Question-and-Answer Session
Operator
Thank you very much indeed, sir. We now begin the question-and-answer session. (Operator instructions) From Cantor Fitzgerald, your first question comes from Natasha Boyden. Please ask your question, ma’am.
Natasha Boyden – Cantor Fitzgerald
Thank you, operator. Good morning, gentlemen or good afternoon.
Akis Tsirigakis
Good morning.
Natasha Boyden – Cantor Fitzgerald
Just starting on some line items here on your income statement your vessel OpEx was substantial higher here than it was in previous quarters. Can you just tell us what was in that. Was any drydocking included in this number or what was included there? And what would be a good run rate to use going forward?
Akis Tsirigakis
Alright, I guess, Natasha, you are looking at the vessel operating expense of $9.4 million, right?
Natasha Boyden – Cantor Fitzgerald
Yes, exactly, versus last quarter 5.7 and the first quarter of 4.5.
Akis Tsirigakis
Yes. Let me explain. Well, as you can see, on the drydocking side of things although we did repairs on the Alpha, that’s not mirrored in the drydocking expenses because those were categorized as repairs, upgradings. Therefore, our auditors thought that that should be part of the vessel operating expenses number. Out of that, therefore, out of that $9.4 million number $2.6 million-$2.7 million is associated with those repairs of the Star Alpha.
Natasha Boyden – Cantor Fitzgerald
Okay, okay, so it was taken out of the drydocking line and put into vessel OpEx?
Akis Tsirigakis
That’s right. That’s right.
Natasha Boyden – Cantor Fitzgerald
Okay, okay, so that shouldn’t be in there going forward?
Akis Tsirigakis
No.
George Syllantavos
That’s a one-time item.
Akis Tsirigakis
That’s a one-time item. As you remember when we talked we have indicated that we have planned to stop the Alpha for some repairs due to its conditions as we had received it and as you know that repair went above and beyond our estimates there as we started looking into that quality of that – condition of the vessel. There – those expenses are within that number. That’s why it’s augmented by that amount.
Natasha Boyden – Cantor Fitzgerald
Okay. But other drydockings in the future should fall back into the drydocking expense line item.
Akis Tsirigakis
That’s right, that’s right.
Natasha Boyden – Cantor Fitzgerald
Okay, great, great. That’s helpful. Thank you. And then on your G&A, you had some stock based compensation in the quarter. Do you expect 2.6 million to be a good run rate going forward?
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