CP SHIPS SEES SMALL IMPACT FROM WEST COAST PORT SHUTDOWN

CP SHIPS SEES SMALL IMPACT FROM WEST COAST PORT SHUTDOWN

   CP Ships expects a small negative impact from the recent 12-day port shutdown on the U.S. West Coast, according to wire services.

   The port lockout will make a “modest” impact on the container shipping company’s results after the third quarter, after taking into account surcharges and insurance, CP Ships said.

   CP Ships is the parent company of Australia-New Zealand Direct Line, Italia, Lykes Lines and TMM Lines, which call at U.S. Pacific ports, and of other shipping lines. U.S. West Coast volume represent about 9 percent of the group’s annual traffic, including the volume of the newly-acquired Italia.

   “There will be several lost voyages and increased costs, some of which is expected to be recovered through surcharges and some through strike insurance cover,” CP Ships said. “Overall, we anticipate the impact on our results, all of which occurs after the third quarter 2002, to be modest,” it added.