PETROFIN RESEARCH © – Greek shipping companies 1 October ... · (5-8 vessels fleets), Group E (3-4 vessels fleets), Group F (1-2 vessels fleets) Therefore, between 1998 and 2015,

PETROFIN RESEARCH © – Greek shipping companies October 2015

based on data as of September 2015

1

2015 – RESEARCH AND ANALYSIS: GREEK SHIPPING COMPANIES

1ST PART OF 2015 PETROFIN RESEARCH ©

Petrofin Research© are pleased to announce the release of the first part of their 2015 Greek

Shipping research. This year marks the 18th year of Petrofin Research into Greek shipping

by Ted Petropoulos

CONTENTS OF PETROFIN RESEARCH – PART 1

A. RESULTS AT A GLANCE (P. 2)

B. GREEK SHIPPING COMPANIES AND THEIR NUMBERS (P. 3)

C. GREEK SHIPPING COMPANIES AND THEIR FLEET SIZE (P. 4)

D. TOP 30, TOP 50, TOP 70 FLEETS AND 1M TON COMPANIES (P. 10)

E. GREEK SHIPPING COMPANIES AND THEIR FLEET AGE (P. 12)

F. TRENDS AND PROSPECTS (P. 17)

G. METHODOLOGY AND DATA SOURCES – RESEARCH CRITERIA (P. 19)



2

A. RESULTS AT A GLANCE

1. This year’s results reconfirm that Greek shipping is going through a period of pronounced growth in its fleet and consolidation in the number of Greek owners.

2. Fewer companies by 20, down to 648 from 668, a 2.99% annual decline.

3. 25+ vessel fleets constitute now well over half of the Greek total in DWT terms (58.38%), and the number of the companies that run them has grown to 41 compared to 40 in 2014 and 35 in 2013.

4. The big are getting bigger and younger. The top category of 25+ vessel fleets aged 0-9 years keeps expanding significantly from 124,048,654 tons DWT in 2014 to 154,332,959 tons DWT in 2015 (up over 30m tons DWT or 24.41%). The companies that run them are up to 24 from 22 in 2014 and to 14 in 2013.

5. Over 1m ton owners constitute 76.7% of the total fleet, up from 74% in 2014 and 71.33% in 2013. Their number is now 68 from 63 in 2014 and 61 and 2013.

6. Overage fleets of 20 years+ are down again to 231, a reduction of 35 fleets in the last year. Since 2011, the overage fleets of 20+ years have fallen from 411 to 231, or by 44%.

7. Interestingly, 15-19 year old vessel fleets are up by 12, a rise of 13.95% since last year. In 2014 they had showed a decline of 10.41%.

8. The very young fleets (0-9 years of age) continue to rise. Their increase of 6.78% (189 fleets) is less than last year’s 9.94% increase.

9. Smaller companies (with 1-2 vessel fleets) continue to reduce. Since 2011, the total number has fallen from 350 to 262 (down 25%).

10. Over the last 18 years of Petrofin Research, the overall number of Greek companies has declined by 30%.

11. Whilst fleet consolidation in terms of the total Greek owners is still taking place, the overall fleet DWT size is growing fast and its average age is still falling (this year, from 13.25 to 12.73 years).

12. Despite the last 7 years of difficult market conditions, limited bank finance and bleak prospects for most sectors, the Greek fleet has expanded and it now stands at just over 16% of the world fleet (UNCTAD), making it the biggest worldwide. That commitment has been assisted by many joint ventures with private equity funds or between companies.

13. The above trends are expected to continue over the next year, with the number of smaller companies declining sharply.



3

B. GREEK SHIPPING COMPANIES AND THEIR NUMBERS

Another 20 companies have left shipping or have merged, leaving 648 companies compared to 668

last year.

Graph 1

In this part of our research, where the composition of the Greek shipping company is analysed, we note that there has been an overall decline in the total number of Greek shipping companies since 2009.

Of course, the advantages of economies of scale have been instrumental in setting a long-term trend of consolidation in the number of companies whilst strongly supporting the bigger owners. The last 7 years, however, have been immersed in a most enduring shipping recession and continuing drying up of bank ship finance, except towards big clients. These pressures contribute to the reduction of the number of Greek shipping firms, especially among the smaller owners.

However, although at first glance this looks like a decline in Greek shipping, the fleet itself is

expanding fast, is getting younger and the larger owners are growing even bigger. These

developments will be mostly discussed in our second part of our Petrofin Research ©, which

analyses in depth the Greek fleet.

926

754

835

785

749729 733

690 693

725

758773

758 762

718

690668

648

500

550

600

650

700

750

800

850

900

950

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 215

4.55% MORE companies in 20082% MORE companies in 20092% LESS companies in 2010 0.5% MORE companies in 20115.77% LESS companies 20123.9% LESS companies 2013

3.2% LESS companies 2014

18.57% LESS companies in 199910.74% MORE companies in 20005.98% LESS companies in 20014.6% LESS companies in 20022.7% LESS companies in 2003

0.5% MORE companies in 20046.23% LESS companies in 20050.4% MORE companies in 20064.7% MORE companies in 2007

Number of Greek Shipping Companies in operation – 1998 to 2015

3% LESS companies in 2015

Initially based on Greek Shipping Directory, Clarksons’ WFR, Newesfront Greek Shipping Intelligence & market sources PETROFIN RESEARCH © October 2015



4

C. GREEK SHIPPING COMPANIES AND THEIR FLEET SIZE

To facilitate the analysis, please note that Greek companies are divided into the following fleet SIZE

groups:

Group A (25+ vessels fleets), Group B (16-24 vessels fleets), Group C (9-15 vessels fleets), Group D

(5-8 vessels fleets), Group E (3-4 vessels fleets), Group F (1-2 vessels fleets)

Therefore, between 1998 and 2015, the breakdown of the actual numbers per Fleet Size Group has

been as follows:

TABLE 1

The overall number of Greek shipping companies is down by 20; at their lowest point since our

records began. This further fall is translated into -3% on a yoy basis.

GROUP 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

A (25+ vsl

fleets) 19 19 23 19 24 25 31 26 28 29 32 31 31 34 35 35 40 41

B (16-24

vsl fleets) 11 25 22 29 25 31 36 36 30 35 32 35 33 37 37 29 26 30

C (9-15 vsl

fleets) 68 76 85 82 84 69 59 52 64 63 70 80 80 65 54 60 55 51

D (5-8 vsl

fleets) 149 143 140 134 128 138 141 131 137 126 125 123 103 111 113 117 107 110

E (3-4 vsl

fleets) 196 166 189 172 170 158 155 157 146 165 159 161 171 165 167 154 166 154

F (1-2 vsl

fleets) 483 325 376 349 318 308 311 288 288 307 340 343 340 350 312 297 274 262

TOTAL

NUMBER OF

COMPANIES

926 754 835 785 749 729 733 690 693 725 758 773 758 762 718 690 668 648

PETROFIN RESEARCH © OCTOBER 2015



5

GRAPH 2

OBSERVATIONS

a. 1-2 vessel companies are down by 12 and so are the 3-4 vessel companies. Very few

moved to the 5-8 category, but it is obvious that the pressures of a bad market,

ageing of vessels and total lack of shipfinance for their size, is taking its toll.

b. On the other end of the spectrum, 16-24 vessel segment has risen and the 25+

vessel fleets not only held but even slightly increased. This is mainly due to a

number of these owners growing larger via newbuildings and second-hand

purchases, taking advantage of the plunging vessel prices, as well as forming

partnerships with private equity funds. They are also the only remaining customers

of traditional shipfinancing banks.

Smallest fleets –continue to drop

Largest fleets –more than ever

Numbers of Greek shipping companies in terms of fleet size

Initially based on Greek Shipping Directory, Clarkson’s World Fleet Register, Newsfront Greek Shipping Intelligence & market sources PETROFIN RESEARCH © October 2015

19 19 23 19

24 2531 26 28 29 32 31 31 34 35 35 40 41

11 25 22 29 25 31 36 36 30 35 32 35 33 37 3729 26 30

6876

85 82 8469

59 5264 63 70

80 8065

54 60 5551

149 143 140 134 128138 141

131 137126 125 123

103111 113 117

107 110

196

166

189172 170

158 155 157146

165 159 161171 165 167

154166

154

483

325

376

349

318308 311

288 288

307

340 343 340350

312297

274262

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

A (25+ vsl fleets) B (16-24 vsl fleets) C (9-15 vsl fleets)

D (5-8 vsl fleets) E (3-4 vsl fleets) F (1-2 vsl fleets)



6

In Table 2 below, we note the percentage of the Greek fleet held by shipping companies in terms of

the number of vessels they own.

TABLE 2: GREEK FLEET PERCENTAGE HELD BY EACH SIZE GROUP IN TERMS OF NUMBER OF VESSELS

Year Group F

1-2 vessel companies

Group E 3-4 vessel companies

Group D 5-8 vessel companies

Group C 9-15 vessel companies

Group B 16-24 vessel companies

Group A 25+ vessel companies

1998 52.16% 21.17% 16.09% 7.34% 1.19% 2.05% 1999 43.1% 22% 18.9% 10.1% 3.4% 2.5% 2000 45% 22.6% 16.8% 10.2% 2.6% 2.8% 2001 44.45% 22% 17% 10.45% 3.7% 2.4% 2002 42.45% 22.69% 17.08% 11.21% 3.37% 3.2% 2003 42.24% 21.66% 18.92% 9.45% 4.25% 3.48% 2004 42.43% 21.14% 19.24% 8.06% 4.9% 4.23% 2005 41.73% 22.75% 18.99% 7.54% 5.22% 3.77% 2006 41.55% 21.07% 19.77% 9.24% 4.33% 4.04% 2007 42.34% 22.76% 17.38% 8.69% 4.83% 4% 2008 44.85% 20.98% 16.49% 9.23% 4.22% 4.22% 2009 44.37% 20.83% 15.91% 10.35% 4.53% 4.01% 2010 44.85% 22.55% 13.6% 10.55% 4.35% 4.1% 2011 45.93% 21.66% 14.57% 8.53% 4.85% 4.46% 2012 43.4% 23.2% 15.7% 7.5% 5.1% 4.8% 2013 42.75% 22.32% 16.95% 8.69% 4.2% 5.07% 2014 41.02% 24.85% 16.02% 8.23% 3.89% 5.99% 2015 40.43% 23.76% 16.97% 7.87% 4.62% 6.32%

Petrofin Research © October 2015

More big fleets of 16+ vessels than ever before.



7

COMPANY FLEETS IN TERMS OF TONNAGE The total DWT of the entire Greek fleet in 2015 is 328,254,495 tons DWT, compared to 303,579,176

in 2014 and 281,467,983 in 2013. This increase by just over 8% is distributed in a totally different

way to that of company numbers, as shown in Table 3.

TABLE 3: FLEET PERCENTAGE HELD BY EACH SIZE GROUP IN DWT TERMS

1-4 vessel fleets 5-8 vessel fleets 9-15 vessel fleets 16-24 vessels fleets 25+ vessel fleets

2010 11.67% 10.15% 16.96% 18.96% 42.27%

2011 11.17% 10.35% 12.76% 20.68% 45.04%

2012 10.67% 12.19% 12.17% 18.37% 46.6%

2013 9.27% 13.5% 13.7% 14.6% 49%

2014 9.46% (1-2 vessel fleets are down,

3-4 are up) 10.11% 13.62% 11.72% 55%

2015 8.24% 10.06% 10.7% 12.62% 58.38%


The biggest fleets (25+ vessels) increased their market share to 58.38% of the entire Greek fleet.

16-24 vessel fleets now hold 12.62% of the Greek fleet. Greek fleet expansion is primarily and almost

entirely a top fleet matter.

In the pie charts below (Graph 3) we observe how the above top 2 tiers have grown in terms of

millions of tons. 25+vessel fleets leapt up by 14.58%, from 167,242,388 tons DWT to 191,621,179,

and 16-24 vessel fleets went up by 16.48% from 35,578,298 to 41,441,992 tons DWT.



8

GRAPH 3

2015 - NUMBER OF GREEK SHIPPING COMPANIES IN TERMS OF THEIR FLEET AGE AND SIZE IN DWT TERMS

Fleet size : 25+ vessels - Group ANo of companies : 41 - Total DWT: 191,621,179 –% of total of Greek fleet DWT : 58.38%

(2014:167,242,388 or 55%-2013: 137,786,118 or 48.95% - 2012: 122,838,928 or 46.6%)

Vessels 0 - 9 years of age

Vessels 10 - 14 years of age

Vessels 15-19 years of age

Vessels 20+ years of age

648 Greek shipping companies currently operating - October 2015

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Fleet size : 16 -24 vessels - Group BNo of companies : 30 – Total DWT: – 41,441,992% of total of Greek fleet DWT : 12.62%

(2014:35,578,298 or 11.7%-2013:41,049,409 or 15% -2012:48,422,665 – or 18%)

Fleet size : 9 - 15 vessels - Group CNo of companies : 51 – Total DWT: 35,123,179 -% of total of Greek fleet: 10.7%

(2014:41,333,120 or 13.62%-2013:38,541,046 or 13.7%- 2012:3 2,081,880 or 12.17%)

Fleet size : 5 - 8 vessels - Group DNo of companies : 110 - Total DWT: 33,011,300 –% of total of Greek fleet DWT: 10.06%

(2014: 30,706,661 or 10.11% - 2013: 38,011,791 or 13.5% - 2012: 32,149,157 or 12.19%)

Fleet size : 3 - 4 vessels - Group ENo of companies : 154 – Total DWT: 18,312,022% of total of Greek fleet DWT: 5.58% (2014:20.023.878 or 6.6% - 2013: 16,777,631 or 6% - 2012:18,956,296 or 19%)

154,332,959

31,769,324

3,560,0911,958,805

2014

Fleet size : 1 -2 vessels - Group FNo of companies : 262 - Total DWT: 8,744,823) % of total of Greek fleet DWT: 2.66%(2014: 8,694,831 or 2.86% - 2013: 9.302.088 or 3.3% - 2012:9,186,494 or 3.48%)

34,257,561

6,800,078

358,614 25,739

25,393,654

8,772,819

381,507575,199

15,675,564

11,645,259

4,189,7131,500,764

8,544,955

4,911,903

3,191,616

1,663,548

2,952,106

2,090,411

2,210,098

1,492,208

2014 2014

1,854,471

2,235,9902,420,520

2,183,8508,014,426

5,844,405

4,184,617

1,980,430

15,816,33211,754,887

1,086,0622,049,380

2014

22,884,03916,638,934

700,690 1,109,457

2014

27,516,9787,683,472

316,111 61,7372014

124,048,651

38,133,483

4,864,804 195,450

Initially based on Greek Shipping Directory, Clarkson’s World Fleet Register, Newsfront Greek Shipping Intelligence & market sources

Comments: In the smallest 1-2 vessel

fleets, the oldest vessels of over 20 years

of age show a decline of 31.67%. The

youngest vessel section, however, show a

remarkable increase to 2,952,106 tons

DWT, i.e. an increase of 59.19%.

The focus of fleet renewal by the 3-4

vessel owners has been on increasing the

0-9 year old tonnage.

The 5-8 vessel strong owners of 15-19

year old fleets have increased by an

impressive 285.77%, reducing mainly the

20+ year old fleets by 26.77%. The

dramatic reductions in the prices of these

vessels have encouraged primarily cash

purchases of this age range.

The interesting events in the 9-15 vessel

fleets occur in the 20+, 15-19 and 10-14

year old fleets. These have slashed

practically by half. The 0-9 year old ones

show an increase of 11%. The whole

group is down 6.2m tons DWT.

Nearly 6m tons DWT have been added to

the 16-24 vessel fleet group. The over 20

year olds have almost totally

disappeared, and the 0-9 year olds have

increased by 24.5%. 24m tons have been

added to the biggest Greek fleet.

In the biggest 25+ vessel fleets, the

remarkable event is the increase by

1.8tons DWT in the 20+ age range. The

youngest fleets also have increased by

24.41% and the rest show a decrease

between 20-28%.

The hold of the 0-9 year old fleets across all fleet sizes has increased from 65.93% of the total of the Greek fleet to 73.47%.



9

GRAPH 4

2015 – Greek shipping companies in terms of their fleet age and number of vessels

Fleet size : 25+ vessels - Group ANo of Cos: 41 - 6.32% of total of Greek fleet DWT: 2014:40 cos or 5.98%-2013: 34 cos or 5% - 2012: 35 cos or 4.87%

Fleets 0 - 9 years of age

Fleets 10 - 14 years of age

Fleets 15-19 years of age

648 Greek shipping companies currently operating - October 2015Fleets 20+ years of age

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Fleet size : 16 -24 vessels - Group BNo of Cos: 30 - 4.62 % of total of Greek fleet DWT:2014:26 cos or 3.89%-2013: 29 cos or 4.2% - 2012: 37 cos or 5.15%

Fleet size : 9 - 15 vessels - Group CNo of Cos: 51 - 7.87% of total of Greek companies: 2014:55 cos or 8.23%-2013: 60 cos or 8.7% - 2012: 54 cos or 13.3%

Fleet size : 5 - 8 vessels - Group DNo of Cos : 110 – 16.97% of total of companies2014:107 cos or 16%-2013: 117 cos or 16.95% - 2012: 113 cos or 15.74%)

Fleet size : 3 - 4 vessels - Group ENo of Cos: 154- 23.76% of total of Greek companies2014:166 cos or 25%-2013: 154 or 22.31% - 2012: 167 Cos or 23.26%

24

12

23

Fleet size : 1 -2 vessels - Group FNo of Cos : 262 - 40.43% of total of Greek companies2014:274 cos or 41%-2013: 295 cos or 42.75% - 2012: 312 cos or 43.45%

18

7

1

4

26

14

2

9

37

32

12

29 46

3229

47

38

33

52

139

2014

Initially based on Greek Shipping Directory, Clarkson’s World Fleet Register, Newsfront Greek Shipping Intelligence & market sources

3239

41162

43

3632

55

2014

40

296

32

2014

24

163

12

2014

2014167

122014

2212

33

Comments:

Compared to the Pie Charts

above (Graph 3) we note that in

the 25+ vessel fleets the 3

existing ones with the 20+ year

old fleets are the ones that

increased their tonnage by

1.8m tons DWT.

The trend towards younger

fleets is obvious.

6.32% of the Greek companies

are those with 25+ vessels and

they hold 58.38% of the whole

Greek tonnage.

The smaller companies (1-4

vessels) are reducing, albeit at a

slow rate. It is expected that

they will start reducing at a

faster rate as finance for fleet

renewal is unavailable and with

the introduction of new

regulations.



10

D. TOP 30, TOP 50, TOP 70 FLEETS AND 1M TON COMPANIES

TABLE 4

Top 30 fleets’ total

DWT

Top 50 fleets’

total DWT

Top 70 fleets’

total DWT

Total Greek fleet

DWT

2007

104,049,575 106,551,097 147,429,915

208,001,159

50.02% 51.23% 70.88%

2008

111,643,505 139,772,288 157,349,073

222,368,331

50.21% 62.86% 70.76%

2009

118,473,829 147,699,624 166,380,212

237,288,216

49.93% 62.24% 70.12%

2010

123,195,698 157,247,298 175,831,037

242,802,092

50.74% 64.76% 72.42%

2011

133,219,034 164,584,202 185,644,178

256,174,041

52.00% 64.25% 72.47%

2012

139,088,078 172,621,328 193,407,761

263,635,420

52.8% 65.5% 73.4%

2013

155,066,892 188,918,600 209,510,387

281,467,983

55.09% 67.12% 74.3%

2014

170,144,932 207,716,808 231,300,786

303,579,176

56.05% 68.42% 76.19%

2015

189,561,161 230,548,857 253,689,568 328,254,495

62.44% 75.94% 83.57%

PETROFIN RESEARCH © OCTOBER 2015

Growing at a fast pace, top fleets own an ever increasing chunk of the whole Greek fleet.



11

1M TON DWT COMPANIES

This year, the owners with over 1m DWT are 68, whose characteristics are shown in the following

Table:

TABLE 5:

Number of companies owning over 1 million ton DWT

Number of vessels

No of vessels added

Total DWT tonnage owned by these companies

DWT added

Average Vessel DWT

Average vessel age

% of the Greek fleet

2011 62 1764 178,495,577 100,617 8.56 69.7%

2012 60 1769 5 184,692,854 6,197,277 104,405 8.7 70%

2013 61 1848 79 201,305,030 16,612,176 108,931 8.6 71.33%

2014 63 2121 273 224,538,613 23,233,583 104,388 8.6 73.96%

2015 68 2434 313 251,757,001 27,218,388 103,443 8.3 76.7%


OBSERVATIONS

a. The most eye catching development is the increase in the number of vessels and tonnage

added.

b. Again, the average vessel DWT is slightly reduced, which shows that even smaller vessels

were purchased in the spree of this year.

c. The age has gone down.

d. Ton millionaires are strengthening their share of the Greek fleet.



12

E. GREEK SHIPPING COMPANIES AND THEIR FLEET AGE

The overall age of the fleet is down by half a year, to 12.72 from 13.25 in 2014 and from 14.05 in

2013.

The downward trend has been as follows: 12.72 in 2015, 13.25 in 2014, 14.05 in 2013, 14.7 years in

2012, 15.9 years in 2011, 16.64 years in 2010, 17.6 in 2009, 18.4 in 2008, 18.71 in 2007, 19.14 in

2006 and 23 years in 2005.

THE OVERAGE FLEET

The percentage of vessels of 30 years and above has reduced to 9.55% (in terms of units) this year

from 24.54% in 2011 to 12.54% in 2012 to 11.68% in 2013 to 10.88% in 2014.

TABLE 6

Vessels over 30

years Tonnage over

30 years of age % of whole

fleet in units

% of whole fleet in

tonnage terms

2013 534 2,778,276 11.68% 0.99%

2014 512 2,592,493 10.88% 0.85%

2015 469 1,729,744 9.55% 0.53%

Petrofin Research © - October 2015

To enable closer analysis, please note that Greek fleets are divided into the following age groups:

0-9 years of age, 10-14 years of age, 15-19 years of age and 20+ years of age.

TABLE 7A: FLEETS OF 20+ YEARS OF AGE

Group F

1-2 vessel

companies

Group E

3-4 vessel

companies

Group D

5-8 vessel

companies

Group C

9-15 vessel

companies

Group B

16-24 vessel

companies

Group A

25+ vessel

companies

Totals

2015 139 47 29 9 4 3 231

2014 162 55 32 12 2 3 266

2013 195 63 28 18 4 4 312

2012 219 84 36 18 8 4 369

2011 245 92 38 26 7 3 411

2010 252 101 50 36 10 6 455

2009 270 106 67 31 11 10 495

2008 270 116 68 33 11 11 509

2007 256 123 67 34 11 10 501



13

2006 239 103 72 37 9 7 467

2005 238 116 82 27 14 7 484

2004 258 112 80 35 11 10 506

2003 256 119 84 38 11 10 518

2002 262 134 81 49 10 10 546

2001 292 133 94 46 14 11 590

2000 302 138 89 45 10 9 593

1999 253 130 91 40 13 11 538

1998 No comparable data - in 1998 15-19 and 20+ year old vessels were calculated together

A further reduction by 35 companies shows that overage fleets continue their steep decline.

Consistently with the previous years, this decline in older vessel numbers takes place when shipping

is undergoing its most acute crisis ever.

TABLE 7B: FLEETS OF 15-19 YEARS OF AGE

Group F

1-2 vessel

companies

Group E

3-4 vessel

companies

Group D

5-8 vessel

companies

Group C

9-15 vessel

companies

Group B

16-24 vessel

companies

Group A

25+ vessel

companies

Totals

2015 52 29 12 2 1 2 98

2014 41 32 6 3 1 3 86

2013 37 28 14 8 4 5 96

2012 30 25 15 5 4 4 83

2011 36 25 16 8 6 5 96

2010 42 25 11 10 7 1 96

2009 31 17 17 13 8 1 87

2008 28 16 14 10 8 3 79

2007 23 18 20 6 10 2 79

2006 14 22 22 5 8 3 74

2005 20 14 20 8 10 3 75

2004 20 28 31 9 13 5 106

2003 24 23 29 17 12 7 112

2002 33 22 31 21 6 9 122

2001 35 27 24 22 6 6 120



14

2000 47 35 33 24 7 7 153

1999 48 26 33 23 7 7 144

1998 No comparable data as in 1998 15-19 and 20+ year old vessels were calculated together

The number of companies running fleets between 15-19 years of age has gone up by 12, especially

in the 1-2 vessel fleet sector.

TABLE 7C: FLEETS OF 10-14 YEARS OF AGE

Group F

1-2 vessel

companies

Group E

3-4 vessel

companies

Group D

5-8 vessel

companies

Group C

9-15 vessel

companies

Group B

16-24 vessel

companies

Group A

25+ vessel

companies

Totals

2015 33 32 32 14 7 12 130

2014 39 36 29 16 7 12 139

2013 39 21 34 10 5 12 121

2012 36 24 30 12 9 11 122

2011 32 27 21 13 7 4 104

2010 14 26 17 11 4 7 79

2009 16 22 16 14 6 9 83

2008 16 15 21 13 4 9 78

2007 13 13 20 9 7 10 72

2006 18 14 22 10 6 13 83

2005 14 19 13 9 8 12 75

2004 14 11 15 7 7 11 65

2003 11 10 18 7 6 7 59

2002 10 8 9 8 7 5 47

2001 8 5 11 9 5 2 40

2000 14 8 13 11 3 6 55

1999 10 4 15 10 2 1 42

1998 14 8 15 14 2 2 55

10-14 year old fleets are down, especially in the small fleet companies, indicating the ageing of some

of these fleets.



15

TABLE 7D: FLEETS OF 0-9 YEARS OF AGE

Group F

1-2 vessel

companies

Group E

3-4 vessel

companies

Group D

5-8 vessel

companies

Group C

9-15 vessel

companies

Group B

16-24 vessel

companies

Group A

25+ vessel

companies

Totals

2015 38 46 37 26 18 24 189

2014 32 43 40 24 16 22 177

2013 24 42 41 24 16 14 161

2012 27 34 32 19 16 16 144

2011 37 21 36 18 17 22 151

2010 32 19 25 23 12 17 128

2009 26 16 23 22 10 11 108

2008 26 12 22 14 9 9 92

2007 15 11 19 14 7 7 73

2006 17 7 21 12 7 5 69

2005 16 8 16 8 4 4 56

2004 19 4 15 8 5 5 56

2003 17 6 7 7 2 1 40

2002 13 6 7 6 2 0 34

2001 14 7 5 5 4 0 35

2000 13 8 5 5 2 1 34

1999 14 6 4 3 3 0 30

1998 16 5 5 1 2 1 30

Youngest fleets keep increasing across the board.



16

In Graph 4 we see a collective graph of the above results.

GRAPH 5

Greek Shipping Companies - Grouped in terms of Fleet AgeEvolution since 1998

*1998: NB. In 199815-19 and 20+ year old vessels were

calculated together.

0

100

200

300

400

500

600

700

800

900

231266

312369

411455

495 509 501467 484 506 518

546590 593

538

841

9886 96 83 96 96 87 79 79 74 75

106 112 122 120153 144130

139

121 122104

79 83 78 72 83 75 6559 47 40

55 42 55

189 177 161 144 151128 108 92

73 69 56 5640 34

35 34 30 30

Companies operating 20+ year old fleets Companies operating 15-19 year old fleets

Companies operating 10-14 year old fleets Companies operating 0-9 year old fleets

*

Initially based on Greek Shipping Directory, Clarkson’s World Fleet Register, Newsfront Greek Shipping Intelligence & market sources PETROFIN RESEARCH © October 2015



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F. TRENDS AND PROSPECTS

This year’s Petrofin Research © reaffirms the trend by Greek shipping for fewer companies but owning on average larger fleets and involving younger and larger sized vessels.

Finance and capital opportunities are only available to large companies, which have invested heavily in modern eco vessels. Consequently, the big owners are pulling away from small owners, who are finding the going tough, unaided by the poor shipping markets and the dearth of finance and capital. Middle sized companies have had a mixed performance.

An additional trend has been the emphasis on young vessels. This has been observed in all size segments, even in those involving small owners. This year, a third of very small owners (1 – 2 vessel fleets) and nearly half of small owners (3 – 4 vessel fleets) based on DWT, demonstrate a clear commitment towards younger fleets (0 – 9 years old). A continuing development has been the relatively large number of new companies formed by the offshoots of large family companies providing younger family members with an opportunity to follow their own way. These companies may start in a small way but possess all the quality characteristics and commitment to grow over time.

There is increasing evidence that economies of scale have weighed heavily in the progress of Greek shipping companies. This has become readily apparent, especially over the last six years, as the markets have been largely poor and the consolidation trend has reaffirmed its course. It is interesting to observe that this consolidation process slows down or reverses during very strong markets, only to resume its trend, when markets subside.

US equity funds continue to shape Greek shipping. By co-investing in young vessels and newbuildings, these funds are propelling Greek shipping upwards. Their effect can also be seen in the size of Greek companies, as they assist them to grow and break out of their original size limits. A case in point is Star Bulk, which had been propelled to a colossus of over 100 vessels, by the actions of its main shareholder, Oaktree, as a result of its consolidation of its investments in shipping e.g. Excel fleet. Due to the difficult dry bulk and container markets, the outlook for such private equity fleets is uncertain.

There is a large part of Greek shipping that still relies on the support of the banks to survive. The cash flow generated from ship ownership has often been short of the bank’s requirements and, consequently, loan restructures continue to take place. Here, we must give due credit to the banks, which have shown patience, realism, as well as trust towards their clients. Nevertheless, some banks have started to apply strong pressure on their non performing clients to sell and such pressure is expected to increase.

The long awaited shipping portfolios sale has not materialised with a bang but piece by piece. Via a policy of restructuring new loans, loan repayments and some loan portfolio sales, the ship finance industry is fundamentally changing, whereby European banks (with the exception of Dutch and Swiss banks) are largely contracting and Far Eastern and other banks are, generally, expanding. (Please see the latest Petrofin Bank Research © at www.petrofin.gr).

The current order book consists of approximately 476 vessels (Clarkson’s World Fleet Register, October 2015), and 30 out of 103 owners have ordered 60% of these vessels. Those owners are considered the strongest in financial terms. Although newbuilding finance is becoming less scarce,

http://www.petrofin.gr/



18

the cost of securing a bank’s loan commitment is high. It is estimated that above half of all Greek orders with delivery from 2016 onwards, remain unfinanced.

The continuing fall in dry bulk values on the one hand and the enhanced prospects in the tanker markets on the other, may signal a shift by Greek owners towards the tanker and container markets. Although, shipping equity funds slowed down their involvement in the last 2 quarters, their underlying interest in Greek shipping remains unaffected and they are simply looking for better investment opportunities. At this time, a dichotomy in owners’ sentiment has developed. Although, privately most owners are concerned over the outlook of the shipping markets, due to the effects of the order book, the oversupply of vessels, as well as the effects of international conflict and trade restrictions, their appetite for newbuilding orders and vessel purchases continues. The only explanation seems to be that large owners believe that such investments represent long term good value for money and that a shipping recovery may not be that far away. It appears that the Greek economic crisis and threat of higher taxes has so far not adversely affected Greek owners’ expansion plans which may materialize from within Greece or outside it.

We wish to point out that unlike in previous cases, where wars, earthquakes etc. brought about a rebuilding boom, the recent conflicts in Iraq, Afghanistan, Syria, Libya, Ukraine etc., have not subsided and these areas represent trade-poor countries with little activity. International trade, heavily hampered by China’s financial growth showdown, is affected by the current world wide sentiment of insecurity and it is, therefore, very difficult to predict whether we will return any time soon to the older patterns of cyclicality with strong international trade growth opportunities. A greater focus on solving these problem areas, as well as reducing trade restrictions and embargos is required for international trade to grow, which is a prerequisite for a sustained shipping recovery.

Lastly, we envisage that the Greek fleet will continue to grow but at a reduced pace, on account of the slowdown of new orders and the postponement and delayed deliveries of existing orders. Due to the adverse economic, financial and political condition, it is expected that the consolidation of Greek shipping shall continue at an accelerated pace.



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G. METHODOLOGY AND DATA SOURCES – RESEARCH CRITERIA

METHODOLOGY AND DATA SOURCES Petrofin Research © has been publishing for 18 consecutive years the detailed profile of the entire

Greek-owned/Greek-based Shipping Companies and Fleets. Thus, a trend line since 1998 has been

established regarding the overall number of Greek Shipping Companies as well as their fluctuation

and profile in terms of size of company and the respective age of their fleets.

The basic sources used for this study is the 2015 Greek Shipping Directory, the weekly Newsfront

Greek Shipping Intelligence right up to beginning October 2015, cross-referenced with the on-line

updates of the Greek Shipping Directory and with Clarkson’s World Fleet Register, as well as market

sources. As we do every year, market reports and data on Greek fleets are extensively used to

double-check fleet and company data, as well as numerous additional industry sources that we use

every year.

Our total industry data covers all vessels and all vessel types included in the total statistics for Greek-

based shipping and shipping companies. However, in the second part, specific research is conducted

separately into tankers, bulkers and container vessels, LNGs and LPGs.

RESEARCH CRITERIA

1. Only the Greek-owned/Greek-based fleets are taken into consideration. This also

includes the Groups that operate abroad, provided they have an office in Greece.

2. Regarding US and UK listed companies initiated/promoted/managed by Greek interests,

which also hold a Greek presence, these are included in our research.

3. We have taken into account newbuildings that have a date of delivery up to and

including 2016 only, as it is not certain that all Greek newbuilding orders beyond 2016

shall materialise, due to cancellations, sales and delays.

Documents

PETROFIN RESEARCH © – Greek shipping companies 1 October ... · (5-8 vessels fleets), Group E (3-4 vessels fleets), Group F (1-2 vessels fleets) Therefore, between 1998 and 2015,