Vessel Schedule Recovery Measures - Transpacific Trade

The Transpacific Trade is currently going through unprecedented times. The vessels, port infrastructure and inland logistics supporting the cargo movements are stretched beyond their capacity and have been so for several months. As a result, ships are waiting in line significantly longer than normal both in Asian and North American ports, leading to vessels being days and in many cases weeks behind their normally scheduled dates of call.

We have in past years been able to react to such situations by adding recovery vessels to cover these open positions to ensure that we continued to offer a weekly service, however as our fleets are fully deployed and stretched beyond capacity this is regretfully currently not an option.

We therefore have no choice but to implement a comprehensive schedule recovery plan to get vessels back in their intended positions. This will result in some services not having a sailing for one to two weeks. It is important to emphasize that vessels will not be idling at any time and we will perform as many voyages as possible.

Following are the voyages that will not be performed during the month of February to help to recover the schedules:

PSW:

• FTP week 7
• PS3 week 8
• PS4 weeks 6 and 7
• PS5 weeks 6 and 7
• PS6 weeks 6 and 7
• PS7 week 6
• PS8 weeks 6 and 8

PNW:

• PN1 week 7
• PN2 week 5
• PN3 week 6 and 8
• PN4 week 6 and 8

USEC:

• EC2 week 7
• EC3 will continue to run bi-weekly
• EC4 week 5

We realize this will have an effect on your business and we will do our best to offer alternative solutions. We ask for your understanding in this respect.