ship Management LLC is the sole owner of all of the outstanding shares of Genco Management (USA) Limited.

Bankruptcy Filing

On April 21, 2014 (the “Petition Date”), GS&T and its subsidiaries other than Baltic Trading Limited and its subsidiaries (collectively, the “Debtors”) filed voluntary petitions for relief (the “Chapter 11 Cases”) under Chapter 11 of the United States Bankruptcy Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”). The Debtors continued to operate their businesses in the ordinary course as “debtors-in-possession” under the jurisdiction of the Bankruptcy Court in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court. Through the Chapter 11 Cases, the Debtors seek to implement a Prepackaged Plan of Reorganization of the Debtors Pursuant to Chapter 11 of the Bankruptcy Code for which the Company solicited votes from certain classes of its creditors prior to commencement of the Chapter 11 Cases in accordance with the Restructuring Support Agreement that the Debtors entered into with certain of its creditors on April 3, 2014.

The filing of the Chapter 11 Cases constituted an event of default with respect to each of the following agreements or instruments:

· the Credit Agreement, dated as of July 20, 2007 (as amended to date), by and among the Company as borrower, the banks and other financial institutions named therein as lenders, Wilmington Trust, N.A., as successor administrative and collateral agent, and the other parties thereto, relating to approximately $1,055,912 of principal plus accrued and unpaid interest, fees, costs, and other expenses (the “2007 Credit Facility”);

· the Loan Agreement, dated as of August 20, 2010 (as amended to date), by and among the Company as borrower, Genco Aquitane Limited and the other subsidiaries of the Company named therein as guarantors, the banks and financial institutions named therein as lenders, BNP Paribas, Credit Agricole Corporate and Investment Bank, DVB Bank SE, Deutsche Bank AG Filiale Deutschlandgeschaft, Skandinaviska Enskilda Banken AB (publ) as mandated lead arrangers, BNP Paribas, Credit Agricole Corporate and Investment Bank, DVB Bank SE, Deutsche Bank AG, Skandinaviska Enskilda Banken AB (publ) as swap providers, and Deutsche Bank Luxembourg S.A. as agent for the lenders and the assignee, relating to approximately $175,718 of principal and accrued and unpaid interest, fees, costs, and other expenses (the “$253 Million Term Loan Facility”);

· the Loan Agreement, dated as of August 12, 2010 (as amended to date), by and among the Company as borrower, Genco Ocean Limited and the other subsidiaries of the Company named therein as guarantors, the banks and financial institutions named therein as lenders, and Credit Agricole Corporate and Investment Bank as agent and security trustee, relating to approximately $73,561 of principal plus accrued and unpaid interest, fees, costs, and other expenses (the “$100 Million Term Loan Facility”);

· the Indenture and First Supplemental Indenture relating to $125,000 of principal plus accrued and unpaid interest outstanding of the Company’s 5.00% Convertible Senior Notes (the “2010 Notes”) due August 15, 2015 (the “Indenture”);

· the outstanding interest rate swap with DnB NOR Bank, relating to a liability position of $5,622 as of June 30, 2014.

As a result of the filing of the Chapter 11 Cases, all indebtedness outstanding under the 2007 Credit Facility and the Indenture was accelerated and became due and payable, and indebtedness under the other agreements and instruments described above can be accelerated and become due and payable upon notice to the Company, subject to an automatic stay of any action to collect, assert, or recover a claim against the Company or the other Debtors and the application of the applicable provisions of the Bankruptcy Code.

On July 2, 2014, the Bankruptcy Court entered an order (the “Confirmation Order”), confirming the First Amended Prepackaged Plan of Reorganization of the Debtors Pursuant to Chapter 11 of the Bankruptcy Code (the “Plan”).  Capitalized terms used but not defined below shall have the meanings given to them in the Plan.  On July 9, 2014 (the “Effective Date”), the Debtors completed their financial restructuring and emerged from Chapter 11 through a series of transactions contemplated by the Plan, and the Plan became effective pursuant to its terms.

Key components of the Plan included:

· The conversion of 100% of the Claims under the 2007 Credit Facility into 81.1% of the New Genco Common Stock (subject to dilution by the warrants issued under the Plan). On the Effective Date, the 2007 Credit Facility was terminated, and the liens and mortgages thereunder were released.  Refer to Note 9 — Debt for further information.

· The conversion of 100% of the Claims under the 2010 Notes into 8.4% of the New Genco Common Stock (subject to dilution by the warrants issued under the Plan). On the Effective Date, the 2010 Notes and the Indenture were fully satisfied and discharged.   Refer to Note 10 — Convertible Senior Notes for further information.

· A fully backstopped Rights Offering for approximately 8.7% of the New Genco Common Stock, in which holders of 2007 Credit Facility Claims were entitled to subscribe for up to 80% of the New Genco Common Stock offered, and holders of the 2010 Notes Claims were entitled to subscribe for up to 20% of the New Genco Common Stock being offered under the Rights Offering. Each Right entitled its holder to purchase one share of New Genco Common Stock at a subscription price of $18.62537, for an aggregate subscription price of $100,000.

· The amendment and restatement of the $253 Million Term Loan Facility and the $100 Million Term Loan Facility as of the Effective Date, with extended maturities, a financial covenant holiday and certain other amendments, as discussed further in Note 9 - Debt.

· The cancellation of the old common stock of Genco as of the Effective Date, with the holders thereof receiving warrants to acquire shares of New Genco Common Stock. Each New Genco Equity Warrant is exercisable for one share of New Genco Common Stock, and holders received an aggregate of 3,938,298 New Genco Equity Warrants for the old common stock of Genco. The New Genco Equity Warrants in the aggregate are exercisable for approximately 6% of New Genco Common Stock (subject to dilution).

· Reinstatement, non-impairment or payment in full in the ordinary course of business during the pendency of the Chapter 11 Cases of all Allowed General Unsecured Claims, including Allowed Claims of trade vendors, suppliers, customers and charterers, per the approval by the Bankruptcy Court.

· The non-impairment of all other General Unsecured Claims under section 1124 of the Bankruptcy Code.

· A Management Incentive Program, which provides for the distribution of New Genco MIP Primary Equity in the form of shares representing 1.8% of the New Genco Common Stock and three tiers of New Genco MIP Warrants with staggered strike prices based on increasing equity values to the participating officers, directors, and other management of Reorganized Genco. These awards were made on August 7, 2014.

Registration Rights Agreement

On the Effective Date, Reorganized Genco and the Registration Rights Parties entered into the Registration Rights Agreement. The Registration Rights Agreement provided the Registration Rights Parties who receive 10% or more of New Genco Common Stock under the Plan with demand and piggyback registration rights. All other Registration Rights Parties have piggyback registration rights only.

New Genco Equity Warrant Agreement

On the Effective Date, pursuant to the Plan, the New Genco Equity Warrants were issued pursuant to the terms of the New Genco Equity Warrant Agreement. Each New Genco Equity Warrant has a 7-year term (commencing on the day following the Effective Date) and are exercisable for one share of New Genco Common Stock. The New Genco Equity Warrants are exercisable on a cashless basis at an exercise price of $20.99 per share. The New Genco Equity Warrant Agreement contains customary anti-dilution adjustments in the event of any stock split, reverse stock split, stock dividend, reclassification, dividend or other distributions (including, but not limited to, cash dividends), or business combination transaction.

The New Genco Equity Warrants were distributed to holders of the old common stock of the Company, which was cancelled as of the Effective Date. Shares of old common stock of the Company issued to directors, officers and employees of Genco under compensatory plans that were unvested as of the Effective Date were deemed vested automatically on the Effective Date, so that all New Genco Equity Warrants received in exchange therefor were deemed vested.

Accounting Guidance

The Company was required to apply Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 852, Reorganizations, effective on April 21, 2014, which is applicable to companies in Chapter 11, which generally does not change the manner in which financial statements are prepared. However, it does require that the financial statements for periods subsequent to the filing of the Chapter 11 Cases distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Revenues, expenses, realized gains and losses, and provisions for losses that can be directly associated with the reorganization and restructuring of the business must be reported separately as Reorganization items in the consolidated statements of operations beginning in the quarter ending June 30, 2014. The balance sheet must distinguish pre-petition Liabilities subject to compromise from both those pre-petition liabilities that are not subject to compromise and from post-petition liabilities. The Company has evaluated creditors’ claims for other claims that may also have priority over unsecured creditors. Liabilities that may be affected by a plan of reorganization must be reported at the amounts expected to be approved by the Bankruptcy Court, even if they may be settled for lesser amounts as a result of the plan or reorganization.  In addition, cash used by reorganization items in the consolidated statements of cash flows are disclosed in Note 4 — Cash Flow Information.

In connection with the emergence from the Chapter 11 Cases, the Company believes it qualifies for fresh-start accounting.   Upon adoption of fresh-start accounting, the Company’s  assets and liabilities will be recorded at their value as of the fresh-start reporting date.  The fair values of the Company’s assets and liabilities as of that date may differ materially from the recorded values of its assets and liabilities as reflected in its historical consolidated financial statements.  In addition, the Company’s adoptions of fresh-start accounting may materially affect its results of operations following the fresh-start reporting dates, as the Company will have a new basis in its assets and liabilities.  Consequently, the Company’s historical financial statements may not be reliable indicators of its financial condition and results of operations for any period after it adopts fresh-start accounting.  See Note 25 — Subsequent Events for a further discussion of fresh-start accounting.

Other General Information

Below is the list of GS&T’s wholly owned ship-owning subsidiaries as of June 30, 2014:

Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Genco Reliance Limited	Genco Reliance	29,952	12/6/04	1999
Genco Vigour Limited	Genco Vigour	73,941	12/15/04	1999
Genco Explorer Limited	Genco Explorer	29,952	12/17/04	1999
Genco Carrier Limited	Genco Carrier	47,180	12/28/04	1998
Genco Sugar Limited	Genco Sugar	29,952	12/30/04	1998
Genco Pioneer Limited	Genco Pioneer	29,952	1/4/05	1999
Genco Progress Limited	Genco Progress	29,952	1/12/05	1999
Genco Wisdom Limited	Genco Wisdom	47,180	1/13/05	1997
Genco Success Limited	Genco Success	47,186	1/31/05	1997
Genco Beauty Limited	Genco Beauty	73,941	2/7/05	1999
Genco Knight Limited	Genco Knight	73,941	2/16/05	1999
Genco Leader Limited	Genco Leader	73,941	2/16/05	1999
Genco Marine Limited	Genco Marine	45,222	3/29/05	1996
Genco Prosperity Limited	Genco Prosperity	47,180	4/4/05	1997
Genco Muse Limited	Genco Muse	48,913	10/14/05	2001
Genco Acheron Limited	Genco Acheron	72,495	11/7/06	1999
Genco Surprise Limited	Genco Surprise	72,495	11/17/06	1998
Genco Augustus Limited	Genco Augustus	180,151	8/17/07	2007
Genco Tiberius Limited	Genco Tiberius	175,874	8/28/07	2007
Genco London Limited	Genco London	177,833	9/28/07	2007
Genco Titus Limited	Genco Titus	177,729	11/15/07	2007
Genco Challenger Limited	Genco Challenger	28,428	12/14/07	2003
Genco Charger Limited	Genco Charger	28,398	12/14/07	2005
Genco Warrior Limited	Genco Warrior	55,435	12/17/07	2005
Genco Predator Limited	Genco Predator	55,407	12/20/07	2005

Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Genco Hunter Limited	Genco Hunter	58,729	12/20/07	2007
Genco Champion Limited	Genco Champion	28,445	1/2/08	2006
Genco Constantine Limited	Genco Constantine	180,183	2/21/08	2008
Genco Raptor LLC	Genco Raptor	76,499	6/23/08	2007
Genco Cavalier LLC	Genco Cavalier	53,617	7/17/08	2007
Genco Thunder LLC	Genco Thunder	76,588	9/25/08	2007
Genco Hadrian Limited	Genco Hadrian	169,694	12/29/08	2008
Genco Commodus Limited	Genco Commodus	169,025	7/22/09	2009
Genco Maximus Limited	Genco Maximus	169,025	9/18/09	2009
Genco Claudius Limited	Genco Claudius	169,025	12/30/09	2010
Genco Bay Limited	Genco Bay	34,296	8/24/10	2010
Genco Ocean Limited	Genco Ocean	34,409	7/26/10	2010
Genco Avra Limited	Genco Avra	34,391	5/12/11	2011
Genco Mare Limited	Genco Mare	34,428	7/20/11	2011
Genco Spirit Limited	Genco Spirit	34,432	11/10/11	2011
Genco Aquitaine Limited	Genco Aquitaine	57,981	8/18/10	2009
Genco Ardennes Limited	Genco Ardennes	57,981	8/31/10	2009
Genco Auvergne Limited	Genco Auvergne	57,981	8/16/10	2009
Genco Bourgogne Limited	Genco Bourgogne	57,981	8/24/10	2010
Genco Brittany Limited	Genco Brittany	57,981	9/23/10	2010
Genco Languedoc Limited	Genco Languedoc	57,981	9/29/10	2010
Genco Loire Limited	Genco Loire	53,416	8/4/10	2009
Genco Lorraine Limited	Genco Lorraine	53,416	7/29/10	2009
Genco Normandy Limited	Genco Normandy	53,596	8/10/10	2007
Genco Picardy Limited	Genco Picardy	55,257	8/16/10	2005
Genco Provence Limited	Genco Provence	55,317	8/23/10	2004
Genco Pyrenees Limited	Genco Pyrenees	57,981	8/10/10	2010
Genco Rhone Limited	Genco Rhone	58,018	3/29/11	2011

Baltic Trading Limited (“Baltic Trading”) was a wholly-owned indirect subsidiary of GS&T until Baltic Trading completed its initial public offering, or IPO, on March 15, 2010.  As of June 30, 2014 and December 31, 2013, Genco Investments LLC owned 6,356,471 shares of Baltic Trading’s Class B Stock, which represented an 11.04% and 11.05% ownership interest in Baltic Trading, respectively, and 65.06% and 65.08% of the aggregate voting power of Baltic Trading’s outstanding shares of voting stock, respectively.  Additionally, pursuant to the subscription agreement between Genco Investments LLC and Baltic Trading, for so long as GS&T directly or indirectly holds at least 10% of the aggregate number of outstanding shares of Baltic Trading’s common stock and Class B stock, Genco Investments LLC will be entitled to receive an additional number of shares of Baltic Trading’s Class B stock equal to 2% of the number of common shares issued in the future, other than shares issued under Baltic Trading’s Equity Incentive Plans.

Below is the list of Baltic Trading’s wholly owned ship-owning subsidiaries as of June 30, 2014:

Baltic Trading’s Wholly Owned Subsidiaries	Vessel Acquired	Dwt	Delivery Date	Year Built
Baltic Leopard Limited	Baltic Leopard	53,447	4/8/10	2009
Baltic Panther Limited	Baltic Panther	53,351	4/29/10	2009
Baltic Cougar Limited	Baltic Cougar	53,432	5/28/10	2009
Baltic Jaguar Limited	Baltic Jaguar	53,474	5/14/10	2009
Baltic Bear Limited	Baltic Bear	177,717	5/14/10	2010
Baltic Wolf Limited	Baltic Wolf	177,752	10/14/10	2010
Baltic Wind Limited	Baltic Wind	34,409	8/4/10	2009
Baltic Cove Limited	Baltic Cove	34,403	8/23/10	2010
Baltic Breeze Limited	Baltic Breeze	34,386	10/12/10	2010
Baltic Fox Limited	Baltic Fox	31,883	9/6/13	2010
Baltic Hare Limited	Baltic Hare	31,887	9/5/13	2009
Baltic Lion Limited	Baltic Lion	179,185	12/27/13	2012
Baltic Tiger Limited	Baltic Tiger	179,185	11/26/13	2011
Baltic Hornet Limited	Baltic Hornet	64,000	Q3 2014 (1)	2014 (1)
Baltic Wasp Limited	Baltic Wasp	64,000	Q4 2014 (1)	2014 (1)
Baltic Scorpion Limited	Baltic Scorpion	64,000	Q2 2015 (1)	2015 (1)
Baltic Mantis Limited	Baltic Mantis	64,000	Q3 2015 (1)	2015 (1)

(1) Built dates and dates for vessels being delivered in the future are estimates based on the guidance received from the sellers and the respective shipyards.

The Company provides technical services for drybulk vessels purchased by Maritime Equity Partners LLC (“MEP”).  Peter C. Georgiopoulos, Chairman of the Board of Directors of GS&T, controls and has a minority interest in MEP.  These services include oversight of crew management, insurance, drydocking, ship operations and financial statement preparation, but do not include chartering services.  The services are provided for a fee of $750 per ship per day plus reimbursement of out-of-pocket costs and were provided for an initial term of one year.  MEP has the right to cancel provision of services on 60 days’ notice with payment of a one-year termination fee upon a change in control of the Company.  The Company may terminate provision of the services at any time on 60 days’ notice.

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SEGMENT INFORMATION (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014 item	Jun. 30, 2013	Dec. 31, 2013
SEGMENT INFORMATION
Number of reportable segments			2
Number of operating segments			2
Voyage revenue from external customers
Total consolidated voyage revenue from external customers	$ 51,545	$ 44,941	$ 114,725	$ 84,617
Intersegment revenue
Total consolidated intersegment revenue	819	819	1,629	1,629
Net loss
Net loss	(65,557)	(48,940)	(107,796)	(100,890)
Total assets
Total consolidated assets	2,828,686		2,828,686		2,957,254
Operating Segments
Voyage revenue from external customers
Total consolidated voyage revenue from external customers	51,545	44,941	114,725	84,617
Net loss
Net loss	(65,548)	(48,922)	(107,651)	(100,853)
Total assets
Total consolidated assets	2,833,465		2,833,465		2,962,178
Operating Segments | Intersegment Revenue
Intersegment revenue
Total consolidated intersegment revenue	1,022	696	2,067	1,376
GS&T
Voyage revenue from external customers
Total consolidated voyage revenue from external customers	40,842	38,562	90,931	72,252
Net loss
Net loss	(59,874)	(44,297)	(98,444)	(91,145)
Total assets
Total consolidated assets	2,286,604		2,286,604		2,404,811
GS&T | Intersegment Revenue
Intersegment revenue
Total consolidated intersegment revenue	1,022	696	2,067	1,376
Baltic Trading
Voyage revenue from external customers
Total consolidated voyage revenue from external customers	10,703	6,379	23,794	12,365
Net loss
Net loss	(5,674)	(4,625)	(9,207)	(9,708)
Total assets
Total consolidated assets	546,861		546,861		557,367
Intersegment Elimination
Intersegment revenue
Total consolidated intersegment revenue	(1,022)	(696)	(2,067)	(1,376)
Net loss
Net loss	9	18	145	37
Total assets
Total consolidated assets	$ (4,779)		$ (4,779)		$ (4,924)

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COMMITMENTS AND CONTINGENCIES (Details) (USD $) In Thousands, unless otherwise specified							1 Months Ended	3 Months Ended		6 Months Ended				0 Months Ended	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014 Period until May 31, 2015	Jun. 30, 2014 Period after May 31, 2015 until April 30, 2018	Jun. 30, 2014 Period from October 1, 2018 to April 30, 2023	Jun. 30, 2014 Period from May 1, 2023 to September 30, 2025	Sep. 30, 2005 Lease agreement entered into September 2005	Jun. 30, 2014 Lease agreement entered into September 2005	Jun. 30, 2013 Lease agreement entered into September 2005	Jun. 30, 2014 Lease agreement entered into September 2005	Jun. 30, 2013 Lease agreement entered into September 2005	Dec. 31, 2013 Lease agreement entered into September 2005	Jun. 30, 2014 Lease agreement entered into September 2005 Chapter 11	Apr. 04, 2011 Lease agreement entered into April 2011	Jun. 30, 2014 Lease agreement entered into April 2011	Jun. 30, 2013 Lease agreement entered into April 2011	Jun. 30, 2014 Lease agreement entered into April 2011	Jun. 30, 2013 Lease agreement entered into April 2011	Dec. 31, 2013 Lease agreement entered into April 2011	Jun. 30, 2014 Lease agreement entered into April 2011 Period during June 1, 2011 to September 30, 2025
Commitments and contingencies
Lease term							15 years							7 years
Rent expense								$ (28)	$ 22	$ (28)	$ 131				$ 390	$ 390	$ 779	$ 779
Current portion of lease obligations		176										176
Long-term lease obligations	2,658	3,114										744			2,658		2,658		2,370
Current lease obligations classified as subject to compromise													162
Long-term lease obligations classified as subject to compromise													666
Future minimum rental payments
Remainder of 2014								259		259					491		491
2015								518		518					1,037		1,037
2016								529		529					1,076		1,076
2017								550		550					1,076		1,076
2018								550		550					916		916
Remaining term of the lease								1,421		1,421					15,590		15,590
Future contract sublease income
Remainder of 2014								170		170
2015								340		340
2016								340		340
2017								347		347
2018								380		380
Remaining term of the sublease								983		983
Monthly rental payment			82	90	186	204
Monthly straight-line rental expense																				130
Obligation of sublessor towards the cost of alterations of office space																	$ 472

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INTEREST RATE SWAP AGREEMENTS (Details 2) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013
Liability Derivatives
Fair value of derivative instruments	$ 6,975
Interest rate contracts
Liability Derivatives
Total Derivatives	6,975
Interest rate contracts | Derivatives designated as hedging instruments
Liability Derivatives
Fair value of derivative instruments	6,975
Total Derivatives	$ 6,975

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LIABILITIES SUBJECT TO COMPROMISE

6 Months Ended

Jun. 30, 2014

LIABILITIES SUBJECT TO COMPROMISE

LIABILITIES SUBJECT TO COMPROMISE

18 — LIABILITIES SUBJECT TO COMPROMISE

As a result of the filing of the Chapter 11 Cases on April 21, 2014, the payment of pre-petition indebtedness is subject to compromise or other treatment under a plan of reorganization. Generally, actions to enforce or otherwise effect payment of pre-bankruptcy filing liabilities are stayed.  Although payment of pre-petition claims generally is not permitted, the Bankruptcy Court granted the Company authority to pay certain pre-petition claims in designated categories and subject to certain terms and conditions. This relief generally was designed to preserve the value of the Company’s businesses and assets.  Among other things, the Bankruptcy Court authorized the Company to pay certain pre-petition claims relating to employee wages and benefits, customers, vendors, and suppliers in the ordinary course of business.

The Company has been paying and intends to continue to pay undisputed post-petition claims in the ordinary course of business.  With respect to pre-petition claims, the Company has notified all known claimants of the deadline to file a proof of claim with the Bankruptcy Court. The Company’s Liabilities subject to compromise represent the Company’s current estimate of claims expected to be allowed by the Bankruptcy Court. As of June 30, 2014, the Company cannot reasonably estimate the value of the claims that will ultimately be allowed by the Bankruptcy Court since the Company’s evaluation, investigation and reconciliation of the filed claims has not been completed.

Pre-petition liabilities that are subject to compromise are required to be reported at the amounts expected to be allowed, even if they may be settled for lesser amounts.  The amounts currently classified as “Liabilities subject to compromise” may be subject to future adjustments depending on Bankruptcy Court actions, further developments with respect to disputed claims, determinations of the secured status of certain claims, the values of any collateral securing such claims, or other events. Management expects that certain amounts currently classified as “Liabilities subject to compromise” may in fact be paid in the ordinary course as they come due. Any resulting changes in classification will be reflected in subsequent financial statements.

As of June 30, 2014, Liabilities subject to compromise consist of the following:

	June 30, 2014
2007 Credit Facility	$	1,055,912
$ 100 Million Term Loan Facility	73,561
$ 253 Million Term Loan Facility	175,718
Interest payable	13,199
Terminated interest rate swap liability	5,622
Convertible senior note payable	117,473
Bond coupon interest payable	1,105
Lease obligation for prior office space	828
Pre-petition accounts payable	157
Total	$	1,443,575

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FAIR VALUE OF FINANCIAL INSTRUMENTS (Details 2) (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2014	Dec. 31, 2013
Fair value of financial instruments
Investments	$ 49,618	$ 77,570
Derivative instruments - liability position	5,622	6,975
Period to determine fair value inputs for valuation	2 years
Quoted Market Prices in Active Markets (Level 1)
Fair value of financial instruments
Investments	49,618	77,570
Significant Other Observable Inputs (Level 2)
Fair value of financial instruments
Derivative instruments - liability position	$ 5,622	$ 6,975

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NET LOSS PER COMMON SHARE (Tables)

6 Months Ended

Jun. 30, 2014

NET LOSS PER COMMON SHARE

Components of denominator for calculation of basic net loss per share and diluted net loss per share

	For the Three Months EndedJune 30,		For the Six Months EndedJune 30,
	2014	2013	2014	2013
Common shares outstanding, basic:
Weighted-average common shares outstanding, basic	43,568,942	43,196,895	43,568,942	43,179,300
Common shares outstanding, diluted:
Weighted-average common shares outstanding, basic	43,568,942	43,196,895	43,568,942	43,179,300
Dilutive effect of convertible notes	—	—	—	—
Dilutive effect of restricted stock awards	—	—	—	—
Weighted-average common shares outstanding, diluted	43,568,942	43,196,895	43,568,942	43,179,300

Reconciliation of the net loss attributable to GS&T and the net loss attributable to GS&T for diluted net loss per share

	For the Three Months EndedJune 30,						For the Six Months EndedJune 30,
	2014			2013			2014			2013
Net loss attributable to GS&T	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)
Interest expense related to convertible notes, if dilutive	—			—			—			—
Net loss attributable to GS&T for the computation of diluted net loss per share	$	(60,524	)	$	(45,369	)	$	(99,630	)	$	(93,532	)

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INTEREST RATE SWAP AGREEMENTS

6 Months Ended

Jun. 30, 2014

INTEREST RATE SWAP AGREEMENTS

INTEREST RATE SWAP AGREEMENTS

11 - INTEREST RATE SWAP AGREEMENTS

As of December 31, 2013, the Company had four interest swap agreements outstanding with DNB Bank ASA to manage interest costs and the risk associated with variable interest rates related to the Company’s 2007 Credit Facility.  The total notional principal amount of the swaps at December 31, 2013 was $306,233 and the swaps had specified rates and durations.   Three of the swaps that were outstanding at December 31, 2013 expired during the six months ended June 30, 2014, prior to the Petition Date.

As of March 31, 2014, the Company was in default under covenants of its 2007 Credit Facility due to the default on the scheduled debt amortization payment due on March 31, 2014. Refer to Note 1 — General Information for additional information regarding defaults relating to the swap.   The default under the 2007 Credit Facility requires the Company to elect interest periods of only one-month, therefore the Company no longer qualified for hedge accounting under the original designation and hedge accounting was terminated effective March 31, 2014.  Additionally, the filing of the Chapter 11 Cases by the Company on the Petition Date constituted an event of default with respect to the outstanding interest rate swap with DNB Bank ASA.  As a result, DNB Bank ASA terminated all transactions under the remaining swap agreement effective April 30, 2014 and filed a secured claim with the Bankruptcy Court of $5,622. As such, in accordance with applicable accounting guidance, the liability related to the interest rate swap outstanding as of June 30, 2014 was classified as Liabilities subject to compromise in the Condensed Consolidated Balance Sheets as of June 30, 2014 and is no longer considered a derivative.

The following table summarizes the interest rate swaps designated as cash flow hedges that were in place as of June 30, 2014 and December 31, 2013:

					June 30, 2014		December 31, 2013
Interest Rate Swap Detail					Notional		Notional
Trade	Fixed		Start Date	End date	Amount		Amount
Date	Rate		of Swap	of Swap	Outstanding		Outstanding
9/6/05	4.485	%	9/14/05	7/29/15	$	—	$	106,233
3/29/06	5.25	%	1/2/07	1/1/14	—		50,000
1/9/09	2.05	%	1/22/09	1/22/14	—		100,000
2/11/09	2.45	%	2/23/09	2/23/14	—		50,000
					$	—	$	306,233

The following table summarizes the derivative asset and liability balances at June 30, 2014 and December 31, 2013:

	Asset Derivatives					Liability Derivatives
	Balance	Fair Value				Balance	Fair Value
	Sheet Location	June 30, 2014		December 31, 2013		Sheet Location	June 30, 2014		December 31, 2013
Derivatives designated as hedging instruments
Interest rate contracts	Fair value of derivative instruments (Current Assets)	$	—	$	—	Fair value of derivative instruments (Current Liabilities)	$	—	$	6,975
Interest rate contracts	Fair value of derivative instruments (Noncurrent Assets)	—		—		Fair value of derivative instruments (Noncurrent Liabilities)	—		—
Total derivatives designated as hedging instruments		—		—			—		6,975
Total Derivatives		$	—	$	—		$	—	$	6,975

The differentials to be paid or received for these swap agreements are recognized as an adjustment to interest expense as incurred.  The Company utilized cash flow hedge accounting for these swaps through March 31, 2014, whereby the effective portion of the change in the value of the swaps is reflected as a component of AOCI.  The ineffective portion is recognized as other expense, which is a component of other (expense) income.  On March 31, 2014, the cash flow hedge accounting on the remaining swap agreement was discontinued.  Once cash flow hedge accounting was discontinued, the changes in the fair value of the interest rate swaps are recorded in the Condensed Consolidated Statement of Operations in interest expense and the remaining amounts included in AOCI are amortized to interest expense over the original term of the hedging relationship.

The following tables present the impact of derivative instruments and their location within the Condensed Consolidated Statement of Operations:

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2014

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)		Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2014		Portion)	2014			Portion)	2014
Interest rate contracts	$	—	Interest Expense	$	(1,078	)	Other Income (Expense)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2013

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2013			Portion)	2013			Portion)	2013
Interest rate contracts	$	(91	)	Interest Expense	$	(2,477	)	Other Income (Expense)	$	(2	)

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Three-Month Period Ended June 30, 2014 and 2013

Derivatives not designated as Hedging	Location of Gain (Loss) Recognized in Income	Amount of Gain (Loss) Recognized in Income on Derivative
Instruments	on Derivative	2014			2013
Interest rate contracts	Interest Expense	$	(225	)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2014

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2014			Portion)	2014			Portion)	2014
Interest rate contracts	$	(179	)	Interest Expense	$	(2,485	)	Other Income (Expense)	$	—

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2013

Derivatives in Cash Flow Hedging	Amount of Gain (Loss) Recognized in AOCI on Derivative (Effective Portion)			Location of Gain (Loss) Reclassified from AOCI into income (Effective	Amount of Gain (Loss) Reclassified from AOCI into income (Effective Portion)			Location of Gain (Loss) Recognized in Income on Derivative (Ineffective	Amount of Gain (Loss) Recognized in Income on Derivative (Ineffective Portion)
Relationships	2013			Portion)	2013			Portion)	2013
Interest rate contracts	$	(229	)	Interest Expense	$	(4,916	)	Other Income (Expense)	$	(5	)

The Effect of Derivative Instruments on the Condensed Consolidated Statement of Operations

For the Six-Month Period Ended June 30, 2014 and 2013

Derivatives not designated as Hedging	Location of Gain (Loss) Recognized in Income	Amount of Gain (Loss) Recognized in Income on Derivative
Instruments	on Derivative	2014			2013
Interest rate contracts	Interest Expense	$	(225	)	$	—

The Company is required to provide collateral in the form of vessel assets to support the interest rate swap agreements, excluding vessel assets of Baltic Trading.  At June 30, 2014, the Company’s 35 vessels mortgaged under the 2007 Credit Facility served as collateral in the aggregate amount of $100,000.