OREANDA-NEWS. July 18, 2016. Overseas Shipholding Group, Inc. (NYSE:OSG) (the “Company” or “OSG”) announced today the filing of a registration statement on Form 10 with the U.S. Securities and Exchange Commission (“SEC”), in connection with the Company’s previously announced plan to separate its international and domestic businesses. OSG expects that any separation would be achieved through a spin-off of OSG International, Inc. (“OIN”) in the second half of 2016 to create two standalone publicly traded companies, each of which will be better able to focus on its own business, creating the potential to enhance the long-term performance and shareholder value of each company.

“The filing of the Form 10 is an important step in the execution of our plan to create two industry-leading independent public companies,” said Captain

Ian T. Blackley, OSG’s president and CEO. “Separating our international and domestic businesses will allow each company to more effectively pursue their distinct operating priorities and strategies and better enable management of both companies to capitalize on opportunities for long-term growth and profitability. Both businesses will continue to provide safe, reliable, high-quality transportation services to our customers in each sector.”

OSG International, Inc.

OIN owns and operates one of the largest fleets of international crude and product tankers worldwide. At June 30, 2016, OIN owned or operated a fleet of 55 vessels with a combined capacity of approximately 6.5 million deadweight tons and 864,800 cubic meters. OIN’s operating fleet comprises one ULCC, eight VLCCs, eight Aframaxes/LR2s, 12 Panamaxes/LR1s and 20 MR tankers. Through joint venture partnerships, OIN has ownership interests in four liquefied natural gas carriers and two floating storage and offloading service vessels.

Overseas Shipholding Group, Inc.

After the spin-off, OSG will consist of the currently existing U.S. Flag business, which operates the largest fleet of tankers and ATBs in the Jones Act industry. At June 30, 2016, the 24-vessel fleet consisted of eight ATBs, two lightering ATBs, three shuttle tankers, nine MR tankers, and two non-Jones Act MR tankers that participate in the U.S. Maritime Security Program.

Spin-Off Remains Subject to Various Conditions

The spin-off and timing remains subject to approval of the OSG board of directors and the satisfaction of various other conditions, including the effectiveness of the registration statement on Form 10. OSG may, at any time, decide to abandon the spin-off.

About OSG

Overseas Shipholding Group, Inc. (NYSE: OSG) is a publicly traded tanker company providing energy transportation services for crude oil and petroleum products in the U.S. and International Flag markets. OSG is committed to setting high standards of excellence for its quality, safety and environmental programs. OSG is recognized as one of the world’s most customer-focused marine transportation companies and is headquartered in New York City, NY. More information is available at www.osg.com.

Forward-Looking Statements

This release contains forward-looking statements. In addition, the Company may make or approve certain statements in future filings with the Securities and Exchange Commission (SEC), in press releases, or in oral or written presentations by representatives of the Company. All statements other than statements of historical facts should be considered forward-looking statements. These matters or statements may relate to the Company’s plans to issue dividends and make payments to securityholders, its prospects, including statements regarding trends in the tanker and articulated tug/barge markets, and possibilities of certain strategic alliances and investments. Forward-looking statements are based on the Company’s current plans, estimates and projections, and are subject to change based on a number of factors. Investors should carefully consider the risk factors outlined in more detail in the Company’s Annual Report for 2015 on Form 10-K and in OIN’s Registration Statement on Form 10 under the caption “Risk Factors” and in similar sections of other filings made by the Company and OIN with the SEC from time to time. The Company assumes no obligation to update or revise any forward-looking statements. Forward-looking statements and written and oral forward looking statements attributable to the Company or its representatives after the date of this release are qualified in their entirety by the cautionary statements contained in this paragraph and in other reports previously or hereafter filed by the Company with the SEC.