1 / 15

Overview of HMM

Overview of HMM. Hyundai Merchant Marine Co., Ltd. (“HMM”) was established in 1976 and is one of the leading global logistics company “HMM” has a highly diversified and stable revenue ; Container, Tanker, LNG carrier and Ore/Coal carrier

lynne
Download Presentation

Overview of HMM

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Overview of HMM • Hyundai Merchant Marine Co., Ltd. (“HMM”) wasestablished in 1976 and is one of the leading global logistics company • “HMM” has a highly diversified and stable revenue ; Container, Tanker, LNG carrier and Ore/Coal carrier • HMM is amember of The New World Alliance (TNWA) with APL&MOL, and Grand Alliance(GA) with OOCL, NYK, MISC and HLC • 2007 Revenue Breakdown USD 5,480 Mil.

  2. Revenue 2007 USD revenue rose by 11% YoY to USD 5,480 Mil. from USD 4,955 Mil. Reasons for change in revenue ① Addition of container capacity (mainly in Asia-Europe) ② Increase in container freight rates (Asia-Europe & Intra Asia) ③ Strong Baltic Dry Index (BDI) • Revenue • Quarterly • Accumulative 5,480 4,955 1,527 1,444 3,938 1,251

  3. Operating Profit • 2007 Operating Profit grew by 231% to USD 338 Mil. from USD 102 Mil. in the same period of 2006 • What caused the strong OP? ① Better than expected Asia-Europe and Intra-Asia market, resulting in multiple GRIs ② Super cycle in dry bulk market caused BDI to record all time high • Operating Profit • Quarterly • Accumulative 338 111 101 227 102 -6

  4. Business Result in 2007 • 2008 Guidance

  5. Container – volume continues to rise • Thanks to increasing new container ships to the fleet, 2007 volume increased by 9.8% YoY to 2.37 Mil. Teu; Transpacific, Asia-Europe and Intra-Asia volume increased by 8.1%, 10.2% and 12.9% YoY respectively • 2008 expected container capacity increase 29.6% YoY, and expected volume increase to 2.94 Mil. TEU (24% ↑) • Container volume breakdown • 2006 • 2007

  6. Tanker – drastic index movement continues • The market WS averaged 82 in 2007 vs. 99 of same period 2006 • 175 new VLCCs are to be delivered between 2007-2012, this is about 36% of existing VLCCs operating in the market • Psychological factors pushed up the WS, however, due to relatively mild winter season and lack of spot activity resulted in a sharp decline of WS. • VLCC deliveries

  7. Dry bulk – slowing down but still high • BDI averaged 7,106 in 2007 vs. 2,951 of 2006 • BDI is recovering - Iron-ore negotiation closed by Korean, Japanese and Chinese steel producers - Australian coal exports resume - Queue increases due to port congestion in New Castle, Australia - Delays in deliveries of bulk vessels by Chinese ship yards • Baltic Dry Index (BDI)

  8. HMM fleet profile

  9. New Vessel Delivery in 2008

  10. Fleet Expansion Plan (Owned)

  11. Fleet Expansion Plan (Chartered)

  12. HMM Vessel List

  13. HMM Legal Affairs & Insurance Team . AHQ (Denver) Manager S H Park General Manager D B Park EHQ (London) Manager Shane Kweon Cargo Claim Manager Y S Roh Legal Part Manager S C Hwang Jason Lee Seti Min Justin Roh Rachel Hong Chris Paik Kevin Kang Joanna Kim Yulia Hwang - C/P Disputes - Litigation - Casualties - Contract / Legal Matters - CNTR Cargo Claim - Bulk Cargo Claim - CNTR Box Claim - Recovery Claim - Hull Insurance - P&I Insurance - TT Club - Terminal Insurance

  14. What would shipping companies want its lawyers? • Little information on Chinese Maritime Law and Practice • Little information on Chinese Law Firm’s evaluation & Costs • Still depend on P&I Club’s recommendation • Shipping companies’ concerns - Difficulties to prepare evidences, when filed in court. - Huge (Overestimated) deposit or guarantee without presentation of claim breakdown - MSA (government authorities) involvement and slow progression - Quick response from the lawyers

More Related