Potential Factors Affecting Transit Times

Many factors affect transit times. Below please find an update on current issues that may affect the movement of your cargo:

�Severe weather conditions hit the Chilean central zone in mid-August with massive waves and high winds forcing port closures in San Antonio and Valparaiso. Vessels scheduled to call on the ports during this time frame had to omit the port call and depart without loading cargo. The result has been a backlog of cargo, and we have received reports of some short shipments and delays.

�Congestion in transshipment ports in Panama is also creating delays, with reports of cargo delays of 1-2 weeks awaiting vessel space. The congestion is primarily affecting shipments destined for the US West Coast as there is no direct service from the West Coast of South America and all containers must transship.

�Good news from the Panama Canal: The Panama Canal Authority was expecting to issue further draft restrictions affecting vessel transit due to low water, but, fortunately, rain fell during late August and the draft restrictions planned for September 8 have been suspended.

We are monitoring all shipments on the water and at the terminals and will keep you closely informed as to any delays specific to your cargo.