Foremost Group Fact Sheet
May 31. 2019

About Foremost Group

I Foremost Group is a privately-held, family-run American shipping company founded In 1964 and based in New York.
a Founded by Dr. James S.C. Chad with his late wife, Mrs. Ruth Mulan Chu Chao.
0 Dr. Chao led Foremost from 1964 until his sixth daughter, Angela Chao, took over in 2018.

I Foremost?s business is entirely in chartering ships to companies in the business of dry bulk shipping shipping of

unpackaged commodities such as grains, soybeans, iron ore, coal. and similar products).

I Foremost?s clients are 10-20 of the world?s leading charterers, including Bunge, Cargiil, and Louis Dreyfus.
Foremost has only one Chinese charterer, accounting for a very small fraction of its business.

I Foremost does no business with the U.S. government and does not receive any U.S. government financing.
Foremost does not engage in U.S.rfiagged shipping which would require U.5. government contracts and approvals and

could be perceived to create conflicts of interest.

Foremost's Fleet 8: Financing
I Foremost manages a fleet of modern, environmentally-friendly ships, ordered as new ships built to its stringent specifications.
The average age of Foremost's fleet is five years or less.

I Foremost?s fleet is approximately 0.1% of the 11,472 dry bulk carriers in operation todayfl

I From 2016-2013, Foremost had twice as many ships delivered from Japanese shipyards as from Chinese shipyards.

I Foremost's order book for new ships is split between shipyards in Japan and China, reflecting the industry as a whole.2
I Foremost?s order book represents less than 2% of the 932 dry bulk carriers currently on order worldwide.a

I Foremost?s Chinese orders represent only 2% of the 501 dry bulk carriers now being built in China.?1

I Foremost has lending relationships with more than a dozen leading American, European and Taiwanese banks.

0 Foremost has no financing from Chinese commercial banks.
0 The financing received from the China Ex-lm Bank is only a small fraction of the company's overall financing.

Background information on Dry Bulk Shipping Industry
I There are currently 64,146 cargo ships in the world, of which 11,472 are dry bulk carriers.5

I 96% of dry bulk ships on order today are being built in China or Japan.?5

Builder Countries if of 96 of Val
China 501 549s
Japan 394 42%
Korea 29 3%
Taiwan 4 0.4%
Germany 2 0.2%
Netherlands 1 0.1%
Croatia 1 0.1%

Grand Total 932 100%

I Capesize ships (most of Foremost?s fleet) largely carry cargoes of iron ore coal and alumina/bauxite 
I The cargoes and destinations are determined by Foremost's charterers, not by Foremost. The ports called and cargoes carried
for Foremost?s charterers reflect worldwide flows. For example, China received 71% of global iron ore shipments in 2018.El



 

 

 

 

 

 

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1Clarkmn's data as of 5/27/2019
3 Cinrklon's data as of 5/20/2019
?Clarkson's data as of 5/24/2019
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Clurkson's data In of 5/24/2015
JIl'ifilorsdur Brokers 5/29/2019 citing AXE 'irocloflow
Clarkson?s data as of 5/20/2010