Paragon Shipping Announces New Employment
For a Supramax Bulkcarrier

ATHENS, Greece (February 7, 2012)

Paragon Shipping Inc. (NYSE: PRGN) ("Paragon Shipping" or the "Company"), announced today that it has entered into a fixed rate time charter agreement for its vessel, the M/V Friendly Seas, with Western Bulk Carriers AS.

The M/V Friendly Seas, a 2008 built 58,779 dwt Supramax bulkcarrier, has been fixed to Western Bulk Carriers for a period of 18 to 24 months at a gross daily rate of $10,700. As a result, the Company's fixed revenue days now stand at 94% in 2012, at 73% in 2013 and at 35% 2014 based on latest redelivery dates. The new time charter contract is anticipated to contribute a minimum of about $5.7 million of gross revenues to the Company.

About Paragon Shipping
Paragon Shipping is a Marshall Islands-based international shipping company with executive offices in Athens, Greece specializing in the transportation of drybulk cargoes. The Company's current fleet consists of ten drybulk vessels with a total carrying capacity of 704,772 dwt. In addition, Paragon Shipping entered into contracts for the construction of four Handysize drybulk carriers that are scheduled to be delivered in 2012 and two 4,800 TEU Containerships that are scheduled to be delivered in 2013 and, as a result, will increase the fleet size to fourteen drybulk vessels with a total carrying capacity of 853,572 dwt and two Containerships with a total carrying capacity of 9,600 TEU. Paragon Shipping has granted Box Ships Inc., an affiliated company, the option to acquire its two Containerships under construction. For more information, visit: www.paragonship.com. The information contained on the Company's website does not constitute part of this press release.

Paragon Shipping Inc. press release