UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
6-K
REPORT
OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13A-16 OR 15D-16
OF THE SECURITIES EXCHANGE ACT OF 1934
OF THE SECURITIES EXCHANGE ACT OF 1934
For the
month of July 2010
Commission
File Number: 001-162171
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NORDIC
AMERICAN TANKER SHIPPING LIMITED
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|
(Translation
of registrant's name into English)
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LOM
Building, 27 Reid Street, Hamilton, HM 11, Bermuda
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(Address
of principal executive office)
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Indicate
by check mark whether the registrant files or will file annual reports under
cover of Form 20-F or Form 40-F.
Form 20-F
[x] Form 40-F
[ ]
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted
by Regulation S-T Rule 101(b)(1): [ ].
Note: Regulation S-T Rule
101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely
to provide an attached annual report to security holders.
Indicate
by check mark if the registrant is submitting the Form 6-K in paper as permitted
by Regulation S-T Rule 101(b)(7): [ ].
Note: Regulation S-T Rule
101(b)(7) only permits the submission in paper of a Form 6-K if submitted to
furnish a report or other document that the registrant foreign private issuer
must furnish and make public under the laws of the jurisdiction in which the
registrant is incorporated, domiciled or legally organized (the registrant's
"home country"), or under the rules of the home country exchange on which the
registrant's securities are traded, as long as the report or other document is
not a press release, is not required to be and has not been distributed to the
registrant's security holders, and, if discussing a material event, has already
been the subject of a Form 6-K submission or other Commission filing on
EDGAR.
INFORMATION
CONTAINED IN THIS FORM 6-K REPORT
Attached
as Exhibit 1 is a press release of Nordic American Tanker Shipping Limited (the
"Company"), dated July 2, 2010, containing a letter from the Chairman and CEO of
the Company to the Company's shareholders.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
NORDIC
AMERICAN TANKER SHIPPING LIMITED
(registrant)
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Dated: July
9, 2010
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By:
/s/ Herbjørn
Hansson
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Herbjørn
Hansson
Chairman,
Chief Executive Officer and President
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Exhibit
1
Nordic
American Tanker Shipping Ltd. (NAT)-(NYSE:NAT) Letter to Shareholders from the
Chairman and CEO. The Quarterly Dividend Policy to be Continued as in the Past.
No Plans to Issue New Shares.
Hamilton,
Bermuda, July 2, 2010
Dear
Shareholder,
I'd like
to update you on our current business and financial position.
Representing
a significant dividend potential, Nordic American has now 16 trading suezmax
vessels and 4 newbuildings, two to be delivered in 2010 and two in 2011. The
Company has ample financial resources to increase its fleet up to 22 vessels or
more without tapping the equity market. Consequently, the Company has no plans
to issue new shares.
Since
January 1, 2009, our fleet has grown from 14 to 20 vessels (including the four
newbuildings). In order to minimize the risks for our shareholders, as in the
past, we plan to grow the fleet step by step. The technical quality of our fleet
is good, which is imperative for the future revenues of the Company. The second
hand sale and purchase market for suezmax vessels has so far this year been firm
and the prices have gone up. The prices of contracts for newbuildings have also
increased after we placed two newbuilding orders earlier this year.
Our
policy is to grow when it is profitable and accretive to do so; that is, after
an acquisition and the financing thereof, the Company should be able to pay a
higher dividend per share and produce higher earnings per share, than had the
acquisition not taken place. Our latest acquisitions are keeping us on that
path.
For the
first six month of 2010, the spot tanker market rates have been volatile. We
expect the market to continue to be volatile, but as a matter of policy, we do
not attempt to predict future spot rates. During the second quarter,
the average spot market rate for suezmax tankers as reported by the Imarex
Tanker Index was $34,430 per day compared with $34,983 per day in the first
quarter. The rates achieved by Nordic American may well vary from the Imarex
numbers.
Our
dividend report for 2Q10 is expected to be announced on Friday August 6, 2010,
before the opening of the New York Stock Exchange. The next dividend, the
52nd in a
row, is expected to be paid on or about September 2, 2010.
We
believe that our full dividend payout policy together with low costs and our
spot rate exposure will continue to enable us to achieve a competitive cash
yield compared with that of other tanker companies.
Our
primary objective is to maximize total return to our shareholders, including
maximizing our quarterly cash dividend. Over time we have produced a very
competitive total return and we believe that we are in an excellent position to
continue to do so.
Based on
its business model, growth of the fleet, strong balance sheet and available
resources, we believe Nordic American has a significant upside potential and a
limited downside.
As
always, I welcome your questions, comments and recommendations. You can reach me
at herbjorn.hansson@scandicamerican.com.
For other
addresses, please see the end of this message.
All the
best!
Sincerely,
Herbjorn
Hansson
Chairman
& CEO
CAUTIONARY
STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
Matters
discussed in this press release may constitute forward-looking
statements. The Private Securities Litigation Reform Act of 1995
provides safe harbor protections for forward-looking statements in order to
encourage companies to provide prospective information about their
business. Forward-looking statements include statements concerning
plans, objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements, which are other than statements of
historical facts.
The
Company desires to take advantage of the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995 and is including this cautionary
statement in connection with this safe harbor legislation. The words "believe,"
"anticipate," "intend," "estimate," "forecast," "project," "plan," "potential,"
"may," "should," "expect," "pending" and similar expressions identify
forward-looking statements.
The
forward-looking statements in this press release are based upon various
assumptions, many of which are based, in turn, upon further assumptions,
including without limitation, our management's examination of historical
operating trends, data contained in our records and other data available from
third parties. Although we believe that these assumptions were
reasonable when made, because these assumptions are inherently subject to
significant uncertainties and contingencies which are difficult or impossible to
predict and are beyond our control, we cannot assure you that we will achieve or
accomplish these expectations, beliefs or projections. We undertake
no obligation to update any forward-looking statement, whether as a result of
new information, future events or otherwise.
Important
factors that, in our view, could cause actual results to differ materially from
those discussed in the forward-looking statements include the strength of world
economies and currencies, general market conditions, including fluctuations in
charter rates and vessel values, changes in demand in the tanker market, as a
result of changes in OPEC's petroleum production levels and world wide oil
consumption and storage, changes in our operating expenses, including bunker
prices, drydocking and insurance costs, the market for our vessels, availability
of financing and refinancing, changes in governmental rules and regulations or
actions taken by regulatory authorities, potential liability from pending or
future litigation, general domestic and international political conditions,
potential disruption of shipping routes due to accidents or political events,
vessels breakdowns and instances of off-hire, failure on the part of a seller to
complete a sale to us and other important factors described from time to time in
the reports filed by the Company with the Securities and Exchange Commission,
including the prospectus and related prospectus supplement, our Annual Report on
Form 20-F, and our Reports on Form 6-K.
Contacts:
Scandic
American Shipping Ltd
Manager
for:
Nordic
American Tanker Shipping Limited
P.O Box
56, 3201 Sandefjord, Norway
Tel: + 47
33 42 73 00 E-mail: nat@scandicamerican.com
Rolf
Amundsen, Investor Relations
Nordic
American Tanker Shipping Limited
Tel: +1
800 601 9079 or + 47 908 26 906
Gary J.
Wolfe
Seward
& Kissel LLP, New York, USA
Tel: +1
212 574 1223
Turid M.
Sørensen, CFO
Nordic
American Tanker Shipping Limited
Tel: +
47 33 42 73 00 or + 47 905 72 927
Herbjørn
Hansson, Chairman and Chief Executive Officer
Nordic
American Tanker Shipping Limited
Tel: +1
866 805 9504 or + 47 901 46 291