Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2015shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2015 |
Document Fiscal Year Focus | 2,015 |
Document Fiscal Period Focus | FY |
Trading Symbol | GSL |
Entity Registrant Name | Global Ship Lease, Inc. |
Entity Central Index Key | 1,430,725 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Entity Filer Category | Accelerated Filer |
Class A Common Stock [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 47,541,484 |
Class B Common Stock [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 7,405,956 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Assets | ||
Cash and cash equivalents | $ 53,591 | $ 33,295 |
Accounts receivable | 1,621 | 1,244 |
Prepaid expenses | 1,101 | 609 |
Other receivables | 708 | 996 |
Inventory | 610 | 553 |
Total current assets | 57,631 | 36,697 |
Vessels in operation (note 4) | 846,939 | 836,537 |
Other fixed assets | 5 | 6 |
Intangible assets (note 5) | 39 | 67 |
Other long term assets (note 7) | 306 | 407 |
Total non-current assets | 847,289 | 837,017 |
Total Assets | 904,920 | 873,714 |
Liabilities | ||
Current portion of long-term debt (note 7) | 35,160 | |
Intangible liability - charter agreements (note 6) | 2,104 | 2,119 |
Deferred revenue | 796 | 462 |
Accounts payable | 622 | 2,123 |
Accrued expenses | 14,950 | 15,278 |
Total current liabilities | 53,632 | 19,982 |
Long-term debt (note 7) | 442,913 | 401,869 |
Intangible liability - charter agreements (note 6) | 11,589 | 13,693 |
Deferred tax liability | 20 | 34 |
Total long-term liabilities | 454,522 | 415,596 |
Total Liabilities | $ 508,154 | $ 435,578 |
Commitments and contingencies (note 10) | ||
Stockholders' Equity | ||
Additional paid in capital | $ 386,425 | $ 386,350 |
Retained earnings | 9,792 | 51,237 |
Total Stockholders' Equity | 396,766 | 438,136 |
Total Liabilities and Stockholders' Equity | 904,920 | 873,714 |
Class A Common Stock [Member] | ||
Stockholders' Equity | ||
Common stock | 475 | 475 |
Class B Common Stock [Member] | ||
Stockholders' Equity | ||
Common stock | 74 | 74 |
Series B Preferred Shares [Member] | ||
Stockholders' Equity | ||
Preferred stock | $ 0 | $ 0 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Class A Common Stock [Member] | ||
Common stock, shares authorized | 214,000,000 | 214,000,000 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares issued | 47,541,484 | 47,541,484 |
Common stock, shares outstanding | 47,541,484 | 47,541,484 |
Class B Common Stock [Member] | ||
Common stock, shares authorized | 20,000,000 | 20,000,000 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares issued | 7,405,956 | 7,405,956 |
Common stock, shares outstanding | 7,405,956 | 7,405,956 |
Series B Preferred Shares [Member] | ||
Preferred stock, shares authorized | 16,100 | 16,100 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares issued | 14,000 | 14,000 |
Preferred stock, outstanding | 14,000 | 14,000 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating Revenues | |||
Time charter revenue | $ 164,919 | $ 138,615 | $ 143,212 |
Operating Expenses | |||
Vessel operating expenses | 50,104 | 48,770 | 46,048 |
Depreciation | 44,859 | 41,059 | 40,385 |
Impairment of vessels (note 4) | 44,700 | ||
General and administrative | 6,478 | 7,022 | 6,030 |
Other operating income (note 8) | (475) | (510) | (411) |
Total operating expenses | 145,666 | 96,341 | 92,052 |
Operating Income | 19,253 | 42,274 | 51,160 |
Non Operating Income (Expense) | |||
Interest income | 62 | 64 | 44 |
Interest expense | (48,152) | (43,872) | (18,846) |
Realized loss on interest rate derivatives | (2,801) | (14,045) | |
Unrealized gain on interest rate derivatives (note 12) | 1,944 | 14,302 | |
(Loss) Income before Income Taxes | (28,837) | 6,185 | 32,615 |
Income taxes | (38) | (75) | (97) |
Net (Loss) Income | (28,875) | 6,110 | 32,518 |
Net (Loss) Income available to Common Shareholders | (31,937) | 4,996 | 32,518 |
Series A Preferred Shares [Member] | |||
Non Operating Income (Expense) | |||
Gain on redemption of Series A Preferred Shares (note 11) | 8,576 | ||
Series B Preferred Shares [Member] | |||
Non Operating Income (Expense) | |||
Earnings allocated to Series B Preferred Shares (note 11) | (3,062) | (1,114) | |
Class A Common Stock [Member] | |||
Non Operating Income (Expense) | |||
Net (Loss) Income available to Common Shareholders | $ (31,937) | $ 4,996 | $ 32,518 |
Weighted average number of common shares outstanding | |||
Basic (including RSU's without service conditions) | 47,785,388 | 47,710,313 | 47,607,750 |
Diluted (note 15) | 47,785,388 | 47,823,736 | 47,767,266 |
Net (loss) income per share | |||
Basic (including RSU's without service conditions) (note 15) | $ (0.67) | $ 0.10 | $ 0.68 |
Diluted (note 15) | $ (0.67) | $ 0.10 | $ 0.68 |
Class B Common Stock [Member] | |||
Weighted average number of common shares outstanding | |||
Diluted (note 15) | 7,405,956 | 7,405,956 | 7,405,956 |
Weighted average number of Class B common shares outstanding Basic and diluted (note 15) | 7,405,956 | 7,405,956 | 7,405,956 |
Net (loss) income per share | |||
Net (loss) income per Class B share Basic and diluted (note 15) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash Flows from Operating Activities | |||
Net (loss) income | $ (28,875) | $ 6,110 | $ 32,518 |
Adjustments to Reconcile Net (Loss) Income to Net Cash Provided by Operating Activities | |||
Depreciation | 44,859 | 41,059 | 40,385 |
Vessel impairment (note 4) | 44,700 | ||
Gain on sale of vessels (note 4) | (93) | ||
Amortization of deferred financing costs (note 7) | 3,374 | 5,732 | 1,386 |
Change in fair value of derivative instruments (note 12) | (1,944) | (14,302) | |
Amortization of intangible liability | (2,119) | (2,119) | (2,119) |
Settlements of derivative instruments which do not qualify for hedge accounting (note 12) | 2,801 | 14,045 | |
Share based compensation (note 13) | 75 | 177 | 360 |
(Increase) decrease in accounts receivable and other assets | (607) | 9,458 | 3,836 |
(Increase) in inventory | (160) | (553) | |
(Decrease) increase in accounts payable and other liabilities | (315) | 7,225 | (1,772) |
Increase in unearned revenue | 334 | 462 | |
Unrealized foreign exchange (gain) loss | (14) | (11) | 7 |
Net Cash Provided by Operating Activities | 62,337 | 60,903 | 74,344 |
Cash Flows from Investing Activities | |||
Cash paid for vessels (note 4) | (108,187) | (55,162) | |
Net proceeds from sale of vessels (note 4) | 9,513 | ||
Settlements and termination of derivative instruments which do not qualify for hedge accounting (note 12) | (22,146) | (14,045) | |
Cash paid for other assets | (3) | (7) | (2) |
Cash paid for intangible assets | (43) | ||
Cash paid for drydockings | (2,548) | (2,765) | (2,553) |
Net Cash Used in Investing Activities | (101,225) | (80,080) | (16,643) |
Cash Flows from Financing Activities | |||
Repayment of credit facilities (note 7) | (1,925) | (366,366) | (59,310) |
Repurchase of secured notes (note 7) | (350) | ||
Proceeds from drawdown of credit facilities (note 7) | 75,000 | ||
Deferred financing costs incurred (note 7) | (971) | (15,779) | |
Variation in restricted cash (note 11) | 3 | ||
Net Cash Provided by (Used in) Financing Activities | 59,184 | 27,936 | (59,310) |
Net Increase (Decrease) in Cash and Cash Equivalents | 20,296 | 8,759 | (1,609) |
Cash and Cash Equivalents at Start of Year | 33,295 | 24,536 | 26,145 |
Cash and Cash Equivalents at End of Year | 53,591 | 33,295 | 24,536 |
Supplemental Information | |||
Total interest paid | 43,103 | 26,298 | 18,782 |
Total income tax paid | 69 | 80 | $ 78 |
10.0 % First Priority Secured Notes Due 2019 [Member] | |||
Adjustments to Reconcile Net (Loss) Income to Net Cash Provided by Operating Activities | |||
Amortization of original issue discount (note 7) | 1,178 | 1,082 | |
Cash Flows from Financing Activities | |||
Proceeds from issuance of secured notes (note 7) | 413,700 | ||
Series A Preferred Shares [Member] | |||
Adjustments to Reconcile Net (Loss) Income to Net Cash Provided by Operating Activities | |||
Gain on redemption of Series A Preferred Shares (note 11) | (8,576) | ||
Cash Flows from Financing Activities | |||
Redemption of Series A Preferred Shares (note 11) | (36,400) | ||
Series B Preferred Shares [Member] | |||
Cash Flows from Financing Activities | |||
Net proceeds from issuance of Series B Preferred Shares (note 11) | 33,892 | ||
Series B Preferred Shares - dividends paid (note 11) | (3,062) | $ (1,114) | |
Class A Common Stock [Member] | |||
Cash Flows from Financing Activities | |||
Class A Common Shares - dividends paid (note 11) | $ (9,508) |
Consolidated Statement of Chang
Consolidated Statement of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Retained Earnings / Accumulated Deficit [Member] | Common Stock [Member] | Common Stock [Member]Class A Common Stock [Member] | Preferred Stock [Member]Series B Preferred Shares [Member] | Additional Paid in Capital [Member] |
Balance at Dec. 31, 2012 | $ 366,588 | $ 13,723 | $ 549 | $ 352,316 | ||
Balance, shares at Dec. 31, 2012 | 54,887,820 | |||||
Restricted Stock Units (note 13) | 360 | 360 | ||||
Shares issued, shares (notes 11, 13) | 32,070 | |||||
Net income for the year | 32,518 | 32,518 | ||||
Balance at Dec. 31, 2013 | 399,466 | 46,241 | $ 549 | 352,676 | ||
Balance, shares at Dec. 31, 2013 | 54,919,890 | |||||
Restricted Stock Units (note 13) | 177 | 177 | ||||
Shares issued (notes 11, 13) | 35,000 | 35,000 | ||||
Shares issued, shares (notes 11, 13) | 27,550 | 14,000 | ||||
Series B Preferred Shares issue expenses (note 11) | (1,503) | (1,503) | ||||
Net income for the year | 6,110 | 6,110 | ||||
Series B Preferred Shares dividend (note 11) | (1,114) | (1,114) | ||||
Balance at Dec. 31, 2014 | 438,136 | 51,237 | $ 549 | 386,350 | ||
Balance, shares at Dec. 31, 2014 | 54,947,440 | 14,000 | ||||
Restricted Stock Units (note 13) | 75 | 75 | ||||
Net income for the year | (28,875) | (28,875) | ||||
Dividends on Class A Common Shares (note 11) | (9,508) | (9,508) | ||||
Series B Preferred Shares dividend (note 11) | (3,062) | (3,062) | ||||
Balance at Dec. 31, 2015 | $ 396,766 | $ 9,792 | $ 549 | $ 386,425 | ||
Balance, shares at Dec. 31, 2015 | 54,947,440 | 14,000 |
General
General | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
General | 1. General On August 14, 2008, Global Ship Lease, Inc. (the “Company”) merged indirectly with Marathon Acquisition Corp. (“Marathon”), a company then listed on The American Stock Exchange. Under the merger agreement, Marathon, a U.S. corporation, first merged with its wholly owned Marshall Islands subsidiary, GSL Holdings, Inc. (“Holdings”), with Holdings continuing as the surviving company. Global Ship Lease, Inc., at that time a subsidiary of CMA CGM S.A. (“CMA CGM”), then merged with Holdings, with Holdings again being the surviving company. Holdings was renamed Global Ship Lease, Inc. and became listed on the New York Stock Exchange on August 15, 2008. |
Nature of Operations and Basis
Nature of Operations and Basis of Preparation | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Basis of Preparation | 2 Nature of Operations and Basis of Preparation (a) Nature of Operations The Global Ship Lease group owns and charters out containerships. As of December 31, 2015, the group owned 18 vessels; 15 were time chartered to CMA CGM and three to Orient Overseas Container Lines. The remaining charter periods range from 2.00 to 10.00 years. The following table provides information about the 18 vessels owned as at December 31, 2015: Vessel Name Capacity in (1) Year Purchase Date by GSL Charterer Charter (2) Daily Charter Rate CMA CGM Matisse 2,262 1999 December 2007 CMA CGM 4.00 $15.300 CMA CGM Utrillo 2,262 1999 December 2007 CMA CGM 4.00 $15.300 Delmas Keta 2,207 2003 December 2007 CMA CGM 2.00 $18.465 Julie Delmas 2,207 2002 December 2007 CMA CGM 2.00 $18.465 Kumasi 2,207 2002 December 2007 CMA CGM 2.00 $18.465 Marie Delmas 2,207 2002 December 2007 CMA CGM 2.00 $18.465 CMA CGM La Tour 2,272 2001 December 2007 CMA CGM 4.00 $15.300 CMA CGM Manet 2,272 2001 December 2007 CMA CGM 4.00 $15.300 CMA CGM Alcazar 5,089 2007 January 2008 CMA CGM 5.00 $33.750 CMA CGM Château d’lf 5,089 2007 January 2008 CMA CGM 5.00 $33.750 CMA CGM Thalassa 11,040 2008 December 2008 CMA CGM 10.00 $47.200 CMA CGM Jamaica 4,298 2006 December 2008 CMA CGM 7.00 $25.350 CMA CGM Sambhar 4,045 2006 December 2008 CMA CGM 7.00 $25.350 CMA CGM America 4,045 2006 December 2008 CMA CGM 7.00 $25.350 CMA CGM Berlioz 6,621 2001 August 2009 CMA CGM 5.75 $34.000 OOCL Tianjin 8,063 2005 October 2014 OOCL 2.00 $34.500 OOCL Qingdao (3) 8,063 2004 March 2015 OOCL 2.25 $34.500 OOCL Ningbo (4) 8,063 2004 September 2015 OOCL 2.75 $34.500 (1) Twenty-foot Equivalent Units. (2) Plus or minus 90 days, other than (i) OOCL Tianjin which is between October 28, 2017 and January 28, 2018, (ii) OOCL Qingdao which is between March 11, 2018 and June 11, 2018, and (iii) OOCL Ningbo which is between September 17, 2018 and December 17, 2018, all at charterer’s option. (3) The Company acquired the OOCL Qingdao from Orient Overseas Container Lines Limited (“OOCL”) on March 11, 2015. The vessel was immediately time chartered back to OOCL for a period of 36 to 39 months, at charterer’s option, at a gross rate of $34.5 per day. (4) The Company acquired the OOCL Ningbo from Orient Overseas Container Lines Limited (“OOCL”) on September 17, 2015. The vessel was immediately time chartered back to OOCL for a period of 36 to 39 months, at charterer’s option, at a gross rate of $34.5 per day. Segment Information The activity of the Company currently consists solely of the ownership and chartering out of containerships. (b) Basis of Preparation Counterparty risk Most of the Company’s revenues are derived from charters to CMA CGM. The Company is consequently highly dependent on the performance by CMA CGM of its obligations under these charters. The container shipping industry is volatile and is currently experiencing a sustained cyclical downturn. Many container shipping companies have reported losses. If CMA CGM ceases doing business or fails to perform its obligations under the charters, the Company’s business, financial position and results of operations would be materially adversely affected as it is probable that, even if the Company was able to find replacement charters, such replacement charters would be at significantly lower daily rates and shorter durations. If such events occur, there would be significant uncertainty about the Company’s ability to continue as a going concern. These consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The consolidated financial statements do not include any adjustments relating to the recoverability and classification of recorded assets, nor to the amounts and classification of liabilities that may be necessary should the Company be unable to continue as a going concern. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | 3. Significant Accounting Policies (a) Basis of consolidation The accompanying consolidated financial statements have been prepared in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”) and include the financial statements of the Company and its wholly owned subsidiaries. All inter-company transactions and accounts have been eliminated on consolidation. (b) Use of estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. (c) Cash and cash equivalents Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term highly liquid investments with original maturities of three months or less. (d) Restricted cash Cash and cash equivalents subject to restrictions are excluded from cash and cash equivalents in the consolidated balance sheets and are presented as restricted cash. (e) Accounts receivable The Company carries its accounts receivable at cost less, if appropriate, an allowance for doubtful accounts, based on a periodic review of accounts receivable, taking into account past write-offs, collections and current credit conditions. The Company does not generally charge interest on past-due accounts. Allowances for doubtful accounts amount to $ nil as of December 31, 2015 (2014: $ nil). (f) Vessels Vessels acquired up to the date of the merger described in note 1, were initially recorded at their acquisition cost, less an amount allocated to drydock component, less accumulated depreciation. From the date of the merger, these vessels have been recorded at their fair value at the date of the merger, less a proportion of the negative goodwill arising at the time of the merger allocated to these vessels, less accumulated depreciation and impairment loss, if any. In connection with the merger, the Company recognised an intangible asset arising from the comparison of the acquisition prices in the asset purchase agreement between the Company as buyer and CMA CGM as seller and the estimated fair values at the merger date of the vessels yet to be purchased. This intangible asset was transferred to the cost of the appropriate vessel on delivery and as all such vessels have now been delivered, no intangible asset remains in respect of these vessels. Vessels acquired after the merger are stated at acquisition cost, less accumulated depreciation. The cost of the vessel consists of the contract price and expenses incurred in connection with the acquisition. Subsequent expenditures for major improvements and upgrading are capitalized, provided they appreciably extend the life, increase the earning capacity or improve the efficiency or safety of the vessels. Borrowing costs incurred during the construction of vessels or as part of the prefinancing of the acquisition of vessels are capitalized. There was no capitalized interest for the years ended December 31, 2015, 2014 or 2013. Other borrowing costs are expensed as incurred. Vessels are depreciated to their estimated residual value using the straight-line method over their estimated useful lives which are reviewed on an ongoing basis to ensure they reflect current technology, service potential and vessel structure. The useful lives are estimated to be 30 years from first delivery from the shipyard. Prepayments and costs directly related to the future acquisition of specific vessels are presented in the Consolidated Balance Sheets as vessel deposits. (g) Drydocking costs An element of the purchase price of a vessel is allocated to a drydock component which is amortized on a straight line basis to the anticipated next drydocking date. Vessels are drydocked approximately every five years for major repairs and maintenance that cannot be performed while the vessels are operating. Costs directly associated with a drydocking, including the required regulatory inspection of the vessel, its hull and its machinery and for the defouling and repainting of the hull are capitalized as they are incurred and depreciated on a straight line basis over the period between drydocks. Capitalized drydocking costs are classified within investing activities in the Consolidated Statements of Cash Flows. (h) Intangible assets Vessel purchase options Cash consideration for the acquisition of purchase options to acquire vessels at a fixed purchase price are recognized as intangible assets in an amount up to the difference, as at the transaction date, between (i) the amount paid for the options plus the purchase price of the vessels and (ii) the fair value of the vessels plus the fair value of attached charters. The fair value of the vessel is assessed based on independent broker valuations. The fair value of a charter attached to the vessel is assessed based on market rates compared to the contracted attached charter rates for the life of the charter. Impairment Intangible assets are reviewed individually for impairment annually or more frequently due to events or changes in circumstances that indicate that the asset might be impaired. If the estimated cash flows from the future use of the asset and its eventual disposal are below the asset’s net book value, then the asset is deemed to be impaired and written down to its fair value. (i) Intangible liabilities – charter agreements In connection with the merger (see note 1), the Company recognised an intangible liability using the market approach whereby the Company’s actual charter rates were compared to market rates at the merger date. These intangible liabilities, recognizing the below market rates as at the date of merger, are amortized giving rise to an increase of time charter revenue over the remaining term of the relevant charters. (j) Long-lived assets Fixed assets such as vessels are reviewed individually for impairment when events or changes in circumstances indicate that their carrying amounts may not be recoverable. An impairment charge is recognized when the sum of the expected undiscounted future cash flows from the asset over its estimated remaining useful life is less than its carrying amount and is recorded equal to the amount by which the asset’s carrying amount exceeds its fair value. Fair value is the net present value of future cash flows discounted by an appropriate discount rate. The redelivery and potential sale of two of the Company’s vessels in late 2015 (see note 4) was seen as an indicator of potential impairment of their carrying value. Accordingly, an impairment test, based on the fair value less estimated costs to sell, was performed for these two vessels as at September 30, 2015. Using these assumptions, an impairment loss of $44,700 was immediately recognised. Due to continuing poor industry conditions, impairment tests on a vessel by vessel basis were performed as at December 31, 2014 and again as at December 31, 2015. No impairment was recognised after either of these tests as, based on the assumptions made, the expected undiscounted future cash flows exceeded the vessels’ carrying amounts. The assumptions used involve a considerable degree of estimation. Actual conditions may differ significantly from the assumptions and thus actual cash flows may be significantly different to those expected with a material effect on the recoverability of each vessel’s carrying amount. The most significant assumptions made for the determination of expected cash flows are (i) charter rates on expiry of existing charters, which are based on a reversion to the historical mean for each category of vessel, adjusted to reflect current and expected market conditions (ii) off-hire days, which are based on actual off-hire statistics for the Company’s fleet (iii) operating costs, based on current levels escalated over time based on long term trends (iv) dry docking frequency, duration and cost and (v) estimated useful life which is assessed as a total of 30 years from first delivery from the shipyard. In the case of an indication of impairment, the results of a recoverability test would also be sensitive to the discount rate applied. (k) Derivative instruments Interest rate hedges Interest rate derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently re-measured at each period end at their fair value. The method of recognizing the resulting gain or loss depends on whether or not the derivative is designated and qualifies as a hedging instrument, and if so, the nature of the item being hedged. If the Company’s interest rate derivative instruments do not qualify for hedge accounting, changes in the fair value are recognized immediately in the Consolidated Statements of Income within “Unrealized gain (loss) on interest rate derivatives”. Cash settlements of interest rate derivative instruments are recognized immediately in the Consolidated Statements of Income within “Realized loss on interest rate derivatives”. Cash flows related to interest rate derivatives (including payments and periodic cash settlements) are included within “Net cash used in investing activities”. The fair value of derivatives is presented on the face of the Consolidated Balance Sheets under the line item “Derivative instruments” and is split into current and non-current portions based on the net cash flows expected within one year. (l) Deferred financing costs Costs incurred in connection with obtaining long term debt and in obtaining amendments to existing facilities are recorded as deferred financing costs and are amortized to interest expense using the effective interest method over the estimated duration of the related debt. Such costs include fees paid to the lenders or on the lenders’ behalf and associated legal and other professional fees. Debt issuance costs, other than any up-front arrangement fee for revolving credit facilities, related to a recognized debt liability are presented as a direct deduction from the carrying amount of that debt. Arrangement fees for revolving credit facilities are shown within Other Long Term Assets. (m) Preferred shares Series A Preferred shares were included within Liabilities in the Consolidated Balance Sheets, up to their redemption in August 2014, and their preferred share dividends included within interest expense in the Consolidated Statements of Income as their nature was similar to that of a liability rather than equity. Holders of these mandatorily redeemable preferred shares were entitled to receive a dividend equal to 3-month U.S. dollar LIBOR plus 2% on the original issue price and ranked senior to the Class A and Class B common shares with respect to dividend rights and rights upon liquidation, dissolution or winding up of the Company. Series B Preferred shares have been included within Equity in the Consolidated Balance Sheets, from their issue in August 2014, and their preferred share dividends are presented as a reduction of Retained Earnings in the Consolidated Statement of Stockholders’ Equity as their nature is similar to that of an equity instrument rather than a liability. Holders of these redeemable perpetual preferred shares, which may only be redeemed at the discretion of the Company, are entitled to receive a dividend equal to 8.75% on the original issue price and rank senior to the Class A and Class B common shares with respect to dividend rights and rights upon liquidation, dissolution or winding up of the Company. (n) Classification of long term debt Long term debt is classified within current liabilities unless the Company has an unconditional right to defer settlement of the liability for at least 12 months after the balance sheet date. (o) Other comprehensive income (loss) Other comprehensive income (loss), which is reported in the Consolidated Statement of Stockholders’ Equity, consists of net income (loss) and other gains and losses affecting equity that, under U.S. GAAP, are excluded from net income (loss). Under ASU 2011-05, an entity reporting comprehensive income in a single continuous financial statement shall present its components in two sections, net income and other comprehensive income. As the Company does not, to date, have other comprehensive income, the accompanying consolidated financial statements only include Consolidated Statements of Income. (p) Revenue recognition and related operating expense The Company charters out its vessels on time charters which involves placing a vessel at a charterer’s disposal for a period of time during which the charterer uses the vessel in return for the payment of a specified daily hire rate. Such charters are accounted for as operating leases and therefore revenue is recognized on a straight line basis as the average revenues over the rental periods of such charter agreements, as service is performed. Cash received in excess of earned revenue is recorded as deferred revenue. Under time charter arrangements the Company, as owner, is responsible for all the operating expenses of the vessels, such as crew costs, insurance, repairs and maintenance, and such costs are expensed as incurred. (q) Foreign currency transactions The Company’s functional currency is the U.S. dollar as substantially all revenues and a majority of expenditures are denominated in U.S. dollars. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange at the balance sheet dates. Expenses paid in foreign currencies are recorded at the rate of exchange at the transaction date. Exchange gains and losses are included in the determination of net income (loss). (r) Repairs and maintenance All expenditures relating to routine maintenance and repairs are expensed when incurred. (s) Insurance The Company maintains hull and machinery insurance, war risks insurance, protection and indemnity insurance coverage, increased value insurance, and freight, demurrage and defence insurance coverage in amounts considered prudent to cover normal risks in the ordinary course of its operations. Premiums paid in advance to insurance providers are recognized as prepaid expenses and are expensed over the period covered by the insurance contract. (t) Share based compensation The Company may award restricted stock units to its management and Directors as part of their compensation. The fair value of restricted stock unit grants is determined by reference to the quoted stock price on the date of grant, adjusted for estimated dividends forgone until the restricted stock units vest. Compensation expense is recognized based on a graded expense model over the expected vesting period. (u) Income taxes The Company and its Marshall Island subsidiaries are exempt from taxation in the Marshall Islands. The Company’s vessels are flagged in Bahamas, Cyprus, Hong Kong and Panama and are liable for tax based on the tonnage of the vessel. The cost, which is included within operating expenses, amounted to $124, $126 and $169 for the years ended December 31, 2015, 2014 and 2013, respectively. The Cyprus and Hong Kong subsidiaries are liable for income tax on any interest income earned from non-shipping activity. The Company has one subsidiary in the United Kingdom, where the principal rate of corporate income tax is 20% (2014: 21%, 2013: 23%). This subsidiary earns management and other fees from fellow group companies. The Company accounts for deferred income taxes using the liability method which requires the determination of deferred tax assets and liabilities, based upon temporary timing differences that arise between the financial statement and tax bases of recorded assets and liabilities, using enacted tax rates in effect for the year in which differences are expected to reverse. The net deferred tax asset is adjusted by a valuation allowance where appropriate, if, based on the weight of available evidence, it is more likely than not that some portion or all of the net deferred tax asset will not be realized. At December 31, 2015 a deferred tax liability of $20 (2014: $34) was recognized relating to stock based compensation costs charged to the Consolidated Statements of Income in respect of unvested shares and timing differences between the carrying amounts of assets for financial reporting purposes and their tax bases. The Company recognizes uncertain tax positions only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based solely on the technical merits of the position. (v) Inventories Inventories consist of bunkers and lubricants on board certain of the vessels. Inventories are stated at the lower of cost or market value as determined using the first-in, first-out method. (w) Dividends Dividends are recorded in the period in which they are declared by the Company’s Board of Directors. Dividends to be paid are presented in the Consolidated Balance Sheets in the line item “Dividends payable”. (x) Earnings per share Basic earnings per common share are based on income available to common shareholders divided by the weighted-average number of common shares outstanding during the period, excluding unvested restricted stock units. Diluted earnings per common share are calculated by applying the treasury stock method. All unvested restricted stock units that have a dilutive effect are included in the calculation. The basic and diluted earnings per share for the period are presented for each category of participating common shares under the two-class method. (y) Recently issued accounting standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued an accounting standards update in respect of revenue from contracts with customers (Topic 606). The update was originally effective for annual periods beginning after December 15, 2016 and early application was not permitted. In August 2015, the FASB issued a further update to defer the effective date by one year to annual periods beginning after December 15, 2017. The Company is currently reviewing the impact of adopting this update on its revenue recognition. In June 2015, FASB issued an update in respect of Stock Compensation (Topic 718). The amendment requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The performance condition should not be reflected in estimating the grant-date fair value of the award and the compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the periods for which the requisite service has already been rendered. The amendment is effective for annual periods beginning after December 15, 2015 and early adoption is permitted. The adoption of this amendment is not expected to lead to any changes to the Company’s financial statements. In February 2016, FASB issued an accounting standards update in respect of leases (Topic 842). The update makes significant changes to the accounting requirements for lessees, who will be required to recognize right-of-use assets with a corresponding lease liability for all but short-term leases. The standard is to be adopted using a modified retrospective transition. The accounting requirements for lessors remain largely unchanged. The update is effective for annual periods beginning after December 15, 2018 although early application is permitted. The Company is currently assessing the impact of adopting this update on its financial statements. Management does not believe that any other recently issued, but not yet effective accounting pronouncements, if currently adopted, would have a material impact on the consolidated financial statements of the Company. |
Vessels in Operation, less Accu
Vessels in Operation, less Accumulated Depreciation | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Vessels in Operation, less Accumulated Depreciation | 4 Vessels in Operation, less Accumulated Depreciation December 31, 2015 December 31, Cost $ 1,095,245 $ 1,070,627 Accumulated Depreciation (248,306 ) (234,146 ) Drydock expenditure – in progress — 56 Net book value $ 846,939 $ 836,537 On October 28, 2014, the Company acquired an 8,063 TEU containership (OOCL Tianjin) from OOCL for a purchase price of $55,000. On March 11, 2015, the Company acquired an 8,063 TEU containership (OOCL Qingdao) from OOCL for a purchase price of $53,600. On September 17, 2015, the Company acquired an 8,063 TEU containership (OOCL Ningbo) from OOCL for a purchase price of $53,600. Both Ville d’Aquarius and Ville d’Orion were redelivered at the end of their charters during the fourth quarter of 2015 and the sales of the vessels were agreed and completed in November 2015 and December 2015, respectively. These vessels were impaired as at September 30, 2015 by $22,203 and $22,497 respectively to their fair value less estimated costs to sell. Following completion of the sales, a gain on sale was recognised in the amount of $93, measured against the revised carrying value, and this is presented in Other Operating Income in the Consolidated Statement of Income. Variations in net book value of vessels, including drydocking, are presented below: December 31, 2015 December 31, Opening balance $ 836,537 $ 817,875 Additions in the period 109,055 59,721 Depreciation expense (44,829 ) (41,059 ) Vessel impairment (44,700 ) — Disposals (9,124 ) — Closing balance $ 846,939 $ 836,537 As of December 31, 2015, 17 of the 18 vessels were pledged as collateral under the 2019 Notes, Revolving Credit Facility and Secured Term Loan (see note 7). |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 5 Intangible Assets December 31, 2015 December 31, Software development: Opening balance $ 67 $ 95 Additions — — Depreciation (28 ) (28 ) Closing balance $ 39 $ 67 |
Intangible Liability - Charter
Intangible Liability - Charter Agreements | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Intangible Liability - Charter Agreements | 6. Intangible Liability – Charter Agreements December 31, 2015 December 31, Opening balance $ 15,812 $ 17,931 Amortization in period (2,119 ) (2,119 ) Closing balance $ 13,693 $ 15,812 Intangible liabilities relate to management’s estimate of the fair value of below-market charters on August 14, 2008, the date of the merger (see note 1). The intangible liabilities are being amortized for each vessel over the remaining life of the associated charter. The fair value was estimated by management based on its experience with regard to availability of similar vessels, costs to build new vessels and current market demand. The contracted lease rates were compared to the estimated market lease rates for similar vessels. The intangible liabilities were determined by discounting the difference in the projected lease cash flows using a discount rate of 8.0% and the remaining length of the charter as the relevant time period. Amortization of the intangible liabilities for the 12 initial vessels began on the date following the merger and for the remaining five vessels delivered to the Company after the merger, amortization commenced upon delivery. These intangible liabilities are amortized as an increase of time charter revenue over the remaining term of the relevant charter. |
Long Term Debt
Long Term Debt | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Long Term Debt | 7. Long Term Debt December 31, 2015 December 31, 2019 Notes $ 420,000 $ 420,000 Less repurchase of Notes under Excess Cash Flow (350 ) — Less original issue discount (6,300 ) (6,300 ) Amortization of original issue discount 2,259 1,082 2019 Notes (note 7(b)) 415,609 414,782 Revolving Credit Facility (note 7(c)) 40,000 — Secured Term Loan (note 7(d)) 33,075 — Less: Deferred financing costs (note 7(f)) (10,611 ) (12,913 ) Balance 478,073 401,869 Less: Current portion of 2019 Notes (note 7(b)) (26,660 ) — Less: Current portion of Revolving Credit Facility (note 7(c)) (800 ) — Less: Current portion of Secured Term Loan (note 7(d)) (7,700 ) — Non-current portion of Long-Term Debt 442,913 401,869 (a) Previous Credit Facility The Company was previously financed by a senior secured credit facility with a final maturity date of August 2016. This credit facility was fully repaid and terminated on March 19, 2014 using the proceeds of the issue of the 2019 Notes (see note 7(b)). Amounts borrowed under the credit facility bore interest at USD LIBOR plus a margin of between 2.50% and 3.75% depending on the Leverage Ratio (being the ratio of the balance outstanding on the credit facility to the aggregate charter free market value of the secured vessels). (b) 10.0% First Priority Secured Notes Due 2019 On March 19, 2014 the Company completed the sale of $420,000 of 10.0% First Priority Secured Notes (the “2019 Notes”) which mature on April 1, 2019. Proceeds after the deduction of the original issue discount, but before expenses, amounted to $413,700. Interest on the 2019 Notes is payable semi-annually on April 1 and October 1 of each year, commencing on October 1, 2014. As at December 31, 2015, the 2019 Notes are secured by first priority ship mortgages on 16 of the Company’s 18 vessels (the “Mortgaged Vessels”) and by assignments of earnings and insurances, a pledge over certain bank accounts, as well as share pledges over each subsidiary owning a Mortgaged Vessel. In addition, the 2019 Notes are fully and unconditionally guaranteed, jointly and severally, by the Company’s 18 vessel owning subsidiaries and Global Ship Lease Services Limited. The original issue discount is being amortised on an effective interest rate basis over the life of the 2019 Notes. Under the 2019 Notes we are required within 120 days following the end of each financial year, in which we have at least $1,000 of Excess Cash Flow, to offer to purchase up to a maximum offer amount of $20,000, such amount being the aggregate of 102% of the principal amount plus any accrued and unpaid interest to, but not including, the purchase date. The first such offer, for 2014, in the maximum amount of $20,000, was launched on April 21, 2015. At the close of this offer, $350 was tendered and accepted. Following the sale of two vessels (see note 4) secured to the 2019 Notes in November and December 2015, the Company is required to offer the net sale proceeds, less a proportion to be used to repay part of the associated revolving credit facility (see note 7(c)), to Noteholders (“Collateral Sale Offer”) within 90 days of receipt of the sale proceeds. The terms of the Collateral Sale Offer are the same as those of the annual Excess Cash Flow Offer. Consequently, on February 2, 2016, the Company launched a combined Excess Cash Flow Offer for 2015 and the Collateral Sale Offer in an aggregate amount of $28,417, at a purchase price of 102% of the aggregate principal amount plus accrued and unpaid interest up to but not including the date of purchase. (c) Revolving Credit Facility On March 19, 2014, and in connection with the 2019 Notes, the Company entered into a $40,000 senior secured revolving credit facility with Citibank N.A. (the “Revolving Credit Facility”). This facility matures on October 1, 2018. The interest rate under the facility is USD LIBOR plus a margin of 3.25% and is payable at least quarterly. A commitment fee of 1.30% per annum is due quarterly on undrawn amounts. The collateral provided to the 2019 Notes also secures on a first priority basis the Revolving Credit Facility. There is a Cash Balance financial covenant which is tested each six months, commencing June 30, 2014. Up to and including December 31, 2015, the Company must have a minimum cash balance of $15,000 on each test date. After this date, the minimum cash balance on each test date increases to $20,000. Amounts outstanding under this facility can be prepaid without penalty, other than breakage costs in certain circumstances. During the quarter ended March 31, 2015, the facility was fully drawn down to assist with the purchase of OOCL Qingdao on March 11, 2015. Following the sale of two secured vessels (see note 4) in November and December 2015, a proportion of the net sale proceeds has to be applied to reduce amounts outstanding under the facility. (d) Secured Term Loan On July 29, 2015, the Company entered into a $35,000 secured term loan with DVB Bank SE (the “Secured Term Loan”). This facility matures five years after drawdown, with early repayment, inter alia, if the 2019 Notes are not refinanced by November 30, 2018, or if the secured vessel ceases to be employed on a charter for a period in excess of 90 days. The interest rate under the loan is USD LIBOR plus a margin of 2.75%, until November 30, 2018 and 3.25% thereafter, and is payable at least quarterly. The Secured Term Loan is secured by a first priority ship mortgage on OOCL Tianjin and by assignment of earnings and insurances for the same vessel. The Secured Term Loan is repayable in 20 equal quarterly instalments, commencing three months after drawdown. $35,000 was drawn down under the Secured Term Loan on September 10, 2015. The loan agreement requires an additional $1,400 to be repaid over eight equal quarterly instalments to provide a reserve for potential enhancement expenditure on the secured vessel ahead of the expiry of the initial charter to OOCL. These additional instalments reduce the debt balance and can be redrawn to fund the enhancement work, or utilized to permanently reduce the quarterly instalments for the remainder of the term of the loan if no such work is required. (e) Repayment Schedule Based on scheduled and estimated repayments from January 1, 2016 the long term debt will be reduced in each of the relevant periods as follows: Year ending December 31, 2016 $ 35,160 2017 26,285 2018 64,960 2019 362,470 2020 3,850 Less: original issue discount (4,041 ) Less: deferred financing costs (10,611 ) $ 478,073 (f) Deferred financing costs Costs amounting to $4,800 incurred up to December 31, 2013 in connection with the Company’s refinancing were recorded within prepaid expenses as at that date. On March 19, 2014, the Company completed the refinancing by the issue of the 2019 Notes (see note 7(b)) and by agreeing the Revolving Credit Facility (see note 7(c)). On completion of the refinancing, these deferred financing costs were reclassified from prepaid expenses to deferred financing costs, together with additional costs incurred during the quarter. December 31, 2015 December 31, Opening balance $ 12,913 $ 3,273 Reclassification from prepaid expenses — 4,800 Expenditure in the period 971 10,479 Amortization included within interest expense (3,273 ) (5,639 ) Closing balance $ 10,611 $ 12,913 The Company incurred costs during the first half of 2015 in relation to the drawdown of the Revolving Credit Facility (see note 7(c)) amounting to $370 which have been deferred. During the quarter ended September 30, 2015 the Company incurred costs in relation to the drawdown of the Secured Term Loan (see note 7(d)) amounting to $601 which have been deferred. Deferred financing costs are amortized on an effective interest rate basis over the life of the financings for which they were incurred. The unamortized balance of deferred financing costs relating to the previous credit facility which was fully repaid and terminated on March 19, 2014 and amounting to $2,986 was written off and recorded within interest expense within the Consolidated Statements of Income in the first quarter of 2014. The Company has adopted the accounting standards update issued by FASB in April 2015 “Interest – Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs”. Effective December 31, 2015, debt issuance costs, other than the up-front arrangement fee for the Revolving Credit Facility, related to our recognized debt liabilities are presented as a direct deduction from the carrying amount of that debt. The arrangement fee for the Revolving Credit Facility is presented in Other Long Term Assets. In the prior year, total debt issuance costs of $3,148 and $10,172 were presented as current and non-current assets respectively; $12,913 has been reclassified against long-term debt and $407 relating to the arrangement fee for the Revolving Credit Facility is shown within Other Long Term Assets. |
Other Operating Income
Other Operating Income | 12 Months Ended |
Dec. 31, 2015 | |
Other Income and Expenses [Abstract] | |
Other Operating Income | 8 Other Operating Income Other operating income is summarized as follows: Year ended December 31, 2015 2014 2013 Sundry shipping income $ 382 $ 420 $ 411 Gain on sale of vessels 93 — — Other sundry income — 90 — $ 475 $ 510 $ 411 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 9 Related Party Transactions CMA CGM is presented as a related party as it was, until the merger referred to in note 1, the parent company of Global Ship Lease, Inc. and at December 31, 2015 is a significant shareholder of the Company, owning Class A and Class B common shares representing a 44.43% voting interest in the Company. Amounts due to and from CMA CGM companies are summarized as follows: December 31, 2015 December 31, 2014 Amounts due to CMA CGM companies presented within current liabilities $ 1,878 $ 2,366 Amounts due from CMA CGM companies presented within current assets $ 2,124 $ 1,183 The current account balances at December 31, 2015 and December 31, 2014 relate to amounts payable to or recoverable from CMA CGM group companies. The majority of the Company’s charter arrangements are with CMA CGM and one of its subsidiaries provides the Company with ship management services on the majority of its vessels. CMA CGM held all of the Series A Preferred Shares of the Company until they were fully redeemed, at a discount, pursuant to a Share Repurchase Agreement on August 22, 2014 (see note 11). Due to the redemption there were no dividends on these preferred shares for the year ended December 31, 2015 (2014: $653, 2013: $1,037). Dividends on these preferred shares are included within interest expense. Time Charter Agreements The majority of the Company’s time charter arrangements are with CMA CGM. Under these time charters, hire is payable in advance and the daily rate is fixed for the duration of the charter. The charters are for remaining periods as at December 31, 2015 of between 2.00 and 10.00 years (see note 2(a)). Of the $790,724 maximum contracted future charter hire receivable for the fleet set out in note 10, $701,162 relates to the 15 vessels that were chartered to CMA CGM as at December 31, 2015. Revenues generated from charters to CMA CGM are summarized as follows: Year ended December 31, 2015 2014 2013 Revenue generated from charters to CMA CGM $ 133,351 $ 133,426 $ 143,212 Ship Management Agreement At December 31, 2015, the Company outsourced day to day technical management of 13 of its vessels to CMA Ships Limited (“CMA Ships”), a wholly owned subsidiary of CMA CGM. The Company pays CMA Ships an annual management fee of $123 per vessel (2014: $123, 2013: $114) and reimburses costs incurred by CMA Ships on its behalf, mainly being for the provision of crew, lubricating oils and routine maintenance. Such reimbursement is subject to a cap per day per vessel, depending on the vessel. The impact of the cap is determined annually on a vessel by vessel basis for so long as the initial charters remain in place; no claims have been made under the cap agreement. Ship management fees expensed for the year ended December 31, 2015 amounted to $1,866 (2014: $2,091, 2013: $1,938). Except for transactions with CMA CGM companies, the Company did not enter into any other related party transactions. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10. Commitments and Contingencies Charter Hire Receivable The Company has entered into time charters for its vessels. The charter hire is fixed for the duration of the charter. The maximum contracted annual future charter hire receivable (not allowing for any offhire and assuming expiry at the mid-point between the earliest and latest possible end dates) for the 18 vessels subject to charters as at December 31, 2015 is as follows: Year ending December 31, 2016 169,571 2017 167,305 2018 118,896 2019 103,285 2020 82,259 Thereafter 149,408 $ 790,724 |
Share Capital
Share Capital | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Share Capital | 11 Share Capital At December 31, 2015 the Company had two classes of common shares. The rights of holders of Class B common shares are identical to those of holders of Class A common shares, except that the dividend rights of holders of Class B common shares are subordinated to those of holders of Class A common shares. Dividends, when declared, must be paid as follows: • firstly, to all Class A common shares at the applicable rate for the quarter; • secondly, to all Class A common shares until they have received payment for all preceding quarters at the rate of $0.23 per share per quarter; • thirdly, to all Class B common shares at the applicable rate for the quarter; • then, to all Class A and B common shares as if they were a single class. The Class B common shares remain subordinated until the Company has paid a dividend at least equal to $0.23 per quarter per share on both the Class A and Class B common shares for the immediately preceding four-quarter period. Due to the requirements described above, Class B common shares cannot receive any dividend until all Class A common shares have received dividends representing $0.23 per share per quarter for all preceding quarters. Should the notional arrearages of dividend on the Class A common shares be made up and a dividend at the rate of $0.23 per share be paid for four consecutive quarters, the Class B common shares convert to Class A common shares on a one-for-one basis. Also, each Class B common share will convert into a Class A common share on a change of control of the Company. A dividend of $0.10 per Class A common share was paid on August 24, 2015 and on November 24, 2015. Prior to these, the last quarter for which a dividend was paid was the fourth quarter 2008 at $0.23 per Class A common share. Restricted stock units have been granted periodically to the Directors and management, under the Company’s 2008 Equity Incentive Plan, as part of their compensation arrangements (see note 13). On August 28, 2015, the Company adopted the 2015 Equity Incentive Plan. The 2008 Equity Incentive Plan was closed. No awards have been issued to date under the 2015 Plan which permits a maximum issuance of 1,500,000 shares. The Series A Preferred Shares ranked senior to the common shares and were mandatorily redeemable in 12 quarterly instalments commencing August 31, 2016. They were classified as a long-term liability. The dividend on the Series A Preferred shareholders was presented as part of interest expense in the consolidated statements of income. These shares, which had a liquidation value at maturity of $44,976, were redeemed on August 22, 2014, at a discount pursuant to a Share Repurchase Agreement for $36,400, using the proceeds received from the issuance of the Series B Preferred Shares, the balance of the restricted cash and cash on hand. On August 20, 2014, the Company issued 1,400,000 depositary shares, each of which represents 1/100 th |
Interest Rate Derivatives and F
Interest Rate Derivatives and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Interest Rate Derivatives and Fair Value Measurements | 12 Interest Rate Derivatives and Fair Value Measurements Prior to the issue of the 2019 Notes (see note 7(b)) the Company had been exposed to the impact of changes to interest rates on the floating rate debt drawn under the previous credit facility (see note 7(a)) which also required the Company to hedge at least 50% of any drawings. Accordingly, the Company entered into interest rate swap agreements to manage the exposure. On March 19, 2014 the secured credit facility was fully repaid and was replaced with the 2019 Notes, which have a fixed interest rate. The $277,000 nominal amount of outstanding interest rate swaps which had hedged the Company’s interest rate risk were terminated accordingly. The cost of the termination included an element of unsettled payments due under the swap agreements up to March 19, 2014 amounting to $307. This amount is included in the Consolidated Statements of Income as a realised loss on derivative instruments. During the periods when the interest rate swaps were outstanding, they were “marked to market” at each reporting date end and recorded at their fair values. This generated unrealized gains and losses. The unrealized gain on interest rate derivatives for the year ended December 31, 2014 was $1,944 (2013: $14,302). None of the Company’s interest rate agreements qualified for hedge accounting and therefore the net changes in the fair value of the interest rate derivative assets and liabilities at each reporting period were reflected in the current period operations as unrealized gains and losses on derivatives. Cash flows related to interest rate derivatives (initial payments for the derivatives, periodic cash settlements and termination payments) are included within cash flows from investing activities in the Consolidated Statements of Cash Flows. The fair value hierarchy has three levels based on the reliability of the inputs used to determine fair value as follows: Level 1. Observable inputs such as quoted prices in active markets; Level 2. Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and Level 3. Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The Company’s derivative instruments were categorized as level 2 in the fair value hierarchy. Due to the termination of these instruments in the previous year, the fair value at the reporting date was $ nil (December 31, 2014: $ nil). Within the consolidated balance sheets, there are no offsets of recognized assets or liabilities related to these derivatives. |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation | 13. Share-Based Compensation In August 2008, the Company’s Board adopted the 2008 Equity Incentive Plan (the “2008 Plan”), which enables management, consultants and Directors of the Company and its subsidiaries to receive options, stock appreciation rights, stock grants, stock units and dividend equivalents. The 2008 Plan is administered by the Board or a committee of the Board. The maximum aggregate number of Class A common shares that may be delivered pursuant to awards granted under the 2008 Plan during the 10-year term of the Plan was 1,500,000. The maximum number of Class A common shares with respect to which awards may be granted to any participant in the 2008 Plan in any fiscal year was 500,000. Awards totaling 1,498,123 Class A common shares were made under the 2008 Plan until it was closed for new awards in August 2015, when the 2015 Plan was adopted (see below). The holder of a stock grant awarded under the 2008 Plan has the same voting, dividend and other rights as the Company’s other Class A common shareholders when the grant vests and the shares are issued. Under the 2008 Plan, the Company issued the following share based awards since January 1, 2013: Restricted Stock Units Number of Units Weighted Actual Management Directors Unvested as at January 1, 2013 225,000 32,070 $ 3.22 n/a Vested in January 2013 — (32,070 ) 3.43 3.07 Granted on March 7, 2013 75,000 27,550 3.43 n/a Unvested as at December 31, 2013 300,000 27,550 $ 3.26 n/a Vested in January 2014 — (27,550 ) 3.43 5.85 Unvested as at December 31, 2014 300,000 — $ 3.25 n/a Vested in January 2015 — — — — Unvested as at December 31, 2015 300,000 — $ 3.25 n/a Restricted stock units granted to Directors on March 13, 2012 and March 7, 2013 vested in January 2013 and January 2014 respectively. Restricted stock units granted to four members of management on September 2, 2011 were to vest over two years; half during September and October 2012 and the remaining half during September and October 2013. In March 2012, these grants were amended and restated to provide that vesting would occur only when the individual leaves employment, for whatever reason, provided that this was after September 30, 2012 in respect of half of the grant and after September 30, 2013 for the other half of the grant. Restricted stock units granted to management on March 13, 2012 are expected to vest when the individual leaves employment, provided that this is after September 30, 2014 and is not as a result of resignation or termination for cause. Restricted stock units granted to management on March 7, 2013 are expected to vest when the individual leaves employment, provided that this is after September 30, 2015 and is not as a result of resignation or termination for cause. Using the graded vesting method of expensing the restricted stock unit grants, the weighted average fair value of the stock units is recognized as compensation costs in the consolidated statement of income over the vesting period. The fair value of the restricted stock units for this purpose is calculated by multiplying the number of stock units by the fair value of the shares at the grant date, which is discounted for dividends forfeited over the vesting period. The Company has not factored any anticipated forfeiture into these calculations based on the limited number of participants. For the grants issued on March 13, 2012 and March 7, 2013, the fair value at the grant date was the closing price for the common stock on that date. The share value has not been discounted as no dividends were expected to be paid on the common stock at that time. During the year ended December 31, 2015 the Company recognized a total of $75 (2014: $177, 2013: $360) in respect of share based compensation costs. As at December 31, 2015 there were no unrecognized compensation costs relating to the above share based awards (2014: $75). On August 28, 2015, the Company adopted the 2015 Equity Incentive Plan (the “2015 Plan”), which allows the Board of Directors to grant employees, consultants and directors of the company and its subsidiaries options, stock appreciation rights, stock grants, stock units and dividend equivalents on substantially the same terms as the 2008 Plan, which was closed for further awards. The 2015 Plan permits a maximum issuance of 1,500,000 shares. No awards had been issued by December 31, 2015. |
Risks Associated with Concentra
Risks Associated with Concentration | 12 Months Ended |
Dec. 31, 2015 | |
Risks and Uncertainties [Abstract] | |
Risks Associated with Concentration | 14 Risks Associated with Concentration The Company is exposed to certain concentration risks that may adversely affect the Company’s financial position in the near term: (i) The Company derives the majority of its revenue from CMA CGM which is exposed to the cyclicality of the container shipping industry. (ii) There is a concentration of credit risk with respect to cash and cash equivalents at December 31, 2015 to the extent that substantially all of the amounts are deposited with three banks (2014; three banks). However, the Company believes this risk is remote as the banks are high credit quality financial institutions. |
Earnings per Share
Earnings per Share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings per Share | 15 Earnings per Share Basic earnings per common share is presented under the two-class method and is computed by dividing the earnings applicable to common stockholders by the weighted average number of common shares outstanding for the period. Under the two class method, net income, if any, is first reduced by the amount of dividends declared in respect of common shares for the current period, if any, and the remaining earnings are allocated to common shares and participating securities to the extent that each security can share the earnings assuming all earnings for the period are distributed. The Class B common shareholders’ dividend rights are subordinated to those of holders of Class A common shares (see note 11). Net income for the relevant period is allocated based on the contractual rights of each class of security and as there was insufficient net income to allow any dividend on the Class B common shares no earnings were allocated to Class B common shares. Losses are only allocated to participating securities in a period of net loss if, based on the contractual terms, the relevant common shareholders have an obligation to participate in such losses. No such obligation exists for Class B common shareholders and, accordingly, losses would only be allocated to the Class A common shareholders. At December 31, 2015, there were 300,000 restricted stock units granted and unvested as part of management’s equity incentive plan. As of December 31, 2015 only Class A and B common shares are participating securities. For the year ended December 31, 2015, the diluted weighted average number of Class A common shares outstanding is the same as the basic weighted average number of shares outstanding, including the RSU’s without service conditions. The diluted weighted average number of shares excludes the outstanding share-based incentive awards as these would have had an antidilutive effect. For the years ended December 31, 2014 and December 31, 2013, the diluted weighted average number of shares includes the incremental effect of outstanding share-based incentive awards. (In thousands, except share data) Year ended Year ended Year ended Class A common shares Basic weighted average number of common shares outstanding (B) 47,541,484 47,541,409 47,513,846 Weighted average number of RSU’s without service conditions (note 13) (B) 243,904 168,904 93,904 Dilutive effect of share-based incentive awards — 113,423 159,516 Common shares and common share equivalents (F) 47,785,388 47,823,736 47,767,266 Class B common shares Basic weighted average number of common shares outstanding (D) 7,405,956 7,405,956 7,405,956 Dilutive effect of share-based incentive awards — — — Common shares (H) 7,405,956 7,405,956 7,405,956 Basic Earnings per Share Net (loss) income available to common shareholders $ (31,937 ) $ 4,996 $ 32,518 Available to: - Class A shareholders for period $ (31,937 ) $ 4,996 $ 32,518 - Class A shareholders for arrears — — — - Class B shareholders for period — — — - allocate pro-rata between Class A and B — — — Net (loss) income available for Class A (A) $ (31,937 ) $ 4,996 $ 32,518 Net (loss) income available for Class B (C) — — — Basic Earnings per share: Class A (A/B) $ (0.67 ) $ 0.10 $ 0.68 Class B (C/D) — — — Diluted Earnings per Share Net (loss) income available to common shareholders $ (31,937 ) $ 4,996 $ 32,518 Available to: - Class A shareholders for period $ (31,937 ) $ 4,996 $ 32,518 - Class A shareholders for arrears — — — - Class B shareholders for period — — — - allocate pro rata between Class A and B — — — Net (loss) income available for Class A (E) $ (31,937 ) $ 4,996 $ 32,518 Net (loss) income available for Class B (G) — — — Diluted Earnings per share: Class A (E/F) $ (0.67 ) $ 0.10 $ 0.68 Class B (G/H) — — — |
Subsequent events
Subsequent events | 12 Months Ended |
Dec. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent events | 16 Subsequent events On February 2, 2016, the Company launched a combined Excess Cash Flow Offer for 2015 and the Collateral Sale Offer following the sale of two vessels (see note 9(b)) in an aggregate amount of $28,417 (“Maximum Offer Amount”) to holders of our 2019 Notes. The offer was at a purchase price of 102% of the aggregate principal amount plus accrued and unpaid interest up to but not including the date of purchase. At the close of this offer on March 14, 2016, the Notes tendered exceeded the Maximum Offer Amount and $26,662 were accepted on a pro rata basis, with settlement being made on March 16, 2016. On March 3, 2016 and pursuant to the 2015 Plan (see note 13), restricted stock units were granted to four members of management divided into two tranches. The first tranche (100,000 restricted stock units) will vest when the individual leaves employment, provided that this is after December 31, 2016 and is not for cause. The second tranche (100,000 restricted stock units) also vests after December 31, 2016 on the same terms, but in addition only if and when the stock price has been at or above $5.00 for 20 consecutive trading days and provided that this has occurred before December 31, 2019. On March 31, 2016, 8,529 shares were issued under the 2015 Plan, representing 20% of directors’ base fee for the quarter ended March 31, 2016. A dividend of $54.6875 per Series B Preferred Share was declared on March 8, 2016 for the first quarter 2016. |
Significant Accounting Polici23
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of consolidation | (a) Basis of consolidation The accompanying consolidated financial statements have been prepared in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”) and include the financial statements of the Company and its wholly owned subsidiaries. All inter-company transactions and accounts have been eliminated on consolidation. |
Use of estimates | (b) Use of estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Cash and cash equivalents | (c) Cash and cash equivalents Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term highly liquid investments with original maturities of three months or less. |
Restricted cash | (d) Restricted cash Cash and cash equivalents subject to restrictions are excluded from cash and cash equivalents in the consolidated balance sheets and are presented as restricted cash. |
Accounts receivable | (e) Accounts receivable The Company carries its accounts receivable at cost less, if appropriate, an allowance for doubtful accounts, based on a periodic review of accounts receivable, taking into account past write-offs, collections and current credit conditions. The Company does not generally charge interest on past-due accounts. Allowances for doubtful accounts amount to $ nil as of December 31, 2015 (2014: $ nil). |
Vessels | (f) Vessels Vessels acquired up to the date of the merger described in note 1, were initially recorded at their acquisition cost, less an amount allocated to drydock component, less accumulated depreciation. From the date of the merger, these vessels have been recorded at their fair value at the date of the merger, less a proportion of the negative goodwill arising at the time of the merger allocated to these vessels, less accumulated depreciation and impairment loss, if any. In connection with the merger, the Company recognised an intangible asset arising from the comparison of the acquisition prices in the asset purchase agreement between the Company as buyer and CMA CGM as seller and the estimated fair values at the merger date of the vessels yet to be purchased. This intangible asset was transferred to the cost of the appropriate vessel on delivery and as all such vessels have now been delivered, no intangible asset remains in respect of these vessels. Vessels acquired after the merger are stated at acquisition cost, less accumulated depreciation. The cost of the vessel consists of the contract price and expenses incurred in connection with the acquisition. Subsequent expenditures for major improvements and upgrading are capitalized, provided they appreciably extend the life, increase the earning capacity or improve the efficiency or safety of the vessels. Borrowing costs incurred during the construction of vessels or as part of the prefinancing of the acquisition of vessels are capitalized. There was no capitalized interest for the years ended December 31, 2015, 2014 or 2013. Other borrowing costs are expensed as incurred. Vessels are depreciated to their estimated residual value using the straight-line method over their estimated useful lives which are reviewed on an ongoing basis to ensure they reflect current technology, service potential and vessel structure. The useful lives are estimated to be 30 years from first delivery from the shipyard. Prepayments and costs directly related to the future acquisition of specific vessels are presented in the Consolidated Balance Sheets as vessel deposits. |
Drydocking costs | g) Drydocking costs An element of the purchase price of a vessel is allocated to a drydock component which is amortized on a straight line basis to the anticipated next drydocking date. Vessels are drydocked approximately every five years for major repairs and maintenance that cannot be performed while the vessels are operating. Costs directly associated with a drydocking, including the required regulatory inspection of the vessel, its hull and its machinery and for the defouling and repainting of the hull are capitalized as they are incurred and depreciated on a straight line basis over the period between drydocks. Capitalized drydocking costs are classified within investing activities in the Consolidated Statements of Cash Flows. |
Intangible assets | (h) Intangible assets Vessel purchase options Cash consideration for the acquisition of purchase options to acquire vessels at a fixed purchase price are recognized as intangible assets in an amount up to the difference, as at the transaction date, between (i) the amount paid for the options plus the purchase price of the vessels and (ii) the fair value of the vessels plus the fair value of attached charters. The fair value of the vessel is assessed based on independent broker valuations. The fair value of a charter attached to the vessel is assessed based on market rates compared to the contracted attached charter rates for the life of the charter. Impairment Intangible assets are reviewed individually for impairment annually or more frequently due to events or changes in circumstances that indicate that the asset might be impaired. If the estimated cash flows from the future use of the asset and its eventual disposal are below the asset’s net book value, then the asset is deemed to be impaired and written down to its fair value. |
Intangible liabilities - charter agreements | (i) Intangible liabilities – charter agreements In connection with the merger (see note 1), the Company recognised an intangible liability using the market approach whereby the Company’s actual charter rates were compared to market rates at the merger date. These intangible liabilities, recognizing the below market rates as at the date of merger, are amortized giving rise to an increase of time charter revenue over the remaining term of the relevant charters. |
Long-lived assets | (j) Long-lived assets Fixed assets such as vessels are reviewed individually for impairment when events or changes in circumstances indicate that their carrying amounts may not be recoverable. An impairment charge is recognized when the sum of the expected undiscounted future cash flows from the asset over its estimated remaining useful life is less than its carrying amount and is recorded equal to the amount by which the asset’s carrying amount exceeds its fair value. Fair value is the net present value of future cash flows discounted by an appropriate discount rate. The redelivery and potential sale of two of the Company’s vessels in late 2015 (see note 4) was seen as an indicator of potential impairment of their carrying value. Accordingly, an impairment test, based on the fair value less estimated costs to sell, was performed for these two vessels as at September 30, 2015. Using these assumptions, an impairment loss of $44,700 was immediately recognised. Due to continuing poor industry conditions, impairment tests on a vessel by vessel basis were performed as at December 31, 2014 and again as at December 31, 2015. No impairment was recognised after either of these tests as, based on the assumptions made, the expected undiscounted future cash flows exceeded the vessels’ carrying amounts. The assumptions used involve a considerable degree of estimation. Actual conditions may differ significantly from the assumptions and thus actual cash flows may be significantly different to those expected with a material effect on the recoverability of each vessel’s carrying amount. The most significant assumptions made for the determination of expected cash flows are (i) charter rates on expiry of existing charters, which are based on a reversion to the historical mean for each category of vessel, adjusted to reflect current and expected market conditions (ii) off-hire days, which are based on actual off-hire statistics for the Company’s fleet (iii) operating costs, based on current levels escalated over time based on long term trends (iv) dry docking frequency, duration and cost and (v) estimated useful life which is assessed as a total of 30 years from first delivery from the shipyard. In the case of an indication of impairment, the results of a recoverability test would also be sensitive to the discount rate applied. |
Derivative instruments | (k) Derivative instruments Interest rate hedges Interest rate derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently re-measured at each period end at their fair value. The method of recognizing the resulting gain or loss depends on whether or not the derivative is designated and qualifies as a hedging instrument, and if so, the nature of the item being hedged. If the Company’s interest rate derivative instruments do not qualify for hedge accounting, changes in the fair value are recognized immediately in the Consolidated Statements of Income within “Unrealized gain (loss) on interest rate derivatives”. Cash settlements of interest rate derivative instruments are recognized immediately in the Consolidated Statements of Income within “Realized loss on interest rate derivatives”. Cash flows related to interest rate derivatives (including payments and periodic cash settlements) are included within “Net cash used in investing activities”. The fair value of derivatives is presented on the face of the Consolidated Balance Sheets under the line item “Derivative instruments” and is split into current and non-current portions based on the net cash flows expected within one year. |
Deferred financing costs | (l) Deferred financing costs Costs incurred in connection with obtaining long term debt and in obtaining amendments to existing facilities are recorded as deferred financing costs and are amortized to interest expense using the effective interest method over the estimated duration of the related debt. Such costs include fees paid to the lenders or on the lenders’ behalf and associated legal and other professional fees. Debt issuance costs, other than any up-front arrangement fee for revolving credit facilities, related to a recognized debt liability are presented as a direct deduction from the carrying amount of that debt. Arrangement fees for revolving credit facilities are shown within Other Long Term Assets. |
Preferred shares | (m) Preferred shares Series A Preferred shares were included within Liabilities in the Consolidated Balance Sheets, up to their redemption in August 2014, and their preferred share dividends included within interest expense in the Consolidated Statements of Income as their nature was similar to that of a liability rather than equity. Holders of these mandatorily redeemable preferred shares were entitled to receive a dividend equal to 3-month U.S. dollar LIBOR plus 2% on the original issue price and ranked senior to the Class A and Class B common shares with respect to dividend rights and rights upon liquidation, dissolution or winding up of the Company. Series B Preferred shares have been included within Equity in the Consolidated Balance Sheets, from their issue in August 2014, and their preferred share dividends are presented as a reduction of Retained Earnings in the Consolidated Statement of Stockholders’ Equity as their nature is similar to that of an equity instrument rather than a liability. Holders of these redeemable perpetual preferred shares, which may only be redeemed at the discretion of the Company, are entitled to receive a dividend equal to 8.75% on the original issue price and rank senior to the Class A and Class B common shares with respect to dividend rights and rights upon liquidation, dissolution or winding up of the Company. |
Classification of long term debt | (n) Classification of long term debt Long term debt is classified within current liabilities unless the Company has an unconditional right to defer settlement of the liability for at least 12 months after the balance sheet date. |
Other comprehensive income (loss) | (o) Other comprehensive income (loss) Other comprehensive income (loss), which is reported in the Consolidated Statement of Stockholders’ Equity, consists of net income (loss) and other gains and losses affecting equity that, under U.S. GAAP, are excluded from net income (loss). Under ASU 2011-05, an entity reporting comprehensive income in a single continuous financial statement shall present its components in two sections, net income and other comprehensive income. As the Company does not, to date, have other comprehensive income, the accompanying consolidated financial statements only include Consolidated Statements of Income. |
Revenue recognition and related operating expense | (p) Revenue recognition and related operating expense The Company charters out its vessels on time charters which involves placing a vessel at a charterer’s disposal for a period of time during which the charterer uses the vessel in return for the payment of a specified daily hire rate. Such charters are accounted for as operating leases and therefore revenue is recognized on a straight line basis as the average revenues over the rental periods of such charter agreements, as service is performed. Cash received in excess of earned revenue is recorded as deferred revenue. Under time charter arrangements the Company, as owner, is responsible for all the operating expenses of the vessels, such as crew costs, insurance, repairs and maintenance, and such costs are expensed as incurred. |
Foreign currency transactions | (q) Foreign currency transactions The Company’s functional currency is the U.S. dollar as substantially all revenues and a majority of expenditures are denominated in U.S. dollars. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange at the balance sheet dates. Expenses paid in foreign currencies are recorded at the rate of exchange at the transaction date. Exchange gains and losses are included in the determination of net income (loss). |
Repairs and maintenance | (r) Repairs and maintenance All expenditures relating to routine maintenance and repairs are expensed when incurred. |
Insurance | (s) Insurance The Company maintains hull and machinery insurance, war risks insurance, protection and indemnity insurance coverage, increased value insurance, and freight, demurrage and defence insurance coverage in amounts considered prudent to cover normal risks in the ordinary course of its operations. Premiums paid in advance to insurance providers are recognized as prepaid expenses and are expensed over the period covered by the insurance contract. |
Share based compensation | (t) Share based compensation The Company may award restricted stock units to its management and Directors as part of their compensation. The fair value of restricted stock unit grants is determined by reference to the quoted stock price on the date of grant, adjusted for estimated dividends forgone until the restricted stock units vest. Compensation expense is recognized based on a graded expense model over the expected vesting period. |
Income taxes | (u) Income taxes The Company and its Marshall Island subsidiaries are exempt from taxation in the Marshall Islands. The Company’s vessels are flagged in Bahamas, Cyprus, Hong Kong and Panama and are liable for tax based on the tonnage of the vessel. The cost, which is included within operating expenses, amounted to $124, $126 and $169 for the years ended December 31, 2015, 2014 and 2013, respectively. The Cyprus and Hong Kong subsidiaries are liable for income tax on any interest income earned from non-shipping activity. The Company has one subsidiary in the United Kingdom, where the principal rate of corporate income tax is 20% (2014: 21%, 2013: 23%). This subsidiary earns management and other fees from fellow group companies. The Company accounts for deferred income taxes using the liability method which requires the determination of deferred tax assets and liabilities, based upon temporary timing differences that arise between the financial statement and tax bases of recorded assets and liabilities, using enacted tax rates in effect for the year in which differences are expected to reverse. The net deferred tax asset is adjusted by a valuation allowance where appropriate, if, based on the weight of available evidence, it is more likely than not that some portion or all of the net deferred tax asset will not be realized. At December 31, 2015 a deferred tax liability of $20 (2014: $34) was recognized relating to stock based compensation costs charged to the Consolidated Statements of Income in respect of unvested shares and timing differences between the carrying amounts of assets for financial reporting purposes and their tax bases. The Company recognizes uncertain tax positions only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based solely on the technical merits of the position. |
Inventories | (v) Inventories Inventories consist of bunkers and lubricants on board certain of the vessels. Inventories are stated at the lower of cost or market value as determined using the first-in, first-out method. |
Dividends | (w) Dividends Dividends are recorded in the period in which they are declared by the Company’s Board of Directors. Dividends to be paid are presented in the Consolidated Balance Sheets in the line item “Dividends payable”. |
Earnings per share | (x) Earnings per share Basic earnings per common share are based on income available to common shareholders divided by the weighted-average number of common shares outstanding during the period, excluding unvested restricted stock units. Diluted earnings per common share are calculated by applying the treasury stock method. All unvested restricted stock units that have a dilutive effect are included in the calculation. The basic and diluted earnings per share for the period are presented for each category of participating common shares under the two-class method. |
Recently issued accounting standards | (y) Recently issued accounting standards In May 2014, the Financial Accounting Standards Board (“FASB”) issued an accounting standards update in respect of revenue from contracts with customers (Topic 606). The update was originally effective for annual periods beginning after December 15, 2016 and early application was not permitted. In August 2015, the FASB issued a further update to defer the effective date by one year to annual periods beginning after December 15, 2017. The Company is currently reviewing the impact of adopting this update on its revenue recognition. In June 2015, FASB issued an update in respect of Stock Compensation (Topic 718). The amendment requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The performance condition should not be reflected in estimating the grant-date fair value of the award and the compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the periods for which the requisite service has already been rendered. The amendment is effective for annual periods beginning after December 15, 2015 and early adoption is permitted. The adoption of this amendment is not expected to lead to any changes to the Company’s financial statements. In February 2016, FASB issued an accounting standards update in respect of leases (Topic 842). The update makes significant changes to the accounting requirements for lessees, who will be required to recognize right-of-use assets with a corresponding lease liability for all but short-term leases. The standard is to be adopted using a modified retrospective transition. The accounting requirements for lessors remain largely unchanged. The update is effective for annual periods beginning after December 15, 2018 although early application is permitted. The Company is currently assessing the impact of adopting this update on its financial statements. Management does not believe that any other recently issued, but not yet effective accounting pronouncements, if currently adopted, would have a material impact on the consolidated financial statements of the Company. |
Nature of Operations and Basi24
Nature of Operations and Basis of Preparation (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Vessels Chartered | The following table provides information about the 18 vessels owned as at December 31, 2015: Vessel Name Capacity in (1) Year Purchase Date by GSL Charterer Charter (2) Daily Charter Rate CMA CGM Matisse 2,262 1999 December 2007 CMA CGM 4.00 $15.300 CMA CGM Utrillo 2,262 1999 December 2007 CMA CGM 4.00 $15.300 Delmas Keta 2,207 2003 December 2007 CMA CGM 2.00 $18.465 Julie Delmas 2,207 2002 December 2007 CMA CGM 2.00 $18.465 Kumasi 2,207 2002 December 2007 CMA CGM 2.00 $18.465 Marie Delmas 2,207 2002 December 2007 CMA CGM 2.00 $18.465 CMA CGM La Tour 2,272 2001 December 2007 CMA CGM 4.00 $15.300 CMA CGM Manet 2,272 2001 December 2007 CMA CGM 4.00 $15.300 CMA CGM Alcazar 5,089 2007 January 2008 CMA CGM 5.00 $33.750 CMA CGM Château d’lf 5,089 2007 January 2008 CMA CGM 5.00 $33.750 CMA CGM Thalassa 11,040 2008 December 2008 CMA CGM 10.00 $47.200 CMA CGM Jamaica 4,298 2006 December 2008 CMA CGM 7.00 $25.350 CMA CGM Sambhar 4,045 2006 December 2008 CMA CGM 7.00 $25.350 CMA CGM America 4,045 2006 December 2008 CMA CGM 7.00 $25.350 CMA CGM Berlioz 6,621 2001 August 2009 CMA CGM 5.75 $34.000 OOCL Tianjin 8,063 2005 October 2014 OOCL 2.00 $34.500 OOCL Qingdao (3) 8,063 2004 March 2015 OOCL 2.25 $34.500 OOCL Ningbo (4) 8,063 2004 September 2015 OOCL 2.75 $34.500 (1) Twenty-foot Equivalent Units. (2) Plus or minus 90 days, other than (i) OOCL Tianjin which is between October 28, 2017 and January 28, 2018, (ii) OOCL Qingdao which is between March 11, 2018 and June 11, 2018, and (iii) OOCL Ningbo which is between September 17, 2018 and December 17, 2018, all at charterer’s option. (3) The Company acquired the OOCL Qingdao from Orient Overseas Container Lines Limited (“OOCL”) on March 11, 2015. The vessel was immediately time chartered back to OOCL for a period of 36 to 39 months, at charterer’s option, at a gross rate of $34.5 per day. (4) The Company acquired the OOCL Ningbo from Orient Overseas Container Lines Limited (“OOCL”) on September 17, 2015. The vessel was immediately time chartered back to OOCL for a period of 36 to 39 months, at charterer’s option, at a gross rate of $34.5 per day. |
Vessels in Operation, less Ac25
Vessels in Operation, less Accumulated Depreciation (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Vessels in Operation, Less Accumulated Depreciation | December 31, 2015 December 31, Cost $ 1,095,245 $ 1,070,627 Accumulated Depreciation (248,306 ) (234,146 ) Drydock expenditure – in progress — 56 Net book value $ 846,939 $ 836,537 |
Schedule of Variations in Net Book Value of Vessels, Including Drydocking | Variations in net book value of vessels, including drydocking, are presented below: December 31, 2015 December 31, Opening balance $ 836,537 $ 817,875 Additions in the period 109,055 59,721 Depreciation expense (44,829 ) (41,059 ) Vessel impairment (44,700 ) — Disposals (9,124 ) — Closing balance $ 846,939 $ 836,537 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | December 31, 2015 December 31, Software development: Opening balance $ 67 $ 95 Additions — — Depreciation (28 ) (28 ) Closing balance $ 39 $ 67 |
Intangible Liability - Charte27
Intangible Liability - Charter Agreements (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Schedule of Intangible Liability | 2015 December 31, Opening balance $ 15,812 $ 17,931 Amortization in period (2,119 ) (2,119 ) Closing balance $ 13,693 $ 15,812 |
Long Term Debt (Tables)
Long Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long Term Debt | 2015 December 31, 2019 Notes $ 420,000 $ 420,000 Less repurchase of Notes under Excess Cash Flow (350 ) — Less original issue discount (6,300 ) (6,300 ) Amortization of original issue discount 2,259 1,082 2019 Notes (note 7(b)) 415,609 414,782 Revolving Credit Facility (note 7(c)) 40,000 — Secured Term Loan (note 7(d)) 33,075 — Less: Deferred financing costs (note 7(f)) (10,611 ) (12,913 ) Balance 478,073 401,869 Less: Current portion of 2019 Notes (note 7(b)) (26,660 ) — Less: Current portion of Revolving Credit Facility (note 7(c)) (800 ) — Less: Current portion of Secured Term Loan (note 7(d)) (7,700 ) — Non-current portion of Long-Term Debt 442,913 401,869 |
Schedule of Repayment of Long Term Debt | Based on scheduled and estimated repayments from January 1, 2016 the long term debt will be reduced in each of the relevant periods as follows: Year ending December 31, 2016 $ 35,160 2017 26,285 2018 64,960 2019 362,470 2020 3,850 Less: original issue discount (4,041 ) Less: deferred financing costs (10,611 ) $ 478,073 |
Schedule of Deferred Financing Cost | December 31, 2015 December 31, Opening balance $ 12,913 $ 3,273 Reclassification from prepaid expenses — 4,800 Expenditure in the period 971 10,479 Amortization included within interest expense (3,273 ) (5,639 ) Closing balance $ 10,611 $ 12,913 |
Other Operating Income (Tables)
Other Operating Income (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Operating Income | Other operating income is summarized as follows: Year ended December 31, 2015 2014 2013 Sundry shipping income $ 382 $ 420 $ 411 Gain on sale of vessels 93 — — Other sundry income — 90 — $ 475 $ 510 $ 411 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Summary of Amounts Due to and from CMA CGM Companies | Amounts due to and from CMA CGM companies are summarized as follows: December 31, 2015 December 31, 2014 Amounts due to CMA CGM companies presented within current liabilities $ 1,878 $ 2,366 Amounts due from CMA CGM companies presented within current assets $ 2,124 $ 1,183 |
Summary of Revenues Generated from Charters to CMA CGM | at December 31, 2015. Revenues generated from charters to CMA CGM are summarized as follows: Year ended December 31, 2015 2014 2013 Revenue generated from charters to CMA CGM $ 133,351 $ 133,426 $ 143,212 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Maximum Contracted Future Annual Charter Hire Receivable Before Allowance for Any Off-Hire Periods | The maximum contracted annual future charter hire receivable (not allowing for any offhire and assuming expiry at the mid-point between the earliest and latest possible end dates) for the 18 vessels subject to charters as at December 31, 2015 is as follows: Year ending December 31, 2016 169,571 2017 167,305 2018 118,896 2019 103,285 2020 82,259 Thereafter 149,408 $ 790,724 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Issued Share Based Awards | Under the 2008 Plan, the Company issued the following share based awards since January 1, 2013: Restricted Stock Units Number of Units Weighted Actual Management Directors Unvested as at January 1, 2013 225,000 32,070 $ 3.22 n/a Vested in January 2013 — (32,070 ) 3.43 3.07 Granted on March 7, 2013 75,000 27,550 3.43 n/a Unvested as at December 31, 2013 300,000 27,550 $ 3.26 n/a Vested in January 2014 — (27,550 ) 3.43 5.85 Unvested as at December 31, 2014 300,000 — $ 3.25 n/a Vested in January 2015 — — — — Unvested as at December 31, 2015 300,000 — $ 3.25 n/a |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings per Share | For the years ended December 31, 2014 and December 31, 2013, the diluted weighted average number of shares includes the incremental effect of outstanding share-based incentive awards. (In thousands, except share data) Year ended Year ended Year ended Class A common shares Basic weighted average number of common shares outstanding (B) 47,541,484 47,541,409 47,513,846 Weighted average number of RSU’s without service conditions (note 13) (B) 243,904 168,904 93,904 Dilutive effect of share-based incentive awards — 113,423 159,516 Common shares and common share equivalents (F) 47,785,388 47,823,736 47,767,266 Class B common shares Basic weighted average number of common shares outstanding (D) 7,405,956 7,405,956 7,405,956 Dilutive effect of share-based incentive awards — — — Common shares (H) 7,405,956 7,405,956 7,405,956 Basic Earnings per Share Net (loss) income available to common shareholders $ (31,937 ) $ 4,996 $ 32,518 Available to: - Class A shareholders for period $ (31,937 ) $ 4,996 $ 32,518 - Class A shareholders for arrears — — — - Class B shareholders for period — — — - allocate pro-rata between Class A and B — — — Net (loss) income available for Class A (A) $ (31,937 ) $ 4,996 $ 32,518 Net (loss) income available for Class B (C) — — — Basic Earnings per share: Class A (A/B) $ (0.67 ) $ 0.10 $ 0.68 Class B (C/D) — — — Diluted Earnings per Share Net (loss) income available to common shareholders $ (31,937 ) $ 4,996 $ 32,518 Available to: - Class A shareholders for period $ (31,937 ) $ 4,996 $ 32,518 - Class A shareholders for arrears — — — - Class B shareholders for period — — — - allocate pro rata between Class A and B — — — Net (loss) income available for Class A (E) $ (31,937 ) $ 4,996 $ 32,518 Net (loss) income available for Class B (G) — — — Diluted Earnings per share: Class A (E/F) $ (0.67 ) $ 0.10 $ 0.68 Class B (G/H) — — — |
Nature of Operations and Basi34
Nature of Operations and Basis of Preparation - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015Vessel | |
Nature Of Operations And Basis Of Preparation [Line Items] | |
Number of vessels | 18 |
OOCL [Member] | |
Nature Of Operations And Basis Of Preparation [Line Items] | |
Number of vessels | 3 |
Minimum [Member] | |
Nature Of Operations And Basis Of Preparation [Line Items] | |
Remaining charter terms | 2 years |
Maximum [Member] | |
Nature Of Operations And Basis Of Preparation [Line Items] | |
Remaining charter terms | 10 years |
CMA CGM [Member] | |
Nature Of Operations And Basis Of Preparation [Line Items] | |
Number of vessels | 15 |
CMA CGM [Member] | Minimum [Member] | |
Nature Of Operations And Basis Of Preparation [Line Items] | |
Remaining charter terms | 2 years |
CMA CGM [Member] | Maximum [Member] | |
Nature Of Operations And Basis Of Preparation [Line Items] | |
Remaining charter terms | 10 years |
Nature of Operations and Basi35
Nature of Operations and Basis of Preparation - Schedule of Vessels Chartered (Detail) | Sep. 17, 2015$ / dUnit | Mar. 11, 2015$ / dUnit | Oct. 28, 2014Unit | Dec. 31, 2015$ / dUnit |
OOCL [Member] | OOCL Tianjin [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 8,063 | 8,063 | ||
Year Built | 2,005 | |||
Purchase Date by GSL | 2014-10 | |||
Charter Remaining Duration (years) | 2 years | |||
Daily Charter Rate | $ / d | 34,500 | |||
OOCL [Member] | OOCL Qingdao [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 8,063 | 8,063 | ||
Year Built | 2,004 | |||
Purchase Date by GSL | 2015-03 | |||
Charter Remaining Duration (years) | 2 years 3 months | |||
Daily Charter Rate | $ / d | 34,500 | 34,500 | ||
OOCL [Member] | OOCL Ningbo [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 8,063 | 8,063 | ||
Year Built | 2,004 | |||
Purchase Date by GSL | 2015-09 | |||
Charter Remaining Duration (years) | 2 years 9 months | |||
Daily Charter Rate | $ / d | 34,500 | 34,500 | ||
CMA CGM [Member] | CMA CGM Matisse [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,262 | |||
Year Built | 1,999 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 4 years | |||
Daily Charter Rate | $ / d | 15,300 | |||
CMA CGM [Member] | CMA CGM Utrillo [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,262 | |||
Year Built | 1,999 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 4 years | |||
Daily Charter Rate | $ / d | 15,300 | |||
CMA CGM [Member] | Delmas Keta [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,207 | |||
Year Built | 2,003 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 2 years | |||
Daily Charter Rate | $ / d | 18,465 | |||
CMA CGM [Member] | Julie Delmas [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,207 | |||
Year Built | 2,002 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 2 years | |||
Daily Charter Rate | $ / d | 18,465 | |||
CMA CGM [Member] | Kumasi [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,207 | |||
Year Built | 2,002 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 2 years | |||
Daily Charter Rate | $ / d | 18,465 | |||
CMA CGM [Member] | Marie Delmas [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,207 | |||
Year Built | 2,002 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 2 years | |||
Daily Charter Rate | $ / d | 18,465 | |||
CMA CGM [Member] | CMA CGM La Tour [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,272 | |||
Year Built | 2,001 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 4 years | |||
Daily Charter Rate | $ / d | 15,300 | |||
CMA CGM [Member] | CMA CGM Manet [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 2,272 | |||
Year Built | 2,001 | |||
Purchase Date by GSL | 2007-12 | |||
Charter Remaining Duration (years) | 4 years | |||
Daily Charter Rate | $ / d | 15,300 | |||
CMA CGM [Member] | CMA CGM Alcazar [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 5,089 | |||
Year Built | 2,007 | |||
Purchase Date by GSL | 2008-01 | |||
Charter Remaining Duration (years) | 5 years | |||
Daily Charter Rate | $ / d | 33,750 | |||
CMA CGM [Member] | CMA CGM Chateau d'lf [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 5,089 | |||
Year Built | 2,007 | |||
Purchase Date by GSL | 2008-01 | |||
Charter Remaining Duration (years) | 5 years | |||
Daily Charter Rate | $ / d | 33,750 | |||
CMA CGM [Member] | CMA CGM Thalassa [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 11,040 | |||
Year Built | 2,008 | |||
Purchase Date by GSL | 2008-12 | |||
Charter Remaining Duration (years) | 10 years | |||
Daily Charter Rate | $ / d | 47,200 | |||
CMA CGM [Member] | CMA CGM Jamaica [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 4,298 | |||
Year Built | 2,006 | |||
Purchase Date by GSL | 2008-12 | |||
Charter Remaining Duration (years) | 7 years | |||
Daily Charter Rate | $ / d | 25,350 | |||
CMA CGM [Member] | CMA CGM Sambhar [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 4,045 | |||
Year Built | 2,006 | |||
Purchase Date by GSL | 2008-12 | |||
Charter Remaining Duration (years) | 7 years | |||
Daily Charter Rate | $ / d | 25,350 | |||
CMA CGM [Member] | CMA CGM America [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 4,045 | |||
Year Built | 2,006 | |||
Purchase Date by GSL | 2008-12 | |||
Charter Remaining Duration (years) | 7 years | |||
Daily Charter Rate | $ / d | 25,350 | |||
CMA CGM [Member] | CMA CGM Berlioz [Member] | ||||
Nature Of Operations [Line Items] | ||||
Capacity in TEUs | Unit | 6,621 | |||
Year Built | 2,001 | |||
Purchase Date by GSL | 2009-08 | |||
Charter Remaining Duration (years) | 5 years 9 months | |||
Daily Charter Rate | $ / d | 34,000 |
Nature of Operations and Basi36
Nature of Operations and Basis of Preparation - Schedule of Vessels Chartered (Parenthetical) (Detail) - $ / d | Sep. 17, 2015 | Mar. 11, 2015 | Dec. 31, 2015 |
Minimum [Member] | |||
Nature Of Operations [Line Items] | |||
Remaining charter terms | 2 years | ||
Maximum [Member] | |||
Nature Of Operations [Line Items] | |||
Remaining charter terms | 10 years | ||
OOCL [Member] | OOCL Qingdao [Member] | |||
Nature Of Operations [Line Items] | |||
Vessel acquisition date | Mar. 11, 2015 | ||
Remaining charter terms | 2 years 3 months | ||
Daily Charter Rate | 34,500 | 34,500 | |
OOCL [Member] | OOCL Qingdao [Member] | Minimum [Member] | |||
Nature Of Operations [Line Items] | |||
Remaining charter terms | 36 months | ||
OOCL [Member] | OOCL Qingdao [Member] | Maximum [Member] | |||
Nature Of Operations [Line Items] | |||
Remaining charter terms | 39 months | ||
OOCL [Member] | OOCL Ningbo [Member] | |||
Nature Of Operations [Line Items] | |||
Vessel acquisition date | Sep. 17, 2015 | ||
Remaining charter terms | 2 years 9 months | ||
Daily Charter Rate | 34,500 | 34,500 | |
OOCL [Member] | OOCL Ningbo [Member] | Minimum [Member] | |||
Nature Of Operations [Line Items] | |||
Remaining charter terms | 36 months | ||
OOCL [Member] | OOCL Ningbo [Member] | Maximum [Member] | |||
Nature Of Operations [Line Items] | |||
Remaining charter terms | 39 months |
Significant Accounting Polici37
Significant Accounting Policies - Additional Information (Detail) | Sep. 30, 2015USD ($)Vessel | Dec. 31, 2015USD ($)Subsidiary | Dec. 31, 2014USD ($)Subsidiary | Dec. 31, 2013USD ($)Subsidiary |
Significant Accounting Policies [Line Items] | ||||
Allowances for doubtful accounts | $ 0 | $ 0 | ||
Capitalized interest | $ 0 | 0 | $ 0 | |
Vessel estimated useful life | 30 years | |||
Period between scheduled regulatory drydockings | 5 years | |||
Number of vessels tested for potential impairment | Vessel | 2 | |||
Impairment charges | $ 44,700,000 | $ 0 | 0 | |
Tonnage tax included within operating expenses | 124,000 | 126,000 | $ 169,000 | |
Deferred tax liability recognized | $ 20,000 | $ 34,000 | ||
Series B Preferred Shares [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Preferred shares dividend rate percentage | 8.75% | |||
United Kingdom [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Number of subsidiaries owned by the Company | Subsidiary | 1 | 1 | 1 | |
Principal rate of corporate income tax | 20.00% | 21.00% | 23.00% |
Vessels in Operation, less Ac38
Vessels in Operation, less Accumulated Depreciation - Schedule of Vessels in Operation, Less Accumulated Depreciation (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Property, Plant and Equipment [Abstract] | |||
Cost | $ 1,095,245 | $ 1,070,627 | |
Accumulated Depreciation | (248,306) | (234,146) | |
Drydock expenditure - in progress | 56 | ||
Net book value | $ 846,939 | $ 836,537 | $ 817,875 |
Vessels in Operation, less Ac39
Vessels in Operation, less Accumulated Depreciation - Additional Information (Detail) $ in Thousands | Sep. 30, 2015USD ($) | Sep. 17, 2015USD ($)Unit | Mar. 11, 2015USD ($)Unit | Oct. 28, 2014USD ($)Unit | Dec. 31, 2015USD ($)UnitVessel |
Property, Plant and Equipment [Line Items] | |||||
Vessel impairment charge | $ 44,700 | ||||
Gain on sale of vessels | $ 93 | ||||
Number of vessels | Vessel | 18 | ||||
Number of vessels pledged as collateral under 2019 notes, revolving credit facility and secured term loan | Vessel | 17 | ||||
OOCL [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Number of vessels | Vessel | 3 | ||||
OOCL [Member] | OOCL Tianjin [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Vessel acquisition, purchase price | $ 55,000 | ||||
Size of acquired vessel in TEUs | Unit | 8,063 | 8,063 | |||
Vessel acquisition date | Oct. 28, 2014 | ||||
OOCL [Member] | OOCL Qingdao [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Vessel acquisition, purchase price | $ 53,600 | ||||
Size of acquired vessel in TEUs | Unit | 8,063 | 8,063 | |||
Vessel acquisition date | Mar. 11, 2015 | ||||
OOCL [Member] | OOCL Ningbo [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Vessel acquisition, purchase price | $ 53,600 | ||||
Size of acquired vessel in TEUs | Unit | 8,063 | 8,063 | |||
Vessel acquisition date | Sep. 17, 2015 | ||||
Sea Consortium [Member] | Ville d' Aquarius [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Vessel impairment charge | $ 22,203 | ||||
Sea Consortium [Member] | Ville d' Orion [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Vessel impairment charge | $ 22,497 |
Vessels in Operation, less Ac40
Vessels in Operation, less Accumulated Depreciation - Schedule of Variations in Net Book Value of Vessels, Including Drydocking (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Abstract] | ||
Opening balance | $ 836,537 | $ 817,875 |
Additions in the period | 109,055 | 59,721 |
Depreciation expense | (44,829) | (41,059) |
Vessel impairment | (44,700) | |
Disposals | (9,124) | |
Closing balance | $ 846,939 | $ 836,537 |
Intangible Assets - Schedule of
Intangible Assets - Schedule of Intangible Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Software development | ||
Opening balance | $ 67 | $ 95 |
Additions | 0 | 0 |
Depreciation | (28) | (28) |
Closing balance | $ 39 | $ 67 |
Intangible Liability - Charte42
Intangible Liability - Charter Agreements - Schedule of Intangible Liability (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Intangible Liability Charter Agreements [Abstract] | ||
Opening balance | $ 15,812 | $ 17,931 |
Amortization in period | (2,119) | (2,119) |
Closing balance | $ 13,693 | $ 15,812 |
Intangible Liability - Charte43
Intangible Liability - Charter Agreements - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015Vessel | |
Finite Lived Intangible Liabilities [Line Items] | |
Discount rate of projected lease cash flow | 8.00% |
At Merger [Member] | |
Finite Lived Intangible Liabilities [Line Items] | |
Number of vessels | 12 |
Number of vessels | 5 |
Long Term Debt - Schedule of Lo
Long Term Debt - Schedule of Long Term Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Mar. 19, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | ||||
Secured Term Loan (note 7(d)) | $ 33,075 | |||
Less: Deferred financing costs (note 7(f)) | (10,611) | $ (12,913) | $ (3,273) | |
Balance | 478,073 | 401,869 | ||
Less: Current portion of Secured Term Loan (note 7(d)) | (7,700) | |||
Non-current portion of Long-Term Debt | 442,913 | 401,869 | ||
Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving Credit Facility (note 7(c)) | 40,000 | |||
Less: Current portion of Revolving Credit Facility (note 7(c)) | (800) | |||
10.0 % First Priority Secured Notes Due 2019 [Member] | ||||
Debt Instrument [Line Items] | ||||
2019 Notes | 420,000 | 420,000 | $ 420,000 | |
Less repurchase of Notes under Excess Cash Flow | (350) | |||
Less original issue discount | (6,300) | (6,300) | ||
Amortization of original issue discount | 2,259 | 1,082 | ||
2019 Notes (note 7(b)), total balance | 415,609 | $ 414,782 | ||
Less: Current portion of 2019 Notes (note 7(b)) | $ (26,660) |
Long Term Debt - Schedule of 45
Long Term Debt - Schedule of Long Term Debt (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2015 | |
10.0 % First Priority Secured Notes Due 2019 [Member] | |
Debt Instrument [Line Items] | |
Debt instrument, maturity year | 2,019 |
Long Term Debt - Previous Credi
Long Term Debt - Previous Credit Facility - Additional Information (Detail) | Dec. 31, 2013 | Dec. 31, 2015 |
Debt Instrument [Line Items] | ||
Maturity date of credit facility | 2016-08 | |
Credit facility termination date | Mar. 19, 2014 | |
Minimum [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility margin | 2.50% | |
Maximum [Member] | Secured Debt [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility margin | 3.75% |
Long Term Debt - 10.0% First Pr
Long Term Debt - 10.0% First Priority Secured Notes Due 2019 - Additional Information (Detail) | Feb. 02, 2016USD ($) | Dec. 31, 2015USD ($)Vessel | Dec. 31, 2014USD ($) | Apr. 21, 2015USD ($) | Mar. 19, 2014USD ($) |
Debt Instrument [Line Items] | |||||
Number of vessels secured to notes | Vessel | 16 | ||||
Number of vessels | Vessel | 18 | ||||
Number of vessels sold | Vessel | 2 | ||||
10.0 % First Priority Secured Notes Due 2019 [Member] | |||||
Debt Instrument [Line Items] | |||||
Issuance of secured notes | $ 420,000,000 | $ 420,000,000 | $ 420,000,000 | ||
Issuance date of debt instrument | Mar. 19, 2014 | ||||
Debt instrument, interest rate | 10.00% | ||||
Debt instrument, maturity date | Apr. 1, 2019 | ||||
Proceeds from debt issuance, net of costs | $ 413,700,000 | ||||
Interest on notes | Interest on the 2019 Notes is payable semi-annually on April 1 and October 1 of each year, commencing on October 1, 2014. | ||||
Price in percent at which excess cash flow offer is made | 102.00% | ||||
Period within which Excess Cash Flow Offer is to be made | 120 days | ||||
Amount of Notes tendered and accepted | $ 350,000 | ||||
Maximum period available to make tender offer | 90 days | ||||
10.0 % First Priority Secured Notes Due 2019 [Member] | Subsequent Events [Member] | |||||
Debt Instrument [Line Items] | |||||
Excess cash flow and collateral sale offers, amount | $ 28,417,000 | ||||
Price in percent at which excess cash flow and collateral sale offers are made | 102.00% | ||||
10.0 % First Priority Secured Notes Due 2019 [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Excess cash flow amount offered | $ 20,000,000 | $ 20,000,000 | |||
10.0 % First Priority Secured Notes Due 2019 [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Excess cash flow amount offered | $ 1,000,000 |
Long Term Debt - Revolving Cred
Long Term Debt - Revolving Credit Facility - Additional Information (Detail) - Revolving Credit Facility [Member] - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Mar. 19, 2014 | |
Debt Instrument [Line Items] | ||
Senior secured revolving credit facility | $ 40,000,000 | |
Credit facility margin | 3.25% | |
Line of credit facility, unused capacity, commitment fee percentage | 1.30% | |
Maturity date of credit facility | Oct. 1, 2018 | |
Issuance date of debt instrument | Mar. 19, 2014 | |
Cash Balance Of Financial Covenant Testing Period Description | Cash Balance financial covenant which is tested each six months, commencing June 30, 2014 | |
Minimum cash balance up to current period | $ 15,000,000 | |
Minimum cash balance after current period | $ 20,000,000 |
Long Term Debt - Secured Term L
Long Term Debt - Secured Term Loan - Additional Information (Detail) - Secured Term Loan [Member] | Sep. 10, 2015USD ($)Installments | Dec. 31, 2015 | Jul. 29, 2015USD ($) |
Debt Instrument [Line Items] | |||
Secured term loan facility | $ 35,000,000 | ||
Credit facility maturity period | 5 years | ||
Credit facility description | This facility matures five years after drawdown, with early repayment, inter alia, if the 2019 Notes are not refinanced by November 30, 2018, or if the secured vessel ceases to be employed on a charter for a period in excess of 90 days. | ||
Issuance date of debt instrument | Jul. 29, 2015 | ||
Amount of secured term loan drawn | $ 35,000,000 | ||
Total additional repayments over quarterly installments | $ 1,400,000 | ||
Number of repayable quarterly installments | Installments | 20 | ||
Additional Repayment [Member] | |||
Debt Instrument [Line Items] | |||
Number of repayable quarterly installments | Installments | 8 | ||
Margin Until November 30, 2018 [Member] | |||
Debt Instrument [Line Items] | |||
Credit facility margin | 2.75% | ||
Margin After November 30, 2018 [Member] | |||
Debt Instrument [Line Items] | |||
Credit facility margin | 3.25% |
Long Term Debt - Schedule of Re
Long Term Debt - Schedule of Repayment of Long Term Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Debt Disclosure [Abstract] | |||
2,016 | $ 35,160 | ||
2,017 | 26,285 | ||
2,018 | 64,960 | ||
2,019 | 362,470 | ||
2,020 | 3,850 | ||
Less: original issue discount | (4,041) | ||
Less: deferred financing costs | (10,611) | $ (12,913) | $ (3,273) |
Balance | $ 478,073 | $ 401,869 |
Long Term Debt - Deferred Finan
Long Term Debt - Deferred Financing Costs - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 19, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2015 | Jun. 30, 2015 |
Debt Instrument [Line Items] | ||||||
Reclassification from prepaid expenses | $ 4,800 | $ 4,800 | ||||
Unamortized balance of deferred financing costs written off | $ 2,986 | |||||
Credit facility termination date | Mar. 19, 2014 | |||||
Unamortized debt issuance costs | $ 10,611 | 12,913 | $ 3,273 | |||
Adjustments for New Accounting Pronouncement [Member] | Scenario, Previously Reported [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Current portion of deferred debt issuance costs | 3,148 | |||||
Non-current portion of deferred debt issuance costs | 10,172 | |||||
Adjustments for New Accounting Pronouncement [Member] | Reclassification [Member] | Long Term Debt Noncurrent [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Unamortized debt issuance costs | 12,913 | |||||
Revolving Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Fees and related costs deferred | $ 370 | |||||
Revolving Credit Facility [Member] | Adjustments for New Accounting Pronouncement [Member] | Reclassification [Member] | Other Long Term Assets [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Remaining unamortized arrangement fee | $ 407 | |||||
Secured Term Loan [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Fees and related costs deferred | $ 601 |
Long Term Debt - Schedule of De
Long Term Debt - Schedule of Deferred Financing Cost (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Deferred Finance Costs [Abstract] | |||
Opening balance | $ 12,913 | $ 3,273 | |
Reclassification from prepaid expenses | 4,800 | $ 4,800 | |
Expenditure in the period | 971 | 10,479 | |
Amortization included within interest expense | (3,273) | (5,639) | |
Closing balance | $ 10,611 | $ 12,913 | $ 3,273 |
Other Operating Income - Schedu
Other Operating Income - Schedule of Other Operating Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Component Of Other Operating Income [Line Items] | |||
Other operating income | $ 475 | $ 510 | $ 411 |
Gain on sale of vessels | 93 | ||
Sundry Shipping Income [Member] | |||
Component Of Other Operating Income [Line Items] | |||
Other operating income | $ 382 | 420 | $ 411 |
Other Sundry Income [Member] | |||
Component Of Other Operating Income [Line Items] | |||
Other operating income | $ 90 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) $ / yr in Thousands | 12 Months Ended | ||
Dec. 31, 2015USD ($)Vessel$ / yr | Dec. 31, 2014USD ($)$ / yr | Dec. 31, 2013USD ($)$ / yr | |
Related Party Transaction [Line Items] | |||
Dividends on preferred shares | $ 3,062,000 | $ 1,114,000 | |
Maximum contracted charter hire receivable | $ 790,724,000 | ||
Minimum [Member] | |||
Related Party Transaction [Line Items] | |||
Remaining charter terms | 2 years | ||
Maximum [Member] | |||
Related Party Transaction [Line Items] | |||
Remaining charter terms | 10 years | ||
CMA CGM [Member] | |||
Related Party Transaction [Line Items] | |||
Voting interest | 44.43% | ||
Maximum contracted charter hire receivable | $ 701,162,000 | ||
Number of vessels | Vessel | 15 | ||
Annual ship management fee per vessel | $ / yr | 123 | 123 | 114 |
Number of vessels under technical management | Vessel | 13 | ||
Ship management fees | $ 1,866,000 | $ 2,091,000 | $ 1,938,000 |
CMA CGM [Member] | Minimum [Member] | |||
Related Party Transaction [Line Items] | |||
Remaining charter terms | 2 years | ||
CMA CGM [Member] | Maximum [Member] | |||
Related Party Transaction [Line Items] | |||
Remaining charter terms | 10 years | ||
CMA CGM [Member] | Series A Preferred Shares [Member] | |||
Related Party Transaction [Line Items] | |||
Dividends on preferred shares | $ 0 | $ 653,000 | $ 1,037,000 |
Related Party Transactions - Su
Related Party Transactions - Summary of Amounts Due to and from CMA CGM Companies (Detail) - CMA CGM [Member] - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Current Assets [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due from CMA CGM companies presented within current assets | $ 2,124 | $ 1,183 |
Current Liabilities [Member] | ||
Related Party Transaction [Line Items] | ||
Amounts due to CMA CGM companies presented within current liabilities | $ 1,878 | $ 2,366 |
Related Party Transactions - 56
Related Party Transactions - Summary of Revenues Generated from Charters to CMA CGM (Detail) - USD ($) $ in Thousands | 1 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
CMA CGM [Member] | |||
Related Party Transaction [Line Items] | |||
Revenue generated from charters to CMA CGM | $ 133,351 | $ 133,426 | $ 143,212 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015Vessel | |
Commitments and Contingencies Disclosure [Abstract] | |
Number of vessels | 18 |
Commitments and Contingencies58
Commitments and Contingencies - Maximum Contracted Future Annual Charter Hire Receivable Before Allowance for Any Off-Hire Periods (Detail) $ in Thousands | Dec. 31, 2015USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,016 | $ 169,571 |
2,017 | 167,305 |
2,018 | 118,896 |
2,019 | 103,285 |
2,020 | 82,259 |
Thereafter | 149,408 |
Maximum Future Contracted charter Hire | $ 790,724 |
Share Capital - Additional Info
Share Capital - Additional Information (Detail) $ / shares in Units, $ in Thousands | Nov. 24, 2015$ / shares | Aug. 24, 2015$ / shares | Aug. 20, 2014USD ($)shares | Dec. 31, 2008$ / shares | Dec. 31, 2015ClassOfCommonStockInstallment$ / shares | Aug. 28, 2015shares | Aug. 22, 2014USD ($) |
Class of Stock [Line Items] | |||||||
Classes of common shares | ClassOfCommonStock | 2 | ||||||
Possible future conversion basis for Class B common shares to Class A common shares | One-for-one | ||||||
2015 Plan [Member] | |||||||
Class of Stock [Line Items] | |||||||
Maximum issuance shares | shares | 1,500,000 | ||||||
Class A Common Stock [Member] | |||||||
Class of Stock [Line Items] | |||||||
Required Class A common shares dividend per quarter | $ 0.23 | ||||||
Common stock dividends paid | $ 0.10 | $ 0.10 | $ 0.23 | ||||
Series A Preferred Shares [Member] | |||||||
Class of Stock [Line Items] | |||||||
Redeemable preference shares, quarterly installments | Installment | 12 | ||||||
Redeemable preference shares, redemption commencement date | Aug. 31, 2016 | ||||||
Remaining Shares liquidation value at redemption | $ | $ 44,976 | ||||||
Redemption amount | $ | $ 36,400 | ||||||
Series B Preferred Shares [Member] | |||||||
Class of Stock [Line Items] | |||||||
Depositary shares issued | shares | 1,400,000 | ||||||
Preferred shares dividend rate percentage | 8.75% | ||||||
Preferred stock issuance term description | On August 20, 2014, the Company issued 1,400,000 depositary shares, each of which represents 1/100th of one share of the Company's 8.75% Series B Cumulative Redeemable Perpetual Preferred Shares (the "Series B Preferred Shares"). | ||||||
Redemption price per share | $ 2,500 | ||||||
Redemption price per depositary share | $ 25 | ||||||
Net proceeds from issuance | $ | $ 33,497 |
Interest Rate Derivatives and60
Interest Rate Derivatives and Fair Value Measurements - Additional Information (Detail) - USD ($) | Mar. 19, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Derivatives, Fair Value [Line Items] | ||||
Nominal Value of Interest Rate Agreements | $ 277,000,000 | |||
Realized loss on derivative instruments | $ 307,000 | |||
Credit facility termination date | Mar. 19, 2014 | |||
Unrealized gain / (loss) on interest rate derivatives | $ 1,944,000 | $ 14,302,000 | ||
Nominal value of company's interest rate agreements qualify for hedge accounting | $ 0 | |||
Derivative instruments fair value (liability) | ||||
Minimum [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Credit facility requirement for percentage of debt to be hedged | 50.00% |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) | Nov. 24, 2015$ / shares | Aug. 24, 2015$ / shares | Mar. 07, 2013$ / shares | Mar. 13, 2012$ / shares | Sep. 02, 2011Members | Dec. 31, 2008$ / shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) |
2008 Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Restricted stock share based compensation vesting period | 2 years | ||||||||
Number of members granted with restricted stock units | Members | 4 | ||||||||
Common stock dividends paid | $ / shares | $ 0 | $ 0 | |||||||
Recognized share based compensation expenses | $ | $ 75,000 | $ 177,000 | $ 360,000 | ||||||
Unrecognized compensation cost | $ | $ 0 | $ 75,000 | |||||||
2015 Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Maximum number of shares approved under Equity Incentive Plan | 1,500,000 | ||||||||
Class A Common Stock [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Common stock dividends paid | $ / shares | $ 0.10 | $ 0.10 | $ 0.23 | ||||||
Class A Common Stock [Member] | 2008 Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Maximum number of shares approved under Equity Incentive Plan | 1,500,000 | ||||||||
Term of Equity Incentive Plan | 10 years | ||||||||
Maximum number of shares which may be granted to any participant in any fiscal year | 500,000 | ||||||||
Common stock shares awarded | 1,498,123 |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of Issued Share Based Awards (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Actual Fair Value on Vesting Date | $ 5.85 | $ 3.07 | |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unvested, Weighted Average Fair Value on Grant Date, opening balance | $ 3.25 | 3.26 | 3.22 |
Vested, Weighted Average Fair Value on Grant Date | 0 | 3.43 | 3.43 |
Granted, Weighted Average Fair Value on Grant Date | 3.43 | ||
Unvested, Weighted Average Fair Value on Grant Date, closing balance | $ 3.25 | $ 3.25 | $ 3.26 |
Management [Member] | Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unvested, Number of Units, opening balance | 300,000 | 300,000 | 225,000 |
Vested, Number of Units | 0 | 0 | 0 |
Granted, Number of Units | 75,000 | ||
Unvested, Number of Units, closing balance | 300,000 | 300,000 | 300,000 |
Director [Member] | Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unvested, Number of Units, opening balance | 27,550 | 32,070 | |
Vested, Number of Units | (27,550) | (32,070) | |
Granted, Number of Units | 27,550 | ||
Unvested, Number of Units, closing balance | 27,550 |
Risks Associated with Concent63
Risks Associated with Concentration - Additional Information (Detail) - Bank | Dec. 31, 2015 | Dec. 31, 2014 |
Risks and Uncertainties [Abstract] | ||
Number of banks in which cash and cash equivalents deposited | 3 | 3 |
Earnings per Share - Additional
Earnings per Share - Additional Information (Detail) - shares | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Management [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Class of Stock [Line Items] | ||||
Unvested restricted stock units | 300,000 | 300,000 | 300,000 | 225,000 |
Earnings per Share - Earnings p
Earnings per Share - Earnings per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Basic Earnings per Share | |||
Net (loss) income available to common shareholders | $ (31,937) | $ 4,996 | $ 32,518 |
Available to- allocate pro-rata between Class A and B | 0 | 0 | 0 |
Diluted Earnings per Share | |||
Net (loss) income available to common shareholders | (31,937) | 4,996 | 32,518 |
Available to - allocate pro rata between Class A and B | $ 0 | $ 0 | $ 0 |
Class A Common Stock [Member] | |||
Class of Stock [Line Items] | |||
Basic weighted average number of common shares outstanding | 47,541,484 | 47,541,409 | 47,513,846 |
Weighted average number of RSU's without service conditions (note 13) | 243,904 | 168,904 | 93,904 |
Dilutive effect of share-based incentive awards | 113,423 | 159,516 | |
Common shares and common share equivalents | 47,785,388 | 47,823,736 | 47,767,266 |
Basic Earnings per Share | |||
Net (loss) income available to common shareholders | $ (31,937) | $ 4,996 | $ 32,518 |
Available to - Class A shareholders for arrears | $ 0 | $ 0 | $ 0 |
Earnings per share | $ (0.67) | $ 0.10 | $ 0.68 |
Diluted Earnings per Share | |||
Net (loss) income available to common shareholders | $ (31,937) | $ 4,996 | $ 32,518 |
Available to - Class A shareholders for arrears | $ 0 | $ 0 | $ 0 |
Earnings per share | $ (0.67) | $ 0.10 | $ 0.68 |
Class B Common Stock [Member] | |||
Class of Stock [Line Items] | |||
Basic weighted average number of common shares outstanding | 7,405,956 | 7,405,956 | 7,405,956 |
Dilutive effect of share-based incentive awards | 0 | 0 | 0 |
Common shares and common share equivalents | 7,405,956 | 7,405,956 | 7,405,956 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) $ / shares in Units, $ in Thousands | Mar. 31, 2016shares | Mar. 14, 2016USD ($) | Mar. 08, 2016$ / shares | Mar. 03, 2016Tranches$ / sharesshares | Feb. 02, 2016USD ($) | Mar. 31, 2016 | Dec. 31, 2015Vessel |
Subsequent Event [Line Items] | |||||||
Number of vessels sold | Vessel | 2 | ||||||
Subsequent Events [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Number of tranches | Tranches | 2 | ||||||
Number of consecutive trading days | 20 days | ||||||
Subsequent Events [Member] | 2015 Plan [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Shares issued | 8,529 | ||||||
Shares issued as percentage of directors base fee | 20.00% | ||||||
Subsequent Events [Member] | Second Tranche [Member] | Minimum [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Stock price | $ / shares | $ 5 | ||||||
Subsequent Events [Member] | Restricted Stock Units (RSUs) [Member] | First Tranche [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Number of stock granted | 100,000 | ||||||
Subsequent Events [Member] | Restricted Stock Units (RSUs) [Member] | Second Tranche [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Number of stock granted | 100,000 | ||||||
Subsequent Events [Member] | 10.0 % First Priority Secured Notes Due 2019 [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Excess cash flow and collateral sale offers, amount | $ | $ 28,417 | ||||||
Price in percent at which excess cash flow and collateral sale offers are made | 102.00% | ||||||
Amount accepted on pro rata basis on completion of cash flow and collateral tender offer | $ | $ 26,662 | ||||||
Subsequent Events [Member] | Series B Preferred Shares [Member] | |||||||
Subsequent Event [Line Items] | |||||||
Preferred stock dividends per share declared | $ / shares | $ 54.6875 |