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Trade press release

Albania's Durres Port Authority awards a five-year service contract to Cargotec

4/8/2009

Press release,8 April, 2009
Cargotec Kalmar business area has been awarded a five-year equipment servicing and maintenance contract by the Durres Port Authority (DPA) in Albania.

The contract was signed between the Director of the Durres Port Authority, Eduard Ndreu and Wolfgang Stöven, Vice President, Kalmar Service at Cargotec, and Jürgen Würzer, Managing Director of Kalmar Austria. The Minister of Public Works, Transportation and Telecommunication, Sokol Olldashi, and a number of government, port and company officials also attended the signing ceremony.

Following the ceremony, Eduard Ndreu from DPA expressed his appreciation by saying that the contract will secure a high level of maintenance services in the Port of Durres in compliance with best European practice. At the same time, a wide variety of high-value working posts will be provided for previous port staff who will receive sophisticated training in the most modern and innovative port maintenance services. Cargotec deployment in the Port of Durres is a substantial step for the port to adopt a landlord model. According to Wolfgang Stöven from Cargotec, the co-operation with DPA will raise the port activities towards best practice service levels on par with those maintained in the world leading ports.

Wolfgang Stöven, Vice President, Kalmar Service (left), Minister of Public Works, Transportation and Telecommunication, Sokol Olldashi (middle), Director of the Durres Port Authority, Eduard Ndreu (right).
Minister Sokol Olldashi welcomed Cargotec presence in Durres Port due to its experience, know-how and competence. He stated that Cargotec contribution will significantly boost and enhance the port competitive position in the region and ensure standards and norms similar to those of Albania major trading partners. Last but not least Cargotec innovative strengths and technology willincrease the Durres Port handling performance for the benefit of the port users.

Wolfgang Stöven stated that performance of the contract officially commences in August 2009, preceded by a period during which Cargotec technicians will establish organisation procedures and conditions ensuring high levels of occupational safety and work efficiency:

The DPA transforms itself from a service to a landlord-port by way of out-sourcing port services to world-class private sector companies and by exploiting their potentials and core competences for its own and its customers’ benefit. The objective is to achieve the highest levels of port and terminal efficiency and economy. This would allow the DPA to primarily focus on its core competence, i.e. being the port owner, regulator and caretaker.

Initially, Cargotec will be a service and staff provider preparing and maintaining the cargo-handling equipment workshop and workshop machinery, including the management of the parts inventory. As the collaboration develops, Cargotec role will increasingly progress as the Port Authority consultative partner working in DPA's favour while the port transforms from a primarily cargo handling entity to a well-equipped and specialised container and ro-ro operator.

The DPA was looking for a successful, experienced and loyal partner for addressing the mounting demand for professional equipment maintenance. Cargotec was particularly chosen because of its strong Kalmar brand with a reputation for highest work quality and innovation and its wealth of service references world-wide, including the Adriatic region, Wolfgang Stöven concluded.

Currently, DPA great variety of cargo handling equipment totals 155 units, encompassing electrical port cranes, mobile harbour cranes, silos, reach stackers, forklifts, tractors, wheel-loaders, spreaders, grabs and trailers together with workshop machinery required to support maintenance operations. Cargotec will be responsible for this diverse equipment maintenance, which also includes a recently acquired Kalmar empty container handler.

Durres is the biggest port in Albania, handling some 80% of the country seaborne trade. Annual growth rates over the last decade exceeded 10%. The port is part of the Pan-European Transport Corridor VIII linking Albania with FYR Macedonia, Bulgaria, Turkey, Greece and Italy. The port also serves a major industrial zone alongside the main highway to Tirana, Albania capital. This zone has attracted many foreign investors and generates considerable business for the port.

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Cargotec improves the efficiency of cargo flows by offering handling systems and the related services for the loading and unloading of goods. Cargotec brands, Hiab, Kalmar and MacGREGOR, are global market leaders in their fields and their solutions are used on land and at sea – wherever cargo is on the move. Kalmar container and heavy duty materials handling equipment and automation applications are provided to ports, terminals and intermodal facilities world-wide. Extensive services close to customers ensure the continuous usability of equipment.

Cargotec is the technology leader in its field, its R&D focusing on innovative solutions that take environmental considerations into account. Cargotec sales total EUR 3.4 billion and it employs approximately 12,000 people. Cargotec class B shares are quoted on the NASDAQ OMX Helsinki.

www.cargotec.com

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