Gearbulk Restructuring

As part of this restructure Gearbulk intends to establish a new holding company and corporate office in Switzerland. As a consequence of the reorganisation certain tasks and responsibilities will be transferred to Switzerland and to the group's offices in Singapore, Manila and Norway.

The current corporate structure has generally remained unchanged over the last 20 years, and it is no longer considered optimal from a geographical, commercial, legislative and organisational perspective. The new structure is required in order to improve the performance in the group's business units and to secure a robust presence in key growth markets. This will sustain us as a forward looking and competitive business.

It is our intention to establish the new corporate office near Zurich. We believe Switzerland provides a stable political, economic, regulatory and legislative environment, areas of a significant importance for a truly international business such as Gearbulk. The corporate office will comprise senior executives and certain corporate and financial functions.

Under the revised organisational structure senior executives will also be located in Singapore and Norway. In the medium term, we expect additional commercial and operational roles to be more naturally placed in Singapore. It is proposed to close the Gearbulk (UK) Limited office in Weybridge, Surrey and open a new, smaller office in central London. The proposed changes will affect staff at several Gearbulk locations, most significantly in the UK.

The reorganisation is planned to be implemented by early 2015, but some changes may take longer. During this process Gearbulk will maintain absolute focus on the daily operations of the business.