Note 13 - Transactions With Former Related Party

12 Months Ended

Dec. 31, 2016

Notes to Financial Statements

Related Party Transactions Disclosure [Text Block]

Note

13.

Transactions with related party

On

October

15,

2014,

the Company entered into a Management Agreement (the “Management Agreement”) with Delphin Shipping LLC (“Delphin”). As per the Management Agreement, the technical management fee is

$700

per vessel per day. The commercial management fee is

1.25%

of charter hire; provided, however, that no commercial management fee shall be payable with respect to a charter hire that is earned while a vessel is a member of a pool and with respect to which a fee is paid to the pool manager. The former Chief Executive Officer of the Company was

one

of the investors in Delphin.

On

May

22,

2015,

the Company received a termination notice to the Amended Management Agreement from Delphin. The notice of termination was given pursuant to the terms of the Amended Management Agreement and became effective as of

August

22,

2015.

  

Total management fees for the year ended

December

31,

2015

amounted to

$2,379,787.

The total reimbursable expenses amounted to

$227,105.

Total management fees for the period

October

16,

2014

to

December

31,

2014

amounted to

$402,661.

The total reimbursable expenses for the period

October

16,

2014

to

December

31,

2014

amounted to

$27,115.

The advance balance received from Delphin on account for the management of its vessels as of

December

31,

2015

was

$245,569.

 

For the Predecessor, total management fees for the period from

January

1,

2014

to

October

15,

2014

was

$1,722,973.

The total reimbursable expenses for the period from

January

1,

2014

to

October

15,

2014

amounted to

$203,097.