8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C.  20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported)

September 26, 2016

INTERNATIONAL SHIPHOLDING CORPORATION

(Exact name of registrant as specified in its charter)

Commission file number  –  001-10852

Delaware	36-2989662
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification Number)

601 Poydras Street, Suite 1850  New Orleans, LA 70130

(Address of principal executive offices) (Zip Code)

(251) 243-9100

(Registrant’s telephone number, including area code)

11 North Water Street Mobile, Alabama 36602

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act

Item 7.01. Regulation FD Disclosure

As previously reported by International Shipholding Corporation (the “Company”), on July 31, 2016, the Company and certain of its direct and indirect subsidiaries filed voluntary petitions for relief under Chapter 11 of Title 11 of the U.S. Code in the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”).  On September 26, 2016, the Company filed a Monthly Operating Report for the month of August 2016 with the Bankruptcy Court.  The Monthly Operating Report is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated into this Item 7.01 by reference.

Cautionary Statement Regarding the Monthly Operating Report

The Company cautions investors and potential investors not to place undue reliance on the information contained in the Monthly Operating Report, which was not prepared for the purpose of providing the basis for an investment decision relating to any of the securities of the Company. The Monthly Operating Report is limited in scope, covers a limited time period, and has been prepared solely for the purpose of complying with the monthly reporting requirements of the Bankruptcy Court. The Monthly Operating Report was not audited or reviewed by an independent registered public accounting firm and was not prepared in accordance with generally accepted accounting principles in the United States. The Monthly Operating Report is in a format prescribed by applicable bankruptcy laws and remains subject to future adjustment and reconciliation. Therefore, the Monthly Operating Report does not necessarily contain all information required in filings pursuant to the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or may present such information differently from the presentation of information in Exchange Act reports. There can be no assurance that, from the perspective of an investor or potential investor in the Company’s securities, the Monthly Operating Report is complete. The Monthly Operating Report also contains information for periods which are shorter or otherwise different from those required in Exchange Act reports, and such information might not be indicative of the Company’s financial condition or operating results for the period that would be reflected in the Company’s financial statements or in its Exchange Act reports. Results set forth in the Monthly Operating Report should not be viewed as indicative of future results.

Exchange Act Reports

The Company has suspended the filing of its regular periodic reports on Form 10-K and Form 10-Q with the SEC.  The Company, however, intends to furnish copies of the Monthly Operating Reports that are required to be submitted to the Bankruptcy Court under cover of Current Reports on Form 8-K and to continue to file Forms 8-K disclosing material developments concerning the Company.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits.

(99.1) Monthly Operating Report

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	INTERNATIONAL SHIPHOLDING CORPORATION
	By:	/s/ Manuel G. Estrada
		Manuel G. Estrada
		Vice President and Chief Financial Officer
Date:      October 4, 2016

EXHIBIT INDEX

Exhibit No.	Description
99.1	Monthly Operating Report

EX-99.1

Exhibit 99.1

UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF NEW YORK In re International Shipholding Corporation (Consolidated) Case No. 16-12220 Debtor          Reporting Period:   August-16 Federal Tax I.D. # 36-2989662 CORPORATE MONTHLY OPERATING REPORT File with the Court and submit a copy to the United States Trustee within 20 days after the end of the month and submit a copy of the report to any official committee appointed in the case. (Reports for Rochester and Buffalo Divisions of Western District of New York are due 15 days after the end of the month, as are the reports for Southern District of New York.) REQUIRED DOCUMENTSForm No. Document Attached Explanation Attached Schedule of Cash Receipts and Disbursements MOR-1 X Bank Reconciliation (or copies of debtor's bank reconciliations) MOR-1 (CONT) X Copies of bank statements Cash disbursements journals Statement of Operations MOR-2 X Balance Sheet MOR-3 X Status of Post-petition Taxes MOR-4 X Copies of IRS Form 6123 or payment receipt Copies of tax returns filed during reporting period Summary of Unpaid Post-petition Debts MOR-4 X Listing of Aged Accounts Payable Accounts Receivable Reconciliation and AgingMOR-5 X Taxes Reconciliation and Aging MOR-5 X Payments to Insiders and Professional MOR-6 X Post Petition Status of Secured Notes, Leases Payable MOR-6 X Debtor QuestionnaireMOR-7 X I declare under penalty of perjury (28 U.S.C. Section 1746) that this report and the attached documents are true and correct to the best of my knowledge and belief.

Monthly Operating Report - Southern District of New York Schedule of Cash Receipts & Disbursements Reporting Period: August-16 Debtor Name          Account # (Last 4 digits) Beginning Book Balance Deposits per Bank Statement Net Deposits in Transit Total Cash Receipts Disbursements per Bank Statement.Net Outstanding Checks Total Cash FX Gain/(Loss) Disbursements Ending Book Balance International Shipholding Corporation.2907 $ 8,365.95 $ - $ - $ - $ 2,586.67 $ - $ 2,586.67 $ 5,779.28 International Shipholding Corporation 1639 10,007.40 - - - - - - 10,007.40 International Shipholding Corporation 1314 11,341.23 166,000.00 - 166,000.00 173,501.33 - 173,501.33 3,839.90 International Shipholding Corporation 4643 3,216,159.11 20,366,986.08 - 20,366,986.08 18,025,900.03 177,550.41 18,203,450.44 5,379,694.75 International Shipholding Corporation 6001 1,577.50 - - - 75.00 75.00 150.00 1,427.50 International Shipholding Corporation 8174 22,361.07 - - - 1,033.97 (270.00) 763.97 21,597.10 International Shipholding Corporation 9131 24,405.21 1.10 - 1.10 - - - 24,406.31 International Shipholding Corporation 3120 1,052,164.89 133.75 - 133.75 - (133.73) (133.73) 1,052,432.37 N.W. Johnson & Co. Inc 8364 12,443.68 17,041.97 - 17,041.97 - (0.60) (0.60) 29,486.25 Coastal Carriers, Inc. 4547 11,529.34 - - - - - - 11,529.34 U.S. United Ocean Services, LLC 1715 107,204.49 60,110.76 - 60,110.76 108,847.00 (336.00) 108,511.00 58,804.25 U.S. United Ocean Services, LLC 3712 (102,004.70) 148,860.94 - 148,860.94 148,860.94 (53,985.99) 94,874.95 (48,018.71) U.S. United Ocean Services, LLC 1468 - 2,181,456.52 - 2,181,456.52 2,181,456.52 - 2,181,456.52 - U.S. United Ocean Services, LLC2260 14,288.91 2,627,841.75 - 2,627,841.75 2,181,456.52 - 2,181,456.52 460,674.14 U.S. United Ocean Services, LLC 1715 - - - - - - - Frascati Shops, Inc. 9623 47,669.39 606.84 - 606.84 - - - 48,276.23 Frascati Shops, Inc. 8552 51,473.15 331,074.29 - 331,074.29 337,420.25 - 337,420.25 45,127.19 Waterman Steamship Corporation9031 45,103.16 - - - 40,000.00 - 40,000.00 5,103.16 Waterman Steamship Corporation 9058 3,620.07 135,208.73 - 135,208.73 131,081.41 2,104.49 133,185.90 5,642.90 Waterman Steamship Corporation 9066 4,354.74 196,500.00 - 196,500.00 193,900.00 (5,725.00) 188,175.00 12,679.74 Waterman Steamship Corporation 3208 (312.08) - - - - (312.08) (312.08) - Waterman Steamship Corporation 2043 9,217.55 2,184,657.21 - 2,184,657.21 2,186,713.00 (30.09) 2,186,682.91 7,191.85 Waterman Steamship Corporation 1129 25,481.60 981,845.19 - 981,845.19 610,000.00 - 610,000.00 397,326.79 Waterman Steamship Corporation 8703 25,000.00 60,000.00 - 60,000.00 - - - 85,000.00 Waterman Steamship Corporation 2043-00 -926,713.00 - 926,713.00 926,713.00 - 926,713.00 - Sulphur Carriers, Inc. 1276 16,965.47 268,000.00 - 268,000.00279,941.79 - 279,941.79 5,023.68 Sulphur Carriers, Inc. 1110 5,910.53 521,000.00 - 521,000.00 511,783.14 7,904.19 519,687.33 7,223.20 Sulphur Carriers, Inc. 1102 29,115.21 3,307,619.64 - 3,307,619.64 3,317,110.79 (112.00) 3,316,998.79 19,736.06 LMS Shipmanagement, Inc. 1292 9,419.80 61,000.00 - 61,000.00 60,313.04 - 60,313.04 10,106.76 LMS Shipmanagement, Inc. 7395 9,547.88 10,000.00 - 10,000.00 5,263.91 - 5,263.91 14,283.97 LMS Shipmanagement, Inc. 1099 18,653.05 3,331.06 - 3,331.06 855.73 - 855.73 21,128.38 Central Gulf Lines, Inc. 586 1,000.00 - - - - - - 1,000.00 Central Gulf Lines, Inc. 997 31,927.19 2,138,832.95 - 2,138,832.95 1,993,514.83 1.34 1,993,516.17 177,243.97 Central Gulf Lines, Inc. 6645 721.10 20,000.00 - 20,000.00 145.90 32,787.13 32,933.03 (12,211.93) Central Gulf Lines, Inc. 1005 3,194.08 403,337.53 24,748.44 428,085.97 406,410.37 (15,037.86) 391,372.51 39,907.54 Central Gulf Lines, Inc. 1021 8,290.00 242,000.00 - 242,000.00 249,915.00 650.00 250,565.00 (275.00) Central Gulf Lines, Inc. 998 6,924.42 3,329,053.71 - 3,329,053.71 2,354,245.35 (1,224.24) 2,353,021.11 982,957.02 Central Gulf Lines, Inc. 1013 37,444.83 450,000.00 - 450,000.00 498,176.81 (15,533.08) 482,643.73 4,801.10 Central Gulf Lines, Inc. 8844 9,098.61 564,645.30 - 564,645.30 560,000.00 - 560,000.00 13,743.91 Central Gulf Lines, Inc. 3652 134,909.49 589,600.00 - 589,600.00 472,430.08 - 472,430.08 252,079.41 Central Gulf Lines, Inc. 3660 944,860.15 472,430.08 962,500.00 1,434,930.08 1,417,290.23 - 1,417,290.23 962,500.00 Central Gulf Lines, Inc. 0997-004 283,892.00 - 283,892.00 283,892.00 - 283,892.00 - Enterprise Ship Company, Inc. 1064 20,644.67 - - - - (30.00) (30.00) 20,674.67 LCI Shipholdings, Inc. 2027 26,482.50 97,174.02 - 97,174.02 110,000.00 - 110,000.00 13,656.52 LCI Shipholdings, Inc. 1080 (7,585.64) - 15,000.00 15,000.00 - - - 7,414.36 LCI Shipholdings, Inc. 6001 5,717.63 2,183,556.30 - 2,183,556.30 2,185,041.76 1.32 2,185,043.08 4,230.85 LCI Shipholdings, Inc. 9099 7,521.35 - - - -  - 7,521.35

Monthly Operating Report - Southern District of New York Schedule of Cash Receipts & Disbursements Reporting Period: August-16Debtor Name Account # Beginning Book Deposits per Bank Net Deposits in Total Cash Disbursements per Bank Net Outstanding Checks Total Cash FX Gain/(Loss) Ending Book (Last 4 digits) Balance Statement Transit Receipts Statement Disbursements Balance LCI Shipholdings, Inc. 90947 42,858.23 5.80 - 5.80 - - - 42,864.03 Dry Bulk Australia Ltd.1731 13,060.35 - - - - - - 13,060.35 Dry Bulk Americas Ltd. 1027 12,141.61 - - - - - - 12,141.61 Marco Shipping Company (PTE) Ltd 5001 21,888.66 20,039.32 - 20,039.32 - - - 41,927.98 Marco Shipping Company (PTE) Ltd 5002 7,330.81 1,392.94 - 1,392.94 1,171.29 - 1,171.29 (101.07) 7,451.39 Gulf South Shipping PTE Ltd 4001 10,510.64 - - - - - - 10,510.64 Gulf South Shipping PTE Ltd 4002 5,946.76 - - - - - - (89.90) 5,856.86 Gulf South Shipping PTE Ltd 3659 28,553.54 1,882,184.69 (15,000.00) 1,867,184.69 1,742,000.00 - 1,742,000.00 153,738.23 Total $ 6,064,504.58 $ 47,234,133.47 $ 987,248.44 $ 48,221,381.91 $ 43,699,047.66 $ 128,343.21 $ 43,827,390.87 $ (190.97) $ 10,458,304.65

Monthly Operating Report - Southern District of New York Bank Reconciliation (or Copies of Debtor's Bank Reconciliations) Reporting Period: August-16 Debtor Name Bank Account # Bank Balance Deposits in Transit Checks Outstanding* Book Balance Notes/ Comments (Last4Digits)** International Shipholding Corporation 2907 $ 5,779.28 $ - $ - $ 5,779.28 International Shipholding Corporation 1639 10,007.40 - - 10,007.40 International Shipholding Corporation 1314 3,839.90 - - 3,839.90 International Shipholding Corporation 4643 5,883,171.13 - (503,476.38) 5,379,694.75 International Shipholding Corporation 6001 1,427.50 - - 1,427.50 International Shipholding Corporation 8174 21,597.10 - - 21,597.10 International Shipholding Corporation 9131 24,406.31 - - 24,406.31 International Shipholding Corporation 3120 1,052,432.37 - - 1,052,432.37 RestrictedCash N.W. Johnson & Co. Inc 8364 29,486.25 - - 29,486.25 Coastal Carriers, Inc. 4547 11,529.34 - - 11,529.34 U.S. United Ocean Services, LLC 1715 58,804.25 - - 58,804.25 U.S. United Ocean Services, LLC 3712 - - (48,018.71) (48,018.71) U.S. United Ocean Services, LLC 1468 - - - - U.S. United Ocean Services, LLC 2260 460,674.14 - - 460,674.14 U.S. United Ocean Services, LLC 1715 NO STMT*** - - - Frascati Shops, Inc. 9623 48,276.23 - - 48,276.23 Frascati Shops, Inc. 8552 45,127.19 - - 45,127.19 Waterman Steamship Corporation 9031 5,215.16 - (112.00) 5,103.16 Waterman Steamship Corporation 9058 15,736.57 - (10,093.67) 5,642.90 Waterman Steamship Corporation 9066 14,679.74 500.00 (2,500.00) 12,679.74 Waterman Steamship Corporation 3208 - - - - Waterman Steamship Corporation 2043 7,191.85 - - 7,191.85 Waterman Steamship Corporation 1129 397,326.79 - - 397,326.79 Waterman Steamship Corporation 8703 85,000.00 - - 85,000.00 Waterman Steamship Corporation 2043-004 - - - - Sulphur Carriers, Inc. 1276 5,023.68 - - 5,023.68 Sulphur Carriers, Inc. 1110 15,223.51 - (8,000.31) 7,223.20 Sulphur Carriers, Inc. 1102 19,736.06 - - 19,736.06 LMS Shipmanagement, Inc. 1292 10,106.76 - - 10,106.76 LMS Shipmanagement, Inc. 7395 9,283.97 5,000.00 - 14,283.97 LMS Shipmanagement, Inc. 1099 21,128.38 - - 21,128.38 Central GulfLines, Inc. 586 1,000.00 - - 1,000.00 Central GulfLines, Inc. 997 177,243.97 - - 177,243.97 Central GulfLines, Inc. 6645 20,854.10 - (33,066.03) (12,211.93) Central GulfLines, Inc. 1005 32,804.23 24,748.44 (17,645.13) 39,907.54 Central GulfLines, Inc. 1021 2,525.00 1,000.00 (3,800.00) (275.00)

Monthly Operating Report - Southern District of New York Bank Reconciliation (or Copies of Debtor's Bank Reconciliations) Reporting Period: August-16  Debtor Name Bank Account # (Last4Digits)** Bank Balance Deposits in Transit Checks Outstanding* Book Balance Notes/ Comments Central GulfLines, Inc. 998 983,069.02 - (112.00) 982,957.02 Central GulfLines, Inc. 1013 4,808.45 - (7.35) 4,801.10 Central GulfLines, Inc. 8844 13,743.91 - - 13,743.91 Central GulfLines, Inc. 3652 252,079.41 - - 252,079.41 Central GulfLines, Inc. 3660 - 962,500.00 - 962,500.00 Restricted Cash Central GulfLines, Inc. 0997-004 NO STMT - - - Enterprise Ship Company, Inc. 1064 20,644.67 30.00 - 20,674.67 LCI Shipholdings, Inc. 2027 13,656.52 - - 13,656.52 LCI Shipholdings, Inc. 1080 7,414.36 - - 7,414.36 LCI Shipholdings, Inc. 6001 4,230.85 - - 4,230.85 LCI Shipholdings, Inc. 9099 7,521.35 - - 7,521.35 LCI Shipholdings, Inc. 2027-004 NO STMT*** - - - LCI Shipholdings, Inc. 90947 42,864.03 - - 42,864.03 Dry Bulk Australia Ltd. 1731 13,060.35 - - 13,060.35 Dry Bulk Americas Ltd. 1027 12,141.61 - - 12,141.61 Marco Shipping Company (PTE) Ltd 5001 41,927.98 - - 41,927.98 Marco Shipping Company (PTE) Ltd 5002 7,451.39 - - 7,451.39 Gulf South Shipping PTE Ltd 4001 10,510.64 - - 10,510.64 Gulf South Shipping PTE Ltd 4002 5,856.86 - - 5,856.86 Gulf South Shipping PTE Ltd 3659 153,738.23 - - 153,738.23 Total:  $     10,091,357.79 $ 993,778.44 $ (626,831.58) $ 10,458,304.65 * Outstanding check listing attached. ** The Debtors have not included copies ofthe bank statements due to the voluminous nature of such documents. Copies will be provided upon request. ***These are overnight sweep accounts that had no activity during August.

Monthly Operating Report - Southern District of New York Statement of Operations (Income Statement) Reporting Period: August-16Statement Line Item Month Amount Cumulative - Filing To Date* REVENUE Gross Revenues $ 15,814,282.23 $ 15,814,282.23 OPERATING EXPENSES Voyage Expenses 11,815,254.66 11,815,254.66 Amortization Expense 657,461.00 657,461.00 Depreciation Expense 1,321,465.31 1,321,465.31 Administrative and General Expenses 1,141,153.04 1,141,153.04 Net Profit (Loss) Before Other Income & Expenses 878,948.22 878,948.22  OTHER INCOME AND EXPENSES Interest Expense 1,564,836.40 1,564,836.40 Interest Income (1,011.21) (1,011.21) Income from Consolidated Subsidiaries (759,035.54) (759,035.54) Net Profit (Loss) Before Reorganization Items 74,158.57 74,158.57  REORGANIZATION ITEMS Professional Fees 1,589,111.64 1,589,111.64 U. S. Trustee Quarterly Fees - - Interest Earned on Accumulated Cash from Chapter 11 (See MOR-2 Other Schedule tab) - - Gain (Loss) from Sale of Equipment - - Other Reorganization Expenses (See MOR-2 Other Schedule tab) - - Income Taxes - - Net Profit (Loss) (1,514,953.07) (1,514,953.07) * This is the first Monthly Operating Report.

Monthly Operating Report - Southern District of New York Balance Sheet Reporting Period: August-16 Category Book Value At End Of Current Reporting Month Book Value At End Of Prior Reporting Month * Book Value On Petition Date Or Scheduled Current Assets Cash on Hand $ 398,043.64 $ - $ 332,340.90 Unrestricted Cash and Equivalents 8,443,372.72 - 4,067,480.98 Restricted Cash and Cash Equivalents (See MOR-3 Other Sch) 2,014,932.37  1,997,025.04 Trade Accounts Receivable (Net) 8,617,456.00 - 8,620,036.00 Unbilled Accounts Receivable 8,546,292.00 - 10,099,426.00 Notes Receivable - - - Inventories 5,947,866.30 - 6,119,445.33 Prepaid Expenses 2,712,548.02 - 2,892,687.98 Professional Retainers 235,078.00 - 235,078.00 Other Current Assets (See MOR-3 Other Sch) Property & Equipment Real Property and Improvements $ 2,419,778.97 $ - $ 2,707,867.22 Machinery and Equipment 216,504,639.60 - 217,456,370.74 Furniture, Fixtures and Office Equipment 4,687,285.29 - 4,103,934.83 Accumulated Depreciation (34,822,220.75) (33,500,755.44) Other Assets (See MOR-3 Other Sch) 35,951,583.44 - 35,124,339.05 Total Assets $ 261,656,655.60 $ - $ 260,255,276.63  Liabilities Not Subject To Compromise (Post-Petition) Accounts Payable $ 1,759,233.00 $ - $ - Taxes Payable 114,361.00 - - Accrued Expenses - Crew Wages 2,938,628.00 - - Accrued Expenses - Professional Fees 900,000.00 - - Accrued Expenses 4,616,435.00 - - Billings in Excess of Cost 1,157,712.00 - - Debtor in Possession Financing 9,000,000.00 - - Other Post-Petition Liabilities (See MOR-3 Other Sch) Total Post-Petition Liabilities $ 20,486,369.00 $ - $ - Liabilities Subject To Compromise (Pre-Petition) Secured Debt $ 107,919,424.74 $ - $ 110,189,774.35 Priority Debt 1,171,374.93 - 2,980,642.00 Unsecured Debt 54,581,143.00 - 66,052,920.00 Other Pre-Petition Liabilities (See MOR-3 Other Sch) 10,887,592.00  12,978,934.00 Total Pre-Petition Liabilities $ 174,559,534.67 $ - $ 192,202,270.35 Owners' Equity Capital Stock $ 9,417,487.85 $ - $ 9,413,754.21 Additional Paid-in Capital 141,807,691.33 - 141,794,639.63 Partners' Capital Account - - - Owner's Equity Account (37,119,374.74) (37,175,288.44) Retained Earnings - Pre-Petition (45,980,098.60) (45,980,098.60) Retained Earnings - Post-Petition (1,514,953.07) - - Total Equity $ 66,610,752.77 $ - $ 68,053,006.80 Total Liabilities and Owners Equity $ 261,656,656.44 $ - $ 260,255,277.15 * This is the first Monthly Operating Report.

Monthly Operating Report - Southern District of New York Balance Sheet - Other Schedule Reporting Period: August-16Category Book Value At End Of Current Reporting Month Book Value At End OfPrior Reporting Month Book Value On Petition Date Notes/ Comments Assets Other Assets $ 2,487,576.18 $ - $ 2,528,749.45 LT deposits Other Assets (2,459,516.42) (2,575,674.66) Due (to) from affiliates, net Other Assets 35,815,008.86 - 35,056,196.42 Investment in subsidiaries Other Assets 108,514.36 - 115,068.23 LT deferred charge related to TECO contract Total Other Assets $ 35,951,582.98 $ $ 35,124,339.44 Liabilities Liabilities Not Subject to Compromise (Pre-Petition) $ 2,239,956.00 $ - $ 4,071,824.00 Claims reserve Liabilities Not Subject to Compromise (Pre-Petition) 14,843.00 14,607.00 GAAP SL versus cash on escalating lease payments Liabilities Not Subject to Compromise (Pre-Petition) 8,163,757.00 8,423,467.00 Deferred gain - Sulphur and CGL/Green Lake Liabilities Not Subject to Compromise (Pre-Petition) (64,103.00) - (64,103.00) Deferred tax Liabilities Not Subject to Compromise (Pre-Petition) 533,139.00 533,139.00 PT Amas dry dock funding for Flores and Sawu Total Liabilities Not Subject to Compromise $ 10,887,592.00 $ - $ 12,978,934.00

Monthly Operating Report - Southern District of New York Status ofPost-Petition Taxes Reporting Period: August-16 Debtor Federal/ State & Local Description Beginning Tax Amount Withheld and/or Accrued Amount Paid Date Paid Check # or EFT Ending Tax Notes/ Comments International Shipholding Corporation Federal Withholding $ - $ 272,749.29 $ 225.294.53 See Attached See Attached $ (47,454.76) Due September2, 2016 orSeptember7, 2016-Paid International Shipholding Corporation Federal FICA-Employee - 135.378.16 112.278.02 See Attached See Attached (23,100.14) Due September2, 2016 orSeptember7, 2016-Paid International Shipholding Corporation Federal FICA-Employer - 134.981.96 112.103.04 See Attached See Attached (22,878.92) Due September^ 2016 orSeptember7, 2016-Paid International Shipholding Corporation Federal Unemployment - 21.00 See Attached See Attached (21.00) DueOctober31,2016 International Shipholding Corporation Federal Income - International Shipholding Corporation Federal Other (Specify) - International Shipholding Corporation State andLocal Withholding - 23.223.50 5.920.52 See Attached See Attached (17,302.98) Due September 15, 2016-Paid International Shipholding Corporation State andLocal Sales - 119.46 (119.46) DueSeptember20,2016 International Shipholding Corporation State and Local Excise - International Shipholding Corporation State and Local Unemployment - 111.00 Due October31, 2016 (111.00) Note: Need forMarine ForLouisiana and Florida - will be current. International Shipholding Corporation State and Local Real Property - International Shipholding Corporation State and Local Personal Property - International Shipholding Corporation State and Local Other(Specify) - 36.252.99 32.880.07 See Attached See Attached This is New York City Commercial Rent Tax. Cannot pay until New York City creates (3,372.92) NewAnnual CommercialRentFormFor2016 perNYC. See attachedmemo. International Shipholding Corporation Total - 602,837.36 488,476.18 Other includes: Delaware franchise tax, Tampa business license, Hillsborough business (114,361.18) license, City ofNew Orleans S&U, Louisiana S&U, Alabama (City, County, State) S&U

Monthly Operating Report - Southern District of New York Summary ofUnpaid Post-Petition Debts* Reporting Period: August-16 Debtor Name Description Current Days Past Due: Days Past Due: Days Past Due: Days Past Due: Total 0-30 31-60 61-90 Over91 International Shipholding Corporation Accounts Payable $ 1,759,233.00 $ - $ $ - $ $ 1,759,233.00 International Shipholding Corporation Taxes Payable 53,410.82 - - - - 53,410.82 N.W. Johnsen & Co, Inc. Taxes Payable 14,854.05 - - - - 14,854.05 U.S. United Ocean Services, LLC Taxes Payable 4,998.83 - - - - 4,998.83 Frascati Shops, Inc. Taxes Payable 6,581.60 - - - - 6,581.60 LMS Shipmanagement, Inc. Taxes Payable 34,515.88 - - - - 34,515.88  Total 1,873,594.18 - - - - 1,873,594.18 *The Debtors are not making any admission as to the validity or priority of any post-petition claims.

Monthly Operating Report - Southern District ofNewYork Accounts Receivable Reconciliation and Aging Reporting Period: August-16Debtor Name AR at the beginning of the period Amount Billed during Period Amounts Collected during Period AR at the end of the reporting period Bad Debts # Days Past Due: 0-30 # Days Past Due: 31-60 # Days Past Due: 61-90 # Days Past Due: Over 91 Total International Shipholding Corporation $ 3,614.00 $ 67.87 $ 964.00 $ 2,717.87 $ (531.21) $ 196.87 $ (8.22) $ (51.44) $ 3,111.48 $ 2,717.48 Sulphur Carriers, Inc. 1,916,921.00 105,351.00 1,847,106.32 175,165.68  105,351.01 69,814.89 175,165.90 Central GulfLines, Inc. 4,194,892.00 5,796,765.00 5,598,892.17 4,392,764.83 (10,721.55) 4,194,736.51 51,634.43 40,664.20 116,451.16 4,392,764.75 Waterman Steamship Corporation 1,694,695.00 2,264,035.00 2,093,207.00 1,865,523.00 (41,737.38) 1,874,036.19 33,224.49 1,865,523.30 N.W. Johnsen & Co. Inc. 19,921.00 19,921.00 19,921.42 19,921.42 LMS Shipmanagement, Inc. U.S. United Ocean Services, LLC 16,226.00 4,736,944.00 3,275,453.00 1,477,717.00 1,466,875.50 10,842.00 1,477,717.50 Frascati Shops, Inc. 670,060.00 224,397.00 330,980.00 563,477.00 (13,281.54) 333,269.56 40,016.32 46,606.35 156,866.18 563,476.87 Gulf South Shipping PTE LTD LCI Shipholding, Inc. 103,707.00 109,463.00 93,000.00 120,170.00  110,525.33 9,644.90 120,170.23 Dry Bulk Australia LTD Dry Bulk Americas LTD - - - - - - - - - - Marco Shipping Company (PTE) LTD Total 8,620,036.00 13,237,022.87 13,239,602.49 8,617,456.38 (66,271.68) 8,084,990.97 101,287.43 87,219.11 410,231.62 8,617,457.45

Monthly Operating Report - Southern District of New York Taxes Reconciliation and Aging Reporting Period: August-16Debtor Name # Days Past Due: # Days Past Due: # Days Past Due: # Days Past Due: Total 0-30 31-60  61-90 Over 91 International Shipholding Corporation $ 53,410.82 $ $ $ $ 53,410.82 N.W. Johnsen & Co, Inc. 14,854.05 14,854.05 U.S. United Ocean Services, LLC 4,998.83 4,998.83 Frascati Shops, Inc. 6,581.60 6,581.60 LMS Shipmanagement, Inc. 34,515.88 34,515.88 Total 114,361.18 114,361.18

Monthly Operating Report - Southern District of New York Payments to Insiders Reporting Period: August-16Debtor Name Type of Payment Amount Paid Total Paid to Date LMS Shipmanagement, Inc. Caire, Peter J. Salary 8,934.02 8,934.02 LMS Shipmanagement, Inc. Cameron, William M. Salary 14,010.14 14,010.14 LMS Shipmanagement, Inc. Cameron, William M. Travel Reimbursement 189.92 189.92 N.W. Johnsen & Co. Inc. Chambers, Robert T. Salary 13,875.82 13,875.82 N.W. Johnsen & Co. Inc. De Benedetto, Daniel T. Salary 6,470.98 6,470.98 N.W. Johnsen & Co. Inc. De Benedetto, Daniel T. Travel Reimbursement 428.22 428.22 International Shipholding Corporation Estrada, Manuel G. Salary 23,825.42 23,825.42 International Shipholding Corporation Estrada, Manuel G. Travel Reimbursement 1,232.13 1,232.13 LMS Shipmanagement, Inc. Grehan, Brooke Y. Salary 10,711.44 10,711.44 N.W. Johnsen & Co. Inc. Hawkins, Nigel J. Salary 17,303.76 17,303.76 N.W. Johnsen & Co. Inc. Hawkins, Nigel J. Travel Reimbursement 148.00 148.00 International Shipholding Corporation Higginbotham, James T. Salary 11,258.50 11,258.50 International Shipholding Corporation Higginbotham, James T. Travel Reimbursement 1,143.48 1,143.48 International Shipholding Corporation Johnsen, Erik L. Salary 39,250.92 39,250.92 U.S. United Ocean Services, LLC Johnston, Peter M. Salary 18,056.48 18,056.48 International Shipholding Corporation Nahas, George A. Salary 11,068.04 11,068.04 International Shipholding Corporation Rosenbohm, Sheila D. Salary 11,546.62 11,546.62 International Shipholding Corporation Rosenbohm, Sheila D. Travel Reimbursement 1,182.12 1,182.12 International Shipholding Corporation Wild, KevinM. Salary 12,398.20 12,398.20 International Shipholding Corporation Wild, KevinM. Travel Reimbursement 466.56 466.56 International Shipholding Corporation Wilson, Kevin M. Salary 11,956.66 11,956.66 International Shipholding Corporation Wilson, Kevin M. Travel Reimbursement 227.52 227.52

Monthly Operating Report - Southern District of New York Payments to Professionals ReportingPeriod: August-16Debtor Name Date of Court Order Authorizing Payment Amount Approved Amount Paid Total Paid to Date Total Incurred and Unpaid International Shipholding Corporation Seward & Kissel LLP  6 - $ 361,541.15 $ 361,541.15 $ - International Shipholding Corporation Marine Documentation Inc. - 3,638.00 3,638.00 2,650.60 International Shipholding Corporation Watson Farley & Williams LLP - 36,581.00 36,581.00 - International Shipholding Corporation Milbank - 354,039.26 354,039.26 - International Shipholding Corporation Moore & Van Allen PLLC - - - 79,494.03 International Shipholding Corporation Total - 755,799.41 755,799.41 82,144.63

Monthly Operating Report - Southern District of New York Post-Petition Status of Secured Notes, Leases Payable ReportingPeriod: August-16Debtor Name Name of Creditor Scheduled Monthly Payment Amount Paid during Period Total Unpaid Post-Petition Notes/ Comments International Shipholding Corp. Regions Bank $ 209,166.68 $ 209,166.68 Interest International Shipholding Corp. Regions Bank 330,715.00 330,715.00 - Interest International Shipholding Corp. Debtor in Possession Financing 62,229.51 - 62,229.51 Interest - paid on 9/1/2016 LCI Shipholding Inc. Citizens Asset Finance 65,961.10 65,961.10 - Interest LCI Shipholding Inc. Citizens Asset Finance 65,393.27 65,393.27 - Interest LCI Shipholding Inc. Capital One 14,311.61 14,311.61 - Interest Central GulfLines DVB Bank 454,790.23 454,790.23 - Interest DB America and DB Australia INGBankNV 1,876,234.63 1,876,234.63 Final ING payoff - principal, interest and fee. Loans were merged into one. International Shipholding Corp. Regions Bank 25,000.00 25,000.00 - Adequate Protection Payment LCI Shipholding Inc. Capital One 25,000.00 25,000.00 - Adequate Protection Payment LCI Shipholding Inc. Citizens Asset Finance 140,000.00 140,000.00 - Adequate Protection Payment  Total 3,268,802.03 3,206,572.52 62,229.51

Monthly Operating Report - Southern District of New York Debtor Questionnaire Reporting Period: August-16 Question # Must be completed each month. If the answer to any of the questions is "Yes", Yes No provide a detailed explanation of each item. Attach additional sheets if necessary. 1 Have any assets been sold or transferred outside the normal course ofbusiness this reporting period? X 2 3 Have any funds been disbursed from any account other than a debtor in possession account this reporting period? Is the Debtor delinquent in the timely filing of any post-petition tax returns? X X 4 Are workers compensation, general liability or other necessary insurance coverages expired or cancelled, or has the debtor received notice of expiration or cancellation of such policies? Is the Debtor delinquent in paying any insurance premium payment? X X 6 Have any payments been made on pre-petition liabilities this reporting period? X 7 Are any post petition receivables (accounts, notes or loans) due from related parties? Are any post petition payroll taxes past due? X X 9 Are any post petition State or Federal income taxes past due? X 10 Are any post petition real estate taxes past due? 11 Are any other post petition taxes past due? X X 12 Have any pre-petition taxes been paid during this reporting period? X 13 Are any amounts owed to post petition creditors delinquent? X 14 Are any wage payments past due? 15 Have any post petition loans been received by the Debtor from any party? X X 16 Is the Debtor delinquent in paying any U.S. Trustee fees? X 17 Is the Debtor delinquent with any court ordered payments to attorneys or other professionals? X 18 Have the owners or shareholders received any compensation outside ofthe normal course of business? 2. The Company has a subsidiary that was not a part ofthe filing that continues to operate and payments are being made in the ordinary course ofbusiness. 6. The Company has made pre-petition payments to critical vendors, lienholders, employees, insurance providers, and taxing authorities as permitted in the approved motions. 12. The Company remitted pre-petition state and Federal payroll taxes during August 2016. 15. The Company has received $9,000,000 in Debtor in Possession financing during August.