GENCO SHIPPING & TRADING LTD Debt Disclosure
8 - DEBT
Long-term debt consists of the following:
December 31, | December 31, | ||||||
| 2025 | | 2024 |
| |||
Principal amount |
| $ | 200,000 |
| $ | 90,000 | |
Less: Unamortized deferred financing costs |
| (10,920) |
| (7,825) | |||
Less: Current portion |
| — |
| — | |||
Long-term debt, net |
| $ | 189,080 |
| $ | 82,175 | |
December 31, 2025 | December 31, 2024 | ||||||||||||
Unamortized | Unamortized |
| |||||||||||
Debt Financing | Debt Financing |
| |||||||||||
| Principal | Cost | Principal | Cost | |||||||||
$600 Million Revolver | $ | 200,000 | $ | 10,920 | $ | — | $ | — | |||||
$500 Million Revolver | — | — | 90,000 | 7,825 | |||||||||
Total debt | $ | 200,000 | $ | 10,920 | $ | 90,000 | $ | 7,825 | |||||
As of December 31, 2025 and 2024, $10,920 and $7,825 of deferred financing costs, respectively, were presented as a direct deduction within the outstanding debt balance in the Company’s Consolidated Balance Sheets. Amortization expense for deferred financing costs for the years ended December 31, 2025, 2024 and 2023 was $2,204, $2,006 and $1,779, respectively. This amortization expense is recorded as a component of Interest expense in the Consolidated Statements of Operations.
On July 10, 2025, the Company entered into a fifth amendment to amend, extend and upsize our existing $500 Million Revolver to implement the $600 Million Revolver as noted below.
Effective July 10, 2025, the portion of the unamortized deferred financing costs for the prior $500 Million Revolver that was identified as a debt modification, rather than an extinguishment of debt, is being amortized over the life of the $600 Million Revolver in accordance with ASC 470-50. During the year ended December 31, 2025, the Company recorded $678 of debt extinguishment costs in relation to the amendment to the $500 Million Revolver with the $600 Million Revolver.
$600 Million Revolver
On July 10, 2025, the Company entered into a fifth amendment to amend, extend and upsize its existing $500 Million Revolver. The amended structure consists of a $600 million revolving credit facility (the “$600 Million Revolver”) which can be utilized to support growth of its asset base, as well as general corporate purposes. The $100,000 debt outstanding under the $500 Million Revolver was transferred to the $600 Million Revolver on July 10, 2025.
Key terms of the $600 Million Revolver are as follows:
| ● | Maximum loan capacity has been increased to $600 million. |
| ● | The entire facility consists of a revolving credit facility. |
| ● | Borrowings bear interest of 1.75% to 2.15% plus the Secured Overnight Financing Rate (), based on the Company’s ratio of total net indebtedness to EBITDA. |
| ● | The interest rate of the Company’s borrowings may be further increased or decreased by a margin of 0.05% based on the Company’s performance regarding emissions targets. |
| ● | The maturity date has been extended from November 29, 2028 to July 10, 2030. |
| ● | The facility originally had a repayment profile of 20 years with total quarterly commitment reductions of $29,039 per quarter commencing on March 31, 2027. As a result of the removal of the Genco Predator and Genco Picardy and the addition of the Genco Courageous as collateral under the facility on November 18, 2025, the scheduled quarterly commitment reductions were revised to $26,993 per quarter commencing on March 31, 2027. |
| ● | Collateral maintenance covenant was reduced from 140% to 135%, other key covenants remain substantially the same as those in the Company’s previous $500 Million Revolver. |
| ● | The Company may declare and pay dividends and other distributions so long as, at the time of declaration, (1) no event of default has occurred and is continuing or would occur as a result of the declaration and (2) the Company is in pro forma compliance with its financial covenants after giving effect to the dividend. |
| ● | The collateral package includes 41 of the vessels in the Company’s fleet at December 31, 2025 and may also include future vessels the Company may own. |
| ● | Commitment fees are 35% of the applicable interest rate margin for unutilized commitments. |
As of December 31, 2025, there was $400,000 of availability under the $600 Million Revolver. There were no debt repayments made during the year ended December 31, 2025 under the $600 Million Revolver. As of December 31, 2025, the total outstanding debt, net of unamortized deferred financing costs, was $189,080.
As of December 31, 2025, the Company was in compliance with all of the financial covenants under the $600 Million Revolver.
The following table sets forth the scheduled repayment of the outstanding principal debt of $200,000 as of December 31, 2025 under the $600 Million Revolver:
Year Ending December 31, | | Total | ||
2030 | $ | 200,000 | ||
Total debt | $ | 200,000 | ||
$500 Million Revolver
On November 29, 2023, the Company entered into a fourth amendment to amend, extend and upsize its existing $450 Million Credit Facility. The amended structure consisted of a $500 million revolving credit facility, which could
be utilized to support growth of the Company’s asset base as well as general corporate purposes (the “$500 Million Revolver”).
Key terms of the $500 Million Revolver were as follows:
| ● | Maximum loan capacity was increased to $500,000. |
| ● | The entire facility consisted of a revolving credit facility. |
| ● | Borrowings bore interest of 1.85% to 2.15% plus SOFR, based on our ratio of total net indebtedness to EBITDA. |
| ● | The interest rate of our borrowings could be further increased or decreased by a margin of up to 0.05% based on the Company’s performance regarding emissions targets. |
| ● | The maturity date was November 29, 2028. |
| ● | The facility originally had a repayment profile of 20 years with total quarterly commitment reductions of approximately $15,000 per quarter. As a result of the addition of the Genco Reliance and Genco Intrepid as collateral under the facility on November 25, 2024, the scheduled quarterly commitment reductions were revised prospectively effective January 1, 2025 to $13,764 per quarter. |
| ● | The Company was subject to customary financial covenants, including a collateral maintenance covenant that required the aggregate appraised value of collateral vessels to be at least 140% of the principal amount of loans outstanding, a minimum liquidity covenant that required the Company’s unrestricted cash and cash equivalents to be the greater of $500 per vessel or 5% of total indebtedness, a minimum working capital covenant that required consolidated current assets (excluding restricted cash) minus current liabilities (excluding the current portion of debt) to be not less than zero, and a debt to capitalization covenant that required the ratio of total net indebtedness to total capitalization to be not more than 70%. |
| ● | The Company could declare and pay dividends and other distributions so long as, at the time of declaration, (1) no event of default had occurred and was continuing or would occur as a result of the declaration and (2) the Company was in pro forma compliance with its financial covenants after giving effect to the dividend. |
| ● | Collateral package included all of the 42 vessels in the Company’s fleet as of December 31, 2024 and the Company had the ability to utilize future vessels the Company may own as collateral. |
| ● | Commitment fees were 40% of the applicable interest rate margin for unutilized commitments. |
Total debt repayments of $15,333, $130,000 and $9,750 were made during the years ended December 31, 2025, 2024 and 2023, respectively, under the $500 Million Revolver.
On July 10, 2025, the Company entered into a fifth amendment to the $500 Million Revolver; refer to the “$600 Million Revolver” section above.
$450 Million Credit Facility
On August 3, 2021, the Company entered into the $450 Million Credit Facility, a five-year senior secured credit facility which was allocated between an up to $150,000 term loan facility and an up to $300,000 revolving credit facility which was used to refinance two of the Company’s prior credit facilities.
On May 30, 2023, the Company entered into an amendment to the $450 Million Credit Facility to transition from the use of LIBOR to calculate interest to SOFR effective June 30, 2023. Borrowings bore interest at SOFR plus the applicable margin effective June 30, 2023.
Total debt repayments of $0, $0 and $236,000 were made during the years ended December 31, 2025, 2024 and 2023, respectively, under the $450 Million Credit Facility.
On November 29, 2023, the Company entered into a fourth amendment to the $450 Million Credit Facility; refer to the “$500 Million Revolver” section above.
Interest rates
The following tables set forth the effective interest rate associated with the interest expense for the Company’s debt facilities noted above, including the costs associated with unused commitment fees, if applicable. The effective interest rate below does not include the effect of any interest rate cap agreements. The following tables also include the range of interest rates on the debt, excluding the impact of unused commitment fees and any interest rate cap agreements, if applicable:
For the Years Ended December 31, | |||||||
December 31, | December 31, | December 31, | |||||
2025 | 2024 | 2023 | |||||
Effective Interest Rate | 8.27 | % | 9.08 | % | 8.29 | % | |
Range of Interest Rates (excluding unused commitment fees) | 5.53 % to 6.24 | % | 6.24 % to 7.24 | % | 6.43 % to 7.58 | % | |
Letter of credit
In conjunction with the Company entering into a long-term office space lease (See Note 15 — Leases), the Company was required to provide a letter of credit to the landlord in lieu of a security deposit. As of September 21, 2005, the Company obtained an annually renewable unsecured letter of credit with DnB NOR Bank at a fee of 1% per annum. During September 2015, the Company replaced the unsecured letter of credit with DnB NOR Bank with an unsecured letter of credit with Nordea Bank Finland Plc, New York and Cayman Island Branches (“Nordea”) in the same amount at a fee of 1.375% per annum. Effective July 3, 2025, the Company provided an updated letter of credit to the landlord in lieu of a security deposit for the lease commencing on October 1, 2025 (refer to Note 15 — Leases) of $557 to replace the existing $300 letter of credit. The unsecured letter of credit is with Nordea Bank ABP, New York Branch. The letter of credit outstanding was $557 and $300 as of December 31, 2025 and 2024, respectively, at a fee of 1.375% per annum. The letter of credit is cancelable on each renewal date provided the landlord is given 30 days' minimum notice. As of December 31, 2025 the letter of credit outstanding was not required to be securitized by restricted cash. As of December 31, 2024, the letter of credit outstanding was securitized by $315 that was paid by the Company to Nordea during the year ended December 31, 2015. This amount has been recorded as restricted cash included in total current assets as of December 31, 2024.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 18, 2026 | Showing above |
| 2024 | Feb 21, 2025 | |
| 2023 | Feb 27, 2024 | |
| 2022 | Feb 22, 2023 | |
| 2021 | Feb 24, 2022 | |
| 2020 | Feb 24, 2021 | |
| 2019 | Feb 27, 2020 | |
| 2018 | Mar 5, 2019 | |
| 2017 | Feb 28, 2018 | |
| 2016 | Mar 28, 2017 | |
| 2015 | Mar 15, 2016 | |
About Debt Disclosures
Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.
Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.