Eimskip Global News 2015

GLOBAL NEWS2015

SHIPPING 101

EIMSKIP STRENGTHENS ITS OPERATION EVEN MORE

EIMSKIP SERVICE PORTFOLIO

THE VOYAGE HOME

2

TABLE OF CONTENTSSHIPPING 101 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

THE HOME MARKET . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

THE GREEN LINE DIRECT LINK BETWEEN EUROPE AND NORTH AMERICA . . . . 5

KEEPING IT COOL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

EIMSKIP STRENGTHENS ITS OPERATION EVEN MORE . . . . . . . . . . . . . . 7-8

KEY FIGURES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

EIMSKIP’S DEDICATED REEFER SOLUTIONS . . . . . . . . . . . . . . . . . . 10-11

GLOBAL NETWORK . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12-13

EIMSKIP SERVICE PORTFOLIO . . . . . . . . . . . . . . . . . . . . . . . . . 14-15

LOGISTICS PARTNER FOR THE 24 HOUR RACE IN DUBAI 2015 . . . . . . . . . . 16

COOL LOGISTICS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

THE VOYAGE HOME . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18-19

EIMSKIP’S 100TH ANNIVERSARY . . . . . . . . . . . . . . . . . . . . . . . . . 20

NEARLY A CENTURY OF DEVELOPMENT . . . . . . . . . . . . . . . . . . . . . 21

EIMSKIP CHINA 10-YEAR ANNIVERSARY . . . . . . . . . . . . . . . . . . . . . 21

AK EXTREME! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

CHARITY DONATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

TRADE SHOWS ALL OVER THE WORLD . . . . . . . . . . . . . . . . . . . . . 23

PublisherEimskipKorngardar 2104 ReykjavikIcelandTelephone +354 525 7000E-mail: [email protected]: eimskip.com

EditorsÓlafur William HandDagný JónsdóttirHermann Sigurðsson

ProductionEimskip Marketing

PrintingLitróf printing, Iceland

PaperArctic Volume White by Arctic Paper

The printing of this magazine has Nordic Swan Ecolabel accreditation.

The paper used for the magazine has Nordic Swan Ecolabel accreditation an carries the FSC label.

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In the transportation industry, a great deal has changed since Eimskip was founded 101 years ago. The company is still going strong, both businesswise and financially. Last year, we celebrated both Eimskip’s 100th anniversary and the company’s first ten years in Asia, being one of the leaders in reefer forwarding services.

Eimskip’s vision is to be a leading transportation company in the North Atlantic, providing outstanding services through a de-pendable transport system and an extensive worldwide network of reefer logistics services.

Today, Eimskip runs a network of 55 own offices and works with 68 associates in a total of 46 countries. The company employs a to-tal of 1,400 employees. It operates 16 vessels, twelve of which are on scheduled services, two in spot services, one used for bulk cargo and one used as a ferry. Eimskip has defined its home market from the north and west coast of Norway to the east coast of North Ameri-ca, or Norway, the Faroe Islands, Iceland, and Newfoundland. These countries are all rich in natural resources.

The continuous task ahead is to improve our liner services in the North Atlantic, expand our range of services in the company’s home market, and fine-tune our customer services and interna-tional forwarding services.

The latest change, made to our sailing system in the North At-lantic in February, was to combine three vessel systems under the name Green Line, our former Green and Red Lines. The Green Line was serving between Iceland and North America, and the Red Line was serving from the Icelandic coast to Europe. With this change, we are connecting Europe and North America on a direct route without transshipments and are adding frequency by five voyages a year. This will benefit our port calls in Argentia and St. Anthony in Newfoundland, Halifax in Nova Scotia, and Portland, Maine. Our transportation system remains organic and is wholly dependent on how efficient it is at every given moment, depending on the needs of our customers.

Eimskip’s forwarding services include international reefer and general forwarding, concentrating mainly on Asia, Europe, and North America. The forwarding services are transportation solu-tions which are outside the company’s own transportation system, but nevertheless the forwarding services and the liner services support each other. The international forwarding market is diverse and very competitive. We have managed to follow our customers in their globalization by creating a service network in cooperation with various transportation companies all over the world. The forwarding

services have been growing year by year.

Eimskip’s strategy is to grow organically, but also through a very strategic process of mergers and acquisitions. We have, through our investments in the operation of the cold storage of St. Anthony and by aquiring the forwarding com-pany CargoCan in Newfoundland, strengthened our service network in the fast growing market of New-foundland. Our plans are also to keep on building and investing in Portland, Maine in the near future, in order to finalize and strengthen the infrastructure in the New England area. In Europe, we finalized early this year the acquisition of Jac. Meisnera forwarding company in the Netherlands that will support our growth in Europe. Eimskip will from the first of March take over the warehouse operation of Damco in Aarhus Denmark, beeing the largest provider of 3rd party logistics in this second biggest port in Scandinavia. Early this year, we also established Eimskip & KCie GmbH & Co. KG, a ship manage-ment company in Hamburg in Germany. The intention is to better support the managing of our vessel fleet in the future.

Eimskip is observing various opportunities in the Arctic, which due to global warming, is rapidly opening up. These opportunities are related to port operations, specialized transportation and services for oil exploration, mining, fisheries, and various other ventures in and close to the Arctic region.

It is one of Eimskip’s duties to make sure that environmental issues are not forgotten. We are actively participating in discuss-ing potential environmental risks and finding ways to minimize the costs to the operations in the North. Iceland’s sovereignty and its strategic geopolitical location make it an ideal platform for such discussions.

I am very optimistic about the future of Eimskip. Our operations in our home market will continue to grow in the foreseeable future, and we are constantly looking for ways to improve our customer services and our international freight forwarding services. We are energetic, ambitious, and focused on the tasks ahead and with increased opportunities discovered in the North Atlantic and in the Arctic. I am certain that Eimskip’s future is exciting and bright, guided by our values: Achievement, Cooperation, and Trust. •

SHIPPING 101

Gylfi Sigfússon, President and CEO

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TvøroyriFaroe Islands

KlaksvíkFaroe Islands

ArgentiaNL, Canada

BostonMA, United States

BergenNorway

MåloyNorway

ÅlesundNorway

SandnessjoenNorway

HammerfestNorway

MurmanskRussia

KirkenesNorway

SortlandNorway Båts�ord

Norway

StavangerNorway

HalmstadSweden

FredrikstadNorway

RigaLatvia

VigoSpain

LisbonPortugal

PortoPortugal

HelsinkiFinland

St. PetersburgRussia

SzczecinPoland

GdyniaPoland

KlaipedaLithuania

GrimsbyEngland

ImminghamEngland

ÅrhusDenmark

VestmannaeyjarIceland

TÓRSHAVNFaroe Islands

HamburgGermany

ROTTERDAMThe Netherlands

NuukGreenland

AkureyriIceland

Ísa�ördurIceland

GrundartangiIceland Reydar�ördur

Iceland

HalifaxNS, Canada

REYKJAVÍKIceland

AberdeenScotland

ScrabsterScotland

VelsenThe Netherlands

PortlandMaine, United States

St. AnthonyNL, Canada

TromsøNorway

SwinoujsciePoland

gray line

partner route

possible arctic sailing route

freight forwarding

optional port / seasonal route

orange line

green line

blue line

port

partner port

transit hub

yellow line

Core operationsEimskip’s vision is to be a leading transportation company in

the North Atlantic. Executing this vision requires custom-made transportation solutions, solutions which have been developed throughout the company’s 100 years of history. Today, the home market sailing system reaches from Russia’s Kola Bay and the Norwegian coast in the northeast to Europe and stretches to Portland, in New England, USA. On average, Eimskip is calling close to 40 ports in the North Atlantic east and west regions on a weekly basis. No other transportation company in the North Atlantic offers the same coverage in the region.

Support and benefit from core operations Eimskip’s goal is to provide its customers with total trans-

portation solutions and full supply chain needs, many of which are tailored to meet the specific needs and logistic challenges of its customers. Eimskip’s support activities are assets that are strategically located to support the home market and the supply chain needs of its customers, whether it is operation of container terminals or domestic distribution system.

The supply chain infrastructure and resources are integrated solutions designed in combination with own-acquired assets and third party assets, building a solid transportation solutions in often remote areas.

The transportation system remains organic and is wholly de-pendent on how efficient it is at every given solutions and mar-kets, therefore the company is constantly reviewing its routes and services and will continue to be a leading service provider in the region. •

THE HOME MARKET

349714Iceland Europe and North America

trucks, vans, and trailers

365

11 25Europe and North America

warehouses

Iceland

14

82354Iceland Europe and North America

container cranes and forklifts

272

6 11Europe and North America Iceland

chilled and cold storage facilities

4 1 Asia

10,97319,638Reefer containers Dry containers Other containers

teu

5,685 2,980


Optional Port / Seasonal Route

Green Line

Port

Transit Hub ROTTERDAMThe Netherlands

ImminghamEngland

Ísa�ördurIceland Akureyri

Iceland

SortlandNorway

ArgentiaNL, Canada

HalifaxNS, Canada



REYKJAVÍKIceland

THE GREEN LINE DIRECT LINK BETWEEN EUROPE AND NORTH AMERICA

Eimskip decided to combine its Green and Red Lines in the company’s sailing schedule. The Green Line has served between Iceland and North America with a port call in Sortland in Norway. Containers with origin in Europe and Scandinavia have been transshipped to the Green Line in Reykjavík. The Red Line has served between Iceland and Europe and on the coastal route in Iceland. Combination of the two routes forms the basis of increased service reliability between Europe and North America.

The new route is named the Green Line, and three ves-sels are serving on this combined route as before. They sail direct between Europe and North America, with calls in at least three Icelandic ports to serve importers and exporters in Iceland. The ports of call on the Green Line are the same as on the previous routes, but the change creates direct sailings between Europe and North Ameri-

ca, without transshipment in Reykjavík like before.The change further strengthens the selling of services

between North America and Europe and will increase the service reliability since connections between the company’s different sailing routes have sometimes been jeopardized, mainly due to adverse weather conditions. The change will increase the total number of voyages per year between Eu-rope and North America by five.

Gylfi Sigfússon, President and CEO“We are pleased to offer increased frequency and direct

services between Europe and North America since trans-ported volumes to and from the United States and New-foundland have been increasing. We are also better able to respond to our customers’ needs for direct services without transshipments.” •

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Eimskip offers storage for frozen and chilled products in many countries around the world. Fish and other refrigerated cargo is transported from North Atlantic with Eimskip reefer vessels and discharged and stored in various refrigerated warehouses, waiting to be sold and forwarded in smaller quantities to buyers across the world.

Eimskip provides the complete logistical package for the storage of frozen and chilled products. We find the appropriate refrigerated warehouse, with the best price and location, take care of all formal-ities, manage our customer‘s stock, and arrange the distribution of shipments by road, railway, or any other form of transport.

Eimskip in cooperation with the port authorities in Qingdao

Eimskip signed a joint venture contract with the port authorities in the city of Qingdao in China, regarding operation of a 55,000-ton cold storage. The cold storage has been operated by A1988 hf., for-merly known as Eimskipafélag Íslands, since 2007.

According to the joint venture contract, Eimskip will become a 30% partner in a new joint venture company where the port authori-ties will own 70%. Involvement of the Qingdao port authorities is an important factor in strengthening the operation of the cold storage, as various changes are planned in the port’s environment that the operation will benefit from in the near future. The port authorities have selected Eimskip as a partner to develop transport-related services to importers and exporters in reefer forwarding business, which Eimskip is specialized in.

The cold storage in Qingdao is located at the city’s container ter-minal, which is the seventh largest container port in the world, with a turnover of about 15.5 million TEU per year. Approximately 80 em-ployees will be working in the new company, and annual revenue at the outset is expected to be in the amount of about EUR 4.5 million.

Eimskipafélag Íslands builds a 10,000-ton cold storage facility in Iceland

Eimskip has decided to embark on the construction of a high-tech, 10,000-ton cold storage facility at its operating site in Hafnarfjörður. The decision is made in light of the considerable recent increases in the fishing and processing of pelagic species, which calls for increasing cold storage services. In addition, there is increasing demand for warehouse hotel services for frozen consumer goods. Since 1970, Eimskip has had operations in Haf-narfjörður, where it operates the cold storage facility Fjarðar-frost. Fjarðarfrost’s capacity is approximately 3,000-tons. The company also operates extensive discharging services for the fishing industry together with related services. •

KEEPING IT COOL

KLAKSVÍKFaroe Islands

KIRKENESNorway

SORTLANDNorway

HELSINGBORGSweden


HAFNARFJÖRÐURIceland

REYKJAVÍKIcelandHARBOUR GRACE

NL, Canada

ST. ANTHONYNL, Canada

QINGDAOChina

Our services include:• Full-scope trawler

discharging services• Re-packing and re-labeling• Small packaging for retail• Laboratory and inspections• Customs and documentation

formalities

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Eimskip acquires Jac. Meisner Eimskip has strengthened its position in worldwide reefer lo-

gistics services with an acquisition of the forwarding company Jac. Meisner Internationaal Expeditiebedrijf B.V. in the Netherlands.

The company Jac. Meisner was founded in 1959 and is located in the port of Rotterdam. The company’s main expertise is custom brokerage, veterinary and agricultural inspection, and the receiv-ing and checking of frozen and chilled cargo with origin all over the world for import into European countries. The company’s annu-al turnover amounts to approximately EUR 7.5 million, and with expected synergy with Eimskip, the estimated EBITDA margin of the company will be 8–9%. The acquisition will strengthen the services to Eimskip’s customers, and the customers of Jac. Meisner will also benefit from Eimskip’s global network. The transaction is a part of Eimskip’s strategy of external growth and will further strengthen the company’s worldwide reefer logistics services. •

EIMSKIP STRENGTHENS ITS OPERATION EVEN MORE

Eimskip and König & Cie. establish a joint venture in Hamburg, Germany

Eimskip and the company König & Cie. Holding GmbH & Co. KG in Germany have established a joint venture company named “Eimskip & KCie GmbH & Co. KG”. The new company will be spe-cialized in ship management and trading. The ownership will be 80% by Eimskip and 20% by König & Cie.

The new company will create synergy in vessel operation, in-cluding technical management, chartering, sale and purchase, new building projects, and various other ship management and investment projects. Eimskip’s aim has through the years always been to optimize and secure the operation of Eimskip’s vessel fleet, and with this joint alliance with König & Cie., Eimskip will even further strengthen its operations. •

Alcoa Fjardaál and Eimskip renegotiate stevedoring agreement for Mjóeyri Harbor

Alcoa renegotiated agreements with Eimskip following an international tender on stevedoring services for the smelter in Mjóeyri Harbor in Reydarfjordur for the next five years. Eimskip has provided these services for Fjardaál ever since the smelter started operations in 2007.

Eimskip has already entered into investments of around ISK two billion (over USD 16 million) in East Iceland related to the ser-vices for Alcoa Fjardaál and other operations in the area. Around 100 employees are now working for Eimskip to prepare products for export and provide harbor services as well as container and local transport services.

After Mjóeyri Harbor was constructed by the smelter site, trans-port to and from East Iceland has increased significantly, and now around 1.5 million metric tons pass through the harbour each year. •

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Eimskip invests in infrastructure in Grundartangi, Iceland

Eimskip has signed a purchase agreement for three lots at the industrial and harbor area in Grundartangi, Iceland. The total size of the purchased land is 22,410 sq. meters. A comprehensive construction is planned in this area by various parties, in which Eimskip intends to participate with this investment.

Concurrent with the investment, the company has bought two new harbor cranes of the type TREX Gottwald GHMK 6507. The cranes are electrically driven and are therefore more envi-ronmentally friendly than the older cranes powered by fuel. This is in accordance with Eimskip’s environmental policy which e.g. aims at minimizing the release of carbon dioxide. Furthermore, the cranes will increase safety and reliability during the unload-ing and loading of the company‘s vessels.

Eimskip‘s total investment in these projects amounts to ap-proximately EUR 8 million. •

Eimskip takes over the warehouse operation of Damco in Aarhus

Eimskip will strengthen its position in warehouse services in Denmark by entering into a strategic partnership with Dam-co and taking over a 15,500-square-meters warehouse opera-tion. Eimskip has been operating a warehouse of 6,000-square meters, and with the agreement with Damco, the merged warehouse will be 21,500-square-meters in total. After the changes, Eimskip will be the largest third-party logistics pro-vider in Aarhus.

Aarhus is the second largest port in Scandinavia, handling over 600,000 TEU per year, and the warehouse is located on the container terminal with direct access to the port.

Damco has operated the warehouse in the port of Aarhus since 2003. The main expertise and focus has been on storage, packaging, project cargo, cradling, container freight station, distribution, and pick-and-pack services. •

Increased services in NewfoundlandEimskip has acquired the cold storage operation of St. Antho-

ny Cold Storage Ltd. in Newfoundland and Labrador, Canada. The main services of St. Anthony coldstore are the discharging of fish-ing vessels and the storage and transportation of seafood. Eimskip has been calling the port of St. Anthony since 2005, and with this acquisition, the company will further strengthen its services and operations in relation to the seafood industry in Newfoundland as well as towards large industrial projects ongoing in the area.

Eimskip has also acquired the forwarding company Cargocan Agency Ltd., which is a leading forwarder in Newfoundland and Labrador, located in the capital city of St. John’s. The company was established in 1992 and has been a leading forwarding com-pany for the seafood industry and for dry cargo to and from New-foundland and Labrador.

The total estimated annual turnover of these investments is EUR 6 million, with an estimated EBITDA ratio of 12.5%. •

EIMSKIP ADDS VALUE

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KEY FIGURES

2010 2011 201320120

100

200

300

400

500

373.1 386.7 423.7 433.8

2014

451.5

2010 2011 201320120

20

10

30

40

50

38.6 37.5 40.8 37.1

2014

38.5

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2009 2010 2011 2013 201420120

5

10

25

35

40

45

50

30

15

20

44.4 21.9 18.7 22.0 24.9 33.0

Net debt Equity ratio

operating revenueAdjusted for one-off items*eur million

geographical split of operating revenue net debt and equity ratioeur million

ebitdaAdjusted for one-off items*eur million

*In the graphs above, operating revenue and EBITDA have been adjusted for one-off items. Operating revenue and EBITDA were reduced by EUR 6.4 million in first quarter 2011 due to a claim that had previously been written off. EBITDA was increased by EUR 0.7 million in second quarter 2011 due to the grounding of Godafoss. In 2012 EBITDA was increased by EUR 0.7 million in third quarter and EUR 1.0 million in fourth quarter due to expenses related to the Company’s listing at NASDAQ OMX Iceland. EBITDA in fourth quarter was further increased by EUR 2.9 million due to non-cash expenses related to forfeiture of stock options.

OTHER 4%

ASIA12%

EUROPE13%

NORWAY 11%

FAROEISLANDS13%

ICELAND 47%

Revenue and EBITDA for the year 2014 were in line with expectations, both showing increase from previous year. The company is financially strong with strong equity ratio and low leverage. Geographical split of the revenue is about half Iceland and half is international business outside of Iceland. •

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Eimskip’s dedicated reefer solutionsOver the years, the traditional shipping company Eimskip from

Iceland has developed into a globally operating all-round logistics ser-vice provider. Through an extensive network of offices and agents, it offers worldwide door-to-door logistics solutions for perishable prod-ucts such as seafood, fruits, vegetables, and meat products.

Our vision is clear, “We want to be the leading company providing outstanding services through a dependable transportation system in the North Atlantic and offering extensive worldwide reefer logistics service, “ explains Óskar Sveinn Friðriksson, Head of Eimskip Logistics.

We started out as a shipping company in 1914. In the decades that followed, the company mainly focused on transport between Iceland and the Faroe Islands, Newfoundland, and Norway. Today, the company is operating two revenue segments, the liner ser-vices in the North Atlantic and international forwarding, focusing on perishable cargoes.

Seafood was – and still is – a very important cargo flow. In 2004, the company, however, decided to embark on a new course and started to diversify its operations and geographical focus. “We no-ticed that many of our clients were starting to move their seafood to China for processing. We decided to follow them. We followed the fish and began to organize their transport to China as well,” says Friðriksson.

The company added several branches to its network and globally expanded the number of agents. Friðriksson also says, “We currently have 55 offices and a network of 68 agents in 46 countries.” In 2014, the company had 1450 employees and generated a turnover of EUR 452 million.

Exploding global growthThanks to its extensive global network and vast experience in

reefer transport, the company’s freight forwarding volumes ex-ploded overnight. Starting out with 4,000 TEU in 2004, Eimskip forwarding handled 138,000 TEU in 2014. “Traditionally, our orien-tation has always been on seafood. We used this knowledge and network and applied it to the logistics of vegetables, fruit, and other perishables,” explains Friðriksson. In 2014, perishables accounted for 78% percent of the Eimskip Logistics volumes; 70 percent of this en-tailed seafood and 30 percent meat, vegetables, and fruits.

The underlying philosophy of the freight forwarding division is the concept of a one-stop-window. It covers the entire logistics chain, from collecting cargo and loading ships to transport, warehousing, distribution, stock management, and customs formalities. Friðriksson, “We want to take care of the entire logistics chain for our customers. To give an example: if a European company buys pineapples in Costa Rico, our local agent collects the reefer and we book space on a ship to, for instance, Rotterdam. From there, we arrange the customs clearance and delivery of the reefer to the client or organise further distribution.”

“We are also increasingly integrating and exploring different trans-portation modes, e.g. combining sea, road, and air transportation solutions. The best example on this integration is the transport of fresh salmon from the North Atlantic to the USA and Asia. We are

now capable of delivering fresh products for the North Atlantic re-gions, Iceland, and the Faroe Islands to Shanghai in less than 6 days, 3–4 days on the water, 1 day on land, and 1 in the air.”

As the shipping branch of Eimskip uses its own equipment (it for example has a fleet of 16 vessels), the freight forwarding division cooperates independently with reliable partner carriers. Through its frequent dealings with container shipping lines like Yang Ming, Cosco, Maersk and CMA-CGM and moving huge volumes Eimskip offers the leverage to negotiate attractive rates.

According to Friðriksson, transporting seafood, meat, fruit and vegetables in reefers has a bright future. Overall, the market will grow 3–5% this year. More fresh products will be moved in reefer containers rather than conventional reefer ships. And sea shipping will increase its stake at the expense of air freight. Moreover, he expects exports to China to rise considerably. “Europe is stagnating, and I think everyone in logistics is noticing a slow and fragile recovery in the euro area, whilst China is rapidly growing. In general, I expect this trend to continue, Europe slowly recovering but China generat-ing an upswing in imports.

The trade in perishable goods between China and Europe is more

EIMSKIP’S DEDICATED REEFER SOLUTIONS

Óskar Sveinn Fridriksson, senior manager

11

and more in balance, whereas in the past China almost exclusively imported raw materials for re-exports. China’s increasing wealth, supported by a growing middle class will continue to grow, powered by labor-market and policy initiatives that push wages up. Inevitably, the growing demand for consumer products and services will fuel the demand for imports and freight trends will follow (imports of sea-food are probably the closest example) for increased consumption,” explains Friðriksson.

The intra-Asia trade is currently the fastest growing trade within Eimskip, and we believe with further establishment of the ASEAN–China Free Trade agreements, the trade will increase. Other emerging market areas are also developing, i.e. the seafood and meat imports to Africa. It has actually been interesting to see how the Russian im-port ban on agricultural products has affected our organization, as the ban has created more opportunities than challenges. I think it is fair to say that when one door closes, another opens.

Bright future The Eimskip brand is strong within the seafood segments, and as

a result of the same, we are noticing more and more interest from other perishable segments not related to seafood. We also intend to capture more of the supply chain values by adding our value add-ed services. The acquisition of the Dutch logistic company Jac. Meis-

ner (JM) was an acquisition primarily to strengthen the value added services of Eimskip in Rotterdam. JM has expertise within custom brokerage, veterinary and agricultural inspection, and the receiving and checking of frozen and chilled cargo with origin all over the world for import into European countries. In Atlantic Canada we acquired the forwarding company Cargocan Agency Ltd., which is a lead-ing forwarder in Newfoundland and Labrador, established in 1992 and has been a leading forwarding company for the seafood in-dustry in Canada. We think the acquisition of Cargocan will bring value to our overall reefer logistics network and create one stop shopping platform for our Atlantic Canada customers.

In anticipation of the expected growth within Asia, Eimskip has been and still is expanding its logistics network in Asia. The company has for example entered into a joint venture with the Qingdao Port Authority to operate a 50,000-ton cold store in Qingdao. In Qingdao, we will be building a new and modern Bor-der Inspection Point (BIP) station which will un-doubtfully in-crease new commodities to the cold store and therefore create new opportunities.

“If you don’t develop and innovate, your competitors will over-take you. We are therefore constantly developing, constantly inventing new solutions for our customers. We want to make everything as easy as possible for our clients.”•

INTERESTING FACTS ABOUT EIMSKIP LOGISTICS• On average, Eimskip is dealing with approximately 229 partners to fulfill its services• Eimskip Logistic moved cargo to 663 ports and destinations worldwide, ports located in all continents• The East–West Trades are the largest trades, followed by the intra-Asia trade

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BarcelonaSpain

BilbaoSpain

MoscowRussia

ValenciaSpain Gioia Tauro

Italy

IstanbulTurkey

ConstantaRomania

OdessaUkraine

GenovaItaly

PiraeusGreece

BahrainBahrain Jebel Ali

United Arab Emirates

IzmirTurkey

CasablancaMorocco

AgadirMorocco

AbidjanIvory Coast

JeddahSaudi Arabia

HaifaIsrael

LimassolCyprus

NovorossiyskRussia

Port SaidEgypt

Nhaa ShevaIndia

Cape TownSouth Africa Fremantle

Australia

SurabayaIndonesia

JakartaIndonesia

SingaporeSingapore

BangkokThailand

HanoiVietnam

ShenzhenChina

BusanSouth Korea

VladivostokRussia

TianjinChina

OsakaJapan

TokyoJapan

SendaiJapan

QingdaoChina

DalianChina

Hong KongChina

TaipeiTaiwan

KaohsiungTaiwan

Ho Chi Minh CityVietnam

Port KelangMalaysia

ManilaPhilippines

Adelaide Australia

Sydney Australia

Brisbane Australia

Melbourne Australia

Port HarcourtNigeria

LagosNigeria

XiamenChina

BaysideNB, Canada

EverettMA, United States

New YorkNY, United States

NorfolkVA, United States

CharlestonSC, United States

MiamiFL, United States

New OrleansLA, United States

HoustonTX, United States

VeracruzMexico

OaklandCA, United States

Los AngelesCA, United StatesLong BeachCA, United States

SeattleWA, United States

AnchorageAK, United States

Prince RupertBC, Canada

PortlandOR, United States

KingstonJamaica

PanamaPanama

GuayaquilEcuador

CallaoPeru

ValparaisoChile

Rio GrandeBrazil

SantosBrazil

Rio de JaneiroBrazil

UshuaiaArgentina

Puerto DeseadoArgentina

Puerto MadrynArgentina

Mar del PlataArgentina

Buenos AiresArgentina Montevideo

Uruguay

LimaPeru

CaracasVenezuela

Puerto Limon & MoinCosta RicaPuerto Caldera, Punta Morales

Costa Rica

Dutch HarborAK, United States

gray line

partner route


freight forwarding


orange line

green line

blue line

port

reefer tradeline network

transit hub

yellow line

ArgentiaNL, Canada


HalmstadSweden

FredrikstadNorway

VigoSpain

LisbonPortugal

PortoPortugal

NuukGreenland

AkureyriIceland

Ísa©ördurIceland

GrundartangiIceland Reydar©ördur

Iceland

HalifaxNS, Canada

REYKJAVÍKIceland



partner port


TvöroyriFaroe Islands


ScrabsterScotland

AberdeenScotland

GrimsbyEngland

KillybegsIreland

ImminghamEngland



HamburgGermany

SzczecinPoland

GdyniaPoland

KlaipedaLithuania

RigaLatvia


HelsinkiFinland

SandnessjoenNorway

TromsøNorway

SortlandNorway

HammerfestNorway Båts©ord

Norway

KirkenesNorway Murmansk

Russia

ÅlesundNorway

MåloyNorway


BergenNorway

StavangerNorway

ÅrhusDenmark

SwinoujsciePoland

Sailing schedule is subject to changes

13

BarcelonaSpain

BilbaoSpain

MoscowRussia

ValenciaSpain Gioia Tauro

Italy

IstanbulTurkey

ConstantaRomania

OdessaUkraine

GenovaItaly

PiraeusGreece

BahrainBahrain Jebel Ali

United Arab Emirates

IzmirTurkey

CasablancaMorocco

AgadirMorocco

AbidjanIvory Coast

JeddahSaudi Arabia

HaifaIsrael

LimassolCyprus

NovorossiyskRussia

Port SaidEgypt

Nhaa ShevaIndia

Cape TownSouth Africa Fremantle

Australia

SurabayaIndonesia

JakartaIndonesia

SingaporeSingapore

BangkokThailand

HanoiVietnam

ShenzhenChina

BusanSouth Korea

VladivostokRussia

TianjinChina

OsakaJapan

TokyoJapan

SendaiJapan

QingdaoChina

DalianChina

Hong KongChina

TaipeiTaiwan

KaohsiungTaiwan

Ho Chi Minh CityVietnam

Port KelangMalaysia

ManilaPhilippines

Adelaide Australia

Sydney Australia

Brisbane Australia

Melbourne Australia

Port HarcourtNigeria

LagosNigeria

XiamenChina

BaysideNB, Canada

EverettMA, United States

New YorkNY, United States

NorfolkVA, United States

CharlestonSC, United States

MiamiFL, United States

New OrleansLA, United States

HoustonTX, United States

VeracruzMexico

OaklandCA, United States

Los AngelesCA, United StatesLong BeachCA, United States

SeattleWA, United States

AnchorageAK, United States

Prince RupertBC, Canada

PortlandOR, United States

KingstonJamaica

PanamaPanama

GuayaquilEcuador

CallaoPeru

ValparaisoChile

Rio GrandeBrazil

SantosBrazil

Rio de JaneiroBrazil

UshuaiaArgentina

Puerto DeseadoArgentina

Puerto MadrynArgentina

Mar del PlataArgentina

Buenos AiresArgentina Montevideo

Uruguay

LimaPeru

CaracasVenezuela

Puerto Limon & MoinCosta RicaPuerto Caldera, Punta Morales

Costa Rica

Dutch HarborAK, United States

gray line

partner route


freight forwarding


orange line

green line

blue line

port

reefer tradeline network

transit hub

yellow line

ArgentiaNL, Canada


HalmstadSweden

FredrikstadNorway

VigoSpain

LisbonPortugal

PortoPortugal

NuukGreenland

AkureyriIceland

Ísa©ördurIceland

GrundartangiIceland Reydar©ördur

Iceland

HalifaxNS, Canada

REYKJAVÍKIceland



partner port


TvöroyriFaroe Islands


ScrabsterScotland

AberdeenScotland

GrimsbyEngland

KillybegsIreland

ImminghamEngland



HamburgGermany

SzczecinPoland

GdyniaPoland

KlaipedaLithuania

RigaLatvia


HelsinkiFinland

SandnessjoenNorway

TromsøNorway

SortlandNorway

HammerfestNorway Båts©ord

Norway

KirkenesNorway Murmansk

Russia

ÅlesundNorway

MåloyNorway


BergenNorway

StavangerNorway

ÅrhusDenmark

SwinoujsciePoland

GLOBAL NETWORK

14

EIMSKIP SERVICE PORTFOLIO

PRODUCT / EIMSKIP OFFICE Belgium Canada China DenmarkFaroe

Islands Germany Holland Iceland Italy Japan Norway Poland Russia Spain Sweden Thailand UK USA VietnamAGENCY SERVICES:

- Eimskip Liner Agency- Faroe Ship Liner Agency- Eimskip Norway Liner Agency- Agency, Other

FREIGHT FORWARDING:

- Dry Forwarding- Reefer Forwarding- Project Forwarding

TRUCKING/DISTRIBUTION:

- Trucking Desk- Heavy Haulage service- International Haulage- Domestic Haulage

WAREHOUSING:

- General Cargo Warehouse- Temperature Controlled- Inventory Management

CUSTOM SERVICES:

- In-house Custom Clearance- Veterinary services

OTHER SERVICES:

- Airfreight- Oil & Energy “Supply base”- Discharging Services- Insurance Services- Reefer Vessel Brokerage

TERMINAL OPERATIONS:

- Terminal Operations

Joha

n V

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JVT)

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Joan

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Jam

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Mar

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Jan

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msk

ip.d

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Pete

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Wou

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W)

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Bryn

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info

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15

PRODUCT / EIMSKIP OFFICE Belgium Canada China DenmarkFaroe

Islands Germany Holland Iceland Italy Japan Norway Poland Russia Spain Sweden Thailand UK USA VietnamAGENCY SERVICES:

- Eimskip Liner Agency- Faroe Ship Liner Agency- Eimskip Norway Liner Agency- Agency, Other

FREIGHT FORWARDING:

- Dry Forwarding- Reefer Forwarding- Project Forwarding

TRUCKING/DISTRIBUTION:

- Trucking Desk- Heavy Haulage service- International Haulage- Domestic Haulage

WAREHOUSING:

- General Cargo Warehouse- Temperature Controlled- Inventory Management

CUSTOM SERVICES:

- In-house Custom Clearance- Veterinary services

OTHER SERVICES:

- Airfreight- Oil & Energy “Supply base”- Discharging Services- Insurance Services- Reefer Vessel Brokerage

TERMINAL OPERATIONS:

- Terminal Operations

Rob

erta

Mag

illo

(RM

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Mat

sum

oto

Mar

ines

reef

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eim

skip

.com

Rei

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(RD

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Piot

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enko

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GR)

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ip.p

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Eva

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(EO

F)

info

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Tron

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eim

skip

.com

Mag

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Stev

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Tran

Tha

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16

Eimskip Nederland was pleased to be the logistic partner for the 24H race in Dubai 2015. Event organizer Creventic nominated Eimskip Nederland at the beginning of 2014, just after the race in January. “Why should we change a winning team!!!” was the comment of Creventic.

Eimskip Nederland arranged transport, stuffing of the race cars and equipment into containers at the port of Rtm and un-stuffing at the circuit “Dubai Autodrome.” These containers were shipped from Holland, Italy, United Kingdom, Hong Kong, Malay-sia, Denmark, Austria, Switzerland, Sweden and Germany.

Eimskip Nederland has been the logistics partner 6 times out of 10 races. •

LOGISTIC PARTNER FOR THE 24H RACE IN DUBAI 2015

17

Eimskip provides comprehensive door-to-door logistics solu-tions, connecting continents quickly and efficiently through contacts worldwide, and not just for chilled and frozen cargo. Eimskip General Forwarding is an international player in world-wide logistics and offers specialized services in handling any type

of dry cargo – containerized or conventionally loaded. This service covers the whole logistics chain, including discharge of break-bulk vessels, transportation, warehousing and distribution, in-ventory control, customs formalities, and more. •

COOL LOGISTICS

Eimskip offers a complete range of logistics services, including:

• Worldwide ocean freight• Comprehensive North Atlantic coverage • Own container fleet • Transatlantic services for oversized and

containerized cargoes• Europe and North America short sea services • FCL and LCL distribution • Pre-carriage & export documentation • On-carriage by road, railway, or short sea feedering• Coldstorage and general warehousing services• Storage & stock control

• Fishing vessel discharging services• Palletizing, sorting, labeling, and re-packing • Cross docking• Customs clearance & border crossing documentation • Veterinary border inspection and documentation • Insurance• Comprehensive network of offices and agents• Expertise in all sorts of commodities handling

18

THE VOYAGE HOME

• Vessel’s deadweight is 12,200 tons• 875 TEU vessel• Length overall is 140.7 meters• Beam is 23.2 meters• Powerful bow and stern thrusters

• Ice class 1A• Plugs for 230 refrigerated containers• Two 45-tons container cranes• More environmentally safe

Lagarfoss is specialized and well equipped for conditions in the North Atlantic and will strengthen the services to our customers.

Lagarfoss sailed home to Reykjavík, Iceland from Shidao in China. The journey took 49 days, and it sailed 22,380 km. In comparison, the distance between the North Pole and the South Pole is 20,001 km. •

19

SHIDAOChina

QINGDAOChina

SINGAPORESingapore

7 DAYS

4 DAYS

10 DAYS

7 DAYS

3 DAYS

4 DAYS

SRI LANKASri Lanka

SUEZ CANALEgypt

GIBRALTAREngland


IMMINGHAMEngland

REYKJAVÍKIceland

22,380 KM12,084 NM

20

Eimskip celebrated its 100th anniversary by inviting its em-ployees, customers, and other guests to a concert in Harpa Concert Hall in Reykjavik. Three books – The History of Eimskip, Eimskip’s Vessels, and Overview of Eimskip’s Art Collection –

were published for the occasion, and a 90-minute documentary in two parts was broadcasted on state television. Eimskip also welcomed the container vessel Lagarfoss, the newest addition to the Eimskip fleet. •

EIMSKIP’S 100TH ANNIVERSARY

21

Ten years ago, Eimskip reviewed its global strategy and decid-ed that worldwide reefer logistics services would be one of the core activities, with special focus on seafood services. The estab-lishment of Eimskip Qingdao in 2004, in the Shandong provinces, the largest in seafood among China’s provinces was a part of a strategic focus, which at that time was driven by seafood glo-balization. Many of the Eimskip North Atlantic customers were actively moving raw material for production to China, and open-ing an office in Qingdao was an essential part of extending the Eimskip product portfolio and developing the business segment of Eimskip Reefer Logistics.

Today, 10 years later, the Asia operations have developed into being a large part of the Eimskip operations, operating in 4 cities in China – Qingdao, Dalian, Xiamen, and Shen-zhen; in Ho Chi Minh, Vietnam; in Tokyo Japan; and in Bang-kok, Thailand, altogether employing 167 people in Asia.

Eimskip China’s 10-year anniversary was celebrated during the China Fisheries & Seafood Expo which was held in Qingdao on November 5th. About 220 people from all over the world attended the celebration, illustrating how global and local Eimskip has become in the last 10 years. •

Faroe Ship is a company with a proud 95-year history and like never before still developing and striving to reflect and carry for-ward the values that built the company – customer service, dyna-mism, reliability, and expertise in its field of work.

Faroe Ship has been and still is a vital co-player in the development and promotion of the industry in the Faroe Islands through total transport solutions and logistics services in the Faroe Islands and worldwide.

As Faroe Ship is owned by Eimskip and is naturally an inter-

grated part of Eimskip‘s transport system network, the reach is from local to global – wherever in the world the destination or the source, Faroe Ship will get it to or from there.

Faroe Ship is an exciting business that requires constant adaptation to customer demands and continuous product and market development.

Johanna á Bergi, CEO at Faroe Ship, was chosen leader of the year 2014 in the private sector in the Faroe Islands. •

EIMSKIP CHINA 10-YEAR ANNIVERSARY

NEARLY A CENTURY OF DEVELOPMENT

22

Akureyri

AK EXTREME!AK Extreme is a four-day festival with events

scheduled at Mt. Hlíðarfjall and in downtown Akureyri in Iceland.

For the main event, a terrifying Big Jump is set up out of fifteen shipping containers from Eimskip, smack dab in the middle of town.

At last year’s edition, over 7,000 spectators turned out to enjoy the sketchy huck-fest that is the Eimskip Big Jump competition in the center of Akureyri. •

Eimskip in Hamburg celebrated the company’s 100th anniver-sary and encouraged guests to provide voluntary contributions instead of giving presents on the occation of the birthday. The idea was a success, with guests donating a total amount of al-most EUR 3,000 to support the Sternenbrucke Children’s Hos-pice. The main purpose of the foundation is to run a children’s palliative nursing home that accommodates and cares for chil-dren, adolescents, young adults, and their families who are in special need of care because of the seriousness of their illness and who have no hope of being cured. •

CHARITY DONATION

23

As a part of the Eimskip promotional strategies, Eimskip has been for many years attending as an exhibitor, specific product expositions such as the European Seafood Exposition in Brus-sels, the Seafood Expo North America in Boston, the Seafood Exhibition Coxemar in Vigo, the China Fisheries & Seafood Expo, The Icelandic Fisheries Exhibition in Reykjavik, Atlantic Canada

Petroleum Show in Newfoundland, and the FRUIT LOGISTICA-fresh produce trade show, held annually in Berlin, Germany.

These expos are an important forum for Eimskip to present the company and its current and new services and are also an important meeting point for current and potential customers. •

TRADE SHOWS ALL OVER THE WORLD

February FRUIT LOGISTICA

March Seafood Expo North America

AprilEuropean Seafood Exhibition

June Atlantic Canada Petroleum Show

September (every third year) The Icelandic Fisheries Exhibition

October Seafood Exhibition Coxemar in Vigo

November China Fisheries & Seafood Expo

Korngardar 2 | 104 Reykjavík | Iceland | Tel. +354 525 7000 | www.eimskip.com

Eimskip's Green Line increases the number of voyages between North America, Canada, Newfoundland and Europe.The new sailing schedule will increase service reliability and respond to our customers' needs of direct services without transshipments. The new sailing schedule will increase the number of voyages per year between Europe and North America by five.

A GREEN LINE ACROSS THE ATLANTIC

TvøroyriFaroe Islands


ArgentiaNL, Canada

BostonMA, US

BergenNorway

MåloyNorway

ÅlesundNorway

SandnessjoenNorway

HammerfestNorway

MurmanskRussia

KirkenesNorway

SortlandNorway Båtsord

Norway

StavangerNorway

HalmstadSweden

FredrikstadNorway

RigaLettland

VigoSpain

LisbonPortugal

PortoPortugal

HelsinkiFinnland


SzczecinPoland

GdyniaPoland

KlaipedaLitháen

GrimsbyEngland

ImminghamEngland

ÅrhusDenmark



HamburgGermany


NuukGreenland

AkureyriIceland

ÍsaördurIceland

GrundartangiIceland Reydarördur

Iceland

HalifaxNS, Canada

REYKJAVÍKIceland

AberdeenScotland

ScrabsterScotland


PortlandMaine, US


TromsøNorway

SwinoujsciePoland

Eimskip Global News 2015

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Transcript of Eimskip Global News 2015