powering the world Aegean Marine Petroleum Network Inc. Investor Presentation January 2009

Transcription

1 powering the world Aegean Marine Petroleum Network Inc. Investor Presentation January 2009

2 Disclosure Today s presentation and discussion will contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of Words such as expects, anticipates, intends, estimates, or similar expressions are intended to identify these forward-looking statements. These statements are based on Aegean Marine Petroleum Network Inc. s current plans and expectations and involve risks and uncertainties that could cause future activities and results of operations to be materially different from those set forth in the forward-looking statements. Important factors that could cause actual results to differ include our future operating or financial results, our ability to manage growth, adverse conditions in the marine fuel supply industries, and increased levels of competition. For further information, please refer to Aegean Marine Petroleum Network Inc. s reports and filings with the Securities and Exchange Commission. 2

3 .powering the world 3

4 Agenda Company Industry Performance/Financials Appendix Contact Information 4

5 Company 5

6 Company: Overview Company Name Business Description Equity Ticker / Exchange Aegean Marine Petroleum Network Inc. Aegean is a global marine fuel logistics company which markets and physically supplies refined marine fuel and lubricants to ships in port and at sea. ANW / NYSE Dahlman Rose & Company, LLC. Johnson Rice & Company L.L.C. Simmons & Company International Wall Street Research Coverage Jefferies & Company, Inc. Sidoti & Company, LLC Stephens Inc. 6

7 Company: Global Operations Northern Europe (2007) Vancouver (2008) Montreal (2008) New York Gibraltar (1998) U.K. (2008) Athens / Greece (1995) Mexico (2008) Miami Jamaica (2005) Tangiers (2009e) U.A.E (2001) Trinidad & Tobago (2009e) West Africa (2008) Singapore (2006) Markets Headquarters Executive / Finance / Sales Business Development 7

8 Company: Delivery Fleet (1) # of Ves ssels Current count is 32. (as of January 2009) CAGR = 34.1% e 2010e SH DH (1) Delivery fleet includes both vessels and barges. 8

9 Company: Management Peter C. Georgiopoulos Chairman of the Board E. Nikolas Tavlarios President Dimitris Melisanidis Head of Corporate Development Spyros Fokas Director, Corporate Secretary & General Counsel Spyros Gianniotis Chief Financial Officer Chairman of Aegean since IPO (December 2006). Founder and Chairman of General Maritime (NYSE: GMR), a NY-based owner and operator of oil tankers. Founder and Chairman of Genco Shipping and Trading (NYSE: GNK), a NY-based owner and operator of drybulk carriers. GMR and GNK have returned over $1.25 billion to investors. President of Aegean since IPO. Former Vice President, General Maritime- directed business development, maintained relationships with major oil companies, and commissioned Portugal office. Former Manager, General Maritime Management (GMM) Hellas. Former Executive Director of Rockefeller Center for Tishman Speyer- created over $1 billion in NAV. Head of Corporate Development since January Founded Aegean in 1995 and acted as CEO until IPO. Corporate Secretary and General Counsel for Aegean since January 2005 and has acted as Legal Counsel since Founder of Associated Piraeus Law Offices. Member of Greek Maritime Law Association and Hellenic Society of Maritime Lawyers. Chief Financial Officer for Aegean since September Former Assistant General Manager and Head of Shipping at Piraeus Bank, A.E. Former Vice President, Senior Relationship Manager at Citibank N.A. 9

10 Industry 10

11 Industry: Historical Physical Supply of Marine Fuel (1) 90% 55% 10% 45% Oil Majors/Nationals Independents Oil Majors/Nationals Independents (1) Aegean management estimates and Lloyd s Marine Intelligence Unit/Sea Searcher 11

12 Industry: Environmental (1) Issues and impacts: Oil Pollution Spills: Prestige: Exxon Valdez: Erika: Hebei Spirit: (2) 60k mt of heavy fuel oil 35k mt of crude oil 20k mt of heavy fuel oil 11k mt of crude oil Emissions: Annual CO2 emissions generated estimated at 847mmt (4% of global CO2 emissions). Without regulatory action emissions from seaborne trade could increase by 72% over the next 12 years. International Maritime Organization (IMO): MARPOL Annex I: Regulations for the prevention of pollution by oil. MARPOL Annex VI: Regulations for the prevention of air pollution from ships. ECA - Emission Control Areas (formerly know as SECA) Number of nations party to the IMO conventions: 136, representing 98% of the world's shipping tonnage. (1) IMO (2) Approximate figures. 12

13 Industry: Markets Aegean s Markets Size (mm of tons) 1 Singapore U.A.E (1) Regulations Single-hulls allowed to operate until their 25 th anniversary but no later than end-of Current owners/operators of double-hull vessels are eligible for waivers on certain port fees. Single-hulls allowed to operate until their 25 th anniversary but no later than end-of Gibraltar 4.0 Only double-hulls allowed to operate. 4 Greece 4.0 Only double-hulls allowed to operate. 5 Southern Caribbean 3.5 No new single-hulls allowed to enter market. 6 West Africa 3.0 Ghana allows single-hulls to operate subject to receiving approval. Moving towards adopting regulation. 7 Vancouver 1.0 Single-hulls allowed to operate until end-of U.K. 1.0 Only double-hulls allowed to operate. (2) 9 Northern Europe 0.6 Only double-hulls allowed to operate. 10 Jamaica 0.6 No single-hull restrictions are currently in-place. Moving towards adopting regulation. 11 Mexico 0.3 Single-hulls allowed to operate until end-of Montreal 0.3 Single-hulls allowed to operate until end-of Tangiers n/a Only double-hulls allowed to operate. TOTAL 65.3 (1) Bunkerworld and Company information (2) Niche market (non ARA region) 13

14 Industry: Supply Fundamentals Projected World Bunkering Vessel Fleet (1) IMO MARPOL Regulation 13H bans single-hull tankers between 600 and 5,000 dwt from carrying heavy-grade oil; regulations went into effect beginning # of Vessels s Single-hull Double-hull (1) Lloyds MIU 14

15 Industry: Demand Fundamentals The bunker market is estimated at approximately 200mm metric tons (in annual sales). Fuel Sales vs. Global Trade Marine Fuel Global Seaborne Trade Global Marine Fuel Volume (2) (3) Global Seaborne Trade Fuel Sales vs. Tanker Spot Rates (2) Marine Fuel VLCC Tanker Spot Rates Global Marine Fuel Volume VLCC Tanker Spot Rates (1) BeicipFranlab, 2003, with projections based on Global Insight s World Trade Service (2) Clarksons, Shipping Review Database, 2006, with projections based on Global Insight s World Trade Service 15

16 Industry: Low-Sulphur Fuel Oil Fundamentals 50,000 45,000 Increased distillate use 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 ECA limits drop to 1.00% Global limits drop to 3.50% ECA limits drop to 0.50% Extensive refinery upgrades Marine fuel cost increase Demand Supply 0 16

17 Industry: Low-Sulphur Regulation Timeline ECA Limits 1.50% ECA Limits 1.50% California Emissions Legislation Global Limits 4.50% Global Limits 4.50% ECA Limits 0.10% New ECAs ECA Limits 0.10% New ECAs Global Limits 3.50% Global Limits 0.50% 17

18 Performance/Financials 18

19 Performance: Growth Period-end Statistics months ending Sep Sales Volumes 2,367,289 3,487,269 3,631,486 trending to >5mm Delivery Fleet Markets (1) (1) Actual figure will be reported in 4q08 results. 19

20 (1) Financials: Selected Financials Year-on-Year Comparison 3q07 3q08 YoY % Sales Volumes (MT) 897,147 1,338, % Gross Spread per MT ($/MT) $24.80 $ % (2) Net Revenue $25,791 $50, % Operating Income $8,888 $15, % (3) Adjusted Net Income $7,848 $10, % Net Income $7,848 $9, % Quarter-on-Quarter Comparison 2q08 3q08 QoQ % Sales Volumes (MT) 1,232,438 1,338, % Gross Spread per MT ($/MT) $31.71 $ % (2) Net Revenue $44,867 $50, % Operating Income $12,434 $15, % (3) Adjusted Net Income $10,797 $10, % Net Income $9,887 $9, % (1) All amounts are in thousands of USD unless otherwise specified. (2) Net Revenues= Total Revenues Cost of Goods Sold (3) Adjusted Net Income excludes non-recurring items 20

21 Financials: Net Revenue Drivers 1,400,000 $35.0 1,200,000 Sales Volumes CAGR = 42.9% $33.0 $31.0 Sales Volumes (in metric tons) 1,000, , ,000 $29.0 $27.0 $25.0 $23.0 $21.0 $ Gross Sprea ead per Metric Ton 400,000 $19.0 $ ,000 4q06 1q07 2q07 3q07 4q07 1q08 2q08 3q08 $15.0 Volumes Gross Spread 21

22 Financials: Fixed Costs per Volume Sold (1) $/M MT 4q06 1q07 2q07 3q07 4q07 1q08 2q08 3q08 Bunker Vessel OPEX G&A Expenses Bunker Vessel OPEX ex fuel Storage Costs (1) Tracks certain fixed costs per metric tons sold. 22

23 Financials: Working Capital (1) Cash Conversion Cycle Days Outstan nding q06 1q07 2q07 3q07 4q07 1q08 2q08 3q08 DIO DRO DPO CCC (1) DIO= Days Inventory Outstanding, DRO= Days Receivable Outstanding, DPO= Days Payable Outstanding, CCC= Cash Conversion Cycle 23

24 Financials: Profitability (1,2) $60, % 45.0% $50, % Net Revenue (in thousands) $40,000 $30,000 $20,000 $10,000 Net Revenues CAGR = 53.9% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% EBITDA % Margin 5.0% $0 4q06 1q07 2q07 3q07 4q07 1q08 2q08 3q08 0.0% Net Revenues EBITDA Margin (1) Net Revenues is calculated as Gross Sales or Revenues less COGS. (2) EBITDA Margin is calculated as EBITDA (excluding any FX-related gains/losses) divided by Net Revenue. 24

25 Financials: Revenue Diversification Aegean s Sales Breakdown by Client Sector (1) Tankers Containerships Bulkers Car Carriers Cruise Ships Chemical Tankers Reefers LPG/LNG Other (1) Approximate percentages. 25

26 Financials: Revenue Quality 26

27 Financials: Balance Sheet Data (1) ASSETS LIABILITIES & EQUITY Cash and Cash Equivalents $30,110 Short-term Debt $158,335 Current Assets 447,905 Current Liabilities 402,699 Fixed Assets 325,330 Long-term Debt 139,093 Other Non-Current Assets 41,041 Total Liabilities 542,602 Total Assets 814,276 Stockholders Equity 271,674 (2) (1) As of September 30, 2008 (2) Short-term debt is primarily related to the funding of working capital which has a quick turnover. 27

28 Appendix 28

29 Appendix: Logistics Infrastructure DELIVERY FLEET Current On Order Projected in 2010 % Change Number of Vessels/Barges % Total Capacity (dwt) 164, , , % Avg. Size per Vessel/Barge (dwt) 5,137 5,275 5, % Avg. Year Built 1996 n/a 2002 n/a Avg. Age in Years 13.5 n/a % % of Fleet DH 87.5% 100.0% 92.3% +5.5% ROLL-ON/ROLL-OFF / SPECIALTY TANKERS Number of Vessels 1 1 Total Capacity (dwt) 2,454 2,400 % of Fleet DH 100.0% 100.0% Number of Vessels 1 Total Capacity (dwt) 546 Number of Facilities 5 Capacity of Floating Storage (dwt) 224,849 Capacity of Onshore Storage (m^3) 40,000 (1) SPECIAL PURPOSE VESSELS STORAGE FACILITIES (2) (1) Delivery Fleet includes both vessels and barges. (2) Special Purpose Vessels are small bunkering tankers (circa 1,000 dwt) which are utilized for in-port operations only and hence are not included in utilization calculations. 29

30 Appendix: Current Delivery Fleet (1) Vessel Name Market Hull / Type Year Built DWT Vessel Name Market Hull / Type Year Built DWT 1 Aegean Force Jamaica DH / Vessel , Aegean Flower Fujairah DH / Vessel ,523 2 Vera Jamaica SH / Vessel , Aegean Pride I Fujairah DH / Vessel ,538 3 Hope Jamaica DH / Vessel , Kithnos Fujairah DH / Vessel ,600 4 Aegean Tulip West Africa DH / Vessel , Patmos Fujairah DH / Vessel ,283 5 Aegean VII West Africa SH / Vessel , Serifos Singapore DH / Vessel ,664 6 Amorgos Gibraltar DH / Vessel , Naxos Singapore DH / Vessel ,600 7 Santorini Gibraltar DH / Vessel , Milos Singapore DH / Vessel ,626 8 Aegean XI Gibraltar DH / Vessel , Kimolos Singapore DH / Vessel ,641 9 Mykonos Gibraltar DH / Vessel , Paros Singapore DH / Vessel , Aegean X U.K. DH / Vessel , P.T. 25 Vancouver SH / Barge , Sara Northern Europe DH / Vessel , P.T. 36 Vancouver SH / Barge , Aegean Princess Northern Europe DH / Vessel , Syros Northern Europe DH / Vessel , Aegean Daisy Piraeus DH / Vessel , Aegean III Piraeus DH / Vessel , Aegean Rose Piraeus DH / Vessel , Aegean VIII Piraeus DH / Vessel , Aegean XII Piraeus DH / Vessel , Aegean Breeze I Piraeus DH / Vessel , Aegean Tiffany Piraeus DH / Vessel , Aegean Ace Piraeus DH / Vessel ,615 (1) Geographic deployment represents either current or planned. 30

31 Appendix: Newbuild Delivery Schedule (1,2,) Vessel Name Vessel Type Shipyard Size (dwt) Delivery 1 SN-223 Oceangoing Oil Tanker / Ro Ro Cargo Severnav, Romania 2,400 1q QHS 221 Bunkering Tanker Hyundai, China 5,500 1q QHS 207 Bunkering Tanker Hyundai, China 5,500 2q QHS 208 Bunkering Tanker Hyundai, China 5,500 2q QHS 209 Bunkering Tanker Hyundai, China 5,500 3q QHS 210 Bunkering Tanker Hyundai, China 5,500 3q QHS 215 Bunkering Tanker Hyundai, China 5,500 3q QHS 216 Bunkering Tanker Hyundai, China 5,500 3q QHS 217 Bunkering Tanker Hyundai, China 5,500 4q QHS 222 Bunkering Tanker Hyundai, China 5,500 4q QHS 223 Bunkering Tanker Hyundai, China 5,500 4q QHS 224 Bunkering Tanker Hyundai, China 5,500 4q DN Bunkering Tanker Fujian, China 4,600 4q DN Bunkering Tanker Fujian, China 4,600 4q QHS 225 Bunkering Tanker Hyundai, China 5,500 1q DN Bunkering Tanker Fujian, China 4,600 1q QHS 226 Bunkering Tanker Hyundai, China 5,500 1q DN Bunkering Tanker Fujian, China 4,600 1q DN Bunkering Tanker Fujian, China 4,600 1q QHS 227 Bunkering Tanker Hyundai, China 5,500 2q QHS 228 Bunkering Tanker Hyundai, China 5,500 2q 2010 (1) Delivery schedule as per most recent shipyards reports. (2) Aegean owns options to purchase 2+2 2,400dwt oceangoing specialized tankers / roro cargo from Severnav Shipyard- not included in the schedule above. 31

32 Contact Information 32

33 Contact Information Investor Relations address Aegean Marine Petroleum Network Inc. 299 Park Avenue, 2 nd Floor New York, NY U.S.A. phone website investor@ampni.com 33