For:  B+H
      Ocean
      Carriers Ltd.





From:  Navinvest
      Marine Services (USA) Inc.


The
      Sail
      Loft


19
      Burnside Street


Bristol,
      RI 02809








**FOR
      IMMEDIATE RELEASE**





**B+H
      Ocean Carriers, Ltd. Announces Refinancings and Unaudited Results for the Nine
      Month and Third Quarterly Periods Ended September 30, 2007**





NEW
      YORK,
      NEW YORK, November
      15, 2007 .
      . . .
      B+H Ocean Carriers Ltd. (AMEX: BHO) today reported a net loss of $4.9 million,
      or ($0.70) per share basic and diluted, for the three months ended September
      30,
      2007 as compared to net income of $3.3 million or $0.47 per share basic and
      $0.45 per share diluted, for the three months ended September 30, 2006. EBITDA
      for the three months ended September 30, 2007 was $7.8 million as compared
      to
      $11.1 million for the comparable period of 2006. Basic earnings per share
      calculations are based on weighted average shares outstanding of 7,060,356
      and
      6,980,534 respectively, for the three months ended September 30, 2007 and 2006.
      Diluted earnings per share calculations are based on weighted average shares
      outstanding of 7,188,430 for the three months ended September 30, 2006. There
      were no dilutive securities at September 30, 2007.





The
      decrease in net income for the three months ended September 2007 as compared
      with the same 2006 period is mainly due to (1) poor performance of two of the
      Company’s MR tankers due to the fact that the vessels were not converted to
      fully compliant double hulled tankers, but were being positioned to the Far
      East
      for conversion, (2) an increase in vessel operating expenses, especially crew
      related expenses, upgrading expenses, interim survey expenses and take-over
      expenses for the vessel acquired in June 2007, (3) the impact of the project
      to
      convert single hull product tankers to fully compliant double hull chemical
      tankers, in particular to the increase of $1.8 million in the amortization
      of
      conversion costs, (4) a $2.2 million increase in non-cash losses resulting
      from
      the change in fair value of put options purchased to hedge charter rates in
      future years and (5) to the $1.5 million cost of the issuance of 60,000 and
      20,000 shares of common stock from treasury for compensation to management
      and
      to the Company’s board of directors, respectively.





The
      Company reported net income of $2.4 million or $0.35 per share basic and
      diluted, for the nine months ended September 30, 2007, compared to net income
      of
      $16.9 million, or $2.43 per share basic and $2.35 diluted, for the nine months
      ended September 30, 2006. EBITDA for the nine months ended September 30, 2007
      was $31.8 million as compared to $35.0 million for the comparable period of
      2006. Basic earnings per share calculations are based on weighted average shares
      outstanding of 7,016,515 and 6,979,449 respectively, for the nine months ended
      September 30, 2007 and 2006. Diluted earnings per share calculations are based
      on weighted average shares outstanding of 7,196,396 for the nine months ended
      September 30, 2006. There were no dilutive securities at September 30,
      2007.





The
      decrease in net income for the nine months ended September 2007 as compared
      with
      the same 2006 period is mainly due to (1) the impact of the project to convert
      single hull product tankers to fully compliant double hull chemical tankers,
      in
      particular to the cost of an increase of 191 days offhire and to an increase
      of
      $3.6 million in the amortization of conversion costs, (2) $3.4
      million in non-cash losses resulting from the change in fair value of put
      options purchased to hedge charter rates in future years, (3) an increase of
      $1.1 million in vessel depreciation and (4) to the $1.5 million cost of the
      issuance of 60,000 and 20,000 shares of common stock from treasury for
      compensation to management and to the Company’s board of directors,
      respectively.





The
      Company announced that it had closed a $26.7 million credit facility with Nordea
      Bank Norge ASA as Agent on October 25, 2007 and a $25.5 million credit facility
      with Bank of Scotland on September 7, 2007. The $25.5 million facility is
      secured by three of the Company’s double-hulled chemical tankers. The
      incremental borrowing on the Nordea facility was $19.6 million and is secured
      by
      three of the Company’s MR tankers and one combination carrier.





The
      following is a discussion of our financial condition and results of operations
      for the nine month and quarterly periods ended September 30, 2007 and 2006.





***Quarter
      Ended September 30, 2007 (unaudited) versus September 30, 2006
      (unaudited)***





*Revenues*





Revenues
      from voyage and time charters increased $5.1 million or 21% from the three
      month
      period ending September 30, 2006, however time-charter equivalent (“TCE”)
      revenue increased only $0.2 million or 1% from the third quarter of 2006 to
      the
      same period of 2007. TCE revenue represents gross revenue less voyage related
      expenses. This measure is used to compare time-charter and voyage revenues.
      The
      increase in revenue is due to an increase in voyage days, whereas TCE rates
      suffered due to increases in fuel costs and market pressure forcing the
      shipowners to absorb these increases.





Other
      revenue of $0.2 million in 2006 represents additional settlement proceeds of
      the
      Company’s claim against Enron for lost time-charter revenue.





*Voyage
      expenses*





Voyage
      expenses for the quarter ended September 30, 2007 increased $4.9 million or
      151%
      from the quarter ended September 30, 2006. The increase is due to the fact
      that
      there were 148 voyage days in the three month period ended September 30, 2006,
      whereas there were 553 voyage days during the three month period ended September
      30, 2007. Voyage expenses include port, canal and fuel charges for which the
      ship owner is responsible on a voyage charter but not when a vessel is on either
      a time or bareboat charter. In addition, voyage expenses include brokerage
      commissions on time-charters and other commercial overhead.





*Vessel
      operating expenses*





Vessel
      operating expenses for the quarter ended September 30, 2007 increased $2.1
      million or 24% as compared to the same period in 2006. Approximately $0.9
      million of this increase is attributable to the vessel acquired in June 2007.
      The balance is due to increased costs, especially crew related
      expenses.





*Vessel
      depreciation and amortization of deferred charges*





Vessel
      depreciation for the quarter ended September 30, 2007 increased $0.3 million
      over the quarter ended September 30, 2006. This increase is due to the June
      acquisition, as discussed above. Amortization of deferred charges increased
      $1.9
      million due to the conversions of four vessels to fully double-hulled chemical
      tankers.





*General
      and administrative expenses*





Management
      fees increased $1.1 million in the third quarter of 2007 over the third quarter
      of 2006. The increase is due to the issuance of 60,000 shares of the Company’s
      common stock to the manager. Consulting and professional fees and other expenses
      increased $0.4 million from the three months ended September 30, 2006 to the
      three months ended September 30, 2007. The increase relates to the issuance
      of
      2,500 shares of the Company’s common stock to each director.





*Interest
      expense*





The
      $0.5
      million (17%) increase in interest expense for the quarter ended September
      30,
      2007, as compared to the same period in 2006, is due to fact that the
      outstanding debt increased $26 million from September 30, 2006 to September
      30,
      2007. In October 2006, the Company borrowed $12 million to finance the purchase
      of the vessel acquired in June 2006. The Company borrowed $8 million in
      September 2006 to finance the purchase of 50% of Nordan OBO II, Inc. The Company
      issued $20 million, net of floating rate bonds in the fourth quarter of 2006.





*Equity
      in income of Nordan OBO II*





The
      decrease in equity in income of Nordan OBO II of $0.2 million is due to the
      fact
      that the vessel owned by the joint venture was offhire undergoing a special
      survey for 34 days in the third quarter of 2007.





*Loss
      in fair value of interest rate swaps*





The
      Company enters into interest rate swaps to hedge risk related to fluctuations
      in
      its floating rate debt. The interest rate swaps are required to be marked to
      market value through the statement of income or other comprehensive income.
      The
      net decrease in the value of these swaps from July 1, 2007 to September 30,
      2007
      was $0.8 million as compared to a net decrease in the same period of 2006 of
      $1.1 million.





*Loss
      on fair value of put option contracts*




The
      Company enters into put option contracts to hedge the risk related to
      fluctuation in freight rates. The contracts are required to be marked to market
      value through the statement of income. The decrease in the value of put option
      contracts totaling $2.2 million is due to the fact that the bulk carrier index
      on which the premium is based continued to rise throughout the
      year.





***Nine
      months ended September 30, 2007 (unaudited) versus September 30, 2006
      (unaudited)***





***Revenues***





Revenues
      increased $14.5 million (21%) in the nine months ended September 30, 2007 over
      the comparable period in 2006, and time-charter equivalent (“TCE”) revenue
      increased $3.2 million or 5% for the nine months ended September 30, 2007 over
      the nine months ended September 30, 2006. TCE revenue represents gross revenue
      less voyage related expenses. This measure is used to compare time-charter
      and
      voyage revenues. The increases in revenue are due to the increase in the number
      of vessels in the fleet and an increase in the number of voyage days, as
      discussed below. The Company, through a wholly-owned subsidiary, acquired one
      combination carrier at the end of the second quarter of 2006 which was owned
      for
      the full nine month period in 2007, and one product tanker at the end of the
      second quarter of 2007. Increased revenue attributable to these two vessels
      is
      $5.6 million and the balance is due to the increase in voyage days versus
      time-charter days.





Other
      revenue in 2007 is primarily charter hire income from a profit sharing
      arrangement with the charterer of one of the Company’s vessels. In 2006, other
      revenue included $0.8 million earned in respect of the combination carrier
      acquired in 2006, in lieu of time-charter revenue, from the January 15, 2006
      effective date of the purchase until the closing date and $0.3 million
      representing settlement proceeds from the Company’s claim against Enron for lost
      time-charter revenue.





*Voyage
      expenses*





Voyage
      expenses increased $11.3 million in the nine month period ended September 30,
      2007 as compared to the same period of 2006. This increase is due to the fact
      that there were 1,388 voyage days in the nine months ended September 30, 2007,
      and only 399 voyage days in the same period of 2006. Voyage expenses include
      port, canal and fuel charges for which the shipowner is responsible on a voyage
      charter but not when a vessel is on either a time or bareboat charter. In
      addition, voyage expenses include brokerage commissions on time-charters and
      other commercial overhead.





*Vessel
      operating expenses*





Vessel
      operating expenses increased $5.2 million from the nine month period ended
      September 30, 2006 to the same period of 2007. Approximately $2.5 million of
      the
      increase is due to the increase in the number of vessels comprising the fleet,
      as noted above. The remainder of the increase is due to an increase in the
      average daily cost to run the vessels.





*Depreciation
      expense and amortization of deferred charges*





Depreciation
      expense increased by $1.1 million in the nine months ended September 30, 2007
      over the same period of 2006 due to vessel acquisitions. Amortization of
      deferred charges increased $3.6 million for the nine month period ended
      September 30, 2007 as compared to the comparable period of 2006. This increase
      is due to the conversion of one of the Company’s MR product tankers to a
      double-hulled chemical tanker in 2006 and three in 2007. The cost to convert
      each of the ships is being amortized over five years.





*General
      and administrative expenses*





Management
      fees increased by $1.1 million, or 128%, to $1.9 million for the nine month
      period ended September 30, 2007 as compared to $0.8 million for the prior
      period. The increase is primarily due to the award of 60,000 shares of the
      Company’s common stock to management. Consulting, professional and other
      expenses increased $0.9 million or 30%. A portion of the increase is
      attributable to the award of the Company’s common stock to the Board of
      Directors and the balance is due to an increase in consulting fees, legal fees
      and charitable contributions.





*Interest
      expense and interest income*





The
      $1.6
      million (22%) increase in interest expense for the nine months ended September
      30, 2007, as compared to the same period in 2006, is due to the increase in
      debt. The outstanding debt increased $26 million from September 30, 2006 to
      September 30, 2007. In October 2006, the Company borrowed $12 million to finance
      the purchase of the vessel acquired in June 2006. The Company borrowed $8
      million in September 2006 to finance the purchase of 50% of Nordan OBO II,
      Inc.
      The Company issued $20 million, net of floating rate bonds in the fourth quarter
      of 2006. The average daily rate (exclusive of applicable margin) for borrowings
      was 5.01% for the nine months ended September 30, 2006 versus an average daily
      rate of 5.35% for the nine month period ended September 30, 2007. The increase
      in interest income of $0.8 million is due to the increase in interest rates.
      The
      average cash balance for the first nine months of 2006 was $50.9 million as
      compared to the average cash balance for the same period of 2007 of $57.1
      million. The cash balance was higher earlier in the year before rates were
      reduced and lower in the latter part of the year, when rates had dropped.





*Equity
      in income of Nordan OBO II*





The
      decrease in equity in income of Nordan OBO II of $0.6 million is due to the
      fact
      that the vessel owned by the joint venture was offhire for 53 days in 2007
      but
      had no offhire in 2006.





*Loss
      in fair value of interest rate swaps*





The
      Company enters into interest rate swaps to hedge risk related to fluctuations
      in
      its floating rate debt. The interest rate swaps are required to be marked to
      market value through the statement of income or other comprehensive income.
      The
      net decrease in the value of these swaps from January 1, 2007 to September
      30,
      2007 was $0.6 million as compared to an increase of $0.3 million for the same
      period in 2006.





*Loss
      on fair value of put option contracts*




The
      Company enters into put option contracts to hedge the risk related to
      fluctuation in freight rates. The contracts are required to be marked to market
      value through the statement of income. The decrease in the value of put option
      contracts totaling $3.4 million is due to the fact that the bulk carrier index
      on which the premium is based continued to rise throughout the
      year.





***Liquidity
      and Capital Resources***





Cash
      at
      September 30, 2007, amounted to $54.6 million, a decrease of $23.7 million
      as
      compared to December 31, 2006. The decrease in the cash balance is
      attributable to outflows for investing activities of $38.5 million and outflows
      for financing activities of $5.9 million. This was offset by cash flow from
      operations of $20.5 million.





The
      outflow for investing activities is attributable to the purchase and investment
      in vessels of $19.6 million, the investment in vessel conversions of $12.7
      million, the investment in put option contracts of $7.1 million and an increase
      in marketable securities of $0.1 million. This was offset by dividends from
      the
      Company’s investment in Nordan OBO II, net of income earned, of $1.0
      million.





The
      outflow for financing activities is primarily attributable to the repayment
      of
      unsecured debt of $31.4 million, repayment of mortgage debt of $23.5 million,
      the purchase of treasury stock of $3.1 million, payments for debt issuance
      costs
      of $0.8 million and issuance of treasury shares for $0.6 million. This was
      offset by mortgage proceeds of $52.5 million.





The
      Company has a contract for the conversion of one of its tankers to a bulk
      carrier which is denominated in Chinese yuan. The Company entered into forward
      contracts to hedge
      the risk related to fluctuation in the rate of exchange. The contracts will
      be
      settled in USD each month, beginning in December 2007 and continuing on through
      June 2008.





The
      Company intends to continue its vessel acquisition program to expand its
      presence in its two current sectors of the tanker market: combination carriers
      capable of transporting both wet and dry bulk cargoes, and product carriers;
      however, there can be no assurance that the Company will be able to purchase
      any
      of such vessels on favorable terms or at all.





The
      Company’s fleet currently consists of 15 vessels, including seven medium range
      product tankers, six combination carriers and a 50% interest in another and
      two
      panamax product carriers. Eight of the vessels are currently fixed on long-term
      time charters, which varied in original length of between one and five years.
      Seven vessels are operating in the spot market, one of which is currently on
      a
      short term time-charter and one vessel is undergoing conversion to a bulk
      carrier.





We
      provide EBITDA (earnings before interest expense, taxes, depreciation and
      amortization) information as a guide to the operating performance of the
      Company. EBITDA, which is not a term recognized under generally accepted
      accounting principles, is calculated as net income plus interest expense, income
      taxes (benefit), depreciation and amortization, and an adjustment for book
      value
      gains and losses. Included in the depreciation and amortization for the purpose
      of calculating EBITDA is depreciation of vessels, including capital improvements
      and amortization of mortgage fees. EBITDA, as calculated by the Company, may
      not
      be comparable to calculations of similarly titled items reported by other
      companies. The Company believes that this measurement is meaningful because
      it
      is widely applied by research analysts for shipping company valuations. TCE
      revenue represents gross revenue less voyage related expenses. This measure
      is
      used to compare time-charter and voyage revenues. Changes in the composition
      of
      the Company’s fleet and type of revenue make it necessary to use the TCE measure
      for period to period analysis.





Safe
      Harbor Statement





Certain
      statements contained in this press release, including, without limitation,
      statements containing the words “believes,” “anticipates,” “expects,” “intends,”
and words of similar import, constitute “forward-looking statements” as defined
      in the Private Securities Litigation Reform Act of 1995 or by the Securities
      and
      Exchange Commission in its rules, regulations and releases, regarding the
      Company’s financial and business prospects. Such forward-looking statements
      involve known and unknown risks, uncertainties and other factors that may cause
      the actual results, performance or achievements of the Company, or industry
      results, to be materially different from any future results, performance or
      achievements expressed or implied by such forward-looking statements. Such
      factors include, but are not limited to, those set forth in the Company’s Annual
      Report and filings with the Securities and Exchange Committee. Given these
      uncertainties, undue reliance should not be placed on such forward-looking
      statements. The Company disclaims any obligation to update any such factors
      or
      to publicly announce the result of any revisions to any of the forward-looking
      statements contained or incorporation by reference herein to reflect future
      events or developments.











#
      #
      #








For
      further information, including the Company’s Annual Report on Form 20F and
      previous announcements, access the Company’s website:  www.bhocean.com





Company
      Contact:   John
      LeFrere


917.225.2800





**B+H
                  Ocean Carriers Ltd.****Unaudited
                  Consolidated Balance Sheets****Unaudited**
              
              **Audited**
              
              **Unaudited**ASSETS
              
              
              **September
                  30, 2007**
              
              
              **December
                  31, 2006**
              
              
              **September
                  30, 2006**CURRENT
                  ASSETS:Cash
                  and cash equivalents
              
              
              54,628,295
              
              
              78,391,028
              
              $
              51,986,210Marketable
                  securities
              
              
              1,043,298
              
              
              990,105
              
              
              419,135Trade
                  accounts receivable, less allowance for doubtful accounts of $229,000
              
              
              4,822,168
              
              
              2,532,710
              
              
              1,662,812Inventories
              
              
              2,652,354
              
              
              2,547,776
              
              
              1,435,144Prepaid
                  expenses and other current assets
              
              
              1,667,453
              
              
              1,408,999
              
              
              1,207,146**Total
                  current assets**
              
              
              64,813,568
              
              
              85,870,618
              
              
              56,710,447Vessels,
                  at cost:Vessels
              
              
              350,908,461
              
              
              312,999,593
              
              
              305,786,054Less
                  - Accumulated depreciation
              
              
              (67,640,370
              )
              
              (51,312,468
              )
              
              (46,635,559
              )283,268,091
              
              
              261,687,125
              
              
              259,150,495Investment
                  in Nordan OBO II Ltd
              
              
              9,559,420
              
              
              10,576,398
              
              
              11,324,141Investment
                  in debt securities
              
              
              5,000,000
              
              
              5,000,000
              
              
              -Other
                  assets
              
              
              3,190,481
              
              
              2,617,744
              
              
              2,062,473Fair
                  value of put option contracts
              
              
              4,201,491
              
              
              734,123
              
              
              -Fair
                  value of derivative asset
              
              
              37,723
              
              
              336,436
              
              
              330,108**Total
                  assets**
              
              $
              370,070,774
              
              $
              366,822,444
              
              $
              329,577,664LIABILITIES
                  AND SHAREHOLDERS' EQUITYCURRENT
                  LIABILITIES:Accounts
                  payable
              
              
              7,339,343
              
              
              11,457,925
              
              $
              6,203,655Accrued
                  liabilities
              
              
              13,209,912
              
              
              3,877,579
              
              
              3,771,982Accrued
                  interest
              
              
              998,827
              
              
              1,090,477
              
              
              956,713Current
                  portion of mortgage payable and unsecured debt
              
              
              29,475,000
              
              
              39,765,472
              
              
              34,815,472Deferred
                  income
              
              
              6,588,585
              
              
              7,346,190
              
              
              6,410,721Fair
                  value of derivative liability
              
              
              515,786
              
              
              -
              
              
              -Other
                  liabilities
              
              
              202,403
              
              
              150,711
              
              
              59,913**Total
                  current liabilities**
              
              
              58,329,856
              
              
              63,688,354
              
              
              52,218,456Unsecured
                  debt
              
              
              -
              
              
              23,703,908
              
              
              31,865,937Long
                  term debt
              
              
              150,008,603
              
              
              118,450,000
              
              
              111,450,000Floating
                  rate bonds payable
              
              
              25,000,000
              
              
              25,000,000
              
              
              -Commitments
                  and contingencies
              
              
              -
              
              
              -
              
              
              -SHAREHOLDERS'
                  EQUITY:Preferred
                  stock, $0.01 par value; 20,000,000 shares authorized;no
                  shares issued and outstanding
              
              
              -
              
              
              -
              
              
              -Common
                  stock, $0.01 par value; 30,000,000 shares authorized;7,557,268
                  shares issued, 6,965,745 shares outstanding as ofSeptember
                  30, 2006; 7,081,920 shares outstanding as ofDecember
                  31, 2005 and September 30, 2005
              
              
              75,572
              
              
              75,572
              
              
              75,572Paid-in
                  capital
              
              
              93,877,469
              
              
              93,861,215
              
              
              93,796,954Retained
                  earnings
              
              
              51,108,148
              
              
              48,680,252
              
              
              46,849,842Other
                  Comprehensive income
              
              
              (227,546
              )
              
              18,183
              
              
              -Treasury
                  stock
              
              
              (8,101,328
              )
              
              (6,655,040
              )
              
              (6,679,097
              )**Total
                  shareholders' equity**
              
              
              136,732,315
              
              
              135,980,182
              
              
              134,043,271**Total
                  liabilities and shareholders' equity**
              
              $
              370,070,774
              
              $
              366,822,444
              
              $
              329,577,664
  **B+H
                    Ocean Carriers Ltd.****Unaudited
                    Consolidated Statements of Income****For
                    the nine**
                
                **For
                    the nine**
                
                **For
                    the three**
                
                **For
                    the three****months
                    ended**
                
                **months
                    ended**
                
                **months
                    ended**
                
                **months
                    ended****September
                    30, 2007**
                
                **September
                    30, 2006**
                
                **September
                    30, 2007**
                
                **September
                    30, 2006**Revenues:Voyage,
                    time and bareboat charter revenues
                
                
                83,945,211
                
                $
                68,658,704
                
                
                28,870,161
                
                $
                23,603,298Other
                    revenue
                
                
                550,340
                
                
                1,287,437
                
                
                5,991
                
                $
                205,841Total
                    revenues
                
                
                84,495,551
                
                
                69,946,141
                
                
                28,876,152
                
                
                23,809,139Operating
                    expenses:
                
                
                63,954,857
                
                
                59,999,062Voyage
                    expenses
                
                
                19,990,354
                
                
                8,659,642
                
                
                8,140,074
                
                
                3,243,025Vessel
                    operating expenses, drydocking and survey costs
                
                
                29,169,094
                
                
                23,959,291
                
                
                10,674,753
                
                
                8,621,893Vessel
                    depreciation
                
                
                12,087,434
                
                
                10,980,087
                
                
                4,221,368
                
                
                3,942,275Amortization
                    of deferred charges
                
                
                4,580,378
                
                
                1,015,702
                
                
                2,207,855
                
                
                357,159General
                    and administrative:Management
                    fees to related party
                
                
                1,974,858
                
                
                864,536
                
                
                1,413,982
                
                
                331,054Consulting
                    and professional fees, and other expenses
                
                
                3,886,745
                
                
                2,999,707
                
                
                1,386,834
                
                
                954,963Total
                    operating expenses
                
                
                71,688,863
                
                
                48,478,965
                
                
                28,044,865
                
                
                17,450,369Income
                    from vessel operations
                
                
                12,806,688
                
                
                21,467,176
                
                
                831,287
                
                
                6,358,770Other
                    income (expense):Equity
                    in income of Nordan OBO II
                
                
                358,022
                
                
                981,219
                
                
                10,248
                
                
                227,917Interest
                    expense
                
                
                (9,065,475
                )
                
                (7,427,417
                )
                
                (3,196,054
                )
                
                (2,732,173
                )Interest
                    income
                
                
                2,365,568
                
                
                1,535,263
                
                
                474,134
                
                
                443,919(Loss)
                    gain on trading marketable securities
                
                
                (58,005
                )
                
                57,554
                
                
                (71,140
                )
                
                66,937Loss
                    on value of put option contracts
                
                
                (3,410,132
                )
                
                -
                
                
                (2,200,197
                )
                
                -(Loss)
                    gain on fair value of interest rate swap
                
                
                (568,770
                )
                
                330,108
                
                
                (764,977
                )
                
                (1,112,391
                )Total
                    other expenses, net
                
                
                (10,378,792
                )
                
                (4,523,273
                )
                
                (5,747,986
                )
                
                (3,105,791
                )Net
                    income (loss)
                
                $
                2,427,896
                
                $
                16,943,903
                
                $
                (4,916,699
                )
                $
                3,252,979Basic
                    earnings (loss) per common share
                
                $
                0.35
                
                $
                2.43
                
                $
                (0.70
                )
                $
                0.47Diluted
                    earnings (loss) per common share
                
                $
                0.35
                
                $
                2.35
                
                $
                (0.70
                )
                $
                0.45Weighted
                    average number of common shares outstanding:Basic
                
                
                7,016,515
                
                
                6,979,449
                
                
                7,060,356
                
                
                6,980,534Diluted
                
                
                7,016,515
                
                
                7,196,396
                
                
                7,060,356
                
                
                7,188,430**Reconciliation
                    of Net Income to EBITDA**Net
                    income (loss)
                
                $
                2,427,896
                
                $
                16,943,903
                
                $
                (4,916,699
                )
                $
                3,252,979(Loss)
                    gain on fair value of interest rate swap
                
                
                568,770
                
                
                (330,108
                )
                
                764,977
                
                
                1,112,391Loss
                    on value of put option contracts
                
                
                3,410,132
                
                
                -
                
                
                2,200,197
                
                
                -(Loss)
                    gain on trading marketable securities
                
                
                58,005
                
                
                (57,554
                )
                
                71,140
                
                
                (66,937
                )Interest
                    expense
                
                
                9,065,475
                
                
                7,427,417
                
                
                3,196,054
                
                
                2,732,173Equity
                    in income of Nordan OBO II
                
                
                (358,022
                )
                
                (981,219
                )
                
                (10,248
                )
                
                (227,917
                )Amortization
                    of deferred charges
                
                
                4,580,378
                
                
                1,015,702
                
                
                2,207,855
                
                
                357,159Vessel
                    depreciation
                
                
                12,087,434
                
                
                10,980,087
                
                
                4,221,368
                
                
                3,942,275**EBITDA**
                
                $
                31,840,068
                
                $
                34,998,228
                
                $
                7,734,643
                
                $
                11,102,123
   **B+H
                      Ocean Carriers Ltd.****Unaudited
                      Consolidated Statements of Cash Flows****For
                      the nine**
                  
                  **For
                      the nine****months
                      ended**
                  
                  **months
                      ended****September
                      30, 2007**
                  
                  **September
                      30, 2006**CASH
                      FLOWS FROM OPERATING ACTIVITIES:Net
                      income
                  
                  $
                  2,427,896
                  
                  $
                  16,943,903Adjustments
                      to reconcile net income to net cash provided by operating activities:Vessel
                      depreciation
                  
                  
                  12,087,434
                  
                  
                  10,980,087Amortization
                      of deferred charges
                  
                  
                  4,580,378
                  
                  
                  1,015,702Loss
                      on fair value of marketable securities
                  
                  
                  58,005
                  
                  
                  (57,554
                  )Loss
                      on fair value of derivative instruments
                  
                  
                  3,978,902
                  
                  
                  (330,108
                  )Stock
                      compensation expense
                  
                  
                  1,509,928
                  
                  
                  156,424Changes
                      in assets and liabilities:(Increase)
                      decrease in trade accounts receivable
                  
                  
                  (2,289,458
                  )
                  
                  595,760Increase
                      in inventories
                  
                  
                  (104,578
                  )
                  
                  (580,058
                  )(Increase)
                      decrease in prepaid expenses and other assets
                  
                  
                  (258,454
                  )
                  
                  3,769(Decrease)
                      increase in accounts payable
                  
                  
                  (4,118,582
                  )
                  
                  2,177,736Increase
                      in accrued liabilities
                  
                  
                  9,332,333
                  
                  
                  2,024,073(Decrease)
                      increase in accrued interest
                  
                  
                  (91,650
                  )
                  
                  502,093(Decrease)
                      increase in deferred income
                  
                  
                  (757,605
                  )
                  
                  995,305Increase
                      in other liabilities
                  
                  
                  51,692
                  
                  
                  77Payments
                      for special surveys
                  
                  
                  (5,582,623
                  )
                  
                  (6,020,478
                  )Total
                      adjustments
                  
                  
                  18,395,722
                  
                  
                  11,462,828Net
                      cash provided by operating activities
                  
                  
                  20,823,618
                  
                  
                  28,406,731CASH
                      FLOWS FROM INVESTING ACTIVITIES:Purchase
                      and investment in vessels
                  
                  
                  (19,600,000
                  )
                  
                  (17,938,192
                  )Investment
                      in vessel conversions
                  
                  
                  (12,726,245
                  )
                  
                  (14,074,141
                  )Investment
                      in freight forward contracts
                  
                  
                  (7,068,880
                  )
                  
                  -Investment
                      in Nordan OBO II
                  
                  
                  (358,022
                  )
                  
                  -Dividend
                      received from Nordan OBO II
                  
                  
                  1,375,000
                  
                  
                  2,750,000Investment
                      in marketable securities
                  
                  
                  (103,400
                  )
                  
                  205,985Net
                      cash used in investing activities
                  
                  
                  (38,481,547
                  )
                  
                  (29,056,348
                  )CASH
                      FLOWS FROM FINANCING ACTIVITIES:Payments
                      for debt issuance costs
                  
                  
                  (775,930
                  )
                  
                  (786,593
                  )Mortgage
                      proceeds
                  
                  
                  52,500,000
                  
                  
                  10,263,000Payment
                      of unsecured debt
                  
                  
                  (31,402,960
                  )
                  
                  -Purchase
                      of treasury stock
                  
                  
                  (3,094,736
                  )
                  
                  (2,907,289
                  )Issuance
                      of treasury shares
                  
                  
                  200,690
                  
                  
                  30,770Issuance
                      of common stock, net of issuance costs
                  
                  
                  -
                  
                  
                  (234,649
                  )Payments
                      of long-term debt
                  
                  
                  (23,531,868
                  )
                  
                  (14,557,063
                  )Net
                      cash used in financing activities
                  
                  
                  (6,104,804
                  )
                  
                  (8,191,824
                  )Net
                      decrease in cash and cash equivalents
                  
                  
                  (23,762,733
                  )
                  
                  (8,841,441
                  )Cash
                      and cash equivalents, beginning of period
                  
                  
                  78,391,028
                  
                  
                  60,827,651Cash
                      and cash equivalents, end of period
                  
                  $
                  54,628,295
                  
                  $
                  51,986,210