ATHENS, GREECE -- (Marketwire) -- 11/03/08 -- Safe Bulkers, Inc. (the "Company") (NYSE: SB), an international provider of marine drybulk transportation services, announced today its unaudited financial results for the three and nine month periods ended September 30, 2008 and declared a quarterly dividend of $0.475 per share for the third quarter 2008.

Third Quarter 2008 Highlights

--  Net income of $39.2 million, an increase of 85% from $21.2 million in
    the third quarter of 2007, and earnings per share of $0.72, an increase of
    85% from earnings per share of $0.39 in the third quarter of 2007.
--  EDITDA(1) of $45.7 million, an increase of 78% from $25.7 million in
    the third quarter of 2007.
--  Net revenue for the third quarter of 2008 increased by 20% to $53.4
    million from $44.5 million during the same period in 2007. The Company
    operated 11 vessels during the third quarter of 2008 at a Time Charter
    Equivalent ("TCE")(2) rate of $52,724 compared to the same number of
    vessels and a TCE rate of $43,901 during the third quarter of 2007.
--  Declaration of a dividend of $0.475 per share for the third quarter of
    2008.
    

First Nine Months 2008 Highlights

--  Net income and earnings per share of $107.3 million, or $1.97 per
    share, for the nine month period ended September 30, 2008 compared to
    $176.0 million or $3.23 per share for the nine month period ended September
    30, 2007, which included a $112.4 million gain on sale of assets in 2007.
    Net income and earnings per share, excluding gain on sale of assets,
    increased by 68% from $63.6 million, or $1.17 per share, for the nine month
    period ended September 30, 2007 to $107.3 million, or $1.97 per share, for
    the nine month period ended September 30, 2008.
    

(1) EBITDA represents net income plus interest expense, tax, depreciation and amortization. See "EBITDA Reconciliation."

(2) Refer to definition of "TCE" in Note 6 of Fleet Data Table.

--  Net revenue for the nine month period ended September 30, 2008
    increased by 41% to $154.1 million from $109.5 million during the same
    period in 2007. The Company operated 11 vessels during the nine month
    period ended September 30, 2008 at a TCE rate of $51,511 compared to an
    average of 10.63 vessels and a TCE rate of $37,680 during the same period
    in 2007.
--  Adjusted EDITDA(3) of $126.6 million, an increase of 68% from $75.3
    million in the same period of 2007.
    

Dividend Declaration

The Company has declared a cash dividend on its common stock of $0.475 per share payable on or about November 28, 2008 to shareholders of record at the close of trading of the Company's common stock on the New York Stock Exchange ("NYSE") on November 21, 2008. As of October 31, 2008, the Company had 54,501,334 shares of common stock outstanding.

This is the second consecutive cash dividend of the Company since its listing on the New York Stock Exchange on June 3, 2008. On August 11, 2008, Company had declared a cash dividend on its common stock of $0.1461 per share representing the pro rata portion of a quarterly dividend of $0.475 for the period beginning June 3, 2008 (the date of closing of the Company's initial public offering) through June 30, 2008.

Fleet and Employment Profile

--  The Company's operational fleet is comprised of 11 drybulk vessels with
    an average age of 3.37 years as of September 30, 2008. The Company has also
    contracted for an additional nine drybulk carriers with deliveries
    scheduled through the second half of 2010.
--  As of October 15, 2008, the contracted employment of the Company's
    fleet under period time charters is as follows: 100% of fleet ownership
    days for the remainder of 2008, 87% for 2009 and 66% for 2010. This
    includes vessels which will be delivered to us in the future but have
    already been chartered-out as of their delivery date.
    

Management Commentary

Polys Hajioannou, Chairman of the Board of Directors and Chief Executive Officer of the Company, stated: "Our net income in the third quarter of 2008 increased by 85% to $39.2 million from $21.2 million in the third quarter of 2007. We have reduced our exposure to charter rate fluctuations, especially in this current volatile market, by contracting in advance all our ownership days for the remainder of 2008, 87% for 2009 and 66% for 2010.

(3) Adjusted EBITDA represents EBITDA after giving effect to the removal of the gain of sale of assets of $112.4 million for the nine months ended September 30, 2007. See "EBITDA Reconciliation."

"We look forward to our planned fleet expansion with the expected delivery of the MV Eleni during November 2008 and of the MV Martine in the first quarter of 2009, which will be funded through bank credit facilities that have already been contracted. Both vessels have been chartered-out upon delivery on long-term period time charters with reputable drybulk shippers. In addition, we are pleased to have maintained our dividend policy and to have declared a dividend of $0.475 per share for the third quarter of 2008."

Conference Call

On Tuesday, November 4, 2008 at 10:00 A.M. EST, the Company's management team will host a conference call to discuss the financial results.

Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 1 (866) 819-7111 (US Toll Free Dial In), 0 (800) 953-0329 (UK Toll Free Dial In) or +44 (0)1452-542-301 (Standard International Dial In). Please quote "Safe Bulkers" to the operator.

A telephonic replay of the conference call will be available until November11, 2008 by dialling 1 (866) 247-4222 (US Toll Free Dial In), 0 (800) 953-1533 (UK Toll Free Dial In) or +44 (0)1452 550-000 (Standard International Dial In). Access Code: 1859591#

Slides and Audio Webcast

There will also be a live, and then archived, webcast of the conference call, available through the Company's website (www.safebulkers.com). Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

Management Discussion of Third Quarter 2008 Results

Net income increased by 85% to $39.2 million for the third quarter of 2008 from $21.2 million for the third quarter of 2007. This increase is attributable to the following factors:

Net revenues: Net revenues were $53.4 million for the third quarter of 2008, a 20% increase compared to $44.5 million for the third quarter of 2007, due to an increase in prevailing charter rates from a TCE of $43,901 to $52,724. Net revenues for the third quarter 2008 were also reduced by $2.7 million related to early redelivery costs of one of our vessels(4).

(4) Refer further to early redelivery costs.

Vessel operating expenses: Vessel operating expenses increased 23% to $3.8 million for the third quarter of 2008, compared to $3.1 million for the same period in 2007. Daily vessel operating expenses increased to $3,733 for the third quarter 2008, compared to $3,098 for the third quarter of 2007. These increases are attributed mainly to:

--  increased crew wages;
--  increased insurance cost due to increases in our vessels' insured
    values; and
--  increased prices for lubricants.
    

General and administrative expenses: General and administrative expenses increased to $1.6 million for the third quarter of 2008, compared to $0.3 million for the third quarter of 2007, primarily attributable to $0.8 million related to the implementation of the new management agreement terms effective as of January 1, 2008 and $0.5 million related to public company expenses.

Early redelivery cost: During the third quarter of 2007, an amount of $1.1 million was incurred relating to the early termination of a period time charter of one of our vessels. This amount was recorded as an expense, as at the time of concluding the charter termination agreement we had not secured a replacement charter contract for the relevant vessel. Had a replacement charter agreement been secured, the relevant cost would have been recognised as a reduction in revenue over the term of the new charter agreement. From time to time, we may enter into agreements to terminate existing charter agreements in order to take advantage of strong period time charter rates.

Interest expense: Interest expense increased to $4.1 million in the third quarter of 2008 from $2.2 million for the same period in 2007, attributable primarily to additional indebtedness and higher interest rates. The weighted average interest rate was 3.758% in the third quarter of 2008, compared to 3.3817% in the third quarter of 2007.