Greece: Diana Containerships Acquires Two Panamax Container Vessels

Diana Containerships Inc., a global shipping company specializing in owning and operating containerships, announced that it has signed today two Memoranda of Agreement with APL (Bermuda) Ltd. for the purchase of two Panamax container vessels, the m/v “APL Sardonyx” and the m/v “APL Spinel”.

The m/v “APL Sardonyx” is a 1995-built vessel of approximately 4,750 TEU capacity and the m/v “APL Spinel” is a 1996-built vessel of approximately 4,750 TEU capacity. The purchase price for each vessel is US$30 million. The expected dates of delivery from their previous owners to the Company for both vessels are within the first quarter of 2012.

Each of the two vessels is chartered to APL (Bermuda) Ltd., or to a guaranteed nominee or to another entity of the NOL Group with similar or better net worth than APL (Bermuda) Ltd. for a period of minimum twenty-four (24) months plus or minus forty-five (45) days at a daily rate of US$24,750. The charterer has the option to employ each vessel for a further twelve (12) month period plus or minus forty-five (45) days, at a daily rate of US$24,750 starting twenty-four (24) months after delivery of the vessel to the charterer. After that period the charterer has the option to employ each vessel for a further twelve (12) month period plus or minus forty-five (45) days, at a daily rate of US$28,000 starting thirty-six (36) months after delivery of the vessel to the charterer. Options must be declared by the charterer not later than twenty (20) months for the first option and thirty-two (32) months for the second option after the delivery date to the charterer. Daily rates include a total commission of 2% paid to third parties and Diana Shipping Services S.A.

The employment of the two vessels is anticipated to generate approximately US$33.5 million of gross revenues for the minimum agreed period of the charters.

Chairman and Chief Executive Officer’s Comments

“At the time of the Diana Containerships Inc. public offering in June 2011, we indicated that our strategy was to use part of the proceeds of that offering together with bank financing to fund the acquisition of additional vessels. Within six months, we have succeeded in putting that money to work with the acquisition of good ships from reputable liner operators with very lucrative time charters attached from their respective sellers. While industry conditions remain unsettled, we are well-positioned to operate our business successfully and we have cultivated and expanded our relationships with some of the strongest charterers in the industry. Furthermore, in what is generally regarded a difficult credit environment, we successfully arranged a credit facility that will significantly enhance our ability to implement our strategy and allow for our balance sheet to remain healthy and not over-leveraged. We are confident that, in the quarters to come, Diana Containerships Inc. will reward its shareholders with robust dividend distributions, consistent with our stated dividend policy,” said Symeon Palios, Chairman and Chief Executive Officer of Diana Containerships Inc.

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World Maritime News Staff, January 10, 2012