HIT:: Hongkong International Terminals

Introduction of Port Security Charge

[25 July 2006, Hong Kong] Hongkong International Terminals Limited ("HIT") and COSCO-HIT (Hong Kong) Limited ("COSCO-HIT") have announced that both companies will implement Port Security Charges with effect from 15 August 2006 with details as follows:

The Port Security Charges of HK$20 per 20-foot container and HK$30 per 40-foot and 45-foot container will be applied to laden import and export containers, from or to road transport or Pearl River Delta lighter. There will be no charge for either vessel-to-vessel trans-shipments or empty containers.

The introduction of the Port Security Charges follows the measures that both Companies have taken to achieve full compliance with the International Ship & Port Security Code (ISPS), which was drawn up by the International Maritime Organisation (IMO) in December 2002 and was later adopted into Hong Kong law in the Merchant Shipping (Security of Ships & Port Facilities) Ordinance 2004. Furthermore, HIT and COSCO-HIT have worked closely with local and international organisations to provide a world-class security environment. These measures have included working with the Container Security Initiative (CSI), Customs Trade Partnership Against Terrorism (C-TPAT) and the Integrated Container Inspection System (ICIS).

The Port Security Charges are for permitting entry into or exit from the secure cargo area of both Companies' premises as defined by the ISPS as incorporated into Hong Kong law in the Merchant Shipping Ordinance 2004. The Port Security Charges also provide for the Companies' compliance of the CSI and C-TPAT.

HIT and COSCO-HIT will continue to take far-reaching measures to maintain the safe and efficient movement of cargo through Hong Kong's port and to strengthen security at its facilities. These measures will also help protect the interests of customers, employees and the wider community.