Matson Says its China Service is Profitable

Monday, October 30, 2006
Matson Navigation Co. Inc., the Oakland, Calif.-based maritime shipping subsidiary of Honolulu-based A&B posted 7 percent more third-quarter revenue but 7 percent lower operating profit. That still meant a profit above $34 million, however. The China service, launched early this year, carried more than 10,000 containers, triple Guam traffic and almost a quarter of Hawaii traffic. "The contributions from Matson's China service increased from the prior quarter, and the service is profitable," said Allen Doane, CEO of the parent company. Everything is measured against projections, however, and Doane said even this performance was lower than "planned levels" as favorable container volumes were more than offset by lower rates and higher fuel and intermodal rail costs.

"Matson has firmly established its reputation in China for superior service, which should translate into improved rates over time," he said. Matson sails mostly full from the West Coast to Hawaii, and mostly empty on its return trips. The China service is a triangle trade that continues from Hawaii to Guam, and then the comparatively short distance farther west to Shanghai, so ships can return full of goods for the West Coast, on a route that is shorter and faster than the traditional Hong Kong-Long Beach route. Source: Pacific Business News

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter June 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Finance

Baltic Index Rises for Fifth Consecutive Session

The Baltic Exchange's main sea freight index, tracking rates for ships carrying dry bulk commodities, rose on Tuesday for a fifth straight session on stronger demand across all vessel segments.

Singapore Exchange, Baltic Exchange Continue Transaction Talks

Singapore Exchange (SGX) has agreed with the Baltic Exchange Limited (Baltic Exchange) to extend the period of exclusive discussions regarding a cash offer for

Hanjin to Return 38 Vessels Next Year

Hanjin Shipping is planning to return a total of 38 chartered vessels once their contracts end as part of its restructuring efforts, reports the Korea Herald. A

 
 
Maritime Careers / Shipboard Positions Maritime Standards Navigation Pipelines Port Authority Salvage Ship Repair Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0825 sec (12 req/sec)