A merican Club Circular No. 25/ 20 1 JUNE 18, 2020 CIRCULAR NO. 25/20 TO MEMBERS OF THE ASSOCIATION Dear Member: THE AMERICAN CLUB’S ANNUAL REPORT AND ACCOUNTS FOR 2019. CLOSING OF THE 2017 POLICY YEAR. RELEASE CALLS. Your Managers are pleased to attach the American Club’s Annual Report and Accounts for the year ended December 31, 2019. As will be seen, they are in an electronic format. They were formally approved at the one hundred and third Annual Meeting of the Members of the Club which took place – for the first time in the Club’s history in a virtual format – in New York earlier today. Hard copies of this document will also be available from the Managers over the forthcoming period. At the regular Board Meeting which took place shortly after the Annual Meeting of the Members, it was resolved formally to close the 2017 policy year without additional contribution in excess of the total premium already levied for the year. Your Board’s decision was based upon figures as of March 31, 2020 which disclosed a modest deficit of just over $2 million for the 2017 year. This would be subvented on closing by the Club’s contingency account. In addition, your Board reviewed the Club’s requirements in regard to release calls for open policy years. It was resolved to maintain the release call margins for the 2018, 2019 and 2020 policy years at 20% of estimated total premium as earlier notified to Members in Circular No. 36/19 of November 14, 2019. The position would be subject to review once again in November of the current year. Members are asked to note their records accordingly. If there are any questions in regard to the foregoing, or generally, your Managers will be pleased to respond to them. Yours faithfully, Joseph E.M. Hughes, Chairman & CEO Shipowners Claims Bureau, Inc., Managers for THE AMERICAN CLUB