The Discounted Cash Flow (DCF) value provided is an estimate of the net amount in US dollars the vessel is expected to earn over its remaining life expressed in today's money, calculated using DCF analysis. Sometimes it is called Value in Use, Long Term Asset Value (LTAV), Net Present Value (NPV) or the Income in Use approach. For the purposes of this DCF value it is assumed that the particulars of the vessel are correct, and that the vessel is in good, sound and seaworthy condition, free of maritime liens and liabilities whatsoever, fully classed to the requirements of her present classification society, free of class recommendations, with clear and valid trading certificates, and where relevant to type and age of vessel with full oil majors, RightShip and any other relevant approvals in place. It should be noted that VesselsValue has neither made a physical inspection of the vessel nor inspected her class records.
This DCF value is calculated using assumptions about current and future income and expenses. They may include VesselsValue assumptions or the user's own assumptions. The source is stated on the valuation certificate and indicated on the online page next to each assumption. Regardless whose source, it should be understood that any change to the assumptions may have a large material effect on the DCF value. As examples, increasing expected future earnings or lowering OPEX can give a very significant increase in value. We cannot guarantee the availability of appropriate rates for all ship types or the accuracy of adjustments to allow for the specification of the vessel, especially for specialised or unusual vessels. VesselsValue, therefore, advises caution in using this DCF value without reviewing the assumptions very carefully. The user is invited to input their own assumptions, whether they be from actual experience or from alterative date sources.
You should not rely on this valuation to conduct any transactions, as it is not intended to reflect a market-transactable value. Nor should you use or rely upon this valuation as market information, or for gathering such information, related to any prospectus, or bond issue, or other financial offer document. This valuation is not a substitute for independent inspection and advice, which you should obtain.
The estimated DCF Value is for the valuation date only and no assurance is given that the value will be sustained or is realisable in an actual transaction.
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