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ÅLAND MARITIMEDAY Mariehamn 5th May 2011

Finnlines – future with RoRo newbuildings

Staffan Herlin, Finnlines Plc

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Finnlines in brief

• Finnlines is one of Europe’s largest shipping companies specialised in scheduled liner services.

Listed in OMX Helsinki and 65.8 % owned by the Grimaldi Group Naples

• In addition to providing sea transport services in the Baltic Sea and North Sea areas, Finnlines provides

port services, mainly in Helsinki, Turku and Kotka.

• The Finnlines fleet consists of ro-pax and ro-ro vessels, specifically designed for northern conditions.

• The Company has subsidiaries or sales offices in Germany, Belgium, United Kingdom, Sweden,

Denmark, Russia and Poland, as well as a wide network of sales agents located throughout Europe.

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Grimaldi Group Network

•Over 100 ports

•Over 20 000 port calls/year

European Network

Atlantic Network

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Finnlines view on innovative shipping

Markets

Customer driven planning

Operations

Multipurpose fleet

Innovative routings

Green logistics

Short Sea Shipping

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Unitised transport modes increased significantly throughout the 2000’s until the

economic crises hit the trade volumes in 2009. Unitisation back to growth path in 2010

CONTAINER

TEU

Container

2010 vs 2000 growth +38%

Jan-Feb 2011 vs 2010 +15%

Source: FMA

RUBBERWHEEL

UNIT

Trailer & Lorry

2010 vs 2000 growth +38%

Jan-Feb 2011 vs 2010 +13%

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All volumes have not yet recovered up to precrises level, but all different transport

needs still exist – speed/low cost

• Finland exports heavy capital and intermediate goods

and imports lighter consumer goods.

• To simplify, industry demands low cost outbound

services and fast and reliable inbound services

• Big challenge is, how to cater for these different

needs and cope with the transport imbalance

Finland exports much more roro-cargo by sea than it imports

’000 TONS

Source: FMA

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International recovery taken positive steps, even though uncertainties still exist in

the world economy. Short sea shipping competition hardening within Europe

Around 30 Ferry, RoPax and RoRo operators within the Baltic Sea

Approx. 8% of the world trade takes place on the Baltic Sea area.

Driving force of the short sea shipping growth in the area is Russia.

Nordea Economic Outlook January 2011: ‘2011 seen as a transition year with global growth abating

relative to 2010 before showing renewed strength in 2012’.

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The biggest challenge in short sea shipping is looming ahead: as from 1.1.2015

IMO/Annex VI of the Marpol 73/78 Convention max sulphur limit 0,1% within ECA

Source: Suomen Satamaliitto

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Finnlines view on innovative shipping

Markets

Customer driven planning

Operations

Multipurpose fleet

Innovative routings

Green logistics

Short Sea Shipping

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South

Bound

North

Bound

South

Bound

North

Bound

Imbalance in export and import volumes and different commodity types

challenges tonnage-type development in short sea shipping liner services

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Multipurpose fleet equipped to handle the different type of cargo flows

• Unitisation

• Bunker price + green values

• Port consolidation

• Nearby travel

• Export/import balance

• Car transport

• Russian exports

• Intra-European containerisation

Drivers in short distance:

Drivers in longer distance (intra-europe):

• 4.200 lane meters

• 500 passengers

• Speed 25 knots

2007 - 2008

• 3.200 lane meters

• 12 passengers

• Hoistable car decks

• Speed 20 knots

2011-2012

RoPax: STAR-CLASS

RoRo: NEWBUILDINGS (Optimised for roro, container and cars)

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Transportation of both cargo and passengers with ro-pax vessels

Helsinki – Travemünde 14 sailings/wk

Helsinki – Rostock 6 sailings/wk

Helsinki – Gdynia 6 sailings/wk

Naantali – Kapellskär 42 sailings/wk

Malmö – Travemünde 42 sailings/wk

Lübeck – St.Petersburg 3 sailings/wk

Lübeck – Ventspils 3 sailings/wk

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Finnlines view on innovative shipping

Markets

Customer driven planning

Operations

Multipurpose fleet

Innovative routings

Green logistics

Short Sea Shipping

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New routings enables to deliver more with less resources

6 new routes

2010 vs 2009

Less energy used per tkm

Less vessels and capacity

More passengers

More cargo

HUB for Russia & Mediterranean

2-3 new routes

2011 vs 2010

Less energy used per tkm

Vessels with more capacity

More passengers

Frequency increase

2012 vs 2011

Less energy used per tkm

Increase of vessels & capacity

More passengers

More cargo

Direct Russia increase

More cargo

HUB for Atlantic

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Baltic Sea area linked to Mediterranian and Atlantic

ANTWERP

North America

South America

West Africa

HELSINKI

Russia & CIS

Mediterranean

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Further strengthening of connections to Russia

Hull

HUB

Antwerp

HUB

Helsinki

LübeckUNITED

KINGDOM

POLAND

RUSSIAFINLAND

SWEDEN

GERMANY

BELGIUM

Moscow

SPAIN

Bilbao

Bay of Biscay

St.Petersburg

Sassnitz

DENMARK

Ventspils

1. Northern route DIRECT (Lübeck-Sassnitz-Ventspils-StP)2. Central route DIRECT (Hull–Helsinki-StP)3. Southern route DIRECT (Bilbao-Antwerp-Helsinki-StP)4. Whole short sea network via Helsinki HUB5. Deep sea network via Antwerp HUB

New and strengthened routes & connections

LATVIA

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Finnlines view on innovative shipping

Markets

Customer driven planning

Operations

Multipurpose fleet

Innovative routings

Green logistics

Short Sea Shipping

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Future transport corridors connecting Short Sea Shipping network with wide rail

freight network

Russian Railways

Rail freight networks of Europe and Russia together with the Motorways

of the Seas concepts will create several strong intermodal transport

corridors connecting in future several countries and continents..

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Cargo Rail Hubs are already in place in Travemünde, Lübeck and Rostock, which are

Finnlines’ main ports in the continent linking main services from Helsinki and Malmö

• Both Travemünde and Rostock offer excellent hinterland connections by road and rail to the economic centres of Eastern Europe.

• A large number of direct trains link Travemünde with Western and Southern Europe. Daily train service to Duisburg and 3-6/week service to several destinations in Germany, Austria and Italy.

• Rostock is the gateway to Southern and Eastern Europe with 3-7 weekly departures for Italy and Austria.

As from April 2011 new regular block train connection 3/wk by CFL & ECL between Lubeck-

Bettembourg, Railway HUB Terminal

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Interlinking networks by sea and rail efficiently

North America

South America

West Africa

Northern European roro/ropax

Continental long distance rail

Deep Sea Connections

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Delivery in 2011-2012 of six ro-ro newbuildings; Finnbreeze and Finnsea in service,

Finnsky, Finnsun, Finntide, Finnwave to follow shortly

Technical specifications:

• loa 187 m

• breadth, moulded 26,5 m

• dead-weight 10.500 t

• ice class IA

• service speed 20 knots

• ro-ro lanes 3.245 m, equivalent of some 205 trailers

• car capacity 900 cars (1.350 if tanktop and upper deck used)

The new design have hoistable car decks on two levels in the main deck and

an internal ramp to weather deck. The clearance on the main deck

is increased to 7 m.

THANK YOU!