Astrid P. Nordtorp Marine Money Shanghai November 2015

Long term in a cyclical industry

• Long track-record

• Long term view

• Relationship focus

DNB’s Shipping, Offshore & Logistics cluster at a glance:

Industry knowledge Bank from A to Z Global presence:

• Equity

• M&A

• Export credit finance

• Bonds

• Bank debt

• Syndication

• Analysis and advisory

• Cash management

• 150 experts

• Presence in 8 cities

• 200 clients world wide

• Portfolio of USD 25-30 bn

Our clients operate in many segments with different drivers and varying market conditions

Commodity Shipping •Crude tankers •Dry bulk carriers

Industrial Shipping •Gas carriers (LNG/LPG) •Chemical carriers •Product tankers •Car carriers •Ferries and Ro-ro •Specialized vessels •Containers

Offshore •Drilling rigs •Production vessels •Subsea construction •Offshore support vessels

Other non shipping •Cruise •Logistics

24 % 36 % 28 % 12 %

Container

Offshore Supply

Car Carriers

Crude Tankers

Dry Bulk

LPG

Chemical Tankers

Product Tankers

Offshore Drilling

LNG

We are in a cyclical industry

It’s not only about the oil price

Over-supply Cost-cutting Drop in oil price

Brazil and Mexico

Diversified sources for a capital intensive industry:

The influx of easy money has stopped

0

10,000

20,000

30,000

40,000

50,000

60,000

Q1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15 Q3 15

USD

mill

Shipping and offshore loan volume Shipping and offshore ECM volume Shipping and offshore bond volume

When providing capital we analyse 3 C’s:

1. CLIENT: Quality company / project sponsor

• Strategy of owners/company/management

• Experienced management • Credible operating tack-record • Long-term and industrial strategy • Financially robust (liquidity and

equity) • Ownership support and access to

capital

2. CASH FLOW: Credible cash flow / debt service ability

• Previous financial performance • Firm contracts (rate and tenor) • Market outlook (ability for new contracts) • Client base / competitors / substitutes

3. COLLATERAL Strong asset base / creditor position

• Modern, flexible and liquid assets based on proven design • Large and diversified fleet • Qualified yards for constructing newbuildings

Credit assessment

triangle

…and the credits are structured as a result of our analysis of the first 3C’s:

1. CLIENT COVENANTS

• Ownership clauses • Stock listing • Change of control • No further debt • Value adjusted equity ratio • No change of business • No granting of guarantees • No mergers/de-mergers

2. CASH FLOW COVENANTS:

• Debt service cover ratio • NIBD/EBITDA • Minimum liquidity • Dividend restriction

3. COLLATERAL COVENANTS

• Minimum value clause (MVC) • Negative pledge • Mandatory prepayment • Insurance/Flag state/Classification • Management

Credit structure

triangle

We work closely with our clients and are in it for the long run.

DNB shall be the leading financial services

provider and strategic advisor for the top quality maritime companies in the world