EUKOR strengthens long-term partnership with Hyundai and Kia
EUKOR Car Carriers, part of the Wallenius Wilhelmsen group, has renewed its
contract with Hyundai Motor Car and Kia Motor Car corporations, increasing both
duration and volumes. "The contract confirms Wallenius Wilhelmsen`s strong
position in Korea and cements our long-term partnership with Hyundai Motor
Group," says Lasse Kristoffersen, President & CEO of Wallenius Wilhelmsen.
"The contract is nothing short of historic for EUKOR and Wallenius Wilhelmsen,"
says Xavier Leroi, EUKORs CEO and heading the Shipping segment at Wallenius
Wilhelmsen.
The new contract contains two major changes from the previous one. The duration
has been increased from three to five years and the share of Korean exports has
been increased from 40% to 50%.
The agreement also entails additional volumes exported from China.
The total estimated net freight revenue is USD 4.2 billion over the duration of
the contract. The freight rate increases are in line with market rates for a
contract of this nature.
The put and call agreement linked to HMG's 20% ownership share in EUKOR remains
in place and has not been discussed as part of the negotiations.
For further information, please contact:
Anders Redigh Karlsen - VP Global IR & Market Insight
Tel: +47 994 20 293
Email: anders.karlsen@walwil.com
Idha Toft Valeur - Media Contact
Tel: +47 406 05 210
Email: idha.valeur@walwil.com
About Wallenius Wilhelmsen:
The Wallenius Wilhelmsen group is a market leader in roll-on/roll-off (Ro-Ro)
shipping and vehicle logistics, managing the distribution of cars, trucks,
rolling equipment and breakbulk to customers all over the world. The company
operates around 125 vessels servicing 15 trade routes to six continents, a
global inland distribution network, 66 processing centers and eight marine
terminals. With a head office in Oslo, Norway, the Wallenius Wilhelmsen group
has 9,500 employees working across 28 countries worldwide. Read more at:
walleniuswilhelmsen.com
About EUKOR:
EUKOR operates a large and modern fleet of about 67 specialized Pure Car and
Truck Carriers (PCTC). One of the company's key business is the export of
Hyundai and Kia Motors' vehicles from their plants in Korea, while also serving
most other global automotive leaders. The company is a subsidiary of the
Wallenius Wilhelmsen group, part-owned with HMG (80%/20%).