Safe Bulkers (SB) Corporate Presentation summary

Market environment and fleet dynamics

• Dry bulk fleet is aging, with 25% over 15 years old and only 10.6% of the fleet on order, mostly Japanese-built.

• Only 13% of the orderbook is capable of using alternative fuels, with LNG, methanol, and ammonia as main options.

• Shipyard capacity is constrained, and stricter environmental regulations are expected to increase recycling of older vessels.

• Global dry bulk demand is forecast to decrease by 1% in 2025 and rise by 2.5% in 2026, with minor bulks and grains leading growth.

• Supply is expected to grow 2-3% in 2025 and 1.5-2.5% in 2026, with demand outpacing supply in 2026.

Regulatory and environmental landscape

• IMO and EU regulations target a 20% reduction in total GHG emissions and 40% reduction in GHG intensity by 2030 compared to 2008.

• Carbon Intensity Index (CII) ratings and penalties for high-emission vessels are being enforced, with economic penalties ranging from $18.75 to $150 per ton CO2.

• No vessels in the fleet are rated D or E in the CII, reflecting a focus on energy efficiency.

Fleet composition and renewal strategy

• Operates 46 vessels with an average age of 10 years, mainly Japanese-built, and 7 newbuilds on order, including 2 methanol dual-fuel ships.

• 14 vessels sold (average age 15 years), 8 acquired (average age 10 years), and 11 newbuilds delivered since 2021.

• 24 vessels have been environmentally upgraded, and 11 are Phase 3 eco-vessels built after 2022.