Tsakos Energy Navigation Reports Record Profits For First Quarter 2007

FIRST QUARTER HIGHLIGHTS

€¢ Net revenue of $96.49 million up from $75.61 million in the first quarter of 2006

€¢ Net income of $43.47 million compared to $41.77 million in first quarter 2006

€¢ Earnings per share (basic) $2.28 up 4.1% from first quarter 2006

€¢ Delivery and charter of four vessels including the Company's first LNG carrier (Arctic, Izumo Princess, Andromeda and Neo Energy)

€¢ Repurchase of the 1999-built Aframax Olympia at a significant discount to market value

€¢ Sale of the 1989-built Panamax Bregen for a $6.40 million capital gain

€¢ Semi-annual dividend of $1.50 per share, paid April 26, 2007 raising the dividend for 2006 operations to $2.75 per share from $2.10 for 2005 operations

€¢ Entered fourteenth year in the public markets, celebrated 5th anniversary of listing on the New York Stock Exchange

Athens, Greece- May 22, 2007- Tsakos Energy Navigation Limited (TEN) (NYSE: TNP) today reported results (unaudited) for the first quarter of 2007. Revenue, net of voyage expenses and commissions, was $96.49 million in the first quarter of 2007 as compared with $75.61 million in the same quarter of 2006. TEN deployed 37.7 vessels in the 2007 quarter versus 27.1 in the 2006 period.

The average time charter equivalent (TCE) was $31,649 against $33,128 in the first quarter 2006. Fleet utilization was 94.4% compared with 99.2% in the first quarter of 2006, due to the dry docking of the Aframax crude carrier Vergina II for a mandatory special survey and double-hull conversion, and the Aframax product carrier Propontis for repairs. Vessel operating expenses per ship per day increased to $7,292 compared with $6,931 in the first quarter of 2006. This resulted principally from the impact of

higher crew expenses due to the weakening of the US dollar, and higher repair and spares costs.

Depreciation and dry-docking amortization costs were $18.87 million versus $12.10 million in the first quarter of 2006 reflecting the material fleet expansion experienced since the first quarter of last year.

Management fees in the first quarter of 2007 were $2.20 million as against $1.40 million in the same quarter of 2006. This increase was due to fleet expansion and the predetermined increase in fees which became effective in January 2007. General and administrative expenses increased to $0.82 million from $0.47 million in the same quarter last year due to higher Sarbanes-Oxley compliance costs and a more active investor relations schedule. TEN realized a capital gain of $6.40 million from the sale of the Bregen in the first quarter of 2007. There were no capital gains in the first quarter of 2006. Operating

income was $53.6 million compared to $41.9 million in the previous year quarter, a 28.0% increase.

Interest and finance costs, net of interest income, were $9.5 million as against $0.84 million in the like quarter of 2006 due to the increase in loans necessary for financing the significant growth of the fleet. This higher interest cost was partially offset by increases in interest and investment income, $5.99 million this quarter versus $2.78 million in the first quarter of 2006. Income before depreciation charges was $61.61 million in the 2007 quarter as compared to $52.45 million in the 2006 period. Net Income was a record $43.47 million as compared to $41.77 million in the first quarter of 2006. Basic earnings per share rose 4.1 % from $2.19 to $2.28.

"Net Income in the first quarter of 2007 exceeded the superb results realized in the first quarter of 2006," observed Mr. D. John Stavropoulos, Tsakos Energy Navigation's Chairman of the Board. "Fleet modernization and expansion, combined with a balanced employment strategy and thoughtful expense containment, produced outstanding operating results." Mr. Stavropoulos further stated, "The financial strength of TEN combined with its long history of solid performance has been rewarded by its creditors with smaller interest margins. These factors complemented by growth have built shareholder value through secular earnings advances and increasing dividends. These dynamics are beginning to be reflected in the share price."

Full report link: http://www.newsandearnings.com/ViewFile.asp?ID1=24508&ID2=116873870&ssid=3&directory=12054&bm=0&filename=052207_Tsakos_Earnings_FINAL.pdf

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