May 12, 2005

OMI gets new credit facility

OMI Corporation (NYSE:OMM) of Stamford, Connecticut announced today that it has entered into a $320 million senior secured reducing revolving credit facility with a ten year term.

Craig H. Stevenson, Jr., OMI's Chairman and Chief Executive Officer commented that "this facility reflects the increasing financial strength of OMI, as we have achieved the lowest margin in our history for any bank borrowing and for a ten year term. We thank the banks for their confidence in us."

The facility amends and restates a reducing revolving credit facility in the original principal amount of $348 million and a term loan in the original principal amount of $24 million, and partially finances two recently delivered new product carriers. It bears interest at LIBOR plus a margin of 0.675 percent per annum. The previous facilities bore interest at LIBOR plus margins ranging from 0.90 to 2.00 percent per annum.

The facility has five lead arrangers: Deutsche Schiffsbank Aktiengesellschaft, DnB NOR Bank ASA, acting through its New York branch; ING Bank, London branch; NIB Capital Bank N.V. and Nordea Bank Finland PLC, acting through its New York branch.

OMI also a separate $375 million senior secured reducing revolving credit facility. There is currently $15 million drawn from the $375 million facility. There has been no drawing from the $320 million facility

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