AMSC ASA — Earnings Release 2022

May 19, 2022

AMERICAN SHIPPING COMPANY ASA

First Quarter 2022 Report

First Quarter 2022 Report

Lysaker, 19 May 2022, American Shipping Company ASA ("AMSC" or the "Company") announces results for the first quarter ending 31 March 2022.

HIGHLIGHTS

• Stable Q1 financial performance with bareboat revenue of USD 21.7 million, normalized EBITDA of USD 21.7 million and adjusted net profit of USD 4.9 million
• Backlog of secured bareboat revenue of USD 137.8 million with average weighted tenor of 1.6 years, excluding any additional bareboat hire from the Normand Maximus
• Declared Q1 dividend of USD 0.12 per share, supported by the Company's free cash flow
• On 12th May, AMSC reported an agreement to acquire the offshore construction vessel Normand Maximus together with a long‐ term bareboat charter commencing in Q4 2022 to a subsidiary of Solstad Offshore ASA

AMSC CEO, Pål Lothe Magnussen comments, "As usual we report stable financial performance for the quarter backed by contracted cash flows. The current activity level in the Jones Act tanker market is strong with continued positive market outlook. We are confident on securing new contracts for the three vessels redelivered to us towards the end of the year. We are also very excited about the acquisition of the offshore construction vessel, Normand Maximus, together with a new long‐term bareboat contract with a subsidiary of Solstad Offshore ASA. The transaction is accretive on all financial metrics and will lead to a significant increase in cash flow as well as diversification of risk and a first step towards growing our fleet."

MAIN EVENTS DURING AND SUBSEQUENT TO THE FIRST QUARTER

• Operating profit: Operating profit wasstable at USD 12.4 million in Q1 2022 and USD 12.0 million in Q1 2021.
• Normalized EBITDA: Normalized EBITDA of USD 21.7 million for Q1 2022 consists of base bareboat revenue of USD 21.7 million, plus Deferred Principal Obligation ("DPO") of USD 0.8 million, less SG&A of USD 0.8 million. The comparative figure for Q1 2021 for normalized EBITDA was USD 21.3 million (consisting of base bareboat revenue of USD 21.7 million, plus DPO of USD 0.8 million, less SG&A of USD 1.3 million). See Note 14 for more detailed information.
• Adjusted net profit: Adjusted net profit of USD 4.9 million for Q1 2022 consists of net profit after tax, adjusted for non‐recurring items, currency fluctuations, mark‐to‐market of derivatives and changes to non‐ cash deferred tax expenses. The comparative figure for Q1 2021 was USD 5.4 million. See Note 14 for further details.
• Acquisition of Normand Maximus during Q2: On 12th May 2022, the Company announced an agreement to acquire the offshore construction vessel Normand Maximus together with a new long‐term bareboat contract with a subsidiary of Solstad Offshore ASA. Purchase price is USD 157 million, a USD 20 million deposit has been placed in an escrow account and delivery of the vessel is expected to take place during Q4 2022. The bareboat contract is 5 years firm with 2 x 5 years extension options. Solstad Offshore has options to purchase the vessel at year 5 and 10. The vessel will be placed in a Norwegian single purpose company directly and 100% owned by American Shipping Company ASA.
• Dividends: On 24 February 2022, the Board authorized a quarterly dividend payment of USD 0.12 per share, the equivalent of NOK 1.0573 per share, to the shareholders on record as of 4 March, which was paid on 14 March 2021. The dividend was classified as a return of paid in capital.

On 18 May 2022, the Board authorized a dividend payment of USD 0.12 per share to the shareholders on record as of 26 May 2022. The shares in AMSC will be traded ex. dividend from and including 25 May 2022, and the dividend will be paid on or about 10 June 2022. The dividend is classified as a return of paid in capital.

Dividend guidance: The Company's policy with respect to dividends is driven by the Board's commitment to return value to its shareholders while also prudently managing its balance sheet and maintaining financial flexibility to pursue growth and diversification opportunities. Dividend payments depend on, among other things, performance of existing contracts including outlook for profit share and ability to secure new contractsfor redelivered vessels andwill be considered in conjunctionwith the Company'sfinancial position, debt covenants, capital requirements, and market conditions going forward.

FIRST QUARTER FINANCIAL REVIEW

Condensed Income Statement

	unaudited
	Q1	Q1
Amounts in USD million (except share and per share information)	2022	2021
Operating revenues	21.7	21.7
Operating profit before depreciation ‐ EBITDA	20.9	20.4
Normalized EBITDA	21.7	21.3
Operating profit ‐ EBIT	12.4	12.0
Net financial expense	(7.5)	(6.9)
Unrealized gain/(loss) on interest swaps	6.5	(0.5)
Net foreign exchange gain/(loss)	0.1	0.1
Profit/(loss) before income tax	11.5	4.7
Income tax expense	(0.1)	0.3
Non‐cash income tax (expense) / benefit	(2.6)	(1.1)
Net profit/(loss) for the period *	8.8	3.9
Adjusted net profit	4.9	5.4
Average number of common shares	60,616,505	60,616,505
Earnings/(loss) per share (USD)	0.15	0.06

* Applicable to common stockholders of the parent company

First quarter results

AMSC's operating revenues for Q1 2022 and Q1 2021 were USD 21.7 million each. EBITDA was USD 20.9 million in Q1 2022 and USD 20.4 million in Q1 2021. Operating profit was USD 12.4 million in Q1 2022 (USD 12.0 million in Q1 2021).

Net financial expense for Q1 2022 was USD 7.5 million (USD 6.9 million in Q1 2021). In Q1 2022, AMSC had an unrealized gain of USD 6.5 million on the mark‐to‐market valuation of its interest rate swap contracts related to its vessel financing (USD 0.5 million loss in Q1 2021).

AMSC had a net profit before tax for Q1 2022 of USD 11.5 million compared to USD 4.7 million in Q1 2021. Current income tax expense was USD 0.1 million in Q1 2022 (USD 0.3 million benefit in Q1 2021). Non‐ cash income tax expense was USD 2.6 million in Q1 2022 (USD 1.1 million in Q1 2021). Net profit for Q1 2022 was USD 8.8 million compared to USD 3.9 million in Q1 2021.

Condensed Statement of Financial Position

	unaudited
	31‐Mar	31‐Mar	31‐Dec
Amounts in USD million	2022	2021	2021 *
Vessels	606.6	641.2	615.1
Deferred tax assets	10.7	14.3	11.3
Interest‐bearing long term receivables (DPO)	7.3	20.9	7.3
Derivative financial assets	10.1	‐	3.6
Trade and other receivables	14.5	2.8	14.9
Cash held for specified uses	6.3	5.7	5.4
Cash and cash equivalents	50.8	32.7	55.9
Total assets	706.3	717.6	713.6
Total equity	150.8	159.1	149.2
Deferred tax liabilities	18.0	9.8	16.2
Interest‐bearing long term debt	505.7	510.7	511.9
Derivative financial liabilities	‐	1.7	‐
Interest‐bearing short term debt	26.8	26.8	26.8
Trade and other payables	5.0	9.5	9.5
Total equity and liabilities	706.3	717.6	713.6

* Derived from audited financial statements

The decrease in Vessels from 31 December 2021 reflects depreciation of the Company's 10 vessels for the first quarter 2022.

During Q1 2022, Overseas Shipholding Group, Inc. ("OSG") made repayments on the DPO of USD 0.8 million, of which USD 0.5 million is principal repayment. As of 31 March 2022, USD 13.6 million of the DPO balance was reclassified to short term trade and other receivables. See note 12 to the condensed consolidated financial statements for additional information on the DPO.

Cash held for specified uses includes minimum balances held in earnings accounts for each of the Company's respective bank loans.

Interest bearing debt as of 31 March 2022 was USD 532.5 million, net of USD 6.3 million in capitalized fees versus USD 538.6 million as of 31 December 2021. This debt relates to the bank financing for the Company's 10 vessels of USD 318.8 million and the unsecured bond of USD 220.0 million. AMSC was in compliance with all of its debt covenants as of 31 March 2022.

Outlook

The start of 2022 has been very active in the Jones Act tanker market, driven by increased oil prices and lifting of pandemic restrictions globally. Time charter rates have moved above \$60,000 for 3 to 9 month charters, but there have been few time charter fixtures with longer duration. However, charterers are now considering to fix longer term, which is positive with regards to the redeployment of the three vessels that will be returned to AMSC in December 2022. AMSC has had, and continuesto have, multiple enquiries with regards to these tankers.

As previously reported, the supply side of the market remains stable with limited U.S. yard capacity and rising newbuilding costs, making it highly unlikely for newbuilds to enter the market for years to come. During the quarter it was also announced that the final MR tanker in warm layup will commence trading after completing its special survey in June 2022.

The long‐term fundamentals in the Jones Act tanker market remain positive. MR tankers are a reliable means of transportation and a key part of the infrastructure transporting fuel and crude oil acrossthe USA. AMSC's 10 tankers are a key part of the Jones Act fleet and represent about 30% of the modern tankers. AMSC continues to enjoy downside protection with "come hell or high water" bareboat contracts, with three product tankers on contract until December 2022, six product tankers on contract until December 2023 and one shuttle tanker on contract until June 2025.

The offshore services market is in recovery and is currently experiencing increased activity. In their press release announcing the Normand Maximus transaction, Solstad Offshore reports that they "experience strong interest from clients to charter the Normand Maximus on shorter and longer contracts after current time charter expire in Q4 2022". The outlook for the offshore services market has improved during 2021 and 2022 and activity in the subsea segment is expected to accelerate in 2023 on the back of increased field development work.

Risks

The risks facing AMSC principally relate to the operational and financial performance of its charterers. Indirectly AMSC is exposed to overall Jones Act tanker market risk and following the announced acquisition of the offshore construction vessel Normand Maximus, AMSC will also be exposed to the offshore services market in the future

AMSC is exposed to rechartering risk upon expiry of existing bareboat charters.

Following the December 2021 announcement, three vessels have bareboat charters expiring in December 2022, six vessels have bareboat charters expiring in December 2023, and one vessel is contracted through June 2025. Three vessels will be redelivered to AMSC upon expiration in December 2022. There is no guarantee that AMSC will be successful in finding alternative employment for the three vessels, and there could be additional costs and capital expenditures required to maintain the vessels.

AMSC's activities also expose the Company to a variety of other financial risks, including but not limited to, currency, interest rate, refinancing, and liquidity risk.

For further details of AMSC's risks, refer to the 2021 Annual Report.

Definitions

Jones Act ‐ The U.S. cabotage law, referred to as Jones Act, requires all commercial vessels operating between U.S. ports to be built, owned, operated and manned by U.S. citizens and to be registered under the U.S. flag. In 1996 certain amendments were enacted to the U.S. vessel documentations laws, allowing increased non‐U.S. participation in the ownership of vessels operating in the Jones Act trade under certain conditions, known as the finance lease exemption.

Lysaker, 18 May 2022 The Board of Directors and President / CEO American Shipping Company ASA

Annette Malm Justad Peter D. Knudsen Chairperson Director

Frank O. Reite Pål Magnussen Director President / CEO

AMERICAN SHIPPING COMPANY ASA GROUP CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS FOR THE FIRST QUARTER 2022

CONDENSED INCOME STATEMENT

	unaudited
	Q1	Q1
Amounts in USD million (except share and per share information) Note	2022	2021
Operating revenues	21.7	21.7
Operating expenses	(0.8)	(1.3)
Operating profit before depreciation ‐ EBITDA	20.9	20.4
Depreciation	(8.5) (8.4)
Operating profit ‐ EBIT	12.4	12.0
Net financial expense 10	(7.5)	(6.9)
Unrealized gain/(loss) on interest swaps	6.5	(0.5)
Net foreign exchange gain/(loss)	0.1	0.1
Profit/(loss) before income tax	11.5	4.7
Income tax (expense) / benefit 6	(0.1)	0.3
Non‐cash income tax (expense) / benefit 6	(2.6)	(1.1)
Net profit/(loss) for the period *	8.8	3.9
Average number of common shares 7	60,616,505	60,606,505
Earnings/(loss) per share (USD)	0.15	0.06

CONDENSED STATEMENT OF CHANGES IN COMPREHENSIVE INCOME

	unaudited
	Q1	Q1
Amounts in USD million	2022	2021
Net income/(loss) for the period	8.8	3.9
Other comprehensive income for the period, net of tax	‐	‐
Total comprehensive income/(loss) for the period *	8.8	3.9

* Applicable to common stockholders of the parent company.

CONDENSED STATEMENT OF FINANCIAL POSITION	unaudited
	31‐Mar	31‐Mar	31‐Dec
Amounts in USD million Note	2022	2021	2021 *
Assets
Non‐current assets
Vessels	606.6	641.2	615.1
Deferred tax assets	10.7	14.3	11.3
Interest‐bearing long term receivables (DPO) 12	7.3	20.9	7.3
Derivative financial assets	10.1	‐	3.6
Total non‐current assets	634.7	676.4	637.3
Current assets
Trade and other receivables	14.5	2.8	14.9
Cash held for specified uses	6.3	5.7	5.4
Cash and cash equivalents	50.8	32.7	55.9
Total current assets	71.6	41.2	76.2
Total assets	706.3	717.6	713.5
Equity and liabilities Total equity	150.8	159.1	149.2
Non‐current liabilities
Bond payable 8	220.0	200.0	220.0
Other interest‐bearing loans 8	292.0	318.8	298.7
Derivative financial liabilities	‐	1.7	‐
Capitalized fees 8	(6.3)	(8.2) (6.9)
Deferred tax liability 6	18.0	9.8	16.2
Total non‐current liabilities	523.7	522.2	528.0
Current liabilities
Interest‐bearing short‐term debt 8	26.8	26.8	26.8
Trade and other payables	5.0	9.5	9.5
Total current liabilities	31.8	36.3	36.3
Total liabilities	555.5	558.5	564.3
Total equity and liabilities	706.3	717.6	713.5

* Derived from audited financial statements

CONDENSED STATEMENT OF CHANGES IN TOTAL EQUITY

	unaudited Year to date
Amounts in USD million	2022	2021
Equity as of beginning of period	149.2	161.3
Total comprehensive income for the period	8.8	3.9
Repurchase of treasury shares	‐	‐
Proceeds from sale of treasury shares	‐	‐
Dividends/return of capital	(7.3) (6.1)
Total equity as of end of period	150.8	159.1

CONDENSED CASH FLOW STATEMENT

	unaudited
	Year to date
Amounts in USD million	2022	2021
Net cash flow from operating activities	9.7	15.4
Net cash flow used in financing activities	(13.9) (12.8)
Net change in cash and cash equivalents	(4.2) 2.6
Cash and cash equivalents, including cash held for specified uses at the beginning of period	61.3	35.8
Cash and cash equivalents, including cash held for specified uses at end of period	57.1	38.4

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS FOR THE THREE MONTHS ENDED 31 MARCH 2022

1. Introduction ‐ American Shipping Company

American Shipping Company ASA ("AMSC") is a company domiciled in Norway. The condensed interim financial statements for the three months ended 31 March 2022 and 2021 comprise AMSC and its wholly owned subsidiaries. These interim financial statements have not been audited or reviewed by the Company's auditors. American Shipping Company has one operating segment.

The consolidated 2021 annual financial statements of AMSC are available at www.americanshippingco.com.

2. Basis of Preparation

These consolidated interim financial statements reflect all adjustments, in the opinion of AMSC's management, that are necessary for a fair presentation of the results of operations for the periods presented. Operating results for the three‐month periods are not necessarily indicative of the results that may be expected for any subsequent interim period or year.

3. Statement of compliance

These consolidated interim financial statements have been prepared in accordance with International Financial Reporting Standards as adopted by the EU (IFRS) applicable for interim reporting, IAS 34 Interim Financial Reporting. They do not include all of the information required for full annual financial statements and should be read in conjunction with the consolidated financial statements of the Group as of and for the year ended 31 December 2021.

4. Significant accounting principles

The accounting policies applied by the Group in these condensed consolidated interim financial statements are the same as those applied by the Group in its consolidated financial statements as of and for the year ended 31 December 2021.

There have not been any new IFRS standards or interpretations issued or effective after the completion of the annual consolidated financial statements for the year 2021 that have a significant impact on AMSC's financial reporting for the three months ended 31 March 2022.

5. Use of estimates

The preparation of financialstatementsin conformity with IFRS requiresthe use of estimates and assumptions that affect the reported amounts in the financial statements. Although these estimates are based on management's best knowledge of current events and actions, actual results may ultimately differ from these estimates.

The most significant judgments made by management in preparing these condensed consolidated interim financial statements in applying the Group's accounting policies, and the key sources of estimation uncertainty, are the same as those that applied to the consolidated financial statements as of and for the year ended 31 December 2021.

Certain prior period reclassifications were made to conform to current year presentation and include reclassification of short‐term DPO receivables as well as reclassification between Cash and cash equivalents and Cash held for specified uses.

6. Tax

Income tax expense is recognized in each interim period based on the best estimate of the expected annual income tax rates.

Without the benefit of accelerated depreciation on vessels for U.S. income tax purposes, the Company would have U.S. taxable income. Accordingly, substantially all of the deferred tax expense results from accelerated tax depreciation, which has created differences between accumulated depreciation for book and tax purposes and corresponding tax losses, the net of which is recognized as a deferred tax liability. The Company expects that the deferred tax liability will continue to grow until the U.S. subsidiaries are in a tax payable position for U.S. Federal income tax purposes, which is not expected until the vessels are fully depreciated for tax purposes and currently available tax operating losses are fully utilized. Deferred tax expense is a non‐cash item.

Deferred tax assets include the Company's net operating losses in carryforward, unused interest expense deductions and capitalized loan fees. Deferred tax liabilities include the value of the vessels.

The Company has approximately USD 467.8 million of federal net operating losses in carryforward in the U.S. subsidiaries as of 31 December 2021, of which approximately USD 151.7 million are subject to certain limitations under Internal Revenue Service Code Section 382 (see note 5 of the 2021 consolidated financial statements for more details). The Company also has approximately USD 62.9 million of net operating losses in carryforward in Norway as of 31 December 2021.

7. Share capital and equity

As of 31 March 2022, AMSC had 60,616,505 ordinary shares at a par value of NOK 10 per share. The Annual General Meeting on 22 April 2022 adopted a resolution to reduce the par value of AMSC's share capital from NOK 10 per share to NOK 1 per share. Upon completion of the creditor notice period, expected in early June, the reduced amount will be transferred to other equity andwill constitute unrestricted other deposited equity.

Dividends paid (classified as repayment of	2022	2021
previously paid in share premium)	14‐Mar‐22	1‐Mar‐21
NOK per share	1.0573	0.8470
USD per share	0.120	0.100
Aggregate NOK (millions)	64.1	51.3
Aggregate USD (millions)	7.3	6.1

8. Interest‐bearing debt

The following table shows material changes in interest‐bearing debt:

	3 months to
Amounts in USD million	31‐Mar‐22	31‐Mar‐21
Balance at beginning of period	538.6	543.6
Repayment of debt / loan fees	(6.7)	(6.7)
Amortization of loan fees	0.6	0.6
Balance at end of period	532.5	537.5

The Company was in compliance with all of its debt covenants as of 31 March 2022.

9. Related party transactions

AMSC believes that related party transactions are made on terms equivalent to those that prevail in arm's length transactions.

10. Net financial expenses

	3 months to
Amounts in USD million	31‐Mar‐22	31‐Mar‐21
Interest expense	(7.8)	(7.7)
Interest income	0.3	0.8
Net financial expense	(7.5)	(6.9)

11. Profit sharing agreement with OSG

AMSC and OSG have an agreement to share profits from OSG's operations of AMSC's 10 vessels. The calculation of profit to share is complex and made on an aggregated fleet level. The calculation thus starts with total time charter vessel revenue, subtracted by defined cost elements including provisions for drydock costs. The profit share is reported quarterly, but is calculated on an aggregated fleet level over a full calendar year. Accordingly, one may have individual quarters with positive profit share offset by quarters with negative profit share. Nonetheless, AMSC's portion of the profit can never be negative on an annual basis.

In years of weak markets there may be shortfalls in net time charter revenues applied to cover provisions for future drydocks. Such shortfalls need to be recovered by net time charter revenues in subsequent years with stronger markets. Similarly, if drydock provisions deducted in the profit share calculation are too high, these are adjusted through a true‐up mechanism once special surveys for individual vessels are completed. The concept of true‐ups ensure that any shortfall or excess in drydock provisions are adjusted to reflect the actual cost of drydocks over the five‐year special survey cycles.

AMSC's 50% share of the full year profit is used to reduce the OSG credit. In the agreement negotiated with OSG, the "OSG credit" is the amount of AMSC's profit sharing that OSG retains prior to having an obligation to remit profitsharing paymentsto AMSC. After the OSG credit has been fully reduced to zero, AMSC will receive its 50% share of the subsequent profitshare in cash. The OSG credit balance was as of 31 December 2021 USD 7.7 million.

12. Deferred Principal Obligation (DPO)

Pursuant to the current charter agreements, OSG had the right to defer payment of a portion of the bareboat charter hire for the first five vessels during the initial seven year fixed bareboat charter periods. OSG paid a reduced bareboat charter rate and assumed the DPO. The DPO accrued on a daily basis to a maximum liability from OSG of USD 7.0 million per vessel. The DPO is repaid to AMSC over 18 years including interest unless the bareboat charter is terminated earlier at which time the DPO becomes due immediately. OSG has made repayments on all five vessels delivered under the arrangement, and those vessels' cash bareboat charter hire resumed to its full contractual amount.

	3 months to
Amounts in USD million	31‐Mar‐22	31‐Mar‐21
Balance at beginning of period	21.4	23.3
Repayments of principal	(0.5)	(0.5)
Balance at end of period	20.9	22.8
Reclassified to short‐term receivables	(13.6)	(1.9)
Long term balance at end of period	7.3	20.9

13. Financial Instruments

The only financial instrumentsthat the Company accountsfor at fair value on an ongoing basis are the interest rate swaps, which are classified in the Level 2 category as is described in the 2021 consolidated financial statements. The Company's policy is to recognize transfers into and transfers out of fair value hierarchy levels as of the date of the event or change in circumstances that caused the transfer. During the quarter ended 31 March 2022, there were no transfers between categories.

The fair values of financial instruments, the related fair value hierarchy, together with the carrying amounts shown in the balance sheet are as follows:

	Carrying	Fair	Fair
	amount	value	value
Amounts in USD millions	31‐Mar‐22	31‐Mar‐22	hierarchy *
Interest‐bearing receivables (DPO)	20.9	19.3	3
Interest swap used for economic hedging	10.1	10.1	2
Unsecured bond issue (gross)	(220.0)	(211.2) 2
Secured loans (gross)	(318.8)	(322.3) 2

The fair value of cash, accounts receivable and accounts payable approximate the carrying values due to their short‐term nature.

* Described in the 2021 consolidated financial statements

14. Alternative Performance Measures

Alternative performance measures are financial measures other than the financial measures defined under IFRS. In accordance with guidelines, AMSC publishes the explanation of the use of alternative performance measures used by the Company, definitions of the performance measures used and reconciliation with the IFRS financial statement.

AMSC discloses Normalized EBITDA and Adjusted Net Profit in order to provide meaningful supplemental information to management and investors as the Company believes these measures enhance an understanding of the Company's operating earnings. The Company also discloses its revenue backlog which includes its bareboat charter revenue from fixed bareboat contracts, not including options.

Normalized EBITDA is calculated as operating revenues (base bareboat revenue) less operating expenses plus profit sharing plus DPO. Adjusted Net Profit includes net profit/(loss) after tax, adjusting for non‐recurring items, currency fluctuations, mark‐to‐market of derivatives and changes to deferred tax. The tables below illustrate the comparative information for normalized EBITDA and reconciliation to the reported EBITDA and Adjusted net profit and a reconciliation to net profit/(loss) after tax.

		unaudited
	Q1	Q1
Normalized EBITDA (amounts in USD millions)	2022	2021
Base bareboat revenue	21.7	21.7
Less operating expenses	(0.8)	(1.3)
Reported EBITDA	20.9	20.4
Plus DPO	0.8	0.8
Normalized EBITDA	21.7	21.3
		unaudited
	Q1
Adjusted net profit (amounts in USD millions)	2022	Q1 2021
Net profit/loss after tax	8.8	3.9
Add back:
Unrealized (gain)/loss on interest swaps	(6.5)	0.5
Net foreign exchange (gain)/loss	(0.1)	(0.1)
Non‐cash income tax expense	2.6	1.1

15. American Tanker, Inc. consolidated financial statements

In accordance with the bond loan agreement, below are the consolidated unaudited financial statements for American Tanker, Inc. and its subsidiaries for the first quarter 2022.

CONDENSED INCOME STATEMENT	unaudited
	Q1
Amounts in USD million (except share and per share information)	2022
Operating revenues	21.7
Operating expenses	(1.2)
Operating profit before depreciation ‐ EBITDA	20.6
Depreciation	(8.5)
Operating profit ‐ EBIT	12.1
Net interest expense	(9.7)
Unrealized gain/(loss) on interest swaps	6.5
Other financial expenses	(0.5)
Profit/(loss) before income tax	8.4
Income tax expense	(0.1)
Non‐cash income tax benefit/(expense)	(1.9)
Net profit/(loss) for the period *	6.5
Average number of common shares	1,000
Earnings/(loss) per share (USD thousands)	6.49

* Applicable to common stockholders of the parent company.

	unaudited
	31‐Mar
Amounts in USD million	2022
Assets
Non‐current assets
Vessels	605.6
Interest‐bearing long term receivables (DPO)	7.3
Derivative financial assets	10.1
Total non‐current assets	623.1
Current assets
Other current assets	14.4
Cash held for specified uses	6.3
Cash and cash equivalents	36.7
Total current assets	57.3
Total assets	680.4
Equity and liabilities
Total equity	37.1
Non‐current liabilities
Bond payable	220.0
Other interest‐bearing loans	382.3
Capitalized fees	(6.3)
Deferred tax liability	18.5
Total non‐current liabilities	614.4
Current liabilities
Interest‐bearing short‐term debt	26.8
Trade and other payables	2.0
Total current liabilities	28.8
Total liabilities	643.3
Total equity and liabilities	680.4

CONDENSED STATEMENT OF FINANCIAL POSITION

CONDENSED CASH FLOW STATEMENT

	unaudited
	Q1
Amounts in USD million	2022
Net cash flow from operating activities	7.7
Net cash flow used in financing activities	(14.7)
Net change in cash and cash equivalents	(7.0)
Cash and cash equivalents, including cash held for specified uses at the beginning of period	50.0
Cash and cash equivalents, including cash held for specified uses at end of period	43.0

16. Subsequent events

On 12th May 2022, the Company announced an agreement to acquire the offshore construction vessel Normand Maximus together with a long‐term bareboat contract with a subsidiary of Solstad Offshore ASA. Purchase price is USD 157 million, a USD 20 million deposit has been placed in an escrow account and delivery of the vessel is expected to take place during Q4 2022. The bareboat contract is 5 years firm with 2 x 5 years

extension options. The charterer has options to purchase the vessel at year 5 and 10. The vessel will be placed in a Norwegian single purpose company directly and 100% owned by American Shipping Company ASA.

On 18 May 2022, the Board authorized a dividend payment of USD 0.12 per share to the shareholders on record as of 26 May 2022. The shares in AMSC will be traded ex. dividend from and including 25 May 2022, and the dividend will be paid on or about 10 June 2022. The dividend is classified as a return of paid in capital.

American Shipping Company ASA Oksenøyveien 10 PO Box 230 1326 Lysaker NORWAY

Pål Magnussen	Morten Bakke	Leigh Jaros
President / CEO	CFO	Controller
Tel: +47 24 13 00 04	Tel: +47 24 13 00 87	Cell: +1 484 880 3741
Cell: +47 90 54 59 59	Cell: +47 90 09 55 94
pal.magnussen@amshipco.no	morten.bakke@amshipco.no	leigh.jaros@amshipco.com

Disclaimer

This release includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. Such forward-looking information and statements are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for American Shipping Company ASA and its subsidiaries and affiliates (the "American Shipping Company Group") lines of business. These expectations, estimates, and projections are generally identifiable by statements containing words such as "expects," "believes," "estimates" or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for the American Shipping Company Group's businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time. Although American Shipping Company ASA believes that its expectations and the information in this release were based upon reasonable assumptions at the time when they were made, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in this release. Neither American Shipping Company ASA nor any other company within the American Shipping Company Group is making any representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the information in the release, and neither American Shipping Company ASA, any other company within the American Shipping Company Group nor any of their directors, officers or employees will have any liability to you or any other persons resulting from your use of the information in the release.

American Shipping Company ASA undertakes no obligation to publicly update or revise any forward-looking information or statements in the release, other than what is required by law.

The American Shipping Company Group consists of many legally independent entities, constituting their own separate identities. American Shipping Company is used as the common brand or trade mark for most of these entities. In this release we may sometimes use "American Shipping Company"," "Group, "we," or "us," when we refer to American Shipping

Company Group companies in general or where no useful purpose is served by identifying any particular company of American Shipping Company.