Diana Takes Delivery of Containership

Diana Shipping Inc.(NYSE:DSX), a global shipping transportation company specializing in dry bulk cargoes, announced today that the Company has taken delivery on July 7, 2011 of the m/v "Corona", renamed "Arethusa", a 73,593 dwt Panamax dry bulk carrier built in 2007. As previously announced, the Arethusa is chartered to Cargill
International S.A., Geneva for a period of about eleven (11) months to about thirteen (13) months, at a gross charter rate of US$13,250 per day, minus a 5% commission paid to third parties. The charter commenced today.

This employment is anticipated to generate approximately US$4.2 million of gross revenue for the minimum scheduled period of the charter. Including the newly-delivered "Arethusa", the Diana Shipping Inc. fleet currently consists of 24 dry bulk carriers (15 Panamax, 1 Post-Panamax and 8 Capesize) with a weighted average age of 5.8 years. The Company also previously announced two Newcastlemax new-building dry bulk carriers that are expected to be delivered during the first half of
2012. A table describing the current Diana Shipping Inc. fleet can be found on the Company's website, www.dianashippinginc.com.