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5 - RELATED PARTY TRANSACTIONS
The following include related party transactions not disclosed elsewhere in these condensed consolidated financial statements. Due to Parent, Voyage expenses to Parent and Management fees to Parent have been disclosed above in these condensed consolidated financial statements.
During the nine months ended September 30, 2011 and 2010, the Company incurred legal services aggregating $0 and $158,433 from Constantine Georgiopoulos, the father of Peter C. Georgiopoulos, Chairman of the Board. At September 30, 2011 and December 31, 2010, $0 was outstanding to Constantine Georgiopoulos.
During 2010, the Company entered into an agreement with Aegean Marine Petroleum Network, Inc. (“Aegean”) to purchase lubricating oils for certain vessels in the Company’s fleet. Peter C. Georgiopoulos, Chairman of the Board of the Company, is also the Chairman of the Board of Aegean. During the nine months ended September 30, 2011 and 2010, Aegean supplied lubricating oils to the Company’s vessels aggregating $513,497 and $349,563, respectively. At September 30, 2011 and December 31, 2010, $17,987 and $137,993 remained outstanding to Aegean, respectively.
During the nine months ended September 30, 2011 and 2010, the Company incurred other expenditures totaling $2,985 and $0, respectively, reimbursable to General Maritime Corporation (“GMC”), where the Company’s Chairman, Peter C. Georgiopoulos, also serves as Chairman of the Board of GMC. At September 30, 2011 and December 31, 2010, the amount due to GMC from the Company was $0.
The Company receives internal audit services from employees of Genco, the Company’s Parent. For the nine months ended September 30, 2011 and 2010, the Company incurred internal audit service fees of $16,881 and $17,668, respectively, which are reimbursable to Genco pursuant to the Management Agreement (Refer to Note 13 — Commitments and Contingencies for further information regarding the Management Agreement). At September 30, 2011 and December 31, 2010, the amount due to Genco from the Company was $2,517 and $14,763, respectively, for such services and is included in due to Parent.
During the nine months ended September 30, 2011 and 2010, Genco, the Company’s parent, incurred costs of $68,486 and $186,384 on the Company’s behalf to be reimbursed to Genco pursuant to the Management Agreement. At September 30 2011, and December 31, 2010, the amount due to Genco from the Company was $14,414 and $68,572, respectively, for such costs and is included in due to Parent.
Genco also provides the Company with commercial, technical, administrative and strategic services pursuant to the Management Agreement. During the nine months ended September 30, 2011 and 2010, the Company incurred costs of $2,232,156 and $3,511,425 pursuant to the Management Agreement. At September 30, 2011, the amount due to Genco of $253,637 included $202,500 of technical service fees and $51,137 of commercial service fees. At December 31, 2010 the amount due to Genco of $1,654,669 included $1,044,500 of sales and purchase fees, $411,750 of technical service fees and $198,419 of commercial service fees.
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