) expects to report revenues of $1.4 million for the second quarter ending June 30, 2012; compared to $6.7 million in the same period of 2011. The $5.3 million reduction in revenues for the second quarter is primarily due to lower expedition charter revenues since most of the Company's operational efforts have been focused on its 2012 shipwreck recovery projects. Preliminary operating expenses for the second quarter of 2012 are expected to be approximately $12.0 million compared to $7.7 million in 2011. The additional $4.4 million in operating expenses in the second quarter of 2012 is primarily related to ongoing operations on the Gairsoppa and Mantola projects. The costs of recovery from these projects are expected to be recouped upon future silver sales and thereafter credited to operating expenses in future periods. Other expenses expected for the second quarter of 2012 are approximately $4.9 million compared to $1.0 million in 2011. The $3.9 million increase in other expense in the second quarter of 2012 is primarily related to the change in fair value (non-cash) of the Company's derivative financial instruments. The net loss for the second quarter of 2012 is expected to be approximately $15.6 million, or approximately $0.21 per share fully diluted, versus the net loss in the second quarter of 2011 of $1.9 million, or $.07 fully diluted. Cash and cash equivalents at June 30, 2012, was $3.5 million. The company plans to file its Quarterly Report Form 10-Q with the SEC on or around August 1, 2012. On July 9, 2012, the Company entered into a project term loan agreement with Fifth Third Bank that provides a credit facility of up to $10.0 million. The facility will mature on January 31, 2013. The term loan bears interest at a floating rate equal to the one month LIBOR plus 500 basis points. The Company may make prepayments in whole or in part without premium or penalty. The term loan will be secured by approximately $15.0 million worth of silver recovered from either the SS Gairsoppa or the SS Mantola shipwreck projects. The proceeds of the credit facility will be used to fund the project recovery costs. The Company took a $10 million draw against the facility on July 17, 2012.