Kistefos Reaches out to Trico Marine Stockholders

Largest stockholder affirms its proposals create no risks under Jones Act in latest letter to Trico shareholders

Kistefos AS this week announced that it had sent a letter to Trico Marine Services, Inc. (NASDAQ: TRMA) stockholders to provide what it characterized as “the real facts about Trico's ongoing efforts to mislead stockholders with regard to Jones Act requirements.”

The letter reportedly advised stockholders, among other things, that the United States Maritime Administration (Marad) had confirmed that Kistefos' proposals to place two highly qualified directors on Trico's Board and enact several proposals to improve management accountability and the company's corporate governance practices will not place Trico's Jones Act eligibility at risk. Kistefos goes on to urge stockholders to support its Board nominees and other proposals at Trico’s upcoming Annual Meeting of Stockholders on June 10, 2009.

The same letter went on to say that Kistefos firmly believes that Trico is using the Jones Act as a shield to avoid accountability for its terrible performance and that Trico’s latest release cynically misinterprets Marad's letter and misleads stockholders. Kistefos further pledged that “if the company is ever formally advised by Marad that our nominees' continuing service would for any reason risk causing the company to lose its Jones Act qualification, and if asked by the remaining members of the Board to resign, we would readily do so.”

In a bid to present further evidence of the wisdom of their bid to place directors on the Trico board and gain more control of the firm, the Kistefos letter also claimed, “At one time, providing supply services in the Gulf of Mexico trade was a major business of Trico. In recent periods, however, this business has dwindled to less than 10% of Trico's revenue. As of December 31, 2008, Trico employed 11 vessels in the Gulf out of a total world-wide fleet of at least 77 vessels, according to Trico's annual report filed on Form 10-K with the SEC on March 11, 2009. In Trico's first quarter 2009 10-Q, it discloses that five vessels in the Gulf have been warm stacked. Management's publicly stated outlook suggests that Trico's Gulf operations will continue to shrink.”

Founded in 1979, Kistefos AS is a private, Oslo-based investment firm focused on making investments in medium-sized companies. Kistefos typically invests in turnaround opportunities and businesses that experience industry consolidation. Kistefos has holdings in dry cargo-shipping, offshore services and financial services, as well as technology-founded investments and real estate development.