FRO - Termination of charter-in contract of OBO carrier

Hamilton, Bermuda, June 4, 2012

Frontline Ltd. ("Frontline" or the "Company") has agreed with Ship Finance International Limited ("Ship Finance") to terminate the long term charter party for the OBO carrier Front Rider and Ship Finance has simultaneously sold the vessel.

The charter party is expected to terminate in July 2012. Frontline will make a compensation payment to Ship Finance of approximately $0.5 million for the early termination of the charter.

The transaction will reduce the Company's obligations under capital leases with approximately $2.4 million and the Company expects to record a loss of approximately $5.0 million.

Frontline Ltd. press release