Belships

Investor Presentation • Apr 25, 2017

Generalforsamling

April 2017

Key investment highlights

Owner/operator of high quality ships on medium to long‐term charters to highly reputable customers

Strengthening market balance representing an attractive window of opportunity

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4

6

Strong focus on fleet expansion with modern dry bulk tonnage

1

3

2

Management team with a track record for building and operating successful shipping companies

USD 58m fixed charter backlog providing long‐term stable revenues

Belships ASA was founded in 1918 and listed in Oslo in 1937.Strong and supportive majority shareholder in the Tidemand family.

Business strategy and core activities

• •Owner/operator of dry bulk tonnage
• •Pure play in dry bulk – clear strategic focus
• • Building ^a portfolio of c/p's to reputable counterparts
• •Duration of c/p's evenly spread – long tail
• • Fixed long term charters will provide stable distributable cash flows
• • Cost efficient operation and administration – «lean and mean»
• •Transparency, good corporate governance
• • Targeting an efficiently priced equity with an attractive dividend ratio
• •Buying back own stocks when undervalued

Corporate Structure

Tonnage overview

‐modern fleet with average age 4.4 years

l n Ve ss e am e	Dw t	/ i l d Bu t y ar	Ty p e	Cu to s m er
ls Be ta r	5 8, 0 0 0	/ 2 0 0 9 Da y an g	bu l k Su p ra m ax	Ca te np o x
lno Be r	5 8, 0 0 0	/ 2 0 1 0 Da y an g	bu l k Su p ra m ax	Ca te np o x
loc Be ea n	5 8, 0 0 0	/ 2 0 1 1 Da y an g l V l n e s s e n a Ve ss e am e	bu l k Su p ra m ax m e	l l Ca i rg
l fo ) i Be t re s	6 0 0 0 1,	/ ba 2 0 i 1 5 Im a r	l bu l k U tra m ax	l l Ca i rg
l lan d ) Be is i i	6 1, 0 0 0	/ ba 2 0 1 6 Im i a r	l bu l k U tra m ax	Ca te np o x
/ ba b ) Im i i i i a r n	6 3, 0 0 0	/ ba 2 0 1 8 Im i a r	l bu l k U tra m ax	Op en

i) Bareboat charter lease period of 12 years from 09/15 with USD purchase options after the third year.

ii) Bareboat charter lease period of 15 years from 03/16 with USD purchase options after the fifth year.

iii) Time charter period of 8+1+1+1 years from 01/18 with purchase option after the fourth year of JPY 3.01 bn, decreasing annually by JPY 110 m.

Contract coverage

‐USD 58m fixed charter backlog

Support team

• •Technical management
• •Insurance
• •Finance
• •Analyst coverage
• •Stock exchange

Route	Description	Size (MT)	Value (\$)	Change
BCI 2014 timecharter average	Average of the 5 T/C routes	180000	12960	$-409$ $\blacktriangledown$
BCI timecharter average	Derived value	172000	11896	$-409$ $\blacktriangledown$
BPI timecharter average	Average of the 4 T/C routes	74000	11469	$-513$ $\blacktriangledown$
BSI timecharter average	Average of the 10 T/C routes	58328	10029	$-29$ $*$
BSI 52 timecharter average	Derived value	52454	9766	$-19$ $\blacktriangledown$
BHSI timecharter average	Average of the 6 T/C routes	28000	8449	$+19$ $\triangle$

Vessel Type	Description	Size (MT)	Price in \$ m	Change
VLCC	5 years old	305 000	59,883	0,194
AFRAMAX	5 years old	105 000	28,941	0,132
PR PROD TKR	5 years old	51 000	22,408	1,002
CAPESIZE	5 years old	180 000	32,567	0,126
PNMX (DRY)	5 years old	74 000	19,698	0,338
SUPER HANDY	5 years old	56 000	17,009	0,323

	2016ytd	$2017$ ytd		Last week This week
Capesize	2.8	12.2	16.4	14.6
Panamax	3.2	9.1	12.9	12.4
Supramax	3.9	8.4	9.5	9.8
Handysize	3.5	7.0	8.2	8.4
Index	3.3	10.1	13.1	12.4

China Iron Ore Demand & Production

Chinese Coal Balance

Supply/Demand Balance

Supply side considerations

d i E t t t s m a e n e f l h t t e e g r o w
2 0 6 1	9 % 1
2 0 1 7	% 0 2 ‐
2 0 8 1	8 % 1 ‐
2 0 1 9	0 1 % ‐
2 0 2 0	% 0 2

The Belships share

Kursoversikt		Meldinger og rapporter		Data		Primærinnsidere
Info	Siste	Kjøper	Selger	Tid	Høy	Lav	Avk. % i dag	Omsatt (MNOK)		Markedsverdi (MNOK)
	4,83	4,83	4,85	10:44	4,83	4,83	1,68%		0,01		226,06
Totalt volum *		Velg analyse	3 mnd		团 Last ned $\blacktriangledown$		Sammenlikning	Ordredybde
								Volum	Kjøp Kjøper Selger	Salg	Volum
								50	$\mathcal{L}_{\mathcal{A}}$ 4,83	4,85	6 500
7.00							2M	22 000	4,80	4,88	8 3 0 0
								2000	Ŀ 4,75	5,33	3700
6.00							1.5M	22 9 54	4,70	5,34	2 2 0 0
								7 100	4,50 . .	5,35	12 500
5.00							1M
4.00							0.5M
3.00							l٥
		5. feb	19. feb	5. mar	19. mar	2. apr	16. apr

Ownership and Organization chart

Shareholder overview

Sha reh old er	har # s es	%
( nd) Son AS Sve J. T ide ata rre ma	31 747 49 2	67. 0%
Tid shi ( dem and ) AS Ott o G . Ti ps	5 1 50 377	10. 9%
Red Eitz eri AS en	508 63 4	1.1 %
Bel shi ASA ps	498 00 0	1.1 %
ling Car s A S	400 00 0	0.8 %
Tid inv II A S est	315 41 4	% 0.7
n & Co . AS Jen sse	302 81 6	0.6 %
Ch Cap ita l AS rem	270 00 0	0.6 %
ka Na To tsu ga ru	270 00 0	0.6 %
l Er ik S Car tee n	269 15 4	0.6 %
oko Jov AS	250 00 0	0.5 %
nsk ank (n ) Da e B AS ine unt om e a cco	247 84 3	0.5 %
Liv lan d Sø	240 00 0	% 0.5
l Ca mil lo E itze Axe n	230 00 0	0.5 %
AS L H old ing AS	225 00 0	0.5 %
JSL AS	221 19 1	0.5 %
old HK G H ing AS	208 77 9	0.4 %
nha rd llan d Ber Kie	200 00 0	0.4 %
kst AR Ve	198 99 5	0.4 %
l‐Er ik S bo Kar tau	149 25 0	% 0.3
Oth Sha reh old er ers	49 055 5 4	5% 11.
Tot al o din har uts tan g s es	47 352 00 0	10 0.0 %

Year 2016

i A U S D t m o n s n m u	2 0 1 6	2 0 1 5
O i i t p e r a n n o m e g c	2 5 4	2 2 0
E B I T D A	3 1 1	9 9
f h i i I t m p a r m e n o s p s	3 8 1 ‐	3 8 1 ‐
l O i t t p e r a n g r e s u	8 9 ‐	2 6 7 ‐
l b f N t t t e r e s e o r e a u x	1 4 4 ‐	3 0 0 ‐

Year 2016

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

US D 1 00 0	20 16	20 15
ig ht Fre rev en ue	21 33 8	17 57 0
fee Ma nt na ge me s	4 0 77	4 4 14
Op ing in t era co me	25 41 5	21 98 4
hip S tin op era g e xp en ses	‐8 19 7	‐5 71 7
tin hip Op nt era g e xp en ses s m an age me	‐3 40 5	‐3 69 4
Ge l an d a dm inis tiv tra ne ra e e xp en ses	‐2 53 3	‐2 70 0
Op ing t era ex pe nse s	14 13 5 ‐	‐12 11 1
ing lt ( ) Op EB ITD A t era re su	11 28 0	9 8 73
cia tio d a rtiz ati De pre n a n mo on	90 ‐4 1	68 6 ‐4
f t f Im irm he lee t o t pa en	‐13 82 3	‐31 84 7
/e le o f s hip f fec Los t o tra cts s o n s a n o ne rou s c on	‐1 46 3	0
ing lt ( ) Op EB IT t era re su	8 9 07 ‐	‐26 66 0
inc Int st ere om e	13	29
Int st ere ex pe nse s	‐4 83 3	‐2 18 5
he fin l it Ot cia r an em s	‐76 1	‐67 4
/ (‐ los ) Cu ins rre ncy ga ses	69	‐48 3
fin ia l it Ne t an c em s	12 5 5 ‐	‐3 31 3
lt be for Re e t su axe s	14 41 9 ‐	‐29 97 3
Ta xes	‐17 4	‐17 7
lt Ne t re su	14 59 3 ‐	‐30 15 0
f n l ling He in ntr ter est reo on ‐co o s	53	10 9
f m He ajo rity in ter est reo s	‐14 64 6	‐30 25 9
Ot he he ive in r c om pre ns co me
/ ( ) o fin fit Ac ria l ga in los de d be lan tua s n e ne p s	‐39	‐23
l co he To ive in ta mp re ns co me	14 63 2 ‐	‐30 17 3
f n l ling in He ntr ter est reo on ‐co o s	53	10 9
f m He ajo rity in ter est reo s	‐14 68 5	‐30 28 2
ha ( ) Ea rni US nt ng s p er s re ce	‐31 18	‐64 42
Di lut d e ing ha ( ) US nt e arn s p er s re ce	, ‐31 18	, ‐64 42
	,	,

Year 2016

C O N S O L I D A T E D B A L A N C E S H E E T S
	31 De c	31 De c
US D 1 00 0	20 16	20 15
AS SET S
d a Fix ts e sse
hip S s	93 00 9	87 73 0
bu l din lm Ne i ins ta ts w g en	0	4 2 25
he fix d a Ot ts r e sse	3 4 74	2 0 27
l fix To d a ta ts e sse	96 48 3	93 98 2
Cu nt ets rre ass
S ho cei b les rt‐t erm re va	1 2 11	1 2 73
h a d c h e len Ca iva ts s n as qu	7 9 18	7 9 93
l cu To ta nt ets rre ass	9 1 29	9 2 66
l as To ta set s	10 5 6 12	10 3 2 48
EQ UIT Y A ND LIA BIL ITI ES
ity Eq u
i d‐i ita l Pa n c ap	43 62 0	43 58 8
d e Re tai ing ne arn s	‐23 88 7	‐9 20 2
l ling No in tro ter est n‐c on s	41 1	44 5
l e ity To ta qu	20 14 4	34 83 1
lia b lit Lon i ies ter g‐ m
de bt Mo rtg age	30 88 3	35 76 7
bo itm Ba at t re co mm en	42 81 1	21 80 9
Fin cia l in str ts an um en	32 3	60 2
Pe nsi b liga tio on o ns	64 8	79 6
he lon lia bi liti Ot ter r g‐ m es	1 4 07	1 4 07
l lon lia b i lit ies To ta ter g‐ m	76 07 2	60 38 1
ho lia b lit S i ies rt‐t erm
f lon de bt Cu rtio nt ter rre po n o g‐ m	6 7 78	5 6 88
he ho lia bi liti Ot rt‐t r s erm es	2 6 18	2 3 48
l s ho lia b i lit ies To ta rt‐t erm	9 3 96	8 0 36
l e ity d lia b i lit ies To ta qu an	10 5 6 12	10 3 2 48