Update on PST's Financing for Recent Acquisitions

SGX-ST Announcement, 26 November 2010

Following its earlier announcements, on 28 June 2010 and 11 October 2010, in relation to the acquisition (the “Acquisitions”) and chartering out of two new 180,000 DWT Capesize Bulk Carriers and two new 24,000 DWT Multi-Purpose Vessels (the “Transaction”), PST Management Pte. Ltd. (“PSTM” or “Trustee-Manager”), the trustee-manager of Pacific Shipping Trust (“PST”), is pleased to announce that it has finalised the bank financing for the Acquisitions, for a total of US$150 million, to be obtained from Bangkok Bank Public Company Limited, DBS Bank Ltd and Malayan Banking Berhad.

The proceeds from the above bank financing, together with the funds made available from PST’s existing cash retention programme, should make it unnecessary for PST to raise new equity for funding the Acquisitions. Consequently, the existing unitholders should benefit from the Transaction as and when the charter earnings come onstream. This is a validation of PST’s previous decision to implement its cash retention program with a view to ultimately benefiting its unitholders.

About Pacific Shipping Trust
Pacific Shipping Trust is the first business trust listed on the SGX-ST. It provides structured financing solutions to established shipping companies, thereby generating visible and stable cashflow stream through long-term charters. By acquiring vessels and leasing them to reputable charterers on long-term bareboat or time charters, PST seeks to generate a steady stream of high-yielding income for its unitholders.

The trustee-manager of PST is PST Management Pte. Ltd., a wholly-owned subsidiary of Pacific International Lines (Private) Limited, one of the largest private shipowner and operator in South East Asia.

PST Management Pte. Ltd. press release.