Stabilization on a low level

Stabilization on a low level In April the charter market recorded an upswing which was minor for the time of the year. Freight rates fell continuously increases could be realized at in April. So the Shanghai Containerized the charter market. The up- Freight Index ward movement appeared in (SCFI) recorded only 1,026 all segments, though with points at the end of April. The different strength. In y-o-y main reason for the rate drop comparison of April the can be found in the Asia- feeder segment with 1,700 Europe traffic. Hence, freight TEU geared and the Subrates on the routes between Panamax segment with 2,500 Asia and Europe and Asia and TEU geared could achieve a the Mediterranean gave in by significant rate increase (2.8 over 400 US-Dollars. The % respectively 8.8%). Other route between Asia and sizes between Feeder and South-America witnessed significant Panamax were on a similar rate decreases as well. level as in April 2012. We One reason might be caused observe a slow stabilization by the amount of newly delivered of the charter market which Post-Panamax and Ultra still is on a low level. The Large Container Ships (ULCS) ConTex published by which leads to high tonnage Vereinigung Hamburger growth despite high scrapping Schiffsmakler und Schiffously activity. The simultanesagenten rose by 2.2 per weak demand growth cent in April. on the East-West routes The new building market squeezes the freight rates. loomed that the race for While the freight market had economies of scale is not to fight in April, small rate over yet. End of April it be- News Flash Bertram Rickmers, chairman of Rickmers Holding, expressed his positive expectations regarding the future development of shipping. Even though the market recovery could be still quite a long time to come, when it comes, it would be appearing abruptly. Rickmers could even imagine a return to the glory days of shipping as prevalent during the middle of the 2000s. The foundation for big fortunes always had been laid in times of crisis. We would witness sky high rates again. According to branch information provider Alphaliner the GDP multiplier decreased. The product of the multiplier with the GDP equals the container demand and was in 2012 at only 1.5. The main reason for the low multiplier effect has to be seen in slow Chinese container growth. 1

came apparent that China Shipping Container Lines (CSCL) obviously ordered five 18,000 TEU container vessels at a South Korean ship yard. The vessels are similar to the EEE-class of Maersk and supposedly cost below 140 Million US-Dollars. Maersk had paid approximately 190 US- Dollars in 2011. The vessel size of about 9,000 TEU apparently is en vogue. On the one hand Embiricos Group ordered two 9,000 TEU vessels including an option on two more vessels at Hyundai Samaho. On the other hand CSAV inked a contract on seven 9,300 TEU vessels. Already last month we reported on the order of six vessels of approximately 9,000 TEU by Oceanbulk. Furthermore we registered the order of eleven feeder vessels. At the second hand market for container vessels activity stayed high even if we could not observe quite as many transactions as last month. The traded tonnage concerned Sub-Panamax and Feeder vessels. In many cases sales were caused by the tense liquidity situation of the respective one ship company. On the other hand the sales reflect the buyer s positive market expectations for these segments. Scrapping activity was high in April as well. Even though the majority of demolition sales concentrated on the feeder segment, there were several Sub-Panamaxes and Panamaxes which were sold for beaching at scrap yards. The price paid per light displacement tonnage retreated during the last weeks in most scrapping locations. Only in Bangladesh a firming trend is observable. 2

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NEW BUILDINGS CONTAINER - Deliveries April 2013 NAME TEU ORDERED SHIPYARD ORDERING PARTY CMA CGM ALEXANDER VON 16,020 Jun 07 Daewoo (DSME) CMA CGM MOL QUEST 14,000 Jun 11 Hyundai Samho H.I. Neptune Orient Lines / APL NYK HERCULES 13,208 Mar 11 Samsung Orient Overseas Container Line HANJIN GREEN EARTH 13,102 Feb 08 Hyundai H.I. Hanjin Shipping HANJIN GOLD 13,102 Jan 08 Hyundai H.I. Hanjin Shipping APL NEW YORK 9,200 Jul 10 Daewoo (DSME) Neptune Orient Lines / APL YM UNICORN 8,626 Aug 07 China SB (CSBC) All Oceans T EVER LOGIC 8,452 Sep 10 Samsung Evergreen KRISTINA 6,673 Sep 11 Hyundai Samho H.I. Technomar Shipping HYUNDAI PARAMOUNT 5,023 Apr 11 Hyundai H.I. Capital Ship Management XIN XU ZHOU 4,738 Jun 08 Jiangnan Changxing CSCL XIN WEN ZHOU 4,738 Jun 08 Jiangnan Changxing CSCL WAN HAI 516 4,680 Jul 07 China SB (CSBC) Wan Hai HANJIN INDIGO 4,600 Jan 11 Samsung Hanjin COSCO SAO PAULO 4,253 Dec 07 Jiangsu New Yangzijiang COSCO KOTA LEMBAH 4,250 Feb 11 Dalian Shipyard PIL HANJIN ARGENTINA 3,560 Jun 11 Hyundai Samho H.I. PIL BALAO 2,546 Aug 10 Jiangsu New Yangzijiang Klaveness Maritime Logistics VNL RUBY 1,794 Aug 07 Vinashin Ha Long Vinalines SUNNY LOTUS 1,043 Sep 11 Dae Sun KMTC NEW BUILDINGS CONTAINER - New Orders April 2013 QUANTITY/NAME TEU DELIVERY SHIPYARD ORDERING PARTY 5 x 18,000 2015 Hyundai H.I CSCL 7 x 9,300 2014 Samsung H.I. CSAV 2 + 2 9,000 2014 Hyundai Samho Embiricos Group 2 (+2 + 4) x 1,800 2014 CSBC SITC 1 x 1,103 2015 Kyokuyo Heung-A 2 x 1,100 2014 Zhejang Yangfan Ningbo Ocean Shipping 4 x 1,000 2014/15 Dae Sun Heung-A 2 160 - Western Marine Neepa Paribahan 4

2nd-HAND SALES CONTAINER April 2013 Name TEU BUILT YARD GEAR PURCHASR PRICE COMMENT Sofia Schulte 2,824 2007 Korea gearless undisclosed $15,000,000 Keno 2,824 2007 Korea gearless undisclosed $15,000,000 Johan Rickmers 2,105 1997 Korea geared undisclosed $5,000,000 en bloc for $10 Mio Felicitas Rickmers 2,105 1997 Korea geared undisclosed $5,000,000 en bloc for $10 Mio Msc Hobart 2,004 1994 Korea gearless China $4,400,000 Stx Qingdao 1,740 2009 China geared ZIM INTE- - Stx Dalian 1,740 2010 China geared ZIM INTE- - Etha Rickmers 1,730 1996 Poland geared Norway $3,400,000 Ym People 1,620 2003 Japan gearless SITC $7,500,000 Ym Sky 1,620 2003 Japan gearless undisclosed $7,500,000 SS due in June 2013 Ym Earth 1,620 2003 Japan gearless SITC $7,500,000 Gallant Wave 1,510 1996 Japan gearless Indonesia $3,400,000 current scrap value Arminia 1,012 1994 Poland geared Far East $2,700,000 Daniela 639 2003 China geared OCEANIC $3,200,000 5

DEMOLITION SALES CONTAINER April 2013 Name TEU BUILT LDT SCRAP LOCATION USD/LTD Maersk Malacca 4,714 1990 22,322 India 452 Maersk Madrid 4,206 1989 19,400 India 466 Hanjin Colombo 4,024 1994 18,780 India 470 White Sea 3,681 1996 - undisclosed - Conti Chiwan 3,496 1994 - India - Santa Ana 3,467 1995 14,788 India 425 Santa Elena I 3,467 1995 14,788 India 425 MSC Brianna 3,014 1986 15,300 India - MSC Natalia 3,014 1986 15,301 India 454 E.R. Brisbane 2,825 1996 4122 China 370 Northern Valour 2,808 1996 - India - Da Xin Hua Chang Shu 2,668 1991 - undisclosed - Saudi Diriyah 2,025 1983 18,371 India 460 MSC Gianna 1,914 1983 12,767 India 446 MSc Gianna 1769 1983 12,757 India 446 Damali 1,640 1995 8,184 India 433 Francisca Schulte 1,608 1998 7,390 India 445 Selma 1,354 1994 6,797 India 452 Arnis 1,208 1991 6,260 undisclosed - MSC Agata 1,083 1982 - India - Stadt Berlin 1,083 1998 4,842 China - Singapore Trader 1,066 1992 5,130 undisclosed - HMS Laurence 1,034 1985 6,895 India 440 MSC Annick 928 1988 6,763 India 440 Seaboard Victory 742 1983 9,114 India undisclosed Navajo Princess 538 1987 7,446 India 458 6

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 container vessels new building orders according to year and size group 500 400 300 200 100 0 7,000+ TEU 5,200-6,999 TEU 3,950-5,199 TEU 3,000-3,949 TEU 2,000-2,999 TEU 1,300-2,000 TEU 900-1,299 TEU year 21,000,000 Capacity of the world container fleet (TEU) 20,000,000 19,000,000 18,000,000 17,000,000 16,000,000 15,000,000 14,000,000 2010 2011 2012 2013 2014 2015 2016 Source: Alphaliner/ Maersk Broker 7

tonnage growth according to size group 1000-1499 1500-1999 2000-2999 3000-3999 20% 15% 10% 5% 0% -5% -10% 7.6% 5.3% 3.4% 4.0% 2.3% 0.0% 0.6% 1.4% 1.5% 2.0% 0.4% 0.0% 0.2% 0.0% 0.0% 0.0% 0.3% 2012 2013 2014 2015 2016-3.9%-4.9% -8.1% tonnage growth according to size group 4000-5099 5100-7499 7500-9999 10000-18000 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 45.0% 27.1% 25.3% 16.9% 12.8% 10.6% 11.2% 7.4% 5.4% 4.8% 2.6% 2.7% 1.3% 0.7% 1.9% 0.4% 0.0% 0.0% 0.2% 0.0% 2012 2013 2014 2015 2016 Source: Alphaliner 8

Shanghai Containerized Freight Index (SCFI) weight 2013-04-26 2013-05-03 change SCFI (total) 100% 1049.02 1026.85-22.17 Europe (Base port) USD/TEU 20.0% 818 Mediterranean (Base port) USD/TEU 10.0% 860 USWC (Base port) USD/FEU 20.0% 2102 USEC (Base port) USD/FEU 7.5% 3251 Persian Gulf and Red Sea (Dubai) USD/TEU 7.5% 927 Austrlian/New Zealand (Melbourne) USD/TEU 5.0% 1037 East/West Africa (Lagos) USD/TEU 2.5% 1871 South Africa (Durban) USD/TEU 2.5% 786 South America (Santos) USD/TEU 2.5% 1380 West Japan (Base port) USD/TEU 5.0% 348 East Japan (Base port) USD/TEU 5.0% 354 Southeast Asia (Singapore) USD/TEU 5.0% 233 Korea (Pusan) USD/TEU 2.5% 220 Taiwan (Kaohsiung) USD/TEU 2.5% 233 Hong Kong (Hong Kong) USD/TEU 2.5% 83 Source : Shanghai Shipping Exchange 9

ConTex for different vessel types $26,500 $24,000 $21,500 $19,000 $16,500 $14,000 $11,500 $9,000 Type 1100 Type 1700 Type 2500 Type 2700 Type 3500 Type 4250 $6,500 $4,000 Jul. 11 Okt. 11 Jan. 12 Apr. 12 Jul. 12 Okt. 12 Jan. 13 Apr. 13 745 ConTex 695 645 595 545 495 445 395 345 Jul. 11 Okt. 11 Jan. 12 Apr. 12 Jul. 12 Okt. 12 Jan. 13 Apr. 13 Source: Vereinigung Hamburger Schiffsmakler und Schiffsagenten e.v. 10

Representative Fixtures April 2013 NAME TEU BUILT REEFER GD/GL DURATION CHARTERER RATE Northern Jamboree 8,411 2010 700 gearless 24 months MAERSK LINE $40,500 Hyundai Singapore 6,763 2006 600 gearless 11-13 months MSC $22,400 Hyundai Tacoma 6,350 2009 500 gearless 11-13 months MSC $22,000 Hanjin Ottawa 5,618 2000 500 gearless 6-11 months PIL $20,500 Helsinki 5,551 2002 500 gearless 2-4 months YANG MING $19,250 Santa Pamina 5,047 2005 550 gearless 5-7 months SHIPPING CORPORATION $10,400 E.R. Dallas 5,043 2004 1100 gearless 5 months TS LINES $9,000 Maxine 5,028 2004 500 gearless 70 days MITSUI $8,500 Hyundai Premium 5,023 2013 770 gearless 12 months CCNI $16,250 Pugwash 4,800 1997 350 gearless 12 months MSC $6,000 Hyundai Federal 4,651 1994 350 gearless 12 months MSC $6,250 Pohang 4,545 1998 350 gearless 12 months MSC $6,000 Portugal 4,545 1998 350 gearless 12 months MSC $6,000 Hs Caribe 4,389 2002 500 gearless 10-11 months UASC $9,500 Ambassador Bridge 4,255 2009 300 gearless 8 months UASC $9,250 Jpo Vulpecula 4,254 2010 550 gearless 5-7 months HAPAG $9,000 Jpo Libra 4,132 2005 1002 gearless 6 months NYK $9,250 Santa Romana 4,112 2002 1300 gearless 5-7 months UASC $9,250 Hs Chopin 3,586 2007 500 gearless 40-220 days HAMBURG SUED $6,800 Guenther Schulte 3,534 2008 500 gearless 2-6 months MAERSK LINE $7,000 Hansa Africa 3,424 1997 230 gearless 12 months MSC $6,800 Hedda Schulte 3,405 2013 539 geared 11-13 months NILE DUTCH $9,000 Apl Amman 3,323 2002 440 gearless 6 months RCL FEEDER $7,500 Hebe 3,091 2008 500 geared 5-7 months HAPAG $7,600 Hammonia Gallicum 2,959 1996 260 gearless 5-7 months SEA CONSORTIUM $7,000 Wave 2,908 1996 285 gearless 4-5 months HANJIN $6,350 Cimbria 2,826 2002 554 gearless 4-5 months SIMATECH $6,250 Sils 2,824 2003 554 gearless 12 months CMA CGM $6,500 Cape Melville 2,742 2005 400 gearless 1-3 months HAPAG $6,800 Cape Moreton 2,741 2005 400 gearless 3-6 months MCC $7,000 Elbwolf 2,732 1999 450 gearless 6-12 months CMA CGM $6,500 Rio Thompson 2,556 2004 600 geared 3-6 months CMA CGM $7,250 Wehr Elbe 2,524 2001 400 geared 5-8 months NILE DUTCH $7,250 11

Representative Fixtures April 2013 NAME TEU BUILT REEFER GD/GL DURATION CHARTERER RATE Frisia Rotterdam 2,478 2004 400 geared 12 months YANG MING $7,350 Anika Oltmann 2,474 1998 320 geared 4-6 months MSC $7,100 Northern Endeavour 2,468 2001 320 geared 6 months PIL $8,100 Tiger Bridge 2,228 1990 100 gearless 6-12 months BENGALTIGER $6,000 Andreas Rickmers 2,226 1998 300 geared 3 months PIL $7,100 Aquitania 2,205 2000 350 geared 8-12 months PIL $7,500 Classica 2,102 1998 250 geared 10-12 months CMA CGM $7,000 Primus 2,078 1997 150 geared 12 months CMA CGM $6,950 Pluto 1,837 1999 350 geared 8-10 months CMA CGM $7,000 As Poseidon 1,837 1999 350 geared 10 months MSC $6,800 San Georgio 1,756 2013 300 gearless 6 months SEA CONSORTIUM $8,950 Positano 1,730 1996 380 geared 7-10 months SIMATECH $6,000 Adrian 1,730 1997 300 geared 4-7 months CMA CGM $6,800 Ninghai 1,730 2003 250 geared 9-11 months CHINA NAVIGATION $7,250 Etha Rickmers 1,730 1996 200 geared 4-8 months SEA CONSORTIUM $6,900 Henriette Schulte 1,684 1997 160 geared 2-4 months MCC $6,350 Ranee 1,613 1995 206 geared 5-6 months SIMATECH $6,600 Macaro 1,608 1996 200 geared 2-5 months COSCO $5,200 Hansa Aalesund 1,550 2001 198 geared 4-7 months MITSUI $6,900 Cape Norviega 1,510 1998 100 gearless 1-2 months MCC $6,500 Cape Felton 1,440 2008 174 gearless 3-5 months SITC $6,750 Sinar Biak 1,439 1995 42 gearless 12 months SAMUDERA $6,500 Novia 1,388 1995 209 geared 6 months TARROS $6,750 Cape Frio 1,221 2003 150 gearless 5-6 months SITC $6,300 Bavaria 1,203 1996 150 geared 4-5 months COSCO $6,850 Weisshorn 1,122 1996 150 geared 6 months CROWLEY $6,500 Dover Strait 1,121 2002 215 geared 5-7 months CROWLEY $6,850 Hudson River 1,118 2007 220 geared 4-8 months CMA CGM $6,500 Carola 1,107 1994 100 geared 4-5 months ITALIA MARITTIMA $6,300 Fesco Trader 1,060 1997 104 gearless 2-6 months PIL $6,100 Cape Spencer 1,055 1996 90 geared 1-2 months CMA CGM $5,900 Evolution 1,050 1996 178 gearless 10 months HANJIN $6,500 Inis Mor 1,012 1997 90 geared 10 months C-FUELS AMERICA $6,500 12

Container Vessel Market Overview Source: Hansa International Maritime Journal/ Clarkson Research 13

Container Vessel Market Overview Source: Hansa International Maritime Journal/ Clarkson Research 14

The Continental Chartering Bulletin is a regularly released newsletter concerning container shipping markets and other relevant economic topics Continental Chartering GmbH & Co. KG Ballindamm 14-15 20095 Hamburg Germany Tel. + 49-40 - 32337070 Fax + 49-40 - 32337079 office@continental-chartering.de www.continental-chartering.de editorial: Andreas Mietzner Continental Chartering GmbH & Co. KG, Hamburg eingetragen beim Amtsgericht Hamburg, HRA 93683 vertreten durch den Geschäftsführer, Peter Tamm persönlich haftende Gesellschafterin: Continental Chartering Verwaltungsgesellschaft eingetragen beim Amtsgericht Hamburg HRB 73050 Ust.Id.Nr.: DE 204144047 Dieser Newsletters wurde nach bestem Gewissen erstellt, doch übernehmen die Continental Chartering GmbH & Co. KG sowie ihre leitenden Angestellten, Geschäftsführer, Mitarbeiter, Bevollmächtigten und Manager keinerlei Gewähr für die Aktualität, Korrektheit, Vollständigkeit oder Qualität der bereitgestellten Informationen. Haftungsansprüche gegenüber der Continental Chartering GmbH & Co. KG sowie ihrer leitenden Angestellten, Geschäftsführer, Mitarbeiter, Bevollmächtigten und Manager, welche sich auf Schäden materieller oder ideeller Art beziehen, die durch die Nutzung oder Nichtnutzung der dargebotenen Informationen bzw. durch die Nutzung fehlerhafter und unvollständiger Informationen verursacht wurden, sind grundsätzlich ausgeschlossen, sofern seitens der Continental Chartering GmbH & Co. KG sowie ihrer leitenden Angestellten, Geschäftsführer, Mitarbeiter, Bevollmächtigten und Manager kein nachweislich vorsätzliches oder grob fahrlässiges Verschulden vorliegt. This newsletter has been compiled in all conscience; however Continental Chartering GmbH & Co. KG as well as its chief executives, managers, employees and representatives take no responsibility for actuality, accuracy, integrity and quality of the provided information. Liability claims towards Continental Chartering GmbH & Co. KG as well as its chief executives, managers, employees and representatives referring to material or non-material damage caused by the use or disuse of the information provided respectively caused by false or incomplete information are axiomatically excluded as long as there exist no verifiable scienter or verifiable grossly negligent behaviour by Continental Chartering GmbH & Co. KG as well as its chief executives, managers, employees and representatives. 15