Hawaiis Vital Link to the Mainland and the World 2018 - PowerPoint PPT Presentation

Hawaii’s Vital Link to the Mainland and the World 2018 Transportation Summit November 8, 2018

HAWAII’S SHIPPING INDUSTRY • Almost everything in Hawaii is shipped in • In 2017: – 224,700 containers (TEU) brought into Hawaii – Matson: • 149,800 containers • 67,000 automobiles • Hawaii’s shipping industry: – Provides 8,700 jobs – Contributes $856 million towards Hawaii’s economy

JUST IN TIME MODEL • Speedy, reliable, just-in-time delivery – “Floating warehouses ” • Dedicated terminals

PACIFIC TRANSPORTATION LEADER

DOMESTIC OCEAN SERVICES • Hawaii is core market, served continuously for 136 years • Other domestic services include Alaska, Guam, Micronesia • Specializing in supplying remote economies

HAWAII – INDUSTRY LEADER SINCE 1882 • Most frequent sailings • Sole containership operator from Pacific Northwest • Only direct service from Oakland • 10-ship schedule • Honolulu hub, owned barge system for neighbor islands • Reserve fleet

ALASKA – LEADING SERVICE SINCE 1964 • Three-ship • Most reliable schedule service • Owned chassis • More ports served • Reserve fleet by containership

GUAM / MICRONESIA / RMI – INDUSTRY LEADER • Fastest transit times from West Coast • Most modern fleet and reliable schedule • Transshipment hub for western Pacific islands • Owned and fully staffed regional office building

NEW MARSHALL ISLAND SERVICE • New, direct U.S. flag service between Honolulu and the Marshall Islands • Reduces transit times from the Marshall Islands to the U.S. mainland by as many as 8 days • New ship: the Kamokuiki

JAPAN – OKINAWA SERVICE (CLX) • Fastest transits from U.S. West Coast • Weekly Service (CLX) • Fixed day-of-the-week sailings and arrivals • Sole containership operator with direct service to and from Hawaii

CHINA – LONG BEACH EXPRESS (CLX) • Premier niche service in Transpacific • Fastest ocean transit from Shanghai – 10 days • Next-day freight availability • Wheeled operations, off-dock container yard

SOUTH PACIFIC • Lifeline connections for remote island communities • Reliable service • Dedicated vessels serving American Samoa, Samoa, Tonga, Fiji, Tahiti, Niue, and Cook Islands

MATSON’S SPEED • Dedicated terminals • Small, fast ships • 136 years’ vessel operating expertise • Owned assets

INVESTING IN SERVICE – ALOHA CLASS VESSELS • Two 3,600 TEU dual fuel, LNG capable containerships • Green Ship technology • Contract price $418 million • Biggest containerships built in U.S. • Beginning service in November 2018 Hawaii Fleet Renewal: Aloha Class

INVESTING IN SERVICE – KANALOA CLASS VESSELS • Two 3,500 TEU dual fuel, LNG capable “con -ro ” ships • Green Ship technology • Contract price $511 million • Anticipated service beginning in Summer 2019 Hawaii Fleet Renewal: Kanaloa Class

INVESTING IN HONOLULU HARBOR • $60 million in Sand Island Terminal in Honolulu Harbor • 3 new cranes: – Early 2019 • Upgrade 3 existing cranes • Greater lifting capacity, height, and reach • More energy efficient • Even more accurate container tracking

INVESTING IN THE ENVIRONMENT Reducing carbon footprint: • Alaska / PNW – Exhaust scrubbers • Hawaii – LNG-ready vessel design

ENVIRONMENTAL STEWARDSHIP Commitment: Meet or exceed regulatory requirements • World’s first zero discharge policy (1993) • “Green” culture offshore and shoreside

COMMITMENT TO COMMUNITY • Core value: improving the communities where we work and live • Matson Giving program: $2 million+ annually