On December 1, 2004, the Board of Frontline Ltd ("Frontline" or the "Company") announced the de-merger and spin off to Frontline's shareholders of the Company's newly formed Bermuda subsidiary, Golden Ocean Group Limited ("Golden Ocean"). All non United States ("U.S.") shareholders of Frontline, subject to certain exceptions, received three shares in Golden Ocean for each share they held in Frontline. Certain U.S. shareholders are also entitled to receive Golden Ocean shares. The terms of the share distribution are set out in detail in the Company's announcement of December 1, 2004. Holders of Frontline shares who will not be entitled to receive Golden Ocean shares ("Cash Recipents") will receive a cash distribution based on the market value of the Golden Ocean shares on the Oslo Stock Exchange ("OSE).