To: MEMBERS OF THE ASSOCIATION

June 17, 1997

Dear Member:

Circular No. 8/97

BOARD APPOINTMENTS

The purpose of this Circular is to inform Members of recent appointments to, and within, The American Club's Board of Directors.

At a Board Meeting on March 13, 1997 Mr. Robert A. Guthans of Midstream Fuel Service, Inc. and Mr. Jonathan C. Wales of Reinauer Transportation Companies, L.P. were elected Directors of the Club. On June 12, 1997, at the Board Meeting which took place on that date, Mr. Vitali Lioutyi of Cordo International Ltd. was also elected a Director of the Club.

At the Annual Meeting of the Directors which also took place on June 12, 1997, Mr. Paul Sa of Standard Shipping, Inc. was elected Chairman of The American Club in succession to Mr. Richard F. Gronda of Farrell Lines Incorporated. Mr. Gronda was at the same time elected Deputy Chairman.

Please mark your records accordingly.

Yours faithfully,

Shipowners Claims Bureau, Inc., Manager

for THE AMERICAN CLUB

Joseph E.M. Hughes

Chairman & CEO

VAPS IGA\CIRCULR8.97