ATHENS, GREECE -- (Marketwire) -- 08/05/09 -- OceanFreight Inc. (NASDAQ: OCNF), a global provider of marine transportation services, today announced its financial results for the quarter ended June 30, 2009.

Financial Highlights

For the three-month period ended June 30, 2009, the Company reported Net Loss of $32.8 million or basic and diluted loss per share of $0.51. Included in these results are:

--  The sale of M/V Lansing which was delivered to the new owners July 1,
    2009. The sale resulted in a book loss of approximately $14.8 million.
--  The impairment loss of M/V Juneau of $16.5 million due to its
    contemplated sale.
--  Drydocking of three vessels with a total cost including peripheral
    expenses of $6.7 million.
--  Gain from the change in fair value of interest rate swaps of
    approximately $4.9 million.
    

Excluding the above items Net Income for the second quarter of 2009 would be $0.3 million or ¢0.4 per share.

Recent Developments

-- In the second quarter of 2009, the Company commenced execution of its
   fleet renewal plan. The Company agreed to purchase a 2004-built 173,088
   dwt Capesize drybulk carrier for a total cost of $56 million. The
   vessel was delivered to the Company on July 30, 2009 and commenced a
   three year time charter at a daily gross rate of $27,500 per day. In
   addition the Company entered into two agreements to purchase two
   2006-built Capesize drybulk carriers (173,949 dwt and 174,200 dwt) for
   $61.25 million each. The vessels are expected to be delivered to the
   Company in the fourth quarter of 2009 upon which they are scheduled to
   commence time charter employment with a daily gross rate of $26,000 and
   $26,250 per day, respectively for a minimum of five years and a maximum
   of 8 and 9 years.

   On July 1, 2009 the Company delivered to the new owners the M/V Lansing
   for a sale price of $21.9 million. In addition, in July 2009 the
   Company entered into an agreement to sell the 1990-built Capesize M/V
   Juneau for a sale price of $19.9 million with expected delivery in the
   fourth quarter of 2009.

   Upon completion of the above transactions, our fleet will consist of 14
   vessels, comprised of 10 dry bulk carriers (3 Capesize, 7 Panamaxes)
   and 4 tankers (1 Suezmax, 3 Aframaxes) with a combined deadweight
   tonnage of approximately 1.5 million tons with an average age of
   approximately 10 years.

Anthony Kandylidis, the Company's President and Chief Executive Officer,
commented:

   "OceanFreight is uniquely positioned to take advantage of
   opportunities as they arise. With our proven access to capital and our
   track record of sourcing modern high quality tonnage with fixed
   employment we are renewing our fleet while enhancing the longevity of
   our cash flows. Today our fleet average age is approximately 10 years,
   while the IPO fleet had an average age of approximately 14, and we have
   secured cashflows of 92% and 72% of the fleet operating days for the
   balance of 2009 and 2010 respectively."

Second Quarter 2009 Results

For the second quarter ended June 30, 2009, Voyage Revenues amounted to $29.1 million, Operating Loss amounted to $1.7 million before the effect of the impairment loss from vessel and vessel held for sale of $31.3 million and Net Loss amounted to $32.8 million or $(0.51) per share. EBITDA(1) for the second quarter of 2009 was $8.6 million.

(1) Please see later in this release for a reconciliation of EBITDA to net cash provided by Operating activities.

An average of 13 vessels were owned and operated during the second quarter of 2009, earning an average Time Charter Equivalent, or TCE rate, of $28,071 per day.

Liquidity

As of June 30, 2009, the Company had total liquidity of approximately $111.2 million.

Fleet Data

(Dollars in thousands, except Average
 Daily Results - unaudited)            Three Months Ended
                                            June 30,
                                         2008       2009
                                      ---------- ----------
Average number of vessels (1)                 11         13
Total voyage days for fleet (2)            1,001      1,065
Total calendar days for fleet (3)          1,001      1,183
Time charter equivalent (4)           $   35,672 $   28,071

(1) Average number of vessels is the number of vessels that constituted our fleet for the relevant period, as measured by the sum of the number of days each vessel was a part of our fleet during the period divided by the number of calendar days in that period.

(2) Total voyage days for fleet are the total days the vessels were in our possession for the relevant period net of off-hire.

(3) Calendar days are the total days the vessels were in our possession for the relevant period including off-hire days.

(4) Time charter equivalent rate, or TCE, is a measure of the average daily revenue performance of a vessel on a per voyage basis. Our method of calculating TCE is consistent with industry standards and is determined by dividing gross revenues (net of voyage expenses) by voyage days for the relevant time period. Voyage expenses primarily consist of port, canal and fuel costs that are unique to a particular voyage, which would otherwise be paid by the charterer under a time charter contract, as well as commissions. TCE is a standard shipping industry performance measure used primarily to compare period-to-period changes in a shipping company's performance despite changes in the mix of charter types (i.e., spot charters, time charters and bareboat charters) under which the vessels may be employed between the periods.

The following table reflects the calculation of our TCE rates for the periods then ended:

                                                 Three Months Ended
(Dollars in thousands, except Average                 June 30,
 Daily Results - unaudited)                        2008      2009
                                                 --------  --------

Voyage revenue                                   $ 37,349  $ 29,123
Imputed revenue                                  $  2,566  $  2,565
Voyage expenses                                  $ (4,207) $ (1,792)

                                                 --------  --------
Time charter equivalent revenues                 $ 35,708  $ 29,896
                                                 ========  ========
Total voyage days for fleet                         1,001     1,065
Time charter equivalent (TCE) rate               $ 35,672  $ 28,071

Financial Statements

The following are OceanFreight Inc.'s Consolidated Statements of Income for the three-month periods ended June 30, 2008 and 2009:

(Dollars in thousands, except for share and           Three Months Ended
 per share data)                                           June 30,
                                                       2008        2009
                                                    ----------  ----------
                                                    Unaudited   Unaudited

              INCOME STATEMENT DATA

Voyage revenues                                     $   37,349  $   29,123
Gain on forward freight agreements                           -         591
Imputed revenue                                          2,566       2,565
                                                    ----------  ----------
Gross Revenue                                           39,915      32,279

Voyage expenses                                         (4,207)     (1,792)
Vessels operating expenses                              (5,930)    (11,615)
Depreciation                                           (10,370)    (12,921)
Management fees                                           (580)     (1,185)
General and administrative expenses                     (1,118)     (1,817)
Impairment loss on vessel and vessel held for sale           -     (31,281)
Drydocking cost                                              -      (4,691)
                                                    ----------  ----------
Operating Income/(loss)                                 17,710     (33,023)
                                                    ----------  ----------

Interest and finance costs                              (4,007)     (4,896)
Interest income                                            142         148
Gain/(loss) on derivative instruments                   10,110       4,934

                                                    ----------  ----------
Net Income/(loss)                                   $   23,955  $  (32,837)
                                                    ==========  ==========

Basic and fully diluted earnings per share          $     1.65  $    (0.51)
Weighted average common and subordinated shares
 outstanding                                        14,531,896  64,077,460

The following are OceanFreight Inc.'s Consolidated Balance Sheets as at December 31, 2008 and June 30, 2009:

(Expressed in thousands of U.S. Dollars - except for share and per share data)

                                                      2008         2009
                                                  -----------  -----------
ASSETS                                                         (unaudited)
CURRENT ASSETS:
  Cash and cash equivalents                       $    23,069  $   104,686
  Receivables                                           2,073        1,940
  Inventories                                           1,338        1,617
  Prepayments and other                                 2,197        5,056
  Vessel held for sale                                      -       21,950
                                                  -----------  -----------
    Total current assets                               28,677      135,249
                                                  -----------  -----------

FIXED ASSETS, NET:

  Vessels, net of accumulated depreciation and
   vessel impairment of $56,838 and $93,146,
   respectively                                       587,189      508,979
  Other, net of accumulated depreciation of $31
   and $47, respectively                                  159          127
                                                  -----------  -----------
    Total fixed assets, net                           587,348      509,106
                                                  -----------  -----------

OTHER NON CURRENT ASSETS:

  Deferred financing fees, net of accumulated
   amortization of $1,634 and $1,828, respectively      2,081        1,716
  Restricted cash                                       6,511        6,511
  Other                                                   953        4,495
                                                  -----------  -----------
    Total assets                                  $   625,570  $   657,077
                                                  ===========  ===========

LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES:
  Accounts payable                                $     1,767  $     4,609
  Due to related parties                                  111          354
  Accrued liabilities                                   9,731       13,854
  Unearned revenue                                      1,822        1,504
  Derivative liability                                  6,771        7,329
  Sellers' credit                                      25,000            -
  Current portion of imputed deferred revenue          10,290        9,519
  Current portion of long-term debt                    60,889       46,014
                                                  -----------  -----------
    Total current liabilities                         116,381       83,183
                                                  -----------  -----------

NON-CURRENT LIABILITIES:
Derivative liability, net of current portion            9,376        3,008
Imputed deferred revenue, net of current portion        5,741        1,409
Long-term debt, net of current portion                247,111      243,104
                                                  -----------  -----------
    Total non-current liabilities                     262,228      247,521
                                                  -----------  -----------

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' EQUITY:
  Preferred shares, par value $0.01; 5,000,000
   shares authorized, 0 shares issued and
   outstanding                                              -            -
  Common Shares, par value $0.01; 95,000,000
   shares authorized, 18,544,493 and 90,394,493
   shares issued and outstanding at December 31,
   2008 and June 30, 2009, respectively                   185          904
  Subordinated Shares, par value $0.01;
   10,000,000 shares authorized, 0 shares issued
   and outstanding                                          -            -
  Additional paid-in capital                          271,824      380,762
  Accumulated deficit                                 (25,048)     (55,293)
                                                  -----------  -----------
    Total stockholders' equity                        246,961      326,373
                                                  -----------  -----------
    Total liabilities and stockholders' equity    $   625,570  $   657,077
                                                  ===========  ===========

EBITDA Reconciliation

OceanFreight Inc. considers EBITDA to represent net income before interest, taxes, depreciation and amortization and other non-cash items. EBITDA does not represent and should not be considered as an alternative to net income or cash flow from operations, as determined by United States generally accepted accounting principles, or U.S. GAAP, and our calculation of EBITDA may not be comparable to that reported by other companies. EBITDA is included herein because it is a basis upon which the Company assesses its liquidity position, it is used by our lenders as a measure of our compliance with certain loan covenants and because the Company believes that it presents useful information to investors regarding a company's ability to service and/or incur indebtedness.

The following table reconciles net cash provided by operating activities to EBITDA:

(Dollars in thousands)                          Three Months Ended June 30,
                                                      2008         2009
                                                  -----------  -----------

Net cash provided by operating activities              26,477        6,660
Net increase in current assets, excluding cash
 and cash equivalents                                   1,365        1,731
Net increase in current liabilities, excluding
 derivative liability, current portion of long
 term debt and imputed deferred revenue current
 portion                                               (4,839)      (4,330)
Net Interest expense                                    3,865        4,749
Amortization of deferred financing costs included
 in interest expense                                     (121)        (196)
                                                  -----------  -----------
EBITDA                                                 26,747        8,614
                                                  ===========  ===========

Fleet List

The table below describes our fleet development and current employment profile as of August 5, 2009:

                                              Gross
           Year                     Current    Rate   Earliest     Latest
           Built   DWT      Type   Employment per Day Redelivery Redelivery
DRYBULK

Trenton     1995   75,229  Panamax     TC     $26,000     Apr-10     Aug-10
Pierre      1996   70,316  Panamax     TC     $23,000     Jun-10     Oct-10
Austin      1995   75,229  Panamax     TC     $26,000     Apr-10     Aug-10
Juneau (1)  1990  149,495 Capesize     TC     $48,700     Sep-09     Nov-09
Partagas    2004  173,880 Capesize     TC     $27,500     Jul-12     Dec-12
Helena      1999   73,744  Panamax     TC     $32,000     May-12     Jan-13
Topeka      2000   74,710  Panamax     TC     $18,000     Jan-11     Mar-11
Richmond    1995   75,265  Panamax     TC     $18,100     Jul-10     Oct-10
Augusta     1996   69,053  Panamax     TC     $16,000     Nov-11     Mar-12

TANKERS

Pink Sands  1993   93,723  Aframax     TC     $27,450     Oct-10     Jan-11
Olinda      1996  149,085  Suezmax    Pool          -      Blue Fin Tankers
Tigani      1991   95,951  Aframax     TC     $29,800     Sep-09     Nov-09
Tamara      1990   95,793  Aframax     TC     $27,000     Nov-10     Mar-11

(1) The Company has agreed to sell the M/V Juneau and expects delivery of the vessel to the new owners to take place no later than November 30, 2009.

Conference Call and Webcast: August 6, 2009 at 08:30 A.M. EDT

OceanFreight management team will host a conference call on August 6, 2009, at 08:30 A.M. Eastern Daylight Time (EDT) to discuss the Company's financial results for the Quarter ended June 30, 2009.

Conference Call details:

Participants should Dial-Into the call 10 minutes before the scheduled time using the following numbers: 1 866 819 7111 (U.S. Toll Free Dial-In), 0800 953 0329 (U.K. Toll Free Dial-In) or +44 (0) 1452 542 301 (Standard International Dial-In). Please quote "OceanFreight."

A telephonic replay of the conference call will be available until August 13th, 2009 by dialing 1 866 247 4222 (U.S. Toll Free Dial-In), 0800 953 1533 (U.K. Toll Free Dial-In) or +44 (0) 1452 550 000 (Standard International Dial-In). Access Code: 7445162#.

Slides and audio webcast:

There will also be a simultaneous live webcast over the Internet, through the OceanFreight Inc. website (www.oceanfreightinc.com). Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

About OceanFreight Inc.

OceanFreight Inc., is an owner and operator of both drybulk and tanker vessels that operate worldwide. As of the date of this release, OceanFreight owns a fleet of 13 vessels, comprised of 9 drybulk vessels (2 Capesize, 7 Panamaxes) and 4 crude carrier tankers (1 Suezmax, 3 Aframaxes) with a combined deadweight tonnage of about 1.2 million tons.

OceanFreight Inc.'s common stock is listed on the NASDAQ Global Market where it trades under the symbol "OCNF." Visit our website at www.oceanfreightinc.com.

Forward-Looking Statement

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 OceanFreight 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, OceanFreight 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 OceanFreight Inc.'s operating expenses, including bunker prices, dry-docking and insurance costs, or actions taken by regulatory authorities, potential liability from pending or 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 OceanFreight Inc. with the U.S. Securities and Exchange Commission.