Document:

gnk_Ex10_7

		
			Exhibit 10.7
		

		
			 
		

		
			EXECUTION COPY
		

		
			 
		

			
					
						 

					
					
						 

				
	
					
						NORDEA BANK FINLAND PLC

					
					
						SKANDINAVISKA ENSKILDA BANKEN AB (PUBL)

				
	
					
						1211 Avenue of the Americas

					
					
						Kungsträdgårdsgatan 8

				
	
					
						New York, NY 10036

					
					
						SE-106 40 Stockholm

				
	
					
						USA

					
					
						Sweden

				

		
			 
		

		
			May 31, 2016
		

		
			 
		

		
			Baltic Trading Limited
		

		
			c/o Genco Shipping & Trading Limited
		

		
			299 Park Avenue, 20th Floor
		

		
			New York, NY 10171
		

		
			Attention: John C. Wobensmith
		

		
			 
		

		
			Re:            Extension of Cure Period 
		

		
			 
		

		
			To whom it may concern:
		

		
			 
		

		
			We refer to that certain (i) Senior Secured Credit Agreement, dated as of December 31, 2014, entered into by and among (1) BALTIC TRADING LIMITED, a company incorporated under the laws of the Republic of the Marshall Islands (the “Borrower”), (2) GENCO SHIPPING & TRADING LIMITED, a company incorporated under the laws of the Republic of the Marshall Islands (“Genco”), (3) the Lenders party hereto from time to time (the “Lenders”) and (4) NORDEA BANK FINLAND PLC, NEW YORK BRANCH (“Nordea”), as Administrative Agent (in such capacity, the “Administrative Agent”) and as Security Agent under the Security Documents (in such capacity, the “Security Agent”) (as amended, amended and restated, supplemented or otherwise modified, the “Credit Agreement”) and (ii) letter agreement, dated April 12, 2016, executed by us and accepted and agreed to by the Borrower and the guarantors of the Borrower’s obligations under the Credit Agreement (the “Letter Agreement”). All terms not defined herein shall have the meaning given thereto in the Credit Agreement.
		

		
			 
		

		
			The Compliance Certificate delivered by the Borrower on March 15, 2016 in respect of the financial period ended on December 31, 2015 showed a shortfall in respect of the collateral maintenance ratio requirement under Section 8.07(d) of the Credit Agreement, which shortfall, if uncured, shall result in an Event of Default as of May 31, 2016 pursuant to Section 9.03 of the Credit Agreement and the terms of the Letter Agreement (the “December 2015 Collateral Maintenance Shortfall”).
		

		
			 
		

		
			Subject to the terms and conditions set forth in this letter agreement, the Lenders hereby agree that solely with respect to the December 2015 Collateral Maintenance Shortfall, the Lenders extend the cure period provided in Section 8.07(d) of the Credit Agreement to June 1, 2016; provided, that until such date, neither Genco nor any Subsidiary of Genco shall be permitted to make a payment, repayment or prepayment of any principal of a loan to any of its lenders or other creditors (other than (i) any indebtedness owed to the lenders as and when they fall due under the credit facility involving the vessel Baltic Hornet or the credit facility involving the vessel Baltic Wasp, (ii) any indebtedness in connection with the waived scheduled payment originally  due in April under the Genco Existing ABN Amro Credit Agreement and (iii) any inter-company indebtedness by and among Genco and its Subsidiaries in the ordinary course of business) or create any security or give any guarantee or other commitment or credit support (or procures or allows any of its Affiliates to do so) in favor of any lender or other creditor of any of Genco and its Subsidiaries (other than cross collateralization of facilities to the same lender for security
		

		
			
		

		
			

		 

 

maintenance purposes); provided,  further, that any breach of the requirement set forth in the foregoing proviso shall terminate the extension of the cure period granted in this paragraph.
		

		
			 
		

		
			This letter agreement shall be effective only to the extent specifically set forth herein and shall not (a) be construed as a waiver of any payments required to be made pursuant to the Credit Agreement (including, but not limited to, payments of any principal, interest and fees) or a waiver of any breach or default other than as specifically waived or modified herein, (b) affect the right of the Lenders to demand compliance by the Obligors with all terms and conditions of the Credit Agreement, except as specifically modified or waived by this letter agreement, (c) be deemed a waiver of any transaction or future action on the part of the Obligors requiring the Lenders’ or the Required Lenders’ consent or approval under the Credit Agreement (except as contemplated by this letter agreement), or (d) except as waived or modified hereby, be deemed or construed to be a waiver or release of, or a limitation upon, the Administrative Agent’s, the Security Agent’s or the Lenders’ exercise of any rights or remedies under the Credit Agreement or any other Credit Document, whether arising as a consequence of any Event of Default which may now exist or otherwise, all such rights and remedies hereby being expressly reserved.
		

		
			 
		

		
			This letter agreement shall only be deemed effective when the Administrative Agent shall have received (i) a copy of this letter agreement duly executed by each of the Obligors, the Lenders and the Administrative Agent and (ii) confirmation from Genco (which may be given by email) that parallel waivers under the Genco Existing DB Credit Agreement and the Genco Existing Credit Agricole Credit Agreement (the “Parallel Waivers”) have been duly executed. Other than the Parallel Waivers, there are no defaults or events of default that are required to be waived under any credit facility to which Genco or any of its subsidiaries are party prior to June 4, 2016.
		

		
			 
		

		
			Each of the Obligors hereby represents and warrants that after giving effect to this Agreement, (i) the representations and warranties of the Obligors set forth in the Credit Agreement and in each other Credit Document are true and correct in all material respects on and as of the date hereof to the same extent as though made on and as of such date except to the extent such representations and warranties specifically relate to an earlier date and (ii) no event has occurred and is continuing which constitutes a Default or Event of Default (other than the December 2015 Collateral Maintenance Shortfall and other than as waived by the Parallel Waivers) under any credit agreement to which such Obligor is party (as such capitalized terms are defined in each respective credit agreement). 
		

		
			 
		

		
			Each of the Obligors (a) affirms all of its obligations under the Credit Documents as modified hereby and (b) agrees that this Agreement and all documents executed in connection herewith do not operate to reduce or discharge its obligations under the Credit Agreement or the other Credit Documents except as expressly set forth herein.
		

		
			 
		

		
			This letter agreement (a) shall be governed by and shall be construed and enforced in accordance with, the laws of the State of New York and (b) may be executed in any number of counterparts, and telecopied signatures (or signatures delivered via electronic mail or “pdf”) each of which shall be enforceable as an original.
		

		
			 
		

		
			This letter agreement is a Credit Document.
		

		
			 
		

		
			[Signature Pages Follow]
		

		
			 
		

		
			 
		

		
			

		 

		

			2

		

 

 
		

		
			 
		

		
			Very truly yours,
		

		
			 
		

			
					
						 

					
					
						 

					
					
						 

				
	
					
						NORDEA BANK FINLAND PLC, NEW YORK BRANCH,

					
					
						 

				
	
					
						as Administrative Agent and Lender

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By:

					
					
						/s/ Martin Lunder

					
					
						 

				
	
					
						Name:

					
					
						Martin Lunder

					
					
						 

				
	
					
						Title:

					
					
						Senior Vice President

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By: 

					
					
						/s/ Erik Havnvik

					
					
						 

				
	
					
						Name:

					
					
						Erik Havnvik

					
					
						 

				
	
					
						Title:

					
					
						Vice President

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						SKANDINAVISKA ENSKILDA BANKEN AB (PUBL),

					
					
						 

				
	
					
						as Lender

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By: 

					
					
						/s/ Arne Juell-Skielse

					
					
						 

				
	
					
						Name:

					
					
						Arne Juell-Skielse

					
					
						 

				
	
					
						Title:

					
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By:

					
					
						/s/ Olof Kajerdt

					
					
						 

				
	
					
						Name:

					
					
						Olof Kajerdt

					
					
						 

				
	
					
						Title:

					
					
						 

					
					
						 

				

		
			 
		

		
			
		

		
			

		 

		

			[Signature Page to Second Letter Agreement regarding Extension of Cure Period]

		

 

Accepted and Agreed:
		

		
			 
		

			
					
						 

					
					
						 

					
					
						 

				
	
					
						Genco Shipping & Trading Limited

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By: 

					
					
						/s/ Apostolos Zafolias

					
					
						 

				
	
					
						Name:

					
					
						Apostolos Zafolias

					
					
						 

				
	
					
						Title:

					
					
						Chief Financial Officer

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						BALTIC TRADING LIMITED

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By: 

					
					
						/s/ Apostolos Zafolias

					
					
						 

				
	
					
						Name:

					
					
						Apostolos Zafolias

					
					
						 

				
	
					
						Title:

					
					
						Chief Financial Officer

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						BALTIC BEAR LIMITED

					
					
						 

				
	
					
						BALTIC COUGAR LIMITED

					
					
						 

				
	
					
						BALTIC JAGUAR LIMITED

					
					
						 

				
	
					
						BALTIC LEOPARD LIMITED

					
					
						 

				
	
					
						BALTIC PANTHER LIMITED

					
					
						 

				
	
					
						BALTIC WOLF LIMITED

					
					
						 

				
	
					
						BALTIC BREEZE LIMITED

					
					
						 

				
	
					
						BALTIC COVE LIMITED

					
					
						 

				
	
					
						BALTIC WIND LIMITED

					
					
						 

				
	
					
						BALTIC MANTIS LIMITED

					
					
						 

				
	
					
						BALTIC SCORPION LIMITED

					
					
						 

				
	
					
						GENCO PIONEER LIMITED

					
					
						 

				
	
					
						GENCO PROGRESS LIMITED

					
					
						 

				
	
					
						GENCO LEADER LIMITED

					
					
						 

				
	
					
						GENCO WISDOM LIMITED

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						By: 

					
					
						/s/ Apostolos Zafolias

					
					
						 

				
	
					
						Name:

					
					
						Apostolos Zafolias

					
					
						 

				
	
					
						Title:

					
					
						Chief Financial Officer

					
					
						 

				

		
			 
		

		 

		

			[Signature Page to Second Letter Agreement regarding Extension of Cure Period]gnk_Ex10_8

		
			Exhibit 10.8
		

		
			 
		

		
			[On the letterhead of Deutsche Bank Luxembourg S.A.]
		

		
			 
		

		
			To:       Genco Shipping & Trading Limited
		

		
			 
		

		
			Copy:  Genco Lorraine Limited
		

		
			Genco Pyrenees Limited
		

		
			Genco Loire Limited
		

		
			Genco Bourgogne Limited
		

		
			Genco Picardy Limited
		

		
			Genco Aquitaine Limited
		

		
			Genco Normandy Limited
		

		
			Genco Auvergne Limited
		

		
			Genco Provence Limited
		

		
			Genco Ardennes Limited
		

		
			Genco Brittany Limited
		

		
			Genco Languedoc Limited
		

		
			Genco Rhone Limited
		

		
			 
		

		
			3 June 2016
		

		
			 
		

		
			Dear Sirs
		

		
			 
		

		
			US$253,000,000 secured loan agreement dated 20 August 2010 (as amended by a side letter dated 24 August 2010, as further amended by a waiver letter dated 21 December 2011, as further amended and restated on 1 August 2012, as further amended and restated on 9 July 2014 and as further amended, supplemented or restated from time to time, the "Loan Agreement") made between (1) Genco Shipping & Trading Limited as borrower, (2) the Lenders (as defined therein), (3) Deutsche Bank AG Filiale Deutschlandgeschäft, BNP Paribas, Credit Agricole Corporate and Investment Bank, DVB Bank SE and Skandinaviska Enskilda Banken AB (publ) as mandated lead arrangers, (4) ourselves as agent for the Lenders, (5) BNP Paribas, Credit Agricole Corporate and Investment Bank, Deutsche Bank AG, DVB Bank SE and Skandinaviska Enskilda Banken AB (publ) as swap providers (the "Swap Providers") and (vi) Deutsche Bank AG Filiale Deutschlandgeschäft as security agent for the Lenders and the Swap Providers and as bookrunner.
		

		
			 
		

		
			1            Definitions
		

		
			 
		

		
			1.1         All terms and expressions used in this Letter shall have the same meaning given to them in the Loan Agreement or the Collateral Maintenance Waiver Letter (as defined in clause 2 of this Letter) unless expressly defined in this Letter or the context otherwise requires.
		

		
			 
		

		
			1.2         This Letter is designated as a Finance Document.
		

		
			 
		

		
			2            Further Extension of Collateral Maintenance Waiver Period
		

		
			 
		

		
			We refer to:
		

		
			 
		

		
			2.1         the Loan Agreement and to our letter to you dated 10 March 2016 (as amended, and/or supplemented from time to time, the "Collateral Maintenance Waiver Letter") consenting to a temporary waiver of compliance with clause 10.10 (Additional Security) of the Loan Agreement (the "Collateral Maintenance Covenant") and, as a consequence, the right of the Agent to request that the
		

		
			
		

		
			

		 

 

Borrower comply with clause 10.10.1, 10.10.2 or 10.10.3 of the Loan Agreement in accordance with the Collateral Maintenance Covenant for the fiscal quarter ending 31 December 2015 through and including 11:59pm (New York time) on 11 April 2016 (the "Original Collateral Maintenance Waiver Period"), your request for an extension of the Original Collateral Maintenance Waiver Period through to and including 11:59pm (New York time) on 31 May 2016 (the "Amended Collateral Maintenance Waiver Period") and your request for an extension of the Amended Collateral Maintenance Waiver Period through to and including 11:59pm (New York time) on 3 June 2016 (the "Second Amended Collateral Maintenance Waiver Period"); and
		

		
			 
		

		
			2.2         your further request for an extension of the Second Amended Collateral Maintenance Waiver Period through to and including 11:59pm (New York time) on 8 June 2016 (the "Request").
		

		
			This Letter is supplemental to the terms of the Collateral Maintenance Waiver Letter.
		

		
			 
		

		
			3            Conditions and Amendment
		

		
			 
		

		
			3.1         We hereby agree to the Request, subject to the condition that prior to 10:00 hours (London time) on 6 June 2016, you provide us confirmation (which may be given by email) that the required lenders under the Metrostar Loan Agreement and the credit agreement dated as of December 31, 2014 among Baltic Trading Limited, the various lenders party thereto, Nordea Bank Finland PLC, New York Branch, and Skandinaviska Enskilda Banken AB (publ) as mandated lead arrangers, Nordea Bank Finland PLC, New York Branch, as administrative agent and security agent and Nordea Bank Finland PLC, New York Branch, as bookrunner (as amended to date, the "Nordea Loan Agreement") have consented to waivers under the Metrostar Loan Agreement and the Nordea Loan Agreement on substantially similar terms to this letter (the "Metrostar and Nordea Letters").
		

		
			 
		

		
			3.2         With effect from the date hereof the Collateral Maintenance Waiver Letter shall be further amended as follows:
		

		
			 
		

		
			(i)          the term "Collateral Maintenance Waiver Period" shall mean "the fiscal quarter ending 31 December 2015 through and including 11:59pm (New York time) on 8 June 2016";
		

		
			 
		

		
			(ii)         the following sub-paragraph shall be inserted at paragraph 5.1 as follows:
		

		
			 
		

		
			"(g) during the Collateral Maintenance Waiver Period the waivers under the Metrostar and Nordea Letters are  terminated, revoked or otherwise ceases to be effective (unless otherwise extended).";
		

		
			 
		

		
			(iii)        sub-paragraph (f) of paragraph 5.1 is amended by replacing the first parenthetical therein with the following:
		

		
			 
		

		
			"(other than any Indebtedness owed to the lenders as and when they fall due under the ABN Revolving Credit Facility, the DVB US$22,000,000 Facility, the Hornet Credit Facility or the Wasp Credit Facility and other than any inter-company indebtedness by and among Group Members in the ordinary course of business)"; and
		

		
			 
		

		
			
		

		
			

		 

		

			2

		

 

    
		

		
			(iv)         sub-paragraph (f) of paragraph 5.1 is further amended by adding the following definition thereto in appropriate alphabetical order:
		

		
			 
		

		
			“DVB US$22,000,000 Facility” means the US$22,000,000 Secured Loan Agreement, dated as of 30 August 2013, by and among Baltic Hare Limited and Baltic Fox Limited, as borrowers, DBV Bank SE, as lender, agent and security agent and the other parties thereto."
		

		
			 
		

		
			3.3          Save as expressly amended by this Letter, all other terms and conditions of the Collateral Maintenance Waiver Letter shall remain unaltered and in full force and effect.
		

		
			 
		

		
			4            Counterparts and Applicable Law
		

		
			 
		

		
			4.1         This Letter may be executed in any number of counterparts, and this has the same effect as if the signatures on the counterparts were on a single copy of this Letter.
		

		
			 
		

		
			4.2         This Letter and any non-contractual obligations arising out of or in connection with it shall be governed by and construed in accordance with English law.
		

		
			 
		

		
			Please confirm your agreement to the terms of this Letter by signing and returning a duplicate of this Letter to us.
		

		
			 
		

		
			Yours faithfully
		

		
			 
		

			
					
						 

					
					
						 

				
	
					
						/s/ M. Sinn-Conrad          /s/ T. Schroeter

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						     M. Sinn-Conrad               T. Schroeter

					
					
						 

				

		
			 
		

		
			For and on behalf of
		

		
			Deutsche Bank Luxembourg S.A. 
		

		
			(as Agent acting on the instructions of the Majority Lenders)
		

		
			 
		

		
			
		

		
			

		 

		

			3

		

 

 
		

			
					
						 

					
					
						 

				
	
					
						Confirmed and agreed on

					
					
						3 June 2016

				
	
					
						for and on behalf of

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						   /s/ Apostolos Zafolias

					
					
						 

				
	
					
						Genco Shipping & Trading Limited 

					
					
						 

				
	
					
						(as Borrower)

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						   /s/ Apostolos Zafolias

					
					
						 

				
	
					
						Genco Lorraine Limited

					
					
						 

				
	
					
						Genco Pyrenees Limited

					
					
						 

				
	
					
						Genco Loire Limited

					
					
						 

				
	
					
						Genco Bourgogne Limited

					
					
						 

				
	
					
						Genco Picardy Limited

					
					
						 

				
	
					
						Genco Aquitaine Limited

					
					
						 

				
	
					
						Genco Normandy Limited

					
					
						 

				
	
					
						Genco Auvergne Limited

					
					
						 

				
	
					
						Genco Provence Limited

					
					
						 

				
	
					
						Genco Ardennes Limited

					
					
						 

				
	
					
						Genco Brittany Limited

					
					
						 

				
	
					
						Genco Languedoc Limited

					
					
						 

				
	
					
						Genco Rhone Limited

					
					
						 

				
	
					
						(as Collateral Owners and Guarantors)

					
					
						 

				

		
			 
		

		 

		

			4

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