Contracts

Hornbeck-Leevac Expands OSV Fleet Hornbeck Offshore Services, Inc., a wholly owned subsidiary Hornbeck-Leevac Marine Services, Inc., has begun a new vessel construction program to significantly increase the size of its seven-vessel, state-of-the-art offshore supply vessel (OSV) fleet.

A contract has been signed with Leevac Shipyards to immediately begin construction of two ultra deepwater vessels with four to follow. The first vessel is expected to be delivered in February 2001. All vessels are expected to be completed within the next 20 months.

Hornbeck Offshore Services currently operates a fleet of seven recently constructed, high capacity OSVs. The new ultra deepwater vessels will incorporate the highly successful design features and specifications of the current deepwater fleet. These state-of-the-art vessels were specially designed to maximize available deck space and supply capacities while minimizing operating costs through increased operating efficiencies.

Hornbeck has employed the latest available reliable technology throughout its deepwater fleet. Their OSVs are capable of transporting 3 to 6 times the amount of product and materials offshore as conventional OSVs. Service markets include oilfield production and exploration support, geophysical surveying, well stimulation and heavy equipment and container transportation. Their diversified new generation fleet will provide maximum customer support from the continental shelf to the ultra deepwater.

P&O Raises $650M For Cruise Newbuilds

P&O has raised $650 million in financing for two new cruise ships to be built by French shipyard Chantiers de l'Atlantique. The two new vessels, ordered last December for P&O's U.S.-based Princess Cruises, will be built by the Alstom-owned shipyard in Saint-Nazaire, France, and delivered in October 2002 and June 2003 respectively, lead banker SG said. Shares in Peninsular & Oriental Steam Navigation Plc, which is demerging its cruises division to focus on ferries and ports, fell 3-1/2 pence or 0.5 percent to 652p, the corporate and investment banking business of Societe Generale, said it had arranged $2.7 billion for 14 cruise ships and seven ship owners over the last 10 years.

Litton Marine To Supply For Car Carriers

Litton Marine has been tapped to supply navigation, communication, control and stabilization systems for a trio of new car carriers under construction in Japan. The three 21,000-grt feeder-type car carriers - Hulls 1184-1186 - are being constructed for UECC (Norway) at Tsuneishi Shipbuilding for delivery in 2000 and 2001.