Diana Shipping Inc. Announces Time Charter Contract
for m/v Protefs

ATHENS, GREECE July 19, 2011 - Diana Shipping Inc. (NYSE: DSX), a global shipping company specializing in the transportation of dry bulk cargoes, today announced that it has entered into a time charter contract with Cargill International S.A., Geneva, for one of its Panamax dry bulk carriers, the m/v Protefs, at a gross rate of US$11,750 per day, minus a 4.75% commission paid to third parties for a minimum eleven (11) to a maximum fourteen (14) month period.

The charter is expected to commence on or about July 28, 2011. The previous charterer (Hanjin Shipping Company Ltd.) had the option to redeliver the vessel at the earliest on August 18, 2011. However, they have agreed to compensate the owners for the difference between the new rate and the previous rate for the period from July 28, 2011 to August 18, 2011. Starting from August 18, 2011 this employment is expected to generate approximately US$3.65 million of gross revenues for the minimum scheduled period of the charter.

The Protefs is a 73,630 dwt Panamax dry bulk carrier built in 2004.

About the Company
Diana Shipping Inc. is a global provider of shipping transportation services. The Company specializes in transporting dry bulk cargoes, including such commodities as iron ore, coal, grain and other materials along worldwide shipping routes.

Diana Shipping Inc. press release