Investors

Genco Shipping & Trading Limited Announces Agreement to Acquire Three Drybulk Vessels

May 12, 2008

NEW YORK, May 12 /PRNewswire-FirstCall/ -- Genco Shipping & Trading Limited (NYSE: GNK) today announced that it has agreed to acquire three 2007-built drybulk vessels from Bocimar International N.V. and Delphis N.V., for an aggregate purchase price of approximately $257.0 million. The acquisition is subject to the completion of customary additional documentation and closing conditions.

The three vessels, comprised of two Panamax vessels and one Supramax vessel, are expected to be delivered to Genco during the third and the fourth quarters of 2008. Upon completion of the acquisition, and including the four remaining Capesize vessels to be acquired from companies within the Metrostar Management Corporation group, Genco's fleet will consist of 35 drybulk vessels with a total carrying capacity of approximately 2,910,000 dwt and an average age of approximately 6.6 years.

Robert Gerald Buchanan, President, commented, "Building upon our past consolidation success, we are pleased to further Genco's position as a bellwether in the drybulk industry with the acquisition of two Panamax vessels and one Supramax vessel. We believe these three modern vessels will considerably strengthen our future commercial prospects and enhance our fleet profile. With one vessel already locked away on a favorable time charter over the long term, we are well positioned to maintain our stable revenue and cash flow streams. We will seek to continue to take advantage of the robust freight market and secure the remaining two vessels on attractive time charters prior to delivery. In pursuing this objective, we intend to expand the sizeable time charter coverage for our growing fleet and strengthen our leading reputation for providing quality tonnage to world-class charterers."

The following table sets forth information about the three vessels to be acquired by the Company:

    Acquisition Summary

    Vessel      New Name      DWT     Built        Expected       Time Charter
                                                   Delivery        Rate (1)
    CMB         Genco
     Laeticia    Raptor      76,499   August 2007   Q3 2008         n/a
    CMB         Genco
     Aurelie     Thunder     76,499   April 2007    Q4 2008         n/a
    CMB         Genco
     Yangtze     Cavalier    53,617   May 2007      Q3 2008        $50,500 (2)
    Total                    206,615


    (1)  Time charter rate presented is the gross daily charterhire rate
         before the payment of a third-party brokerage commission of 5.0%. In
         a time charter, the charterer is responsible for voyage expenses such
         as bunkers, port expenses, agents' fees and canal dues.
    (2)  The CMB Yangtze, to be renamed the Genco Cavalier, is expected to
         commence a time charter with Samsun Logix Corporation at a gross rate
         of $50,500 per day for 24 to 26.5 months upon delivery of the vessel
         to Genco.

John C. Wobensmith, Chief Financial Officer, commented, "Through the successful execution of our growth strategy over the past 12 months, including this new acquisition, Genco is positioned to expand the net deadweight tonnage of its high-quality fleet by a total of approximately 200%. Our latest acquisition of three drybulk vessels, which meets our strict return criteria related to earnings and cash flow accretion as well as return on capital hurdles, is consistent with our proven and differentiated approach to consolidating the industry. We expect this acquisition to significantly increase the earnings power of our fleet in the near term and further strengthen our ability to meet the Company's increased quarterly dividend target rate of $1.00 per share, Genco's third dividend target rate increase since going public in July 2005."

About Genco Shipping & Trading Limited

Genco Shipping & Trading Limited transports iron ore, coal, grain, steel products and other drybulk cargoes along worldwide shipping routes. Genco Shipping & Trading Limited currently owns a fleet of 28 drybulk vessels consisting of five Capesize, six Panamax, three Supramax, six Handymax and eight Handysize vessels, with a carrying capacity of approximately 2,020,000 dwt. After the delivery of the four remaining Capesize vessels from companies within the Metrostar Management Corporation group and three drybulk vessels from Bocimar International N.V. and Delphis N.V., Genco Shipping & Trading Limited will own a fleet of 35 drybulk vessels, consisting of nine Capesize, eight Panamax, four Supramax, six Handymax and eight Handysize vessels, with a carrying capacity of approximately 2,910,000 dwt.

"Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995

This press release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward looking statements are based on management's current expectations and observations. Included among the factors that, in our view, could cause actual results to differ materially from the forward looking statements contained in this report are the following: (i) changes in demand or rates in the drybulk shipping industry; (ii) changes in the supply of or demand for drybulk products, generally or in particular regions; (iii) changes in the supply of drybulk carriers including newbuilding of vessels or lower than anticipated scrapping of older vessels; (iv) changes in rules and regulations applicable to the cargo industry, including, without limitation, legislation adopted by international organizations or by individual countries and actions taken by regulatory authorities; (v) increases in costs and expenses including but not limited to: crew wages, insurance, provisions, repairs, maintenance and general and administrative expenses; (vi) the adequacy of our insurance arrangements; (vii) changes in general domestic and international political conditions; (viii) changes in the condition of the Company's vessels or applicable maintenance or regulatory standards (which may affect, among other things, our anticipated drydocking or maintenance and repair costs) and unanticipated drydock expenditures; (ix) the number of offhire days needed to complete repairs on vessels and the timing and amount of any reimbursement by our insurance carriers for insurance claims including offhire days; (x) the Company's acquisition or disposition of vessels; (xi) the fulfillment of the closing conditions under the Company's agreement to acquire the remaining four drybulk vessels from companies within the Metrostar Management Corporation group; (xii) the execution of customary additional documentation for the Company's agreements to acquire the three Bocimar International N.V. and Delphis N.V. drybulk vessels, including a novation of the existing charter for the Supramax vessel; (xiii) the fulfillment of the closing conditions under the Company's agreement to acquire three Bocimar International N.V. and Delphis N.V. drybulk vessels; and other factors listed from time to time in our public filings with the Securities and Exchange Commission, including, without limitation, the Company's Annual Report on Form 10-K for the year ended December 31, 2007 and its reports on Form 8-K. Our ability to pay dividends in any period will depend upon factors, including the limitations under our loan agreements, applicable provisions of Marshall Islands law and the final determination by the Board of Directors each quarter after its review of our financial performance. The timing and amount of dividends, if any, could also be affected by factors affecting cash flows, results of operations, required capital expenditures, or reserves. As a result, the amount of dividends actually paid may vary.

SOURCE Genco Shipping & Trading Limited

CONTACT:
John C. Wobensmith,
Chief Financial Officer, Genco Shipping & Trading Limited,
+1-646-443-8555

Web site: http://www.gencoshipping.com
(GNK)