Diana Shipping Inks Term Loan Facility to Finance New Ice Class Panamax Carriers

Diana Shipping Inc., a shipping company specializing in the ownership and operation of dry bulk vessels, today announced that it has signed, through two separate wholly-owned subsidiaries, a term loan facility for up to US$30 million with The Export-Import Bank of China having a majority interest and DNB Bank ASA as agent.

The purpose of this facility is to partly finance, after delivery, the acquisition cost of the two new-building Ice Class Panamax dry bulk carriers of approximately 76,000 dwt each, as previously announced by the Company on March 29, 2012. Based on latest information received by the yard, the vessels are now expected to be delivered to the Company during the fourth quarter of 2013 and the first quarter of 2014.

Separately, the Company also announced that yesterday it signed, through a separate wholly-owned subsidiary (the “Buyer”), a Memorandum of Agreement to purchase from an unaffiliated third party the m/v “Shoyo”, a 2006 built Panamax dry bulk carrier of 76,942 dwt, for a purchase price of US$20,250,000. The vessel, to be renamed “Artemis”, is expected to be delivered to the Buyer during September 2013.

Excluding the 3 aforementioned vessels, as well as 1 Capesize vessel expected to be delivered to the Company by early June 2013, and 2 new-building Newcastlemax vessels expected to be delivered to the Company during the second quarter of 2016, Diana Shipping Inc.’s fleet currently consists of 32 dry bulk carriers (2 Newcastlemax, 8 Capesize, 3 Post-Panamax, 2 Kamsarmax and 17 Panamax). As of today, the combined carrying capacity of our current fleet, excluding the six vessels not yet delivered, is approximately 3.5 million dwt with a weighted average age of 6.2 years.

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Diana Shipping, May 28, 2013