Finnlines Discusses Financial Prospects

The Finnlines Group recorded net sales totalling EUR 450.9 ($402.4) million. The operating profit was EUR 45.8 ($42.3) million. The profit before extraordinary items was EUR 35.7 ($33.2) million. The volume of Finnish exports of unitised cargo by sea derceased by almost 4% and paper export by 2.5%. Imports of unitised cargo, including transit traffic, rose roughly 5%. The volume of unitised cargo destined mainly for Russia via Finland increased 31% on the same period last year.

In April Finnlines acquired 68.2% of Team Lines GmbH & Co. from its German owners, the shipping companies Johannes Ick, Mathies Reederei GmbH and Ernst Russ GmbH & Co. Finnlines; former ownership in the company was 31.8%; after this deal Finnlines owns the company 100%. The net sales of Team Lines in 2000 were EUR 100 million and the operating profit was EUR 1.2 million. The balance sheet amounted to EUR 14 million at 31 December 2000. The purchase price was EUR 10 million.

Team Lines, headquartered in Hamburg, is one of the biggest container feeder operators in Northern Europe. Its time-chartered fleet consists of 22 container vessels. The company offers regular scheduled transport services from the ports of Hamburg and Bremerhaven to Norway, Denmark, Sweden, Finland, Russia, Lithuania and Poland. This deal will strengthen Finnlines; position in the southern part of the Baltic Sea and in services between third countries. The approval of the relevant competition authorities was received in July.

Finnlines sold three old roro vessels in July: MS Railship (built 1975), MS Finnwood (1973) and MS Finnmaid (1972). The first two of these were operated by the company itself and the third was chartered outside the company.