UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of July , 2003
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Knightsbridge Tankers Limited
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(Translation of registrant's name into English)
Par-la-Ville Place, 14 Par-la-Ville Road, Hamilton HM 08, Bermuda
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(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F
Form 20-F X Form 40-F
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Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes No X
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If "Yes" is marked, indicate below the file number assigned to the registrant in
connection with Rule 12g3-2(b): 82-
Item 1. INFORMATION CONTAINED IN THIS FORM 6-K REPORT
Attached as Exhibit 1, is a copy of the Press Release to Shareholders of
Knightsbridge Tankers Ltd. (the "Company") dated July 15, 2003.
FOR IMMEDIATE RELEASE
KNIGHTSBRIDGE TANKERS LIMITED
announces
Cash Distribution
Hamilton, Bermuda, July 15, 2003: Knightsbridge Tankers Limited
("Knightsbridge") announces that its Board of Directors has declared a cash
distribution in the amount of US$0.65 per common share. The cash distribution
will be payable on or about August 8, 2003, to shareholders of record as of July
25, 2003. The declaration of the cash distribution follows the calculation by
Knightsbridge of the payment of charterhire due from Shell International
Petroleum Company Limited ("Shell International"), a member of the Royal
Dutch/Shell Group of Companies, for the period from April 1, 2003 to June 30,
2003.
The charterhire payable by Shell International is the greater of a guaranteed
minimum rate or a spot market related rate. The spot market related rate for the
second quarter of 2003, as determined by the London Tanker Brokers' Panel
exceeded the guaranteed minimum rate by US$20,617 per vessel per day.
The Board of Directors, in considering the amount of cash available for
distribution, has taken into account the receipt by Knightsbridge of notice on
June 24, 2003, that Shell International has chosen not to renew the bareboat
charters for any of Knightsbridge's five double hull very large crude carriers
(VLCC's) for a second seven year period. As a result of this notice, the
existing bareboat charters to Shell will expire for all five VLCC's, in
accordance with their terms, on or about February 27, 2004, subject to the right
of Shell International to extend each charter by up to 90 days. Knightsbridge
has previously stated that it may retain cash in reserve should Shell
International not renew all of the charters. Accordingly, Knightsbridge's Board
of Directors has determined not to distribute all of the cash received from
Shell International as charterhire, but rather to retain part of the cash as a
reserve. The level of cash retained in reserve will depend, in part, on the
shareholders' decision at the special shareholders' meeting that will take place
in September, 2003, as to whether the vessels should be sold.
After allowing for the cash distribution to shareholders of US$0.65 per common
share for the second quarter 2003, Knightsbridge will have retained cash of
approximately US$6.1 million, compared to US$0.3 million for the first quarter
of 2003.
Knightsbridge's Common Shares trade on the Nasdaq National Market under the
symbol "VLCCF".
Summary of Cash Distribution:
Amount: US$0.65 per common share
Ex-Div Date: July 23, 2003
Record Date: July 25, 2003
Payment Date: August 8, 2003
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
Matters discussed in this press release may constitute forward-looking
statements. The Private Securities Litigation Reform Act of 1995 provides safe
harbor protections for forward-looking statements in order to encourage
companies to provide prospective information about their business.
Forward-looking statements include statements concerning plans, objectives,
goals, strategies, future events or performance, and underlying assumptions and
other statements, which are other than statements of historical facts.
Knightsbridge desires to take advantage of the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995 and is including this
cautionary statement in connection with this safe harbor legislation. The words
"believe," "except," "anticipate," "intends," "estimate," "forecast," "project,"
"plan," "potential," "will," "may," "should," "expect" "pending and similar
expressions identify forward-looking statements.
The forward-looking statements in this document are based upon various
assumptions, many of which are based, in turn, upon further assumptions,
including without limitation, our management's examination of historical
operating trends, data contained in our records and other data available from
third parties. Although we believe that these assumptions were reasonable when
made, because these assumptions are inherently subject to significant
uncertainties and contingencies which are difficult or impossible to predict and
are beyond our control, we cannot assure you that we will achieve or accomplish
these expectations, beliefs or projections.
In addition to these important factors, important factors that, in our view,
could cause actual results to differ materially from those discussed in the
forward-looking statements include the strength of world economies and
currencies, general market conditions, including fluctuations in charterhire
rates and vessel values, changes in demand in the tanker market, as a result of
changes in OPEC's petroleum production levels and world wide oil consumption and
storage, changes in Knightsbridge's operating expenses, including bunker prices,
drydocking and insurance costs, the market for Knightsbridge's vesssels,
availability of financing and refinancing, changes in governmental rules and
regulations or actions taken by regulatory authorities, potential liability from
pending or future litigation, general domestic and international political
conditions, potential disruption of shipping routes due to accidents or
political events, and other important factors described from time to time in the
reports filed by Knightsbridge with the Securities and Exchange Commission.
Contact: Knightsbridge Tankers Limited Ola Lorentzon (Oslo, Norway)
Investor Relations 47 23 11 40 00
Kate Blankenship (Hamilton, Bermuda)
1 (441) 295-0182
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorised.
Knightsbridge Tankers Limited
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(Registrant)
Date July 15, 2003 By /s/ Kate Blankenship
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Kate Blankenship
Secretary
01655.0002 #417521