TOKYO—Mitsui O.S.K. Lines, Ltd. (the “Company”) hereby announces that it recorded an extraordinary loss on
its Non-consolidated Financial Statements for fiscal year (FY) 2018 (April 1, 2018 – March 31, 2019) as below.
1. Recording of extraordinary loss (early termination fee)As a result of the integration of the Company’s containership business into Ocean Network Express Pte.
Ltd. (ONE, in which the Company holds a 31% stake) in April 2018, the company is expected to cancel the
terminal service agreement, which was concluded between the Company and terminal operator, TraPac,
LLC (a consolidated subsidiary in which the Company holds a 51% indirect ownership), and pay an early
termination fee of ¥6.1 billion to TraPac. In preparation for this loss, the Company recorded ¥6.1 billion in
extraordinary loss on its Non-consolidated Financial Statements as an allowance related to the
restructuring of its containership business.
Meanwhile, TraPac is included in the Company’s overseas terminal business, which the Company plans
to transfer to ONE. ONE’s vessels have already been calling the container terminal operated by TraPac.
2. Impact on the Company’s financial results
The Company recorded ¥6.1 billion in extraordinary loss for FY2018 on its Non-consolidated Financial
Statements. On the Consolidated Financial Statements, however, this loss is eliminated and profit
attributable to non-controlling interests is recorded. As a result, the profit attributable to owners of parent is
reduced by ¥3.0 billion.
[REFERENCE PURPOSE ONLY]
This document has been translated from the Japanese original for reference purposes only.
In case of any discrepancy or inconsistency between this document and the Japanese original, the latter shall