HONOLULU, Nov. 6, 2013 /PRNewswire/ -- Matson, Inc. ("Matson" or the "Company") (NYSE: MATX), a leading U.S. carrier in the Pacific, announced today that its subsidiary, Matson Navigation Company, Inc., has signed a contract with Aker Philadelphia Shipyard Inc. (APSI) to build two new 3,600 TEU containerships for an aggregate price of $418 million. The new vessels will be equipped with dual fuel engines that have liquefied natural gas (LNG) capability and are expected to be delivered in the third and fourth quarters of 2018. Matson also announced that the first of the two new ships will be named
after the late Senator Daniel K. Inouye, who was a longstanding supporter of the U.S. maritime industry and its role in supporting Hawaii's economy.
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"We are pleased to introduce the Aloha Class containership, built specifically to meet Hawaii's future freight demands with increased cargo capacity," said Matt Cox, president and CEO, Matson. "The new ships are designed to accommodate the diversified mix of cargo needed to support the state's economy and will boost our capacity for moving 45-foot containers and refrigerated cargo. The ships will also carry construction materials more effectively. Most importantly, this considerable investment underscores Matson's long-term commitment to providing Hawaii with a strong, reliable lifeline to and from the U.S. Mainland."
"The decision to name the first Aloha Class ship in honor of Senator Inouye was a natural one," Cox continued. "He left an unparalleled legacy in Hawaii history, and was a true champion of the U.S. Merchant Marine. He is recognized throughout the maritime industry as one of its most powerful advocates. Having a modern, U.S.-flag containership dedicated to serving Hawaii bear his name is an appropriate tribute to this great man."
The 850-foot long vessels will be the largest Jones Act containerships ever constructed and are designed to operate at speeds in excess of 23 knots, ensuring timely delivery of goods in Hawaii. Importantly, the ships will also be able to navigate safely into some of Hawaii's smaller ports.
The new vessels will incorporate a number of "green ship technology" features such as a fuel efficient hull design, dual fuel engines, environmentally safe double hull fuel tanks and fresh water ballast systems. "These state-of-the-art advancements are important to Hawaii as a means to reduce fuel consumption, resulting in significant emission reductions over time in our home trade," Cox said.
Aker Philadelphia Shipyard is a leading U.S. commercial shipyard constructing vessels for operation in the Jones Act market. The shipyard delivered four newly-built Jones Act containerships for Matson between 2003 and 2006.
"We have a proven track record of building containerships and are greatly looking forward to being partnered with Matson again," said Aker Philadelphia Shipyard President and CEO Kristian Rokke. "The winning of this order provides the shipyard significant backlog and valuable visibility out to 2018."
About the Company
Founded in 1882, Matson is a leading U.S. carrier in the Pacific. Matson provides a vital lifeline to the island economies of Hawaii, Guam, Micronesia and select South Pacific islands, and operates a premium, expedited service from China to Southern California. The Company's fleet of 18 vessels includes containerships, combination container and roll-on/roll-off ships and custom-designed barges. Matson Logistics,
established in 1987, extends the geographic reach of Matson's transportation network throughout the continental U.S. Its integrated, asset-light logistics services include rail intermodal, highway brokerage and warehousing. Additional information about Matson, Inc. is available at www.matson.com.
Forward-Looking Statements
Statements in this news release that are not historical facts are "forward-looking statements," within the meaning of the Private Securities Litigation Reform Act of 1995, that involve a number of risks and uncertainties that could cause actual results to differ materially from those contemplated by the relevant forward-looking statement, including but not limited to risks and uncertainties relating to economic conditions; new or increased competition; fuel prices and our ability to collect fuel surcharges; our relationship with vendors, customers and partners and changes in related agreements; the actions of our competitors; the impact of future and pending legislation, including environmental legislation; government regulations and investigations; and repeal, substantial amendment or waiver of the Jones Act or its application, or our failure to
maintain our status as a United States citizen under the Jones Act. These forward-looking statements are not guarantees of future performance. This release should be read in conjunction with our Annual Report on Form 10-K and our other filings with the SEC through the date of this release, which identify important factors that could affect the forward-looking statements in this release. We do not undertake any obligation to update our forward-looking statements.
SOURCE Matson, Inc.
