Horizon Lines Announces Organization Changes

Charles G. Raymond, Chairman, President and Chief Executive Officer of Horizon Lines, Inc. said several organization changes, key executive promotions and a realignment of senior management responsibilities.

Effective September 1, 2007, Horizon Lines, Inc. is structuring its transportation and logistics operations under two wholly owned subsidiaries, Horizon Lines, LLC, and Horizon Logistics, LLC. Horizon Lines, LLC will continue as the nation's leading Jones Act container shipping company, with a fleet of 21 U.S.-flag vessels and service routes linking the continental United States with Alaska, Hawaii, Guam, Micronesia and Puerto Rico. Horizon Logistics, LLC is being established to manage the company's growing integrated logistics services, including rail, trucking and distribution operations, in addition to Horizon Services Group, an organization with a diversified offering of transportation management systems and customized software solutions being marketed to shippers, carriers, and other supply chain participants.

As a result of the business reorganization, Horizon Lines will make the executive promotions and realign senior management responsibilities. John Keenan will serve as President, Horizon Lines, LLC. In his new role, Keenan will be responsible for all core ocean transportation services in the Alaska, Hawaii, Guam, Micronesia and Puerto Rico markets. These responsibilities will include all port, terminal and vessel operations, sales and marketing, and service delivery functions. Keenan will continue to be based in Dallas. Taylor will serve as President, Horizon Logistics, LLC, a new, wholly owned subsidiary of Horizon Lines, Inc. focused on integrated logistics services. Taylor's responsibilities will include growing the Company's logistics services capabilities and businesses, including rail, truck and distribution operations, in addition to Horizon Services Group, the Company's technology subsidiary. Taylor will continue to be based in Charlotte, N.C. John Keenan and Brian Taylor, along with Mark Urbania, Executive Vice President and Chief Financial Officer, and John Handy, Executive Vice President, will report to Chuck Raymond, Chairman, President and Chief Executive Officer of Horizon Lines, Inc.