Diana Shipping 2Q15 Earnings Call Notes

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Raised 63m in debt last quarter

“During the past quarter we further enhanced our financial capacity by raising $63.25 million in a public offering of senior and secure notes due 2020. The net proceeds can be used for the acquisition of additional vessels as well as general corporate purpose and working capital.”

Dry Bulk Indexes have recovered somewhat over the course of the quarter

“On April 1, 2015 the Baltic Dry Index was at 596 and closed yesterday at a much better level of 1,100. The Baltic Cape Index started the quarter at a miserable 463 and closed yesterday at 2,116, the Baltic Panamax Index was at 596 on April 1st and closed 1,044.”

At last it seems the seeds have been sown for a potential balance in supply and demand

“we at Dianna Shipping will continue to seek investment opportunities in a world of lower and lower asset value. At last, it seems that the seeds have been sown for potential balance between supply and demand leading to a lasting increase vessels earnings. The facts indicate that the new-building orders are going down; scrapping has gone up, especially the beginning of the year and ship financing is getting more and more scarce. This may lead someone to believe that we’re heading towards substantial market improvement. However, this depends on whether there will be higher demand to support this positive trend.”

RBS is very old and well established in shipping loans

“I think RBS is very old established bank that know shipping very well. And I don’t think that whatever they do, they will do it in a disorder manner. I think anything they’ll do is going to be orderly and very professionally. Don’t forget that they have been perhaps one of the two banks, only two banks which have been the oldest established banks, going back to Williams Deacon’s, Williams Inc. [Ph] and now Royal Bank of Scotland. So whatever they are going to do, it’s going to be order and professional.”