New Va. Container Terminal to Prepare Mid-Atlantic Region for Growth

APM Terminals North America Inc. announced plans to build a container terminal located on the Elizabeth River in Portsmouth, Virginia. Dredging is expected to start later this year, and construction of the terminal is expected to be completed in 2007. The facility will feature 4000 ft. (1219 meters) of deepwater berth space (four times the current amount), and serve as a Mid-Atlantic platform for future growth. Many high profile international companies have significant operations in the region and others are actively eyeing major distribution centers for the future. The amount of cargo through Hampton Roads is expected to at least double by 2020, in part due to the area’s attraction as a major distribution center.

“This facility will create opportunities in global commerce for our customers while maintaining the highest standards in safety and security. Our vision is to create a port that will act as a catalyst for international business in the local and regional economies by creating a new, broader long term platform for business growth” stated Thomas Thune Andersen, President & CEO, Maersk Inc., Madison, New Jersey. “We appreciate all of the efforts of Governor Warner, Senator Warner, and Mayor Holley to get us to this point. Without their support, we would not have been successful.” APM Terminals is the third largest container terminal operator in the world with more than 30 ports strategically located. These facilities generated a total throughput of more than 22 million TEU in 2003. The new APM Terminals container terminal in Portsmouth will be the first major privately developed container terminal in the United States. The development of this land, formerly called the Cox property, represents a significant economic opportunity for the Hampton Roads region. The property was already zoned for industrial uses. “During my May 2003 trade mission, I met with company officials in Denmark to emphasize the Commonwealth’s support of this historic investment and new jobs,” said Governor Warner. “APM Terminals will significantly boost Virginia’s competitive position in international trade and provide a major economic stimulus to the Hampton Roads region and the Commonwealth as a whole.” “The City of Portsmouth is delighted and proud to welcome APM Terminals,” said Mayor James Holley. “This half-billion dollar commitment represents the largest privately built terminal in the United States and for Portsmouth, it represents the largest economic development announcement the city has experienced in its rich maritime history. APM Terminals’ project will assure Portsmouth’s prominent role in international commerce through the 21st century and beyond.” “We welcome APM Terminals decision to construct this new marine terminal. This sends a clear message to shippers all over the world about the advantages offered here in this port”, said John G. Milliken , Chairman of the Virginia Port Authority.

“The purchase of this property is part of our strategic development of the Mid-Atlantic market. The terminal offers a natural deepwater harbor of 50’ (15 meters); the ability to own and operate all activities – compared to most ports where we lease port space; a strategic location with a growing market and strong, solid waterfront labor”, commented Tony Scioscia, President of APM Terminals North America, based in Charlotte, NC. The project is carried out with careful consideration towards the environment and in close cooperation with local, state, and federal governmental and environmental agencies. The company has also committed to providing $5 million to create the Elizabeth River Trust to support environmental activities in the region. APM Terminals currently operates a 71 acre (29 hectares) container terminal in Portsmouth, VA adjacent to the Portsmouth Marine Terminal operated by the Virginia Port Authority. “Our present terminal in Portsmouth, Virginia has been operating at near full capacity for several years. We have no room for expansion so it was necessary to look elsewhere for a site capable of meeting our future goals. This is a positive step towards preparing our company for continued growth and success in the mid-Atlantic region”, stated Nick Taro, Senior Vice President for U.S. East Coast and Gulf Ports for APM Terminals. “This container facility adds to Maersk’s significant presence in Virginia which includes the headquarters for Maersk Line, Ltd and a Hudd Distribution facility in Suffolk, VA. The Commonwealth is indeed a great place to do business.”