D/S Norden — Earnings Release 2014

Dec 10, 2014

Attached please find below text as PDF file.

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                                                         Announcement no. 39

                                                            10 December 2014

NORDEN takes USD 230 million provision with no cash flow effect for onerous
time charter contracts in Dry Cargo and reduces full-year guidance – underlying
operations unchanged

Following an updated market evaluation, NORDEN has concluded that it is no
longer likely that certain time charter contracts predominantly entered into
3-6 years ago on vessels chartered in will become profitable. As a consequence,
a provision of USD 230 million is recognised for onerous time charter contracts
in Dry Cargo.

The provision is a result of the continued weakness in dry cargo forward rates
witnessed recently, which has made management undertake a reassessment of the
freight rate outlook. Based hereon, management has concluded that the market
for the next few years will not improve to the extent previously assumed but,
in the near term, be closer to current forward rates in the market. The
long-term outlook remains unchanged in line with the historical averages which
have previously been applied.

A similar review has been made for the NORDEN owned dry cargo vessels and the
tanker segment with the conclusion that there is no need for either provision
or impairment.

Following the provision in Dry Cargo, the book value of Group equity of USD 1.2
billion or DKK 177 per share is in line with the likely value of future cash
flows based on management’s current market assumptions (book values based on
figures as per 30 September 2014).

The material part of the provision will be reversed over the next 3-4 years
leading to a positive EBITDA impact of a similar amount over that period. About
one-third of the provision will be reversed in 2015. The provision has no
impact on cash flows or loan agreements.

As a consequence of the provision, NORDEN reduces its guidance for the year and
now expects a full-year EBITDA of USD -290 to -230 million (previously USD -60
to 0 million). Underlying operations remain within the previously issued
guidance with the tanker segment approaching the high end of its range due to
the recent spot market improvement.

                              Kind regards,

                      Dampskibsselskabet NORDEN A/S

                              Mogens Hugo

                                Chairman

Further information:

Klaus Nyborg, Interim CEO, tel.: +45 3315 0451.

Nicolai Bro Jöhncke, Head of Corporate Communications, tel.: +45 3315 0451.

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DAMPSKIBSSELSKABET NORDEN A/S, 52, STRANDVEJEN, DK-2900 HELLERUP, CVR NO.
                                67758919