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November, 2014

NEWS BULLETIN
Friday, November 28, 2014


Port of Astoria marks start
of 5-year dredging project

ASTORIA — Following a two-plus year process which cost more than $100,000 to obtain dredging permits, the Port of Astoria has begun maintenance dredging. The project will spread over five years and the total volume of material to be removed will be in excess of 300,000 cubic yards. With support and assistance from U.S. Senator Jeff Merkley’s office, the final authorizations were obtained November 21. The dredging equipment is operated by port employees and the dredged materials are placed on the bottom of the Columbia River in locations selected by state and federal agencies according to the permit conditions. Specially trained port personnel constantly monitor the turbidity during dredging operations and detailed reports of the operations are provided to various permitting agencies at the end of each month. The port’s next dredging objective is to obtain dredging permits for both the East and West Mooring Basins. It is anticipated that it will take approximately three years to obtain those permits.


US rail freight traffic
posts up/down week

WASHINGTON, DC — The Association of American Railroads (AAR) has reported mixed U.S. rail traffic for the week ending Nov. 22, 2014 with 295,812 total carloads, down 0.3 percent compared with the same week last year. Total U.S. weekly intermodal volume was 269,373 units, up 0.7 percent compared with the same week last year. Total combined U.S. weekly rail traffic was 565,185 carloads and intermodal units, up 0.2 percent compared with the same week last year. For the first 47 weeks of 2014, U.S. railroads reported cumulative volume of 13,720,901 carloads, up 3.4 percent compared with the same point last year, and 12,273,260 intermodal units, up 5.2 percent from last year. Total combined U.S. traffic for the first 47 weeks of 2014 was 25,994,161 carloads and intermodal units, up 4.2 percent from last year.


CMA CGM Group to purchase
German short sea/logistics firm

MARSEILLES — CMA CGM Group reports it has acquired the German company Oldenburg-Portugiesische Dampfschiffs-Rhederei GmbH & Co. KG (OPDR). The company owned by the Bernhard Schulte Group, which has experience in short sea shipping and door to door logistics for North Europe, Canary Islands, the Iberian Peninsula and Morocco. With its over 200 dedicated collaborators and its network of agencies, the company connects Europe, Scandinavia and North Africa. In 2014, OPDR expects to carry over 240,000 TEUs. The closing of this transaction is subject to the approval of the relevant regulatory authorities.


Alaska Airlines boosting PNW menu
through partnership with SkyWest

SEATTLE — Alaska Airlines has announced it is expanding its partnership with SkyWest Airlines with the addition of three new destinations from Alaska’s Northwest hubs. Flying on new Embraer E175 jets, Alaska will begin offering daily nonstop service starting July 1, between Seattle and Milwaukee, Wisconsin; Seattle and Oklahoma City, Oklahoma; and Portland and St. Louis. The 76-seat E175 jet will feature 12 seats in first class and 64 in coach. Onboard amenities include Wi-Fi Internet access, streaming inflight entertainment and 110 volt power in every first class seat. Food and beverage will include hot meals and picnic packs for purchase, in addition to Northwest microbrews and wine. SkyWest has purchased seven E175 aircraft to fly on behalf of Alaska under a capacity purchase agreement (CPA). The first three aircraft will arrive in the summer of 2015, and the remaining four will be delivered in Q1 2016.


Sulpher regulations enforcement group
adding number of new members

LYSAKER, Norway — Trident Alliance, the shipping industry initiative for enforcement of maritime sulphur regulations, reports it has broadened its platform as some of Germany’s and Denmark’s most prominent shipping companies join its ranks together with new members from Chile, Greece, The Netherlands, Sweden, Norway and Belgium.
New to the alliance are: Hapag-Lloyd, DFDS, Ionic Shipping, Euro Marine Logistics, Marinvest, Grieg Star, Wijnne Barends, Seatrade, Spliethoff, Transfennica, Biglift, Ultrabulk, Ultragas and Ultratank.
This brings membership to a total of 31 companies. The member company CEO’s have each signed a statement of commitment, in which they commit to supporting robust and transparent enforcement of sulphur regulations as well as to complying with said regulations.


NEWS BULLETIN
Wednesday, November 26, 2014


Seattle Port Board approves
budget for upcoming year

SEATTLE — Port of Seattle Commissioners have approved the port’s 2015 budget, which projects growth at Seattle-Tacoma International Airport, stable revenue in the seaport division and continuing recovery in the real estate business. Anticipating continued business growth in most of the port’s divisions and strong property values, the approved budget keeps the tax levy stable at $73 million while reducing the tax rate from $0.2151 to $0.1896 per $1,000 of assessed value. Tax levy funds are used mainly for General Obligation (G.O.) bonds debt service, local transportation and Seaport and Real Estate environmental clean-up efforts. The port’s 2015 operating revenues are budgeted at $551.8million, a $14.4 million or 2.7 percent increase from the 2014 budget. Operating expenses are budgeted at $332.9 million, a $9.5 million or 2.9 percent increase compared to 2014 budget. Net Operating Income before Depreciation is budgeted to be $218.9 million, a $4.8million or 2.3 percent increase. The port’s capital budget is $373.8 million for 2015 and $2.2 billion for the next five years.


Olympia Port Commission calls for
Citizens Advisory Committee applicants

OLYMPIA — The Port of Olympia Commission is seeking applicants for the Port of Olympia Citizens Advisory Committee. The Citizens Advisory Committee comprises 9-14 citizen volunteers who meet monthly, or as needed, to address assignments from the commission. Individual members also may be asked to participate with port staff on a range of port programs and projects. The committee has contributed citizen advice and assistance to the port since the commission formed it in 1994. Applicants must be Thurston County residents. A port commissioner, the executive director and the chair of the committee will interview applicants and recommend appointments to the commission. Criteria for selection are community and economic development activities; volunteer, board or committee experience; work experience; experience or knowledge of theport; and reasons for serving. For an application form and information about past and current Citizen Advisory Committee projects, see http://www.portolympia.com/Commission/POCAC or call 360.528.8014. The application deadline is Monday, December 15, 2014.


Canadian citizens arrested for
trying to sneak meth gear into US

BLAINE, WA — U.S. Customs and Border Protection (CBP), Office of Field Operations (OFO), at the Lynden, WA, port of entry arrested two Canadian citizens from Chilliwack, British Columbia, Sunday for what appeared to be chemicals and equipment used to manufacture methamphetamine. Calum James Buchanan (41) and Lola Crystal McKay (24), arrived at the Kenneth G. Ward port of entry in Lynden shortly after 7 p.m. driving a 1994 Pontiac Grand Am. CBP officers referred Mr. Buchanan and Ms. McKay for a secondary examination where they discovered a plastic tote tub sealed with plastic wrap containing an unknown liquid and other suspicious materials in the rear seat area of the vehicle. A CBP officer performing the secondary inspection of the vehicle and contents became ill after breathing the fumes from the materials and was transported and successfully treated at Saint Joseph Medical Center, Bellingham. Out of an abundance of caution for public safety, northbound and southbound traffic was diverted away from the Lynden port of entry. Due to the unknown nature of the materials, CBP requested and received assistance from U.S. Immigration & Customs Enforcement-Homeland Security Investigations (HSI), the Drug Enforcement Administration (DEA), City of Lynden Fire and Police departments, Bellingham Police Departments Explosive Ordinance Disposal (EOD) unit and the Washington State Patrol (WSP). Mr. Buchanan and Ms. McKay were taken into custody and turned over to HSI special agents for further investigation. Monday afternoon they made their first appearance before a Whatcom County judge for possession with intent to manufacture.


Matson announces plans to raise
Guam/Northern Marianas/Hawaii rates

HONOLULU — Matson, Inc. has announced that Matson Navigation Company, Inc. (Matson) will raise its rates for the company's Guam/Commonwealth of the Northern Marianas Islands (CNMI) and Micronesia services by $225 for both westbound and eastbound containers, effective January 25, 2015 and for the company's Hawaii service by $225 per westbound container and $110 per eastbound container, effective January 4, 2015. The increases will be filed with the Surface Transportation Board and the Federal Maritime Commission. The $225 rate increase also applies to the Commonwealth of the Northern Marianas Islands, the Republic of Palau, the Federated States of Micronesia and the Republic of the Marshall Islands. There will be no adjustment made to the company's terminal handling charge (THC).


Evergreen Line joining carriers
in new Asia/East Africa service

JERSEY CITY — Evergreen Line reports it will adjust its existing AEF joint service and enter into an slot exchange agreement with CMA CGM and Emirates Shipping Line on their ASEA service. Both moves will take effect in December. This increased cooperation with its service partners will double Evergreen's sailing frequency on the Asia - East Africa trade to twice weekly, one dedicated to Mombasa (Kenya) and the other one to Dar es Salaam (Tanzania). The port rotations, vessel sizes and effective dates of the changes in service are as follows:
AEF route: Effective as of the Singapore sailing on December 6. Rotation: Port Klang - Tanjung Pelepas - Singapore - Colombo - Mombasa - Port Klang. Fleet: Five vessels of 2,500 - 2,800 TEU (three contributed by Evergreen, one by COSCO and the other by X-Press Feeders)
ASEA route: Effective as of the Singapore sailing on December 9. Rotation: Singapore - Tanjung Pelepas - Port Klang - Colombo - Dar Es Salaam - Singapore. Fleet: Six vessels of 2,500 - 2,800 TEU (four provided by CMA CGM and two by Emirates Shipping Line)


NEWS BULLETIN
Tuesday, November 25, 2014


Inchcape Shipping Services
warns of Belgiun port worker strike

CHAFFORD HUNDRED, UK — Inchcape Shipping Services (ISS) is advising that on November 24, port workers in Belgium started a 24 hour strike. The strike by port labourers has been called by three national unions, in protest over the erosion of index-linked pay rises and tax increases. Currently the strike is having a major effect on shipping operations in the area with the ports of Zeebrugge, Ghent and Antwerp particularly affected. ISS Belgium has advised that there is a backlog of 65 ships waiting at anchorage to call the Port of Antwerp with a further 12 vessels waiting to depart. It is anticipated that this current 24 hour strike will be followed by a national general strike on December 15, 2014. ISS will continue to monitor the strike and will report any updates through their website - www.iss-shipping.com.


US works deal with Mexico
for expanded air service

WASHINGTON, DC — The U.S. Department of Transportation has announced that a new, modernized air service agreement has been reached that will expand opportunities for passenger and cargo carriers to provide service between the United States and Mexico. The new agreement with Mexico includes unlimited market access for U.S. and Mexican air carriers, improved intermodal rights, pricing flexibility, and other important commercial rights. The new agreement will remove the numerical limitations on the number of airlines that may provide passengers service in all U.S.-Mexico city pairs. Cargo airlines, for the first time, will have expanded opportunities to provide service to new destinations that were not available under the current agreement and to offer services from the United States to Mexico and beyond Mexico to other countries. The agreement will not enter into force until January 1, 2016, after both parties have completed their necessary internal processes.


International Maritime Organization
presents exceptional bravery award

LONDON — The 2014 International Maritime Organization (IMO) Award for Exceptional Bravery at Sea was awarded to Captain Andreas Kristensen and his crew of the BRITANNIA SEAWAYS, nominated by Denmark for their courage and determination in fighting explosions and fire on board the vessel, at great risk and danger to themselves. One year to the day after surviving the explosive fire which threatened the lives of 32 people on board his vessel, Captain Kristensen and his crew received the 2014 IMO award at a special ceremony on November 17, 2014. Thanks to heroic teamwork, risking their own lives in intense heat to avoid a more disastrous outcome, Captain Kristensen and his crew managed to maneuver the burning ship and head towards the Norwegian coast, taking shelter behind some coastal islands. A firefighting vessel attended the ship from 1:30 a.m. and a firefighter team assisted from 4:30 a.m. with the fire finally extinguished shortly before 8 a.m., on November 17, 2013, some 13 hours after it broke out. This annual award was established by the IMO to provide international recognition for those who, at the risk of losing their own life, perform acts of exceptional bravery, displaying outstanding courage in attempting to save life at sea or in attempting to prevent or mitigate damage to the marine environment.


BNSF breaking records
with 2015 capital expenditures

FORT WORTH, TX — BNSF Railway Company (BNSF) has announced that its planned capital expenditures for 2015 will be $6 billion. The 2015 plan marks the third year in a row that BNSF has committed a record amount for capital investments. BNSF also updated its planned capital expenditures for 2014, which now are expected to be $5.5 billion. The largest component of the 2015 capital plan will be for the renewal of assets and maintenance, which is expected to cost $2.9 billion. These projects will go toward replacing and upgrading rails, ties and ballast that are due for updating. BNSF also plans to spend almost $1.5 billion on expansion projects. BNSF will also increase the size of its locomotive fleet through the addition of new, energy and fuel efficient locomotives. BNSF will acquire 330 new locomotives to add to its fleet of 7,500 and replace others that will soon reach the end of their useful life.


BTS making improvements
to transport statistics database

WASHINGTON, DC — New data was added to the North American Transportation Statistics (NATS) Online Database in the Bureau of Transportation Statistics' (BTS) 10th annual website update. The database, a product of the North American Transportation Statistics Interchange, contains comparable transportation-related data available from the United States, Canada, and Mexico in a one-stop online resource. The database covers: demographics, transportation, the economy, transportation safety, transportation’s impact on energy and the environment, domestic and international freight activity, domestic and international passenger travel, transportation infrastructure, and vehicles. The NATS Online Database is co-sponsored by BTS, the U.S. Census Bureau and the federal-level transportation and statistical agencies of Canada and Mexico. With text available in English, French, and Spanish, the NATS Online Database can be found at http://nats.sct.gob.mx/en/.


NEWS BULLETIN
Friday, November 21, 2014


Port of Tacoma releases
October container numbers

TACOMA — Strong import container volumes drove the Port of Tacoma’s October volumes up 17.5 percent over the same month in 2013. It marked the eighth consecutive month of growth. Full containerized imports grew 15 percent year to date through October to 662,972 TEUs. Exports also posted gains, up eight percent to 463,818 TEUs, and domestic volumes improved three percent to 390,139 TEUs. Tacoma handled 181,112 TEUs in October, boosting year-to-date volumes to 1.7 million TEUs. For the year, Tacoma’s container volumes are up 11 percent. In other cargo news, grain exports were up 80 percent year to date to 3.2 million short tons. Auto imports, intermodal lifts and breakbulk cargo also posted gains, while log exports continued to decline.


National Retail Federation calls for
continued West Coast labor talks

WASHINGTON, DC — The National Retail Federation has issued the following statement from NRF President and CEO Matthew Shay on reports that the International Longshore and Warehouse Union and the Pacific Maritime Association are taking a break from contract negotiations: “We are greatly disappointed that the parties have decided to take an extended break from the ongoing contract negotiations. After six months of negotiations we have seen very little progress. We reiterate our call on President Obama to immediately engage the parties to get them back to the negotiating table. It’s time the parties accept a federal mediator to help them bridge the gaps and arrive at a new contract. Without a contract, stakeholders cannot work on addressing the ongoing congestion issues at the ports. We urge the two sides to end the brinkmanship and return to the talks immediately. The nation’s retailers and our vendors, suppliers and customers are counting on the two parties to act responsibly."


Coast Guard making changes
to bar closure information system

WARRENTON — The Coast Guard 13th District reports it will use social media for all future river bar closure information announcements along the Pacific Northwest coast. Bar closure announcements have historically been sent out using press releases and posted to the Coast Guard Newsroom at www.uscgnews.com. The transition to the use of social media is designed to get the information to potentially affected users of the waterway quickly and more efficiently. The Twitter and Facebook links that will be used are: https://twitter.com/USCGPacificNW and https://www.facebook.com/USCGPNW. ontinually updated bar information can also be found at: http://www.wrh.noaa.gov/pqr/marine/bars_mover.php. Bar information for specific areas can also be heard by calling the local Coast Guard’s small boat stations and listening to their automated updates or listening to the local notice to mariners broadcast on VHF-FM Channel 16.


US rail freight traffic
rolls to positive week

WASHINGTON, DC — The Association of American Railroads (AAR) has reported increased U.S. rail traffic for the week ending Nov. 15, 2014 with 296,655 total carloads, up 0.3 percent compared with the same week last year. Total U.S. weekly intermodal volume was 273,695 units, up 2.6 percent compared with the same week last year. Total combined U.S. weekly rail traffic was 570,350 carloads and intermodal units, up 1.4 percent compared with the same week last year. For the first 46 weeks of 2014, U.S. railroads reported cumulative volume of 13,425,089 carloads, up 3.4 percent compared with the same point last year, and 12,003,887 intermodal units, up 5.3 percent from last year. Total combined U.S. traffic for the first 46 weeks of 2014 was 25,428,976 carloads and intermodal units, up 4.3 percent from last year.


DOC creates new web-based tool
to search Consolidated Screening List

WASHINGTON, DC — The U.S. Department of Commerce has announced the creation of a new web search tool to help U.S. companies search the federal government’s Consolidated Screening List (CSL). The CSL is a streamlined collection of nine different “screening lists” from the U.S. Departments of Commerce, State, and the Treasury that contains names of individuals and companies with whom a U.S. company may not be allowed to do business due to U.S. export regulations, sanctions, or other restrictions. The CSL is also now available through the Trade Developers Portal Application Programming Interface (API) in an open, machine-readable format. By making the CSL available as an API, developers and designers can create new tools, websites or mobile apps to access the list and display the results, supporting private sector innovation to help disseminate this critical information in ways most helpful to business users. If a company or individual appears on the list, U.S. firms must do further research into the individual or company in accordance with the administering agency’s rules before doing business with them. In addition to the simple search tool, the CSL API is now available to developers through ITA’s Developer Portal. For more information about the search tool, API or CSL, visit http://developer.trade.gov/consolidated-screening-list.html.


NEWS BULLETIN
Thursday, November 20, 2014


Port of Vancouver holding line
on staying away from tax increase

VANCOUVER, USA — For the third year in a row, the Port of Vancouver USA Board of Commissioners has chosen not to take the one percent tax increase ports are allowed annually under Washington state law. The board’s Nov. 18 decision keeps the amount of public investment in the port at just under $10 million annually, continuing a trend that started in 2009. Due to increasing Clark County property values, the 2015 port tax levy equates to $90.25 in annual property tax on a $250,000 home, a reduction of $9.50 from 2014. At $98.6 million, the 2015 budget is the largest in the port’s 102-year history. Revenues are expected to increase $19 million over 2014, with most additional dollars coming from the port’s dedicated rail service, an new program moving goods between Vancouver and the Midcontinent. The rail service is expected to generate $18.5 million in revenue and is offset by $16.6 million in expenses. The projected $1.9 million net profit is part of the port’s expected growth for 2015. The port also expects to see increases in marine cargo, including agricultural products, automobiles, ceramic sand, fertilizer and steel.


Port of Tacoma biofiltration system
helping to remove log yard pollutants

TACOMA — Bamboo grasses sprouting from giant concrete boxes that stretch the length of two football fields are helping to remove pollutants from the stormwater runoff at the Port of Tacoma’s West Hylebos Log Yard. The plants are a piece of a biofiltration stormwater treatment system designed and built by the port. The system mimics nature’s filtering processes to remove zinc, copper and other pollutants to improve water quality before it runs into Commencement Bay. It is the first of its kind used to manage stormwater at a log export terminal. To date, the system has removed more than 92 percent of pollutants. Debarking activities at log yards leach high levels of pollutants and make stormwater management a particular challenge. When the log yard failed to meet Washington state's water quality standards in 2010, the port analyzed six treatment options. Biofiltration emerged as the most cost-effective solution. The $2.7 million system measures 600 feet long by 45 feet wide. Completed last December, it moves stormwater through four cells, each targeting a particular pollutant.


Port of Olympia starts project
to revamp Port Plaza landscaping

OLYMPIA — The Port of Olympia reports the Port Plaza landscaping is being renovated to improve public safety, open view corridors, and ensure enjoyment for years to come. The renovation began in mid-October. Since the plaza’s construction and landscaping in 1998, much of the foliage has overgrown its space, creating potential safety risks and blocking view corridors. The designer of plaza’s original landscape, Robert W. Droll, created the current landscape renovation plan. Puget Sound Landscaping is the contractor implementing the plan. Work on the project is expected to last approximately 30 days, depending upon the weather.


Knutson NHK Offshore Tankers
holds shuttle tanker naming ceremony

TOKYO — On November 12, Knutsen NYK Offshore Tankers AS (KNOT), of which NYK has a 50 percent share, held a naming ceremony for a new shuttle tanker that is being built at Cosco Zhoushan Shipyard. The ship was christened RAQUEL KNUTSEN. The ceremony was attended by KNOT president Trygve Seglem, NYK senior managing corporate officer Hitoshi Nagasawa, and NYK corporate officer Svein Steimler. The vessel will be delivered to Repsol Sinopec Brasil S.A. and will be chartered for a maximum 15-year period for transportation of crude oil located off Brazil. The ship is a 152,000 DWT Suezmax shuttle tanker equipped with a class 2 dynamic positioning system and a bow-loading system. After this delivery, the KNOT Group will have 29 shuttle tankers in operation and on order.Oman through Ministry of Finance and Oman Oil Company. Currently OSC operates 43 ships of different types and sizes with a total cargo carrying capacity of about eight million tons.


CMA CGM Group bringing back
Citrus Express seasonal service

MARSEILLES — CMA CGM Group has announced its Citrus Express seasonal service will start again in November. Spread over two rotations, this service enables exports of citrus fruits and apples from the East Mediterranean to the Black Sea. It will call the ports of:
Syria, Turkey and the Black Sea, from November to January
Egypt, Syria, Turkey and the Black Sea, from January to April
The Turkish lemons and tangerines, the Egyptian oranges or the Syrian apples will all be carried in refrigerated containers.


NEWS BULLETIN
Wednesday, November 19, 2014


Federal Maritime Commission
looking into labor unrest surcharges

WASHINGTON, DC — The Federal Maritime Commission reports it is receiving numerous inquiries regarding the congestion surcharges for "labor unrest" being implemented by ocean carriers as announced in tariff rules required to be published under the Shipping Act of 1984 and the commission’s regulations at 46 CFR Part 520. Unless done pursuant to a waiver or exemption, the FMC says any tariff rule (including surcharges) of a common carrier that results in an increased cost to a shipper may not be effective earlier than 30 days after publication. 46 U.S.C. § 40501(e) and 46 CFR § 520.8. Many carriers previously published in their tariffs advance or conditional notice of an intention to implement surcharges in the event certain conditions are experienced. All such carrier tariff rules, however, must be clear and definite as to the implementation and termination of the surcharge based upon specific criteria related to "labor unrest." The Shipping Act and the commission’s regulations require that the rules applicable to any given shipment shall be those in effect on the date the cargo is received by the common carrier or its agent. 46 CFR § 520.7. Thus, if any labor disruption were to occur at a port after cargo has been tendered by a shipper, a carrier may only lawfully charge the rates in effect on the day the cargo is tendered. The commission continues to review congestion surcharge rules published in carrier tariffs and is gathering information from carriers regarding implementation of these surcharges.


Anacortes port board president
eyes possible open meetings violation

ANACORTES — The President of the Commission of the Port of Anacortes, Bob Eberle, has sent a letter to the Washington State Auditor’s Office requesting an investigation into a concern that three commissioners met in violation of the Washington Open Public Meetings Act. The port commission met at a special meeting on November 10, 2014 to discuss with staff and members of the public the November 6th resignation of Executive Director, Bob Hyde. In responding to questions from the public it was noted by a commissioner that on October 30, 2014 three commissioners, two at a time, met to hear some concerns from Port employees. A member of the public raised a concern that such a meeting violated the Open Public Meetings Act. Since the concern raised involved commissioners, Commission President Eberle has requested the State Auditor conduct an investigation.


ATA truck tonnage index
climbs during month of October

ARLINGTON, VA — American Trucking Associations’ advanced seasonally adjusted For-Hire Truck Tonnage Index rose 0.5 percent in October, following a revised decline of 0.8 percent during the previous month. In October, the index equaled 132.1 (2000=100), which was the second highest level on record after August. Compared with October 2013, the SA index increased 4.5 pecent, up from September’s 2.9 percent year-over-year gain. Year-to-date, compared with the same period last year, tonnage is up 3.2 percent. The not seasonally adjusted index, which represents the change in tonnage actually hauled by the fleets before any seasonal adjustment, equaled 140.4 in September which was 4.3 percent above the previous month (134.6). ATA calculates the tonnage index based on surveys from its membership and has been doing so since the 1970s. This is a preliminary figure and subject to change in the final report issued around the 10th day of the month. The report includes month-to-month and year-over-year results, relevant economic comparisons, and key financial indicators.


Oman Shipping marks delivery
of new LNG carrier ADAM LNG

OMAN — Oman Shipping Company (OSC) has taken delivery of the LNG carrier – ADAM LNG. The 162,000 cubic metres capacity vessel was built by Hyundai Heavy Industries (HHI) in Ulsan South Korea. It will operate worldwide with 25 crew including four Omani cadets. Oman Shipping Company (OSC) was incorporated in 2003 and is owned by the Government of Sultanate of Oman through Ministry of Finance and Oman Oil Company. Currently OSC operates 43 ships of different types and sizes with a total cargo carrying capacity of about eight million tons.


Crowley awards pair of scholarships
to University of North Florida students

JACKSONVILLE, FL — Crowley Maritime Corporation recently awarded Thomas B. Crowley Sr. Memorial Scholarships to two University of North Florida (UNF) students who are also currently part-time employees with the company. UNF seniors Olivia Musselwhite and Matthew Petrone each received $2,500 towards their continued education. Leonora Bojko-Sosa, human resources representative for Crowley, recognized the two at an annual reception on Nov. 7 at the University Center on the UNF campus in Jacksonville. Ms. Musselwhite, who will graduate in December, currently works in Crowley’s logistics group, specifically with government services, while Mr. Petrone, who graduates in spring 2015, works in the liner services equipment group. Crowley has provided scholarship aid to UNF students since 1998. To qualify, students must major in transportation or logistics, obtain a predetermined grade point average (GPA) and possesses leadership skills identified by the college and by Crowley. Since 1984, Crowley has provided more than $3 million dollars in scholarship funding for more than 1,000 students at select institutions of higher learning from Alaska to Central America. The company has also donated more than $2 million over the years to support other educational programs.


NEWS BULLETIN
Tuesday, November 18, 2014

Robert Hyde stepping down
as Port of Anacortes director

ANACORTES — Port of Anacortes Executive Director Robert Hyde has tendered his resignation from the Port of Anacortes. His resignation was accepted by the Anacortes Port Commission at its regularly scheduled November 6, 2014 meeting. The commissioners individually and as a group thanked Mr. Hyde for his eight years of service to the Port of Anacortes and the citizens. Commission President Bob Eberle noted that “Bob Hyde had provided leadership and direction to the Port of Anacortes at a critical time in port history and had been instrumental in the successes enjoyed by the Port of Anacortes over the past eight years.” Commissioner Keith Rubin noted that “Bob Hyde had forged strong working relationships between the port and the city of Anacortes.” The other three commissioners expressed similar sentiments. Mr. Hyde thanked the port commission for their support and for the honor and privilege of serving as the executive director. He noted that port staff was a dedicated and talented group of public employees that had made the successes possible.


Landry named to second term
on Port Metro Vancouver board

VANCOUVER, BC — Paul Landry has been re-appointed to the Port Metro Vancouver Board of Directors for a second three-year term which expires on September 24, 2017. Mr. Landry is the chair of the Human Resources & Compensation Committee and a member of the Community & Corporate Social Responsibility Committee. Mr. Landry is the former president and CEO of the British Columbia Trucking Association, which represents over 800 trucking and bus companies on a wide variety of regulatory issues that affect industry safety, productivity and profitability. Previously, he was a senior manager with Saskatchewan Government Insurance and vice chairman of the Saskatchewan Highway Traffic Board. He has served on many National and Provincial boards, task forces and committees dealing with transportation policy, standards and programs, including the Executive Committees of the Greater Vancouver Gateway Council and the Canadian Trucking Alliance. He currently serves on the Federal Minister of Labour's Advisory Committee on Labour and Workplace Affairs. Port Metro Vancouver’s Board of Directors is composed of 11 members: one federal appointee; one British Columbia provincial appointee; one appointee for the Prairie Provinces of Alberta, Saskatchewan and Manitoba; one municipal appointee; and, seven federal appointees recommended by port users.


Crowley nets second contract
for LNG delivery to Puerto Rico

SAN JUAN — Crowley Maritime Corp.’s Liquefied Natural Gas (LNG) services group has been awarded a second, multi-year contract to supply containerized, U.S.-sourced LNG to a major pharmaceutical company’s manufacturing plants in Puerto Rico. The contract, executed through Crowley’s Carib Energy subsidiary, includes the fuel supply and transportation of LNG, helping the customer yield substantially lowered emissions and an alternative to their current fuel source, diesel. The transportation of LNG from U.S.-based liquefaction facilities to the pharmaceutical company’s plants will be managed by Crowley’s domestic logistics team, which will coordinate over-the-road transportation of 40-foot intermodal containers authorized by the Department of Transportation to carry approximately 10,000 gallons of LNG to the company’s Jacksonville, Fla., shipping terminal. Once in Jacksonville, the containers will be loaded onto company-owned vessels departing for Puerto Rico. Upon arrival on the island, Crowley’s Puerto Rico-based logistics team will deliver the LNG to the customer’s facilities. There the LNG will be re-gasified into pipeline natural gas for boiler consumption.


Georgia Ports Authority
announces October freight numbers

SAVANAH — The Georgia Ports Authority has announced that its terminals in Brunswick and Savannah moved a combined 2.79 million tons of freight in October, a record for the authority. For the fiscal year to date, the GPA has moved 10.28 million tons, up 7.2 percent or 694,045 tons. Savannah's Garden City Terminal handled a record 311,759 twenty-foot equivalent container units (TEUs) in October - a 13.6 percent increase (37,432 TEUs) compared to the same month a year ago. For the fiscal year to date, the GPA has moved 1.2 million TEUs, an increase of 13.1 percent, or 138,554 TEUs, over the same period last year. Other records set in October include the highest number of truck gate moves at Garden City Terminal (213,445), and the most containers moved via intermodal rail (31,238). The Port of Savannah's on-terminal rail yards are served by two Class I rail providers, CSX Transportation and Norfolk Southern. Meanwhile, the autoport in Brunswick has moved 224,197 roll-on/roll-off units this fiscal year. Combined with vehicles moved via Savannah's Ocean Terminal, that number climbs to 232,009 units, a 3.4 percent increase for the fiscal year. Total Ro/Ro volumes for October equaled 63,218 units, a 1.4 percent increase over October 2013.


Port of Los Angeles sees gains
in container moves for October

LOS ANGELES — The Port of Los Angeles has released its October 2014 containerized cargo volumes. In October 2014, overall volumes increased 4.6 percent compared to October 2013. Total cargo for October was 715,682 Twenty-Foot Equivalent Units (TEUs). For the first ten months of calendar year 2014, overall volumes (7,018,152 TEUs) have increased 7.5 percent compared to the same period in 2013 (6,531,374 TEUs). The increase reflects the conclusion of peak season volumes and larger vessels calling at the Port of Los Angeles. Container imports increased 7.2 percent, from 346,137 TEUs in October 2013 to 370,938 TEUs in October 2014. Exports declined 6.7 percent, from 169,568 TEUs in October 2013 to 158,181 TEUs in October 2014. Combined, total loaded imports and exports increased 2.6 percent, from 515,705 TEUs in October 2013 to 529,119 TEUs in October 2014. Factoring in empties, which increased 10.7 percent year over year, overall October 2014 volumes (715,682 TEUs) rose 4.6 percent compared to October 2013 (684,207 TEUs). Current and past data container counts for the Port of Los Angeles may be found at: http://www.portoflosangeles.org/maritime/stats.asp


NEWS BULLETIN
Monday, November 17, 2014


Carriers plan to add congestion charges
in wake of West Coast terminal delays

OAKLAND — The Transpacific Stabilization Agreement (TSA) reports a number of container lines operating between the U.S. and Asia say they intend to implement congestion charges of up to $1,000 per 40-foot container (FEU) for cargo moving via U.S. West Coast ports, effective November 17, 2014, in response to labor-related terminal delays. Earlier this year shipping lines individually published congestion charges specifically to cover labor-related service disruptions. Beginning November 17 carriers will assess and collect their respective charges on an individual basis for eastbound and westbound cargo. Terminal operators at Seattle and Tacoma are reporting 40-60 percent productivity reductions in loading and discharge of vessels that threaten to disrupt schedules and delay receipt and delivery of cargo to a regional economy highly dependent on waterborne international trade. In Southern California, 14 ships were at anchor in Los Angeles-Long Beach harbor awaiting a berth and cargo handling operations fell to a low of 11 containers per hour. Increased longshore container and chassis safety inspections have contributed to average truck turn times of 2-3 hours at terminal gates and yards. Oakland terminals have reported work slowdowns and disruptions involving equipment operators. A TSA survey of member line costs associated with service interruptions and delays to date revealed that lines are now incurring losses and expenses due to blanked sailings, skipped port calls, and speedup of existing vessels or chartering of added ships and equipment to maintain schedules. Extraordinary shoreside costs include container detention and storage charges, additional longshore gangs and associated overtime, extended gate hours and fees, tug services and increased trucking charges relating to inter-terminal transfers. TSA is a research and discussion forum of major container shipping lines serving the trade from Asia to ports and inland points in the U.S.


Hamburg Sud marks christening
of new 'San' class container ship

HAMBURG — Last week, Hamburg Süd celebrated the christening of a further container ship in its “San” class. The official naming ceremony of the SAN CLEMENTE was held at the Marina Bay Cruise Center in Singapore, with customers and business partners. The SAN CLEMENTE is one of Hamburg Süd’s series of three “San” class new builds constructed at the Korean shipyard Hyundai Heavy Industries in Ulsan. Like its sister ships, the vessel has a container slot capacity of 9,034 TEU and 1,370 reefer slots. Like the SAN CRISTOBAL, which was christened in August, the SAN CLEMENTE is operating on the service between Asia and the East coast of South America. Hamburg Süd has also taken delivery of the third new build, the SAN VINCENTE.


BNSF Railway locomotive changes
will help reduce Washington emissions

SPOKANE, WA — BNSF Railway, in partnership with Spokane Regional Clean Air Agency (Spokane Clean Air) and HOTSTART, is retrofitting 11 locomotives with HOTSTART idle-reduction technology to reduce emissions and conserve fuel in Washington. The pool of locomotives will operate out of the BNSF rail yards in Spokane and Pasco. To lower carbon dioxide emissions at its Spokane and Pasco rail yards, BNSF purchased HOTSTART’s Auxiliary Power Units (APUs) to reduce idling during cold weather. HOTSTART’s APU idle-reduction technology keeps the engine warm and ready to restart. Shutting down an idling locomotive reduces fuel consumption, oil consumption, emissions, noise and engine wear. In addition to the APUs, BNSF has installed automatic engine start-Stop systems (AESS) that can be used in conjunction with the APU to shut down the locomotive when not needed. The combination of APUs and AESS can potentially eliminate most locomotive engine idling. Remote data logging systems will be installed onboard each locomotive to monitor and track data for each of the 11 APU systems. BNSF has already equipped more than 90 percent of its more than 7,500 locomotives with the AESS idle-control technology. All of BNSF’s new locomotives are also equipped with AESS technology.


International Shipholding Corp.
inks vessel deal with Tampa Electric

MOBILE — International Shipholding Corporation has announced the signing of a contract with Tampa Electric (TEC). International’s Jones Act fleet will provide TEC with transportation under a three-year agreement beginning January 01, 2015, with a further two-year extension at TEC’s option. International Shipholding Corporation, through its subsidiaries, operates a fleet of U.S. and International flag vessels that provide worldwide and domestic maritime transportation services to commercial and governmental customers primarily under medium to long-term charters and contracts.


Maritime Commerce Club
seeking Old Salt nominations

PORTLAND — The Columbia River Maritime Commerce Club is calling for nominations for the 2015 Old Salt Award. Now in its 57th year, the Old Salt is presented to an individual, who through years of service and dedication has advanced the Willamette and or Columbia River maritime industry. Nominees should be contributors to the maritime community and have made a significant effort to progress the industry outside of their regular job activities. For a nomination letter to be considered, it must be accompanied by a detailed biography of the individual that includes the nominee's industry involvement. Submissions must be received by Friday, February 6, 2015. Submit your nominations in a letter marked "Confidential" to: Old Salt Committee Chairperson, c/o Maritime Commerce Club, 200 S.W. Market Street, Suite 190, Portland, OR 97201. The winner will be announced prior to the Maritime Commerce Club Winter Event on Thursday, February 19, 2015.


NEWS BULLETIN
Friday, November 14, 2014


Freight transport services index
gains ground during September

WASHINGTON, DC — The Freight Transportation Services Index (TSI), which is based on the amount of freight carried by the for-hire transportation industry, rose 0.3 percent in September from August, rising for the third consecutive month, according to the U.S. Department of Transportation’s Bureau of Transportation Statistics. The September 2014 index level (121.5) was 28.5 percent above the April 2009 low during the most recent recession. The level of freight shipments in September measured by the Freight TSI (121.5) reached its all-time high. BTS’ TSI records begin in 2000. The August index was revised to 121.2 from 120.9. There were smaller upward revisions for each of the previous months in 2014. The Freight TSI measures the month-to-month changes in freight shipments by mode of transportation in tons and ton-miles, which are combined into one index. The index measures the output of the for-hire freight transportation industry and consists of data from for-hire trucking, rail, inland waterways, pipelines and air freight.


US rail freight traffic
climbs during week

WASHINGTON, DC — The Association of American Railroads (AAR) has reported increased U.S. rail traffic for the week ending Nov. 8, 2014 with 297,694 total carloads, up 0.2 percent compared with the same week last year. Total U.S. weekly intermodal volume was 271,113 units, up 2.2 percent compared with the same week last year. Total combined U.S. weekly rail traffic was 568,807 carloads and intermodal units, up 1.1 percent compared with the same week last year. For the first 45 weeks of 2014, U.S. railroads reported cumulative volume of 13,128,434 carloads, up 3.5 percent compared with the same point last year, and 11,730,192 intermodal units, up 5.4 percent from last year. Total combined U.S. traffic for the first 45 weeks of 2014 was 24,858,626 carloads and intermodal units, up 4.4 percent from last year.


Alaska Airlines to add flights
between Sea-Tac, Dulles Airport

SEATTLE — Alaska Airlines has announced it will begin daily nonstop service from Seattle-Tacoma Airport to Dulles International Airport next spring. With the launch of Alaska's Dulles flight, Alaska customers will have nonstop access to all three D.C.-area airports from Seattle, including Reagan National Airport and Baltimore-Washington International Airport. With the new route Alaska is scheduled to increase its daily departures from Seattle by 11 percent by next spring, offering 282 peak-day departures to 79 destinations from Seattle, more than three times as many flights of any other airline.


New York-area vessel operators
to join Masters, Mates and Pilots union

LINTHICUM HEIGHTS, MD — New York-area watermen who operate tugboats, dredges, tourist boats and ferries, members of Staten Island-based Local 333, have voted to support a merger between Local 333 and the Maryland-based International Organization of Masters, Mates and Pilots. By a more than 2 to 1 margin, 1,300 New York and New Jersey mariners voted to affiliate with the larger national union of deck officers who serve on ocean-going ships, and which also represents captains and crews on inland waterways beyond New York Harbor. The election was conducted by mail ballot. The final tally was 423 “yes” votes for affiliation, 182 “no” votes and six votes were judged invalid.


Crowley vessels earn honors
for years of safe operations

WASHINGTON, DC — Eighty-nine Crowley Maritime Corp.-owned and operated vessels were honored with Certificates of Environmental Achievement for years of safe operations during the eleventh-annual Chamber of Shipping of America (CSA) awards ceremony. Crowley received an award for each vessel that worked at least two consecutive years without an environmental incident. The 89 vessels have logged a combined 968 years of service without incident. Each year, CSA invites all owners and operators of vessels that work on oceans or inland waterways to nominate their vessels for Environmental Achievement awards. Approximately 1,386 vessels from 58 companies, including Crowley, were recognized this year at the ceremony held in Washington, D.C. The honored vessels accumulated a total of 10,749 years of safe operations.


NEWS BULLETIN

Thursday, November 13, 2014

Port of Vancouver nears completion
of West Vancouver Freight Access work

VANCOUVER, USA — The final elements in a decade-long, $275 million effort to improve rail movement at the Port of Vancouver, USA are moving toward construction. The port’s board of commissioners in October authorized a $1.6 million construction contract with Railworks Track Systems of Chehalis, Washington. The contract ties together several parts of the port’s West Vancouver Freight Access Project (WVFA) and is the last piece necessary to make the port’s new rail entrance fully operational. It includes:
• Realigning a 500-foot-long section of track between Esther and Grant streets.
• Constructing a double track from Esther Street to the port’s new rail entrance (also known as “the trench”).
• Installing the port’s new main track between companies Albina Fuel and Lafarge at the eastern end of the trench.
The WVFA began in the early 2000s as a $57 million project to address rail congestion by creating a new rail entrance for the Port of Vancouver. As the port improved its rail system, port tenants began investing in their facilities to take advantage of added capacity. Since its inception, 20 projects have been added to the original WVFA, taking the overall improvements to an estimated $275 million with a completion date of 2017.


Horizon Lines plans to end
service from US to Puerto Rico

CHARLOTTE, NC — Horizon Lines, Inc. has announced that it would cease providing liner service between the U.S. and Puerto Rico by the end of 2014 due to continuing losses without the prospect of future profitability. Sea-Land Service, Inc. (Sea-Land) pioneered the marine container shipping industry and established Horizon Lines' business on April 26, 1956, when the vessel IDEAL-X sailed from Newark, New Jersey to Houston, Texas. Sea-Land introduced container shipping to the Puerto Rico market in 1958, which Horizon Lines has continued to the present. In Puerto Rico, Horizon Lines reports it has incurred substantial cumulative losses and negative cash flows in recent years, despite ongoing efforts to remain competitive. Horizon is currently serving the trade with two vessels built in the early 1970s that have become increasingly costly to operate and expensive to maintain. As recently as 2012, Horizon operated four vessels, but the company had been forced to remove two vessels from the Puerto Rico service due to prolonged falling demand and the need to cut costs. The company will cease liner service for domestic customers by the end of the year, however San Juan terminal services will continue to be provided into the first quarter of 2015. Horizon Lines, Inc. has also announced that it has entered into definitive agreements for a series of transactions that will result in the sale of the entire company, the first being the sale of its Hawaii business to The Pasha Group, followed by Horizon Lines, Inc.'s subsequent acquisition by Matson, Inc.


Last four gates arrive
for Panama Canal expansion

COLON — The Panama Canal Expansion has reached another major milestone with the arrival of the final shipment of gates for the new locks. The four gates arrived on board the Post-Panamax vessel XIA ZHI YUAN 6 owned by COSCO Ocean Shipping, after a 25-day voyage from the Port of Trieste in Italy. The four gates arrived to the temporary dock located in the Atlantic side. The final shipment included two gates to be used in the Atlantic and two in the Pacific. The two gates to be installed in the Pacific locks are the tallest of all 16, standing 33 meters in height and weighing 4,232 tons. These gates will be used in lock head four facing the Pacific Ocean. The two gates to be installed in the Atlantic locks are 10 meters wide, 29 meters in height and weigh 3,319 tons. All gates have the same length of 57.6 meters but vary in height, width and weight depending on their location in the locks. The height of the tallest gate can be compared to an 11-story building. The construction of the gates began in October 2011 by subcontractor Cimolai SpA in Italy. The new locks will have a total of 16 rolling gates (eight for each new lock complex). The gates belonging to the Pacific have been transiting one by one through the current waterway on board a barge assisted by two Panama Canal tugboats. Currently, four of the eight gates have already been transferred to the construction site in the Pacific. The Panama Canal Expansion consists on the construction of a third lane of traffic allowing the passage of bigger vessels, which will double the canal's capacity.


New instruction manual to provide help
for ports to plan infrastructure projects

ALEXANDRIA, VA — The newly released first section of a manual, called the Funding Strategy guide, is aimed at helping U.S. port authorities plan and pay for critical infrastructure projects. Developed in collaboration between the American Association of Port Authorities (AAPA), the U.S. Department of Transportation, Maritime Administration (MARAD), PFM Group of Orlando, Fla., and port industry experts, the Funding Strategy guide addresses the need for a resource that addresses ways and best practices for funding and financing port capital improvements. The document is designed to aid ports in developing “investment-grade” project plans to attract public and private investment dollars. The guide is the first module of what is being called the Port Planning and Investment Toolkit (PPIT), which is an ongoing initiative to help U.S. seaports obtain funding for freight transportation, facility and other port-related improvement projects. Future toolkit modules will further assist ports in developing capital plans that identify their future needs; determine the most cost-effective, sustainable and efficient solutions to port challenges; get port infrastructure projects into Metropolitan Planning Organization (MPO) and state transportation programs to qualify for formula funding; and position port projects for federal funding such as TIGER (Transportation Investments Generating Economic Recovery) grants.


New Jensen, Vigor fishing vessel
on display at Pacific Marine Expo

SEATTLE — Jensen Maritime and Vigor will unveil the design for a new 352-foot catcher processor/factory trawler at the Pacific Marine Expo on Nov. 19. The design is the product of collaboration between Jensen, the design architect, Vigor, the shipbuilder, and three major fishing customers. Designed to maximize fishing capability as well as operational efficiency, the vessel has over 1,200 square meters (13,000 square feet) of processing space and can be set up for a variety of processing needs, from surimi to fillets to fish meal. Hold volume is split between a frozen product hold and a pair of fish meal holds, for a total hold capacity of over 3,090 cubic meters (109,000 cubic feet). The vessel also holds 195 cubic meters (51,500 gallons) of fish oil in dedicated tanks. Accommodations are provided for a total of 155 crew, and the mess area provides seating for 94. Six person staterooms are provided for a majority of the crew. All accommodations are provided on the deck above the processing space to allow separation of living and working spaces for containment of odors and noise. Interested fleet and vessel owners can talk to Vigor and Jensen at the Pacific Marine Expo taking place November 19-21, 2014 at CenturyLink Field Event Center. Vigor will be at booth #633 and Jensen will be at booth #835.


NEWS BULLETIN
Wednesday, November 12, 2014


Matson announces purchase deal
for Horizon Lines' Alaska operations

HONOLULU — Matson, Inc. and Horizon Lines, Inc. have announced that they have entered into a definitive merger agreement pursuant to which Matson will acquire the stock of Horizon, which will include its Alaska operations and the assumption of all non-Hawaii business liabilities. Separately, Horizon has also announced that it has agreed to sell its Hawaii operations to The Pasha Group for $141.5 million and intends to shut down its Puerto Rico liner operations by the end of 2014. Under the terms of the transaction, Matson will acquire Horizon for $0.72 per fully diluted common share, or $69.2 million, plus the repayment of debt outstanding at closing. The total value for the transaction is $456.1 million (before transaction costs), based on Horizon's net debt outstanding as of September 21, 2014, less the anticipated proceeds from the Hawaii Business sale. The boards of directors of both companies have unanimously approved the transaction, and Horizon shareholders representing 55 percent of the fully diluted equity, which also represents 41 percent of the outstanding voting common stock on November 11, 2014, have agreed to vote their shares in support of the transaction. Matson will fund the transaction from cash on hand and available borrowings under its revolving credit facility. The transaction is expected to close in 2015 after the completion of Horizon's sale of its Hawaii Business, Horizon's shareholder approval, and other customary closing conditions.


American Association of Port Authorities
presents awards to port industry leaders

HOUSTON — At its 103rd Annual Convention and Expo in Houston, the American Association of Port Authorities (AAPA) -– a trade group representing ports throughout the Western Hemisphere -– honored three port industry leaders for their accomplishments. Receiving AAPA’s Distinguished Service Award were former Port of Seattle CEO Tay Yoshitani and Dr. Bory Steinberg, founder and principal of the water resources advisory firm of Steinberg & Associates, and a former U.S. Army Corps of Engineers Civil Works Program chief. Receiving AAPA’s ImPORTant Service Award was Port of Everett (Wash.) CEO John Mohr. Recipients of the association’s Distinguished Service Award are honored for their dedicated efforts toward the enrichment of the maritime and port industries throughout the Western Hemisphere. Recipients of AAPA’s ImPORTant Service Award must have served with distinction and a record of outstanding leadership on one or more of the association’s technical or policy committees for at least 10 years, including two years as a committee chairman, and have at least 10 years of port management experience.


Mitsui joining partnership
to form product tanker alliance

TOKYO — Mitsui O.S.K. Lines, Ltd. (MOL) has announced that the pool agreement governing the formation of a new MR pool has now been signed among the four partners, MOL, Asahi Tanker Co., Ltd., Ultranav International S. A.(Ultranav) and OSG International, Inc. The new pool "Clean Products Tankers Alliance" will operate a combined fleet of around 60 MR vessels. Ultranav, headquartered in Santiago will operate IMO-type vessels mainly for the Americas trade out of their office in Miami, and MOL whose main operations are in Tokyo, Singapore, London, and Houston, will operate other vessels for worldwide trade.


General Dynamics NASSCO
begins product tanker construction

SAN DIEGO — General Dynamics NASSCO, a wholly owned subsidiary of General Dynamics, signaled the start of construction for three 50,000 deadweight ton, 330,000 barrel cargo capacity product tankers for SEA-Vista LLC, a joint venture between SEACOR Holdings Inc. and Avista Capital Partners (SEA-Vista). Each LNG-conversion ready product tanker will be constructed at the NASSCO shipyard in San Diego under Jones Act requirements. These new 610-foot-long vessels are a continuation of the ECO MR Tanker design, which offers improved fuel efficiency and incorporates the latest environmental protection features, including a Ballast Water Treatment System and reduced emissions. The tankers were designed by DSEC, a subsidiary of Daewoo Shipbuilding & Marine Engineering (DSME) of Busan, South Korea.


Crowley teams with IbisTek
to create Ghana joint venture

HOUSTON — Crowley Maritime Corp. and IbisTek, LLC, have announced the formation of a joint venture, called IbisTek Crowley Limited, to provide a comprehensive package of project logistics, energy support services and emergency response capabilities in Ghana, West Africa. The partnership meets the local standards required to be considered an “indigenous Ghanaian company.” Formed in 2005, IbisTek is a wholly Ghanaian-owned company that provides packaged engineering solutions regionally.


NEWS BULLETIN
Tuesday, November 11, 2014


FERC releases draft EIS
for Coos Bay LNG terminal

COOS BAY — Jordan Cove Energy Project L.P. and Pacific Connector Gas Pipeline, LP have received a draft Environmental Impact Statement (EIS) from the Federal Energy Regulatory Commission (FERC) regarding the environmental impacts of a liquefied natural gas (LNG) terminal proposed by Jordan Cove LNG for Coos Bay, Oregon and a natural gas pipeline proposed by Pacific Connector that would extend 232 miles from Malin, Oregon to the terminal. The EIS states: "The FERC staff concludes that construction and operation of the projects would result in some limited adverse environmental impacts, but these impacts would be reduced to less-than-significant levels." The facilities at the proposed Jordan Cove LNG terminal would include an access channel from the existing Coos Bay navigation channel; a marine slip with berths for an LNG vessel and tugboats, and a loading platform; a transfer pipeline; two LNG storage tanks; four liquefaction trains and refrigerant storage bullets; fire water ponds; ground flares; support buildings; utility and access corridor between the terminal and the power plant; 420-megawatt South Dune Power Plant; Southwest Oregon Resource Security Center; and the natural gas treatment plant. Jordan Cove LNG and Pacific Connector each filed an application with the FERC for approval to construct the LNG export terminal and the pipeline in May and June 2013, respectively. A draft EIS is intended to inform FERC decision-makers, the public, and permitting agencies about the potential adverse and beneficial environmental impacts of the proposed project and its alternatives, and recommend mitigation measures that would reduce adverse impacts to the extent practicable. The draft EIS is subject to further review and public comment before FERC issues a final EIS. The draft EIS can be downloaded from the FERC website at: http://www.ferc.gov/industries/gas/enviro/eis.asp


Latest Port Tracker Report predicts
slow down of import cargo volumes

WASHINGTON, DC — Import cargo volume at the nation’s major retail container ports is expected to slow down this month following record levels seen in September and October as retailers rushed to bring merchandise into the country ahead of a possible shutdown of West Coast ports, according to the monthly Global Port Tracker report released by the National Retail Federation and Hackett Associates. Import volume at U.S. ports covered by the Global Port Tracker report is expected to total 1.4 million containers this month, down from 1.59 million each in September and October, a number that broke the previous monthly high of 1.52 million set in August. Cargo volume has been well above average each month since spring as retailers have imported merchandise early in case of any disruption on the docks. The 1.59 million Twenty-Foot Equivalent Units handled in September, the latest month for which after-the-fact numbers are available, was up 5.2 percent from August and 10.9 percent from September 2013. One TEU is one 20-foot cargo container or its equivalent. October was estimated at 1.59 million TEU, within about 3,000 containers of September’s level and up 11 percent from the same month last year. November’s forecast of 1.4 million TEU would be up 3.9 percent from last year, and December is forecast at 1.36 million TEU, up 3.3 percent. Those numbers would bring 2014 to a total of 17.3 million TEU, an increase of 6.4 percent over 2013’s 16.2 million. Imports in 2012 totaled 15.8 million. The first half of 2014 totaled 8.3 million TEU, up 7 percent over last year. January 2015 is forecast at 1.42 million TEU, up 3.1 percent from January 2014, February at 1.35 million TEU, up 8.4 percent from last year, and March at 1.33 million TEU, up 2.3 percent. The import numbers come as NRF is forecasting 4.1 percent holiday season sales growth and 3.6 percent growth for 2014 overall. Cargo volume does not correlate directly with sales but is a barometer of retailers’ expectations. Global Port Tracker, which is produced for NRF by the consulting firm Hackett Associates, covers the U.S. ports of Los Angeles/Long Beach, Oakland, Seattle and Tacoma on the West Coast; New York/New Jersey, Hampton Roads, Charleston, Savannah, Port Everglades and Miami on the East Coast, and Houston on the Gulf Coast.


NASSCO completes float-off
of new Navy platform vessel

SAN DIEGO — The Navy's third Mobile Landing Platform (MLP), LEWIS B. PULLER successfully completed launch and float-off at the General Dynamics National Steel and Shipbuilding Co. (NASSCO) shipyard Nov. 6. LEWIS B. PULLER is the first afloat forwarding staging base (AFSB) variant of the MLP. The ship is designed around four core capabilities - aviation, berthing, equipment staging area, and command and control - and optimized to support a variety of maritime missions. The design of the AFSB variant adds a flight deck, berthing, fuel storage, equipment storage, and repair spaces. With a rotating crew of civilian mariners and military personnel the ship can operate forward almost continuously, providing a base of operations for everything from counter-piracy/smuggling, maritime security, and mine clearing to humanitarian aid and disaster relief. During float-off, the launching dock was slowly flooded with water until the ship could freely float for the first time. Following launch, the ship will complete its construction and then go to sea in 2015 to complete a series of at-sea test and trials prior to delivery in 2015.


Nation's freight railroads
exceeding veteran hiring goals

WASHINGTON, DC — The Association of American Railroads (AAR) has reported that the nation’s major freight railroads by the end of 2014 will have hired 45,000 people since 2012, including an estimated 9,900 men and women with military service. Railroads are also on track to exceed the projected industry hiring target of 12,000 people in 2014, reporting they expect they will hire more than 17,000 this year. The rate at which freight railroads are hiring people with military service has allowed the industry to exceed its 2012 commitment under the White House Joining Forces Program to hire more than 5,000 veterans by the end of 2013. At today’s pace, nearly one-in-four of every new railroad hire has military service. According to the Surface Transportation Board, the major Class I freight railroads in September had more than 168,000 employees across the country. That’s more total employment for class I railroads in any month since November of 2000. Today, railroads are hiring for jobs located all across the country, in many different areas – from information technology, to diesel mechanics and electricians to train conductors and engineers. To help anyone looking for a career at a railroad, AAR has resources on its website, including links to videos and profiles of rail employees with military service, job fair listings, job boards and websites where railroads are advertising their jobs, as well as the specific websites that railroads have developed to connect with men and women in the military. For more information, visit: www.aar.org/jobs.


Customs officers deliver baby
at Presidio border crossing

PRESIDIO, TX — U.S. Customs and Border Protection Office of Field Operations officers working at the Presidio Port of Entry assisted in the delivery of a healthy baby boy Saturday evening. The mother of the child, a resident of Presidio, was in labor when she arrived from Mexico and presented herself for inspection at the port. The sequence of events leading to the birth began at 10:58 p.m. Saturday when the mother-to-be and a friend arrived at the port requesting an ambulance. CBP officers quickly escorted the vehicle to the secondary inspection area where CBP officers provided care and assistance to the pregnant woman. Moments later at 11:05 p.m. CBP officers helped the female deliver a baby boy. After making sure the baby was breathing normally CBP officers wrapped him in their duty jackets keeping him protected from the elements until arrival of Presidio EMS. At approximately 11:12 p.m. Presidio EMS arrived and took over the care of the mother and her infant. Both mother and baby were transported to Big Bend Regional Medical Center in good health.


NEWS BULLETIN
Monday, November 10, 2014


Coast Guard holds vessel
for numerous safety violations

LONGVIEW — The Coast Guard detained the 600-foot motor vessel IKAN SUDIP, Wednesday, requiring the vessel to remain in Longview until safety violations are corrected by the ship’s crew. The Coast Guard is working with the vessel’s crew, owner and managing company to mitigate the safety violations and make repairs to the vessel prior to it departing port. Coast Guard vessel safety inspectors are also working with the the flag state of the IKAN SUDIP and the classification society, Nippon Kaiji Kyokai, responsible for certificating vessel construction and engineering. Vessel inspectors from the Coast Guard Marine Safety Unit in Portland discovered the discrepancies during a routine safety and regulatory compliance inspection of the Panama-flagged vessel. The IKAN SUDIP, owned by Grace Hawk Shipping S.A., is a bulk carrier built in 2008 that loaded grain in Longview and will depart for Manila, Philippines, after the safety violations have been corrected. The safety violations were related to extensive disrepair of various piping systems in the machinery spaces. Additionally, Coast Guard vessel inspectors discovered that half of the vessel’s fire hoses were deteriorated and inoperable, greatly reducing the crew’s ability to fight shipboard fires.


Maritime Administration Oks extension
of Voluntary Intermodal Sealift Agreement

WASHINGTON, DC — The Maritime Administration (MARAD) has announced the extension of the Voluntary Intermodal Sealift Agreement (VISA) program until October 1, 2019. The VISA program creates a partnership between the U.S. government and the maritime industry to provide commercial sealift and intermodal shipping services and systems necessary to meet military mobilization requirements. Through the VISA program, transportation solutions are developed in peacetime to anticipate Department of Defense requirements. The VISA program enables a seamless, time-phased transition from peacetime to wartime operations. More than 90 percent of the U.S. flag fleet vessels that the military can use to carry supplies are committed to the VISA program.


Hapag-Lloyd nets nod from Brazil
for planned merger with CSAV

HAMBURG — Hapag-Lloyd reports it welcomes the unconditional clearance under Brazilian merger regulations for the planned integration of the container shipping activities of Compañía Sud Americana de Vapores (CSAV) into Hapag-Lloyd. Hapag-Lloyd and CSAV signed a binding business combination agreement in April. Its implementation is subject to the approval of regulatory authorities. Among others, the Department of Justice of the United States, the European Union (EU) and Chile have already cleared the planned transaction. Approvals of a few jurisdictions are still pending. The transaction will make Hapag-Lloyd the fourth largest container shipping company in the world, with some 200 vessels, an annual transport volume of 7.5 million TEU and a combined turnover of approx. nine billion Euro.


Hamburg Sud tops goals
for CO2e emissions reduction

HAMBURG — Hamburg Süd reports it has achieved its environmental goal of reducing the CO2e emissions of its fleet by 26 percent by the year 2020, compared to 2009, well ahead of schedule. This is due to a number of measures, including investments in the energy efficiency of the shipping company’s own ships, the expansion of the average ship size within the newbuilding program, the chartering of energy-efficient ships and the further optimization of vessel deployment. The newly formulated CO2e goal specifies a reduction of emissions by 45 percent between 2009 and 2020 and encompasses the shipping company’s own and chartered container ships per unit of transport performance (TEUxkm). The CO2e unit of measurement, carbon dioxide equivalent, not only considers carbon dioxide but also other emissions produced during the combustion process (e.g. methane gas) in terms of their impact on the climate.


Trucking association sells
Transport Topics media group

ARLINGTON, VA — American Trucking Associations has announced the sale of Truck Fleet Management, a part of its Transport Topics media group, to allied member Bobit Business Media. Terms of the sale were not disclosed. Bobit Business Media brands include Heavy Duty Trucking, Work Truck Magazine, Automotive Fleet and associated websites, events and databases.


NEWS BULLETIN
Friday, November 7, 2014


Port of Vancouver, USA Oks
new terms with Northwest Packing

VANCOUVER, USA — After more than three years of negotiations, the Port of Vancouver USA and Northwest Packing Co. have agreed on terms and conditions necessary to extend the company’s lease for an additional 25 years, keeping the longtime tenant at the port for the foreseeable future. Northwest Packing’s current lease, which dates back to 1987, was up for renewal in 2011. The lease stipulates that, if the company chose to renew, the port would adjust rent to fair market value. The port extended the lease to December 31, 2014 to give Northwest Packing a chance to evaluate its needs and both parties time to discuss options. Northwest Packing’s lease is expected to go before the Port of Vancouver Board of Commissioners for approval before the end of this year.


Dredging project underway
at Port of Everett marina

EVERETT — Yesterday, the Port of Everett's contractor for the active environmental cleanup, Magnus Pacific, began dredging the eastern corner of the Central Marina. The dredging portion of the project will continue through Feb. 14, 2015. Reglar working hours will be Monday through Saturday, 7 a.m. to 5 p.m. Dredging may also occur after hours from 5 p.m. to midnight if high tide levels limit dredge activity during regular work hours. Night work will occur through early December. The port has created a Noise Concerns Hotline at: 425-388-0269. Dredging will require placement of two barges in the Central Marina, one for a clamshell dredge crane and one for placement of collected sediment, along with other equipment. Boaters are advised to slow down and be cautious around dredging operations.


Matson releases numbers
for third fiscal quarter 2014

HONOLULU — Matson, Inc. has reported net income of $21.5 million or $0.50 per diluted share for the quarter ended September 30, 2014, compared with $17.2 million or $0.40 per diluted share in 2013. Consolidated revenue for the third quarter 2014 was $441.8 million compared with $415.0 million in 2013. For the nine-month period ended September 30, 2014, Matson reported net income of $43.0 million, or $1.00 per diluted share compared with $46.4 million, or $1.08 per diluted share in 2013. Consolidated revenue for the nine-month period ended September 30, 2014 was $1,270.7 million, compared with $1,226.3 million in 2013.


Rail freight traffic up
for month of October

WASHINGTON, DC — The Association of American Railroads (AAR) has reported increased U.S. rail traffic for October 2014, with both carload and intermodal volume increasing compared with October 2013. U.S. Class I railroads originated 1,507,917 carloads in October 2014, up 4.4 percent, or 63,881 carloads, over October 2013. The average of 301,583 weekly carloads in October 2014 marked only the third time since 2008 that a month had a weekly carload overage of more than 300,000. Intermodal traffic in October totaled 1,381,749 containers and trailers, up 4.9 percent, or 64,071 units, over October 2013. October 2014 was the best month in history for U.S. rail intermodal traffic. The weekly average of 276,350 containers and trailers in October 2014 was the highest ever, and October was the 59th straight month of year-over-year intermodal increases. For the first 10 months of 2014, U.S. intermodal volume was a record 11,459,079 units, up 5.5 percent over 2013. AAR has also reported increased rail traffic for the week ending Nov. 1, 2014. U.S. railroads originated 305,389 carloads last week, up 4.3 percent compared with the same week last year, while intermodal volume for the week totaled 279,819 units, up 5.9 percent compared with the same week last year and the highest ever. Total U.S. rail traffic for the week was 585,208 carloads and intermodal units, up 5.1 percent compared with the same week last year. For the first 44 weeks of 2014, U.S. railroads reported cumulative volume of 12,830,740 carloads, up 3.6 percent from the same point last year, and 11,459,079 intermodal units, up 5.5 percent from last year. Total U.S. traffic for the first 44 weeks of 2014 was 24,289,819 carloads and intermodal units, up 4.5 percent from last year.


Maritime Commerce Club
needs shopping spree support

PORTLAND — The Columbia River Maritime Commerce Club’s Annual Children’s Shopping Spree is scheduled for Saturday, December 6 at the Kmart on NE Sandy Blvd. The event allows children and their families living in shelters the opportunity to experience holiday giving. Your donation, be it of your time and/or finances, ensures these children and their families will be able to give and receive Christmas gifts this year. Each sponsored child is allowed $75 to spend on gifts for family members, and an additional $25 is allocated to purchase a gift from Santa for the child to open Christmas morning. Kmart generously donates their location, refreshments, employee time and gift wrapping supplies each year - the club needs help from volunteers to wrap gifts or help the shopping process. To view the anouncement for the event, go to: http://www.pdxmex.com/media/Maritime_Commerce_Club/Spree/2014_Spree_Volunteer-Sponsor_Registration_Form.pdf


NEWS BULLETIN
Thursday, November 6, 2014


Everett Port Commissioners Ok
operating/capital budget for 2015

EVERETT — On November 4, 2014, the Port of Everett Commission has adopted the 2015 operating and capital budget with $76.7 million in expenditures. The 2015 Budget is specifically tailored to achieving the port commission’s five strategic initiatives. These include:
• Planning, permitting and construction a 1,000 foot-plus shipping berth to continue to meet customers’ needs
• Improve the budget process by developing a long-term financing plan for a multi-year capital budget organized by initiative
• Develop a strategy for recapitalizing and paying for the marina
• Development an organizational structure that supports accomplishing these initiatives; and
• Develop a regulatory strategy for project implementation.
To accomplish these goals, the port has moved from an annual operating and capital budget to a one year operating budget and a five year capital plan based on strategic initiatives of the port commission that is supported with a long-term funding strategy. This year, staff took the first step to group all the capital projects by initiative. This effort resulted in 23 strategic initiative capital budget categories, 101 projects — 79 of which are proposed to have activity in 2015. These strategic capital initiatives total $133.2 million over the next five years, $45.4 million in 2015 alone. Next year’s capital program will support more than 1,100 construction jobs.


U.S. goods, services export tally
drops during month of September

WASHINGTON, DC — U.S. exports of goods and services decreased to $195.6 billion in September from $198.5 billion in August, according to a U.S. Department of Commerce report of U.S. International Trade in Goods and Services for September 2014. Record levels were reached in other business services (e.g., legal, financial, and product development services) and charges for the use of intellectual property. U.S. exports through the third quarter of 2014 continue to grow, reaching an all-time high of $1.75 trillion.


Crowley Maritime sells two tankers
to Kinder Morgan Energy Partners

JACKSONVILLE, FL — Crowley Maritime Corporation’s petroleum services group has announced that it has sold two Jones Act tankers, the PENNSYLVANIA and FLORIDA, to Kinder Morgan Energy Partners, L.P. for approximately $270 million. Crowley will continue to manage the vessels with no changes in crewing or operations. The tankers have been under long-term charter transporting gasoline, jet fuel, diesel and crude oil since being placed into service in 2012 and 2013 respectively. Under the new ship management agreement with Kinder Morgan for the PENNSYLVANIA and FLORIDA, Crowley will continue to utilize sailors from the American Maritime Officers Union and Seafarers International Union, who have operated these tankers since their inception.


Boeing taps Gordon Johndroe
for government communications post

CHICAGO — Boeing has announced that Gordon Johndroe will join the company to lead its Washington, D.C.-based Government Operations communications team, effective Nov. 7. As Vice President, Government Operations Communications, Mr. Johndroe, 40, will be responsible for developing and implementing communications strategies associated with advocacy for the company’s products and businesses, as well as issues management and outreach to the Washington, D.C. news media and related constituencies. He will report to Tom Downey, senior vice president, Communications, and Tim Keating, senior vice president, Government Operations. Mr. Johndroe joins Boeing from Lockheed Martin, where he led worldwide corporate media relations. Prior to Lockheed, Mr. Johndroe was a vice president at APCO Worldwide in Washington, D.C. He also served as U.S. National Security Council spokesman and White House deputy press secretary during the George W. Bush administration. Earlier in his career, he served in communications roles of increasing responsibility in government, including within the U.S. State Department, Department of Homeland Security and the White House. He will be based in the Boeing office in Arlington, Va.


Willard Marine nets Navy deal
to provide rigid inflatable boats

ANAHEIM — The U.S. Navy has awarded Willard Marine, Inc. (WMI), a five-year contract to provide two types of seven-meter rigid inflatable boats (RIBs) that will serve as ready service lifeboats for search-and-rescue missions. The contract includes a standard craft based on the seven-meter RIB WMI has been producing for the Navy for 25 years, and a separate version specifically for LPD-17 class ships, which WMI has also been supplying for a number of years. Twenty-four vessels have already been ordered under the contract and the first scheduled delivery begins in March 2015. The terrorist attacks on the USS COLE in October of 2000 and multiple homeland target attacks in 2001 sparked secondary missions for these craft as identified in the contract as anti-terrorism/force protection; maritime interdiction operations; visit, board, search and seizure; safety boat/escort; and tow and recovery.


NEWS BULLETIN
Wednesday, November 5, 2014

Pacific Maritime Association blames ILWU
for work slowdowns at Pacific Northwest ports

SAN FRANCISCO — The Pacific Maritime Association (PMA) reports the International Longshore & Warehouse Union (ILWU) has initiated orchestrated slowdowns at the Pacific Northwest ports of Seattle and Tacoma, impacting many of the largest terminals during the peak holiday shipping season. The two ports handle an estimated 16 percent of containerized cargo on the West Coast. The work actions come as the ILWU and PMA, its employer group counterpart, are in the sixth month of negotiations for a new contract covering nearly 13,600 workers at 29 ports along the West Coast, from California to Washington. Initially, the PMA says it and the ILWU set a goal of reaching a new agreement in July. Once the contract expired on July 1, PMA says the parties agreed to continue negotiating in good faith, and to resolve their differences at the table. PMA further points out that it and the ILWU specifically stated that they were mindful of the broader economic implications of these negotiations, and as such, they agreed that normal operations at West Coast ports would continue until an agreement could be reached. An ILWU press release says PMA dishonestly accused the union of breaking the supposed agreement. This is a bold-faced lie, says the ILWU. No such agreement was ever made, nor could it be made given the parties’ historic disagreement regarding the definition of “normal operations” – a disagreement that has been the subject of arbitrations for decades. The ILWU has called for talks to resume today.


Bellingam Port Commissioners Ok
Northwest Marine Industries lease deal

BELLINGHAM — The Port of Bellingham Commission has unanimously approved a lease agreement with Northwest Marine Industries to operate a boat manufacturing facility at Fairhaven Marine Industrial Park. Northwest Marine Industries was previously operating in Ferndale until an after-hours fire destroyed its facility in September 2014. The warehouse space at Fairhaven Marine Industrial Park allows Northwest Marine Industries to resume operations immediately. With nearly 70 years of boat manufacturing experience, Northwest Marine Industries makes recreational boats including SeaSport, C-Dory, Osprey, TomCat, and Skagit Orca lines. After being opened by the Wright family in 1955 in Fairhaven, the business moved to the Guide Meridian in 1977 and was commonly known as Wright Brothers Boats. Ron Wright and his brother David Wright were responsible for the operation there and expanded the Sea Sport line to one of the leading pilot house boats in the United States. Ron Wright along with his son Mark Wright and son-in-law Ryan Binning re-established the business in Ferndale in 2011 as Northwest Marine Industries. Northwest Marine began to build C-dory, Osprey, Tomcat, Skagit Orca, and SeaSport until a fire burned down their leased facility this past September. According to an economic impact study of Port of Bellingham operations, marine trades tenant activity supports over 2,600 direct jobs, $122 million in direct income and provides over $18 million in taxes. The recreational boating industry is estimated to have a total economic impact of $3.18 billion in Washington annually.


Swire Shipping adding Everett call
to West Coast North America service

EVERETT — Beginning in December, Swire Shipping’s West Coast North America (WCNA) Service will add a monthly, direct call linking Everett with Australia, New Zealand and the Pacific Islands. This opens up a new trade lane for the Port of Everett. Swire Shipping, headquartered in Singapore, is the liner trades division of The China Navigation Company – the deep sea shipowning and operating arm of the multinational Swire Group. Swire’s West Coast North America Service operates two x 31,000 ton deadweight multi-purpose “S” Class vessels. The vessels were built in 2013 and offer capacity for up to 2,000 TEU, including up to 150 reefer containers, and are fitted with 4 x 60 metric ton deck cranes (combinable to 110-metric ton lift capacity). Swire will serve the Port of Everett every 35 days, carrying a wide range of general cargoes (including heavy and bulky project lifts), as well as general and refrigerated containers. Swire Shipping offers a monthly direct service from Vancouver BC, Everett WA, Vancouver WA and Los Angeles, through to Suva, Brisbane, Port Kembla, Geelong and Tauranga, with onward connections across the South Pacific. The Port of Everett has recently invested in a 150-ton capacity GMHK 7608 Mobile Harbor Crane that complements its existing 100-ton capacity HMK280E offering tandem lifts up to 250 metric tons.


New study shows economic impact
created by Port of Seattle operations

SEATTLE — A new study of the economic impact created by the Port of Seattle shows steady growth over the past six years. Maritime consultant John Martin of Martin Associates reported his findings at yesterday’s Port of Seattle Commission meeting. The presentation touched on all aspects of the port’s lines of business, aviation, seaport, and real estate. The key findings of the report include the following:
• Seattle-Tacoma International Airport-related jobs (direct, induced and indirect) stand at 171,796, up from 138,370 jobs in 2007.
• Economic impact from each home-port cruise ship in Seattle grew to $2.4 million, up from $1.9 million in prior years.
• 129,744 direct jobs are generated by Port of Seattle-owned facilities. This is up from 111,317 jobs in 2007. As the result of local and regional purchases by individuals holding the direct jobs, an additional 53,148 induced jobs are supported in the region.
• $4.2 billion of direct wages and salaries were received by those 129,744 directly employed by the Port of Seattle's transportation infrastructure. As the result of re-spending this income, an additional $4.3 billion of income and consumption expenditures are created in the Seattle region, primarily King County.
• Businesses providing services at the Port-owned marine terminals and Sea-Tac International Airport, as well as real estate tenants, received $19.8 billion of revenue, up from $17.6 billion in revenue in 2007.
Martin Associates also conducted the study for the joint economic impact statement last month on the importance of seaport cargo for the state of Washington from the ports of Seattle and Tacoma.


Port of Kalama celebrates opening
of Transportation Interpretive Center

KALAMA — The Port of Kalama will host a Grand Opening celebration of its new Kalama Transportation Interpretive Center and administrative offices this Thursday, November 6, from 4:00 p.m. to 6:00 p.m. The public is welcome to attend the event which includes a flag ceremony by the local Veterans of Foreign Wars, a building dedication to the late Port of Kalama Commissioner Jim Lucas, tours of the building and Interpretive Center, and a short program. The new facility not only houses the Port of Kalama operations team with space for a growing list of new business and community projects, but celebrates Kalama’s place in Pacific Northwest history as a transportation and commercial hub. The center is designed to replicate a traditional waterfront warehouse of the 1800s and will house cultural artifacts, memorabilia and replicas of the past will pose life-sized within its walls and bring history alive for its visitors. Port officials expect the new administrative facility and museum to further develop Kalama as a destination not only for businesses looking to grow, but day-trippers and tourists. Exhibits track Kalama’s early inhabitants and the settlers that followed over the next 100 plus years including Oregon Trail writer Ezra Meeker. Displays illustrate how Kalama’s particular landscape gave birth to a booming transportation system impacting the area both culturally and economically and ultimately transforming the area into its position today as an internationally-connected community.


NEWS BULLETIN
Tuesday, November 4, 2014


Port of Longview set to begin
industrial rail corridor expansion

LONGVIEW — The Port of Longview is launching a $10 million industrial rail corridor expansion project that will increase cargo-movement efficiency for existing and future customers. In 2016, the port plans to add one more track and two 7,000-foot sidings to the industrial rail corridor’s existing two tracks. The additional capacity will allow three simultaneous train movements as well as storage of two unit trains on the side tracks. The port will build the project in phases using local labor from trade unions. The industrial rail corridor connects to BNSF Railway’s main line, which is also used by Union Pacific Railroad. In 2005, the port finished a 10-year, $21 million dedicated rail corridor project that allowed unit train delivery to the port without intersecting any roadways or otherwise blocking vehicular traffic. That rail project was critical to attracting a $230 million export grain terminal to the port.


TSA member carriers plan
new low-sulfur charge rate

OAKLAND — U.S. exporters shipping container cargo to Asia will see changes in their overall freight costs beginning January 1, 2015, as current low-sulfur fuel charges are adjusted to reflect larger vessels, slow-steaming and stricter sulfur oxide (SOx) emissions standards. Member shipping lines in the Transpacific Stabilization Agreement (TSA)’s westbound section are recommending a quarterly low-sulfur charge of US$47 per 40-foot container (FEU) and $38 per 20-foot container (TEU) from the U.S. West Coast, and $95 per FEU and $76 per TEU from the East and Gulf Coasts, effective January 1. The modified charge – which may appear as an adjusted low-sulfur component within the bunker charge in some contracts during a transition period until those contracts expire – reflects both changes in per container operating costs from larger ships, improved fuel consumption and longer transit times, and the shift to burning cleaner, costlier marine gas oil (MGO) mandated within North American coastal waters as of January 1. TSA’s current recommended low-sulfur fuel charge in effect through December 31, 2014 is $21 per FEU and $17 per TEU from the West Coast, and $24 per FEU and $19 per TEU from the East and Gulf Coasts. For its westbound fuel charges, TSA said it will retain its historic pricing for 20-foot equipment at 80 percent of the FEU level. In a related move, effective January 1 TSA-Westbound will be modifying its quarterly bunker charge to reflect changing vessel and sailing characteristics, resulting in a slightly lower charge at current bunker price levels, and reduced price sensitivity in formula tiers going forward. For comparison, at 13- week price averages now in effect for Q4 2014, the modified bunker charge would be $663 per FEU for the West Coast and $1,316 for the East and Gulf Coasts, versus $673 and $1,325 under the current formula. Each $20 change up or down in the 13-week fuel price average produces an adjustment to the charge of $14 per FEU for the West Coast and $34 for the East and Gulf Coasts, versus $19 and $37 under the current formula. TSA is a research and discussion forum of container shipping lines serving the trade from Asia to ports and inland points in the U.S.


Vancouver, USA Port Commission
sets 2015 budget public hearing

VANCOUVER, USA — The Port of Vancouver USA Board of Commissioners will meet Tuesday, Nov. 18, to consider approval of the port’s 2015 budget. Open session begins at 9:30 a.m. in the Commission Room at the port’s administrative office, 3103 NW Lower River Road, Vancouver. The port will hold a public hearing on the proposed $98,612,949 budget for 2015 directly after open session. Commissioners Brian Wolfe, Nancy Baker and Jerry Oliver sat down with port staff at a five-hour, public workshop Oct. 27 to examine and discuss the proposed budget. The board adopted the proposed budget during the board’s regularly scheduled meeting Oct. 28, putting the public process of final budget approval into motion. If the commissioners approve the final budget Nov. 18, staff will work with the Clark County Treasurer’s Office to file the port’s levy by the Nov. 30 state-mandated deadline. If the final budget is not approved Nov. 18, the commission will hold another public meeting Nov. 25 to resolve any outstanding questions or issues by the Nov. 30 deadline.


Port of Los Angeles report finds
port continues to cut pollution

SAN PEDRO, CA — The Port of Los Angeles continues to make strides in cutting pollution from ships, trucks, trains, cargo-handling equipment and harbor craft, according to the latest annual inventory of emissions from port-related mobile sources. The port’s 2013 Inventory of Air Emissions shows the port has set new records with diesel particulate matter (DPM) down 80 percent, nitrogen oxides (NOx) down 57 percent and sulfur oxides (SOx) down 90 percent over eight years of clean air measures. The findings also reflect progress in curbing greenhouse gases (GHG), down 23 percent since the San Pedro Bay Ports Clean Air Action Plan (CAAP) was adopted in 2006. The port’s Inventory of Air Emissions tracks the progress of a comprehensive suite of clean air measures, requirements and incentives to reduce harmful emissions from mobile sources associated with port operations. The latest findings are based on data from the 2013 calendar year and compared with data collected annually since the baseline year of 2005.


Alaska Airlines expanding
Pacific Northwest to Mexico menu

SEATTLE — Alaska Airlines this week will begin service from the Pacific Northwest to Mexico. The airline kicks off its new nonstop service between Seattle and Cancun on Nov. 6. Flights will operate daily through April 27, 2015. The airline also is offering new nonstop flights from Portland, Ore., to Puerto Vallarta starting Nov. 4 through April 26, 2015 and to Los Cabos starting Nov. 20 through April 27, 2015. Alaska Airlines began flying to Mexico a quarter century ago and now operates 240 flights a week during the winter between the West Coast and Mexico—more than any other carrier. Alaska flies an average of 1.5 million passengers a year to seven Mexico beach destinations—Cancun, Ixtapa/Zihuatanejo, Loreto, Los Cabos, Manzanillo, Mazatlán and Puerto Vallarta—in addition to Guadalajara and Mexico City.


NEWS BULLETIN
Monday, November 3, 2014

Vigor celebrates christening
of new giant floating drydock

PORTLAND — Vigor welcomed over a thousand employees, customers and their families on November 1, to christen the VIGOROUS, Vigor’s new drydock. The 960-foot vessel is the largest floating drydock in North America and opens Portland to new markets such as cruise ships and post-Panamax vessels. Two MARAD cargo ships will be the first vessels in the dock, creating 130 jobs for Vigor workers. The company, which invested more than $50 million to build and deliver the VIGOROUS, also has a cruise ship booked for repairs in March 2015. The VIGOROUS joins 11 other Vigor drydocks at locations across the Pacific Northwest from Portland to Ketchikan.


Fares at Bellingham Airport
drop more than anywhere in U.S.

BELLINGHAM — The Port of Bellingham reports the U.S. Transportation Bureau has released a report that shows fares at Bellingham International Airport (BLI), have decreased more in the last 14 years than at any other airport in the nation, a drop of 59.7 percent. The average price of a ticket was $192 in the second quarter of this year, making BLI the fourth cheapest airport to fly from in the country. The airport completed a $38.6 million expansion in February and cost structures were designed to maintain both low cost and high value for both airlines and passengers.


Greenbrier releases numbers
for fourth quarter, year end

LAKE OSWEGO, OR — The Greenbrier Companies has reported record results for its fourth fiscal quarter and full year ended August 31, 2014. Net earnings for the quarter were $33.7 million, or $1.03 per diluted share, excluding a non-cash gain of $13.6 million (net of tax) on contribution of repair operations to GBW Railcar Services, LLC (GBW), a 50/50 joint venture with Watco Companies, LLC (Watco), on record revenue of $618.1 million. Net earnings attributable to Greenbrier for the quarter, which includes the gain on contribution to GBW, were $47.4 million, or $1.43 per diluted share. Record adjusted EBITDA for the quarter was $80.8 million, or 13.1 percent of revenue. Record railcar backlog as of August 31, 2014 was 31,500 units with an estimated value of $3.33 billion (average unit sale price of $106,000), compared to 26,400 units with an estimated value of $2.75 billion (average unit sale price of $104,000) as of May 31, 2014. Orders for 10,400 new railcars valued at $1.06 billion received during the quarter. After quarter end, Greenbrier received orders for an additional 11,400 units valued at nearly $1 billion. New railcar deliveries totaled 4,800 units for the quarter, compared to 4,300 units for the quarter ended May 31, 2014. Marine backlog as of August 31, 2014 totaled approximately $112 million. For fiscal year 2014 record net earnings, excluding gain on contribution to GBW and restructuring charges, were $99.3 million, or $3.07 per diluted share, on revenue of $2.2 billion. Adjusted EBITDA was a record $253.8 million or 11.5 percent of revenue. New railcar deliveries totaled 16,200 units and orders totaled 34,300 units valued at $3.42 billion across a broad range of railcar types. Cash generated from operating activities was $136 million. Greenbrier, headquartered in Lake Oswego, Oregon, is a supplier of transportation equipment and services to the railroad industry. The company builds new railroad freight cars in its four manufacturing facilities in the U.S. and Mexico and marine barges at its U.S. manufacturing facility.


Astoria-based Coast Guard cutter
returns from 70-day drug patrol

ASTORIA — The crew of Coast Guard Cutter ALERT returned to Astoria Sunday, following a counter-drug patrol in the eastern Pacific Ocean off the coast of South and Central America. ALERT’s crew members conducted a 70-day patrol traveling more than 12,600 miles in the eastern Pacific Ocean looking for illicit traffickers using their two small boats and armed helicopter from Coast Guard Helicopter Interdiction Tactical Squadron from Jacksonville, Florida. These efforts resulted in the interdiction of more than 3,180 pounds of cocaine. The cutter’s crew worked jointly with Customs and Border Protection, the Drug Enforcement Agency, and other domestic and foreign military services. The ALERT’s crew interdicted three suspected vessels, detained 15 suspected smugglers and seized over 3,180 pounds of cocaine with a wholesale value of more than $48 million. ALERT is a 210-foot medium endurance cutter with a crew of 76 personnel homeported in Astoria at the Columbia River Maritime Museum.


MarAd testing fuel cells
on reserve fleet training ship

WASHINGTON, DC — The Maritime Administration (MARAD) is testing technology onboard the training ship (TS) KENNEDY. The National Defense Reserve Fleet vessel was provided to the Massachusetts Maritime Academy by MARAD for Cadet training. This one-year undertaking is part of a MARAD initiative to test fuel cells as a source of power for shipboard electrical systems. Researchers will evaluate the performance of the fuel cell technology and how low sulfur marine diesel fuel can be used to efficiently power a fuel cell to produce auxiliary power. Unlike using low sulfur fuel in diesel engine generators to provide electrical power, the system produces no harmful air emissions.