Company: DSX-PB
Filing Date: 2025-03-21
Form Type: 20-F
Source: 0001562762-25-000050
Chunk: 199

Company: DIANA SHIPPING INC.
Filing Date: 2025-03-21
Form: 20-F
Item: Item 8
Chunk 199
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the payment of dividends. In addition, other external factors,

such as our lenders imposing restrictions on

our

ability

to

pay

dividends

under

the

terms

of

our

loan

facilities,

may

limit

our

ability

to

pay

dividends.

Further,

under the

terms of

our loan

agreements, we

may not

be permitted

to pay

dividends

that would result in an event of default or if an event of default occurs

and is continuing.

Marshall

Islands

law

generally

prohibits

the

payment

of

dividends

other

than

from

surplus

or

when

a

company is insolvent or if the payment

of the dividend would render

the company insolvent. Also, our loan

facilities and bond prohibit the payment of dividends should an event

of default arise.

We believe

that, under

current law,

any dividends

that we

have paid

and may

pay in

the future

from earnings

and profits constitute

“qualified dividend

income” and as

such are generally

subject to a

20% United States

federal income tax rate with

respect to non-corporate United States shareholders. Distributions

in excess

of our earnings

and profits will

be treated first

as a non-taxable

return of capital

to the extent

of a United

States

shareholder’s tax

basis in

its

common stock

on a

dollar-for-dollar basis

and thereafter

as capital

gain.

Please

see

the

section

of

this

annual

report

entitled

“ Taxation”

under

Item

10. E

for

additional

information relating to the tax treatment of our dividend payments.

Cumulative dividends on our Series

B Preferred Shares are payable

on each January 15, April

15, July 15

and October

15, when, as

and if

declared by our

board of

directors or any

authorized committee thereof

out

of

legally

available funds

for

such

purpose.

The

dividend

rate

for

our

Series

B

Preferred

Shares

is

8.875% per

annum per

$25.00 of

liquidation preference

per share

(equal to

$2.21875 per

annum per