Greece: Star Bulk Enters Agreement to Sell Capesize Vessel

Star Bulk Carriers Corp., on Friday, announced that the Company has entered into an agreement to sell the Star Ypsilon, a 150,940 dwt Capesize vessel, built 1991, to a third party for a contracted sale price of $9.12 million. The Company plans to deliver the vessel to the buyers within March 2012.

Furthermore, Star Bulk today announced that its subsidiary Star Beta LLC and Deiulemar Shipping S.p.A (“Deiulemar”) agreed to settle all claims that were the subject of an ongoing arbitration. In connection with the settlement, the Company received a major portion of its arbitration claim and the arbitration proceedings were discontinued. In addition, the cash collateral posted by the Company as security in the arbitration proceedings was released and returned to the Company.

The settlement of the claim with Deiulemar is considered an adjusting subsequent event in accordance with U.S. GAAP and the Company will include the settlement amount in its audited financial statements that will appear in its annual report on Form 20-F for the year ended December 31, 2011. The net effect of this adjustment in our Statement of Operations was a write-off of $0.69 million.

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World Maritime News Staff, February 27, 2012; Image: Star Bulk