Company: TEN-PE
Filing Date: 2025-04-11
Form Type: 20-F
Source: 0001193125-25-079101
Chunk: 136

Company: TSAKOS ENERGY NAVIGATION LTD
Filing Date: 2025-04-11
Form: 20-F
Item: Item 5
Chunk 136
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 a result of such financing activities, long-term debt and other financial liabilities increased in 2024 by a net amount of $184.5 million compared to a net decrease of $14.9 million in 2023. The debt to capital (equity plus debt) ratio was 49.9% at December 31, 2024, or net of cash, 44.4%, and 48.8% at December 31, 2023 or, net of cash, 42.0%.

We have paid all of our scheduled loan installments and related loan consistently without delay or omission. As a percentage of total liabilities against total assets at fair value, our consolidated leverage (a non-GAAP measure) as computed in accordance with our loan agreements at December 31, 2024 was 36.4%, below the original loan covenant maximum of 70%, which is applicable to all the above loans on a fleet and total liabilities basis. Almost all the loan agreements also include a requirement for the value of the vessel or vessels secured against the related loan to be at least 120% (in one case 110%, in one other case 125%) of the outstanding associated debt at all times. The Company continues to be fully compliant with its scheduled debt service requirements, repaying capital and paying interest promptly in accordance with respective bank agreements without fail. Our existing bank loans require us and certain of our subsidiaries to comply with certain operating and financial covenant restrictions. See “ Note 6 - Long Term Debt and other financial liabilities” to our audited consolidated financial statements included elsewhere in this report. As at December 31, 2024, the Company and its wholly and majority owned subsidiaries were compliant with the financial covenants in each of its thirty-three loan agreements totaling $1.76 billion. At December 31, 2024, we were also compliant with the leverage ratio covenant contained in all of our bank loans. We do not expect to pay down the Company’s loans in 2025 beyond the amounts that we have already classified as current liabilities. Upon an event of default, all the loan agreements, which are secured by mortgages on our vessels and in certain cases by guarantees of the parent company, include the right of lenders to accelerate repayments. All our loan agreements and our interest rate swap agreement also contain a cross-default provision that may be triggered by a default under one of our other loans. A cross-default provision means that a notice of default on one loan would result in a default on other agreements