Diana Shipping Q1 Results, Panamax Bulk Ship Delivery

Diana Shipping inc. financial results for Q1 2012, announces delivery of the panamax dry bulk carrier 'MV Melia'

Diana Shipping Inc. specializing in the ownership and operation of dry bulk vessels, today reported net income of $20.0 million for the first quarter of 2012, compared to net income of $33.1 million reported in the first quarter of 2011. Time charter revenues were $57.6 million for the first quarter of 2012, compared to $69.4 million for the same period of 2011, mainly due to reduced time charter rates.

A decrease in time charter revenues was partly offset by revenues derived from the increase in ownership days resulting from the addition to the Company’s fleet of the vessels Arethusa, Leto and Los Angeles, delivered in July 2011, January and February 2012, respectively.

The Company also announced that on May 1, 2012 it took delivery of the m/v “Melia”, (formerly “Mining Star”), a 2005 built Panamax dry bulk carrier of 76,225 dwt that the Company entered into an agreement to purchase in March 2012. As previously announced, the m/v “Melia” is chartered to STX Panocean Co., Ltd., Seoul at a gross rate of US$10,900 per day, minus a 5% commission paid to third parties, for a period of minimum eleven (11) months to maximum fourteen (14) months. This employment is anticipated to generate approximately US$3.6 million of gross revenue for the minimum scheduled period of the charter.

Including the newly-delivered m/v “Melia”, Diana Shipping Inc.’s fleet currently consists of 27 dry bulk carriers (17 Panamax, 1 Post-Panamax, 8 Capesize and 1 Newcastlemax), as well as 1 new building Newcastlemax vessel expected to be delivered to the Company during the second quarter of 2012 and 2 new building Ice Class Panamax vessels expected to be delivered to the Company during the fourth quarter of 2013.