1:15PM New York – Top Ships falls 7% after it reported first quarter net loss of 93 cents per share.

Top Ships Inc. Greek seaborne transportation services provider reported first quarter revenues decreased to $72.6 million compared to $74.0 million for the same quarter of 2007.

First quarter net loss was $18.84 million or $0.93 per share compared to net income of $3.0 million or $0.28 per share for the same period of 2007. Operating loss was $2.4 million compared with operating income of $3.4 million for the first quarter of year ago.

Dry-bulk fleet company had previously announced time charter arrangements for the Cyclades and Astrale at $50,860 net per day for three years and $67,500 net per day for one year respectively. In addition, the company had recently agreed to charter the Pepito for a period of five years at a net daily rate of $38,950. The extended agreement will have an additional period of three years at a net daily bareboat rate of $23,580.

For tanker fleet the company has recently concluded chartering agreements for all six of new building product tankers with three major charterers. The new charter periods range between 7 and 10 years at daily rates between $14,300 and $14,550 on a bareboat basis. The company estimate that the daily rates for these bareboat charters to be in excess of $21,500 for the period, on a time charter equivalent basis.

First quarter total available fleets days declined 3.3% from 2,088 from 2,160 for the same quarter of 2007. Total operating days also fell 13.3% to 1,730 from 1,995 and other vessel operating expenses per ship per day rose 53.3% to $3,690 compared to $2,406 for the same period of year ago on higher ship repair expenses.

As of March 31, 2008, the Company’s fleet consisted of 23 vessels, or 2.1 million dwt including 12 owned, one under capital lease and 10 vessels sold and leased back for a period of five to seven years as compared to 24 vessels, or 2.5 million dwt on March 31, 2007 including 18 vessels sold and leased back for a period of 5 to 7 years.

On May 1, 2008, the company took ownership of the Astrale, which entered into a time charter contract for a period of one year at a net daily rate of $67,500. In February 2008, the company took delivery of the Voc Gallant, a super handymax, or supramax, drybulk vessel of 51,200 dwt built in China in 2002, from an unrelated third party.

The vessel was chartered back to the sellers for a period of 18 months at a daily net rate of $25,650 on a bareboat basis. This employment agreement was later extended for an additional period of three years at a daily net rate of $23,580.

In March 2008, the Company took delivery of the Pepito, a panamax drybulk vessel of 75,928 dwt built in Japan in 2001 and entered into a time charter contract for a period of 5 years at a net daily rate of $38,950.

Fleet Deployment
During the first quarter of 2008, the Company had approximately 79% of the fleet’s operating days on long-term employment contracts.

Tanker Vessels

During the first quarter of 2008, seven of the company’s Suezmax tankers operated in the spot market, earning on average $47,548 per vessel per day and under time charter contracts, earning on average $38,574 per vessel per day on a time charter equivalent basis. Company’s Handymax tankers operated in the spot market, earning on average $16,000 per vessel per day.

Company’s all dry-bulk vessels operated under time charter contracts, earning on average $51,151 per vessel per day on a time charter equivalent (TCE) basis, including the amortization of the fair value of time charter contracts of $15,842 per vessel per day.

Evangelos Pistiolis, president and chief executive officer said, ""We expect to recover approximately $6.5 million from our insurance underwriters during the second, third and fourth quarters of 2008 with respect to unexpected repairs, that will significantly offset these charges.""