Company: TEN-PE
Filing Date: 2025-04-11
Form Type: 20-F
Source: 0001193125-25-079101
Chunk: 112

Company: TSAKOS ENERGY NAVIGATION LTD
Filing Date: 2025-04-11
Form: 20-F
Item: Item 5
Chunk 112
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 days based on the most recent five year, three year or one year historical average rates for one-year time charters, the impairment results would be the following:

                                      As of December 31, 2024                                        As of December 31, 2023                                    
                                            Number of Vessels      Amount (U. S.$ millions)(**)         Number of Vessels(*)      Amount (U. S.$ millions)(**)  
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  5-year historical average rate                            0                                 0                            0                                 0  
  3-year historical average rate                            0                                 0                            0                                 0  
  1-year historical average rate                            0                                 0                            0                                 0  

(*) Number of vessels the carrying value of which would not have been recovered, other than the LNG carrier Neo Energyfor which we recorded an impairment charge as of December 31, 2023.

(**) Aggregate carrying value that would not have been recovered.

Although we believe that the assumptions used to evaluate as well as measuring potential impairment are reasonable and appropriate, such assumptions are highly subjective. There can be no assurance as to how long charter rates and vessel values will remain at their current levels or whether they will again decline or improve by any significant degree. Charter rates decreased to historically low levels during 2021 before improving in March and April of 2022, in 2023 the Company continued to experience the same large change in favorable trade flows and remaining strong through the date of this annual report. However, the effects of the conflict in Ukraine and the Middle East may have a negative effect on our revenue and profitability, and future assessments of vessel impairment.

At December 31, 2024, the market value of the fleet owned by our subsidiary companies, as determined based on management estimates and assumptions and by making use of available market data and taking into consideration third-party valuations, was $3.9 billion, compared to a total carrying value of $3.0 billion. There was one vessel in our fleet, whose carrying value exceeded its market values. The future undiscounted net operating cash flows expected to be generated by this vessel in the fleet was comfortably in excess of its respective carrying value. As determined at December 31, 2024, the carrying value of this vessel was $194.5 million, and the market value of this vessel was $169.0 million.