DIVIDEND POLICY

In December 2024, our Board of Directors,  amended our then existing dividend policy, under which we may approve an allocation of up to 60% of cash flow from operations less debt amortization, less maintenance/upgrade CAPEX less any deficit of cash below $2.1 million per owned vessel (“Cash Flow”),  towards quarterly shareholder dividends. The remaining Cash Flow may be allocated, at our discretion, to i) share repurchases, which will be prioritized when the share price is trading at a significant discount to the estimated net liquidation value of our hard assets and ii) growth opportunities, as well as may be used for opportunistic vessel acquisitions and investments that will create enhanced returns over time and for general corporate purposes.

Any future dividends remain subject to approval of our Board of Directors each quarter after its review of our financial performance and will depend upon various factors, including but not limited to the prevailing charter market conditions, capital requirements, limitations under our credit agreements and applicable provisions of Marshall Islands law. There can be no assurance that our Board of Directors will declare any dividend in the future

Since  Star  Bulk  is  a  holding  company  with  no  material  assets  other  than  the  shares  of  its  subsidiaries  through  which  it conducts its operations, Star Bulk’s ability to pay dividends will depend on its subsidiaries distributing their earnings  and cash  flow to it.  Any future dividends declared will be at the  discretion and  remain subject  to approval of our Board  each quarter,  after  its  review  of  our  financial  condition  and  other  factors,  including  but not  limited  to  our  earnings,  prevailing charter  market  conditions,  capital  requirements,  limitations  under  our  debt  agreements  and  applicable  provisions  of Marshall  Islands  law,  which  generally  prohibits  the  payment  of  dividends  other  than  from  operating  surplus  or  while  a company is insolvent or would be rendered insolvent upon the payment of such dividend.  Star Bulk’s dividend policy and declaration and payment of dividends may be changed at any time and are subject to legally available funds and the Board’s determination that each declaration  and  payment  is  at  the  time  in  the  best  interests  of  Star  Bulk  and  its shareholders after its review of our financial performance. There can be no assurance that our Board will declare or pay any dividend in the future.