1st quarter 2008 report


1st quarter good operationally - a weak USD is
drawing finance down.

Gross freight income is MNOK 488 in the quarter
compared to MNOK 409 in the 1st quarter 2007
Net TC rate per day was NOK 33,515 in the 1st
quarter compared to NOK 34,638 in the 4th quarter
2007 and NOK 30,112 in the 1st quarter 2007
EBITDA is MNOK 86 compared to MNOK 60 in the 1st
quarter 2007
Net finance cost is MNOK 44 in the quarter
compared to MNOK 14 in the 1st quarter 2007,
whereof unrealized loss is MNOK 20
Result before tax and minority share MNOK 2 in
quarter corresponding to NOK 0.04 per share,
compared to MNOK 14 corresponding to NOK 0.25 per
share in the 1st quarter 2007

Wilson ASA - Business idea

Wilson`s main activity is the chartering and
operation of small dry bulk vessels between 1,500
and 10,000 dwt in the European short sea trade.
Wilson is a premier player in this market. Per
14.05.2008 the Wilson system is operating 108
ships, whereof 77 are owning-wise controlled by
Wilson`s strategy is to offer Norwegian and
European industry competitive, reliable, flexible
and long-term transportation services. By
controlling large contract volumes and long-term
contract portfolios Wilson may optimize vessel
operations and secure stable and long term income

Result 1st quarter 2008

In the 1st quarter 2008 the company achieved
freight income on TC basis of MNOK 269 compared to
MNOK 225 in the 1st quarter 2007. The increase is
in due to generally higher freight rates market
compared to the same period last year and that the
company has had more ships in operation in the 1st
quarter 2008 than in the 1st quarter 2007.

The company`s operating cost (excl. depreciations)
is MNOK 193 in the quarter compared to MNOK 170 in
the 1st quarter 2007. Other operating cost ships
and crew cost show a total increase of MNOK 25
which is related to a higher activity level and
general cost increases. Cost to TC and BB hires
declining due to fewer hired ships.

The operating result before depreciations (EBITDA)
is MNOK 86 in the quarter compared to MNOK 60 in
the 1st quarter 2007.

The net finance cost is totalling MNOK 44 in the
1st quarter 2008 compared to MNOK 14 for the 1st
quarter 2007. Value changes in financial
instruments are charging the accounts with MNOK 20
which in main is due to unrealized loss on USD
forward exchange rate agreements. Net interest
is charging the accounts with MNOK 17, an increase
of MNOK 7 compared to 1st quarter 2007. Currency
loss is charging the quarterly accounts with MNOK
14, an increase of MNOK 12 compared to the 1st
quarter 2007. The increase is in main related to
loss on realized forward currency contracts due to
the weak USD compared to NOK in the quarter, as
well as value changes on EUR loans.

The company`s result before minority share and
estimated tax is MNOK 2 in the 1st quarter 2008
compared to MNOK 14 for the 1st quarter 2007.


In the quarter the company have had good earnings
from the contracts and the COA-share is 71 %
compared to 69 % in the 4th quarter 2007 and 72 %
in the 1.st quarter 2007. At the same time the
spot market has been generally good, although
somewhat down compared to the 4th quarter 2007.

The activity level in the 1st quarter measured as
the number of sailing days shows a reduction of 2
compared to the 4th quarter 2007. The reduction is
in main attributed to increased docking activity
the period.

Financing and capital structure

Interest bearing mortgage- and leasing obligations
per 31.03.2008 are MNOK 1,064 in the balance
compared to MNOK 1,009 per 31.12.2007. The
is due to drawdown on borrowing facilities for
tonnage delivered in the period.

Booked equity in the company per 31.03.2008 is
620 compared to MNOK 626 per 31.12.2007. Booked
equity is thereby 28.4 % compared to 29.5 % per
31.12.2007. Compared to the covenants as referred
to in the company`s annual financial statement,
covenants have been adjusted by the lending bank
that the required equity ratio now is 27.5 %.

Planned investments which have been carried
have reduced the company`s liquidity, and bank
deposit per 31.03.2007 is MNOK 38. Additionally
company has an unused credit facility of MNOK 50.


In the 1st quarter the company has not entered
any new purchase agreements for additional
Of previously published ship purchases 4 ships
delivered in the 1st quarter for a total purchase
price of MEUR 17.

The company is doing the final negotiations with a
Chinese building yard regarding the last
before the previously published contract of 8
à 4.500 dwt becomes effective. Somewhat more time
has expired than expected to get the last
conditions sorted out, however these conditions
now assumed clarified shortly. The new buildings
will be delivered during 2010-2012 and have a
cost price to the building yard of around MUSD 83.

Order reserves

Wilson`s contract coverage is satisfactory and the
order reserve per 31.03.2008 is ca NOK 1.6
billions. The order reserve is defined as the
expected future shipment commitments under the
current Contracts of Affreightment (COA) during
agreed contract period. The company has long
lasting and good relations to the customers with
close to 100 % success rate in contract renewals.


Based on ship investments carried through and
positive developments in the contracts portfolio,
the Board of Directors expects that the company
will maintain a continued high activity level
during 2008. The freight level for already agreed
contracts is good and provided that a stable level
of shipped volumes under the contracts is
maintained, the Board of Directors expects that
positive earnings trend in the 1st quarter 2008
shall continue.

A continued weak USD will be operationally
favourable for the company, but will be negative
for the financial result.

Financial principles for the quarterly report

The quarterly report has been established on the
basis of international accounting standards (IAS

The Board of Directors of Wilson ASA

Bergen, 14th May 2008

Om oss

The Company’s business concept is to offer Norwegian and European industry competitive, secure, reliable, flexible and long-term maritime transport services. With large transport volumes and long-term transport portfolios, Wilson can optimise sailing patterns and achieve efficient operations and thus secure long-term stable earnings. The Company’s strategy is to focus on growth and expansion in the European dry cargo segment by increasing the volume of long-term freight contracts, purchasing tonnage, acquiring companies or entering into alliances with other players. The Company’s financial strategy is to keep focus on and control risk, as well as hedge against major fluctuations in general market conditions for Wilson by aiming for: - A high contractual share of the total freigt volume- A reasonable balance between contract portfoilio and freight capacity- A balanced currency risk- Reduced exposure to fluctuations in bunker pricesAs a part of Wilson’s company culture, core values and ethical guidelines have been prepared and implemented. Wilson’s core values are to be: reliable, service minded, professional, long term, solid, competitive and innovative.

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