FSL Trust Confirms Receipt Of US$6 Million Cash Following Vessel Re-Deliveries

Singapore, 14 July 2010 - FSL Trust Management Pte. Ltd. (“FSLTM”), Trustee-Manager of First Ship Lease Trust (“FSL Trust”) refers to the earlier announcement (1) on 4 May 2010 and wishes to announce that it has received on 14 July 2010 US$6 million cash pursuant to the redelivery of the vessels ‘Nika I’ (to be renamed ‘FSL Hamburg’) and ‘FSL Singapore’ (formerly ‘Verona I’) by its charterers (2).

The US$6 million cash served as security deposits for the contract fulfilment by the charterers. The amount has now been released to FSL Trust upon the expiry of the stipulated default notice period.

The US$6 million will be recognised as non-recurring revenue for the financial quarter ended 30 June 2010.

About First Ship Lease Trust (Bloomberg: FSLT SP; Reuters: FSLT.SI; OTCQX: FSHPY)

First Ship Lease Trust (“FSL Trust” or the “Trust”) is a provider of leasing services on a long-term bareboat charter basis to the international shipping industry. The Trust has a diversified portfolio of 23 modern and high quality vessels, consisting of seven containerships, nine product tankers, three chemical tankers, two dry bulk carriers and two crude oil tankers.

FSL Trust is listed on the main board of the Singapore Exchange Securities Trading Limited (SGX-ST) and its American Depository Receipts are quoted on the PrimeQX tier of International OTCQX. FSL Trust is a component stock of the FTSE ST Maritime Index.

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1 Press Release: “First Ship Lease Trust requested to take re-delivery of two vessels 'Verona I' And 'Nika I'”, dated 4 May 2010.
2 The charterers of the vessels ‘Verona I’ and ‘Nika I’ were Mesino Shipping Company Limited and Rovina Shipping Company Limited, respectively, and both are affiliates of Groda Shipping & Transportation Ltd.

First Ship Lease Trust