FreeSeas Announces Receipt of NASDAQ Minimum Market Value of Publicly Held Shares Non-Compliance Letter

FreeSeas Inc. FREE today announced it has received a deficiency letter from NASDAQ stating that, because the Company has not maintained a minimum Market Value of Publicly Held Shares (the "MVPHS") of $5,000,000 for the last 30 consecutive business days, the Company is no longer in compliance with NASDAQ Listing Rule Section 5450(b)(1)(C). In order to regain compliance, FreeSeas has until July 2, 2012 for the Company's MVPHS to meet or exceed $5,000,000 for a minimum of 10 consecutive business days. If FreeSeas has not regained compliance by the expiration of the initial 180 calendar days, NASDAQ will then provide written notification to the Company that its common stock is subject to delisting. If at any time during this 180-day period the Company's MVPHS meets or exceeds $5,000,000 for a minimum of 10 consecutive business days, NASDAQ will provide written confirmation of compliance and matter will be closed.