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Note 7 - Debt | 6 Months Ended
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Jun. 30, 2019
Notes to Financial Statements |
Debt Disclosure [Text Block] |
7. | Debt:
Details of the Company’s credit facilities are discussed in Note 9 of the Company’s Condensed Consolidated Financial Statements for the year ended December 31, 2018 and changes in the six months ended June 30, 2019 are discussed below.
Bank / Vessel(s) |  | December 31, |  | June 30,
|  | 2018 |  | 2019
Total long term debt: |  |  |  |  |  |  |  |
ABN (M/T Eco Fleet, M/T Eco Revolution and M/T Nord Valiant*) |  |  | 52,288 |  |  |  | 31,950 |
NORD/LB (M/T Stenaweco Excellence) |  |  | 18,071 |  |  |  | 17,048 |
Alpha Bank (M/T Stenaweco Elegance) |  |  | 20,550 |  |  |  | 21,250 |
AT Bank (M/T Eco Palm Desert) |  |  | 23,175 |  |  |  | 22,525 |
BoComm Facility (M/T Eco California and M/T Nord Valiant) |  |  | - |  |  |  | 45,223 |
CMBFL Facility (M/T Eco Bel Air and M/T Eco Beverly Hills) |  |  | - |  |  |  | 91,412 |
Cargill Facility (M/T Eco Marina Del Ray) |  |  | - |  |  |  | 31,860 |
AT Bank Bridge Note (Top Ships Inc) |  |  | - |  |  |  | 10,500 |
Total long term debt |  |  | 114,084 |  |  |  | 271,768 |
Less: Deferred finance fees |  |  | (2,516 | ) |  |  | (5,526 | )
Total long term debt net of deferred finance fees |  |  | 111,568 |  |  |  | 266,242 |
Presented: |  |  |  |  |  |  |  |
Current portion of long term debt |  |  | 10,210 |  |  |  | 27,169 |
Long term debt |  |  | 101,358 |  |  |  | 239,073 |
Long term debt from related party: |  |  |  |  |  |  |  |
Family Trading facility |  |  | 24,744 |  |  |  | - |
Less debt discounts |  |  | (9,073 | ) |  |  | - |
Long term debt from related parties net of debt discounts |  |  | 15,671 |  |  |  | - |
Short Term Debt: |  |  |  |  |  |  |  |
Unsecured Notes |  |  | - |  |  |  | - |
AT Bank first predelivery facility (M/T Eco Palm Desert) |  |  | - |  |  |  | - |
AT Bank second predelivery facility (M/T Eco California) |  |  | 10,140 |  |  |  | - |
Alpha Bank predelivery facility |  |  | 3,380 |  |  |  | - |
Less: Deferred finance fees |  |  | (104 | ) |  |  | - |
Short term debt net of deferred finance fees |  |  | 13,416 |  |  |  | - |
Total Debt net of deferred finance fees and debt discounts |  |  | 140,655 |  |  |  | 266,242 |
* M/T Nord Valiant is part of the ABN Facility security parties only in 2018 As at June 30, 2019 the applicable three -month LIBOR ranged from 2.50% to 2.60%. As of June 30, 2019, the Company was in compliance with all debt covenants with respect to its credit facilities. The fair value of debt outstanding on June 30, 2019 amounted to $273,917 when valuing the Cargill, BoComm and CMBFL Sale and Leasebacks on the basis of the Commercial Interest Reference Rates (“CIRR”s) as applicable on June 30, 2019, which is considered to be a Level 2 item in accordance with the fair value hierarchy. A. LONG-TERM DEBT ABN Facility Tranche C of the ABN Facility was fully prepaid on January 17, 2019 using $18,550 of proceeds from the BoComm Leasing Sale and Leaseback (see below). Alpha Bank Top-Up Facility On April 23, 2019, the Company entered into a credit facility with Alpha Bank for $1,500. This facility was subsequently drawn-down and applied towards capital expenditures under the Company’s newbuilding program. The credit facility is repayable in 8 consecutive quarterly installments of $187.5 commencing in July 2019. This facility is secured by way of a third mortgage over M/T Stenaweco Elegance. The facility principal will be added to the principal balance of the Alpha Bank Facility for all covenant related calculations. The facility is secured as follows:
| • | Intercreditor deed;
| • | Third preferred ship mortgage over M/T Stenaweco Elegance;
| • | Third priority general assignment of the earnings, insurances and any requisition compensation of M/T Stenaweco Elegance;
| • | Third priority assignment of any time charterparty of M/T Stenaweco Elegance for a period of more than twelve ( 12 ) months;
| • | Corporate guarantee of the Company;
| • | Second priority pledge over the earnings account of the vessel;
The Alpha Bank Top-Up Facility bears interest at LIBOR plus a margin of 4.25%. As at June 30, 2019, the outstanding balance of the Alpha Bank Top-Up Facility was $1,500. AT Bank Bridge Note On January 28, 2019, the Company entered into a credit facility with AT Bank for $10,500 for general corporate purposes (the “AT Bank Bridge Facility”). This facility was drawn down in full and the proceeds were used to repay the AT Bank Second Predelivery Facility. The facility was repayable on February 28, 2020. The facility contained restrictions on the Company from providing guarantees other than for financing of new vessels and from paying any dividends or distributing any of its capital or redeeming any of its shares. Furthermore the facility prohibits the Company to pay any principal, accrued fees, interest or commitment fees relating to the Family Trading Facility. Finally the facility also contains some restrictions in the use of proceeds of future issuances of capital and incurrence of unsecured debt. The facility is secured as follows:
| • | Corporate guarantee of the Company;
| • | Second priority perfected mortgage on M/T Eco Palm Desert Vessel;
| • | Second rank priority assignment of insurance and earnings of the mortgaged vessel;
| • | Second rank priority assignment of any time charters with duration of more than 12 months;
| • | Second priority pledge of the shares of the shipowning subsidiary of the mortgaged vessel;
| • | Second priority pledge over the earnings account of the vessel.
The facility bears interest at LIBOR plus a margin of 6.00% and a commitment fee of 2.25% per annum is payable quarterly in arrears over the committed and undrawn portion of the facility, starting from the date of signing the commitment letter. On March 22, 2019 the AT Bank Bridge Facility was converted into a note and its maturity was extended to March 31, 2020 with all other terms remaining the same. As at June 30, 2019, the outstanding balance of the AT Bank Bridge Note is $10,500. B. SHORT-TERM DEBT AT Bank Second Predelivery Facility The AT Bank Second Predelivery Facility was repaid on January 29, 2019 with part of the proceeds from the AT Bank Bridge Note (see above). Alpha Bank Predelivery Facility The Alpha Bank Predelivery Facility was repaid on March 13, 2019 with part of the proceeds from the Cargill Sale and Leaseback (see below). C. LONG-TERM DEBT FROM RELATED PARTIES Further Amended Family Trading Credit Facility On March 29, 2019 the Company entered into a stock purchase agreement with Family Trading whereupon the outstanding principal of the Further Amended Family Trading Credit Facility amounting to $24,744 and all accrued interest and fees under the facility amounting to $2,385 were exchanged for 27,129 Series E Shares (defined below) and the facility was terminated (see Note 12 ). The Company accounted for the termination of the facility as a debt extinguishment and in performing the extinguishment calculation, the Company followed the provisions of ASC 470 - 20 - 40 - 3 which states that if a convertible debt instrument containing an embedded beneficial conversion feature is extinguished before conversion, a portion of the reacquisition price should be allocated to the repurchase of the beneficial conversion feature. Under the current accounting standard ASC 470 - 50 - 40 - 2, the extinguishment of related party debt is considered a capital transaction and accordingly, no gain or loss on extinguishment is recognized in the statement of comprehensive loss but it is recognized as a capital contribution in equity. D. FINANCINGS COMMITTED UNDER SALE AND LEASEBACK AGREEMENTS Cargill Sale and Leaseback As at June 30, 2019, the outstanding principal balance under the Cargill Sale and Leaseback is $31,860. BoComm Leasing Sale and Leaseback As at June 30, 2019, the outstanding principal balance under the BoComm Sale and Leaseback is $45,223. CMBFL Sale and Leaseback On April 5 and May 9, 2019 the Company took delivery of the M/T Eco Bel Air and of the M/T Eco Beverly Hills respectively. On the same dates, agreements were consummated for the sale and leaseback of the vessels, with CMBFL Leasing. As at June 30, 2019, the outstanding principal balance under the CMBFL Sale and Leaseback is $91,412.

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 470 -URI http://asc.fasb.org/topic&trid=2208564 + Details
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