Exhibit 4.18  SUPPLEMENTAL
LETTER  To:
  Danaos CorporationTrust Company ComplexAjeltake RoadAjeltake IslandMajuroMarshall Islands MH 96960  June 26, 2009  Loan
Agreement dated 20 February 2007 (as amended and supplemented, the Loan
Agreement) made between (i) Danaos Corporation (the Borrower), (ii) the
banks and financial institutions listed in Schedule 1 thereto as lenders and (iii) The
Royal Bank of Scotland plc as swap bank, issuing bank, agent and security
trustee in respect of a revolving credit facility of up to US$700,000,000.  We refer to the Loan
Agreement.  Words and expressions defined
in the Loan Agreement shall have the same meaning when used in this letter.  1Requests and Lenders agreement.  We further refer to our recent discussions
regarding your requests that we consent to:  (a)the release of
the Guarantees given by each of Megacarrier (No.1) Corp. and Megacarrier (No.2)
Corp. and of all other Finance Documents entered into by such companies;  (b)the re-allocation
of the Pre-Delivery Advances of $79,760,000 in aggregate currently allocated to
Hyundai Hull S456 and Hyundai Hull S457 (each of which has been ordered by
Megacarrier (No. 1) Corp. and Megacarrier (No. 2) Corp. respectively)
in the manner described in the New Schedule 8 to the Loan Agreement (the text
of which is set out in Clause 2(n) below);  (c)provide pre and
post-delivery financing in the aggregate amount of $95,000,000 in order to
assist with the acquisition of a 8,563 TEU container carrier newbuilding currently
under construction at Shanghai Jiangnan Changxing Heavy Industries having Hull
number H1022A; and  (d)that we agree to
the novation of SPD trades 3102 & 3103 under the Stand-alone ISDA
Agreement dated 15 June 2007 into the swap facility under the Master
Agreement dated 20 February 2007.  Our approval of
your requests is subject to the satisfaction of the conditions referred to in
Clause 2 below.  2Amendments to Loan Agreement and Finance Documents.  The arrangements in this letter necessitate
certain amendments to the Loan Agreement and we confirm that the Loan Agreement
shall be amended (with effect from the date on which the Borrower and the other
Security Parties sign the acknowledgement to this letter) as follows:  (a)by construing all references in the
Loan Agreement to this Agreement and all references in the Finance Documents
(other than the Loan Agreement) to the Loan Agreement as references to the
Loan Agreement as amended and supplemented by this letter;  (b)by adding the following definitions in
Clause 1.1 thereof:


Additional Approved Shipbuilding Contract Ameans
the shipbuilding contract dated 19 September 2007 and made between
Jiangnan and CSTC as seller and Teucarrier as buyer, for the construction by
Jiangnan of Hull No. H1022A and its purchase by Teucarrier, as
supplemented from time to time;  Additional Approved Shipbuilding
Contract Bmeans the shipbuilding contract dated 16 March 2007
and made between Hanjin and Expresscarrier for the construction by Hanjin of
Hull No. N-218 and its purchase by Expresscarrier, as supplemented from
time to time;  Additional Approved
Shipbuilding Contract Cmeans the shipbuilding dated
9 November 2007 and made between Hyundai and Cellcontainer for the
construction by Hyundai of Hull No. S461 and its purchase by
Cellcontainer, as supplemented from time to time;  Additional
Approved Ship Availability Period 
means, in respect of any Advance which is to be used in financing, or is
to be allocated to, an Additional Approved Ship:  (a)in the case of
any Advance in respect of:  (i)            Additional
Approved Ship A, 30 November 2011;  (ii)           Additional
Approved Ship B, 31 December 2010; and  (iii)          Additional
Approved Ship C, 28 February 2011; or  (b)in any of the
above cases, such later date as the Agent may, with the authorisation of all
the Lenders, agree with the Borrower;  Additional
Approved Ship Tranche  means,
in respect of each Additional Approved Ship, the aggregate of all Advances
which have been used to part-finance the acquisition of that Additional
Approved Ship;  Additional Approved Shipsmeans each of:  (a)the 8,530 TEU
container carrier newbuilding currently being constructed by Jiangnan and
having Hull No. H1022A to be purchased by Teucarrier pursuant to the
Additional Approved Shipbuilding Contract A (Additional  Approved Ship A);  (b)the 6,500 TEU
container carrier newbuilding currently being constructed by Hanjin and having
Hull  No. N-218 to be purchased by
Expresscarrier pursuant to the Additional Approved Shipbuilding Contract B (Additional 
Approved Ship B); and  (c)the 10,100 TEU
container carrier newbuilding currently being constructed by Hyundai and having
Hull No. S461 to be purchased by Cellcontainer pursuant to the Additional
Approved Shipbuilding Contract C (Additional  Approved Ship C),  and in the
singular means any of them;  Amendment Mortgage
means, in relation to ZIM MONACO, an addendum to the first priority Maltese
ship mortgage executed or to be executed by Continent Marine Inc. in favour of
the Security Trustee in such form as the Agent may approve or require;  Cellcontainermeans
Cellcontainer (No.6) Corp., a corporation existing under the laws of Liberia
whose registered office is at 80 Broad Street, Monrovia, Liberia;  CSTCmeans China Shipbuilding
Trading Company Limited, a company organised and existing under the laws of the
Republic of China, having its registered office at Faugyan  2


Mansion, 56 (Yi) Zhongguancum Nan Dajie, Beijing
100044, The Peoples Republic of China;  Expresscarriermeans
Expresscarrier (No.5) Corp., a corporation existing under the laws of Liberia
whose registered office is at 80 Broad Street, Monrovia, Liberia;  H1022A Equity
Payments means an aggregate amount of $37,750,000 applied or to be
applied in satisfying the equity payments to be paid by Teucarrier to Jiangnan
(being the amount by which the aggregate of the second, third, fourth and fifth
instalments payable pursuant to the Additional Approved Shipbuilding Contract A
exceeds the maximum amount of the H1022A Predelivery Advances for the same
instalments);  H1022A
Predelivery Advances means an aggregate amount of $75,050,000 made
or to be made available to finance or allocated or to be allocated towards the
pre-delivery stage payments payable pursuant to the Additional Approved
Shipbuilding Contract A;  H1022A Tranchemeans
the aggregate of the H1022A Predelivery Advances and all other amounts or
Advances allocated to such Tranche as referred to in Clause 4.12 (in an
aggregate amount of $95,000,000), made or to be made available to assist
Teucarrier with the acquisition of Additional Approved Ship A;  Hanjinmeans Hanjin
Heavy Industries Co. Ltd., a company organised and existing under the laws of
the Republic of Korea, with its principal office at 29, 5-Ga, Bongnae-Dong,
Youngdo-Gu, Busan (606-796), Korea;  Hull S456 means the container vessel with
Hull Number S456 of approximately 12,600 TEU currently under construction by
Hyundai pursuant to a shipbuilding contract dated 28 September 2007 and
executed between Megacarrier (No. 1) and Hyundai;  Hull
S457means the container vessel of approximately 12,600
TEU currently under construction by Hyundai and having Hull Number S457
pursuant to a shipbuilding contract dated 28 September 2007 and executed
between Megacarrier (No. 2) and Hyundai;  Hull
S458means the container vessel of approximately 12,600
TEU currently under construction by Hyundai and having Hull Number S458
pursuant to a shipbuilding contract dated 28 September 2007 and executed
between Megacarrier (No. 3) and Hyundai;  Hull
S459means the container vessel of approximately 12,600
TEU currently under construction by Hyundai and having Hull Number S459
pursuant to a shipbuilding contract dated 28 September 2007 and executed
between Megacarrier (No. 4) and Hyundai;  Hull
S460means the container vessel of approximately 12,600
TEU currently under construction by Hyundai and having Hull Number S460
pursuant to a shipbuilding contract dated 28 September 2007 and executed
between Megacarrier (No. 5) and Hyundai;  Hyundaimeans Hyundai
Samho Heavy Industries Co. Ltd., a company organised and existing under the
laws of the Republic of Korea whose registered office is 1700, Yongdang-Ri,
Samho-Eup, Youngam-Gun, Chollanam-Do, Korea;  Jiangnanmeans Shanghai
Jiangnan Changxing Heavy Industry Company Limited, a company organised and
existing under the laws of the Peoples Republic of China whose registered
office is Marine Tower, No. 1 Pudong Da Dao, Shanghai 200120, The Peoples
Republic of China;  Megacarrier (No. 1)means Megacarrier
(No. 1) Corp., a corporation existing under the laws of Liberia whose
registered office is at 80 Broad Street, Monrovia, Liberia;  Megacarrier (No. 2)means Megacarrier
(No. 2) Corp., a corporation existing under the laws of Liberia whose
registered office is at 80 Broad Street, Monrovia, Liberia;  3


Megacarrier (No. 3)means Megacarrier
(No. 3) Corp., a corporation existing under the laws of Liberia whose
registered office is at 80 Broad Street, Monrovia, Liberia;  Megacarrier (No. 4)means Megacarrier
(No. 4) Corp., a corporation existing under the laws of Liberia whose
registered office is at 80 Broad Street, Monrovia, Liberia;  Megacarrier (No. 5)means Megacarrier
(No. 5) Corp., a corporation existing under the laws of Liberia whose
registered office is at 80 Broad Street, Monrovia, Liberia;  Minimum Liquidity
Amount  has the meaning given
in Clause 12.24;  Mortgage Addendum
means, in respect of HYUNDAI BRIDGE, HYUNDAI HIGHWAY and HYUNDAI PROGRESS
the second addendum thereto, executed or to be executed by the relevant Owner
in favour of the Security Trustee in such form as the Agent may approve or
require and, in the plural, means all of them;  Outgoing Hullsmeans
Hull S456 and Hull S457, and in the singular means either of them;  RCF & Swaps Cash Deposit
Accountmeans an
account in the name of the Borrower with the Agent in Piraeus designated RBS/Danaos
Corporation RCF & Swaps (having account number 577411) or any other
account (with that or another office of the Agent) which is designated by the
Agent as the Swaps Cash Deposit Account for the purposes of the Stand-alone
ISDA Agreement or the Loan Agreement;  RCF & Swaps Cash Deposit
Account Pledgemeans the deed containing, inter alia, a
charge in respect of the Swaps Cash Deposit Account executed or to be executed
by the Borrower in favour of the Security Trustee in such form as the Lenders
may approve or require;  Stand-alone ISDA Agreementmeans the ISDA
Agreement and collateral schedule each dated 15 June 2007 (on the 1992
ISDA (Multicurrency-Crossborder) form) made between the Borrower and The Royal
Bank of Scotland plc;  Teucarriermeans
Teucarrier (No.5) Corp., a corporation existing under the laws of Liberia whose
registered office is at 80 Broad Street, Monrovia, Liberia;  Waiver Periodmeans the period
commencing on 31 December 2008 (inclusive) and ending on 31 January 2010
(inclusive);  (c)by adding the words or an Additional
Approved Ship after the words an Alternative Ship in the definitions of Approved
Purchase Contract, Approved Seller, Delivery Date, Pre-Delivery Security
Assignment and Refund Guarantee in Clause 1.1 thereof and in the second line
of Clause 12.20 thereof;  (d)by adding a new paragraph (d) in
the definition of Designated Transaction in Clause 1.1 thereof as follows:  (d)         it is entered into by
the Borrower pursuant to the Stand-alone ISDA Agremeent;  (e)by deleting the definition of Margin
in Clause 1.1 thereof and replacing it with the following:  Margin means, with effect from 22 May 2009,
2.25 per cent. per annum;;  (f)by adding in the third line of the
definition of Pre-Delivery Advance in Clause 1.1 thereof after the words an
Alternative Ship the words or an Additional Approved Ship;  4


(g)by adding in the definition of Ships
in Clause 1.1 thereof after the words the Alternative Ships the words  and
the Additional Approved Ships;  (h)by adding in the definition of Tranche
B in Clause 1.1 thereof after the words (or subject to the other terms of
this Agreement, an Advance which has been redrawn following the repayment or
prepayment of any of the above-mentioned Alternative Advances) the words and
each Additional Approved Ship Tranche;  (i)by adding in Clause 4.2(g) thereof
after the figure $272,000,000 the following:  (or, as from the
date on which the re-allocation of the Pre-Delivery Advances takes effect
pursuant to Clause 4.11, $198,000,000);  (j)by adding a new Clause 4.2(m) in
the Loan Agreement as follows:  (m)in the case of the H1022A Tranche, the
aggregate of the H1022A Predelivery Advances shall not exceed:  (i)in the case of
the first Advance, an amount of $18,800,000 which has been made available to
finance 80 per cent. of the first instalment payable pursuant to the Additional
Approved Shipbuilding Contract A;  (ii)in the case of the
second Advance, an amount up to the lesser of (aa) $18,800,000 and (bb) 80 per
cent. of the second instalment payable pursuant to the Additional Approved
Shipbuilding Contract A;  (iii)in the case of the third
Advance, an amount up to the lesser of (aa) $18,800,000 and (bb) 80 per cent.
of the third (keel-laying) instalment payable pursuant to Additional Approved
Shipbuilding Contract A; and  (iv)in the case of the fourth
Advance, an amount up to the lesser of (aa) $18,650,000 and (bb) 79.4 per cent.
of the fourth (launching) instalment payable pursuant to Additional Approved
Shipbuilding Contract A;  (k)by adding new Clauses 4.11, 4.12 and
4.13 in the Loan Agreement as follows:  4.11Re-allocation of Pre-Delivery
Advances.On the date on which the Finance Documents
relating to the Outgoing Hulls are released and/or discharged, the Pre-Delivery
Advances shall be re-allocated in the manner set out in Schedule 8.  4.12Constitution of H1022A Tranche. 
Subject to Clause 4.11, the H1022A Tranche will be constituted as
follows:  (a)an amount of $18,800,000 which has been
drawn down by way of a Pre-Delivery Advance to finance 80 per cent. of the
first instalment paid pursuant to Additional Approved Shipbuilding Contract A;  (b)an amount of $35,250,000 (which is
currently constituted by a Guarantee issued by the Issuing Bank to Jiangnan),
representing the whole of the second and 50 per cent. of the third
(keel-laying) instalments payable pursuant to Additional Shipbuilding Contract
A;  (c)the aggregate undrawn amount of the
Tranche A Limit and the Tranche B Limit, in the amount of $21,000,800; and  (d)an amount of $19,950,000 representing
part of the Pre-Delivery Advances allocated to Hull S457 (prior to the
re-allocation which will be effected pursuant to Clause 4.11).  5


4.13Further re-allocation of the Pre-Delivery Advances.  Notwithstanding
the other provisions of this Agreement, the Pre-Delivery Advances may be
allocated to the Additional Approved Ships subject to the following conditions:  (a)the aggregate of the Advances to be
allocated to the Additional Approved Ships shall not exceed $293,000,000 in
aggregate (constituted by the aggregate amount of the Pre-Delivery Advances on
26 June 2009, being $271,999,200 and the undrawn balance of the Tranche A
Limit and the Tranche B Limit on the same date, being $21,000,800) which shall
be divided between each Additional Approved Ship as follows:  (i)up
to $95,000,000 in respect of Additional Approved Ship A represented by the
H1022A Tranche;  (ii)up
to $80,000,000 in respect of Additional Approved Ship B; and  (iii)up
to $118,000,000 in respect of Additional Approved Ship C;  (b)each Advance
(other than an Advance under the H1022A Tranche to which the provisions of
Clause 4.2(m) will apply) allocated to each of Additional Approved Ship B
and Additional Approved Ship C in respect of a pre-delivery stage payment
payable pursuant to either Additional Approved Shipbuilding Contract B or
Additional Approved Shipbuilding Contract C will not exceed 80 per cent. of
that pre-delivery stage payment;  (c)on or prior to
each date (a Payment Date) on
which a payment (a Payment)
needs to be made pursuant to either Additional Approved Shipbuilding Contract B
or Additional Approved Shipbuilding Contract C, the Borrower shall ensure that
it has deposited in the RCF & Swaps Cash Deposit Account an amount
(which when aggregated with any other freely available amounts standing to the
credit of that account (which shall exclude, without limitation, the Minimum
Liquidity Amount) equal to such Payment and on the Payment Date the following
shall take place:  (i)the Agent shall
remit the relevant Payment to Hanjin or, as the case may be, Hyundai; and  (ii)the Agent shall
re-allocate an amount equal to 80 per cent. of the Payment then allocated as a
Pre-Delivery Advance in respect of any of Hull S458, Hull S459 or Hull S460 as
an Advance (in an equal amount) in respect of either Additional Approved Ship B
or Additional Approved Ship C subject to the value of all security maintained
by the Agent at the relevant time in respect of all Advances for Additional
Approved Ship B and Additional Approved Ship C and all other Pre-delivery
Advances then outstanding being at least equal to the aggregate of (1) 125
per cent. of any Refund Guarantees which have been assigned to the Security
Trustee by means of a Pre-Delivery Security Assignment (with the value of such
Refund Guarantees being, on each Payment Date, an amount equal in aggregate to
all instalments secured by that Refund Guarantee which have been paid on or
before the Payment Date) and (2) 100 per cent. of any cash security
maintained with any Creditor Party in respect of the Advances; and  (iii)following any
re-allocation of an Advance pursuant to this Clause 4.13(c), the Agent shall
send the Borrower a table substantially in the form set out in Schedule 8
giving details of the manner in which the  6


Advances are
allocated between the various Ships subject to those Advances and the security
for the Advances;  (d)the
Borrower shall ensure that the Agent receives a notice by no later than 11.00 a.m.
(Greek time) 3 Business Days prior to a Payment Date notifying the Agent of the
Payment to be made on that Payment Date and the Payment Date shall be a
Business Day falling within the Availability Period for the relevant Advance;  (e)on
or before the date on which an Advance is re-allocated, the Borrower shall
ensure that it has complied with the applicable conditions precedent referred
to in Clause 10.1 (with all references in such Clause to an Approved Ship
being construed as references to an Additional Approved Ship);  (f)each
Advance in respect of, or allocated to, an Additional Approved Ship will be
treated as an Advance under Tranche B;  (g)on
or before the Delivery Date in respect of Additional Approved Ship A, the
Borrower shall provide the Agent and its legal advisers with satisfactory
evidence that Additional Approved Ship A will, as from the Delivery Date, be
subject to a 12-year charter with CMA CGM at a rate of $43,000 per day until September 2023;  (h)on
or before the Delivery Date in respect of Additional Approved Ship B, the
Borrower shall provide the Agent and its legal advisers with satisfactory
evidence that Additional Approved Ship B will, as from the Delivery Date,
subject to a 15-year charter with Yang Ming at a rate of $34,325 per day until July 2022;
and  (i)on
or before the Delivery Date in respect of Additional Approved Ship C, the
Borrower shall provide the Agent and its legal advisers receive satisfactory
evidence that Additional Approved Ship C will, as from the Delivery Date, be
subject to a 12-year charter with Hanjin Shipping at a rate of $54,000 per day
until December 2025;;  (l)by adding new Clauses 9.15 and 9.16 in
the Loan Agreement as follows:  9.15Repayment of Additional Approved Ship Tranches.Subject to Clause
9.16, each Additional Approved Ship Tranche shall be repaid in accordance with
Clause 9.1.  9.16Review of repayment of Additional Approved Tranches.  The Agent (acting upon the instructions of
all the Lenders) will, by no later than 31 January 2010, review, in
consultation with the Borrower, the repayment of each Additional Approved Ship
Tranche by reference to then prevailing conditions in the shipping and finance
markets.  Any amendments to the manner of
repayment will take effect as from 31 January 2010 subject to the Agent
having served a written notice on the Borrower with the new repayment schedule
at least (3) Business Days in advance.;  (m)by adding in the second line of Clause
10.1(b) and 10.1(c) thereof after the words Approved Ship, the
words or Additional Approved Ship;  (n)by adding a new Clause 12.24 in the
Loan Agreement as follows:  12.24Minimum Liquidity.The Borrower shall maintain throughout
the Security Period in the RCF & Swaps Cash Deposit Account an amount
in aggregate of not less than $53,793,000 (the Minimum Liquidity Amount) which may be applied in the following
manner (in the sole discretion of the Agent (acting upon the instructions of
the Majority Lenders)):  7


(a)first,
as security for any out of the market position in respect of any Transactions
entered into pursuant to the Stand-alone ISDA Agreement for amounts exceeding
in aggregate $15,000,000;  (b)secondly,
in satisfaction of any obligation of the Borrower to provide additional
security pursuant to Clause 16.1(i) or (ii); and  (c)thirdly,
any balance (in an amount not exceeding $37,750,000 in aggregate) shall be used
in funding the Hull 1022A Equity Payments in the following manner subject to no
Event of Default or Potential Event of Default being in existence at the
relevant time:  (i)an amount of up
to the lesser of (aa) $4,700,000 and (bb) 20 per cent. of the second instalment
payable pursuant to the Additional Approved Shipbuilding Contract A may be used
in paying part of the second instalment;  (ii)an amount of up
to the lesser of (aa) $4,700,000 and (bb) 20 per cent. of the third (keel
laying) instalment payable pursuant to the Additional Approved Shipbuilding
Contract A may be used in paying part of the third instalment;  (iii)an amount of up to the
lesser of (aa) $4,850,000 and (bb) 20.6 per cent. of the fourth (launching)
instalment payable pursuant to the Additional Approved Shipbuilding Contract A
may be used in paying part of the fourth instalment; and  (iv)an amount of up to the
lesser of (aa) $23,500,000 and (bb) 100 per cent. of the fifth (delivery)
instalment payable pursuant to the Additional Approved Shipbuilding Contract A
may be used in paying the whole of the fifth instalment;  (o)by adding a new Clause 12.25 in the
Loan Agreement as follows:  12.25     Additional
Security.The Borrower will:  (a)provide,
or ensure that a third party provides, additional security acceptable to the
Lenders if at any time the Minimum Liquidity Amount is insufficient to secure
the out of the market position in respect of any Transactions entered into
pursuant to the Stand-alone ISDA Agreement;  (b)ensure,
that if the circumstances referred to in paragraph (a) above or in Clause
16.1(i) apply at any time, the Security Trustee (or, as the case may be,
the Lenders) receive, in priority to other banks or financial institutions,
Security Interests over ships to be nominated by the Borrower to, and accepted
by, the Agent (acting on the instructions of the Majority Lenders) which, in
the opinion of the Majority Lenders, are sufficient to meet any shortfall under
Clause 16.1 or in respect of the out of the market position for any
Transactions entered into pursuant to the Stand-alone ISDA Agreement (with such
Security Interests being documented in such terms as the Agent may, with
authorisation from the Majority Lenders, approve or require);  (p)by deleting in the first line of Clause
13.3(b) thereof the words at any time and replacing them with the
following:  (i)at
any time during the Waiver Period and (ii) at any time thereafter (but
subject to Clause 13.8);  (q)by adding the words (other than during
the Waiver Period in the case of Clause 13.4(a) below) after the words at
all times in the first line of Clause 13.4 thereof;  (r)by adding a new Clause 13.8 as follows:  8


13.8Dividends.The Agent shall, with effect from the last
day of the Waiver Period (the Dividends
Review Date), review the restriction which is to apply to the
payment of dividends and any other forms of distribution pursuant to Clause
13.3(b) in order to determine the level of dividends which may be paid or
the distributions which may be made thereafter and shall consult with the
Borrower in good faith regarding the same by no later than the date falling 15
days prior to the Dividends Review Date. 
The Agent shall notify the Borrower in writing by no later than 3
Business Days prior to the Dividends Review Date of the provisions which are to
apply as from that date regarding the payment of dividends and any other forms
of distribution and Clause 13.3(b)(ii) will, and from that date, be
construed accordingly.;  (s)by deleting in its entirety Clause 16.1
thereof and replacing it with the following:  16.1Provision of
additional security cover; prepayment.The Borrower
undertakes with each Creditor Party that, if at any time the Agent notifies the
Borrower that:  (a)the aggregate of the Market Values of
the Mortgaged Ships (which expression shall include for the purposes of this
Clause 16.1, all the Alternative Ships (with the Market Value of each Alternative
Ship being calculated pursuant to Clause 16.5 on the assumption that, on the
date of determination of its Market Value, that Alternative Ship had already
been delivered to its Owner);  (b)the aggregate equity contributions of
the Borrower and/or the Owners towards the construction costs of the Additional
Approved Ships (including, without limitation, the H1022A Equity Payments);  (c)any part of the Minimum Liquidity
Amount which is standing to the credit of the Swaps Cash Deposit Account and/or
any other account in the name of the Borrower with the Agent; plus  (d)the net realisable value of any
additional security previously provided under this Clause 16,  is below the
Relevant Percentage (as hereafter defined) of the aggregate of the Loan, the Swap
Exposure and the Outstandings less the aggregate of all Pre-Delivery Advances,  the Borrower
will, within 14 Business Days after the date on which the Agents notice is
served, either:  (i)provide,
or ensure that a third party provides, additional security acceptable to the
Lenders which, in the opinion of the Majority Lenders, has a net realisable
value at least equal to the shortfall and which, if it consists of or includes
a Security Interest, covers such asset or assets and is documented in such terms
as the Agent may, with authorisation from the Majority Lenders, approve or
require; or  (ii)prepay in accordance with Clause 9 such
part (at least) of the Loan and/or procure cancellation of such part of the
Outstandings as will eliminate the shortfall.  In
this Clause 16.1, Relevant Percentage
means:  (a)during the Waiver Period, 100 per
cent.; and  (b)at all other times, 125 per cent.
(subject to the review of the Security Cover requirement to be made by the
Agent at the end of the Waiver Period pursuant to Clause 16.11);; and  9


(t)by adding a new Clause 16.11 in the
Loan Agreement as follows:  16.11Security Cover requirement.The Agent shall, with effect from the last
day of the Waiver Period (the Security Cover
Review Date), review the security cover requirement which is to
apply pursuant to this Clause 16 in order to determine the level of the
Relevant Percentage which is to apply thereafter and shall consult with the
Borrower in good faith regarding the same by no later than the date falling 15
days prior to the Review Date.  The Agent
shall notify the Borrower in writing by no later than 3 Business Days prior to
the Security Cover Review Date of the Relevant Percentage which is to apply as
from that date and the definition of Relevant Percentage will, as from that
date, be construed to mean the percentage referred to in the Agents notice to
the Borrower.;  (u)by adding a new Schedule 8 to the Loan
Agreement as follows:  SCHEDULE 8  Existing allocation of Pre-Delivery Advances  Ship allocated to
  Advance
  
  Exposure($)
  
  Refund Guarantees($)
  
  Cash($)HN S-461
  
  18,550,000
  
  58,096,000HN S-456
  
  39,879,840
  
  49,850,000HN S-457
  
  39,879,840
  
  49,850,000HN S-458
  
  39,879,840
  
  49,850,000HN S-459
  
  39,879,840
  
  49,850,000HN S-460
  
  39,879,840
  
  49,850,000HN H1022A
  
  18,800,000
  
  23,500,000HN H1022A (Performance
  Guarantee)
  
  35,250,000
  
  
  
  7,050,000Total
  
  271,999,200  New allocation of Pre-Delivery Advances  Ship allocated to
  Advance
  
  Exposure($)
  
  Refund Guarantees($)
  
  Cash($)HN S-461
  
  46,477,000
  
  58,096,000HN N-218
  
  15,840,000
  
  19,800,000HN S-458
  
  39,879,840
  
  49,850,000HN S-459
  
  39,879,840
  
  49,850,000HN S-460
  
  39,879,840
  
  49,850,000HN H1022A
  
  Transferred to H1022A TrancheHN H1022A(Performance Guarantee)
  
  Transferred to H1022A TrancheHN S461 & HN
  N218
  
  16,043,000
  
  
  
  16,043,000Total
  
  197,999,520  10


2Conditions.  Our consent to your requests is subject to
the condition that the Agent shall have received in form and substance
satisfactory to it and its legal advisers:  (a)evidence that the persons executing
this Supplemental Letter, the RCF & Swaps Cash Deposit Account Pledge,
the Mortgage Addenda and the Amendment Mortgage on behalf of the Borrower and
the Owners are duly authorised to execute the same;  (b)documents of the kind specified in
paragraphs 2, 3 and 4 of Schedule 3, Part A to the Loan Agreement in
relation to the relevant Owner in connection with their execution of the
Mortgage Addenda and the Amendment Mortgage updated with appropriate
modifications to refer to this Letter;  (c)an extract of the standing resolutions
of the Borrower signed by the Secretary of the Borrower pursuant to which the
persons who have executed this Supplemental Letter and the RCF & Swaps
Cash Deposit Account Pledge have derived their authority to do so;  (d)evidence that there is an amount of not
less than $53,793,000 in aggregate standing to the credit of the RCF &
Swaps Cash Deposit Account and any other account held in the name of the
Borrower with the Agent in Piraeus;  (e)evidence that the RCF & Swaps
Cash Deposit Account has been opened and all mandate forms, documentation
required by the Agent in relation to the Borrower and any Security Party
pursuant to the Agents know your customer requirements have been received;  (f)evidence that each of Teucarrier,
Expresscarrier and Cellcontainer is a direct or indirect wholly-owned
subsidiary of the Borrower;  (g)receipt of an original of each Mortgage
Addendum and Amendment Mortgage duly signed by the relevant Owner and evidence
satisfactory to the Agent and its lawyers that the same has been registered as
a valid addendum, or amendment as the case may be, to the applicable Mortgage
in accordance with the laws of Panama and Malta (as the case may be);  (h)such legal opinions as the Agent may
require in respect of the matters contained in this Supplemental Letter, the
RCF & Swaps Cash Deposit Account Pledge, the Mortgage Addenda, the
Amendment Mortgage and any other Finance Document entered into pursuant to this
Supplemental Letter;  (i)evidence that the agent referred to in
clause 30.4 of the Loan Agreement has accepted its appointment as agent for
service of process under this Supplemental Letter, the RCF & Swaps
Cash Deposit Account Pledge and any other Finance Document entered into
pursuant to this Supplemental Letter; and  (j)on or before the date of this
Supplemental Letter we have received the fee payable pursuant to Clause 4(a) below.  3Representations and Warranties.The Borrower
represents and warrants to the Agent that:  (a)the representations and warranties in
Clause 11 of the Loan Agreement, as amended and supplemented by this
Supplemental Letter, remain true and not misleading if repeated on the date of
this Supplemental Letter with reference to the circumstances now existing; and  (b)the representations and warranties in
the Finance Documents (other than the Loan Agreement) to which it is a party,
as amended and supplemented by this Supplemental Letter remain true and not
misleading if repeated on the date of this Supplemental Letter with reference
to the circumstances now existing.  4Fees and Expenses.  The Borrower will pay (or, in the case of
paragraph (a) below, has paid) to the Agent:  11


(a)on the date of
acceptance of the Agents commitment letter dated 19 May 2009, a
non-refundable fee of $100,000 (for the sole account of the Agent);  (b)on the Drawdown
Date of the first H1022A Predelivery Advance to be drawn down following the
date of this Supplemental Letter, a non-refundable fee of $166,250
(representing 0.175 per cent. of the maximum amount of the H1022A Tranche));  (c)on the Drawdown
Date of the first Advance which will be used to finance the acquisition of
Additional Approved Ship B, a non-refundable fee of $140,000 (representing
0.175 per cent. of the maximum amount of the Advances which may be used to
finance the acquisition of Additional Approved Ship B, being $80,000,000); and  (d)on the Drawdown
Date of the first Advance which will be used to finance the acquisition of
Additional Approved Ship C, a non-refundable fee of $206,500 (representing
0.175 per cent. of the maximum amount of the Advances which may be used to
finance the acquisition of Additional Approved Ship C, being $118,000,000).  5Notices.The
provisions of Clause 29 (Notices) of the Loan Agreement shall apply as if they
were expressly incorporated herein.  6Governing law.This
letter shall be governed by and construed in accordance with English law and
the provisions of Clause 35 (Law and Jurisdiction) of the Loan Agreement shall
apply to this letter as if they were expressly incorporated herein.  Unless amended by the terms of this letter, the provisions
of the Loan Agreement and the other Finance Documents shall remain in full
force and effect.  Please confirm your acceptance to the foregoing terms and conditions
by signing the acceptance and acknowledgement below.  Yours faithfully   /s/ Alex Rodopoulosfor and on behalf ofTHE ROYAL BANK OF SCOTLAND plc   We hereby acknowledge
receipt of the above letter, confirm our agreement to the terms of the same.   /s/ Iraklis Prokopakisfor and on behalf ofDANAOS
  CORPORATION  Date: June 26, 2009  12


We hereby confirm and
acknowledge that we have read and understood the terms and conditions of the above
letter and agree in all respects to the same and confirm that the Finance
Documents to which we are a party shall remain in full force and effect and
shall continue to stand as security for the obligations of the Borrower under
the Loan Agreement.   /s/ Zoe Lappa
  
  /s/ Zoe Lappafor and on behalf of
  
  for and on behalf ofFEDERAL MARINE INC.
  
  AUCKLAND MARINE INC./s/ Zoe Lappa
  
  /s/ Zoe Lappafor and on behalf of
  
  for and on behalf ofSEACARRIERS SERVICES INC.
  
  WELLINGTON MARINE INC./s/ Zoe Lappa
  
  /s/ Zoe Lappafor and on behalf of
  
  for and on behalf ofMEGACARRIER (NO. 1) CORP
  
  TEUCARRIER (NO. 5) CORP./s/ Zoe Lappa
  
  /s/ Zoe Lappafor and on behalf of
  
  for and on behalf ofMEGACARRIER (NO. 3) CORP
  
  MEGACARRIER (NO. 2) CORP./s/ Zoe Lappa
  
  /s/ Zoe Lappafor and on behalf of
  
  for and on behalf ofMEGACARRIER (NO. 5) CORP
  
  MEGACARRIER (NO. 4) CORP./s/ Zoe Lappa
  
  /s/ Zoe Lappafor and on behalf of
  
  for and on behalf ofSEACARRIERS
  LINES INC.
  
  SPEEDCARRIER
  (NO. 7) CORP  13


/s/ Zoe Lappa
  
  /s/ Zoe Lappafor and on
  behalf of
  
  for and on
  behalf ofCELLCONTAINER (NO. 6) CORP.
  
  SPEEDCARRIER (NO. 6) CORP/s/ Zoe Lappafor and on
  behalf ofSPEEDCARRIER (NO. 8) CORPDate: June 26, 2009  14