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EARNINGS RELEASES

This page contains our Press Releases related to our quarterly or annual earnings. All other Press Releases are contained in "Other Press Releases".



Danaos Corporation Reports Fourth Quarter and Full Year Results for the Year Ended December 31, 2011.

Athens, Greece, February 21, 2012 - Danaos Corporation ("Danaos") (NYSE: DAC), a leading international owner of containerships, today reported unaudited results for the quarter and full year ended December 31, 2011.

Highlights for the Fourth Quarter and Full Year Ended December 31, 2011:

• Operating revenues of $128.3 million for the three months ended December 31, 2011 compared to $100.5 million for the three months ended December 31, 2010, an increase of 27.7%. Operating revenues of $468.1 million for the year ended December 31, 2011 compared to $359.7 million for the year ended December 31, 2010, an increase of 30.1%.
• Adjusted EBITDA1 of $88.8 million for the three months ended December 31, 2011 compared to $65.0 million for the three months ended December 31, 2010, an increase of 36.6%. Adjusted EBITDA1 of $318.6 million for the year ended December 31, 2011 compared to $243.8 million for the year ended December 31, 2010, an increase of 30.7%.
• Adjusted net income of $16.1 million, or $0.15 per share for the three months ended December 31, 2011 compared to $11.1 million, or $0.10 per share for the three months ended December 31, 2010. Adjusted net income1 of $61.2 million, or $0.56 per share for the year ended December 31, 2011 compared to $58.0 million, or $0.77 per share for the year ended December 31, 2010.
• During the fourth quarter of 2011, we took delivery of two newly built containerships with an aggregate carrying capacity of 17,060 TEU, which have been both deployed on 12-year time charters.
• The remaining average charter duration of our fleet was 9.9 years as of December 31, 2011 (weighted by aggregate contracted charter hire).
• Total contracted operating revenues were $5.5 billion as of December 31, 2011, through 2028.
• Charter coverage of 88% for 2012 in terms of contracted operating days and 94% in terms of operating revenues.

(1) Adjusted net income, adjusted earnings per share and adjusted EBITDA are non-GAAP measures. Refer to the reconciliation of net income/(loss) to adjusted net income and net income/(loss) to adjusted EBITDA.

Danaos' CEO Dr. John Coustas commented:

This year was one of the most eventful ones in recent history. The year started with a strong container market but towards the end of the 2nd quarter we started to experience weakness in all segments and liner companies started to lose pricing power. This was due to the combined effect of a fight for market share from industry leaders, the slowdown in Europe Fareast trade due to the European debt crisis and the inflow of the substantial new capacity in this trade, the combined effect of which resulted in a new sharp deterioration of the box freight rates.

We are now entering 2012 with the liner companies in severe cash drain, which will hopefully be reversed by the rate hike announced for March. The charter market is also in breakeven mode with more than half a million TEU idle, which will delay any improvement in charter rates in the months ahead.

The only fortunate outcome is a complete standstill of new orders and even cancellation of some existing ones.

On the company front, in early 2011 we completed our restructuring, which gave us a solid capital structure to withstand market downturns.

We continued to execute our newbuilding program and during this last quarter we took delivery of two containerships of 8,530 TEU entering on 12 year time charters. The remaining newbuilding program is on track as we have already taken delivery of a 13,100 TEU containership in February 2012 and five more vessels of 60,930 TEU in aggregate will be delivered through the end of the 2nd quarter of 2012.

Our financial performance was strong as adjusted EBITDA was $88.8 million in the 4th quarter of 2011 compared to $65.0 million in the 4th quarter of 2010 and adjusted EBITDA for 2011 was $318.6 million compared to $243.8 for 2010.

Adjusted net income likewise was $16.1 million, or $0.15 per share and $61.2 million, or $0.56 per share for the quarter and the 12 months ending December 31st 2011, respectively.

Our charter coverage for 2012 currently stands at 94% in terms of operating revenues. We have at present three older vessels on cold lay up to minimize cash outflows. We are monitoring the development of the market in order to decide on their reactivation.

We are presently concentrating on the delivery of the remaining vessels to enhance cash flow generation and to commence the debt reduction process post 2012.

Three months ended December 31, 2011 compared to the three months ended December 31, 2010

During the quarter ended December 31, 2011, Danaos had an average of 57.9 containerships compared to 49.9 containerships for the same period in 2010. During the fourth quarter of 2011, we took delivery of two vessels, the CMA CGM Bianca, on October 26, 2011 and the CMA CGM Samson, on December 15, 2011. Our fleet utilization was reduced to 96.9% in the three months ended December 31, 2011 compared to 98.5% in the same period of 2010, mainly due to the 130 days for which two of our vessels were off-charter and laid-up by us in the fourth quarter of 2011.

Our adjusted net income was $16.1 million, or $0.15 per share, for the three months ended December 31, 2011 compared to $11.1 million, or $0.10 per share, for the three months ended December 31, 2010. We have adjusted our net income in the fourth quarter 2011 for a non-cash gain in fair value of derivatives of $7.1 million, realized losses on swaps of $8.7 million attributable to our over-hedging position (as described below), as well as a non-cash expense of $3.5 million for fees related to our comprehensive financing plan (related to non-cash, amortizing and accrued finance fees) and a non-cash stock based compensation expense of $2.0 million related to equity awards made to the Officers of the Company. Please refer to the Adjusted Net Income reconciliation table, which appears later in this earnings release.

The increase of 45.0%, or $5.0 million, in the adjusted net income for the three months ended December 31, 2011 compared to the three months ended December 31, 2010, was mainly attributable to the increased Income from Operations, which was partially off-set by an increase in realized losses on our interest rate swap contracts (after the adjustment of the over-hedging portion), as well as increased interest expense (mainly due to the higher average indebtedness) during the three months ended December 31, 2011 compared to the same period in 2010.

On a non-adjusted basis our net income was $9.1 million, or $0.08 per share, for the fourth quarter of 2011, compared to net loss of $8.9 million, or $0.08 per share, for the fourth quarter of 2010.

As a result of our comprehensive financing plan, we are in an over-hedged position under our cash flow interest rate swaps, which is due to deferred progress payments to shipyards, cancellation of three newbuildings in 2010, the replacement of variable interest rate debt with fixed interest rate Vendor Financing and equity proceeds from our private placement in 2010, all of which reduced initially forecasted variable interest rate debt and resulted in notional cash flow interest rate swaps being above our variable interest rate debt eligible for hedging. The over-hedged position described above will be gradually reduced and ultimately eliminated during the second half of 2012, following the delivery of all of our remaining newbuildings and the full drawdown of our committed debt.

Operating Revenue
Operating revenue increased 27.7%, or $27.8 million, to $128.3 million in the three months ended December 31, 2011, from $100.5 million in the three months ended December 31, 2010. The increase was primarily attributable to the addition of nine vessels to our fleet, as follows:


These additions to our fleet contributed revenues of $30.3 million during the three months ended December 31, 2011 (728 operating days in total).

Furthermore, operating revenues for the three months ended December 31, 2011, reflect:

• $0.2 million in incremental revenues in the three months ended December 31, 2011 compared to the same period of 2010, related to one 3,400 TEU containership (the Hanjin Versailles, which was added to our fleet on October 11, 2010).
• $2.7 million decrease in revenues in the three months ended December 31, 2011 compared to the same period of 2010, which was mainly attributable to re-chartering of certain vessels at reduced charter rates in the fourth quarter of 2011, as well as increased off-hire days by 100 days, to 167 days (including two of our vessels that were off-charter and laid up) in the three months ended December 31, 2011, from 67 days in the three months ended December 31, 2010.

Vessel Operating Expenses
Vessel operating expenses increased 16.5%, or $4.5 million, to $31.7 million in the three months ended December 31, 2011, from $27.2 million in the three months ended December 31, 2010. The increase is mainly attributable to the increased average number of vessels in our fleet during the three months ended December 31, 2011 compared to the same period of 2010. The average daily operating cost per vessel essentially remained stable, at $6,318 for the three months ended December 31, 2011 compared to $6,310 for the three months ended December 31, 2010 (excluding vessels on lay-up).

Depreciation & Amortization
Depreciation & Amortization includes Depreciation and Amortization of Deferred Dry-docking and Special Survey Costs.

Depreciation
Depreciation expense increased 32.7%, or $7.3 million, to $29.6 million in the three months ended December 31, 2011, from $22.3 million in the three months ended December 31, 2010. The increase in depreciation expense was due to the increased average number of vessels in our fleet (with higher cost base) during the three months ended December 31, 2011 compared to the same period of 2010.

Amortization of Deferred Dry-docking and Special Survey Costs
Amortization of deferred dry-docking and special survey costs were $1.2 million in each of the three months ended December 31, 2011 and 2010, respectively.

General and Administrative Expenses
General and administrative expenses increased 1.4%, or $0.1 million, to $7.0 million in the three months ended December 31, 2011, from $6.9 million in the same period of 2010. The increase was the result of increased fees of $0.5 million to our Manager, due to the increase in the average number of vessels in our fleet, as well as increased non-cash stock-based compensation expense of $0.5 million in the fourth quarter of 2011 compared to the same period of 2010, which were partially offset by a $0.9 million reduction in legal and advisory fees recorded in the three months ended December 31, 2011 compared to the same period of 2010.

Other Operating Expenses
Other Operating Expenses includes Voyage Expenses

Voyage Expenses
Voyage expenses decreased by $0.2 million, to $2.9 million in the three months ended December 31, 2011, from $3.1 million in the three months ended December 31, 2010.

Interest Expense and Interest Income
Interest expense increased by 45.5%, or $5.0 million, to $16.0 million in the three months ended December 31, 2011, from $11.0 million in the three months ended December 31, 2010. The change in interest expense was due to the increase in our average debt by $423.9 million, to $2,982.4 million in the quarter ended December 31, 2011, from $2,558.5 million in the quarter ended December 31, 2010, which was partially offset by the decrease in the margin over LIBOR payable on interest under our credit facilities in the three months ended December 31, 2011 compared to the three months ended December 31, 2010, in accordance with our comprehensive financing plan, which sets the margin at 1.85% (in relation to our credit facilities under our Bank Agreement). Furthermore, the financing of our newbuilding program resulted in interest being capitalized, rather than such interest being recognized as an expense, of $3.2 million for the three months ended December 31, 2011 compared to $4.2 million of capitalized interest for the three months ended December 31, 2010.

Interest income was $0.3 million in each of the three months ended December 31, 2011 and 2010, respectively.

Other finance costs, net
Other finance costs, net, increased by $2.5 million, to $3.7 million in the three months ended December 31, 2011, from $1.2 million in the three months ended December 31, 2010. During the fourth quarter of 2011, we recorded an expense of $0.4 million of accrued finance fees related to our comprehensive financing plan, as well as a $2.8 million increase in amortization of finance fees (which were deferred and are amortized over the life of the respective credit facilities) compared to the same period in 2010. During the fourth quarter of 2010, we also recorded a one-time expense of $0.7 million related to bank fees incurred in connection with our comprehensive financing plan.

Other income/(expenses), net
Other income/(expenses), net, was nil in the three months ended December 31, 2011, compared to an expense of $17.7 million in the three months ended December 31, 2010. This was mainly the result of legal and advisory fees of $18.0 million attributable to fees related to preparing and structuring the comprehensive financing plan, which were recorded during the three months ended December 31, 2010.

Unrealized (loss)/gain on derivatives
Unrealized gain on interest rate swap hedges decreased by $1.2 million, to $7.1 million in the three months ended December 31, 2011, from $8.3 million in the three months ended December 31, 2010, which is attributable to hedge accounting ineffectiveness and mark to market valuation of two of our swaps not qualifying for hedge accounting.

Realized (loss)/gain on derivatives
Realized loss on interest rate swap hedges, increased by $7.6 million, to $34.9 million in the three months ended December 31, 2011, from $27.3 million in the three months ended December 31, 2010, which is attributable to the higher average notional amount of swaps during the three months ended December 31, 2011 compared to the same period of 2010, as well as the reduction in the realized losses being deferred for the respective periods (as discussed below) following the gradual delivery of our vessels under construction, which is partially offset by the higher floating LIBOR rates during the three months ended December 31, 2011 compared to the same period of 2010.

In addition, realized losses on cash flow hedges of $6.4 million and $8.7 million in the three months ended December 31, 2011 and 2010, respectively, were deferred in "Accumulated Other Comprehensive Loss", rather than such realized losses being recognized as expenses, and will be reclassified into earnings over the depreciable lives of these vessels under construction, which are financed by loans with interest rates that have been hedged by our interest rate swap contracts. The table below provides an analysis of the items discussed above, and which were recorded in the three months ended December 31, 2011 and 2010:



Adjusted EBITDA
Adjusted EBITDA increased 36.6%, or $23.8 million, to $88.8 million in the three months ended December 31, 2011, from $65.0 million in the three months ended December 31, 2010. Adjusted EBITDA for the fourth quarter of 2011, is adjusted for a non-cash gain in fair value of derivatives of $7.7 million, realized losses on derivatives of $34.9 million, as well as an expense of $3.5 million for fees related to our comprehensive financing plan (related to non-cash, amortizing and accrued finance fees) and non-cash stock-based compensation of $2.1 million. Tables reconciling Adjusted EBITDA to Net Income/(Loss) can be found at the end of this earnings release.

Twelve months ended December 31, 2011 compared to the twelve months ended December 31, 2010

During the twelve months ended December 31, 2011, Danaos had an average of 54.9 containerships compared to 45.7 containerships for 2010. Our fleet utilization declined to 97.6% in the twelve months ended December 31, 2011 compared to 98.3% in 2010, mainly due to the 144 days for which two of our vessels were off-charter and laid up in the third and fourth quarter of 2011.

Our adjusted net income was $61.2 million, or $0.56 per share, for the twelve months ended December 31, 2011 compared to $58.0 million, or $0.77 per share, for the twelve months ended December 31, 2010. We have adjusted our net income for the twelve months ended December 31, 2011 for a non-cash gain in fair value of derivatives of $9.0 million, a non-cash loss in fair value of warrants of $2.3 million, realized losses on swaps of $38.9 million attributable to our over-hedging position, an expense of $2.3 million for fees related to our comprehensive financing plan (related to legal and advisory fees), a non-cash expense of $11.3 million for amortizing and accrued finance fees and a non-cash stock-based compensation expense of $2.0 million related to equity awards made to the officers of the Company. Please refer to the Adjusted Net Income reconciliation table, which appears later in this earnings release.

The increase of 5.5%, or $3.2 million, in adjusted net income for the twelve months ended December 31, 2011 compared to the twelve months ended December 31, 2010 was mainly attributable to increased Income from Operations, which was partially offset by increased realized losses on our interest rate swap contracts (after the adjustment of the over-hedging portion) recorded in our Statement of Income during the twelve months ended December 31, 2011 compared to 2010, as well as increased interest expense due to higher average indebtedness in 2011 compared to 2010 (which was partially offset by a reduced margin over LIBOR applicable to borrowings following our Bank Agreement that resets the margin to 1.85% for all our credit facilities under our Bank Agreement).

On a non-adjusted basis, our net income was $13.4 million, or $0.12 per share, for the twelve months ended December 31, 2011, compared to net loss of $102.3 million, or $1.36 per share, for the twelve months ended December 31, 2010.

Operating Revenue
Operating revenue increased 30.1%, or $108.4 million, to $468.1 million in the twelve months ended December 31, 2011, from $359.7 million in the twelve months ended December 31, 2010. The increase was primarily attributable to the addition to our fleet of nine vessels, as follows:



These additions to our fleet contributed revenues of $74.0 million during the twelve months ended December 31, 2011 (1,803 operating days in total). Furthermore, operating revenues for the twelve months ended December 31, 2011, reflect:

• $44.7 million incremental revenues in the twelve months ended December 31, 2011 compared to 2010, related to the delivery of six 6,500 TEU containerships (the CMA CGM Musset, the CMA CGM Nerval, the CMA CGM Rabelais, the CMA CGM Racine, the YM Mandate and the YM Maturity, which were added to our fleet on March 12, 2010, May 17, 2010, July 2, 2010, August 16, 2010, May 19, 2010 and August 18, 2010, respectively) and three 3,400 TEU containerships (the Hanjin Buenos Aires, the Hanjin Santos and the Hanjin Versailles, which were added to our fleet on May 27, 2010, July 6, 2010 and October 11, 2010, respectively).
• $0.1 million reduction in revenues in the twelve months ended December 31, 2011 compared to the twelve months ended December 31, 2010. This was due to the sale of one 1,704 TEU containership, the MSC Eagle, on January 22, 2010, that contributed nil revenues in the twelve months ended December 31, 2011 compared to $0.1 million of revenues in the twelve months ended December 31, 2010.
• $2.2 million reduction in revenues due to an increase in off-hire revenue days by 51 days, to 333 days in the twelve months ended December 31, 2011, from 282 days in the twelve months ended December 31, 2010.
• $2.3 million reduction in revenues due to 144 off-charter revenue days for two of our vessels, which were laid-up in the third and fourth quarter of 2011.
• $5.7 million reduction in revenues in the twelve months ended December 31, 2011 compared to 2010. This was mainly attributable to re-chartering of certain vessels at reduced charter rates in 2010 carried over in 2011.

Vessel Operating Expenses
Vessel operating expenses increased 34.9%, or $30.8 million, to $119.1 million in the twelve months ended December 31, 2011, from $88.3 million in the twelve months ended December 31, 2010. The increase is mainly attributable to the increased average number of vessels in our fleet during the twelve months ended December 31, 2011 compared to 2010, as well as incremental costs of certain vessels, which were on lay-up for 249 days in aggregate during the twelve months ended December 31, 2011 compared to 1,311 days in 2010. The average daily operating cost per vessel increased to $6,246 for the twelve months ended December 31, 2011, from $5,884 for the twelve months ended December 31, 2010 (excluding those vessels on lay-up), which is mainly attributable to the increased daily repair & maintenance and lubricant costs (following the increase of crude oil prices) during the twelve months ended December 31, 2011 compared to 2010, as well as upward cost pressure on Euro denominated costs resulting from the weaker US Dollar in the twelve months ended December 31, 2011 compared to 2010.

Depreciation & Amortization
Depreciation & Amortization includes Depreciation and Amortization of Deferred Dry-docking and Special Survey Costs.

Depreciation
Depreciation expense increased 37.9%, or $29.2 million, to $106.2 million in the twelve months ended December 31, 2011, from $77.0 million in the twelve months ended December 31, 2010. The increase in depreciation expense was due to the increased average number of vessels in our fleet (with higher cost base) during the twelve months ended December 31, 2011, compared to 2010.

Amortization of Deferred Dry-docking and Special Survey Costs
Amortization of deferred dry-docking and special survey costs decreased 21.6%, or $1.6 million, to $5.8 million in the twelve months ended December 31, 2011, from $7.4 million in the twelve months ended December 31, 2010. During the twelve months ended December 31, 2010, we had written-off the remaining unamortized balances of deferred dry-docking and special survey costs of $1.4 million related to three of our vessels, due to dry-docking rescheduling.

General and Administrative Expenses
General and administrative expenses decreased 9.9%, or $2.3 million, to $21.0 million in the twelve months ended December 31, 2011, from $23.3 million in 2010. The decrease was the result of a $4.9 million reduction in legal and advisory fees recorded in the twelve months ended December 31, 2011 compared to 2010, which was partially offset by increased fees of $2.1 million to our Manager in the twelve months ended December 31, 2011 compared to 2010, due to the increase in the average number of vessels in our fleet, as well as increased non-cash stock-based compensation of $0.5 million recorded in the twelve months ended December 31, 2011 compared to 2010.

Other Operating Expenses
Other Operating Expenses includes Voyage Expenses.

Voyage Expenses
Voyage expenses increased 36.7%, or $2.9 million, to $10.8 million in the twelve months ended December 31, 2011, from $7.9 million for the twelve months ended December 31, 2010. The increase was the result of increased port expenses, commissions and other voyage expenses due to the increased number of vessels in our fleet in the twelve months ended December 31, 2011 compared to 2010. Furthermore, during the twelve months ended December 31, 2011, we incurred an expense of $0.8 million related to fuel costs due to the repositioning of one of our vessels. Our vessels are not otherwise subject to fuel costs, which are paid by our charterers.

Interest Expense and Interest Income
Interest expense increased 33.7%, or $13.9 million, to $55.1 million in the twelve months ended December 31, 2011, from $41.2 million in the twelve months ended December 31, 2010. The change in interest expense was due to the increase in our average debt by $406.6 million, to $2,813.0 million in the twelve months ended December 31, 2011, from $2,406.4 million in the twelve months ended December 31, 2010, which was partially offset by the decrease in the margin over LIBOR payable on interest under our credit facilities in the twelve months ended December 31, 2011 compared to the twelve months ended December 31, 2010, in accordance with our comprehensive financing plan, which sets the margin at 1.85% (in relation to our credit facilities under our Bank Agreement). Furthermore, the financing of our extensive newbuilding program resulted in interest being capitalized, rather than such interest being recognized as an expense, of $16.1 million for the twelve months ended December 31, 2011 compared to $23.9 million of capitalized interest for the twelve months ended December 31, 2010.

Interest income increased by $0.3 million, to $1.3 million in the twelve months ended December 31, 2011, from $1.0 million in the twelve months ended December 31, 2010, which was mainly attributable to higher average cash balances for the twelve months ended December 31, 2011 compared to 2010.

Other finance costs, net
Other finance costs, net, increased by $8.5 million, to $14.6 million in the twelve months ended December 31, 2011, from $6.1 million in the twelve months ended December 31, 2010. The increase is attributable to increased amortization of finance fees of $8.4 million (which were deferred and are amortized over the life of the respective credit facilities) and $1.6 million of finance fees accrued for the twelve months ended December 31, 2011, as well as a non-cash loss in fair value of warrants of $2.3 million recorded in the twelve months ended December 31, 2011. Furthermore, during the twelve months ended December 31, 2010, we recorded an expense of $3.8 million of one-time fees related to our comprehensive financing plan.

Other income/(expenses), net
Other income/(expenses), net, was an expense of $2.0 million in the twelve months ended December 31, 2011, compared to an expense of $5.1 million in the twelve months ended December 31, 2010. During the twelve months ended December 31, 2011, we recorded an expense of $2.3 million for fees directly related to our comprehensive financing plan. Furthermore, during the twelve months ended December 31, 2010, we recorded an expense of $18.0 million for fees directly related to our comprehensive financing plan, which were partially offset by a gain of $12.6 million in relation to an agreement entered into with the charterer of the three newbuildings cancelled on May 25, 2010 in consideration for the termination of the respective charter parties.

Unrealized (loss)/gain on derivatives
Unrealized gain/(loss) on interest rate swap hedges, decreased by $57.9 million, to a gain of $9.0 million in the twelve months ended December 31, 2011, from a loss of $48.9 million in the twelve months ended December 31, 2010, which is attributable to hedge accounting ineffectiveness and mark to market valuation of two of our swaps not qualifying for hedge accounting.

Realized (loss)/gain on derivatives
Realized loss on interest rate swap hedges, increased by $42.0 million, to $130.3 million in the twelve months ended December 31, 2011, from $88.3 million in the twelve months ended December 31, 2010, which is mainly attributable to the higher average notional amount of swaps and the persisting low floating LIBOR rates, as well as the reduction in the realized losses being deferred for the respective periods (as discussed below) following the gradual delivery of our vessels under construction.

In addition, realized losses on cash flow hedges of $31.3 million and $38.5 million in the twelve months ended December 31, 2011 and 2010, respectively, were deferred in "Accumulated Other Comprehensive Loss", rather than such realized losses being recognized as expenses, and will be reclassified into earnings over the depreciable lives of these vessels under construction, which are financed by loans with interest rates that have been hedged by our interest rate swap contracts. The table below provides an analysis of the items discussed above, and which were recorded in the twelve months ended December 31, 2011 and 2010:



Adjusted EBITDA
Adjusted EBITDA increased by $74.8 million, or 30.7%, to $318.6 million in the twelve months ended December 31, 2011, from $243.8 million in the twelve months ended December 31, 2010. Adjusted EBITDA in 2011 excludes a non-cash gain in fair value of derivatives of $10.5 million, realized losses on derivatives of $130.3 million, a non-cash stock-based compensation of $2.2 million, an expense of $15.9 million for fees related to our comprehensive financing plan ($11.3 million of non-cash, amortizing and accrued finance fees, a non-cash loss in fair value of warrants of $2.3 million and $2.3 million of legal and advisory fees) recorded in the twelve months ended December 31, 2011. Tables reconciling Adjusted EBITDA to Net (Loss) / Income can be found at the end of this earnings release.

Recent News
On February 16, 2012, the Company took delivery of the newbuilding 13,100 TEU vessel, the Hyundai Together. The vessel has been deployed on a 12-year time charter with one of the world's major liner companies.

Conference Call and Webcast
On Wednesday, February 22, at 9:00 A.M. EST, the Company's management will host a conference call to discuss the results.

Participants should dial into the call 10 minutes before the scheduled time using the following numbers: 1 866 819 7111 (US Toll Free Dial In), 0800 953 0329 (UK Toll Free Dial In) or +44 (0)1452 542 301 (Standard International Dial In). Please quote "Danaos" to the operator.

A telephonic replay of the conference call will be available until February 29, 2012 by dialing 1 866 247 4222 (US Toll Free Dial In), 0800 953 1533 (UK Toll Free Dial In) or +44 (0)1452 550 000 (Standard International Dial In). Access Code: 1186615#

There will also be a live and then archived webcast of the conference call through the Danaos website (www.danaos.com). Participants to the live webcast should register on the website approximately 10 minutes prior to the start of the webcast.

About Danaos Corporation
Danaos Corporation is an international owner of containerships, chartering its vessels to many of the world's largest liner companies. Our current fleet of 60 containerships aggregating 304,249 TEUs ranks Danaos among the largest containership charter owners in the world based on total TEU capacity. Danaos is one of the largest US listed containership companies based on fleet size. Furthermore, the company has a contracted fleet of 5 additional containerships aggregating 60,930 TEU with scheduled deliveries up to the second quarter of 2012. The company's shares trade on the New York Stock Exchange under the symbol "DAC".

Forward-Looking Statements
Matters discussed in this release may constitute forward-looking statements within the meaning of the safeharbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements reflect our current views with respect to future events and financial performance and may include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The forward-looking statements in this release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, management's examination of historical operating trends, data contained in our records and other data available from third parties. Although Danaos Corporation believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, Danaos Corporation cannot assure you that it will achieve or accomplish these expectations, beliefs or projections. Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the strength of world economies and currencies, general market conditions, including changes in charter hire rates and vessel values, charter counterparty performance, shipyard performance, changes in demand that may affect attitudes of time charterers to scheduled and unscheduled drydocking, changes in Danaos Corporation's operating expenses, including bunker prices, dry-docking and insurance costs, ability to obtain financing and comply with covenants in our financing arrangements, actions taken by regulatory authorities, potential liability from pending or future litigation, domestic and international political conditions, potential disruption of shipping routes due to accidents and political events or acts by terrorists.

Risks and uncertainties are further described in reports filed by Danaos Corporation with the U.S. Securities and Exchange Commission.

Visit our website at www.danaos.com



For further information please contact:

Company Contact:

Evangelos Chatzis Chief Financial Officer Danaos Corporation Athens, Greece Tel: +30 210 419 6480 E-Mail: cfo@danaos.com	Iraklis Prokopakis Senior Vice President & Chief Operating Officer Danaos Corporation Athens, Greece Tel. +30 210 419 6400 E-Mail: coo@danaos.com
Investor Relations and Financial Media: Nicolas Bornozis President Capital Link, Inc. New York Tel. 212-661-7566 E-Mail: nbornozis@capitallink.com