ACTIVITIES

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C TRANSPORT MARITIME S.A.M. (CTM) is a highly qualified and experienced vessel management company active in the dry cargo ocean transport industry and more recently in the crude tanker market. Established in Monaco in 2004, the company currently manages a fleet of over 140 dry cargo vessels in the Supramax, Panamax and Capesize segments at any point in time. All operations are centralised in the Monaco office where all 70 staff are employed to optimise communication between departments and ensure a top quality service to our clients. The company’s foundations are based on the expertise and the professionalism of its managers

and employees all of whom have years of experience in the commercial, operational and technical management of dry cargo vessels and good seamanship.

SALE AND PURCHASEOur Sale and Purchase desk covers newbuilding contracting, vessel acquisitions, disposals and sale and leaseback transactions. CTM has longstanding relationships in the Japanese market across shipyards, trading houses and local shipowners.

REVENUE SHARING AGREEMENTS

CTM is one of the leading pool managers in the dry cargo industry with over 140 vessels operating in Capesize Chartering Ltd. and the Panamax and Supramax Revenue Sharing Agreements (RSAs). Ships trade worldwide on the spot market and income is distributed to each member vessel according to its earning capacity.

COMMERCIAL MANAGEMENT AND OPERATIONS

Long standing experience, a vast commercial network that includes brokers, end-users, operators, ship owning entities and port agents, amongst others, allows CTM to give its clients a wide range of options to trade their assets. Time charter agreements, voyage-based charters, contracts of affreightment, long term charters etc. are all covered by CTM’s chartering department and executed by our experienced operations department.

FORWARD FREIGHT AGREEMENTS

CTM has been trading Forward Freight Agreements (FFAs) for institutional clients since 2004. Often speculative and sometimes used as a hedging tool FFAs are one way investors can access the volatile shipping industry. We cover all sectors of the dry cargo market: Capesize, Panamax and Supramax as well as the crude tanker space.

SUPPORTING FUNCTIONSIn order to support our clients’ trading activities CTM provides administrative management, including accounting, legal, in-house risk management and market research as well as comprehensive client reporting.

TANKERSIn 2015 we added commercial management for tankers to the portfolio. Presently we are managing Suezmax tankers which trade globally on the spot market. We are always in the market looking for opportunities to expand this segment of our business.

TECHNICALKeeping our vessels operating at maximum efficiency and adhering to the latest regulations is the responsibility of our technical department. Established in 2010, it is set up to oversee dry cargo and tanker vessels of various sizes.

LOGISTICSOur logistical department provides solutions to any supply chain problem. With projects around the world and in partnership with Swire, we have a vast network of global expertise.

A WORLD LEADER INDRY BULK SHIPPING

I would like to say a warm thank you to all our clients who have entrusted CTM with their most prized assets. Our scale could not be achieved without the new partnerships we have struck as well as the old supportive friendships we nurture carefully. I am pleased with our growth trajectory as an all-encompassing dry cargo service provider and we continue to focus on building a transparent, cost-efficient platform bringing first class management services to maximize value for all our clients during difficult times as well as good times!

John Michael RadziwillChairman and CEO

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SUPRAMAX REVENUE SHARING AGREEMENT (RSA)

SUPRAMAX RSA The concept of Revenue Sharing wasn’t new for CTM, having been active in this market for over a decade thanks to the pools that we inherited from Coeclerici.The Supramax Revenue Sharing Agreement, is a twist on the usual shipping pools being more simple and flexible purely focused on operating ships on the spot market. Operations commenced in 2013, with five members and thirteen vessels increasing to over 60 ships today. We have incor-porated the same operational structure that we use for the Supramax RSA into our Panamax RSA.

THE PROCESS• A revenue sharing key establishes the relative theoretical

earning capacity of each member vessel on a time charter basis (based on the description of that member vessel).

• The vessel is assessed by CTM’s chartering managers on the basis of tradability and performances (dwt, cubic capacity, draft, service, eco speed, consumption, grabs, etc) and a revenue sharing key is established.

• The key is calculated by running the vessels on the Baltic Exchange Supramax Index routes.

WORLD CLASS OPERATORWorld class operator provides hassle free

chartering of vessels

COLLECTIVE INTELLIGENCEMore vessels = increased information

and more opportunities

DIVERSIFICATIONDiversification by charterer so as to spread any

potential counterparty risk

SPOT MARKETAll chartering is done on the spot market

EXPERIENCELong standing chartering experience with major

operators / charterers

24 / 7Round the clock commercial management,

chartering and operations with offices in Monaco and Singapore.

STRENGTHS OF THE RSA

AVERAGE AGE

4 YEARS

AVERAGE DWT

60,200 DWT

SIZES

45,000 -64,000 DWT

NUMBER OF VESSELS

60 +

FLEXIBILITY WITHOUT UNNECESSARY COSTS

> No daily administration fees are charged to the members of the RSA, only a 1.25% commission

> NO withdrawal fees

> Flexible 3 months exit notice

COAL21%

OTHER21%

AGRICULTURAL PRODUCTS18%

FERTILIZERS9%

PETCOKE4%

SAND4%

SALT4%

STEELS19%

2017 RSA CARGOES

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Capesize Chartering Ltd (CCL) was formed in January 2016 by CTM, Bocimar, Golden Ocean and Star Bulk – four companies with a strong presence and established histories in shipping. The benefits of partnership, cooperation and the idea that two minds are better that one has led to the creation of CCL. A year and a half later they were joined by Songa Bulk and altogether they join forces pooling their respective capesize vessels to facilitate the global trade in iron ore and coal. These five companies are committed to the dry cargo market, have the resources to do so and are able to withstand constantly changing environments to bring an improved service. In today’s very fragmented Capesize market this joint venture provides an efficiently run, well maintained fleet with the utmost attention to global regulations, safety requirements and client satisfaction.

EFFICIENT OPERATIONS Operating in a highly competitive industry, CCL provides competitively priced bids and more efficient trading operations to serve its customers. None of the standalone

companies in the venture is as efficient operating on its own. Together vessels can be made available worldwide at shorter notices, time and cost savings are achieved for all involved thanks to less repositioning (less demurrage and ballast bonuses) and the achievement of economies of scale.

A ‘LIGHT POOL’ CCL as the Pool Manager only carries out commercial activities – hence the term ‘light pool’. Every contract of employment is entered into under the name of the relevant Owner / Member. All activities beyond commercial management (such as operations, accounting, legal, insurance and technical) are handled by the Owners of the vessels. Bunkering is performed by the relevant Owner in close cooperation with the Pool Manager.Entry into CCL can be done through CTM as one of the Founding Members.

THE REVENUE SHARING AGREEMENT

In CCL all vessels are traded on the spot market. Each Owner collects freight/hire for their own vessels.

The vessels earnings are distributed to each Member according to the pool points of the vessel and through a quarterly netting amongst the pool members. To establish the pool points all vessels are assessed on the 7 BCI Voyage Reports (C2, C3, C4, C5, C7, C15 & C17) basis their “eco” speed descriptions. Performances will be constantly monitored and as such pool points can be amended in the case of over or under performance of a vessel (no retro-active adjustments).

EXPERIENCELong standing industry contacts & experience with

major operators / charterers

MINIMISING IDLE TIMELess idle time and repositioning expenses

MARKET DATAAccess to wide ranging market analysis

ECONOMIES OF SCALEMore vessels = greater cost reductions, increased

information & more opportunities

LESS BALLASTINGFewer ballast voyages =

more cargo carried & greater revenues

CAPESIZE CHARTERING LTD

AVERAGE AGE

7 YEARS

AVERAGE DWT

177,762 DWT

NUMBER OF VESSELS

60 +

Qualifying Vessels Standard Capesize 170,000-180,000 deadweight; not older than 15 years.

Pool Manager’s authority

Up to 6 months; but anything over 3 months requires the consent of the Participant Owner.

Contracts of Affreightment

CCL can take COA’s of maximum 10 months duration.

Entry of Vesssel Worldwide; no positional benefit.

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OUR SERVICES

At CTM, we know that the best way to keep our clients’ vessels ope-rating at maximum efficiency is to ensure that our highly trained and experienced Technical Management team is hands on with all the ves-sels. CTM’s Technical Management team is responsible for ensuring the seaworthiness of all vessels and maintaining them to the highest quality and regulatory standards at minimum operational cost. Since its esta-blishment in 2010, we have specialised in the technical management of dry bulk vessels of all sizes. In 2015, to coincide with our Commercial Department’s move into the tanker market, we are now fully certified and able to handle tanker vessels as well.

FULL TECHNICAL MANAGEMENTAll-encompassing technical management is provided for dry bulk and tanker vessels. Our clients entrust us with the day-to-day running of their vessels, organizing crews, supplying stores and spares and maintaining them in a fully operational, best-in class condition. Arranging and performing dry docks are key to a ship’s maintenance and our scale means we have several vessels undergoing dry docks each year enhancing their value and tradability.

NEWBUILDING SUPPORTOur team provides all aspects of newbuilding support including contract drafting, specification review, plan approvals and shipbuilding supervision. We have established site offices during the construction process, including in Japan, to oversee the process and ensure the vessel is built to the highest quality specifications.

SALE & PURCHASEWe conduct all surveys and inspections for sale and purchase to ensure that our clients are fully up to speed with the vessel’s condition.

CONVERSIONS AND MODIFICATIONSIncludes major conversion and modification projects, fuel conservation equipment and ballast water treatment system installations as necessary, all within the framework of ongoing regulations. Our team is always keeping abreast with evolving regulations ensuring that when they come into force all vessels are fully compliant. We are always cost aware and mindful of our clients’ needs in order to provide the best results for them.

LOGISTICSCTM’s technical department supports off shore bulk handling logistic projects during the development and building phases as well as repairs and maintenance for on-going operations.

3

2,5

1,5

0,75

0

Annual PSC Deficiencies / Inspections

2010 2011 2012 2013 2014 2015 2016

3

21,5

1,9

0,9 0,9 0,9

TECHNICALMANAGEMENT

COMPLIANCE & PERFORMANCEIn 2015 CTM’s Technical Management was recognized by the United States Coast Guard with its highest award – the QUALSHIP 21, “quality shipping for the 21st century”. It is their recognition of and reward to high quality vessels and is testament of our commitment to safety and overall standards of excellence. With this CTM became one of the few shipping companies in the world to be recognised with this certification.

ACCIDENTS

DETENTIONS

DELAYS

OUR 3 ZEROS TARGET

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The freight element represents a substantial portion of the delivered cost of any commodity. Any savings in freight costs enhance the competitiveness of end-users and suppliers. CTM Logistics aims to provide innovative, reliable and cost-effective solutions in shipping logistics achieving customer goals.

With its skilled team, CTM is able to provide a full package service from design development to the final operations, including commercial, operations and technical management.

• SUPPLY CHAIN SOLUTIONSCTM’s Logistics team provides tailored and customised services for solving problems linked to draft restrictions, shallow waters, port congestion, demurrages, etc. All this allows us to foresee any potential supply chain bottlenecks thereby minimising costs and providing our customers with successful supply chain solutions.

LOGISTICS

7 Rue du GabianGildo Pastor Center98000 MonacoTel. : +377 97 98 59 00Fax : +377 97 98 23 00www.ctmmc.com