Eagle Bulk Shipping Inc. Reports First Quarter 2009 Results




                  First Quarter Revenue Increases 53%

                  First Quarter EBITDA Increases 35%

                First Quarter Net Income Increases 20%

NEW YORK, May 6, 2009 (GLOBE NEWSWIRE) -- Eagle Bulk Shipping Inc. (Nasdaq:EGLE) today announced its results for the first quarter of 2009.

First quarter highlights included:



 * Net Income was $17.2 million or $0.37 per share (based on a 
   weighted average of 47,031,300 up 20% from net income of 
   $14.3 million or $0.31 per share in the first quarter of 2008.
 * Net Revenues were $56 million, up 53% from $36.7 million in the 
   first quarter of 2008. Gross time charter revenue increased by 52% 
   to $58.6 million, from $38.6 in the first quarter of 2008.
 * EBITDA, as adjusted for exceptional items under the terms of the 
   Company's credit agreement, increased by 35% to $37.3 million, from 
   $27.5 million in the first quarter of 2008. 
 * Fleet utilization rate for the first quarter was 99.6%.
 * Took delivery of two newbuilding vessels, Crested Eagle and Stellar 
   Eagle, which immediately entered into their respective time 
   charters.

Sophocles N. Zoullas, Chairman and Chief Executive Officer, commented, "Eagle Bulk's first quarter results highlight continued profitability, steady cash flow and solid operating performance amid ongoing challenges in the dry bulk shipping market. Our growth in revenues, EBITDA and net income resulted from the Company's well-executed 30% fleet growth, quarter-on-quarter, as well as our strong charter relationships. Management's conservative chartering strategy and the relative stability of the Supramax asset class has proven to be successful in today's market conditions. Going forward, our contracted coverage at above-market rates combined with our open capacity positions Eagle Bulk very well to capture opportunities as market conditions improve."

Results of Operations for the three month periods ended March 31, 2009 and 2008

For the first quarter of 2009, the Company reported net income of $17,236,781 or $0.37 per share, based on a weighted average of 47,031,300 diluted shares outstanding. In the comparable first quarter of 2008, the Company reported net income of $14,345,810 or $0.31 per share, based on a weighted average of 46,925,494 diluted shares outstanding.

All of the Company's revenues were earned from time charters. Gross time charter revenues in the quarter ended March 31, 2009 were $58,621,700, an increase of 52% from $38,610,921 recorded in the comparable quarter in 2008, primarily due to the operation of a larger fleet and higher daily time charter rates. Gross revenues recorded in the 2009 quarter include an amount of $649,731 relating to the non-cash amortization of fair value below contract value of time charters acquired. Brokerage commissions incurred on revenues earned in the first quarters of 2009 and 2008 were $2,644,034 and $1,924,905 respectively. Net revenues during the quarter ended March 31, 2009 increased 53% to $55,977,666 from $36,686,016 in the comparable quarter in 2008.

Total operating expenses were $32,265,141 in the quarter ended March 31, 2009 compared to $20,376,459 recorded in the first quarter of 2008. The increase was due to the operation of a larger fleet resulting in higher vessel operating expenses, vessel depreciation and amortization expenses, and general and administrative expenses which includes cash and non-cash compensation to officers and staff, and administrative costs associated with operating a larger fleet and managing the newbuilding program.

EBITDA, adjusted for exceptional items under the terms of the Company's credit agreement, increased by 35% to $37,260,567 for the first quarter of 2009, from $27,547,805 for the first quarter of 2008. (Please see below for a reconciliation of EBITDA to net income).

Newbuilding Program

During the first quarter of 2009, the Company took delivery of two 56,000 deadweight ton Supramax vessels which were built in Japan under newbuilding contracts signed in 2007. The CRESTED EAGLE was delivered into the fleet in January 2009, and the STELLAR EAGLE entered the fleet in March 2009. Both vessels were immediately employed on one-year time charters. Since the commencement of deliveries of its newbuilding vessels in 2008, the Company has taken delivery of five vessels, two built in China and three in Japan. The Company's newbuilding program includes additional 22 vessels, 20 in China and 2 in Japan. These vessels are expected to be constructed and delivered into our fleet through 2011 upon which the Company's total fleet will consist of 47 vessels with a combined carrying capacity of 2.55 million deadweight tons. As of March 31, 2009, the Company has recorded advances of $381,815,260 towards the construction cost of these 22 vessels. These costs include capitalized interest on debt drawn for progress payments, insurance, legal, and technical supervision costs. (Please see table below for anticipated delivery dates on the newbuilding fleet).

Liquidity and Capital Resources

Net cash provided by operating activities during the three month periods ended March 31, 2009 and 2008 was $43,024,179 and $26,454,362, respectively. The increase was primarily due to cash generated from the operation of the fleet for 2,138 days in the three month period ended March 31, 2009 compared to 1,638 days during the same period in 2008, and $13,312,978 relating to deferred revenue payment from a charterer.

Net cash used in investing activities during the three month period ended March 31, 2009, was $44,271,329 compared to $13,399,474 during the corresponding three month period ended March 31, 2008. Investing activities during the three month period ended March 31, 2009 related primarily to making progress payments for the newbuilding vessels and incurring related vessel construction expenses.

Net cash provided by financing activities during the three month period ended March 31, 2009 was $10,935,046, compared to net cash used by financing activities of $17,445,157 during the corresponding three month period ended March 31, 2008. Financing activities during the three month period ended March 31, 2009 primarily involved borrowings of $12,875,000 from our revolving credit facility. Financing activities during the three month period ended March 31, 2008 primarily involved borrowings of $6,630,000 and payment of $23,378,577 in dividends.

As of March 31, 2009, the cash balance was $18,896,758. In addition, $12,500,000 in cash deposits are maintained with the Company's lender for loan compliance purposes and this amount is recorded in Restricted Cash on the balance sheet as of March 31, 2009. Also recorded in Restricted Cash is an amount of $276,056 which is collateralizing a letter of credit relating to the Company's office lease.

At March 31, 2009, the Company had outstanding debt of $802,476,403 borrowed under its $1.35 billion revolving credit facility.

Disclosure of Non-GAAP Financial Measures

EBITDA represents operating earnings before extraordinary items, depreciation and amortization, interest expense, and income taxes, if any. EBITDA is included because it is used by certain investors to measure a company's financial performance. EBITDA is not an item recognized by GAAP and should not be considered a substitute for net income, cash flow from operating activities and other operations or cash flow statement data prepared in accordance with accounting principles generally accepted in the United States or as a measure of profitability or liquidity. EBITDA is presented to provide additional information with respect to the Company's ability to satisfy its obligations including debt service, capital expenditures, and working capital requirements. While EBITDA is frequently used as a measure of operating results and the ability to meet debt service requirements, the definition of EBITDA used here may not be comparable to that used by other companies due to differences in methods of calculation.

The following table is a reconciliation of net income, as reflected in the consolidated statements of operations, to the Credit Agreement EBITDA for the three-month periods ended March 31, 2009 and 2008:



                                                 Three Months Ended
                                               March 31,    March 31,
                                                 2009         2008
                                              ------------------------
 Net Income                                   $17,236,781  $14,345,810
 Interest Expense                               6,486,317    3,350,253
 Depreciation and Amortization                 10,290,916    7,336,039
 Amortization of fair value below market of
  time charter acquired                          (649,731)          --
                                              ------------------------
 EBITDA                                        33,364,283   25,032,102
 Adjustments for Exceptional Items:
 Non-cash Compensation Expense                  3,896,284    2,515,703
                                              ------------------------
 Credit Agreement EBITDA                      $37,260,567  $27,547,805
 ---------------------------------------------========================

Summary Consolidated Financial and Other Data:

The following table summarizes the Company's selected consolidated financial and other data for the periods indicated below.



 CONSOLIDATED STATEMENTS OF OPERATIONS:

                                                 Three Months Ended
                                                 ------------------
                                               March 31,    March 31,
                                                 2009         2008
                                              -----------  -----------

 Revenues, net of commissions                 $55,977,666  $36,686,016

 Vessel expenses                               13,071,197    7,991,261
 Depreciation and amortization                 10,290,916    7,336,039
 General and administrative expenses            8,903,028    5,049,159
                                              ------------------------
  Total operating expenses                     32,265,141   20,376,459
                                              ------------------------

 Operating income                              23,712,525   16,309,557

 Interest expense                               6,486,317    3,350,253
 Interest income                                  (10,573)  (1,386,506)
                                              ------------------------
  Net interest expense                          6,475,744    1,963,747
                                              ------------------------

 Net income                                   $17,236,781  $14,345,810
                                              ===========  ===========


 Weighted average shares outstanding:
 Basic                                         47,031,300   46,752,538
 Diluted                                       47,031,300   46,925,494

 Per share amounts:
 Basic net income                                   $0.37        $0.31
 Diluted net income                                 $0.37        $0.31
 Cash dividends declared and paid                      --        $0.50

 Fleet Operating Data
 Number of Vessels in Operating fleet                  25           18
 Fleet Ownership Days                               2,138        1,638
 Fleet Available Days                               2,137        1,638
 Fleet Operating Days                               2,128        1,633
 Fleet Utilization Days                              99.6%        99.7%


 CONSOLIDATED BALANCE SHEETS:

                                           March 31,     December 31,
                                             2009            2008
                                        --------------  --------------
 ASSETS:
 Current assets:
  Cash and cash equivalents             $   18,896,758  $    9,208,862
  Accounts receivable                        5,242,161       4,357,837
  Prepaid expenses                           3,377,755       3,297,801
  Other assets                               3,549,732              --
                                        --------------  --------------
   Total current assets                     31,066,406      16,864,500
                                        --------------  --------------

 Noncurrent assets:
  Vessels and vessel improvements, at
   cost, net of accumulated depreciation
   of $93,807,957 and $84,113,047,
   respectively                            938,418,488     874,674,636
  Advances for vessel construction         381,815,260     411,063,011
  Restricted cash                           12,776,056      11,776,056
  Deferred drydock costs, net
   of accumulated amortization of
   $5,618,655 and $5,022,649,
   respectively                              3,228,074       3,737,386
  Deferred financing costs                  23,827,797      24,270,060
  Fair value above contract value of
   time charters acquired                    4,531,115       4,531,115
  Fair value of derivative instruments
   and other assets                          6,173,340      15,258,780
                                        --------------  --------------
    Total noncurrent assets              1,370,770,130   1,345,311,044
                                        --------------  --------------
 Total assets                           $1,401,836,536  $1,362,175,544
                                        ==============  ==============

 LIABILITIES & STOCKHOLDERS' EQUITY
 Current liabilities:
 Accounts payable                       $    3,423,635  $    2,037,060
 Accrued interest                            6,651,391       7,523,057
 Other accrued liabilities                   4,844,379       3,021,975
 Deferred revenue and fair value below
  contract value of time charters
  acquired                                  16,724,194       2,863,184
 Unearned charter hire revenue               5,696,640       5,958,833
                                        --------------  --------------
  Total current liabilities                 37,340,239      21,404,109
                                        --------------  --------------
 Noncurrent liabilities:
 Long-term debt                            802,476,403     789,601,403
 Fair value below contract value of time
  charters acquired                         28,007,433      29,205,196
 Fair value of derivative instruments       49,525,089      50,538,060
                                        --------------  --------------
  Total noncurrent liabilities             880,008,925     869,344,659
                                        --------------  --------------
 Total liabilities                         917,349,164     890,748,768
                                        --------------  --------------
 Commitment and contingencies
 Stockholders' equity:
 Preferred stock, $.01 par value,
  25,000,000 shares authorized, none
  issued                                            --              --
 Common shares, $.01 par value,
  100,000,000 shares authorized,
  47,031,300 shares issued and
  outstanding                                  470,313         470,313
 Additional paid-in capital                618,137,930     614,241,646
 Retained earnings (net of dividends
  declared of $262,188,388)                (90,549,877)   (107,786,658)
 Accumulated other comprehensive loss      (43,570,994)    (35,498,525)
                                        --------------  --------------
  Total stockholders' equity               484,487,372     471,426,776
                                        --------------  --------------
 Total liabilities and stockholders'
  equity                                $1,401,836,536  $1,362,175,544
                                        ==============  ==============


 CONSOLIDATED STATEMENTS OF CASH FLOWS:

                                                Three Months Ended
                                              March 31,     March 31,
                                                2009          2008
                                            ------------  ------------

  Cash flows from operating activities:
  Net income                                $ 17,236,781  $ 14,345,810
  Adjustments to reconcile net income to
   net cash provided by operating
   activities:
  Items included in net income not affecting
   cash flows:
 Depreciation                                  9,694,910     6,708,415
 Amortization of deferred drydocking costs       596,006       627,624
 Amortization of deferred financing costs        240,057        61,907
 Amortization of fair value below contract
  value of time charter acquired                (649,731)           --
 Non-cash compensation expense                 3,896,284     2,515,703
  Changes in operating assets and
   liabilities:
 Accounts receivable                            (884,324)      113,078
 Other assets                                 (3,549,732)           --
 Prepaid expenses                                (79,954)     (141,700)
 Accounts payable                              1,386,575    (1,476,295)
 Accrued interest                                350,812     3,106,074
 Accrued expenses                              1,822,404       (46,930)
 Drydocking expenditures                         (86,694)      (65,851)
 Deferred revenue                             13,312,978            --
 Unearned charter hire revenue                  (262,193)      706,527
                                            ------------  ------------

  Net cash provided by operating activities   43,024,179    26,454,362

  Cash flows from investing activities:
 Vessels and vessel improvements and
  advances for vessel construction           (44,271,329)  (13,399,474)
                                            --------------------------
  Net cash used in investing activities      (44,271,329)  (13,399,474)

  Cash flows from financing activities:
 Bank borrowings                              12,875,000     6,630,000
 Changes in restricted cash                   (1,000,000)     (151,440)
 Deferred financing costs                       (939,954)     (545,140)
 Cash dividends                                       --   (23,378,577)
                                            ------------  ------------
  Net cash provided by/(used in) financing
   activities                                 10,935,046   (17,445,157)

 Net increase/(decrease) in cash               9,687,896    (4,390,269)
 Cash at beginning of period                   9,208,862   152,903,692
                                            ------------  ------------
  Cash at end of period                     $ 18,896,758  $148,513,423
                                            ============  ============

Commercial and strategic management of the fleet is carried out by a wholly-owned subsidiary of the Company, Eagle Shipping International (USA) LLC, a Marshall Islands limited liability company with offices in New York City.

The following table represents certain information about the Company's revenue earning charters on its operating fleet as of March 31, 2009:



 ---------------------------------------------------------------------
                                                           Daily Time
                    Year          Time Charter            Charter Hire
 Vessel            Built  Dwt     Expiration(1)               Rate
 ------            -----  ---     -------------           ------------
 Cardinal(2)        2004  55,362  June to September 2009     $12,000
 Condor             2001  50,296  May to July 2010           $22,000
 Falcon(3)          2001  51,268  April to June 2010         $39,500
 Griffon(4)         1995  46,635  February 2010 to            $9,500
                                   May 2010
 Harrier(5)         2001  50,296  June 2009 to               $24,000
                                   September 2009
 Hawk I(6)          2001  50,296  May 2009 to June 2009      $12,800
 Heron(7)           2001  52,827  January 2011 to            $26,375
                                   May 2011
 Jaeger(8)          2004  52,248  October 2009 to            $10,100
                                   January 2010
 Kestrel I(9)       2004  50,326  March 2010 to              $11,500
                                   July 2010
 Kite(10)           1997  47,195  September 2009 to           $9,500
                                   January 2010
 Merlin(11)         2001  50,296  December 2010 to           $25,000
                                   March 2011
 Osprey I(12)       2002  50,206  October 2009 to            $25,000
                                   December 2009
 Peregrine(13)      2001  50,913  December 2009 to            $8,500
                                   March 2010
 Sparrow(14)        2000  48,225  February 2010 to           $10,000
                                   May 2010
 Tern(15)           2003  50,200  December 2009 to            $8,500
                                   March 2010
 Shrike             2003  53,343  April 2009 to July 2009    $24,600
                                  May 2010 to Aug 2010       $25,600
 Skua               2003  53,350  May 2009 to August 2009    $24,200

 Kittiwake          2002  53,146  July 2009 to               $56,250
                                   September 2009
 Goldeneye          2002  52,421  May 2009 to July 2009      $61,000

 Wren(16)           2008  53,349  Feb 2012                   $24,750
                                  Feb 2012 to Dec 2018/   $18,000 (with
                                   Apr 2019               profit share)

 Redwing            2007  53,411  August 2009 to             $50,000
                                   October 2009

 Woodstar(17)       2008  53,390  Jan 2014                   $18,300
                                  Jan 2014 to Dec 2018/   $18,000 (with
                                   Apr 2019               profit share)

 Crowned Eagle      2008  55,940  September 2009 -           $16,000
                                   December 2009
 Crested Eagle(18)  2009  55,989  December 2009 -            $10,500
                                   March 2010
 Stellar Eagle      2009  55,989  February 2010 -            $12,000
                                   May 2010
 ---------------------------------------------------------------------

 (1) The date range provided represents the earliest and latest date 
     on which the charterer may redeliver the vessel to the Company 
     upon the termination of the charter. The time charter hire rates 
     presented are gross daily charter rates before brokerage 
     commissions, ranging from 1.25% to 6.25%, to third party ship 
     brokers.
 (2) In March 2009, the charterer of the CARDINAL paid in advance for 
     the duration of the charter an amount equal to the difference 
     between the prevailing daily charter rate of $62,000 and a new 
     rate of $12,000 per day. This amount has been recorded in 
     Deferred Revenue in the Company's financial statements and is 
     being recognized into revenue ratably over the charter period 
     such that the daily charter rate remains effectively $62,000 per 
     day. The cash payment received by the Company has been adjusted 
     by a present value interest rate factor of 3%.           
 (3) The charterer of the FALCON has an option to extend the charter 
     period by 11 to 13 months at a daily time charter rate of $41,000.
 (4) In March 2009, upon completion of the previous time charter, the 
     GRIFFON commenced a new short term charter at $10,500 per day. 
     Upon completion of this charter, the vessel will enter a new 
     charter for 11 to 13 months at a rate of $9,500 per day.
 (5) The daily rate for the HARRIER is $27,000 for the first year and 
     $21,000 for the second year. Revenue recognition is based on an 
     average daily rate of $24,000.
 (6) In March 2009, upon completion of the previous time charter, the 
     HAWK commenced a new short term charter at $12,800 per day.
 (7) The charterer of the HERON has an option to extend the charter 
     period by 11 to 13 months at a time charter rate of $27,375 per 
     day. The charterer has a second option for a further 11 to 13 
     months at a time charter rate of $28,375 per day. 
 (8) In December 2008, the JAEGER commenced a charter for one year at 
     an average daily rate of approximately $10,100 based on a charter 
     rate of $5,000 per day for the first 50 days and $11,000 per day 
     for the balance of the year.
 (9) In January 2009, upon completion of the previous time charter, 
     the KESTREL entered into two short term positioning charters 
     prior to its scheduled drydocking in April 2009. The vessel first 
     earned $8,500 per day in February 2009 and then earned $18,000 
     per day for the remainder of the quarter. Upon completion of the 
     drydocking survey, the vessel will enter a new charter for 11 to 
     13 months at a rate of $11,500 per day.
 (10) In March 2009, the charterer of the KITE paid in advance for the 
      duration of the charter an amount equal to the difference 
      between the prevailing daily charter rate of $21,000 and a new 
      rate of $9,500 per day. This amount has been recorded in 
      Deferred Revenue in the Company's financial statements and is 
      being recognized into revenue ratably over the charter period 
      such that the daily charter rate remains effectively $21,000 per 
      day. The cash payment received by the Company has been adjusted 
      by a present value interest rate factor of 3%.
 (11) The daily rate for the MERLIN is $27,000 for the first year, 
      $25,000 for the second year and $23,000 for the third year. 
      Revenue recognition is based on an average daily rate of $25,000.
 (12) The charterer of the OSPREY has an option to extend the charter 
      period by 11 to 13 months at a time charter rate of $25,000 per 
      day.
 (13) In January 2009, upon completion of the previous time charter, 
      the PEREGRINE commenced a new charter at $8,500 per day. 
 (14) In March 2009, the charterer of the SPARROW paid in advance for 
      the duration of the charter an amount equal to the difference 
      between the prevailing daily charter rate of $34,500 and a new 
      rate of $10,000 per day. This amount has been recorded in 
      Deferred Revenue in the Company's financial statements and is 
      being recognized into revenue ratably over the charter period 
      such that the daily charter rate remains effectively $34,500 per 
      day. The cash payment received by the Company has been adjusted 
      by a present value interest rate factor of 3%.
 (15) In January 2009, upon completion of the previous time charter, 
      the TERN commenced a new charter at $8,500 per day. 
 (16) The WREN has entered into a long-term charter. The charter rate 
      until February 2012 is $24,750 per day. Subsequently, the 
      charter until redelivery in December 2018 to April 2019 will be 
      profit share based. The base charter rate will be $18,000 with a 
      50% profit share for earned rates over $22,000 per day. Revenue 
      recognition for the base rate from commencement of the charter 
      is based on an average daily base rate of $20,306.
 (17) The WOODSTAR has entered into a long-term charter. The charter 
      rate until January 2014 is $18,300 per day. Subsequently, the 
      charter until redelivery in December 2018 to April 2019 will be 
      profit share based. The base charter rate will be $18,000 with a 
      50% profit share for earned rates over $22,000 per day. Revenue 
      recognition for the base rate from commencement of the charter 
      is based on an average daily base rate of $18,152.
 (18) The charterer of the CRESTED EAGLE has an option to extend the 
      charter period by 11 to 13 months at a base time charter rate of 
      $11,500 plus 50% of the difference between the base rate and the 
      BSI time charter average (provided the BSI TC average is greater 
      than the base rate). The profit share to be calculated each 
      month based on the trailing BSI TC average for the month. 

The following table, as of March 31, 2009, represents certain information about the Company's newbuilding vessels being constructed and their employment upon delivery:



 ----------------------------------------------------------------------
                                                       Daily
                         Year                          Time
                        Built -    Time Charter       Charter
                        Expected   Employment          Hire     Profit
 Vessel          Dwt   Delivery(1) Expiration(2)      Rate(3)   Share
 --------        ---   ----------- --------------     -------  --------

 Thrasher        53,100  Nov 2009  Feb 2016           $18,400     --
                                   Feb 2016 to        $18,000  50% over
                                    Dec 2018/Apr 2019           $22,000
 Avocet          53,100  Dec 2009  Mar 2016           $18,400     --
                                   Mar 2016 to        $18,000  50% over
                                    Dec 2018/Apr 2019           $22,000
 Bittern         58,000  Sep 2009  Dec 2014           $18,850     --
                                   Dec 2014 to        $18,000  50% over
                                    Dec 2018/Apr 2019           $22,000
 Canary          58,000  Oct 2009  Jan 2015           $18,850     --
                                   Jan 2015 to        $18,000  50% over
                                    Dec 2018/Apr 2019           $22,000
 Crane           58,000  Nov 2009  Feb 2015           $18,850     --
                                   Feb 2015 to        $18,000  50% over
                                    Dec 2018/Apr 2019           $22,000
 Egret(4)        58,000  Dec 2009  Sep 2012 to        $17,650  50% over
                                    Jan 2013                    $20,000
 Golden Eagle    56,000  Jan 2010  Charter Free          --       --
 Gannet(4)       58,000  Jan 2010  Oct 2012 to        $17,650  50% over
                                    Feb 2013                    $20,000
 Grebe(4)        58,000  Feb 2010  Nov 2012 to        $17,650  50% over
                                    Mar 2013                    $20,000
 Imperial Eagle  56,000  Feb 2010  Charter Free          --       --
 Ibis(4)         58,000  Mar 2010  Dec 2012 to        $17,650  50% over
                                    Apr 2013                    $20,000
 Jay             58,000  Apr 2010  Sep 2015           $18,500  50% over
                                                                $21,500
                                   Sep 2015 to        $18,000  50% over
                                    Dec 2018/Apr 2019           $22,000
 Kingfisher      58,000  May 2010  Oct 2015           $18,500  50% over
                                                                $21,500
                                   Oct 2015 to        $18,000  50% over
                                    Dec 2018/Apr 2019           $22,000
 Martin          58,000  Jun 2010  Dec 2016 to        $18,400     --
                                    Dec 2017
 Thrush          53,100  Nov 2010  Charter Free          --       --
 Nighthawk       58,000  Mar 2011  Sep 2017 to        $18,400     --
                                    Sep 2018
 Oriole          58,000  Jul 2011  Jan 2018 to        $18,400     --
                                    Jan 2019
 Owl             58,000  Aug 2011  Feb 2018           $18,400     --
                                    to Feb 2019
 Petrel(4)       58,000  Sep 2011  Jun 2014 to        $17,650  50% over
                                    Oct 2014                    $20,000
 Puffin(4)       58,000  Oct 2011  Jul 2014 to        $17,650  50% over
                                    Nov 2014                    $20,000
 Roadrunner(4)   58,000  Nov 2011  Aug 2014 to        $17,650  50% over
                                    Dec 2014                    $20,000
 Sandpiper(4)    58,000  Dec 2011  Sep 2014 to        $17,650  50% over
                                    Jan 2015                    $20,000

 CONVERTED INTO OPTIONS
 ----------------------

 Snipe(6)        58,000  Jan 2012  Charter Free          --       --
 Swift(6)        58,000  Feb 2012  Charter Free          --       --
 Raptor(6)       58,000  Mar 2012  Charter Free          --       --
 Saker(6)        58,000  Apr 2012  Charter Free          --       --
 Besra(5,6)      58,000  Oct 2011  Charter Free          --       --
 Cernicalo(5,6)  58,000  Jan 2011  Charter Free          --       --
 Fulmar(5,6)     58,000  Jul 2011  Charter Free          --       --
 Goshawk(5,6)    58,000  Sep 2011  Charter Free          --       --

 ----------------------------------------------------------------------
 (1) Vessel build and delivery dates are estimates based on guidance 
     received from shipyard. 
 (2) The date range represents the earliest and latest date on which 
     the charterer may redeliver the vessel to the Company upon the 
     termination of the charter. 
 (3) The time charter hire rate presented are gross daily charter 
     rates before brokerage commissions ranging from 1.25% to 6.25% to 
     third party ship brokers. 
 (4) The charterer has an option to extend the charter by 2 periods of 
     11 to 13 months each.
 (5) Options for construction declared on December 27, 2007.
 (6) Firm contracts converted to options in December 2008

Glossary of Terms:

Ownership days: The Company defines ownership days as the aggregate number of days in a period during which each vessel in its fleet has been owned. Ownership days are an indicator of the size of the fleet over a period and affect both the amount of revenues and the amount of expenses that is recorded during a period.

Available days: The Company defines available days as the number of ownership days less the aggregate number of days that its vessels are off-hire due to vessel familiarization upon acquisition, scheduled repairs or repairs under guarantee, vessel upgrades or special surveys and the aggregate amount of time that we spend positioning our vessels. The shipping industry uses available days to measure the number of days in a period during which vessels should be capable of generating revenues.

Operating days: The Company defines operating days as the number of its available days in a period less the aggregate number of days that the vessels are off-hire due to any reason, including unforeseen circumstances. The shipping industry uses operating days to measure the aggregate number of days in a period during which vessels actually generate revenues.

Conference Call Information

As previously announced, members of Eagle Bulk's senior management team will host a teleconference and webcast at 8:30 a.m. ET on Thursday, May 7, 2009, to discuss these results.

To participate in the teleconference, investors and analysts are invited to call 888-788-0541 in the U.S., or 857-350-1679 outside of the U.S., and reference participant code 33658430. A simultaneous webcast of the call, including a slide presentation for interested investors and others, may be accessed by visiting http://www.eagleships.com.

A replay will be available following the call until May 20, 2009. To access the replay, call 888-286-8010 in the U.S., or 617-801-6888 outside of the U.S., and reference passcode 45702074.

About Eagle Bulk Shipping Inc.

Eagle Bulk Shipping, Inc., headquartered in New York City, is a leading global owner of Supramax dry bulk vessels, which are dry bulk vessels that range in size from 50,000 to 60,000 deadweight tons, or dwt, and transport a broad range of major and minor bulk cargoes, including iron ore, coal, grain, cement and fertilizer, along worldwide shipping routes.

Forward-Looking Statements

Matters discussed in this release may constitute forward-looking statements. Forward-looking statements reflect our current views with respect to future events and financial performance and may include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts.

The forward-looking statements in this release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management's examination of historical operating trends, data contained in our records and other data available from third parties. Although Eagle Bulk Shipping Inc. believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, Eagle Bulk Shipping Inc. cannot assure you that it will achieve or accomplish these expectations, beliefs or projections.

Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including changes in charter hire rates and vessel values, changes in demand that may affect attitudes of time charterers to scheduled and unscheduled drydocking, changes in our vessel operating expenses, including dry-docking and insurance costs, or actions taken by regulatory authorities, potential liability from future litigation, domestic and international political conditions, potential disruption of shipping routes due to accidents and political events or acts by terrorists.

Risks and uncertainties are further described in reports filed by Eagle Bulk Shipping Inc. with the US Securities and Exchange Commission.

Visit our website at www.eagleships.com



            

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