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Long Term Debt
9 Months Ended
Sep. 30, 2021
Debt Disclosure [Abstract]  
Long Term Debt Long Term Debt
Long term debt is comprised of the following borrowings:
   
BorrowerCommencementMaturityDecember 31, 2020September 30, 2021
Maxeikosiepta 1
December 2018February 20214,000 — 
Maxtessera 1
November 2018April 202122,000 — 
Avstes 1
June 2019April 20215,985 — 
Maxeikosi 1
September 2017May 202110,893 — 
Maxeikosiexi 1
September 2015June 20214,432 — 
Marathassa 1
September 2015June 20214,820 — 
Marinouki 1
September 2015June 20217,263 — 
Kerasies 1
September 2015June 20215,097 — 
Soffive 1
September 2015June 20217,853 — 
Eptaprohi 1
September 2015June 202137,053 — 
Petra 1
November 2018June 20216,135 — 
Pemer 1
November 2018June 20216,135 — 
Safe Bulkers 2
December 2019June 202129,000 — 
Shikokuepta 1
February 2016August 202117,150 — 
Safe Bulkers 1
November 2014September 202179,758 — 
Maxeikosiena 3
September 2015September 202118,058 — 
Safe Bulkers 1
April 2019June 20228,000 — 
Shikokupente - Shikokuennia - Pemer - Petra 1
July 2019January 20238,510 870 
Shikokupente 1
August 2018August 202312,927 10,210 
Shikokuennia 1
October 2018October 202314,385 8,668 
Maxeikositria 1
September 2017August 202410,893 8,077 
Maxpente 1
September 2017August 202416,100 11,450 
Maxeikositessera 1
September 2017August 202411,310 8,134 
Maxenteka 1
September 2017August 202413,536 10,294 
Safe Bulkers 1
November 2018August 202422,250 9,750 
Pelea - Vasstwo - Eniaprohi - Vassone 1
December 2018December 202443,250 31,250 
Maxdeka 3
November 2019August 202519,076 17,572 
Shikoku Friendship 3
November 2019August 202520,066 18,484 
Shikokutessera 3
November 2019August 202519,502 17,990 
Glovertwo 3
November 2019August 202518,344 16,900 
Pentakomo 3
January 2020January 202614,500 13,000 
Maxdekatria 3
January 2020January 202614,500 13,000 
Eptaprohi - Kerasies - Marathassa - Marinouki -Soffive - Pemer - Petra 1
June 2021June 2026— 29,137 
Eptaprohi - Kerasies - Marathassa - Marinouki -Soffive - Pemer - Petra 2
June 2021June 2026— 10,000 
Safe Bulkers 1
September 2021September 2026— 30,000 
Maxtessera 3
April 2021October 2026— 28,933 
Youngtwo 3
January 2017January 202721,203 20,491 
Monagrouli 1
April 2020April 202725,520 24,200 
Shikokuokto 3
December 2019December 202718,000 16,500 
Gloversix 3
December 2019December 202718,720 17,160 
Pinewood 3
February 2021February 2031— 23,035 
Shikokuepta 3
August 2021August 2031— 23,667 
Total616,224 418,772 
Current portion of Long-term debt  77,284 35,767 
Liability directly associated with asset held for sale4,000 8,077 
Long-term debt  534,940 374,928 
Total debt  616,224 418,772 
Current portion of deferred financing costs  1,500 1,373 
Financing cost, directly associated with asset held for sale17 31 
Deferred financing costs non-current  3,057 3,617 
Total deferred financing costs  4,574 5,021 
Total debt  616,224 418,772 
Less:  Total deferred financing costs
  4,574 5,021 
Total debt, net of deferred financing costs  611,650 413,751 
Less:  Current portion of long-term debt, net of current portion of deferred financing costs
  75,784 34,394 
Less: Liability directly associated with asset held for sale net of deferred financing cost3,983 8,046 
Long-term debt, net of deferred financing costs, non-current  531,883 371,311 
1.Credit facility
2.Revolving credit facility
3.Sale and lease back financing transaction.

Details of the loans and credit facilities are included in Note 7 of the Company’s consolidated financial statements for the year ended December 31, 2020, included in the Company’s Annual Report on Form 20-F. No change has been made to the debt covenants of our loan and credit facilities. During the nine months ended September 30, 2021, we prepaid debt in relation to vessels sales or debt refinancing in the aggregate amount of $282,408, made scheduled principal payments of $43,844 and had loan drawdowns of $128,800.

In June 2021, the Company entered into a credit facility of $70.0 million with a financial institution, as disclosed in Note 3B.

In August 2021, Shikokuepta entered into a sale and leaseback agreement, with an unrelated third party for $24,000, regarding the vessel owned by Shikokuepta. The sale and leaseback agreement bears interest at LIBOR plus a margin. This transaction was consummated in August 2021 and the proceeds were used to fully prepay the amount outstanding under previous credit facility secured by the respective vessel and for general corporate purposes. Under the agreement, the vessel was sold and leased back on a bareboat charter basis for a period of 10 years, with a purchase obligation at the end of the 10th year. Furthermore, Shikokuepta holds an option to purchase back the vessel after the third year of the bareboat charter, at predetermined purchase prices. In view of the obligation of Shikokuepta to purchase the vessel at the end of the bareboat charter, the Company has assessed that this transaction be recorded as financing transaction.

In September 2021, the Company entered into a new credit facility of $60.0 million with a five-year tenor secured by five vessels, comprising of a term loan tranche of $30.0 million, repayable over five years through quarterly principal instalments and a balloon payable on maturity, and a revolving credit facility tranche providing for a draw down capacity of up to $30.0 million reducing from its fourth year onwards. Both the term loan tranche and the revolving credit facility tranche bear interest at LIBOR plus a margin. The proceeds from the credit facility were used to refinance loan facilities with the same financial institution secured by six vessels, five of which secure the new credit facility and one has remained debt free. The agreement contains financial covenants in line with the existing loan and credit facilities of the Company.

The fair value of debt outstanding on September 30, 2021 amounted to $421,867 when valuing the Youngtwo, Shikokutessera, Maxdeka, Shikoku, Glovertwo and Maxtessera loan facilities on the basis of the deemed equivalent fixed rate, as applicable on September 30, 2021, which is considered to be a Level 2 item in accordance with the fair value hierarchy.

As of September 30, 2021, an amount of $88.9 million was available for drawdown under the above loans and credit facilities. The estimated minimum annual principal payments required to be made after September 30, 2021, based on the loan and credit facility agreements as amended, are as follows:
To September 30,  
2022$43,843 
202351,893 
202486,592 
202598,095 
202655,982 
2027 and thereafter82,367 
Total$418,772 

As of September 30, 2021, the Company was in compliance with all debt covenants in effect, with respect to its loans and credit facilities.