Successful close of USD220m bond issue - American Shipping Company

Successful close of USD220m bond issue

Fornebu, 9 February 2017

Reference is made to the press release dated 7 February, 2017 by American Shipping Company ASA ("AMSC") in relation to a contemplated bond issuethrough AMSC's fully owned subsidiary AmericanTanker Inc. ("ATI"). ATI has successfully completed the placement of a USD 220 million senior unsecured bond. The bond issue was significantly oversubscribed and received strong demand from Nordic as well as international investors. Settlement is expected to be 21 February, 2017 with final maturity date expected to be 21 February, 2022. The new bond issue has a coupon of 9.25%. An application will be made for the bonds to be listed on the Oslo Stock Exchange.

The net proceeds will be used to refinance the existing bond maturing February 2018.

The bonds have not been and will not be registered under the Securities Act or any state securities laws, and may not be offered or sold in the United States absent registration or unless pursuant to an applicable exemption from the registration requirements of the Securities Act and any other applicable securities laws. This press release does not constitute an offer to sell or the solicitation of an offer to buy the bonds, nor shall it constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ATI had retained Arctic Securities, Clarksons Platou Securities, Pareto Securities and SEB as joint lead managers for the transaction.

Sparebank 1 Markets had been retained as Co-Manager.

For further information, please contact:

Pål Magnussen (CEO, AMSC)
Tel+47 24 13 00 04

Morten Bakke (CFO, AMSC)
Tel:+47 24 13 00 87

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.