Document:

Form of Executive Services Agreement

 Exhibit 10.13 
 EXECUTIVE SERVICES AGREEMENT 
 Made this
         day of                     , 2011 by and between 

BOX SHIPPING INC., a Marshall Islands corporation having its registered office at Ajeltake Road, Ajeltake Island, Majuro, Marshall Islands MH 96960 (the
“Company”), 
 and 
 Allseas
Marine S.A., a Liberian corporation having its registered office at 80 Broad Street, Monrovia, Liberia (“Allseas”). 
 in
consideration of the mutual covenants and agreements set forth herein, the parties hereto agree as follows: 
 1. The Company. The
Company is engaged directly and/or through its subsidiaries (collectively the “Box Group”) primarily in the ownership, operation, management and chartering of containership carriers. 

2. Engagement. The Company hereby engages Allseas to act as Executive Services Provider. 
 3. Duration. The duration of the engagement shall commence as of the
                        , 2011 (the “Effective Date”) and shall have a term of five rolling years (the
“Term”). The engagement shall remain in full force and effect unless terminated, at any time, by either party giving to the other a sixty (60) days’ prior written notice of termination. Notwithstanding the foregoing, this
Agreement shall terminate if any party terminates the engagement hereunder in accordance with the terms of Paragraph 6 below. 
 4.
Services. Allseas shall provide to the Company’s executive officers (the “Executive Officers”) and executive services, including but not limited to, strategy, business development, marketing, third-party relations and finance
(collectively, the “Executive Services”). The natural persons serving as Executive Officers pursuant to this Section 4 shall serve the Company in such manner and at the sole discretion of the board of directors of the Company.
Notwithstanding any other provision of this Agreement, including without limitation Section 6 below, the board of directors of the Company shall have the right to instruct Allseas from time to time as to the identity of the natural persons
appointed to serve as Executive Officers and may terminate the services of any such person or appoint a replacement for such person at any time without prior notice to Allseas. 
 5. In consideration of the services provided hereunder, Allseas 

  
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	 	(a)	shall be paid an executive services fee of US$
                     per annum, (the “Executive Services Fee”) paid in 12 monthly installments, payable three working days prior to
the last business day of each calendar month, commencing with the first payment falling due on                         
The Executive Services Fee shall at all times be subject to any changes that might have been incurred in the number of the Executive Officers and/or any changes to the Executive Services provided hereunder. 

Allseas’ fee shall be reviewed annually or occasionally, as the case may be, by the Box Board of Directors or a committee thereof;

 (b) shall be eligible to receive from the Company incentive compensation, at any time the Board of Directors of the Company or
any committee thereof may determine at their absolute discretion. The type and nature of such compensation shall be in the sole discretion of the Board of Directors of the Company, or of any committee thereof; 

(c) shall be covered at the expense of the Company with appropriate Directors and Officers liability insurance in accordance with the
Company’s insurance plan for Directors and Officers 
 6. Termination. 

 

	 	a.	For Cause. The Company may immediately terminate Allseas’ engagement under this Agreement for “Cause” (as defined herein). In such event, or if
Allseas terminates the engagement (other than for Good Reason (as defined below) or as the result of a Change of Control (as defined below) or its engagement is terminated by the Company without Cause) the obligations of the Company shall cease
immediately and Allseas shall not be entitled to any further payments of any kind. For purposes of this Agreement, “Cause” shall include (i) a material breach of the terms of this Agreement; (ii) dishonesty, willful misconduct or
fraud in connection with the performance of its duties, or in any way related to the Company’s business; or (iii) a violation of applicable policies, practices and standards of behavior of the Company. 

 

	 	b.	Good Reason. Allseas may terminate its engagement voluntarily for Good Reason. For purposes of this Agreement, “Good Reason” shall mean the following:
(i) the Company fails to pay Allseas any fee due and payable hereunder within ten (10) days after Allseas provides written notice to the Company of such failure to pay; or (ii) a breach by the Company of any material provision of this
Agreement, in any case without Allseas’ written consent. 

  

	 	c.	 Payment Upon Termination. In the event of Allseas’ termination for Good Reason, or in the event that its engagement is terminated by the
Company, other than in accordance with subparagraph (a) of this 

  
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Section 6, i.e. without Cause, Allseas shall be entitled to receive its fee payable pursuant to Section 5(a) of this Agreement through the Termination Date, as defined below.

  

	 	d.	Termination Date. For purposes of this Agreement, “Termination Date” shall mean: (i) if Allseas’ engagement is terminated by the Company for
Cause, the date of such termination; (ii) if Allseas’ engagement is terminated by the Company without Cause or by Allseas without Good Reason, the date set forth in the notice of termination (which no event shall be earlier than the date
such notice is effective); 

  

	 	e.	Change of Control. In the event of a “Change in Control” (as defined herein) during the Term of this Agreement, the Company and Allseas have the option
to terminate this Agreement within six (6) months following such Change in Control. For purposes of this Agreement, the term “Change of Control” shall have the following meaning: 

(i) the sale, lease, transfer, conveyance or other disposition (other than by way of merger or consolidation), in one or a series of
related transactions, of all or substantially all of the Company’s assets, other than a disposition to any of the Company’s affiliates; 
 (ii) the consummation of any transaction (including, without limitation, any merger or consolidation) the result of which is that any person (as such term is used in Section 13(d)(3) of the United
States Securities Exchange Act of 1934), other than any of the Company’s affiliates (excluding persons that may be deemed affiliates solely by virtue of their stock ownership) becomes the beneficial owner, directly or indirectly, of more than
35% of the Company’s voting shares, measured by voting power rather than number of shares; or 
 (iii) the Company
consolidates with, or merges with or into, any person (other than any of the Company’s affiliates), or any such person consolidates with, or merges with or into, the Company, in any such event pursuant to a transaction in which any of the
outstanding shares of the Company’s common stock are converted into or exchanged for cash, securities or other property, or receive a payment of cash, securities or other property, other than any such transaction where the shares of the
Company’s common stock that are outstanding immediately prior to such transaction are converted into or exchanged for voting stock of the surviving person constituting a majority of the outstanding shares of such voting stock of such surviving
person immediately after giving effect to such issuance 
 7. Representations by Allseas. Allseas represents and warrants the following:

 (a) Capacity; Authority; Validity. Allseas has all necessary capacity, power and authority to enter into this
Agreement and to perform all the obligations to be performed by Allseas’ hereunder; this Agreement and the consummation by 

  
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Allseas of the transactions contemplated hereby has been duly and validly authorized by all necessary action of Allseas; this Agreement has been duly executed and delivered by Allseas; and
assuming the due execution and delivery of this Agreement by the Company, this Agreement constitutes the legal, valid and binding obligation of the Company enforceable against Allseas in accordance with its terms. 

(b) No Violation of Law or Agreement. Neither the execution and delivery of this Agreement by Allseas, nor the consummation of the
transactions contemplated hereby by Allseas, will violate any judgment, order, writ, decree, law, rule or regulation or agreement applicable to Allseas. Allseas is not in breach of any agreement requiring the preservation of the confidentiality of
any information, client lists, trade secrets or other confidential information or any agreement not to compete or interfere with any prior employer, and that neither the execution of this Agreement nor the performance by Allseas of its obligations
hereunder will conflict with, result in a breach of, or constitute a default under, any agreement to which Allseas is a party or to which Allseas may be subject. 
 8. Confidentiality. Except as directed in writing, Allseas will not disclose or use at any time, either during the period of this Agreement or thereafter, any Confidential Information (as defined
below) of which it is or becomes aware, except to the extent required by applicable law. Allseas will take all appropriate steps to safeguard any Confidential Information, as defined herein, and to protect it against disclosure, misuse, espionage,
loss and theft. As used in this Agreement, the term “Confidential Information” means information relating to the Company’s vessels that is not generally known to the public or that is used or developed by the Company including,
without limitation, all products and services, fees, costs and pricing structures, financial and trading information, accounting and business methods, analyses, reports, data bases, computer software (including operating systems, applications and
program listings), manuals and documentation, customers and clients and customer and client lists, account files, travel agents and travel agent lists, charter contracts, salesmen and salesmen lists, technology and trade secrets and all similar and
related information in whatever form relating to the business of the Company, provided however, that Allseas may disclose or use Confidential Information at the direction of the Company. 
 9. Injunctive Relief. Allseas agrees that if it breaches or attempts to breach or violate any of the provisions of this Agreement, the Company will be irreparably harmed and monetary damages will
not provide an adequate remedy. Accordingly, it is agreed that the Company may apply for and shall be entitled to temporary, preliminary and permanent injunctive relief (without the necessity of posting a bond or other security) in order to prevent
breach of this Agreement or to specifically enforce the provisions hereof, and Allseas hereby consents to the granting of such relief, without having to prove the inadequacy of the available remedies at law or actual damages. It is understood that
any such injunctive remedy shall not be exclusive or waive any rights to seek other remedies at law or in equity. The parties further agree that the covenants and undertakings covered by this Agreement are reasonable in light of the facts as they
exist on the date of this Agreement. However, if at any time, a court or panel of arbitrators having jurisdiction over this Agreement shall determine that any of the subject matter or duration is unreasonable in any respect, it shall be reduced, and
not terminated, as such court or panel of arbitrators determines may be reasonable. 

  
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 10. Assignments. This Agreement and Allseas rights and obligations hereunder, may not be assigned by
Allseas; any purported assignment in violation hereof shall be null and void. This Agreement, and the Company’s rights and obligations hereunder, may not be assigned by the Company it being understood that the Company’s rights extend to
the Box Group; provided, however, that in the event of any sale, transfer or other disposition of all or substantially all of the Box Group’s assets and business, whether by merger, consolidation or otherwise, the Box Group shall assign this
Agreement and its rights hereunder to the successor to its assets and business. 
 11. Entire Agreement. This Agreement constitutes the
entire and only agreement between the parties in relation to its subject matter and replaces and extinguishes all prior agreements, undertakings, arrangements, understandings or statements of any nature made by the parties or any of them whether
oral or written with respect to such subject matter. 
 12. Notices. Every notice, request, demand or other communication under this
Agreement shall: 
 (a) be in writing delivered personally, by courier or served through a process server; 

(b) be deemed to have been when delivered personally or through courier or served at the address below; and 

(c) be sent: 

(i) If to the Company, to: 
 BOX SHIPS INC. 
 15 Karamanli Ave., 

Voula 16673, 

Athens, Greece 

(ii) If to Allseas, to: 
 Allseas Marine S.A. 
 15 Karamanli Ave. 

Voula 16673, 

Athens, Greece 
 or to such
other person or address, as is notified by the relevant party to the other parties to this Agreement and such notification shall not become effective until notice of such change is actually received by the other parties. Until such change of person
or address is notified, any notification to the above addresses are agreed to be validly effected for the purposes of this Agreement. 
 13.
Amendments to this Agreement No modification, alteration or waiver of any of the provisions of this Agreement shall be effective unless in writing and signed on behalf of each of the parties. No delay or omission by the Company in exercising any
right or power vested in it under this Agreement shall impair such right or power or be 

  
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construed as a waiver of, or acquiescence in, any default or breach by Allseas of any of its obligations under this Agreement. 
 If any one or more provisions of these presents is, or at any time becomes, for any reason invalid, illegal, void, voidable or otherwise unenforceable under the laws of any jurisdiction or pursuant to a
decision or declaration of any court, such invalidity, illegality, voidability or non-enforceability shall not affect the validity, voidability, legality or enforceability of any other provision or provisions of this Agreement or the validity,
voidability, legality or enforceability of this Agreement as a whole or the validity, voidability, legality or enforceability of same under the laws of any other jurisdiction. 
 The headings in this Agreement do not form part thereof. 
 14. Applicable Law This
Agreement shall be governed by and construed in accordance with English Law. 
 15. Arbitration 

15.01 All disputes arising out of this Agreement shall be arbitrated in London in the following manner. 

One arbitrator is to be appointed by each of the parties hereto and a third arbitrator by the two so chosen. Their decision or that of any two of them
shall be final and for the purpose of enforcing any award, this Agreement may be made a rule of the court. 
 The arbitrators shall be
commercial persons, conversant with shipping matters. Such arbitration is to be conducted in accordance with the rules of the London Maritime Arbitrators Association terms current at the time when the arbitration proceeding are commenced and in
accordance with the Arbitration Act 1996 or any statutory modification or reenactment thereof. 
 15.02 In the event that either party
state a dispute and designates an Arbitrator in writing, the other party shall have twenty (20) days, excluding Saturdays, Sundays and legal holidays to designate its arbitrator, failing which the decision of the appointed arbitrator shall
apply and the appointed arbitrator can render an award thereunder in accordance with this Clause 15. 
 15.03 Until such time as the
arbitrators finally close the hearings, either party shall have the right by written notice served on the arbitrators and on the other party to specify further disputes or differences under this Agreement for hearing and determination. 

15.04 The arbitrators may grant any relief, and render an award, which they or a majority of them deem just and equitable and within the scope of
the Agreement of the parties, including but not limited to the posting of security. Awards pursuant to this Clause may include costs, including a reasonable allowance for attorney’s fees and judgments may be entered upon any award made herein
in any court having jurisdiction. 

  
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 IN WITNESS WHEREOF the parties signed the present document the day and year first above written. 

For and on behalf of, 
 BOX SHIPS INC. 
  

			
	  

	 By: MICHAEL BODOUROGLOU

	 Title: Chief Executive Officer

 ALLSEAS MARINE S.A. 
  

			
	  

	By : GEORGE SKRIMIZEAS
	 Title: President/Director

  
 7Commitment Letter from ABN AMRO Bank N.V. dated March 28, 2011

 Exhibit 10.14 

 

 

 CONFIDENTIAL 

Paragon Shipping Inc. 
 15 Karamanli Ave.

 166 73 Voula, 
 Greece 

Attn. Mr. M. Bodouroglou 

Rotterdam, March 28 2011 

Dear Sirs, 
 We write with regard to our recent
discussions, and are pleased to confirm that ABN AMRO Bank N.V. is prepared to provide the financing for BoxShips, subject to the following terms and conditions. 
 Senior Secured Credit Facility of maximum USD 100,000,000 
 (United States
Dollars One Hundred Million) 
  

					
			
	Facility Purpose	 	:	  	To provide finance for the acquisition of two (2) 2010-built TEU 3,450 Panamax container ships ‘Box Voyager’ and ‘Box Trader’ and one (1) 2010-built TEU 6,500
containership ‘Maule’ (each a “Vessel”, and collectively the “Vessels”).
			
	Facility Type	 	:	  	Senior secured term loan (the “Facility”), evidenced by a loan agreement and other legal and commercial documents (the “Facility Agreement”).
			
	Facility Amount	 	:	  	Maximum of USD 100,000,000 (say United States Dollars One Hundred Million), but no more than 55% of the lower of i) the fair market value and ii) the acquisition cost, of the
Vessels. The Facility will be split in three tranches as per below schedule:

  

			
	 Vessel
	  	 Max Facility
Amount

	 TEU 3.450
	  	$28,250,000
	 TEU 3,460
	  	$28,250,000
	 TEU 6,500
	  	$43,500,000
		  	 
	 $100,000,000
	  	

  

					
	  	 	  	  	The fair market value shall be determined as the arithmetic average of the valuations of two (2)
independent sale & purchase brokers acceptable to the
Agent.
			
	Borrowers	 	:	  	Joint and severally, three single purpose companies, owners of the Vessels, incorporated in a jurisdiction acceptable to the Lender. The Borrowers to be 100% owned and controlled by
the Corporate Guarantor.

 ABN AMRO Bank N.V. 

 

 

  
  

							
			
	Corporate Guarantor 	 	:	  	BoxShips a company with its shares listed on the NYSE or NASDAQ, which will unconditionally and irrevocably guarantee the obligations of the Borrowers under the Facility
Agreement.
			
	Time Charters 	 	:	  	The Annexed Vessel employment agreements.
			
	 Charterer 
	 	:	  	CSAV (Compañia SudAmericana de Vapores S.A.).
			
	Agent/ Underwriter 	 	:	  	ABN AMRO Bank N.V. (“ABN AMRO”). The Agent reserves the right to syndicate out part of the Facility to one or more banks.
			
	Drawdown 	 	:	  	In one drawdown per Vessel tranche.
			
	Cancellation 	 	:	  	The Facility will not be available for further drawings after 15th June 2011.
			
	Final Maturity 	 	:	  	Six (6) years from Drawdown, but in any event no later than 15th June 2017, or earlier in accordance with the Facility Agreement.
			
	Repayment 	 	:	  	Each tranche, repayable in 24 quarterly instalments together with a balloon payment, payable on Final Maturity, as per below
schedule:

  

							
	 Vessel
	  	 Instalments
	  	Balloon	 
	 TEU 3,450
	  	24x $537,500	  	$	15,350,000	  
	 TEU 3,450 
	  	 24x $537,500
	  	$	15,350,000	  
	 TEU 6,500
	  	24x $850,000	  	$	23,100,000	  

  

							
			
		 		 	 The Agent reserves the right to synchronise the repayment of the tranches, in one repayment schedule.

			
	Voluntary Prepayment 	 	:	 	 Prepayable in whole or in part without penalty on any interest payment date, subject to 15 days written notice to the Agent,
in minimum amounts of USD 1,925,000 (United States Dollars One Million Nine Hundred Twenty Five Thousand) or integral multiples thereof. Prepayments shall be applied to the repayment schedule in inverse order of maturity.

 
 Any break funding costs associated with prepayment(s) shall be for account of the
Borrowers.

			
	Involuntary Prepayment	 	:	 	 The net proceeds from the (re)finance, sale, scrap or total loss of a Vessel shall be applied promptly on receipt towards
prepayment of part of the Facility as may be necessary to ensure that after such prepayment the Asset Cover exceeds the higher of 150% and the cover that was in place prior to the refinance, sale, scrap or total loss.

 
 Any break funding costs associated with prepayment(s) shall be for account of the
Borrowers.

			
	Arrangement Fee 	 	:	 	1.25% flat of the maximum Facility Amount, payable to the Agent upon signing of the Facility
Agreement.

  
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	 Commitment Fee
	 	:	 	1.00% per annum, payable quarterly in arrears over the committed but undrawn portion of the Facility starting from the date of signing of the Facility offer
letter.
			
	 Underwriting Fee
	 	:	 	0.25% flat of the maximum Facility Amount, payable to the Agent upon signing of the Facility Agreement.
			
	 Agency Fee
	 	:	 	An Agency Fee of US$ 25,000 per annum shall be payable to the Agent annually in advance. This to be payable only if syndicated out.
			
	 Interest
	 	:	 	Interest will be charged over the outstanding portion of the Facility, at the rate of the Margin over:
			
		 		 	3, 6, 9 or 12 month US$ Libor or cost of funds, (if Libor does not accurately reflect the Lender’s funding cost), or another period to be agreed with the
Lender.
			
		 		 	Interest will be calculated on the basis of the actual number of days elapsed in a year of 360 days, and shall be payable at the earlier of the end of an interest
period, and quarterly.
			
	 Margin
	 	:	 	3.00% p.a.
			
	 Hedging
	 		 	Any interest rate hedge instrument to be effectuated by the Agent, and will be secured pari-passu with the other securities under the Facility
Agreement.
			
	 Manager
	 		 	AllSeas Marine Inc.
			
	 Security
	 	:	 	Usual and customary for a transaction of this type, including but not limited to :
				
		 		 	
Ÿ  
      
	  	First priority cross-collateralized mortgages over the Vessels.
				
		 		 	
Ÿ  
      
	  	First priority assignment of the Vessels’ earnings, as well as operating and retention accounts held with the Agent.
				
		 		 	
Ÿ  
      
	  	First priority assignment of the Vessels’ insurances, including but not limited to Hull & Machinery, Protection & Indemnity, War Risks, MII and MII Additional
Perils.
				
		 		 	
Ÿ  
      
	  	Marine and War Risks shall be for a minimum of 130% of the outstanding Facility Amount.
				
		 		 	
Ÿ  
      
	  	The cost of MII and MII Additional Perils Pollution taken out by the Agent shall be for the account of the Borrowers.
				
		 		 	
Ÿ  
      
	  	Specific assignment, by way of notification to the charterers, of any and all present and future charter parties, consecutive voyage charters, or contracts of affreightment of the
Vessels in excess of twelve (12) months duration, including the Time Charters.
				
		 		 	
Ÿ  
      
	  	First priority pledges over the shares of the Borrowers.
				
		 		 	
Ÿ  
      
	  	Unconditional and irrevocable corporate guarantee from the Corporate Guarantor.

  
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		 		 	Ÿ	  	Manager’s undertaking.
				
	Application of Earnings	 	:	 		  	All earnings of the Vessels shall be paid to the Agent for credit to the Vessels’ operating accounts of the Borrowers held with the Agent.
			
		 		 	Said earnings to be applied as follows :
				
		 		 	Ÿ	  	First, towards payment of all sums other than principal or interest due under the Facility Agreement which may be owing to the lender(s).
				
		 		 	Ÿ	  	Second, in or towards payment of one third of the relevant quarterly instalment and the relevant proportion of accruing interest, which will be transferred to the pledged retention
account each month.
				
		 		 		  	Surplus earnings to be released to the Borrowers.
			
	 Covenants :
	 	:	 	Usual and customary for a transaction of this type, including but not limited to;
				
		 		 	Ÿ	  	The average outstanding time charter duration of the fleet owned by the Corporate Guarantor to be no less than 1 year.
				
		 		 	Ÿ	  	The Vessels to be classed with an IACS classification society, free of any overdue recommendations.
				
		 		 	Ÿ	  	No change of control, merger or acquisition with respect to the Borrowers and the Corporate Guarantor.
				
		 		 	Ÿ	  	Restriction on payment of dividends and financial distributions with respect to the Borrowers and the Corporate Guarantor in case of default.
				
		 		 	Ÿ	  	The operating and retention accounts of the Borrowers to be held with the Agent.
				
		 		 	Ÿ	  	Restriction on asset acquisitions and disposals with respect to the Borrowers.
				
		 		 	Ÿ	  	Technical and commercial management of the Vessels to be executed by the Manager.
				
		 		 	Ÿ	  	Restriction on additional indebtedness with respect to the Borrowers.
				
		 		 	Ÿ	  	Cross default with respect to the other obligations of the Borrowers and the Corporate Guarantor.
				
		 		 	Ÿ	  	The Chairman and the CEO of the Corporate Guarantor to be acceptable to the Agent.
				
		 		 	Ÿ	  	Mr Michael Bodouroglou to own a minimum of 10% of the Corporate Guarantor (directly or indirectly).
				
		 		 	Ÿ	  	The Borrowers and the Corporate Guarantor shall provide the Agent with audited annual accounts within 90 days of the year end and semi- annual management accounts within 60 days of
the half-year end. Further relevant financial information shall be provided on demand.

  
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		 		 	 •
	  	No change of flag, classification society, intermediate or ultimate ownership and management of the Vessels without the prior written consent of the Agent.
				
		 		 	 •
	  	The Borrowers will from the required date at all times during the Facility period comply with the International Management Code for the Safe Operation of Ships and for Pollution
Prevention adopted by the International Maritime Organisation.
				
		 		 	 •
	  	The Agent reserves the right to request for one or more technical survey reports of the Vessels by surveyors appointed by the Agent at the expense of the Borrowers.
				
		 		 	 •
	  	Material Adverse Change of the Borrowers and the Corporate Guarantor.
			
	Financial Covenants	 	 :
	 	 Usual and customary for a transaction of this type, including but not limited to :

			
		 		 	     Borrowers

				
		 		 	 •
	  	The fair market value of the Vessels (charter-free basis) shall at all times be at least 140% of the amount outstanding under the Facility (the “Asset Cover”). The market
value shall be determined as the arithmetic average of the valuations of two independent sale & purchase brokers acceptable to the Agent.
				
		 		 		  	Valuations obtained at the expense of the Borrowers shall be limited to two per year.
				
		 		 	 •
	  	Each Borrower to maintain a minimum cash balance of US$ 250,000 with the Agent.
			
		 		 	     Corporate Guarantor

				
		 		 	 •
	  	Maximum market adjusted corporate leverage : 65%
				
		 		 	 •
	  	Minimum market adjusted net worth of US$ 150,000,000.
				
		 		 	 •
	  	Minimum free liquidity of US$ 750,000 per vessel owned, but no less than US$ 8,000,000.
				
		 		 	 •
	  	Interest cover ratio 2.5:1.
			
		 		 	The Borrowers and the Corporate Guarantor to evidence their compliance with covenants by a delivery of a Compliance Certificate on a quarterly
basis.

  
 5 

 

 

  

							
	Conditions Precedent	 	 :
	 	Usual and customary for a transaction of this type, including but not limited to :
				
		 		 	 •
	  	The Corporate Guarantor to be listed on NYSE or NASDAQ and to have raised a minimum of US$ 120,000,000 of new equity.
				
		 		 	 •
	  	Execution of all securities in favour of the Lender.
				
		 		 	 •
	  	Satisfactory valuations from two brokers acceptable to the Agent.
				
		 		 	 •
	  	A favourable opinion from the Agent’s insurance consultants at the expense of the Borrowers confirming that the required insurances have been placed and are acceptable to the
Agent, and that the underwriters are acceptable to the Agent.
				
		 		 	 •
	  	Letters of undertaking from the insurance brokers, inclusive confirmation notices of assignment, notices of cancellation and loss payable clause acceptable to the
Agent.
				
		 		 	 •
	  	The Borrowers and the Corporate Guarantor to provide such other documents and evidence as the Agent shall require based on applicable laws and regulations and the Agent’s own
internal guidelines relating to the bank’s verification of the identity and knowledge of its customers.
				
		 		 	 •
	  	The Time Charters to be in place in form and substance acceptable to the Agent.
			
	Events of Default :	 	 :
	 	 Usual and customary for a transaction of this type, including but not limited to :

				
		 		 	 •
	  	Failure to pay any amounts due when required under the Facility Agreement.
				
		 		 	 •
	  	Breach of covenants.
				
		 		 	 •
	  	Bankruptcy, insolvency, etc.
				
		 		 	 •
	  	Change of control of the Borrowers and/or the Corporate Guarantor.
				
		 		 	 •
	  	Termination/cancellation of the Time Charters provided that alternative employment acceptable to the Agent is not entered-into for the Vessels within a period of 60 days after such
termination/cancellation.
				
		 		 	 •
	  	Cross default with the obligations of the Borrowers and the Corporate Guarantor.
				
		 		 	 •
	  	Default under any other credit agreement of the Borrowers and/or the Corporate Guarantor.
				
		 		 	 •
	  	Material Adverse Change of the Borrowers and the Corporate Guarantor.
			
	General Conditions	 	 :
	 	Apart from the terms and conditions set out herein, the General Banking Conditions and the General Credit Provisions of ABN AMRO Bank N.V. will
apply.

  
 6 

 

 

  

							
	 Syndication Clauses
	 	 :
	 	 As per attached.

			
	 Documentation
	 	 :
	 	 Usual and customary for a transaction for this type.

			
	 Increased Costs
	 	 :
	 	 The documentation will include a provision requiring the Borrowers to reimburse the Agent for any increased costs, which are incurred as a
result of regulatory changes.

			
	 Representations / Warranties
	 	 :
	 	 Usual and customary for a transaction for this type.

			
	 Taxation
	 	 :
	 	 Any payments under the Facility Agreement are to be made free and clear of all present and future taxes, levies, duties or deductions of
any nature whatsoever, levied either now or at any future time.

			
	 Expenses
	 	 :
	 	 All costs incurred in connection with the establishment and maintenance of the Facility, the Facility Agreement and security documents,
including legal fees and out of pocket expenses, will be for the account of the Borrowers.

			
	 Governing Law
	 	 :
	 	 The laws of England and the non-exclusive jurisdiction of the English courts.

This offer letter will remain valid until the close of business, Rotterdam time on the 20th of April 2011. If you agree with the contents of this offer letter,
we kindly request you return to us the copy, dated and duly signed. 
  

							
	Yours Sincerely,	 	
		
	For and on behalf of	 	
		
	
 

	 	
 

	 ABN AMRO Bank N.V. 
	 	 A.G.A.J. Biesbroeck
	 	
	
 

	 	
			
	For and on behalf of	 	For and on behalf of	 	
				
	  
	 		 	  
	 	
	The Borrowers	 		 	The Corporate Guarantor	 	

  
 7 

 

 

  
 ANNEX- Time Charters 

 

													
	 Vessel
	  	Capacity	 	  	Charter rate
($
p.d.)	 	  	Expiry	 
	 Vessel 1
	  	 	TEU 3,450	  	  	 	20,000	  	  	 	August-12	  
	 Vessel 2
	  	 	TEU 3,450	  	  	 	20,000	  	  	 	August-12	  
	 Vessel 3
	  	 	TEU 6,500	  	  	 	38,000	  	  	 	Mav-16	  

 ATTACHMENT - Syndication Clauses

  

			
		
	Clear Market: 	  	During the period from the date of the Term Sheet and the date of close of syndication, the Borrowers /Corporate Guarantor shall not and shall ensure that no other member of the
group shall raise or attempt to raise finance in the international or domestic loan or capital markets without the prior written consent of the Agent. 
		
	Syndication: 	  	The Borrowers / Corporate Guarantor shall give such assistance as the Agent may reasonably require in relation to the syndication of the Facility including presentations by members
of their management, and assisting in relation to the preparation of an information memorandum. 
		
	Market Flex: 	  	The Underwriter shall be entitled in consultation with the Borrowers / Corporate Guarantor to change the pricing, terms and/or structure of the Facility if the Agent determines that
such changes are advisable in order to ensure a successful syndication of the Facility 
		
	Market
Conditions: 	  	The terms set out in the term sheet are subject to there being no material adverse change in either (a) the business or financial condition of the parties set out herein or (b) the
international or any relevant domestic syndicated loan market, up to the time of close of syndication of the Facility. 
		
	Publicity: 	  	Any publicity regarding the Facility to be agreed in advance by the Agent. 
		
	Confidentiality:	  	The Term Sheet and its content are intended for the exclusive use of the Borrowers / Corporate Guarantor and shall not be disclosed by the Borrowers / Corporate Guarantor to any
person other than the legal and financial advisors for the purposes of the proposed transaction unless the prior written consent of the Agent is obtained.

  
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