Business: Box Ships, Inc., 9.00% Series C Cumulative Redeemable Perpetual Preferred Shares, liquidation preference $25 per share, redeemable at the issuer's option at any time on or after July 29, 2016 and prior to July 29, 2018, at a redemption price equal to 101% of the liquidation preference ($25.25 per share) and at any time thereafter at a redemption price equal to the $25 liquidation preference, in each case plus an amount equal to all accumulated and unpaid dividends and with no stated maturity.<p> Cumulative distributions of 9.00% per annum ($2.25 per annum or $0.5625 per quarter) will be paid quarterly on 1/1, 4/1, 7/1 & 10/1 to holders of record on the record date that will be the business day immediately prior to the payment date or a record date fixed by the board (NOTE: the ex-dividend date is one business day prior to the record date). <p> Dividends paid by these preferred shares are eligible for the preferential income tax rate of 15% to a maximum of 20% depending on the holder's tax bracket (and under IRS specified holding restrictions) but, since they are issued by a foreign company, are NOT eligible for the dividends received deduction for corporate holders (see page S-67 of the prospectus for further information).<p> Upon the occurrence of a change of control the company will have the option within 120 days to redeem the preferred shares at $25 per share plus accrued and unpaid dividends. If the company has exercised their redemption right, the holders will NOT have the following conversion right. Upon the occurrence of a change of control, and the company has NOT provided notice that they intend to redeem the preferred shares, the holder will have the right to convert the preferred shares into common shares under certain circumstances (see the prospectus for details). Upon the occurrence of a Covenant Default, Cross Default, Divided Payment Default or Failure to Redeem, on each subsequent Dividend Payment Date, the dividend rate payable shall increase to a rate that is 1.25 times the dividend rate payable (see prospectus for futher information). <p> This security was not rated by Moody’s or S&P at the time of its IPO. In regard to the payment of dividends and upon liquidation, the preferred shares rank junior to the company's senior debt, equally with other preferreds of the company, and senior to the common shares of the company. See the IPO prospectus for further information on the preferred stock by clicking on the ‘Link to IPO Prospectus’ provided below.