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Port of Tacoma to Build New Terminal

Maritime Activity Reports, Inc.

January 10, 2003

Evergreen Marine Corporation (Taiwan) and the Port of Tacoma announced an agreement to relocate operations from Terminal 4 to Pierce County Terminal. Scheduled for completion in late 2004, the new terminal will be the largest single container terminal north of Los Angeles and the largest construction project in the Port's 85-year history. "Clearly, the future of the Port of Tacoma is on the Blair Waterway," said Dick Marzano, Port of Tacoma Commission President. "With this agreement, Evergreen has made it clear that they will be a major part of that future. This is an agreement that will bring significant economic development and much-needed jobs to South Puget Sound." "We anticipated our need for future growth," said Thomas Chen, President of Evergreen America Corp., agents for EMC. "We are pleased that the Port has heard us, and we can continue serving our customers through the geographic location of Tacoma in moving cargo quickly and efficiently throughout North America. Evergreen is 'ever growing.' We have and will continue to expand our ocean and intermodal services according to customer demand. This benefits all of us involved in international trade. Happily, it also brings jobs and business to this region." According to Brendan Dugan, the Port's Senior Director of Marketing and Trade, the 171-acre Phase 1 terminal will have an annual capacity of more than 480,000 container lifts -- or approximately 840,000 TEUs (twenty-foot equivalent units). When Phase 2 is complete, the facility will be 237 acres total with an annual capacity of approximately 1.2 million TEUs. The Port of Tacoma finished 2002 with a record volume of 1.44 million TEUs. Located at the terminus of the 2.65-mile-long Blair Waterway, the planned six-crane, facility will feature two linear berths (approximately 2,260 feet long), a container yard, a dedicated intermodal yard and associated infrastructure. If required, there is flexibility for a third berth at a later date. "Given the terminal layout, location and intermodal yard design, we believe this terminal will be the best on the West Coast," said Dugan. "It will allow Evergreen to take greater advantage of Tacoma's inherent intermodal rail strengths." Evergreen currently occupies a 75-acre facility at Terminal 4, also on the Blair. Pierce County Terminal is presently used for breakbulk, auto, heavy lift and other specialty cargoes. Much of the Pierce County Terminal acreage is now used for auto storage. This activity will be relocated to a new dedicated auto facility, now under construction near Pierce County Terminal. Evergreen began to explore additional expansion opportunities with the Port of Tacoma in 2001, including a review of various terminal configurations at several potential Port of Tacoma locations. "It was eventually agreed by both parties that the most suitable way to accommodate Evergreen's expected long-term growth was relocating them to Pierce County Terminal," said Dugan, adding, "This is an example of how our Port works to meet the needs of our customers." Andrea Riniker, the Port's Executive Director added: "Evergreen's decision to grow in Tacoma is a tribute to Evergreen, the Port of Tacoma, our rail partners and the productive labor here in Tacoma that has served Evergreen so well since they first moved here in 1991." In December of 2002, the Port of Tacoma Commission approved a sweeping $341 million Capital Improvement Plan that includes widening of the Blair Waterway at two key locations and re-developing Pierce County Terminal into a major container terminal. "The Evergreen development is the linchpin of the Port's entire Blair Waterway development," said Riniker. Designed for straddle carrier operation in the container and intermodal yard, the terminal will be developed in two phases. Phase 1 will be a 140-acre terminal plus approximately 31 acres for rail operations (171 acres total). Phase 2 will add approximately 53 acres of additional terminal space and approximately 13 acres of additional rail operations, bringing the total terminal size to 237 acres. With a contract that calls for completion of Phase 1 within 32 months, Dugan reports that dredging for the terminal berth extension began in September of 2002. The goal is to complete construction within 24 months of January 9, 2003. "Thanks to Andrea Riniker and the Port of Tacoma for working with Evergreen and for the excellent cooperation in terminal operations, and environmental and economic development," concluded Chen. "We at Evergreen are proud to be part of the ongoing development of a great Pacific Northwest and the Port of Tacoma."

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