Hurricane Matthew: Charleston and Savannah Port Conditions

Hurricane Matthew: Port Conditions

Dear All,

Please see the below notices regarding Charleston and Savannah Ports.

Charleston, SC: Wednesday, October 5 – The South Carolina Ports Authority is limiting receipt and delivery of containers.
Effective Thursday, October 6 the gates will be closed and no containers will be interchanged. Return to normal hours is
planned for Monday, October 10.

Savannah, GA: Wednesday, October 5 – The Georgia Ports Authority is monitoring Hurricane Matthew very closely.
Preparations are being made at GPA’s Brunswick and Savannah terminals for heavy rains and sustained storm force
winds. Until further notice, the port is pursuing normal terminal operations. All vessel, gate, and field activities will
continue as usual. The port is monitoring developments during the day to ensure safety of personnel, equipment, and
cargo. Anticipate further updates as additional information develops.

Posted in Uncategorized

Stranded Hanjin ships get temporary US bankruptcy protection from arrest

Source: Hugh R. Morley, Senior Editor | Sep 06, 2016 10:07PM EDT | JOC

NEWARK — A federal judge Tuesday granted Hanjin Shipping temporary protection to prevent its ships from
arrest and from vendors breaking their contracts, giving US importers awaiting cargo on those ships hope they
will get their goods soon.

The return of those goods stands to cost shippers as transportation providers, from marine terminals to drayage
drivers, are charging for the release of Hanjin containers. The stranded ships — four of which are on the west
coast of North America — could also carry containers belonging to Hanjin’s fellow CKYHE Alliance members
and other carriers it has slot¬-sharing agreements with. The Hanjin Group plans to pay $90.7 million to rescue these
containers — some 530,000 globally.

The ruling by Judge Kevin Sherwood, sitting in US District Bankruptcy Court in Newark, gives the troubled South
Korean shipping company space to try to restructure its business and emerge from bankruptcy. The ruling came
after attorneys for companies — including cargo owners, chassis companies, port terminal, and fuel companies
— argued against the protection, known as a waiver. They said the protection might impede their efforts to liberate
cargo moved by Hanjin or to get paid for services provided to the carrier.

The ruling temporarily prevents vendors from taking legal action against Hanjin to arrest ships for unpaid bills
and exercising their rights to a lien, attorneys at the hearing said. It also prevents them from breaking contracts
on the basis that Hanjin’s financial situation means they may not get paid, attorneys said.

The hearing came as Hanjin ships in Australia, Singapore, and China were under arrest after companies owed
money requested authorities seize the vessels. An attorney for two fuel companies said Hanjin owed about
$260,000 in unpaid bills and that they had prompted federal authorities to seize the Hanjin Montevideo in Long
Beach in recent days. Four Hanjin ships are stranded off the west coast of the United States and Canada.

The Hanjin Miami was on Monday anchored about 12 miles out of the Port of New York and New Jersey,
rather than enter the port because it feared seizure, an industry executive said.

J. Stephen Simms, an attorney for the two fuel companies, Ocean Connect Marine and World Fuel Services,
said there are 15 to 20 ships waiting in US waters to see how the court rules and whether they can enter a US
port without risking seizure.

Sherwood granted the temporary protection until Friday, when the court will reconvene and seek to structure a
permanent ruling that will balance the needs of Hanjin with those of its creditors. Dozens of attorneys attended the
five-¬hour hearing. Their competing interests prevented the attorneys, and one for Hanjin Shipping, from reaching
an agreement on the terms for a permanent protection order.

“This is, as you said, a logistical mess,” Sherwood said in response to one attorney’s presentation.

Ilana Volkov, a Hackensack, New Jersey attorney representing Hanjin, urged the judge to approve a waiver, so
that the company could focus on operating its business, rather than worry about seizures.

“We need a provision of relief so that the operation in the US can continue, free of concerns that ships are going
to get arrested,” Volkov said. Asked by the judge whether Hanjin had the money to stabilize so that there was a
likelihood that creditors could get paid, Volkov said: “All we can assure people is that the company is working
around the clock to raise the necessary financing so that we can start paying people.”

Volkov said, however, that Korean Airlines, the parent of Hanjin Shipping, had agreed to put $100 million into the
company to help it through bankruptcy.

Posted in Uncategorized

Hanjin Group to spend $90.7M to rescue stranded containers

Source: Xiaolin Zeng, Special Correspondent | Sep 06, 2016 9:39AM EDT | JOC

Hanjin Group and chairman Cho Yang-ho said Tuesday they would collectively spend 100 billion South Korean
won ($90.7 million) to offload containers from Hanjin Shipping vessels that have been stranded worldwide.

An emergency response team from the Busan port authority estimates Hanjin Shipping has 530,000 containers
in transit worldwide and of these, 300,000 are already in the midst of voyages, while 230,000 are already on land.

Hanjin on Wednesday applied for receivership, leading to the arrest of ships and refusal of ports to work Hanjin
ships for fear they will not be paid. Cargo has been stranded thousands of miles from its intended destination
and shippers have had to pay heavily to release cargo they have been able to track down.

Cho will contribute 40 billion South Korean won and Hanjin Group will contribute 60 billion won. At the same
time, the money pledged is a fraction of the 600 billion won Hanjin owes in port dues. Cho stepped down as
chairman and CEO of Hanjin Shipping Monday, but remains chairman of the Hanjin Group and Korean Air Lines.

The Hanjin Group has been hit by logistical chaos caused by the sudden exit of Hanjin from the market and a
group subsidiary, Hanjin Transportation, which is involved in third-party logistics, package deliveries, and
inland transportation, has also been hurt in the aftermath of Hanjin Shipping’s bankruptcy.

Other Hanjin Group subsidiaries are pitching in to help the floundering ocean carrier. Korean Air Lines and
Hanjin Transportation have established emergency teams so that when a stranded container is rescued it can
be quickly loaded onto a plane for transportation to its final destination.

More than half of Hanjin’s fleet as of Tuesday was not where it should be, according to AISLive satellite ship
tracking data cross-checked against global shipping schedules and individual vessel data.

The data show multiple vessels detained at Chinese ports as the Hanjin Green Earth, Monaco, Hamburg, Port
Adelaide, Sooho and Dusseldorf have been berthed at the ports of Yantian, Qingdao, Shekou and Shanghai
since Wednesday.

The Hanjin California has been arrested at Sydney’s Port Botany and the Hanjin Rome and Montevideo were
arrested last week.

We are continuing to follow this situation closely and will provide updates as available.

Posted in Uncategorized

Far East to USA and Canada – Peak Season Surcharge: September 15th and General Rate Increase: October 1st

Dear all,

Please be informed of the following notification by the carriers of Peak Season Surcharge (PSS) to be effective
September 15, 2016, and General Rate Increase (GRI) to be effective October 1, 2016.

Peak Season Surcharge (PSS) from Far East to USA and Canada

Effective Date: September 15th, 2016 (cargo receipt date at origin)
Scope: From all origins in the Far East
To all USA and Canada destinations

PSS: USD 480 per 20′ (all types)
USD 600 per 40′ (all types)
USD 600 per 40’HC (all types)
USD 765 per 45′ (all types)

General Rate Increase (GRI) from Far East to USA and Canada

Effective Date: October 1st, 2016 (cargo receipt date at origin)
Scope: From all origins in the Far East
To all USA and Canada destinations

GRI: USD 1200 per 20′ (all types)
USD 1500 per 40′ (all types)
USD 1500 per 40’HC (all types)
USD 1905 per 45′ (all types)

The PSS and GRI will apply to Dry & Refrigerated cargo as well as to special cargo in Open Tops and Flat Racks.

Posted in Uncategorized

Tropical Storm Hermine: Port Weather Conditions

Tropical Storm Hermine: Port Weather Conditions

Dear All,

Please see the below notices regarding Savannah and Charleston Ports.

Savannah, GA. – Sept. 1, 2016 – The Georgia Ports Authority continues to monitor Tropical Storm Hermine. As a result
of the severe weather, the GPA will close its facilities in both Savannah and Brunswick Friday, Sept. 2.

Charleston, SC – Sept. 2, 2016 – The South Carolina Ports Authority is closely monitoring tropical storm Hermine, which
is approaching the U.S. southeast coast.
As a result, we anticipate closing the EMPTY yards at Wando Welch Terminal and North Charleston Terminal on Friday at
12 noon. Normal vessel, reefer and loaded yard operations are expected on Friday, so long as conditions allow.

Posted in Uncategorized

Hanjin Shipping files for Bankruptcy Court Protection – Update: September 1st

Hanjin Shipping files for Bankruptcy Court Protection – Update: September 1st

Dear All,

Please see the following information, and the below update received today from Hanjin Shipping.
1. Hanjin vessels are not allowed to dock at ports because port operators are afraid that dock fees will not be paid
2. Hanjin containers are also not accepted at the ports because of the same fear of abandoned containers
3. There are certain Hanjin vessels which are being allowed to dock, but are immediately held under arrest at the port
4. There are at least 3 Hanjin ships from Korea, Japan and China stranded off the California coast
5. Shipping rates will go up due to the lower capacity and increasing demand before the holidays. General Rate
Increases are already planned for October/November.

Dear Valued Customers.

We will be providing any information that comes our way to you during these times. What we have learned over night is
that most North American Ports, rail yards, and service providers have shut out Hanjin shipping due to the financial situation.
No Export Load nor empty containers are allowed to be in-gated to port or rail facilities. We are being advised that Import boxes
can be picked up, but additional fees to cover port charges, storage, or any other associated cost may be required in cash
payment by the customers.

To obtain these additional costs to retrieve boxes from the ports/ rails, please contact customer service for additional assistance
as they have taken the lead on this. For the east coast phone 866.442.6546.

No other information has been provided at this time and we are still in a holding pattern as Korean Courts review our receivership.

Once additional information is available and further guidance is provided we will pass this along to you. Unfortunately at this time,
no further information has been provided.

We are very sorry this has happened and will continue to provide updates as they come in.

Posted in Uncategorized

Hanjin Shipping files for Bankruptcy Court Protection

Dear All,

Please be advised that Hanjin Shipping, the seventh largest steamship line by capacity, has filed for bankruptcy
court protection.

The impact on the shipping industry will be significant but please be assured that we are working on contingency plans
where O.T.S. Astracon and our customers could be affected. In light of this, we are working to get upcoming shipments
rebooked on new carriers to eliminate unnecessary risks. For cargo that is already enroute, we are taking whatever
steps are necessary to ensure timely release and delivery of shipments.

It is anticipated that this situation will cause capacity issues with other carriers as space becomes tight. We will monitor
this closely in order to reduce potential delay as much as possible.

Due to the impact this will have on the market, it could lead to increased rates through General Rate Increases (GRIs)
and a possible Peak Season Surcharge (PSS). As always, O.T. S. Astracon will work on mitigate these charges to the best
of our ability to keep your cargo moving at the most competitive rates possible.

This situation is very fluid but we will be monitoring it closely and keep you posted. If there are any questions in the
meantime please feel free to reach out to your account representative.

Posted in Uncategorized

California’s Blue Cut Fire Disrupts Transportation

Source: NCBFAA | August 22, 2016, 7:32AM EDT

Last week the San Bernardino, CA Blue Cut Fire severely hampered train and truck traffic out of the ports of Los Angeles
and Long Beach. BNSF Railway provided the following statement:

BNSF resumed operations on our Cajon Subdivision, which runs between San Bernardino and Barstow, California. The
ongoing wildfire situation has limited service to two of our three main line tracks through this area with additional safety
measures, including speed restrictions, in place. BNSF crews continue to inspect and evaluate our third main line track,
and we hope to have all three main lines in full operation as soon as possible.

While trains are moving again through the Cajon Pass, the 30 hour service outage has created a substantial backlog of
traffic that will take time to clear. Customers may experience delays of 36 to 48 hours on shipments moving through this

BNSF was made aware of the fire and immediately deployed water trucks to assist emergency personnel. The water
trucks were used to water down our infrastructure including our railroad ties and bridges. As a result of this effort and that
of fire personnel, our infrastructure had minimal damage.

Posted in Uncategorized

Wildfire causes rail delay in Southern California

Dear All,

As a result of the Blue Cut Fire in Southern California, please be aware that BNSF and UP Railroads have reported service
interruptions and operational delays between 36-72 hours for east and west bound traffic in Southern California.
The estimated time for reopening of the tracks is yet to be determined.

If there are any questions please feel free to reach out to your account representative.

Posted in Uncategorized

General Rate Increase from Far East to USA and Canada, effective September 1st, 2016

Dear all,

Please be informed of the following General Rate Increase notification, effective September 1st, 2016:

General Rate Increase from Far East to USA and Canada

Effective Date: September 1st, 2016 (cargo receipt date at origin)
Scope: From all origins in the Far East
To all USA and Canada destinations

GRI: USD 510 per 20′ (all types)
USD 600 per 40′ (all types)
USD 675 per 40’HC (all types)
USD 760 per 45′ (all types)

The General Rate Increase will apply to Dry & Refrigerated cargo as well as to special cargo in Open Tops and Flat Racks.

Posted in Uncategorized

**** Due to TSA Regulations - All cargo that is tendered for transportation - is subject to inspection .****
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