PFIC Annual Information Statement 1999


As you are aware, Knightsbridge Tankers Limited (“Knightsbridge”) is a “Passive Foreign Investment Company” (“PFIC”) for United States income tax purposes. The following is a PFIC annual information statement for the taxable year of Knightsbridge beginning on January 1, 1999 and ending on December 31, 1999. This statement is being provided so that you may report your pro rata share of Knightsbridge’s income in the event that you have elected to treat Knightsbridge as a “qualified electing fund” (“QEF”) under the applicable provisions of the United States Internal Revenue Code.

You should keep this statement in your records but do not need to attach this statement to your IRS Form 8621, “Return by a Shareholder of a Passive Foreign Investment Company or Qualified Electing Fund”. In order to assist you in completing Form 8621, the address of Knightsbridge is: Cedar House, 41 Cedar Avenue, Hamilton HM 12, Bermuda.

Attachment: PFIC Annual Information Statement 1999