Second Quarter & Six Months 2008Financial Results Presentation

August 12, 2008

Second Quarter & Six Months 2008Financial Results Presentation

August 12, 2008

Forward Looking statementsForward Looking statementsForward Looking statementsForward Looking statementsThis presentation contains forward-looking statements (as defined in Section 27A of theSecurities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, asamended) concerning future events, the Company's growth strategy and measures to implementsuch strategy; including expected vessel acquisitions and entering into further time charters.Words such as "expects," "intends," "plans," "believes," "anticipates," "hopes," "estimates," andvariations of such words and similar expressions are intended to identify forward-lookingstatements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable no assurance can be given that such expectations will provelooking statements are reasonable, no assurance can be given that such expectations will proveto have been correct. These statements involve known and unknown risks and are based upon anumber of assumptions and estimates which are inherently subject to significant uncertaintiesand contingencies, many of which are beyond the control of the Company. Actual results maydiffer materially from those expressed or implied by such forward-looking statements. Factorsthat could cause actual results to differ materially include, but are not limited to changes in thedemand for dry bulk vessels, competitive factors in the market in which the Company operates;risks associated with operations outside the United States; and other factors listed from time totime in the Company's filings with the Securities and Exchange Commission. The Companyexpressly disclaims any obligations or undertaking to release publicly any updates or revisionsexpressly disclaims any obligations or undertaking to release publicly any updates or revisionsto any forward-looking statements contained herein to reflect any change in the Company'sexpectations with respect thereto or any change in events, conditions or circumstances on whichany statement is based.

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Company ProfileCompany ProfileCompany ProfileCompany Profile

Safe Bulkers is a Premier Drybulk Company

• 50 Year Predecessor HistorySustainable,

• 50 Year Predecessor History

• Listed in NYSE under “SB”

• Young Fleet in Industry

Attractive Dividend

• Blue Chip Customer Base

• Considerable Charter Coverage

• Contracted Build in Growth

Expansion of fleet to 20 vessels

• Contracted Build in Growth

• Lean Operations

• Exclusive Technical Management

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Company Highlights I: Large Modern Drybulk FleetCompany Highlights I: Large Modern Drybulk FleetCompany Highlights I: Large, Modern Drybulk FleetCompany Highlights I: Large, Modern Drybulk Fleet

Highlights:

• Current fleet: 11 vessels

Highlights:

• Current fleet: 11 vessels

• Fleet age: 3.23 years as of August 11, 2008

• Fleet to be delivered: 9

• Fleet age: 3.23 years as of August 11, 2008

• Fleet to be delivered: 9 3 K

Newbuild FleetNewbuild Fleet

3 P t P newbuild vessels

• 1.9mm DWT by 2010

• Newbuild fleet:

newbuild vessels

• 1.9mm DWT by 2010

• Newbuild fleet:

3 Kamsarmax 5 Panamax3 Post Panamax

contracted at below present market prices

• Very high spec ships from quality yards

contracted at below present market prices

• Very high spec ships from quality yards

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from quality yardsfrom quality yards

2 Capesize (2010)

2 Kamsarmax (2010)

5 Post Panamax (2008, 2009, 2010)

89,600 81,000 176,000Avg. DWT:

Company Highlights II: Staggered Charter Maturities &Ch t D ti ***

Company Highlights II: Staggered Charter Maturities &Ch t D ti ***Charter Duration***Charter Duration***

Vessel 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12

Efrossini $69,600 $ 59,600 $49,600

2008 2009 2010 2011 2012 2013 2014 2015

Maria $67,000 $ 46,000

Vassos $43,000 $29,000

Katerina $62,000 $73,000 $52,500

Maritsa $53,500 $28,000

P Merchant $38 500 $75 000P. Merchant $38,500 $75,000

P. Trader $69,000 $56,500 $42,000 $20,000

P. Leader $36,750

Stalo $48,500 $34,160

Marina $61 500 $51 500 $41 500 $31 500 $21 500Marina $61,500 $51,500 $41,500 $31,500 $21,500

Sophia $34,720

H 2054 D*

H2055 D

NB Eleni D $ 70 000 $66 400 $34 160NB Eleni D $ 70,000 $66,400 $34,160

NB Martine D $40,500

H 1039 D

H 1050 D

ND** D

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* Best estimation of delivery date as of July 31, 2008** Not disclosed*** Best estimation of charter duration as of July 31, 2008

Pelopidas D $40,000 Until 2020

Kanaris D $25,928 Until 2031

Company Highlights III: Charter Coverage*Company Highlights III: Charter Coverage*y g g gy g g g

Open Spot Days / Total Ownership Days

Contracted Charter CoverageDays

2008 95%

2009 89%2009 89%

2010 65%

Our Clients

•B u n g e g•D a i i c h i •N Y K•K - L i n e

5* Estimation according to slide No 4

•T a t a•o t h e r s

Safe Bulkers Recent Key EventsSafe Bulkers Recent Key EventsSafe Bulkers Recent Key EventsSafe Bulkers Recent Key Events

• June 3rd 2008: Completion of Initial Public Offering in New York Stock Exchange ( ticker symbol “SB”). 10 million Secondary Shares Offered

• June 3rd 2008: Completion of Initial Public Offering in New York Stock Exchange ( ticker symbol “SB”). 10 million Secondary Shares Offered at $19 per share, raising $190 million in total net proceeds for the selling stockholder Vorini Holdings Inc.

• July 8th 2008: Announcement of acquisition of a newbuild Post-

at $19 per share, raising $190 million in total net proceeds for the selling stockholder Vorini Holdings Inc.

• July 8th 2008: Announcement of acquisition of a newbuild Post-y qPanamax vessel of about 90,000 dwt for delivery in 2010

• July 8th 2008: Announcement of a 10-year time charter at the gross rate of $40 000 per day for newbuild Capesize for delivery during the first

y qPanamax vessel of about 90,000 dwt for delivery in 2010

• July 8th 2008: Announcement of a 10-year time charter at the gross rate of $40 000 per day for newbuild Capesize for delivery during the firstof $40,000 per day for newbuild Capesize for delivery during the first half of 2010

• August 4th 2008: Announcement of a 23-month time charter for a Panamax vessel to commence on or about April 2009 at the average

of $40,000 per day for newbuild Capesize for delivery during the first half of 2010

• August 4th 2008: Announcement of a 23-month time charter for a Panamax vessel to commence on or about April 2009 at the averagePanamax vessel to commence on or about April 2009 at the average gross rate of $ 63,000 per day

• August 11th 2008: Announcement of Q2 Financial Results and

Panamax vessel to commence on or about April 2009 at the average gross rate of $ 63,000 per day

• August 11th 2008: Announcement of Q2 Financial Results and

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declaration of a pro-rated dividend of $0.1461 per share for Q2 2008declaration of a pro-rated dividend of $0.1461 per share for Q2 2008

Fi i l Hi hli htFi i l Hi hli htFinancial HighlightsFinancial Highlights

2nd Quarter 2008

Net income up by 28% vs. Q2 2007 to $44.5 mm

EPS up from $0.64 in Q2 2007 to $0.82

EDITDA (*) up by 33% vs. Q2 2007 to $51.1 mm

TCE rate up from $37,924 in Q2 2007 to $52,069

1st Half 2008

Net income up by 60% vs. 1st Half 2007 to $68.1 mm (**)

EPS up from $0.78 in 1st Half 2007 to $1.25 (**)

Adjusted EDITDA (*) up by 63% vs. 1st Half 2007 to $81.0 million (**)

TCE rate up from $34 348 in 1st Half 2007 to $50 889

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TCE rate up from $34,348 in 1 Half 2007 to $50,889

(*) For reconciliation of EBITDA and Adjusted EBITDA to Net Income please refer to slide 9(**) Excluding gain on sales of assets in 2007; there was no gain on sales of assets in the same period in 2008.

Q2 & Six Months 2008 Financial HighlightsQ2 & Six Months 2008 Financial HighlightsQ2 & Six Months 2008 Financial HighlightsQ2 & Six Months 2008 Financial Highlights

(In million US$, except for per share data)

Second Quarter 2008

Second Quarter 2007

Six Months 2008

Six Months 2007data)

Net Revenues 51.4 34.7 100.7 65.0

Net Income (1) 44.5 34.8 68.1 154.8

Adjusted EBITDA (2) (3) 51.1 38.4 81.0 49.6

Earnings per Share (1) 0.82 0.64 1.25 2.84

(In million US$) June 30, 2008 December 31, 2007

Total Debt 406.4 322.9

Shareholder’s Equity/ Deficit (52.9) 54.4

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(1) Net Income and Earnings per Share for the six months ended June 30, 2007 includes $112.4 million gain on sale of assets(2) For reconciliation of EBITDA and Adjusted EBITDA to Net Income please refer to slide 9(3) For the six months of 2007 Adjusted EBITDA of $49.6 million represents EBITDA after giving effect to the removal of the gain on sale of assets; there

was no gain on sale of assets for the six months ended June 30, 2008.

EBITDA & Adjusted EBITDA ReconciliationEBITDA & Adjusted EBITDA ReconciliationEBITDA & Adjusted EBITDA ReconciliationEBITDA & Adjusted EBITDA Reconciliation

In millions US$ Second Quarter 2008

Second Quarter 2007

Six Months 2008

Six Months 2007

Net Income 44.5 34.8 68.1 154.8

Net Interest Expense 4.03 1.3 7.7 2.7

Depreciation 2.6 2.3 5.2 4.4p

Amortization 0.02 0.02 0.05 0.08

EBITDA 51.1 38.4 81.0 162.0

Gain from sale ofGain from sale of assets - - - (112.4)

Adjusted EBITDA 51.1 38.4 81.0 49.6

EBITDA represents net income plus interest expense, tax, depreciation and amortization.Adjusted EBITDA represents EBITDA after giving effect to the removal of the gain on sale of assets.

EBITDA and Adjusted EBITDA is not an item recognized by GAAP and should not be considered as an alternative to net income, operating income or any other indicator of a Company’s operating performance required by GAAP.

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Q2 & Six Months 2008 Operational HighlightsQ2 & Six Months 2008 Operational HighlightsQ2 & Six Months 2008 Operational Highlights Q2 & Six Months 2008 Operational Highlights

Second Quarter 2008

Second Quarter 2007

Six Months 2008

Six Months 2007

Average number of vessels in the period

11.00 10.03 11.00 10.44

Available days 987 913 1,977 1,890

Operating days 987 913 1 970 1 890Operating days 987 913 1,970 1,890

Fleet utilization 98.5% 100.0% 98.4% 100.0%

TCE rate $52,069 $37,924 $50,889 $34,348

Daily vessel operating expenses

$4,826 $3,541 $4,409 $3,135

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Dividend DeclarationDividend DeclarationDividend DeclarationDividend Declaration

• Declared a cash dividend of $0.1461 per common share, • Declared a cash dividend of $0.1461 per common share, yield of 10.56% on the closing share price of August 7, 2008

Payable on August 29, 2008 to shareholders of

yield of 10.56% on the closing share price of August 7, 2008

Payable on August 29, 2008 to shareholders of record at August 22, 2008Represents the pro rata portion for the period beginning June 3, 2008 through June 30, 2008

record at August 22, 2008Represents the pro rata portion for the period beginning June 3, 2008 through June 30, 2008g g g

• Intend to pay a quarterly dividend of $0.475 per share, or $1 90 per share per year payable in February May

g g g

• Intend to pay a quarterly dividend of $0.475 per share, or $1 90 per share per year payable in February May$1.90 per share per year, payable in February, May, August and November of every year$1.90 per share per year, payable in February, May, August and November of every year

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Key Company PoliciesKey Company Policies

Balanced chartering policyBalanced chartering policySecure strong contracted revenue and Secure strong contracted revenue and

maintain certain open days for market upsidemaintain certain open days for market upsidemaintain certain open days for market upsidemaintain certain open days for market upside

Lower operating expensesLower operating expenses Lean & efficient operationLean & efficient operationp g pp g p

Low leverageLow leverage Finance growth from cash from operations Finance growth from cash from operations and debtand debtLow leverageLow leverage and debtand debt

Significant growthSignificant growth Addition of 9 Addition of 9 newbuidsnewbuids will expand revenue will expand revenue d fit bilitd fit bilit

Sustainable & attractive Sustainable & attractive •• Low payout ratio enabling growthLow payout ratio enabling growth•• Strong cash flow visibility with upsideStrong cash flow visibility with upside

in cash flowsin cash flows and profitabilityand profitability

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dividenddividend Strong cash flow visibility with upside Strong cash flow visibility with upside potentialpotential

AppendixAppendix

Detailed Fleet Overview – Current FleetDetailed Fleet Overview – Current FleetVessel Name Dwt Year Built Shipyard

(Country) Charter Rate (a) ($/day) Time Charter Duration (b)

Panamax ClassMV Efrossini 76,000 2003 Japan 69,600 (1st); 59,600 (2nd); 49,600 (3rd) Feb 2008-Feb 2011MV Maria 76,000 2003 Japan 67,000(1st); 46,000(2nd); 46,000(3nd) Feb 2008-Feb 2011

MV Vassos 76 000 2004 Japan43,000OPEN (e)

Oct 2007-Nov 2008Dec 2008MV Vassos 76,000 2004 Japan OPEN (e)

29,000Dec 2008

Jan 2009-Jan 2014

MV Katerina 76,000 2004 Japan62,000 73,00052,500

Feb 2008-Mar 2009Apr 2009-Mar 2010Apr 2010-Feb 2011

MV Maritsa 76,000 2005 Japan53,500 OPEN(e)

Jan 2008-Feb 2009Mar 2009-Jan 2010

28,000(c) Feb 2010-Feb 2015 Kamsarmax Class

MV Pedhoulas Merchant 82,300 2006 Japan 38,500 75,000(d)

Nov 2007-Nov 2008Nov 2008-Nov 2009

MV Pedhoulas Trader 82,300 2006 Japan 76,50069,000(1st); 56,500(2nd); 42,000(3rd); 20,000(4th); 20,000(5th)

June 2008-July 2008July 2008-July 2013

MV Pedhoulas Leader 82 300 2007 Japan 36 750 Dec 2007 Dec 2009MV Pedhoulas Leader 82,300 2007 Japan 36,750 Dec 2007-Dec 2009Post-Panamax Class

MV Stalo 87,000 2006 Japan48,500OPEN(e)34,160

July 2007-Aug 2009Sept 2009-Mar 2010Apr 2010-Mar 2015

MV Marina 87,000 2006 Japan72,200OPEN(e)

June 2008-Aug 2008Sept 2008- Nov 2008MV Marina 87,000 2006 Japan OPEN(e)

61,500(1st); 51,500(2nd); 41,500(3rd) ; 31,500(4th); 21,500(5th)Sept 2008 Nov 2008Dec 2008-Dec 2013

MV Sophia 87,000 2007 Japan89,500OPEN(e)34,720

July 2008-Aug 2008Sept 2008- Oct 2008Nov 2008-Nov 2013

Note: Information presented in the Table above are as of July 31st, 2008. Time charter contracts with duration less than a year may not be disclosed.

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(a) Numerical notation adjacent to the charter rate denotes the year in which this is applicable.(b) Stated delivery / redelivery dates could alter according to charter contract and reflect company’s best estimate as of July 31st, 2008. (c) Average rate quoted among various options which could alternatively be exercised.(d) Charterer holds option to extend charter duration to five years, in which case the average rate will be $45,000.(e) Vessel is available for new charter party contracts either in the spot or in the period time charter market.

Detailed Fleet Overview – Newbuild FleetDetailed Fleet Overview – Newbuild Fleet

Vessel Name Dwt Year Built (a) Shipyard(Country) Charter Rate ($/day) Time Charter Duration (b)

NEWBUILDS

Kamsarmax Class No. 2054 81,000 Q1,2010 OPEN(d)No. 2055 81,000 Q2,2010 OPEN(d)

Post-Panamax Class

MV Eleni 87 000 Nov 08 Japan70,00066 400

Nov 2008-Oct 2009Oct 2009-Mar 2010MV Eleni 87,000 Nov 08 Japan 66,400

34,160Oct 2009 Mar 2010Mar 2010-Mar 2015

MV Martine 87,000 Jan 09 Japan 40,500 Jan 2009-Jan 2014No. 1039 92,000 Q3,2009 Korea OPEN(d)No. 1050 92,000 Q1,2010 OPEN(d)

[TBD] (c) 90,000+ H2, 2010 (c) OPEN(d)

C i ClCapesize ClassMV Pelopidas 176,000 Q1,2010 China 40,000 H1,2010-H1, 2020

MV Kanaris 176,000 Q1,2010 ChinaOPEN(d)

25,928Q1, 2010-Oct 2011

Nov 2011-Nov 2031

N t I f ti t d i th T bl b f J l 31st 2008 Ti h t t t ith d ti l th t b di l dN t I f ti t d i th T bl b f J l 31st 2008 Ti h t t t ith d ti l th t b di l dNote: Information presented in the Table above are as of July 31st, 2008. Time charter contracts with duration less than a year may not be disclosed.

(a) For newbuilds, the dates shown reflect the expected delivery dates. Q and H followed by a number denote the relevant quarter or half year respectively.(b) Stated delivery / redelivery dates could alter according to charter contract and reflect company’s best estimate as of July 31st, 2008. (c) Information not disclosed.(d) Vessel is available for new charter party contracts either in the spot or in the period time charter market.

Note: Information presented in the Table above are as of July 31st, 2008. Time charter contracts with duration less than a year may not be disclosed.

(a) For newbuilds, the dates shown reflect the expected delivery dates. Q and H followed by a number denote the relevant quarter or half year respectively.(b) Stated delivery / redelivery dates could alter according to charter contract and reflect company’s best estimate as of July 31st, 2008. (c) Information not disclosed.(d) Vessel is available for new charter party contracts either in the spot or in the period time charter market.

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Experienced Management & Board MembersExperienced Management & Board MembersPolys HajioannouChairman & CEOSafe Bukers, Inc.

Dr. Lucas BarbarisPresident & Director

Safe Bulkers, Inc.

Nicolaos HadjioannouCOO & Director

Safe Bulkers, Inc.

Constantine AdamopoulosCFO & Director

Safe Bulkers, Inc.

Experienced Management & Board MembersExperienced Management & Board Members

• 21 years of shipping experience

• CEO of Safety Management Overseas since its founding in 1995

• Employed at Alassia

• 9 years of shipping experience

• COO of SMO (1999-present)• Member of the board of

directors of the Union of Cyprus Shipowners

• 3 years of shipping experience

• Technical Manager of SMO • Project Development

Manager of Alassia Development responsible for

• 17 years of shipping experience

• Senior Relationship Manager, Shipping Finance, Calyon in the Piraeus office (1993-2007)p y

Steamship Co., SMO’s predecessor, in London (1987-1995)

• Member of the board of directors of the Union of Greek Shipowners and

yp p• Member of the Norwegian

Hull Club

p pthe Operation of the Shipping Technical Department, and the development of real estate and energy projects in South Eastern Europe (2005-present)

• Loan Officer, Shipping Finance, National Bank of Greece in the London office (1991-1993)

Union of Cyprus Shipowners

Basil SakellisDirector

Ole WikborgDirector

Frank SicaDirector

Independent Members of the Board of Directors

present)

• Associate of European Capital Financial Services Ltd.

• Formerly with McKinsey & Co.

• Director of the Norwegian Hull Club• 30 years in marine and shipping

industry• Former Chairman of Ocean Hull

Committee of the IUMI

• Managing Partner, Tailwind Capital, a private investment firm, since 2006

• Senior Advisor to Soros Private Funds Management from 2003 to 2006Di t f J tBl Ai

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• Vice Chairman of Central Union of Marine Insurers

• Director of JetBlue Airways Corporation

Management has substantial experience and a proven track record – has significant shareholding in Safe Bulkers

ContactsContactsContactsContacts

Company Contact Investor Relations/ Media Contact

Dr Loukas Barmparis Ramnique GrewalDr. Loukas Barmparis Ramnique Grewal

President Vice President

Safe Bulkers, Inc. Capital Link Inc.

Athens, Greece New York, USA

Tel: +30 (210) 895-7070 Tel: +1 (212) 661-7566

Fax: +1 (212) 661-7526

Email: safebulkers@capitallink.com

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