TBS International Limited Announces Sale-Leaseback Arrangements for Two of Its Vessels

HAMILTON, BERMUDA -- (MARKET WIRE) -- February 2, 2007 -- TBS International Limited (NASDAQ: TBSI) announced that on January 30, 2007, through its wholly owned subsidiaries, it sold the M.V. Seminole Maiden, 29,516 dwt built in 1997, for $23.0 million and M.V. Laguna Belle, 29,458 dwt built in 1996, for $22.0 million under a sale-leaseback arrangement that requires TBS to deposit $2.75 million as charter security for each vessel. This amount is to be held throughout the charter period and will be returned at the end of the charters without interest, unless applied earlier toward the amounts due upon exercise of the purchase option.

The subsidiaries entered into seven-year bareboat charters for the M.V. Seminole Maiden and the M.V. Laguna Belle. Under the bareboat charters, TBS will be required to pay all of the costs associated with the operations of the vessels, including costs such as insurance, manning, maintenance and drydock.

Under the terms of the sale-leaseback arrangement, each bareboat charter requires charter payments of $10,500 per day during the first two years of the charter, $10,000 per day to be paid during the third year of the charter and $7,350 per day to be paid during the fourth through seventh years of the charter. The bareboat charters allow for the purchase by the relevant charterer of its vessel at the end of the fifth year for the price of $11.1 million, sixth year for $9.15 million, or seventh year of the charter period at a vessel price of $6.75 million.

About TBS International Limited

TBS is an ocean transportation services company that offers worldwide shipping solutions through liner, parcel and bulk services, and vessel chartering. TBS has developed its business around key trade routes between Latin America and China, Japan and South Korea, as well as select ports in North America, Africa and the Caribbean. TBS provides frequent regularly scheduled voyages in its network, as well as cargo scheduling, loading and discharge for its customers.

Forward-Looking Statements

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You are hereby cautioned that these statements may be affected by certain factors, among others, set forth below and in TBS's filings with the Securities and Exchange Commission, and consequently, actual operations and results may differ materially from the results discussed in the forward-looking statements. Among the factors that could cause actual results to differ materially from those indicated by forward-looking statements is the ability of the buyer and seller of the vessel to satisfy customary conditions to our obligation to purchase the vessel. Other factors that could affect TBS's operations and results are discussed in TBS's filings with the Securities and Exchange Commission. TBS undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.

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Contact Information: For more information, please contact: Company Contact: Ferdinand V. Lepere Executive Vice President and Chief Financial Officer TBS International Limited Tel. 914-961-1000 InvestorRequest@tbsship.com Investor Relations / Media: Nicolas Bornozis Capital Link, Inc. New York Tel. 212-661-7566 E-mail: nbornozis@capitallink.com