Danaos Corporation Announces Implementation of Dividend Reinvestment Plan

Danaos Corporation (“Danaos”) (NYSE: DAC) announced today that its Board of Directors (the “Board”) has approved a dividend reinvestment plan (the “plan”). The plan offers holders of Danaos common stock the opportunity to purchase additional shares by having their cash dividends automatically reinvested in Danaos common stock. Participation in the plan is optional, and stockholders who decide not to participate in the plan will receive cash dividends, as declared and paid. All dividends with respect to Danaos’s common stock are payable only when, as and if declared by the Board.

The following is a summary of the key attributes of the plan. The terms and conditions of the plan are set forth under the heading “Description of Plan” in the prospectus available as part of the registration statement filed by Danaos with the Securities and Exchange Commission (the “SEC”) on the SEC’s website, EDGAR (http://www.sec.gov). Stockholders should read the plan prospectus carefully before electing to participate in the plan or invest in Danaos common stock.

The plan will be administrated by American Stock Transfer & Trust Company, LLC (the “Administrator”), Danaos’s transfer agent. At Danaos’s discretion, the Administrator will make such purchases directly from Danaos, on the open market, through privately negotiated transactions or by a combination of the foregoing. Purchases directly from Danaos may be eligible for a discount of up to 5% from the otherwise applicable purchase price, but any such discount is to be determined by the Board, in its sole discretion, and may be changed or discontinued at any time without notice to plan participants. Danaos has instructed the Administrator that, until further notice, all purchases under the plan shall be made directly from Danaos at a discount of 3% to the Market Price (as defined in the plan).

Plan enrollment materials and information will be distributed to the Danaos’s stockholders of record. Record owners of Danaos common stock may participate in the plan by submitting a properly completed plan enrollment form to the Administrator. Beneficial owners of Danaos common stock may participate in the plan either by becoming a record owner in respect of the shares they would like to enroll in the plan and then submitting a properly completed enrollment form to the Administrator or by arranging for the broker, bank or other nominee that is the record owner in respect of such shares to participate in the plan on their behalf. If a plan enrollment form is received by the Administrator on or prior to the record date established for a particular dividend, reinvestment will commence with that dividend. Enrollment forms of stockholders who wish to participate in the plan for the dividend declared on May 10, 2021 must be received by the Administrator no later than May 27, 2021. For more information on how to enroll or any other inquiries, contact the Administrator by phone at (800) 278-4353 or via the Internet at www.astfinancial.com.

The offering is being made only by means of a prospectus. Danaos has filed a registration statement (including the prospectus) relating to the plan with the SEC. A copy of the registration statement (including the prospectus) is available electronically from EDGAR (http://www.sec.gov) and may also be obtained from the Administrator by phone at (800) 278-4353 or via the Internet at www.astfinancial.com.

This release does not constitute an offer to sell, or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About Danaos Corporation

Danaos Corporation is one of the largest independent owners of modern, large-size containerships. Danaos’s current fleet of 65 containerships aggregating 403,793 TEUs, including five vessels owned by Gemini Shipholdings Corporation, a joint venture, ranks Danaos among the largest containership charter owners in the world based on total TEU capacity. Danaos’s fleet is chartered to many of the world’s largest liner companies on fixed-rate charters. Danaos’s long track record of success is predicated on Danaos’s efficient and rigorous operational standards and environmental controls. Danaos Corporation’s shares trade on the New York Stock Exchange under the symbol "DAC".

Forward-Looking Statements

Matters discussed in this release may constitute forward-looking statements within the meaning of the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements reflect our current views with respect to future events and financial performance and may include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The forward-looking statements in this release are based upon various assumptions. Although Danaos Corporation believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, Danaos Corporation cannot assure you that it will achieve or accomplish these expectations, beliefs or projections. Important factors that, in our view, could cause actual results to differ materially from those discussed in the forward-looking statements include the impact of the COVID-19 pandemic and efforts throughout the world to contain its spread, including effects on global economic activity, demand for seaborne transportation of containerized cargo, the ability and willingness of charterers to perform their obligations to us, charter rates for containerships, shipyards performing scrubber installations, drydocking and repairs, changing vessel crews and availability of financing; Danaos’s ability to achieve the expected benefits of its debt refinancing and comply with the terms of its new credit facilities; the strength of world economies and currencies, general market conditions, including changes in charter hire rates and vessel values, charter counterparty performance, changes in demand that may affect attitudes of time charterers to scheduled and unscheduled dry-docking, changes in Danaos Corporation's operating expenses, including bunker prices, dry-docking and insurance costs, ability to obtain financing and comply with covenants in our financing arrangements, actions taken by regulatory authorities, potential liability from pending or future litigation, domestic and international political conditions, potential disruption of shipping routes due to accidents and political events or acts by terrorists.

Risks and uncertainties are further described in reports filed by Danaos Corporation with the U.S. Securities and Exchange Commission.

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