Hapag Lloyd Presentation

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materially from those described in the forward-looking statements. Actual results may differ from those set forth in the forward-looking statements as a
result of various factors (including, but not limited to, future global economic conditions, market conditions affecting the container shipping industry,
intense competition in the markets in which we operate, potential environmental liability and capital costs of compliance with applicable laws,
regulations and standards in the markets in which we operate, diverse political, legal, economic and other conditions affecting the markets in which we
operate, our ability to successfully integrate business acquisitions and our ability to service our debt requirements). Many of these factors are beyond
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C B L International
Shanghai, July 17th, 2014
Hapag-Lloyd Overview
Product Specifics
Current Market Environment
Strengths
Hapag-Lloyd Overview
Product Specifics
Current Market Environment
Strengths
Hapag-Lloyd Overview
Hapag-Lloyd at a Glance
n  One of the leading global container shipping
companies
n  Extensive service network with 95 services
around the globe
n  153* modern container vessels with a capacity
of 748,775* TEU
n  More than 674,000 containers with approx.
1.1 million TEU capacity
n  Global presence with around 340 sales offices in
113 countries
n  Employees ~ 7,000
5
*including 2 vessels chartered out
Status: March 2014
Hapag-Lloyd’s Shareholder Structure
HGV
Hamburger
Gesellschaft
für
Vermögensund
Beteiligungsmanagement
mbH
36.9%
Kühne
Maritime
GmbH
28.2%
TUI AG /
TUI-Hapag
Beteiligungs
GmbH
22.0%
SIGNAL
IDUNA
Gruppe
5.3%
HSH
Nordbank
AG
2.9%
Investor pool
led by
M.M.Warburg
& CO KGaA
2.9%
HanseMerkur
Versicherungsgruppe
1.8%
Status: March 2014
Increase of Transport Volume in Q1 2014
Hapag-Lloyd Group Financial Performance Q1 2014
Revenue [EUR bn]
-5.9%
Volume [T-TEU]
+5.5%
Q1 2014
n  Hapag-Lloyd increased its transport volume in
Q1 2014 compared to previous year by 5.5%
n  Revenue totaled EUR 1.6 bn in Q1 2014,
-5.9% lower than Q1 2013 due to a decreased
freight rate level
7
1.7
1.6
1,326
1,399
Q1 2013
Q1 2014
Q1 2013
Q1 2014
Note: rounding differences may occur
n  Operating result (underlying EBIT) of
EUR -63.2 m achieved in Q1 2014
Source: HL Interim Reports
Hapag-Lloyd Executive Committee
Executive Board
Rolf Habben Jansen
Anthony J. Firmin
Peter Ganz
Chief Executive Officer
Member of the Executive Board
Member of the Executive Board
Managing Directors
8
Region
Europe
Hamburg
Region
Asia
Singapore
Region
America
Piscataway
Yield Mgmt.
& Network
Hamburg
Central
Operations
Hamburg
Global Markets,
Global Sales
Hamburg
Information
Technology
Hamburg
Human
Resources
Hamburg
Michael
Pradel
Joachim
Schlotfeldt
Wolfgang
Freese
Ulf
Schawohl
Glenn
Hards
Hans
Schäfer
Martin
Gnass
Wolfram
Kopetzky
Status: July 2014
Worldwide Uniform Structure and Processes
Area Manager
Worldwide
Identical
Set-up
Sales
Customer
Service
Operations
Business
Administration
Sales
Executive
Export
Booking
Transport2)
Finance &
Controlling
Sales Steering
Documentation1)
Equipment
Personnel
Sales Support
Import
M&R
Administration
Counter2)
Port /
Terminal2)
Business
Systems
Steering
Support
1)  In cooperation with central service centre.
2)  Depending on location / function as required.
9
Hapag-Lloyd Overview
Product Specifics
Current Market Environment
Strengths
Worldwide Service Network covering all Tradelanes
95 Services around the Globe
Europe – Asia / Oceania: 11 Services
7 Europe – Far East
3 Europe – Middle East / Ind. Subcontinent
1 Europe – Australia / New Zealand
Europe – North America: 20 Services
Intra Asia: 13 Services
8 North Europe – North America
6 Mediterranean – North America
6 Intra North Europe
8 Asia – Australia / New Zealand
3 Middle East / Indian Ocean – East Asia
2 Intra East Asia
Latin America: 15 Services
5 Europe – Latin America
5 North America – Latin America
3 Asia – Latin America
2 Intra Latin America
11
Africa / Med: 14 Services
4 Mediterranean – North Europe
1 Mediterranean – Africa
3 Intra Mediterranean
2 North Europe – Africa
1 Asia – Africa
1 North America – Africa
2 Latin America – Africa
Asia / Oceania – North America: 22 Services
12 Asia – North America WC
7 Asia – North America EC
3 Australia / New Zealand – North America
Status: March 2014
Hapag-Lloyd’s Fleet tailored to serve different Trades and
Countries Worldwide
Number
of Vessels
Capacity
% of Total
8
105,350
14.1%
18
156,482
20.9%
8
57,024
7.6%
59
277,051
37.0%
40
120,317
16.1%
20
32,551
4.3%
153*
748,775*
100%
>10,000 TEU
>8,000 – 10,000 TEU
6,000 – 8,000 TEU
4,000 – 6,000 TEU
2,300 – 4,000 TEU
<2,300 TEU
Total
12
*including 2 vessels chartered out
Status: March 2014
„Hamburg Express“
The first of our 13,200 TEU newbuildings
n  Flag: Germany
n  Home port: Hamburg
n  Length o.a.: 366 metres
n  Max. width: 48 metres
n  Max. draft: 15.5 metres
n  Deadweight Capacity (tdw) 142,092
tons
n  Reefer capacity: 800 plugs
n  Max. of 19 containers in a row
n  Max. of 20 containers in a stack
13
Container Fleet with approx. 1.1 Million TEU
Large Variety
Share of Container Types
7.3%
General Purpose
High Cube
Hard Top
Open Top
Reefer
Ventilated
44.8%
Flat
14
1.1%0.0%
2.4%
Platform
General
Reefer
Flat
44.3%
High Cube
Open Top / Hard Top
Others
Status: March 2014
Hapag-Lloyd Overview
Product Specifics
Current Market Environment
Strengths
Continuous Annual Growth of Above 5% Forecasted
Global Container Trade (in mTEU)
-10.1%
110
106
+2.3%
+6.6%
+15.6%
117
+4.3%
+2.3%
120
123
+5.5%
+5.3%
128
142
135
+5.2%
+5.3%
150
158
95
CAGR*: 5.3%
2008
16
2009
2010
*Compound Annual Growth Rate
2011
2012
2013
2014e
2015e
2016e
2017e
2018e
Source: IHS Global Insight April 2014
Growth Is Mainly Driven by Asian Tradelanes
Volume Development of Main Tradelanes (mTEU in 2014; in brackets: CAGR 2014e-2018e*)
14.2 (+5.3%)
3.9 (+2.6%)
6.6 (+4.4%)
2.8 (+5.3%)
Far East
14.0 (+5.1%)
Europe
North America
(incl. Mexico)
7.2 (+5.8%)
(incl. Med)
Intra Asia
2.1 (+3.5%)
2.6 (+4.0%)
Far East
35.5 (+6.2%)
1.8 (+2.4%)
2.6 (+4.4%)
Latin America
*CAGR: Compound
annual growth rate
17
Global Container Trade
128.2 (+5.3%)
Source: IHS Global Insight April 2014
NEW Regulations for Shipping Lines regarding Bunker –
To Protect our Environment
New Binding Regulations for Shipping Lines
n  The International Maritime Organization (IMO),
Federal States (e.g. California) and EU Directives
(e.g. EU Ports) set standards for the stringent limits
on Sulfur Oxides (SOx) and Nitrogen Oxides (NOx)
emissions
n  All shipping lines crossing the defined Emission
Control Areas (ECAs) have to adhere to these
regulations
Blue areas highlight the ECAs, where vessels need to
meet special SOx limits
n  From January 2015 (California already started
January 2014) the limit will be tightened and a 0.1% sulfur content cap will be enforced
n  Low sulfur fuel with 0.1% max sulfur content is far more expensive than currently used bunker
Hapag-Lloyd will encounter extensive additional bunker costs in order to protect our environment and to
adhere to these new regulations (as of Jan 2015), which need to be recovered from our customers
18
Sources: Various
Status: March 2014
Hapag-Lloyd Overview
Product Specifics
Current Market Environment
Strengths
Hapag-Lloyd‘s FIS - One File-System
Empty
Container
(Delivery)
Consolidation
Center/
Factory
Depot
Shipper
Inland
transport
to port
Export
port
Ocean leg
Container
terminal
Import
port
Container
terminal
Inland
transport to
consignee
Distribution
Center/
Factory
Shipper
Consignee
Empty
Container
(Redelivery)
Depot
Only One Shipment File
Simultaneous
Access
ExportExport
Region
Region
Export
Region
20
Import
ImportRegion
Region
Import
Region
IT-Competence
IT Infrastructure
n  Global IT managed centrally in Hamburg
n  Development and maintenance is mainly handled
in-house
n  System and network operations provided by IBM
and SITA/Orange
n  24 hours / 7 days service
n  Service quality ensured by service level agreements
with providers
21
Four Key IT Systems
n  SAP: Used for Finance, Controlling, Treasury and
Purchasing
n  Freight Information System (FIS): Supports all
operations & business processes
n  COMPASS: The central data warehouse and the
steering tool for our processes
n  Information Services: For internal and external
information exchange
Hapag-Lloyd Freight Information System (FIS)
One Global Operational IT System
n  Integrated ocean carrier transport and
logistics system
IT
IT
n  Covering the entire transport chain and
interfaces with all other IT systems
n  Using one transport file worldwide for each
transport in a central database
n  Real-time access to all data for every order,
irrespective of the location
n  Highest reliability and availability
The Key to the
Organisation’s Success
22
Our e-Business Solutions
Portals
All common
bilateral EDI
formats covering all
customer and
subcontractor
processes
Integration with the
multi ocean carrierportals INTTRA and
other port portals
like Dakosy
www.hlag.com with
realtime access to
the customers
transport-data and
the eaSI tool
Simple e-mail
solutions and our
intelligent eaSI
product to suit
customer
requirements
n  Tailormade solutions are provided by the Hapag-Lloyd e-consultant teams
n  Support the electronic data exchange along the standard shipping process resulting in mutual
efficiency gains and increase of transparency
n  Enhances paperless communication assisting to reach environmental goals
23
Environmental Contributions
n  Deployment of state-of-the-art technology
n  Minimize the impact on flora and fauna
n  Reduction of greenhouse gas and other emissions
along the transport chain
n  Lower vessel fuel consumption
n  Reduction of energy consumption
n  Environmental requirements for subcontractors
n  Engagement in international working groups e.g. Clean
Cargo Group
n  Co-operation with governmental and other non-profit
organisations
24
We are Certified
ISO 14001 + ISO 9001
As one of the very few container
lines worldwide, our management
system covers all activities along
the global door-to-door transport
chain.
Environmental Passport
Since 1997 all our new ships
received this passport for highest
environmental standards.
Energy Efficiency Design Index (EEDI)
Hapag-Lloyd became the first
shipping company in the world to
have its entire own-managed fleet
certified in accordance with the
IMO’s Energy Efficiency Design
Index (EEDI).
GL Excellence - 5 Stars
5 Stars - encompasses multiple
criteria that go beyond
international standards and
regulations.
Hapag-Lloyd was the first
container line in the world to
receive it.
25
Sustainability
EcoCalc – Hapag-Lloyd‘s Online Emission Calculator
EcoCalc allows you to calculate the emissions of your container transport
from the beginning to the end of its journey
Special Features of EcoCalc
n  Wide range of emissions calculated
•  Carbon Dioxide (CO2)
•  Nitrogen Oxide (NOx)
•  Sulphur Dioxide (SO2)
•  Particulate Matter (PM10)
n  Calculation of the full transport chain
n  Distance of your transport
è  Highest level of methodology resulting in
realistic emission results
26
Hapag-Lloyd Reefer Service
Special Focus on Reefer Container
n  HL reputation as Quality Carrier
n  HL one of the Top Reefer Carriers worldwide
n  Profound expertise in handling reefer cargo
n  Availability of highly specialized reefer equipment:
•  Non-Foodgrade Reefers
•  Magnum Reefers
•  Tectrol© (Transfresh), Maxtend, PurFresh
•  AFAM+ (Advanced Fresh Air Management)
n  Special processes to ensure cargo safety
n  Extensive Reefer service network
n  PTI inspection before every transport
n  Extensive investments in M&R
27
Special Cargo
Handling of Special Cargo
n  Own Special Cargo departments with nautical experts
holding many years of expertise on handling the
transport of out of gauge, break-bulk and project
cargoes
n  These departments offer consultation concerning
•  the choice of the right equipment for the cargo
•  the correct packing, lashing, securing and stowing
of cargo as pre-lashed or break-bulk
n  Worldwide uniform processes for planning and execution
of special loadings
n  Good communication networks with ports, port
operations, stowage planners and ships
n  Constant development of the construction of own
Hapag-Lloyd equipment (Flats, Platforms) with regards
to security and stability
28
n  High significance of transportation of special cargoes in
the Hapag-Lloyd strategy
Dangerous Goods
Handling of Dangerous Cargo
n  Dangerous goods (DG) experts ensure smooth transport of
dangerous cargo in order to minimize the risk of accidents
and financial losses.
n  A DG handling manual is available containing procedures
and programs which are relevant for the safe carriage of
DG. Detailed instructions ensure the adherence of these
procedures and programs.
n  All DG shipments offered to Hapag-Lloyd will be checked in
respect to compliance with all relevant regulations. This
includes physical checks of DG containers regarding proper
blocking, bracing and securing of cargo in the container and
their correct stowage and segregation on board of HapagLloyd vessels.
n  All activities of the designated dangerous goods experts are
carried out on behalf of the master and Hapag-Lloyd as
carrier. They are continuously trained in special workshops
and updated by instructions, circulars and publications.
29
HAPAG LLOYD In CHINA
ANC Overview
HL
Branch
Dalian
大连
Qingtao
青岛
Ningbo
宁波
Nanjing upgraded to branch office in July 2012
HL
Rep Office
HL
Target Areas
ANC Overview
2014 HC
Area Manager
Francois Pourtauborde
65
63
27
27
Sales
Jason Lin/Thorben Nibbe
Customer Service
Alice Chong
Operation
Capt. Lee
Business Admin.
Janet Gu
Sales Steering
11
CS Booking
30
Transport Disposition
4
Business Systems
2
Sales Executive
29
CS Documentation
14
ED / M&R
7
Finance & Controlling
16
Sales Support
23
CS Import
11
Port / Terminal
12
Personnel
4
Marketing analyst
1
Counter
4
Yangtze td/ed
3
Administration
4
CS support
3
32
HC :183
ANC / Future development
33
ANC / Imbalance Factor
Imbalance: A major issue
120000
100000
Imbalance 40':
60 307 boxes
Ratio 1:2,5
Imbalance 20':
46 682 boxes
Ratio 1:3
60000
EXPORT
EXPORT
20000
IMPORT
40000
EXPORT
EXPORT
80000
IMPORT t.GSR NORTH CHINA /
ANC
f.GSR NORTH CHINA / ANC
EXPORT
0
34
Y-T-D( "eov.YM Jun
2014" )
Y-T-D( "eov.YM Jun
2013" )
Y-T-D( "eov.YM Jun
2014" )
Y-T-D( "eov.YM Jun
2013" )
ms.20ft Total
ms.20ft Total
ms.40ft Total
ms.40ft Total
ANC / Depots
Locations and Roles of Depots in North China:
n  SHANGHAI:
4 DEPOTS
"
NINGBO:
4 DEPOTS
"
QINGDAO:
4 DEPOTS
"
TIANJIN:
3 DEPOTS
"
DALIAN :
2 DEPOTS
ROLES: Storage of boxes/Arrange MT positioning from Terminal/Depot/ M&R/ Arranging
containers (GOH); Releasing boxes to Customers / Receiving boxes from customers +
Inspection.
35
"
INLAND TRANSPORT:
"
Carrier Haulage: Very small involvement in C/H. Main mode of Transport: Feeder, Rail and
to a smaller extend Truck.
"
Feeder transport from river porst to connecting Main Line vessel or v.v. with feeder ports
shown on B/L. Not real C/H.
Thank You for Your Attention!