XML 32 R21.htm IDEA: XBRL DOCUMENT v3.8.0.1
Derivative Instruments and Fair Value Measurements (Tables)
 3 Months Ended
Mar. 31, 2018
Derivative Instruments and Hedging Activities and Fair Value Disclosure [Abstract]  
Effect of Non-Designated Derivative Instruments on Statement of Operations
The effect of non-designated derivative instruments on the condensed consolidated statements of operations is as follows:
 
 
 
Amount of (gain)/loss
Derivatives not designated as hedging instruments
Location of (gain)/loss recognized
 
For the
Three Months Ended
 
 
 
March 31, 2018
 
March 31, 2017
FFAs
Other expense
 
$
54,934

 
$
306,559

Bunker Swaps
Other expense
 
45,445

 
—

Total
 
$
100,379

 
$
306,559


Derivatives not designated as hedging instruments
Balance Sheet location
 
Fair Value of Derivatives
 
 
 
March 31, 2018
 
December 31, 2017
FFAs
Fair value of derivatives
 
$
141,000

 
$
73,170

Bunker Swaps
Fair value of derivatives
 
11,560

 
—

Bunker Swaps
Other current assets
 
—

 
128,845
Schedule of Fair Value Measurements
 
 
 
Fair Value
 
Carrying Value
 
Level 1
 
Level 2
March 31, 2018
 
 
 
 
 
Assets
 
 
 
 
 
Cash and cash equivalents (1)
$
57,972,551

 
$
57,972,551

 
$
—

Liabilities
 
 
 
 
 
Norwegian Bond Debt *
194,160,155

 
—

 
203,334,000

New First Lien Facility **
58,736,463

 
—

 
60,000,000

Ultraco Debt Facility **
68,576,217

 
—

 
69,800,000

* The fair value of the Bonds is based on the last trade on March 1, 2018 on Bloomberg.com.
** The fair value of the New First Lien Facility and the Ultraco Debt Facility is based on the required repayment to the lenders if the debt was discharged in full on March 31, 2018.

 
 
 
Fair Value
 
Carrying Value
 
Level 1
 
Level 2
December 31, 2017
 
 
 
 
 
Assets
 
 
 
 
 
Cash and cash equivalents  (1)
$
56,325,961

 
$
56,325,961

 
$
—

Short-term investment
4,500,000

 
 
 
4,500,000

Liabilities
 
 
 
 
 
Norwegian Bond Debt (2)
193,950,329

 
—

 
200,990,000

New First Lien Facility
63,758,185

 
—

 
65,000,000

Ultraco Debt Facility
59,975,162

 
—

 
61,200,000

(1) Includes non-current restricted cash aggregating $74,917 at March 31, 2018 and December 31, 2017.
(2) The fair value of the Bonds is based on the last trade on December 21, 2017.