Business Context and Reporting Period
This Form 6-K filing by Capital Product Partners L.P. (CPLP), a Marshall Islands limited partnership, covers the period ending June 30, 2009. The filing serves as a notice and proxy statement for the Annual Meeting of Limited Partners scheduled for July 23, 2009, in Piraeus, Greece. The company operates in the shipping sector, with common units listed on the Nasdaq Global Market under the symbol "CPLP."
Key Financial Metrics and Capital Structure
The filing does not provide specific revenue, profit, cash flow, margin, debt, or liquidity figures for the current period. However, it discloses the following capital structure data as of the record date, June 25, 2009:
- Outstanding Common Units: 24,817,151
- General Partner Units: 506,472
- Subordinated Units: 0 (All 8,805,522 subordinated units were automatically converted to Common Units on February 14, 2009).
- Major Shareholder: Capital Maritime & Trading Corp. (an affiliate of the general partner) owns 45.6% of the Common Units.
Material Changes
The primary material change noted in the filing is the conversion of all subordinated units into Common Units on February 14, 2009, following the termination of the subordination period. This conversion increased the total number of outstanding Common Units. No other financial or operational changes are detailed in this specific document.
Guidance, Outlook, and Corporate Actions
The filing focuses on corporate governance matters rather than financial guidance or operational outlook. Two proposals are presented for shareholder vote:
- Proposal One (Election of Director): Election of Abel Rasterhoff as a Class II Director to serve until the 2012 Annual Meeting. Mr. Rasterhoff is an audit committee financial expert with extensive experience in shipping and finance.
- Proposal Two (Amendment to Partnership Agreement): Approval of an amendment to the quorum requirements for Limited Partner meetings. The amendment stipulates that if a quorum is not obtained after two attempts, a third convened meeting will constitute a quorum if at least 25% of outstanding units are represented. Management argues this will improve operational efficiency.
The Board of Directors unanimously recommends a vote in favor of both proposals.
Investor Verification Checklist
- Verify the voting record date of June 25, 2009, to confirm eligibility to vote at the July 23, 2009 meeting.
- Confirm the 45.6% ownership stake held by Capital Maritime & Trading Corp. and its potential influence on Proposal One (where its units are excluded from the vote).
- Review the full text of the proposed amendment to Section 13.9 of the Partnership Agreement regarding the 25% quorum threshold for adjourned meetings.
- Check the company website (www.capitalpplp.com) for the Annual Report for the year ended December 31, 2008, as financial performance data is not included in this filing.